Fronteer Gold intends to become a significant gold producer.
Our business model to get us there is simple: We discover and advance big deposits with strong production potential.
We only invest in projects located in stable geopolitical regions providing both low technical risk, and the potential for big, robust, economically significant deposits. We don't waste time or resources on anything else.
Our highly successful business model is also based on our strong management team and strategic partnerships. From Day 1, our strategy has been to build an experienced, well-balanced management team with expertise in finance, business management, exploration, and mining. In the past year we have focused on growing our team to include those with proven mine building and operational expertise.
Our strong fiscal management alone has led us to the solid financial position of being debt-free and owning a healthy treasury, allowing us to self-finance a significant portion of our growth toward future production.
Long Canyon, Sandman and Northumberland comprise Fronteer Gold's future production platform based in Nevada, one of the friendliest gold mining districts in the world. We aim to build regional production by advancing these projects sequentially over the near-term, funding the company's growth with low risk of dilution.
At Long Canyon, we have discovered not just a deposit, but a new Nevada gold trend. A Preliminary Economic Assessment (PEA) released in December, 2009, illustrates that the project is viable in today's cost environment, supporting a financially robust, open-pit, run-of-mine, heap-leach operation. We are currently advancing the project to pre-feasibility with environmental, engineering and metallurgical studies all underway to determine processing options and project economics.
Our Sandman project is quickly emerging as a high-quality mining project in an underexplored part of Nevada. Our joint-venture partner, Newmont Mining Corporation, has the option of advancing the gold project to a production decision by 2011. As part of the agreement, Fronteer Gold can also elect to have Newmont arrange financing for its 40% of development costs.
Fronteer Gold is also advancing Northumberland, one of Nevada's largest undeveloped Carlin-style deposits. We believe Northumberland has strong potential for significant annual production and favourable economics under a fast-track permitting regime. A multidisciplinary program is currently underway to advance the project to a production decision.
We also have an interest in Halilaga, a world-class copper-gold porphyry system located in northwestern Turkey, and 100% ownership of Aurora Energy Resources, developer of one of the world's largest primary deposits of uranium in Labrador.