Exeter Resource Corporation
TSX : XRC
NYSE Amex : XRA
FRANKFURT : EXB

Exeter Resource Corporation

April 18, 2011 07:54 ET

Exeter Reports Successful Completion of Infill Drilling at Its Caspiche Gold-Copper Project, Chile

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 18, 2011) - Exeter Resource Corporation (TSX:XRC)(NYSE Amex:XRA) (FRANKFURT:EXB) – ("Exeter" or the "Company") is pleased to announce results from the infill drilling program on its Caspiche porphyry project in northern Chile. The purpose of the program was to lift higher grade inferred category mineralization into the indicated category.

Highlights from the infill drilling program include:

  • Drill hole CSD074 intersected 908m (2,979 ft) at a grade of 0.60 g/t gold (0.017 oz/t) and 0.22% copper from a down hole depth of 204m (670 ft).
  • Drill hole CSD075 intersected 572m (1,877 ft) at a grade of 0.78 g/t gold (0.023 oz/t) and 0.31% copper from a down hole depth of 90m (295 ft).
  • Drill hole CSD076 intersected 1,146m (3,760 ft) at a grade of 0.38 g/t gold (0.011 oz/t) and 0.31% copper from a down hole depth of 116m (380 ft), including, 378m (1,240 ft) at 0.55 g/t gold (0.016 oz/t) and 0.45% copper from a down holedepth of 558m (1,831 ft).
  • Drill hole CSD078 intersected 376m (1,234 ft) at a grade of 1.25 g/t gold (0.036 oz/t) and 0.40% copper from a down hole depth of 250m (820 ft).

All holes are within or marginal to the resource shells documented in the NI43-101 compliant mineral resource estimate, completed by AMEC International, announced on September 13, 2010.

Justin Tolman, Caspiche's project manager stated "The results from this 6,600m drilling program demonstrate the continuous nature of the Caspiche mineralization and support the integrity of our geological model. AMEC International has now been retained to begin work on an updated resource estimate. The inclusion of the results from this additional drilling in the upcoming resource estimate update should allow us to consider economic extraction of higher grade portions of the deposit currently classified as inferred within our pre-feasibility study ("PFS") currently in progress."

Two drill rigs are now exploring for additional porphyry mineralization in the immediate vicinity of the Caspiche resource. A third rig is recovering mineralized material from within the Caspiche deposit as part of our metallurgical optimisation and flow sheet development programs.

The oxide gold deposit stand-alone PFS remains on schedule for release in Q2-2011. The Company recently commissioned a scoping study to consider the potential for ex-pit or in-pit crushing of waste rock for the combined oxide plus sulfide PFS. Completion of the scoping study is expected in Q2-2011, and if favourable, we could consider including the concept in the PFS and revising the release date for the combined PFS to Q4-2011.

Details of significant new drill holes are tabulated below:
Hole No.FromToWidthGoldCopperZone
(m)(m)(m)(g/t)(%)
CSD074120134140.540.02Transitional Gold Only Zone
CSD0742041,1129080.600.22Sulfide Gold Copper Zone
CSD0754790430.400.01Oxide Gold Only Zone
CSD075906625720.780.31Sulfide Gold Copper Zone
CSD07634116820.310.01Oxide Gold Only Zone
CSD0761161,2621,1460.380.31Sulfide Gold Copper Zone
Including5589363780.550.45Sulfide Gold Copper Zone
CSD0777284121.190.01Oxide Gold Only Zone
CSD0775281,078.8550.80.360.23Sulfide Gold Copper Zone
CSD0782506263761.250.40Sulfide Gold Copper Zone
CSD0795841,1715870.430.29Sulfide Gold Copper Zone

Intercepts not calculated using a gold cut-off.

Justin Tolman, Exeter's Caspiche Project Manager and a "qualified person" within the definition of that term in NI 43-101, has supervised the preparation of the technical information contained in this news release.

Anglo American Agreement: Exeter recently exercised the option to purchase the Caspiche project and has entered into an agreement ("Agreement") for the transfer of the project properties from Anglo American Norte S.A. ("Anglo") to its local subsidiary, Minera Eton Chile S.A. The Agreement also provides for an extension of the required time line to production from the previous ten years to 15 years, adds additional tenure to the Caspiche property package, details the 3% net smelter royalty due to Anglo from production, and provides for advance royalty payments until production commences comprising US$250,000 per year to March 2021, thence US$1 million per year through March 2026. These payments terminate upon the commencement of commercial production at Caspiche.

About Exeter

Exeter Resource Corporation, with a treasury of $82m, 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 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

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 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, availability of water, changing foreign exchange rates and actions by government authorities, uncertainties associated with negotiations and misjudgments 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 for potential project development; 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, 2010, dated March 25, 2011 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.

NEITHER THE TSX NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE

Contact Information

  • Exeter Resource Corporation
    B. Roxburgh
    President
    604.688.9592 or Toll-free: 1.888.688.9592
    604.688.9532

    Exeter Resource Corporation
    Rob Grey
    VP Corporate Communications
    604.688.9592 or Toll-free: 1.888.688.9592
    604.688.9532
    exeter@exeterresource.com
    www.exeterresource.com