Jan 19 2011
Fronteer Gold Inc. (TSX:FRG) (NYSE Amex:FRG) announces that its recent round of step-out drilling at Long Canyon has continued to return wide intervals of high-grade oxide gold from new areas, demonstrating the ongoing strength and significant growth potential of this new Nevada gold district.
During the last month of 2010, 31 step-out holes were drilled, largely focused to the northeast. Assays received to date from 21 holes include:
- 3.22 grams per tonne gold over 32.0 metres in LC708C, a step-out located 200 metres northeast of previous drilling.
Other step-out holes are highlighted below. Mineralization remains open in all directions.
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3.35 g/t over 38.1 metres, including 10.22 g/t over 6.1 metres in LC728;
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3.30 g/t over 25.0 metres, including 14.40 g/t over 4.0 metres in LC715C;
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4.17 g/t over 12.3 metres in LC706C;
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2.11 g/t over 26.5 metres in LC712C;
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2.69 g/t over 15.7 metres in LC717C;
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1.76 g/t over 19.7 metres in LC704C.
Primary drill composites were calculated using a cut-off of 0.30 g/t, with variably higher cut-offs for the sub-intervals. Drill intersections are reported as drilled thicknesses. True widths of the mineralized intervals generally range between 50-100% of the reported lengths
"These initial step-out results demonstrate the gold system extends to several new areas. The grade and widths are comparable to step-out holes drilled in late 2009 that through subsequent infill drilling in 2010 came to define continuous zones of high-grade mineralization," says Moira Smith, Chief Geologist - Nevada, for Fronteer Gold. "The initial results also demonstrate that our geological model is highly predictive and we look forward to drill-testing of new areas along strike, and to the west and east. In addition, several exciting new regional targets have been identified through soil sampling and mapping and will be aggressively pursued in 2011."
None of these late 2010 step-out results were included in Long Canyon's recently published interim resource estimate (See Jan. 12, 2011 press release), which already places Long Canyon among the highest grade primary open-pit gold deposits in Nevada today. The resource, quoted at a cut-off grade of 0.20 g/t gold, reported:
- A Measured & Inferred resource of 1,396,000 ounces at an average grade of 2.36 g/t gold (18,371,000 tonnes) and,
- An additional Inferred resource of 803,000 ounces at an average grade of 2.24 g/t gold (11,170,000 tonnes).
Within the next two months, Fronteer Gold will complete a second resource update that will include all drill results from 2010, inclusive of step-out results, to form the basis of an updated Preliminary Economic Assessment.
2011 GOALS
Since acquiring 100% of Long Canyon in late 2010 and expanding our exploration and development program to year-round, it is our intention to update the project resource base on an ongoing basis to keep pace with engineering work and mine-planning activities. Long Canyon's comprehensive 2011 work program is focused on aggressive resource expansion, as well as on the metallurgical, engineering and environmental work necessary to move the project to feasibility stage. A $30-million work program for 2011 includes:
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a year-round drill program of more than 100,000 metres of exploration and development drilling, currently underway;
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additional updated resource in H1 2011, inclusive of step out results;
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completing an updated Preliminary Economic Assessment in H1 2011;
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initiating permitting;
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completing an additional resource update near year-end 2011; and,
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commencing feasibility stage.
Moira Smith, P. Geo., Nevada Chief Geologist for Fronteer Gold, is the company's designated Qualified Person for this news release and has reviewed and validated that the information contained in the release accurate. Drill composites were calculated using a cut-off of 0.30 g/t. Drill intersections are reported as drilled thicknesses. True widths of the mineralized intervals generally range between 50-100% of the reported lengths. Reverse circulation cuttings were sampled on 5.0 feet (1.52 metre) intervals and core was sampled at geologically selected intervals. Drill samples were assayed by ALS Chemex (ISO9001:2000) in Reno, Nevada for gold by Fire Assay of a 30 gram (1 assay ton) charge with an AA finish, or if over 5.0 g/t 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 and continual monitoring 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.