The reverse circulation (RC) drilling method is cheaper and faster than the diamond drill-core drilling method. However, minor contamination between adjacent intervals can sometimes occur with RC drilling.
[box type=”info” align=”aligncenter” ]Disclaimer: This is an editorial review of a public press release and may include opinions or points of view that may not be shared by the owners of geologyforinvestors.com or the companies mentioned in the release. The editorial comments are highlighted so as to be easily separated from the release text. Please view the full release here.[/box]
VANCOUVER, BRITISH COLUMBIA–(Marketwired – Sept. 23, 2013) – Scorpio Gold Corporation (“Scorpio Gold” or the “Company”) (TSX VENTURE:SGN) reports further results from its 2013 satellite deposit drilling program at the 70% owned Mineral Ridge project, located in Nevada.
[box type=”note” align=”aligncenter” ]Below, we have included a map showing the location of the Mineral Ridge project. The project is located approximately 6 km northwest of the town of Silver Peak and 56 km southwest of Tonopah in Esmeralda County, Nevada, USA.
Nevada is richly endowed with gold and is the leading gold-producing state in the United States, producing around 80% of all the gold mined in the nation. Most of the gold in Nevada comes from large open pit mining of low-grade high-tonnage deposits along the Carlin Trend using cyanide heap leaching recovery methods. These deposits are some of the largest hydrothermal gold deposits in the world and is one of the world’s richest gold mining districts.[/box]
The first hole drilled in 2013 on the Oromonte deposit followed up on a higher-grade zone of mineralization intersected at depth in 2011-2012 drilling. This hole, MR13599, returned 22.30 g/t over 10.67 m (0.65 oz/ton over 35 ft). Combined with prior drilling, significant grades over substantial widths have now been intersected in four consecutive holes with the mineralization open in three directions.
- MR13599: 22.30 g/t over 10.67 meters
- MR12385*: 8.16 g/t over 10.67 meters
- MR12386*: 1.90 g/t over 6.10 meters
- MR11142*: 3.84 g/t over 10.67 meters
* Previously reported from prior drill programs.
The indicated zone of mineralization trends northerly and lies along the edge of a geophysical magnetic high. It has been intersected at 85 to 115 metres vertical depth and, although not accessible by open pit mining, may be amenable to underground extraction should further results support underground development. Historical underground workings are known to lie approximately 180 meters to the east. The significance of these drill results in context with their structural and geophysical setting will be evaluated for future follow up.
Map links:
Drill Hole Location Map: www.scorpiogold.com/i/maps/mr/Oromonte_DHplan.jpg
[box type=”note” align=”aligncenter” ]We have included the drill-hole plan for drilling at the Oromonte deposit. If you look closely there is an error in the labelling of one of the drill-hole collars. The drill-hole collar labelled “MR13385” should probably read “MR12385” to be consistent with the cross-section and the table of results.[/box]
Drill Hole Cross Section: www.scorpiogold.com/i/maps/mr/Oromonte_XS.jpg
[box type=”note” align=”aligncenter” ]We have included the cross-section of the drilling at the Oromonte deposit as it shows the “Mineralized Zone” correlating across the drill-holes.[/box]
[box type=”note” align=”aligncenter” ]Keep in mind that this is only one view of the drill-holes intersecting the “Mineralized Zone” at the Oromonte deposit. Depending on the orientation of the plane of the cross-section, the apparent angle and thickness of the “Mineralized Zone” can change. It would be interesting to know where the “Mineralized Zone” outcrops at the surface. If it exists on Scorpio Gold’s property then this would be a real bonus because some mining could then be undertaken by open pit mining methods. Provided of course that it hasn’t already been mined out. For the deeper mineralization an underground development would be more profitable provided that these grades and thicknesses are verified with further drilling.[/box]
Table 1. Oromonte Deposit – Significant Drill Results
| Hole No. |
Azm (deg) |
Dip (deg) |
From (ft) |
To (ft) |
Width (ft) |
From (m) |
To (m) |
Width (m) |
Gold (OPT) |
Gold (g/t) |
| MR13599 | 0 | -90 | 175 | 185 | 10 | 53.35 | 56.39 | 3.05 | 0.062 | 2.11 |
| 215 | 220 | 5 | 65.53 | 67.06 | 1.52 | 0.015 | 0.51 | |||
| 290 | 295 | 5 | 88.39 | 89.92 | 1.52 | 0.024 | 0.82 | |||
| 305 | 330 | 25 | 92.96 | 100.58 | 7.62 | 0.034 | 1.17 | |||
| 345 | 380 | 35 | 105.16 | 115.82 | 10.67 | 0.650 | 22.30 | |||
| MR12385* | 0 | -90 | 225 | 235 | 10 | 68.58 | 71.63 | 3.05 | 0.020 | 0.69 |
| 310 | 345 | 35 | 94.49 | 105.16 | 10.67 | 0.241 | 8.16 | |||
| 375 | 380 | 5 | 114.30 | 115.82 | 1.52 | 0.054 | 1.85 | |||
| MR12386* | 0 | -90 | 180 | 185 | 5 | 54.86 | 56.39 | 1.52 | 0.016 | 0.55 |
| 285 | 290 | 5 | 86.87 | 88.39 | 1.52 | 0.027 | 0.93 | |||
| 305 | 325 | 20 | 92.96 | 99.06 | 6.10 | 0.056 | 1.90 | |||
| MR11142* | 0 | -90 | 295 | 330 | 35 | 89.92 | 100.58 | 10.67 | 0.112 | 3.84 |
* Previously reported from prior drill programs.
All holes presented in Table 1 were completed by reverse circulation (“RC”) drilling.
[box type=”note” align=”aligncenter” ]The reverse circulation (RC) drilling method is cheaper and faster than the diamond drill-core drilling method. However, minor contamination between adjacent intervals can sometimes occur with RC drilling, so may provide slightly thicker intersections of mineralized zones than with diamond drill-core drilling. For this reason, diamond drill-core drilling is the preferred method for resource modelling and definition. When logging diamond drill-core, geologists can obtain important information about the structure of rocks, such as the orientation of any faults, veins and shears. This is crucial data when planning an underground mine to ensure its stability. Geologists can also extract information about the texture of the rock and its fabric, which is often destroyed through RC drilling. Metallurgists generally require drill-core to work on when designing the best method for ore extraction. Specific tests such as impact hardness and grindability can be done on drill-core, which cannot be done successfully on rock chips from RC drilling.[/box]
True width is estimated at 90-100% of downhole width.
[box type=”note” align=”aligncenter” ]At first glance, it appears that Scorpio Gold’s true width statement might be valid. However, as I mentioned before, the provided cross-section is only one view. More drilling and more cross-sections are needed to obtain the true thickness of the “Mineralized Zone” as there is still a possibility that the drill-holes are intersecting the “Mineralized Zone” at a very oblique angle. If this is indeed so then the “Mineralized Zone” would be much thinner than the reported 10 metres thickness. Read our article for more information about apparent and true thicknesses (widths).[/box]
Analytical results were performed by American Assay Laboratory Inc. in Sparks, Nevada, an ISO/IEC 17025:2005 accredited facility. External check assays to verify lab accuracy are completed by ALS Chemex, an ISO 9001:2000 certified and ISO/IEC 17025:2005 accredited facility. Further details are presented in the Company’s quality assurance and quality control program for the Mineral Ridge project at: www.scorpiogold.com/i/pdf/reports/QAQC-MR.pdf.
[box type=”note” align=”aligncenter” ]This is a good idea providing a link to a comprehensive QA/QC program document. A more thorough assessment can be made rather than relying on a brief statement given in a press release. Read our article on QA/QC of geochemical data for some background on the reasoning behind QA/QC programs.[/box]
Upcoming Conference:
Scorpio Gold’s CEO, Peter Hawley, and President, Steve Roebuck, will be attending the Denver Gold Forum held at the Hyatt Regency, Denver from September 22-25, 2013. Further information is available at: www.denvergoldforum.org/dgf13.
About Scorpio Gold
Scorpio Gold holds a 70% interest in the Mineral Ridge gold mining operation located in Esmeralda County, Nevada with joint venture partner Waterton Global Value L.P. (30%), and is currently entitled to receive 80% of cash flow generated. Mineral Ridge is currently in production as a conventional open pit mining and heap leach operation. The Mineral Ridge property is host to multiple gold-bearing structures, veins and bodies at exploration, development and production stages. Scorpio Gold recently acquired the Goldwedge advanced exploration-stage property and processing facility in Manhattan, Nevada, and the Pinon advanced exploration-stage gold property near Carlin, Nevada. The Company is assessing its exploration plans for these properties as well as the potential for toll milling at the Goldwedge plant, which is currently permitted for 400 tons per day.
Scorpio Gold’s CEO, Peter J. Hawley, PGeo, is a Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the content of this release.
ON BEHALF OF THE BOARD
SCORPIO GOLD CORPORATION
Peter J. Hawley, CEO
[toggle title=”We’ve skipped some of the boilerplate. You can read it in here.” state=”close” ]
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.
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, development and exploitation of its Mineral Ridge project, including future drilling, and other exploration activities on the satellite deposits. 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 risks involved in 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.
[/toggle]
[box type=”success” align=”aligncenter” ]Have a company or release you’d like us to look at? Let us know though our contact page, through Google+, Twitter or Facebook.[/box]
