Scorpio Gold raising $10 million from upsized offering

Scorpio Gold Corp. [SGN-TSXV] said it is upsizing a previously announced public share offering that is now expected to raise $10 million, with proceeds earmarked for the company’s Manhattan District gold project in Nevada. That’s up from an earlier $8.0 million target.

Under the upsized deal terms, the agents have pledged to offer, on a best-efforts basis, up to 40 million common shares from the company’s treasury for 25 cents per share.

The company is granting the agents an option to purchase up to an additional six million offered shares on the same terms. That option can be exercised at any time up to 30 days after closing, which is expected to occur by July 23, 2026.

Scorpio Gold shares were unchanged Friday at 25.8 cents and trade in a 52-week range of 62 cents and 16 cents.

Scorpio holds a 100% interest in the Manhattan district, located in the Walker Lane trend of Nevada. The project covers 4,780 hectares and consists of the exploration stage Goldwedge mine, with a 400-ton-per-day maximum capacity gravity mill, and four past producing pits that were acquired from Kinross Gold Corp. (K-TSX, KGC-NYSE) in 2021. The company describes the project as a “late stage exploration opportunity with over 140,000 metres of historical drilling, significant resource potential, and valuable permitting and water rights.”

In a press release on September 11, 2025, the company released a maiden resource estimate, covering the Goldwedge and Manhattan Pit areas of the project and consisting of 18.3 million tonnes, grading 1.26 g/t gold for a total of 740,000 ounces of contained gold in the inferred category.

The project also hosts a historical resource that covers the Black Mammoth, April Fool, Hooligan, Keystone and Jumbo areas of the project, consisting of 1.6 million tonnes of grade 5.89 g/t gold or 303,949 ounces of contained gold. However, the company has not done sufficient work to upgrade the historical resource that would meet NI 43-101 standards of disclosure.

In a press release on July 14, 2025, the company announced the results from 18 step-out holes, part of a Phase Two drill program at Manhattan. The company said it has drilled 102 holes to date in this program for a total of 28,939 metres of which 99 have been reported. In addition to the Phase Two drill program, the company is reviewing historical data and analyzing any historic core for pulps and silver. Drilling highlights include 2.05 g/t gold over 97.99 metres from 64.16 metres at the Goldwedge target. The company said this intercept demonstrates that Goldwedge hosts broad continuous zones of mineralization, punctuated by high-grade intercepts.

“With 99 of 102 Phase Two holes now reported and the system open in multiple directions, Manhattan keeps reinforcing its district-scale potential,” said Harrison Pokrandt, Vice-President, Exploration at Scorpio.