New Island Resources Inc. (TSXV:NIS) of St. John�s, NL is pleased to announce that the Newfoundland & Labrador Department of Natural Resources has accepted the required documentation by the corporation for the granting of a mining lease for its large Glover Island gold and base metal property in western Newfoundland.

New Island has retained the services of Watts, Griffis and McOuat (WGM) of Toronto, ON to conduct a detailed review and 3-D modeling of the drill results from the LPSE Zone. The purpose of this work is to determine the resource potential and to project a detailed plan of future drill requirements for establishing a reserve at this zone, which is just 1 of 17 gold zones identified to date on the property.

The results from the WGM review will be incorporated into the compilation of a 43-101 report on the Glover Island Property which also includes 2 other Mineral Licenses covering 7,154 acres containing untested gold, base metals and PGE prospects which extend the strike length of the gold trend to 16 km.

Based on the very positive developments resulting from the $3 million dollars (Cdn) expended since 1990, New Island will aggressively focus its efforts over the upcoming months to further advance this project and endeavour to establish a resource in the 2 � 5 million ounce range.

This large mining lease encompasses 4832 acres covering extensive gold mineralization ranging in values from 1.5 to 355 g/t intermittently exposed by trenching at 17 prospects along a 10 kilometer, northeast trending zone. It also contains Volcanogenic Massive Sulphide mineralization with best assays from surface grab samples ranging between 2.85% and 12.9% zinc; 0.39% and 1.6% copper; 3.3 g/t and 13.2 g/t silver. PGE mineralization is also exposed on the property with a trench channel sample yielding 0.45 g/t combined platinum and palladium over 1.2 metres; grab samples from this 1.2 m interval yielded best values of 0.30 g/t platinum, 0.34 g/t palladium accompanied by 0.83 g/t gold, 2.0% copper and 0.26% nickel.

During the period 1990 � 2003 sixty (60) holes drilled to test 6 of the 17 gold prospects were successful in encountering significant intersections hosted in felsite sheets, quartz veins, mylonite (shear zones) and conglomerate. Only the Lunch Pond South Extension (LPSE) and Lunch Pond South Zones at the south end of the 10-kilometre long trend have been drilled in detail. Significant gold mineralization is indicated at both zones and 33 holes at the LPSE Zone show multiple, gold mineralized felsite sheets open at both ends of a 1.5 km strike length and open down dip at 270 metres.

At the LPSE Zone thick drill intersections up to 53 metres grading between 2.0 and 3.0 g/t were encountered, however higher grade sections, e.g. 5.0 g/t over 18.5 metres and 6.5 g/t over 10 metres, are recorded. High-grade mineralization was also intersected at other prospects. For example, drilling at the Lucky Smoke Prospect, 7 km northeast of the LPSE Zone, intersected 12.7 g/t gold over 8 metres. All prospects drilled to date remain open along strike and at depth.

The information contained herein was prepared under the supervision of Victor A. French, P.Geo., a Qualified Person as specified under National Instrument No. 43-101.

For further information, please contact:

Harold Wareham, President, Telephone: (709) 576-7711   Fax: (709) 576-2236 Email: info@newislandresources.com www.newislandresources.com

Statements contained in this release that are not historical facts are forward-looking statements, which involve known and unknown risks and uncertainties not under the company's control, which may cause actual results, performance or achievements of the company to be materially different from the results, performance or expectations implied by these forward-looking statements .