Tracia Update

Ormonde Mining PLC
20 January 2005




                               Ormonde Mining plc

        Ormonde Buys Back 50 per cent of the Tracia Gold Project, Spain.

         Second Prospect Returns High-Grade Gold Intervals in Trenches.

DUBLIN & LONDON: 20 January 2005 - Ormonde Mining plc ("Ormonde" or "the
Company") announces that it has resumed 100 per cent ownership of the Tracia
Gold Project in northwest Spain ("the Project"), where a first-phase drilling
programme is currently in progress and new results from trenches have identified
further intervals of high-grade gold mineralization. Trenching results include
grades of 34.7, 23.9, 11.3 and 8.9 grams per tonne ("g/t") gold.




ACQUISITION OF IGE INTEREST

Swedish company International Gold Exploration (IGE) AB ("IGE") earned a 50 per
cent interest in the Project through an earn-in agreement with Ormonde and
recently assigned its interest to Minmet plc ("Minmet").


Ormonde has subsequently acquired Minmet's interest for a consideration of
2,667,235 Ormonde shares, thereby consolidating its 100 per cent ownership of
the Project, which includes the Tracia Permit and extensive geochemistry data
collected within a surrounding area of 2,000 square kilometres. The shares
issued to Minmet are subject to a lock-in period of 6 months.


During the period of its earn-in, IGE funded several programmes including soil
sampling, detailed prospecting and rock sampling, trenching, a regional stream
sediment geochemistry survey and initial drilling, at a cost of €260,000.
Ormonde originally acquired the Project in 2003 for a nominal sum.




Managing Director of Ormonde, Kerr Anderson commented,


"The activities funded by IGE have added significant value to the Tracia
Project, so we are delighted to have bought back their interest. The IGE earn-in
has allowed Ormonde to fast-track the Project to the drilling stage, and now
that we have identified several quality targets we will continue with this rapid
development. We anticipate that the current drilling programme will continue to
add value, from which our shareholders can now benefit in full. New trenching
results from the Casaldrago Prospect further demonstrate the Project's
potential, and we look forward to the forthcoming drilling at this locality."




NEW HIGH-GRADE TRENCH INTERVALS

Drilling is currently testing the Fieitoso Prospect where trenching returned
several mineralized intervals reported on 7th December, 2004. New assay results
from trenching in a second target area, Casaldrago, show that further high-grade
gold zones exist within broad mineralized intervals including:


  • 2.0 metres grading 23.9 g/t gold, within a zone of 9.0 metres grading 6.1
    g/t gold

  • 1.0 metre grading 34.7 g/t gold

  • 1.5 metres grading 11.3 g/t gold, within 9.0 metres grading 2.7 g/t gold

  • 2.0 metres grading 8.9 g/t gold, within 25.0 metres grading 1.1 g/t gold

  • 1.0 metre grading 5.4 g/t gold, within 9.0 metres grading 1.0 g/t gold.


Trenching at a third prospect, Baltar, has returned the following interval:


  • 3.2 metres grading 17.0 g/t gold.


Mineralization is typically associated with zones of silicification and discrete
sulphide-bearing quartz veins in a granitic host rock.




BACKGROUND TO THE TRACIA PROJECT

The principal target at Tracia is an "intrusion-related" gold deposit
characterized by veins and highly altered, silicified granitic host rock
associated with arsenopyrite and minor pyrite. Intrusion-related gold deposits
include many multi-million ounce deposits worldwide (e.g. Fort Knox with 5.4
Moz, and Pogo with 5.8 Moz, both in Alaska). The Salave deposit in nearby
Asturias is a local analogy, 160 kilometres northeast of Tracia, where Rio
Narcea Gold Mines Ltd is conducting a feasibility study and has recently
published estimated measured and indicated mineral resources of 1.5 million
ounces at a grade of 3.0 g/t gold.




BROCHURE OF PARTICULARS

Application has been made to the Irish Stock Exchange for 2,667,235 New Ordinary
Shares of nominal value €0.025 each in the Company, to be admitted to dealing on
the Exploration Securities Market of the Irish Stock Exchange and it is expected
that dealings will commence therein on 25 January, 2005. The shares have been
allotted pursuant to the acquisition of the IGE interest in the Tracia Gold
Project and will rank pari passu in all respects with the existing issued
Ordinary Shares in the Company.




Enquiries to:


Kerr Anderson, Managing Director,

Ormonde Mining plc

Tel: [phone]

Fraser Gardiner, Investor and Media Relations,

Ormonde Mining plc

Mobile: [phone]

Simon Rothschild, Bankside Consultants

Tel: [phone] Mobile: [phone]


ENDS




BACKGROUND INFORMATION

Ormonde Mining is listed on the Irish Stock Exchange and also trades on London's
SEAQ platform. The Company is focused on acquiring and developing high-grade
gold projects in Spain. Ormonde's portfolio contains advanced projects with
substantial gold (and copper) resources, including La Zarza with one million
ounces of gold, and other properties where the Company anticipates that drilling
will identify significant new resources. The Company has a strong local Spanish
management team, supported by a Board with extensive exploration expertise in
the region and mine development experience.


For more information, please visit www.ormondemining.com or contact the Company
at [e-mail].





20 January 2005





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