Issue of Equity

Brancote Holdings PLC
11 October 2001



                            Brancote Holdings plc

                        Placing and Additional Listing


The Directors of Brancote are pleased to announce that they have today placed
1,000,000 ordinary shares in the Company at 122p per share to raise £1,220,000
(before costs) of additional working capital for the Company. The shares have
been placed by the Company's broker, Seymour Pierce Limited, with
institutional and other investors.

The additional funds will be used for feasibility study infill drilling
scheduled to commence on 1 November 2001.

Application has been made for the new ordinary shares to be admitted to
trading on the Alternative Investment Market of the London Stock Exchange and
dealings are expected to commence on 19 October 2001.


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Further information:


Brancote Holdings plc                         020 7493 1002

Richard Prickett / Bill Humphries