£2 million Fundraising

Borders & Southern Petroleum plc

12 October 2026

 

THIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN, IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, WITHIN OR INTO ANY MEMBER STATE OF THE EUROPEAN ECONOMIC AREA, THE UNITED STATES (OR TO ANY U.S. PERSON), CANADA, JAPAN, AUSTRALIA, THE REPUBLIC OF SOUTH AFRICA, OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT JURISDICTION.

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS DEFINED IN ARTICLE 7 OF THE CURRENT ASSIMILATED UK VERSION OF MARKET ABUSE REGULATION EU NO. 596/2014. UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

12 October 2026

Borders & Southern Petroleum plc

("Borders & Southern" or the "Company")

£2 million Fundraising

Borders & Southern Petroleum plc (AIM: BOR), the London based independent oil and gas company with assets offshore the Falkland Islands, is pleased to announce that it has raised £2 million, before expenses, to advance the continued development of its 100% held Darwin gas condensate discovery (the “Fundraising”). The Fundraising comprises a direct placing of shares to a single investor.

The Fundraising will comprise the issue, in aggregate of 17,391,304 new ordinary shares in the Company ("Ordinary Shares") at a price of 11.5p (the "Issue Price") per new Ordinary Share. The Issue Price is an approximate 42 per cent. premium to the Company's closing price of 8.1p on 9 October 2026. In addition to the issue of the Ordinary Shares, the Company will issue 8,695,652 warrants, convertible into further Ordinary Shares at a price of 20p per Ordinary Shares for a period of 18 months, after which time the warrants will lapse.

Highlights of the Fundraising:

• £2 million raised through the direct placing of 17,391,304 ordinary shares (the “Fundraise Shares”) at the Issue Price (the “Fundraise”).
• The issue of 8,695,652 shares warrants convertible into further Ordinary Shares at 20p for a period of 18 months.

Use of Proceeds

The proceeds of the Fundraising will be used to fund the Company's Licence fees, Discovery Area fees, technical and commercial studies, general & administrative expenses and, more generally, to continue to advance the Company's Darwin discovery for commercial appraisal.

Harry Baker, Chief Executive Officer of Borders & Southern, commented:

“I am delighted to welcome a new investor to the share register. The ultra-high-net-worth Middle Eastern investor is an exceptionally well-connected and experienced investor, with a long history of deploying strategic capital across a range of industries, including in this sector. His investment represents a strong addition to our shareholder base as we continue to progress the farm-out process.

As background, we have been talking to this investor for several months. In spite of the geopolitical backdrop, he has offered us £2 million at a 30% premium to the 10-day VWAP and an approximate 42% premium to Friday’s closing share price. The Fundraise means that we are now fully funded until mid 2028 and represents a very modest 1.9% dilution for existing shareholders.

 We remain completely focused on delivering the best deal possible for all shareholders, and today’s announcement further strengthens our position as we work towards concluding the farm-out process. Our confidence in delivering an excellent result for shareholders remains undiminished.”

Admission and Total Voting Rights

Application will be made for admission of the Fundraise Shares to trading on AIM ("Admission") on or about 19 October 2026. The Fundraise Shares will rank pari passu with the existing Ordinary Shares of 1p each in the capital of the Company.

Following Admission, the total issued share capital of the Company will consist of 911,201,296 Ordinary Shares each with voting rights. The Company does not hold any Ordinary Shares in treasury. Therefore, the total number of voting rights in the Company will be 911,201,296 and this is the figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA's Disclosure Guidance and Transparency Rules.

For further information please visit www.bordersandsouthern.com or contact:

Borders & Southern Petroleum plc	Tel: [phone]
Harry Baker, CEO
Zeus (NOMAD and Joint Broker)	Tel: [phone]
Nick Searle  Simon Johnson  Antonio Bossi  Andrew de Andrade
Hannam & Partners (Joint Broker)	Tel: [phone]
Neil Passmore Leif Powis
Tavistock (Financial PR)	Tel: [phone]
Simon Hudson Nick Elwes

Notes:

Borders & Southern Petroleum plc is an oil & gas company admitted to trading on AIM (BOR). The Company operates and has a 100% interest in three Production Licences in the South Falkland Basin covering an area of nearly 10,000 square kilometres. The Company has acquired 2,517 square kilometres of 3D seismic and has drilled two exploration wells, making the significant Darwin gas condensate discovery with its first well.

 

END