Radius Explorations acquisition of Gold Fields interest for Tambor JV deposit . Boosts Gold Fields stake in RDU to 17.5%. Haven't analyzed the +/- to RDU.
Radius to acquire partner's interest in Guatemalan JV
Radius Explorations Ltd RDU
Shares issued 29,600,000 Oct 21 close $1.60
Wed 22 Oct 2003 News Release
Mr. Simon Ridgway reports
RADIUS PURCHASES GOLD FIELDS INTEREST IN THE TAMBOR JOINT VENTURE; RESOURCE CALCULATION UNDERWAY Radius Explorations has reached an agreement with Gold Fields Inc. whereby Radius will purchase all of Gold Fields' interest in the Tambor joint venture. The purchase price to be paid by Radius is 1.3 million common shares in the capital stock of the company. This transaction will give Radius a 100-per-cent interest in all of the Tambor properties located in central Guatemala, and will increase Gold Fields' equity interest in Radius to 5.1 million shares, 17.5 per cent of the issued capital of the company. The Tambor joint venture (55 per cent Gold Fields/45 per cent Radius) was formed in 2001 to explore a 25-kilometre-long belt of gold mineralization located on the south side of the Motagua fault zone, a regional structure that forms part of the collision boundary between the Caribbean and North American tectonic plates. The Tambor properties host an orogenic lode gold belt, discovered by Radius in 2000 and advanced by Gold Fields over the past two years. As the operator of the joint venture, Gold Fields
significantly increased the landholdings and made several new gold
discoveries in this belt.
Since May of this year the joint venture has conducted 44 diamond drill holes totalling just under 5,000 metres, testing the Guapinol South and Pozo Del Coyote zones. These two zones are located at the eastern end of a seven-kilometre-long gold-in-soil anomaly. Drilling intersected locally robust gold-arsenopyrite-quartz bodies hosted within an east-west trending shear zone. Some of the better drill intersections are listed below.
HIGHLIGHTS OF THE DRILL PROGRAM
AT GUAPINOL & COYOTE
(recalculated using a
two-gram-per-tonne cutoff)
Hole From To Int Au
(m) (m) (m) (g/t)
Guapinol South(2003)
PRDD-03-21 58.84 63.58 4.74 11.72
PRDD-03-27 28.95 33.52 4.57 39.79
PRDD-03-28 38.10 39.62 1.52 45.66
PRDD-03-33 74.70 80.03 5.33 72.12
PRDD-03-39 16.76 18.29 1.53 33.70
PRDD-03-44 4.57 10.21 5.64 5.80
PRDD-03-51 35.05 39.62 4.57 11.20
Poza del Coyote (2003)
PRRC-03-04 22.10 25.15 3.05 28.36
PRRC-03-05 15.24 20.57 5.33 18.03
PRRC-03-07 35.05 46.48 11.43 4.87
PRRC-03-08 24.38 38.86 14.48 15.05
PRRC-03-11 34.29 39.62 5.33 11.07
Six kilometres to the west of Guapinol South, at the western extreme of the
soil anomaly mentioned above, the joint venture completed reverse
circulation drilling at Laguna North in 2002. This drilling also
intersected gold-arsenopyrite-quartz bodies, this time associated with a north-south-trending structure. The better intersections include:
HIGHLIGHTS OF THE DRILL
PROGRAM AT LAGUNA
(recalculated using a
two-gram-per-tonne cutoff)
Hole From To Int Au
(m) (m) (m) (g/t)
BVRC-02-02 16.76 35.05 18.29 8.23
BVRC-02-15 56.38 74.67 18.29 12.16
BVRC-03-18 7.62 21.34 13.72 10.26
First-pass metallurgical testwork was conducted on material from the trenches at Laguna North and results indicate that the gold is free milling. Drilling at Guapinol, Pozo Del Coyote and Laguna North is sufficiently close spaced so as to allow a resource calculation to be undertaken, and Radius has retained Chlumsky, Armbrust & Meyer of Lakewood, Colo., to complete this task. It should be stressed that this resource calculation is being undertaken to establish a value for the property as due diligence for the share issuance being contemplated by the parties. This is still an exploration property and needs to be viewed as such. The resource that has been defined to date is a base to build from.
(c) Copyright 2003 Canjex Publishing Ltd. stockwatch.com
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