Further concentrate purchase

Celtic Resources Holdings PLC
01 October 2007



1 October 2007

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

             Celtic enters into agreement to purchase concentrates


Celtic is pleased to announce that it has entered into an agreement with a
subsidiary of European Goldfields Limited, Hellas Gold S.A. ("Hellas Gold"), for
the purchase of 50,000 tonnes of concentrates containing approximately 30,000 oz
of gold.

As announced on 22 September 2006, the Company acquired 9,000 tonnes of
concentrate containing approximately 6,000 oz of gold, to be processed on a
trial basis, by Celtic at its Suzdal BIOX(R) plant in Kazakhstan. The Company
also announced that, if the initial shipments proved successful, it intended to
purchase up to an additional 120,000 tonnes of concentrates from Hellas Gold.
The Company has been very satisfied by the results of the trial and is therefore
announcing an agreement to purchase a further 50,000 tonnes of concentrates,
with shipments expected to be completed by the end of September 2009.

The Company operates the only BIOX(R) plant in the FSU for the treatment of
refractory sulphide ores and in addition to treating ore produced at its Suzdal
mine, it will be utilising available BIOX(R) capacity to produce more gold.

Suzdal has produced over 28,599 oz of gold in the last three months, which
includes 11,780 oz produced in September, at an average sale price of US$718 per
oz.

Kevin Foo, Managing Director of Celtic, said, "We have been delighted with the
results of our initial trial to process third party concentrates at our Suzdal
BIOX(R) plant. This agreement is a significant step forward in our strategy to
capitalise on our technology advantages at Suzdal and we are also looking at
other third party concentrate opportunities within Kazakhstan and Russia, as
many refractory gold ores remain unexploited."


Contact information:

Kevin Foo / Jonathan Scott-Barrett
Celtic Resources Holdings Plc
Tel: + 44 (0)20 7921 8800
Investors@celtic resources.com

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

Anthony Cardew
Cardew Group
Tel: [phone]
[e-mail]

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


About the Suzdal BIOX(R) plant:

Celtic has successfully developed the first BIOX(R) plant for treatment of
refractory sulphide ores in the FSU at its Suzdal mine in Kazakhstan. The plant
uses a sulphide oxidation process for recovering gold from refractory ores or
concentrates. The process utilises a mixed population of naturally occurring
bacteria, that are present in all sulphide ores, to break down the sulphide
mineral matrix, thereby liberating the occluded gold for subsequent cyanidation.

The BIOX(R) process acts as an alternative to conventional processes of roasting
and pressure oxidation and offers advantages of reduced capital cost, simplicity
of operations, robustness and very low environmental impact.



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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