CTO 11.1% 0.4¢ citigold corporation limited

selling welcome, page-25

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    I suspect that CTO may have an issue with the type of vein system that it is trying to extract. Assuming that the veins may "pinch" down to very thin widths in places, the use of large heavy mechanical equipment means that a substantial amount of barren ore gets extracted causing substantial dilution. IF this "pinching" effect is more widespread than planned it would explain why so few ounces are being produced.

    The same effect comes into play on the development of declines and drives. Very large tonnnages of barren rock need to be extracted (at great cost) to allow all of the large equipment to access the vein systems. Then large ventilation systems need to be installed to manage the air quality and so it goes on.

    At one time CTO said that they had developed a rock sorting system to reduce the amount of barren rock being processed.

    Someone needs to ask the management about these isses?
 
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