Exeter Resource Corp. (TSX: T.XRC, Stock Forum) said the commencement of water drilling has begun for its Caspiche gold-copper project located in northern Chile.
The Caspiche project is situated in the Maricunga gold district.
According to the Exeter Resource press release, 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 $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.
Exeter is also conducting a preliminary evaluation of a second water exploration tenement, which was recently granted to the company.
Exeter is a Canadian mineral exploration company focused on the exploration and development of the Caspiche project in Chile.
On Wednesday morning, Exeter was trading at $1.17 a share. The company has a market cap of $103.4 million, based on 88.4 million shares outstanding. The 52-week high and low was $4.19 and $1.05 respectively.