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Frontera Copper Corporation is a Canadian mineral exploration and development company incorporated in March 2002 to purchase and bring into production its' wholly-owned Piedras Verdes run-of-mine heap leach SX/EW project in Sonora. The project is expected to commence production in 2006 at a rate of 70 million pounds of copper cathode per year at a life-of-mine operating costs including royalties of 0.52 per pound of copper.

Frontera Copper Corporation     [FCC:TSE]

Piedras Verdes Property, Sonora. Proven and probable mineable reserves are 131 million tonnes grading 0.36% Cu. Feasibility study completed in September, 2004 by M3 Engineering & Technology concluded that the project was an excellent development opportunity at copper prices of 0.95 per pound.

wwwInfo 15Jan05

TORONTO, ONTARIO, Jan 14, 2005

Frontera Copper Corporation (TSX:FCC) is pleased to announce that it has been granted all the permits required to construct a new townsite for the Ejido Piedras Verdes. The townsite location was selected by the Ejido Piedras Verdes and upon completion of construction, the 49 remaining households in the existing village will relocate to the new townsite.

Frontera Copper will construct the new townsite complete with roads, power, water and sewage as well as a medical clinic and schools. A contractor has been selected and construction will commence immediately.

"We are very pleased to be able to commence construction of the new townsite for the Ejido Piedras Verdes and continue to advance development of the project," says Dr. Patrick Ryan, President & CEO of Frontera Copper. "We enjoy excellent relations with all of the Ejidos in the area and look forward to adding prosperity to the local communities through employment opportunities and indirect economic benefits."

In addition, the Mexican government has recently announced changes in corporate tax and depreciation rates which are expected to have a positive impact on the economics of the Piedras Verdes project. Mexican corporate tax rates are being reduced over the three years 2005 to 2007 from 32% to 28% and, beginning in 2005, accelerated depreciation rates have been increased and may now be applied in the year in which the capital expenditure is made.

Frontera Copper was incorporated in March 2002 to purchase and bring into production the Piedras Verdes run-of-mine heap leach SXEW copper project in Sonora, Mexico. Production is expected to commence in 2006 at a rate of 70 million pounds per year of LME Grade A copper cathode at a life-of-mine cash operating cost of US$0.52 per pound of copper. A total of 942 million pounds of copper is projected to be produced during the 18 year life of the project. Existing resources and prospective exploration targets adjacent to the proposed open-pit have the potential to improve the economics and extend the life of the project.

Frontera Copper Corporation Ann Gibbs Manager of Investor Relations (416) 350-5132 ann@fronteracopper.com or Frontera Copper Corporation James Pringle Chief Financial Officer (416) 350-5130 james@fronteracopper.com NEWS RELEASE TRANSMITTED BY CCNMatthews

 

NMN 02/14/94