Quarterly Report to 31.12.01

Centamin Egypt Limited
29 January 2002


                   REPORT FOR QUARTER ENDED 31 DECEMBER 2001


                                   HIGHLIGHTS


  • A successful London listing and capital raising of AUD7.5m (£2.7m)
    completed with the Company's shares currently trading on the Alternative
    Investment Market (AIM) at a premium of 31% above the listing price.


  • The whole of the Company's concession area some 4600km2 in Egypt has been
    converted into a mining concession with a 30 year tenure (extendable for a
    further 30 years).


  • The drilling capacity of the Company has been increased with the addition
    of two large multi-purpose and one RC rig, with the aim of increasing
    resources significantly in the short term.


  • The recoverable resources now stand at 1.73million ounces of gold which is
    an increase of 60,000 ounces for the quarter.


  • The infill-drilling program continues to confirm that the the Amun Zone of
    the Sukari porphyry is substantially mineralised. Further significant gold
    intersections through the main mineralised zone include:-


                                 61m @ 2.25g/t

                                 59m @ 2.77g/t

                                 27m @ 3.99g/t

                                  6m @ 7.10g/t

                                  4m @ 9.28g/t

                                 4m @ 13.02g/t

                                  3m @ 6.20g/t

                                 1m @ 53.50g/t




                              REVIEW OF OPERATIONS


  • CORPORATE


Admission to London's Alternative investment Market (AIM) and Successful A$7.5
million (£2.7 million) Fund Raising


In December 2001 the Company through Williams de Broe Plc, its UK nominated
adviser and broker successfully completed a Placing of 45 million new ordinary
shares at 6 pence per share to institutional an other clients, including managed
funds, to raise a total of A$7.5 million (£2.7 million).


On 21st December 2001 the ordinary shares of Centamin, including the ordinary
shares issued pursuant to the Placing, together with the listed share options
were admitted to AIM. The listing was favourably received with the shares
trading at 7.5-8.25 pence and were last traded at 8 pence on 23/01/02.


The funds raised will be used to complete and then upgrade the current
Feasibility Study, to undertake further drilling to significantly increase the
resource base for the Sukari Project, and to fund the working capital
requirements of the Group.


Grant of Economic Discovery


In November 2001, the Company's subsidiary, Pharaoh Gold Mines NL, together with
its partner, the Egyptian Geological Survey and Mining Authority, was awarded an
Exploitation (Mining) Lease over the three Concession Areas in the Eastern
Desert of Egypt for a period of thirty years, extendable for another thirty
years. The Concession Areas are calculated by the Company to cover a total area
of approximately 4,600 km2 and contain numerous old gold mines and base metal
targets


As at January 2002, the gold resource for the Amun Zone, within the Sukari Hill
was estimated by Hellman & Schofield Pty Ltd to be 1.73 million ounces of gold
contained in 37 million tonnes at a grade of 1.44g/t (cut off grade of 0.5g/t).
The Directors believe that the Sukari Project will contain a multi million-ounce
gold deposit.


The intention of the Directors is to continue to focus on Egypt with the
objective of becoming a large producer of gold in the Eastern Desert Region and
to establish the Company as a major North African mining house.



  • EXPLORATION AND DEVELOPMENT


The Company is in the process of intensifying the drilling program to test the
RA Zone, north of the AMUN zone at Sukari. It is expected that this drilling
could significantly increase the current resource and considering the width of
the surface mineralisation over the RA zone, the Company is confident of
success.


The Company has appointed Mr Peter Woodman to the position of Senior Mine
Geologist. Peter is very experienced in the industry having worked on gold mines
in Western Australia, with Ranger Minerals on their Damang mine in Ghana, and
with Hellman & Schofield as a resource specialist. Peter has relocated to site
to oversee the development drilling. In addition an experienced drill consultant
was sent to site early in the quarter to continue training of Egyptian personnel
and to co-ordinate refurbishment of the two original rigs, he will also assist
in the management of the contract drilling.



Drilling

East West Drilling has been contracted to increase the drill program. Three
rigs, comprising two multi purpose RC/Diamond rigs and an RC rig are in transit
to Sukari which, together with the Company's three diamond rigs, will rapidly
accelerate the drilling program over the next six months. The Company's strategy
is to significantly increase the resource.


The RC rigs will also test the mineralisation beneath the wadi floors, where the
rock is too fractured for efficient diamond drilling. Holes will be collared
(started) as RC and 'tailed' with diamond; that is, the last section of the hole
will be completed by diamond drilling. Because of the faster progress with RC
drilling, holes will be drilled at a much quicker rate. The contract rigs have
the capacity to drill to a depth of 200m with RC and to 1000m with diamond

(RC drilling = reverse circulation percussion drilling)


Drilling for the quarter totalled 2284 metres. 1,653 drill core samples were
submitted for gold analyses.


Drill hole records and significant intersections follow as Tables 1 and 2.

                                        Table 1

                                Sukari Diamond Drilling

                              Holes SDDH 187A to SDDH 203

                                Hole Collars and Length


     Hole            Length         Bearing      Inclin'n         North           East             RL

      No               m            degrees       degrees           m               m              m
SDDH187A                   69.00      270           -70              10426.3         10511.7         1156.9
SDDH187C                   29.82      270           -70              10426.3         10511.7         1156.9
SDDH187                   138.95      270           -70              10426.3         10511.7         1156.8
SDDH195                   249.40      270           -65              10550.2         10618.8         1182.2
SDDH196                   223.84      270           -55              10346.7         10537.4         1149.7
SDDH197A                   90.42      270           -60              10498.1         10574.0         1170.0
SDDH197B                   91.28      270           -60              10498.1         10574.0         1170.0
SDDH197                    75.79      270           -55              10498.1         10574.0         1170.0
SDDH198                   247.42      270           -50              10301.3         10535.6         1134.9
SDDH199                   237.42      270           -70              10474.9         10538.3         1163.2
SDDH200                   163.72      270           -70              10525.0         10570.0         1170.0
SDDH201A                   43.52      270           -80              10450.0         10519.0         1160.0
SDDH201                   222.12      270           -80              10450.0         10519.0         1160.0
SDDH202                   238.05      270           -45              10575.0         10642.0         1189.0
SDDH203                   162.92      270           -78              10475.0         10538.0         1163.0


             Bearing=Sukari grid (Grid north nominally 020degrees Magnetic)

             Inclination=Below horizontal (-ve); Above horizontal (+ve)

             RL=arbitrary 1100m at grid origin 10,000N 10,000E.

                                         Table 2

                                    Sukari Gold Mine

                                  Selected Gold Assays

                        Diamond Drill Holes SDDH 187 to SDDH 201

    Drill Hole        Intersection         Grades            From              To

       No.                 m                g/t                m               m

SDDH187                            27       1.29                      44             71
            (incl)                  3       4.06                      44             47
                                   35       2.03                      94            129

SDDH195                          13.9       1.48                   235.5          249.4

SDDH196                          61.0       2.25                     100            161
            (incl)                  4       9.28                     115            119
            (incl)                  4       4.70                     139            143
            (incl)                  4       4.62                     148            152
            (incl)                  3       3.38                     156            159

SDDH197A                           16       0.98                      34             50
                                    3       2.35                      59             62

SDDH198                             6       3.84                      85             91
                                   59       2.77                     104            163
            (incl)                  6       7.10                     121            127
                                    1      53.80                     145            146
                                    3       1.61                     185            188

SDDH199                             3       6.20                      88             91
                                   27       3.99                     120            147
            (incl)                  8       9.66                     139            147
                                    4      13.02                     171            175

SDDH200                      Assays to come

SDDH201                          4.25       2.22                      75          79.25
                                11.25       2.51                      82          93.25
            (incl)                  5       3.81                      84             89
            (incl)                  1       6.30                      85             86
                         Further assays to come




Roads and Drill Tracks

The mineralised Sukari porphyry in the RA zone north of the AMUN zone is a steep
ridge over 600m in width. A bulldozer and a rock breaker are currently preparing
access roads and drill sites for the RA zone.



Camp


A self-contained camp for 20 people has been built to accommodate the contract
drilling crews. The Company camp has also been enlarged to accommodate the new
people required to handle the increased sampling and sample preparation.




Surface Trenching


Trenching over the Sukari Hill has continued to delineate surface mineralisation
and shows the continuity of the zones. These results reinforce the Directors'
belief that mineralisation extends to the surface. Currently the top section of
the Amun Zone is being classified as waste due to the lack of drill information.
One trench at 10580N was sampled for the quarter and returned an average assay
of:

                    18m @ 1.21g/t gold


Resource


During the quarter the Company continued infill drilling in the AMUN zone and
intersections/grade were sufficient to contract a new resource upgrade by
Hellman and Schofield, using software employing 'multiple indicator kriging'.


Though the drilling was not designed to increase the global tonnage it has, as
intended, converted inferred resources into measured and indicated. The greater
part of the resources inside the current open pit design are now in the measured
and indicated category.


The latest resource figures follow as Table 3.


                                    Table 3

                        Resource at 0.5g/t gold cut-off


Type                  Million Tonnes            Grade - g/t gold                 Million ounces (gold)

Measured                         9.3                         1.41                         0.42
Indicated                       12.1                         1.38                         0.54
Sub Total                       21.4                         1.39                         0.96
Inferred                        15.6                         1.52                         0.77
Total                           37.0                         1.44                         1.73

                        Resource at 1.0g/t gold cut-off


Type                      Million Tonnes             Grade - g/t gold           Million ounces (gold)
Measured                        4.9                        2.03                         0.32
Indicated                       6.1                        2.03                         0.40
Sub Total                      11.0                        2.03                         0.72
Inferred                        8.0                        2.30                         0.59
Total                          19.0                        2.14                         1.31



Mine Planning


The new resource model from Hellman and Schofield was then used in the open pit
optimisation study carried out by Mining Solutions Consultancy Pty Ltd to
upgrade the earlier results. The operating cost estimates used in the study were
also revised based on the recent assessment provided by K.C Dodd Consulting
Engineers.


In the pit optimisation study, Whittle Four-X software was used to construct the
most economic open pit shell, according to the resource model evaluated at
US$280/oz gold price, along with preliminary scheduling over a five year mine
life.


The 'in-pit' mineable resource reported within the optimal open pit shells for
the two cases studied, are shown in Table 4 below:

            
                                                 Table 4


   C.O.G.             Measured & Indicated Resource                          All Resources

    g/t          M     Grade gold     M         Stripping        M      Grade gold      M       Stripping
                         g/t                    Ratio                     g/t                   Ratio
              tonnes                 ounces                    tonnes                 ounces

    0.80        9.7        1.81        .57        1:4.1         14.1       1.98        .90        1:4.5


        Note: C.O.G. = Cut Off Grade, M = Million, g/t = grams of gold per
        tonne.

        Stripping Ratio = ore:waste



Process Plant


K.C Dodd Engineering has finalised the design and costing for a two million
tonne per annum process plant utilising the CIL carbon in leach process. The
design includes accompanying infrastructure such as employee accommodation,
roads and water supply pumped from the Red Sea.


SNC-Lavalin Australia Pty Ltd are concluding a review of the treatment process
and financial projections which is expected to be completed by mid March.






Future Direction


During the preparation of the feasibility study for a two million tonne per year
operation it became evident that the Company should consider a larger operating
plant. Drilling and surface mineralisation all indicate the potential for the
Sukari Project to contain a large mineralised deposit of which only
approximately ten percent of the volume has been tested. In addition the
mineralised zone is open to the north and south and also at depth.


In conjunction with the drilling program, a feasibility study for a 4 to 5
million tonne per year operation will be initiated at the conclusion of the new
drilling program, later in the year.




Yours faithfully





Sami El-Raghy

Chairman


ASX Listing Rules 5.10 1


Information in this report which relates to exploration, geology, sampling and
drilling is based on information compiled by consulting geologist Mr M Kriewaldt
who is a corporate member of the Australasian Institute of Mining and Metallurgy
with more than five years experience in the fields of activity being reported on
and is not a full time employee of the Company. His written consent has been
received by the Company for this information to be included in this report in
the form and context which it appears. Mr Kriewaldt declares an interest in
shares of the Company.


The information in this report that relates to mineral resources is based on
information compiled by Mr Gary Brabham, a member of the Australasian Institute
of Mining and Metallurgy. Mr Brabham is employed by Hellman & Schofield Pty Ltd
a consultancy primarily concerned with estimation of mineral resources
worldwide. Mr Brabham is a Competent Person under the meaning of the J.O.R.C.
code with respect to the mineralisation being reported in this report. Mr
Brabham has more than five years' experience in the mining industry and has
given his consent to the public reporting of this information in the section
headed Mineral Resources.


The information in this report that relates to open pit mine design is based on
information compiled by Mr Tamer Dincer of Mining Solutions Consultancy Pty Ltd.
Mr Dincer is a member of the Australasian Institute of Mining and Metallurgy, a
member of the Mineral Industry Consultants Association and has 15 years
experience in the mining industry. Mr Dincer has given his consent for this
information to be included in this report as presented under the heading Open
Pit Design.



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