Medium Term Plans - Replacement

Celtic Resources Holdings PLC 21 January 2000 The following alteration should be made to the Celtic Resources Holdings PLC, Re Medium Term Plans announcement released today at 17:40 under RNS No 2462E. The announcement contained a typograhical error in paragraph three. The full corrected version is shown below. ------------------------------------------------------------------------------- CELTIC RESOURCES HOLDINGS PLC ('Celtic Resources' or 'the Company') POSITIVE OUTLOOK AT CELTIC RESOURCES PLC Kevin Foo, the recently appointed managing director of Celtic Resources, has set out the medium term plans of the Company in a letter being sent to shareholders. The principal asset of Celtic Resources is a 50% interest in the Nezhdaninskoye gold mine, the third largest gold mine in the Former Soviet Union (the 'FSU'). Mr. Foo, a metallurgical engineer with more than fifteen years of gold mining experience, told shareholders that, subject to raising the necessary funds later this year, currently estimated at approximately US$5 million, Celtic proposes to refurbish the existing treatment plant at the mine in order to facilitate the recommencement of gold production and cash flow generation later this year. Mr. Foo and Michael Kaufman, who also joined the board of Celtic in November, 1999, together organised a group of investors who injected in aggregate IR£350,000 into the Company. Since November, 1999 the new management has engaged in a series of discussions with the federal authorities in Moscow, over the course of which management has sought to persuade authorities that Celtic now has the management, the technical expertise and the realistic prospect of raising the funds needed to achieve gold production. The Directors now feel more confident that all outstanding licence issues, to which reference was made in the interim results statement on 29 October, 1999, can be resolved. Having successfully brought two gold mines into production in the FSU, Mr. Foo has the experience to understand and manage both the high risks and potentially high rewards for mining companies operating in the FSU. 'Our key objective is, within three years, to grow into a profitable, resources based company with a valuable portfolio of producing and developing mines in Russia, Central Asia and Northern and Eastern Europe. We aim to have gold production above 250,000 ounces a year of un-hedged gold at an average operating cost of less than US$150 per ounce and over 20 million ounces of gold under our control.' he said. Mr. Foo told shareholders that with its mine at Nezhdaninskoye, Celtic Resources is a company that has huge potential and that the company intends to undertake a major project financing in 2001 in order to exploit this potential. In addition to the letter detailing the objectives of Celtic Resources being sent to shareholders, ESM Particulars have been prepared and published in respect of various share issues during 1999, comprising in total 32,510,325 ordinary shares. Copies of the ESM Particulars will be forwarded by the Company upon request. For further information please contact: Kevin Foo/ Michael Kaufman Celtic Resources Holdings Plc + 44 171 355 2017 Hugh McCutcheon Davy Stockbrokers + 353 1 679 6363 Nigel Heneghan Heneghan PR + 353 (0) 86 258 7206