Far West Mining Ltd.
TSX : FWM

Far West Mining Ltd.

August 14, 2008 16:30 ET

Far West Mining Closes $10,101,250 Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 14, 2008) - Far West Mining Ltd. (the "Company") (TSX:FWM) advises that it has closed the financing announced on July 28, 2008 for gross proceeds of $10,101,250.

The Pacific Road Resources Funds ("PRRF") managed and advised by Pacific Road Capital Management Pty Ltd. of Sydney, Australia ("PRCM") subscribed for 3,175,000 units at $3.15 per unit. The units consist of a special warrant exercisable to acquire a common share of the Company (a "Share") for no additional consideration (a "Special Warrant") and one-half of one transferable common share purchase warrant (a "Purchase Warrant"). An additional 31,746 units at $3.15 per unit were subscribed for consisting of one Share and one-half of one Purchase Warrant. The terms of the Special Warrants and the Purchase Warrants are as outlined in the News Release of July 28, 2008.

The Company paid a transaction fee of 2.5% to PRCM. The Company also paid a 4% cash finder's fee and issued 158,750 non-transferable warrants ("Finders Warrants") to Sattva Capital Corp. ("Sattva"), with respect to the purchase by PRRF. Each Finders Warrant will entitle Sattva to purchase a Share at a price of $4.25 for 12 months after the Closing Date.

The net proceeds of the financing will be used primarily to accelerate development of the Santo Domingo Property in Chile including drilling to increase the resource base and detailed metallurgical testing.

Far West Mining Ltd. is an international mineral exploration company engaged in the evaluation, acquisition, exploration and development of mining properties in Chile, Argentina and Australia. For further information investors should review the Company's filings that are available at www.farwestmining.com and www.sedar.com.

FAR WEST MINING LTD.

Robert E. Hindson, P.Eng., President and C.E.O.

The TSX does not accept responsibility for the adequacy or accuracy of this news release

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