May 12, 2005 16:25 ET

Sulliden Appoints New Director

MONTREAL, QUEBEC--(CCNMatthews - May 12, 2005) - The Board of Directors of Sulliden Exploration Inc. (TSX:SUE) announce the following changes to the Board effective immediately.

The Board welcomes the appointment of Mr. John F. Kearney as a Director. For over thirty years, John Kearney has held senior executive and advisory positions with junior and mid-tier companies engaged in mining operations and mineral exploration throughout North and South America, Australia and Ireland. A graduate of University and Trinity Colleges in Dublin with degrees in Law, Economics and a Masters in Business Administration, Mr. Kearney is a member of the Canadian Institute of Mining and Metallurgy and the Prospectors and Developers Association of Canada. A past Director of The Mining Association of Canada and The Gold Institute in Washington from 1982 to 1995, he currently sits on the boards of Canadian resource companies.

Mr. Kearney's appointment comes at a pivotal time as Sulliden strategically positions itself towards its next stage as a gold and silver developer/producer. His operating expertise will be of immense value to the Company.

Mr. Kearney replaces Mr. Guido del Castillo whose resignation has evolved from the ongoing contractual arrangements between Aruntani and Sulliden in a number of areas, including assisting in advancing the Shahuindo project to the next phase of development. This ensures an arms-length business relationship going forward in light of recent regulatory changes.

Over the last few months, Aruntani has been finalizing the Scoping Study over the main orebody at Shahuindo, results of which are expected to be announced shortly. Thereafter, it is expected that Sulliden and Aruntani will proceed with the feasibility study for a heap-leach gold and silver mining operation.

The arbitration process is almost complete and management remains confident that the result will be favourable to Sulliden.

Sulliden Exploration Inc. is a mineral exploration company focused on the development of its 100% interest in the Shahuindo gold-silver project located 25 km north of Alto Chicama and 70 km south of Yanacocha in northern Peru. On April 29, 2005, Sulliden announced an updated resource estimate encompassing the results of the 2004 drilling program. The resource now stands at 1.5 million ounces of gold at an average grade of 0.85 g/t Au and 35.2 million ounces of silver at an average grade of 19.83 g/t Ag, for a total gold equivalent of 2.1 million ounces of gold at a current gold to silver ratio of 1:60 (see Metchem Canada report posted on Sedar).

In addition, Sulliden has an option interest to acquire 66% of an adjacent 1,900 hectares known as the Vikingo concessions which brings the Company's land holdings in this exciting gold district to almost 10,000 hectares. In southern Peru, Sulliden, through a subsidiary, has entered into an option agreement to earn a 50% interest in the Torrine gold project with Aruntani SAC and affiliates.

Certain of the information contained in this news release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include without limitation, statements regarding estimates of reserves and resources, future plans and objectives, results of exploration, uncertainty with respect to changes in general economic or political conditions, title to properties, litigation, legislative, environmental and other judicial, regulatory and competitive developments in areas in which the Company operates. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Sulliden's expectations are disclosed under the heading "Risk Factors" in its 2004 Annual Report as well as in its Annual Information Form (AIF) both of which are filed with Canadian regulators on SEDAR.

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