Progress Report on Exploration Programme

Brancote Holdings PLC
3 April 2000

Contacts   Richard Prickett, Chairman
           Bill Humphries, Managing Director
           Brancote Holdings PLC                           020 7493 1002
                                  
           David Bick
           Holborn Public Relations                        020 7929 5599
                                              [e-mail]



                           BRANCOTE HOLDINGS PLC
                               
                        Argentine 60% Joint Venture
                Progress Report on Exploration Programme


Phase   II   Drilling,  now  halfway  through  the  programme,
continues  to  produce outstanding results, rapidly  expanding
the established deposits Galadriel Sur and Julia.

Drilling on Gladriel Sur has now extended this vein system 600
metres along strike and 100 metres down dip. Mineralisation is
open at depth and to the south-west. When added to the off-set
Galadriel  vein, drilled last year, the known vein  system  is
now over 1100 metres long.

From the growing knowledge and understanding of the geological
structures which control the mineralisation at Galadriel  Sur,
there  is  strong  evidence to suggest that this  is  a  major
epithermal high grade vein system.

Not  only  is there continuity and high-grade gold  (including
bonanza) but the mineralised structure and the veins contained
therein are clearly increasing in width at depth.

Bill Humphries, Managing Director of Brancote Holdings said,

'I  am  pleased  to report on the continuing  success  of  our
current  drilling  programme at our  Esquel  gold  project  in
Argentina,  which is a further indicator that the project  has
the potential to be a world class discovery.'




          DRILL HOLE No     FROM      INTERVAL     GRADE
                          (metres)    (metres)    gold g/t

          GD 105            38.5         5.6       30.9
          GR 86             31.0        11.0       27.9
          GD 69             61.5        10.5       14.7
          GD103             75.5        12.7       12.2
          GD 100            83.9        16.1       21.1
          GD 67             82.0        31.2       12.9
          GD 107            94.9        40.7       14.8


Two  of the last holes drilled, (assay results awaited) GD 108
and  GD 109, have intersected mineralised structures, from  84
metres  at depth, of 62.5 metres and 53.5 metres respectively,
with  GD  108  containing 3 veins, the largest being  over  20
metres wide.

There are several other significant features of Galadriel  Sur
including:

  *  Textures, characteristic  of higher  levels in  the  gold
     reporting   zone,  are   found   in  the  southern  part,
     indicating that  the  system is complete, with no loss to
     erosion.

  *  Overall  dip  to the mineralisation is between 35 degrees
     and 60 degrees, providing  considerable  scope for a long
     down dip gold  zone  since  this dip is at such a shallow
     angle.

  *  The presence of a high grade core, in excess of one ounce
     of  gold  per tonne, averaging  3 to 4  metres  width, is
     found in a high proportion of  the  Galadriel / Galadriel
     Sur veins.

In  addition  to the above, the vein morphology suggests  that
Galadriel Sur and the Julia vein, some 750 metres to the south-
west   and   along  strike,  are  the  same  unit   and   with
mineralisation being open at the south of Galadriel Sur and at
the  north  of  Julia,  there is a  likelihood  of  these  two
deposits linking up.

Step  back drilling along the 600 metres of Galadriel Sur  has
now  commenced to test mineralisation 150 metres down dip, and
is  scheduled  to  finish in late April.   On  completion  the
assimilated data will be forwarded to Pincock Allen & Holt for
a resource update.

Drilling on Julia has extended this wide, multiple vein system
from 70 metres long by 25 metres depth to over 300 metres long
by  75 metres depth. Mineralisation remains open at depth  and
to the north-east towards Galadriel Sur.

Mineable  grades  have been recorded over wide  intersections,
most  of  which  are reporting high gold grades  in  the  vein
structures with good to bonanza silver grades.


   DRILL HOLE     FROM      INTERVAL     GRADE         GRADE
                (metres)    (metres)    Gold g/t    Silver g/t
   JR 7             0          16         11.3          40.2
   JR 11           14           9         12.1          65.5
          and      32           7         16.3         205.0
   JR 12            0          25         22.5         170.4
    including                   1         82.6        1830.0

Note: Silver assays are awaited on three quarters of the drill
holes completed to date.

The  current drill programme for Julia has now been  completed
and  is awaiting the receipt of the assays data for forwarding
to Pincock Allen & Holt for a resource update.

Exploration is being carried out over the Huemules and  Sierra
Colorada  Mining  concessions to the west  and  south  of  the
Cordon  De  Esquel.  Mr  John  Stockley,  a  renown  geologist
specialising in epithermal gold occurrences, has  returned  to
lead exploration of the Huemules concessions.

Within  the Cordon de Esquel exploratory RC drilling has  been
carried  out  over  the  saddle  between  the  Pinnicles   and
Ungoliant  veins  systems,  with RC  77  intersecting  a  wide
mineralised zone at 90 metres depth, with grades as high as  8
g/t  Au.  Petrographic  studies of  the  sample  reported  the
presence of chips from a major epithermal vein structure.

The  above  supports  the suggestion that  the  Pinnicles  and
Ungoliant  may  be one continuous structure over  1500  metres
long.



                                                        
                 DRILL HOLE SUMMARY INTERSECTIONS       
                                                        
           PROSPECT  JULIA                             
           Dhole No.               INTERSECTION             
                     From (m)   Interval (m)   Au g/t     Ag g/t

           JR7           0.0          16.0       11.3       40.2 
           JR11         14.0           9.0       12.1       65.5 
                        32.0           7.0       16.3      205.0 
                    including          5.0       21.4      282.0 
           JR12          0.0          25.0       22.5      170.4 
                    including          4.0       34.4
           JR13          0.0          10.0        8.3    pending 
                    including          2.0       27.8          
           JR14          0.0           7.0        3.7    pending 
           JR15          1.0          15.0        2.2    pending 
                        26.0          24.0        4.7    pending 
                    including          2.0       22.2
           JR16         21.0           2.0        3.9    pending
           JR17          7.0           3.0        1.2       13.3 
           JR20         31.0           3.0        2.3        1.5 
           JR23         34.0           2.0        1.5        6.5 
           JR24          0.0          22.0        5.6        7.3 
                    including          3.0       17.7
           JR25         86.0          11.0        6.1        8.7 
           JR26         34.0           4.0        6.9        9.1 
           JR27          7.0           8.0        6.6       10.1 
                    including          2.0       13.7
           JR28          0.0           3.0        2.2    pending 
           JR29          7.0          45.0        7.6    pending
                        66.0          11.0        2.9    pending 
           JR30          0.0          10.0        2.1    pending 
                        12.0          13.0        6.9    pending 
                        42.0          19.0       10.6    pending 
                    including          4.0       27.0          
                        75.0           5.0        1.4    pending 
                        85.0           6.0        3.1    pending 
                        94.0           3.0        1.6    pending 
                       101.0           8.0        2.0    pending 
           JR31          0.0          46.0       15.4    pending 
                    including          9.0       42.6          
           JR32          0.0          25.0        8.4    pending 
           JR33          0.0          26.0       1.28    pending 

                                                        
                                                          
                                                          
                    DRILL HOLE SUMMARY INTERSECTIONS         
                                                          
           PROSPECT GALADRIEL
           Dhole No.                  INTERSECTION
                     From (m)    Interval (m)   Au g/t    Ag g/t  
           GD62        52.38           3.4       31.2       33.6
           GD63        51.85          22.8        7.1       10.1
           GD64        49.00          24.0        5.6        7.2 
                    including          1.8       26.5
           GD65       104.36           4.6        2.9       11.6     
                      118.28           4.0        4.4        4.2
                      135.22           7.8        3.0    pending
           GD66        55.86           1.9        6.9        6.1
           GD67        68.64           9.4        5.0       11.0            
                       82.00          31.2       12.9       19.0
                    including          3.1       35.4
           GD69        61.48          10.5       14.7    pending
           GR86        31.00          11.0       27.9       73.3
                    including          7.0       35.5
           GD100       83.90          16.1       21.1    pending 
                    including          6.8       41.1
           GD101       56.73           3.1        4.6    pending
           GD102       47.05           9.4       10.2    pending 
                       72.33          10.7        7.5
           GD103       75.35          12.7       12.2    pending             
                    including          3.6       32.4
           GD104       55.32           3.5        7.6    pending 
           GD105       38.55           5.6       30.9
                    including          4.0       40.4
           GD106      120.37          17.2        8.6    pending 
           GD107       94.92          40.7       14.8    pending 
                    including          9.4       30.5                         
                    including         10.0       20.6
           GD108       84.83          13.9        8.7    INCOMPL.