LONDON: 15 November 2004 - Oxus Gold plc ("Oxus" or "the Company") announced today plans for a significant increase in gold production over the next 4 years. The Company is forecasting attributable gold and gold equivalent production of approximately 200,000 ounces for calendar year 2005, and 370,000 ounces for 2006.

On the basis of current plans Oxus expects to have attributable gold plus gold equivalent production as follows: (thousand ounces at 31 December in each year)

* Vysokovoltnoye contains silver production included as gold equivalent as follows: 2005 - 11,600 ounces of gold equivalent; 2006 - 21,600 ounces; 2007 - 15,900 ounces; 2008 - 18,600 ounces. A conversion factor of 66 ounces of silver = 1 ounce of gold has been applied.

The expansion of production at the 50% owned Amantaytau Goldfields ("AGF") Phase 1 oxides project in Uzbekistan will arise from the development of the Vysokovoltnoye gold-silver heap leach project, where construction has already commenced, and the expansion of the Phase 1 oxides plant by the installation of an additional mill to increase plant capacity from 1 million tonnes of ore per year to a projected 2 million tonnes per year.

Vysokovoltnoye is expected to commence production in June 2005 and is forecast to produce an additional 59,000 ounces of gold equivalent in 2005 at a cash operating cost of approximately $150 / ounce, 50% of which is attributable to Oxus. This project has been primarily funded by an Uzbek Soum 5 billion (approximately $5 million) corporate bond issued by AGF on the Tashkent Securities Exchange in September 2004, the largest issue yet undertaken on that market.

The expansion of the Phase 1 oxides plant is expected to be completed by July 2005 and is projected to increase production from 190,000 ounces of gold per year to an anticipated 310,000 ounces in 2005 at a cash operating cost of approximately $145 / ounce, 272,000 ounces in 2006 and 200,000 ounces per year thereafter. The capital cost of the additional mill is expected to be $7.9 million. At this stage the AGF oxides project, including Vysokovoltnoye, is projected to be producing 369,000 ounces of gold and gold equivalent per year, 50% of which is attributable to Oxus. The project currently contains mineable reserves of 762,000 ounces of gold at 3.17 grammes per tonne (g/t) and 9.22 million ounces of silver at 34 g/t, out of a total JORC resource of 2.11 million ounces of gold and 10.16 million ounces of silver.

The feasibility study for the Phase 2 sulphides project is expected to be completed by April 2005. This project currently contains in-situ reserves of 2.03 million ounces at 11.54 g/t out of a total JORC resource of 2.69 million ounces. 120,000 ounces are expected to be produced in 2006, rising to 276,000 ounces annually by 2008, 50% of which is attributable to Oxus. The Phase 2 project is expected to cost $28 million and has a forecast net present value of $359 million (pre-tax) at a 10% discount rate and using a gold price of $400 / ounce.

As at 31 October 2004 AGF has produced 116,934 ounces of gold since commencing production in February 2004, and has closed out 37% of the gold hedge book. $11,385,000 of the $30,000,000 project finance facility has also already been repaid.

In addition to the JORC classified reserves and resources, AGF has a further 9.7 million ounces of gold and 172 million ounces of silver as JORC classified exploration results. A major exploration programme is currently underway with a view to bringing at least another 500,000 ounces of gold into the mineable reserve status during 2005. Initial drilling results from this programme were announced on 21 October 2004. A further 37 million ounces of gold and gold equivalent are classified in the Soviet 'P' (early exploration resources) category.

At Jerooy negotiations with the Kyrgyz Government are ongoing with regard to the status of the mining licence. The Company expects a positive outcome to these negotiations and, in the meantime, has continued with construction at the project site. First gold production is still forecast to commence by the end of 2005, at an initial annual rate of 180,000 ounces. Oxus owns 67% of Jerooy.

Commenting on these plans, Bill Trew, CEO of Oxus said "With profitable production now well underway at AGF Phase 1, Vysokovoltnoye already under construction, and with the planned mill expansion, we can look forward to a significant increase in gold production during 2005. We have commenced construction at Jerooy and the AGF sulphides feasibility study is nearing completion. All this combined, plus millions of exploration ounces which we expect to convert to resources and reserves, gives us a sound platform on which to build a company producing at least 500,000 ounces of attributable gold by 2008, our stated objective".

Further details of the Company's operations and expansion plans are contained in the Oxus Gold Annual Report and Accounts for 2004 which will be posted to shareholders on 16 November 2004.

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Contacts:

Oxus Gold plc
Tel: + 44 (0)20 7907 2000
Richard Wilkins, Company Secretary

Bankside Consultants Ltd.
Tel: + 44 (0)207 444 4155
Keith Irons, Chairman