10 Borders & Southern Petroleum plc Annual Report & Accounts 2014 OPERATIONS REVIEW 3D SEISMIC INTERPRETATION DARWIN RESOURCE ESTIMATE SEISMIC INVERSION We have made good progress in the  technical evaluation. During 2014  we received the final processed data  from our 2013 seismic acquisition  programme. This was merged with  the reprocessed data from our 2008  survey, giving us approximately  2500 sq km of high quality 3D PSDM  data. In mid-year we announced the  results from our Phase 2 engineering  study. This increased the resource  estimate of Darwin to 263 million  barrels. Subsequent technical work has  enhanced our understanding of the  reservoir distribution and has allowed  The next phase of the evaluation  centred around trying to understand  the areas with mapped amplitude  anomalies in a little more detail.  To this end we initiated a seismic  inversion project. With normal seismic  reflection data the interpretation  is based on mapping the interface  between different rock units. A map is  generated for the top of the reservoir,  The farm-out process has been a  frustrating one, not helped by the  dramatic decrease in oil price and the  continued poor exploration success  track record of the industry. Despite  these negative factors we remain  confident in the quality of our discovery  and surrounding acreage and we are  focused on securing a suitable partner. The Company has concentrated on two  main areas of activity during the past  year. Firstly, the farm-out of our acreage  which is needed to help fund the next  phase of drilling and secondly, the  sub-surface technical evaluation which  was aimed at improving our resource  estimates of Darwin, identifying the  best locations for appraisal wells and  evaluating near-field prospects.  a further revision of numbers. Our  current best estimate P50 unrisked  recoverable resource is 360 million  barrels of condensate. The mapping of the new seismic  data not only confirmed our previous  structural interpretation, but also  provided new stratigraphic insights.  The main insight was that the  Early Cretaceous shallow marine  prospectivity was likely to be based  on a structural/stratigraphic trapping  mechanism rather than purely  structural. Numerous amplitude  anomalies have been mapped in the  play fairway. Whilst recognising that our  10,000 sq km acreage contains several  exciting other plays such as deep-water  channels and fans and large scale folds,  it was decided to focus in the short term  on the Early Cretaceous play fairway  close to the discovery as the anomalies  appeared so interesting. The results from this out-sourced study  are just being made available. Early  signs are that an additional potential  hydrocarbon bearing sand interval has  been identified over part of both Darwin  East and West. The interval is not well  developed at the Darwin East well  location where only thin hydrocarbon  sands were encountered. The new data  has revealed that this unit expands  to the east and south of the well  location. Also, to the north of Darwin  our confidence has been enhanced  that some of the mapped structural/ stratigraphic traps could contain  hydrocarbons. This work is ongoing,  and will be reported on once it has  been fully integrated into our existing  interpretations. Hopefully we are laying  the foundations of future success. but it tells us little of the actual reservoir  interval itself. However, the inverted  seismic data describes the internal  rock properties of the reservoir such  as lithology type, porosity or fluid  type, rather than just the boundaries.  The processed data incorporates the  well log data into a quantitative rock- property description of the reservoir. WITH HOWARD OBEE AND PETER  FLEMING OUR TECHNICAL  UNDERSTANDING OF  THE DARWIN DISCOVERY  IS BEING ENHANCED  ALL THE TIME. WE  CONTINUE TO BELIEVE  IT IS A SIGNIFICANT,  ROBUSTLY DEFINED  GAS CONDENSATE  ACCUMULATION.