Radius Gold provides exploration update for Amalia Gold-Silver JV in Chihuahua, Mexico
news release
March 25, 2020
Radius Gold provides exploration update for Amalia Gold-Silver JV
in Chihuahua, Mexico
Vancouver, Canada: Radius Gold Inc. (TSX -V: RDU) is pleased to provide an exploration update for its
Amalia Gold-Silver joint venture project, operated by Pan American Silver Corp. The highlight of progress
to date is the development of the El Cuervo target, where wide zones (up to 40m) of silicification, breccias
and veining with strong gold and silver rock chip geochemistry is being mapped and sampled 3.8km south
east of the current drilled area at San Pedro.
Since optioning the Palmillas properties (see new release February 24, 2020), Pan American has conducted
detailed geological mapping and collected over 250 rock chip samples from selected targets along 6 km
of the Amalia fault system.
El Cuervo Target
The El Cuervo target is located within the newly acquired Palmillas properties, 3.8km south east of San
Pedro. Geological mapping has identified a zone of veining, silicification and breccias approximately 750m
long and upto 40m wide. Initial prospecting rock chip samples range from below detection up to 637 g/t
Ag and 2.24 g/t Au. The geological setting is similar to San Pedro zone. Geological maps and sampling
data will be available at http://www.radiusgold.com/s/amalia.asp.
Phase IV Drilling
Environmental permits are in progress for a fourth phase of drilling at Amalia. Currently 9 deep holes are
planned to test down dip and lateral expansions of the high grade gold and silver mineralization defined
at San Pedro in drill phases I - III.
The Pan American Agreement
According to the option agreement signed in June 2018, Pan American Silver Corp. has the option to earn
up to an initial 65% interest in Radius’s Amalia Project and Palmillas Properties by making cash payments
to Radius totaling US$ 1.5 million (of which US$250,000 has been received) and expending over four years
US$ 2 million on exploration and reimbursement of Radius’s costs to maintain its option agreements with
the owners of Amalia and Palmillas. Pan American may earn an additional 10% by advancing the pro ject
to preliminary feasibility.
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Technical Information
Bruce Smith, M.Sc. (Geology), a member of the Australian Institute of Geoscientists , is Radius’s Qualified
Person as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects. Mr. Smith
has reviewed and approved the technical information contained in this news release. Reported rock chip
samples were conducted by Pan American Silver. Pan American implements a quality assurance and
quality control ( “QAQC”) program including the submission of certified standards and blank samples to
the laborator y. The results of the QAQC samples submitted demonstrate acceptable accuracy and
precision.
Corporate Developments
Due to restrictions on travel and for the safety of our employees , Radius has curtailed operations for the
time being. Most of the geological staff have returned home and in the corporate office where possible
staff are working from home. We will return to the field and office when it is safe and cost effective to do
so; meanwhile we will preserve the cash position of the Company.
Radius Gold Inc.
Radius has a portfolio of projects located primarily in Mexico, United States and Guatemala which it
continues to advance, utilizing partnership s where appropriate in order to retain the Company’s strong
treasury. At the same time, management is seeking o ut additional investment and project acquisition
opportunities across the globe.
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
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 possible acquisition by Pan American of
an interest in the Amalia and Palmillas Projects; the exploration plans for the Amalia and Palmillas Projects; 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,
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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 stateme nts 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 achievements expressed or implied by forward-looking statements. Such uncertainties and factors include, among
others, the possible acquisition by Pan American of a n interest in the Amalia and Palmillas Projects; the plans for
exploring the Amalia and Palmillas Projects; changes in general economic conditions and financial markets; the
Company or any joint venture partner 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 attempted to identify important factors
that could cau se 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 Pan American will acquire an interest in the Amalia and Palmillas
Projects; that the exploration activities at the Amalia and Palmillas Projects will proceed as planned; 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 Co mpany 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 such s tatements. Accordingly, investors should not place undue reliance on forward -looking
statements.