Fronteer Gold Inc. (TSX: FRG)(NYSE Amex: FRG) announces that its
recent round of step-out drilling at Long Canyon has continued to
return wide intervals of high-grade oxide gold from new areas,
demonstrating the ongoing strength and significant growth potential
of this new Nevada gold district.
During the last month of 2010, 31 step-out holes were drilled,
largely focused to the northeast. Assays received to date from 21
holes include:
-- 3.22 grams per tonne gold over 32.0 metres in LC708C, a step-out located
200 metres northeast of previous drilling.
Other step-out holes are highlighted below. Mineralization
remains open in all directions.
-- 3.35 g/t over 38.1 metres, including 10.22 g/t over 6.1 metres in LC728;
-- 3.30 g/t over 25.0 metres, including 14.40 g/t over 4.0 metres in
LC715C;
-- 4.17 g/t over 12.3 metres in LC706C;
-- 2.11 g/t over 26.5 metres in LC712C;
-- 2.69 g/t over 15.7 metres in LC717C;
-- 1.76 g/t over 19.7 metres in LC704C.
Primary drill composites were calculated using a cut-off of 0.30
g/t, with variably higher cut-offs for the sub-intervals. Drill
intersections are reported as drilled thicknesses. True widths of
the mineralized intervals generally range between 50-100% of the
reported lengths."C" indicates a core hole. For a PDF of
comprehensive drill results from 2010, including new and
non-reportable intercepts, please click:
http://www.fronteergold.com/sites/files/fronteer_admin/LongCanyonDrillResults1102.pdf
For a map highlighting recent drilling, please click:
http://www.fronteergold.com/sites/files/fronteer_admin/LongCanyonDrillMap1102.pdf
"These initial step-out results demonstrate the gold system
extends to several new areas. The grade and widths are comparable
to step-out holes drilled in late 2009 that through subsequent
infill drilling in 2010 came to define continuous zones of
high-grade mineralization," says Moira Smith, Chief Geologist -
Nevada, for Fronteer Gold. "The initial results also demonstrate
that our geological model is highly predictive and we look forward
to drill-testing of new areas along strike, and to the west and
east. In addition, several exciting new regional targets have been
identified through soil sampling and mapping and will be
aggressively pursued in 2011."
None of these late 2010 step-out results were included in Long
Canyon's recently published interim resource estimate (See Jan. 12,
2011 press release), which already places Long Canyon among the
highest grade primary open-pit gold deposits in Nevada today. The
resource, quoted at a cut-off grade of 0.20 g/t gold, reported:
-- A Measured & Inferred resource of 1,396,000 ounces at an average grade
of 2.36 g/t gold (18,371,000 tonnes) and,
-- An additional Inferred resource of 803,000 ounces at an average grade of
2.24 g/t gold (11,170,000 tonnes).
Within the next two months, Fronteer Gold will complete a second
resource update that will include all drill results from 2010,
inclusive of step-out results, to form the basis of an updated
Preliminary Economic Assessment.
2011 GOALS
Since acquiring 100% of Long Canyon in late 2010 and expanding
our exploration and development program to year-round, it is our
intention to update the project resource base on an ongoing basis
to keep pace with engineering work and mine-planning activities.
Long Canyon's comprehensive 2011 work program is focused on
aggressive resource expansion, as well as on the metallurgical,
engineering and environmental work necessary to move the project to
feasibility stage. A $30-million work program for 2011
includes:
-- a year-round drill program of more than 100,000 metres of exploration
and development drilling, currently underway;
-- additional updated resource in H1 2011, inclusive of step out results;
-- completing an updated Preliminary Economic Assessment in H1 2011;
-- initiating permitting;
-- completing an additional resource update near year-end 2011; and,
-- commencing feasibility stage.
Moira Smith, P. Geo., Nevada Chief Geologist 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 accurate. Drill composites were calculated using a
cut-off of 0.30 g/t. Drill intersections are reported as drilled
thicknesses. True widths of the mineralized intervals generally
range between 50-100% of the reported lengths. Reverse circulation
cuttings were sampled on 5.0 feet (1.52 metre) intervals and core
was sampled at geologically selected intervals. Drill samples were
assayed by ALS Chemex (ISO9001:2000) in Reno, Nevada for gold by
Fire Assay of a 30 gram (1 assay ton) charge with an AA finish, or
if over 5.0 g/t were re-assayed and completed with a gravimetric
finish. For these samples, the gravimetric data were utilized in
calculating gold intersections. QA/QC included the insertion and
continual monitoring of numerous standards and blanks into the
sample stream, and the collection of duplicate samples at random
intervals within each batch. Selected holes are also analyzed for a
72-element geochemical suite by ICP-MS.
ABOUT FRONTEER GOLD
We intend to become a significant gold producer. Our future
potential production platform includes our Long Canyon, Sandman and
Northumberland projects - all located in Nevada. We also have a 40%
interest in Halilaga, an emerging copper-gold porphyry deposit in
northwestern Turkey. For further information on Fronteer Gold,
visit www.fronteergold.com.
The Long Canyon mineral resource estimate was completed by James
Gray, P.Geo., Director of Mineral Resources for Fronteer Gold, who
is a Qualified Person as defined by National Instrument 43-101 and
has reviewed and validated that the resource-estimaton information
contained in the release is consistent with the resource estimate.
The Mineral Resource estimation methodologies were independently
reviewed at a high level, and were deemed to meet CIM Definition
Standards for Mineral Resources and Mineral Reserves (2010), by
Harry Parker, P.Geo., Technical Director, AMEC, and Georges Verly,
P.Eng., Chief Geostatistician, AMEC. The resource model was
constructed using a new and more geostatistically-driven approach
than has been used in previous Long Canyon resource estimates, and
was designed to capture the combined structural and stratigraphic
nature of gold mineralization. The model is based on
manually-digitized 3 dimensional geological solids for 10 different
lithological units and 20 different structural domains that were
used to constrain the interpolation of high and low grade indicator
probability shells. Gold grades were then estimated for each 5x10x5
metre block inside these probability shells by
inverse-distance-cubed interpolation. Finally, each block was
diluted using grades from adjacent blocks and outlying blocks were
manually removed to ensure that the criteria of 'reasonable
expectations for economic extraction' have been met. Classification
of the resource is based on the strength of the geological
understanding of the deposit, combined with relatively conservative
search parameters, such as the number of, and average distances to,
nearest drill holes. 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 initial Preliminary
Economic Assessment (see Dec. 1, 2009, press release or NI 43-101
report, "Updated Technical Report on the Long Canyon Project Elko
County, Nevada, USA," dated June 28, 2010, and posted on SEDAR
(www.sedar.com) on July 2, 2010. 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 the Jan. 12, 2011, release.
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, potential type of mining operation and timing and
size of exploration and development programs 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
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 11-02
Contacts: Fronteer Gold Inc. Mark O'Dea President & CEO
604-632-4677 or Toll Free 1-877-632-4677 Fronteer Gold Inc. Patrick
Reid Senior Director, Institutional Marketing 604-632-4677 or Toll
Free 1-877-632-4677 info@fronteergold.com www.fronteergold.com
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