Document:

EXHIBIT 10.20.1

                             STATEMENT OF INTENT AND
                            CONFIDENTIALITY AGREEMENT

     THIS  STATEMENT  OF  INTENT  AND CONFIDENTIALITY AGREEMENT ("Agreement") is
made  and  entered  into  this  23rd  day  of  January,  2004 by and between the
Selnek-is  Tem-Al  Corporation  on behalf of the Torres Martinez Desert Cahuilla
Indians,  ("STC"),  a federally recognized Tribe, whose address is P.O. Box 160,
66725  Martinez  Rd,  Thermal,  California  92274,  and Western Goldfields, Inc.
("WGI"),  an  Idaho Corporation, whose residence is 550 West Plumb Lane B, Suite
440,  Reno,  Nevada  89509.

                                    RECITALS
                                    --------

     WHEREAS:  STC  is  interested  in  entering  into  an  agreement  for  the
exploration,  development,  and  mining of the Cahuilla Gold Project ("Project")
with  WGI;

     WHEREAS:  WGI  is  interested  in  providing  STC  a  formal  exploration,
development,  and  mining  agreement  for  the  Project;

     WHEREAS:  WGI  recognizes  that STC has developed or acquired technical and
other proprietary information of a confidential nature relating to the operation
and  management  of  the  Project,  including  but  not  limited  to,  know how,
processing  information,  steps  and  parameters, present and future methods and
equipment,  business  plans,  and  other  data;

     WHEREAS:  STC  recognizes  that WGI has developed or acquired technical and
other  proprietary  information  of  a  confidential  nature  relating  to  its
involvement  in  the mining industry and other related industries, including but
not  limited  to  financial  information;

     WHEREAS:  WGI  wishes  to  be guaranteed the exclusive right to prepare and
execute  a  formal  exploration  and  mining  agreement  for  the  Project;

     WHEREAS:  the parties wish to insure that confidential information that may
be disclosed by one to the other is treated in confidence and is used solely for
agreed  upon  purposes

     WHEREAS:  WGI desires to receive confidential information from STC, and STC
desires  to  receive  confidential  information  from  WGI, both for the limited
purpose  of evaluating the suitability of entering into a business relationship,
and  each  party  recognizes  the  importance  of  keeping  such  information in
confidence;

     NOW,  THEREFORE, in consideration of the Recitals hereinabove mentioned and
the  terms,  conditions,  covenants,  and warranties hereinafter mentioned to be
kept,  honored,  and  performed  by the parties, it is hereby agreed as follows:

<PAGE>
                              TERMS AND CONDITIONS
                              --------------------

     1.     TERM;  EXCLUSIVITY:

          a.     For a period of three (3) months, commencing upon the execution
of  this  Letter  of Intent, as approved by the parties, neither WGI nor the STC
shall  negotiate  with third parties nor make information available to any other
third  party  concerning  the  Project.  The  parties  may extend this period of
exclusive  negotiations  by mutual, written agreement, if necessary. During this
term,  WGI  will  endeavor  to complete a formal exploration/mining agreement as
quickly  as  possible.  Execution  of  any  form of exploration/mining agreement
entered  into  between  WGI  and  STC shall act to terminate this agreement, and
exclusivity  shall  from  then  on  be  governed by the terms of such agreement.

          b.     In  good faith, WGI agrees to provide STC a one-time payment of
$10,000  during  the term of this Agreement.  This payment shall be submitted to
STC  within  on  week  upon execution of this Letter of Intent.  This good faith
payment  is  completely independent of and has no association to or bearing upon
the  formal  exploration/mining  agreement.

     2.     ACCESS:

          a.     During  the  term  of  this  agreement, the STC shall allow and
assist  in  the access by WGI to technical data for the Project in possession of
the  Bureau of Indian Affairs ("BIA") Division of Energy and Minerals, Lakewood,
Colorado,  which  data  was  approved for public use by the Tribe and the BIA in
1999.

          b.     During  the  term  of  this  agreement, the STC shall allow WGI
access  to  the  Project site for the purpose of conducting geologic site visits
for  evaluation  purposes.  WGI shall notify the Tribe at least ten (10) days in
advance  of  such site tours. Site activities shall be limited to the evaluation
of geology and hand collection of rock samples. Because such site tours shall be
so  limited,  they  shall  not  constitute  or  be deemed mineral development or
exploration  and  will  require  no environmental permits or formal contact with
regulators.

     3.     COSTS:  WGI  shall  be  responsible  for  all  costs associated with
conducting  the  Project  evaluation,  including  but  not  limited  to  data
reproduction,  travel  expenses,  and  other  general  business  expenses.

     4.     EMPLOYMENT  OF  TRIBAL MEMBER: With the consent of the STC, WGI may,
from  time  to  time as needed, be assisted by a member of the STC to aid in its
evaluation  program.  Employment of any such individual must be approved by STC,
and  WGI  shall  reasonably  compensate  such individual for his or her time and
expenses  incurred.

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     5.     OWNERSHIP  OF DOCUMENTS: The Tribe shall have the exclusive right to
and  ownership  of  all  technical  data  and other documents that are generated
during  the  term  of  this  agreement.

     6.     REPORTS:  WGI  shall  provide  to  the Tribe monthly written reports
that,  specificity,  summarize  the  progress  of the evaluation of the project.

     7.     PREPARATION  OF  DOCUMENTS: The process of reaching agreement on the
Project  will  result  in  the execution of a exploration/ mining agreement that
will  set  forth  in  detail  the  parties'  mutual  understandings, rights, and
obligations,  for  the  overall Project. Such exploration/mining agreement shall
contain  terms  and conditions, similar in nature to those contained in the 1995
agreement executed between the Band and Kennecott Corporation. WGI shall provide
the STC and its attorney proposed agreements in hard copy and electronic storage
format.

     8.     CONFIDENTIALITY:

          a.     "Confidential  Information"  shall  mean  any  confidential
information  supplied  by  one  party  to  the  other  in  written,  geographic,
photographic,  or  other  tangible  form,  and  any  Confidential Information so
supplied shall be marked as "confidential." Any Confidential Information that is
disclosed  in oral form shall be confirmed in written summary form within thirty
(30)  days after disclosure to the recipient and shall be marked "confidential."
Confidential  Information shall not include information already in public domain
when  delivered  by  either  party,  even  if  marked  "confidential."

          b.     Upon  receipt  of any information marked "confidential," either
party,  within ten (10) days of receipt may request in writing an explanation as
to  the  need  for  such  information  to  remain  "confidential."

          c.     Each  party agrees that for a period of ten (10) years from the
date  it  receives  any  Confidential  Information from the other party, it will
limit  its  use  thereof to the evaluation of the suitability of entering into a
business  relationship  with the other and for the additional purpose, if deemed
appropriate  by  both  parties,  of  negotiating  the terms and conditions of an
agreement  between  them,  and for no other purpose unless the parties otherwise
agree  in  writing.

          d.     Each party agrees that, for a period of ten (10) years from the
date  it  receives  any  Confidential  Information  from the other party it will
maintain  confidence  and not disclose any information it received other than to
employees,  agents or vendors who have need to know the Confidential Information
for  the  purpose  described  herein  and  who  are  similar  obligations  of
confidentiality  and  non-use.

          e.     Each  party  agrees not to make many copies in whole or in part
of  Confidential  Information  belonging  to  the other or to analyze samples of
tangible  materials  included  herein,  and  further agrees, upon request by the
other  party,  to  return  all tangible materials, including documents furnished
hereunder and any notes or memoranda of

<PAGE>
conversations  relating  hereto,  including  any  copies  thereof,  except  the
recipient  may  retain  one copy of each such writing in its legal department in
order  to  be  able  to  monitor  its  obligations  hereunder.

          f.     Each  party shall be held to at least the same standard of care
in  protecting  any  confidential  Information  received  from  the  other as it
normally employs to preserve and safeguard its own Confidential Information of a
similar  kind.

          g.     No  right  or  license under any patent application, patent, or
any other proprietary right is granted hereunder by implication or otherwise and
no  commercial  obligation  the  part of either party is intended or undertaken.

          h.     Notwithstanding  the other provisions of this agreement, either
party  may disclose Confidential Information if required to make such disclosure
in  response to valid legal process; provided that such party shall make no such
disclosure  without  giving  the  other  party  immediate written notice of such
process  and  the  opportunity  to  intervene  and  object  to  disclosure.

     9.     TERMINATION

          a.     Either  party may terminate this agreement at any time, without
cause,  upon  thirty  (30)  days  written  notice.

          b.     In  the  case  of material breach of this Agreement by WGI, the
STC may terminate this Agreement immediately. For the purpose of this agreement,
"material  breach"  means  willful neglect of any duty imposed by the STC or any
violation  of  terms  in  this  Agreement.

     10.     GOVERNING  LAW:  This  Agreement  shall  be  deemed  to  have  been
negotiated  and  written by both parties and shall be construed and performed in
accordance  with applicable Tribal federal law. Notwithstanding any provision of
this  Agreement  to  the  contrary, and except as preempted by federal or Tribal
law,  the  parties  intend that, in any dispute or controversy arising out of or
involving  this  Agreement,  this  Agreement shall be construed according to the
applicable  laws  of  the  STC; provided that, in the absence of such applicable
laws, this agreement shall be construed using principles of the contract laws of
the  State  of California as guidance. This provision is not intended, nor shall
it  be  construed,  to incorporate or accede to the applicability of any laws of
the  State  of  California.

     11.     DISPUTE  RESOLUTION:  If a dispute arises between the parties as to
any  provision  of  this  Agreement,  the parties agree that the dispute will be
settled by arbitration. If the STC and the WGI mutually agree on the identity of
the  arbitrator, such arbitrator may hear and decide the dispute an issue. Where
the  STC and the WGI are unable to agree on the identity of a single arbitrator,
the  Tribe  will  name one, WGI will name one, and the two so chosen will name a
third  arbitrator.  Procedure  for  conducting  the  arbitration hearing will be
governed  by  the  rules  of the American Arbitration Association, or such other
rules  agreed upon by the parties, and the decision of the arbitrator(s) will be
binding upon both parties.

<PAGE>
The  parties  agree to share arbitration fees and costs equally. Nothing in this
Section  shall  be  deemed  to be a waver of the Tribe's immunity from suit. Any
agreement  the  parties  might  decide  to abide by any rules, including but not
limited  to  the  Rules  of  the  American  Arbitration  Association, to resolve
disputes  shall  not  be  deemed  in any way to constitute a waiver of the STC's
immunity.

     12.     ATTORNEYS'  FEES:  In  the  event it is necessary to sue to enforce
terms  and  provisions of this agreement, or in the event of any breach thereof,
the prevailing party in such action shall be entitled to recover, in addition to
all  other  relief granted, all reasonable attorney's fees and costs expended in
the  prosecution  or  defense  of  such  action.

     13.     SEVERABILITY:  In  the  event  that  any  term or provision in this
Agreement  shall  be  held  invalid  or  unenforceable  by  a court of competent
jurisdiction,  such  holdings  shall  not invalidate or render unenforceable any
other  term  or  provision  of  this  Agreement.

     14.     SOVEREIGN  IMMUNITY:  The  Parties  acknowledge  that  the  Tribe
possesses  immunity  from suit. Except as specifically provided in this section,
nothing  in  this  Agreement is or shall be deemed to be a waiver of the Tribes'
immunity, which immunity is expressly asserted; provided, however, to the extent
permitted  by  law  or regulation, the Tribe hereby expressly unequivocally, and
irrevocably  waives any immunity from suit it may enjoy for the limited and sole
purpose  of  enforcing rights and specific remedies granted under this Agreement
and  consents and attorns to the personal jurisdiction of any court of competent
jurisdiction  with  respect to any action, except one for monetary damages. This
waiver  is not intended, nor shall it be construed, to waive the immunity of the
Tribe  for  any  other  purpose or with respect to any claim or other matter not
specifically  mentioned,  and  is  not  intended to, nor shall it, extend to the
benefit  of any person other than WGI and the Tribe, their successors, and their
assigns.

     15.     INDEMNIFICATION:

          a.     In consideration of the terms and conditions of this Agreement,
the  STC  hereby agrees to indemnify WGI and its agents, employees, and assigns,
and  hold  them  harmless  for  and form any and all liabilities, claims, costs,
losses, and damages (not including reasonable attorney's fees) arising out of or
resulting from any prior agreement or contract with a third party if the subject
matter  of  such  prior  agreement  or  contract is similar or identical to that
contained  in  this  Agreement  and is in conflict with the terms and conditions
herein.

          b.     In consideration of the terms and conditions of this Agreement,
the  WGI  hereby agrees to indemnify STC and its agents, employees, and assigns,
and  hold  them  harmless  for  and form any and all liabilities, claims, costs,
losses, and damages (not including reasonable attorney's fees) arising out of or
resulting  from  any  entry  upon  Tribal  lands  by WGI, its agents, employees,
contractors, subcontractors, and assigns pursuant to the terms and conditions of
this  Agreement  or  raising  from  any accident or casualty thereon or form nay
cause  whatsoever  under  or  in  relation  to  this  Agreement.

<PAGE>
     16.     NO  IMPLIED  WAIVER:  The  failure  of  either party at any time to
require  performance  of  any  provision  hereof shall in no way affect the full
right  to  require  such  performance anytime thereafter. Further, the waiver by
either  party  of a breach of any provision hereof shall not constitute a waiver
of provision itself or any other succeeding breach of the same or any other such
provision.

     17.     ASSIGNMENT: This Agreement shall no be assigned in whole or in part
without  written  consent  of  the  parties.

     18.     BINDING  PROVISIONS:  The  provisions  of  this  agreement shall be
binding on the parties, their successors, and their assigns in like manner as on
the  original  parties  unless  modified  by  mutual  written  agreement.

     19.     NOTICE:  All  notices  or demands required or permitted to be given
hereunder  shall  be  in writing and shall be (i) delivered by certified mail to
the U.S. Postal Service, pre-paid postage or (ii) hand-delivered by a courier or
by a nationally recognized and reputable overnight delivery service. Each notice
shall, for all purposes, be deemed given and received: (i) if given by certified
mail,  return  receipt  requested,  postage  prepaid, when the return receipt is
signed;  or  (ii)  if  given  by a national overnight delivery service, when the
notice is actually received by the party. The notice shall be given to the party
at  its address first set fourth above or at such other address as the party may
later  specify  for that purpose by Notice to the other party. The provisions in
this Section governing the day on which a Notice is deemed to have been received
shall mean and refer to the date on which the intended party, and its council or
other  recipient  to  which  a copy of the Notice may be sent, is deemed to have
received  the  notice.  If  the  Notice is tendered under the provisions of this
Section and is refused by the intended recipient of the Notice, the Notice shall
nonetheless  be  considered  to have been given and shall be affective as of the
date  tendered. The contrary notwithstanding, any Notice given in a manner other
than that provided above, but actually received by the party, shall be effective
upon  receipt.

     20.     DELAY  OR  OMISSION:  No  delay  or omission to exercise any right,
power,  or  remedy accruing under this Agreement shall impair such right, power,
or  remedy,  nor  shall  it  be construed to be a waiver of or acquiescence in a
breach  of  or  default  under  the  Agreement.  BOTH  PARTIES  SPECIFICALLY AND
AFFIRMATIVELY AGREE NOT TO CONSTRUE THE CONDUCT, DELAY, OR OMISSION OF THE OTHER
PARTY  AS  ALTERING  IN  ANY  WAY  THE  PARTIES'  AGREEMENTS  AS  DEFINED IN THE
AGREEMENT.  Any  waiver,  permit,  or approval of any breach of or default under
this Agreement must be in writing, and, because the language of this Section was
negotiated and intended by both parties to be binding and is not a mere recital,
both  parties  hereby  agree  that  they  will  not  raise waiver or estoppel as
affirmative  defenses  so as to limit or negate the clear language and intent of
this  Section.  All  remedies, either under this Agreement, by law, or otherwise
afforded  to  either  party  shall  be  cumulative,  not  alternative.

     21.     HEADINGS:     The  headings  to  the  various  Sections  of  this
agreement  are  inserted only for convenience of reference and are not intended,
not  shall  be  construed, to modify, define, limit, or expand the intent of the
parties.

<PAGE>
     22.     ENTIRE  AGREEMENT;  MODIFICATION:  This  agreement  constitutes the
final  and entire agreement between the parties, and there is no other agreement
or  promise on the part of either party to do or omit to do any act or thing not
herein  mentioned.  This  Agreement  is  intended  as  a  complete and exclusive
statement  of  the terms and conditions of the parties' agreement and may not be
effectively  amended,  changed, modified, or altered without the written consent
of  both  parties.

     23.     COUNTERPARTS:     This  Agreement  may  be  executed in one or more
counterparts,  each  of  which  shall  constitute  an  original.

     IN WITNESS WHEREOF, the parties hereto have set their hands:

     Selnek-is Tem-Al (Red Earth) Corporation
     /s/  Rodney Bonner
     -------------------
     By:  Rodney Bonner, Chairman

     Attest:

     By:   ___________________________

     Western Goldfields, Inc.
     /s/  Thomas K. Mancuso
     ------------------------
     By:  Thomas K. Mancuso, President & CEO

     Attest:

     By:   _______________________________
           _____________,  its  __________

<PAGE>EXHIBIT 10.20.2

April 1, 2004

Mary Belardo
Selnek-is Tem-Al Corporation
Torres Martinez Desert Cahuilla Indians
P.O. Box 160, 66725 Martinez Road
Thermal, California 92274

     Re:  Statement  of  Intent  and Confidentiality Agreement dated January 23,
          2004  by  and  between  Western  Goldfields,  Inc. and Torres Martinez
          Desert  Cahuilla  Indian  Tribe

Dear  Mary:

     Pursuant  to  the  terms  of  the  above  captioned Statement of Intent and
Confidentiality  Agreement,  Western Goldfields, Inc. would like to request a 90
day  extension  commencing  on  April  23, 2004 while the Torres Martinez Desert
Cahuilla  Indian  Tribe  and  Bureau  of  Indian Affairs continues to review the
proposed  formal  Exploration/Mining  Agreement.

     If  you are in agreement with the proposed extension, please sign below and
return  a  copy of this letter to me.  Please feel free to give me a call at any
time  if  you  have  questions.

Sincerely,

Toby  Mancuso
President

Accepted and agreed to this 7th day of April 2004 by the Torres Martinez Desert
Cahuilla Indian Tribe.

By:    /s/  Mary E. Belardo
       --------------------
Name:  Mary E. Belardo
Title: Corporation Secretary

<PAGE>

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