gold go ahead, page-9

THis below, from the frontier website, is what we have to look forward to when the licence is officially granted. Take note especially of the section that says, if operational, it would be extremely productive. The access road is ready, so as soon as the licence is sealed, it will be all systems go.

Recent assays are also extremely good.

GREAT TIME TO ENTER THIS STOCK BEFORE THE SP ROCKETS


"An independent Conceptual Mining Study (19/11/07) has confirmed excellent potential for Frontier’s Kodu Deposit to become a very significant global producer of copper, gold and molybdenum.

The deposit has strong economic parameters at Benchmark Commodity Prices, which are less than half the present prices for copper and molybdenum, showing it is able to survive at a times of low commodity prices.

Of real significance though is that the deposit shows excellent results at the current, significantly higher metal prices and excellent future outcomes if power generation costs can be reduced.

The orebody is simple for development and mining, has good metallurgical characteristics and recoveries. The project has an estimated capital cost of US$742 million, including US$152 million in loans.

Frontier has committed to proceed with a Bankable Feasibility Study to expedite the rapid and successful development of the deposit at a rate of 20Mtpa for 10 years, with forecast cash operating costs of US$12.18/tonne (=US$0.92/lb Cu).

Production should average about 53,000 tonnes of copper, 5.3 tonnes of gold, 1,400 tonnes of molybdenum and 27 tonnes of silver per year, with first production estimated in March 2012.

Kodu is expected to generate substantial value for Frontier’s shareholders, 5% equity Partner Landowners and the nation of Papua New Guinea (PNG).

If Kodu were in production today, the deposit would be making excellent profits.

The project is located in Central Province, Papua New Guinea about 55km NE of Port Moresby

Kodu copper- gold –molybdenum Deposit Resources (pursuant to the 2004 JORC Code) are:
The Total Resource (Indicated + Inferred) contains 1,241,000 tonnes of copper equivalent* grading 0.45%, within 276 million tonnes grading 0.27% copper + 0.30g/t gold + 77ppm molybdenum + 1.7g/t silver.
• This equals 754,000 tonnes of copper, 83.4 tonnes of gold, 21,200 tonnes of molybdenum and 475 tonnes of silver (or 1.66 billion pounds of copper, 2.68 million ounces of gold, 46.7 million pounds molybdenum and 15.3 million ounces of silver).
• Copper Equivalent* is based upon prices of US$3.69/lb Cu, US$749/oz Au, US$32/lb Mo (57% MoO3 conc.) & US$13.67/oz Ag (11/10/2007). The formula used is Cu Equivalent* % = Cu(%) + (Au(g/t) x 0.2958) + (Mo(ppm) x 0.00101) + (Ag(g/t) x 0.00540).

An access track to site has been completed to site and the project is conveniently located for exploration and development about 55km NE of the capital of Port Moresby, 20km from highway access. Kodu is proximal to and east of the Kokoda Track, but all relevant stakeholders at a recent meeting agreed the project should proceed. Kodu landowners own about 10% of the Kokoda Track.

Recent assays from drilling at the Komsen Prospect have confirmed previous trench assays and shown that that primary high grade gold exists in structures to at least 130m vertical depth, including 4.5m grading 5.81 g/t gold + 28 g/t silver + 3.2% zinc + 0.5% lead (maximum result were 1m of 19.0 g/t gold + 119 g/t silver + 10.3% zinc). Drilling will halt in mid December.

Frontier operates with a general policy of ‘DRILLING’ our quality projects using our purpose built and self manufactured, cost effective, environmentally friendly, man-portable diamond core rigs.

We ‘own’ and operate all the major required means of exploration including a long term and very competent human resources team, drilling, earth moving and transport equipment, magnetic surveys, to maximise exploration success, while minimising costs in a very competitive environment.

The Frontier Directors and management team have more than 200 years combined experience in mineral exploration, project development and financing in Papua New Guinea and Tasmania, to ensure the Company has the best possible opportunity to achieve success."