Successful Fundraising & Director's Subscription

5 October 2017

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Frontera Resources Corporation

("Frontera" or the "Company")

Successful Fundraising of £3.5 Million via PrimaryBid and Director's Subscription

Frontera Resources Corporation (AIM:FRR), the European focused oil and gas exploration and production company, announced on 4 October 2017 an underwritten offer to raise approximately £3 million (before expenses) at an offer price of 0.58 pence per ordinary share. The fundraising comprised a fully underwritten offer via PrimaryBid (the "Offer") in conjunction with a Director subscription (the "Subscription") (together the "Fundraising"). The Offer was made exclusively available through PrimaryBid.com.

The Company is delighted to announce that it has raised gross proceeds of £3,500,000 through the Fundraising, comprising of £2,500,000 raised via the Offer and £1,000,000 via a subscription by Zaza Mamulaishvili, a director of the Company. Accordingly, the Company will issue 603,448,276 new ordinary shares pursuant to the Offer and Subscription.

The Company has been advised by PrimaryBid that the Offer received a very strong response from private and institutional investors and was oversubscribed. In light of the demand received, under the terms of Offer, the Company decided to increase the offer by £500,000 to ensure more investors had a chance to participate.

The Offer was on a "first come, first served" basis and was closed early at approximately 6:45 p.m. on Wednesday, 4 October 2017.

Subscription

Concurrent with the Offer, Mr Mamulaishvili, a director of the Company, subscribed for £1,000,000 comprising 172,413,793 new ordinary shares at a price of 0.58 pence per share.

Following the Offer and Subscription, Mr Mamulaishvili's shareholding is as follows:

Issue of Equity and Admission

The Company will allot and issue 603,448,276 new ordinary shares ("New Ordinary Shares") to the subscribers. Application will be made for New Ordinary Shares to be admitted to trading on AIM, which is anticipated to occur on or around 11 October 2017 ("Admission"). The New Ordinary Shares will rank pari passu with the existing Ordinary Shares of the Company.

Following Admission, the Company will have 14,497,798,708 Ordinary Shares in issue with voting rights. The Company does not hold any Ordinary Shares in treasury and accordingly there are no voting rights in respect of any treasury shares. The aforementioned figure of 14,497,798,708 Ordinary Shares may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company, under the disclosure requirements applicable to the Company.

Zaza Mamulaishvili, President and Chief Executive Officer, commented:

"The purpose of the Fundraising was to raise funds for the Company's drilling operations at Taribani complex, namely procuring materials and services in order to sidetrack/drill Dino-2 well and procure materials for T-45 well deepening. I am pleased to report that now we are well funded to commence the Taribani drilling operations. We are delighted to have used PrimaryBid's innovative platform that allowed private investors who have supported us in the past access to this Offer."

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