Vancouver, August 4, 2015 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) reports initial results from its 2015 expansion drilling in the Brodie deposit target area at its70% owned Mineral Ridge project, located in Nevada.
The 2015 expansion program at Mineral Ridge includes infill, development and exploration drilling to expand and upgrade the current mineral reserve and resource base and potentially extend life of mine.
The majority of holes presented in Table 1 are step out holes collared 50-125 meters west of the 2014 floated cone pit outlines for the Brodie deposit. Over 80% of the holes intersected significant mineralization. Two holes of particular interest, MR151546-547, targeted a mag tilt high that corresponds with an interpreted synform axis located 125 meters west of currently defined resources for the Brodie deposit. Both holes intersected significant grades at approximately 60 meters vertical depth. Management believes that results received to date from the current expansion drilling program should positively impact the existing resource base at the Brodie deposit.
Highlights from this phase of expansion drilling on the Brodie deposit include:
- MR151492: 2.56 grams per tonne ("g/t") gold over 7.62 meters
- MR151498: 4.08 g/t gold over 4.57 meters
- MR151528: 1.15 g/t gold over 7.62 meters
- MR151546: 6.19 g/t gold over 3.05 meters
- MR151547: 10.11 g/t gold over 1.52 meters
In addition to the step-out holes noted above, 15 exploration holes were drilled to test a broad area 150-500 meters west of the Brodie deposit. Grades of interest were reported in 4 holes (MR151502-503 and MR151544-545; Table 1) that were collared 150-200 meters west of the floated cone outlines. Three additional exploration holes (MR151548-550) that tested an area 200-250 south of the Brodie deposit did not return any significant results.
A drill hole location map is available at: DH Plan
Table 1. Brodie Deposit Target Area - Significant Drill Results
|MR14106||0||-90||No Significant Results|
|MR151527||90||-70||No Significant Results|
|MR151529||0||-90||No Significant Results|
|MR151554||0||-90||No Significant Results|
|MR151556||0||-90||No Significant Results|
|MR151561||0||-90||No Significant Results|
|MR151570||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.
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 Brodie deposit, any potential expansion of the current pit shell outline thereof, and any potential increase in the mineral reserve and resource estimate in respect thereof. 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.