Underground Intersections From Drilling At Goldwedge

VANCOUVER, BC - Scorpio Gold Corporation reported initial gold and silver assay results from underground drilling at its 100% owned Goldwedge property located in Manhattan, Nevada. The 2020 drilling program is focused on resource definition in areas where the Company's 2014 surface drilling intersected higher-grade mineralization proximal to existing underground workings. The drilling program utilized the Company's Atlas Copco 262 skid-mounted drill rig which was operated by company personnel.

Drill hole GWUG20-001 targeted an area where 2014 surface hole GW14-03 encountered high-grade mineralization proximal to existing underground workings. The hole was collared in the face of crosscut A at the 6,760 ft elevation and was drilled at 247° azimuth and -10° dip. Drilling intersected several mineralized zones, the most significant being a 7.6 meter intersection averaging 12.47 g/t gold and 176.23 g/t silver, which included 1.52 meters grading 53.49 g/t gold and 0.15 meters grading 3,960 g/t silver. The mineralized zone lies approximately 30 meters (100 ft) below surface and extends immediately southeast from existing underground workings.

Drill hole GWUG20-002 targeted the down-dip extension of the mineralized zone intersected in GWUG20-001. The hole was collared in the same location and at the same azimuth but angled at a -37° dip. Multiple mineralized zones were intersected with the most significant returning 5.55 g/t gold and 17.14 g/t silver over 0.91 meters. This hole also intersected 1.52 meters grading 1,707 g/t silver from 6.4 to 7.92 meters downhole.

Drill hole GWUG20-003 targeted the southeast extension of the mineralized zone intersected in GWUG20-001. The hole was collared in the same location as the first 2 holes and drilled at 211° azimuth and -10° dip. Multiple mineralized zones were encountered with the most significant assay received to date returning 5.11 g/t gold over 1.52 meters. Final assays for this hole are pending.

Known mineralization within the Goldwedge deposit is controlled by the high-angle N30W trending Reliance fault which is transected by ring faulting associated with the Manhattan caldera. The gold itself is localized within clay gouge fault zones associated with the main Reliance fault system. Historically, silver has not been the primary target in the Manhattan mining district. Based on the high-grade silver intersections encountered in these holes however, a review of core samples and logs from previous drilling will be undertaken for evidence of other significant silver mineralization.

Due to the presence of high-grade gold and silver, several of the samples were submitted for screen fire assay to determine any variability of the assay results due to coarse metals. Results from this testing are presented in Table 2. In reviewing the results it is evident that a coarse component for both gold and silver is present, and although the gold results are fairly repeatable when compared to the original assays, there was a significant increase in silver values in many of the results. A typical screen fire assay utilizes 2 kilograms of sample for a standard analysis; however, because the drilling was NQ core size the available material was limited and this should be considered when evaluating these results.