Aguila Receives Drilling Permit, Hires Fugro for Ground Geophysics

Aguila American Gold Limited ("Aguila") or (the "Company")  (TSX VENTURE:AGL) is
pleased to announce it has received approval of the submitted Environmental
Impact Assessment ("EIA") by the corresponding government authorities within the
Ministry of Energy and Mines (Ministerio de Energia y Minas, MEM) of Peru. This
most important step for Aguila facilitates the advancement of its 100% owned
Angostura gold project providing complete authorization for its planned 7000
meter diamond drilling program to commence immediately while citing responsible
monitored use of water and resources as well as the construction of basic
support infrastructure.


With pre-operation infrastructure in final stages of readiness and receipt of
legal approvals from General Directorate of Mining (Direccion General de
Mineria) regarding the EIA, community agreement, work program, and environmental
monitoring, a newly constructed camp will facilitate drilling operations as well
as the final completion of a new community hall and the just commenced
rebuilding of the community chapel.


The Company is pleased with the development and relationship gained within the
local community of Mollepina and anticipates further cooperation amongst all
parties in aid of future project advancement.


The Company is also pleased to announce it has commenced an induced polarisation
and ground magnetometer geophysical survey and has contracted Fugro Ground
Geophysics, a member of the Fugro group of companies worldwide, represented in
Peru by Geoterrex, to complete an initial 65.7 line kilometres of induced
polarization offset pole-dipole surveying along with ground magnetics, both in
one geophysics campaign. In concert with the anticipated results of the upcoming
drill program the geophysics will greatly aid future diamond drilling campaigns
in determining if potential resource areas are accessible from surface or from
future underground drill stations along the known 5 km strike of the gold
bearing structure.


Additionally the Company is pleased to announce that Mr. Al MacGregor, of More
Core Diamond Drilling Services Ltd. ("More Core"), has arrived in Lima to
oversee the drilling contract and will be joined shortly by two more highly
experienced drill foreman. Mr. MacGregor has tremendous Latin American drilling
experience drilling in steep terrain and has overseen the commissioning, by
Multi-Power Products Ltd. of Kelowna, of a new, custom built, mid-sized,
man-portable diamond drill capable of delivering a larger-diameter drill core
product and expressly modified to meet the Company's criteria. This drill rig is
the first of its kind available in Peru and capable of meeting the Company's
negotiated mandate of an absolute minimum amount of surface disturbance. More
Core is expecting delivery in Lima of all necessary equipment, shipped from
Vancouver, British Columbia, by August 9th. The equipment is also readily
convertible for underground core drilling and available to the Company as it
advances its potential resource definition, pending results from this initial
surface diamond drilling campaign.


Mr. James A. McCrea., P. Geo., VP Exploration, a Qualified Person as defined by
NI 43-101, has reviewed this news release and approves all scientific and
technical disclosure. 


On behalf of the Board of Directors, 

Chris Verrico, Chief Operating Officer

Aguila American Gold Limited

Aguila American Gold Limited is an emerging gold exploration company with an
experienced geological and executive management team focused on advancing and
developing their flagship prospective gold project, Angostura. Angostura is
located 180 kilometers southwest of city of Cuzco, in the Department of
Apurimac, southwestern Peru. Angostura is located in a prolific mineral trend,
approximately 25km from the Las Bambas Mine, a $4.5 billion mining project being
developed by Xstrata Mining Pty.


For more information visit www.aguilaamerican.ca. 

Statements in this press release regarding the Company which are not historical
facts are "forward-looking statements" that involve risks and uncertainties.
Such information can generally be identified by the use of forwarding-looking
wording such as "may", "expect", "estimate", "anticipate", "intend", "believe"
and "continue" or the negative thereof or similar variations. Since
forward-looking statements address future events and conditions, by their very
nature, they involve inherent risks and uncertainties may prove to be inaccurate
for any reason whatsoever. Actual results in each case could differ materially
from those currently anticipated in such statements. Except as required by law,
the Company does not intend to update any changes to such statements.