Scorpio Gold Corporation announced its 2016 guidance and budget for the 70% owned Mineral Ridge project, located in Nevada. 2016 Mineral Ridge Operations Forecast: Production: 30,000 to 35,000 ounces gold; and total Cash Cost of $850 to $900 per ounce of gold sold. Production in 2016 is scheduled from the Mary LC Phase 3 pit and from the Bluelite, Solberry and Brodie satellite pits.

Scorpio Gold is seeking approval from the Nevada Bureau of Land Management for its Environmental Assessment application to open pit mine the Custer and Oromonte deposits and any potential new resources outlined within the newly acquired Paris claim. The Company expects the permitting process to conclude in early Second Quarter 2017, and as such will not impact the production schedule for 2016. Key estimated parameters forming the basis for the 2016 forecast are: Average throughput: 2,484 short tons (2,253 metric tonnes) per day; Average grade: 0.049 ounces per short ton (1.68 grams per tonne) gold; and Waste to ore ratio of Mary-Mary LC and satellite pits combined including development: 5.6 to 1. The Company expects these parameters to fluctuate throughout 2016 and as a result, these parameters should be treated as full-year averages and will not necessarily be reflective of quarterly operating results.

Capital expenditures in 2016 including development and exploration budgets are expected to total $5.7 million. This includes pre-stripping on the Mary LC Phase 3 and Brodie pits and approximately $1.8 million designated for 17,000 meters of exploration drilling.