Ann: Heads of Agreement to Acquire 80% of Gold Ridge Mine/Project, page-8

Once when I was young and stupid I was interested in a company called ALD. This was when gold was riding high and they had what looked like huge reserves in Papua New Guinea and the Solomon Islands.

They never lived up to expectations except for one magical quarter when it all came together. Then the company got sold to SBM at a huge premium and, in a rare burst of common sense, I took the opportunity to get the hell out.

The ALD acquisition was a huge disaster for SBM, their share price tanked as the PNG assets never produced at the 100koz per year expected and the Solomons project was a complete disaster with cash costs way above the now falling price of gold.

It wasn't the last disaster I invested in- that would be FNT. But I learned a lot, so the fact that the Gold Ridge mine has turned up as part of Frontier's portfolio now is hilarious.

Apparently they'll have to raise yet more capital to get this going. Well I can't imagine this mine ever being profitable unless gold crunches above 2000 bucks US. As far as I am concerned this mine is the dog to end all dogs.