Fronteer Gold (TSX: FRG)(NYSE Amex: FRG) reports that a new
resource estimate for the Long Canyon deposit shows a meaningful
increase in resource size and continues to showcase the high-grade
nature of this new Nevada gold deposit.
Quoted at a cut-off grade of 0.20 grams per tonne gold, the
updated Classified Mineral Resource consists of:
-- A Measured and Indicated (M&I) resource of 672,000 ounces at an average
grade of 1.71 g/t gold (12,240,000 tonnes); and,
-- An additional Inferred resource of 552,000 ounces at an average grade of
1.65 g/t gold (10,394,000 tonnes).
The previously published 2009 resource estimate was quoted at a
cut-off of 0.30 g/t gold. This updated Mineral Resource estimate is
quoted at a cut-off grade of 0.20 g/t gold to be consistent with
the internal cut-off defined by Long Canyon's current Preliminary
Economic Assessment (see Dec. 1, 2009, press release).
Using a 0.30 g/t gold cutoff, the new resource estimate shows an
81% increase in M&I ounces and a 17% increase in Inferred
ounces compared to the 2009 resource. The substantial increase in
M&I ounces is attributable to the 2009 work-program's focus on
infill core drilling.
"Long Canyon has rapidly transitioned from exploration to
development stage, showcasing the high-quality nature of the
deposit," says Troy Fierro, Fronteer Gold Chief Operating Officer.
"Results from the 2009 drilling program clearly demonstrate Long
Canyon has significant growth potential. In 2010, our objectives
are to continue resource expansion and complete the required
metallurgical, engineering, and environmental work necessary to
move Long Canyon to pre-feasibility stage and prepare the project
for permitting."
The grade and tonnage of this new resource estimate is shown at
various cut-off grades in the table below.
Long Canyon 2010 resource estimate
----------------------------------------------------------------------------
2010
----------------------------------------------------------------------------
Cut-off Tonnes g Au/t oz Au
----------------------------------------------------------------------------
0.20 587,000 2.50 47,000
Measured 0.30 510,000 2.84 47,000
1.00 297,000 4.47 43,000
----------------------------------------------------------------------------
0.20 11,653,000 1.67 625,000
Indicated 0.30 9,839,000 1.93 611,000
1.00 4,432,000 3.61 515,000
----------------------------------------------------------------------------
0.20 12,240,000 1.71 672,000
Measured & Indicated 0.30 10,348,000 1.98 657,000
1.00 4,729,000 3.67 558,000
----------------------------------------------------------------------------
0.20 10,394,000 1.65 552,000
Inferred 0.30 8,292,000 2.01 536,000
1.00 3,571,000 3.97 456,000
----------------------------------------------------------------------------
The grade-tonnage distribution of this new estimate continues to
show that higher cut-off grades dramatically increase the average
grade of the resource but only modestly reduce the number of
contained ounces. Specifically, at a 1.0 g/t gold cut-off, 83% of
the total resource ounces remain while the grade increases by more
than 100% as follows:
-- An M&I resource of 558,000 ounces at an average grade of 3.67 g/t gold
(4,729,000 tonnes); and,
-- An additional Inferred resource of 456,000 ounces at an average grade of
3.97 g/t gold (3,571,000 tonnes).
Fronteer Gold is majority owner (51%) and operator of Long
Canyon. A $19.8 million development and exploration program, funded
49% by our JV partner, is planned for 2010. The program is
currently underway with five rigs operating.
Long Canyon, Northumberland and Sandman comprise Fronteer Gold's
future production platform based in Nevada. All three gold deposits
have high-grade gold starting at or near surface, and have
encouraging production attributes. We aim to build regional
production by advancing these projects over the near-term using
existing cash resources. We anticipate further deposit growth,
which may add significant gold ounces to our ledger and pending
results from a variety of development activities to clearly define
the economic strength of our projects.
Long Canyon mineral resource estimation as of May 13, 2010. The
Long Canyon mineral resource estimation was completed by Mine
Development Associates ("MDA"). The resources were modeled and
estimated by evaluating the drill data statistically and utilizing
geologically interpreted cross-sections provided by Fronteer to
interpret mineral domains on cross-sections spaced at 50-metre
intervals throughout the extent of the Long Canyon mineralization.
The mineral domain interpretations were then rectified on
cross-sections spaced at 10-metre intervals. The modeled
mineralization was analyzed statistically to establish estimation
parameters, and gold grades were estimated by inverse-distance
methods into a block model with 5 metre (width) x 10 metre (length)
x 3 metre (height) blocks that were coded to the mineral domains by
the 10-metre mineral domain polygons. All modeling of the diluted
resources was performed using Gemcom Surpac® software.
Quality-control data generated during the various drill programs
conducted at Long Canyon were independently reviewed by MDA as part
of the resource study. The person responsible for the resource
estimate on behalf of MDA is Michael Gustin, Ph.D., P.Geo., a
Qualified Person as defined by National Instrument 43-101. Further
details of the estimation procedure will be available in an updated
NI 43-101 report, which will be posted on SEDAR (www.sedar.com), no
later than 45 days from the date of this release.
Christopher Lee, P.Geo., Chief Geoscientist for Fronteer Gold,
is the company's designated Qualified Person for this news release
and has reviewed and validated that the information contained in
the release is consistent with that provided by the independent QP
responsible for the resource estimate, Michael Gustin of MDA.
ABOUT FRONTEER GOLD
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 Gold visit www.fronteergold.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 and development program
involve known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievement of
Fronteer Gold 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 Gold's
Annual Information form and Fronteer Gold's latest Form 40-F on
file with the United States Securities and Exchange Commission in
Washington, D.C. Although Fronteer Gold 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 Gold 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 10-17
Contacts: Fronteer Gold Inc. Mark O'Dea President & CEO
604-632-4677 or Toll Free: 1-877-632-4677 Fronteer Gold Inc. Troy
Fierro COO 604-632-4677 or Toll Free: 1-877-632-4677 Fronteer Gold
Inc. John Dorward VP, Business Development 604-632-4677 or Toll
Free: 1-877-632-4677 Fronteer Gold Inc. Glen Edwards Director,
Communications 604-632-4677 or Toll Free: 1-877-632-4677
info@fronteergold.com www.fronteergold.com
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