MercoPress. South Atlantic News Agency

Borders & Southern Petroleum plc: Maiden preliminary results

Borders & Southern Petroleum plc (AIM: BOR), the international oil and gas exploration and production business, announces preliminary results for the year ended 30 June 2005.

Highlights include:

? AIM flotation and £10 million (gross) placing to fund initial work programme in Falkland Islands and screen new projects ? exploration licences awarded for nearly 20,000 sq km in the South Falkland Islands Basin ? 2D seismic acquired in June 2005 to define structures and assess prospectivity - completed ahead of schedule, accelerating work programme ? 2D seismic interpretation underway and full report expected in early 2006 ? initial findings reveal more structures than originally anticipated strong balance sheet and cash reserves

Commenting on the results, Howard Obee, chief executive said: "This has been an exciting period for Borders & Southern.

Following an initial evaluation of the Falklands basin and the granting of our acreage, we raised £10 million pounds and floated on AIM, giving us the funds to pursue our activities in the Falklands and to screen new projects.

We completed the acquisition of 2D seismic data ahead of schedule. Initial findings are very exciting and we expect to provide a further update in the coming months."

For further information: www.bordersandsouthern.com