Vista Gold Corp. Announces a Proposed U.S. $6.5 Million Private Placement
July 28 2004 - 10:33PM
PR Newswire (US)
Vista Gold Corp. Announces a Proposed U.S. $6.5 Million Private
Placement DENVER, July 28 /PRNewswire-FirstCall/ -- Vista Gold
Corp. (Amex: VGZ; TSX) announces that subject to regulatory
approval, it plans to undertake a private placement financing,
which if completed, will raise gross proceeds of up to U.S. $6.5
million from the sale of up to 1.96 million units priced at U.S.
$3.30 per unit. The proceeds will be used for the acquisition of
additional projects, if suitable opportunities arise; maintenance
and evaluation of current projects and on-going administration
costs. Each unit will consist of one common share and one warrant.
Each warrant will entitle the holder to acquire one common share at
an exercise price of U.S. $4.75 for a period of two years from the
date of issue. The terms of the private placement will require
Vista to register for resale, under the U.S. Securities Act of
1933, the common shares issued in the placement, as well as the
common shares issuable upon the exercise of warrants. Starting six
months after the share registration date, if the closing price of
Vista's common shares on the American Stock Exchange is U.S. $5.50
or more for a period of 20 consecutive trading days, then for 15
business days Vista will have the option to request that the
warrants be exercised. If the warrants are not exercised within 15
business days following this request, they will be cancelled. A
cash finder's fee of 5% of the gross proceeds raised will be paid
to an advisor to the corporation in conjunction with the private
placement. The securities described above have not been registered
under the U.S. Securities Act of 1933 and may not be offered or
sold in the United States absent registration or an applicable
exemption from registration requirements. Vista Gold Corp., based
in Littleton, Colorado, evaluates and acquires gold projects with
defined gold resources. Additional exploration and technical
studies are undertaken to maximize the value of the projects for
eventual development. The Corporation's holdings include the
Maverick Springs, Mountain View, Hasbrouck, Three Hills, Hycroft
and Wildcat projects in Nevada, the Long Valley project in
California, the Yellow Pine project in Idaho, the Paredones
Amarillos and Guadalupe de los Reyes projects in Mexico, and the
Amayapampa project in Bolivia. The statements that are not
historical facts are forward-looking statements involving known and
unknown risks and uncertainties that could cause actual results to
vary materially from targeted results. Such risks and uncertainties
include those described from time to time in the Corporation's
periodic reports, including the annual report on Form 10-K filed
with the U.S. Securities and Exchange Commission. The Corporation
assumes no obligation to publicly update any forward-looking
statements, whether as a result of new information, future events
or otherwise. For further information, please contact Howard Harlan
at (720) 981-1185, or visit the Vista Gold Corp. website at
http://www.vistagold.com/. DATASOURCE: Vista Gold Corp. CONTACT:
Howard Harlan of Vista Gold Corp., +1-720-981-1185 Web site:
http://www.vistagold.com/
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