New partners at gold mine

Celtic Resources Holdings PLC 19 September 2005 Celtic Resources Holdings Plc ("Celtic", "Celtic Resources", or "the Company") New partners at the Nezhdaninskoye Gold Mine The Board of Celtic Resources was today informed by Investment Group Alrosa ("IGA") that ZAO Polyus ("Polyus"), the gold mining arm of MMC Norilsk Nickel, has bought from IGA a 50 per cent. interest in the South Verkhoyansk Mining Company, which owns the Nezhdaninskoye Gold Mine in Yakutia, Russia. Following the conclusion of the above acquisition, Polyus will become an equal owner in Nezhdaninskoye with Celtic and overall, the Company's position is positive. The Directors are pleased to welcome Polyus, the largest gold producer in Russia, as a partner for the future development of the Nezhdaninskoye Gold Mine. With the ongoing support of the Company's shareholders, Celtic are pleased to enter into discussions with Polyus, aimed at the rapid development of Nezhdaninskoye. These discussions have been set to begin in early October. The Company has always considered Nezhdaninskoye an outstanding project with excellent potential for high levels of gold production at low operating costs. We are now keen to progress the joint development of the project to full production status which has been frustrated by past delays. We will keep shareholders informed as discussions progress. For further information please contact: Kevin Foo / Kate Dexter Smith Leesa Peters / Laurence Read Celtic Resources Holdings Plc Conduit PR Tel: + 44 (0)20 7921 8800 Tel: +44 (0)7812 159 885 Investors@celticresources.com Tel: +44 (0)20 7618 8708 leesa@conduitpr.com www.celticresources.com This information is provided by RNS The company news service from the London Stock Exchange