Fronteer hits high grade at Agi Dagi

Vancouver — Fronteer Development Group (FRG-T) has tied into a new high-grade gold zone on the Agi Dagi project in Turkey.

Drilling on the western edge of the Deli zone returned up to 39 metres (from a depth of 60 metres) grading 4.4 grams gold per tonne in hole 118, including a high-grade section of 8.4 metres averaging 12.4 grams gold.

The intercept would seem to indicate a high-grade feeder structure in the largely tabular and flat-lying zone.

Crews also intercepted 51 metres grading 1.1 grams gold, including 15 metres of 2.2 grams gold, in hole 114, and 46 metres of 1.2 grams gold, including 4.1 grams gold across 7 metres, in hole 116.

Agi Dagi (pronounced ah-dah) is a large, high-sulphidation epithermal system, which includes a mineralized silica cap measuring 4 by 2 km. Mineralization occurs along a northeast-southwest structural trend.

Results from the 8,000-metre drill program will be used to calculate a resource estimate.

Before the implementation of National Instrument 43-101, Teck Cominco (TEK-T) calculated an inferred resource of 11.3 million tonnes grading 1.2 grams gold (in the Baba zone), equivalent to 435,000 oz.

In mid-2004, Fronteer inked a deal with Teck Cominco to acquire the property in return for spending US$5 million on exploration and issuing 350,000 shares over four years. The major retains a 1% net smelter return royalty or a production bonus of US$10 per oz. from a maximum of 600,000 oz. gold, plus a back-in right to regain a 60% interest.