Vista Gold Corp. Announces Completion of Purchase and First Stage of Transportation of Gold Processing Equipment for the Paredon
18 April 2008 - 3:04AM
PR Newswire (US)
DENVER, April 17 /PRNewswire-FirstCall/ -- Vista Gold Corp.
("Vista" or the "Corporation") (TSX & AMEX: VGZ) is pleased to
announce that further to the Company's January 7, 2008 press
release, the Company has finalized the purchase of gold ore
processing equipment to be used at Vista's Paredones Amarillos
Project in Baja California Sur, Mexico as contemplated by the
Company's previously announced purchase agreement with A.M. King
Industries, Inc. ("A.M. King") and Del Norte Company Ltd., a wholly
owned subsidiary of A.M. King. The transportation of the major
equipment items (gyratory crusher, SAG mill, ball mills and pebble
crusher) from the Colomac Mill Site in the Northwest Territories in
Canada to Edmonton, Alberta, pursuant to the agreement terms,
started on March 1, 2008 and concluded on April 17, 2008. A portion
of the other equipment acquired in the transaction has also been
shipped. All of the shipped equipment is now in Vista's lay-down
yard in Edmonton. Vista plans to transport the major equipment
components for reconditioning at certified repair facilities and
the other equipment items directly to its own facilities in Baja
California Sur, Mexico for inspection and repair. The remaining
equipment at the Colomac site, which is not critical to the
development schedule, is scheduled to be dismantled during the
summer and transported on the 2009 ice road. Fred Earnest,
President and COO, stated, "The equipment is ready for
re-conditioning, which is scheduled to occur during the next six
months. We have acquired the major processing equipment for our
proposed plant at the Paredones Amarillos Project, at what we
believe is a considerable savings in time and expense, compared to
the purchase of new equipment. We are currently undertaking a
definitive feasibility study to examine the technical and economic
parameters associated with a potential mine operation to produce
130-150,000 ounces of gold per year. This study is scheduled for
completion in July 2008. We expect to complete financing
arrangements by the end of the third quarter and commence
construction immediately thereafter. We currently anticipate a
12-month construction period, with first gold production planned
for the fourth quarter 2009." About Vista Gold Corp. Since 2001,
Vista has acquired a number of gold projects with the expectation
that higher gold prices would significantly increase their value.
Vista has recently completed a preliminary feasibility study on the
Paredones Amarillos Project in Mexico that indicated positive
results at gold prices lower than those now prevailing. Vista plans
to confirm these results with a definitive feasibility study in
2008. Vista is undertaking programs to advance the Paredones
Amarillos Project so that construction can begin in the fourth
quarter of 2008. The results of a preliminary assessment completed
in 2007 on the Mt. Todd Project in Australia were encouraging and
additional technical studies are underway with a definitive
feasibility study planned for completion by mid-2009. Vista's other
holdings include the Guadalupe de los Reyes Project in Mexico,
Yellow Pine Project in Idaho, Awak Mas Project in Indonesia, and
Long Valley Project in California. 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 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 transportation of gold processing equipment for the Paredones
Amarillos Project; the performance and results of feasibility
studies including the ongoing bankable feasibility study for the
Paredones Amarillos Project; and timing for commencement and
completion of drilling and testing programs at the Paredones
Amarillos Project; anticipated timing of commencement of
construction and commencement of production at the Paredones
Amarillos Project and plans for financing construction of the
Project; results of drilling programs and prospects for exploration
and conversion of resources at the Mt. Todd Project and plans for a
feasibility study at the Mt. Todd Project; Vista's future business
strategy, competitive strengths, goals, operations, plans,
potential project development, future share price and valuation;
future gold prices; and other such matters are forward-looking
statements and forward-looking information. When used in this press
release, the words "estimate", "plan", "anticipate", "expect",
"intend", "believe" 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,
risks relating to delays and incurrence of additional costs in
connection with the feasibility study underway at the Paredones
Amarillos Project, uncertainty of feasibility study results and
preliminary assessments and of estimates on which such results are
based; risks relating to delays in commencement and completion of
construction at the Paredones Amarillos Project; risks of
significant cost increases; risks of shortages of equipment or
supplies; 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 other documents filed with the U.S.
Securities and Exchange Commission and Canadian securities
commissions. 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. 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. 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. 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 of Vista Gold Corp.,
+1-720-981-1185 Web site: http://www.vistagold.com/
Copyright