VANCOUVER,
BRITISH COLUMBIA--(Marketwire - March 25, 2010) - Fronteer (TSX:FRG)(NYSE
Amex:FRG) announces today that
drilling by Newmont USA Limited ("Newmont"), a wholly owned
subsidiary of Newmont Mining Corporation, has intersected additional
near-surface oxide gold at Sandman, reinforcing the
project's open-pit mining potential.
Newmont
has provided results from eight holes drilled at Sandman's Silica Ridge
deposit. All of the holes intersected oxide mineralization, generally within 15
metres of surface. Highlights include:
- 10.36
grams per tonne gold (0.302 ounces per ton) over 4.18 metres, including 18.63
g/t gold (0.543 oz/ton) over 1.89 metres in NSM-135
- 3.50
g/t gold (0.102 oz/ton) over 18.59 metres, including 11.73 g/t gold (0.342
oz/ton) over 3.69 metres, in NSM-132
- 3.50
g/t gold (0.102 oz/ ton) and over 11.19 metres, including 15.07 g/t gold (0.440
oz/ton) over 2.16 metres, in NSM-151
- 2.03
g/t gold (0.059 oz/ ton) over 7.89 metres, including 21.74 g/t gold (0.634
oz/ton) and 120 g/t silver (3.50 oz/ton) over 0.55 metres, in NSM-152
As
reported previously, approximately 24% of all holes (26 out of 110) drilled by
Newmont have returned intercepts of
greater than 10 g/t gold over more than 1.0 metres (see March 5, 2010, press
release). For a comprehensive table of
new and previously reported drill results, please click:
http://www.fronteergroup.com/sites/files/fronteer_admin/SandmanDrillResults1011.pdf
Sandman is within trucking distance to Newmont's Twin Creeks
mine, potentially eliminating the need for a stand-alone milling facility and
other significant capital expenditures if the project were to proceed to
production. Given
Sandman's proximity to established infrastructure, including milling
facilities, Fronteer believes Sandman to be the nearest term production-stage
project within the company's large Nevada gold platform.
Newmont
continues to meet earn-in obligations and can elect to make a positive
production decision by June 2011 to earn an initial 51% interest in Sandman. As part of the 2010 work program,
Newmont plans to test up to eight new exploration targets, and continue with
additional geotechnical and metallurgical work.
We believe Newmont's
closely spaced, large diameter core drilling will strengthen both the
definition and grade of Sandman's Southeast Pediment and Silica Ridge deposits. The current resource estimate does not reflect the
results of the last two years of drilling (approximately 12,000 metres) by
Newmont.
Northumberland,
Sandman and Long Canyon comprise Fronteer's future production platform based in
Nevada. All three gold deposits have high-grade gold starting at- or
near-surface, are potentially open-pit mineable and have encouraging production
attributes. Fronteer aims to build regional production by advancing these
projects sequentially over the near-term, and funding the company's growth with
low-risk of dilution. In the near-term, Fronteer
anticipates ongoing deposit growth to add significant gold ounces to its ledger
and pending results from a variety of development activities to clearly define
the economic strength of the company's projects.
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 all 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 and review of portions of the
data has given him no reason to doubt their authenticity. The true width of the
mineralized zones is estimated by Fronteer to be approximately 90% of those
stated. Primary composite intervals stated in this release 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. 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.
ABOUT
FRONTEER
We intend to
become a significant gold producer. Our solid financial position and strong
operational team give us the ability to advance our key gold projects through
to production. Our future potential production platform includes our Long
Canyon, Sandman and Northumberland projects – all located in Nevada, one of the
friendliest gold-mining jurisdictions in the world. 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 and Canadian securities laws. Such
forward-looking statements, including but not limited to, those with respect to
potential expansion of mineralization, potential size of mineralized zone, and
size and timing of exploration and development programs, estimated project
capital and other project costs and the timing of submission and receipt and
availability of regulatory approvals 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 mineral resources, changes in project parameters as plans continue to be
refined, future prices of uranium, environmental risks and hazards, increased
infrastructure and/or operating costs, labour 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, other than
as required pursuant to applicable securities laws. Accordingly, readers should
not place undue reliance on forward-looking statements.
NEWS
RELEASE 10-11