going to fly TECK COMINCO SIGNS LETTER OF INTENT TO OPTIONEL...

going to fly TECK COMINCO SIGNS LETTER OF INTENT TO OPTION
EL 1351 AND ELA 1360 IN PNG
Teck Cominco are the largest zinc miner in the world, as well as sizeable producers of copper, gold
and metallurgical coal. They have recently signed a letter of intent to option the Likuruanga and
Central New Britain EL and EL application in PNG from Frontier.
The option consists of a payment of $100,000 per license, utilised for mutually agreeable exploration
and the JV (if consummated), would require Teck Cominco to expend $2,000,000 over the following 3
years to earn a 75% interest. Frontier could then contribute or dilute to 15% free carried interest to
bankable feasibility study and later contribute to construction costs, or revert to a 10% Net Profits
Interest in the property.
Covered by this option are the Bukuam skarn gold, Esis porphyry copper/gold, Uasilau porphyry
copper/gold and Pelepuna zinc skarn Prospects. Uasilau is a very large mineralised system being
approximately 9 x 2.5km in size and these projects have only had very minimal drilling conducted.
Teck Cominco are currently jointly funding an exploration program with Frontier. We are conducting a
trenching and grid based soil sampling program at Bukuam and a creek outcrop and trench sampling
program at Esis. Teck Cominco will review the results of this work and conduct a field visit in late
August to determine if they will proceed with the option.
I am very pleased with the possibility that Teck Cominco could JV with us in PNG on these 2 projects
and believe that it could mark the start of a longer term and more extensive relationship with
Frontier.
For additional information relating to the Company and its projects please visit our website at
www.frontierresources.com.au or feel free call me on +61 (0) 8 9295 0388.