Scorpio's 2006 Year End Review
Monday December 18, 9:00 am ET
ca.us.biz.yahoo.com
TSX:SPM
VANCOUVER, Dec. 18 /CNW/ - Scorpio Mining Corporation (TSX:SPM - News; the Company) wraps up the year end with a review of the Company's accomplishments during 2006.
Peter J. Hawley, President, CEO reports, "2006 was a very busy and rewarding year for the Company. Despite restricted human resources in the industry, we have successfully increased our staff levels with senior, experienced team members in the areas of accounting, administration, mine planning and development. On the project side, the success of our geological team in discovering two additional mineralized zones, as well as continued definition of the Nuestra Senora deposit, exemplifies their dedication to making the project a success. On the financial front, Scorpio raised over $40 million in equity financing and received proceeds of more than $4 million from the exercise of warrants. The Company's accomplishments are reflected in a share price appreciation from $0.345 in January to a year high of $1.98, rewarding shareholders with our continued dedication to advancing the project to a production decision. The rise of metal prices in 2006, in particular our main metal components, silver, zinc and copper, also bodes well for success of the operation over the next year. Year 2007 promises to be our busiest yet, and we look forward to keeping our shareholders informed of our progress and achievements in meeting set milestones. In closing, I would like to thank the team that has made this possible, and our valued shareholders that continue to support us in this exciting venture."
Scorpio's accomplishments during 2006 include:
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Canada - 2006
- Hiring of key staff including: Controller, Chief Financial Officer,
Vice-President, Mining and Mine Manager (Mexico).
- October 18, 2006 listing on the Toronto Stock Exchange.
- Over $40 million raised in equity financing.
- Share price appreciation from $0.345 to a year high of $1.98; a strong
indication of investor support as the Nuestra Senora project moves
forward.
- Over 67 million shares traded during the year.
- Participation in all major mining investment shows.
Mexico - Nuestra Senora Project - 2006
- 100% purchase of land for Nuestra Senora mill facility.
- Construction of access roads to mill facility site.
- Mill component lay down and refurbishing yards established in Mazatlan
and Cosala.
- Mill components in transit to Mexico.
- 519 metres of main haulage ramp developed. The ramp is now
1.28 kilometres in length.
- 1,070 metres of cross cut, stope and additional underground
development. Including the ramp, total underground development now
exceeds 1.5 kilometres.
- Underground cross cut development connecting the main haulage ramp to
the 6th, 8th, 9th and 10th levels.
- Excavation of a 40 x 60 metre underground service area and warehouse
at the 8th Level.
- 3,819 metres of surface drilling and 13,776 metres of underground
drilling. Total of 17,595 metres or more than 1.7 kilometres of
diamond drilling in 2006.
- Over 4,300 underground channel samples and 10,700 drill core samples
collected for assaying. In total, more than 15,000 samples collected
and assayed.
- Building of a major bridge across the El Habal River for portal
access.
- Stock piling of mineralized material from underground development
work.
- Discovery of two additional mineralized bodies, the "Hoag" and
"Sept 9" Zones. The first new major zones discovered since ASARCO left
in 1966.
- Announcement of a new NI 43-101 mineral resource estimate.
- Commissioning of a Hydro Line Study for power to the mill facility and
mine site.
- Installation of high technology fibre optic cable within the mine
workings for wireless communications and Internet services.
- Commissioning of a new NI 43-101 resource study that is expected in
early 2007.
- Commissioning of all studies required for a third-party
Pre-Feasibility Study.
- Completion of metallurgical test work on the mineralization.
- Purchase of required underground equipment necessary for stope mining.
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Further information on the Company and the Nuestra Senora project is available on the Scorpio Mining web site at: scorpiomining.com.
Vice President, Exploration & Development, Mr. D. Roger Scammell, PGeo, is the Company's Qualified Person for the Nuestra Senora project. Mr. Scammell is responsible for the current exploration and development program and the preparation of all technical information provided in this release.
ON BEHALF OF SCORPIO MINING CORPORATION
Peter J. Hawley
President & CEO
This news release includes certain statements that may be deemed "forward-looking statements". All statements in this news release, other than statements of historical facts, that address future exploration drilling, exploration activities and events or developments that the Company expects, are forward looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include metal prices, exploration success, continued availability of capital and financing, and general economic, market or business conditions.
For further information
Glenn Little, Jackson Little Holdings Ltd: (604) 930-4375, 1-888-930-4375, Email: jlconsulting@telus.net
Rich Kaiser, YES International: 1-800-631-8127, 001-757-306-6090 (outside North America), Email: yes@yesinternational.com
Source: Scorpio Mining Corporation |
