Scorpio Gold Corp. (SRCRF)

[canucklehead80]

Fresh Releases - October 30, 2012
GoldQuest Mining Corp T.GQC | Scorpio Gold Corp T.SGN | Maudore Minerals Ltd V.MAO
Kevin Michael Grace

Maudore reports Quebec Resource Estimate: 546.3Koz indicated, 1.26M oz inferred

GoldQuest reports Dominican Republic Assays up to 1.6 g/t Gold, 0.74% Copper over 101m

Scorpio reports Nevada Gold Assays up to 4.79 g/t over 9.2m

Read the rest of these assay results and their press releases. http://resourceswire.com/2012/10/fresh-releases-12/

[Belgie24]

Scorpio Gold Announces Signing of Definitive Asset Purchase Agreement to Acquire Nevada Mineral Properties

Vancouver, October 11, 2012 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) announces that it signed a definitive asset purchase and sale agreement (the "Asset Purchase Agreement") with Royal Standard Minerals Inc. ("Royal Standard") yesterday to acquire (the "Acquisition") two mineral properties located in Nevada known as the Goldwedge and Pinon properties. The Asset Purchase Agreement replaces a non-binding letter of intent entered into by the Company and Royal Standard dated August 28, 2012, as amended, previously announced in the Company's news release dated August 29, 2012.

At the closing of the Acquisition, the Company will make a $1.25 million cash payment to Royal Standard (the "Cash Payment"), issue 3 million common shares in the capital of the Company to Royal Standard and assume approximately $16,000,000 of debt owing by Royal Standard to Waterton Global Value, L.P. ("Waterton").

Scorpio Gold is acquiring the properties through a sale process organized by a strategic committee of the Board of Directors of Royal Standard and Royal Standard's independent financial advisors. Scorpio Gold is pleased to have been the successful purchaser in this process and would like to thank the Board of Directors of Royal Standard for their professionalism, hard work and their commitment to completing this deal.

The Company has advanced a secured refundable deposit to Royal Standard in the aggregate amount of $350,000 in connection with the Acquisition and will continue to advance Royal Standard further refundable deposits of $100,000 per month until closing (collectively, with the existing $350,000 deposit, the "Cash Advances"). The Cash Advances will be credited against the Cash Payment on closing.

Pursuant to the Asset Purchase Agreement, closing of the Acquisition is subject to the fulfilment or waiver of a number of conditions precedent, including, but not limited to, Waterton consenting to the Acquisition and the assumption of debt on terms acceptable to Scorpio Gold, the approval of Royal Standard's shareholders and all required regulatory approvals, including the approval of the TSX Venture Exchange.

http://www.scorpiogold.com/s/news.asp?ReportID=552006

[Belgie24]

Scorpio Gold Corporation to Commence Normal Course Issuer Bid
Vancouver, September 26, 2012 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) has received approval from the TSX Venture Exchange (the "Exchange") to commence a normal course issuer bid (the "Bid") to purchase up to 5,727,411 of its common shares ("Shares"), representing 5% of the Company's 114,548,235 issued and outstanding Shares, as at September 20, 2012.

Under the Exchange's policies, the Bid will commence on October 1, 2012 and will end on the earlier of September 30, 2013, or at such time as the Bid has been completed or the Bid is terminated at the Company's discretion.

Scorpio Gold is of the opinion that due to the volatility in global equity markets, the recent trading price of the Company's shares does not fully reflect the underlying value of its business, and the stage of development of its Mineral Ridge project in Nevada. The Company believes that a repurchase of its common shares at the current trading levels represents an attractive investment, since a portion of the Company's working capital can be invested for an attractive risk-adjusted return of capital through its bid, in addition to improving the liquidity in the Issuer's common shares.

Shares will be purchased on the open market through the facilities of the Exchange by Jennings Capital Inc. and the purchase and payment for the acquired Shares will be made by the Company in accordance with the requirements of the Exchange. The price paid by the Company for any acquired Shares will be the market price at the time of acquisition. All Shares purchased by the Company under the Bid will be cancelled. Funding for the Bid will be from the Company's working capital. Share purchases under the bid will be made at management's discretion based on market conditions. The Company has no obligation to make any purchases under the bid.

http://www.scorpiogold.com/s/news.asp?ReportID=549629

[Belgie24]

Scorpio Gold Provides Corporate Update

Vancouver, September 25, 2012 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) is pleased to provide Company shareholders with an update on the following activities:
¦Debt retirement
¦Mineral Ridge NI 43-101 Technical Report on Life of Mine Plan
¦Leach pad stacking height study
¦Exploration drilling at the Vulcan target
¦Toronto Resource Investment Conference - September 27-28

On September 28, 2012, the Company will make its final payment to fully retire the $8M debt to Waterton Global Resource Management.

Scorpio Gold is expecting to release the Mineral Ridge NI 43-101 Technical Report on Life of Mine Plan the week of October 1, 2012. The Company is engaged in a final review with the report's authors (AMEC) and the sign-off process is underway.

Recently the Company took receipt of a separate AMEC study, commissioned to determine the stacking height increase at the leach pad. The study concluded that it is feasible to stack material 190 feet above the liner, thereby increasing the leach pad capacity to 7.6 million tonnes from its currently permitted 5.5 million tonnes; an increase of 38%.

A second drill rig was mobilized to the property and has commenced drilling at the highly prospective Vulcan target, located 3.9 km northwest of the Mary and Drinkwater pits. Exploration drilling is targeting mineralized structures exposed in the historical mine workings and in surface showings where high-grade gold and silver assays were returned in select grab samples. The drill program will help determine if the Vulcan target is the potential down-dip extension of mineralization in the Mary and Drinkwater pits.

Scorpio Gold is pleased to announce its attendance at this week's Toronto Resource Investment Conference taking place September 27-28 at the Sheraton Centre, 123 Queen St. West, Toronto. Please drop by booth #319 and meet the Company's new President, Mr. Steve Roebuck.

Scorpio Gold's CEO, Peter J. Hawley, P.Geo., is a Qualified Person for the Mineral Ridge project and has reviewed and approved the content of this release. For additional information please see the Company's website at www.scorpiogold.com.

About Mineral Ridge

The Mineral Ridge gold mining operation is located in Esmeralda County, Nevada. Scorpio Gold holds a 70% interest with joint venture partner Waterton Global Value L.P. (30%), and is entitled to receive 80% of cash flow generated. Mineral Ridge is currently in production as a conventional open pit mining and heap leach operation. The property is host to multiple gold-bearing structures, veins and bodies at exploration, development and production stages.

ON BEHALF OF THE BOARD
SCORPIO GOLD CORPORATION

Peter J. Hawley,
CEO

For further information contact:
Steve Roebuck Tel: [phone]
Email:[e-mail]

Investor Relations:
Jim Macdonald, Torrey Hills Capital
Tel: [phone]
Email:[e-mail]

http://www.scorpiogold.com/s/news.asp?ReportID=549361

[Belgie24]

Toronto Resource Investment Conference 2012

September 27-28, 2012

Scorpio Gold Corporation will be exhibiting at Booth 319 - Toronto Sheraton Centre.

http://www.cambridgehouse.com/event/toronto-resource-investment-conference-2012

[Belgie24]

Looks like the Mary pit is getting close to producing ounces. From today's PR:

<<the Mary pit which is currently undergoing pre-stripping in advance of commencing full-scale open pit production at the 70% owned Mineral Ridge project, Nevada. Two 10 foot benches remain to be blasted for full production from the Mary pit that will add to and supplement current production from the Drinkwater pit>>

http://www.scorpiogold.com/s/news.asp?ReportID=547466

[Belgie24]

Found out from a poster on RB that there were block trades Friday and today by Stonecap and Clarus.

I found some interesting connections. The link below shows that Stonecap has Scorpio Gold on its Stake Claim list, kind of a pre coverage for small companies with great potential. I have an email in to the analyst asking him if they will be establishing official coverage. The 2nd link, Clarus is an institutional dealer, who lists this on their home page:
---
What We Do
It all starts with our clients. We seek to find and research attractive investment opportunities that will create value for our institutional clients. We know that success for us will be driven by the success of our clients.

We identify small and mid cap Canadian issuers with superior management teams, sustainable business strategies and strong prospects for growth. We are committed to delivering the highest quality of forward-thinking, independent research on these investment opportunities to our institutional client base.
---
Clarus already officially covers Scorpio Mining, with a buy rating, BTW.

http://www.stonecapsecurities.com/PDFs/Website/Research-Universe.pdf

http://www.clarussecurities.com/Default.aspx

Lots of buying today, including some by me. I think higher is coming.

[Belgie24]

You can get a 20 minute delayed quote on Yahoo at:

http://finance.yahoo.com/q?s=sgn.v

or on Scorpio Gold's website(also delayed 20 minutes):

http://www.scorpiogold.com/s/stock_info.asp

The 2nd one shows bid and ask, but it is 20 minutes old.

Schwab gives me a real time quote adjusted for currency when I enter SRCRF in the quote box, and their detailed quote shows the size of the bid and ask real time, which is often helpful to show how much buying or selling strength is happening at any point in time.

[starboy]

That currency converter is helpful, but what site do you use to follow SGN.V?

[Belgie24]

I would follow SGN.V if I were you, that is where the volume trades. SRCRF is how I have to buy and sell it, but the volume shown on it is not accurate for the amount of shares it is actually trading. The way Schwab explained it to me is that if your order matches the current bid or ask on SRCRF it may be executed and show as SRCRF volume. Otherwise your order is adjusted for the currency difference and submitted to the Canadian exchange. The Canadian dollar is currently a little over 2% higher than the USA dollar. I use this link to check:

http://www.xe.com/ucc/convert/?Amount=1.00&From=CAD&To=USD

So real life Friday, SGN.V traded between .64 and .69, and adjusting for currency, SRCRF would trade between .6528 and .7038.

Looking at your link, you would not know how high it really traded.

Hope that helps, it is confusing at first, but I've gotten used to it.

[starboy]

SRCRF
http://www.otcmarkets.com/stock/SRCRF/quote

This is where I follow SRCRF sometimes.
Does it compute with what you're using to follow their activity?

[Belgie24]

Most of the "scale" saga has been effectively wiped out, helped along by a 600,000 share block trade sometime shortly after 3pm EST. Someone willing to pay up, at the then high of the day.

Another Jennings cross trade??

Looking at the selling after the scale thing was disclosed, it appears to have been mostly retail, and mostly on the day it was announced. Usually a basing period of a couple months is required, after the stock craters, but it is now up almost to the price when it was announced, in short order.

The institutions did not sell for a reason, which is probably as it always is, they know more than retail, like the proposed acquisition of the Royal Standard properties, and what that will mean.

[Belgie24]

Are Sprott and Waterton directing the consolidation of Central Nevada gold operations?

Taking a look at Sprott's Annual Statement on 12/31/2011, you'll find all our favorite companies discussed. This is a long 115 page report, covering all their funds, so I direct you to the following:

Page 9 - Sprott Canadian Equity Fund owns 3.5 million shares of Gryphon Gold

Page 12 - Sprott Canadian Equity Fund owns 5.8 million shares of Royal Standard

Page 45 - Sprott Small Cap Equity Fund owns 4.5 million shares of Scorpio Gold

http://www.sprott.com/media/128408/Audited-Annual-Financial-Statements.PDF

In summary, connections exist between Waterton, Sprott, and the 3 Central Nevada gold operations. Now Scorpio has gotten GPXM out of the way at Mineral Ridge, proposed buying Royal Standard's Goldwedge, and Gryphon has a Waterton loan due starting next May, which looks doubtful they will be able to repay.

[starboy]

We can only hope for the best and keep watching for improvements.

'Tis obvious if inflation does come from the continuation of global monetary debasement, or a serious geo-political event occurs, gold will rise and prosper.

Seems like Peter Hawley is always trying to better the situation, the last hic-cup notwithstanding.

[Belgie24]

Scorpio Gold Corporation Appoints Steve Roebuck as President

http://www.scorpiogold.com/s/news.asp?ReportID=545215

Adding management expertise, building towards being a bigger company, IMO.

[Belgie24]

Here's an article some might find valuable, in defining different producer levels as in majors, mid tiers, juniors. It was written in 2009, but seems very relevant.

http://www.gold-eagle.com/gold_digest_08/wright050109.html

According to the author, for Scorpio Gold to be a mid tier, they'll need to produce over 200,000 oz of gold per year, quite a leap from this year's 35,000 estimate. The following valuation measure was very interesting to me:

"By dividing market cap by annual production volume you get a value in dollars of market-cap-per-ounce-produced. Both the mid-tiers and seniors have very similar values, at around $4400 of market cap for every ounce produced. But the average junior was less than half this amount, at $2100."

If you take that $2100 average and multiply by SGN's 35,000 oz prediciton, you'll come extremely close to their current market cap in the $73 million range. Also relates to SGN's market cap over $100 million when they were predicted to produce 50-60,000 oz this year. Seems like a pretty good measure to follow.

The other thing is when and if they do become mid tier (ie less risky), the market will reward them with a multiplier of $4400 times oz, instead of 2100, so that would mean quite a market cap jump, the multplier more than double. 4400 times 200,000 is $880 million market cap. Even if SGN had double the amount of shares outstanding, the share price would be nice!

[Belgie24]

In April 2011, James W. Ashton was named mine manager at Mineral Ridge.

http://www.scorpiogold.com/s/news.asp?ReportID=465240

From the PR: Mr. Ashton began his career in 1984 as an engineer with Tenneco Minerals Company at the 40,000 tons per day (TPD) Borealis open-pit, heap leach gold mining operation in Nevada, where in 1986 he became the Senior Engineer under Echo Bay Mines Ltd

The next link is a technical report prepared in 2005, intended to lead to a 43-101 on Goldwedge. It even contains the start of a resource estimate by the author. The author? The very same James W. Ashton.

http://markets.on.nytimes.com/research/stocks/fundamentals/drawFiling.asp?docKey=137-000120445912001263-1EI5RK1V50KNLKJUUUT7QDRJIR&docFormat=HTM&formType=6-K

So obviously lots of due dilligence for Peter Hawley from Ashton on Royal and Goldwedge. When did Waterton get involved? June 30th, 2011, the prliminary financing PR, finalized on 8/29/2011, just a couple months after Ashton goes to work for Scorpio Gold.

Does Ashton's previous work at Borealis mean anything for the purchase of Gryphon Gold by Scorpio? We shall see.

These coincidences just keep showing up

[Belgie24]

Scorpio Gold Announces Non-Binding Letter of Intent to Acquire Nevada Mineral Properties

http://finance.yahoo.com/news/scorpio-gold-announces-non-binding-220300614.html

This is a game changer, IMO. Waterton has a game plan in central Nevada, and Scorpio Gold is their lead dog. The future looks brighter for Scorpio Gold.

[Belgie24]

Luckily starboy, it appears the stock price is stabilizing at .55 or so. If I had to guess, I would think the large mutual funds and Jennings Capital were informed of the "scale" problem sometime after June 12th, sold some in the .70's, in anticipation of supporting the price after it cratered on the official PR.

Someone on IHUB once described how we should approach these situations with the phrase "think like a criminal". I've found it to be accurate quite often.

[starboy]

Oy vey! It looks like the only gold I'm going to see if from the iPad app I'm going to construct over time. Every single gold stock I've had gets hiccups!

The hope is that the debt situation, globally, will eventually magnify to a degree where the piper has to be paid, and gold will correct upwards big-time, as it has over a long span of time.

[Belgie24]

Hi starboy, earnings were announced today. Bottom line is Peter Hawley and Scorpio Gold screwed the pooch. Read the details of the "scale that couldn't measure correctly", and you might agree that we are lucky the stock wasn't down 25 or 30% today.

http://www.scorpiogold.com/s/news.asp?ReportID=541437

They also lost the extra 10% ownership and will remain at 70% because they can't produce 3500 oz of gold for 4 consecutive months by Sept. 12th. OMG

[starboy]

Huge volume for this stock today, and a big 14% drop. What the hell happened?

[Belgie24]

What the heck, another Canadian holiday --- CIVIC Day??

How's about Scorpio Gold does its civic duty and get that long awaited 43-101 update out!

Earnings should be out for last quarter anytime now.

Let's get something going, Mr. Hawley.

[Belgie24]

Scorpio Gold Provides Guidance for New NI 43-101 Compliant Mine Plan Study on the Mineral Ridge Project, Nevada

Vancouver, July 24, 2012 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) wishes to update its shareholders on the progress of the NI 43-101 compliant mineral resource and reserve estimate and life of mine plan study for the Mineral Ridge project currently being prepared by AMEC Mining & Metals (AMEC) of Sparks, Nevada.

The Company has been informed by AMEC that as of July 19, 2012 they continue to work on revisions, peer reviewing, and compilation of most of the main sections of the report (resources, reserves, mining, process, economics etc.). Once the document has been compiled and peer reviewed by AMEC, they will present a draft to Scorpio Gold for comments. In an effort to expedite the public delivery of this long awaited study, Scorpio Gold has divided the report into two parts. AMEC will now produce a NI 43-101 compliant life of mine plan study that will only include the mineral resources and reserves of the Drinkwater and Mary deposits, which are currently being mined. This study will contain all the economic parameters of the existing Mineral Ridge operations with data input up to April 30, 2012.

For a second report, the Company has contracted Telesto Nevada Inc. (Telesto) to complete a NI 43-101 compliant mineral resource estimate for the satellite Brodie, Wedge B, Bluelite, Solberry and Oromonte deposits. This involves a two-step process, beginning with the modeling of the deposits and running a floating open pit cone using current cost data to determine if each deposit is potentially viable for extraction as outlined or if additional drilling is required. The results of this work will be reviewed internally by Scorpio Gold personnel. The second step will be the preparation of a NI 43-101 compliant mineral resource estimate on the various satellite deposits based on the above criteria. The Telesto team has been at the Mineral Ridge site twice collecting drill hole data current to the end of June 2012. Wireframe modeling is currently in progress and the estimated timing for completion of the estimate is late September 2012.

Scorpio Gold wishes to apologize to its shareholders for the repeated delay of the independent estimates and mine plan study and hopes that its mitigation plan to speed up the process will result in their completion in a more timely fashion. In the case of the satellite deposits, this will also result in the most current data being incorporated into the modeling and mineral resource estimate.

Scorpio Gold's President & CEO, Peter J. Hawley, PGeo, is a Qualified Person for the Mineral Ridge project and has reviewed and approved the content of this release. For additional information please see the Company's website at www.scorpiogold.com.

ON BEHALF OF THE BOARD
SCORPIO GOLD CORPORATION

Peter J. Hawley,
President & CEO

For further information contact:
Peter J. Hawley Tel: [phone]
Email:[e-mail]

Investor Relations:
Jim Macdonald, Torrey Hills Capital
Tel: [phone]
Email:[e-mail]


http://www.scorpiogold.com/s/news.asp?ReportID=538516

[Belgie24]

Hi starboy, good to see you're still interested. This should be a real positive, removes a great uncertainty at a good time, when the updated 43-101 should be released very soon.

The company will also be debt free in the next couple months, as their debt facility with Waterton will be fully paid. Any kind of rebound in the price of gold should lead the share price up and over $1.

[starboy]

A serious relief to hear that the lawyers and judges are no longer involved and Peter Hawley can get back to the basics of PM production and expansion of their mineral holdings.
Onward and upward...

[Belgie24]

The lawsuit is history, all parties agreed to drop it, the same day claims against Waterton were dismissed. Scorpio keeps MR, Waterton is the new JV partner, and I am unsure where Golden Phoenix goes from here.

http://www.goldenphoenix.us/2012/07/golden-phoenix-announces-settlement-of-litigation-with-scorpio-gold-and-waterton-global.html

http://www.scorpiogold.com/s/news.asp?ReportID=536398

[Belgie24]

Update on the GPXM lawsuit with Scorpio Gold and Waterton: Spoke with Heidi in the office of the judge presiding over the case. Yesterday, as shown below, ALL claims against Waterton Global were dismissed by the judge. Waterton is no longer part of the lawsuit. Heidi said the lawsuit continues between Golden Phoenix and Scorpio Gold.
----------
2. 3060 - Ord Granting Mtn ...

09-Jul-2012

Extra Text: WATERTON GLOBAL VALUE, LP'S MOTION TO DISMISS - Transaction 3067353 - Approved By: NOREVIEW : 07-09-2012:15:02:55
----------
http://www.washoecourts.com/index.cfm?page=casedesc&case_id=CV12-00843&Submit=Submit#

[Belgie24]

BNN Canada guest Peter Brieger talks about Scorpio Gold, his top pick in an interview last night. The show is broken into segments, scroll down to the TOP PICKS segment to hear his comments. He reaffirms his $1.75 1 yr price target, talks about a frivilous lawsuit that brought the stock price down, and about producing 100,000 oz in 3 years.

http://www.bnn.ca/Shows/Market-Call-Tonight.aspx

Probably accounts for the rise in price and volume today.

Of course, Peter should check his facts on the lawsuit, the injunction was denied, but the lawsuit continues with a trial date of 12/2/2013, with numerous motions filed on all 3 sides.

http://www.washoecourts.com/index.cfm?page=casedesc&case_id=CV12-00843&Submit=Submit#

[Belgie24]

Scorpio Gold has added this new tab to their website under Investors. An easy way to follow who is covering the company:
-----
Analyst Coverage

Scorpio Gold Corporation is followed by the analyst(s) listed below. This list is provided for information purposes only. Please note that any opinions, estimates or forecasts regarding Scorpio Gold Corporation's performance made by analysts are theirs alone and do not represent opinions, forecasts or predictions of Scorpio Gold Corporation or its management. Analysts may be contacted directly for copies of their reports.

Firm

Analyst

Contact

Casimir Capital

Steven Willis

416-628-3772

Jennings Capital

Stuart McDougall

416-304-2176
---
http://www.scorpiogold.com/s/analyst_coverage.asp

[Belgie24]

Here's a new May 2012 presentation from the website that contains some interesting information.

http://www.scorpiogold.com/i/pdf/ppt/CorporatePresentation.pdf

Of note on page 6 2012 guidance, it reads that Scorpio gets 80% of payable production, and the next sentence says forecast payable will be 35-40,000 oz, so by the 80% I assume that means commercial production is declared.

Then on page 23 is new analyst coverage from Casimir Capital dated in March 2012(before the litigation and stock price drop), with a $1.50 12 month price target, some more conservative gold prices figured in than Jennings used, some talk about Mary pit adding 10,000 oz to production in 2013, a list of the biggest holders of Scorpio stock, Sentry 17%, Scorpio Mining 13%, Libra 12%, RBC 8%.

Interesting also is mention in the analyst report that pre-stripping of the Mary pit is almost complete and production ore from Mary would begin to the leach pad around the end of Q1 2012. This may be part of the reason production in Q1 2012 was less than forecast at around 7000 oz of gold sold. Previous comments from the company had indicated that ore from Mary was being added much earlier, like in late January 2012. So they can probably make the 35-40,000 oz for the year, even with the slow start, if Mary kicks in, is my thought.

Surprising today there was no volume at all basically, after the drilling PR.

http://www.scorpiogold.com/s/news.asp?ReportID=528094

[Belgie24]

Here's GPXM's complaint, guys. Posted by goacs on the Golden Phoenix board:

http://pdfcast.org/pdf/complaint-1

[Belgie24]

Scorpio Gold Provides Further Update on Golden Phoenix Litigation

Vancouver, April 16, 2012 - Scorpio Gold Corporation ("Scorpio") (TSX-V: SGN) wishes to respond to a letter it received today from its joint venture partner Golden Phoenix Minerals ("GP") and GP's news release of today, purporting to replace Scorpio as manager of the Mineral Ridge gold mine.

Scorpio has instructed its legal counsel in Nevada to take immediate action to stop this ridiculous notion in its tracks. GP has no basis or authority under the joint venture operating agreement to remove or replace Scorpio as manager, nor does GP have the expertise or personnel to manage an operating gold mine. This action by GP, and the slanderous statements that accompany it, are a desperate attempt to deflect attention from GP's tenuous position with its lender Waterton, who Scorpio understands is involved in proceedings to seize GP's interest in Mineral Ridge.

Scorpio has at all times operated the Mineral Ridge project in material compliance with the joint venture operating agreement and mining industry standards and will vigorously defend its position in all court proceedings in this matter and, where appropriate, seek damages for inaccurate and wrongful slander of its reputation.

http://www.scorpiogold.com/s/news.asp?ReportID=519125

Now my question is, if Scorpio Gold got a Breach Notice on February 5. 2012, would this not be a material event to be diclosed to its shareholders? Why have we heard nothing about it until GPXM forces this action?

[starboy]

Between this new development with Scorpio being removed from management activity; and the recent issue in Mongolia for IVN, it all is going south.

IVN situation:
http://www.businessweek.com/ap/2012-04/D9U659282.htm

But if one believes in gold and copper, I guess one should wait to see what transpires in the end...

[Belgie24]

There was plenty of money for all to make, Peter Hawley himself said those words, according to those close to the situation.

Enter Waterton, and a lot of things changed and went downhill (IMO) thereafter.

SRCRF has already taken a hit, down from $1.08 to as low as .75 last week, now at about .83. $25 million of market cap down the tubes for now.

Now what will happpen with this news? Unknown, but it sure is going to be fascinating to watch!

As I've said, I was on the mine tour last June, and came away so excited about the job that was being done, the cooperation, the profits for both partners to come.

Can't wait for this to play out, and the truth come out. Scorpio can still reap many benefits, if they compromise and decide who they want to back. IMO, Scorpio would have been the next target of Waterton.

[starboy]

Belgie, What's your take on the effect on Scorpio on this issue of management replacement?
Will it significantly affect the SRCRF stock price? Or does Scorpio just give up management and still reap material benefit from the mine?
Did Peter Hawley ruffle some feathers? Or what...

[Belgie24]

Golden Phoenix Announces Removal of Scorpio Gold as Manager of Mineral Ridge Gold Project, Nevada

LAS VEGAS, NV, APRIL 16, 2012 – Golden Phoenix Minerals, Inc., a Nevada corporation (the “Company” or “Golden Phoenix”) (OTC Bulletin Board: GPXM), has informed Scorpio Gold Corporation, a British Columbia corporation, and parent company of Scorpio Gold (US) Corporation, a Nevada corporation (collectively, “Scorpio”), that Scorpio is being replaced as Manager of the Mineral Ridge Gold, LLC, (“MRG”), the joint venture entity that owns and operates the Mineral Ridge Gold Project near Silver Peak, NV.

Under the terms of the Joint Venture Operating Agreement, dated March 10, 2010 (“Operating Agreement”), the Manager shall be “deemed to have resigned” upon the occurrence of any of several events, including, but not limited to the following:

“The Manager fails to perform a material obligation imposed upon it under this Agreement and such failure continues for a period of sixty (60) days after notice from the other Member demanding performance.”

On February 5, 2012, Golden Phoenix gave Scorpio, in its capacity as Manager of MRG, a formal written Notice of Breach (“Notice”), specifying that Scorpio had breached its duties as Manager and had failed to perform several material obligations imposed upon the Manager under the Operating Agreement.

These failures have continued for more than sixty days. In accordance with the Operating Agreement, Scorpio is “deemed to have resigned” as Manager of MRG. Golden Phoenix views the “deemed resignation” of Scorpio an “emergency” matter for the MRG Management Committee’s immediate attention and has given reasonable notice to Scorpio through its legal counsel of a Special Meeting of the Management Committee to be held in Las Vegas this week.

The agenda for the meeting is as follows: Appoint a new Manager for MRG, to assume all rights, powers and duties of the Manager of MRG, as designated in the Operating Agreement, to be effective immediately upon conclusion of the meeting. Under Section 9.4 of the Operating Agreement: 1) Golden Phoenix is specifically entitled to appoint itself as the Manager of MRG, and fully intends to do so. 2) Scorpio is not entitled to vote for the successor manager.

After the Special Meeting, Scorpio shall have no further right to participate in any respect in any duties of the Manager of MRG. This change in the MRG Manager is intended to be transparent to and have no affect on either the existing operations at the Mineral Ridge Mine, including current employees, contractors and agreements, or the business and operations of MRG.

Golden Phoenix expects Scorpio’s full cooperation with the management changeover, including the immediate and full delivery to Golden Phoenix of any and all books, records and accounts of MRG, including documents to grant Golden Phoenix sole and exclusive signature power over all bank and financial accounts of MRG.

Golden Phoenix and Mineral Ridge Gold, LLC, a Nevada limited liability company (as a derivative plaintiff), recently filed a lawsuit, through its counsel, Bowen Hall, against Scorpio and Waterton Global Value, L.P., a Canadian limited partnership (“Waterton”), for 13 separate Causes of Action, in the Second Judicial Court of Nevada in and for the County of Washoe.

Golden Phoenix intends to vigorously prosecute the case, to the fullest extent possible under applicable law, seeking to maximize the rights and interests of the Company and its shareholders. The Company will continue to publicly disclose material developments with respect to this matter.
Please visit the Golden Phoenix website: http://goldenphoenix.us

http://www.goldenphoenix.us/2012/04/golden-phoenix-announces-removal-of-scorpio-gold-as-manager-of-mineral-ridge-gold-project-nevada.html

[oneofsix]

GREED'LL GET YA EVERYTIME.... eom

[Captain Black Bob Blanco]

Golden Phoenix Files Lawsuit Against Waterton Global Value L.P., Scorpio Gold Corp. and Scorpio Gold (U.S.) for 13 Separate C...



Date :04/04/2012 @ 9:45AM
Source :MarketWire
Stock :Golden Phoenix Minerals, Inc. (GPXM)
Quote :0.0325 -0.0025 (-7.14%) @ 10:00AM

Golden Phoenix Files Lawsuit Against Waterton Global Value L.P., Scorpio Gold Corp. and Scorpio Gold (U.S.) for 13 Separate C...

Golden Phoenix Minrl (OTCBB:GPXM)
Intraday Stock Chart

Today : Wednesday 4 April 2012

Golden Phoenix Minerals, Inc., a Nevada corporation (the "Company" or "Golden Phoenix") (OTCBB: GPXM), as plaintiff; through its counsel, Bowen Hall Ohlson & Osborne, and Mineral Ridge Gold LLC, a Nevada limited liability company (as a derivative plaintiff in the matter), has filed suit in the Second Judicial Court of Nevada in and for the County of Washoe, against Waterton Global Value, L.P., a Canadian limited partnership, Scorpio Gold Corp., a British Columbia corporation, and parent company of Scorpio Gold (US) Corporation, a Nevada corporation (collectively, "Scorpio") or collectively (the "Defendants").

The lawsuit alleges 13 separate causes of action relating to the Mineral Ridge Gold Project in Nevada. Golden Phoenix maintains a thirty percent (30%) interest in the Mineral Ridge Gold Project via its membership interest in Mineral Ridge Gold LLC, the joint venture entity that owns and operates the Mineral Ridge property with Scorpio.

Golden Phoenix intends to defend and assert any and all rights it has available to the full extent under applicable law for the benefit of its shareholders and will continue to publicly disclose material developments with respect to this matter.

Please visit the Golden Phoenix website: http://goldenphoenix.us

About Golden Phoenix: Golden Phoenix Minerals, Inc. is a Nevada-based mining company whose focus is Royalty Mining in the Americas. Golden Phoenix is committed to delivering shareholder value by identifying, acquiring, developing and joint venturing gold, silver and strategic metal deposits throughout North, South and Central America. Golden Phoenix owns, has an interest in, or has entered into agreements with respect to mineral properties located in the United States, Canada, Panama and Peru including its 30% interest in the Mineral Ridge gold project near Silver Peak, Nevada, and its 15% interest in Golden Phoenix Panama, S.A., the joint venture entity that owns and operates the Concessions constituting the Santa Rosa gold mine.

Forward-Looking Statements: Information contained herein regarding optimism related to the business, expanding exploration, development activities and other such statements are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and are subject to the safe harbors created thereby. While Golden Phoenix believes such statements are reasonable, they are based on current expectations, estimates and projections about the Company's business and are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict. Actual results could vary materially from the description contained herein due to many factors including continued market prices for the Company's mineral products, domestic and international business and economic conditions, and other risk factors listed in the Company's Securities and Exchange Commission (SEC) filings under "risk factors" and elsewhere. The Company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.

For More Information Contact:

Robert Ian

Director of Corporate Communications

[phone]

[e-mail]

[Belgie24]

Hi starboy, a few things coming to jump start the stock to new highs:

annual report, 4th quarter earnings in the next day or so,

commercial production declared in Q2(has already been declared for accounting purposes to begin January 2012),

43-101 to update resource(most likely in May 2012)

[starboy]

SRCRF 52 Week range .0655 to 1.10.
1.045 close today, 04.02.2012
Moving on up like a crawling vine in the sun...

[Belgie24]

BNN Market Watch guest Peter Brieger reaffirms Scorpio Gold as a "TOP PICK". The hour long interview talks about Scorpio Gold in the last segment, entitled Top Picks around the 58 minute mark. Listen here:

http://www.bnn.ca/Shows/Market-Call-Tonight.aspx

Highlights - 25,000 oz of gold produced in 2011, 60,000 in 2012, 80-120,000 in 2013, cash flow .75 per share in 2013, valuation of 3 times cash flow gets you over $2 share price in 2013.

[Belgie24]

Scorpio Gold excerp from the Gold Report interview with Mexico Mike Kachanovsky:

TGR: I've noticed that Scorpio Gold Corp. (SGN:TSX.V) in Nevada has enjoyed a steady rise in share price over the last year. Any thoughts about what's backing that?

MK: I visited that project last December. I like Scorpio because it is located in Nevada, which is very friendly to mine development. It's a very low tech operation. It's a conventional open-pit mine that has a relatively low strip ratio. It's low cost to run. Scorpio's gold recoveries are running at a fairly high level. It is drilling other expansion zones on its current open-pit mine. And, it is developing a second nearby satellite pit with a currently defined deposit. It still has some debt on its books and some of its monthly production is deployed to pay down that loan. But when that loan is paid off, in a year or so, Scorpio is going to be a cash-flow factory.

http://www.theaureport.com/pub/na/12798

[canucklehead80]

Auguries—Paper Chase
March 8, 2012
By Kevin Michael Grace

Gold was down (at press time) $21.80 (-1.3%) for the week to $1,701.20, and silver was down $1.71 (-4.8%) to $33.91. Gold rebounded Thursday but only after earlier in the week falling below its 200-day moving average, a decline Reuters attributed to “dimmer near-term prospects for another round of quantitative easing from the US Federal Reserve.” This explanation was rubbish when it was first advanced last week and remains so this week, but it is the narrative (dread word) of the moment.

At MarketWatch, Peter Brimelow says of the Leap Day Massacre: “This abrupt and decisive shock did more than raise eyebrows.” He notes that GATA “has been much derided for its view that the gold market is manipulated. Now it was able to report a whole procession of significant observers making unprecedented sympathetic noises.”

Read the rest of this article. http://resourceclips.com/2012/03/08/auguries%E2%80%94paper-chase/

[Belgie24]

Bo Chew likes Scorpio Gold, on the Gold Report:

BC: Scorpio Gold Corp. (SGN:TSX.V) is another one we like. Scorpio owns 70% of Mineral Ridge in Nevada, which has a history of gold mining dating back to the mid-1800s. There've been problems with this particular mine more recently. It sat dormant from 2005 to 2010 until Peter Hawley, founder of silver producer Scorpio Mining Corp. (SPM:TSX), took over in 2010. Insiders own 38%. Production started in May 2011 from the Drinkwater pit. Mining at the Mary Zone has just started increasing the production at Mineral Ridge to about 5 Koz per month. The ownership increases to 80% after four months of production above 3.5 Koz. The current resource is only 357 Koz, but it's only from two pits. There are another eight pits that are defined and another three pits outlined. Drilling between the pit areas should expand the resource and define a possible super pit that could be 3–5 Moz. If cash costs decline and production increases to 80 Koz, and if a super pit is defined, we expect Scorpio Gold to do very well.

http://www.theaureport.com/pub/na/12758

[Belgie24]

Here's Waterton Global's perspective from their website on their partnership with Scorpio Gold.

Scorpio Gold Term Debt Facility: Gold Heap Leach Expansion

WATERTON GLOBAL’S SOLUTION
Type: Customized Term Debt
Size: $12 MM
Duration: 18 months

Scorpio Gold Corporation (TSX: SGN): A near term US gold producer was introduced to Waterton Global by a Canadian investment bank in order to borrow funds to:
•Repair a heap leach pad
•Refurbish an onsite crusher
•Provide working capital
•Purchase equipment
•Attract senior management to the team

Flexible Solution:
•Waterton Global provided a short term Bridge facility to the company prior to closing the $12 MM term debt facility in order to assist the company with immediate working capital needs.
•Waterton Global worked with Scorpio Gold’s Joint Venture Partner, Golden Phoenix, to restructure their earn-in agreement and buy/sell agreements, allowing Scorpio to avoid an onerous covenant that would have prevented them from entering the debt market.
•Waterton Global provided Scorpio a waiver within 24 hours to allow the company to capitalize on an opportunity to purchase equipment instead of continuing to lease.

Efficient Transaction Execution:
•Asset related diligence completed within 10 days following signing of term sheet.
•Target achieved of closing the term debt financing within 3 weeks.
•A strong rapport was quickly established between Waterton Global and Scorpio, allowing the company to complete their engineering and mining plan prior to closing the transaction and providing the company a head start in attracting additional members to the senior management team.

Effective Results:
•Scorpio Gold was able to begin production from their gold heap leach facility 4 months following funding. The valuation of the company increased by 35% as a result.
•The $12 MM term debt facility was 75% less dilutive than the equity financing route available to them.
•Given the balance sheet strength provided by Waterton Global and management’s operational progress, Scorpio Gold was able to raise $11.6 million on terms which limited dilution by 35%.

http://watertonglobalresource.com/scorpio-gold-corporation/

[Belgie24]

Interesting article out of PDAC, it appears cost per oz may rise on labor cost increases and shortages.

http://www.reuters.com/article/2012/03/06/canada-mining-pdac-labor-idUSL2E8E5DW920120306?feedType=RSS&feedName=marketsNews&rpc=43

[Belgie24]

Scorpio Gold Drilling Intersects 12.20 metres grading 4.22 g/t Gold on Mary Zone, Mineral Ridge Project

Vancouver, February 28, 2012 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) announces additional drill results from the Mary Zone, located southwest of the current mining in the Drinkwater pit at the 70% owned Mineral Ridge project, Nevada.

Peter J. Hawley, President and CEO reports, "Drill results continue to support an increase in the overall width of the Mary Zone and to confirm that gold mineralization extends southwest from the Mary Zone to the adjacent Mary LC Zone, encompassing a strike length of 780 metres. Assays for the final 11 holes of the Mary Zone drill program are pending and will be incorporated into the overall database for a NI 43-101 compliant mineral resource and reserve estimate in conjunction with a Mine Plan Study by AMEC. Completion of the study is expected in Q2 2012."

See the full PR and drill results at:

http://www.scorpiogold.com/s/news.asp?ReportID=509372

[Belgie24]

Scorpio Gold is hitting new 52 week highs, $1.08 as we speak. I think the updated 43-101 is coming, which will benefit Scorpio Gold and Golden Phoenix greatly.

[Belgie24]

Scorpio Gold Reports 2011 Operations Review and Achievements at the Mineral Ridge Gold Mine

Vancouver, February 8, 2012 - Scorpio Gold Corporation (the "Company") (TSX-V: SGN) is pleased to report on the 2011 operations performance and major milestones accomplished with the commencement of mining operations at the 70% owned Mineral Ridge Gold Mine, Nevada.

Peter J. Hawley, President and CEO reports, "2011 was a milestone year for the Company, with the Mineral Ridge Gold Mine coming on line approximately one year from acquisition. Our success in such a short period of time is a product of the dedication and hard work demonstrated by our entire team. We are also grateful to our shareholders for their continued confidence and support that allowed us to accomplish the aggressive goals we set for production and gold sales."

2011 Production Highlights
¦Material mined from the Drinkwater Pit totalled 387,568 tons grading 0.066 ounces per ton (OPT) gold*, equivalent to 2.26 grams per tonne (g/t) gold.
¦Reprocessed gold-bearing material left on the heap leach pad by the prior operator totalled 328,027 tons grading 0.027 OPT gold* (0.93 g/t gold) with an estimated recovery of 45%.
¦Material crushed and placed on the leach pad totalled 715,595 tons grading 0.050 OPT gold* (1.71 g/t gold).
¦End of year stockpile balance totalled 1,500 tons grading 0.050 OPT gold* (1.71 g/t gold).
¦The established stable recovery rate of gold exceeded 65% by year end.
¦Shipments of loaded carbon totalled 121 tons with an average grade of 106.539 OPT gold (3,652.76 g/t gold) and 60.205 OPT silver* (2064.17 g/t silver).
¦In total, 8,125 ounces of gold and 4,843 ounces of silver were sold at an average realized price of US$1,619 per ounce gold and US$34 per ounce silver.
* Total ounces equals tons x grade in OPT.

2011 Achievements:
¦Increased reclamation bonding on the Mineral Ridge property by US$3.6M to US$7.7M.
¦Received all major environmental permits necessary to commence mining and processing operations; 2011 operations maintained full compliance with all regulatory agencies.
¦January: Commenced re-processing of material left on leach pad by previous operator.
¦March: Leach solution applied to the newly stacked old material left on the pad.
¦April: First shipment of loaded carbon shipped for the recovery of precious metals.
¦May: Resumed mining operations in the Drinkwater Pit.
¦Implementation of QA/QC program for blast holes to improve grade control.
¦Development and implementation of stringent ore control procedures reduced the calculated mined ore dilution to 9.2% from initial 17.8%.
¦Testing of crushing composites completed by AMEC to support increasing the capacity of the current leach pad; technical report to be submitted to the Nevada Bureau of Land Management in the near term.
¦Initiated baseline studies (including biological and cultural resource investigations) in support of future permitting activities to authorize exploration drilling in target areas outside of the current permit boundary.
¦Completed 55,940 feet (17,051 metres) of surface drilling, 85% of which lies outside of the area included in the June 2010 NI 43-101 compliant resource estimate for the Mineral Ridge project.
¦Initiated Mary Zone pre-stripping in December for development start up in January 2012 and open pit mining operations in Q2 2012.
¦Loan repayments to Waterton Global Value, L.P. ("Waterton") totalled US$2,499,999.
¦Under an amended operating agreement with Golden Phoenix, the Company increased its current right to cash distributions from the Mineral Ridge project from 70% to 80% effective August 2011, while maintaining a 70% interest in the property.
¦Over 14.6 million warrants were exercised during the year at an average strike price of $0.59 for proceeds of approximately $8.6 million.

President & CEO, Peter J. Hawley, PGeo, is the Qualified Person for the Mineral Ridge project and has reviewed the content of this release. For additional information please see the Company's website at www.scorpiogold.com.

ON BEHALF OF THE BOARD
SCORPIO GOLD CORPORATION

Peter J. Hawley,
President & CEO

For further information contact:
Peter J. Hawley Tel: [phone]
Email:[e-mail]

Investor Relations:
Jim Macdonald, Torrey Hills Capital
Tel: [phone]
Email:[e-mail]

http://www.scorpiogold.com/s/news.asp?ReportID=506047