DENVER, May 29, 2013 /CNW/ - Vista Gold Corp. ("Vista" or
the "Company") (NYSE MKT and TSX: VGZ) today announced the positive
results of a new preliminary feasibility study (the "PFS") for its
Mt. Todd gold project (the "Project") in Northern Territory,
Australia. The PFS evaluates two
development scenarios including a 50,000 tonne per day ("tpd")
project that develops more of the Mt. Todd resource (the "Base
Case") and generates a larger Net Present Value ("NPV") and a
smaller and higher-grade 33,000 tpd project that focuses on
maximizing return and operating margins (the "Alternate Case"). The
PFS was authored by Tetra Tech Inc. with Mine Development
Associates, Resource Development Inc., Proteus EPCM Engineers (a
Tetra Tech Company), and Power Engineers, Inc.
A conference call and webcast to discuss highlights of
the preliminary feasibility study will be held this afternoon at
4:30pm ET (2:30pm MT). Call-in details are located at
the end of this release.
Highlights of the 50,000 tpd Base Case include:
- Estimated proven and probable reserves of 5.90 million ounces
of gold (223 million tonnes at 0.82 g Au/t) at a cut-off grade of
0.40 g Au/t, an increase of 44% from the Company's January 2011 PFS;
- Average annual production of 369,850 ounces of gold per year
over the mine life, including average annual production of 481,316
ounces of gold per year during the first five years of
operations;
- Life of mine average cash costs of $773 per ounce, including average cash costs of
$662 per ounce during the first five
years of operations;
- A 13 year operating life;
- After-tax NPV5% of $591.3
million and IRR of 15.9% at $1,450 per ounce gold prices, increasing to
$876.6 million and 21.1%,
respectively, at $1,600 per ounce
gold prices; and
- Initial capital requirements of $1,046
million.
Highlights of the 33,000 tpd alternate case include:
- Estimated proven and probable reserves of 3.56 million ounces
of gold (124 million tonnes at 0.90 g Au/t) at a cut-off grade of
0.45 g Au/t;
- Average annual production of 262,826 ounces of gold per year
over the mine life, including average annual production of 294,502
ounces of gold per year during the first five years of
operations;
- Life of mine average cash costs of $684 per ounce, including average cash costs of
$676 per ounce during the first five
years of operations;
- An 11 year operating life;
- After-tax NPV5% of $440.2
million and IRR of 16.9% at $1,450 per ounce gold prices, increasing to
$615.6 million and 21.4%,
respectively, at $1,600 per ounce
gold prices; and
- Initial capital requirements of $761
million.
Frederick H. Earnest, President
and Chief Executive Officer of Vista, commented, "The positive
results of this PFS continue to demonstrate the quality and scale
of the Mt. Todd gold project. By completing the PFS analysis on two
separate development scenarios, we are highlighting the flexibility
we have in the development of this robust project. We have the
option to develop the mine most appropriate at the time a
development decision is made. Furthermore, the location of the
project relative to local towns and labor markets and the
infrastructure investments made by previous owners of this project
provide potential construction and operating advantages relative to
many gold projects."
Mr. Earnest continued, "During the balance of 2013, we will
continue to advance the Mt. Todd gold project. We will be working
with the Northern Territory Government to address areas vital for
the completion of a feasibility study and ultimately for a project
development decision. These discussions will be undertaken within
the framework of Major Project Status, which the Territory has
recently accorded Mt. Todd indicating the importance that the
Territory places on its development. The PFS results allow us to
finalize and submit the Environmental Impact Study ("EIS") in June.
We continue to anticipate environmental approvals for the project
around year end. Because of the advanced state of this study, with
most technical work already at feasibility levels, we estimate that
a feasibility study would require four months to complete and cost
approximately $2.5 million."
Nick Michael and Rex Bryan, on behalf of Tetra Tech, Thomas Dyer, on behalf of Mine Development
Associates, Deepak Malhotra, on
behalf of Resource Development Inc., and Lachlan Walker, on behalf of Proteus EPCM
Engineers, all independent Qualified Persons as defined by Canadian
National Instrument 43-101 ("NI 43-101"), prepared or supervised
the preparation of information that forms the basis for the
scientific and technical information disclosed herein and have
reviewed this press release and have consented to its release.
Base Case Highlights
Highlights of the PFS base case scenario are presented in the
table below.
Base Case (50,000 tpd)
@ $1,450/oz Au
|
Years 1-5
|
Life of Mine ("LOM")
(13 years)
|
|
Annual
Average
|
Total
|
Annual
Average
|
Total
|
Average Milled Grade (g/t)
|
1.03
|
0.82
|
Payable Gold (000's ozs)
|
481
|
2,407
|
370
|
4,808
|
Gold Recovery
|
82.0%
|
81.5%
|
Cash Costs ($/oz)
|
$662
|
$773
|
Strip Ratio (waste:ore)
|
2.5
|
2.7
|
Initial Capital ($ millions)
|
$1,046
|
Pre-tax NPV5% ($ millions)
|
$1,094
|
After-tax NPV5% ($ millions)
|
$591
|
IRR (Pre-tax / After-tax)
|
21.8% / 15.9%
|
After-tax Payback (Production Years)
|
3.5
|
Note: Economics presented using $1,450/oz
gold and a flat $1.00 USD : $1.00 AUD exchange rate and assumes
deferral of certain Territory tax obligations as well as
realization of equipment salvage values at the end of the mine
life.
|
Base Case Project Economics
The following table provides additional details of the Project's
economics at variable gold price and Australian dollar
assumptions.
After-Tax NPV5%, in
Millions
|
Base Case (50,000tpd)
Gold Price per Ounce
|
Forex
USD/AUD
|
$1,200
|
$1,300
|
$1,400
|
$1,450
|
$1,500
|
$1,600
|
$1,700
|
$1,800
|
USD$1.10
|
($51.4)
|
$155.9
|
$352.1
|
$448.4
|
$543.8
|
$734.5
|
$924.9
|
$1,114.1
|
USD$1.00
|
$108.1
|
$304.5
|
$496.1
|
$591.3
|
$686.6
|
$876.6
|
$1,065.6
|
$1,255.1
|
USD$0.90
|
$258.5
|
$448.3
|
$638.8
|
$733.6
|
$828.3
|
$1,017.2
|
$1,206.5
|
$1,395.9
|
USD$0.80
|
$400.6
|
$591.0
|
$780.0
|
$874.4
|
$968.9
|
$1,157.9
|
$1,347.2
|
$1,536.1
|
Note: Changes in Foreign Exchange rates are
only applied to operating costs and not applied to either initial
or sustaining capital costs.
|
Base Case Capital Costs
Key capital expenditures for initial and sustaining capital
requirements are identified in the following table.
Capital Expenditures ($Millions)
Base Case (50,000 tpd)
|
Initial Capital
|
Sustaining Capital
|
Capitalized Stripping & Dewatering
|
$57
|
$40
|
Mobile Equipment
|
$139
|
$151
|
Process Facility
|
$410
|
-
|
Tailings
|
$20
|
$184
|
Power Plant
|
$91
|
-
|
Water Supply & Treatment
|
$19
|
-
|
Owners Cost
|
$203
|
($10)
|
Sub-Total
|
$938
|
$366
|
Contingency
|
$107
|
$23
|
Salvage Value
|
|
($124)
|
Mine Closure
|
$1
|
$94
|
Total Capital
|
$1,046
|
$359
|
Total Capital per payable ounce gold
|
$218
|
$75
|
Note: may not add due to rounding. The
negative value in the sustaining capital category of the owners'
cost line is the re-capture of the cash component of the project's
cash reclamation bond, which is spent as cash under the Mine
Closure category.
|
Base Case Operating Costs
The following table presents a breakdown of operating costs. The
project includes a 76MW gas-fired power plant in the initial
capital. The Base Case project consumes all power generated during
the operating life. Self-generated power creates significant
savings in operating costs compared to a grid-sourced power
solution. During the four years of reclamation and closure, the PFS
assumes Vista will continue generating power and will sell that
power into the Northern Territory electrical grid, for which there
is a known market and indicative purchase rates have been provided
by the government-owned utility, Power & Water Corporation.
Operating Cost – Base Case (50,000
tpd)
|
First 5 Years
|
LOM Cost
|
|
Per tonne processed
|
Per ounce
|
Per tonne processed
|
Per ounce
|
Mining
|
$8.18
|
$302.03
|
$6.95
|
$321.88
|
Processing
|
$8.71
|
$321.47
|
$8.78
|
$406.86
|
Site General and Administrative
|
$0.49
|
$18.27
|
$0.50
|
$22.94
|
Jawoyn Royalty
|
$0.39
|
$14.50
|
$0.31
|
$14.50
|
Water Treatment
|
$0.07
|
$2.60
|
$0.07
|
$3.39
|
Refining Costs
|
$0.09
|
$3.19
|
$0.07
|
$3.19
|
Power Credit
|
-
|
-
|
-
|
-
|
Total Cash Costs
|
$17.93
|
$662.06
|
$16.68
|
$772.76
|
Note: Jawoyn Royalty and refinery costs
calculated at $1,450 per ounce gold. May not add due to
rounding.
|
Base Case Mining and Production
The 50,000 tpd Base Case mine plan contains 209.5 million tonnes
of ore mined from the Batman open pit plus 13.4 million tonnes of
ore from the existing heap leach pad that is processed through the
mill at the end of the mine life. Together, 222.8 million tonnes of
ore containing 5.901 million ounces of gold at an average grade of
0.82 g Au/t are processed over the 13 year operating life. Total
gold recovered is expected to be 4.808 million ounces. Average
annual gold production over the life of mine is 369,850 ounces,
averaging 481,316 ounces during the first five years of operations,
with 580,472 ounces produced in the first year of operations.
Commercial production would begin following two years of
construction and commissioning.
Base Case Annual Production
The table below highlights the production schedule.
Years
|
Ore Mined (kt)
|
Waste Mined (kt)
|
Strip Ratio (W:O)
|
Milled Ore (kt)
|
Milled Grade (g/t)
|
Contained Ounces (kozs)
|
Mill Production (kozs)
|
-1
|
11,764
|
24,761
|
2.1
|
-
|
-
|
-
|
-
|
1
|
28,101
|
33,803
|
1.2
|
17,799
|
1.24
|
708
|
580
|
2
|
20,983
|
55,290
|
2.6
|
17,750
|
0.92
|
525
|
430
|
3
|
23,941
|
78,227
|
3.3
|
17,750
|
1.07
|
613
|
502
|
4
|
18,285
|
71,608
|
3.9
|
17,750
|
0.82
|
471
|
386
|
5
|
29,066
|
58,329
|
2.0
|
17,799
|
1.08
|
620
|
508
|
6
|
7,561
|
71,279
|
9.4
|
17,750
|
0.71
|
408
|
334
|
7
|
4,777
|
54,405
|
11.4
|
17,750
|
0.55
|
312
|
256
|
8
|
7,078
|
45,482
|
6.4
|
17,750
|
0.53
|
301
|
247
|
9
|
10,700
|
38,710
|
3.6
|
17,799
|
0.57
|
325
|
266
|
10
|
24,331
|
27,864
|
1.1
|
17,750
|
0.83
|
473
|
388
|
11
|
22,861
|
2,592
|
0.1
|
17,750
|
1.14
|
653
|
535
|
12
|
-
|
-
|
-
|
17,750
|
0.57
|
324
|
258
|
13
|
-
|
-
|
-
|
9,659
|
0.54
|
168
|
117
|
Total
|
209,451
|
562,349
|
2.7
|
222,805
|
0.82
|
5,901
|
4,808
|
Note: May not add due to rounding. Total
milled ore includes material from the heap leach pad that is
processed at the end of the mine life.
|
Project Mineral Reserves and Resources
The table below illustrates the updated reserve and resource
estimate for the Project. The effective date of the Batman deposit
resource estimate is March 18, 2013.
The effective date of the heap leach resource estimate is
May 29, 2013.
Mt. Todd Gold Project Reserves, Base Case
(50,000tpd) 0.40 g Au/t cut-off and $1,360 per ounce gold
|
|
Batman Deposit
|
Heap Leach Pad
|
Quigleys Deposit
|
Total
|
|
Tonnes (000s)
|
Grade (g/t)
|
Contained Ounces (000s)
|
Tonnes (000s)
|
Grade (g/t)
|
Contained Ounces (000s)
|
Tonnes (000s)
|
Grade (g/t)
|
Contained Ounces (000s)
|
Tonnes (000s)
|
Grade (g/t)
|
Contained Ounces (000s)
|
Proven
|
72,495
|
0.88
|
2,057
|
-
|
-
|
-
|
-
|
-
|
-
|
72,495
|
0.88
|
2,057
|
Probable
|
136,955
|
0.82
|
3,612
|
13,354
|
0.54
|
232
|
-
|
-
|
-
|
150,309
|
0.80
|
3,844
|
Proven & Probable
|
209,451
|
0.84
|
5,669
|
13,354
|
0.54
|
232
|
-
|
-
|
-
|
222,805
|
0.82
|
5,901
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mt. Todd Gold Project Resources
|
|
Batman Deposit
|
Heap Leach Pad
|
Quigleys Deposit
|
Total
|
|
Tonnes (000s)
|
Grade (g/t)
|
Contained Ounces (000s)
|
Tonnes (000s)
|
Grade (g/t)
|
Contained Ounces (000s)
|
Tonnes (000s)
|
Grade (g/t)
|
Contained Ounces (000s)
|
Tonnes (000s)
|
Grade (g/t)
|
Contained Ounces (000s)
|
Measured
|
77,793
|
0.88
|
2,193
|
-
|
-
|
-
|
571
|
0.98
|
18
|
78,364
|
0.88
|
2,211
|
Indicated
|
201,792
|
0.80
|
5,209
|
13,354
|
0.54
|
232
|
6,868
|
0.82
|
181
|
222,014
|
0.79
|
5,622
|
Measured & Indicated
|
279,585
|
0.82
|
7,401
|
13,354
|
0.54
|
232
|
7,439
|
0.83
|
199
|
300,378
|
0.81
|
7,832
|
Inferred
|
72,458
|
0.74
|
1,729
|
-
|
-
|
-
|
11,767
|
0.85
|
320
|
84,225
|
0.76
|
2,049
|
|
Note: measured & indicated resources
include proven and probable reserves. Batman and Quigleys resources
are quoted at a 0.40g Au/t cut-off grade. Heap Leach resources are
the average grade of the heap, no cut-off applied. Economic
analysis conducted only on proven and probable reserves. Thomas
Dyer of Mine Development Associates is the Qualified Person
responsible for developing reserves for the Batman deposit. Deepak
Malhotra of Resource Development Inc. is the Qualified Person
responsible for developing reserves for the heap leach.
|
Alternate Case Presented in PFS Study
In addition to the 50,000 tpd Base Case, the PFS also evaluated
a smaller, higher-grade project as an Alternate Case.
Key differences between the Base Case and the Alternative Case
include:
- A 33,000 tpd milling facility vs. a 50,000 tpd facility in the
Base Case with associated lower mining rates and a smaller mining
fleet; and
- A reserve pit shell of $925/oz
vs. $1,360/oz in the base case and
the application of a higher cut-off grade (0.45 g Au/t vs. 0.40 g
Au/t).
Alternate Case Highlights
Highlights of the PFS alternate case scenario are presented in
the table below.
Alternate Case (33,000 tpd)
@ $1,450/oz Au
|
Years 1-5
|
LOM
(11 years)
|
|
Annual
Average
|
Total
|
Annual
Average
|
Total
|
Average Milled Grade (g/t)
|
0.95
|
0.90
|
Payable Gold (000's ozs)
|
295
|
1,473
|
263
|
2,891
|
Gold Recovery
|
82.0%
|
81.2%
|
Cash Costs ($/oz)
|
$676
|
$684
|
Strip Ratio (waste:ore)
|
2.1
|
2.0
|
Initial Capital ($ millions)
|
$761
|
Pre-tax NPV5% ($ millions)
|
$777
|
After-tax NPV5% ($ millions)
|
$440
|
IRR (Pre-tax / After-tax)
|
22.1% / 16.9%
|
After-tax Payback (Production Years)
|
3.2
|
Note: Economics presented using $1,450/oz
gold and a flat $1.00 USD : $1.00 AUD exchange rate and assumes
deferral of certain Territory tax obligations as well as
realization of equipment salvage values at the end of the mine
life.
|
Alternate Case Project Economics
The following table provides additional details of the Project's
economics at variable gold price and Australian dollar
assumptions.
After-Tax NPV5%, in
Millions
|
Alternate Case (33,000tpd)
Gold Price per Ounce
|
Forex
USD/AUD
|
$1,200
|
$1,300
|
$1,400
|
$1,450
|
$1,500
|
$1,600
|
$1,700
|
$1,800
|
USD$1.10
|
$58.5
|
$187.2
|
$305.1
|
$363.2
|
$421.5
|
$538.2
|
$655.5
|
$773.2
|
USD$1.00
|
$146.4
|
$265.6
|
$381.9
|
$440.2
|
$498.5
|
$615.6
|
$733.2
|
$850.9
|
USD$0.90
|
$225.6
|
$342.4
|
$458.8
|
$517.1
|
$575.8
|
$693.2
|
$810.9
|
$928.6
|
USD$0.80
|
$303.0
|
$419.3
|
$535.9
|
$594.6
|
$653.2
|
$770.9
|
$888.6
|
$1,006.3
|
Note: Changes in Foreign Exchange rates are
only applied to operating costs and not applied to either initial
or sustaining capital costs.
|
Alternate Case Capital Costs
Key capital expenditures for initial and sustaining capital
requirements are identified in the table below.
Capital Expenditures ($ Millions)
Alternate Case (33,000 tpd)
|
Initial Capital
|
Sustaining Capital
|
Capitalized Stripping & Dewatering
|
$24
|
$38
|
Mobile Equipment
|
$77
|
$73
|
Process Facility
|
$310
|
-
|
Tailings
|
$19
|
$86
|
Power Plant
|
$64
|
-
|
Water Supply
|
$11
|
-
|
Owners Cost
|
$175
|
($14)
|
Sub-Total
|
$680
|
$183
|
Contingency
|
$80
|
$11
|
Salvage Value
|
-
|
($77)
|
Mine Closure
|
$1
|
$94
|
Total Capital
|
$761
|
$211
|
Total Capital per payable ounce gold
|
$263
|
$73
|
Note: may not add due to rounding. The
negative value in the sustaining capital category of the owners'
cost line is the re-capture of the cash component of the project's
cash reclamation bond, which is spent as cash under the Mine
Closure category.
|
Alternate Case Operating Costs
The following table presents a breakdown of operating costs. The
Alternate Case project includes a 58MW gas-fired power plant in
initial capital. During the operating life, the power plant
generates excess power and Vista has assumed a power credit against
operating costs. Additionally, during the four years of reclamation
and closure, Vista intends to generate and sell power into the
Northern Territory electrical grid, for which there is a known
market and indicative purchase rates have been provided by the
government-owned Power & Water Corporation.
Operating Cost – Alternate Case (33,000
tpd)
|
First 5 Years
|
LOM Cost
|
|
Per tonne processed
|
Per ounce
|
Per tonne processed
|
Per ounce
|
Mining
|
$6.55
|
$260.99
|
$5.49
|
$234.75
|
Processing
|
$9.37
|
$373.32
|
$9.51
|
$406.86
|
Site General and Administrative
|
$0.74
|
$29.42
|
$0.74
|
$31.63
|
Jawoyn Royalty
|
$0.36
|
$14.50
|
$0.34
|
$14.50
|
Water Treatment
|
$0.08
|
$3.17
|
$0.08
|
$3.55
|
Refining Costs
|
$0.08
|
$3.19
|
$0.07
|
$3.19
|
Power Credit
|
($0.23)
|
($8.97)
|
($0.23)
|
($10.05)
|
Total Cash Costs
|
$16.97
|
$675.61
|
$15.99
|
$684.43
|
Note: Jawoyn Royalty and refinery costs
calculated at $1,450 per ounce gold.
|
Alternate Case Mining and Production
The 33,000 tpd Alternate Case mine plan contains 110.4 million
tonnes of ore mined from the Batman open pit plus 13.4 million
tonnes of ore from the existing heap leach pad that is processed
through the mill at the end of the mine life. Together, 123.7
million tonnes of ore containing 3.562 million ounces of gold at an
average grade of 0.90 g Au/t are processed over the 11 year
operating life. Total gold recovered is expected to be 2.891
million ounces. Average annual gold production over the life of
mine is 262,826 ounces, averaging 294,502 ounces during the first
five years of operations, with 417,166 ounces produced in the first
year of operations. Commercial production would begin following two
years of construction and commissioning.
Alternate Case Annual Production
The table below highlights the production schedule.
Years
|
Ore Mined (kt)
|
Waste Mined (kt)
|
Strip Ratio (W:O)
|
Milled Ore (kt)
|
Milled Grade (g/t)
|
Contained Ounces (kozs)
|
Mill Production (kozs)
|
-1
|
3,407
|
8,483
|
2.5
|
-
|
-
|
-
|
-
|
1
|
16,872
|
23,714
|
1.4
|
11,747
|
1.35
|
509
|
417
|
2
|
12,013
|
23,611
|
2.0
|
11,715
|
0.86
|
323
|
265
|
3
|
17,775
|
22,960
|
1.3
|
11,715
|
1.16
|
438
|
359
|
4
|
4,921
|
35,191
|
7.2
|
11,715
|
0.63
|
237
|
194
|
5
|
10,331
|
24,062
|
2.3
|
11,747
|
0.77
|
289
|
237
|
6
|
17,311
|
23,934
|
1.4
|
11,715
|
1.17
|
442
|
361
|
7
|
2,681
|
31,629
|
11.8
|
11,715
|
0.65
|
245
|
201
|
8
|
8,501
|
22,889
|
2.7
|
11,715
|
0.73
|
277
|
227
|
9
|
12,597
|
6,209
|
0.5
|
11,747
|
0.99
|
375
|
308
|
10
|
3,964
|
49
|
0.0
|
11,715
|
0.83
|
314
|
244
|
11
|
-
|
-
|
-
|
6,482
|
0.54
|
113
|
79
|
Total
|
110,374
|
222,732
|
2.0
|
123,728
|
0.90
|
3,562
|
2,891
|
Note: May not add due to rounding. Total
milled ore includes material from the heap leach pad that is
processed at the end of the mine life.
|
Project Description
Gold mineralization in the Batman deposit at the Project occurs
in sheeted veins within silicified greywackes/shales/siltstones.
The Batman deposit strikes north-northeast and dips steeply to the
east. Higher grade zones of the deposit plunge to the south. The
core zone is approximately 200-250 meters wide and 1.5km long, with
several hanging wall structures providing additional width to the
orebody. Mineralization is open at depth as well as along strike,
although the intensity of mineralization weakens to the north and
south along strike.
The Project is designed to be a conventional, owner-operated,
large open-pit mining operation that will utilize large-scale
mining equipment in a blast/load/haul operation. Ore is planned to
be processed in a large comminution circuit consisting of a
gyratory crusher, two cone crushers, two HPGR crushers, and three
ball mills as discussed in greater detail below. Vista plans to
recover gold in a conventional carbon-in-leach ("CIL") recovery
circuit.
Metallurgy, Processing and Infrastructure
Vista has completed extensive, feasibility-level metallurgic
test work that was announced in a separate press release dated
May 22, 2013. The technical reports
related to this test work are posted on the Mt. Todd section under
the Technical Reports heading on the Company's website.
Vista's metallurgic test work programs support: (1) ore hardness
estimates at the Batman deposit that are consistent and do not
change at depth; (2) the selection of High Pressure Grinding Roll
("HPGR") technology as part of the comminution circuit; (3)
estimated gold recovery rates based on optimized grind size and
leach conditions; and (4) the processing of material from the
historic heap leach pad at the end of the proposed mine life.
The robust comminution circuit is designed to process material
with an average bond-work index 5% in excess of actual rock
hardness based on the test work completed. Gold will be recovered
through a traditional CIL circuit. Recovery rates are based on the
results of 99 variability tests.
Because the Project was an operating mine, infrastructure exists
that reduces initial capital expenditure and significantly reduces
capital risk related to infrastructure construction, which has been
a major source of capital overruns in the mining industry over the
last decade. Existing mining infrastructure items include:
- an existing tailings storage facility that will receive two
raises and is expected to contain the initial 62 million tonnes of
material processed;
- an existing fresh water storage reservoir that will receive a
two-meter dam raise and will harvest stormwater sufficient to
provide process water for year-round operations;
- a natural gas pipeline at site that can supply sufficient
natural gas to meet the Project's energy requirements and would
save considerably on project operating costs compared to
grid-supplied power;
- a paved road to site;
- current electrical connection to the Northern Territory
electric grid; and
- reduced earthworks costs due to the process plant location
being the same as the previous process plant, which has already
been cleared and graded.
Other benefits of the Mt. Todd project's Northern Territory
location include:
- the Stuart highway – the main North / South highway in the
Northern Territory is less than 15km from the project site;
- rail line parallel to the Stuart highway; and
- the regional center of Katherine (population approximately
12,000) less than 60km from site and the Territory capital of
Darwin less than 300km from site, which has port access.
Vista is working with the communities of Katherine and Pine
Creek to develop a community-based project as opposed to the more
typical fly-in, fly-out project, which is generally more expensive
and limits the economic benefits of projects to local
communities.
Conference Call Details
A conference call and webcast to discuss highlights of
the preliminary feasibility study will be held this afternoon at
4:30pm ET (2:30pm MT). A presentation accompanying the
conference call will be made available on the Company's website
prior to the conference call.
<blockquote>
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/webcast/vistagold/mt-2013/site/
</blockquote> <blockquote>
This call will be archived and available at www.vistagold.com
after May 29, 2013. Audio replay will
be available for 21 days by calling toll-free in North America: 1-866-245-6755, passcode
494532.
</blockquote>
Detailed Report
A NI 43-101 Technical Report will be filed on SEDAR within 45
days and will be available on our website at that time.
About Vista Gold Corp.
Vista is focused on the development of the Mt. Todd gold project
in Northern Territory, Australia,
to achieve its goal of becoming a gold producer. Vista has
completed a preliminary economic assessment 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.
Vista'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.
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 Vista expects or
anticipates will or may occur in the future, including such things
as, the Company's continued work on the Mt. Todd gold project,
anticipated discussions with the Northern territory government
regarding the Feasibility Study, timing for finalizing the EIS,
timing for full project permits, cost and timing for Feasibility
study, estimates of reserves and resources, projected project
economics, including anticipated production, average cash costs,
before and after-tax NPV, IRR, capital requirements and
expenditures, gold recovery after-tax payback, operating costs,
average tonne per day milling, mining methods procedures, recovery
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:
results of the PFS, mineral resource and reserve estimates,
exploration and assay results, terms and conditions of our
agreements with contractors and our approved business plan, the
anticipated timing and completion of a feasibility study on the
Project; the anticipated completion of an EIS; the anticipated
receipt of required permits; the potential occurrence and timing of
a production decision; the anticipated gold production at the
Project; the life of any mine at the Project; all economic
projections relating to the Project, including estimated cash cost,
NPV, and initial capital requirements; and Vista's goal of becoming
a gold producer.. When used in this press release, the words
"optimistic," "potential," "indicate," "expect," "intend," "plans,"
"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 Vista 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 estimates, estimates
of results based on such resource estimates; risks relating to
completing metallurgical testing; risks relating to cost increases
for capital and operating costs; risks related to the timing and
the ability to obtain the necessary permits, 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 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; as well as those factors discussed under the headings
"Note Regarding Forward-Looking Statements" and "Risk Factors" in
Vista's Annual Report 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 Vista has 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, Vista assumes no obligation to publicly update any
forward-looking statements or forward-looking information; whether
as a result of new information, future events or otherwise.
Cautionary Note to U.S. Investors Concerning Estimates of
Mineral Resources
The United States Securities and Exchange Commission ("SEC")
limits disclosure for U.S. reporting purposes to mineral deposits
that a company can economically and legally extract or produce.
This press release uses the terms "Proven reserves," "Probable
reserves," "Measured resources," "Indicated resources," and
"Measured & Indicated resources." We advise U.S. investors that
while these terms are Canadian mining terms as defined in
accordance with NI 43-101, such terms are not recognized under SEC
Industry Guide 7 and are normally not permitted to be used in
reports and registration statements filed with the SEC. Reserve
estimates contained in this press release are made pursuant to NI
43-101 standards and do not represent reserves under SEC Industry
Guide 7 standards. 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. Mineral
resources described in this press release have a great amount of
uncertainty as to their economic and legal feasibility. 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. The
term "contained gold ounces" used in this press release is not
permitted under the rules of the SEC. "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 any or all part of an Inferred resource will ever
be upgraded to a higher category. 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.
For further information, please contact Connie Martinez at (720) 981-1185, or visit the
Company's website at www.vistagold.com.
SOURCE Vista Gold Corp.