Aquila Resources Inc announced the resumption of drilling at its Back Forty Project in the Upper Peninsula of Michigan under a Subscription, Option and JV Agreement with HudBay Minerals Inc signed in August 2009.

The Back Forty Project is an advanced stage VMS deposit which contains multiple lenses of massive sulfide mineralization with closely associated gold and silver zones. In January 2009, an updated NI 43-101 compliant resource was released, with a measured and indicated resource of 8.5 million tonnes of 2.13 grams per tonne of gold, 30.6 grams per tonne of silver, 5.61% zinc and 0.51% copper. Approximately 6 million tonnes of the identified resource are potentially open pit ores and many of the individual zones comprising the resource are open for expansion.

Under the Back Forty Agreement, HudBay has an option to acquire a 51% ownership interest in the Project through the expenditure of USD 10 million within 3 years, amongst other conditions. The resumption of drilling will be funded by USD 1 million investments by HudBay, who are currently managing the development of the project. HudBay will provide exploration oversight and will work closely with Aquila team of experienced geologists to implement this next round of drilling.

Mr Thomas O Quigley president and CEO of Aquila commented that "Exploration and development activities under our agreement with HudBay at the Back Forty Project are proceeding smoothly and we are pleased to implement new drilling focusing on the excellent potential to expand the near surface resource of gold, silver and base metal mineralization at the project."