Frontera Copper Announces Completion of Recapitalization

TORONTO, June 15 /CNW/ - Frontera Copper Corporation ("Frontera" or the "Corporation") (TSX: FCC.NT) (TSX: FCC.NT.A) is pleased to announce that it has completed its previously announced plan of arrangement pursuant to the Canada Business Corporations Act (the "Arrangement") under which all of the Corporation's 10% Senior Unsecured Notes due June 15, 2010 and its 10% Senior Unsecured Notes due March 15, 2011 (together, the "Existing Notes") were exchanged for new guaranteed senior secured Notes pursuant to elections made by holders of the Existing Notes (the "Noteholders") in accordance with the terms of the Arrangement (the "Recapitalization").

"By completing the Recapitalization, we have made an important step towards addressing the Corporation's liquidity issues and bringing the Piedras Verdes Mine to full copper cathode production. We are encouraged by the support of our noteholders and their continued commitment to the Corporation in its efforts to achieve those key objectives", said Mark Distler, Chief Financial Officer of Frontera.

As previously announced, the Arrangement received overwhelming approval at the special meeting of Noteholders held on June 7, 2010 to approve the Arrangement. The Arrangement also received final approval of the Ontario Superior Court of Justice on June 10, 2010.

Based on the elections received by the Corporation, all Noteholders will receive new 10% guaranteed secured series 1A notes due September 30, 2013 (the "New Series 1A Notes") in exchange for their Existing Notes in accordance with the terms of the Arrangement. No new guaranteed and secured series 2A notes will be issued. The Existing Notes will cease trading on the TSX and be delisted as of the close of trading on June 15, 2010 and the New Series 1A Notes will commence trading on the TSX at the opening of trading on June 16, 2010. The New Series 1A Notes will trade under the symbol "FCC.NT.B".

Cautionary Statement on Forward Looking Information

Information in this news release that is not current or historical factual information may constitute forward-looking information or statements within the meaning of applicable securities laws. Such information includes, without limitation, the Corporation's intentions and plans and its objectives of addressing its liquidity issues and bringing the Piedras Verdes Mine to full copper cathode production. There is no certainty that subsequent events will not cause material changes in these intentions, plans, and objectives. Forward looking statements reflect expectations regarding future events and operating performance and speak only as of the date of this news release. Forward looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such performance or results will be achieved. These forward looking statements are made as of the date of this news release and, except as expressly required by applicable law, the Corporation assumes no obligations to update or revise them to reflect new events or circumstances.

SOURCE Frontera Copper Corporation

For further information: For further information: Mark Distler, CFO at (480) 477-6789

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