Radius Gold Inc.
TSX.V: RDU     $

Amalia Project

Amalia Location -
Sierra Madre gold belt, Mexico
One of the best exploration environments in the world

The Amalia Project is located 25 km SW of the historic Guadalupe y Calvo mining district in Chihuahua. Radius geologists discovered high grade epithermal silver-gold mineralization in several veins, vein breccias, and disseminated zones over 3.5 km of strike length and a 750 m vertical interval following the trace of a large regional fault zone. Radius initially acquired the 380 hectare core license and subsequently staked an additional 9112 hectare regional license covering multiple target areas. In July 2018 Radius entered into an agreement with Pan American Silver Corp. ("Pan American") to drill and explore the project.


Electrum cemented breccia from drill hole AMDD19-010

Mining Property

The 9,492 hectare property includes the recently acquired Palmillas concessions, outlined in blue in the figure below, which consolidated Radius's ownership of concessions for more than 10 km of strike length along the regional Amalia fault structure.

Structures:

Amalia Vein 3 km length with high grade Au-Ag, includes drilled San Pedro high grade zone

Californa Vein 2 km length with anomalous Ag-Pb-Zn (Not yet drill tested)

El Cuervo Vein 1 km length with anomalous Ag-Au (Not yet drill tested)

Vein structures defined by hydrothermal breccias, silicification with quartz veining, and quartz veinlets

Geology and Mineralization:

The main targets at Amalia project are located along a large regional scale NW trending fault system, which at Amalia separates the upper rhyolite volcanics from the lower andsite volcanics. Radius has identified outcropping mineralization over 3.5 km along this structural break. The principal target at San Pedro, outcrops as a 500m x 70m zone of intense epithermal multiphase silicification, and brecciation with massive and stockwork veining occurring at the contact between the upper rhyolite and lower andesite volcanic sequence.


Amalia regional geology map.


Multiphase silicification events within Amalia drill core


Close up core, from 1m sample grading 284 g/t Au and 599 g/t Ag (from 010 215.7m) intense electrum mineralization within quartz sulphide stockwork zone.


Close up core, from 1m sample grading 49 g/t Au and 905 g/t Ag (from 010 - 220.7m) intense electrum mineralization within quartz sulphide stockwork zone.

Summary of Drilling

3 phases of drilling comprising 21 holes and 6202 m has been completed. The upcoming phase 4 program is planned to complete 5,000 m in 9 drill holes targeting depth and lateral expansion of the main San Pedro high grade shoot identified to date.


Plan map of drilling completed and programed for Phase 4.

New Exploration Targets

El Cuervo Target

The El Cuervo target is located within the newly acquired Palmillas properties, 3.8 km southeast of San Pedro. Geological mapping has identified a zone of veining, silicification and breccias approximately 750 m long and up to 40 m wide in a geological setting similar to the San Pedro zone. Results from initial prospecting rock chip samples range from below detection up to 637 g/t Ag and 2.24 g/t Au.


El Cuervo Zone with stockwork silicification, veining and brecciation occurring between red lines


El Cuervo zone geology and rock chip sampling.

Palmillas Target

Small historic working 1.5 km along the Amalia Fault from the San Pedro structure. At Palmillas Radius took a 4 m section that assayed 9.5 g/t Au and 73 g/t Ag, and a 10.5 m section that assayed 1.54 g/t Au and 58 g/t Ag. Mineralization is hosted within fault-controlled quartz vein breccias similar in style to San Pedro.


Palmillas target rock chip channel sample.

Discussion

Radius Gold's Amalia Property contains the wide high-grade San Pedro mineralized zone, discovered and drill defined in programs one to three. Radius Gold and its partner Pan American Silver Corp are planning on commencing a fourth phase of drilling as soon as permitting is complete and access is safe given the current Covid-19 epidemic. The planned phase 4 drill program comprises 5,000 metres in 9 holes, with the objective of testing down-dip and lateral expansion of the San Pedro mineralized zone. Radius believes the system is still wide open.

On the 9,492 hectare Amalia property multiple prospects including Palmillas, Dulces, Guadalupe, California, El Cuervo, and Durazno, have been prospected and are developed as future drilling targets.


Radius geological team during the discovery of Amalia, going hard to find gold!

Quality Assurance and Quality Control

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 between 1m and 1.5m producing samples of between 2 to 9 kg. Half-core samples are delivered to the ALS Geochemistry laboratory facilities in Chihuahua, Mexico. The samples are fire assayed for Au and are analysed for Ag and multi-elements using method code ME-ICP61 following a four-acid digestion. Overlimits are analysed using an appropriate method. Radius routinely inserts multi-element geochemical standards and blanks into the drill core sample stream to monitor laboratory performance. Quality control samples submitted to ALS were returned within acceptable limits.