Silverstone was successful in continuing its large 22nd round block in the Mariner- Gryphon area and acquired a CSEM survey and a 3D survey in 2007. Additional part blocks were awarded to Silverstone in the 23rd and 24th Licensing Rounds. Industry focus on the Quad 9 heavy oil trend is increasing after a four year hiatus and we expect to see four other wells drilled offsetting our acreage before the end of 2008. Following their recent acquisition of Chevrons Bressay and Mariner Fields, we may also see the sanctioning of the 14 degree API Mariner discovery by StatoilHydro in the medium term, often cited as the largest undeveloped oil accumulation in the North Sea.

StatoilHydro farmed in to Silverstone’s interests in the area in late 2007, and a Tertiary oil test is scheduled before the end of 2008.