Exploration at Suzdal

Celtic Resources Holdings PLC
01 November 2007

                                        
                          Celtic Resources Holdings Plc
                          ("Celtic" or "the Company")

           CONTINUED POSITIVE EXPLORATION RESULTS AT SUZDAL GOLD MINE


Celtic announces that recent exploration at its 100% owned Suzdal gold mine in
Kazakhstan has continued to define high grade extensions to the 1.376m ounce
gold resource.

Following promising results which were reported in a May 2007 Resource Update,
an enhanced exploration programme for Suzdal was developed with three key
objectives:

  • To confirm the extent and continuity of existing resources

  • To test for extensions to known mineralisation, especially the higher
    grade zones of Orebody 1/3 and Orebody 2

  • To explore for new zones of mineralisation within the Suzdal licence
    area

This programme has been continuing with two surface rigs and one underground
rig. Since the May 2007 exploration update, a total of 10 surface holes and 23
underground holes have been completed.

Underground drilling was targeted at two main areas - resource confirmation
drilling in Orebody 2, and exploration drilling at Orebody 1/3.

Results at Orebody 2 are very encouraging and provided increased confidence in
the Orebody 2 resource and demonstrated the potential for higher grade zones
within the broader resource. Best results from Orebody 2 drilling included:

  • 7m at 9.72g/t Au from 18m
  • 3m at 6.97g/t Au from 7m
  • 4m at 11.58g/t Au from 33m

In Orebody 1/3 encouraging results have been returned from face sampling of
development drives at the eastern portion of the orebody where no resource was
previously defined. This area has been largely untested by drilling due to
access problems from the open pit. Three drives have been extended into this
area and have returned the following:

  • 193mRL Drive - 43m strike, 2.5m average width at 7.4g/t Au
  • 193mRL Drive - 41m strike, 2.0m average width at 14.6g/t Au
  • 206mRL Drive - 43m strike, 2.7m average width at 14.1g/t Au
  • 214mRL Drive - 38m strike, 2.2m average width at 9.2g/t Au

Celtic Resources Managing Director Kevin Foo commented, "These results provide
further encouraging signs of the potential to add to the high grade resources at
Suzdal. We will incorporate these findings into a revised resource model in due
course".


Contact information:

Kevin Foo / Jonathan Scott-Barrett
Celtic Resources Holdings Plc
Tel: + 44 (0)20 7921 8800
[e-mail]

Leesa Peters / Jane Stacey
Conduit PR
Tel: [phone]
[e-mail]

Anthony Cardew / Shan Shan Willenbrock
Cardew Group
Tel: [phone]
[e-mail]

Simon Raggett / Stuart Faulkner
Strand Partners Limited
Tel: [phone]


Further Information

Resource Confirmation Drilling Orebody 2

Results at Orebody 2 are very encouraging, with the majority of drill holes
intersecting resource grade mineralisation. This was supported by the high grade
gold mineralisation demonstrated by the detailed sampling of the underground
development. Overall the results provide increased confidence in the Orebody 2
resource and demonstrate the potential for higher grade zones within the broader
resource. Best results from the Orebody 2 drilling included:

  • 7m at 9.72g/t au from 18m
  • 3m at 6.97g/t Au from 7m
  • 4m at 11.58g/t Au from 33m

Underground sampling targeting high grade results confirmed continuity of high
grade mineralisation with mineable zones greater than 10 g/t gold in some areas.
It is expected that these areas may be available for exploitation within the
next 12-18 months. Sampling in some parts highlighted the need for a revision in
the geometry of the resource model which is currently being updated.

Underground drilling, while limited, does demonstrate the geometry and
continuity of the mineralisation encountered in the development. It confirms the
general magnitude of the previously estimated resources and suggests that the
mineralisation is potentially higher in grade than estimated in the resource
model. The current resource for Orebody 2 is 1.2Mt at 6.7g/t for 255,000 ounces
of gold. It is expected that a revised resource model will be completed by the
end of December 2007.

Underground Exploration in Orebody 3

Drilling at Orebody 1/3 was directed at testing for additional resources by
exploring up and down dip of known high grade zones, and testing for footwall
and hanging wall mineralisation. In general the drilling did not locate
additional mineralisation, confirming the previous resource interpretation.
However encouraging results have been returned from face sampling of development
drives at the eastern portion of Orebody 1/3 where no resource was previously
defined. This area has been largely untested by drilling due to access problems
caused by the open pit. Three drives have been extended into this area and have
returned the following:

  • 193mRL Drive - 43m strike, 2.5m average width at 7.4g/t Au
  • 193mRL Drive - 41m strike, 2.0m average width at 14.6g/t Au
  • 206mRL Drive - 43m strike, 2.7m average width at 14.1g/t Au
  • 214mRL Drive - 38m strike, 2.2m average width at 9.2g/t Au

This high grade gold mineralisation remains open along strike and up and down
dip and will be subject to further development and underground diamond drilling
once access is established.

To date, development of the 193mRL level has defined a strike extent to the high
grade of approximately 75m beyond the limit of the resource. The high grade zone
is not closed off along strike or up and down dip. The target potential of this
zone is in the order of 50,000-100,000T at 10-20g/t Au. The adjacent resource
block contains 140,000T at 16.9g/t and the newly defined mineralisation is a
direct strike extension of that zone.

Exploration Drilling from Surface

Surface drilling has continued in the area between Orebody 1/3 and Orebody 2
where high grade intersections from early in 2007 were being followed up.
Results have been returned from 7 holes and have been variable, suggesting that
some structural complexity exists in this area. Better results from this
drilling included:

   •2m at 12.2g/t au from 18m
   •3m at 6.2g/t Au from 7m


Attribution

The information in this report that relates to Exploration Results and Mineral
Resources is based on information compiled by Mr Paul Payne who is a member of
The Australasian Institute of Mining and Metallurgy. Mr Payne is the Principal
of Resource Evaluations Pty Ltd, and a consultant to Celtic and has sufficient
experience which is relevant to the style of mineralisation and type of deposit
under consideration and to the activity which he is undertaking to qualify as a
Competent Person as defined in the 2004 Edition of the 'Australasian Code for
Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Payne
consents to the inclusion in the report of the matters based on his information
in the form and context in which it appears.

Any person who is the holder of 1 per cent. or more of any class of shares in
Celtic may be required to make disclosures pursuant to Rule 8.3 of the Irish
Takeover Panel Act, 1997, Takeover Rules 2001 to 2006.

The Directors of Celtic accept responsibility for the information contained in
this announcement and to the best of their knowledge and belief (having taken
all reasonable care to ensure that such is the case), the information contained
in this announcement is in accordance with the facts and, where appropriate,does
not omit anything likely to affect the import of such information.





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