Vancouver, Canada: Radius Gold Inc. (TSX-V: RDU) is pleased to provide an update on recent activities in Nevada and other parts, including the staking of claims in the Aurora-Borealis Corridor within the historic Aurora Gold district and the ongoing evaluation of the Spring Peak Property.
ABC Property, Aurora-Borealis Corridor, Nevada
Radius Gold has recently staked 122 contiguous federal mining claims (the “ABC Property”) covering approximately 992 hectares in the historic Walker Lane Gold Trend in Mineral County, Nevada. The ABC Property is located along the structural trend that hosts the historic Aurora mining district, the Borealis mine and the historic Bodie mining camp in California. The gold deposits in the Aurora-Borealis-Bodie district occur as both high grade vein-hosted low sulphidation deposits (Aurora, Bodie), and as high-sulphidation alunite-kaolinite gold-deposits (Borealis). Total historical precious metal production along this approx. 32 kilometer trend, from the mid-19th century to the mid-1990s, has been estimated at 4.0 million ounces Au, and 11.2 million ounces Ag (1).
The ABC Property covers seven kilometers of what management believes to be an untested portion of the structure that acted as the plumbing system for these gold deposits, and is covered by thin extrusive trachyandesites of the Aurora Volcanic Field. It is Radius’s belief that no previous operator in the area has attempted to identify the regional structure beneath these extrusive flows.
The ages of mineralization with the district span 6 million years (Ma) (Bodie 8.5 Ma, Aurora 10.5 Ma (2) and Borealis 4.5 Ma (3), evidencing a long-lived structure that has facilitated significant fluid flow and produced three significant gold deposits. Radius believes the long-lived and well-mineralized nature of this structure make the covered untested sections compelling areas to explore for blind high-grade gold deposits.
Both oxidized and gold-sulphide deposits occur within the district, with gold-sulphide mineralization occurring at the bottom of most pits, the most significant of which is beneath the Freedom Flats deposit (4). Previous operators of the Borealis mine also believe that potential high-grade feeder structure remain beneath existing pits. Drilling of these zones has intercepted spectacular grade and thickness, in particular, the Freedom Flats area, including (4):
FF-50 with 18.3 m averaging 7.95 g/t Au
FF-173 with 16.8 m averaging 17.55 g/t Au
FF-223 with 6.2 m averaging 16.11 g/t Au
FF-229 with 33.5 m averaging 29.35 g/t Au
Radius is targeting relatively shallow high-grade targets, similar to those observed at the Freedom Flats deposit, using IP to delineate new targets. IP has been successfully used in the area to identify buried targets in the Borealis mine area.
Spring Peak Property, Nevada
Radius continues its ongoing evaluation of the Spring Peak Property recently optioned from Kinetic Gold (for Option terms see news release – June 14, 2016). This has included sampling of sinter terraces and vein float on the Property, prospecting along the structure of interest and a soil sampling survey (100m x 25m grid orientated orthogonal to the NE-SE targeted structure). Results are still being compiled but mercury, arsenic and antimony anomalies are confirmed along the structure of interest.
The Spring Peak Property is approximately 6 km southeast of the historical open pit mines at Aurora. At Spring Peak, a sinter terrace is exposed along a structure parallel to the Aurora/Borealis trend, and is overlying altered volcaniclastic deposits and basement Cretaceous granites (2). The sinter system contains anomalous concentrations of Au, Ag, Hg, Sb, and As. Recent ash fall deposits cover much of the area, but frequent vein float with multi-ppm gold concentrations can be found across the Property. The area was drilled with shallow holes in the 1980s, the majority of which were vertical. The sinter terrace and structure that appear to control the anomalous values were never drill tested. Radius believes the Property has the potential to host subvertical high-grade gold veins similar to the Aurora camp. A CSAMT geophysical survey will be conducted over the area of the anomalies to test the hypothesis.
The Company continues to evaluate projects in various jurisdictions and with various commodities but with a focus on gold and silver in Nevada and Mexico. Our Guatemala concession holdings at Banderas remain in good standing and the exploration potential on those properties is high, but with recent developments at Tambor, the new government’s commitment to supporting the mining industry has yet to be proven.
1) Technical Report on the Esmeralda Project, Mineral County, Nevada USA. P. Knudsen & N. Prenn, Mine Development Associates (MDA). Prepared for Metallic Ventures Inc., 2002.
2) Gold-Silver Mining Districts, Alteration Zones, and Paleolandforms in the Miocene Bodie Hills Volcanic Field, California and Nevada. USGS Scientific Investigations Report 2015-2012.
3) Geologic Discussion of the Borealis Gold Deposit, Mineral County, Nevada. Strachan D. G. USGS Bull. 1982.
4) NI 43-101 Pre-Feasibility Study Update of the Mineral Resources of the Borealis Gold Project Located in Mineral County, Nevada, USA. J. D. Welsh & J. M. Brown. Prepared for Gryphon Gold Corp., 2011.
David Clark, M.Sc., P.Geo., is Radius’s Qualified Person under the terms of National Instrument 43-101, “Standards of Disclosure for Mineral Projects” and has approved the technical information in this news release.
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
President and CEO
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
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.
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 plans for the ABC Property and the Spring Peak 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 achievements expressed or implied by forward-looking statements. Such uncertainties and factors include, among others, the Company’s plans for exploring the ABC Property and the Spring Peak Property; 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 exploration plans for the ABC Property and the Spring Peak Property 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 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 such statements. Accordingly, investors should not place undue reliance on forward-looking statements.