Toronto, Canada, September 1, 2005… BREAKWATER RESOURCES LTD. (“Breakwater”)

(TSX-BWR) is pleased announce that it has concluded a private placement of 3 million flowthrough

common shares at C$0.46 per share, for proceeds of C$1.38 million.

The proceeds of the flow-through financing will be used for exploration in Quebec around

Breakwater’s past producing Bouchard-Hébert mine and the Langlois mine, which is currently

under care and maintenance.

At Bouchard-Hébert, Breakwater has 215 claims totalling 7,982 hectares surrounding its two

mining claims. C$700,000 has been budgeted to carry out line cutting, geophysics and diamond

drilling on previously identified exploration targets. The Bouchard-Hébert property covers 18 km

of strike within the Blake River Group of volcanic rocks which has hosted numerous world-class

massive sulphide and gold deposits. In one of the prospective areas that Breakwater will explore

during 2005-2006, a hole was drilled by Minnova 1992 that intercepted 0.2m of 21.3% zinc,

0.03% copper, 29 g/t silver and 34 g/t gold. The mill at Bouchard-Hébert remains in place pending

the outcome of the exploration program planned for 2005-2006.

At Langlois, Breakwater has budgeted $540,000 for exploration outside its existing mine licence.

There are currently many excellent targets that have been identified for exploration along the

geological corridor that hosts the Langlois deposits, as well as the Grevet B and Orphée deposits.

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 Myra Falls mine in British Columbia, 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, and is currently reviewing options for the

reopening of the mine.

Cautionary Note on Forward Looking Statements

Certain statements included in this news release are forward-looking statements, which are made

pursuant to the “safe harbor” provisions of the United States Private Securities Litigation Reform

Act of 1995. They include estimates and statements that describe the Company’s future plans,

objectives and goals, including words to the effect that the Company or management expects a

stated condition or result to occur. When used herein, words such as “will”, “pending”, “budgeted”

and other similar expressions are intended to identify forward-looking statements. Such forwardlooking

statements involve inherent risks and uncertainties and subject to other factors, many of

which are beyond our control that may cause the actual results or performance to differ materially

from those expressed or implied by such forward-looking statements. Such factors include,

among others, fluctuations in ore grade, geological and environmental risks, problems during the

development, construction and start-up phases of an underground mine, inadequacy of

environmental insurance. For a more comprehensive review of risk factors, please refer to the

Company’s most recent annual report under “Management’s Discussion and Analysis of Financial

Results” and Form 40-F under “Risk Factors” on file with the Canadian provincial securities

regulatory authorities and the U.S. Securities and Exchange Commission filed on SEDAR at

www.sedar.com. The Company disclaims any obligation to update or revise any forward-looking

statements whether as a result of new information, events or otherwise. Readers are cautioned

not to put undue reliance on these forward-looking statements.

For further information please contact:

Richard Godfrey

Vice President and Chief Financial Officer

(416) 363-4798 Ext. 276

Torben Jensen

Vice President, Engineering

 (416) 363-4798 Ext. 232