Communicators

Border Petroleum Inc. Announces Closing of Acquisition

CALGARY, ALBERTA, Sep 29, 2008 Border Petroleum Inc. ("Border" or the "Corporation") (NEX:BOP.H) today announced the closing of its previously announced proposed acquisition of certain petroleum and natural gas properties from Royal Quest Resources Ltd. ("Royal Quest"), a private company (the "Acquisition"). Pursuant to the Acquisition, Border acquired certain producing petroleum and natural gas assets located in Cardiff, Cherhill, Lloydminster and Norris, Alberta (the "Royal Quest Properties"), for a cash purchase price which was adjusted at closing, to be approximately $1,300,000.

About the Royal Quest Properties

The Norris property is located in Township 53, Range 18 West of the 4th Meridian, Northwest of Edmonton, Alberta with various operated working interests. The property consists of two operated producing oil wells, five infill oil drilling locations, and 1,040 net acres of land.

The Cherhill property is located in Township 56, Range 4 West of the 4th Meridian, North of Edmonton, Alberta and consists of a 37.5% operated working interest. The property consists of one producing gas well and 640 net acres of land.

The Cardiff property is located in Township 55, Range 1 West of the 4th Meridian, East of Edmonton, Alberta and consists of a 100% working interest. The property consists of one producing oil well and 40 acres of land.

The Lloyd property is located in Township 49, Range 1 West of the 4th Meridian, East of Edmonton, Alberta and consists of a 90% operated working interest. The property consists of two operated producing oil wells, two infill oil drilling locations, and 120 net acres of land.

DeGolyer Report Regarding the Royal Quest Properties

Border engaged DeGolyer and MacNaughton Canada Limited ("DeGolyer"), an international independent engineering firm, to prepare a National Instrument 51-101 compliant report as at August 1, 2008 (the "DeGolyer Report"). The reserve estimations set forth in the DeGolyer Report and summarized below were prepared in accordance with the Canadian Oil and Gas Evaluation Handbook and National Instrument 51-101. The estimated Forecast Price Case gross and net proved and probable, as at August 1, 2008, of the Royal Quest Properties are summarized as follows, expressed in thousands of barrels ("Mbbl") for oil and NGL and millions of cubic feet ("MMcf") for sales gas:

COMPANY SHARE - FORECAST PRICE CASE ------------------------------------------------------ Remaining Reserves as of August 1, 2008 ------------------------------------------------------ Light Heavy Crude Oil Crude Oil Natural Gas NGL ------------ ------------ ------------ ------------Reserve Category Gross Net Gross Net Gross Net Gross Net---------------- ----- ---- ----- ---- ----- ---- ----- ----= Mbbl Mbbl Mbbl Mbbl MMcf MMcf Mbbl MbblProved Developed Producing 5 4 1 1 53 49 1 - Non-Producing 2 2 12 11 - - - -Proved Undeveloped 35 28 83 73 - - - - ----- ---- ----- ---- ----- ---- ----- ----Total Proved 42 34 96 85 53 49 1 -Probable 11 9 26 22 22 20 - - ----- ---- ----- ---- ----- ---- ----- ----Total Proved + Probable 53 43 122 107 75 69 1 -

Based on the Forecast Price Case, estimated future net revenue and net present value of future net revenue before and after income tax attributable to Royal Quest's net interests in the proved developed producing, total proved developed, total proved and proved-plus-probable reserves are summarized as follows, expressed in thousands of Canadian dollars (M$):

TOTAL COMPANY COMPANY SHARE - FORECAST PRICE CASE(1) --------------------------------------------------------- Future Net Revenue Before Income Tax as of August 1, 2008 --------------------------------------------------------- Discounted -------------------------------------------Reserve Category Undiscounted at 5% at 10% at 15% at 20%---------------- ------------ --------- ---------- --------- --------- M$ M$ M$ M$ M$Proved Developed Producing 578 549 523 499 477 Non-Producing 728 690 654 621 591Proved Undeveloped 5,172 4,606 4,124 3,709 3,350 ------------ --------- ---------- --------- ---------Total Proved 6,478 5,845 5,301 4,829 4,418Probable 1,830 1,485 1,220 1,015 853 ------------ --------- ---------- --------- ---------Total Proved + Probable 8,308 7,330 6,521 5,844 5,271TOTAL COMPANY COMPANY SHARE - FORECAST PRICE CASE(1) --------------------------------------------------------- Future Net Revenue After Income Tax as of August 1, 2008 --------------------------------------------------------- Discounted -------------------------------------------Reserve Category Undiscounted at 5% at 10% at 15% at 20%---------------- ------------ --------- ---------- --------- --------- M$ M$ M$ M$ M$Proved Developed Producing 412 391 372 355 339 Non-Producing 517 490 464 441 419Proved Undeveloped 3,731 3,305 2,943 2,632 2,365 ------------ --------- ---------- --------- ---------Total Proved 4,660 4,186 3,779 3,428 3,123Probable 1,359 1,100 902 748 627 ------------ --------- ---------- --------- ---------Total Proved + Probable 6,019 5,286 4,681 4,176 3,750

Note: (1) Forecast prices are based on the DeGolyer price forecast effective August 1, 2008.
Please be advised that net present values of future net revenue do not represent fair market value.

In connection with the Acquisition, Border has paid a finder's fee to Elefterios Aligizakis of $97,500, which was paid by the issuance of 487,500 common shares of Border with a deemed value of $0.20 per share.

Reader advisory:

The term "BOE" may be misleading, particularly if used in isolation. In accordance with NI 51-101, a BOE conversion ratio for natural gas of 6 mscf: 1 bbl has been used which is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

Investors are cautioned that the preceding statements of the companies may include certain estimates, assumptions and other forward-looking information. The actual future performance, developments and/or results of the companies may differ materially from any or all of the forward-looking statements, which include current expectations, estimates and projections, in all or part attributable to general economic conditions and other risks, uncertainties and circumstances partly or totally outside the control of the companies, including natural gas/oil prices, reserve estimates, drilling risks, future production of gas and oil, rates of inflation, changes in future costs and expenses related to the activities involving the exploration, development and production of gas and oil hedging, financing availability and other risks related to financial activities.

The securities of Border being offered have not been, nor will be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

Border Petroleum Inc.
Tyler D. Cran Director
(403) 538-8441



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