DENVER, March 13, 2013 /PRNewswire/ -- Vista Gold Corp.
(the "Company," "we" or "our") (NYSE MKT and TSX: VGZ) today
announced its audited financial results and highlights for the
fiscal year ended December 31, 2012.
Management's quarterly conference call to discuss these results is
scheduled for 2:30 p.m. MDT on
March 14, 2013. The Company's full
audited financial statements, Management's Discussion and Analysis
together with other important disclosures can be found in the
Company's Annual Report on Form 10-K, filed with the U.S.
Securities and Exchange Commission and the Canadian securities
regulatory authorities.
Recent Highlights:
- Completed the resource conversion drilling program at the Mt.
Todd gold project;
- Continued building the Mt. Todd development team by appointing
Brent Murdoch as General
Manager;
- Completed an updated resource estimate for the Guadalupe de los
Reyes gold/silver project based on the Company's completed drilling
program;
- Completed a Preliminary Economic Assessment on the Guadalupe de
los Reyes gold/silver project;
- Held analyst days in Toronto
and New York where Vista's senior
management team provided the market an in-depth review of
the technical and development work conducted at the Mt. Todd
gold project over the previous six years; and
- Completed a public offering of units raising gross proceeds of
$11.5 million.
Frederick H. Earnest, President
and Chief Executive Officer, commented, "The market for gold
equities since the beginning of the fourth quarter of last year has
been extraordinarily challenging, with the GDXJ trading down over
34%. Despite the difficult markets, the Company is currently
adequately financed and we are implementing steps to make sure we
remain so. Although we had intended to complete a Preliminary
Feasibility Study ("PFS") on the Mt. Todd gold project earlier this
year, present market conditions have given us reason to re-evaluate
our development strategy. Previous studies indicated that a
larger project would be optimal, but we are currently focusing our
analysis on defining a project that limits CapEx and maximizes
operating margins, to the extent possible. We expect
completion of a PFS within the next two months and will discuss our
plans for the Mt. Todd gold project PFS in further detail during
the conference call on Thursday after the market close."
Summary of 2012 Financial Results
We reported a net loss of $70.7
million or $0.95 per share for
the year ended December 31,
2012. This includes an unrealized $50.4 million mark-to-market loss on our
investment in Midas Gold Corp. ("Midas"), partly offset by a
$20.1 million deferred tax benefit
substantially related to this loss and a $6
million impairment of mill assets that had originally been
purchased for use at the Los Cardones gold project. The mill
assets are now held for sale. During the year ended
December 31, 2011, we reported net
income of $51.5 million, or
$0.75 per share. The 2011
results included a $77.8 million
unrealized gain on the disposal of our Yellow Pine gold project,
and a $37.3 million unrealized
mark-to-market gain on our investment in Midas, which was also
partly offset by a $35.5 million
deferred tax expense substantially related to these
gains.
Project expenditures at the Mt. Todd gold project, the Guadalupe
de los Reyes gold/silver project, and at our corporate headquarters
were in line with expectations.
In December 2012, we realized net
proceeds of $10.2 million from a
public equity offering. Our working capital at December 31, 2012 totaled approximately
$60.3 million, including cash of
approximately $18.3 million.
Working capital at the end of 2011 totaled $16.9 million. The increase in working
capital resulted from the reclassification of our investment in
Midas from long-term to current assets, as the few remaining
restrictions on our ability to sell our Midas stock expire in
July 2013.
To review the Company's Annual Report on Form 10-K for the year
ended December 31, 2012, including
the related Management's Discussion and Analysis, visit any of the
following websites: www.sedar.com, www.sec.gov or
www.vistagold.com.
Management Conference Call
A conference call with management to review our financial
results for the fiscal year ended December
31, 2012 and to discuss corporate and project activities is
scheduled for Thursday, March 14,
2013 at 2:30p.m. MDT.
Toll-free in North America:
1-866-443-4188
International: 416-849-6196
This call will also be web-cast and can be accessed at the
following web location:
http://www.snwebcastcenter.com/custom_events/vistagold-20130314/site/
This call will be archived and available at www.vistagold.com
after March 14, 2013. Audio
replay will be available for 21 days by calling toll-free in North
America: 1-866-245-6755, passcode 394973.
If you are unable to access the audio or phone-in on the day of
the conference call, please email questions to Connie Martinez, Manager – Investor Relations
(email: connie@vistagold.com), and we will try to address these
questions prior to or during the conference call.
About Vista Gold Corp.
The Company is focused on the development of the Mt. Todd gold
project in Northern Territory, Australia, to achieve its goal of becoming a
gold producer. The Company is advancing exploration on its
Guadalupe de los Reyes gold/silver project in Mexico and has granted Invecture Group, S.A.
de C.V. a right to earn a 62.5% interest in the Los Cardones gold
project in Mexico. The Company's
other holdings include the Awak Mas gold project in Indonesia, subject to One Asia Resources
Ltd.'s right to earn an 80% interest, and the Long Valley gold
project in California. For more
information about our projects, including technical studies and
resource estimates, please visit our website at
www.vistagold.com.
For further information, please contact Connie Martinez at (720) 981-1185.
Forward Looking Statements
This press release
contains forward-looking statements within the meaning of the U.S.
Securities Act of 1933, as amended, and U.S. Securities Exchange
Act of 1934, as amended, and forward-looking information within the
meaning of Canadian securities laws. All statements, other
than statements of historical facts, included in this press release
that address activities, events or developments that we expect or
anticipate will or may occur in the future, including such things
as, timing, completion and results of a PFS on the Mt. Todd gold
project, including completing a PFS that limits CapEx while
maximizing operating margins, the Company's adequate funding for
future operations and steps to ensure continued adequate funding,
the Company's future development plans, and other such matters are
forward-looking statements and forward-looking information.
The material factors and assumptions used to develop the
forward-looking statements and forward-looking information
contained in this press release include the following: our approved
business plans, exploration and assay results, mineral resource and
reserve estimates and results of preliminary economic assessments,
pre-feasibility studies and feasibility studies on our projects, if
any. When used in this press release, the words "optimistic,"
"potential," "indicate," "expect," "intend," "hopes," "believe,"
"may," "will," "if," "anticipate," and similar expressions are
intended to identify forward-looking statements and forward-looking
information. These statements involve known and unknown
risks, uncertainties and other factors which may cause the actual
results, performance or achievements of the Company to be
materially different from any future results, performance or
achievements expressed or implied by such statements. Such
factors include, among others, uncertainty of resource and reserve
estimates, uncertainty as to the Company's future operating costs
and ability to raise capital; risks relating to completing the PFS
for the Mt. Todd gold project; risks relating to cost increases for
capital and operating costs; risks of shortages and fluctuating
costs of equipment or supplies; risks relating to fluctuations in
the price of gold; the inherently hazardous nature of
mining-related activities; potential effects on our 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; as
well as those factors discussed under the headings "Note Regarding
Forward-Looking Statements" and "Risk Factors" in the Company's
latest Annual Report on Form 10-K as filed on March 14, 2013 and other documents filed with the
U.S. Securities and Exchange Commission and Canadian securities
regulatory authorities. Although we have attempted to
identify important factors that could cause actual results to
differ materially from those described in forward-looking
statements and forward-looking information, there may be other
factors that cause results not to be as anticipated, estimated or
intended. Except as required by law, we assume no obligation
to publicly update any forward-looking statements or
forward-looking information; whether as a result of new
information, future events or otherwise.
Without limiting the foregoing, this press release uses terms
that comply with reporting standards in Canada and certain estimates are made in
accordance with National Instrument 43-101 Standards of Disclosure
for Mineral Projects ("NI 43-101"). NI 43-101 is a rule developed
by the Canadian Securities Administrators that establishes
standards for all public disclosures an issuer makes of scientific
and technical information concerning mineral projects. This
press release uses the term "mineral resource." We advise
U.S. investors that while the term is recognized by Canadian
regulations, the term is not a defined term under the United States
Securities and Exchange Commission's (the "SEC") Industry Guide 7
and is normally not permitted to be used in reports and
registration statements filed with the SEC. Mineral 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 these mineral resources will
ever be upgraded to a higher category. The SEC normally only
permits issuers to report mineralization that does not constitute
SEC Industry Guide 7 compliant "reserves" as in-place tonnage and
grade without reference to unit measures. Under SEC Industry
Guide 7 standards, a "final" or "bankable" feasibility study is
required to report reserves, the three-year historical average
price is used in any reserve or cash flow analysis to designate
reserves and all necessary permits and government approvals must be
filed with the appropriate governmental authority. U.S.
Investors are cautioned not to assume that any part or all of
mineral deposits in these categories will ever be converted into
SEC Industry Guide 7 reserves.
SOURCE Vista Gold Corp.