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More +drill results today, @ Brodie Satellite Deposit.
Scorpio Gold Reports on Expansion Drilling at the Brodie Satellite Deposit, Mineral Ridge Project, Nevada
Expansion Drilling-Brodie
Company Guidance for 2014 + budget out today.
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb 13, 2014) - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX VENTURE:SGN) provides its 2014 guidance and budget for the 70% owned Mineral Ridge project, located in Nevada.
Peter J. Hawley, CEO reports:
Another +P/R re: drill results today. High of C$0.2975 today. :)
S.T. ARBITRAGE PLAY HERE!!!
Fleshing out Belgie's Headsup: Transaction Highlights
* Gold Standard agrees to pay Scorpio Gold a total of CAD$8,500,000 in cash and issue Scorpio Gold 5,500,000 common shares in its capital stock
* Of the cash consideration, CAD$6,000,000 is to be paid at closing (inclusive of the Deposit), and CAD $2,500,000 is to be paid one year after closing
Peter J. Hawley, CEO comments:
Scorpio Gold has an agreement to sell Pinion, I find the terms positive, and the management performance outstanding. They adjusted to a challenging environment, shored up the balance sheet and created the opportunity to advance their near term properties.
Kudos to Peter Hawley.
MexicoMike.weighs.in.w.POSITIVE:::SGN/SRCRF.looking.forward.comments.1.14.2014; on his forum.
Annual increase in production of 22%. Q report just out.
VANCOUVER, BC--(Marketwired - Jan. 14, 2014) - Scorpio Gold Corporation (TSX VENTURE:SGN) ("Scorpio Gold" or the "Company") announces its operating results for the fourth quarter ("Q4") of 2013 at its 70% owned Mineral Ridge project, located in Nevada.
Gold production in Q4 2013 totalled 11,348 ounces, representing an increase of 5% from Q4 2012
and an 18% increase from Q3 2013.
Total gold production in 2013 was 39,160 ounces, an increase of 22% over the year 2012.
Peter J. Hawley, CEO reports,
Thanks, Bone! I knew I liked that feller! LOL
Lawrence Roulston recommends SGN:
Roulston says why to buy Scorpio Gold
2014-01-07 19:25 ET - In the News
Lawrence Roulston, in the Dec. 30, 2013, edition of Resource Opportunities, says why to buy Scorpio Gold Corp., recently 20.5 cents. This is the first time he has recommended the stock. Scorpio hopes to begin production soon at its second gold operation in Nevada, called Gold Wedge. It acquired this project for $1.25-million and three million shares after the previous operator ran into money troubles. Since then, it has been working on rehabilitating the mill. The near-term plan is to use the mill to treat ore from Scorpio's first Nevada gold operation, Mineral Ridge. This mine produced 35,000 to 40,000 ounces of gold in 2013. Between Gold Wedge, Mineral Ridge and a third Nevada project called Pinon, Mr. Roulston thinks Scorpio will achieve its goal of becoming a 100,000-plus-ounce gold producer within three years. He likes the company's management, which includes president Steve Roebuck, a geologist and production engineer, and chief executive officer Peter Hawley, the former CEO of Scorpio Mining until Scorpio Gold was spun out in 2010. Scorpio Gold had $2.3-million in cash as of Sept. 30, which management might use to acquire more projects. Mr. Roulston concludes that the stock offers "excellent value."
put a marker on 22.6c per share. 12.31.2013 last trading day of a rough year in SRCRF share pricing.
a 100% move from the low in this stock before the 717K shares anchor on this stock's shareprice finally threw in his towel ---
yes, a stellar SHORT-TERM, 100% move higher is sweet, very very sweet indeed.
Onward and upward in 2014 for this little producer, who just keeps self-funding and drilling and self-funding even more drilling.
Stuff dreams are made of!
Yearly range: as in market on close...does not reflect intraday action
$0.135 - $0.725
Next stop: $0.30's?
Scorpio Gold Updates Expansion Drilling at the Bluelite Satellite Deposit, Mineral Ridge Project, Nevada
Vancouver, December 16, 2013 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) reports additional results from its 2013 satellite deposit drilling program at the 70% owned Mineral Ridge project, located in Nevada. The Bluelite deposit lies west of the currently producing Drinkwater and Mary pits and 400 meters northwest of the leach pad.
The 2013 satellite drilling program is designed to upgrade and potentially increase the mineral resource estimate completed by Telesto Nevada Inc. ("Telesto") for a number of satellite deposits including Bluelite, which was reported in the Company's August 16, 2013 news release. As of June 1, 2013, the Inferred mineral resource estimate for the satellite deposits totalled 513,000 tons grading 0.078 ounces per ton (opt) gold totalling 40,200 contained ounces gold. The Bluelite deposit was estimated to contain 193,000 tons grading 0.079 opt gold for 15,200 contained ounces gold, or approximately 37.8% of the total Inferred mineral resource for the four satellite deposits.
The drilling program continues to meet with success, returning significant intercepts both within and extending outside of the floating cone pit shells modelled by Telesto for the Bluelite deposit, and continuing to extend the near-surface mineralized trend westward toward undrilled ground. Previous results of the expansion drilling on the Bluelite deposit were reported in the Company's September 11, 2013 and November 20, 2013 news releases.
continued at:
http://www.scorpiogold.com/s/news.asp?ReportID=615785
Hey Jim, the first time I met you, I knew you were special, the son of a dairy farmer, what could be finer?
We met, we liked each other, we just knew the future was bright, with moly and gold to come. We did our due diligence, we explored each and every angle. We shared the mine tour at Ashdown, tasted the BBQ, and the home made pies made by the employee's wives. We believed and it worked until the moly prices crashed and the ball rolled downhill.
Resurrected by one TK at Mineral Ridge, we were reborn, and GPXM share price rose to the sky. We signed a great deal with Scorpio Gold and Peter Hawley, and he was one we agreed could get the job done. He has done just such, but without Golden Phoenix, due to a greed that went beyond.
A lot of great people got hurt in the process of that greed, but we remain the people our parents created.
We will live to shine another day.
Happy holidays, my friend, you are the best!
Dave
Hey Dave,
As I was doing some Christmas cleaning a black hat with gold writing fell to the floor and visions of great wealth danced in my head. Memories of a mine tour flashed before me, with many men standing high atop a hill salivating at the thought of the gold that would be extracted from the Ridge. The massive figure of one TK smugly grinning at what we all were viewing. The little man in the silk suit on the bus declaring that Scorpio at .75 was a no brainer. The thought that Scorpio along with their junior partner would soon be mid tier producers danced in our heads.
That was then, this is now.
A very successful man was once asked what the key to success was and he replied "good judgment". When asked how you acquire good judgment he replied "with experience". When asked how do you get experience, he replied "by using bad judgment".
Well Dave, I saw the hat, thought of you and the rest of the great people that took the ride over the years and wanted to at least give a Merry Christmas shout out to all and wish the very best for the future.
The selling pressure is gone, IMO. There has been someone loading up at the ask the last few days. Good to see, considering that the company is performing well.
Let's get to next year, and let's get the price of gold performing again, then the juniors will recover.
Reviewing Nov's wind down trading in this stock, there are several things to be gleaned. This is an attempt at a discussion starter, sharing what I've observed. Feel free to chime in.
The "wash rule" selling pressure seems to be behind us now for those who wished to sell before Nov 30, would appear to have done so, at least those of "size."
The rumor of someone having a position in excess of 1,000,000 long shares to liquidate for whatever reason turned out to be true. I'd like to hear more from the "person" who knew and then posted that. Wonder what my chances are? LOL
The final dump of over 700,000 shares which drove us to the $0.11 handle was catharic for the rest of us longs. Kind of like blasting a beaver dam to remove the more normal channel flow in a dammed creek.
The final dump of the remainder of that rumored position of size was a good reminder of the pratfalls of buying in size in an illiquid stock and switching up and wanting out--in an orderly fashion so as not to disturb the market--which selling into strength would have accomplished but then that is a pro move not an amateurish one like we've just witnessed--that was a good lesson to all who among us who like to accumulate million share positions in a very thin stock.
Possibility exists that that seller will return--in size--in 2014 after the 30 day wash rule tax planning strategy for dealing with losers has been cleared---since Scorpio has already caught their eye, is a producer, and just keeps plowing positive cash flow back into expanding Scorpio resources (and not proliferating shares by dilutive financing.) And maybe that seller will bring other buyers with him when they return. Possibility, not foregone conclusion.
Glad that is over.
Glad that Hawley is sticking to his game plan. As long as this stock is unloved and mis-understood because of Hawley's smart strategy, it will take time to see the share price appreciation we all are positioned for, time which allows patient acquistion on weakness and man but have we ever seen weakness NOT justified by fundamentals.
Have a good weekend, longs. GLTY
Missed one--sorry. PR/Brodie(11/13)drill.Update: details here:
Scorpio Gold Updates Expansion Drilling at the Brodie Satellite Deposit, Mineral Ridge Project, Nevada
http://finance.yahoo.com/news/scorpio-gold-updates-expansion-drilling-130000544.html
Also, found this map elsewhere on net, shows floating cones SRCRF is exploring. X marks spots with this drilling update topographical references.
http://www.scorpiogold.com/i/maps/mr/Brodie_DHplan.jpg
2013 Drilling (reference) Map Brodie Area covered
in this 11/13 PR
Happy Thanksgiving to all.
That was me who sold yesterday!
Just kidding, not sure what happened. Canaccord was dumping on CDN side, not sure who was dumping on USA side.
They are reporting total cash costs of less than $800.
Total cash costs:
total cash costs include all direct and indirect operating cash costs related directly to the physical activities of producing metals, including mining, processing and other plant costs, third-party refining expense, on-site general and administrative costs, royalties and mining production taxes, net of by-product revenues earned from all metals other than the primary metal produced at each unit. Total cash costs provide management and investors an indication of net cash flow, after consideration of the realized price received for production sold
These juniors are only as good as their shareholders. There are few buyers these days so any selling will depress the price. From what I can tell the company has about 3 years or more of mining with current reserves possibly more if you include expanding the current mary pit.
The company doesn't seem too concerned about the low gold price. They continue exploring the property.
This year is worst than 2008 in my opinion. I never have seen such negative sentiment on miners. Hopefully that will change soon.
Likewise, and back at you. Hanging tough with this one.
And a handshake and champagne down the road...with Peter Hawley making the toast.
OT: Just for fun in these gold/silver harder times, here's a sweet and natural acoustic group, Lake Street Dive, doing the pop/rock standard, Dedicated to the One I Love. They totally nail the harmonies.
Thanks starboy, it has been a pleasure reading your posts and getting to know you here, although it would be much better to meet you all at a Scorpio Gold shareholder meeting and shake your hand. The internet is so impersonal.
But it is great to have a board here that keeps it real and above board, which is so RARE these days.
I post over on the Raging Bull SGN board, and what a difference. Barely one step above Yahoo. Just a bunch of nonsense basically.
Let's keep it going here. Eventually value should win out.
Same thoughts here, Belgie. Will ride along with this company and it's diligent methods.
Reposted Talldudes post on the GOLDBUGS board, in case anyone there wants to take a closer look, notwithstanding the downtrodden state of the PM sector at present.
Though most on that board have their favorites already it seems.
I had not seen that piece, but enjoyed the article, thanks for posting it. Scorpio Gold has been trashed, share price wise, along with all the other juniors, but do they deserve it? Not IMHO.
I have not sold a share, and will ride this downturn out.
The company has performed admirably, and I remain a shareholder for the future.
Nice find, Talldude. Still like this company's (SRCRF) long-term prospects, and they way they've developed and moved forward shows smarts and diligence; not to mention staying in the black.
Mudbone1, Belgie 24, did you all happen to catch this positive write-up from the 11th?
Obviously somebody bailed BIG TIME today....717K shares traded--SO FAR on this day? WHEW! Just look at the blocks of 25K shares traded!!! Someone thought the kitchen was too hot and left, that part is really obvious.
We saw an 11c handle this AM. If I would have known an 11c handle was on the horizon, I would have waited. WHAT an opportunity to average down!
Thank you so much to whomever it is who finally bailed! That's what stops are for. Yes, even mental ones! The Marketmakers know they are there and go gunning for them, making fears come true.
Longs: the drinks are on me!
Scorpio Gold Updates Goldwedge Project
Press Release: MINING DRILLING RESULTS – 11.4.2013
from finance.yahoo.com
SGN.V
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Nov. 4, 2013) - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX VENTURE:SGN) provides an update on its 100% owned Goldwedge project, located 54 km north-northeast of Tonopah within the Manhattan Mining District of south-central Nevada. The Goldwedge property covers three separate claim blocks and encompasses the Goldwedge, Keystone and Jumbo gold deposits.
Goldwedge Deposit
The Goldwedge deposit lies within the Walker Lane Gold Belt and is situated on the southern periphery of the Manhattan Caldera, approximately 16 kilometers south of the 15 million ounce Round Mountain Mine. Historic mining in the Manhattan Mining District dates back to the 19th century, with district-wide gold production from both lode and placer deposits estimated at 566,000 ounces. The largest gold production came from the Manhattan Mine East & West pits located within a kilometer south of the Goldwedge deposit, where Echo Bay Mines reportedly produced an estimated 236,000 ounces.
A number of companies have explored the underground potential of the Goldwedge deposit, beginning in 1983 with Freeport Exploration followed by Sunshine Mining, Crown Resources, New Concepts Mining, Royal Gold and most recently, Royal Standard Minerals ("RSM"). To date, the deposit been tested by 89 surface holes and 30 underground core holes for a total of 16,994 meters. RSM undertook underground development, exploration and bulk sampling of the deposit over several campaigns from 2004 to 2012, and constructed a 400 ton per day mill facility with a gravity recovery system. Gold mineralization is outlined over a strike length of 335 meters and to a vertical depth of over 150 meters, and is open along strike, down-dip and down-plunge toward the northwest. Several resource estimates were prepared for the deposit from 1997 to 2011, none of which are NI 43-101 compliant. Scorpio Gold acquired the property from RSM in December 2012.
Scorpio Gold recently completed a preliminary 3-D geological model of the deposit based on structural and lithological data obtained from sections prepared by the previous operators. The Company is currently in the process of compiling the assay and lithology data base from all historical surface and underground drilling and sampling of the deposit. Although the majority of the historical drilling was by reverse circulation (RC) drilling, drill core from RSM's 2011-2012 underground drilling campaign (30 core holes) is available for evaluation and re-assaying if required.
The Goldwedge deposit exhibits several styles of gold mineralization from fault breccia and vein hosted to stratabound replacement style in limestone and pervasive quart-sericite-pyrite alteration hosted. Part of the Company's evaluation process is to understand the geological nature and controls to both the high-grade and broader pervasive gold mineralization in context with prominent structural fault and shear domains, including the regionally significant N30W trending Reliance Fault Zone.
Once interpretation and modelling of the mineralized system has been completed, the Company plans to proceed with a surface core drilling and/or underground core drilling program. Scorpio Gold has authorization from the U.S. Forest Service to set up on six existing drill sites to provide for twinning of six historic RC holes, and there is potential for drilling three to four additional angle holes from each site. With the results of the twinning and additional intercepts into the deposit, the Company can move toward preparing a NI 43-101 compliant mineral resource estimate and evaluate potential mine development.
Historical drilling (Table 1) has reportedly intersected substantial down hole widths and grades, some of which will be tested by Scorpio Gold's core hole twinning program.
Map links:
Permitted Drill Sites: http://www.scorpiogold.com/i/maps/goldwedge/Goldwedge_DHsite.jpg
Historic Drill Holes (Table 1): http://www.scorpiogold.com/i/maps/goldwedge/Goldwedge_DHplan.jpg
Table 1. Goldwedge Deposit - Select Historical Surface and Underground Drill Results
Hole
No. Drill Type From
(ft) To
(ft) Width
(ft) From
(m) To
(m) Width
(m) Gold
(OPT) Gold
(g/t)
GW-05 RC 295 405 110 89.92 123.44 33.53 0.126 4.32
GW-06 RC 420 545 125 128.02 166.12 38.10 0.066 2.26
GW-15 RC 335 400 65 102.11 121.92 19.91 0.234 8.02
GW-16 RC 405 465 60 123.44 141.73 18.29 0.065 2.23
MH-16 RC 550 770 220 167.64 234.70 67.06 0.364 12.48
MH-90-92 RC 135 185 50 41.15 56.39 15.24 0.112 3.84
225 305 80 68.58 92.96 24.38 0.104 3.57
370 410 40 112.78 124.97 12.19 0.062 2.13
GWUG-11-16 Core 72 162 90 21.92 49.38 27.43 0.116 3.98
GWUG-11-18 Core 53 118 65 16.15 35.97 19.81 0.092 3.15
GWUG-12-2 Core 165 175 10 50.29 53.35 3.05 0.387 13.28
GWUG-12-6 Core 300 335 35 91.44 102.11 10.67 0.209 7.17
Widths presented are down hole core lengths; true widths are not known at this time. Based on a review of available information, the drilling and sampling procedures and quality assurance and quality control (QA/QC) measures undertaken by the past operators (New Concept Mining, Freeport Exploration and RSM) are consistent with standards and acceptable practice in the mining and exploration industry.
Goldwedge Mill Facility
Surface site work at Goldwedge has included the removal of gold bearing sludge in the settling pond left over from previous operations, and repair and relining of the settling pond liner. Over 80% of the pond has been completely relined. Upon completion of this work, a QA/QC report was prepared by SRK Consulting and submitted to the Nevada Division of Environmental Protection - Bureau of Mining Regulation and Reclamation and approved on August 28, 2013. The settling pond is now fully authorized for use.
Improvements to the 400 ton per day mill facility include the inspection and repair of circuit pumps, sealing of the building's concrete floor and review of the process equipment to improve circuit efficiencies.
Recent testing of the grinding circuit utilizing tailings material previously processed through the facility by RSM yielded further recoveries of the contained precious metals, confirming that higher recoveries can be achieved from the Goldwedge mineralized material. Future testing will include the optimization of the recovery circuit, improvements to the thickener and tailings circuit and further testing of the grinding circuit to achieve optimal throughput and recovery rates.
Photos of the recently completed site work and upgrades are presented in the Goldwedge Photo Gallery at: http://www.scorpiogold.com/s/photo_gallery.asp?ReportID=606386
Jumbo and Keystone Deposits
The Jumbo and Keystone deposits are located 3.8 and 4.3 km southeast respectively from the Goldwedge deposit. The deposits occur along the margin of a Cretaceous granite intrusion and mineralization is controlled by high-angle N30W faults that are transected by N30E shear zones. Gold mineralization is hosted within brecciated and silica-flooded quartzite at Keystone, and within brecciated quartzite and brecciated granite at Jumbo, where stockwork quartz veinlets host both fine-grained gold bearing pyrite and free gold.
Limited historic surface drilling at Keystone reported substantial down hole widths and grades, leading Nevada Goldfields to undertake a small open pit excavation in 1990 that recovered 5,750 ounces of gold. A preliminary review of the available data indicates that significant drill intercepts lie below the base of the open pit. A small open pit was also excavated around the same time on the Jumbo deposit. New Concept Mining reported mineral resource estimates for both the Jumbo and Keystone deposits in May 1997; however, neither estimate is compliant with NI 43-101 and remain to be verified.
Scorpio Gold considers both deposits to have considerable exploration merit given their style of mineralization and location along strike of the regionally significant N30W trending Reliance Fault Zone, which trends through Goldwedge and the Manhattan Mine East and West pits.
Photos of the Jumbo and Keystone pits are presented in the Goldwedge Photo Gallery at: http://www.scorpiogold.com/s/photo_gallery.asp?ReportID=606386
One of the historic holes, MH-16 was 67 metres @ 12.48 g/t gold.
An intersect like that would have caused a buying frenzy a couple of years ago. Now nobody even mentions it.
Excellent points. Investing in junior gold miners has taught me patience the hard way! LOL
It certainly has appeared all along that Peter Hawley knows his way around gold fields and claims, and is totally thorough in his approaches to the drilling aspects of mining; to ascertain value in the workable claims.
Due to the pummeling of gold prices and uncertainties regarding the industry over these last couple of years, it's a patient man's investment.
The reams of stories and articles about global debt levels, which I've mentioned in many of my IHub posts, still seem to be relevant.
Central banks can't stimulate and print their way out of those debt levels, and from what I see in my part of the real world, prices continue to climb for the consumer; in everything from groceries to clothes, to rents.
Specific corporations and the invested wealthy may be prospering due to cheap money giving stocks a tailwind upwards, but the average Joe has, and continues to, be taking a financial hit.
Scorpio Gold Updates Goldwedge Project
Vancouver, November 4, 2013 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) provides an update on its 100% owned Goldwedge project, located 54 km north-northeast of Tonopah within the Manhattan Mining District of south-central Nevada. The Goldwedge property covers three separate claim blocks and encompasses the Goldwedge, Keystone and Jumbo gold deposits.
Continued at:
http://www.scorpiogold.com/s/news.asp?ReportID=609876
----
Progress is being made, toll milling still in the works. My take is going a little slower may not be a bad thing IMO, until the negative sentiment on the junior miners passes.
Oil collapsing would help the miners if true. Clive has made some pretty good calls on PM's in the last couple of years. I hope he is correct on these ones.
Not sure if anyone follows Gold Standard Ventures V.GSV, but they have had some drilling success on their claims north of SGN's Pinon deposit. Hopefully some of the market enthusiasm for GSV will come Scorpio's way !
Have to correct you Talldude, SGN gets 80% of cashflow.
Mexico Mike's comment posted 10.9, noted the following:
Another SGN article
Metal News interviews Roebuck
Scorpio posts NEW Q3 throughput today. Still going the right direction! Production that is....the share price: not so much....YET!
PR from Company, 9AM EDT today:
3Q2013--->9.632K t/o Au; 3.702K t/o Ag
There is a school of concurrent thought which claims "since implementation of ETFs 25yrs ago, why buy miners at all?"
Thanks for your proferred links. Good job.
BTW,
12.5% spread between Bid/Ask just plain sucks...for buyers. Talk about greedy marketmakers!
And for perusal and study of various articles see:
http://www.silverseek.com/
http://www.goldseek.com/
http://dollarcollapse.com/ (Articles by categories) Metals, Economy, etc
Yes, it was better at .57 cents and climbing.
Perhaps this article will give you some clarity going forward.
Clive's been around a long time if you haven't followed or found him before...One man's opinion, but he's been around the block a time or two.
Gold Market Update
originally published October 6th, 2013
Full article link:
http://www.clivemaund.com/article.php?art_id=68
Final paragraph, though it's better to view the entire article with charts and commentary.
"I am going to end this with a very important message. We have seen that gold and silver are very probably completing Head-and-Shoulders bottom reversals, with prices having dropped down to suspected Right Shoulder low buy spots. In addition, and most importantly, we have seen for ourselves in this update the insane undervaluation of stocks relative to bullion, which is characteristic of a major sector bottom. What this means is that you can go ahead and buy large and mid-cap gold stocks now, and juniors with strong balance sheets that are either producers or close to production, with confidence, and quit worrying about day to day price movements afterwards, because you know that you are buying either at or very close to a major low. So rather than buy the sector and then sit on the edge of your chair biting your nails as you staring at changing prices on the screen, do what Smart Money does, buy them, bank them, and then go fishing or playing golf or whatever you enjoy doing with your leisure time, confident that you have bought stocks that are ludicrously undervalued and that it is only a matter of time before they rally to become more fairly valued."
Excellent thoughts, for sure. Value yet to be realized.
If one were to look up the word UNLOVED in the dictionary, one would definitely find SRCRF as an example. Quite the testimony to how out of favor is this sector, that a regular small producer, still drilling, still pulling out the gold, still shoulder to the wheel, is offered for sale somewhere in the upper teens, price-wise.
Scorpio=STILL.on.the.gold. New.Drill.Results.PR.update:
Scorpio Gold's Drilling at the Oromonte Deposit Intersects 10.67 Meters Grading 22.30 g/t Gold
Press Release: MINING DRILLING RESULTS – 10:00 AM EDT 9.23.2013
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Sept. 23, 2013) - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX VENTURE:SGN) reports further results from its 2013 satellite deposit drilling program at the 70% owned Mineral Ridge project, located in Nevada.
The first hole drilled in 2013 on the Oromonte deposit followed up on a higher-grade zone of mineralization intersected at depth in 2011-2012 drilling. This hole, MR13599, returned 22.30 g/t over 10.67 m (0.65 oz/ton over 35 ft). Combined with prior drilling, significant grades over substantial widths have now been intersected in four consecutive holes with the mineralization open in three directions.
Updated drill chart in this satellite deposit contained within the press release. Can be viewed at: Drill Update: Oromonte Deposit
(CEO is in Denver for a Gold show 9.22-25. According to www.denvergoldforum.org/dgf13 , Scorpio is one of the few NOT webcasting their scheuled presentation. Bummer.
Still would seems logical to anticipate positive things coming from talking up Scorpio at the Denver Gold Show.
http://finance.yahoo.com/news/scorpio-golds-expansion-drilling-bluelite-120000664.html.AWESOME!
Scorpio Gold's Expansion Drilling at the Bluelite Deposit Intersects Near-Surface High-Grade Mineralization
MR13587: 3.69 g/t over 18.29 meters
Peter J. Hawley, CEO comments:
Indeed they do. And it is nice to see the solid, positive update on this micro producer up basically $0.01 cents higher today.
A LOT to like here!
financials out, looks good.
10,769 ounces of gold produced compared to 7,394 during Q2 of 2012.
• Increased revenue of $14.8 million compared to $12.5 million during Q2 of 2012, mainly due to increased
production and higher grades which resulted in a higher number of ounces sold albeit a lower average gold
price.
• Improved total cash cost per ounce of gold sold(1) of $713 compared to $965 during Q2 of 2012 mainly
attributable to higher production level as well as higher head grade.
• Mine operating earnings (1) of $3.3 million compared to $3.4 million during Q2 of 2012.
• Net loss of $7.8 million ($0.05 basic and diluted per share) following non-cash impairment charges of $9.9
million ($0.06 basic and diluted per share), compared to net earnings of $2.6 million ($0.01 basic and
diluted per share) during Q2 of 2012.
• Adjusted net earnings (1) of $2.7 million ($0.01 basic and diluted per share) compared to $2.6 million ($0.01
basic and diluted per share) during Q2 of 2012.
• Increased adjusted EBITDA (1) of $8.0 million ($0.04 basic and diluted per share) compared to $4.7 million
($0.03 basic and diluted per share) during Q2 of 2012, as a result of increased revenue and lower cash
costs.
• Adjusted cash flow from operating activities (1) of $5.4 million down from $7.5 million during Q2 of 2012,
mainly due to an increase in inventory level during Q2 of 2013.
(1) This is a non-IFRS measure; please see Non-IFRS performance measures section.
Management Discussion and Analysis
For the six months ended June 30, 2013
2
HIGHLIGHTS FOR THE SIX MONTHS ENDED JUNE 30, 2013
• 18,180 ounces of gold produced compared to 14,591 during the six months ended June 30, 2012.
• Increased revenue of $26.5 million compared to $25.4 million during the six months ended June 30, 2012,
mainly due to increased production and higher grades which resulted in a higher number of ounces sold
albeit a lower average gold price.
• Improved total cash cost per ounce of gold sold(1) of $738 compared to $944 during the six months ended
June 30, 2012, mainly attributable to higher production level as well as higher head grade.
• Mine operating earnings (1) of $6.5 million compared to $8.3 million during the six months ended June 30,
2012.
• Net loss of $5.7 million ($0.04 basic and diluted per share) following non-cash impairment charges of $9.9
million ($0.06 basic and diluted per share), compared to net earnings $5.7 million ($0.03 basic and diluted
per share) during the six months ended June 30, 2012.
• Adjusted net earnings (1) of $4.8 million ($0.02 basic and diluted per share) compared to $6.8 million ($0.04
basic and diluted per share) during the six months ended June 30, 2012.
• Increased adjusted EBITDA (1) of $14.5 million ($0.08 basic and diluted per share) compared to $10.7
($0.06 basic and diluted per share) million during the six months ended June 30, 2012 as a result of
increased revenue and lower cash costs.
• Adjusted cash flow from operating activities (1) of $11.5 million down from $14.3 million during the six
months ended June 30, 2012, mainly due to an increase in inventory level during Q2 of 2013.
UPDATED 2013 PRODUCTION AND OPERATING GUIDANCE
• 2013 gold production now forecast to be between 35,000 and 40,000 ounces compared to earlier guidance
of between 32,000 and 35,000 ounces.
• Total cash cost now forecast to be between $700 and $800 per ounce compared to earlier guidance of
between $800 and $900 per ounce. (For more information on the parameters and assumptions upon which
the updated production and operating guidance is based, please see the “Outlook” section below).
As of June 30, 2013, the Company had $2.4 million in cash compared to $2.0 million as of December 31, 2012.
Working capital was $8.5 million as of June 30, 2013 compared to $5.9 million as of December 31, 2012. The
Company anticipates that it will make the required payments on its debt and fund its planned capital expenditures
and other cash requirements from cash flow from operations at Mineral Ridge. However, if cash flow is insufficient,
additional financing will be required.
The off the cuff response is along the lines of how the BCSC has turned the resource calculating world on its EAR up there in Canada with the regulatory bullshit/shennigans pulled on Barkerville resource and the shareholders for over 1 year now since a N43-101 report was issued and somebody got upset and yanked on the regulators chain hollering "foul!!!!"
Everyone is muttering to each other who is under the filing requirements and regulatory scrutiny of BCSC. Companies are hiring Qualified Persons to double and triple check on existing Qualified Persons, twinning holes like there is no tomorrow, etc, doing check assays by another backed up to the gills reputable labe before counting even whispering about the nuggets atop the ground laying at the feet of the locals let alone professional geologists. Mere mention of "visible gold in a drill core" and you're automatically sent to timeout. This is all courtesy of Bre-X paranoia, and more.
The scientific field of Geology hasn't changed. But every resource modeling is done by computer algorithm nowadays. It's the wildwest shootout between computer modeling programs. It's easier to argue than just go get'er done.
And it is all to one end only in my opinion. That end is: to buy time for big money to starve out the marginal, underfunded, hanging on my their fingernails actual small producers, so that the big chess players casting their nets far and wide trying to out maneuver each other with their huge warchests of sequestered funds. Like Franco Nevada with their $2 BILLION acquisition purse, without even blinking, constantly being bragged about in live interview after live interview with the current CEO.
FRANCO doesn't care where the resource is, nor who the regulators are where. They just want the juiciest, regardless of "computer modeling noise factor."
I doubt there is a more nefarious climate in the history of natural precious pursuit than the days we are currently living in.
Debatung "Floating cone analysis""is just another name for "delay tactic du jour"
Those are my personal thoughts about this distinction w/out a difference nuanced gamesmanship.
Looking forward to more input from others up there in BCSC land. At least, SRCRF is in self-financing mode more or less now. Now THERE'S a distinction WITH a difference.
New satellite resource out.
Mineral Resource Estimate on the Satellite Deposits
What stands out to me is :
"Within Telesto's resource block model there is approximately an additional 1.5 million tons of mineralized material outside the floating cone economics that is above a cutoff grade of 0.02 opt gold. The areal extent of this mineralization is presented in a plan section of the resource model wireframes available at: View Map. Cross-section views of the mineralized wireframe envelopes that extend or lie outside of the pit shells is available at: View Cross-Sections. With additional drilling; some or all of these areas could potentially be added to the mineral resource estimate after applying floating cone economics."
It looks like there is much more gold not included in the resource calculation than is included. I have never seen a resource calculated this way. Why are they using floating cones for a resource calculation? Isn't something like that used only when calculating reserves? If they didn't use floating cones the resource would have been well over 100,000 ounces.
Anyone have thoughts on this?
Scorpio Gold Reports on Expansion Drilling at the Brodie Satellite Deposit, Mineral Ridge Project, Nevada
MINING DRILLING RESULTS – 11:28 AM EDT 8.7.2013
finance.yahoo.com
SGN.V (Vancouver BC) $0.235 $ -0.0150
SRCRF (USA OTC.BB)
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Aug. 7, 2013) - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX VENTURE:SGN) reports initial results from its 2013 satellite deposit drilling program at the 70% owned Mineral Ridge project, located in Nevada.
The 2013 satellite program commenced with infill drilling along the northwest mineralized trend that extends from the Brodie pit to the Bluelite deposit. The Brodie area lies southwest of the currently producing Drinkwater and Mary pits and is immediately adjacent to the leach pad. Nine holes were drilled to increase drill hole spacing density both within and extending outside of the floating cone pit shells modelled by Telesto Nevada Inc. ("Telesto") in their pit optimization study of the satellite deposits (see the Company's November 26, 2012 news release for more information). A mineral resource estimate for the satellite deposits is in the final stages of preparation by Telesto and will be released shortly.
Drill results continue to outline the extension of the Brodie deposit to the northwest, with positive results from holes 573 and 576 bracketing a 2012 hole, MR12383, which returned 0.97 grams per tonne ("g/t") over 9.15 m and 1.17 g/t over 21.34 m (originally announced in the Company's June 4, 2012 news release).
The northernmost hole in the 2013 program returned 0.68 g/t over 19.81 meters. The drill has now moved to the Bluelite deposit. A second drill rig is scheduled to arrive on site in September 2013, which the Company intends to dedicate to the satellite drilling program.
Peter J. Hawley, CEO comments:
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