Interim Results

Brancote Holdings PLC
25 October 2001



Date          25 October 2001

Contacts      Richard Prickett, Chairman
              Bill Humphries, Managing Director
              Brancote Holdings PLC                          020 7493 1002

              David Bick / Chris Steele
              Holborn Public Relations                       020 7929 5599
                                                [e-mail]      
                                              [e-mail]


                             BRANCOTE HOLDINGS PLC

                                INTERIM RESULTS


CHAIRMAN'S STATEMENT


In my Chairman's statement at the end of last year I stated that Brancote
would be focusing all its resources on the Esquel Gold Project in Southern
Argentina which at that time had already grown in size and quality to become
one of the most significant epithermal gold deposits in the world.  During
2001, we have made major advances in the development of the project with
encouraging results from the Phase IV drilling programme, the commissioning of
a pre-feasibility study and by reaching agreement to increase our interest in
the project to 74%.  Progress during the year is summarised as follows:

*    In August we announced the resource statement including Phase IV drilling 
     results, which confirmed a resource in excess of 4 million ounces of gold. 
     Included within that figure the measured and indicated resource had been 
     significantly increased in the drilling programme bringing the totals in 
     this category to 3,330,700 ounces of gold and 5,947,200 ounces of silver, 
     equal to 89% of the total resources defined to date.  75% of these 
     resources have a grade in excess of 10.9 g/t.

*    Further exploration drilling and infill drilling on the project commenced  
     at the beginning of October, and as is our usual practice, a progress 
     report will be issued shortly.

*    The pre-feasibility study which is being carried out by our consultant     
     engineers Pincock, Allen and Holt, is nearing completion with results being
     collated and analysed at the date of this report.  We anticipate being able
     to announce the results of the pre-feasibility study within the next ten 
     days.

*    We announced on 1st October that we increased our interest in the project 
     to 74% by having agreed terms with Kerry Packer's Consolidated Press group 
     to acquire their direct 14% interest in Minera El Desquite SA.  We are very
     pleased with the endorsement and support the Consolidated Press group and 
     Kerry Packer have given to the Esquel Gold Project and to Brancote by 
     agreeing to become the largest shareholder with a 19% stake.

During the early part of this month we placed a further one million New
Ordinary Shares through our brokers Seymour Pierce at £1.22 per share before
expenses, in order to continue the funding requirement for feasibility study
infill drilling on the project.

As part of our strategy to develop the Esquel Gold Project we are currently
looking to strengthen both our management team at Minera El Desquite SA and
the board of Brancote Holdings Plc by appointing additional non-executive
directors.  We are pleased to announce that we have recently appointed Neil
Herbert as Chief Finance Officer for the group.  Neil brings many years of
international finance experience to the group, most recently with the South
American miner Antofagasta Plc, and he is a most welcome addition to the team.

Our financial results are as anticipated and reflect the ongoing costs of
developing the project at Esquel.  Shareholders will be kept informed on a
regular basis with progress reports as the project moves on its critical path
through feasibility towards project financing.


Richard O Prickett
Chairman
25 October 2001



BRANCOTE HOLDINGS PLC

UNAUDITED CONSOLIDATED PROFIT AND LOSS ACCOUNT

                                Six months        Six months              Year 
                                     ended             ended             ended
                                   31 July           31 July        31 January
                                      2001              2000              2001
                                         £                 £                 £

  TURNOVER                               -             7,508            34,987
  Cost of sales                          -           (1,194)           (8,305)
  GROSS PROFIT                           -             6,314            26,682
  Administrative expenses        (526,188)         (326,283)         (913,712)
  Amortisation of goodwill        (61,944)          (61,944)         (123,888)
  OPERATING LOSS                 (588,132)         (381,913)       (1,010,918)
  Net loss on disposal of                -                 -         (135,312)
  investments                                                                 
  Amounts written off                    -         (340,461)                 -
  investments                                                                 
  Strategic review costs         (133,014)                 -         (195,545)
  LOSS ON ORDINARY ACTIVITIES BEFORE                                          
  INTEREST AND TAXATION          (721,146)         (722,374)       (1,341,775)
  Interest receivable               53,953            32,728           107,973
  LOSS ON ORDINARY               (667,193)         (689,646)       (1,233,802)
  ACTIVITIES BEFORE                                                           
  TAXATION                                                                    
  TAX ON LOSS ON ORDINARY                -                 -                 -
  ACTIVITIES                                                                  
  LOSS ON ORDINARY               (667,193)         (689,646)       (1,233,802)
  ACTIVITIES AFTER                                                            
  TAXATION                                                                    
  Minority Interest                115,320             1,528            87,634
  RETAINED LOSS FOR THE          (551,873)         (688,118)       (1,146,168)
  PERIOD                                                                      
  LOSS PER SHARE                   (0.85p)           (1.11p)           (1.86p)



UNAUDITED STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES

                                 Six months       Six months              Year
                                      Ended            ended             ended
                                    31 July          31 July        31 January
                                       2001             2000              2001
                                          £                £                 £

  Loss attributable to            (551,873)        (688,118)       (1,146,168)
  shareholders of Brancote                                                    
  Holdings PLC                                                                
  Unrealised exchange rate          251,291          234,550           388,248
  movements                                                                   
  Unrealised gain on                      -          232,017                 -
  investment                                                                  
  TOTAL RECOGNISED LOSSES         (300,582)        (221,551)         (757,920)
  FOR THE                                                                     
  PERIOD                                                                      



BRANCOTE HOLDINGS PLC

UNAUDITED CONSOLIDATED BALANCE SHEET

                                       At                At                At
                                   31 July           31 July        31 January
                                      2001              2000              2001
                                         £                 £                 £
  FIXED ASSETS                                                                
  Intangible fixed                                                            
  assets                                                                      
  - deferred                    12,707,406         4,815,979         7,300,916
  exploration costs                                                           
  - goodwill                     2,291,923         2,415,810         2,353,866
                                14,999,329         7,231,789         9,654,782
  Tangible fixed assets            124,305            60,723            63,086
                                15,123,634         7,292,512         9,717,868
  CURRENT ASSETS                                                              
  Investments                            -           730,333                 -
  Debtors:     amounts              40,678           407,177            44,916
  falling due in less                                                         
  than one year                                                               
       amounts falling             832,947                 -           517,012
  due after one year                                                          
                                   873,625         1,137,510           561,928
  Cash at bank and in            1,595,424         3,383,517         2,851,077
  hand                                                                        
                                 2,469,049         4,521,027         3,413,005
  CREDITORS: AMOUNTS           (1,626,117)         (187,952)         (383,570)
  FALLING DUE WITHIN                                                          
  ONE YEAR                                                                    
  NET CURRENT ASSETS               842,932         4,333,075         3,029,435
  TOTAL ASSETS LESS             15,966,566        11,625,587        12,747,303
  CURRENT LIABILITIES                                                         
  PROVISIONS FOR                         -                 -         (101,810)
  LIABILITIES AND                                                             
  CHARGES                                                                     
  NET ASSETS                    15,966,566        11,625,587        12,645,493
                                                                              
  CAPITAL AND RESERVES                                                        
  Called up share                3,255,775         3,144,250         3,144,250
  capital                                                                     
  Share premium account         16,164,999        13,982,799        13,982,799
  Special reserve                  720,000           720,000           720,000
  Profit and loss              (8,928,345)       (8,091,195)       (8,627,764)
  account                                                                     
  EQUITY SHAREHOLDERS'          11,212,429         9,755,854         9,219,285
  FUNDS                                                                       
  MINORITY INTEREST              4,754,137         1,869,733         3,426,208
                                15,966,566        11,625,587        12,645,493


Notes:

This report is prepared on the basis of the accounting policies set out
in the most recent set of annual financial statements.

The report was approved by the Board of Directors on 25 October 2001.

The comparative figures for the financial period ended 31 January 2001
are not the group's statutory accounts for the financial year.  Those
accounts have been reported on by the group's auditors and delivered to
the registrar of companies.  The report of the auditors was unqualified
and did not contain a statement under section 237(2) or (3) of the
Companies Act 1985.


                                   - ENDS -