Placing to Raise EUR1 Million

Ormonde Mining PLC 15 August 2003 Ormonde Mining plc 15 August 2003 Ormonde Mining plc Placing of approximately 29.4 million new Ordinary Shares to raise €1million The Board of Ormonde Mining plc ("Ormonde" or "the Company") is pleased to announce that it has procured commitments to place 29,411,775 new Ordinary Shares at €0.034 (Stg2.4p) per share, principally with new UK institutional shareholders, raising in aggregate €1,000,000 (Stg£700,000) before expenses ("the Placing"). In capping the Placing at this level, the Board was required to scale back applications as the result of excess demand for the issue. The net proceeds of the Placing of approximately €920,000 (Stg£645,000) will be used to rapidly progress exploration and evaluation of the Group's gold projects in northern Spain. Importantly, funds will be used to complete a drilling programme, commencing in September, on the recently acquired, high-grade Salamon deposit. This drilling is designed to test depth and strike extensions to the current resource of some 200,000 ounces at an average grade of 9 g/t gold. Drilling will also be carried out on the Portas prospect at Trives, where sampling of old Roman surface workings returned high gold grades in lenses and veins, previously untested by drilling. Further work will also be carried out on the Tracia permit as follow up to highly encouraging prospecting results of up to 57 g/t gold. Completion of the Placing is conditional inter alia on the disapplication of pre-emption rights to facilitate the issue of the Placing Shares and on the Irish Stock Exchange approving the application for admission of the Placing Shares to dealing on the Exploration Securities Market ("the ESM"). A circular convening an extraordinary general meeting of the Company at which a resolution will be proposed for the purposes of completing the Placing will be posted to shareholders shortly and it is expected that the extraordinary general meeting will be held in mid September, 2003. It is also proposed that application will be made in mid September 2003 for all of the Placing Shares to be dealt in on the ESM (which application will require preparation and publication of a document comprising ESM Particulars under the ESM Rules). Accordingly, it is expected that the Placing will complete in mid September 2003. Commenting on these developments, Mr. Kerr Anderson, Managing Director of Ormonde stated: "I believe that we have built up a strong portfolio of high grade gold projects in northern Spain, which will now be advanced through further drilling, designed to increase the current gold resources and identify new resources. Our focus is clearly on high gold grades and possibilities for production in the short to medium term. The Company is also in discussions to secure other advanced projects in Spain where potentially economic gold resources have previously been identified and considerable upside exists to increase these resources". Enquiries to: Kerr Anderson - Managing Director Ormonde Mining plc Tel: 00 353 46 73623 kanderson@ormondemining.com Colin Andrew - Chairman Ormonde Mining plc Tel: 00 353 46 73623 candrew@ormondemining.com John Carroll - Director Ormonde Mining plc Tel: 00 353 1 492 2936 offacc@iol.ie Eugeneee Mulhern Davy Corporate Finance Limited Tel: 00 353 1 679 6363 15 August 2003 ENDS This information is provided by RNS The company news service from the London Stock Exchange