Vista Gold Corp. Announces Positive Metallurgical Test Results for the Mt. Todd Project, Northern Territory, Australia, and Appo
27 August 2009 - 1:13AM
PR Newswire (US)
DENVER, Aug. 26 /PRNewswire-FirstCall/ -- Vista Gold Corp.
("Vista") (TSX & NYSE Amex: VGZ) announced today the updated
results of metallurgical tests completed for the Mt. Todd gold
project, Northern Territory, Australia, and the appointment of
Thomas DeMull as Senior Vice President, Project Development. As
part of the on-going engineering studies on the development of the
Mt. Todd gold project, Resource Development, Inc. ("RDi") of Wheat
Ridge, Colorado, JKTech Pty Ltd ("JKTech") of Queensland,
Australia, and Ausenco Services Pty Ltd ("Ausenco") of Perth,
Australia, have recently completed additional successful
metallurgical test programs and simulations. The metallurgical
tests were conducted on core from the 2008 Mt. Todd drilling
program that is believed to be representative of approximately 80%
of the ore contained in the pit shape identified in Vista's May
2009 Preliminary Economic Assessment (please refer to Vista's press
release dated June 4, 2009). The RDi test work confirms a gold
recovery of 82% in a whole ore leach circuit with ore that has been
ground to a relatively coarse size of 80% passing 100 mesh. JKTech
completed testing to determine ore grinding characteristics for
both conventional crushing/grinding as well as crushing with high
pressure grinding rolls ("HPGR") followed by grinding. The results
of the JKTech testing together with other information were used by
Ausenco in a comminution circuit simulation. The work by Ausenco
confirmed earlier test work completed by Vista, and indicated
energy and operating cost savings may be realized by utilizing HPGR
technology for processing the Mt. Todd ore. The results of these
studies and simulations will be incorporated into the Preliminary
Feasibility Study(2) ("PFS") which Vista expects to complete in the
fourth quarter of this year. Commenting on the test results, Fred
Earnest, Vista's President and Chief Operating Officer, stated,
"The Mt. Todd test program continues to advance, confirming the
selection of process technology and developing input parameters for
the PFS. The PFS is examining the best approach to develop the
estimated 4.25 million ounces of measured and indicated gold
resource (147.6 million tonnes at 0.93 g/t)(1,2) and is targeting a
potential mining operation with an estimated annual production of
approximately 250,000 ounces of gold per year. We are also nearing
the completion of a review of exploration data and our initial
field programs on the extensive exploration leases, which we will
use to design our next exploration program. We believe further
drilling on the Batman deposit and on the surrounding exploration
leases will define a significantly larger gold resource."
Additionally, on September 10, 2009, Thomas DeMull will assume the
position of Senior Vice President, Project Development. Mr. DeMull
holds a MS degree in Metallurgical Engineering from Michigan
Technology University and has over 30 years of experience in the
development and operation of gold and copper mines. He has worked
in North and South America and the Asian-Pacific. Over the past 25
years, Tom has worked on 10 new mine projects, six of which became
operating mines, including the Sleeper mine in Nevada and Newmont's
Batu Hijau mine in Indonesia. Most recently, Mr. DeMull held the
position of President and CEO of Rocky Mountain Resources Corp.
Fred Earnest, Vista's President and Chief Operating Officer,
stated, "We are very pleased to have an executive with Tom's
qualifications join our team. We believe his talents and experience
will allow him to make immediate contributions to our Mt. Todd and
Paredones Amarillos development projects." Except as described
above, Deepak Malhotra, PhD, is the independent "qualified person"
within the meaning of NI 43-101 who supervised the preparation of
the scientific and technical information that forms the basis of
this press release. About Vista Gold Corp. Since 2001, Vista has
acquired a number of gold projects with the expectation that higher
gold prices would increase their value. For more information about
our projects, including technical studies and resource estimates,
please visit our website at http://www.vistagold.com/. Vista has
taken steps to advance the Paredones Amarillos gold project located
in Baja California Sur, Mexico, towards production. These steps
include the completion of a definitive feasibility study, the
purchase of long-delivery processing equipment, and the purchase of
land for the processing facilities, related infrastructure and the
desalination plant. The results of a Preliminary Economic
Assessment completed in 2009 on the Mt. Todd gold project in
Australia are encouraging and Vista is undertaking other studies to
advance the project, with the completion of a preliminary
feasibility study targeted for the fourth quarter of 2009 Vista's
other holdings include the Guadalupe de los Reyes gold project in
Mexico, Yellow Pine gold project in Idaho, Awak Mas gold project in
Indonesia, and the Long Valley gold project in California. 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 conversion of inferred resources to
measured and indicated resources, the potential for gold resources
in the Batman deposit and other targets within the Mt. Todd gold
project, the waste-to-ore ratio at Mt. Todd, the successful
completion of a metallurgical testing program at Mt. Todd, the
representativeness of metallurgical results for the Mt. Todd gold
project, the timing and outcome of a Mt. Todd pre-feasibility
study, estimates of future operating, annual production and
financial performance of the Mt. Todd gold project, the targeted
annual production of the Mt. Todd gold project, uncertainty of mine
planning criteria and design, future gold prices, future
U.S.-to-Australian dollar exchange rates, the improved efficiencies
of high pressure grinding roll technology, favorable effects of Mt.
Todd project economics, Vista's ability to add value in a
cost-effective manner, plans for the construction and development
of the Paredones Amarillos gold project, and the possibility of
production at the Paredones Amarillos gold project and other such
matters are forward-looking statements and forward-looking
information. When used in this press release, the words
"potential," "target," "estimate," "indicate," "expect," "intend,"
"hopes," "believe," "may," "will," "if" 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 estimate results estimates on which such
results are based; uncertainty of mine planning criteria and design
including uncertainty related to targeted annual production rates
of the Mt. Todd gold project, risks relating to completing
metallurgical testing and scheduling for pre-feasibility studies;
risks relating to cost increases for capital and operating costs
including cost of power; risks relating to delays at the Mt. Todd
gold project; risks of shortages of equipment or supplies; risks
relating to fluctuations in the price of gold; the inherently
hazardous nature of mining-related activities; risks relating to
permitting, uncertainties concerning 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; risks related to repayment of debt;
risks related to increased leverage 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, as
amended and Quarterly Report on Form 10-Q and other documents filed
with the U.S. Securities and Exchange Commission and Canadian
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. (1) For
more information on the Mt. Todd gold project, please see Vista's
technical report(2) entitled "Mt. Todd Gold Project Updated
Preliminary Economic Assessment Report, Northern Territory,
Australia" dated June 11, 2009 available on SEDAR at
http://www.sedar.com/. Mr. John Rozelle, is the independent
"qualified person" within the meaning of National Instrument 43-101
- Standards of Disclosure for Mineral Projects ("NI 43-101") for
the mineral resource estimate of the Mt. Todd gold project included
in this press release. (2) Cautionary Note to U.S. Investors
concerning estimates of Measured and Indicated Resources: This
press release and the PFS and technical report referenced in this
press release use the terms "Measured Resources", "Indicated
Resources" and "Measured & Indicated Resources." We advise U.S.
investors that while these terms are defined in and required by
Canadian regulations, these terms are not defined terms under the
U.S. Securities and Exchange Commission ("SEC") Industry Guide 7
and are normally not permitted to be used in reports and
registration statements filed with the SEC. The PFS and technical
report referenced in this press release use the term "inferred
resources". We advise U.S. investors that while this term is
defined in and required by Canadian regulations, this term is not a
defined term under SEC Industry Guide 7 and is normally not
permitted to be used in reports and registration statements filed
with 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 all
or any part of an inferred mineral resource will ever be upgraded
to a higher category. Under Canadian rules, estimates of inferred
mineral resources may not form the basis of a feasibility study or
prefeasibility studies, except in rare cases. 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. U.S. investors are
cautioned not to assume that any part or all of mineral deposits in
these categories will ever be converted into reserves. 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/
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