the truth of the quarterly story

As Chris and SF so prettily say, the Quarterly's tell a story. I know SF thinks that the amount of CASH on hand is telling a story. I'd agree, but maybe not for the reasons he thinks.

Researching this and the previous Quarterly Statements shows quite a few things for us shareholders to ponder.

FACT 1: The first is that at the end of the Quarter THIRTY per cent of the funding raised has been spent.

FACT 2: CGV spent $133,000 in 1Q10 on Exploration, making $351,000 over the 4Q09 and 1Q10.

FACT 3: CGV spent $75,000 on Development in 1Q10 making $88,000 over Quarters 4Q09 and 1Q10.

FACT 4: CGV spent $469,000 on administration in 1Q10 making $777,000 over 4Q09 and 1Q10.

Analysis: Total spent on these items making $1,216,000 of which 64 per cent is administration. Creative activities therefore accrued less than 36 per cent of cash spent.

PROGRESS is clearly a very real issue for CGV's management. The 4Q09 Quarterly conatined the following:-

FACT 5: Forecast Spend on Exploration in 1Q10 was shown as $1,200,000

FACT 6: Forecast spend on Development in 1Q10 was $700,000.

Analysis: This means that as a proportion/percentage of the forecast spend in 1Q10, CGV's management managed to spend $133k of $1,200k forecast on exploration (i.e. 11 per cent); and $75k of the $700k forecast on Development (i.e. 10.7 per cent).

Put another way, CGV DIDN'T DO approximately NINETY per cent of what it said it would do, even though the Quarterly forecast would have been written during the Quarter in which the actual expenditure was being incurred.

Note that the same forecasts are shown in the 1Q10 Quarterly for expenditure in 2Q10.

So this is why I make the comments I do about CGV. This might also be why, according to Chris, there is a seller selling out. I'd suggest that might be more than one.

This is also why I would strongly suggest that the share price is heading towards a level which "might" make it a potential buy. When I amde that forecast the SP was at 12.5 cents. It's now at 10 cents.

My aim is merely to provide a balance to the blindly optimistic comments from others. There's virtually "no reason" for a short term bounce when coal is found by a drill bit.

The FACTS suggest the overly optimistic management just need to be more truthful about the reality of dilution and progress timescales. At the SP level I have forecast, all shareholders get a chance to truly value CGV's chances of success. Currently, in my opinion, and seemingly backed up by the CGV@s own statements . . its over-valued.