Business
Vista Gold Corp. Announces Agreements to Purchase Properties Adjacent to Position and Increase Vista's Estimated Gold and Silver Resources
DENVER, Dec. 19 /CNW/ -- Vista Gold Corp. (Amex: VGZ; TSX) is pleased to announce that it and Gra...
About this update from Vista Gold Corp
[{"type":"text","content":"\n\n\n\nDENVER, Dec. 19 /CNW/ -- Vista Gold Corp. (Amex: VGZ; TSX) is pleased to\nannounce that it and Grandcru Resources Corporation have signed an agreement\nfor Vista to acquire Grandcru's interest in two gold/silver mineral properties\nadjacent to Vista's Guadalupe de los Reyes project in Sinaloa, Mexico, subject\nto receipt of all necessary regulatory and other approvals.\n\n\nUnder the terms of the agreement, Vista will (a) pay Grandcru US$425,000\nless any amounts payable in back taxes on the mining concessions, and pay a\nprivate investment group known as the San Miguel Group US$75,000, and (b)\nissue to Grandcru and the San Miguel Group, in aggregate, common shares of\nVista with a value of US$1,000,000 on closing. In addition, Vista has reached\nagreement with Goldcorp Inc. and its Mexican subsidiary, Desarrollos Mineros\nSan Luis, S.A. de C.V. (together, "San Luis"), and with the San Miguel Group\nto complete the acquisition of their respective interests at the same time as\nthe closing occurs with Grandcru. Vista will pay a 2% net smelter returns\nroyalty ("NSR") on all minerals produced payable to the San Miguel Group on\nthe mining concessions known as the San Miguel Concessions. Vista will pay San\nLuis a 1% NSR on mining concessions known as the San Luis Concessions and the\nSan Miguel Concessions, and 2% to 3% NSR depending on the gold price on\nVista's mining concessions known as the Gaitan Concessions. At gold prices\nbelow US$499.99 per ounce, the royalty payable to San Luis on the Gaitan\nConcessions will be 2% and at or above US$500 per ounce, the royalty will be\n3%. Certain of the San Luis Concessions are subject to a pre-existing\nunderlying royalty of 3% NSR payable to Sanluis Corporacion, S.A. de C.V.\n\n\nAs previously announced by Vista on September 29, 2003, a resource study\non the portion of the Guadalupe de los Reyes property held by Vista was\ncompleted on July 17, 2003, by Pincock, Allen & Holt Ltd., of Lakewood,\nColorado, an independent consulting firm, in accordance with Canadian National\nInstrument 43-101 guidelines under the supervision of Leonel Lopez and Mark G.\nStevens, independent qualified persons, and titled "Technical Report for the\nGuadalupe de Los Reyes Gold-Silver Project, State of Sinaloa, Western Mexico"\nand filed on SEDAR under Vista Gold ...