Participant is hired 3/24/04 works 1000 hrs and terminates 9/20/04.
He gets rehired on 6/6/05 and works the entire 2005 plan year, obtaining another 1000 hrs.

Would he become eligible 7/1/05 since he worked 1000 hr the first year and got rehired in 2005?

I vote Yes, it does not look like he ever had a break in service.