Vista Gold Corp. Announces Closing of Over-Allotment of Common Share Offering

Monday, Sep 28, 2009

DENVER, Sept. 25 /PRNewswire-FirstCall/ -- Vista Gold Corp. ("Vista" or the "Company") (TSX & NYSE Amex: VGZ) is pleased to announce the closing of the sale of 1.32 million common shares, pursuant to the underwriters' exercise of the over-allotment option, which the Company granted in connection with its recently-closed public offering of common shares. Consistent with the public offering of common shares that closed on September 21, 2009, the 1.32 million common shares were sold to the underwriters at the public offering price of US$2.25 per common share. The over-allotment and the recently-closed public offering were made pursuant to the Company's shelf registration statement filed with the U.S. Securities and Exchange Commission (the "SEC") and a shelf prospectus filed with certain Canadian securities regulatory authorities. With the sale of the additional 1.32 million common shares to the underwriters, 10.12 million common shares in total have been sold in connection with the offering.

Proceeds to the Company from the offering to date, net of commissions and expenses, are approximately US$20.3 million, which includes net proceeds of approximately US$2.74 million from the sale of the 1.32 million common shares pursuant to the underwriters' exercise of the over-allotment option.

Vista intends to use the net proceeds from this offering (i) to fund drilling, exploration, and technical/engineering activities (including the preparation of a feasibility study) on its Mt. Todd gold project, (ii) to fund the engineering, design and other technical activities to advance its Paredones Amarillos gold project, (iii) to fund exploration activities and if warranted, drilling programs at its Guadalupe de los Reyes gold project and (iv) to fund acquisitions, and further development of acquired mineral properties, working capital requirements and/or for other general corporate purposes.

Dahlman Rose & Company, LLC and Wellington West Capital Markets Inc. acted as joint book-runners for the offering.

The offering was made by way of a registration statement, which has been declared effective by the SEC, a base shelf prospectus and a final prospectus supplement each of which has been filed with the SEC and each of the Canadian provinces of British Columbia, Alberta, Manitoba, Ontario and Newfoundland and Labrador. A copy of the final prospectus supplement incorporating the base shelf prospectus relating to the offering may be obtained by either contacting the underwriters, by accessing the SEC website, www.sec.gov, or by accessing the website maintained by the Canadian securities regulatory authorities, SEDAR, at www.sedar.com.

Source: PR Newswire