Western Goldfields (WGW)

[Picassa]

Western Goldfield provides an update on the its recent entry into a fuel hedging program and revisions to the terms of its credit facility (WGW) 1.30 -0.09 : Co provides an update on the its recent entry into a fuel hedging program and revisions to the terms of its credit facility as a result of the new mine plan announced in September 2008. Co entered into a diesel fuel hedging program for approximately 25% of the Mesquite Mine's diesel requirements for each of the next two years. Co revised the terms of its credit facility including: approval of the new mine plan, timing of completion test and debt repayment schedule. As Mesquite is estimated to generate greater cash flow over the coming years under the new mine plan, the repayment period of the facility was accelerated by two years allowing Western Goldfields to fully repay its debt by December 2012. At September 30, 2008 Western Goldfields had $45.4 mln of cash, including $7.5 mln of restricted cash, and $86.3 million of debt outstanding.