DENVER, March 3, 2015 /PRNewswire/-- Vista
Gold Corp. (the "Company," "we" or "our") (NYSE MKT and TSX: VGZ)
today announced its audited financial results and highlights for
the fiscal year ended December 31,
2014. Management's quarterly conference call to discuss
these results is scheduled for 9:00 a.m.
MST on March 6, 2015. The
Company's full audited financial statements, Management's
Discussion and Analysis together with other important disclosures
can be found in the Company's Annual Report on Form 10-K, filed
with the U.S. Securities and Exchange Commission and the Canadian
securities regulatory authorities.
Recent Highlights:
- Received $3.0 million to complete
the sale of the Los Cardones gold project;
- Completed an agreement to sell up to 8 million of our
shares in Midas Gold Corp.("Midas") for aggregate net proceeds of
approximately $2.8 million (the
"Midas Sale");
- Received $0.5 million option
payment from Cangold Limited; and
- Continued to bring costs down while meeting environmental,
safety and regulatory requirements.
Frederick H. Earnest, President
and Chief Executive Officer, commented, "2014 was a pivotal year in
the financial stability of the Company. Consistent with our stated
strategy, we continued to fund the Company without dilution and
paid off our debt well ahead of schedule. As a result of our
cash on hand and the successful cost cutting measures which we
implemented in 2013, which continue in effect, we believe we
are now funded through most of 2016. We remain focused
on our Mt Todd gold project in Australia, where continued weakness in many
macro-economic factors provides positive offsets to the lower gold
price. We are analyzing these factors and anticipate that
they will have a net positive effect on the economics of the
project. We are well positioned to continue to weather the present
gold markets and expect to be able to continue to fund the Company
through most of 2016 without the need to raise capital in the
equity markets in the current market conditions. I believe
our Mt Todd gold project is uniquely positioned to move forward
quickly in an environment of sustained gold market
improvement."
Summary of 2014 Financial Results
We reported a net loss of $18.9
million or $0.23 per share for
the year ended December 31,
2014. This includes an unrealized $4.3
million mark-to-market loss on our investment in Midas, and
a non-cash $4.8 million write-down of
interest in the Amayapampa project in Bolivia. During the
year ended December 31, 2013, we
reported a net loss of $59.5 million,
or $0.73 per share.
Expenditures for exploration and property holding costs,
principally at our Mt Todd gold project, were down approximately
74% from 2013. In 2014, we eliminated all material discretionary
programs and continued the cost cutting initiatives introduced in
2013. In early 2013, we completed several cash intensive
programs such as water treatment and the prefeasibility study for
the Mt. Todd gold project, and introduced several significant cost
cutting measures, including staff reductions and compensation
reductions at the Mt Todd gold project. Similarly, at the corporate
level, we continued the cost cutting initiatives introduced in
2013, resulting in a 31% reduction in 2014 corporate costs from
2013 levels.
Our working capital at December 31,
2014 totaled approximately $8.6
million, including cash of approximately $3.7 million. After giving effect to the cash
received in January as a result of the finalization of the Los
Cardones sale and the option payment received from Cangold Limited
in February, together with the cash to be received from the Midas
Sale, our pro forma working capital increases to approximately
$15.0 million, including
approximately $10.0 million of
cash.
To review the Company's Annual Report on Form 10-K for the year
ended December 31, 2014, including
the related Management's Discussion and Analysis, visit any of the
following websites: www.sedar.com, www.sec.gov or
www.vistagold.com.
Management Conference Call
A conference call with management to review our financial
results for the fiscal year ended December
31, 2014 and to discuss corporate and project activities is
scheduled for Friday, March 6, 2015
at 9:00 a.m. MST.
Toll-free in North America:
1-866-233-5249
International: 416-642-3300
This call will also be web-cast and can be accessed at the
following web location:
http://event.on24.com/r.htm?e=960286&s=1&k=34B049C9DCF220CC21DEB10F316F126D
This call will be archived and available at www.vistagold.com
after March 6, 2015. Audio
replay will be available for 21 days by calling toll-free in North
America: 1-866-245-6755, passcode 339376.
If you are unable to access the audio or phone-in on the day of
the conference call, please email questions to Connie Martinez, Manager – Investor Relations
(email: connie@vistagold.com), and we will try to address these
questions prior to or during the conference call.
All dollar amounts in the press release are U.S. dollars.
About Vista Gold Corp.
Vista's principal asset is its flagship Mt Todd gold project in
Northern Territory, Australia. Upon completion of the Midas
Sale, we will hold approximately 5.5% of the outstanding common
shares of Midas, non-core projects in Mexico and the
United States and royalty interests in projects in
Bolivia and Indonesia. For
more information about our projects, including technical studies
and resource estimates, please visit our website
at www.vistagold.com.
For further information, please contact Connie Martinez at (720) 981-1185.
Forward Looking Statements
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 we expect or
anticipate will or may occur in the future, including such things
as, the closing of the Midas Sale; the Company being funded through
most of 2016; the impact that macro-economic factors may have on
the economics on the Mt Todd gold project; funding the Company
without dilution; and moving the Mt Todd gold project forward
quickly when there is sustained improvement in the gold market; and
other such matters are forward-looking statements and
forward-looking information. The material factors and
assumptions used to develop the forward-looking statements and
forward-looking information contained in this press release include
the following: our approved business plans, exploration and assay
results, mineral resource and reserve estimates and results of
preliminary economic assessments, pre-feasibility studies and
feasibility studies on our projects, if any. When used in
this press release, the words "optimistic," "potential,"
"indicate," "expect," "intend," "hopes," "believe," "may," "will,"
"if," "anticipate," 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 the Company 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 and reserve
estimates, uncertainty as to the Company's future operating costs
and ability to raise capital; risks relating to cost increases for
capital and operating costs; risks of shortages and fluctuating
costs of equipment or supplies; risks relating to fluctuations in
the price of gold; the inherently hazardous nature of
mining-related activities; potential effects on our 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; as
well as those factors discussed under the headings "Note Regarding
Forward-Looking Statements" and "Risk Factors" in the Company's
latest Annual Report on Form 10-K as filed on March 2, 2015 and other documents filed with the
U.S. Securities and Exchange Commission and Canadian securities
regulatory authorities. Although we have 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, we assume no obligation
to publicly update any forward-looking statements or
forward-looking information; whether as a result of new
information, future events or otherwise.
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SOURCE Vista Gold Corp.