Exhibit 99.1
[LOGO] 7961 SHAFFER PARKWAY
SUITE 5
LITTLETON, COLORADO 80127
TELEPHONE (720) 981-1185
FAX (720) 981-1186
Trading Symbol: VGZ
Toronto and American Stock Exchanges
______________________________NEWS______________________________________________
Vista Gold Corp. Announces First Quarter Financial Results and Recent
Developments
DENVER, COLORADO MAY 17, 2004 - Vista Gold Corp. (TSX & AMEX: VGZ) announced
today its financial results for the quarter ended March 31, 2004, as filed on
May 17, 2004, with the US Securities and Exchange Commission in the
Corporation's Quarterly Report on Form 10-Q. For the quarter ended March 31,
2004, Vista reported a consolidated net loss of US$1.1 million or US$0.08 per
share compared to the quarter ended March 31, 2003, consolidated net loss of
US$0.8 million or US$0.07 per share.
Net cash used for operations in the quarter ended March 31, 2004, was US$0.4
million compared to US$0.7 million for the same period in 2003. Net cash used in
investing activities in the quarter ended March 31, 2004, was US$2.4 million
compared to US$0.8 million in the same period 2003. The increased spending in
investing activities was primarily due to US$2.3 million paid into the
reclamation bond account for the Hycroft mine in Nevada.
The Corporation received net cash from financing activities of US$2.2 million in
the quarter ended March 31, 2004, compared to US$3.3 million for the same period
in 2003. The US$2.2 million proceeds in the 2004 period were all from the
exercise of warrants. During the same period in 2003, the Corporation raised
US$2.9 million in net proceeds from a private placement and US$0.4 million from
the exercise of warrants.
The financial position of the Corporation included current assets at March 31,
2004, of US$5.4 million compared to US$6.5 million at December 31, 2003, and
total assets of US$27.5 million at March 31, 2004, compared to US$26.3 million
at December 31, 2003.
Current liabilities were US$0.4 million at March 31, 2004, compared to US$0.4
million at December 31, 2003. Total liabilities at March 31, 2004, were US$4.6
million compared to US$4.6 million at December 31, 2003, and shareholders'
equity was US$22.9 million at March 31, 2004, compared to US$21.7 million at
December 31, 2003.
The Corporation's working capital as of March 31, 2004, was US$4.9 million
compared to US$6.1 million at December 31, 2003. From March 31, 2004, through
April 30, 2004, approximately US$628,443 has been obtained from the exercise of
warrants issued during previous private placements. In order for the Corporation
to continue its growth strategy and meet the final bond payment for its Hycroft
mine in Nevada which is due in December 2004, it may be necessary for the
Corporation to raise additional capital through private placements or sale or
joint venture of certain of its assets. The financial information for the first
quarter of 2004 is summarized in the following table.
SELECTED FINANCIAL DATA
THREE MONTHS ENDED MARCH 31
U.S. $ 000'S, EXCEPT LOSS PER SHARE 2004 2003
---------------- ------------------
RESULTS OF OPERATIONS
Net loss $ (1,146) $ (815)
Basic and diluted loss per share (0.08) (0.07)
Net cash used in operations (448) (679)
Net cash used in investing activities (2,437) (775)
Net cash provided by financing activities 2,203 3,309
MARCH 31, DECEMBER 31,
FINANCIAL POSITION 2004 2003
---------------- ------------------
Current assets $ 5,353 $ 6,485
Total assets 27,526 26,280
Current liabilities 439 408
Total liabilities 4,610 4,577
Shareholders' equity 22,916 21,703
Working capital 4,914 6,077
The annual general meeting of the Corporation's shareholders was held on May 10,
2004. Re-elected to the Board of Directors for a one-year term were John M.
Clark, Ronald J. McGregor, C. Thomas Ogryzlo, Robert A. Quartermain and Michael
B. Richings. PricewaterhouseCoopers was re-appointed independent auditor.
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 Jock McGregor at (720) 981-1185, or
visit the Vista Gold Corp. website at www.vistagold.com
-----------------