Fronteer Gold Inc.
TSX : FRG
NYSE Amex : FRG

Fronteer Gold Inc.

June 16, 2009 07:00 ET

Fronteer Development Group Inc.: Ongoing Work-Program Underlines Strong Production Potential of Sandman Gold Deposits

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 16, 2009) - Fronteer Development Group Inc. (TSX:FRG)(NYSE Amex:FRG) is pleased to announce that Newmont USA Limited ("Newmont"), a subsidiary of Newmont Mining Corporation, has provided the results from a further 16 holes recently drilled as part of their 2009 US$5M work-program at the Sandman gold project in Nevada.

Drilling continues to focus on two gold deposits, Silica Ridge and Southeast Pediment, which are quickly emerging as a series of high-quality assets in an underexplored part of Nevada. These deposits, separated by six kilometres along the Sleeper Trend, already display compelling production attributes, including:

- High gold and silver grades, characteristic of productive epithermal vein systems;

- Wide intervals of mineralized wallrock surrounding the high grade vein networks;

- Oxidized and outcropping mineralization potentially amenable to heap-leaching and open-pit mining;

- Excellent surrounding infrastructure; and

- Located in the mining-friendly jurisdiction of Nevada.

At Silica Ridge, eight new drill holes have intersected oxidized gold mineralization, all within 40 metres of surface. Highlights include:

- 8.35 grams per tonne gold over 4.94 metres in NSM-104;

- 7.63 g/t over 10.18 metres, including 17.22 g/t over 3.90 metres in NSM-106; and

- 12.32 g/t over 3.75 metres (starting at surface) in NSM-109.

Wider intervals of lower grade mineralization were also intersected in numerous holes. Using a 0.3 g/t cut-off, these intervals include:

- 0.89 g/t over 17.59 metres in NSM-41; and

- 0.96 g/t over 23.01 metres in NSM-103.

Mineralization at Silica Ridge occurs over a 700x250m area, down to a vertical depth of at least 50 metres, and remains open in all directions.

"We continue to encounter near-surface, high-grade mineralization at Sandman. The significance of these results supports our recently completed priority analysis that ranks Sandman among Fronteer's highest quality assets in Nevada," says Troy Fierro, Fronteer Chief Operating Officer. "While many companies are reworking historic mining properties, Fronteer continues to define resources in undeveloped areas."

At Southeast Pediment, eight holes have intersected oxidized gold mineralization, all within 40 metres of surface. Highlights include:

- 3.91 g/t over 7.59 metres in NSM-56;

- 1.07 g/t over 10.21 metres in NSM-58; and

- 1.51 g/t over 13.05 metres in NSM-72.

The Southeast Pediment Deposit has only been tested to a vertical depth of 200 metres and remains open in all directions. Two nearby geophysical/geochemical anomalies have yet to be drill tested.

Newmont's ongoing 2009 work-program will provide the foundation for development activities. The overall objectives of the 2009 development program are to focus on the known deposits at Southeast Pediment and Silica Ridge and drill a combination of HQ and PQ core holes to:

- confirm the character of gold mineralization (size range of the gold);

- obtain bulk metallurgical material for mill grade and potential heap leach metallurgical tests; and

- improve the understanding of the geology and ore controls of the mineralization.

The 2009 exploration program will focus on finding additional mineralization along the known structural trends from two of the four existing gold resource areas, and also target new areas generated from geological mapping and the results of recent geophysical and geochemical surveys.



SANDMAN DRILL RESULTS
From To Interval Au Au Ag Cut-off
Hole ID (m) (m) (m) (g/t) Opt (g/t) (g/t Au) Target Area

NSM-56 29.26 36.85 7.59 3.91 0.114 22.68 0.5 South East
including 32.86 34.32 1.46 14.35 0.419 27.91 2.0 Pediment

NSM-58 29.32 39.53 10.21 1.07 0.031 15.29 0.3 South East
including 29.32 32.31 2.99 0.65 0.019 14.70 0.5 Pediment
including 34.44 37.09 2.65 1.82 0.053 18.49 0.5
including 38.01 39.53 1.52 1.13 0.033 16.48 0.5

NSM-67 17.07 19.93 2.87 0.62 0.018 8.41 0.3 South East
and 24.90 27.98 3.08 0.64 0.019 12.01 0.3 Pediment
including 25.60 27.98 2.38 0.72 0.021 13.23 0.5
and 30.94 35.20 4.27 2.11 0.062 7.80 0.5
including 30.94 33.10 2.16 3.55 0.104 10.01 2.0

NSM-71 2.83 14.78 11.95 0.62 0.018 7.47 0.3 South East
including 8.66 12.56 3.90 1.05 0.031 6.42 0.5 Pediment
and 17.77 25.45 7.68 1.24 0.036 13.04 0.5
including 23.93 25.45 1.52 2.80 0.082 20.09 2.0

NSM-72 9.85 12.19 2.35 0.81 0.024 6.35 0.5 South East
and 14.48 27.52 13.05 1.51 0.044 14.78 0.3 Pediment
including 16.86 26.15 9.30 2.00 0.058 19.36 0.5
including 22.04 24.99 2.96 4.41 0.129 27.98 2.0
and 39.62 47.52 7.89 0.47 0.014 1.90 0.3
including 39.62 42.76 3.14 0.57 0.017 3.30 0.5

NSM-73 7.74 9.33 1.59 0.54 0.016 1.41 0.3 South East
including 7.74 8.75 1.01 0.67 0.019 0.89 0.5 Pediment

NSM-78 32.31 33.19 0.88 0.57 0.017 4.39 0.5 South East
Pediment

NSM-80 74.92 76.54 1.62 0.99 0.029 1.10 0.5 South East
Pediment
----------------------------------------------------------------------------

NSM-37 12.34 20.21 7.86 0.83 0.024 8.72 0.3 Silica Ridge
including 12.34 17.37 5.03 1.09 0.032 10.49 0.5
and including 16.40 17.37 0.98 2.19 0.064 5.21 2.0

NSM-41 4.45 22.04 17.59 0.89 0.026 8.81 0.3 Silica Ridge
including 4.45 12.80 8.35 1.00 0.029 7.50 0.5
including 14.17 17.89 3.72 1.34 0.039 15.16 0.5
and including 14.17 14.84 0.67 3.64 0.106 22.70 2.0

NSM-103 0.00 23.01 23.01 0.96 0.028 62.53 0.3 Silica Ridge
including 0.00 6.61 6.61 1.32 0.039 98.69 0.5
and including 5.55 6.13 0.58 2.22 0.065 173.69 2.0
including 7.56 18.29 10.73 1.00 0.029 57.73 0.5
including 19.17 21.49 2.32 0.57 0.017 28.34 0.5

NSM-104 4.66 14.87 10.21 4.48 0.131 39.52 0.3 Silica Ridge
including 6.83 11.77 4.94 8.35 0.244 57.29 2.0
including 13.78 14.87 1.10 2.31 0.067 30.89 2.0
and 15.33 18.59 3.26 0.86 0.025 37.55 0.5
and 19.75 21.79 2.04 0.61 0.018 10.99 0.5

NSM-105 0.00 7.99 7.99 2.03 0.059 46.49 0.5 Silica Ridge
including 4.54 6.10 1.55 3.78 0.110 40.01 2.0

NSM-106 38.86 49.04 10.18 7.63 0.223 44.62 0.5 Silica Ridge
including 38.86 41.73 2.87 2.68 0.078 10.91 2.0
and including 42.73 46.63 3.90 17.22 0.502 77.25 2.0

NSM-108 0.00 2.87 2.87 2.26 0.066 8.26 0.5 Silica Ridge
including 0.00 1.34 1.34 2.77 0.081 7.51 2.0
and 20.48 27.77 7.28 1.22 0.036 56.51 0.5
and 28.59 36.30 7.71 0.72 0.021 21.84 0.3
including 29.54 31.76 2.23 1.06 0.031 46.12 0.5
including 32.55 36.30 3.75 0.64 0.019 6.51 0.5

NSM-109 0.00 3.75 3.75 12.32 0.359 19.78 2.0 Silica Ridge
and 6.71 7.56 0.85 2.64 0.077 56.58 2.0
and 8.66 13.78 5.12 1.46 0.043 35.63 0.3
including 8.66 12.01 3.35 2.00 0.058 44.18 0.5
and including 9.85 12.01 2.16 2.72 0.079 56.58 2.0
and 20.33 33.86 13.53 0.65 0.019 27.69 0.3
including 20.33 25.79 5.46 0.80 0.023 30.16 0.5
including 26.82 27.74 0.91 0.50 0.015 22.70 0.5
including 28.90 30.14 1.25 0.61 0.018 37.61 0.5
including 31.36 33.86 2.50 0.65 0.019 23.33 0.5

Note: The true width of the mineralized zones is estimated to be
approximately 90% of those stated. Primary composite intervals were
calculated using a cut-off of 0.3 g/t Au, 0.5 g/t Au and 2.0 g/t Au
for the higher grade internal intervals. No gold values below the 0.30
g/t Au cut-off were included as internal dilution. The lower 0.3 g/t
cut-off is used to conform with the 43-101 compliant resources
previously calculated on the Sandman Project.


Assay results are currently remaining for an additional 19 holes from the 2009 Phase 1 program completed on April 17, 2009.

Under the terms of the Sandman option and joint-venture agreement, Newmont can earn an initial 51% interest in the project by making a positive production decision by June 2011, spending a minimum of US$14 million on exploration and development, making a commitment to fund and construct a mine, and completing a feasibility study. Thereafter, Newmont may earn an additional 9% interest in Sandman by spending a further US$9 million on development. Fronteer can elect to have Newmont arrange financing for its 40% of ongoing development costs in the joint venture.

Drill samples and analytical data for the Sandman project are being collected under the supervision of Newmont, Fronteer's joint venture partner and project operator, using industry standard QA-QC protocols. Fronteer's James Ashton P.E., who is the QP responsible for compiling the data contained in this release, has not verified the data; however, the grades and widths reported here agree well with the Company's past results on the project and correspondence with the operator has given him no reason to doubt their authenticity. For further details on Sandman, please view the technical report prepared by Mine Development Associates ("MDA"), as of May 31, 2007, on SEDAR at http://www.sedar.com.

Sandman, Long Canyon and Northumberland are currently Fronteer's leading properties among its large portfolio of gold projects in Nevada.

For more information on Sandman and Fronteer's other Nevada projects, visit: http://www.fronteergroup.com/?q=content/nevada

ABOUT FRONTEER

Fronteer is an exploration and development company with three key gold projects in Nevada forming its platform for future gold production. Fronteer also has a 40% interest in three gold and copper-gold projects in western Turkey, and 100% ownership of Aurora Energy Resources, a private subsidiary advancing a world-class uranium district in Labrador, Canada. For further information on Fronteer visit www.fronteergroup.com.

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, potential size of mineralized zone, and size of exploration program 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 international operations and joint ventures, 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 and permitting requirements 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. 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.

NEWS RELEASE 09-20

Contact Information

  • Fronteer Development Group Inc.
    Mark O'Dea, Ph.D, P.Geo.
    President and CEO
    604-632-4677 or Toll Free 1-877-632-4677
    or
    Fronteer Development Group Inc.
    Richard Moritz
    Director, Investor Relations
    604-632-4677 or Toll Free 1-877-632-4677
    or
    Fronteer Development Group Inc.
    Glen Edwards
    Director, Communications
    604-632-4677 or Toll Free 1-877-632-4677
    info@fronteergroup.com
    www.fronteergroup.com