Frontera Copper Corporation

Frontera Copper Corporation

October 18, 2006 09:01 ET

Frontera Copper Records First Copper Cathode Sale

TORONTO, ONTARIO--(CCNMatthews - Oct. 18, 2006) - Frontera Copper Corporation (TSX:FCC)(TSX:FCC.NT)(TSX:FCC.NT.A)(TSX:FCC.WT) is pleased to announce the completion of the first sale of LME Grade A copper cathode production from its Piedras Verdes copper project in the State of Sonora, Mexico. In accordance with the terms of a long-term, off-take contract, Gerald Metals, Inc. will purchase 100% of Frontera Copper's production through the year 2010.

"All those involved in the Piedras Verdes Project since inception, can now celebrate the successful completion of all aspects of the Project from feasibility study through the sale of our first copper cathode," says Gary Loving, President and CEO of Frontera Copper Corporation. "The plant is operating very well and we are in the process of ramping up production to design levels. Our current focus is on increasing solution flows and maximizing the concentration of copper in the leach solution. We estimate that Frontera Copper will produce approximately 10 million pounds of copper cathode during the 2006 fourth quarter and we further estimate that copper cathode production for the first full year of operation in 2007, will be at design capacity of approximately 70 million pounds. We are refining our 2007 budget based on actual operating experience and expect to be in a position to provide guidance on 2007 operating costs in the near future."

Under the terms of the sales agreement with Gerald Metals, payment for copper cathode is received two days after invoicing. As a result, at current copper prices Frontera Copper expects to generate strong positive cash flows during the fourth quarter of 2006 and to record approximately $30 million of revenue in the current year's financial statements.

About Frontera Copper

Frontera Copper was incorporated in March 2002 to purchase and bring into production the Piedras Verdes run-of-mine heap leach, SX-EW copper project in Sonora, Mexico. Annual copper production is estimated to be 70 million pounds of LME Grade A copper cathode. A total of 942 million pounds of copper is projected to be produced during the 18-year life of the project.

Information in this news release that is not current or historical factual information may constitute forward-looking information or statements within the meaning of applicable securities laws. Implicit in this information, particularly in respect of statements as to future operating results and economic performance of the Company, and resources and reserves at the Piedras Verdes Project, are assumptions regarding projected revenue and expense, copper prices and mining costs. These assumptions, although considered reasonable by the Company at the time of preparation, may prove to be incorrect. Readers are cautioned that actual results are subject to a number of risks and uncertainties, including risks relating to general economic conditions and mining operations, and could differ materially from what is currently expected. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

For further information, please see Frontera's website at

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