NEW DRILL RESULTS
posted on
Aug 19, 2008 05:44AM
Nevada, northwestern Turkey, and Labrador
Gold exploration & development - advancing big deposits with production potential.
Fronteer Development Group Inc. ("Fronteer" or the "Company") (TSX: FRG)(AMEX: FRG) is pleased to announce the discovery of a new zone of high-grade gold mineralization at its Long Canyon Project in Nevada.
Results from Long Canyon's 2008 work program confirm the presence of a parallel zone of mineralization, referred to as the Shadow Zone, located approximately 200 metres to the northwest of the previously reported main mineralized zone. Drill results from the new Shadow Zone have returned 7.74 grams per tonne gold (0.226 oz/ton) over 22.9 metres (75 feet), including 12.44 g/t (0.363 oz/ton) over 12.2 m (40 feet) in hole LC092.
Gold mineralization has been intersected in multiple, parallel zones over a strike length of more than 1,200 metres (3,900 feet) and remains open in all directions.
Other drill highlights include:
- 2.39 g/t (0.070 oz/ton) over 24.4 m (80 feet) in LC099;
- 5.29 g/t (0.154 oz/ton) over 5.2 m (17.2 feet) in LC072C, including 15.21 g/t (0.444 oz/ton) over 0.9 m (3.0 feet);
- 2.53 g/t (0.074 oz/ton) over 7.6 m (25 feet) in LC098.
Drilling has now commenced on 50-metre spaced holes in the Shadow Zone to test for extensions of mineralization to the northeast and southwest of LC092 and LC094.
LONG CANYON DRILL RESULTS -------------------------------------------------------------------------- Inter- Inter- cept Au cept Hole From To Length Au (oz/ From To Length Au ID (feet) (feet) (feet) (ppb) ton) (metres) (metres) (metres) (g/t) -------------------------------------------------------------------------- -------------------------------------------------------------------------- LC072C 137.8 155.0 17.2 5290 0.154 42.0 47.2 5.2 5.29 -------------------------------------------------------------------------- including 145.0 148.0 3.0 15210 0.444 44.2 45.1 0.9 15.21 -------------------------------------------------------------------------- LC074C 130.0 144.2 14.2 2122 0.062 39.6 44.0 4.3 2.12 -------------------------------------------------------------------------- LC076C No reportable intercepts -------------------------------------------------------------------------- LC092 70.0 145.0 75.0 7739 0.226 21.3 44.2 22.9 7.74 -------------------------------------------------------------------------- including 75.0 115.0 40.0 12439 0.363 22.9 35.1 12.2 12.44 -------------------------------------------------------------------------- LC094 245.0 255.0 10.0 570 0.017 74.7 77.7 3.0 0.57 -------------------------------------------------------------------------- and 280.0 300.0 20.0 1114 0.033 85.4 91.5 6.1 1.11 -------------------------------------------------------------------------- LC096 No reportable intercepts -------------------------------------------------------------------------- LC098 680.0 705.0 25.0 2531 0.074 207.3 214.9 7.6 2.53 -------------------------------------------------------------------------- including 680.0 685.0 5.0 8410 0.246 207.3 208.8 1.5 8.41 -------------------------------------------------------------------------- LC099 560.0 640.0 80.0 2389 0.070 170.7 195.1 24.4 2.39 -------------------------------------------------------------------------- including 615.0 620.0 5.0 5610 0.164 187.5 189.0 1.5 5.61 -------------------------------------------------------------------------- and 690.0 710.0 20.0 802 0.023 210.4 216.5 6.1 0.80 -------------------------------------------------------------------------- - The geometry of mineralization at Long Canyon is still being determined. The current geological model predicts that the true widths of the mineralized intervals vary between 70-100% of the reported lengths of the drill intercepts.
To date, more than 112 holes have been drilled at Long Canyon. For a comprehensive table listing reported drill results, please use the following link: www.fronteergroup.com/sites/fronteer...
Ongoing drilling and detailed mapping continue to contribute to a deeper understanding of the distribution of, and controls for, gold mineralization at Long Canyon. Gold mineralization is strongly oxidized and begins at surface. Mineralization is typical of Carlin-style deposits and occurs in stratabound zones with both fault and collapse breccias, hosted within a sequence of lower Paleozoic carbonates. The deposit is comprised of at least six linear and parallel, northeast-trending mineralized shoots. The northeastern extension of the previously reported Main Zone is now referred to as the Northeast Zone. To view the new model showing Long Canyon's Shadow Zone, as well as the location of recent drill holes, please use the following link: www.fronteergroup.com/sites/fronteer...
Fronteer's initial $3.2-million program to advance Long Canyon includes plans for 11,500-metres (37,700 feet) of drilling to extend the deposit along strike to the northeast, southwest, and down dip, with the goal of producing a project-first NI 43-101 resource estimate upon conclusion of the program. Fronteer has completed 7,500 metres (24,600 feet) of drilling through 2008.
Fronteer has submitted a Plan of Operations to the Elko District Office of the U.S. Bureau of Land Management (BLM) to expand the drilling effort in the southwest portion of the Long Canyon project area.
Long Canyon is under option from AuEx Ventures Inc. Under the terms of the option, Fronteer is the operator and may earn a majority interest (51%) by investing $5 million over a five-year period. Fronteer may earn an additional 14% by advancing Long Canyon through feasibility. Fronteer is expected to vest its 51% interest within the next few months.
Robert Felder, M.Sc. and Certified Professional Geologist, as recognized by the American Institute of Professional Geologists, is designated as a Qualified Person for these Long Canyon drill results, with the ability and authority to verify the authenticity of, and validity of, this data. Drill composites were calculated using a cut-off of 0.30 g/tonne. Drill intersections are reported as drilled thicknesses. Reverse circulation cuttings were sampled on 5.0 ft. (1.52m) intervals and core was sampled at geologically selected intervals. All drill samples were assayed by American Assay Laboratories (ISO9002:2002) in Reno, Nevada, for gold by Fire Assay of a 30 gram (1 assay ton) charge with an AA finish, or if over 10.0 grams per tonne Au 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 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.
LIQUIDITY
Fronteer is not invested in any short-term commercial paper or asset-backed securities. Fronteer has approximately C$91 million in cash that is fully liquid and held with a large Canadian commercial bank.