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FORTUNA METALS LTD Capital/Financing Update 2009

Jan 21, 2009

64952_rns_2009-01-21_25abd278-12e2-4852-9d19-b7b99dbe32d9.pdf

Capital/Financing Update

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ADDRESS PHONE EMAIL PO Box 35 +61 (8) 9295 0388 [email protected] North Perth FAX WEBSITE WA 6906 Australia +61 (8) 9295 3480 www.frontierresources.com.au

ABN 96 095 684 389 ASX : FNT

22 January 2009

ASX Limited Company Announcements Office

Announcement

ENTITLEMENT ISSUE CLOSURE AND NOTICE OF SHORTFALL

Frontier Resources Limited (ASX Code FNT) advises that the recent non-renounceable Entitlements Issue on a 1 for 3 ratio, offering shares at 3.5 cents, with one free option accompanying every New Share allotted Option closed on 20 January 2009. The results of the Entitlement Issue are as follows:

Total number of shares on offer: 48,586,431
Total number of shares validly applied 2,121,738
for:
Number of applications received 218
Pro-rata shortfall: 46,464,693
Shortfall applied for to date 825,408

The issue is not underwritten and the Shortfall will be distributed according to the Entitlement Issue Prospectus. The total amount raised from this offer including the Shortfall applied for to date is will be $103,150 before costs.

Chairman Bob McNeil commented “this is a good result for Frontier in the present market and I would like to thank the 218 shareholders who supported their company. The funds raised, plus cash at bank, will allow Frontier to remain a viable company and to continue with a minimal but significant program for 2009.“

FRONTIER RESOURCES LTD

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Jay Stephenson. COMPANY SECRETARY