· Trabajo presentado en agosto del 2004 en el Argentina Mining 2004, Mendoza.


La Cabeza Property is located in southern Mendoza Province approximately 500 road-kilometers south of the city of Mendoza, in central western Argentina.

The property was discovered by Argentina Mineral Development S.A (AMD), while investigating Landsat TM color alteration anomalies. The ensuing program comprising mainly geological mapping and geochemistry led to the discovery of significant and widespread gold mineralization between 0.5-56.0 g/t Au, within a sixteen square kilometers area of altered volcanics and sediments. From January 1997 to December 1998 AMD’s exploration program included comprehensive gridding and photogrammetry, geological, geochemical, geophysical surveys, 126 drill holes including 13,663 meters of reverse circulation percussion drilling and 2,277 meters of diamond drilling. The drilling program delineated eight individual gold deposits: El Ojo, La Luna, Mandibula, Labio, El Cuello, Cachete, Oreja and Barbilla, with several zones indicating potential for higher-grade (+5.0 g/t) gold mineralization.

The La Cabeza Prospect lies within a northwesterly trend of shallowly dipping and concordant units of rhyolitic (ignimbrites) and sedimentary (volcaniclastics) units belonging to the Permo-Triassic Choiyoi Formation. Gold mineralization occurs as fine dissemination and blebs in north to north-westerly quartz veins and quartz replacement zones in the ignimbrite and volcaniclastics. The style of mineralization is essentially a gold-silver, silica-sericite/illite-adularia low sulphidation epithermal system with low pyrite (<2%),>

The mineral resource of the La Cabeza Prospect calculated using the cross section method are: cut-off value of 0.5 g/t Au, total inferred mineral resource 11,976,000 t, with 1.83 g/t Au totaling 705,000 Ounces gold. Preliminary metallurgical tests of fine rejects of composite samples indicate that recoveries in excess of 90% may be achievable in both oxidized and less weathered material.

In November 2003 a Scoping Study was completed, which examined viability of mining existing resources of the La Cabeza gold project. On the basis of this positive study, in January 2004, the Exeter Resources board approved a $1.1 million budget and scope of work for a six month Pre–Feasibility Study. This study commenced in February 2004 and includes 2,800 meters of drilling. The full study will also include a detailed geological interpretation and geotechnical, hydrological, engineering, metallurgical, mining, infrastructure, environmental, community relations, legal investigations and financial modeling.

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