Acquisition

Vane Holdings PLC
17 November 2004


                          VANE Holdings plc (AIM: VHL)

       Acquisition of exclusive mineral rights in south-eastern Paraguay

                               Operations Update

Paraguay Acquisitions
Vane Holdings plc ('Vane' or 'the Company') is pleased to report that its
wholly-owned subsidiary 'Vane Minerals Ltd, Surcusal Paraguay' has acquired the
exclusive mineral rights to three large blocks of land in south-eastern
Paraguay, South America, subject to the standard issue of environmental
licences.

Each land holding is based near to the Brazilian border and is considered to be
prospective for the discovery of gold and possibly copper mineralization.
Previous work on the properties, comprising a two year programme of extensive
surveying and stream sediment sampling, has outlined 15 distinct gold anomalies,
all of which are significant in size.

The three blocks, which are held as 'Investigation Permits', cover an area of
approximately 3,800 square kilometres. They are located in a relatively
under-explored corner of the mineral-rich Brazilian Pre-Cambrian Shield, which
has historically proved rich in gold and a number of other mineral commodities.

Investigation Permits are valid for one year, with a six-month extension if
necessary. Specific exploration targets developed during that period will be
converted to 'Mining Concessions', under which programmes of road construction
and drilling can be carried out.

Steven Van Nort, CEO of VANE, comments 'We are very excited to have acquired the
mineral rights to these large land holdings, particularly since we believe there
is great potential for future gold discoveries in Paraguay. This country is
considerably under-explored in comparison to its neighbouring countries in South
America, though the geology is just as prospective.'

Operations Update
Through a combination of geological mapping, geochemical sampling and
geo-physical surveying, VANE has identified drilling targets on its Guadalcazar
project in east-central Mexico. A drilling programme is expected to begin in the
first quarter of 2005. Likewise, work on Diablito is progressing as planned,
with production still on target for the first quarter of 2005.

VANE announced on 31st August 2004 that it has acquired an option to purchase
the Mina Charay gold-silver prospect in the State of Sinaloa in western Mexico.
The Company intends to fast track development of this project, which already
contains known gold and silver mineralisation, and will begin a six-hole
drilling programme as soon as a drilling rig can be mobilised.

VANE's strategy is to bring the Diablito and Mina Charay projects into
production as quickly as possible in order to provide income for the Company's
exploration programme, with the ultimate objective of it being self-funding.

Enquiries:

VANE Holdings plc    Seymour Pierce Limited    Parkgreen Communications
Matthew Idiens       Sarah Wharry              Justine Howarth / Cathy Malins
020 7667 6322        020 7107 8000             020 7493 3713
www.vaneminerals.com

Notes to editors

VANE Holdings is an exploration and development company focused on defining and
initiating prospective mineral projects. The Company benefits from a highly
qualified and experienced management team with a proven track record in
exploration and development. The Company is ideally placed to capitalise on
project acquisition opportunities, as it has negotiated access to a 7,000+ file
global exploration database, excluding Indonesia, from US mining group
Freeport-McMoRan, one of the world's largest producers of copper and gold.

To date, VANE has acquired 100% of the Diablito project and an option to acquire
100% of the Guadalcazar project. Diablito is an advanced high-grade precious
metal vein deposit located in the State of Nayarit, west-central Mexico and the
Company expects to bring it into production in the first quarter of 2005.
Revenues generated by production at Diablito will be used to help fund
exploration at Guadalcazar, an early stage exploration property consisting of a
large newly recognised hydrothermal gold system having the potential to define a
large gold deposit (possibly in excess of one million ounces). Guadalcazar is
located in east-central Mexico, 80 km northeast of San Luis Potosi in the State
of San Luis Potosi. More recently, VANE Minerals has entered into an option
agreement with Minera PAFEX, S.A. de C.V. to acquire the Mina Charay gold and
silver prospect in the State of Sinaloa in western Mexico.




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