Vista Gold Corp. Announces Joint Venture Agreement for Awak Mas Gold Project in Indonesia
28 Dezember 2009 - 1:00PM
PR Newswire (US)
DENVER, Dec. 28 /PRNewswire-FirstCall/ -- Vista Gold Corp.
("Vista") (TSX & NYSE Amex: VGZ) announced today that its
wholly-owned subsidiary, Vista Gold (Barbados) Corp., has signed a
Joint Venture Agreement with Pan Asia Resources Corporation ("Pan
Asia") with respect to the development of the Awak Mas gold project
in Indonesia. The Joint Venture Agreement provides Pan Asia, a
privately held resource development company, with the opportunity
to earn a 60% interest in the Awak Mas project by (i) expending
US$3 million on the project within the next 30 months, (ii)
completing an environmental impact assessment and feasibility study
(in compliance with the Canadian Securities Administrators'
National Instrument 43-101 - Standards of Disclosure for Mineral
Projects), each of which is required by the Contract of Work
granted by the Indonesian Government under which the Awak Mas
project is held, and (iii) issuing to Vista two million shares of
Pan Asia and the right to purchase up to an additional two million
shares of Pan Asia in the event of an initial public offering of
Pan Asia shares (on the same terms as offered under such initial
public offering). Pan Asia has informed Vista that it intends to
immediately commence the studies relating to the environmental
impact assessment and may undertake some additional drilling prior
to re-estimating the gold resources for the Awak Mas project under
current market conditions. Under the terms of the Joint Venture
Agreement, Vista will retain its controlling interest in the Awak
Mas project until Pan Asia completes the earn-in conditions
described above. Fred Earnest, President and COO of Vista,
commented, "We are looking forward to working with Pan Asia on the
Awak Mas project. We believe the in-country experience that Pan
Asia's management team brings to the joint venture will
significantly benefit the development of the project. We believe
the joint venture allows us to advance the Awak Mas project and
realize greater value from this project in our portfolio while we
continue to focus on the development of our Paredones Amarillos and
Mt. Todd gold projects." 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 undertaken programs to advance the Paredones Amarillos
gold project, located in Baja California Sur, Mexico, including
completion of a definitive feasibility study, the purchase of long
delivery equipment items, and the purchase of land for processing
facilities, a desalination plant and related infrastructure. The
results of a preliminary economic assessment completed in 2009 on
the Mt. Todd gold project in Australia are encouraging and Vista is
undertaking a pre-feasibility study and additional resource
drilling to advance the project. 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 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 the potential of the joint venture with Pan Asia, the timing and
completion of the earn-in requirements by Pan Asia, the advancement
of the Awak Mas property, realization of greater value form the
Awak Mas property, future financial and operating results and
estimates; preliminary assessment results for the Awak Mas project
and Mt. Todd gold project; and plans and timing for a preliminary
feasibility study at the Awak Mas project and Mt. Todd gold
project; Vista's future business strategy; goals; operations;
plans; potential project development; future gold prices; Vista's
potential status as a producer including plans and timing of
potential production; and other such matters are forward-looking
statements and forward-looking information. When used in this press
release, the words "estimate", "plan", "will", "target",
"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, uncertainty over timing and completion of
the earn-in requirements for the joint venture by Pan Asia, risks
related to entering into a joint venture with Pan Asia, including
integration and control risks, uncertainty regarding the
advancement and realization of value from the Awak Mas project,
risks relating to general economic conditions, delays and
incurrence of additional costs in connection with our Paredones
Amarillos gold project, including uncertainty relating to timing
and receipt for required governmental permits; uncertainty relating
to timing and outcome the application for the Change of Forest Land
Use Permit for the Paredones Amarillos gold 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 and Mt. Todd gold projects; 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; 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 US 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. 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, +1-720-981-1185 Web
Site: http://www.vistagold.com/
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