Exeter begins water exploration drilling for its Caspiche gold-copper project, Chile
Thursday, Jan 10, 2013
Exeter Resource Corporation (NYSE MKT:XRA)(NYSE Amex:XRA)(TSX:XRC)(FRANKFURT:EXB) - ("Exeter" or the "Company") is pleased to announce the commencement of water drilling for its Caspiche gold-copper project located in northern Chile. The drilling campaign is taking place at Cuenca One, one of two water exploration tenements owned by the Company. The estimated cost of the drilling program is CAD$1.3 million.
The objective of the drilling program is to identify and evaluate water sources capable of meeting the needs of both the heap leach stage and the follow-on sulphide stage of a potential mine development at Caspiche. Two water exploration holes were drilled in 2012 at Cuenca One. The first hole was abandoned due to poor drilling conditions and the second was prematurely terminated at a depth of 250m within "damp gravels", well above the targeted depth of the hole. The termination of the drilling program last year was due to the onset of winter weather conditions.
Given that major alpine reservoirs in the region are typically located at depths of some 500m and the fact that "damp gravels" were encountered at shallower depths in earlier drilling, the Company is optimistic that water will be encountered in the current program.
Exeter is also conducting a preliminary evaluation of a second water exploration tenement which was recently granted to the Company. In addition, as previously reported, Exeter continues to investigate the Rio Penas Blancas and Rio Aguas Dulces areas, where the Company has an option over granted surface water rights that total 300 litres a second from river flows into Laguna Verde.