Vista Gold(US:VGZ)2021-10-27 20:10Financial Performance - Consolidated net loss for the three months ended September 30, 2021, was $(3,069) thousand, compared to a net income of $4,220 thousand for the same period in 2020[67]. - Net cash used in operating activities was $7,438 thousand for the nine months ended September 30, 2021, compared to $4,698 thousand in 2020, reflecting increased exploration expenditures[75]. - Cash from financing activities during the nine months ended September 30, 2021, included net proceeds of $12,323 thousand from a public offering[77]. - The company holds no debt as of September 30, 2021, indicating a strong financial position[68]. - As of September 30, 2021, the company had working capital of $14,840, compared to $8,281 at December 31, 2020, reflecting an increase of 79%[82]. - The company expects to maintain adequate liquidity and fund corporate expenses and project holding costs for at least 12 months with existing working capital as of September 30, 2021[119]. Project Development - The company has invested over $100 million in the Mt Todd gold project since its acquisition in 2006, positioning it for near-term development[53]. - Engineering and design for the definitive feasibility study for Mt Todd is 80% complete, with the study expected to include reserve estimates based on current market conditions[54]. - The company estimates total remaining cash expenditures to complete the Mt Todd feasibility study and additional drilling will total approximately $4,400, with most funds to be expended in the coming months[83]. - Vista aims to complete a definitive feasibility study for Mt Todd, which is anticipated to establish mineral resources and reserves estimates under S-K 1300 standards[124]. - The company anticipates that the definitive feasibility study for Mt Todd will result in a larger reserve and longer mine life, reflecting current gold prices[100]. - Vista anticipates that the feasibility study will evaluate trade-off opportunities, potentially resulting in a larger reserve and longer mine life[124]. Exploration Activities - Exploration and property evaluation costs increased to $2,269 thousand for the three months ended September 30, 2021, up from $1,034 thousand in 2020, primarily due to feasibility study preparations and exploration drilling[71]. - The company plans to continue drilling to demonstrate the regional potential along a 5.4-kilometer portion of the Batman-Driffield Trend[59]. - The company has completed 18 planned holes (approximately 6,365 meters) in the current drilling program, with the last two holes intersecting over 100 meters of mineralization[102]. - The company plans to continue drilling into Q1 2022 to demonstrate regional potential along the Batman-Driffield Trend and outline areas for future drilling[119]. Strategic Partnerships and Royalties - The company aims to secure a development partner for Mt Todd, with the intrinsic value of the project expected to provide a source of working capital and reduce equity dilution[85]. - The company may realize up to $2,500 if a third party cancels its royalty interests in Awak Mas by the end of January 2022[86]. - Vista received a payment of $2,400 to cancel a 1% NSR on the first 1,250,000 ounces produced at Awak Mas and a 1.25% NSR on the next 1,250,000 ounces produced[112]. - The company expects to receive future payments for the cancellation of remaining net smelter return royalties on the Awak Mas project[124]. Community and Operational Impact - The company believes that its efforts in water treatment and management have created a strong social license with local communities and government[119]. - Vista expects ongoing costs due to COVID-19 may impact its financial condition and results of operations[124].