Rose Petroleum plc

Diablito Drilling Confirms High Grade Vein

29-September-2004

VANE Holdings Plc (?Vane? or ?the Company?) announces that the second phase of in-fill and offset drilling, consisting of 26 holes (DIA 10-01 to DIA 35-01) designed to upgrade the status of the announced 100,000 tonne mineral resource at Diablito, has been completed. Forty-two holes have now been drilled in an area 450 metres by 100 metres to test the shallowly dipping vein on a 12.5m to 25m Grid.

Mineralised vein material was encountered in all but four of the holes assayed to date. The four holes drilled through cover on the western projection of the vein early in the first phase drilling programme failed to intersect the vein, probably as a result of being collared in the footwall. All 26 holes drilled in the second phase drill programme intersected vein material with assays received to date confirming the presence of significant gold mineralisation.

Drill core from the vein was sawn, half of it was bagged and shipped for assay to Actlabs in Tucson, Arizona. The remainder of the core has been stored on site. Core recovery during the current programme has been satisfactory and a programme of check assaying has confirmed analytical results so far provided by Actlabs. Assay results received for holes DIA 10-01 to DIA 24-01 are summarised below with gold values as high as 33.3 g/t, equivalent to 1.07 ounces per metric tonne in hole DIA 14-01 and silver values as high as 4500 g/t (145 opmt) in hole DIA 19A-01. Vein intercepts vary from 0.20 metres to 4.2 metres. Assay results for the remaining eleven holes (DIA 25-01 to DIA 35-01) are expected by the end of September, when a further announcement will be released.

When all assays are available the data will be compiled by Independent Mining Consultants of Tucson in order to develop a mining plan for Diablito by year end.

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