Citigold Corporation (ASX:CTO) has executed a binding joint venture agreement with Native Mineral Resources Holdings Limited (ASX:NMR) over 40 tenements covering the Central, Warrior and Stockholm areas of the Charters Towers Gold Project in Queensland, effective 7 November 2026.

Key Points

  • The joint venture covers 40 tenements comprising 30 mining leases, one mining lease application, four Mineral Development Licences and five Exploration Permits for Minerals across more than 20,500 hectares of exploration ground surrounding Charters Towers.
  • The JV tenements host Indicated Mineral Resources of 3.1Mt at 7.6g/t Au for 764koz and Inferred Mineral Resources of 26.5Mt at 13.5g/t Au for 11.5Moz under JORC (2012).
  • NMR retains sole operational control of drilling and any subsequent mining operations, subject to applicable approvals and the terms of the agreement.
  • Citigold will receive a A$5 million one-off Production Payment once 8,000 ounces of gold have been produced from the JV tenements, in addition to its share of surplus proceeds.
  • Eligible NMR expenditure will be recovered from gross smelt proceeds, with any remaining surplus shared 50:50 between NMR and Citigold, and NMR receiving an 8% margin on costs.

Joint Venture Tenement Coverage and Location

The 40 JV tenements are located within 10km of NMR's Blackjack Operations. The 30 granted mining leases cover approximately 2,252.6 hectares. The 17 Central area mining leases lie beneath and adjacent to the city of Charters Towers, six Warrior area leases sit approximately 5km south-southeast of the city centre, and seven Stockholm area leases are located approximately 7km southwest of the city and about 2km north of NMR's Blackjack Operations. The Mineral Development Licences and Exploration Permits for Minerals cover more than 20,500 hectares of exploration ground surrounding Charters Towers.

Operational Structure and Cost Recovery Terms

Under the agreement, NMR holds an exclusive licence to enter the JV tenements and undertake exploration and proving-up drilling. Following receipt and assessment of final drilling and assay results, NMR may elect to proceed with drilling and blasting, mining, haulage, processing through its Blackjack processing plant, and refining and sale of ore and product. Eligible NMR expenditure, including drilling, development, mining, processing and directly attributable financing costs, is to be recovered from gross smelt proceeds. Any remaining surplus is then shared 50:50 between NMR and Citigold, with NMR receiving an 8% margin on costs.

Citigold's Retained Ownership and Production Payment Obligation

Citigold remains the registered holder of all JV tenements and is responsible for maintaining them in good standing, maintaining the applicable environmental authority and complying with statutory obligations allocated to it under the agreement. NMR will pay Citigold a one-off Production Payment of A$5 million once 8,000 ounces of gold have been produced from the JV tenements. That payment is in addition to Citigold's share of the surplus proceeds. The agreement establishes an unincorporated contractual joint venture and took effect from the date of execution on 7 November 2026.