Abstract: Visual quality, low computational cost, and numerical stability are foremost goals in computer animation. An important ingredient in achieving these goals is the conservation of fundamental motion invariants. For example, rigid and deformable body simulation benefits greatly from the conservation of linear and angular momenta. In the case of fluids, however, none of the current techniques focuses on conserving invariants, and consequently, often introduce a visually disturbing numerical diffusion of vorticity. Just as important visually is the resolution of complex simulation domains. Doing so with regular (even if adaptive) grid techniques can be computationally delicate. In this article, we propose a novel technique for the simulation of fluid flows. It is designed to respect the defining differential properties, that is, the conservation of circulation along arbitrary loops as they are transported by the flow. Consequently, our method offers several new and desirable properties: Arbitrary simplicial meshes (triangles in 2D, tetrahedra in 3D) can be used to define the fluid domain; the computations involved in the update procedure are efficient due to discrete operators with small support; and it preserves discrete circulation, avoiding numerical diffusion of vorticity.