WGI Heavy Minerals Shareholders Vote Overwhelmingly for Company Nominees to Board of Directors

COEUR D'ALENE, ID, June 25 /CNW/ - WGI Heavy Minerals, Incorporated (TSX: WG) today announced that the Company's nominees to the Board of Directors received overwhelming support at the Annual General Meeting held in Toronto.

Approximately 80% of the votes cast at the meeting supported WGI's nominees to the Board. The nominees proposed by dissident shareholder Passport Capital LLC ("Passport") approximately received 20% of the votes. At the meeting, the Company nominees were supported by approximately 95% of the votes from shareholders other than Passport.

As a result of the shareholder vote, the Company's Board of Directors consists of Chairman Covell Brown, Robert Ackerman, Michael Burns, Mark Curry, Gregory Emerson, Gordon Fear and Kitson Vincent. Shareholders also established the number of directors at seven.

Total votes for the Company nominees were 15.3 million, compared with 3.9 million for the Passport nominees.

"We welcome the support from our shareholders which gives your Board a strong mandate to complete the sale of WGI's 74% interest in Transworld Garnet India (Pvt.) Limited to expedite the announced special distribution of US$0.80 per WGI share, and to rebuild the value of the Company," said Mr. Brown. "With new senior management in place, we will continue to identify and act on growth opportunities with the potential to add value for our shareholders."

About WGI

WGI Heavy Minerals, Incorporated is a fully integrated miner, producer, and marketer of industrial-grade minerals and replacement part for ultra-high pressure waterjet cutting systems. The Company's shares are listed on the Toronto Stock Exchange under the symbol WG.

This press release contains forward-looking statements concerning the business, operations, and financial performance and condition of WGI Heavy Minerals, Incorporated. A number of the matters discussed and statements made in the press release contain forward-looking statements reflecting current expectations regarding future assets. When used in this press release, the words "believe", "anticipate", "intend", "estimate", "expect", "project", and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such words. These forward-looking statements are based on current expectations and are naturally subject to risks, uncertainties, and changes in circumstances beyond management's control that may cause actual results to differ materially from those expressed or implied by such forward-looking statements. Factors that may cause such differences include but are not limited to: exploration and development risks; risks related to permits and title to property; risks related to foreign countries and regulatory requirements; operating hazards; foreign currency fluctuations; competition; fluctuations in the market price of mineral commodities and transportation costs; uncertainty as to calculations of mineral deposit estimates; uninsured risks; and dependence upon key management personnel and executives. Actual results may differ materially from those expressed here. You should not place undue reliance on such forward-looking statements. The Company is under no obligation to update or alter such forward-looking statements, whether as a result of new information, future events, or otherwise.

Contacts

Ed Kok
Investor Relations
810 Sherman Avenue
Coeur d'Alene
ID
83814
U.S.A.
(208) 770-2208
Fax (208) 666-4000
www.wgiheavyminerals.com
E-mail: ed@wgiheavyminerals.com