Volcanic Gold Mines and Radius Gold announce modification to Option Agreement to include the Motagua Norte project
200 Burrard Street, Suite 650 Tel: 604.801.5432
Vancouver, BC V6C 3L6 Fax: 604.662.8829
TSX-V: VG
FOR IMMEDIATE RELEASE September 18, 2023
News Release
Shares issued 45,551,210
VG close - C$0.135
Volcanic Gold Mines and Radius Gold announce modification to Option
Agreement to include the Motagua Norte project
Vancouver, British Columbia – Volcanic Gold Mines Inc. (TSXV: VG) (“Volcanic” or the “Company”) and
Radius Gold Inc. (“Radius”) are pleased to announce that they have modified the Option Agreement signed
in 2020 (see Volcanic News Release September 3, 2020) to include the Motagua Norte project in exchange
for the Banderas project. The work that the Volcanic team has completed to date has demonstrated that
Motagua Norte is a high grade orogenic gold system with compelling drill targets.
Highlights
• Under the modified Option Agreement, Volcanic has an option to earn a 60% interest in the Holly
and Motagua Norte projects if Volcanic spends US$7M on exploration of the properties within 48
months from March 2021, being the date drilling permits were granted for the Holly project.
• Volcanic has invested ~US$4.29M in exploration on Holly , and under the modified Option, a
minimum of $2.0M will be directed at the exploration and drilling of Motagua Norte.
• Volcanic’s geological team spent considerable time and resources evaluating Radius’s 340,000 ha
regional applications in eastern Guatemala and identified the Motagua Norte prospect as high
grade orogenic gold system with compelling drill targets.
The modified Option Agreement is subject to approval by the TSX Venture Exchange. As Volcanic and
Radius have a common director and two common officers, Radius is a “non-arm’s length party” to Volcanic
within the meaning of TSX Venture Exchange Policy 5.9. The modified option agreement is not, however,
a “related party transaction” as defined in Multilateral Instrument 61-101, Protection of Minority Security
Holders in Special Transactions (“MI 61-101”) and therefore the requirements of the Exchange’s Policy 5.9
and MI 61-101 do not apply.
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Technical Information
Luc English PhD, who is a Chartered Geologist and Fellow of the Geological Society of London, is the
Company’s Qualified Person as defined by National Instrument 43 -101 - Standards of Disclosure for
Mineral Projects. Dr English has reviewed and approved the technical information contained in this news
release.
About Volcanic
Volcanic brings together an experienced and successful mining, exploration and capital markets team
focused on building multi-million-ounce gold and silver resources in underexplored countries. Through the
strategic acquisition of mineral properties with demonstrated potential for hosting gold and silver
resources, and by undertaking effective exploration and drill programs, Volcanic intends to become a
leading gold-silver company.
For further information, visit our website at www.volgold.com.
Volcanic Gold Mines Inc.
Simon Ridgway, President and CEO
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 and include, without limitation, statements about the Company’s modified option agreement
with Radius. 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 Company’s planned exploration work will be 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 explor ation 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.sedarplus.ca. 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 t o
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 planned exploration and development
activities 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
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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.