VANCOUVER, July 7, 2011 /PRNewswire/ - Radius Gold Inc. (TSXV: RDU) is pleased to announce that it has closed its previously announced non-brokered private placement of $3.66 million by issuing 6.1 million units at $0.35 per unit.  Each unit consists of one common share and one-half of a warrant, each whole warrant entitling the holder to purchase one additional common share at $0.75 exercisable for one year.  The Company also issued 199,250 common shares and 386,123 warrants as finders' fees in connection with the financing.  Each finder's fee warrant entitles the holder to purchase one common share at $0.75 exercisable for one year.  All of the shares and warrants have a resale restriction until November 5, 2011.

About Radius

Radius has been exploring for gold in Latin America for nearly a decade, and has assembled interests in a portfolio of promising gold projects throughout the region, including carried stakes in two small-scale developing gold projects in Guatemala and Nicaragua.  Radius also has a number of 100% owned exploration plays, including the HB property in Guatemala and several properties in the Rackla Belt and Sixty Mile placer gold district in the Yukon.

ON BEHALF OF THE BOARD

"Simon Ridgway"

Simon Ridgway, President & CEO

Investor relations:  Ralph Rushton / Erin Ostrom

Symbol: TSXV-RDU; OTCBB-RDUFF

Shares Issued: 86.5-million

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

SOURCE Radius Gold Inc.

Copyright 2011 PR Newswire

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