Radius Gold Provides Exploration Update on Guatemala Projects
news release
November 4, 2021
Radius Gold Provides Exploration Update on Guatemala Projects
Vancouver, British Columbia – Radius Gold Inc. (TSXV:RDU ) is pleased to report progress from joint
venture partner, Volcanic Gold Mines Inc., on exploration work in Guatemala.
Holly Project
The next round of drilling at Holly will focus on resource definition at La Peña vein system which has to
date delivered high-grade and consistent drill results, including recently published:
HDD-21-017 8.83m @ 8.81 g/t Au and 355 g/t Ag (Sep 9, 2021)
HDD-21-019 1.53m @ 191.8 g/t Au and 539 g/t Ag (Oct 5, 2021)
And 6.52m @ 11.72 g/t Au and 340 g/t Ag
HDD-21-020 5.40m @ 4.38 g/t Au, 350 g/t Ag (Oct 5, 2021)
HDD-21-023 4.58m @ 79.84 g/t Au and 5,053 g/t Ag (Oct 19, 2021)
Field crews have continued detailed mapping and sampling at Holly project. This work has identified
new drill targets on splay structures of the Jocotan fault where 2 large zones of mineralized breccia have
been mapped and are coincident with high grade soil and rock chip results (Figure 1).
Volcanic plans systematic drill testing of these new targets including the Jocotan splay faults and to
continue testing the extensions, both strike and dip, of La Peña vein system. Assays are still pending on
drill holes HDD-21-024 to 028 and the samples from the detailed rock chip sampling of the Jocotan splay
targets. Drilling will recommence at Holly once outstanding assays have been received and interpreted.
As part of the ongoing community support programs, Volcanic is currently working with the local
communities around Holly to increase water supply. Several wells in the region are dry and good water
supply is a significant issue for the local villages. In co-operation with the local communities, Volcanic is
working on water resource and hydrogeological studies and assisting with improving the water
infrastructure of the communities at the Holly project.
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Figure 1: Holly Project geological Map with Au geochemistry
Banderas Project
At Banderas the planned drill program has been suspended while the Company works on access
agreements with an adjoining community. Access agreements are in place with the community covering
the drill project at Banderas, but further consultation and work is required with an adjoining community
to ensure the benefits of the project are spread out and all affected communities in the area consent.
Regional Exploration
Evaluation of the Volcanic / Radius joint venture’s regional license appli cations has resulted in the
discovery of the first new project for advancement. Along the Motagua fault, 40km north of Holly
project, Volcanic has identified two large areas (150m x 200m and 200m x 200m) covered by sub -
cropping quartz vein boul ders with exceptionally high -grade gold mineralization. The entire area is
densely covered by boulders ranging in size up to maximum 3m diameter. Samples range from
anomalous gold up to 320 g/t. Within these two distinct zones a total of 60 subcrop rock ch ip samples
have been assayed. 26 samples grade over 10 g/t Au including 17 samples over 30 g/t Au, of which 13
are over 50 g/t Au. Mineralization is hosted in massive quartz veining and stockwork veining within
sericite altered schist and is interpreted to be mesothermal shear hosted gold and silver. The project has
low population density with the main target areas having large farms with just a few private owners.
Volcanic has submitted environmental permits for drilling and granting of the exp loration titles and is
working on formal landowner access agreements.
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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 27 years of mineral exploration exper ience and has prepared and approved the technical
information contained in this news release.
Quality Assurance and Quality Control
Volcanic Gold Mines follows industry standard procedures for diamond core drilling and analysis. Drilling
is carried out using NQ and HQ size tooling. Drill core is cut in half using a rock saw with one -half of the
core then taken as a sample for analysis. Sample intervals are generally 1m intervals, producing samples
of between 2 to 9 kg. Half-core samples are delivered to the internationally certified Bureau Veritas
Mineral laboratory facilities in Nicaragua where the samples are prepared . Assays are completed by
Bureau Veritas certified laboratories. The samples are fire assayed for Au and are analy zed for Ag and
multi-elements using method code ICP following a four-acid digestion. Overlimits are analyzed using an
appropriate method. Multi -element geochemical standards and blanks are rout inely entered into the
drill core sample stream to monitor laboratory performance . Quality control samples submitted were
returned within acceptable limits.
Terms of Guatemala Radius Gold and Volcanic Gold Mines option
Pursuant to an option agreement signed in May 2020 , Volcanic can earn a 60% interest in Radius’s Holly
and Banderas projects by spending the cumulative amount of US$7.0 million on exploration of the
properties within 48 months from the date of the agreement. An initial US$1M must be spent on
exploration within the 12 months of receiving the required drill permits, which expenditure will include
a minimum 3,000m of drilling on the properties.
Following the exercise of the Option, Volcanic will enter into a standard 60/40 Joint Venture in order to
further develop the Properties. Volcanic has also been granted an exclusive right to evaluate all other
property interests of Radius in Guatemala with a right to acquire an inter est in any or all other such
properties on reasonable terms.
Radius Gold Inc.
Radius has a portfolio of projects located in Mexico, United States and Guatemala which it advances
utilizing partnerships where appropriate in order to retain the Company’s strong treasury. At the same
time, management is seeking out additional investment and project acquisition opportunities across the
globe.
ON BEHALF OF THE BOARD
Bruce Smith
President and CEO
Symbol: TSXV-RDU
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Contact: Bruce Smith
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 st atements within the meaning of
Canadian securities legislation. All statements included herein, other than statements of historical fact, are forward-
looking statements and include, without limitation, statements about the plans for exploration work at th e
Company’s Guatemala projects . 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 achievements expressed or implied by forward -looking statements. Such uncertainties and factors
include, among others, whether the planned exploration work in Guatemala will proceed as intended ; 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 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 stated goals and the planned exploration and
development activities at its properties will be achieved; that there will be no material adverse change affecting the
Company or its 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 statements. Accordingly, investors should not place undue reliance on
forward-looking statements.