VANCOUVER, Aug. 14, 2012 /PRNewswire/ - Radius Gold Inc. (TSXV: RDU) is pleased to announce the closing of the sale of two of its Nicaraguan projects to B2Gold Corp., as per our previous news release of April 9, 2012. To buy Radius's interest in the projects, B2Gold has issued 4,815,894 of its common shares to Radius.
A separate agreement has also been signed covering future contingent payments by B2Gold to Radius of $10 (U.S.) per ounce of gold on 40 per cent of any proven and probable mineral reserves in excess of 500,000 ounces outlined at Trebol (on a 100-per-cent basis).
Ralph Rushton, the President of Radius, said: "We're pleased to have closed the sale of Trebol and El Pavon with our partner, B2Gold. The complex agreement took longer to draft than anticipated but we're finally there and we now have a strong treasury with which to carry out our precious metals exploration programs."
Also signed are 60:40 (B2Gold:Radius) joint venture agreements over the San Jose and La Magnolia properties in Nicaragua which the companies will jointly explore.
Radius has been exploring for gold in Latin America for over a decade. It has assembled interests in a portfolio of promising gold projects in Guatemala and Nicaragua, and a number of 100% owned exploration plays, including extensive landholdings in southern Guatemala.
ON BEHALF OF THE BOARD
Chairman and CEO
Investor relations: Jaclyn Ruptash
Symbol: TSXV-RDU; OTCBB-RDUFF
Shares Issued: 86.6-million
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts
responsibility for the adequacy or accuracy of this release.
Some of the statements in this news release contain forward-looking information that involves inherent risk and uncertainty affecting the business of Radius Gold Inc. Actual results may differ materially from those currently anticipated in such statement.
SOURCE Radius Gold Inc.