Update

Starvest PLC
14 November 2005

Monday 14 November 2005


Chairman's update for shareholders - November 2005

As I indicated in my announcement of 30 September, we continue to make good progress.  I had not previously expected to
make that announcement but the net asset value had risen to such an extent that the Company's share price was standing
at a discount in excess of 50%; it was time the market was made aware of Starvest's success

During October Shareholders will have received a copy of each of two independent analyst reports.  These describe the
Company and its investments in some detail.  In particular, they draw attention to the fact that the percentage of the
Company's investments in Afplats has fallen as the impact of new investments begins to have effect.  This has continued
so that Afplats now represents approximately 35% of the portfolio.  Concorde Oil & Gas and Franchise Investment
Strategies, two recent investments, have performed strongly and both exceed 10% of the portfolio.

We will take profits as opportunities arise so as to provide funds for investment in the new opportunities available to
us.

Although there has been a slight fall in the market during the past month, overall the portfolio value has held up
well.  Some key facts are:

  • The net asset value based on mid-market closing prices on Monday 31 October 2005 was £8.4 million which equates
    to 21.5 pence per share calculated on a fully diluted pre tax basis.
  • This represents a 29% increase of £1.9m on the value of £6.5.m declared in the 31 July 2005 annual report.
  • The Starvest share price has improved to close at 12 pence, giving a lower discount to net asset value at 31
    October 2005 of 44%.
  • During the past quarter two new investee companies completed successful IPOs: Red Rock Resources plc joined AIM
    at the end of July; Concorde Oil & Gas plc joined Ofex during September.
  • The Company now holds trade investments in the following companies:

  • African Platinum plc                         High value minerals in South Africa and Botswana
                                                 www.afplats.com

  • Agricola Resources plc                       Platinum and uranium exploration
                                                 www.agricolaresources.com

  • Belmore Resources (Holdings) plc             Zinc exploration in Eire and Northern Ireland

  • Beowulf Mining plc                           Gold and copper exploration in Sweden
                                                 www.beowulfmining.com

  • Black Rock Oil & Gas plc                     Oil and gas in Southern England and Australia
                                                 www.blackrockpertroleum.com.au

  • Brazilian Diamonds Limited                   Diamond exploration in Brazil
                                                 www.braziliandiamonds.com

  • Carpathian Resources Limited                 Oil and gas in the Czech and Slovak Republics
                                                 www.carpathian.com.au

  • Concorde Oil & Gas plc                       Oil & gas in Russia

  • Franchise Investment Strategies plc          Franchise investment and consultancy

  • Franconia Minerals Corporation               North American minerals
                                                 www.franconiaminerals.com

  • Gippsland Limited                            Tantulum exploration in Egypt
                                                 www.gippslandltd.com.au

  • Hidefield Gold plc                           Gold exploration in Brazil
                                                 www.hidefield.com

  • India Star Energy plc                        Energy investments

  • Matisse Holdings plc                         Cash shell

  • Myhome International plc                     Domestic cleaning services
                                                 www.myhomeplc.com

  • Red Rock Resources plc                       Iron ore, manganese and uranium in Australia
                                                 www.rrrplc.com

  • Regency Mines plc                            Copper & nickel exploration in Australia
                                                 www.regency-mines.com

  • Sheba Exploration (UK) plc                   Gold exploration in Ethiopia
                                                 www.shebagold.com

  • St Helens Capital plc                        Corporate finance advisor
                                                 www.sthelenscapital.co.uk


Whilst Starvest has no exclusive commitment to the natural resource sector, we remain of the view that this sector has
considerable growth potential for the foreseeable future.  With our increased spread, the Board believes Starvest to be
an attractive long term investment for private investors.

Looking forward, the Company continues to seek special situations where its available cash resources may be put to good
use; we will continue to take profits as opportunities arise.

Those Shareholders who wish to receive electronic copies of announcements are invited to register their email address
on the home page of the Company website: www.starvest.co.uk.

Your Board plans to announce the interim results to 31 January 2006 during late February 2006.
R Bruce Rowan

Chairman & Chief Executive                                      14 November 2005





Enquiries to:

  • Bruce Rowan, telephone [phone] or to [e-mail] or
  • Tony Scutt, telephone [phone] (evenings only) or to
    [e-mail]



END








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