Vista Gold(VGZ) - 2025 Q1 - Quarterly Report

Financial Performance - As of March 31, 2025, the company reported cash of $14,970 and working capital of$ 13,974, with no debt[78]. - The consolidated net loss for Q1 2025 was $2,708, compared to a loss of$ 1,073 in Q1 2024, equating to losses of $0.02 and$ 0.01 per basic share respectively[78]. - Exploration, property evaluation, and holding costs increased to $1,538 in Q1 2025 from$ 752 in Q1 2024, primarily due to $739 of expenses related to the 2025 FS[79]. - Interest income rose to$ 169 in Q1 2025 from $103 in Q1 2024, attributed to a higher average cash balance from a royalty agreement[84]. - Net cash used in operating activities was$ 1,820 in Q1 2025, up from $1,318 in Q1 2024, mainly due to higher project expenditures[85]. - Net cash provided by investing activities was ($ 184) in Q1 2025, compared to $7,247 in Q1 2024, which included a$ 7,000 royalty payment[86]. - Working capital decreased to $13,974 as of March 31, 2025, from$ 16,457 at December 31, 2024, reflecting a net decrease of $2,483[89]. - The company estimates net recurring costs of approximately$ 6,500 for the next 12 months, plus $3,000 for work plans at Mt Todd[91]. - The company has$ 7,506 remaining available under the ATM Program as of March 31, 2025, after issuing 400,000 common shares for net proceeds of $269[92]. Project Development - The 2024 feasibility study (FS) for the Mt Todd Gold Project indicated total proven and probable mineral reserves of 6.98 million ounces of gold, with an average annual production of 395,000 ounces over a 16-year mine life[67]. - The 2024 FS projected initial capital requirements of$ 1.03 billion, resulting in a cash cost of $913 per ounce[67]. - A new feasibility study commenced in December 2024 aims to develop a 15,000 tpd operation with an initial capex of approximately$ 400 million, a 60% reduction compared to the previous study[59]. - The 2025 FS targets an average annual gold production of 150,000 to 200,000 ounces, leveraging contract mining and third-party power generation for capital efficiency[59]. - The 2024 FS demonstrated an after-tax NPV5% of $1.13 billion and an internal rate of return (IRR) of 20.4% at a gold price of$ 1,800 per ounce[67]. - The Mt Todd resource block model is being updated for the 2025 FS, with completion anticipated by mid-2025[108]. - The 2024 feasibility study (FS) indicates strong economics for a 50,000 tpd operation, with an expected average annual gold production of 150,000 to 200,000 ounces[115]. - The 2025 FS aims to reduce initial capital expenditure by 60% to approximately $400 million while increasing the reserve grade to 1 gram gold per tonne[115]. - The 2024 drilling program suggests potential increases in gold mineral reserves in the Batman deposit[115]. Regulatory and Economic Factors - The Northern Territory's new Mineral Royalties Act 2024 will apply a 3.5% ad valorem royalty rate on gold production, nearly a 50% reduction in payable royalties compared to previous regulations[63]. - The 3.5% ad valorem royalty regime applied to gold production from Mt Todd represents a nearly 50% reduction in payable royalties, improving project economics and shareholder returns[115]. - The company estimates that under the previous net profits royalty regime, the economic analysis at an$ 1,800 gold price would result in $765 million in NT royalties over the mine's life[120]. - The potential liability from a negative court ruling regarding the Mexico tax matter is estimated at approximately$ 3,600 for income taxes, assessable interest, and penalties[120]. Strategic Focus - The company continues to prioritize efficient resource use to advance the Mt Todd project while maintaining adequate liquidity and minimizing share dilution[62]. - The company believes that the 2025 FS is progressing as planned, with completion anticipated by mid-2025[115]. - The company aims to maintain adequate liquidity and minimize dilution while maximizing returns to shareholders through the development of Mt Todd[120].