DENVER, Nov. 4 /PRNewswire-FirstCall/ -- Vista Gold Corp. ("Vista"
or the "Company") (TSX & NYSE Amex: VGZ) is pleased to provide an
update on activities at the Paredones Amarillos gold project in Baja California
Sur, Mexico. Receipt of the Temporary Occupation Permits ("TOP") was
announced on October 28, 2009, and signals the commencement of a number of
activities designed to advance the development of the project towards
construction and the planned start of production in 2011. Once in production,
the Paredones Amarillos gold project is expected to produce an estimated
average of 143,000 ounces of gold per year during the first five years and an
estimated 1.2 million ounces of gold over the estimated 9.3 year life of the
mine.
Permitting
As previously announced, with the receipt of the TOP, the Company now has
all the prerequisite documentation to re-apply for the Change of Forest Land
Use Permit ("CFLUP") which is required before the Company can
commence construction of the Paredones Amarillos gold project. The Company
plans to file the application this week and estimates that the CFLUP will be
granted prior to the end of the first quarter 2010.
Project Engineering
The Company is preparing a Request for Proposal to be sent to qualified and
interested companies for the provision of Engineering, Procurement and
Construction Management ("EPCM") services for the project. During the
next 30-45 days, Vista expects to select the EPCM contractor and to commence
the first phase of detailed engineering and design work, so that construction
activities can start as soon as possible following receipt of the CFLUP.
Vista already owns most of the major equipment required for the process
plant (mill), and a recent review indicates that other major project equipment
(including mobile mining equipment) are expected to be available with
reasonable delivery times. The expected construction period for the project is
approximately 15 months.
Project Financing
Vista continues to advance efforts to secure appropriate financing for the
Paredones Amarillos gold project's development including discussions with various
qualified banks that may be interested in providing project loans. The process
is expected to take three to five months with completion being targeted to
coincide with the receipt of the CFLUP.
Community Relations
On November 4, 5 and 6, 2009, the Company's wholly-owned Mexican subsidiary,
Minera Paredones Amarillos S.A. de C.V. ("MPA") which holds the
Paredones Amarillos gold project, plans to hold a series of workshops in
communities close to the project, including La Paz. The workshops are part of
the Company's ongoing efforts to keep local residents, government officials and
other stakeholders informed about the Paredones Amarillos gold project and the
measures being taken by the Company to ensure that the Paredones Amarillos gold
project will make a positive contribution to the community. These workshops are
one of several programs developed by MPA in conjunction with the Mexican
consulting group, C3 Consensus, in an effort to reduce public misconceptions,
ensure that correct project information is disseminated and at the same time,
to receive appropriate stakeholder input which may lead to project development
improvements.
More Information about the Paredones Amarillos Gold Project
For more information about the Paredones Amarillos gold project, please see
the technical report entitled "Feasibility Study Update, NI 43-101
Technical Report, Vista Gold Corp., Paredones Amarillos Gold Project, Baja
California Sur, Mexico," dated September 1, 2009, prepared by SRK
Consulting (U.S.), Inc. ("SRK") of Lakewood, Colorado. The final
report is available on SEDAR at www.sedar.com.
Qualified Person
Terry Braun, P.E., Principal of SRK, an independent "qualified
person" as defined by Canadian National Instrument 43-101 – Standards
of Disclosure for Mineral Projects, supervised the preparation of
scientific and technical information contained in 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 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 late in the
fourth quarter of 2009. Vista's other holdings include the Guadalupe de los
Reyes gold project in Mexico, the Yellow Pine gold project in Idaho, the Awak
Mas gold project in Indonesia, and the Long Valley gold project in California.
Forward-Looking Statements
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
timing and outcome of the application for the CFLUP application for the
Paredones Amarillos gold project, anticipated plans and timing of commencement
of construction, development and commencement of production at the Paredones
Amarillos gold project; the timing, performance and results of feasibility
studies including the timing and receipt of required land use, environmental
and other permits for the Paredones Amarillos gold project; the estimated
production and life of mine of the Paredones Amarillos gold project, plans,
timing and outcome of project financing, the timing and outcome of detailed
EPCM work, the timing and availability of project equipment, preliminary
assessment results for the Mt. Todd gold project; and plans and timing for a
preliminary feasibility study at the 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,
risks relating to gold prices, 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 of CFLUP
application 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 U.S. 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 www.vistagold.com