Attention Business Editors:

Western Goldfields Announces Production Ahead of Schedule by Three Months

     -  Full production pulled forward to January 2008
     -  Prestrip mining commenced June 2007
     TORONTO, June 18 /CNW/ - Western Goldfields, Inc. (TSX:WGI, OTC
BB:WGDF.OB) today announced that it has pulled forward gold production at its
Mesquite Mine to January 2008, three months ahead of schedule. Estimated
average annual production is 160,000 - 170,000 ounces of gold for the period
2008 - 2015. In addition, the Company announced that its prestrip mining
commenced in June 2007. All currency amounts are in U.S. dollars.
     "This acceleration of production is very exciting news for our
shareholders," said Randall Oliphant, Chairman. "This marks an important step
in the transformation of Western Goldfields from a developer to a producer -
only 22 months after our management team joined the Company. The completion of
our financing and entering into the forward sales program, announced on
June�14th, allows us to move forward rapidly with mining and construction. We
expect to realize cash flow from operations much sooner, with a full year of
gold production in 2008, which should translate into enhanced shareholder
value."
     Three of fourteen Terex 205-ton haul trucks have arrived at the Mesquite
Mine site, along with two O&K RH 340, 45 cubic yard hydraulic shovels. The
shovels are fully commissioned and one is currently operating. All other
critical mining equipment has been assembled and commissioned. These steps
will allow the Mesquite Mine to ramp up production quickly as additional haul
trucks are delivered, commissioned and put into service.
     Under this new production schedule, estimated average cost of sales has
increased from $335 per ounce to $350 per ounce for the first eight years of
the mine plan. This increase is due to the operating costs associated with the
purchase of one additional truck, the escalating cost of employment insurance
in California, and enhanced employee benefits.
     Initial capital costs are estimated at $108.6 million, unchanged from
previously announced estimates. The mine life was lengthened to 12 years from
an initial 9-1/2 years due to the increase in gold reserves. As a result,
life-of-mine capital costs have increased marginally from $112.5 million to
$114.9 million, due to increased estimates for fleet rebuild costs over the
extended life of the mine.
     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
WGDF.OB. The Company currently has 113,631,153 common shares issued and
outstanding and 143,106,483 shares of common stock on a fully diluted basis.
For further details, please visit www.westerngoldfields.com.
     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, 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, 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.

For further information: please visit www.westerngoldfields.com, or contact
Raymond Threlkeld, President and Chief Executive Officer, (416) 324-6005,
rthrelkeld@westerngoldfields.com; Brian Penny, Chief Financial Officer,
(416) 324-6002, bpenny@westerngoldfields.com; Julie Taylor Pantziris,
Director, Regulatory Affairs and Investor Relations, (416) 324-6015,
jtaylor@westerngoldfields.com