Radius Gold enters copper porphyry project in Peru
Central America-focused explorer Radius Gold (TSXV: RDU) is expanding its reach after securing a binding exclusivity with an option to acquire what calls a “compelling copper porphyry project” in Peru.
The Tierra Roja project is located in the Atacama Desert, at the northern end of the southern Peru coastal copper belt that hosts some of the largest copper mines in the world. It covers approximately 6 sq. km., with an 800-metre-diameter circular anomaly being at the core of the property.
The Radius team believes the Tierra Roja project has all the right indicators to make a significant copper discovery. “It has scale, the right alteration features and abundant copper oxides in outcrop,” commented Bruce Smith, CEO of Radius Gold.
“There are no people or communities living on or near the site, and is an easy access, low-cost exploration target, in one of the world’s most prolific copper producing districts,” Smith added.
To date, approximately 600 systematic rock chip samples have been collected by the project owners and analyzed in a Peruvian mine laboratory. Radius’ management is in the process of verifying the validity of the historical sampling and completing due diligence on the project.
Part of the Gold Group Management portfolio, Radius currently has two exploration-stage projects in Mexico and Guatemala, both held under joint ventures. It recently kicked off the first drill program at the Plata Verde project in Mexico in partnership with Fresnillo, the world’s largest silver producer.
Shares of Radius Gold jumped 83.3% by market close Monday, for a market capitalization of C$9.3 million. At C$0.10 apiece, the stock is trading at the lower end of its 52-week range of C$0.06-C$0.30.
