Toronto, Canada, June 17, 2004...BREAKWATER RESOURCES LTD. (TSX – BWR) is pleased

to announce that it has completed its technical due diligence exercise with respect to the purchase

of Boliden Westmin (Canada) Limited (“BWCL”) and expects to complete the transaction.

The general terms of the proposed acquisition remain that Breakwater will issue 18 million of its

common shares as well as 5 million warrants for all of the shares of BWCL. The warrants are

exercisable at $1.00 per common share until January 27, 2009.

Completion of the transaction remains subject to a number of conditions including, amongst other

things, execution of a definitive agreement, expected on or before June 30, 2004 and receipt of all

required regulatory and third party approvals and consents. The transaction is expected to have

an economic effective date of June 1, 2004 and close as soon as is practicable but no later than

July 31, 2004.

BWCL is the sole owner of the Myra Falls zinc/copper/gold operation in British Columbia,

certain marketable securities and interests in several exploration projects in Canada. The

acquisition of BWCL will be exclusive of the Premier Gold property and certain other assets and

liabilities. The Myra Falls mine, located on Vancouver Island, produces zinc and copper

concentrates containing significant gold and silver as well as a gold-bearing gravity concentrate.

The operation consists of a 1.25 million tonne per annum underground mine and processing

facility and associated infrastructure including a storage and load out terminal in the community

of Campbell River, BC. In 2003 Myra Falls produced 57,400 tonnes of zinc, 10,700 tonnes of

copper, 27,300 ounces of gold and 720,900 ounces of silver.

Breakwater is a mineral resource company engaged in the acquisition, exploration, development

and mining of base metal and precious metal deposits in the Americas and North Africa.

Breakwater has four producing zinc mines: the Bouchard-Hébert mine in Québec, Canada; the

Bougrine mine in Tunisia; the El Mochito mine in Honduras; and the El Toqui mine in Chile.

The Company also owns the Langlois mine in Canada, which is currently being prepared for a

development program to bring the mine back into production.

This news release contains forward-looking statements within the meaning of the United States

Private Securities Legislation Reform Act of 1995. When used in this news release the words

“anticipate”, “believe”, “intend ”, “estimate”, “plans”, “projects”, “expect”, “will”, “ budget”,

“could”, “may”, and similar expressions are intended to identify forward-looking statements.

Such forward-looking statements involve known and unknown risks, uncertainties and other

factors which may cause actual results, performance or achievements of the Company to be

materially different from any future results, performance or achievements expressed or implied by

such forward-looking statements. Important factors that could cause actual results to differ

materially from those currently anticipated are described above and in the Company’s most recent

Annual Report on Form 20-F under “Risk Factors” on file with the U.S. Securities and Exchange

Commission and Canadian provincial securities regulatory authorities. The Company disclaims

any obligation to update or revise any forward-looking statements whether as a result of new

information, events or otherwise.

For further information please contact:

Colin K. Benner

President and Chief Executive Officer

(416) 363-4798 Ext. 269

Vice President, Finance  and Chief Financial Officer

Richard R. Godfrey

(416) 363-4798 Ext. 276

E. Ann Wilkinson

Corporate Secretary and Investor Relations Officer

(416) 363-4798 Ext. 277