Extorre Gold Mines Limited

Extorre Gold Mines Limited

March 26, 2010 09:00 ET

Extorre Appoints Vice President and Grants Stock Options

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 26, 2010) - Extorre Gold Mines Limited (TSX:XG) ("Extorre" or the "Company") reports that Mr. Robert Grey has been appointed Vice President Corporate Communications. Separately, Extorre has granted an aggregate of 245,000 stock options to four directors and two officers, exercisable at a price of $2.04 for five years.

About Extorre

Extorre Gold Mines Limited is a Canadian public company listed on the Toronto Stock Exchange under the symbol "XG". It is a spin-out entity from Exeter Resource Corporation ("Exeter") pursuant to a March 11, 2010 shareholder vote to split Exeter into two independently focussed public companies.

Extorre's assets comprise approximately $25 million in cash plus the Cerro Morro and Don Sixto projects, and all other Exeter exploration properties in Argentina. Exeter retained all assets relating to the Caspiche gold-copper discovery in Chile, together with approximately $45 million in working capital.

Extorre will initially apply for listing on the OTCQX exchange. That listing will be followed by an application to list on the NYSE-Amex. Listing is subject to Extorre receiving exchange acceptances of its listing application.

The Cerro Moro Project in Santa Cruz Province, Argentina is currently 100% owned by Extorre. The Santa Cruz Government mining company, Fomicruz S.E. is entitled to a 5% participating interest on completion of mine permitting. In July, 2009, a NI 43-101 compliant inferred mineral resource estimate was announced for drilling completed to the end of 2008. The estimate comprised 646,000 ounces gold equivalent at a grade of 18 g/t gold equivalent*, or 0.5 oz/ton gold equivalent*. Results from 105 in-fill drill holes are awaited, to be followed in April by a new resource estimate.

Matthew Williams, Extorre's Exploration Manager considered 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.


Eric Roth, President and CEO

*Inferred mineral resource estimate of 1,098 Mt containing 371,000 ounces gold at a grade of 10.5 g/t and 19.2 million ounces silver at a grade of 545 g/t for 646,000 ounces gold equivalent at a grade of 18 g/t gold equivalent. Gold equivalent is calculated by dividing the silver assay result by 70, adding it to the gold value and assuming 100% metallurgical recovery (see Exeter Resource Corporation news release NR 9-14 dated July 8, 2009).

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 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 and timing, expected cash reserves and the expected benefits of the proposed spin-out transaction. 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 and silver, 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 relating to the Cerro Moro project and general risks associated with the mineral exploration and development industry described in Exeter Resource Corporation's Annual Information Form for the financial year ended December 31, 2008, dated March 27, 2009 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.


Contact Information

  • Extorre Gold Mines Limited
    Rob Grey
    VP Corporate Communications
    (604) 688-9592 or Toll Free: 1-888-688-9592
    (604) 688-9532 (FAX)
    Extorre Gold Mines Limited
    Suite 1260, 999 West Hastings St.
    Vancouver, BC Canada V6C 2W2