Vancouver, June 29, 2015 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) reports results from its 2015 expansion and exploration drilling program on the Mary LC deposit at its70% owned Mineral Ridge project, located in Nevada.
Drilling in 2015 at the Mary LC deposit has included both infill drilling (five holes; MR151437-439, 469-470) within the known deposit and step-out exploration drilling. Four holes (MR151431-34) tested the southwest extension of the deposit. The remaining 19 holes tested an area extending up to 250 meters northeast of the Mary LC pit outline. In this northeastern direction, significant mineralization has been intersected at vertical depths ranging from 50 to 150 meters, with depth to mineralization generally increasing to the northeast. Follow-up drilling is under consideration to further investigate this area as a potential open pit and/or underground mining target.
Development of the Mary LC pit commenced in Q1 2014 and approximately 163,000 tonnes of ore have been mined at the Mary LC pit from Q2 2014 through Q2 2015. Attaining commercial production status at Mary LC is expected in Q4 2015.
Highlights of exploration drilling to the northeast of the Mary LC pit outline include:
- MR151423: 2.48 grams per tonne ("g/t") gold over 4.57 meters
- MR151436: 9.22 g/t gold over 7.62 meters
- MR151440: 3.08 g/t gold over 7.62 meters
- MR151464: 8.20 g/t gold over 6.10 meters
Drill hole location map: DH Plan
Table 1. Mary LC Deposit - Significant Drill Results
|MR151431||0||-90||No Significant Results|
|MR151434||0||-90||No Significant Results|
All holes presented in Table 1 were completed by reverse circulation (RC) drilling. True width is estimated at 90-100% of downhole width. Analytical results were performed by American Assay Laboratory Inc. in Sparks, Nevada, an ISO/IEC 17025:2005 accredited facility. External check assays to verify lab accuracy are routinely completed by ALS Chemex, an ISO 9001:2000 certified and ISO/IEC 17025:2005 accredited facility. Further details are presented in the Company's quality assurance and quality control program for the Mineral Ridge project available at: MR QAQC.
About Scorpio Gold
Scorpio Gold holds a 70% interest in the producing Mineral Ridge gold mining operation located in Esmeralda County, Nevada with joint venture partner Waterton Global Value L.P. (30%), and Scorpio Gold is currently entitled to receive 80% of cash flow generated. Mineral Ridge is a conventional open pit mining and heap leach operation. The Mineral Ridge property is host to multiple gold-bearing structures, veins and lenses at exploration, development and production stages. Scorpio Gold also holds a 100% interest in the advanced exploration-stage Goldwedge property in Manhattan, Nevada, with a fully permitted underground mine and 400 ton per day mill facility. The Company has completed its 2015 underground drilling program at Goldwedge (results are pending) and is processing high-grade Mineral Ridge ore at the Goldwedge plant on an as needed basis.
Scorpio Gold's President & CEO, Peter J. Hawley, PGeo,, is a Qualified Person as defined by National Instrument 43-101 and has reviewed and approved 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, CEO
Tel: (819) 825-7618
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. 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, development and exploitation of its Mineral Ridge project, including potential further exploration or development of the Mary LC deposit. 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 risks involved in mineral exploration and development programs and those risk factors outlined in the Company's Management Discussion and Analysis 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 thereof.