re: Ann: Major Exploration Program at Andewa ...
To Recap..... Interesting to get an update on OTML movements... believe they may have been doing the Arial Survey recently.... from that drill away I say... few month to go for that thou......
On May 26 2010, an excellent Strategic Alliance was initiated with World Class Copper Producer Ok Tedi Mining Limited (OTML) on 3 Exploration Licenses and 2 EL Applications (in 2 Farm-In Joint Ventures), covering 2,763 sqkm, in Papua New Guinea.
* OTML?s total earn-in is US$60 million over 6 years (US$12 million per project), then Frontier is deferred carried to completion of Bankable Feasibility Study on each property.
* Frontier will retain a 42% interest in the Bulago and Leonard Schultz ELs to completion of Bankable Feasibility Study and a 19.9% interest on the Likuruanga EL and the Central and East New Britain Applications.
* OTML have a minimum US$0.5 million exploration commitment per project, for a total commitment of US$2.5 million if both EL Applications are granted.
* OTML subscribed US$1 million (A$1.14 million) for Frontier shares at a premium to the market of 7.5 cents and reimburse exploration costs of approximately US$235,000.
* OTML is the best joint venture partner for these projects and the excellent terms of the Joint Ventures demonstrate the projects have World-Class, sought after copper-gold, gold and base metal potential.
* Frontier will remain an active explorer in PNG, owning 100% of the Andewa gold Exploration License and the Sudest high-grade gold EL Application.
FNT Price at posting:
7.0¢ Sentiment: Buy Disclosure: Held
