Radius Gold Completes $1.2 Million Private Placement Financing

Radius Gold Inc. closed a non-brokered private placement on August 28, 2026, issuing 10,400,000 units at $0.12 per unit for gross proceeds of $1,248,000. Each unit comprises one common share and one warrant exercisable at $0.20 per share for one year, expiring in August 2027. Finder's fees included $23,760 in cash and 198,000 warrants with identical terms.

The transaction includes a related party insider placee, classified under TSXV Policy 5.9 and MI 61-101, with exemptions from formal valuation and minority approval relied upon. Proceeds are allocated to exploration at the Tierra Roja copper project and Jonco silver project in Peru, plus general working capital. Securities carry a resale restriction until December 28, 2026. This announcement follows the July 27, 2026 proposal to raise up to $1.2 million, confirming the execution of the previously disclosed financing.

Radius Gold Inc. (RDU) announced a financing on July 27, a routine follow-up that does not introduce new strategic developments. The shares were priced at $0.12, aligning with the company's recent trading range and support levels, indicating no significant discount to the market.

The transaction results in approximately 9.5% dilution on a fully diluted basis, adding roughly 10.4 million shares and warrants to the approximately 109 million shares currently outstanding. While this level of dilution is standard for exploration-stage capital raises, it continues to erode existing shareholder equity. The capital injection is estimated to extend the company's cash runway by 6 to 9 months, providing necessary liquidity to advance permitting and exploration efforts in Peru. The transaction introduces no material change to the company's risk profile, project status, or joint venture negotiations.

Radius Gold Inc. (RDU) is an exploration-stage company managing projects in Peru, Mexico, and Guatemala. In Peru, the Tierra Roja project is a porphyry copper target situated on state-owned land. Recent site visits confirmed widespread copper-oxide mineralization beneath caliche cover, accompanied by extensive silicification and potassic alteration, while permitting remains in advanced stages. Also in Peru, the Jonco project is a polymetallic silver-gold-lead-zinc epithermal system. A formal option agreement was signed in July 2026 to earn 100% ownership over five years, with historic drilling showing high-grade silver intercepts.

In Mexico, Radius Gold retains a 35% interest in the Amalia project after Pan American Silver completed its earn-in. While high-grade historical drilling exists, no material work has occurred since fall 2022. In Guatemala, the company holds a 40% joint venture interest in the Holly project with Volcanic Gold Mines. An inferred resource has been defined, but drilling is halted due to the loss of social licence, with community engagement ongoing.