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From Calandra 9/30/11: Scorpio Gold (TSX: V.SGN, Stock Forum), Peter J. Hawley’s brilliant little Nevada gold producer and prospector, is outpacing nearly everything in that benign state of miners. I wish I owned more than my flimsy $8,000 worth.
http://www.stockhouse.com/Columnists/2011/Sept/30/These-junior-mine-developers-have--held-their-own-
Scorpio has held up well, the future looks bright, like when that updated 43-101 is released!
A terrific 10% pop today!
Scorpio Gold Intersects 3.05 metres grading 15.85 g/t Gold on Solberry Zone, Mineral Ridge Project
Vancouver, September 26, 2011 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) announces the initial drill results from the Solberry Zone at the 70% owned Mineral Ridge project, Nevada.
Peter J. Hawley, President and CEO reports, "In following up on historical drill results (Table 1), our initial drilling on the Solberry Zone has intersected a high-grade zone of enrichment of currently unknown extent at the northwest margin of the zone, returning 15.85 g/t gold over 3.05 metres (Table 2). The Solberry Zone is located approximately 760 metres (2,500 feet) west of the Drinkwater open pit where the Company is currently mining. Planning for a follow-up program to conduct in-fill and step-out drilling of the area of interest is in progress. Meanwhile, the drill has moved to the Brodie Zone located 975 metres (3,200 feet) southwest of the Drinkwater pit, to follow up on historical drill results in that area."
Continued at:
http://www.scorpiogold.com/s/news.asp?ReportID=481037
A few calculations on the PR from Scorpio:
In August 76,156 tons were mined from Drinkwater.
76156/31 days = 2457 tons per day.
Compare this to June which was 22,704 tons mined per previous PR on July 18th.
76,156 tons times .058 OPT = 4417 oz. 4417 times 65% recovery = 2871 oz of gold will be eventually recovered from the ore mined in August.
Seems good progress is being made towards the commercial production number of 3500 oz per month.
Also there was previous mention that ore would be mined from Mary pit starting somewhere around Sept 2011.
If it wasn't such a bloody market day, we'd probably get a positive reaction.
Scorpio Gold Provides Update at Mineral Ridge Operation
Vancouver, September 22, 2011 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) is pleased to provide an operations update at the 70% owned Mineral Ridge gold deposit, Nevada, and also to announce the proceeds of warrants exercised prior to the September 10, 2011 expiry date.
Since the start-up of operations in Q2 2011, the Company has placed a total of 407,399 tons of mineralized material on the leach pad grading on average 0.044 ounces per ton (OPT) gold.
During the month of August 2011, 76,156 tons of mineralized material grading 0.058 OPT gold was mined from the Drinkwater pit and delivered to the crushing circuit. During the same period, 79,427 tons of material grading 0.057 OPT gold were processed through the crushing circuit and placed on the leach pad. As of August 31, 2011, the mineralized stockpile at the crusher totalled 8,352 tons grading 0.058 OPT gold.
The Mineral Ridge operation's heap leaching process and on-site gold recovery plant produces a loaded carbon end product that is shipped for further processing. Based on operating results to date, the recovery rate of contained gold in mineralized material to loaded carbon is approximately 65%. The loaded carbon is shipped to Metals Research in Kimberley, Idaho for custom processing into doré. The doré bars are then delivered to Johnson Matthey's refinery in Salt Lake City for further refining into separate 99.9% pure gold and silver bars.
In August, shipment of loaded carbon turned out by the Mineral Ridge ADR plant from production in prior months totalled 11.7 dry tons grading 71.8 OPT gold and 43.6 OPT silver, containing approximately 840 ounces of gold and 510 ounces of silver.
As of June 30, 2011, Scorpio Gold had 11,125,181 warrants (including broker warrants) set to expire on September 10, 2011. Of these, 11,124,824 warrants were exercised for total proceeds of $6,658,229. Since issue of these warrants, a total of 14,998,383 warrants (including broker warrants) have been exercised for total proceeds of $8,832,430.
Peter J. Hawley, President and CEO reports, "We are very pleased to have met the target we set for reaching a steady rate of gold production by August 2011. The Company remains focused on increasing both production and processing rates and expects further improvements in performance in the coming months. We would like to thank our shareholders for their continued support and confidence in Scorpio Gold, as demonstrated by the recent exercise of warrants that has added significantly to our cash position."
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.
Assaying of mineralized material from the Mineral Ridge operation is conducted onsite at the Mineral Ridge Assay Laboratory (MRG). MRG does not have ISO/IEC 17025 accreditation but implements a quality management system compatible with the ISO/IEC 17025 standards and maintains a paperwork and LIMS trail suitable for future ISO/IEC 17025 accreditation. The participation by MRG in round robin exercises is similar in many small laboratories in North America which do not have ISO certification. Further details are presented in the Company's quality assurance and quality control (QA/QC) program for the Mineral Ridge project: View PDF.
ON BEHALF OF THE BOARD
SCORPIO GOLD CORPORATION
Peter J. Hawley,
President & CEO
For further information contact:
Peter J. Hawley Tel: (819) 825-7618
Email:phawley@scorpiogold.com
Investor Relations:
Torrey Hills Capital
Andrew Hoffman Tel: (858) 456-7300
Email:ahoffman@torreyhillscapital.com
http://www.scorpiogold.com/s/news.asp?ReportID=480606
SRCRF Now at .950, Up .14 cents (17.28%)
Very nice site, link below, for all OTC information, charts, ect.
http://www.otcmarkets.com/stock/SRCRF/chart
The way things are these days, SRCRF is a pleasant surprise.
The trend is our friend, and new highs beget new highs, lessons learned the last decade from masterful technical traders I have known(Zeev Hed, the best mentor a person could hope to have). So we hit a new 52 week high at .956 today, and the chart for SGN.V for the last year shows a series of higher lows and higher highs, leading to that beautiful upward sloping chart pattern. SGN.V actually hit a higher level of .99 earlier in the day, but SRCRF doesn't always trade in volume to match the highs exactly.
We are in a great pattern technically, with strong fundamentals to back it up. Good times ahead.
Up 18% today, so far.
Scorpio Gold is showing some really good buying strength for about 3 weeks now, with the only news item being the silver discovery in the Coyote area. SGN.V is hitting .87 as I write this.
Looking forward to the next couple months, when I believe they will release a mine plan and an updated 43-101 with a higher resource. How high? I'm thinking up towards a million oz proved up. Also reaching commercial production late in 2011 should be a stock moving event too.
Scorpio Gold Discovers Silver-Enriched Zone on Mineral Ridge Project
Vancouver, September 13, 2011 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) announces the discovery of widespread silver-enriched mineralization over significant widths at the Coyote Target, on its 70% owned Mineral Ridge project in Nevada. Eleven holes in this first phase drill program tested the Coyote target over a 250 x 600 metre area, while 2 holes tested an outlier zone located 914 metres to the northwest.
Peter J. Hawley, President and CEO reports, "While drilling the Coyote gold target, we have encountered an extensive, thick silver-mineralized zone, which appears to have overprinted earlier gold mineralization and is presently thought to be wedge-shaped and thickening to the northwest. Step out drilling in the vicinity of a historical adit, 914 metres (3,000 feet) to the northwest, has intercepted 147.87 metres grading 2.13 g/t silver (485 feet grading 0.075 OPT silver). All of the holes in this first ever drilling of the area terminated in mineralization. Mapping and geochemical sampling is underway to determine the surface expression and relevance of this discovery to other mineralization on the property. The widespread nature of mineralization crossing various lithological host units may be indicative of a very large mineralized system."
Continued with drill results at:
http://www.scorpiogold.com/s/news.asp?ReportID=478737
Gold rolling over to $1,900 on Labor Day, as the smell from Europe is as bad as our own here. Remains to be seen what will transpire in the PM's when the world markets are at full throttle tomorrow; as some may need to raise cash, as in 2008.
Especially if a credit freeze-up happens in the European banking system and has repercussions in the USA and elsewhere.
But I don't think the downdraft to PM's will hold or be as significant as that 2008 time period. Too much damage has been done in the debt scenario and people/players want a real safety net.
Hard to believe Scorpio Gold isn't responding to the current events that may be peaking this month.
Tuesday's Market Preview Is Not Pretty: El-Erian
http://www.cnbc.com/id/44399634
Interesting article from Frank Holmes on finding gold miners to invest in. The following portion was enlightening:
---------
Research from geologist Robert Sibthorpe shows that only one in 2,000 (0.05 percent) companies would ever find 1 million ounces of gold, and that only a third of those would be able to turn that find into production. In addition, research from Barry Cooper at CIBC shows that these discoveries are becoming even more difficult. There were 51 gold/copper porphyry discoveries of +3 million ounces during the 1990s, but only 24 of such discoveries occurred during the 2000s.
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http://www.321gold.com/editorials/holmes/holmes082911.html
Now, Scorpio Gold is aiming to get near that million oz mark in reserve by year end 2011, and they are already producing at Mineral Ridge. I think they will pull it off, becoming one of very few companies to achieve both goals.
New Mineral Ridge presentation August 2011 on Scorpio Gold's website:
http://www.scorpiogold.com/i/pdf/ppt/ScorpioGold_Aug11.pdf
Pretty good timing, I think, on your purchase. SGN.V traded over a million shares Friday, leading into Scorpio's road show starting tomorrow to Denver, Minneapolis, and Chicago.
BabyBulls event calendar:
http://www.babybulls.com/
There should be plenty of good production and exploration news to use for promotion this fall, starting tomorrow.
Bought some on the dip; to hold into 2012.
Gold junior transforms property into profitable mine
Mineral Ridge is expected to produce up to 100,000 ounces of gold per annum as early as 2013
SILVER PEAK, Nevada –Most of us in natural resources are awestruck when we see an operating mine.
It is a time-consuming piece of work: complex. Sometimes problematic and expensive – producing an ounce of gold.
Scorpio Gold’s (TSX: V.SGN, Stock Forum) Mineral Ridge in Nevada, roughly 10,000 acres, has barely been explored. Yet nearly 150 years of mine workings are visible throughout the property.
Scorpio Gold is led by mining veteran Peter Hawley. Mr. Hawley built sister company Scorpio Mining (TSX: T.SPM, Stock Forum) into a mid-tier silver producer and continues to be SPM’s Chairman. He led the movement to spin off its assets into the dedicated gold miner Scorpio Gold.
Mineral Ridge is expected to produce up to 100,000 ounces of gold per annum as early as 2013, and at limited incremental expense. Mineral Ridge, located halfway between Las Vegas and Reno on the Walker Lane trend of Western Nevada, was discovered in the 1860s and roughly a century ago was one of the most active gold mining regions in the state. A total of 575,000 ounces of gold were historically produced at Mineral Ridge, including roughly 405,000 ounces underground in 1864-1942 and 170,000 open pit ounces from 1989-2005.
In 1942, all underground mining at Mineral Ridge was shut down by the L208 War Act, leaving the deposit to lie fallow for decades, until finally it was purchased out of bankruptcy by Zephyr Resources in 1989. Zephyr and several others attempted open-pit operations in the ensuing years, but a lack of capital, declining gold price, and inefficient mine methods did them all in. However, the last company to purchase the property, Golden Phoenix Minerals (OTC:BB: GPXM, Stock Forum), sold a 70% interest to Scorpio Gold in early 2010, which has transformed the property into an operating, profitable gold mine in barely over a year.
All in, Scorpio paid roughly US$25 million to acquire its 70% stake, including the property’s cost, settlement of outstanding royalty rights, and capital expenditures to permit and build the mine. The mine commenced production in May 2011, just 13 months after the acquisition was closed, and is already producing at a run rate of more than 40,000 ounces of gold per annum. Consequently, the mine is expected to produce roughly 25,000 ounces in calendar 2011, putting it on schedule to pay back the entire acquisition cost (including initial capex) about a year’s time.
Scorpio’s stake in Mineral Ridge increases to 80% once commercial production is achieved (defined as 3,500 ounces per month for four months, in other words, a 42,000 oz/annum run rate), currently expected to be achieved by year-end. Golden Phoenix recently sold the rights to its 20% interest to Waterton Global Value LP, Scorpio’s off-take partner at Mineral Ridge, but it is anticipated that the stake will be acquired by Scorpio as well.
An NI 43-101 compliant resource calculation completed in May 2010, contained 357,000 ounces of gold (221,000 Measured/Indicated), with an updated report anticipated by year-end incorporating this year’s 13,000 meter drill program and selected data from the approximately 120,000 meters of historical drilling completed around the main pit areas by previous operators. Scorpio aims to triple the previous resource in this report, and ultimately believes the property could host several million ounces of gold, partly open-pittable and the rest underground.
The majority of historical mining was done underground, but the next three to four years will be all open pitted, mainly from the enormous Drinkwater (2,000’ long x 1,400’ wide x 670’ deep) and secondary Mary (1,475’ long x 725’ wide x 455’ deep) pits. The scale of these pits is quite impressive, as the myriad loading and dozing trucks looked like Matchbox cars aside the massive, terraced “benches” lining the pit’s walls. These pits are schedule to be widened and deepened over the initial three to four year mine plan, tentatively targeting production of roughly 25,000 ounces of gold in calendar 2011, 60,000+ ounces in 2012, and up to 100,000 ounces in 2013.
Mineral Ridge is currently operating at less than half its 6,000 tonne/day operating capacity, yielding a cash operating cost in the range of $700/oz. of gold. However, capacity is expected to reach 100% sometime in 2012, at which point operating costs are projected to decline to $450-$550/ounce.
From a shareholders’ perspective, Scorpio Gold has these hallmarks: Scorpio Mining still maintains a restricted 19% holding in Scorpio Gold, while eight major mining funds, including Sentry Select, Sprott and Tocqueville, and collectively hold 62% of the outstanding shares. Combined with management’s 7% holding, Scorpio Gold is a tightly-held company with a float of less than 15% of total outstanding shares.
Disclaimer: Thom Calandra edited this article for Stockhouse. Thom Calandra owns shares of Scorpio Gold and is a principal of Torrey Hills Capital. This article is provided by San Diego Torrey Hills Capital and www.babybulls.com to provide readers with information on selected publicly-traded companies. The reader should verify all claims and complete his or her own due diligence before investing in any securities of these profiled companies. San Diego Torrey Hills Capital has been retained to provide investor relations services for some of the companies mentioned in this profile/post and receives compensation for those services. San Diego Torrey Hills Capital/BabyBulls.com has the following compensation arrangements with the companies profiled in this Travel Dispatch: Scorpio Gold Corporation, $7000 per month and warrants to purchase two hundred thousand shares of common stock at a strike price of 68 cents per share; Golden Phoenix Minerals Inc., $6000 per month and warrants to purchase one million shares of common stock at a strike price of 12 cents. Further, San Diego Torrey Hills Capital and its employees and affiliates may own, or may purchase and sell, securities of the companies profiled. San Diego Torrey Hills Capital undertakes no obligation to inform readers about the ownership or trading activities of it or its employees or affiliates in the securities of the profiled companies. Neither San Diego Torrey Hills Capital nor anyone involved in the publication of this email is a registered investment adviser or broker/dealer. San Diego Torrey Hills Capital makes no recommendation that the purchase of securities of companies mentioned in this email is suitable or advisable for any person or that an investment in such securities will be profitable. In general, given the nature of the companies profiled and the lack of an active trading market for their securities, investing in such securities is highly speculative and carries a high degree of risk. An investor in such securities should be prepared and able to bear a loss of his or her entire investment. Nothing in this email should be construed as an offer or solicitation to buy or sell any securities of any profiled company.
ABOUT THE AUTHOR
Andy Hoffman
Andy Hoffman is a Chartered Financial Analyst at San Diego Torrey Hills Capital, and has more than 15 years of experience and expertise in energy and mining. He can be reached at ahoffman@torreyhillscapital.com
http://www.stockhouse.com/Columnists/2011/August/17/Gold-junior-transforms-property-into-profitable-mi
Scorpio Gold MD&A filed 8/12/2011. Here's the outlook section, note that 9 shipments of carbon loaded gold have now been shipped. Also Coyote drilling exploration completed, Solberry beginning.
-----------
OUTLOOK
As the Company continues to ramp up production at the Mineral Ridge Project, minor challenges continue to be dealt with without sacrificing the quality of development work. Mineral Ridge continues to meet all its operational plans and as the gold bearing heap leach pad matures the processing of gold continues to increase. Currently, the Company has made its ninth shipment of loaded precious metals carbon from the Mineral Ridge project to be custom processed and refined for sale. Mining officially began on May 31st with 22,700 tons of new mineralized material grading 0.066 ounces per ton gold being mined and placed on the pad in June. Stable mine production is expected to be reached in late August of this year and continue to track positively for the remainder of the year. All permitting is in place for planned exploration drilling at Mineral Ridge with the Coyote drill exploration program completed (assays pending) and the Solberry target just starting to be drilled. The Company continues to advance on all fronts which include stable exploration, development and gold production as it increases the rate of Mineral Ridge mining and the gold processing throughout.
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http://sedar.com/DisplayCompanyDocuments.do?lang=EN&issuerNo=00024186
Considering WHO started it and his track record?
They'll work out the bugs and it'll work.
IF they do so in the same timeline as SLW it'd be AWESOME.
I'LL ADD SOME OF THESE SOON....
I respect your decisions, and I'm happy to have a sizeable Scorpio Gold stake. More than one way to get it done.
I hope Sandstorm goes nuts for you. A gold royalty company would seem to be in the cat bird's seat with gold zooming ever higher.
I'll probably buy some, BUT with shot at a Jr like Sandstorm at this stage of the companys life, it's HARD to throw money here.
Hard to argue with NO over head.
SLW started at $3 and was $17 in three years..........
I'll probably spend loose change here and my monthly 401 deposits since we have a self directed 401.
As most probably know, you have to adjust for the difference between the US dollar and the Canadian dollar when buying or selling SRCRF vs SGN.V which trades on the Toronto Venture exchange.
In building my SRCRF position it has been quite interesting to watch the relationship between the 2 dollars over the last couple months. Just a couple weeks ago the Canadian dollar traded at a 6% premium to the US dollar. Then when all this volatility hit the markets, the premium just evaporated all the way down to .5% a day or so ago. It is about 1.5% right now. So it is a good time to build a position, IMO, because you can get the SRCRF for very little more than SGN.V sells for. I think the premium will go back up again during the seasonally strong period for miners, Sept to January.
Here's a site I use to compare the curriencies:
http://www.xe.com/ucc/convert/?Amount=1.00&From=CAD&To=USD
Scorpio Gold Announces Changes to Mineral Ridge Joint Venture
BY Marketwire - Canada
— 2:33 PM ET 08/05/2011
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 5, 2011) - Scorpio Gold Corporation (SRCRF) ("Scorpio Gold" or the "Company") today announced that Golden Phoenix Minerals, Inc. ("Golden Phoenix"), its 30% joint venture partner on the Company's Mineral Ridge project (the "Mineral Ridge Project"), has entered into a debt financing arrangement (the "GP Debt Financing") with Waterton Global Value, L.P. ("Waterton"), Scorpio's existing lender. In connection with the GP Debt Financing, Golden Phoenix has granted Waterton an option (the "Waterton Option") to acquire Golden Phoenix's interest in the Mineral Ridge Project. Scorpio has consented to the Waterton Option and agreed that upon the exercise of the Waterton Option, Waterton will become Scorpio's joint venture partner in the Mineral Ridge Project. In connection with the GP Debt Financing, Golden Phoenix and Scorpio have agreed to amend certain terms of their joint venture, as described below.
Under the original terms of the joint venture operating agreement in respect of the Mineral Ridge Project (the "Operating Agreement"), Scorpio had the right to increase its joint venture interest by 10%, to 80%, by providing 120% of the estimated costs of placing the Mineral Ridge Project into commercial production within 30 months of acquiring its interest in the Mineral Ridge Project, with commercial production being defined as operating the mine for a period of six consecutive months at 70% or more of the average life-of-mine production capacity, as set out in a feasibility study. Additionally, the Operating Agreement provided that if Scorpio increased its joint venture interest to 80%, it would have the right for a period of 24 months to buy-out Golden Phoenix's remaining 20% joint venture interest at the net asset value of such interest, as determined by an independent valuator (the "Buy-Out Right").
In connection with the GP Debt Financing, the Operating Agreement has been amended to provide that Scorpio may now increase its joint venture interest to 80% by funding 100% of the capital expenditures required to place the Mineral Ridge Project into commercial production, which is now defined as the production or processing of a minimum of at least 3,500 ounces per month of gold products from the Mineral Ridge Project for a period of four consecutive calendar months. A feasibility study is no longer required. In addition, Scorpio has agreed to waive the Buy-Out Right with respect to Golden Phoenix, or Waterton if Waterton acquires Golden Phoenix's interest in the Mineral Ridge Project pursuant to the Waterton Option.
Peter J. Hawley, President and CEO reports, "We are pleased that Waterton has chosen to get further involved in the Mineral Ridge Project. The changes made to the Operating Agreement will give Scorpio the ability to increase our joint venture interest in the Mineral Ridge Project to an 80% level more quickly, and we anticipate that if Waterton exercises its option to acquire Golden Phoenix's interest in the Mineral Ridge Project, Scorpio will gain a joint venture partner with the financial resources and experience to work with us to develop and expand the Mineral Ridge project to its full potential".
Cheryl Brandon, Portfolio Manager at Waterton, stated, "we are very pleased to have established the basis for a future joint venture partnership with Scorpio Gold (SRCRF). This partnership provides Waterton Global with the opportunity to work with an established mining team in the highly prospective Nevada region to further expand production from Mineral Ridge. As a result of our long term relationship with Scorpio Gold (SRCRF) as their project finance lender, we have a high level of confidence in management's ability to execute their expansion plans and reach commercial production in the near term. We look forward to further strengthening our relationship with Scorpio, not only as a lender but as a partner in the future development of Mineral Ridge."
For more information on Scorpio's existing debt financing arrangements with Waterton, please see the Company's news releases dated October 8, 2010, October 25, 2010 and May 26, 2011.
For additional information please see the Company's website at www.scorpiogold.com.
ON BEHALF OF THE BOARD
SCORPIO GOLD CORPORATION (SRCRF)
Peter J. Hawley, President & CEO
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 and development of its projects. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements, including those risk factors outlined in the Company's Management Discussion and Analysis for the year ended December 31, 2010 as filed on SEDAR. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
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.
FOR FURTHER INFORMATION PLEASE CONTACT:
Scorpio Gold Corporation (SRCRF)
Peter J. Hawley
President & CEO
(819) 825-7618
phawley@scorpiogold.com
www.scorpiogold.com
Investor Relations
Torrey Hills Capital
Andrew Hoffman
(858) 456-7300
ahoffman@torreyhillscapital.com
Source: Scorpio Gold Corporation (SRCRF)
Anybody wanting to get into SRCRF, lots of chances today, easy entry in the mid .70's most of the day, I even got some at .7331.
Classic low volume pullback from the 52 week high. Happy to add in here. Can't wait for the Sept-January period, when full production is reached and the new mine plan/43-101 is released.
New 52 week high in SRCRF, 5000 shares traded at .9155 at 14:58 EST.
http://finance.yahoo.com/q?s=srcrf&ql=1
I'm not really WAITING so much as I have to MOVE $$$ into my investment account.
I have positions in BOTH Sandstorm companies......
The ODDs ARE that I make more money THERE with LESS STRESS.
IF I have to pay a little more to play HERE so be it.....
Things are still a little slow here......
If I might be so bold, Doug, don't wait on this one. It's going over a dollar this year, I'd bet my Blue Moon on it! You can maybe get it in the high .70's this week, but time is really running out.
It would be a crying shame for you to ride that bus all the way up, do the research, and not benefit from it. You saw early what was a dead giveaway on where they are going. I see $2.50-$3.00 in 2012, unless somebody takes them out for more.
BTW, Sandstorm looks great, looks like a winner, but it has already had a monster move from $1 to $1.60. I think Scorpio Gold is about to have that move, from .70 to $1, consolidate, then higher into year end.
YEAH... JUST AS I WAS ABOUT TO PULL THE TRIGGER TOO......
Ended up in the Sandstorm family of investments instead.
I'm a bit miffed on not hearing back from the CEO.
I will have to accumulate THEM DCA style I guess......
Possible breakout in Scorpio Gold stock (SGN.V/SRCRF) coming to an exchange near you, very soon.
Reviewing this presentation:
http://www.scorpiogold.com/s/presentations.asp
According to page 3 of this Scorpio Gold presentation in April 2011, institutional ownership is 51% and insiders own 38% of the float. In other words, 89% of the float is unavailable for trading. So getting extra precious metals funds interested in Scorpio would lead to increasing volume and upward price movement in SGN.V/SRCRF. This is just what happened Friday. It led to SRCRF being up 10.73%, on high volume, as follows:
http://finance.yahoo.com/q?s=srcrf&ql=1
Scorpio Gold Provides Operations Update at the Mineral Ridge Project, Nevada
Vancouver, July 18, 2011 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) is pleased to announce that since start-up of operations at the 70% owned Mineral Ridge gold deposit, Nevada, precious metals sales from its production of gold and silver in loaded carbon now total 1,472 ounces of gold and 790 ounces of silver to Waterton Global Resource Management, as per its sales agreement. The Company's production shipments of loaded carbon now total 28.67 tons containing an estimated 2,550 ounces of gold and 1,500 ounces of silver. Scorpio Gold currently has additional precious metals available for sale and will continue to monitor gold and silver markets to take maximum advantage of rising metal prices.
During the month of June, the final 260,000 tons of mineralized material left on the leach pad by the previous operator was reprocessed and re-placed on the leach pad and is currently under leach. Mineralized material mined from the Drinkwater pit during the month totalled 22,704 tons with an average grade of 0.066 ounces per ton (opt) gold. Waste material mined during the month totalled 309,000 tons. A large portion of the material delivered to the crusher was from pit clean-up of blasted material from previous operators.
Initial evaluation of the material in the bottom of the Wedge B open pit has identified gold values of interest. Ripping by a D-6 bulldozer of the bottom of the pit has allowed for grab sampling over the entire 5,900-sq. metre exposed area, with 40 samples collected (Table 1). The Company is now in the process of excavating six trenches across the mineralized area to determine its thickness and if the material warrants excavation for crushing and leaching.
Continued at:
http://www.scorpiogold.com/s/news.asp?ReportID=467514
Scorpio Gold stock (SGN.V/SRCRF) has been strong for the last week with gold hitting new highs.
I have a nice position, but was hoping for more SRCRF at about .70, doesn't look like it.
There are 3 events I feel will be PR'd before year end, and possibly much sooner:
1) updated mine plan and feasibility study expanding mine life from 41 months to ???. Probably over 10 years even with 100,000 ounces per year in the future.
2) in conjunction with #1, resource will be expanded near 1 million ounces.
3) gold production reaches 3500 ounces per month and ramps up towards 5000 ounces per month by year end.
Any of these will ignite the stock price, which is pretty easy to move since the insiders of Scorpio Gold, Scorpio Mining, and 3 funds (Sentry, Sprott, and one other) own most of the the float.
I think the stock will be over $1.00 easily by year end, and $2.50 to $3.00 by year end 2012.
Disclaimer: my opinions only, I like this play a lot.
Scorpio Gold has an updated website, which is much improved in appearance. Check it out:
http://www.scorpiogold.com/s/home.asp
Visually appealing, easy to navigate.
Thanks....
Integrity/credibility is important to me.
IF I can't prove WHAT I'M SAYING with some sort of reasonable support documentation I try not to say it.
I'm not much of a cheerleader, and believe that the other shareholders should be able to understand comprehensively WHY they bought shares and be able to defend their position.
I TRY to write from THAT perspective - WHAT'S IN IT FOR US?????
WHAT DOES THIS MEAN TO ME?????
Interesting note is that Scorpio SEEMs to have dropped everything else it had going to focus on this and this ALONE....
From Thom Calandra
http://www.stockhouse.com/Columnists/2010/Dec/10/Gold-junior-seen-as-an-international-up-comer
"Peter Hawley says his 2011 goal is for one million old-equivalent ounces in a “proven and probable” resource category. “In our Drinkwater pit we already have 375,000 ounces proven and probable,” he says. “I had a theory that the primary mineralization was around the Mary Mine. It was these north-40-west stress faults and north-northeast wrenching faults and a secondary pulse with large dilation zones, my theory that is. We drilled a hole to test one of my theories and we hit 46 feet of 1.1 ounces per ton gold.” That was three miles to the west of the open pit on-site here at Silver Peak, Nevada."
LOOKING AT THE MAP
http://investorshub.advfn.com/uimage/uploads/2011/6/26/lofkkDSCF0369_cropped.jpg
http://investorshub.advfn.com/uimage/uploads/2011/1/3/mislhMR_Claims_vs_Google_Earth.jpg
There are TWO holes drilled on the map WEST of Drinkwater.
NORTHSTAR & NORTHSPRING.....
Observing the hole color and comparing it to the map legend we see BOTH holes straddle the Coyote Fault GPXM claim area AND ARE TO THE WEST.....
The repeating geological features of Mineral Ridge are the ridges...the ridges run SW to NE... they repeat multiple times as you follow the northern flank of Mineral Ridge starting at the NE corner heading NW.... the mary mine is STILL one. DRINKWATER USED TO BE ONE.
THE PURPOSE OF THE NEW DRILL HOLES BEING DRILLED IS TO PROVE WITHIN A REASONABLE DOUBT THAT THE MINERALIZATION IN THESE RIDGES IS CONSISTANT RUNNING SW TO NE.... THUS... THE HOLES BEING DRILLED THAT CORRESPOND TO THIS THEORY.
NORTHSTAR & NORTHSPRING (SW TO NE)..... CORRESPOND WITH THE KNOWN DIRECTION OF MINERALIZATION AT THE MARY MINE....... TARANTULA TO LAST CHANCE SW TO NE ...... COYOTE WELL TO DRINKWATER SW TO NE..... STATE BANK TO CHIEFTAN.... ETC ETC
WHAT do these drill holes all have in common??????
SAME DIRECTION SW TO NE AND THE HOLES ARE COMING BACK COLORED RED AND BURGUNDY.
I'M RUNNING DATA TO 4 OR 5 BOARDS as it becomes available.
I've added you as a assistant moderator for this board.
FEEL FREE TO ADD ANY OF THE MAPS/PICS REFERENCED etc etc
Don't know if the charts are value added or not.....
Cheers!
Your opening statement is the best, most comprehensive #1 post I have ever seen. Your enthusiasm and common sense approach is what everyone needs to see from the GPXM board. I will spread the word - I promise.
Scorpio has a new website and slightly different address:
http://www.scorpiogold.com/s/home.asp
I love building i-Messages/i-Boxes... should you need assistance, I will gladly volunteer my enthusiasm as well!!! Let me know.
All the best and... Thanks a million for starting this board the best way possible!!!
........................................................................
2011 Mineral Ridge Mine Tour/Scorpio Gold
I’ll give it my best shot………
There’s something to be said for being in the right place at the right time.
Many of us as gold investors feel this way, as we got in to this gold bull at the ground level all those years ago……
I had lightning strike me last week when I placed a phone call to GPXM to inquire about the recent drill program PR release by Scorpio Gold at Coyote Hole/ Well. GPXM has an option on the Coyote Fault Property adjacent to Mineral Ridge. ( apparently there’s a lot of Coyotes out there….sheep….you know the drill). As fate would have it, an opening due to a cancellation had just allowed me the opportunity to participate in Scorpio Gold’s 2011 Mineral Ridge Mine Tour……
I was pleasantly surprised by the opportunity, and after explaining to the dog that she would NOT be coming with me, I sent her to my daughters house, grabbed the wife and headed for Vegas at “O” dark thirty Wed morning.
I had 6 hours on that drive to consider many things. Amongst them, how sad it had been as a GPXM shareholder to see driven home just how poorly equipped the previous GPXM management teams were.
When you’re hamstrung by finances and lack Capital, the end result will ALMOST ALWAYS be failure. LUCKY for us NEW management, while not necessarily experienced in the ways of mining WERE experienced/fluid enough in management to preserve the company.
They PREVENTED several opportunities for the company to go bankrupt and managed to build a solid management team and a new business model simultaneously with the financial difficulties shared not only by both by GPXM but by hundreds of OTHER Jr. Mining companies during the 2008 financial meltdown……… the final piece of the management puzzle at that time was investment banker, Tom Klein.
Tom joined Golden Phoenix in the depths of the global credit crisis. Instead of seeing the company go “off the field” into receivership, AFTER getting to know the company’s crown jewel asset, he decided it’d be BETTER to save the company and bring a new perspective on the kind of business model that would be required to transform Golden Phoenix, into a much larger, multi-project company with diversified properties throughout the Americas and spread out the risk of doing business.
( http://golden-phoenix.com/management/)
WISELY Tom Klein got us out of the mine operator’s aspect of the mining business and deferred that responsibility to Peter Hawley of Scorpio Gold via a Joint Venture Agreement, preserving a 30% exposure to the Mineral Ridge Mine for GPXM’s shareholders. The saying is 1 is better than NONE….. and so it is… that 30% is better than 0%. Peter Hawley as you will soon see, is somewhat of mining genius.
SO as I was driving, I also pondered the wisdom of throwing more money in the direction of Mineral Ridge. I already had 172 K shares of GPXM ….and the shares were still limping along at this point and sometimes “enough is enough”. YET every time you attended a tour or a shareholders meeting you would get reminded of the REASON we were there and held shares in the company. WE ALL believed that Mineral Ridge was named for a REASON and that the REASON is VALID. STILL one has to say enough eventually………PERHAPS I could diversify and ADD Scorpio Gold to my portfolio….. IF the gold is there and they are successful it stands to reason that I could actually make some money by the JV Partner that has the other 70%.
TO ME it has ALWAYS been about the PROPERTY.
At any rate, I arrived in Vegas and got to meet the Scorpio Gold folks, indulge in a few drinks and DINNER.
Awesome.
They told us the bus leaves at 6 AM sharp…. Don’t be late….. or the bus won’t be there.
Needless to say…..next morning (which took forever to come because I was afraid to sleep through the alarm) at 6 AM we were off…....
That road to Silver Peak is bumpy and LONG…… we arrived at the “OLD” gas station in Silver Peak and transferred over to those familiar 18 passenger vans (BETTER shock absorbers than the bus) this is KEY later).
UP the hill we started - those of you that have MAPS follow along……
We passed the GPXM Project sign for the Vanderbuilt Project fairly quickly (nobody there at the moment) then we got up to the drill rig completing the Phase Three drill holes for Scorpio Gold’s 2011 drill program at Coyote Well – popped in there for a couple of minutes….. then proceeded UP to the mine.
The mine covers about 40 sq. mi. 9 ish mi x 4 ish = 40 ish
We pulled in to the Scorpio Gold office and got our hard hats….. met the IMPRESSIVE Scorpio Team AND I got some good pics of updated maps….. and OFF we went to Soleberry. Soleberry (you’ll be glad to hear is eventually going to be part of Drinkwater…well…..EVERYTHING is going to be a part of Drinkwater before it’s all over. …... what do ya do when it’s hot outside????
DRINKWATER……
While up there, I got some pictures of the leach pad which NOW looks completely different…… then OFF to the Drinkwater Pit we went – it was THERE where you got the first hint that something was REALLY different….I literally didn’t recognize where I was. For one, there is WORK going on everywhere IN the pit - see the video – they did a controlled explosion of ore for the leach pad and by the end of the day THAT ore was on the pad for crushing/agglomeration.
The pad is larger and ORGANIZED…… The Drinkwater /Homestead Pit is to merge with the Mary Mine (North & South) (remember them power poles???) and Last Chance. The top comes off the Mary Mine this Sept - Oct. The power poles on the roof of the Mary Mine are being moved and the permitting is complete. The end result will be a pit that is an area roughly 1 mile long and .5 miles wide and under continual EXPANSION.
The Drinkwater Pit is going to get very large very quickly........ I suspect one of the drill rigs will be dedicated to the pit expansion process to keep them in the ore and out of un-mineralized rock (if there is any). They aren’t going to want to stop and wait on where to take ore, and they will need to extend some of the holes at depth as the pit gets deeper.
The last target on the list of the 2011 Drill Program announced last Jan ( not completed or in progress) :
•Drilling 1.12 miles (1.8 kilometres) east-northeast of the Drinkwater pit where numerous surface grab samples on a northwest-trending structure returned 0.03 to 0.25 OPT (0.85 to 7.09 g/t) gold.*
The Drinkwater pit will be expanded towards the down dip to the NE and eventually towards the existing leach pad SW, AND ALONG THE FRONT EDGE OF THE ENTIRE mine property heading NW towards Chieftan & Solbury.
Mary appears to extend the complete width of the property down dip to down dip........... from the power poles to Coyote Well...... 3- 4 mi
Assuming they (Scorpio) is progressing with it’s 2011 drill plan in order of it’s three phases, they are in PHASE III NOW.
•Drilling 1.5 miles (2.4 kilometres) to the west-southwest of the Drinkwater pit where numerous surface grab samples collected over a distance of 600 feet (183 metres) on a gold-bearing structure composed of quartz and quartz flooding reported values ranging from 0.05 to 5.6 ounces per ton (OPT) equivalent to 1.42 to 158.76 grams per tonne (g/t) gold.*
This appears to be complete.
•Drilling 2.5 miles (4.02 kilometres) to the south-southwest of the Drinkwater pit where numerous surface grab samples collected over a distance of 800 feet (244 metres) on a gold-bearing structure similar to that described above reported values ranging from 0.043 to 4.6 OPT (1.22 to 130.41 g/t) gold.*
Only ONE drill rig currently operating on the property to expand targets and ozs at the moment employed at Coyote Well/Hole……SW of the Drinkwater Pit NOW. Two others are being used in the Drinkwater pit to identify voids/old tunnels…….
After Drinkwater we went to Tarantula, one of the last targets of the 2011 Drill program that is not complete or in progress.
•Drilling 1.8 miles (2.9 kilometres) south of the Drinkwater pit where numerous surface grab samples collected over a distance of 400 feet (122 metres) on a gold-bearing structure reported values ranging from 0.12 to 3.18 OPT (3.4 to 107.7 g/t) gold.*
I’m over 50 now… so this part was a little fuzzy on account of the sheep….. the big horns were out. This is all that remains of the planned 2011 drill program announced last Jan.
Trust me they are NOT done yet…..Additional permitting to expand drilling is in progress and will allow for additional drill rigs/drilling THIS summer. GPXM will also begin drilling THIS summer.
We departed Tarantula after some deft maneuvering for LUNCH.
Then can you say BARBEQUE!!!!!!!!!!!!!!
Group Picture…..
Awesome (again)!
After lunch we went to the leach pad…… didn’t drive on it like last time……
AGAIN completely different than the last visit. Rented crusher – agglomerator – telescoping grasshopper – money bags…..
Yeah – money bags…..
REMEMBER the moly supersacks at Ashdown??????
Well…………. FERGIT ‘EM!!!!!
GPXM left 750 tons of carbon fines in the pond - 3.5 opt gold and 6.1 opt silver worth aprox. $4 mil
The money bags are the super sacks sitting on the leach pad awaiting transportation and processing.
The Carbon fines from the ADR plant are shipped in the same or similar looking super sacks…..
(Twilight Zone Theme)
The 40 acre leach pad will be 40 ACRES/120 ft high when it reaches MAX capacity ( ETA 5 years).
The MILL will ready by then and of sufficient size. The leach pad will provide the mill with spent ore containing the remaining 35% of the gold. The mill will have its own tailings impoundment. The mill feed will be primarily high grade ore and the low grade ore will go to the leach pad.
The pad will eventually have to be moved as there is mineralization UNDER it....... There will eventually be a second leach pad…….before the first is moved/condemned. Currently production has been based largely on GPXM's RECRUSHED AND AGLOMERATED pad material (it wasn't agglomerated prior to this)...... The agglomerated ore is PERMEABLE and allows the leaching cyanide to do it's job.
The telescoping grasshopper takes the agglomerated ore and places it on the pad in a cone shape so as to NOT separate the ore from the concrete, preventing loss of permeability. The cement also helps keep the cyanide ON the ore so the gold dissolves…..The pad has to become completely saturated before it really begins to kick off the gold in quantity (thus the wait until Jul for better numbers…….. the new ore from Drinkwater will be the primary reason for the surge in production numbers the last two quarters of 2011 beginning around July 2011.
NEW ore from the Drinkwater pit is being added NOW. You get bump in production numbers with NEW ore and then the output tails off………
After the leach pad we went to the LAB & ADR Plant…..THIS is where my brain DIED….
I was impressed but in a different language than the one I speak….. so I nodded and smiled a lot.
ALL YOU NEED TO KNOW IS:
COCONUT HUSKS……. And the rest is magic!!!!!!!
Well… for Scorpio it is……
WE let the cat out of the bag.
Gold Production Projections are:
2011 25K ozs
2012 60-80K ozs
2013 100 K ozs
I’m just thinking out loud here, BUT as Drinkwater expands...... the company operations center and everything else is going to have to move ..... could be to the valley floor NE?
Where ever there is water......
There is a completely DIFFERENT feel to the Mineral Ridge mine. Having been on both a 2008 GPXM shareholders tour and a 2010 Scorpio Shareholders Tour, I believe I have a unique perspective of the difference in the property then and NOW. ( the leach pad REALLY was not done correctly).
The mine and its staff REEKs of competence….. this is supported by NUMEROUS amounts of visual evidence. Positive morale BLEEDS out of the crew Peter Hawley has assembled. Ownership Pride is evident throughout the CORE employees and the mine is ALIVE with activity….
Scorpio looks to be WELL on their way to making ridiculous amounts of $$$$$..... and while not as much, I believe WE GPXM shareholders (future Scorpio shareholders) will make a significant amount of money as well.
Based on this tour I would say that it'd be wise to ALSO acquire shares in Scorpio.
IF this mine EVER had a chance of succeeding it is NOW..... pro-activity goes a LONG way.
AND let me add this:
IF Peter Hawley can’t do it at MR…… it’s a LOST Cause.
SO with the tour over, we said our thanks, acquired some water and headed back down to Silver Peak via Blair of the NE side of Mineral Ridge….There was a HUGE dust devil out in the flats – pretty coll.
Got to Silver Peak and piled into the bus. Headed back for the main highway over that nifty road. The vibrations from the bus SHATTERED one of the bus windows………
: |
3 hours of NO AC in the middle of Nevada in Jun is no small feat…… sunburned and windburned I think. IF I wasn’t for Heineken….. I wouldn’t have made it.
I’m suffering from exposure.
I’ll be acquiring MORE exposure to MR via our joint venture partner…….
: )
Finally back at the hotel (Vdara) we had drinks and dinner again….. very classy and well done.
I ran out of questions.
Have MORE now.
They have ta incubate…………..
I’d like to Thank everyone that was involved in the tour…… it was…..
AWESOME!
http://www.scorpiogold.com/index.php?rub=news_article&ID=250
http://www.futuremoneytrends.com/GPXM.html
http://www.babybulls.com/PDF/11-06-21_Mineral_Ridge_Mine_Tour_Report.pdf
http://investorshub.advfn.com/uimage/uploads/2011/6/26/lofkkDSCF0369_cropped.jpg
http://investorshub.advfn.com/uimage/uploads/2011/6/26/kmbirDSCF0370_Cropped.jpg
These maps will be the key to your understanding and confidence.....
Coyote Well
http://investorshub.advfn.com/uimage/uploads/2011/6/26/mwuqyDSCF0366_compressed.jpg
Drinkwater
http://investorshub.advfn.com/uimage/uploads/2011/6/26/iwwdyDSCF0388.JPG
Eventually I’ll be posting photo’s on my facebook page .
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