Exeter Resource Corporation
FRANKFURT : EXB
TSX VENTURE : XRC

Exeter Resource Corporation

October 18, 2006 23:30 ET

Exeter Closes $1.25 Million Financing

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Oct. 18, 2006) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR TO US NEWSWIRE SERVICES

Exeter Resource Corporation ("Exeter") (TSX VENTURE:XRC)(FWB:EXB) announces that it has closed the non-brokered private placement announced October 6, 2006. The private placement raised gross proceeds of $1,250,000 through the issuance of 500,000 units (the "Units") at a price of $2.50 per Unit.

Each Unit consists of one common share and one half of one common share purchase warrant. Each whole warrant will be exercisable at a price of $3.00 per common share until April 18, 2008, provided that if the closing price of Exeter's common shares on the TSX Venture Exchange is equal to or higher than $3.25 per common share for a period of 10 consecutive trading days at any time after four months and one day after October 18, 2006, the closing date. Exeter may accelerate the expiry date of the warrants by giving notice to the holders thereof, and, in such case, the warrants will expire on the 30th calendar day after the date on which such notice is given.

All securities issued under the private placement are subject to a four-month hold period expiring on February 19, 2007.

About Exeter

Exeter is a technically-advanced, Canadian gold exploration company, focused on the discovery and development of epithermal gold-silver properties in Argentina and Chile.

At its advanced La Cabeza gold project in Argentina, four drills are currently operating to verify and extend gold and silver resources. Other ongoing project development activities include engineering, metallurgical, hydrological, and environmental studies.

In the prospective, Patagonia region of Argentina, Exeter has a strategic agreement with Cerro Vanguardia S.A. over 12 epithermal gold and silver properties in Santa Cruz, Rio Negro and Chubut provinces. Current exploration is focusing on detailing vein extensions, under extensive sand and gravel cover, at Cerro Moro, ahead of further drilling planned for final quarter this year.

In Chile, Exeter is prospecting some 48 gold, silver and copper targets under a strategic agreement with Rio Tinto Mining and Exploration Limited.

In the Maricunga district of Chile, Exeter has a strategic agreement with Minera Anglo American Chile Limitada and Empresa Minera Mantos Blancos S.A. on the Caspiche epithermal gold property.

You are invited to visit the Exeter web site at www.exeterresource.com.

EXETER RESOURCE CORPORATION

Bryce Roxburgh, President and CEO

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of securities in the United States. These securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Person unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Exeter Resource Corporation
    Bryce Roxburgh
    President
    (604) 688-9592 or Toll Free: 1-888-688-9592
    or
    Exeter Resource Corporation
    Rob Grey
    Investor Relations
    (604) 688-9592 or Toll Free: 1-888-688-9592
    (604) 688-9532 (FAX)
    Email: exeter@exeterresource.com
    Website: www.exeterresource.com