Vista Gold Corp. Receives Exploration Licenses and Announces Drill Results at Mt. Todd Project, Australia, and Reviews Cash Posi
04 September 2007 - 6:01AM
PR Newswire (US)
DENVER, Sept. 4 /PRNewswire-FirstCall/ -- Vista Gold Corp. (Amex:
VGZ; TSX: VGZ) announced today that it has received four
exploration licenses ("ELs") covering about 110,633 hectares
primarily to the north- northeast of Vista's Mt. Todd gold mine in
the Northern Territory, Australia. The ELs had been held in reserve
status by the Northern Territory government prior to Vista
acquiring the project. Vista's management believes exploration
potential for gold and other minerals on these licenses to be good,
and a program to systematically evaluate the mineral potential of
this land is underway. Earlier work by past operators has
identified Mt. Todd-type low- grade mineralization in a zone
trending north-northeast of Mt. Todd and scattered prospects
throughout the area covered by the ELs. Additionally, historical
drill results indicate the presence of vein-type high-grade
intercepts at various locations in the area covered by the ELs.
Vista has received initial gold assays for all of the 19 core drill
holes completed at Mt. Todd earlier this year. Results for the
first six core drill holes (one of which was abandoned due to
difficult drilling conditions) were issued in Vista's press release
dated May 30, 2007. Check assaying and assaying for other metals,
including copper, is ongoing. The objectives of the program are to
obtain information that supports the conversion of inferred gold
resources to measured and indicated resources, to explore for
additional resources on strike and down dip, to aid in the
determination of the copper content of the deposit and to obtain
samples for metallurgical testing. The drilling program began
February 1, 2007, and concluded on June 6, 2007, with 25 holes
completed (including the one hole abandoned) for 9,883 meters of
drilling, under the overall supervision of Robert Perry, CPG,
Vista's Vice President of Exploration. Mr. Perry is a qualified
person for the purposes of Canadian National Instrument 43-101. The
drill holes covered an area of 1,600 meters by 300 meters. Drill
hole spacing of the holes drilled in this program varied from 30 to
300 meters, but spacing between these holes and holes drilled by
previous operators was less than 50 meters. The core drilling was
done by Titeline Drilling PL of Australia, and the assaying for
gold is being done by Northern Australian Labs in Pine Creek,
Northern Territory, Australia, with check assaying by ALS Chemex of
Australia. ALS Chemex of Australia and NT Environmental
Laboratories Pty. Ltd. of Darwin, Northern Territory, Australia are
doing multi-element analyses including copper. All holes were angle
holes drilled to intersect mineralization at close to right angles;
however, due to physical constraints and the complex nature of the
deposit, true thickness of the drilled intervals cannot be assumed
from the measured intercepts. Sampling and assaying methods are
being conducted in accordance with the CIM Mineral Exploration Best
Practices Guidelines. All samples taken were nominally one meter in
length. The initial gold assays for holes not previously reported
in Vista's May 30, 2007, press release include the following
highlights: Drill Hole Interval Intercept Assay Including Intercept
Assay (m) (m) (g/t) (m) (m) (g/t) VB07-007 98-107 9 1.16 144-151 7
1.40 171-178 7 1.14 187-195.9 8.9 3.16 225-328 103 1.38 227-230 3
6.72 243-246 3 4.81 309-316 7 2.22 VB07-008 17.3-20 2.7 1.89
39.3-44 4.7 1.27 53-56 3 1.32 92-95 3 1.37 158-175 17 1.68
191.8-210 18.2 2.08 251-254 3 2.16 302.9-316 13.1 2.23 344-348 4
2.64 369-373 4 1.93 386-407 21 3.36 398-399.2 1.2 32.17 514-420 5
1.32 431-471 40 2.62 436.9-441.1 4.2 3.38 451-455.1 4.1 2.97
467-468 1 47.67 483-487 4 1.63 VB07-009 11-14 3 1.63 127-134 7 1.38
195-205 10 1.18 216-218 2 5.75 245-332 87 1.21 358-390 32 1.40
408.9-412 3.1 4.72 VB07-010 71-75 4 2.14 82-85 3 3.95 122-125 3
1.33 208-211 3 2.44 230-233 3 1.09 241-244 3 1.62 295-300 5 1.91
313-437 124 2.26 358-366 8 10.1 386-389 3 7.79 VB07-012 10-13 3
1.69 160-167 7 1.24 200-203 3 1.63 218-221 3 1.16 VB07-013 202-209
7 1.19 316-340 24 1.28 372-381 9 1.09 VB07-014 19-24 5 1.32 81-85 4
2.26 109-113 4 1.16 125-136 11 1.97 170.7-174 3.3 1.49 355-362 7
1.45 401-413 12 2.08 429-433 4 2.26 439-444 5 1.15 451-456 5 3.68
500.1-504 3.9 2.12 513-526 13 2.2 VB07-015 22-57.2 35.2 1.68
52-57.2 5.2 4.83 71-275 204 1.91 132-136 4 9.46 225.9-229 3.1 7.63
257-257.9 0.9 32.23 VB07-016 259.9-266 6.1 2.02 290-295 5 1.04
VB07-017 110-113 3 2.04 126-130 4 1.57 219-223 4 3.24 282-293 11
2.96 301-324 23 1.27 331-337 6 1.09 375-378.3 3.3 1.69 VB07-018
173-180 7 1.08 194-198 4 1.37 211-216 5 1.08 245-382.1 137.1 2.27
256-264 8 6.74 289-295 6 4.29 327-335 8 3.89 352-355 3 7.68
379-382.1 3.1 8.97 404-408.1 4.1 1.45 415.9-429 13.1 1.58 474-483.9
9.9 1.7 VB07-019 125-129 4 2.16 VB07-020 96-100 4 1.07 173-176 3
1.19 188-191 3 2.01 VB07-021 39-74 35 1.57 98-108 10 1.64 200-233
33 2.72 208-216 8 7.00 249-260 11 1.16 272-306 34 1.24 VB07-022
65-72 7 2.83 81-108 27 2.30 81-85 4 7.67 200-203 3 3.19 254-260 6
1.01 413-417 4 3.27 450-456 6 2.05 482-485 3 6.62 VB07-023 69-72 3
2.13 79-86 7 1.14 187-191 4 1.48 VB07-024 275-279 4 1.74 VB07-025
26-31 5 3.04 109-120 11 1.17 127-130 3 1.21 223-238 15 1.58 359-363
4 1.57 The data, including sampling and assaying, has been verified
by Mr. Perry by inspection of computer assay data print outs and
visual inspection of drill core for purposes of this news release.
A description of the geology, mineralization and other information
on the project can be found in the report "Preliminary Economic
Assessment Mt. Todd Gold Project, Northern Territory, Australia"
dated December 29, 2006, which has been filed on SEDAR by Vista.
Metallurgical samples have been selected from the new core samples
and sent to Resource Development, Inc. of Wheat Ridge, Colorado,
for additional metallurgical test work, which Vista expects to be
completed later this year. Vista plans to use the results from the
metallurgical testing and a new resource estimate resulting from
the current drilling program to generate a preliminary feasibility
study towards the end of this year. Fred Earnest, President and COO
of Vista stated, "The results of the 2007 drilling program are very
encouraging, and all the intercepts are within the depth reached in
the preliminary open pit design in the Preliminary Economic
Assessment. The recent drill results contain long intervals of
mineralization including hole VB07-015 that contains an intercept
of over 200 meters containing 1.91 g/t gold. We plan to use the
results of this drill program together with other historic
information we have obtained to prepare a new resource estimate
later this year." On a separate topic, Vista notes that some
Canadian-based mining companies have recently reported exposure to
cash positions invested in Asset-Backed Commercial Paper ("ABCP")
programs. Vista has approximately US$ 18 million in cash and cash
equivalents, all of which are held in high-grade money market funds
in Vista's bank accounts at a major U.S. bank. Vista has been
informed by its bank that these money market funds do not directly
invest in sub-prime or investment-grade domestic mortgages or
single-seller ABCP programs from either prime or sub-prime mortgage
originators and that all holdings of its money market funds present
minimal credit risk. All of Vista's cash and cash equivalents are
invested in products carrying the highest possible investment grade
as determined by leading rating agencies. About Vista Gold Corp.
Since 2001, Vista has acquired a number of proven 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 demonstrated
that some of the projects would be potentially viable operations at
current gold prices. 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 results of drilling programs and prospects for exploration and
conversion of resources at the Mt. Todd project, the performance of
and results of feasibility studies, Vista's future business
strategy, competitive strengths, goals, operations, plans,
potential project development, future share price and valuation,
future gold prices, credit status and liquidity of Vista's cash and
cash-equivalent investments, Vista's potential status as a
producer, 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;
uncertainty of being able to raise capital on favorable terms or at
all; and external risks relating to the economy and credit markets
in general; 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 Connie Martinez at (720)
981-1185, or visit the Vista Gold Corp. website at
http://www.vistagold.com/ DATASOURCE: Vista Gold Corp CONTACT:
Connie Martinez, +1-720-981-1185 Web site:
http://www.vistagold.com/
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