Centurion Gold Holdings Reports Financial Results for Second Quarter; Revenue Rises to $763,000; Cash Flow is Positive; Net Loss Narrowed to $862.00.

JOHANNESBURG, South Africa -- Centurion Gold Holdings, Inc., (OTCBB: CGHI.OB), today reported its financial results for the second quarter of fiscal 2005, ended September 30.

Revenue for the second quarter, ended September 30, climbed 102.2% to $ 763,000 from $377,286 in the previous quarter. As the company initiated operations May 7, 2003, there was no revenue in the year-ago period. All revenue resulted from the successful operation of the Primrose Mine.

The Primrose Mine generated a profit of $360,000, up from a loss of $161,000 in the previous quarter. During the current quarter, the net loss was $ $862.00, substantially less than the net loss of $46,073 in the year-earlier period and it narrowed sequentially from the $840,121 loss recorded in the first quarter.

CEO Arthur Johnson of Centurion Gold Holdings said, "This quarter has been an important inflection point for the company. We have stopped burning cash and now are cash flow positive. We believe that we have enough cash and resources on hand to be self-sufficient for the next 24 months."

"Production at the Primrose mine is exceeding our expectations for that mine and we expect that revenue for the fiscal year, ending March 31, 2005, will reach $3 million. This projection does not include any possible revenue from the Sellies Mine or from the rehabilitation of the dumps at the Omaruru mine," Johnson said.

The company reported that the third shaft at the Primrose mine, Moss Rose, is being opened. It is expected to begin production in December at the rate of 1,500 tons of ore a month with an average indicated grade of 10 grams. The Stanhope shaft continues to produce 800 tons of ore a month with an average grade of 20 grams and the Waverly shaft is producing 4,000 tons of ore monthly with an average grade of 6 grams.

Johnson added, "Except for the slowdown in approval of mining licenses because of the backlog of applications at the Department of Mineral and Energy, we are on target with our business plan. Our results so far are demonstrating the value of our business strategy, our ability to bring world-class management techniques to the gold mining operations and our ability to execute the business strategy we have outlined."

For the six months, ended September 30, consolidated revenue was $1.13 million. Net loss for the period was $574,615.

The world's largest producer of gold, South Africa's enormous gold ore reserves represent more than 40% of global reserves. The democratic government of South Africa has a so-called "use it or lose it" policy, which forces gold mining companies that own mineral bearing properties to prospect and develop them. For many years, major gold companies have acquired mineral rights without initiating mining operations. The new policy dictates that companies must start mining operations within a finite time period, approximately one year. This has resulted in a "buyer's market" in properties with mineral rights as well as mines with proven reserves in South Africa. It is Centurion Gold Holdings business strategy to acquire such properties as well as operating mines to exploit mining opportunities.

About Centurion Gold Holdings, Inc.:

Centurion Gold Holdings, located in Johannesburg, South Africa, started three years ago to identify and acquire promising ore-bearing properties. In the past six months, it has acquired four properties: the Primrose Gold Mine; the Omaruru Gold Mine; the Sallies Mine and a chrome bearing operation. The Company is positioning itself to become a major producer in this market by acquiring mineral bearing properties and mineral rights.

Forward Looking Statements:

Statements about the Company's future expectations, including future revenues and earnings, and all other statements in this press release other than historical facts are "forward-looking statements" within the meaning of section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as the term is defined in the Private Litigation Reform Act of 1995. The company's actual results could differ materially from expected results. The Company undertakes no obligation to update forward-looking statements to reflect subsequently occurring events or circumstances. Should events occur which materially affect any comments made within this press release, the Company will appropriately inform the public.