Mr. Peter Hawley reports

SCORPIO GOLD REPORTS FINANCIAL RESULTS FOR SECOND QUARTER OF 2014

Scorpio Gold Corp. has released its financial results for the second quarter ended June 30, 2014. This press release should be read in conjunction with the company's condensed consolidated interim financial statements for the second quarter and management discussion and analysis for the same period, available on the company's website and under the company's name on SEDAR. All monetary amounts are expressed in U.S. dollars unless otherwise specified.

                            PERFORMANCE HIGHLIGHTS

                                       Q2 2014  Q2 2013   H1 2014  H1 2013
                                                                          
Revenue (000s)                        $ 10,646 $ 14,835  $ 23,895 $ 26,501
Mine operating earnings (000s)           1,048    3,662     2,378    7,232
Net earnings (loss) (000s)                 608   (7,772)      986   (5,676)
Basic and diluted earnings (loss)
per share                                 0.00    (0.05)     0.00    (0.04)
Adjusted net earnings(1) (000s)            524    2,661       910    4,764
Adjusted basic and diluted net
earnings per share(1)                     0.00     0.01      0.00     0.02
Adjusted EBITDA(1) (000s)                3,392    8,388     7,320   15,255
Adjusted basic and diluted EBITDA
per share(1)                              0.02     0.05      0.04     0.08
Cash flow from operating 
activities(000s)                         2,224    5,392     5,362   11,466
Total cash cost per ounce 
of gold sold(1)                            815      713       803      738
Gold ounces produced                     9,034   10,769    19,328   18,180

(1) This is a non-IFRS measure; refer to non-IFRS measures section of 
    this press release and the company's management discussion and 
    analysis for the second quarter of 2014 for a complete definition 
    and reconciliation to the IFRS results reported in the company's 
    financial statements for the second quarter of 2014.

Peter Hawley, chief executive officer of Scorpio Gold, commented: "Following another strong quarter at Mineral Ridge, the company is well on track to meet its 2014 production forecast of 40,000 to 45,000 ounces gold at a cash cost of $800 to $850 per ounce of gold sold. Operational excellence remains the company's key focus, and with the new carbon column tower coming on line as planned at the end of the second quarter, continued performance through the second half of 2014 is fully expected. We are very proud of our Mineral Ridge operations team, which continues to deliver solid results despite a lower average gold price."

Highlights for the second quarter ended June 30, 2014:

• 9,034 ounces of gold produced compared with 10,769 ounces produced during the second quarter of 2013; in late June, 2014, an additional carbon column was installed, which is expected to increase the rate of processing of pregnant leach solution and thereby bring down leach pad inventory and consequently increase gold production;
• Revenue of $10.6-million compared with $14.8-million during the second quarter of 2013, due to a lower number of ounces of gold sold at a lower average gold price;
• Total cash cost per ounce of gold sold of $815 compared with $713 during the second quarter of 2013, mainly attributable to mining a lower grade of ore;
• Mine operating earnings of $1-million compared with $3.7-million during the second quarter of 2013;
• Net earnings of $600,000 (nil basic and diluted per share) compared with a net loss of $7.8-million (five cents basic and diluted per share) following non-cash impairment charges of $9.9-million (six cents basic and diluted per share) during the second quarter of 2013;
• Adjusted net earnings of $500,000 (nil basic and diluted per share) compared with $2.7-million (one cent basic and diluted per share) during the second quarter of 2013;
• Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) of $3.4-million (two cents basic and diluted per share) compared with $8.4-million (five cents basic and diluted per share) during the second quarter of 2013, as a result of lower revenue and higher cash costs;
• Cash flow from operating activities of $2.2-million, down from $5.4-million during the second quarter of 2013, as a result of lower revenue and higher cash costs.

Highlights for the six-month period ended June 30, 2014:

• 19,328 ounces of gold produced compared with 18,180 ounces produced during the six months ended June 30, 2013;
• Revenue of $23.9-million compared with $26.5-million during the six months ended June 30, 2013, mainly due to increased production, which resulted in a higher number of ounces of gold sold, but at a lower average gold price;
• Total cash cost per ounce of gold sold of $803 compared with $738 during the six months ended June 30, 2013, mainly attributable to a lower head grade;
• Mine operating earnings of $2.4-million compared with $7.2-million during the six months ended June 30, 2013;
• Net earnings of $1-million (nil basic and diluted per share) compared with a net loss of $5.7-million (four cents basic and diluted per share) following non-cash impairment charges of $9.9-million (six cents basic and diluted per share) during the six months ended June 30, 2013;
• Adjusted net earnings of $900,000 (nil basic and diluted per share) compared with $4.8-million (two cents basic and diluted per share) during the six months ended June 30, 2013;
• Adjusted EBITDA of $7.3-million (four cents basic and diluted per share) compared with $15.3-million (eight cents basic and diluted per share) during the six months ended June 30, 2013, as a result of lower revenue and higher cash costs;
• Cash flow from operating activities of $5.4-million, down from $11.5-million during the six months ended June 30, 2013, as a result of lower revenue and higher cash costs;
• Sale of the Pinon property completed on March 5, 2014, with approximately $5.2-million of the proceeds from such sale being applied to reduce the company's long-term debt.

We seek Safe Harbor.