CTO - Citigold Corporation

So_Cynical said:

i dare not say the T word.

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i'll say it... "TOSSERS!" thats the only T-word that comes to mind regarding this bunch of clowns!

glad i cut my losses & got out @ 12c! now to remove the nuts from that geo 'mate' who reccomended them to me in the first place!

they looked so promising early on

Perhaps the name of one of the newer big holders says it all.

K Sera Sera Holdings!

This company is only just breathing.

After raising just enough money to keep paying its overpriced, incompetent management, they are obviously struggling now to raise the sum of their market cap to 'expand'. Expand into what? That mystical 10m ounces that's what. Those 10m ounces that have been sitting there for years and have never ever required $100m to 'develop'. This is just totally dumfoundingly and utterly embarrassing.

Looking forward to the next quarterly production update where they claim another 2K oz were produced.

On the way to 300k pa!!! Absolutely criminal.

ANNOUNCEMENT
Citigold Alliance with Euram Bank Asia
1 June 2011: Brisbane, Australia – Citigold Corporation Limited (Citigold) (ASX:CTO, FSE:CHP) is pleased to advise that it has formally appointed Euram Bank Asia Limited (EBA) as financial advisor in relation to raising up to $100 million for the development of the Charters Towers Gold Project.
Euram Bank Asia, a global corporate finance and investment bank, is part of the European American Investment Bank AG (Euram Bank) group of Vienna, Austria.
Citigold has engaged EBA as exclusive financial advisor and arranger to assist with the implementation of the best financial structure for the major development funding of the Charters Towers Gold Project. EBA will coordinate the capital raising with their stated interest being the long term wealth success of their client. Funding options may include joint venture, equity, debt, hybrids or a combination.
A key purpose of the $100 million development funding is the reopening of the large high-grade gold deposit in the central City mine area underneath Charters Towers. The current Imperial mining area will also be expanded thereby providing two major adjacent mines capable of accessing the majority of the Project’s 10 million ounce gold resource*.
EBA and Citigold’s management will work together to ensure the world class Charters Towers gold deposit is promptly developed to it’s full potential and transform Citigold into a major gold producer.
For further information contact:
Matthew Martin
Company Secretary

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Anyone keeping an eye on the share price over the last few weeks,i know they are the worst gold miners in Australia. Does not mean you cannot make money on them though.

thebaron said:

Anyone keeping an eye on the share price over the last few weeks,i know they are the worst gold miners in Australia. Does not mean you cannot make money on them though.

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I keep watching. One of the longest and slowest train smashes on record.

Yes, can make money off anything. Would have done well buying before and selling the spike in Sep 11 as this little one.

Looks like the company may be going back to basics to start again with a proper JORC capable of being used for mine planning. Certainly, starting mine production with an Inferred resource estimate (no matter how big) is fraught with danger. The 10m oz at 14g/t still looks ridiculously overstated. You'd have to question the 330K oz Probable Reserves also. Where's the Measured and Indicated????!! Or maybe they just don't know exactly where those Reserves are. They are STILL saying that they aim to be producing 320K per annum at some stage. This is surely just a running joke they have going with ASIC.

The strategic plan now looks to be just keep asking the market for money to stay afloat and hope that a strategic partner comes along who takes a majority stake and has some decent mining operators on board. They've been trying to sell themselves for about a year yet are still just hanging out there in the wind.

But you are right, can make money off anything if you're buying low and selling high.

kennas said:

The strategic plan now looks to be just keep asking the market for money to stay afloat and hope that a strategic partner comes along who takes a majority stake and has some decent mining operators on board. They've been trying to sell themselves for about a year yet are still just hanging out there in the wind.

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Finally found some money to keep trying to find out where that gold is.

$50 million investment in Citigold to fund development of Charters Towers Project

23 January 2012: Brisbane, Australia – Citigold Corporation Limited (Citigold) (ASX:CTO, FSE:CHP) is pleased to advise that it has reached agreement with Reignwood International Investment (Group) Company Limited (“Reignwood”) to invest $50 million into Citigold to fund the development of Citigold’s 10 million ounce gold mine at Charters Towers, Queensland.

Reignwood is a diversified group with investments in food and beverages, real estate, energy and resources, and operates in Mainland China, Hong Kong, Singapore and the United Kingdom.

The transaction, which is subject to applicable regulatory approvals and due diligence, is anticipated to take about 4 weeks to complete. This will see Reignwood initially subscribe for 274 million fully paid ordinary shares at 9 cents per share to raise $24.66 million. This will provide Reignwood with a 19.9% stake in Citigold.

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19.9% stake and then the next $25m will give them what? 40% of the company? Huh??

Reignwood also get to put 2 pers on the board. What mining experience do those two pers come with I wonder. Considering they do not have any major investments in mining that I can see. They're a conglomerate of everything except mining with their biggest investment in Red Bull.

Business Lines

Building upon its many achievements and successes over the past 20 years, Reignwood Group continues to expand its four core business lines; introducing new products, exciting levels of services and unique brands that not only keep pace with international trends, but also align with the commitment, dedication and vision of Dr, Chanchai to make Reignwood the absolute leader in luxury lifestyles, sports and culture in China.

Red Bull Vitamin Drinks
Red Bull is one of the earliest and most successful energy drink brands in the world. Established in Thailand in 1966, it now boasts a history of 40 years.

Pine Valley Resort
Pine Valley Golf Resort enjoys top recognition among the domestic and international golfing circles, and is situated in the Changping District, Beijing, covering an area of 6,000 Mu (1,055 acres).

Reignwood Centre
Beijing Reignwood Centre, west of the 'Gold Cross' on Guomao Bridge at the heart of the CBD, is a modern building complex that integrates Reignwood City Club, Theater, Art Exchange, Commercial Offices and the super five-star Beijing Fairmont Hotel.

Beijing Wonderland
Located along the Beijing Badaling Highway leading to the Great Wall of China, Beijing Wonderland Luxury Brand Outlet Mall and Eco-Resort is a large-scale retail entertainment & resort development project that is currently being developed by
Reignwood Group.

Reignwood Daye Decoration
Beijing Reignwood Daye Decoration Design Consultation Co., Ltd. is an international specialist design company. It has branches established in Taiwan and Shanghai.

Reignwood World Travel
Beijing Reignwood World Travel International Service Co., Ltd. is a professional travel and hospitality agency covering air ticket sales, hotel bookings, meeting arrangements, tourist receipts and other related services.

Reignwood Wellness
Reignwood Wellness, located within The Pine Valley Resort, is a professional institution aimed at providing international standards for integrated healthcare service to our exclusive members and guests.

Reignwood international Leasing Company
Relying on strong financial strength of Reignwood Group, Reignwood International Leasing provides professional financial support and venture management for the development of Reignwood high-end services, sports and culture industries, so as to improve the value chain and competitive advantages of high-end service industry.

Reignwood Theatre
Reignwood Theatre is a new 'bright star' on East Chang An Avenue, welcoming diverse audiences to Reignwood Center with its classical ambiance and serving as the Reignwood Group's world-class performing arts palace.

Reignwood Art Exchange
Beijing Reignwood Artwork Equity Exchange was created to offer a world-class art trading and auction house for the appreciation and exchange of art, antiques and rare artifacts for discriminating buyers and art connoisseurs.

Reignwood United International Media
Relying on the comprehensive strength of Reignwood Group as a whole, Reignwood Media provides a full range of professional services including branding, market analysis, creative advertising, video production, media agency services, press conferences etc.

And the Golden Turkey Award once again goes to CTO management and directors for their non disclosure to the ASX and down right gross incompetence.

At 0853 they release a price sensitive announcement saying they'd stuffed up the placement.

Then at 0938 they get a please explain regarding the sp tanking and they say they've got nothing to report.

Bwhahahahahahahaa!!

Resignation and appointment of a director.

Appointment of Director

10 April 2012: Brisbane, Australia – Citigold Corporation Limited (Citigold) (ASX:CTO, FSE:CHP) announces the appointment of Ms Gunjan Goel as a Non - Executive Director of the Company effective 10 April 2012.

This appointment coincides with Mr Sanjay Gupta stepping down from his position as a Director of the Company

Ms Gunjan Goel, currently a director of K Sera Sera and Affidel Partners, is a graduate in Masters of Business Administration. Her career has been focused on supporting companies as a management consultant.

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Isn't Sanjay Gupta that doctor on CNN?

Anyway, K Sera Sera recently upped their stake to 8.7% so no surprise K Sera Sera can be just switching their directors willie nillie. Looks like Ms Goel brings much to the table for a gold explorer. She has an MBA! oooooo.

It's now over a month since their financing fell through and no news.

The belief in CTO is well proven by the market response to the resource 'upgrade' this week.

They still have 10m ounces at 14g/t and they are still in the toilet.

The market is always right.

YOU DO NOT HAVE THIS IN THE GROUND AND EVEN IF YOU DID YOU CAN NOT FEASIBLY GET IT OUT.

Takeover offer pending.

Dear Ms So,

Citigold Corporation Limited - Request for trading halt

I confirm the request for an immediate trading halt in the shares of Citigold Corporation Limited.

This trading halt is requested pending the release to the market of an announcement by the Company in respect of a placement and proposed takeover bid, such release to be made prior to the commencement of trading on Friday 29 June 2012.

Citigold is not aware of any reason why its securities should not be halted. If you require any further information please do not hesitate to contact me.

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Whoever is throwing their money away on this turkey must need a tax break.

I suggest it's the Hong Kong mafia.

I hope for CTO holders it's at a decent premium to get some of their cash back.

kennas said:

Takeover offer pending.

Whoever is throwing their money away on this turkey must need a tax break.

I suggest it's the Hong Kong mafia.

I hope for CTO holders it's at a decent premium to get some of their cash back.

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This just seems to be getting weirder (I have no interest in this company other than I have been keeping an eye on it to see what happens).

First up, it's not really a takeover... they appear to have structured a deal where LionGold will be issued with new stock valued at around 10% of the company, for a cash injection of 10m... at this point they seem to have issued about 10% of their offer, so I assume they've received payment of approx 1m while due dilligence is done.

...now, reading through their last few reports, they seem to have been paying off debt with more debt each quarter (in the last quarterly report they borrowed 1.042m and their net cash position for the quarter was -1.048m with only 424k on hand at the end). In their last annual report, current liabilities were $6m higher than current assets, and they had $2m worth of debt on the books... so far this year they have borrowed a further $2.5m and only repaid 772k - so does an offer such as this mean the banks have finally knocked them back and this is the only option open to them to remain solvent? (yes - speculation, but seems reasonable doesn't it?).

If the deal does go through, then they should have enough money to pay off their debts and keep operating for the next 12 months (maybe)... then what - issue more shares? If the deal doesn't make it through the due dilligence stage, then the way I read it, it's time to call in the administrators...but in the last week, the share price has jumped up considerably - are these buyers banking on a full takeover by LionGold? They seem to be buying at any price too - as the queue for the last week has had both more sellers than buyers and more total shares for sale, yet the price jumped from 5.8c to 6.9c last week and looks set to open today at 7c.

Can anyone see an upside here? are buyers really coming in hoping for an upside of a takeover at around 8c (what the share issue is valued at), but risking a total wipeout if the deal doesn't go through? (that's what it looks like to me)... I guess good luck to them, I do hope I'm wrong... it's an interesting one to watch though.