The Company is pleased to announce their results for the 18 months ended 30 June 2003, and provide the following extracts from the Chief Executive Officer's review and the Annual Report, which is being posted to shareholders today.

Chief Executive Officer's review (extract)
After ten months at the helm of the revitalized Oxus Gold it gives me enormous pleasure to report on the strides we have made at Oxus Gold in a relatively short space of time.

We have a strong executive team with a proven track record in the global mining environment, while the experience and wisdom of the remaining board members is a constant source of reassurance. I am confident that, having already delivered on some of our shortterm targets, we are firmly on the road to turning Oxus' world class assets to account.

Delivery:

-Since November last year, good progress has been made in reducing fixed costs by over 50%;

-In April this year we announced the start of the drawdown of financing, having secured a senior term loan of US$30 million and an overrun facility of US$6 million from Standard Bank London and WestLB for the Amantaytau project;

-This facility was arranged without the need for any additional finance from ourselves, thereby ensuring that there would be no further dilution to Oxus shareholders;

-The Khandiza polymetallic project is currently being restructured;

-After successful negotiations with the government of Kyrgyzstan and Oxus' partner JSC "Kyrgyzaltyn", the licence to develop the Jerooy gold deposit in the Talas region of Kyrgyzstan was reinstated in April this year. The Jerooy gold project has a total resource of 3.45Moz;

-We have reorganized the business into a focused gold company.

These developments follow upon a number of setbacks for your company in the past, including the annulment of the Jerooy mining licence in June 2002, and the company's inability at the time to raise capital for the Amantaytau Project.

The first phase of the Amantaytau project is now fully funded and first production is expected in December this year. In addition, having had the Jerooy licence reinstated, we are now proceeding with plans to effect the fastest possible development of Jerooy, with gold production due to commence in 2005.

Despite having made these strides, and put the past firmly behind us, there is no room for complacency. More challenges await us in the year ahead, with the overriding focus on transforming Oxus from a cash consumer into a gold producer, while keeping production costs in the lowest quartile of industry producers. To achieve this, we have set ourselves the following targets for 2004.

Goals for 2004

-Bring Amantaytau Oxides into production at 1 million tonnes per annum (Mtpa);

-Produce at least 190,000ozs of gold from Amantaytau at an initial cash cost of below US$106/oz;

-Expand Amantaytau to mine at a rate of 2Mtpa;

-Complete the Amantaytau Sulphide feasibility study;

-Start construction at Jerooy and Balpantau;

-Complete the re-structuring of Khandiza;

-Repayment of Amantaytau's senior debt in accordance with its schedule, plus repayment of the US$13 million shareholder loan advanced by Oxus to Amantaytau.

 

END

Contacts:

Oxus Gold plc
Tel: +44 (0)20 7907 2000
John Donald, COO

Williams de Broë Plc
Tel: +44 (0)20 7588 7511
Frank Moxon, Louis Castro

South Africa
Russell & Associates
Tel: +27 (0)11 880 3924
Marion Brower