Mr. Kelly Kimbley reports

BORDER PETROLEUM ANNOUNCES 2013 RESERVES AND CORPORATE UPDATE

Border Petroleum Corp. has released the results of its year-end 2013 oil and gas reserves evaluation and has provided shareholders with a corporate update.

Border's March 31, 2013, year-end reserves were evaluated in a report prepared by independent reserves evaluator Sproule & Associates Consultants Ltd. The evaluation of all of Border's oil and gas properties was done in accordance with the definitions, standards and procedures contained in the Canadian oil and gas evaluation handbook and National Instrument 51-101 (standards of disclosure for oil and gas activities). Additional information about Border's properties as required under NI 51-101 will be included in the company's annual information form, which is expected to be filed on SEDAR in July, 2013.

                         SUMMARY OF RESERVES
                     (as at March 31, 2013 (1))

                                             Gross company reserves         
                                     Light   Heavy                    Total
                                       oil     oil     Gas     NGL    (Mboe)
Description                          (Mbbl)  (Mbbl)  (MMcf)  (Mbbl)      (3)

Proved producing                      93.1     7.2     768    21.1    249.3
Proved non-producing                     0       0     465    13.3     90.8
Proved undeveloped                   300.0       0       0       0    300.0
Total proved (2)                     393.1     7.2   1,233    34.4    640.1
Probable                             826.4     3.9     760    21.4    978.6
Total proved plus probable (2)     1,219.5    11.1   1,993    55.8  1,618.7

(1) Based on Sproule's forecast prices as of March 31, 2013.
(2) Gross company reserves are the company's total working 
interest share before the deduction of royalties.
(3) A conversion ratio of 6,000 cubic feet of natural gas to 
one bbl of oil is used.

            SUMMARY OF BEFORE-TAX NET PRESENT VALUES
                    (as at March 31, 2013 (1))

                                       Before-tax net present value ($M)   
                                                discount rate              
Description                              0%      5%     10%     15%      20%

Proved producing                    $3,460  $3,101  $2,820  $2,595   $2,412
Proved non-producing                   465     390     330     282      243
Proved undeveloped                   6,111   3,424   1,707     567     -212
Total proved                        10,036   6,915   4,857   3,444    2,443
Probable                            29,407  19,086  13,059   9,211    6,580
Total proved plus probable          39,443  26,001  17,916  12,655    9,023

(1) Based on Sproule's forecast prices as of March 31, 2013.

Corporate update

Border currently has a positive working capital balance of approximately $7.3-million and an unutilized bank line of $3.5-million. Border's current total production is approximately 230 barrels of oil equivalent per day (26 per cent liquids). Border's tax pool balance as at Dec. 31, 2012, was approximately $32.1-million with an additional $17.5-million of successored pools primarily related to its Leduc properties. Further, after taking into account qualifying expenditures of approximately $1.0-million in the quarter ended March 31, 2013, the company has approximately $2.0-million of outstanding obligations to incur Canadian exploration expenses.

Under the direction of the special committee, the financial advisers to the special committee and management have commenced populating the virtual data room to be used in connection with the previously announced alternatives process and continue their build-out of the information package that will be provided to interested parties. The data room and information package are anticipated to be complete within the next seven days.

Border does not intend to disclose developments with respect to the review process unless and until the board of directors has approved a definitive transaction or option, or unless otherwise required by law or disclosure which is deemed appropriate. The company cautions that there are no guarantees that the review will result in a transaction or, if a transaction is undertaken, as to its terms or timing.

We seek Safe Harbor.