Re: Special dividend

Celtic Resources Holdings PLC
10 March 2004


                         Celtic Resources Holdings Plc

      Distribution of shares held in Eureka Mining Plc as Dividend in Kind

Celtic Resources Holdings Plc ("Celtic" or the "Company") is pleased to announce
the proposed distribution of a significant proportion of shares held by the
Company in Eureka Mining Plc ("Eureka") to qualifying Celtic shareholders by way
of a dividend in kind. This meets one of the Company objectives, as described in
the AIM admission document in October 2002 to pay a dividend by June 2004. The
dividend in kind will be issued on the basis of one (1) Eureka share for every
ten (10) Celtic Ordinary shares held at the record date, which is 5 pm on 19
March 2004.

AIM quoted Eureka was formed specifically to consolidate and develop Celtic's
Kazakhstan precious and base metal exploration assets. Eureka raised £7 million
by way of a placing and its shares were admitted to trading on AIM in December
2003. Celtic received 7,575,833 Eureka shares, valued at approx. US$15million,
representing 44.4 per cent. of the issued share capital, as payment for the sale
of these assets to Eureka.

The proposed dividend will transfer 3.53 million Eureka shares to qualifying
shareholders with the result that Celtic will then hold 4.04 million shares
representing 23.7 per cent. of Eureka's issued share capital.

Paying a dividend in Eureka Ordinary Shares allows Celtic Shareholders to
receive the dividend in a negotiable form and allows Celtic to retain cash. The
Dividend in Kind is subject to the approval by Shareholders of the Resolutions
at an EGM to be held on April 7 2004. It is anticipated that the Eureka shares
will be distributed on April 14th 2004.

A circular is being sent to Celtic shareholders with further information
concerning the special dividend and a notice of EGM with an accompanying form of
proxy.

Kevin Foo, Managing Director and also Non-executive Chairman of Eureka, said,
"Celtic is pleased to announce this special dividend, which constitutes the
Company's first dividend to shareholders, as promised in 2002. The Eureka share
distribution is meant to reward Celtic shareholders and will provide a
significant increase in the shareholder base of Eureka and improve the liquidity
of the shares."

David Bartley, CEO of Eureka added, "This distribution is positive for both
companies because it gives Eureka access to Celtic shareholders and reduces
Celtic's share in Eureka to a more practical level. We are extremely well placed
to take advantage of the huge resource potential in Central Asia and we intend
to distinguish ourselves as a solid, well run company with outstanding assets
such as the Shorskoye molybdenum project and our extensive precious and base
metal land holdings in Kazakhstan."


For more information please contact:

Kevin Foo                                        Leesa Peters/ Laurence Read
Celtic Resources Holdings Plc                    Conduit PR
Tel: + 44 (0) 20 7593 0001                       Tel: [phone]
[e-mail]           Tel: [phone]
                                                 [e-mail]
Joe Nally / Nick Morgan
Williams de Broe
Tel: [phone]
[e-mail]

                            www.celticresources.com




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