I have written a few crtical posts about this company, and have been shocked by the recent offer. After considering my holdings, which I disucced in a previous post, I decided not to take up any of the options. My reason being: we are being taken for mugs by these guys. The ASX should do due diligence on the Directors and executives - they should be personnaly held to account for misleading shareholders. Their quarterly reports in Dec 2016 and March 2017 stated that they were focused on building the second adit (tunnel) at the lower level. Well they were NOT - nothing was done in more than 6 months and they didn't pay the fees to renew their leases on time. Also the PNGean workers were not paid from what I understand. It indicates that they were without funds. Earlier in the year the ASX queried their financial position, now is the time for the ASX to investigate properly because a) they told the ASX everything was OK and b) that they would do an upgrade in this most recent quarterly report - both were misleading statements. They misled the ASX as well as us. Please tell me how they can get away with this misbehaviour? The directors role is to look after the interests of shareholders, but they patently are only looking after the interests of a select group of shareholders - the international group that lent money 3 years ago at 10% on a special option deal. All of these special investors had nothing to lose, because they, as well as the big boy, will be paid out in full from the money that is raised in the current capital raising. The big boy just returns the money as his share of the new offer (how generous of him!) Also, by the way, the big boy has graciously taken over the graphite resource. Most of you are aware that graphite is one of the valuable elements (along with ithiunm and cobalt) that is in short supply for renewable batteries. How generous of him to sacrifice himself and take that part of the company into his own hands. Already the share price in less than the magic 1 cent. If you wait a bit longer it will be less than 0.5 cents before the first new drill result comes in. We are being taken to the cleaners.
CGN Price at posting:
0.9¢ Sentiment: Sell Disclosure: Held
