Radius Gold Inc. [RDU-TSXV; RDUFF-OTC] reported assay results for the initial two drill holes from the El Cuervo target at the Amalia project, Mexico.
Highlights from the on-going drilling program include Hole AMDD21-47 that returned 96 metres of 167 g/t silver and 0.54 g/t gold, including 45.2 metres of 290 g/t silver and 0.80 g/t gold, including 7.4 metres of 592 g/t silver and 0.69 g/t gold. Hole AMDD21-46 returned 31 metres of 44 g/t silver and 0.13 g/t gold, including 3.5 metres of 203 g/t silver and 0.53 g/t gold.
The Radius team is highly encouraged by the new discovery at El Cuervo with drill hole AMDD21-47 cutting impressive width and high-grade gold and silver mineralization. Amalia is a large system with multiple vein structures (Amalia, California & El Cuervo) over 10 km of combined strike with multiple targets on each structure. Compelling wide and high-grade mineralization has been intersected on the three principal drill targets tested to date. Pan American Silver Corp. is the project operator and is fully funding exploration.
Pan American has a highly skilled team on the ground and a methodical exploration process. 50 drill holes (16,343 m) have completed at Amalia and drilling is on-going.
Under an option agreement, Pan American Silver Corp. [PAAS-TSX, NASDAQ] has an option to earn an initial 65% interest in the Amalia Project by making cash payments to Radius totalling US$1.5 million (of which US$800,000 has been received) and spending US$2 million on exploration over four years. Pan American may earn an additional 10% by completing a preliminary-feasibility study.