TSX-V: SGN $0.05

News

Show printable version of 'Scorpio Gold's Surface RC Drilling on the Mineral ...' in a New Window

News

Jun 30, 2010

Scorpio Gold's Surface RC Drilling on the Mineral Ridge Gold Deposit Continues to Add to the Mineral Resource Base

Vancouver, June 30, 2010 - Scorpio Gold Corporation (TSX-V: SGN) is pleased to announce additional drill results from reverse circulation (RC) drilling in the Drinkwater and Mary pit areas of the Mineral Ridge gold deposit, Nevada.

Peter J. Hawley, CEO, Director, reports, "We are pleased with the June 21, 2010 reported mineral resources, and considering the conservative approach with respect to the audit and compilation by Micon regarding search radius and waste/void dilution, the quantity and quality of the ounces are a great building stone for the Company to move forward to a full feasibility study. The mineral resource estimate prepared by Micon on the Mineral Ridge property has outlined a total of 221,000 ounces of gold in the measured and indicated categories (4,231,047 tonnes grading 1.462 g/t) and 136,000 ounces of gold in the inferred category (3,440,952 tonnes grading 1.120 g/t) within the area of the Drinkwater and Mary pits. New drill results presented in Table 1, as well as those reported from March 30, 2010 onward, are not included in the Micon estimate. They are fully expected to add to the mineral resource base both within and outside the pit areas and contribute to the upgrading of resource categories in future mineral resource estimates. The Company continues to gain confidence in the historical mineral resources of the adjacent pit areas, which have not yet been subject to a NI 43-101 level of review. Compilation of all relevant resource data from these pit areas is ongoing for follow-up drilling later this year."

Current Drill Program

The current pit area drilling is first of a three-phase drill program directed to expand and tightly define the mineral resource base. The second phase of drilling is directed at expanding the currently defined pit mineralization by drilling the pit extensions and adjoining walls. The third phase of drilling to commence later this year once drill permits have been received will be directed on a property-wide scale to target numerous gold-bearing mineralized zones/structures recently discovered by the Company's surface exploration program. The scale of the three-phase program is as yet open-ended, and any or all of the three phases may be ongoing on at any given time. Results will continue to be reported as received and compiled.

RC drill holes reported in Table 1 were designed to target the main mineralized pit area and the surrounding area. Drill holes MR-100-68 and 74 targeted a sterile area for future waste disposal in the Mary and Drinkwater areas respectively.

Drill holes of specific interest to the Company are as follows:
  • MR-100-61, 62 and 66, which targeted the southeast Drinkwater pit wall, demonstrate that mineralization was left behind by the previous operators.
  • MR-100-69, 70 and 71, which targeted the western Drinkwater pit wall, also demonstrate that mineralization was left behind by the previous operators.
  • MR-100-77 and 78 were drilled in a new area in the pit where no previous resources were estimated.
  • MR-100-79 and 80 are outside the Mary pit area and define new mineralized trends.

Table 1. Drinkwater/Mary Pit Area - RC Drill Results

Drill Hole Location From (m) To (m) Width (m) Gold (g/t)
MR-100-61 Drinkwater - SE bench wall 6.10 9.15 3.05 2.43
Drinkwater - SE bench wall 30.49 41.16 10.67 1.87
MR-100-62 Drinkwater - Pit floor down dip extension 97.56 115.24 17.68 0.56
MR-100-63 Drinkwater - Pit floor - W down dip extension 12.20 15.24 3.04 0.84
MR-100-64 Drinkwater - Down dip extension 47.26 50.30 3.04 0.53
MR-100-65 Drinkwater - Down dip extension 1.52 7.62 6.10 0.59
MR-100-66 Drinkwater - SE bench wall 7.62 10.67 3.05 0.65
MR-100-67 Mary - Down dip extension 1.52 3.05 1.53 0.34
MR-100-68 Mary Area - Sterilization drilling -- -- -- --
MR-100-69 Drinkwater - W bench wall 6.10 10.67 4.57 0.62
MR-100-70 Drinkwater - W bench wall 12.20 24.39 12.19 0.93
MR-100-71 Drinkwater - W bench wall 21.34 27.44 6.10 1.28
MR-100-72 Drinkwater - Pit floor 0.00 7.62 7.62 1.40
Drinkwater - Homestead pit floor, E Area 65.55 71.65 6.10 1.24
MR-100-73 Drinkwater - Pit floor 16.77 24.39 7.62 0.62
MR-100-74 Drinkwater Area - Sterilization drilling -- -- -- --
MR-100-75 Drinkwater - NE down dip extension 1.52 6.10 4.57 0.65
Drinkwater - NE down dip extension 10.67 19.82 9.15 0.78
MR-100-76 Drinkwater - NW bench 64.02 71.65 7.62 1.24
MR-100-77 Mary - Pit extension 4.57 7.62 3.05 0.65
Mary - Pit extension 16.77 18.29 1.52 0.31
Mary - Pit extension 27.44 32.01 4.57 1.96
MR-100-78 Mary - Pit extension 21.34 33.54 12.20 1.03
MR-100-79 Mary - Area outside pit 12.20 15.24 3.04 0.50
Mary - Area outside pit 25.91 30.49 4.58 1.96
Mary - Area outside pit 48.78 50.30 1.52 0.31
MR-100-80 Mary - Area outside pit 38.11 41.16 3.05 1.87

All RC holes presented in the above table were drilled at 90º vertical dip; true width is estimated at ~90% downhole width. Analytical results were performed by American Assay Laboratory Inc. (AAL) in Sparks, Nevada, USA. AAL does not have ISO/IEC 17025 accreditation but implements a quality management system following ISO/IEC 17025 standards and maintains a paperwork trail for ISO/IEC 17025 accreditation. AAL participates in a number of testing and certification programs, details of which are presented in the Company's quality assurance and quality control (QA/QC) program for the Mineral Ridge project here. Check assays were completed by ALS Chemex, an ISO 9001:2000 certified and ISO/IEC 17025:2005 accredited laboratory, on ~5% of the gold-bearing assays.

For additional information please see the Company's website at www.scorpiogold.com.

CEO, Mr. Peter J. Hawley, PGeo, is the Company's Qualified Person for the various Company projects. Mr. Hawley is responsible for the current exploration and development programs and has reviewed the content of this release.

ON BEHALF OF THE BOARD
SCORPIO GOLD CORPORATION


Peter J. Hawley,
President & CEO

For further information contact:
Peter J. Hawley Tel: (819) 825-7618
Email:

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

The Company relies on litigation protection for "forward-looking" statements. This news release contains forward-looking statements that are based on the Company's current expectations and estimates, including statements as to future sales. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur, and include, without limitation, statements regarding the Company's plans with respect to the exploration and development of its projects. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements, including those risk factors outlined in the Company's Management Discussion and Analysis for the year ended December 31, 2010 as filed on Sedar. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.