Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
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
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
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.
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: (819) 825-7618
Email:phawley@scorpiogold.com
Investor Relations:
Jim Macdonald, Torrey Hills Capital
Tel: (858) 456-7300
Email:jm@sdthc.com
http://www.scorpiogold.com/s/news.asp?ReportID=506047
Funny you should ask that, I emailed Peter to ask him that, so my friend could see him, and he said he would be there both days. He then made a little joke, saying he was bringing some gold for people to "play" with. ggg
Here's his email from Scorpio Gold's website, if you would like to talk to him about it yourself:
Investor Relations
Peter J. Hawley, Scorpio Gold Corporation
Telephone: 819-825-7618
Email: phawley@scorpiogold.com
http://www.scorpiogold.com/s/contact.asp
I'll reconsider it, but which day will Peter Hawley be there, or is he firmly scheduled to be there both days?
I understand what you're saying about being in the car all day, I know I drive a lot less, by choice now, than when I wore a younger man's clothes.
I feel that management makes all the difference in a junior miner, and meeting Peter Hawley gave me a sense of peace to invest in SRCRF at .60. That has proven to make me a lot of money, and more to come. So I'd think about going anyway, as it might just change your life, and you might not need that outside job and all the driving, as time goes by.
I have a personal friend that is on vacation in Palm Springs for 3 months(lucky him LOL), and I'm encouraging him to go meet Peter. I'll report back on his feelings, but I'm pretty sure what I will hear.
It'd be WORTH your time and $$$$...... eom
Nice close and volume today.
Good to come home to after a day of work on the road and seeing and listening to how a lot of folks are strugglin to survive...
Would be nice to meet Peter and get some skinny on the company prospects near and mid-term, but I drive for a living and enough is enough. Minimum a hundred miles a day and that's about how far it is out there for me. Actually it's about 124 miles from where I am.
Anybody live in Indian Wells(Palm Springs)? The California Resource Show will be going on February 11-12, 2012 and Scorpio Gold will be there to present, Booth 112. Good opportunity to maybe meet CEO Peter Hawley, and learn why Scorpio Gold is a no brainer investment.
http://cambridgehouse.com/event/4422/exhibitors
Lovely interview on BNN with Peter Brieger, again rating Scorpio Gold as a top pick, emphasizing cash flow coming this year with 60,000 ounces, later to go to 100,000 ounces. Closes by saying Beverly(his wife) and he own large chunks of the stock. ggg
http://watch.bnn.ca/tuesday#clip607579
Thom Calandra's latest from the Vancouver conference, including hockey and one Peter Hawley:
http://babybulltwits.wordpress.com/category/thom-calandra/
--------------
As for silver, I am hopeful the run will continue. At Joe Martin’s show, I got a couple of questions about Revett Minerals as a levered silver equity, now that federal USA court appears to have cleared the way for its Rock Creek project in Montana. Revett is a client of ours, as is another metals company that has silver on its property, gold producer Scorpio Gold (SGN) in Nevada.
I saw Scorpio’s Peter Hawley at Metro, a cutesy hotel not far from the Convention Centre. This was minutes after seeing the Canucks edge the San Jose Sharks at the arena, tit for tat, goal for goal. Mr. Hawley thus far has accomplished most everything he said he would at Mineral Ridge near Silver Peak. The company is processing material from waste piles at the Drinkwater Pit and delivering gold. I’d have talked with Peter some more but in walked John-Mark Staude from Riverside Resources (RRI), and I had the GATA dinner to attend that evening, anyway. I had the risotto con funghi at Don Francesco’s place. (At Pino Posterari’s Cioppino I had one luscious veal chop; not my first choice as I try to go with macaroni and fish at great restaurants; but Pino and his head waiter convinced me.)
--------------
Two things occur to me, dinner with Thom would be interesting from a food perspective, and Peter Hawley will accomplish whatever he sets his mind to.
More evidence something is about to happen, Scorpio rewards people with stock options before we go higher on news.
http://finance.yahoo.com/news/Scorpio-Gold-Announces-Stock-ccn-2742141565.html?x=0
Very high volume day for SGN.V, over 900,000 shares traded already, 10 times normal. News coming?
The first trades of the day were at about .95 for about 100,000 shares, somebody wanted in.
Scorecard for the week, 1 week closer to full production and the updated expanded 43-101. It is coming very soon.
Watch out above! Buying SRCRF today at .884.
Scoreboard for the week: -2.15%
Jan 17, 2012
Scorpio Gold Intersects 12.20 metres grading 3.99 g/t Gold Followed by 7.62 metres grading 3.71 g/t Gold on Mary Zone, Mineral Ridge Project
Vancouver, January 17, 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 expand the width of the Mary Zone and further confirm that gold mineralization extends southwest from the Mary Zone to the adjacent Mary LC Zone, encompassing a strike length of 780 metres. Commencement of open pit mining at the Mary Zone is on schedule for later in January 2012, adding to current production from the Drinkwater Pit and increasing the overall production at Mineral Ridge."
See this link for the chart of drill holes......HopeFull!
http://www.scorpiogold.com/s/news.asp?ReportID=501919
Some of us have had the pleasure of seeing Mineral Ridge being rejuvinated by Scorpio Gold. The following summary comes very close to painting a picture of what Scorpio is accomplishing, and recreates in my mind the wonderful experience of "seeing it in person". Enjoy this fine report by Torrey Hill's Clay Chase!
Travel Dispatch: Scorpio Gold Corp. (TSX-V: SGN; OTC: SRCRF)
Mineral Ridge Gold Mine - Deep Rising in Southern Nevada
October, 2011
In the southern half of the prolific Walker Lane gold trend along the Nevada - California border roughly 225 miles northwest of Las Vegas lies the Mineral Ridge Gold Mine, current flagship project of Scorpio Gold Corp. (TSX-V:SGN; OTC: SRCRF). Under the competent stewardship of journeyman mine builder and Scorpio Chief Executive Officer, Peter Hawley - Mineral Ridge has experienced a dramatic metamorphosis over the past year from that of an all but abandoned, failed gold producer - nearly run into the ground by no less than three of the previous owners, to a state-of-the-art heap leach gold project on track to produce 25 to 30 thousand ounces of gold in calendar 2011, with target production for 2012 of between 60,000 and 80,000 ounces.
Many that have witnessed this quick turnaround have scratched their heads and wondered "just how could so much have been accomplished here in such a short time" to change the fortunes at Mineral Ridge.
Continued at:
http://www.babybulls.com/PDF/Scorpio_Gold-Mineral_Ridge_Travel_Dispatch_Oct_2011_FINAL.pdf
Here's the latest from Thom Calandra on Scorpio Gold's efforts at Mineral Ridge, great weekend reading, I'll follow this with a report from an October mine tour of same by a member of Torrey Hill's staff.
Nevada’s Scorpio: Wind Cries Mary: Thom @ Large
Cranes Keep Bringing Nevada Gold To Scorpio's Treasury
By Thom Calandra
BabyBulls.com
MINERAL RIDGE, NEVADA — Peter Hawley’s current gold producer, Scorpio Gold Corp. (TSX-V: SGN and OTC: SRCRF), hits the ground running.
Scorpio, a client of our Torrey Hills Capital, is starting off the new year with pit results from its Mineral Ridge project in western Nevada. The Mary Pit shows 10.67 meters of 3.65 g/t gold and 4.57 meters of 13.06 g/t silver.
Our takeaway: an overburden removal at the Mary Pit began in late autumn 2011 and it appears to be working. Scorpio CEO Peter Hawley says the pit looks on track to nail a general target for 2012 production rate of 60,000 to 80,000 ounces of gold equivalent.
We’ll see a revised mineral estimate at Mineral Ridge sometime soon.
Our team at Torrey Hills and I have been to Mineral Ridge several times. Investors seeking a solid gold producer eventually will see Scorpio account for far more gold ounces produced (and sold) in its quarterly reports than is the case now. And in a producer category.
Currently, Scorpio Gold is not classified as a “producer” so it accounts for sales of metal on the balance sheet as mining assets.” The trigger for this change is four consecutive months of 4,500 ounces or better per month. Thus, sales become net income.
Based on what we see happening at Mineral Ridge in terms of tonnes moved to the processing plant and average grades, we believe that Scorpio should cross that line well within the first half of 2012.
At a cost of $600 per ounce (this estimate from a recent Jennings Research Report), a target of 60,000 ounces creates a quarterly top-line earnings number in the neighborhood of around $15 million. Current market cap of Scorpio is $100 million. I am an owner of the shares.
Recent Travel Digest from Mineral Ridge here: http://www.babybulls.com/PDF/Scorpio_Gold-Mineral_Ridge_Travel_Dispatch_Oct_2011_FINAL.pdf
Recent Q & A with Peter Hawley, CEO of Scorpio Gold here:
Scorpio Gold Intersects 10.67 Metres Grading 3.65 g/t Gold on Mary Zone, Mineral Ridge Project
VANCOUVER, BRITISH COLUMBIA, Jan 5, 2012 (Marketwire via COMTEX) -- Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX VENTURE:SGN) announces initial 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, "In November 2011, the Company commenced pre-stripping of the Mary Zone in preparation for commencing open pit mining. The Mary Zone is located immediately southwest of the Drinkwater Pit where mining is currently in progress. A 58 hole drill program to define the extent of mineralization for final pit design is underway. Results to date have increased the width of the Mary Zone and also confirm that gold mineralization extends southwest from the Mary Zone to the adjacent Mary LC Zone, encompassing a strike length of 780 metres. Mining of the Mary Zone is expected to commence later in January 2012, adding to current production from the Drinkwater Pit and increasing the overall production at Mineral Ridge."
Table 1. Mary Zone - Significant Drill Results
----------------------------------------------------------------------------
Hole From To Width From To Width Gold Gold
No. (ft) (ft) (ft) (m) (m) (m) (OPT) (g/t)
----------------------------------------------------------------------------
MR11275 40 50 10 12.20 15.24 3.05 0.024 0.81
----------------------------------------------------------------------------
MR11276 10 15 5 3.05 4.57 1.52 0.020 0.69
----------------------------------------------------------------------------
140 155 15 42.68 47.26 4.57 0.245 8.41
----------------------------------------------------------------------------
165 175 10 50.30 53.35 3.05 0.069 2.37
----------------------------------------------------------------------------
MR11277 130 135 5 39.63 41.16 1.52 0.022 0.75
----------------------------------------------------------------------------
MR11278 25 30 5 7.62 9.15 1.52 0.016 0.55
----------------------------------------------------------------------------
100 120 20 30.49 36.59 6.10 0.068 2.31
----------------------------------------------------------------------------
MR11279 10 45 35 3.05 13.72 10.67 0.105 3.59
----------------------------------------------------------------------------
MR11281 15 20 5 4.57 6.10 1.52 0.018 0.62
----------------------------------------------------------------------------
140 145 5 42.68 44.21 1.52 0.043 1.47
----------------------------------------------------------------------------
MR11282 40 55 15 12.20 16.77 4.57 0.381 13.06
----------------------------------------------------------------------------
115 120 5 35.06 36.59 1.52 0.024 0.82
----------------------------------------------------------------------------
140 145 5 42.68 44.21 1.52 0.045 1.54
----------------------------------------------------------------------------
MR11285 125 130 5 38.11 39.63 1.52 0.062 2.13
----------------------------------------------------------------------------
MR11287 100 115 15 30.49 35.06 4.57 0.111 3.79
----------------------------------------------------------------------------
MR11291 55 65 10 16.77 19.82 3.05 0.136 4.66
----------------------------------------------------------------------------
MR11293 165 200 35 50.30 60.98 10.67 0.107 3.65
----------------------------------------------------------------------------
MR11294 15 20 5 4.57 6.10 1.52 0.015 0.51
----------------------------------------------------------------------------
MR11295 0 10 10 0.00 3.05 3.05 0.015 0.51
----------------------------------------------------------------------------
MR11298 90 95 5 27.44 28.96 1.52 0.021 0.72
----------------------------------------------------------------------------
100 115 15 30.49 35.06 4.57 0.066 2.27
----------------------------------------------------------------------------
A longitudinal section of current mining and exploration in the Drinkwater Pit and Mary Zone is available at: www.scorpiogold.com/i/maps/mr/DW-Mary_LS.jpg.
All holes presented in the above tables were completed by reverse circulation (RC) drilling. True width is estimated at approx. 90% downhole width. Analytical results were performed by American Assay Laboratory Inc. (AAL) in Sparks, Nevada, USA. AAL does not have ISO/IEC 17025 accreditation but implements a quality management system following ISO/IEC 17025 standards and maintains a paperwork trail for ISO/IEC 17025 accreditation. AAL participates in a number of testing and certification programs, details of which are presented in the Company's quality assurance and quality control (QA/QC) program for the Mineral Ridge project at: www.scorpiogold.com/Documents/QAQC-MR.pdf. External check assays to verify lab accuracy are routinely completed by ALS Chemex, an ISO 9001:2000 certified and ISO/IEC 17025:2005 accredited laboratory.
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.
In the spirit of Christmas giving, I found this updated Scorpio Gold presentation, which shares some great information concerning how much gold is being placed on the leach pad each month (see page 4), commencement of Mary pit stripping and 43-101 update due late Q1 2012 (see page 5), and a nice brokerage report by Jennings Capital recommending a buy on SGN.V with a target of $1.75 Canadian in 12 months (see page 20).
Here's the production going on:
August 2011
Forecast: 3,500 oz. gold
Actual: Mined 76,156 tons grading 0.0576 OPT Au (4,387 oz. gold); stockpiled at crusher 8,352 tons grading 0.112 OPT Au (935 oz. gold); placed on leach pad 79,427 tons grading 0.0572 OPT Au (4,543 oz. gold).
September 2011
Actual : Mined 79,082 tons grading 0.062 OPT Au (4,903 oz. gold); stockpiled at crusher 9,102 tons grading 0.062 OPT Au (564 oz. gold), placed on leach pad 78,248 tons grading 0.058 OPT Au (4,538 oz. gold).
October 2011
Actual: Mined 50,338 tons grading 0.0939 OPT Au (4,727 oz. gold); stockpiled at crusher 9,862 tons grading 0.058 OPT Au (572 oz. gold), placed on leach pad 69,356 tons grading 0.066 OPT Au (4577 oz. gold).
As of end of October 2011: 25,470 oz. gold placed on pad; already exceeding 2011 forecast of 25,000 oz.
Systematically, full production is being reached, meaning Golden Phoenix will begin receiving their cash flow soon.
http://www.scorpiogold.com/i/pdf/ppt/CorporatePresentation.pdf
Interview With Founder And Chairman Of The Board: Scorpio Gold Corp. (SGN.V) - Peter J. Hawley
In the following brief excerpt from the Gold And Precious Metals Report, expert analysts discuss the outlook for the sector and for investors.
Peter J. Hawley, Founder of Scorpio Mining Corp., served as CEO of the company from 1998 until November 2010, and he remains a Director and Chairman of the Board. He has 30 years of mining industry experience that spans grassroots exploration to development and production. Mr. Hawley has worked extensively with a large number of intermediate and senior mining companies, including Teck, Noranda, Placer Dome, Inc., and Barrick Gold Corporation. Mr. Hawley is also highly experienced in private and public company financing, and corporate administration. He holds degrees in mining engineering and geology.
TWST: Please start with a short introduction and history of Scorpio Gold.
Mr. Hawley: Scorpio Gold (SGN.V), I'll just backup a little bit. Scorpio Mining is the parent company; I was the Founder and created the company and then brought it public, and brought it into production. Scorpio Mining had some gold assets and because Scorpio Mining was a very large silver producer, it didn't recognize any value for it. So I had the mandate with the board of directors to spin out the gold assets and create value for the shareholders. And as a result of that, we spun out the company Scorpio Gold Corp. The IPO happened in March 2010 with the company going public on the TSX-V Exchange, and it started producing gold in June of this year, and went cash flow positive in September 2011. So not only was it quite accretive to not only Scorpio Mining but also to shareholders of both companies.
TWST: Would you comment on the economically recoverable reserves that you estimate out of your Mineral Ridge project?
Mr. Hawley: Absolutely. When we acquired the property, it was a distressed asset from the company that filed Chapter 11. But they have historically done 380,000 feet of drilling, and it was all in paper format, not electronic format. So when we started looking at the property, it was where to begin to assess this amount and how reliable was the data. So what we did was, we took one of eight mineralized zones that were drilled off, called the Drinkwater area, and we took approximately 50,000 feet of that drilling, put it electronic format and went to Micon engineering out of Toronto with mandate to form NI 43-101 on that zone. To that point in time, we went ahead and drilled approximately 20 holes to see how reliable the data was and then went ahead and did some additional drilling to form the resource database for the calculation.
The results of that was the first-ever NI 43-101 in June of last year, which said the Drinkwater area had 357,000 ounces, and mostly in the measured category, and was open for expansion. That was the basis of the mine planning and why we entered into production. Since that point in time, we've taken the remaining 320,000 feet of historical drilling, which is all in 25-foot centers and has outlined another seven additional pits. Under the guidance of AMEC engineering out of Reno, Nev., we expect to release a new NI 43-101 reserve/resource report, which will include all the historical drilling in addition to the 150,000 feet we have drilled since the 2010 Micon report. So in Q1 of next year, we'll come up with a new reserve/resource statement, and you will see that 357,000 ounces grow dramatically.
http://finance.yahoo.com/news/Interview-With-Founder-And-twst-4242043857.html?x=0
Back??? it never was... GL!!! Only 10¢ off the 52 week high... the next leg is underway in my view.
Trading like news is coming, SRCRF up to .95 today when everything else is down hard.
SRCRF Is Done,Too Much Dilution, I Am Out
may see srcrf head back to 0.01 or less
What is new here?
Solid up trend continues...
"Under the original terms of the joint venture operating agreement in respect of the Mineral Ridge Project (the “Operating Agreement”), the Company 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 the Company 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 the Company may now increase its joint venture interest to 80% by funding 100% of the capital expenditures required for the Mineral Ridge Project to produce or process a minimum of at least 3,500 ounces per month of gold for a period of four consecutive calendar months on or before September 10, 2012."
SO NOW WE ARE DOWN TO THIS:
The company has to achieve a minimum of at least 3,500 ounces per month of gold for a period of four consecutive calendar months on or before September 10, 2012 to increase its share of MR from 70 to 80%. With Jun 2012 being the first month of the last quarter that the production numbers HAVE to reach 3,500 ozs per month to meet the terms of the agreement.... and we won't find out that they achieved this until Sep 2012 at the earliest UNLESS they achive the production numbers BEFORE then.
They were at under 1/3 of the required capacity for the third quarter with numbers at 2,399 ounces of gold and 1,999 ounces AND THAT IS BASED ON 3 MOS not FOUR. ALSO there is already snow on the valley floors here in UTAH.
IN ADDITION:
"...if the Company 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..."
Which puts the buy out date at NLT Sept 2014 and no sooner than early 2014 "
As of September 30, 2011, 61 tons of loaded carbon, containing an estimated 5,933 ounces of gold and 3,172 ounces of silver has been shipped to their facility. During the third quarter, the Company’s metal sales from its production of recovered gold and silver totalled 2,399 ounces of gold and 1,999 ounces
1. PR 01 Dec 04
GOLDEN PHOENIX MINERALS REVIEWS GOLD PRODUCTION AND NEW STRATEGIC DIRECTION AT ITS MINERAL RIDGE GOLD MINE
"...announced gold production through the third quarter of 2004, and operational changes to improve future gold production at its Mineral Ridge gold mine in Esmeralda County, Nevada. In July 2003 the Company initiated gold production with the re-start of the Mineral Ridge leaching operations, which had been mothballed four years earlier by the previous operator. Annual gold production through September 2004 was 2,524 ounces: 456 ounces in the first quarter; 1,165 ounces in the second quarter, and 903 ounces in the third quarter. Total silver production through September was 2,185 ounces."
SCORPIOS'S QUARTERLY PRODUCTION NUMBERS NOW EXCEED GPXM'S NUMBERS FOR IT'S LAST THREE QUARTERS OF PRODUCTION BEFORE IT SHUT DOWN MR.
2. While Scorpio's numbers are BETTER than GPXM's they basically have 7 mos to get the pad to "mature" enough to begin to achieve a 3,500 ozs of gold a month average. I'm assuming the numbers will be averaged over those 4 months... so They can achieve those numbers if the first month of the 4 month period is lower as long as THEY SAY.... the numbers track positively.
Shipment of the gold bearing sludge previously recovered from the barren pond is complete with exchanges of assays and final payment for those materials received in September. The Company recovered 235 ounces of gold and 193 ounces of silver from that material, with net proceeds totaling $298,758.
Here's some great info on exploration and production numbers for the 3rd quarter from Scorpio Gold's MD&A SEDAR 11/17/2011:
Permitting / Current Exploration
Scorpio Gold’s successful exploration and modeling of the mineralized unit and related structures at
Mineral Ridge has led to an aggressive staking program adding an additional 2,934 hectares (7,250 acres)
of unpatented mining claims adjacent to the property. The overall land package of 351 claims now
encompasses 4,118 hectares (10,176 acres), representing an increase of 348% from the prior owner’s
holdings. Exploration targets on the new claims are currently being mapped and sampled and several drill
targets have been identified. The 2011 exploration plan originally included 13,167 meters of drilling,
however, to date 13,400 metres of drilling have already been completed during the first nine months of
2011.
A Finding of No Significant Impact (FONSI) was issued on October 7, 2011 by the Bureau of Land
Management (BLM) which approves the company’s Environmental Assessment (EA) for conducting
additional exploration drilling on public lands within the permitted mine boundary at Mineral Ridge.
Exploration Notices have also been approved by BLM for further exploration of targets outside of the
current plan of operations boundary.
Exploration targets have been defined in areas adjacent to the historical Oromonte underground mine.
Wide spaced drilling conducted by previous companies in the 1990s intersected significant intervals of
gold mineralization which warranted additional drilling. The drilling indicates that Oromonte
mineralization extends west of its previously known limits at depth. Additional drilling will be planned
when modeling of the existing mineralization has been completed.
Twenty-four close-spaced holes were completed on the west side of the Wedge B pit to define
mineralization left by previous owners when the pit was mined. The holes targeted the area over and
between the Wedge underground mine and the Wedge B pit. Drill results have been encouraging and as
such the Company is evaluating the potential to open pit this area especially due to it close proximity to
haul roads and the crushing unit.
Twenty-six holes were recently completed around the Brodie pit to better define known mineralization and
to test possible extensions of mineralization to the north, south, and southeast of the deposit. Pit
optimization studies in 2003 and 2008 indicate open pit resources in the southwest corner of the pit and
along a narrow high grade zone which strikes north from the pit. The new data will be added to the model
and an updated pit optimization will be completed. Also earlier in the year, several holes were drilled to
expand the northwest extension of the Brodie deposit. With the recent approval of the EA, additional
drilling on BLM controlled lands along this trend can now take place.
3
The Solberry area, to the west of Oromonte, hosts shallow dipping gold-bearing quartz zones, some of
which crop out at the surface as veins. A first pass of infill drilling intersected low grade gold over a large
area with several higher grade intercepts. Six additional holes have been completed west of a shallow high
grade hole in an area of historic mining. Assay results are pending.
The Bluelite area, south of Solberry, contains a large number of widely-spaced drill holes intersecting
multiple, shallow horizons of gold mineralization. In addition, there is evidence for the presence of a highangle,
high-grade mineralized structure. These targets of opportunity can now be pursued following
approval of the Company’s amendment to its Plan of Operations and associated EA on October 7, 2011,
which will allow this drilling to move forward.
Additional drilling is planned for the Mary and Last Chance (LC) areas to further explore the potential
between the Mary pit and a possible LC pit and to explore a southeast extension of mineralization from the
Last Chance to Custer Canyon areas. Approval of the EA will now permit drilling on BLM lands southeast
of LC.
The first round of exploration drilling was complete on the Coyote Project under an exploration permit.
Only a few scattered gold intercepts were encountered however the drilling intersected a large area of very
thick, low grade silver. Additional surface mapping and sampling is planned for this area.
An Exploration Notice was approved for the Vulcan area earlier this year but no drilling has taken place to
date. Drilling is planned to coincide with mobilizing the rig into Custer Canyon and will test the potential
of the Wyman formation underlying gold mineralization in the Reed dolomite.
Mining activities
Prior to the start of mining, in the spring of 2011, a new gold mineralization model was developed. This
model incorporated all the new drilling in and around the existing and potential open pit minable areas.
Gold grade envelopes were updated and solids were created from the envelopes. The model was then used
in conjunction with the Lerchs-Grossmann pit optimization routine to generate a rough pit with no haulage
ramps around the Drinkwater deposit. This pit was used as a template to generate a final pit with haulage
ramps. Effective May 1, 2011, a Mining Services Contract was signed with LEDCOR CMI Inc. to
perform mining, drilling, and blasting services for the mine. Pit preparation and clean-up began on May
11, 2011.
Pre-production mining officially began on May 31st with the first blast of 37,000 tons of waste material.
As of the end of September 2011, a total of 1,201,400 tons of material had been mined from the
Drinkwater pit which included 224,507 tons of mineralized material with an average grade of 0.061 ounces
of gold per ton (1.728 grams per tonne of gold). Mine plans call for mining to increase to a daily
extraction rate of 20,000 tons total material with an average of 2,500 tons of mineralized material
delivered to the crusher.
Crushing of the previous Golden Phoenix-mined gold bearing material on the pad began in early February
2011 and was completed in early June. The total dry tons crushed from the re-handling of this material was
258,839 tons. Leaching of this material is ongoing and recovered metals on loaded carbon from the ADR
plant continue to be shipped off site for custom stripping.
Processing of newly mined mineralized material from the Drinkwater pit began in early June and
production through the end of September stands at 215,322 dry tons. Production rates are expected to
continue to trend positively for the remainder of 2011 as mining rates improve.
4
In early July 2011, the Company signed an equipment lease with a purchase option for the existing
portable crushing system used at Mineral Ridge. In September the Company exercised the option to
purchase this equipment and began operating the crushing facility with Mineral Ridge employees.
Shipment of the gold bearing sludge previously recovered from the barren pond is complete with
exchanges of assays and final payment for those materials received in September. The Company
recovered 235 ounces of gold and 193 ounces of silver from that material, with net proceeds totalling
$298,758.
The newly expanded assay laboratory began processing samples from mining in the Drinkwater pit in
June, and with staffing levels nearing capacity in August, transitioned to operating around the clock.
Training of the laboratory staff is ongoing while production rates and cost per sample continue to improve.
Metals Research, located in Kimberley, Idaho continues its custom stripping of loaded carbon shipped
from Mineral Ridge. As of September 30, 2011, 61 tons of loaded carbon, containing an estimated 5,933
ounces of gold and 3,172 ounces of silver has been shipped to their facility. During the third quarter, the
Company’s metal sales from its production of recovered gold and silver totalled 2,399 ounces of gold and
1,999 ounces of silver to Waterton Global Resource Management, as per its long-term sales agreement.
Net proceeds of metal sales totalled $4,167,196 in the third quarter and were recorded as a reduction of the
Company’s deferred exploration and development expenditures as the operation remains in the preproduction
stage.
http://sedar.com/DisplayCompanyDocuments.do?lang=EN&issuerNo=00024186
Scorpio Gold MD&A posted on SEDAR 11/17/2011. Here's the outlook from page 16, (very positive)
OUTLOOK
As the Company continues to ramp up mining and heap leach processing at the Mineral Ridge Project,
pre-production challenges continue to be overcome without sacrificing the quality of exploration and
development work. Mineral Ridge continues to meet all its targets as scheduled under operational plans
and as the gold bearing heap leach material continues to mature, the processing of gold continues to
increase and track positively. Currently, the Company has made its sixteenth shipment of gold loaded
carbon from the Mineral Ridge project to be custom processed and then refined for sale. Mining officially
began on May 31st, 2011 with 22,700 tons of newly mined mineralized material grading 0.066 ounces per
ton gold being mined and placed on the pad in June. From the initial mining start up in late May, a solid
base of stable mine production was reached on target in late August of this year and will continue to track
positively for the remainder of the year. The Company is presently completing the Mary Pit design for
incorporation into the mining operation with pre-development work scheduled to begin in mid-November
as previously scheduled. Once the Mary open pit is operational, the resulting mineralized material will
add to the material extracted from the current Drinkwater Pit mining and placed on the leach pads.
All permitting is in place for 2011 planned exploration drilling at Mineral Ridge with the Coyote area drill
exploration program completed (results announced), Solberry area completed (results announced), Brodie
area completed (results announced), Wedge B area completed (results announced) and with Chieftain
targets drilling just completed with assays pending Presently, the Company is performing in-fill and
exploration drilling in the Mary mineralization area in preparation for open pit mining start up.
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 throughput.
The Company continues to seek new projects that will increase its asset base as well as enhance value for its
shareholders.
http://sedar.com/DisplayCompanyDocuments.do?lang=EN&issuerNo=00024186
Scorpio Gold Intersects 24.39 metres grading 5.19 g/t gold on Brodie Zone North Extension, Mineral Ridge Project
Vancouver, November 15, 2011 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) announces follow-up drill results from the Brodie Zone, located 975 metres (3,200 feet) southwest of the current mining in the Drinkwater pit at the 70% owned Mineral Ridge project, Nevada.
Peter J. Hawley, President and CEO reports, "Follow-up drilling on the Brodie Zone targeted its northwest extension and has now defined a mineralized trend over an 850 metre (2,800 foot) strike length, remaining open in both northwest and southeast directions. The trend is on strike with the Bluelite Zone located 1,370 metres (4,500 feet) to the northwest. Drill holes presented in Table 1 were collared over a spacing of 300 to 600 metres (1,000 to 2,000 feet) northwest from the historical Brodie pit. Drill hole MR11252, which intersected 24.39 metres averaging 5.19 g/t gold, was the furthest hole drilled to the northwest."
Drilling table continued at:
http://www.scorpiogold.com/s/news.asp?ReportID=490645
New Scorpio Gold "Top Pick" by Peter Brieger. Interview on BNN:
Peter Brieger Selects Scorpio Gold as “Top Pick”
Scorpio Gold Corp. (OTC Other: SRCRF; TSX-V: SGN) was selected last night by Peter Brieger, CEO and Managing Director of GlobeInvest Capital, on Canada’s Business News Network, as a top pick. Click on the picture below to hear Peter’s analysis, which begins at the 1:25 mark.
http://watch.bnn.ca/tuesday#clip564571
Heavy volume (over 1 million shares on SGN.V) and upward price movement above .90 on SRCRF in response to todays drilling news PR. :)
Scorpio Gold Intersects Near Surface Mineralization at the Wedge B Zone, Mineral Ridge Project
Vancouver, November 8, 2011 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) announces the initial drill results from the Wedge B Zone at the 70% owned Mineral Ridge project, Nevada.
Peter J. Hawley, President and CEO reports, "Our initial drilling on the Wedge B Zone, located 225 metres west of the Drinkwater pit where the Company is currently mining, has intersected mineralization of interest. Given the shallow depth of the mineralization and its close proximity to the crushing unit and haul roads, the Company is examining the viability of adding the extraction of this zone into the 2012 mine planning. This addition has the potential to increase the overall gold production scheduled for the coming year."
Drilling results continued at:
http://www.scorpiogold.com/s/news.asp?ReportID=489579
Peter Hawley is in Germany at a big gold show. Here's Thom Callandra's latest, including a picture of Peter talking to German investors:
-----------
Canadian and British and USA junior prospectors say Germany' sensible citizens are accounting for 10 percent and more of the shareholder base. Some of the CEO and attendant characters here include Great Panther Silver's (TSX: T.GPR, Stock Forum) Bob Archer, Minaurum's Darrell Rader, Miranda's (TSX: V.MAD, Stock Forum) Ken Cunningham, Riverstone Resources' Don Mosher, Goldgroup (TSX: T.GGA, Stock Forum)'s Keith Piggott and Gregg Sedun and Zimtu Capital's (TSX: V.ZC, Stock Forum) David Hodge.
Also waving their flags: Scorpio Gold's (TSX: V.SGN, Stock Forum) Peter Hawley (in photo here laying out Nevada mine to two German attendees) the folks behind Portugal gold and tungsten prospector Colt Resources, Saskatchewan's Western Potash, Arizona's Passport Potash, tantalum developer Commerce Resources, Mexico's Corex, John Shanahan's Revett Minerals (TSX: T.RVM, Stock Forum) … you get the picture.
Full article:
http://www.stockhouse.com/Columnists/2011/Nov/4/Germans-love-silver,-gold,-and-Canadian-junior-pro
There's a new PR guy for Scorpio Gold, Jim Macdonald replaces Andy Hoffman, who left Torey to take a marketing position with a bullion sales company.
Scorpio Gold Investor Relations
Peter J. Hawley, Scorpio Gold Corporation
Telephone: 819-825-7618
Email: phawley@scorpiogold.com
Jim Macdonald, Torrey Hills Capital
Telephone:858-456-7300
Email: jm@sdthc.com
http://www.scorpiogold.com/s/contact.asp
Be nice to actually MAKE some money (for a change)......
I had originally intended to buy earlier, but the Sandstorm family of cash streams caught my eye and I had to get shares in those companies BEFORE they started to realize the benefits of success that their business plans will most certainly entail.
SO I diverted from Scorpio planning to add shares BEFORE the new 101 and Feasibility studies came out.
The temporary lull in the gold sector locked me out until I was able to accrue enough cash to add shares.....
It appears that those holes that Scorpio drilled to the WEST/ North west were on Coyote....
The pit is going to go lateralup the face of the mountain and play/focus in the down dip.....
I'll probably end up dumping my GPXM shares take the loss and invest the proceed HERE.
AT LEAST I KNOW WHAT THEY ARE DOING AND HAVE A HINT OF THEIR LONG-TERM STRATEGY........
Fantastic Doug, glad to see you're going to profit. Can't wait for that updated 43-101 on Mineral Ridge.
I'll be buying shares each month for the forseeable future.
Added 4400 shares today.....
Scorpio Gold Drilling on the Brodie Zone, Mineral Ridge Project, Intersects 12.91 g/t Gold over 3.05 metres and Terminates in Mineralization
Vancouver, October 18, 2011 - Scorpio Gold Corporation ("Scorpio Gold" or the "Company") (TSX-V: SGN) announces the initial drill results from the Brodie Zone at the 70% owned Mineral Ridge project, Nevada.
Peter J. Hawley, President and CEO reports, "Our initial drilling on the Brodie Zone, located 975 metres (3,200 feet) southwest of the Drinkwater pit, has intersected mineralization of interest, in particular drill hole MR11210, which terminated in high-grade mineralization. Additional drilling on the Brodie Zone is planned following review and compilation of the latest results together with historical drilling. Meanwhile, the drill has moved to the Wedge Zone for initial drill testing in that area."
Table 1. Brodie Zone - Significant Drill Results
Drill results table continued at:
http://www.scorpiogold.com/s/news.asp?ReportID=485589
Scorpio Gold is being added to the Standard and Poors TSX/Venture Select index, effective Monday, Oct 24th. I assume this means anyone investing in the index would be investing in SGN.V. This may cause some nice buying in the stock.
Good news continues!
http://finance.yahoo.com/news/Standard-Poor-Announces-cnw-4103195232.html?x=0&.v=1
Nice little comment there in that report that included Scorpio Gold Corp. SRCRF.
Onward and upward Mr. Hawley....
Liked his comments on IVN too and will post it on their board here on IHUB.
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.
Followers
|
15
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
288
|
Created
|
06/26/11
|
Type
|
Free
|
Moderators |
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |