08-07
Fronteer Development Group Inc. ("Fronteer") (FRG --
TSX/AMEX) is pleased to report that Aurora Energy Resources Inc. ("Aurora")
(AXU - TSX), in which Fronteer holds a 42.3% interest, announced that a new
total resource estimate for its pipeline of six growing uranium deposits in
coastal Labrador has produced:
- A Measured
and Indicated resource of 83.9 million pounds of U3O8
(uranium); and
- An
Inferred resource of 49.8 million pounds of U3O8.
Aurora's new uranium resource base has
surpassed Aurora’s annual target, increasing by 39% in just over 12
months. This new estimate is comprised of the Michelin Deposit (see
recent press release of February 20, 2008), the Jacques Lake Deposit, and
four newly estimated nearby satellite deposits called Rainbow, Nash, Inda,
and Gear. Jacques Lake and the satellite deposits all have the
potential for significant, Michelin-style growth and are located within 30
kilometres of Michelin.
"Our goal for 2007 was to deliver
a resource of 130 million pounds," said Dr. Mark O’Dea,
Aurora’s President and CEO. "We have exceeded our resource
target for the third consecutive year. More importantly, we have
succeeded in demonstrating that Aurora’s new uranium district hosts a
true pipeline of projects that have major growth potential, which will help
sustain a long life, world-class mining camp. We are moving to
develop these important resources as efficiently as possible, using
industry best practices in geology, engineering, metallurgy, environment
and health and safety."
JACQUES LAKE DEPOSIT INCREASES BY 67%
The new resource estimate for the
Jacques Lake Deposit ("Jacques Lake"), has led to an overall 67%
increase in deposit size. While still open for significant expansion,
Jacques Lake now has:
- A Measured and Indicated resource of 10.4
million pounds of U3O8; and
- An Inferred resource of 6.9 million pounds of
U3O8.
Like Michelin, the characteristics of
the Jacques Lake mineralization are well understood and similar to the
Michelin mineralization. Jacques Lake mineralization lends itself to
standard crushing and grinding technology and traditional leach
processing. Similarly, the host rocks at Jacques Lake are competent,
making them amenable to both open pit and conventional underground mining
techniques. Like Michelin, there are no groundwater, metallurgical or
rock mechanic issues identified to date.
FOUR SATELLITE DEPOSITS TAKE
SHAPE
While the Michelin and Jacques Lake
deposits are clearly the backbone of the district, Aurora’s drilling
programs have further defined four satellite deposits, each with the
potential to become significant resources in their own right. The
Rainbow, Nash, Inda and Gear deposits have been significantly expanded and
now cumulatively have:
- An Indicated resource of 6.1 million pounds of
U3O8; and
- An Inferred resource of 7.4 million pounds of
U3O8.
Of particular note, the Inda Deposit
today is nearly as large as the Jacques Lake Deposit was 12 months
ago. It is important to stress that all four of these satellite deposits
are still at a very early stage of deposit delineation and have significant
growth potential.
For a map showing the distribution of Aurora’s
uranium deposits and priority drill targets, please use the following
link: http://www.aurora-energy.ca/files/HotSpots_2008.02.22.JPG.
The following table summarizes the
Classified Mineral Resources of the Michelin, Jacques Lake, Rainbow, Nash,
Inda and Gear deposits:
|
|
Underground*
|
Open Pit*
|
Total
|
Deposit
|
Class
|
Tonnes
|
%U3O8
|
lbs U3O8
|
Tonnes
|
%U3O8
|
lbs U3O8
|
lbs U3O8
|
MICHELIN
|
Measured
|
1,289,000
|
0.12
|
3,310,000
|
5,795,000
|
0.08
|
9,768,000
|
|
|
Indicated
|
16,170,000
|
0.13
|
44,582,000
|
7,146,000
|
0.06
|
9,774,000
|
|
|
MEASURED & INDICATED
|
17,459,000
|
0.12
|
47,892,000
|
12,941,000
|
0.07
|
19,542,000
|
67,434,000
|
JACQUES LAKE
|
Measured
|
415,000
|
0.09
|
802,000
|
401,000
|
0.09
|
798,000
|
|
|
Indicated
|
3,357,000
|
0.08
|
5,861,000
|
1,909,000
|
0.07
|
2,950,000
|
|
|
MEASURED & INDICATED
|
3,772,000
|
0.08
|
6,663,000
|
2,310,000
|
0.07
|
3,748,000
|
10,411,000
|
RAINBOW
|
Indicated
|
|
|
|
1,088,000
|
0.09
|
2,063,000
|
2,063,000
|
NASH
|
Indicated
|
|
|
|
757,000
|
0.08
|
1,300,000
|
1,300,000
|
INDA
|
Indicated
|
|
|
|
1,460,000
|
0.06
|
2,037,000
|
2,037,000
|
GEAR
|
Indicated
|
|
|
|
520,000
|
0.06
|
665,000
|
665,000
|
|
|
|
|
|
|
|
|
|
TOTAL
|
MEASURED & INDICATED
|
21,231,000
|
0.12
|
54,555,000
|
19,076,000
|
0.07
|
29,355,000
|
83,910,000
|
|
|
|
|
|
|
|
|
|
MICHELIN
|
Inferred
|
12,577,000
|
0.12
|
33,647,000
|
1,564,000
|
0.05
|
1,818,000
|
35,465,000
|
JACQUES LAKE
|
Inferred
|
2,778,000
|
0.08
|
4,596,000
|
2,210,000
|
0.05
|
2,314,000
|
6,910,000
|
RAINBOW
|
Inferred
|
|
|
|
931,000
|
0.08
|
1,700,000
|
1,700,000
|
NASH
|
Inferred
|
|
|
|
613,000
|
0.07
|
904,000
|
904,000
|
INDA
|
Inferred
|
|
|
|
3,042,000
|
0.07
|
4,538,000
|
4,538,000
|
GEAR
|
Inferred
|
|
|
|
210,000
|
0.06
|
262,000
|
262,000
|
|
|
|
|
|
|
|
|
|
TOTAL
|
INFERRED
|
15,355,000
|
0.11
|
38,243,000
|
8,570,000
|
0.06
|
11,536,000
|
49,779,000
|
* Aurora’s CMB Mineral Resources are reported
at cut-off grades that contemplate underground (0.05% U3O8)
and open pit (0.03% U3O8) mining scenarios, based
on preliminary economic assumptions, and may be refined with more
in-depth economic analyses.
|
2008 WORK PROGRAM
Aurora is continuing to advance the
Project through its comprehensive development program. A detailed
work program for the balance of 2008 is scheduled to be announced by Aurora
within the next few weeks.
Meanwhile, Aurora is carrying out a
20,000 metre, seven rig, two-month winter program of in-fill, confirmation,
and geotechnical drilling on both the Michelin and Jacques Lake deposits
and is continuing with ongoing engineering studies designed to move the
project towards development.
Aurora is scheduled to submit its
Project Registration to government authorities in the second quarter of
2008 to initiate the Environmental Assessment process for the Michelin
Project (which includes the Michelin and Jacques Lake deposits). The
Project Registration is the beginning of an extensive environmental
assessment process under the federal, provincial and Nunatsiavut
governments.
Christopher Lee, P. Geo, Chief
Geoscientist for Aurora, is the designated Qualified Person for the CMB
resource estimates. All estimates were conducted using 3D geological solids
defined by a combination of stratigraphy, alteration and grade, and
hand-digitized on 25-50 metre cross-sections in Gemcom software. Assay
composites were generated from capped U3O8 grades
within these solids and used to interpolate grades into 3D block models,
using either ordinary kriging (Michelin, Jacques Lake) or anisotropic
inverse distance squared weighting (Rainbow, Gear, Inda, Nash). Optimum
search parameters (ranges, orientations, number of samples) were chosen to
reflect modeled or interpreted grade continuity, low and high grade
populations, and sample density. A single mean specific gravity, as
measured from 22 to 329 samples of mineralized rock, was used for each
deposit. Mineral resources for the satellite deposits (Rainbow, Gear, Inda,
Nash) are reported for only those blocks located less than 300 metres from
surface. Blocks were classified into Measured, Indicated and Inferred
mineral resource categories using a combination of the number drill holes,
average distance of samples used in each block estimate, and geological
confidence. Mineral resources are not mineral reserves, and there is no
guarantee that any resource will become a reserve.
Assay results have been prepared under
the guidance of Mr. Ian Cunningham-Dunlop P. Eng, Exploration
Vice-President for Aurora, who is designated as a Qualified Person with the
ability and authority to verify the authenticity of and validity of this
data. Drill core was prepared and analyzed in accordance with industry
standards by Activation Laboratories Ltd, Ancaster, Ontario.
ABOUT FRONTEER
Fronteer is an exploration and
development company with a track record of making big discoveries. Fronteer
has a 40% interest in three excellent gold and copper-gold projects in
western Turkey, an extensive portfolio of advanced stage gold projects in
Nevada, and a 42.3% interest in Aurora Energy Resources (TSX – AXU),
a leading Canadian uranium company. For further information on Fronteer
visit www.fronteergroup.com
or contact:
Mark O’Dea, Ph.D, P.Geo President and CEO
Glen Edwards, Media Relations
PH) 604-632-4677 or Toll Free 1-877-632-4677
info@fronteergroup.com
Except for the statements of
historical fact contained herein, certain information presented constitutes
"forward-looking statements" within the meaning of the United States
Private Securities Litigation Reform Act of 1995. Such forward-looking
statements, including but not limited to, those with respect to the
timing and amount of estimated future resources and resource conversion
rates, and production, potential for expansion of resources and potential
size of future exploration programs and potential timing of receipt of
permits, project registration and classification of future mineral
resources, and potential for future benefits, involve known and unknown
risks, uncertainties and other factors which may cause the actual results,
performance or achievement of Fronteer to be materially different
from any future results, performance or achievements expressed or implied
by such forward-looking statements. Such factors include, among others,
risks related to the actual results of current exploration activities,
conclusions of economic evaluations, uncertainty in the estimation of
mineral resources, changes in project parameters as plans continue to be
refined, future prices of uranium, environmental risks and hazards,
increased infrastructure and/or operating costs, labor and employment
matters, and government regulation as well as those factors discussed in
the section entitled "Risk Factors" in Fronteer's Annual Information
Form available on SEDAR at www.sedar.com . Although Fronteer has attempted
to identify important factors that could cause actual results to differ
materially, there may be other factors that cause results not to be as
anticipated, estimated or intended. There can be no assurance that such
statements will prove to be accurate as actual results and future events
could differ materially from those anticipated in such statements. Fronteer
disclaims any intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise. Accordingly, readers should not place undue reliance on
forward-looking statements.
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