Drilling Report

Conroy Diamonds & Gold PLC
12 December 2001



                       CONROY DIAMONDS AND GOLD P.L.C.

     Third Mineralised Structure confirmed by latest drilling at Conroy's
                Cargalisgorran gold prospect in County Armagh

  * Continuity of Mineralisation In Second Structure Proven to 55m Depth
  * All Three Zones Remain Open At Depth And Along Strike
  * New Year Drilling Planned For Further Targets Within Armagh-Monaghan
    Gold Belt

AIM-listed Conroy Diamonds and Gold P.l.c. reports that follow-up drilling at
its Cargalisgorran prospect in County Armagh has confirmed the presence of a
third structure containing 'significant' gold mineralisation. Early drilling
returned an intersection of 1.84m at 2.33g/t gold from a vertical depth of
approximately 20m.

The existence of this new structure had been suggested by a bedrock anomaly
located 60m west of the two structures already outlined at Cargalisgorran. All
three are parallel, trend approximately NNE, dip steeply to the south-east,
and remain open along strike and at depth.

One of the two previously outlined mineralised structures, which are
approximately 40m apart, was originally intersected at a vertical depth of
approximately 17m. The down-dip extension has now been identified in a
follow-up hole drilled last month. This intersected significant mineralisation
between 62m and 73m down-hole, including 3.03m grading 2.16g/t gold, and
confirmed continuity of mineralisation to a vertical depth of approximately
55m.

Since making the initial discovery at Cargalisgorran earlier this year, Conroy
Diamonds and Gold has also shown that mineralisation within the prospect
extends for at least 150m along strike.

The Cargalisgorran prospect, although extensive in itself, covers only a small
portion of a very large (3.5km by 1.5km) gold-in-soil anomaly outlined by the
Company in County Armagh. Prospects elsewhere within this anomalous area are
currently being evaluated by trenching, with follow-up drilling planned for
the coming year.

Further gold targets within the 20km long Armagh-Monaghan Gold Belt,
previously outlined by soil anomalies and now confirmed by trenching, will
also be drilled in the coming year.

In addition, drilling is set to resume in the new year at both Cargalisgorran
and the Company's known gold deposit at Tullybuck-Lisglassan, 6.5km to the
south-west in County Monaghan. The objective at both deposits will be to
extend the limits of known mineralisation along strike and at depth.

To date, the Company's exploration of the Armagh-Monaghan Gold Belt has
demonstrated the presence of two extensive gold-bearing deposits whose limits
have yet to be defined, and outlined a series of impressive soil geochemistry
anomalies, confirmed by trenching to bedrock. This success continues to
provide visible evidence to support the Company's belief that a very extensive
gold-bearing system exists in the Armagh-Monaghan Gold Belt and that a series
of discrete gold deposits may be present within this area.

Note: Only one of the 15 exploration holes drilled to date by the Company in
the Armagh-Monaghan Gold Belt has failed to intersect gold mineralisation. The
exception was a hole targeted on a base metal anomaly.

Further information

Professor Richard Conroy, Conroy Diamonds and Gold P.l.c. Tel: [phone]
8958

Ron Marshman/John Greenhalgh, City of London PR Ltd. Tel: [phone]

www.conroydiamondsandgold.com