Fronteer Gold Inc.
TSX : FRG
AMEX : FRG

Fronteer Gold Inc.

October 11, 2007 12:03 ET

Fronteer Development Group Inc.: Drill Results Reinforce Strong Growth Potential of Northumberland Gold Deposit in Nevada

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 11, 2007) - Fronteer Development Group (TSX:FRG)(AMEX:FRG) ("Fronteer" or "Company") is pleased to announce drill results reinforcing the strong growth potential of the Northumberland gold deposit, one of the Company's principal Nevada assets obtained through the recent acquisition of NewWest Gold.

Northumberland is one of the largest undeveloped Carlin-style gold deposits in Nevada with an estimated resource of 2.06 million ounces of gold (measured and indicated), 0.40 million ounces of gold (inferred), and 5.11 million ounces silver (inferred) - see resource estimate table below.

Northumberland has been the focus of considerable drilling over the past 18 months, the results of which have not yet been incorporated into a revised resource estimate. The results from more than 50 drill holes include some of the highest grade gold intersections encountered on any of Fronteer's projects. Fronteer will be integrating these positive results into a new resource estimate in the coming months.

Highlights from drilling completed since the existing NewWest resource estimate (published July 15, 2006, and based on drilling up to the end of 2004) are as follows:



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IMPERIAL UNITS METRIC UNITS
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Length Grade Length
From To (feet) (Au oz/ton) (metres) Grade
Drill Hole (feet) (feet) (ii) (i) (ii) (Au g/tonne)
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NUN-96 725 765 40 0.247 12.19 8.47
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NUN-98 680 770 90 0.147 27.43 5.04
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NN-45 1565 1655 90 0.118 27.43 4.05
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NN-56 770 1060 290 0.118 88.39 4.05
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NN57 750 900 150 0.130 45.72 4.46
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NN-59 440 535 95 0.170 28.96 5.83
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Including 440 490 50 0.242 15.24 8.30
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NN-62 505 570 65 0.186 19.81 6.38
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And 725 735 10 0.138 3.05 4.73
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And 740 775 35 0.122 10.67 4.18
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NN-63 720 875 155 0.175 47.24 6.00
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Including 720 820 100 0.226 30.48 7.75
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And 990 1015 25 0.437 7.62 14.98
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NN-64 785 865 80 0.215 24.38 7.37
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Including 800 830 30 0.306 9.14 10.49
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And 1170 1190 20 0.156 6.10 5.35
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NN-66 740 790 50 0.223 15.24 7.65
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Including 765 785 20 0.401 6.10 13.75
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NUN-74 30 70 40 0.285 12.19 9.77
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NUN-75 420 495 75 0.159 22.86 5.45
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NUN-82 1680 1755 75 0.176 22.86 6.03
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Including 1725 1755 30 0.246 9.14 8.43
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NUN-83 1615 1665 50 0.198 15.24 6.79
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Including 1650 1660 10 0.448 3.05 15.36
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NUN-85 1415 1485 70 0.153 21.34 5.25
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(i) Composites calculated using cut-offs of: 0.010 oz/ton (0.34 g/tonne)
for oxide, and 0.05 oz/ton (1.71 g/tonne) for sulphide
(ii) The geometry of the mineralized bodies has been modeled in detail and
is well-understood. The intervals shown are believed to be
approximately 90% of true width, or better.


"Northumberland is a key project in our gold portfolio and one of six advanced stage projects in our international pipeline. We see Northumberland as a big and robust deposit with the potential to move toward the feasibility stage," says Dr Mark O'Dea, President and Chief Executive Officer of Fronteer. "The combination of our new Nevada focus with our significant Turkish assets creates an outstanding platform for growth."

Northumberland is currently 100%-owned by Fronteer. Newmont Mining Corporation is earning a 60% interest in Northumberland by spending a total of US$25 million on the project by 2010, including minimum annual expenditures of US$5 million starting in 2008. If Newmont vests, Fronteer receives a 3% net smelter return royalty on 100% of production and reserves the option for Newmont to finance its 40% share of mine development costs. Northumberland's gold resource is located entirely on private lands, which greatly facilitates the permitting process.

Northumberland is one of 19 new projects obtained through the recent acquisition of NewWest Gold. Three of these projects - Northumberland, Sandman and Zaca - have NI-43-101 resources (See Press Release 07-45). Of the remaining 16 projects, 12 have drill-indicated gold mineralization.

NORTHUMBERLAND 43-101 RESOURCE ESTIMATE



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Measured Gold
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Type Cut off Grade Grade Au
oz/ton Tons oz/ton g/tonne Ounces
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Oxide 0.01 8,951,000 0.034 1.166 302,000
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Sulph. 0.04 3,903,000 0.094 3.223 368,000
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Sulph 0.1 144,000 0.159 5.451 23,000
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Total 12,998,000 0.053 1.817 693,000
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Indicated Gold
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Type Cut off Grade Grade Au
oz/ton Tons oz/ton g/tonne Ounces
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Oxide 0.01 6,793,000 0.033 1.131 221,000
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Sulph. 0.04 9,441,000 0.097 3.326 912,000
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Sulph 0.1 1,678,000 0.138 4.731 232,000
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Total 17,912,000 0.076 2.606 1,365,000
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Inferred Gold
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Type Cut off Grade Grade Au
oz/ton Tons oz/ton g/tonne Ounces
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Oxide 0.01 1,007,000 0.036 1.234 36,000
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Sulph. 0.04 1,846,000 0.094 3.223 174,000
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Sulph 0.1 1,528,000 0.124 4.251 189,000
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Total 4,381,000 0.091 3.120 399,000
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Inferred Silver Resources
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Type Cut off Grade Ag Grade Ag Ag
oz/ton Tons oz/ton g/tonne Ounces
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Oxide 0.01 16,751,000 0.127 4.354 2,127,000
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Sulph. 0.04 15,190,000 0.168 5.760 2,552,000
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Sulph 0.1 3,350,000 0.129 4.423 432,000
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Total 35,291,000 0.145 4.971 5,111,000
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These resources are from an independent NI 43-101 Technical Report, entitled Northumberland Project, Nye County, Nevada, USA, July 15, 2006 by Mine Development Assoc. for NewWest Gold Corp. Samples of drill core or RC chips were sampled on 5.0 ft or 1.52 m intervals and assayed by American Assay (ISO9002;2002) or ALS Chemex (ISO 9001;2000) for gold and silver by Fire Assay of a 30 gram (1 assay tonne charge) with an AA finish, or if over 10.0 ppm Au was re-assayed and completed with a gravimetric finish.

For a comprehensive table of Northumberland drill results, please use the following link: www.fronteergroup.com/i/IR/NorthumberlandDrillResults.pdf

For a map showing the distribution of drill holes, please use the following link: www.fronteergroup.com/i/IR/Northumberlandmap.jpg

LIQUIDITY

Fronteer is not invested in any short term commercial paper or asset-backed securities. The Company has approximately C$100 million in cash that is fully liquid and held with a large commercial bank.

ABOUT FRONTEER

Fronteer is an exploration and development company with a track record of making big discoveries. Fronteer has a 40% interest in three world-class gold and copper-gold projects in Turkey, an extensive portfolio of advanced stage gold projects in Nevada, and a 46.8% interest in Aurora Energy Resources (TSX:AXU), a leading Canadian uranium company.

Mineral resources are not mineral reserves and do not have demonstrated economic viability, and there is no guarantee that any resource will become a reserve. Michael Gustin, Ph.D., of Mine Development Associates ("MDA"), Reno, Nevada, is designated as a Qualified Person for the Northumberland resource estimate, with the ability and authority to verify the authenticity of, and validity of, this data. Mineral resources have been estimated by MDA in accordance with the standards adopted by the Canadian Institute of Mining, Metallurgy and Petroleum ("CIM") Council in August 2000, as amended, and prescribed by the Canadian Securities Administrators' National Instrument 43-101 Standards of Disclosure for Mineral Projects. The resource estimate is from the 43-101 Compliant Report; Technical Report, Northumberland Project, Nye County, Nevada, USA, July 15, 2006 by Mine Development Assoc. for NewWest Gold Corp. The gold cut-off grades (expressed in ounces of gold per ton) for the Northumberland Project measured, indicated and inferred resources are 0.01 for oxide material, 0.04 for shallow sulfide material and 0.10 for deep sulfide material. The inferred silver resource includes only silver lying within the modeled gold zones and within blocks that exceed the gold cut-off grades; no silver cut-off is applied.

James Ashton P.E. is designated as a Qualified Person for the Northumberland drill results, with the ability and authority to verify the authenticity of, and validity of, this data. Composites calculated using cut-offs of: 0.010 oz/ton (.34 g/tonne) for oxide, and 0.05 oz/ton (1.71 g/tonne) for sulphide. The geometry of the mineralized bodies has been modeled in detail. The intervals shown are assumed to be approximately 90% of true width, or better.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Such forward-looking statements, including but not limited to, those with respect to potential expansion of mineralization, future plans for resource estimation and exploration, drilling exposure and exploration budgets and timing of expenditures involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Fronteer to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, risks related to the actual results of current exploration activities, conclusions of economic evaluations, uncertainty in the estimation of ore reserves and mineral resources, changes in project parameters as plans continue to be refined, future prices of gold and silver, environmental risks and hazards, increased infrastructure and/or operating costs, labor and employment matters, and government regulation as well as those factors discussed in the section entitled "Risk Factors" in Fronteer's Annual Information form and Fronteer's latest Form 40-F on file with the United States Securities and Exchange Commission in Washington, D.C., and factors discussed in NewWest's annual information form. Although Fronteer has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Fronteer disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking statements.

Contact Information

  • Fronteer Development Group Inc.
    Mark O'Dea
    President and CEO
    (604) 632-4677 or Toll Free: 1-877-632-4677
    or
    Fronteer Development Group Inc.
    Glen Edwards
    Media Relations
    (604) 632-4677 or Toll Free: 1-877-632-4677
    Email: info@fronteergroup.com
    Website: www.fronteergroup.com