I think we can all recall posts here basically telling us we...

I think we can all recall posts here basically telling us we can't lose in CTO and coming up with substantial figures telling us that CTO is worth substantially more than its share price in a sale and including high valuations for such things as mining equipment etc, etc...


Don't get me wrong. I want CTO to succeed. But just maybe the following is a reality check should CTO unfortunately not succeed and be forced into a distressed sale.

LGL has just announced the sale of the Ballarat Gold Project to Castlemaine Goldfields. Have a look at some of what Castlemaine Goldfields released today about its intended purchase of the Ballarat Gold Project:

"CGT will pay LGL A$4.5m in cash plus an additional 2.5% royalty interest* in possible future production, capped at A$50m...

HIGHLIGHTS OF THE ACQUISITION

- Identified priority drill targets, accessible from existing underground development at depths of 400 500m, with the closest targets some160m away

- Valuable tangible assets being acquired including existing gold mine with ~18km of underground development, a fully commissioned mill, reverse osmosis plant, state of the art laboratory, supporting infrastructure, plant and equipment, real property, stores inventory and all licence areas..."

Is the above a possible CTO reality check?

I think we now have a guide imo should anyone in future come on here telling us how much CTO is worth if CTO is unfortunately forced into a distress sale.

On my reading the sale of the The sale of the Ballarat Gold Project is for just $4.5 million plus a royalty capped at $50 million which will only be received in full by LGL should Castlemaine Goldfields make a huge success of this project and produce $2 billion worth of gold.