FORTUNA METALS LTD — Capital/Financing Update 2009

Jan 6, 2009

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ADDRESS PHONE EMAIL P.O. Box 35 +61 (8) 9295 0388 info@frontierresources.com.au North Perth FAX WEBSITE WA 6906 Australia +61 (8) 9295 3480 www.frontierresources.com.au

ABN 96 095 684 389 ASX Code : FNT

ASX Limited Company Announcements Office

Announcement

January 7[th] 2009

Dear Shareholder

Further to my letter dated 3/12/2008, I would like to advise that the Frontier Entitlements Issue now closes on Saturday 17/1/2009, with applications accepted through the subsequent Monday 19/1/2009.

Frontier needs your support to ensure that we can complete the resource estimations for the Narrawa and Stormont Deposits and continue as a going concern.

I would ask that, if at all possible, you subscribe for a minimum amount of 11,112 shares ($388.92), to enable the Options to be listed on the ASX. If you have already subscribed for a lesser amount, I request that you seriously consider increasing the subscription to the minimum amount noted above.

You were previously mailed a Prospectus which contained an entitlement form. If you are unable to locate this Prospectus or entitlement form please contact Julia on (08) 9228 0703 urgently to receive a replacement. I suggest that you read the prospectus to fully inform yourself of our exploration plans and proposed strategy forward.

I will be in the field from this weekend through the end of January, but any questions can be directed to the Chairman - Bob McNeil on (07) 55922274 or Director - Graham Fish on 0418148473.

Thank you for your historic and future support.

Sincerely,

FRONTIER RESOURCES LTD

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P.A.McNeil, M.Sc. MANAGING DIRECTOR