Apr 01, 2010
Scorpio Announces 2009 Year-end and Fourth Quarter Financial Results
Vancouver, April 1, 2010 - Scorpio Mining Corporation (TSX: SPM) ("Scorpio" or the "Company") is pleased to announce the audited financial and operating results for the fourth quarter and the year ended December 31, 2009.
Peter J. Hawley, Chairman, CEO reports, "On behalf of management and the Board of Directors, I am extremely pleased to report that Scorpio Mining has for its first year of commercial production exceeded all mandates given, resulting in 2009 adjusted earnings(1) of $3.1 million, net earnings of $13.5 million and earnings per share of $0.12. This stellar performance could not have been achieved without the continued hard work from the Scorpio team throughout the year, in keeping operating costs low while increasing mine and mill throughput."
"With the pending Platte River Gold acquisition nearing its close, the current planning for mill expansion, and the starting of an open pit for 2011 on the San Rafael Main zone, management is focused on building Scorpio Mining into a leading low-cost intermediate producer. The Company maintains its commitment to enhancing shareholder value through profitability, growth of mineral reserves and resources, and sustainable annual production of metals."
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 December 31, 2009, which are available on the Company's website at www.scorpiomining.com and have been posted on SEDAR at www.sedar.com.
Highlights for the Year and Fourth Quarter Ended December 31, 2009, and Subsequent Events:
(1) This is a non-GAAP performance measure which adjusts the earnings for the year for the non-cash future income tax recovery recognized in 2009; please see Non-GAAP Performance Measures section in the Company's MD&A.
(2) 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)
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 29, 2010. 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.