After the Catching or defeating red Gyarados at Lake of rage, you can do one of two things. You can attempt to infiltrate Rocket's HQ or fight Pryce. Most peole do Rocket Base first to train Pokemon to defeat Pryce.
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they are not at the lake of rage they are on your way there
In the house you first see after entering the Lake of Rage.
Go to Mahogany Town. Once there, travel North (^) to Route 43. If you continue to go North (^), you will reach the Lake of Rage.
The Lake Of Rage is home to the Red Garadose << (spelling) and is a main point in the story. It is worth capturing as that is the only Red Garadose in the game.
there are no team galactic grunts in that game. only team rocket, and they are not at lake of rage.