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Paladin Resources (PLR)

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Monday 29 November, 2004

Paladin Resources

DTI Approval

Paladin Resources PLC
29 November 2004


                             Paladin Resources plc
                                ("the Company")

                   DTI Approval for Brechin Field Development


Paladin Resources plc announces that its wholly owned subsidiary, Paladin Expro
Limited ("Paladin"), and Paladin's joint venture partner, Energy North Sea
Limited, a subsidiary of Marubeni Corporation, have received DTI approval for
the development of the Brechin oil field which is located close to the Montrose,
Arbroath and Arkwright ("MonArb") field complex. The anticipated cost of the
development is £21 million.


The Brechin Field was discovered in May 2004 by Paladin's first UK operated
exploration well 22/23a-7, which penetrated 138 ft of oil-bearing Palaeocene
Forties Sandstone. The field will be produced by a single horizontal development
well tied back to the existing Arkwright Field subsea infrastructure
approximately 3.4 km away. Oil will then be transported via pipeline for
processing on the Montrose Field platform and onward export to shore via the
Forties Pipeline System. Production will start in July 2005, fourteen months
after field discovery, and will peak at over 5,000 barrels per day.


The interests of the joint venturers in the Brechin Field development and in the
MonArb Fields are Paladin (operator) 58.97 per cent and Energy North Sea Limited
41.03 per cent.


Colin Reid, the Company's Aberdeen-based UK General Manager, commented:


"This fast-track development of the Brechin Field is an excellent example of
exploitation of the remaining potential around mature infrastructure in the
North Sea. It also demonstrates the organic growth potential of the MonArb area
and the ability of Paladin and its partner and contractors to pursue such
opportunities quickly."



                                                                29 November 2004



ENQUIRIES:

Paladin Resources plc                                Tel: 020 7024 4500

Roy Franklin, Chief Executive
Cuth McDowell, Finance Director
Colin Reid, UK General Manager                       Tel: 01224 615 600

College Hill                                         Tel: 020 7457 2020

Ben Brewerton
Jim Joseph

                      This information is provided by RNS
            The company news service from the London Stock Exchange