Strategies / Objectives

Eastern Goldfields Inc. is pursuing a strategy of growth in its gold production and mineral resource and reserve inventory through:

• optimizing its current mining operations,
• mineral exploration and prospecting of its extensive mineral rights, and
• prudent acquisitions.

EGI has the expertise and highly prospective properties necessary to grow in value. The Company is led by an experienced management team and Board of Directors who are made up of professional geologists, engineers and accountants with significant hands-on experience in every stage of gold exploration, development and production.

In order for it to meet its strategic objective of producing 100,000 ounces per annum within the next 3 years, the company has set itself the following targets for 2009:

• Optimize the extraction of gold from underground at the Lily Mine, for which a total production yield of 18,000 oz. is estimated for the twelve months of 2009. It is anticipated that production from Lily Mine will reach 35,000 oz per annum by 2010.
• Raise funding of up to $25m, most of which will be used for underground development at the Lily Mine and refurbishment of the Barbrook plant.
• Commence technical work at the Barbrook Mine with the objective of producing from underground during the year.
• Expand the processing capacity of the Barbrook metallurgical plant to accommodate the treatment of Lily and Barbrook ore.
• Conduct pre-feasibility studies on newly discovered depth extensions of the dormant Worcester Mine ore body.
• Investigate the viability of bringing other surface souces of gold into early production.
• Continue exploration over the other properties with the objective of selecting prospects for detailed investigation.