Financing activities
During the three months ended March 31, 2023 and 2022, net cash of $311 and ($327), respectively, was provided by/(used in) financing activities. Cash provided by financing activities during the three months ended March 31, 2023 was $453 of net proceeds under the ATM Program (as defined below) offset by payments of $142 for employee withholding tax obligations in lieu of issuing common shares of the Company (“Common Shares”) earned from the vesting of restricted share unit awards. Cash used by financing activities during the three months ended March 31, 2022 was for payments for employee withholding tax obligations in lieu of issuing Common Shares earned from the vesting of restricted share unit awards.
Liquidity and capital resources
The Company considers available cash, cash equivalents and short-term investments to be its primary measure of liquidity. Our cash liquidity position as of March 31, 2023, comprising cash and cash equivalents of $6,645, reflected a net decrease of $1,465 during the three months ended March 31, 2023.
Current assets net of current liabilities (“Working Capital”) is a secondary measure of liquidity for the Company. The Company had Working Capital of $6,252 and $7,714 at March 31, 2023 and December 31, 2022, respectively.
The Company initiated cost reduction measures starting in 2022 and continues to evaluate and implement additional reductions. The Company plans to reduce its 2023 fixed costs by approximately 7% compared to 2022, which is anticipated to result in annual net recurring costs of approximately $5,500. Discretionary programs are also being reviewed and are expected to be reduced during the remainder of 2023 to approximately $450.
In addition to Vista’s existing capital resources, we are a party to an at-the-market offering agreement (the “ATM Agreement”) with H. C. Wainwright & Co. LLC (“Wainwright”) to provide balance sheet flexibility at a potentially lower cost than other means of equity issuances. Under the ATM Agreement the Company can, but is not obligated to, issue and sell Common Shares through Wainwright for aggregate gross proceeds of up to $10,000 (the “ATM Program”). During the three months ended March 31, 2023, the Company realized net proceeds of $453 under the ATM Program. As of March 31, 2023, $9,279 remained available under the ATM Program.
Offers and sales of Common Shares under the ATM Program will be made only in the United States in an “at the market offering” as defined in Rule 415 under the United States Securities Act of 1933, as amended, subject to an effective registration statement under the U.S. Securities Act of 1933, as amended, and no offers or sales of Common Shares under the ATM Agreement will be made in Canada. The Common Shares will be distributed at market prices prevailing at the time of sale.
Because the Company does not have recurring cash inflows from operations or investments, Vista relies on financing to fund operations in the normal course of business. Vista plans to raise additional capital through equity issuances or other means. Other potential sources of cash inflows may include monetization of Vista’s remaining non-core assets, which include used mill equipment that is being marketed by a third-party mining equipment dealer and a royalty interest in the U.S. Cash may also be available to Vista through several alternative forms of financial instruments, such as a royalty or stream interest in Mt Todd, convertible instruments, and debt facilities.
Considering current economic conditions and the Company’s ongoing initiatives, we believe our cash and cash equivalents and Working Capital as of March 31, 2023, together with available future sources of financing such as the ATM Program, will be sufficient to fund our currently planned corporate expenses, Mt Todd holding costs, and anticipated discretionary programs for at least one year from the date of issuance of this quarterly report on Form 10-Q.
Vista’s long-term viability depends upon our ability to realize value from our principal asset, Mt Todd. Our primary objective is to maintain adequate liquidity as we seek to preserve, enhance, and realize value from Mt Todd to achieve positive returns for our shareholders. Our funding strategy is to maintain a low expenditure profile, realize value from our remaining non-core assets and, when necessary, issue additional equity or find other means of financing. The underlying value and recoverability of the amounts shown as mineral properties and plant and equipment as presented in our