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RDU.V ·

Radius Gold completes sale of Mexico property to Fortuna Silver Mines

Mergers & Acquisitions

news release

August 2, 2017

Radius Gold completes sale of Mexico property to Fortuna Silver Mines

Vancouver, Canada: Radius Gold Inc. (TSX-V: RDU) is pleased to advise that it has completed

the sale of its Tlacolula Property , Mexico to Fortuna Silver Mines Inc. On closing of the

transaction, Radius received US$150,000 cash and 239,385 common shares of Fortuna, and has

been granted a 2% NSR royalty on the Property. Fortuna retains the right to purchase one-half of

the royalty by paying Radius US$1.5 million.

About Radius

Radius has been exploring for gold in Latin America for over a decade. The Company has a

strong treasury and is looking for investment and project acquisition opportunities across the

globe. Please call toll free 1-888-627-9378 or visit our web site (www.radiusgold.com) for more

information.

ON BEHALF OF THE BOARD

Simon Ridgway

President and CEO

Symbol: TSXV-RDU

Contact: Simon Ridgway

200 Burrard Street, Suite 650

Vancouver, BC V6C 3L6

Tel: 604-801-5432; Toll free 1-888-627-9378; Fax: 604-662-8829

Email: [email protected]

Website: www.radiusgold.com

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Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts

responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

Certain statements contained in this news release constitute forward- looking statements within the meaning of

Canadian securities legislation. All statements included herein, other than statements of historical fact, are

forward-looking statements which include, without limitation, statements about the Company’s royalty on the

Tlacolula Property ; the Company’s business strategy, plans and outlook; the merit of the Company’s investments

and properties; timelines; the future financial performance of the Company; expenditures; approvals and other

matters. Often, but not always, these forward looking statements can be identified by the use of words such as

“estimate”, “estimates”, “estimated”, “potential”, “open”, “future”, “assumed”, “projected”, “used”,

“detailed”, “has been”, “gain”, “upgraded”, “offset”, “limited”, “contained”, “reflecting”, “containing”,

“remaining”, “to be”, “periodically”, or statements that events, “could” or “should” occur or be achieved and

similar expressions, including negative variations.

Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the

actual results, performance or achievements of the Company to be materially different from any results,

performance or achievement s expressed or implied by forward- looking statements. Such uncertainties and factors

include, among others, the Company’s royalty on the Tlacolula Property ; changes in general economic conditions

and financial markets; the Company or any joint venture par tner not having the financial ability to meet its

exploration and development goals; risks associated with the results of exploration and development activities,

estimation of mineral resources and the geology, grade and continuity of mineral deposits; unanticipated costs and

expenses; and such other risks detailed from time to time in the Company’s quarterly and annual filings with

securities regulators and available under the Company’s profile on SEDAR at www.sedar.com. Although the

Company has attempte d 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 to differ from those anticipated, estimated or intended.

Forward-looking statements contained herein are based on the assumptions, beliefs, expectations and opinions of

management, including but not limited to: that the Company’s royalty on the Tlacolula Property will result in

revenue for the Company, or may be purchased in part by Fortuna; that the Company’s activities will be in

accordance with its public statements and stated goals; that all required approvals will be obtained; that there will

be no material adverse change affecting the Company or its investments or properties; and such other assumptions

as set out herein. Forward -looking statements are made as of the date hereof and the Company disclaims any

obligation to update any forward-looking statements, whether as a result of new information, future events or results

or otherwise, except as required by law. 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 suc h statements.

Accordingly, investors should not place undue reliance on forward-looking statements.