Scorpio Gold Reports Annual Gold Production at the Mineral Ridge Operation, Nevada
TSX -V: SGN
1462 de la Québécoise
Val-d’Or, QC, J9P 5H4
T: 819- 825-7618
www.s cor piog old .com
News Release No. 256
Scorpio Gold Reports Annual Gold Production
at the Mineral Ridge Operation, Nevada
Vancouver, January 10, 2018 - Scorpio Gold Corporat ion (“Scorpio Gold” or the “Company”) (TSX-V:
SGN) announces its operating results for the full y ear and the fourth quarter (“Q4”) of 2017 at its 70 %
owned Mineral Ridge project, located in Nevada.
Total gold production in 2017 was 19,045 ounces, wh ich slightly exceeded the Company’s low-end
guidance of 19,000 ounces. The annual production fo r 2017 of 19,045 ounces represents a decrease of
48% over the prior year. Gold production in Q4 2017 totalled 3,709 ounces representing a decrease of
55% from Q4 of 2016. Mine production decreased in 2017 due to mining 47% fewer ore tonnes, although
average grades were 9% higher as compared to the prior year.
Brian Lock, CEO, comments, “As previously announced , mining was suspended in the first week of
November 2017. Earlier this month, the Company ann ounced results from Mine Technical Services on
the mineable, higher-grade mineralization in the ex isting pits at Mineral Ridge and a positive updated
feasibility study, which supports the Company’s plans for the construction of a 4,000 TPD milling facility
with CIL recovery and dry stack tailings circuit. C onstruction of the milling facility will begin once
financing is obtained and the Plan of Operations Am endment and Water Pollution Control permit are
approved and issued.”
Key Operating Statistics
Three months ending
December 31
Twelve months ending
December 31
2017 2016 Change 2017 2016 Change
Mining operations
Mary LC pit
Ore tonnes mined - 148,161 -100.0% 315,242 553,402 -43.0%
Waste tonnes mined - 977,246 -100.0% 1,805,218 3,519,285 -48.7%
Total mined - 1,125,407 -100.0% 2,120,460 4,072,687 -47.9%
Strip Ratio - 6.6 -100.0% 5.7 6.4 -10.9%
Satellite pits
Ore tonnes mined 24,290 6,028 303.0% 78,854 196,802 -59.9%
Waste tonnes mined 113,972 5,888 1,835.7% 665,226 525,491 26.6%
Total mined 138,262 11,916 1,060.3% 744,080 722,293 3.0%
Strip Ratio 4.7 1.0 370.0% 8.4 2.7 211.1%
Scorpio Gold Corporation | 2
Three months ending
December 31
Twelve months ending
December 31
2017 2016 Change 2017 2016 Change
Total producing pits
Ore tonnes mined 24,290 154,189 -84.2% 394,096 750, 204 -47.5%
Waste tonnes mined 113,972 983,134 -88.4% 2,470,444 4,044,776 -38.9%
Total mined 138,262 1,137,323 -87.8% 2,864,540 4,79 4,980 -40.3%
Strip Ratio 4.7 6.4 -26.6% 6.3 5.4 16.7%
Pits under development
Ore tonnes mined - - 0.0% 772 - 100.0%
Waste tonnes mined - 160,672 -100.0% 249,085 309,9 02 -19.6%
Total mined - 160,672 -100.0% 249,857 309,902 -19.4%
Total mining operations
Ore tonnes mined 24,290 154,189 -84.2% 394,868 750, 204 -47.4%
Waste tonnes mined 113,972 1,143,806 -90.0% 2,719,529 4,354,678 -37.5%
Total mined 138,262 1,297,995 -89.3% 3,114,397 5,104,882 -39.0%
Processing
Tonnes processed 30,259 142,101 -78.7% 398,898 846, 140 -52.9%
Gold head grade (g/t) 1.92 1.37 40.1% 1.57 1.44 9.0 %
Ounces produced
Gold 3,709 8,301 -55.3% 19,045 36,879 -48.4%
Silver 2,256 4,074 -44.6% 10,203 16,950 -39.8%
Crusher throughput
(tonnes per day) 672 1,545 -56.5% 1,254 2,312 -45.8 %
Recoverable (1) gold
ounces placed on pad 1,212 4,301 -71.8% 13,668 26,5 49 -48.5%
(1) A weighted average metallurgical recovery factor has been applied to the estimated contained ounces cr ushed and placed on
the leach pad based on the pit from which the ore was mined.
About Scorpio Gold
Scorpio Gold holds a 70% interest in the Mineral Ri dge gold mining operation located in Esmeralda
County, Nevada with joint venture partner Elevon, L LC (30%). Mineral Ridge is a conventional open pit
mining and heap leach operation. Mining at Mineral 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 ca re and maintenance basis and can be restarted
immediately when needed.
Scorpio Gold’s Chairman, Peter J. Hawley, PGeo, is a Qualified Person as defined by National Instrument
43-101 and has reviewed and approved the content of this news release.
Scorpio Gold Corporation | 3
ON BEHALF OF THE BOARD
SCORPIO GOLD CORPORATION
Chris Zerga,
President
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 poli cies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.
The Company relies on litigation protection for for ward-looking statements. This news release contains forward-looking
statements that are based on the Company's current expectations and estimates. Forward-looking stateme nts are frequently
characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and
other similar words or statements that certain even ts or conditions "may" or "will" occur, and include , without restriction, any
statements regarding pending permit approval, planned financing and construction activities and planned future production. 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 anti cipated events or results implied or expressed in s uch forward-looking
statements, including risks related to open pit min ing, unanticipated changes in the mineral content o f materials being mined;
unanticipated changes in recovery rates; changes in project parameters; failure of equipment or proces ses to operate as
anticipated; the failure of contracted parties to perform; availability of skilled labour and the impact of labour disputes; delays in
obtaining approval to the revised Plan of Operation s, permits and governmental approvals; changes in m etals prices; the
availability of cash flows or financing to meet the Company’s ongoing financial obligations or to finance the construction of the
mill facility; unanticipated changes in key managem ent personnel; changes in general economic conditio ns; other risks of the
mining industry; and those risk factors outlined in the Company’s Management Discussion and Analysis a s filed on SEDAR.
Any forward-looking statement speaks only as of the date on which it is made and, except as may be req uired by applicable
securities laws, the Company disclaims any intent o r 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.