Proposed Settlement of Director Debt

For immediate release

30 June 2015

Frontier Resources International Plc

("Frontier" or the "Company")

Proposed Settlement of Director Debt

The Directors, in their continuing support of the Group's business needs, had previously agreed to continue the deferral of a proportion of their remuneration until at least 1 January 2015, an extension of three months from 1 October 2014 agreed at the time of admission to AIM.

As previously announced in April, as at 28 February 2015, a total of £395,557 was due by the Company to Mr Keyes (comprising £257,540 deferred salary payments due under his service agreement and £138,017 due under the Director's current account) and £40,000 was due by the Company to Mrs Spurrier in respect of accrued but unpaid remuneration. In aggregate the amount owed by the Company to Mr Keyes and Mrs Spurrier amounted to £435,557 (the "Director Debt") at that time. The Company had agreed to settle the Director Debt on completion of the subscription for new Ordinary Shares by AGR Energy Limited No. II ("AGR").

Notwithstanding that the AGR subscription did not subsequently proceed, Mr Keyes and Mrs Spurrier and the Company have agreed that it would be in the Company's best interests for the Director Debt to be settled on substantially the same terms, save that the cash payment previously to be paid to Mr Keyes and Mrs Spurrier will be deferred and the number of new Ordinary Shares to be issued will be determined by using the issue price of the next fund raising by the Company.

Accordingly, £54,444.63 of the Director Debt will be settled at the next fund raising by the issue of new Ordinary Shares (at the then funding issue price). In respect of the balance of the Director Debt of £381,112.38, an amount of £108,889.25 will be written-off immediately and the remaining balance of £272,223.13 will be paid only in the event that the Company completes a farm-out of its interests in one or more of its projects which involves the reimbursement to the Company of at least £435,556 of historic exploration expenditure.

The proposed settlement is being treated as related party transaction for the purposes of Rule 13 of the AIM Rules. Accordingly the Independent Directors, being Neil Herbert and John O'Donovan, having consulted with the Company's nominated adviser, consider that the proposed settlement of the Director Debt is fair and reasonable insofar as the Company's shareholders are concerned. The Independent Directors have taken into account in particular the quantum of the Director Debt being written-off immediately, the amount being deferred until such time as the Company completes a farm-out and that the new Ordinary Shares to be issued will be at a price determined in the next public funding by the Company.

Enquiries:

A copy of this announcement is available from the Company's website www.friplc.com