Aquiline Awards Feasibility to Ausenco and Appoints New Exploration Manager; Drilling program...

TORONTO -- Aquiline Resources Inc. (TSX VENTURE:AQI) is pleased to provide an update with respect to its development stage Calcatreu gold and silver project in Rio Negro Province, Argentina. Aquiline purchased 100% of Calcatreu from Newmont Mining Corporation in July, 2003 and since then has

been aggressively advancing with a view to achieving commercial production as quickly as possible. This fast-track approach to development is part of a broader corporate strategy that includes a significant emphasis on ongoing exploration, both within the Calcatreu tenements themselves to expand the current resource as well as regionally in what appears to be a newly emerging epithermal district.

Since the completion of a mine scoping study and revised mineral resource report in the fourth quarter of 2004, work at Calcatreu has progressed steadily and there are a number of developments to report:

Calcatreu Development

On the strength of the positive mine scoping study prepared by Toronto based engineering consultants Micon International Limited, Aquiline in January, 2005 initiated a tendering process for the award of a bankable feasibility contract for Calcatreu. This contract, which will include final metallurgical testwork and process design, has been awarded to Ausenco Limited of Brisbane, Australia, an engineering and construction firm that specializes in the design, construction and commissioning of mineral extraction plants (www.ausenco.com.au). The Calcatreu feasibility study, expected to cost in the range of US$1 million, will encompasses final process metallurgical flow sheets, detailed engineering and initial CIP process plant design parameters. Kevin Bullock, Aquiline's consultant mining engineer will be responsible for the overall project direction. Micon International Limited will remain with the project as the Company's independent project review engineers. Results from the feasibility study are expected to be tabled in the fourth quarter.

Included in the feasibility study is an additional 1,500 metres of metallurgical and 1,200 meters of core orientation drilling required to determine final slope stability angles for open-pit mine design. Metallurgical drilling commenced this week with results expected sometime in July.

In a separate but equally important project milestone, Aquiline is pleased to announce that the Company's Social and Environmental Impact Assessment ("SEIA") for the Calcatreu gold project has been finalized and will be submitted to the provincial government authorities in Rio Negro this month. The filing of this document is the culmination of a process that was initiated with the implementation of baseline studies in September, 2003 and will start the process of obtaining the appropriate mining approvals needed for Calcatreu. A number of prominent local and international consultants were involved in the preparation and authorship of the SEIA including Environmental Resources Management (ERM), Water Management Consultants (WMC), and Buenos Aries based Estudios y Servicios Ambiental S.A. The SEIA has been prepared in accordance with international best practices.

Overseeing the Company's development effort in Argentina is Mr. Jorge Valvano who has recently joined the Company as General Manager, Aquiline Argentina. Mr. Valvano is a former Chief Geologist and Exploration Manager for Anglo American Argentina and was with Anglo during the discovery, development, and successful commissioning of the Cerro Vanguardia Mine, Argentina's largest and most profitable gold operation producing 211,000 ounces at a cash cost of US $156 per ounce in 2004.

Calcatreu Exploration

Aquiline is also pleased to announce the appointment of Mr. John Chulick as Exploration Manager for the Calcatreu project effective May 1st. Mr. Chulick is a seasoned exploration geologist who has extensive Latin American exploration field experience specifically with low sulphidation epithermal precious metals deposits in Chile and Argentina. Mr. Chulick was Exploration Manager between 1997 and 2002 at Meridian Gold's (NYSE:MDG) El Penon deposit in Chile. Here he led the team of geoscientists that discovered the Quebrada Colorada ore-body, a discovery that catapulted El Penon into the top tier of low cost, global gold mines. John will have overall management and responsibility of the Company's exploration efforts around Calcatreu and extended land holdings, including the Company's 100% owned Flamingo project, located in the adjacent province of Chubut.

Aquiline is the largest landholder within what it has termed The Gastre Fault District - a newly emerging mineralized belt that straddles Chubut and Rio Negro Provinces and incorporates the Navidad silver-lead-zinc deposit and the Company's Calcatreu Gold Project. Aquiline now holds 158,000 hectares in Chubut and 170,300 hectares in Rio Negro province and is committed to a systematic, long term exploration plan within this newly emerging belt. This regional focus has resulted in some early success (see Company news release dated April 13, 2005) which is now being followed up.

The Company has recently signed a major drilling contract with Connors Drilling SA, Argentina, and a Boyles Brothers 37A drill rig capable of completing all aspects of the planned metallurgical, core orientation and exploration drilling, arrived on site this week. Drilling has recommenced and it is expected that approximately 3,000 meters of engineering based drilling will be completed. Following this, the rig will begin to drill test surrounding exploration targets, including follow-up drilling on a number of exposed veins systems and geophysical targets within close proximity of the Vein 49 and Nelson deposits, which host all of the current mineral resource. Details of the exploration drilling will be announced on commencement of this phase of the program.

Aquiline has implemented a quality control program at Calcatreu to ensure best practices. Under the guidelines of the 43-101 National Instrument the required qualified person for the Calcatreu Gold Project is Mr. Peter Mullens who is a member of the Australian Institute of Mining and Metallurgy. This press release contains forward looking statements.

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

Aquiline Resources Inc. (TSX VENTURE:AQI)