Mr. Bruce Smith reports

RADIUS GOLD AND VOLCANIC GOLD MINES ANNOUNCE MODIFICATION TO OPTION AGREEMENT TO INCLUDE THE MOTAGUA NORTE PROJECT

Radius Gold Inc. and Volcanic Gold Mines Inc. have modified the option agreement signed in 2020 (see Radius news release Sept. 3, 2020) to include Radius's Motagua Norte project in exchange for the Banderas project. The work that the Volcanic team has completed to date has demonstrated that Motagua Norte is a high-grade orogenic gold system with compelling drill targets.

Highlights:

• Under the modified option agreement, Volcanic has an option to earn a 60-per-cent interest in the Holly and Motagua Norte projects if Volcanic spends $7-million (U.S.) on exploration of the properties within 48 months from March, 2021, being the date drilling permits were granted for the Holly project.
• Volcanic has invested approximately $4.29-million (U.S.) in exploration on Holly, and under the modified option, a minimum of $2-million will be directed at the exploration and drilling of Motagua Norte.
• Volcanic's geological team spent considerable time and resources evaluating Radius's 340,000-hectare regional applications in eastern Guatemala and identified the Motagua Norte prospect as a high-grade orogenic gold system with compelling drill targets.

The modified option agreement is subject to approval by the TSX Venture Exchange. As Radius and Volcanic have a common director and two common officers, Volcanic is a non-arm's-length party to Radius within the meaning of TSX Venture Exchange Policy 5.9. The modified option agreement is not, however, a related party transaction as defined in Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions and therefore the requirements of the exchange's Policy 5.9 and MI 61-101 do not apply.

Technical information

Bruce Smith, MSc (geology), a member of the Australian Institute of Geoscientists, is Radius's qualified person as defined by National Instrument 43-101 -- Standards of Disclosure for Mineral Projects. Mr. Smith has 28 years of mineral exploration experience and has prepared and approved the technical information contained in this news release.

About Radius Gold Inc.

Radius has a portfolio of projects located in Mexico and Guatemala which it continues to advance, utilizing partnerships where appropriate in order to retain the company's treasury. At the same time, management is seeking out additional investment and project acquisition opportunities across the globe. Radius is a member of the Gold group of companies, led by Simon Ridgway.

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