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Scorpio Gold Reveals Plans for New Phase 2 Exploration Program on Nevada Assets

Scorpio Gold Corporation ("Scorpio Gold" or the "Company") reports its intention to undertake Phase 2 of an exploration program on its Nevada Assets totalling approximately US$750,000.

Mineral Ridge Program

A breakthrough in the understanding of the Mineral Ridge deposit as it relates to gold emplacement resulting from a deep ductile strain event or events earlier this year, has led to the preparation by the Company of a detailed comprehensive phase 2 exploration Program, which will set the stage for growth in 2017. It is expected that the new phase 2 exploration program will consist of the following;

  • 3.5 months of detailed field mapping by the Company's geology team which will focus on investigating the post mineral structural features in order to determine the localities that gold has originally formed in. This is expected to comprise of approximately 500 multi-element samples to aid in the understanding of the geology.
  • A 3 month cost effective in-house ground geophysical survey comprising of vertical gradient and total field magnets and VLF (Very Low Frequency) electromagnets over the areas of interest designed to delineate post mineral faulting as well as aid in the understanding of the geological architecture during the gold formation.
  • To be followed by 10 small diameter diamond drill holes in the first priority target derived from the above mentioned fieldwork and geophysical surveys which will set the stage for a more comprehensive 2017 drilling campaign.
  • 10 HQ size diamond drill holes designed to test and further define the Drinkwater Highwall Open Pit economics.
  • 5 HQ size diamond drill holes designed to test and further delineate the Bunkhouse Hill (Mary LC Phase 4) economics.
  • The estimated cost for this program is US$718,000.

Goldwedge Program

The Goldwedge exploration program is three-fold. First, sampling the Goldwedge proposed Plan of Operations boundary, second sampling the Keystone - Jumbo area and third conducting an in-house cost effective vertical gradient and total field magnets and VLF (Very Low Frequency) electromagnets geophysical surveys. In the Goldwedge area, soil sampling will be used to augment drillhole targeting in the vicinity of the Goldwedge mine and to understand the mineralization controls in the collapsed caldera to the North of the Goldwedge mine. In the Keystone - Jumbo area this program will be targeting structural intersections between East-West to East-Northeast structures and Northwest structures which have been identified as the main controls on mineralization in the Keystone and Jumbo pits in order to generate drill targets to include in future drill permit applications. The geophysical surveys will help to understand geological and structural controls in the area, especially where ground cover is present. The estimated cost for this program is US$33,000.

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