Nov 16, 2009
Scorpio Announces Third Quarter 2009 Results of $0.01 Earnings per Share
Vancouver, November 16, 2009 - Scorpio Mining Corporation (TSX: SPM) ("Scorpio" or the "Company") today reported unaudited financial and operating results for the third quarter ended September 30, 2009 ("Q3") and provided an update on operations.
Peter J. Hawley, Chairman, CEO reports, "Once again the Scorpio team is very proud to report a record third quarter for commercial production with positive mine operations earnings, positive net earnings and earnings per share, an increase in concentrate sales, underground production, mill throughput and a decrease in Mexico operating costs per tonne, smelter treatment charges and underground development costs. Given that is this only our third quarter of commercial production and the Company is able to report positive earnings per share, it speaks well of the dedication of our team to enhance shareholder value.
Since the end of the third quarter, metal prices have strengthened allowing a production ramp-up that saw us exceeding all the mandated targets set for each quarter and once again increasing the mill throughput to 21,000 tonnes per month for the next quarter. This positive track record for 2009 should continue in the fourth quarter resulting in increased revenues per tonne of concentrate sold. The Company has set strict mandates for 2009 to show profitability, and to date has exceeded all goals set. The Company, as mandated, has also aggressively sought acquisitions of near-term, high-grade development projects and operating assets in Mexico as shown in the recently announced Platte River Gold transaction."
This earnings release should be read in conjunction with the Company's MD&A, Financial Statements and Notes to Financial Statements for the period ended September 30, 2009, which are available on the Company's website at www.scorpiomining.com and have been posted on SEDAR at www.sedar.com.
Third Quarter 2009 Highlights:
(1) This is a non-GAAP performance measure; please see Non-GAAP Performance Measures section in the Company's MD&A.
Further information is available on the Company's web site at: www.scorpiomining.com.
President, Mr. D. Roger Scammell, PGeo, is the Company's Qualified Person for the Nuestra Señora project and has reviewed the content of this release.
ON BEHALF OF SCORPIO MINING CORPORATION
Peter J. Hawley
Chairman & CEO
For further information contact:
Rich Kaiser, YES International: 1-800-631-8127; 001-757-306-6090 (outside North America)
Email: [email protected]
This news release includes certain statements that may be deemed "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements with respect to enhancing mine operations, completing acquisitions and Scorpio Mining Corporation's commitment to, and plans for developing the Nuestra Senora Project. Generally, these forward-looking statements can be identified by the forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "projects", "intends", "anticipates", or "does not anticipate", or "believes", or "variations of such words and phrases or state that certain actions, events or results "may", "can", "could", "would", "might", or "will" be taken", "occur" or "be achieved". Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Scorpio Mining Corporation to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the exploration and development and operation of the Nuestra Senora Project, risks related to international operations, construction delays and cost overruns, the actual results of current exploration, development and construction activities, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, future prices of silver, zinc, copper, lead and gold, risks relating to completing acquisition transactions as well as those factors discussed in the sections relating to risk factors of our business filed in Scorpio Mining Corporation's required securities filings on SEDAR, including its Annual Information Form dated March 27, 2009. Although Scorpio Mining Corporation has attempted to identify important factors that could cause results to differ materially from those contained in forward-looking statements, there may be other factors that cause results to be materially different from those anticipated, described, estimated, assessed or intended.
There can be no assurance that any forward-looking statements will prove accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Scorpio Mining Corporation does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws.