Interim Results

Celtic Resources Holdings PLC
31 October 2001


                        Celtic Resources Holdings Plc




     FINANCING UNDERWAY AS CELTIC RESOURCES GOLD OPERATIONS GAIN MOMENTUM


             Celtic Resources releases unaudited Interim Results

                        for six months to 30 June 2001




Highlights include:

  * Fully subscribed private placing raises Euro2.4 million (Stg. £1.5m)
  * Project finance pursued as gold operations gain momentum
  * LSE listing postponed until 2002
  * Nezhdaninskoye gold mine (Far Eastern Russia) operating
  * Suzdal gold mine (Northern Kazakhstan) returns first dividends



Celtic Resources Holdings Plc (CER) quoted on the ESM of the Irish Stock
Exchange, today released its unaudited interim results for the six months
ended 30 June 2001.


The company also announced closure of a fully subscribed private placing
raising £1.48 million net of expenses. Approximately 14.4 million ordinary
shares were placed at Stg.10.5 pence and 7.2 million warrants at Stg.14 pence.


Directors said that they were encouraged by the high level of support which
indicated investors were prepared to back companies with valuable assets and
production growth, even in these turbulent times.


Celtic Resources' Chairman and Managing Director, Kevin Foo commented: 'The
fact that we have closed a fully subscribed private placing for approximately
£1.5 million is very encouraging. We also believe that financing our mines
individually through project or structured finance is the best way for us at
present and will enable us to raise funds as we need them. Consequently and
partly because of market conditions, we have postponed our LSE listing until
2002. This will preserve shareholder value by not diluting their interest at
this pivotal time in our development.'


Another highlight of the period is that Celtic's 50% owned Nezhdaninskoye gold
mine in Yakutia, Far Eastern Russia, is in commissioning mode and has produced
and sold its first gold. The company focused this half-year on securing the
mine assets, reopening the mine and producing concentrates. As a result, it
has delayed commissioning of the cyanide leach plant for the project until
late 2001.


'The Nezhdaninskoye gold mine is huge, but the development costs are expected
to be very low because most of the equipment and plant is already in place. We
have spent the last five months planning and permitting operations and
verifying the Mineral Reserves and metallurgical processes. SRK Consulting has
audited the Mineral Reserves and the operating plan and final results will be
published in November. Preliminary results so far are very exciting and
suggest a significant increase in Mineral Reserves over the previously audited
estimates by SRK which in turn are derived from an increased Mineral Resource
base,' said Mr. Foo.


Celtic Resources' 50% owned Suzdal gold mine in Northern Kazakhstan is on
target to produce 46,000 ounces this year at a total cost of US$140/oz and the
UK company received its first dividends from the mine in July.


'Prospects at Suzdal, with the recently announced high-grade primary ore
drilling results, have increased significantly and we will be accelerating
this project with the intention of increasing production to beyond 100,000
ounces by 2003,' Mr. Foo added.


Celtic is currently in discussions with several banks and financial
institutions for project finance on its two main gold projects, Nezhdaninskoye
in Russia and Suzdal in Kazakhstan.


'Our Nezhdaninskoye and Suzdal gold mines are outstanding deposits and are
both operating. This removes significant risk from lenders and, therefore, we
feel that suitable finance packages can be in place for both projects by early
2002,' said Mr. Foo.


In relation to Celtic Resources' Tamdykol oil project in northern Kazakhstan,
Mr. Foo said that the project was being assessed through a four hole drilling
program. This was still in its early stages and a full assessment would be
made in early 2002.


'Overall, we have had an encouraging half-year and our prospects for the
remainder of 2001 and early 2002 are good. Our key objective of growing into a
profitable, resources based company by 2003 is becoming a reality as we
realise the potential of our mining and hydrocarbon properties in Russia and
Central Asia,' Mr. Foo concluded.


For more information please contact


Kevin Foo / Claire Bolton

Celtic Resources Holdings Plc

Tel: + 44 (0) 20 7593 0001

[e-mail]


Leesa Peters / Jackie Brock-Doyle

Capital PR

Tel: + 44 (0) 20 7618 6560

[e-mail]


Maeve Governey / Rachel Watchorn

Heneghan PR

Dublin Tel: + 353 1 660 7395

[e-mail]


Eugenee Mulhern

Davy Corporate Finance Ltd

Tel: + 353 1 679 6363

[e-mail]


www.celticresources.com



The detailed financials follows:


Unaudited Profit and Loss Statement for the six months ended June 30, 2001.

                                       30 June 2001                30 June 2000
                                               $000                        $000
Amounts written off intangibles                   0                           0
Administration expenses                       (572)                       (333)
Operating loss                                (572)                       (333)
Interest payable                                  0                           0
                                              (572)                       (333)
Interest receivable                              16                           0
Loss on ordinary activities before tax        (556)                       (333)
Taxation                                          0                           0
Loss after tax                                (556)                       (333)
Partners interests                               89                           9
Group loss for the period                     (467)                       (324)
Dividends paid & proposed                         0                           0
Retained loss                                 (467)                       (324)
Foreign currency adjustments                    206                           0
Total losses recognised                       (261)                       (324)
Group loss per share (in cents)              (0.40)                      (0.49)




31 October, 2001