Q4 2024 Vista Gold Corp Earnings Call

Unknown Attendee: Good day, ladies and gentlemen. Welcome to Vista Gold's 2024 Financial Results Incorporate Update Conference Call. At this time, all participants are in a listen-only mode.

Speaker Change: Good day, ladies and gentlemen, welcome to Vista, Gold's 2020 for financial results and corporate update conference call. At this time all participants are in a listen only mode. Following the presentation. We will conduct a question and answer session. At this time participants are press star one to register for a class.

Unknown Attendee: Following the presentation, we will conduct a question-and-answer session. At this time, participants are asked to press Star 1 to register for a question. For assistance during the call, please press Star 0 on your touchtone phone. As a reminder, this conference call is being recorded.

Speaker Change: <unk> for US is just showing the quality specified zero on you touched on funding as a reminder, this conference call is being recorded today is just a much 60025. It is now my pleasure to introduce my mother solely Vice President of Investor Relations. Thank you. Please go ahead.

Unknown Attendee: Today is Thursday, March 6, 2025.

Pamela Solly: It is now my pleasure to introduce Pamela Solly, Vice President of Investor Relations. Thank you. Please go ahead. Thank you, Ina, and good day, everyone. Thank you for joining the Vista Gold Corp. 2024 Financial Results and Corporate Update Conference Call. I'm Pamela Solly, Vice President of Investor Relations.

Pamela Solly: Thank you Ina and good day, everyone. Thank you for joining the Vista Gold Corp, 2024 financial results and corporate update conference call I'm, Pamela Solly, Vice President of Investor Relations on the call today is Fred earnest, President and Chief Executive Officer, and Doug Tobler, Chief Financial Officer.

Pamela Solly: On the call today is Fred Earnest, President and Chief Executive Officer, and Doug Tobler, Chief Financial Officer.

Pamela Solly: On February 28, 2025, Vista reported its operating and financial results for the year ended December 31, 2024. Copies of the news release and annual report on Form 10-K are available on our website at www.vistagold.com.

Pamela Solly: On February 28, 2025 reported its operating and financial results for the year ended December 31, 2024 copies of the news release and annual report on Form 10-K are available on our website at Www Dot Vista Gold Dot com.

Pamela Solly: During the course of this call and the question and answer session, we will be making forward-looking statements. These statements involve known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements of VISTA to be materially different from results, performance, or achievements expressed or implied by such statements. Please refer to our most recently filed Form 10-K for details of risks and other important factors that could cause actual results to differ materially from those in our forward-looking statements and the cautionary note regarding estimates and mineral resources and mineral reserves.

Pamela Solly: During the course of this call and the question and answer session. We will be making forward looking statements. These statements involve known and unknown risks uncertainties and other factors that may cause actual results performance or achievements of vista to be materially different from results performance or achievements expressed.

Pamela Solly: Or implied by such statements.

Speaker Change: Please refer to our most recently filed Form 10-K for details of risks and other important factors that could cause actual results to differ materially from those in our forward looking statements and the cautionary note regarding estimates and mineral resources and mineral reserves I will now call the turn it over to Fred earnest.

Frederick Earnest: I will now call the turn over to Fred Earnest. Thank you, Pam. And thank you, everyone, for joining us on the call this afternoon. We will begin with an overview of our 2024 achievements and then discuss our outlook for 2025. Our achievements in 2024 underscore our commitment to creating greater value for our shareholders and positioning Vista and Mount Todd for long term success. During 2024, we completed the drilling program that we committed to as part of our 2023 royalty transaction. We evaluated alternative development strategies for Mt. Todd and started a new Mt. Todd feasibility study targeting a 60% reduction in capital.

Pamela Solly: Thank you Pam.

Fred Earnest: And thank you everyone for joining us on the call. This afternoon.

Fred Earnest: We will begin with an overview of our 2024 achievements and then discuss our outlook for 2025.

Fred Earnest: Our achievements in 2024 underscore our commitment to creating greater value for our shareholders and positioning Vista and Mt. Todd.

Fred Earnest: For long term success. During 2024, we completed the drilling program that we committed to as part of our 2000 and twenty-three royalty transaction, we evaluated alternatives development strategies for Mt. Todd and started a new Mt. Todd feasibility studies targeting a 60% reduction in capital.

Fred Earnest: Yeah.

Frederick Earnest: We'll talk more on that in a moment. In March, we announced updated economics for our 2022 Mount Todd 50,000 ton per day feasibility study to reflect first quarter 2024 pricing for material capital and operating costs comprised at Vista's 2024 Annual Meeting of Shareholders. Two new independent directors were elected to the company's board of directors to succeed two long-standing directors who retired. We received the remaining proceeds under our 2023 royalty transaction with Wheaton Precious Metals, then enabled us to advance Mount Todd work programs and end the year with $16.9 million US in cash. I'm pleased to report that we have had no lost time at incidents year to date.

Fred Earnest: I'll talk more on that in a moment.

Fred Earnest: In March we announced updated economics for our 2022 Mt. Todd 50000 ton per day feasibility study.

Fred Earnest: To reflect first quarter 'twenty 'twenty four pricing for material capital and operating cost components.

Fred Earnest: At Vista 2024 annual meeting of shareholders.

Fred Earnest: Two new independent directors were elected to the company's board of directors to succeed two long standing directors who retired.

Fred Earnest: We received the remaining proceeds under our 2000 and twenty-three royalty transaction with Wheaton precious metals.

Fred Earnest: Then enabled us to advance dropped hard work programs and end the year with $16 $9 million U S and kept our cash.

Fred Earnest: I'm pleased to report that we have had no lost time incidents year to date.

Frederick Earnest: or for the year 2024. And the Mount Todd site has now reached 1,211 consecutive accident-free days.

Fred Earnest: Or for the period for the year 2024.

Fred Earnest: And the Mount Todd site has now reached 1211 consecutive accident free days.

Frederick Earnest: Finally, I'm happy to announce that we have published Vista's 2024 ESG report, and I note that it is available on our website at www.vistagold.com.

Fred Earnest: Finally, I'm happy to announce that we have published vistas 2000 22024.

Fred Earnest: Yes, G report and I note that it is available on our website at Www Dot Vista Gold Dot com.

Frederick Earnest: I will discuss some of these topics in greater detail in just a few moments, but I would now like to turn the time over to Doug Tobler. for a review of our financial results for the year ended December 31st, 2000. Thank you, Fred. And for those of you on the call today, thanks for joining us, and we appreciate your interest in Vista Gold. We filed our most recent Form 10-K last week. That report is available at sec.gov and cedarplus.ca. I'll start today with a recap of our year over year results of operations and all the amounts I'll be speaking to today are in US dollars.

Fred Earnest: I will discuss some of these topics in greater detail in just a few moments, but I would now like to turn the time over to Doug Tobler.

Doug Tobler: For a review of our financial results for the year ended December 31 2024.

Doug Tobler: Thank you Fred and for those of you on the call today, Thanks for joining us and we appreciate your interest in Vista Gold.

Doug Tobler: We filed our most recent Form 10-K last week that report is available at SEC Gov, and SEDAR plus got CA.

Speaker Change: I'll start today with a recap of our year over year results of operations and all the amounts I'll be speaking to today are in U S dollars.

Douglas Tobler: Vista reported net income of $11.2 million for the year ended December 31, 2024. This compared favorably to a net loss of $6.6 million for 2023. The financial results for 2024 benefited from two important non recurring items. First, we recognized a $16.9 million gain on the Wheaton Royalty Transaction. This gain resulted from the $20 million received, offset by associated capital costs at Mt. Todd, of $3.1 million. Secondly, we sold a portion of our used mill equipment for a gain of $800,000. Another benefit we realized was from higher interest income. As a result of the Wheaton proceeds, we had a substantially higher cash balance during 2024, which translated to an increase in interest income of nearly $450,000 when compared to 2023.

Speaker Change: This to reported net income of $11 $2 million for the year ended December 31, 2024, this compared favorably to a net loss of $6 6 million for 2023.

Speaker Change: The financial results for 2024 benefited from two important nonrecurring items first we recognized a $16 $9 million gain on the weekend royalty transaction.

Speaker Change: This gain resulted from the $20 million received offset by associated capital costs at Mt. Todd of $3 $1 million. Secondly, we sold a portion of our used mill equipment for a gain of $800000.

Speaker Change: Another benefit we realized was from higher interest income as a result of the weakened proceeds we had a substantially higher cash balance during 2024, which translated to an increase in interest income of nearly $450000 when compared to 2023.

Douglas Tobler: And from an expenditure perspective, we were successful during 2024 in managing our corporate admin costs and recurring Mount Todd site costs. These costs were largely consistent when when compared on a year over year basis. We did see an increase in exploration related costs in 2024 compared to 2023. These costs were three and a half million dollars in 24 and $3.2 million in 2023. The 24 increase was largely attributable to several technical studies that we undertook prior to making our decision to proceed with the feasibility study that is currently in progress. As a result of our positive operating results for 2024, Vista Gold ended in a strong financial position.

Speaker Change: And from an expenditure perspective, we were successful during 2024 and managing our corporate admin costs and recurring Mount Todd site costs.

Speaker Change: These costs were largely consistent with when compared on a year over year basis.

Speaker Change: We did see an increase in exploration related costs in 2024 compared to 2023. These costs were $3 $5 million in 'twenty, four and $3 $2 million in 2023.

Speaker Change: The 24 increase was largely attributable to several technical studies that we undertook prior to making our decision to proceed with the feasibility study that is currently in progress.

Speaker Change: As a result of our positive operating results for 2020 for Vista Gold ended in a strong financial position at year end, we had cash on hand of $16 $9 million and no debt. This places us in a position to complete the feasibility study, which is scheduled for mid 2025 and.

Douglas Tobler: At year-end, we had cash on hand of $16.9 million and no debt. This placed us in a position to complete the feasibility study, which is scheduled for mid-2025, and maintain a strong financial position going forward.

Speaker Change: A strong financial position going forward.

Douglas Tobler: That is my remarks for the day, so I'll turn the call back over to Fred. Thank you. Thank you, Doug.

Speaker Change: That concludes my remarks for the day, so I will turn the call back over to Fred Thank you.

Fred Earnest: Thank you Doug.

Frederick Earnest: Before discussing our 2024 achievements and 2025 outlook, I'd like to provide an overview of our strategy. As I mentioned previously, in December we started a new feasibility study for Mt. Todd targeting a 60% reduction in capacity. The capital is now estimated to be $400 million for the project. This study will evaluate a 15,000 ton per day or nominally 5.2 million ton per year operation. with anticipated gold production of 150 to 200,000 ounces of gold per year. we will be raising the cutoff grade used to develop the mining schedule to achieve our target of having a mineral reserve grade of approximately one gram of gold per ton.

Fred Earnest: Before discussing our 2020 for achievements in 2025 outlook I'd like to provide an overview of our strategy.

Fred Earnest: As I mentioned previously in December we started a new feasibility study for Mt, Todd targeting a 60% reduction in capital.

Fred Earnest: Our capital is now estimated to be 400 million for the project.

Fred Earnest: This study will evaluate a 15000 ton per day or nominally $5 2 million ton per year operation.

Fred Earnest: With anticipated gold production of 150 to 200000 ounces of gold per year.

Fred Earnest: We are raising the cutoff grade used to develop the mining schedule to achieve our target of having a mineral reserve grade of approximately one gram of gold per ton.

Frederick Earnest: We expect this will result in a gold reserve. of five to five and a half million ounce The consultants we have selected for this study have extensive Australian and international experience with projects of this scale. We believe that we can deliver a fit for purpose design that can be built more efficiently. and in a shorter period of time. This new feasibility study is expected to be completed mid-year and marks a significant step forward in de-risking the Mount Todd project. This study is an integral part of our efforts. Exposition Mount Todd is one of the most attractive, ready-to-build gold projects in the world.

Fred Earnest: We expect this will result in a gold reserve.

Fred Earnest: Okay.

Fred Earnest: Of five to five 5 million ounces.

Speaker Change: The consultants we have selected for this study have extensive Australian and.

Speaker Change: And international experience with projects of this scale.

We believe that we can deliver a fit for purpose design that can be built more efficiently.

Speaker Change: And in a shorter period of time.

Speaker Change: This new feasibility study is expected to be completed mid year and marks a significant step forward in derisking the Mt. Todd project.

Speaker Change: This study is an integral part of our efforts.

Speaker Change: To position Mt. Todd is one of the most attractive ready to build gold projects in the world.

Frederick Earnest: We continue to exercise the discipline necessary to best realize value. at the right.

Speaker Change: We continue to exercise the discipline necessary to best realize value at the right time.

Frederick Earnest: Now, turning to our 2024 achievement. First of all, talking about safety and ESG topics. During 2024, we maintained our focus on safety, environmental stewardship and stakeholder Mount Todd achieved zero last time accidents in 2024. And as I noted, has now passed 1211 days without a workplace We remain committed to our health and safety programs and are focused on building on this achievement. site personnel continued to successfully manage Mt. Todd environmental initiatives, and the management team continued its proactive engagement with the Jowin Association Aboriginal Corporation and its members and other key stakeholders.

Speaker Change: Now turning to our 2024 achievements.

Speaker Change: First of all.

Speaker Change: Talking about safety and ESG.

Speaker Change: Topics during 2024, we maintained our focus on safety environmental stewardship and stakeholder interests.

Speaker Change: Mount Todd achieved zero lost time accidents in 2024 and as I noted is now passed 1211 days without a workplace incidents.

Speaker Change: We remain committed to our health and safety programs and are focused on building on this achievement.

Speaker Change: Site personnel continued to successfully manage Mt, Todd environmental initiatives and the management team continued its proactive engagement with the Jawans Association Aboriginal Corporation and its members and other key stakeholders.

Frederick Earnest: We also published our inaugural ESG report. Also in 2024, we completed a drilling program. in which we drilled a total of 34 diamond core holes for a total of 6,776 meters. Every hole intercepted mineralization. The program was divided into two phases. Phase one drilling in conjunction with the 2020 through 2022 drilling program. provided information to extend the boundaries of the mineralization in the northern section of the Batman deposit. Drilling Intercepted Gold Grades Higher Than Estimated In The Current Block Model and also intersected mineralization outside the limits of the current resource center. These results provide the basis to increase gold mineral resources in the area of the Batman deposit and to convert a portion of the current mineral resources in this area into proven and probable mineral reserves.

Speaker Change: We also published our inaugural ESG report.

Speaker Change: Also in 2024, we completed a drilling program.

Speaker Change: In which we drilled a total of 34 diamond core holes for a total of 6776 meters.

Speaker Change: Every hole intercepted mineralization.

Speaker Change: The program most divided into two phases.

Speaker Change: Phase one drilling and in conjunction with the 2020 through 2022 drilling program provided.

Speaker Change: Provided information to extend the boundaries of the mineralization in the northern section of the Batman deposit drew.

Speaker Change: Drilling intersected gold grades higher than estimated in the current block model.

Speaker Change: And also intersected mineralization outside the limits of the current resource envelope.

Speaker Change: These results provide the basis to increase gold mineral resources in the area of the Batman deposit.

Speaker Change: And to convert a portion of the current mineral resources in this area into proven and probable mineral reserves.

Frederick Earnest: The second phase of the drilling, this defined the mineralized boundaries of the south crossload over a 400 meter strike length. and intersected high grade substructures in the lower portion of 13 holes. the South Cross load. is parallel to the Batman deposit and extends to the Northeast. These drilling results are expected to support the expansion of the mineral resource shell with the potential to increase gold mineral reserve. The results from the 2024 and 2020 through 22 drilling programs are being incorporated into a new mineral resource block model as part of the new Mount Todd feasibility study.

Speaker Change: The second phase of the drilling this defined the mineralized boundaries.

Speaker Change: Of the South cross slowed over a 400 meter strike length.

Speaker Change: And intersected high grade sub structures in the lower portion of 13 holes.

Speaker Change: The South cross load.

Speaker Change: As parallel to the Batman deposit and extends to the northeast.

Speaker Change: These drilling results are expected to support the expansion of the mineral resource shell with the potential to increase gold mineral reserves.

Speaker Change: The results from the 2024 and 2020 through 22 drilling programs are being incorporated.

Speaker Change: Into our new mineral resource block model as part of the new Mount Todd feasibility study we.

Frederick Earnest: We expect these drilling programs to result in an increase in mineral resources. and the conversion of some mineral resources to mineral reserves.

We expect these drilling programs to result in an increase in mineral resources.

Speaker Change: And the conversion of some mineral resources to mineral reserves.

Frederick Earnest: We encourage you to refer to our 2024 and 2025 drilling results news releases. for more detailed information about the 2024 drill program. As I noted previously, in March of 2024, Vista updated the economics of its 2022 Mount Todd 50,000 ton per day feasibility study to reflect Q1 2024 Pricing for Material Capital and Operating Cost Components. Long-term outlooks for the gold price, foreign exchange rates, and the new lower Northern Territory royalty rates were also updated and incorporated into the study. This update demonstrated that project economics were approximately or slightly better than reported in 2022. Inclusive of cost increases that have affected the entire gold mining sector.

Speaker Change: We encourage you to refer to our 2024 and 2025 drilling results news releases for more detailed information about the 2024 drill program.

Yeah.

Speaker Change: As I noted previously in March of 2020 for Vista updated the economics of its 2022 Mt. Todd 50000 ton per day, a feasibility study to reflect.

Speaker Change: Q1.

Speaker Change: 2020 for pricing for material capital and operating cost components.

Speaker Change: Long term outlooks for the gold price foreign exchange rates and the new lower Northern territory royalty rates were also updated and incorporate it into the study.

Speaker Change: This update demonstrated the project economics were approximately or slightly better than reported in 2022 inclusive of cost increases.

Speaker Change: <unk> the entire gold mining sector.

Frederick Earnest: Obviously, the significant improvement in gold price since then has resulted in very positive improvements in project economics.

Speaker Change: Obviously, the significant improvement in gold price. Since then has resulted in very positive improvements in project economics.

Frederick Earnest: As we look ahead. Our key strategic focus in 2025 is to complete the Mount Todd, the new Mount Todd feasibility study. We believe this new feasibility study will be a significant catalyst to create long-term value for Vista and its shareholders.

Speaker Change: As we look ahead.

Speaker Change: Our key strategic focus in 2025.

Speaker Change: Is to complete the Mt, Todd the new Mount Todd feasibility study.

Speaker Change: We believe this new feasibility study will be a significant catalyst to create long term value for us for Vista and its shareholders and then it will represent a key deliverable and consolidating Mt. Todd's position as one of the most attractive ready to build projects in the gold sector.

Frederick Earnest: and that it will represent a key deliverable in consolidating Mount Todd's position as one of the most attractive, ready-to-build projects in the gold sector. Momentum continues to build in the gold sector. And we believe that the lower capital costs of the 15,000 ton per day project in this new feasibility study is already attracting interest from investors seeking ready to build gold projects like Mount Todd.

Speaker Change: <unk>.

Speaker Change: Momentum continues to build in the gold sector.

Speaker Change: And we believe that the lower capital cost of the.

Speaker Change: <unk> 15000 ton per day project and this new feasibility study is already attracting interest from investors seeking ready to build gold projects like Mount Todd missed.

Frederick Earnest: Vista remains committed to advancing its health, safety, and ESG initiatives. Details of Vista's goals and achievements in these and other areas are included in our 2024 ESG report.

Speaker Change: <unk> remains committed to advancing its health safety and ESG initiatives.

Speaker Change: Details of vistas goals and achievements in these and other areas are included in our 2024.

Speaker Change: Yes, Jay report.

Frederick Earnest: In conclusion, Vista holds the Mount Todd Gold Project, a ready-to-build, development-stage gold deposit located in the Northern Territory of Australia, one of the most attractive jurisdictions in the world. Mount Todd offers significant scale. development optionality, growth opportunities, advanced local infrastructure, community support, and demonstrated economic feasibility. Vista's strategy is to efficiently advance Mt. Todd in ways that demonstrate the underlying value of the project and position it for near-term development, while maintaining the discipline necessary to best realize value at the right time. We anticipate that the results of the Mount Todd Feasibility Study will be a strong catalyst as we continue to pursue strategic transactions that maximize value for our shareholders.

Speaker Change: In conclusion.

Speaker Change: Vista holds the Mt. Todd Gold project, a ready to build development stage gold deposit.

Speaker Change: Located in northern territory of Australia.

Speaker Change: One of the most attractive jurisdictions in the world not taught offers a significant offers significant scale.

Speaker Change: Development Optionality growth opportunities advanced local infrastructure community support.

Speaker Change: And demonstrated economic feasibility.

Speaker Change: This is strategy is to efficiently advance Mt. Todd in ways that demonstrate the underlying value of the project and position it for near term development, while maintaining the discipline necessary to best realize value at the right time.

Speaker Change: We anticipate that the results of the Mt. Todd feasibility study will be a strong catalyst.

Speaker Change: As we continue to pursue strategic transactions that maximize value for our shareholders.

Frederick Earnest: We expect our strategy of advancing Mt. Todd with discipline. to deliver a more fully valued project to our shareholders. We believe that thoughtful evaluations and a focus on maximizing shareholder risk will help us create and realize greater value for all stakeholders.

Speaker Change: We expect our strategy of advancing Mt, Todd with discipline to deliver a more fully valued project to our shareholders. We believe that thoughtful evaluations and our focus on Max on minimizing shareholder risk will help us create and realize greater value for all stakeholders.

Frederick Earnest: Vista is committed to seeing the development of Mount Todd in keeping with the highest mining and ESG standards and will work diligently toward that goal. It is important to note that we hold approvals for all major permits needed to initiate development of the project. I'm taught offers a number of advantages. It is ideally located in the Northern Territory of Australia, an extremely stable and mining-friendly jurisdiction. The existing project infrastructure at Mt. Todd provides construction timeline and risk mitigation advantages. All the major permits to initiate development of the Mt. Todd project have been approved. Of equal importance, we have earned the trust of the local stakeholders.

Speaker Change: This is committed to seeing the development of Mt. Todd in keeping with the highest mining and ESG standards and we will work diligently towards that goal. It is important to note that we hold approvals for all major permits needed to initiate development of the project.

Speaker Change: Todd offers a number of advantages.

Speaker Change: It is ideally located in the northern territory of Australia, and extremely stable and mining friendly jurisdiction.

Speaker Change: The existing project infrastructure at Mt. Todd provides.

Speaker Change: Construction timeline and risk mitigation advantages.

Speaker Change: All the major permits to initiate development of the Mt. Todd project have been approved of equal importance. We have earned the trust of the local stakeholders and.

Frederick Earnest: and are confident that our social license is firmly in place. Our current technical programs aim to de-risk the project by incorporating designs that significantly reduce the initial capital cost. while maintaining competitive operating costs and preserving the option for future project expansion.

Speaker Change: And are confident that our social license is firmly in place.

Speaker Change: Our current technical programs aimed to derisk the project by incorporating dot designs that significantly reduce the initial capital cost well.

Speaker Change: Maintaining a competitive operating costs and preserving the option for future project expansion.

Frederick Earnest: For a more comprehensive review of the work completed by Vista on the Mount Todd project, I refer you to our corporate presentation, which can be found on our website at www.vistagold.com.

For a more comprehensive review of the work completed by by Vista on the Mt. Todd project or if you I refer you.

Speaker Change: To our corporate presentation, which can be found on our website at www Dot <unk> dot com.

Frederick Earnest: We believe that Vista Gold represents an exceptional investment opportunity and that current prices represent a tremendous opportunity to establish a position or increase one's holding in Vista Gold.

Speaker Change: We believe that Vista gold represents an exceptional investment opportunity in that current prices represent a tremendous opportunity to establish a position or increase ones holding in Vista gold.

Frederick Earnest: This concludes our formal remarks, and we will now respond to any questions from participants on this. Thank you.

Speaker Change: This concludes our formal remarks, and we will now respond to any questions from participants on this call.

Speaker Change: Thank you, ladies and gentlemen, we will now be.

Unknown Attendee: Ladies and gentlemen, we will now begin the question and answer session.

Speaker Change: The question and answer session should you have a question. Please press star followed by the one on your telephone keypad, you'll hear a prompt the Johannesburg East and should you wish to cancel your request. Please press star two if you're using a speaker phone. Please lift the handset before pressing any keys one moment. Please for your first question.

Unknown Attendee: Should you have a question, please press star 4 by the 1 on your telephone keypad. You will hear a prompt that your hand has been raised, and should you wish to cancel the request, please press star 4 by the 2.

Unknown Attendee: If you are using a speakerphone, please lift the handset before pressing any key. One moment, please, for your first question.

Mike Schultz: And your first question comes from the line of Mike Schultz. Please go ahead. Hello, Mike. Hi Fred, can you hear me? We can. Fred, can you hear me? We hear you loud and clear, Mike. Okay, just wanted to be sure. Yeah, so my question involves, you know, a couple of calls back, I asked a question about whether Vista had the capacity to be able to, you know, borrow, possibly the entire amount of CapEx. And I think the response was that your kind of role would be to, you know, have a partner and whatnot. And so it's more along the lines of what is the risk of mining versus getting a partner?

Speaker Change: And your first question comes from the line of Mike Schulz. Please go ahead.

Speaker Change: Hello, Mike.

Speaker Change: Hum.

Speaker Change: Hey, Fred can you hear me.

Speaker Change: We can.

Speaker Change: Can you hear me.

Speaker Change: We hear you loud and clear Mike.

Speaker Change: Okay, just wanted to make sure.

Speaker Change: Yeah. So.

Speaker Change: My question involves.

A couple of calls back I asked a question about weather.

Speaker Change: Had the capacity to be able to.

Speaker Change: Possibly the entire amount of Capex and I think the response was.

Speaker Change: Our goal would be that yes, we.

Speaker Change: We have a partner and whatnot.

Speaker Change: It's more along the lines of what is the risk of mining versus getting a partner because if.

Mike Schultz: Because just if you think about, if by chance you could borrow $400 million, in the first two years, if you met your 200,000 ounce target, you could pay off the entire CapEx if you netted $1,000 an ounce in gold. And so, after that, it would just be, you know, tons of cashless.

Speaker Change: If you think about it if by chance you can borrow at $400 million.

Speaker Change: In the first two years that you've met your $200 an ounce target you could pay off the entire plot box like United.

$1000, an ounce and gold and so after that it would just be all.

Speaker Change: We have tons of cash.

Mike Schultz: Help me understand why a partner is a better strategy than actually mining it yourself, which you could do as soon as possible and not have to let year after year go by where you're kind of sitting on flat stock returns.

Speaker Change: Help me understand why apart.

Speaker Change: It is a better strategy than actually mining it yourself, what you could do as soon as possible and not have to.

Speaker Change: Year after year go by where you're kind of sitting on flat stock returns.

Frederick Earnest: Well, first of all, Mike, no one would loan any developer 100% of the capital to build a project. That's just not a viable option. It's not a practical option. It's just not something that's done. I think the last time we saw 100% bank finance development of projects was in the 1990s. And I happen to be managing one of those projects. And it's a little bit difficult when you have the banks in your pocket like that. So, given that that's the answer and that there's just no way that we would, we or anybody else would borrow the full amount to develop Mount Todd or any other project.

Speaker Change: Well first of all Mike.

Speaker Change: No one would loan any developer 100% of the capital to build the project.

Speaker Change: That's just not a viable option. It is not a practical option. It's just not something thats done I think.

Speaker Change: The last time last time, we saw a 100% bank finance development of projects was in the 19 nineties.

Speaker Change: And I happen to be managing one of those projects and it's a it's a little bit difficult. When you have the banks in your pocket like that.

Speaker Change: So given that the answer in that Theres, just no way that we would we or anybody else would borrow the full amount to develop Mt Todd or any other project.

Frederick Earnest: there is an equity component. And realistically, you know, the balance between debt and equity would be something in the range of 50-50, 60-40. And so there's a dilution component that comes into play when we start looking at bringing in equity. The advantage of bringing in a partner to develop the project is that there's a value that they pay to Vista Gold as part of the earn-in to the project. and in the right circumstances, the right market, we believe that that earn-in would cover all or almost all of Vista Gold's contribution to the CapEx of the project.

Speaker Change: There is an equity component and realistically.

Speaker Change: The balance between debt and equity would be something in the range of 50 50.

Speaker Change: 60, 40, and so there is there is a dilution component that comes into play.

Speaker Change: When we start looking at bringing in equity the advantage of bringing in a partner to develop the project is that there is a value that they paid to Vista gold as part of the earn in through the project.

Speaker Change: And in the right circumstances, the REIT market, we believe that that earn and would cover.

Speaker Change: All or almost all of Vista Gold's contribution to the Capex of the project.

Frederick Earnest: And so the advantage for us is that we would be able to finance, and leverage our way into a whatever our ownership. position is with very little, if any, additional dilution to our shareholders, which creates more leverage. And that's the and that leverage becomes effective almost almost immediately.

Speaker Change: And so the advantage for us is that we would be able to.

Speaker Change: Finance and leverage our way into a whatever our ownership.

Speaker Change: Position is.

Speaker Change: With very little if any additional dilution to our shareholders, which creates more leverage.

Speaker Change: And that's the and that leverage becomes effective almost.

Speaker Change: Almost immediately so that's that's the answer to your question Mike.

Unknown Attendee: So that's that's the answer to your question, Mike. Thanks for asking. Thank you. Once again, should you have a question, please press star followed by the one on your telephone keypad. There are no further questions at this time.

Speaker Change: Thanks for asking.

Speaker Change: Thank you once again should you have any question do you specify a fob at the one on your telephone keypad.

Yeah.

Speaker Change: There are no further question at this time I would now hand, the call back to Mr. Fred earnest for any closing remarks.

Frederick Earnest: I will now hand the call back to Mr. Fred Earnest for any closing remarks. Thank you, Ina. And thanks to all of you who have joined our call this afternoon. We're very pleased with the results of 2024. both from a financial point of view and from what we've been able to achieve in advancing the project. We, and I specifically, are very excited about the prospects for this year. The work that's progressing on the feasibility study, the new feasibility study for Mt. Todd have the potential to be a very important catalyst as we seek to unlock the value of the project for our shareholders.

Fred Earnest: Thank you Anna and thanks to all of you who have joined our call. This afternoon.

Fred Earnest: We're very pleased with the results of 2024.

Fred Earnest: Both from a financial point of view and from what we've been able to achieve in advancing the project.

Fred Earnest: We and I, specifically are very excited about the prospects for this year.

Fred Earnest: The work that's progressing on the feasibility study of the new feasibility study for Mt. Todd.

Fred Earnest: Have the potential to be a very important catalyst as we seek to unlock the value of the project.

Speaker Change: For our shareholders I invite you to.

Frederick Earnest: I invite you to Continue to monitor the progress as we're able to announce it. The most significant bits of news will not be announced until the completion of the feasibility study, middle of the year. But there is work ongoing. And we invite you to closely monitor the progress that we're making with Mount Todd. We believe that the work that we're doing to evaluate a project with significantly lower initial capital costs production in the range of 150 to 200,000 ounces of gold per year, which will be a very respectable gold mine. As well as the work that we're doing to, through raising the cutoff grade, generate a project gold reserve grade that's close to a gram per ton.

Speaker Change: Continue to monitor the progress says we're able to announce at the most significant bits of news will not be announced until the completion of the feasibility study middle of the year, but there is work ongoing.

Speaker Change: And we invite you to closely monitor the progress that we're making with Mt. Todd.

Speaker Change: We believe that the work that we're doing to evaluate a project with significantly lower initial capital cost.

Speaker Change: Production in the range of 150 to 200000 ounce of gold per year, which will be a very respectable gold mine.

Speaker Change: As well as the work that we're doing to through raising the cutoff grade generate a project gold reserve grade that's close to a gram per ton.

Frederick Earnest: will certainly not go unnoticed. I believe that what we've seen in the last week with increased trading activity is the result of investors starting to take note of the work and the goals that we have for Mount Todd for this year. I invite you, if you have not already established a position, no matter what size, in Vista Gold, to consider if this is the time to do that. If you already have an interest in Vista, I invite you to increase that position. We think that we're on the cusp of significant value creation and we're grateful for the support that we enjoy from our largest shareholders.

Speaker Change: Will certainly not go unnoticed.

Speaker Change: We believe that what we've seen in the last week with increased trading activity as the result of investors starting to take note.

Speaker Change: The work and the goals that we have for Mt. Todd for this year.

Speaker Change: I invite you if you have not already established position no matter what size in Vista gold to consider if this is the time to do that if you already have an interest in Vista.

Speaker Change: Uh huh.

Speaker Change: I I invite you to increase that position, we think that we're on the cusp of significant value creation, and we're and we're grateful for the support that we enjoy from our largest shareholders.

Frederick Earnest: and also from all of all of the the smaller investors that own Vista stock.

Speaker Change: And also from all of all of the the smaller investors that own Vista stock.

Frederick Earnest: With that, I wish all of you a very pleasant day, and Let's hope for continued higher gold prices. Thank you.

Speaker Change: With that I wish all of you a very pleasant day and.

Speaker Change: Let's hope for continued higher gold prices. Thank you.

Speaker Change: Thank you and this concludes today's call. Thank you for participating you may all disconnect.

Unknown Attendee: And this concludes today's call. Thank you for participating. You may all disconnect.

Speaker Change: Okay.