Sale of Gekko Equipment

Celtic Resources Holdings PLC 19 February 2007 FOR IMMEDIATE RELEASE 19 February 2007 Celtic Resources Holdings Plc Sale of Gekko Equipment Celtic Resources ("Celtic"; ticker "CER") is pleased to announce that it has sold it's Gekko Equipment to Iberian Resources Limited ("Iberian"), an Australian company quoted on ASX, in Exchange for 2.5 million Iberian ordinary shares ("Iberian Shares") valuing the Gekko Equipment at A$1.67m (£0.7m) based on today's closing price of A$0.665. Following the completion of this transaction Celtic will hold 2.16% of the issued ordinary share capital of Iberian. The Gekko Model 10,000 Intense Leach Reactor and In Line Pressure Jigs comprise an unused unit that was originally purchased by Celtic for use in the process plant at the Nezhdaninskoye Gold Mine in Russia. It is valued in Celtic's 31 December 2006 accounts at US$778,000. Due to the negotiations that arose over the ownership of Nezhdaninskoye, the equipment remained containerised in Australia. Celtic has since sold its interest in the project and the equipment is no longer required by the Company. In consideration for the plant Iberian will issue Celtic with 2.5 million Iberian Shares under the following "lock in" arrangements: O No sale of shares for 3 months O One third of shares restricted for 3 months. O One third of shares restricted for 6 months. O One third of shares restricted for 9 months. O Any sale of shares will be conducted in an orderly manner in consultation with Iberian Resources Kevin Foo, Managing Director of Celtic commented, "Celtic is pleased to realise some value out of the equipment in the form of this new shareholding. Iberian is an emerging European gold producer with a JORC resource of over 2 million ounces and a strong balance sheet which is commissioning its first gold mine in Armenia." For further information please contact: Kevin Foo / Jonathan Scott-Barrett Leesa Peters/ Laurence Read Kate Dexter-Smith Celtic Resources Holdings Plc Conduit PR Tel: + 44 (0)20 7921 8800 Tel: +44 (0)20 7429 6600/ 0781 215 9885 Investors@celticresources.com leesa@conduitpr.com Frank Moxon / Simon Edwards Evolution Securities Limited Tel: +44 (0) 20 7071 4300 www.celticresources.com This information is provided by RNS The company news service from the London Stock Exchange