Radius Gold Inc.
TSX VENTURE : RDU
OTC Bulletin Board : RDUFF

Radius Gold Inc.

May 08, 2008 09:01 ET

Radius Gold Starts Drilling in Nicaragua

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 8, 2008) - Simon Ridgway, President of Radius Gold Inc. (TSX VENTURE:RDU)(OTCBB:RDUFF), is pleased to announce the commencement of a diamond drilling program that will test its 100%-owned Trebol, La India Norte and Estrella de Oro gold properties in Nicaragua. A minimum 3,000m of drilling is planned.

Trebol

Drilling has begun on the Company's Trebol property (42,193 hectares) located in northeastern Nicaragua, where epithermal gold mineralization is associated with a series of intensively silicified ridges.

Drilling will be undertaken initially in the south-western part of the zone in the vicinity of Trench 4 (35.25m at 4.9 g/t Au including 17.6 g/t Au over 8.35m) and Trench 15 (33.8m at 3.4 g/t Au, including 15m at 6.1 g/t Au). These trenches are located approximately 1km apart along the same silicified ridge.

Outcrop at Trebol is virtually nil due to thick vegetation and soil cover, and seventeen widely-spaced trenches excavated to date define an altered and mineralized zone with a strike extent of at least 6 kilometers (see company press releases dated October 16, 2007 and April 7, 2008). The trenching has exposed zones of gold mineralization associated with typical epithermal quartz textures of low-sulphidation affinity, including banded, drusy and cockade quartz veins and veinlets, intercalated with stockworks and strongly silicified breccias. All trenches generally start and end in altered and mineralized rock.

Trench results and locations can be found on the Radius website www.radiusgold.com.

The preliminary drill program is being designed to test the sub-surface continuity of the gold grades observed in selected trenches and to give geological and structural information on the geometry and controls on mineralization which will be used to further explore the property. Approximately 8 holes are anticipated (about 1,000m of drilling) in this initial stage. The size of the mineralized system at Trebol is as yet undefined, and reconnaissance sampling of sub-crop and float associated with adjacent ridges up to several kilometers away from the main zone at Trebol have assayed from trace to 12.8 g/t Au, with follow-up work pending.

The Company believes that the broad widths of higher grade massive veins and lower grade stockworks as observed in the trenches may indicate potential for bulk-tonnage mineralization.

La India Norte

This property is located in the north-eastern part of the historic La India gold mining district, approximately 70km north of Managua. Previous work by the Company identified a series of quartz veins and stock work zones associated with a cluster of rhyodacite domes approximately 5km north of the La India vein system. Radius has defined a north-west trending mineralized structure over 2.5km long with gold-mineralized stock works up to 30m in true width locally. Initial trench sampling returned low to moderate grade gold results but over significant widths.

In the La India mining camp, the productive zone of the veins mined ranges from an elevation of 500m ASL down to as low as 50m ASL. The trenches sampled by Radius at India Norte are from well above that elevation, ranging from 550m ASL to over 700m ASL, and may indicate the upper parts of a deeper economic system. Drill targets at La India Norte include high-grade veins extending vertically below stockwork zones, similar to those mined at lower elevations in the La India Camp, and near-surface bulk-tonnage stockwork mineralization. Approximately 1,000m of drilling are planned.

Estrella de Oro

The Estrella de Oro property is located 17km west of Siuna near the historical Bonanza District in north-central Nicaragua. The concession comprises 46,000 hectares and covers an historic gold operation. A series of parallel, gold-bearing quartz veins/shoots are centered on the Cerro Estrella ridge. The following trench results were previously reported by the Company.

- TR-LE-001 15.2m @ 6.73 g/t Au, incl. 2.72m @ 10.24 g/t Au & 1.3m @ 44.17 g/t Au

- TR-LE-002 12.3m @ 1.55 g/t Au

- TR-LE-003 9.3m @ 3.77 g/t Au, incl. 3.62m @ 7.15 g/t Au

- TR-LE-004 4.9m @ 8.55 g/t Au

- TR-LE-010 1.5m @ 5.3 g/t Au from Trench 10

The principal drill target at Estrella de Oro is a series of parallel, high grade shoots along the length of the Cerro Estrella ridge that are amenable to bulk mining. Several drillholes are planned subject to finalization of drill permits.

Geological and sample assay maps for all 3 properties can be found on the Radius website www.radiusgold.com.

Assay Protocol & Qualified Person

Sample preparation and analyses were conducted by CAS Laboratories in Tegucigalpa, Honduras. Samples were analyzed for Au, using a 30 gram pulp with Fire Assay AA, with gravimetric finish. Check assays are undertaken at Acme Laboratories in Vancouver. Radius carries out its own Quality Assurance / Quality Control protocol that involves the regular insertion of certified standards, blanks and field duplicates into the sample stream.

The scientific and technical information in this release was prepared under the supervision of Mr. David Cass, Radius' Vice-President of Exploration, who is a member of the Association of Professional Engineers and Geoscientists of British Columbia, and a "Qualified Person" in accordance with National Instrument 43-101.

About Radius

Radius Gold is a well-funded, Canadian junior gold explorer with a portfolio of exploration properties in Mexico, Nicaragua, Guatemala, Ecuador and Peru. The Company's strategy is to build value for shareholders by the identification, acquisition and exploration of early-stage properties that show significant potential for the discovery of gold.

ON BEHALF OF THE BOARD

Simon Ridgway, President

Shares Issued: 53.5-million

The TSX Venture Exchange has not reviewed and does not take responsibility for the adequacy or accuracy of this release.

Contact Information

  • Radius Gold Inc.
    Ralph Rushton
    Investor Relations
    (604) 801-5432 or Toll Free: 1-888-627-9378
    or
    Radius Gold Inc.
    Erin Ostrom
    Investor Relations
    (604) 801-5432 or Toll Free: 1-888-627-9378
    (604) 662-8829 (FAX)
    Email: info@radiusgold.com
    Website: www.radiusgold.com