Drilling Report

Conroy Diamonds & Gold PLC
28 February 2002






                                                               FEBRUARY 28, 2002

               NEW GOLD PROSPECTS OFFER SIGNIFICANT AND EXCITING

                  DRILL TARGETS FOR CONROY'S SPRING PROGRAMME


  • Gold Mineralisation Already Found In Trenching Of Prospects
  • Visible Evidence Of Mineralised System Now Extends Over 14km
  • Finland Diamond Exploration Includes Classic 'Bullseye' Targets



The most significant and exciting aspect of the Spring drilling programme
planned by Conroy Diamonds and Gold Plc ('the Company') on its Armagh-Monaghan
Gold Belt in Ireland will be the focus on three new prospects where trenching
has already confirmed the presence of gold in bedrock, says chairman Professor
Richard Conroy in the Company's interim report for the six months ended November
30, 2001.

All three targets lie within the Armagh-Monaghan Gold Belt: two are located
between the Company's previous gold discoveries at Cargalisgorran in County
Armagh and Tullybuck-Lisglassan, 6.5km to the south-west in County Monaghan; the
third is situated approximately seven kilometres to the south-west of
Tullybuck-Lisglassan.

The fact that gold mineralisation has already been identified in bedrock at all
three new prospects, combined with the results of the 23 holes drilled to date
by the company on its Cargalisgorran and Tullybuck-Lisglassan discoveries,
provides further visible confirmation of the presence of a large mineralised
system over a strike length of at least 14km. This, says Professor Conroy, is
strong evidence that the system has the potential to host a series of further
gold deposits.

Four further gold prospects have also been outlined by soil geochemical
anomalies within the Armagh-Monaghan Gold Belt and have yet to be followed up.
All of the Armagh-Monaghan Gold Belt, as currently defined, lies within Conroy's
licence area.

Drilling at Cargalisgorran has now identified significant gold mineralisation in
three separate structures over a strike length of approximately 150m with the
deepest intersection to date at a vertical depth of around 55m below surface.
The mineralised structures are parallel, trend NNE, and all three are open at
depth and along strike. Six further holes are planned in the Spring programme,
but even then, only a very small part of the very large geochemical anomaly
covering the Cargalisgorran prospect will have been investigated by drilling,
the company notes.

Six additional drill holes are also planned for the Company's earlier discovery
at Tullybuck-Lisglassan where the presence of additional drilling targets
adjacent to the deposit were suggested by the findings of the British Geological
Survey/Craft study announced last March.

The Armagh-Monaghan Gold Belt lies within the Longford-Down Massif and the gold
deposits and prospects identified to date are all spacially related to the
Orlock Bridge Fault. This is the geological structure which Conroy believes most
influenced the creation of the Gold Belt and is the main geological control over
mineralisation in the region.

Elsewhere in the Longford - Down Massif near Slieve Glah in Co Cavan, some 45
kilometres to the south west of Tullybuck/Lisglassan, the Orlock Bridge Fault
shows a marked deviation to the south. This type of geological structure
(dilation zone) is sometimes associated with large scale mineral deposition. A
detailed soil geochemistry programme has defined three extensive gold anomalies
at Slieve Glah and trenching to bedrock is planned in order to define drill
targets, says Conroy.

Conroy's diamond exploration programme in Finland continues to progress. A
number of classic 'bullseye' aeromagnetic anomalies have been identified and the
results of the initial till sampling programme carried out by the Geological
Survey of Finland on Conroy's behalf have led to the discovery of kimberlitic
indicator minerals, including an all important G9 garnet.

At the end of the reporting period, the Company had EUR 236,384 cash in hand
which, together with the proceeds, EUR 548,710, of the share placement announced
on 26 February 2002, and facilities available to the Company, is financing the
current phase of exploration.

Further Information

Professor Richard Conroy

Chairman

Tel: [phone]



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