（July 21, 2014）Western Areas (WSA or the Company) (ASX:WSA) is pleased to report another solid quarterly performance and excellent full year results on safety, costs, operational metrics and positive free cashflow generation. Unit cash cost of production was A$2.61/lb of nickel in concentrate for the quarter, with full year unit cash cost at A$2.50/lb (US$2.28/lb) which is 7.4% below the full year guidance of A$2.70/lb.

As a result of the stronger nickel price for the quarter, consolidated cash at bank increased by A$55.0m to A$230.5m (which includes A$3.1m of funds held by the majority owned FinnAust Mining Plc). Excluding the equity placement proceeds received of A$17.7m and the interim A$2.3m dividend paid during the quarter, free cashflow for the quarter was A$39.6m representing the strongest cashflow quarter in over two years. The Company has now moved from a net debt position to net cash of A$10.3m.

Full year mine production stands at 598,959 tonnes of ore at an average grade of 4.8% for 28,686 nickel tonnes (1,686t of nickel ahead of guidance), comprising a record year of annual production from Spotted Quoll of 13,973 nickel tonnes and 14,713 tonnes of nickel in ore from Flying Fox. Full year nickel in concentrate production of 25,700 tonnes was also ahead of guidance.

The Indonesian Government’s ongoing ban on the export of unprocessed laterite ore has continued to support the strengthening of the nickel price which has increased over 30% since January 2014. Based on media reports and commentary, the ban for laterite ore exports is expected to remain fully enforced after the elections are completed in July.

• [Editor:Juan]