Radius JV drills 14m of 3.9g/t Au, 1,097g/t Ag at Holly
2021-07-16 08:29 ET - News Release
Mr. Bruce Smith reports
RADIUS REPORTS 14.8M @ 3.96 G/T GOLD AND 1,097 G/T SILVER, INCLUDING 2.2M @ 9.79 G/T GOLD AND 2,035 G/T SILVER, AND 1.85M @ 5.6 G/T GOLD AND 2,801 G/T SILVER AT HOLLY PROJECT, GUATEMALA
Radius Gold Inc. has released further high-grade results from the drill program being conducted by joint venture partner, Volcanic Gold Mines Inc., at the Holly project in Guatemala.
Hole HDD-21-004 at La Pena vein intersected 14.8 metres at 3.96 grams per tonne gold and 1,097 g/t silver. This is the deepest intercept on the La Pena vein system to date with silver grades increasing with each step down.
Additionally, below the La Pena vein drill hole 4 cut a zone of disseminated silver mineralization grading 378 g/t Ag over 9.15 m within the footwall of the vein (not included in the reported intercepts). This silver mineralization was finely disseminated in altered volcanic rocks without significant veining. The overall silver interval with La Pena vein and footwall disseminated silver mineralization returned 34.6 m at 574 g/t Ag. The hole stopped a few metres after the disseminated silver interval, with the final metres not assayed.
This new style of silver-only disseminated mineralization was not previously recognized on the property. Holly has a multiphase mineralizing system with silver/gold ratios from 1:1 to 1,000:1, indicating multiple mineralizing pulses. As well, new veins are being intersected in the drilling unmapped at surface, with some exhibiting visible gold and ginguro-banded sulphides in the core.
Assays received from holes HDD-21-005/006/007/008, which targeted the El Pino vein system, cut weaker mineralization. However, the El Pino vein zone is exposed over 100 m higher than La Pena, so it may warrant more work.
The next assays due to be received and reported are from holes HDD-21-009 through HDD-21-012, which tested the Alpha vein zone over a 450 m strike system. Drilling appears to have intersected a robust vein and breccia with good visible banded sulphides. Currently the drill rig is back on the La Pena vein stepping out on strike and downdip.
Technical Information
Bruce Smith, MSc (geology), a member of the Australian Institute of Geoscientists, is Radius Gold's qualified person as defined by National Instrument 43-101 -- Standards of Disclosure for Mineral Projects. Mr. Smith has 27 years of mineral exploration experience and has prepared and approved the technical information contained in this news release.
Quality assurance and quality control
Volcanic Gold follows industry-standard procedures for diamond core drilling and analysis. Drilling is carried out using NQ-size 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 one m intervals, producing samples of between two and nine kilograms (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 Bureua Veritas in Canada. The samples are fire assayed for gold (Au) and are analyzed for silver (Ag) and multielements using method code ICP following a four-acid digestion. Overlimits are analyzed using an appropriate method. Multielement geochemical standards and blanks are routinely 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, with Radius Gold Inc., Volcanic can earn a 60-per-cent interest in the Holly and Banderas projects by spending the cumulative amount of $7.0-million (U.S.) on exploration of the properties within 48 months from the date of the agreement. An initial $1-million (U.S.) must be spent on exploration within the 12 months of receiving the required drill permits, which expenditure will include a minimum 3,000 m 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 interest in any or all other such properties on reasonable terms.
About Radius Gold Inc.