Final Results

Conroy Diamonds & Gold PLC
25 October 2001



Conroy Diamonds and Gold P.l.c.

Final Results for the year ended 31st May 2001

Chairman's Statement

Dear Shareholder

I have great pleasure in presenting your Company's Annual Report and Financial
Statements for the twelve months ended May 31 2001, a period of further major
progress for your Company.

The year began as your Company's shares first traded on the Alternative
Investment Market (AIM) of the London Stock Exchange, progressed with the
discovery of a second gold deposit, the exciting Armagh find, and concluded as
your Company extended its exploration activities into Finland, with diamonds
the main target. Indeed, it was a year in which the Company's name fully
reflected its activities for the first time.

Discovery of Gold in County Armagh

The new and exciting gold discovery in Co. Armagh, 6.5km along strike from
your Company's Tullybuck-Linsglassan deposit in Co. Monaghan is both
gratifying and of great significance. It provides solid evidence to support
your company's postulation that Tullybuck-Lisglassan is not an isolated gold
deposit but is part of a much larger mineral field - the Armagh-Monaghan Gold
Belt - now known to extend for at least 20km. This discovery also points to
the very real possibility that a number of economic gold deposits could be
located within the 1,500km(2) area in the Longford-Down Massif over which your
Company holds exploration licences. Within this area, your Company has
identified numerous other geochemical anomalies, which may indicate
mineralised zones of similar potential.

The two original discovery holes in Co Armagh have now been followed up by a
further eleven holes for a total of 800m of drilling. Gold mineralisation has
been intersected in all but one hole (which was targeted on a base metal
anomaly). Two, or possibly three, mineralised structures have been identified
to date over a strike length of approximately 150 meters. The zone of
mineralisation remains open along strike and at depth and to date only a small
section of what is a very extensive geochemical anomaly (3.5km x 1.5km) has
been drill tested.

The drilling results suggest that the recently reported findings of an
independent European Research Team led by the British Geological Survey on
your Company's Tullybuck/Lisglassan gold deposit may also apply to the Armagh
discovery. The Research Team found 'a new structural orientation not
previously observed' at the Tullybuck/Lisglassan deposit and believes 'that
mineralisation is more extensive' than previously indicated. This independent
confirmation of the conclusions previously reached by your Company's technical
experts, that the orientation of the gold veins is different to that of the
base metals mineralised structures, paves the way for additional discoveries
at Tullybuck/Lisglassan as well as new discoveries elsewhere within the
Armagh-Monaghan Gold Belt.

The new find in County Armagh also provides strong support for your Company's
geological model for the Armagh-Monaghan Gold Belt - the interpretation of
geological factors and events, which have controlled the emplacement of
mineralisation within the belt. Both Tullybuck/Lisglassan and the new County
Armagh discovery are spatially related to the very important Orlock Bridge
Fault, which your Company believes is the geological structure, which most
influenced the creation of the gold belt.

Finland - Diamond Exploration Initiated with Encouraging Results

Your Company's exploration programme was extended to Finland at the end of the
year. Diamonds will be the main focus of exploration, but areas prospective
for gold, chrome, nickel and platinum group metals (PGMs) will also be
targeted.

The move into Finland is a logical step for your Company, the management of
which has previous experience in running exploration programmes in that
country. Furthermore, Conroy P.l.c, a company which has common directors with
your Company, and which has acquired extensive information, knowledge and
expertise in relation to Finland, has agreed to share this data with your
Company. A value of IR£350,000 has been agreed for this data and information.
As this constitutes a related party transaction an appropriate resolution will
be tabled at the Annual General Meeting. Your Company has also contracted the
services of the Geological Survey of Finland ('GSF'), with its invaluable
experience and expertise in the geology of Finland, to work in association
with your Company's staff and consultants.

I am pleased to report that the initial till sampling programme in Finland
carried out on behalf of your Company by the GSF has been most encouraging.
Kimberlitic indicator minerals including an all-important G9 garnet, a
'diamond indicator mineral', have been recovered in the vicinity of a classic
'bullseye' aeromagnetic anomaly, characteristic of a kimberlite pipe. This is
a very promising beginning to the Company's exploration programme for diamonds
in Finland, The recovery of a G9 garnet at such an early stage is particularly
good news and suggests our selection of target areas for diamonds is well
founded.

Successful Strategy

Your Company's strategy is to identify and develop significant geological and
prospecting opportunities which have major economic potential. This strategy
has already achieved success through the identification of the mineral
potential for gold of the Longford-Down Massif in Ireland. The expansion of
your Company's exploration programmes into Finland, with that country's
potential for both diamonds and gold, is an exciting development which could
result in further major exploration success.

Finance

The Company raised Euro933,000, net of expenses, through the issue of
3,376,000 new ordinary shares. These funds have enabled your Company to
optimise its ongoing operations.

In accordance with the adoption of the Euro as from 1 January 2002 your
Company's accounts are expressed in Euros. Consequently changes to the
Memorandum and Articles of Association are required and resolutions to give
effect to this will be proposed at the Annual General Meeting.

I am happy to inform you that during the year your Company appointed Dolmen
Butler Briscoe as stockbrokers in Dublin.

Directors, Consultants and Staff

I would like to express my appreciation of the support and dedication of the
directors, consultants, in particular our Senior Geological and Mining
Consultants, Dr Michael Smith and Mr. Terry Beal, and staff which has made
possible the progress and success that your Company has achieved. I welcome
the appointment of Mr. David Furlong as geologist to your Company. His
extensive experience in exploration and mining and in particular in gold has
already proved most helpful.

Future Outlook

Your Company looks to the future with confidence. We have a strong land
position in both Ireland and Finland, a highly successful exploration
programme and a team with the expertise and track record to build on this
success and bring your Company forward in a positive direction.

Professor Richard Conroy.

Chairman.



Profit and Loss Account for the Year Ended 31 May 2001
                                                             2001         2000
                                                             Euro         Euro
Operating Expenses                                      (320,190)    (132,071)
Other Income                                               14,821          281
Loss on Ordinary Activities before Taxation             (305,369)    (131,790)
Tax on loss on ordinary activities                              -            -

Loss for the Year                                       (305,369)    (131,790)
Profit and Loss Account, at 31 May 2000                 (438,425)    (306,635)

Profit and Loss Account, at 31 May 2001                 (743,794)    (438,425)




Balance Sheet - 31 May 2001
                                                             2001         2000
                                                             Euro         Euro
Fixed Assets
Mineral interests                                       3,261,035    1,910,459
Tangible assets                                            65,863       11,960

                                                        3,326,898    1,922,419

Current Assets
Debtors                                                    45,957       18,134
Cash at bank and in hand                                1,049,695    1,443,763
                                                        1,095,652    1,461,897
Creditors: Amounts falling due within one year          (968,536)    (780,401)
Net Current Assets                                        127,116      681,496

Total Assets less current Liabilities                   3,454,014    2,603,915
Creditors: Amounts falling due after more than one      (222,204)            -
year

Net Assets                                                   Euro         Euro
                                                        3,231,810    2,603,915

Capital and Reserves
Called up share capital                                   557,449      450,283
Share premium account                                   3,418,155    2,592,057
Profit and loss account                                 (743,794)    (438,425)

Shareholders' Funds - all equity                             Euro         Euro
                                                        3,231,810    2,603,915



Cash Flow Statement for the Year Ended 31 May 2001


                                                             2001          2000
                                                             Euro          Euro
Net Cash (Outflow)/Inflow from Operating Activities      (16,875)       142,033

Returns on Investments and Servicing of Finance                 -             -

Taxation                                                        -             -

Capital Expenditure and Financial Investments         (1,419,985)     (535,803)

Net Cash Outflow before Financing                     (1,436,860)     (393,770)

Financing                                               1,155,468     1,729,666

(Decrease)/ Increase in Cash                        Euro(281,392) Euro1,335,896

 End