Budgell's Harbour drilling begins

Trading Symbol: CME:TSX-VEN Shares Outstanding: 66,765,375

The Budgell's Harbour project contains an intense airborne magneticanomaly coincident with strongly anomalous copper soil anomalies over an areameasuring 1.5 km x 2.5 km, located along the margin of a differentiated maficto ultramafic intrusion. Noranda assessed the Budgell's Harbour intrusion(BHI) for base metals in 1973-74 and again in 1987-88 detecting strong coppersoil anomalies over the area. No attempts were made to trench or drill theanomalous area and the source of the anomalies remained unexplained. The largesoil anomaly contains copper values ranging from 50 ppm to 1500 ppm and twodistinct regions, within the larger anomalous zone, measuring 750 m x 750 mand 500 m x 700 m, contain values mostly ranging from 200 ppm to 1500 ppmcopper.

During the summer of 2007, Celtic prospectors sampled a locally derivedfloat of BHI with a trace of sulphides that analyzed 407 ppb Platinum and100 ppb Palladium. The sample was collected at the base of a large outcroppinghill consisting of BHI, approximately 75 m from the mapped southern margin ofthe BHI where a strong copper anomaly was previously identified. Since thehistoric soil samples were only analyzed for copper and zinc, Celtic isre-sampling the entire copper anomalous area for a multi element suite by ICPas well as platinum group metals (PGM's).

Additionally, during the summer of 2007, a full tensor airborne gravitygradiometry (FTG) survey was completed over the property, outlining severalhigh intensity gravity anomalies including a strong gravity anomaly measuring1.5 km x 2.5 km directly over the strong copper soil anomalies, coincidentwith the intense magnetic anomaly.

The magnetic anomaly of the BHI is the most striking feature of theairborne magnetic pattern in west central Notre Dame Bay. The anomaly over theintrusion reaches a maximum of 60,000 gammas (25,000 gammas above background).A profile of the anomaly shows that the gradient is extremely steep indicatingthat the walls of the Budgell's Harbour intrusion are very steeply dipping -the overall shape is thus grossly cylindrical.

The Jurassic BHI consists of olivine gabbro, hornblende gabbro, biotitegabbro, hornblende peridotite, diorite, diatreme breccias and lamprophyredykes.

The Budgell's Harbour project is being explored under an option agreementwith a consortium of prospectors and a private Newfoundland based mineralexploration company. The property covers 3900 hectares and the agreementgrants Celtic the right to earn a 100% interest over three years by incurringaggregate expenditures of $600,000 on the Property; and by making payments tothe optionors totaling $120,000, and an aggregate 300,000 share payment fromCeltic. The optionors will retain a 2% NSR of which 1% can be purchased byCeltic for $1.5 million. Celtic also has a right of first refusal to purchasethe remaining 1% NSR interest in the property. Celtic has a firm commitmentfor exploration expenditures of $100,000.

Mark Graves, P.Geo., Exploration Manager for Celtic Minerals Ltd. is thequalified person who has reviewed the content of this news release.

Assays are being done at Accurassay Laboratories in Thunder Bay, Ontarioand Activation Laboratories in Ancaster, Ontario. Precious metals are analyzedusing a 30 g lead collection fire assay procedure with AA finish. A standardmulti element ICP package is used on all samples. Ore grade assays aredetermined by Aqua Regia digest with AA finish. In addition to thelaboratories quality control, Celtic also has a QA-QC program using standardsand blanks.

Celtic encourages the public to visit its website at for additional information on the various projects orto email us at info(at)celticminerals.com to be added to the Company's e-maillist for press releases and updates.

    The TSX Venture Exchange has not reviewed and does not accept    responsibility for the adequacy or accuracy of this release.

For further information

Paul Lipoth, Corporate Relations, CelticMinerals Ltd., Phone: (403) 261-2890 x.233, Fax: (403) 265-2223, Email:paul@celticminerals.com
Kevin Flaherty, Chairman & CEO, Celtic Minerals Ltd.,Phone: (403) 261-2890, Fax: (403) 265-2223