Monday 05 September, 2011

AGM Update

2011 has seen a number of significant milestones in the Company’s development.

April

Following receipt of the necessary regulatory consents, the Company formally completed the acquisition of the remaining 50% of Benkala Copper project and Maminskoye gold deposit in Russia.

May

Acquisition of the South Benkala Copper project, significantly adding to Frontier’s copper resource in the Benkala region.

July

Sale of Maminskoye gold deposit in Russia for $37.5m in cash, securing full funding required to complete the construction of the SX-EW plant at Benkala, taking into account other financing facilities available to the Company.

Significant progress has been made in the commissioning of the Benkala SX-EW plant, crushing expected to commence in October and copper production before the end of the current financial year.

The Bankable Feasibility Study for the Benkala project continues to make headway, which is expected to be published shortly.

Progress ia also being made at Koskuduk and at Baitemir; where the Company has commenced a 6,000 meter drilling program to further define the mineral inventory, anticipating the generation of a JORC compliant resource in 2012.

Erlan Sagadiev, CEO of Frontier Mining, commented:

"We are pleased with the continued progress at Benkala. All equipment is now on site and we are confident that Frontier will be producing copper before the end of the year. Frontier is in a strong financial position and we fully anticipate moving the Company forward to the next stage in its development".