Aquiline Announces Further Calcatreu Drill Results; Exercise of Warrants

Aquiline Announces Further Calcatreu Drill Results; Exercise of Warrants

Wednesday, August 2nd 2006

Aquiline Resources pleased to announce further results from its 2006 exploration drilling program at its 100% owned Calcatreu gold-silver project in Rio Negro Province, Argentina. The objective of the program was to identify areas with potential for the development of additional resources in the immediate vicinity of the Vein 49 \ Nelson deposits which host the current mineral resource at Calcatreu.

The program was successful with encouraging results produced on the Belen, Viuda de Castro and Castro Sur targets. Several other targets such as the Puesto vein were also drilled but have returned less encouraging results. Since the commencement of the program, a total of 10,105 meters of drilling was completed in 99 drill holes with an additional 850 meters in 8 infill holes within the main Vein 49 \ Nelson project areas. This brings the cumulative Calcatreu drilling database to 387 holes totaling approximately 42,280 drill meters. With the information presented in the following table, results have now been released for all the 2006 drilling program except for those holes completed at the Trinidad prospect and the Vein 49 \ Nelson infill drilling.

Adding to results previously reported in the April 5, 2006 news release for the Viuda de Castro target, seven additional drill holes with significant results holes have been drilled to test below banded chalcedonic quartz outcrops hosting gold values in the 1.0 to 6.0 g/t range over a strike length of about 450 meters. The mineralization appears to be controlled by a west-southwest to east-northeast trending fault of at least two kilometers in extent. Gold mineralization in the 1 to 5 g/t range over a 4 to 8 meter intercept width extends from outcrop to the deepest levels so far tested at about 95 vertical meters below the surface. Viuda de Castro is approximately seven kilometers north of the Vein 49 proposed plant facility and approximately two kilometers north of Castro Sur.

The table also includes five additional drill holes pertaining to the Belen area in which the most significant result is 3.94 g/t Au over an intercept width of 13 meters in AQI-399. Near surface mineralization at Belen is within 500 meters of the proposed Vein 49 open pit. Other reported results include three drill holes that tested a 100 meter segment of the Vein 49 hanging wall target, and one drill hole that tested a target in the footwall of Vein 49. None of the results of this year’s exploration program are included in the current mineral resource at Calcatreu which is the subject of an ongoing feasibility study by Ausenco of Brisbane, Australia. The feasibility is nearing completion. Drilling at Calcatreu is presently on hiatus for the duration of the winter in Argentina but will resume in September and will include an aggressive follow-up budget on the most promising areas such as Castro Sur.

Aquiline is well funded to continue its aggressive exploration campaign at Calcatreu having received a total of $2.5 million in the past 10 days from the exercise of options and warrants. A total of 1,485,431 shares were issued in return and over two million “step-up” warrants with a strike price of $2.00 per share remain outstanding with an exercise date of October 7, 2006. Following its legal victory announced July 17, 2006 the Company will require further funds to reimburse IMA Explorations Inc for approved expenditures on the Navidad project and expects to address this issue once the timing of the transfer of ownership is determined. Pursuant to the order of the BC Supreme Court, IMA is under a mandatory injunction to effect this transfer by September 12, 2006.

Aquiline has implemented a quality control program to ensure best practice in chemical sampling and analysis of surface and drill core samples. All assay work for the Calcatreu project is carried out at ALS Chemex Mendoza Laboratories. Under the guidelines of the National Instrument 43-101, the Qualified Person for the Calcatreu Gold Project is independent consultant Mr. John J. Chulick who is a registered geologist in the State of California.


This press release includes certain “forward-looking statements”. All statements regarding the ability of the Company to identify areas with potential for the development of additional resources at Calcatreu, the ability of the Company to correctly identify the trend of mineralization for the Viuda de Castro drilling target and the ability of the Company to receive the transfer of title to the Navidad project are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. All statements that are not historical facts, including without limitation statements regarding future estimates, plans, objectives, assumptions or expectations of future performance, are “forward-looking statements”. We caution you that such “forward looking statements” involve known and unknown risks and uncertainties that could cause actual results and future events to differ materially from those anticipated in such statements. Such risks and uncertainties include unpredictable results of exploration activities, uncertainties inherent in the estimation of mineral resources, fluctuations in the costs of goods and services, problems associated with production operations, changes in legal, social or political conditions in the jurisdictions where the Company operates, lack of appropriate funding and other risk factors, as discussed in the Company’s filings with Canadian securities regulatory agencies. The Company expressly disclaims any obligation to update any forward-looking statements.

Shares Outstanding: 44,565,379

Contacts: Aquiline Resources Inc. Marc C. Henderson President & CEO

(416) 599-4133

Aquiline Resources Inc. Martin J. Walter Director & Vice President of Exploration (416) 599-4133

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