Vista Gold Corp. Announces Gold Resource Estimate for the Awak Mas Gold Project, South Sulawesi, Indonesia
07 Juni 2007 - 2:48AM
PR Newswire (US)
DENVER, June 6 /PRNewswire-FirstCall/ -- Vista Gold Corp. (Amex:
VGZ; TSX: VGZ) is pleased to announce that, following the
completion of drilling in late 2006, a new mineral resource
analysis for the Awak Mas deposit on South Sulawesi Island,
Indonesia, was completed on June 6, 2007, by Gustavson Associates,
LLC of Boulder, Colorado, in accordance with Canadian National
Instrument 43-101 standards under the direction of Mr. John
Rozelle, an independent Qualified Person, utilizing standard
industry software and resource estimation methodology. Based on the
resource analysis report, the gold resources for the Awak Mas
deposit, reported at a cutoff grade of 0.5 grams of gold per tonne
are: Grade Tonnes (grams per Contained (000s) tonne) Gold Ounces
Measured resources (1) 7,084 1.30 296,000 Indicated resources (1)
34,609 1.22 1,360,000 Measured and indicated resources (1) 41,693
1.24 1,656,000 (1) Cautionary Note to U.S. Investors concerning
estimates of Measured and Indicated Resources: This table uses the
terms "measured resources" and "indicated resources". We advise
U.S. investors that while these terms are recognized and required
by Canadian regulations, the U.S. Securities and Exchange
Commission does not recognize them. U.S. investors are cautioned
not to assume that any part or all of mineral deposits in these
categories will ever be converted into reserves. Grade Tonnes
(grams per Contained (000s) tonne) Gold Ounces Inferred resources
(2) 20,425 0.82 539,000 (2) Cautionary Note to U.S. Investors
concerning estimates of Inferred Resources: This table uses the
term "inferred resources". We advise U.S. investors that while this
term is recognized and required by Canadian regulations, the U.S.
Securities and Exchange Commission does not recognize it. "Inferred
resources" have a great amount of uncertainty as to their
existence, and great uncertainty as to their economic and legal
feasibility. It cannot be assumed that all or any part of an
inferred mineral resource will ever be upgraded to a higher
category. Under Canadian rules, estimates of inferred mineral
resources may not form the basis of a feasibility study or
prefeasibility studies, except in rare cases. U.S. investors are
cautioned not to assume that any part or all of an inferred
resource exists or is economically or legally minable. The resource
model for the Awak Mas deposit and the resource analysis report
include the results of 97,426 meters in 803 drill holes (645 core
and 158 reverse circulation drill holes), predominantly on nominal
50 meters by 50 meters drill spacing with infill to nominal 25
meters by 25 meters on two limited areas of the deposit, the
Mapacing and Rante areas done by Battle Mountain Gold Company,
Masmindo Mining Corporation, and Placer Dome Inc., and, in late
2006 by Vista. Assaying was done on nominally one-meter samples by
Analabs and successors in name in Jakarta and the Intertek Caleb
Brett Laboratory in Jakarta with Analabs using a 50-gram sample and
Intertek a 100-gram sample for fire assaying with atomic absorption
spectrophotometry finish. By reviewing the sampling and assaying
procedures utilized for the different drilling programs, Gustavson
and previous independent consultants verified that the procedures
were consistent with industry standard practices. An independent
check sampling and assaying program was done by a previous
independent consultant and results were found to be acceptable.
Battle Mountain Gold, Masmindo Mining and Vista all had duplicate
and check assaying programs in place which were reviewed by
Gustavson and previous consultants and found that the assaying
quality control procedures met industry standard practices. The
Awak Mas deposit is situated on the southern side of the Central
Sulawesi Metamorphic Belt within a 50 kilometer long,
north-northeast trending fault-bounded block of basement
metamorphic rocks and younger sediments. The deposit area is
dominated by the late Cretaceous Latimojong Formation, consisting
of phyllites, slates, basic to intermediate volcanics, limestone
and schist representing a platform and/or fore arc trough flysch
sequence, which has been intruded by late-stage plugs and stocks of
diorite, monzonite and syenite. Gold mineralization is
predominantly hosted within the flysch sequence, which typically
dips between 15� and 50�, generally towards the north. Gold is
associated with sulfur-poor, sodic-rich fluids introduced at a
relatively late stage in the tectonic history. Most gold
mineralization is associated with abundant quartz veining and
silica-albite-pyrite alteration; however, the association of gold
and quartz is not ubiquitous, with some vein zones appearing to be
locally barren of mineralization. Gold mineralization is distinctly
mesothermal in character, atypical of the more ubiquitous low
temperature or epithermal precious metal mineralization within many
island arc environments in Indonesia. In general, the Awak Mas
deposit is comprised of a series of five principal zones: the Upper
and Lower Rante, Lematik, Ongan, and Mapacing that are both
adjacent to and slightly overlap each other. The Upper Rante is
approximately 440 meters wide by 775 meters long and 390 meters
vertically. The Lower Rante is approximately 820 meters wide by 630
meters long and 400 meters vertically. The Ongan is approximately
380 meters wide by 540 meters long and 270 meters vertically. The
Lematik is approximately 560 meters wide by 750 meters long and 420
meters vertically. The Mapacing is approximately 290 meters wide by
680 meters long and 220 meters vertically. Two main styles of
mineralization are present. The first represents broad,
shallow-dipping zones of sheeted and stockwork quartz veining and
associated alteration that conform to the shear fabric, especially
within the dark, graphitic mudstones. The other style consists of
steeper dipping zones of quartz veining and breccias associated
with high-angle faults cutting both the flyschoid cover sequence
and basement metamorphics. Late-stage, north-northeast trending
normal faults locally disrupt or offset mineralization. A surface
layer of consolidated scree and colluvium averaging 3-4 meters
(maximum 15 meters) in thickness veneers the deposit. Vista has
retained Gustavson to undertake a Canadian National Instrument
43-101 preliminary assessment of a potential development of the
deposit using the results of the resource analysis contained in the
current report and other technical information. Considerable
historic technical work regarding metallurgy, process flow sheet,
plant design and infrastructure has been previously completed and
Vista has made this information available to Gustavson. In
addition, Gustavson will undertake new preliminary mining plans and
utilize, where appropriate, other consultants to generate new
information or update the older work. Mike Richings, Vista's
President and CEO, commented, "Our recent drilling program and
reinterpretation of the ore zones has resulted in an improved
understanding of the deposit and a significantly higher deposit
grade compared to our earlier estimate, as previously reported. The
measured and indicated resources are currently estimated to be 15%
higher grade than the earlier estimate at the same cut-off grade.
This means that capital and operating costs will be proportionately
lower and the overall project economics will be improved. We are
embarking on a preliminary assessment to gain an understanding of
the overall project economics at current gold prices and to provide
direction for a bankable feasibility study. We are committed to
advancing our most attractive projects to a production decision and
also to completing technical and economic evaluations on all
projects so that shareholders and potential investors can
appreciate the value of our projects at current gold prices and the
sensitivity of these to changes in gold prices." The earlier
estimate referred to by Mr. Richings was reported by the
Corporation in press releases dated; November 2, 2004; April 18,
2005; and September 20, 2006. Since 2001, Vista has acquired a
number of discovered gold projects with the expectation that higher
gold prices would significantly increase their value. As gold
prices have risen, Vista has completed various preliminary
evaluations that have confirmed that some of the projects would be
potentially viable operations at today's gold prices. Currently,
Vista is undertaking technical programs to bring the most advanced
projects to the point where decisions can be made to put these
projects into production, either by Vista, or through sale or joint
venture to other mining companies. Vista's holdings include the
Paredones Amarillos and Guadalupe de los Reyes Projects in Mexico,
Mt. Todd Project in Australia, Yellow Pine Project in Idaho, Awak
Mas Project in Indonesia, Long Valley Project in California, and
the Amayapampa Project in Bolivia. This press release contains
forward-looking statements within the meaning of the U.S.
Securities Act of 1933 and U.S. Securities Exchange Act of 1934.
All statements, other than statements of historical facts, included
in this press release that address activities, events or
developments that Vista expects or anticipates will or may occur in
the future, including such things as future business strategy,
competitive strengths, goals, operations, plans and other such
matters are forward-looking statements. When used in this press
release, the words "estimate", "plan", "anticipate", "expect",
"intend", "believe" and similar expressions are intended to
identify forward-looking statements. These statements involve known
and unknown risks, uncertainties and other factors which may cause
the actual results, performance or achievements of Vista to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements. Such factors include, among others, risks that Vista's
acquisition, exploration and property advancement efforts will not
be successful; risks relating to fluctuations in the price of gold;
the inherently hazardous nature of mining-related activities;
uncertainties concerning reserve and resource estimates; potential
effects on Vista's operations of environmental regulations in the
countries in which it operates; risks due to legal proceedings;
risks relating to political and economic instability in certain
countries in which it operates; and uncertainty of being able to
raise capital on favorable terms or at all; as well as those
factors discussed in Vista's latest Annual Report on Form 10-K and
Quarterly Report on Form 10-Q and other documents filed with the
U.S. Securities and Exchange Commission. Although Vista has
attempted to identify important factors that could cause actual
results to differ materially from those described in
forward-looking statements, there may be other factors that cause
results not to be as anticipated, estimated or intended. There can
be no assurance that such statements will prove to be accurate as
actual results and future events could differ materially from those
anticipated in such statements. Vista assumes no obligation to
publicly update any forward-looking statements, whether as a result
of new information, future events or otherwise. For further
information, please contact Greg Marlier at (720) 981-1185, or
visit the Vista Gold Corp. website at http://www.vistagold.com/
DATASOURCE: Vista Gold Corp. CONTACT: Greg Marlier of Vista Gold
Corp., +1-720-981-1185 Web site: http://www.vistagold.com/
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