WAH LEE RES<1215> - Announcement

The Stock Exchange of Hong Kong Limited takes no 
responsibility for the contents of this announcement, makes 
no representation as to its accuracy or completeness and 
expressly disclaims any liability whatsoever for any loss 
howsoever arising from or in reliance upon the whole or any 
part of the contents of this announcement.

WAH LEE RESOURCES HOLDINGS LIMITED
(incorporated in Bermuda with limited liability)

FURTHER DELAY IN THE PUBLICATION
OF THE RESULTS OF THE GROUP
FOR THE YEAR ENDED 30 JUNE 1999
AND
DESPATCH OF
THE ANNUAL REPORT

The board of directors (the "Directors") of Wah Lee Resources 
Holdings Limited (the "Company", which together with its 
subsidiaries, the "Group") announces that (i) the 
publication of the results of the Group for the year ended 
30 June 1999 will be further postponed to on or before 1 March 
2000; and (ii) the despatch of the annual report of the 
Company will be postponed further to on or before 6 March 
2000. The 1999 annual general meeting of the Company will 
be held on or before 30 March 2000.

The Directors further announce that such delay in the 
publication of the audited results of the Group for the year 
ended 30 June 1999 is due to the senior management of the 
Group are spending a lot of time on the negotiation with the 
Group's creditors and bankers for the purpose of 
restructuring the Group's debts and therefore, the Company 
does not have the extra resources to assist Ernst & Young, 
the auditors (the "Auditors") of the Group to complete their 
audit. The Directors have been informed by the Auditors that 
they have not yet obtained all the information they consider 
necessary for the purpose of finalising their audit.

On 14 December 1999, the Directors announce the unaudited 
consolidated results of the Group for the year ended 30 June 
1999. Based on the unaudited consolidated management 
accounts of the Group for the year ended 30 June 1999, the 
Group recorded a loss of approximately HK$58.6 million. Such 
results may be subject to further changes upon the 
finalisation of the audit by the Auditors of the financial 
statements of the Group for the year ended 30 June 1999. The 
auditors' report may or may not contain a qualified opinion 
in respect of the audited financial statements of the Group 
for the year ended 30 June 1999. Shareholders of the Company 
and investors are reminded to exercise caution in 
interpreting the unaudited results as they are unaudited 
figures only and may be different from the audited results.

The Company has applied to The Stock Exchange of Hong Kong 
Limited (the "Stock Exchange") for an extension of time for 
the publication of the results of the Group for the year ended 
30 June 1999 to on or before 1 March 2000 and the despatch 
of the annual report of the Company to its shareholders to, 
on or before 6 March 2000. The Stock Exchange has indicated 
that the extension of time will not be granted and has 
reserved the rights to take further action against the 
Company and/or the Directors for such breach.

In the meantime, shareholders and public investors are urged 
to exercise extreme caution in dealing in the shares and 
warrants of the Company.

Reference is made to the two announcements of the Company 
dated 14 December 1999 and 24 December 1999 regarding the 
delay in the publication of the results of the Group for the 
year ended 30 June 1999 and despatch of the annual report 
of the Company.

The Directors announce that there will be a delay in the 
publication of the audited results of the Group for the year 
ended 30 June 1999 as the senior management of the Group are 
spending a lot of time on the negotiation with the Group's 
creditors and bankers for the purpose of restructuring the 
Group's debts, the Company does not have the extra resources 
to assist the Auditors to complete their audit. Therefore, 
the Directors have been informed by the Auditors that they 
have not yet obtained all the information they consider 
necessary for the purpose of finalising their audit.

It is expected that the results of the Group for the year 
ended 30 June 1999 will be published on or before 1 March 
2000. The annual report of the Company will be sent to 
shareholders on or before 6 March 2000 and the 1999 annual 
general meeting of the Company will be held on or before 30 
March 2000.

On 26 January 2000, the Company applied to the Stock Exchange 
for an extension of time for the release of the results of 
the Group for the year ended 30 June 1999 to on or before 
1 March 2000 and the despatch of the annual report of the 
Company for the year ended 30 June 1999 to its shareholders 
to, on or before 6 March 2000.

The Company acknowledges that the delay in the despatch of 
the annual report of the Company to its shareholders 
constituted a breach of the listing agreement and hence, the 
Rules Governing the Listing of Securities on the Stock 
Exchange on the part of the Company. The Stock Exchange has 
indicated that the extension of the time will not be granted 
and has reserved the rights to take further action against 
the Company and/or the Directors for such breach. The delay 
in the publication of the results of the Group for the year 
ended 30 June 1999 will not constitute a breach of the 
memorandum of association and bye-laws of the Company and 
the applicable laws of Bermuda.

Details of the unaudited consolidated results of the Group 
for the year ended 30 June 1999 were announced in the 
announcement of the Company dated 14 December 1999. Based 
on the unaudited consolidated management accounts of the 
Group for the year ended 30 June, 1999, the Group recorded 
a loss of approximately HK$58.6 million. The results as shown 
in the unaudited consolidated management accounts of the 
Group for the year ended 30 June 1999 may be subject to 
further changes upon the finalisation of the audit by the 
Auditors. The auditors' report may or may not contain a 
qualified opinion in respect of the audited financial 
statements of the Group for the year ended 30 June 1999. 
Shareholders of the Company and investors are reminded to 
exercise caution in interpreting the unaudited results as 
they are unaudited figures only and may be different from 
the audited results.

In the meantime, shareholders and public investors are urged 
to exercise extreme caution in dealing in the shares and 
warrants of the Company.

The Directors have not dealt in any shares of the Company 
since 30 October 1999. The Directors have undertaken to the 
Stock Exchange that they will not deal in the shares of the 
Company until the audited consolidated results of the Group 
for the year ended 30 June 1999 are published.

On behalf of the board of directors of
Wah Lee Resources Holdings Limited
Yeung Kwok Fan
Chairman and Managing Director

Hong Kong, 26 January 2000