Frontline Gold Announces Private Placement Offering
November 3, 2011, Toronto, ON - Frontline Gold Corporation (TSX-V: FGC) ("Frontline" or the "Company") announces a private placement offering for gross proceeds of up to $800,000 (the "Unit Offering") pursuant to the issue of up to 11,428,571 units of the Company ("Units") at a price of $0.07 per Unit. Each Unit will be comprised of one common share in the capital of the Company (each a "Common Share") and one-half of one Common Share purchase warrant (the "Warrants"). Each whole Warrant shall entitle the holder thereof to acquire one Common Share for 18 (eighteen) months following closing of the Unit Offering (the "Closing") for an exercise price of $0.12 per Common Share. Additionally, the Company will offer up to 2,105,264 flow-through common shares in the capital of the Company ("Flow-Through Shares") at a price of $0.095 per Flow-Through Share for gross proceeds of up to $200,000 (the "Flow-Through Offering", and together with the Unit Offering, the "Offering"). The Offering is subject to approval by the TSX Venture Exchange and applicable securities legislation. The net proceeds of the Unit Offering will be used for exploration at both the Company's Menderes property in Western Turkey and its Poly/Stewart property in British Columbia, and for working capital and general corporate purposes. The gross proceeds from the Flow-Through Offering will be used to incur certain types of Canadian Exploration Expense ("CEE") as defined in the Income Tax Act (Canada) and the Company will renounce, for the 2011 taxation year, such CEE, in favour of original purchasers of the Flow-Through Shares, as is equal in amount to the issue price for each Flow-Through Share. The Offering will be offered by way of private placement via a term sheet to accredited investors in all provinces of Canada and in other eligible foreign jurisdictions pursuant to applicable private placement exemptions under applicable securities laws in such jurisdictions. Insiders of Frontline may, subject to regulatory approval, participate in the Offering. The closing of the Offering is expected to occur on or before November 25, 2011, and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals including the approval of the TSX Venture Exchange. The Common Shares and Warrants underlying the Units and the Flow-Through Shares will be subject to a four-month hold period. About Frontline Gold Corporation Frontline Gold Corp. (FGC: TSX-V) is a Canadian junior mineral exploration company with an experienced discovery team and a proven record of accomplishment. The Company's flagship properties include the Niaouleni gold project in the heart of Mali South in West Africa's prolific gold belt and the Menderes gold project in the Izmir province of Western Turkey. Ongoing Canadian exploration includes the Poly (gold), the Stewart (gold-copper polymetallic) and the Red Lake (gold) projects.
Frontline Gold is a gold exploration company based in Canada.
Frontline Gold holds various exploration projects in Mali and in Turkey.
Its main exploration properties are JUBILEE in Canada, NIAOULENI in Mali and MENDERES in Turkey.