RNS Number:9437H
Bullion Resources PLC
25 February 2003


25 February 2003


              Bullion Resources PLC announces first gold production


Drylands

Bullion Resources PLC (AIM: BLO), the AIM listed South African gold miner, is
pleased to announce that it has produced its first gold at Drylands.  The first
loaded carbon was delivered to an elution facility on 30 January 2003. The 477
kg of carbon, which was loaded during the plant-commissioning phase, yielded 200
grams of gold.  This yield is in line with the Company's initial expectations
despite the setbacks which have resulted in a 7 month delay in production.

These initial setbacks at Drylands have now been resolved.  The expected first
gold production from Drylands was not achieved due to a design fault leading to
a misalignment of the mill, insufficient agitation of the processed material and
an initial lack of sufficient feed water. Testing of the first material treated
showed recoveries of below 30% and, in order to increase recoveries, the
agitators were re-designed and the modifications made on location. The
recoveries after this modification improved to above 50% during January 2003.
The Directors are expecting to ultimately reach a 95% recovery level.  The
relationship between the material fed into the plant and that received at the
treatment section (the plant call factor) will remain low until lock up of gold
in the new mill is saturated. This is normal when commissioning a new mill.

Bullion Resources is also pleased to announce that all governmental departments
have approved the Environmental Management Programme for Rehabilitation (EMPR)
of Drylands and the Department of Mineral And Energy affairs is preparing the
final documentation to issue the mining authority.

Palmietfontein

As stated in the Prospectus, the Palmietfontein plant is expected to be in full
production by December 2003. Construction is progressing well and measures have
been put in place to prevent setbacks akin to that experienced at Drylands.

New Machavie

An environmental impact assessment has been submitted to the Department of
Environmental Affairs  The development of New Machavie  has been delayed and
construction will commence as soon as issues surrounding various surface right
and purported surface right holders are fully resolved and approval of the
environmental impact assessment has been received.

The Directors believe that the prospects for the Company remain sound and
continue to view the future with confidence.


Ends


For further information, please contact:

Bullion Resources                                 Parkgreen Communications
Johnny Van Den Berg, C.E.O.                       Justine Howarth / Cathy Malins
0027 72 424 0667                                  020 7287 5544
http://www.bullionresources.net



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