CTO - Citigold Corporation

[jman2007]

Hi Jman2007
I have been keeping a loose cover on CTO for over five years and recall that their "resource base" has been 10M oz for all that time, certainly from well before the DDH was put down. However, I agree with the basic reasoning behind your posting, which is to the effect that if their resource is scattered over a number of reefs, which will require at least some separate access declines etc., there is a questionmark over the economics of the entire operation. Until the Warrior Mine has been confirmed as a viable proposition in its own right, I am reluctant to value CTO on the basis of a much larger inferred resource.

Fair call Wrong'un

I wasn't sure re the exact timing of when that particular DDH was put down, but it sounds like I might have been a bit off the mark. On a related topic, I recall that CTO had a rig sitting on a DDH for several months towads the end of last year drilling straight down the guts of one of the main structures, it had reached at least 2000m from memory. But I don't recall seeing any assay results being released to the market yet? Happy to be corrected on this point however.

 

[WRONG'UN]

I haven't seen any assay results for the deep hole either, just a general statement that the gold mineralisation extends down to at least 1900m.

 

[bandicoot76]

my understanding of the announcement they did make about the deep hole was that it confirmed their projected resource base at shallow depths but was dissapointing at the deeper depths, although it did find low traces to confirm there is some ore there, just not enough to confirm their hopes of a high grade ore body continuing to 2000m+, i'm sure someone will correct me if i'm wrong on that ...if they meet their production goals for 2009 i have been advised that their shareprice should be .50+ by my broker (who also holds CTO) i hold a substantial amount of cto shares and i'm in no rush to offload them just yet. lets hope that doesnt bite me in the a*se!

 

[lianeisme]

Does any one have an expectation of where the price for cto over 2 years for a long term hold will go to. Will they become a stock along the lines of Lgl or more like NCM

 

[oldblue]

The CTO shareprice has been in a long term downtrend ever since I started following them almost 3 years ago. In theory Charters Towers has the richest gold deposit in Aust but has a long history of being difficult to mine.
Any guess at a 2 year SP projection for CTO would be just that, IMO, a guess!

 

[lianeisme]

Are CTO in a trading holt today they have not traded so fare today there seems to be no anouncments

 

[Sean K]

Are CTO in a trading holt today they have not traded so fare today there seems to be no anouncments

If you have internet access (seems you might) you can either go to your online broker and find the announcement, or go to the ASX web site and go to company announcements. It's all there, just a few clicks away!

 

[TheMainMan]

Are CTO in a trading holt today they have not traded so fare today there seems to be no anouncments

I've put an order in to sell OK.

Sellers are holding out for .17 and buyers are looking at .165. So it's just sitting there stuck!...

 

[So_Cynical]

Does any one have an expectation of where the price for cto over 2 years for a long term hold will go to. Will they become a stock along the lines of Lgl or more like NCM

Any comparison of CTO to LGL and NCM will show that there all gold miners, the later 2
very successful with a great future,as the months go by i just keep shaking my head at CTO.

What the hell are we to make of this take over bid for Gateway Mining.

http://www.citigold.com/viewasxrelease.asp?Releasenumber=298

Shouldn't CTO management be busy with getting the mine going...i mean this has to be the
100% first priority...and month after month, year after year, the mining seems to get pushed
to the background while they raise money and issue shares, drill deep holes, make
pretty presentations, raise more money...and now there taking over an explorer to
do even more exploration while they sit on 10 million ounces.

:bad:

 

[Sean K]

:bad:

SC, I've been looking back through GML's ann's and I 'm struggling to see why anyone would touch them, let alone a struggling developer/just producing (not much). Really confusing. Maybe they just think the exploration (maybe) potential adds a string to their bow at a very low price. Or, they could just be buying some grazing land for camels.

GML's highlights of the last qtr:

HIGHLIGHTS
• The recent rise in the gold price has enhanced the potential of the Gidgee
Project area in Western Australia
• Following a review of Gidgee exploration data, three areas containing
appreciable gold mineralisation in drillholes have been selected for further
analysis by an independent consultant
• Infill EM surveying at Barrelmaker West has confirmed a bedrock EM
conductor over interpreted komatiitic basalts
• The company plans to carry out an aircore drilling programme in the next
quarter to test a number of gold, copper and nickel targets
• Results from a recently completed VTEM survey over the Cowra Project are
very encouraging, with a number of anomalies outlined
• The company raised $400,000 in working capital through a private share
placement


And looking at the detail I see one historic drill hole of 22m @ 14.94g/t Au at Montague which was quite good, but geesh.

The 'positive' Cowra drilling was crap.

 

[mightau]

What is it with these guys? CTO is way underperforming the market, and also way underperforming other gold stocks. The board has a lot of explaining to do! Have they simply no credibility left after promising a bonanza for so long? If that was the case, wouldn't they be ripe for a takeover with such a dismal record and a poor share price? Do the board control enough stock that that could never happen?

I am very frustrated by this company's inability to mine some damn gold.

 

[Sean K]

I'm tempted to call a bottom here but I just can not trust the company.

They state they have 10m + ounces but it's about 2k underground and at the rate they are mining, no one will ever see it.

They reckon they have a 10 million oz gold resource (23 Mt @ 14 g/t Au) in compliance with the JORC Code.

Last quarter production was 1,855 ounces. Yes, there are no zeros missing from that.

2009 production on target for 25k oz au. WOW!

Opex under $500 which looks very good for an underground op.

Net operating cash flows last quarter almost minus $10m.

While they're losing money, they take over another junior that looks crap. Real crap.

Output in 2010 targetted at 85K. They are going to more than triple output?

This could well possibly be the most self - ramped stock on the ASX.

Having said that, I'm calling a potential bottom, until that blue line is breached.

 

[bandicoot76]

lets hope they pull their finger out and start to pour some serious goddamn gold! a geologist mate of mine did the underground tour awhile ago and seemed to think they had a good mining system and decent visible ore zones but dead set i'm getting sick of their bloody p*ss poor performance. ive held CTO for 5yrs and now wish i'd sold them when they hit 55c like i was advised to! short term pain for long term gain? dunno but my patience is wearing thin!!!!!

 

[So_Cynical]

CTO remains the only stock i have held for more than a year that i haven't averaged down into....i just have zero confidence in them, and consider my $1800 investment to be a right off.

 

[lianeisme]

I hold quite a substantial amount of these shares I have been communicating with the CEO via email. I can't print his reply as he hasn't given me permission however he is very bright in regards to CTO. He seems to think it is a long term hold and will flourish. I have mentioned concerns buy inventors in regards to getting on with the job and the fact that they bought out another Gateway.

He reiterated that money didn't change hands for this purchase, it is done with share instead. He said that it was extremely cheap company has a good structure.

The gold location the 10 million ounce gold resource is between 100 m and 1,200 metres depth."

The Gold It is not about 2k underground "this is wrong and very misleading. The comments on Gateway is baseless and wrong.
If you have questions contact Mark he is a very nice man Mark Lynch mlynch@citigold.com

 

[Sean K]

What? They're not going to 2km?

The CEO is 'very bright' in regard to CTO?

Who would have thought?



Did you ask him how the 50m ounce target is going?

And Gateway is a turkey. Can you tell me what assets they have they are so good for CTO?

The best of their last quarter highlights was:

• The Montague area review of exploration data at Gidgee has recognized the significance of previous drilling results at Rosie North, including 33m @ 0.67g/t Au and 102m @ 0.42g/t Au in hole WRC012.
• Intersections at Julia’s Fault include 5m @ 3.47g/t Au from a 5 metre composite sample.

lol

 

[lianeisme]

What? They're not going to 2km?

The CEO is 'very bright' in regard to CTO?

Who would have thought?



Did you ask him how the 50m ounce target is going?

And Gateway is a turkey. Can you tell me what assets they have they are so good for CTO?

The best of their last quarter highlights was:

• The Montague area review of exploration data at Gidgee has recognized the significance of previous drilling results at Rosie North, including 33m @ 0.67g/t Au and 102m @ 0.42g/t Au in hole WRC012.
• Intersections at Julia’s Fault include 5m @ 3.47g/t Au from a 5 metre composite sample.

lol

why don't you email him and ask these questions he will reply to you he will respond quickly then all your questions will be answered

 

[Sean K]

why don't you email him and ask these questions he will reply to you he will respond quickly then all your questions will be answered

I would only do that for a laugh. I'm not sure how the ASX has allowed them to keep sprouting the 50m ounce target from about 2km down. Each time I see the slides from their rampathon presentations I have a chuckle. I mean, who are the kidding?

 

[quarky]

lets hope they pull their finger out and start to pour some serious goddamn gold! a geologist mate of mine did the underground tour awhile ago and seemed to think they had a good mining system and decent visible ore zones but dead set i'm getting sick of their bloody p*ss poor performance. ive held CTO for 5yrs and now wish i'd sold them when they hit 55c like i was advised to! short term pain for long term gain? dunno but my patience is wearing thin!!!!!

like yourself, i've held this stock for about 3 years now and wanted to sell it at $0.55
but at that time, i was travelling and was high in the Himalayas, so didn't have 'net connection... and the higher i got, the shares decided to take a slide down.
then, thinking of all the "potential" of CTO, i held...but now, i'm severely disappointed with how it's going and i hold at least 4 digits worth (i.e. > $10k)
so,...either i pour a couple of G's now at $0.16 and make enough to break even...or risk being in financial pain...longer

 

[swm79]

go on kennas, write to him.

maybe ask him about why the guys in Dubai pulled the plug??? pretty suspicious.

i held for a while but got fed up with them NEVER living up to expectations and continually providing ramped up reports and presentations that were NEVER met

glad i got out when i did.