Vancouver, B.C., March 1, 2011 - Exeter Resource
Corporation (AMEX:XRA, TSX:XRC, Frankfurt:EXB -
"Exeter" of the "Company") is pleased to announce that it has
entered into an option agreement with Xstrata Copper to acquire 100% of the Sideral project adjacent to its Caspiche
gold-copper porphyry property in the Maricunga gold
district of Chile.
The Sideral property
covers 1,190 hectares (2,941 acres) and is located immediately east of
Exeter's Caspiche tenure of 1,260 hectares (3,114
acres). Previous exploration has highlighted anomalous gold-copper surface
geochemistry coincident with geophysical (electrical) anomalies comparable to
those that define the Caspiche Porphyry. Additional
electrical geophysical work and sampling has already begun on the property to
further expand and define these anomalies. Preliminary drill testing is
expected to commence in early March, 2011.
Justin Tolman, Exeter's Caspiche Project Manager stated "Global exploration
has repeatedly demonstrated that one of the best places to find a new
porphyry system is near an existing one. This has been evidenced by recent
discoveries close to a number of known porphyry deposits elsewhere in Chile.
"Exeter's exploration team is very positive on
the discovery potential of such a key under-explored block of Maricunga lands. We are particularly keen to apply our
porphyry experience to a project located in such close proximity to Caspiche. If there is a discovery to be made I am
confident our team has the experience to make it.
"Drilling on existing geophysical targets at Sideral will commence in early March, immediately
following completion of the Caspiche infill
drilling program where we have two rigs employed. The aim of that program has
been to lift higher grade "inferred" mineralization into the
"measured and indicated" categories. We plan to contract additional
rigs for the discovery drilling program at both Sideral
and Caspiche Regional, with a minimum of 3,000 metres ("m") (9,843 feet ("ft"))
planned for each project before the season closes for winter in May.
Click Here for New
Project Location Map
The agreement with Xstrata provides for Exeter to
acquire 100% of the Sideral property by meeting
escalating annual drilling requirements, to a total of 15,000 m (49,213 ft),
within four years. After the 15,000 m (49,213 ft) of drilling is completed,
Xstrata has a once only back in right to acquire a 60% interest in the
property, provided the discovery of a deposit of greater than 100 million
tons at +0.5% copper has been made. Should Xstrata elect to back in, it will
be required to repay Exeter three times its expenditure on the property. In
the event that Xstrata does not exercise its back in right, its interest will
revert to a 2% NSR. Exeter has the right to purchase 50% of the NSR for $10
million, leaving Xstrata with a 1% NSR.
Justin Tolman, Exeter's Capsiche project manager and a "qualified
person" within the definition of that term in National Instrument
43-101, Standards of Disclosure for Mineral Projects, has supervised the
preparation of the technical information contained in this news release.
About Exeter
Exeter Resource Corporation, with a treasury of $86 million, is a Canadian
mineral exploration company focused on the exploration and development of the
Caspiche project in Chile. The project is situated
in the Maricunga gold district, between the Refugio
mine (Kinross Gold Corp.) and the giant Cerro Casale
gold deposit (Barrick Gold Corp. and Kinross Gold
Corp.).. The discovery represents one of the largest mineral discoveries made
in Chile in recent years. Exeter has initiated pre-feasibility studies with
the aim of demonstrating the commercial viability of this world class
discovery.
You are invited to visit the Exeter web site at www.exeterresource.com.
EXETER RESOURCE CORPORATION
Bryce Roxburgh
President and CEO
For further information, please contact:
B. Roxburgh, President or
Rob Grey, VP Corporate Communications
Tel: 604.688.9592 Fax: 604.688.9532
Toll-free: 1.888.688.9592
|
Suite 1660, 999 West
Hastings St.
Vancouver, BC Canada V6C 2W2
exeter@exeterresource.com
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Safe Harbour Statement -
This news release contains "forward-looking information" and
"forward-looking statements" (together, the "forward-looking
statements") within the meaning of applicable securities laws and the
United States Private Securities Litigation Reform Act of 1995, the Company's
belief as to the extent and timing of its PFS, drilling programs, various
studies including engineering, environmental, infrastructure and other
studies, and exploration results, budgets for its exploration programs, the
potential tonnage, grades and content of deposits, timing, establishment and
extent of resources estimates, potential for financing its activities,
potential production from and viability of its properties, permitting
submission, adequacy of water resources and timing and expected cash
reserves. These forward-looking statements are made as of the date of this
news release. Readers are cautioned not to place undue reliance on
forward-looking statements, as there can be no assurance that the future
circumstances, outcomes or results anticipated in or implied by such
forward-looking statements will occur or that plans, intentions or
expectations upon which the forward-looking statements are based will occur.
While the Company has based these forward-looking statements on its
expectations about future events as at the date that such statements were
prepared, the statements are not a guarantee that such future events will
occur and are subject to risks, uncertainties, assumptions and other factors
which could cause events or outcomes to differ materially from those
expressed or implied by such forward-looking statements. Such factors and
assumptions include, among others, the effects of general economic
conditions, the price of gold, silver and copper, changing foreign exchange
rates and actions by government authorities, uncertainties associated with
legal proceedings and negotiations and misjudgements
in the course of preparing forward-looking information. In addition, there
are known and unknown risk factors which could cause the Company's actual
results, performance or achievements to differ materially from any future
results, performance or achievements expressed or implied by the
forward-looking statements. Known risk factors include risks associated with
the ability to obtain any necessary approvals, waivers, consents and other
requirements necessary or desirable to permit or facilitate the proposed
Arrangement, the risk that any applicable conditions of the proposed
transaction may not be satisfied, risks associated with project development;
the need for additional financing; operational risks associated with mining
and mineral processing; fluctuations in metal prices; title matters;
uncertainties and risks related to carrying on business in foreign countries;
environmental liability claims and insurance; reliance on key personnel; the
potential for conflicts of interest among certain officers, directors or
promoters of the Company with certain other projects; the absence of
dividends; currency fluctuations; competition; dilution; the volatility of
the Company's common share price and volume; tax consequences to U.S.
investors; and other risks and uncertainties, including those described in
the Company's Annual Information Form for the financial year ended December
31, 2009, dated March 30, 2010 filed with the Canadian Securities
Administrators and available at www.sedar.com. Although the Company has
attempted to identify important factors that could cause actual actions,
events or results to differ materially from those described in
forward-looking statements, there may be other factors that cause actions,
events or results not to be as anticipated, estimated or intended. There can
be no assurance that forward-looking statements will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place undue
reliance on forward-looking statements. The Company is under no obligation to
update or alter any forward-looking statements except as required under
applicable securities laws.
Cautionary Note to United States Investors - The information contained herein
and incorporated by reference herein has been prepared in accordance with the
requirements of Canadian securities laws, which differ from the requirements
of United States securities laws. In particular, the term
"resource" does not equate to the term "reserve". The
Securities Exchange Commission's (the "SEC") disclosure standards
normally do not permit the inclusion of information concerning "measured
mineral resources", "indicated mineral resources" or
"inferred mineral resources" or other descriptions of the amount of
mineralization in mineral deposits that do not constitute
"reserves" by U.S., unless such information is required to be
disclosed by the law of the Company's jurisdiction of incorporation or of a
jurisdiction in which its securities are traded. U.S. investors should also
understand that "inferred mineral resources" have a great amount of
uncertainty as to their existence and great uncertainty as to their economic
and legal feasibility. Disclosure of "contained ounces" is
permitted disclosure under Canadian regulations; however, the SEC normally
only permits issuers to report mineralization that does not constitute
"reserves" by SEC standards as in place tonnage and grade without
reference to unit measures.
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