HORNBY BAY EXPLORATION LIMITED

SUITE 408, 133 RICHMOND STREET WEST,
TORONTO, ONTARIO M5H 2L3
PHONE: (416) 368-0114         FAX: (416) 368-0198


December 22, 2003 - Symbol: YHB (TSXV)
Shares Outstanding: 29,730,459
CLOSE: December 19, 2003: $0.19

HORNBY BAY APPOINTS NEW DIRECTOR AND COMPLETES DEBT SETTLEMENT

Hornby Bay Exploration Limited (TSX Venture: YHB) is pleased to announce that Mr. J. Birks Bovaird has been appointed to its board of directors. Mr. Bovaird is President of Toorak Holdings Limited, a private corporate finance and investment company. Prior to forming Toorak Holdings, he was a founding partner of the Argyle Group Limited, a corporate finance boutique which specializes in arranging both private debt and equity placements for mid sized Canadian companies.

In connection with Mr. Bovaird's appointment, Mr. Brady, President of the Company, has agreed to resign from the Company's audit committee and Mr. Bovaird has been appointed in his stead.

In addition, further to its press release of November 21, 2003, the Company wishes to announce that it has received regulatory approval for the settlement of an aggregate of $135,543.60 of indebtedness owed to an arm's length creditor through the issuance of 542,175 common shares of the Company. The shares issued pursuant to the settlement are subject to a twelve month hold period.

For further information contact:
James Brady
Hornby Bay Exploration Ltd.
Tel: 416-368-0114
Fax: 416-368-0198
E-mail: jbrady@hornbybay.com
The company website is at www.hornbybay.com.

James. M. Brady,
President and CEO
Hornby Bay Exploration Limited


THE TSX VENTURE EXCHANGE HAS NEITHER APPROVED NOR DISAPPROVED THE CONTENTS OF THIS RELEASE.