Scorpio Gold Receives Plan of Operations Approval for Keystone Jumbo Exploration Project, Nevada
TSX -V: SGN
206-595 Howe St.
Vancouver, British Columbia
Canada, V6C 2T5
Tel: (604) 678-9639
www.scor piog old .com
News Release No. 266
Scorpio Gold Receives Plan of Operations Approval for
Keystone Jumbo Exploration Project, Nevada
Vancouver, BC, February 5, 2019 - Scorpio Gold Corporation (“Scorpio Gold” or the “Company”) (TSX-
V: SGN) is pleased to announce the approval of the Keyst one Jumbo Exploration Project (the “Project”),
Plan of Operations. The Company proposes to drill up to 29 exploration holes on public lands administered
by the US Forest Service Humboldt-Toiyabe National Forest , Tonopah Ranger District (USFS). The
exploration drilling plan was originally submitted to the Forest Service on December 14, 2016 and required
several iterations prior to its approval. The Project i ntends to build on historic drilling and previously
reported surface sampling results within the Keystone Jumbo claim block of the Goldwedge Project.
The proposed Project and associated Goldwedge facilities are located in Nevada on the west flank of the
Toquima Range, ~55 km north-northeast of the Town of Tonopah, ~ 4 km south-southeast of the town of
Manhattan and ~16 km south of the 15 million ounce Round Mountai n Mine. Historic mining in the
Manhattan Mining District dates back to the 19 th century, with district-wide gold production from both lode
and placer deposits estimated at 566,000 ounces. The larges t gold production came from the Manhattan
Mine East & West pits located within a kilometer south of the Goldwedge Deposit, where Echo Bay Mines
reportedly produced an estimated 236,000 ounces.
Scorpio Gold’s President, Chris Zerga, comments, “Receiving this plan of operations approval is a key step
to unlocking the mineral potential in the Keystone Jumbo pr oject area and we look forward to advancing
the project’s development with continued exploration drilling. Scorpio Gold has maintained an exceptional
working collaboration with the USFS and Nevada regulatory agencies.”
The proposed exploration drilling program is subject to financing and capital allocation as determined by
the new board. Upon closing of the company's recently announced private placement Scorpio will have
cash on hand of $5.0m cdn which includes current cash of $1.2m cdn. Residual gold recovery from the
heaps is expected to continue through the 2 nd quarter of 2019 and the company is re-engaging with lenders
to fund the new processing mill at Mineral Ridge.
About Scorpio Gold Corporation
Scorpio Gold holds a 70% interest in the producing Mineral Ri dge gold mining operation located in
Esmeralda County, Nevada with joint venture partner Elevon, LLC (30%). Mineral Ridge is a conventional
open pit mining and heap leach operation. Mining at Minera l Ridge was suspended in November 2017;
however, the Company continues to generate limited revenues from residual but diminishing recoveries
from the leach pads. Scorpio Gold also holds a 100% interest in the advanced exploration-stage Goldwedge
property in Manhattan, Nevada with a fully permitted underground mine and 400 ton per day mill facility.
The Goldwedge mill facility has been placed on a care an d maintenance basis and can be restarted
immediately when needed.
Scorpio Gold’s Chairman, Peter J. Hawley, P.Geo., is a Qualified Person as defined in National Instrument
43-101 and has reviewed and approved the content of this release.
ON BEHALF OF THE BOARD
SCORPIO GOLD CORPORATION
Brian Lock,
Interim CEO
For further information contact:
Chris Zerga, President
Tel: (604) 678-9639
Email: [email protected]
Website: www.scorpiogold.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the T SX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.
The Company relies on litigation protection for forward-looking statements. This news release contains forward-looking statements
that are based on the Company’s current expectations and estimates. Forward-looking statements are frequently characterized by
words such as “plan”, “expect”, “project”, “intend”, “beli eve”, “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 of its Goldwedge project and the ability to obtain sufficient financing to
undertake its proposed exploration program. 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 risk s involved in mineral exploration programs and those risk factors
outlined in the Company’s Management Discussion and Analysis as filed on SEDAR. Any forward-looking statement speaks only
as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent
or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.
Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such
statements due to the inherent uncertainty thereof.