Exeter and Extorre Close Spin-Out and Create Two Independent Companies

On March 23, 2010, Exeter Resource Corporation (NYSE: XRA, TSX: XRC and Frankfurt: EXB) and Extorre Gold Mines Limited (TSX:XG) announced that they had closed the previously announced spin-out transaction and that Extorre now trades as an independent company on the TSX under the symbol “XG”. The combined market capitalization of the two companies upon closing was approximately $670 million.

As a result of the closing, Extorre holds all of Exeter's former interest in the Argentine Cerro Moro and Don Sixto Projects as well as its Argentine Patagonian exploration projects and an initial $25 million from Exeter. Extorre's initial focus is on development of the Cerro Moro Project, while exploration drilling will continue to test for new high-grade vein targets. Exeter will continue to hold and focus on advancing its Caspiche Project, located in northern Chile.

Exeter was advised in this transaction by Fasken Martineau DuMoulin LLP with a team that included, among others, Iain Mant, Susan McLeod, Steve Saville, Benjamin Lee and Caroline Clapham (corporate/securities) and Frank Schober (tax). Exeter was represented in the United States by Dorsey & Whitney LLP with a team that included Kenneth Sam and Shona Smith (corporate/securities).