New Resource Estimate At Mt. Todd Project
DENVER, CO - Vista Gold Corp. reported 57% Increase in Measured and Indicated Gold Resource Estimates at the Mt. Todd Project, in Northern Territory, Australia, Increasing Measured and Indicated Resources by 1.65 Million Ounces and Inferred Resources by 318,000 Ounces.
The new resource estimate as presented in the following table represents an increase in Measured Resources(1) of 78,000 ounces of gold and an increase in Indicated Resources(1) of 1,572,000 ounces of gold resulting in a combined increase in Measured and Indicated Resources(1) of 1,650,000 ounces of gold at a cutoff grade of 0.50 grams per tonne (0.015 ounces of gold per ton). The gold resource estimate for the Batman deposit as of January 23, 2009, reported at a cutoff grade of 0.50 grams of gold per tonne is set out below.
Resource Metric Average Grade Short Tons Average Grade Contained
Classification Tonnes (grams/tonne) (x1000) (ounces/ton) Gold Ounces
(x1000) (x1000)
Measured(1) 44,645 0.99 49,212 0.029 1,424
Indicated(1) 105,936 0.92 116,773 0.027 3,121
Measured &
Indicated(1) 150,581 0.94 165,985 0.027 4,545
Inferred(2) 66,725 0.86 73,551 0.025 1,849
Fred Earnest, President and COO of Vista, stated, "The 57% increase in the estimated total gold resources to 6.3 million ounces resulting from the success of the 2008 drilling program increases our understanding of the Batman deposit. We are optimistic that future drilling may convert a majority of the estimated Inferred resources to Measured and Indicated and that there is potential for additional gold resources in both the Batman extensions and in the other targets on the Mt. Todd property. Previous pit design estimates indicated we can expect a relatively low waste-to-ore ratio and we expect that a newly identified mineralized zone in the hanging wall will also favorably affect the waste-to-ore stripping ratio. We have completed preliminary geotechnical investigations in the areas of the proposed tailings impoundment facilities, a pit slope design study and a preliminary baseline environmental data review. When the metallurgical testing program is concluded, which we expect to occur in the near future, we intend to undertake a pre-feasibility study to determine project economics and estimate mineable reserves. We expect gold prices to remain high, the US/Australian dollar exchange rate to remain favorable and the improved efficiencies of high pressure grinding roll technology on the hard Mt. Todd ore to favorably affect operating costs, all of which we anticipate will have positive impacts on the project economics."
As previously announced Vista awarded TetraTech of Golden, Colorado, the contract to undertake a preliminary feasibility study on the Mt. Todd Project.
The first stage, which includes the updated resource estimate, metallurgical testing, rock mechanics evaluations, and preliminary geotechnical and environmental reviews, is nearing completion. The rock mechanic evaluation indicates that rock at Mt. Todd is exceptionally competent and recommends inter-ramp pit slopes of 55-60 degrees except on the east wall where an inter-ramp pit slope of 40 degrees is advised. The metallurgical studies are nearing completion with lab testwork currently in progress. The preliminary geotechnical field investigation has been completed. The site inspection for the preliminary review of the baseline environmental data has occurred and a draft report is in progress.
The Mt. Todd Project is situated within the southeastern portion of the Early Proterozoic Pine Creek Geosyncline. The Batman deposit geology consists of a sequence of hornfelsed interbedded greywackes and shales with minor thin beds of felsic tuff. Bedding consistently strikes at 325 degrees, dipping 40 to 60 degrees to the southwest. Northerly trending sheeted quartz sulfide veins and joints striking at 0 to 20 degrees and dipping 60 degrees to the east are the major location for mineralization in the Batman deposit. The veins are 0.04 to 4 inches in thickness with an average thickness of around 0.4 inches and occur in sheets with up to 6 veins per horizontal foot. In general, the Batman deposit is 4,800 to 5,100 feet in length by 1,200 to 1,500 feet in true width and 1,500 to 1,800 feet in known down-dip extension (the deposit is open along strike and at depth).
The companyÕs address is Suite 5, 7961 Shaffer Parkway Littleton, CO 80127, (720) 981-1185, fax: (720) 981-1186.