Western Goldfields Completes Initial Exploration Program at Mesquite Mine



    
    -   Exploration drilling at Vista intersects 30 feet of 0.562 ounces of
        gold per ton external to the current design pit
    -   Exploration drilling at Brownie Hill identifies a potential new oxide
        zone intersecting 130 feet of oxide mineralization averaging
        0.021 ounces of gold per ton
    -   Prestripping and construction on schedule for January 2008 production
    

    TORONTO, Sept. 6 /CNW/ - Western Goldfields Inc. (TSX:WGI, OTC
BB:WGDFF.OB) is pleased to announce the completion of its initial exploration
program at its wholly-owned Mesquite Mine in Imperial County, California. A
total of 125 reverse circulation drill holes (100,385 feet) have been
completed and analytical results have been received for all drill holes.
    Western Goldfields announced a 70,000-foot program of exploration
drilling in September 2006. Due to positive results from the Brownie Hill
area, the program was increased to 100,000 feet to allow for further infill
and exploration drilling to increase the Resource. The following is a
description of the results from the areas drilled during our 2006-2007
drilling program. The Company intends to update its Reserve and Resource
estimates in conjunction with the release of its year-end 2007 financial
statements, early next year.
    "The high grade zone discovered in Vista continues to demonstrate the
potential for additional ounces that exists at Mesquite, and our exploration
drilling at Brownie Hill has identified a potential new oxide zone," said
Raymond Threlkeld, President and Chief Executive Officer. "The Company plans
to conduct follow-up drilling in 2007-2008 to expand the zones discovered at
Brownie Hill and Vista."

    Vista
    -----
    Eight drill holes were completed to test the deep, non-oxide
mineralization previously identified at Vista. Significant results include
hole WM-123 which intersected 30 feet of non oxide mineralization averaging
0.562 ounces of gold per ton and hole WM-21 which intersected 150 feet of
non-oxide mineralization, averaging 0.015 ounces of gold per ton. Both holes
confirm the presence of non-oxide mineralization external to the current
reserve pits.

    Brownie Hill
    ------------
    The majority of the initial exploration program was directed towards
increasing the Reserve and Resource estimates at Mesquite through infill
drilling at Brownie Hill. An updated Reserve and Resource estimate was
reported March 26, 2007, and included results from 27 of 82 drill holes at
Brownie Hill. Since that estimate, assay results have been received for all
drill holes, which allows us to phase the mining at Brownie Hill. Significant
results include hole WM-55, intersecting 295 feet of oxide mineralization
averaging 0.021 ounces of gold per ton and hole WM-108, intersecting 125 feet
of non-oxide mineralization averaging 0.050 ounces of gold per ton. Both holes
extend the previously identified Brownie Hill mineralization to the southeast
external to the current reserve pits. Brownie Hill infill drilling and
exploration drilling in 2007 is expected to provide a slight increase to the
Reserve and Resource estimates, when released early next year in conjunction
with the release of its year-end 2007 financial statements.
    In addition, results have been received for twelve exploration holes that
were drilled to expand the Brownie Hill resource trend. Hole WM-92 intersected
130 feet of oxide mineralization averaging 0.021 ounces of gold per ton in
what is interpreted to be a parallel zone to the main Brownie Hill trend.
Hole WM-84, drilled to test the main Brownie Hill mineralized trend 1,250 feet
to the southeast, intersected 120 feet of non-oxide mineralization averaging
0.020 ounces of gold per ton. The Company is preparing a drilling program
commencing in the fal of 2007 to follow up on these previously unknown zones.

    Big Chief
    ---------
    Condemnation drilling in the Big Chief pit, designed to identify suitable
areas for waste backfilling, has identified additional oxide and non-oxide
mineralization. Eleven of the seventeen holes drilled encountered near pit
bottom oxide and/or non-oxide mineralization. This mineralization is scheduled
to be mined prior to waste backfilling the Big Chief pit. The remaining six
holes confirmed the areas to be backfilled early in the mining sequence.
Significant results include hole WM-66 which intersected 30 feet of non-oxide
mineralization averaging 0.098 ounces per ton of gold approximately 55 feet
below the current pit bottom.

    Rainbow
    -------
    Six drill holes were completed to test oxide and non-oxide mineralization
internal to the Rainbow reserve pit. Significant results include hole WM-124
which intersected 120 feet of oxide mineralization averaging 0.026 ounces of
gold per ton and 560 feet of non-oxide mineralization averaging 0.020 ounces
of gold per ton. Hole WM-125 intersected 185 feet of oxide mineralization
averaging 0.023 ounces of gold per ton. Results were consistent with
mineralization lying below the Rainbow pit.

    Mesquite Mine Development
    -------------------------
    Since the first quarter of 2007, Western Goldfields has been vigorously
executing its expansion program at Mesquite. Accomplishments to date are:

    
    -   The leach pad liner is being placed;
    -   Prestripping is averaging 130,000 tons per day;
    -   Two hydraulic shovels and a new LeTourneau 1350 front-end loader are
        operating;
    -   Ten Terex haul trucks are commissioned and in full operation;
    -   Approximately 40,000 tons of new ore has been stockpiled on Pad 6;
    -   The new truck shop construction has commenced; and
    -   The new water line has been completed.
    

    All prestripping and construction activities are on schedule for full
production of 160,000 - 170,000 ounces of gold annually, commencing in
January 2008.
    "Our prestrip mining and construction of the leach pad and facilities is
on schedule to bring the mine into full production in January 2008, three full
months ahead of the feasibility schedule," said Mr. Threlkeld. "We have ramped
up to over 160 employees and are currently mining an average of 130,000 tons
per day. We have stockpiled about 40,000 tons of ore and anticipate loading
the new leach pad in October."

    Western Goldfields Inc.
    -----------------------
    Western Goldfields is a gold producer focused on completing the expansion
of its Mesquite Mine, located in Imperial County, California, and returning
the mine to full production. With a 2.8 million ounce gold reserve, the
Company is the only multi-million ounce US gold reserve not controlled by a
major gold company. The Company is fully permitted and fully funded, and
estimates production of 160,000-170,000 ounces of gold annually. In June 2007,
Western Goldfields announced that its production schedule has been moved ahead
by one full quarter, which will bring the company into full production by
January 2008. Western Goldfields Inc. is listed on the Toronto Stock Exchange
and trades under the symbol WGI, and is quoted on the OTCBB under the symbol
WGDFF.OB. For further details regarding the mineral reserves and mineral
resources at Mesquite, please visit www.westerngoldfields.com.

    Notes regarding Technical Information
    -------------------------------------
    The data contained in this news release has been prepared by or under the
supervision of Wes Hanson, P.Geo., Vice President of Mine Development, Western
Goldfields, and the Qualified Person for the project. A partial table of
select drill results is included in the Appendix to this release. A complete
summary of results from all drilling returned to date as well as updated plans
and sections of the drill results outlined in this release are available at
Western Goldfield's website at www.westerngoldfields.com.
    Detailed description of the geology, mineral occurrences and nature of
the mineralization at Mesquite as well as details regarding the sample
spacing, collection, preparation and data verification are outlined in the
Technical Report dated May 26, 2006, titled Mesquite Gold Project Imperial
County, California, USA; prepared by Independent Mining Consultants Inc. All
data disclosed herein has been collected with a Quality Assurance and Quality
Control (QA/QC) procedure in place. The QA/QC procedure employs the use of
standard reference material (SRM), duplicates and check assays.
    SRMs are inserted into the sample stream at a rate of 1 SRM for every
20 samples. Duplicate samples are prepared at a rate of one duplicate in
40 samples, duplicate samples are selected randomly. Reject duplicates are
prepared during sample preparation at a rate of one reject duplicate for every
5 samples. For every 100 samples submitted for analysis, a total of
4 duplicate samples, 20 reject duplicate samples and 5 SRMs are added as part
of the company's QA/QC procedure.
    All analyses were performed by American Assay Laboratories, Inc. (Reno,
Nevada, USA), an ISO/IEC 17025 certified laboratory. Assay results are
received electronically from the lab. Site personnel review all results and 5%
of the samples are randomly selected for check assaying. As a final step, 10%
of the reject duplicates are prepared as pulps and submitted to the original
lab and the Mesquite lab for analysis. These samples are then re-submitted to
a second lab for comparative analysis.
    Results of the QA/QC data are monitored by site staff. Where results fall
outside of specification, the site staff will request that a sample series be
re-assayed.

    Forward-Looking Information
    ---------------------------
    Certain statements contained in this news release and subsequent oral
statements made by and on behalf of the Company may contain forward-looking
information within the meaning of the United States Private Securities
Litigation Reform Act of 1995 and similar Canadian legislation. Such
forward-looking statements are identified by words such as "intends",
"anticipates", "believes", "expects", and "hopes" and include, without
limitation, statements regarding the Company's plan of business operations,
timing and costs to recommence commercial production, potential increase in
estimates of mineral resources or reserves, economic viability of the Mesquite
Mine, financing options, including entering into a debt financing arrangement,
and the consequences thereof, potential contractual arrangements, receipt of
working capital, anticipated revenues, exercise of outstanding warrants, and
capital and operating expenditures. There can be no assurance that such
statements will prove to be accurate; actual results and future events could
differ materially from such statements. Factors that could cause actual
results to differ materially include, among others, the uncertainties involved
in interpreting drilling results and those set forth in the Company's Annual
Report on Form 10-KSB for the year ended December 31, 2006 filed with the U.S.
Securities and Exchange Commission, under the caption, "Risk Factors". Most of
these factors are outside the control of the Company. Investors are cautioned
not to put undue reliance on forward-looking statements. Except as otherwise
required by applicable securities statutes or regulation, the Company
disclaims any intent or obligation to update publicly these forward-looking
statements, whether as a result of new information, future events or
otherwise.

    Cautionary Note to U.S. Investors Concerning Estimates of Measured,
    -------------------------------------------------------------------
    Indicated and Inferred Resources
    --------------------------------
    This press release uses, or refers to documents that use, the terms
"measured", "indicated" and/or "inferred" mineral resources. United States
investors are advised that while such terms are recognized by Canadian
regulations, the United States Securities and Exchange Commission does not
recognize them. United States investors are cautioned not to assume that all
or any part of mineral resources will ever be converted into mineral reserves.
Inferred mineral resources have a great amount of uncertainty as to their
existence, and as to their economic and legal feasibility. It cannot be
assumed that all or any part of an inferred mineral resource will ever by
upgraded to a higher category. Under Canadian rules, estimates of inferred
mineral resources may not form the basis of feasibility or other economic
studies. United States investors are cautioned not to assume that all or any
part of an inferred mineral resource exists, or is economically or legally
mineable.


    
                                   APPENDIX
                                MESQUITE MINE
                           Select Drilling Results
                              September 6, 2007

    -------------------------------------------------------------------------
                                                 Intersection      Assay
                                               ------------------------------
    Target    Hole ID   Type          Horizon     From    To  Interval  Gold
                                                                        (Au
                                                 (feet) (feet) (feet) oz/ton)
    -------------------------------------------------------------------------
    Brownie    WM-26    Infill        Oxide        350    555    205   0.011
               WM-27    Infill        Oxide        335    590    255   0.013
               WM-29    Infill        Oxide        320    550    230   0.012
               WM-35    Infill        Oxide        445    525     80   0.013
               WM-35    Infill        Non-oxide    525    635    110   0.013
               WM-38    Infill        Oxide        335    535    200   0.014
               WM-40    Infill        Oxide        360    615    255   0.012
               WM-47    Infill        Oxide        450    535     85   0.027
               WM-47    Infill        Non-oxide    535    585     50   0.039
               WM-48    Infill        Oxide        405    525    120   0.031
               WM-48    Infill        Non-oxide    525    705    180   0.015
               WM-50    Infill        Oxide        515    560     45   0.034
               WM-53    Infill        Oxide        265    380    115   0.021
               WM-55    Infill        Oxide        345    640    295   0.021
               WM-56    Infill        Oxide        390    555    165   0.010
               WM-57    Infill        Oxide        345    510    165   0.015
               WM-57    Infill        Non-oxide    585    670     85   0.028
               WM-58    Infill        Oxide        405    590    185   0.009
               WM-76    Infill        Oxide        315    675    360   0.015
               WM-84    Exploration   Non-oxide    345    465    120   0.020
               WM-89    Exploration   Non-oxide    530    805    275   0.013
               WM-92    Exploration   Oxide        505    635    130   0.021
               WM-96    Infill        Oxide        355    505    150   0.009
               WM-108   Infill        Non-oxide    500    625    125   0.050
    -------------------------------------------------------------------------
    Big Chief  WM-62    Condemnation  Non-oxide    125    175     50   0.023
               WM-66    Condemnation  Non-oxide     55     85     30   0.098
               WM-80    Condemnation  Oxide          5     30     25   0.022
               WM-81    Condemnation  Oxide        300    320     20   0.013
               WM-82    Condemnation  Oxide        325    345     20   0.029
    -------------------------------------------------------------------------
    Vista      WM-21    Exploration   Non-oxide    590    740    150   0.015
               WM-122   Exploration   Non-oxide    460   1290    830   0.018
               WM-123   Exploration   Non-oxide    435    610    175   0.120
                                      (incl)       435    465     30   0.562
    -------------------------------------------------------------------------
    Rainbow    WM-124   Infill        Oxide        360    480    120   0.026
                                      Non-oxide    480   1040    560   0.020
               WM-125   Infill        Oxide        255    440    185   0.023
                                      Non-oxide    440    540    100   0.018
    -------------------------------------------------------------------------
    





For further information:

For further information: please visit www.westerngoldfields.com, or
contact: Raymond Threlkeld, President and Chief Executive Officer, (416)
324-6005, rthrelkeld@westerngoldfields.com; Julie Taylor Pantziris, Director,
Regulatory Affairs and Investor Relations, (416) 324-6015,
jtaylor@westerngoldfields.com

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