Key Highlights

  • Citigold Corporation (ASX:CTO) has executed a binding joint venture with Native Mineral Resources over 40 tenements, effective 7 November 2026.
  • Citigold remains the registered holder of the tenements and is responsible for keeping them in good standing.
  • After cost recovery, the remaining surplus from smelt proceeds is shared 50:50, and Citigold receives a one-off A$5 million production payment after 8,000 ounces of gold are produced.
  • The release states that the joint venture tenements host the majority of Citigold’s reported JORC 2012 Mineral Resources.

Citigold Corporation Limited (ASX:CTO) announced on 9 November 2026 that it has signed a joint venture agreement with Native Mineral Resources Holdings (ASX:NMR) over 40 tenements at Charters Towers in Queensland. The agreement follows an earlier arrangement covering the Stockholm tenements and supersedes it, extending the Partnership to the Central and Warrior areas of the goldfield.

The Strategic Rationale

Citigold’s executive chairman said the joint venture brings together Citigold’s Charters Towers tenements and NMR’s operational and processing capabilities. The release describes a staged approach in which the potential of the mineralisation is first tested through proving-up drilling before any commitment to mining.

The tenements host high-grade underground reefs, and the Central area includes the Central Mine decline and the Brilliant Block shaft. Citigold has invested in the project since 1993 and reports that it produced more than 100,000 ounces of gold from trial Mining between 1994 and 2016.

Economic Terms for Citigold

Citigold receives no upfront payment, and the agreement is not subject to conditions precedent. NMR has sole operational control of drilling and mining and will recover eligible costs, including an 8% margin, from gross smelt proceeds. Citigold may recover specified statutory and environmental costs attributable to the tenements.

Citigold retains ownership and is responsible for good standing and the environmental authority, but it cannot dispose of or encumber the tenements without NMR’s consent. It must also notify NMR at least 90 days before the earliest renewal deadline for any tenement.

Limits and Uncertainties

The release is explicit that there is no assurance proving-up drilling will establish an economically mineable deposit. Around 94% of the contained ounces in the Mineral Resources table are classified as Inferred, a category the company says carries a low level of geological confidence. The Inferred estimate is stated with a ±30% confidence range.

Some tenements are not covered by the existing environmental authority, which would require a separate or amended approval before mining could proceed there. Citigold has not provided an Indemnity for pre-existing environmental liabilities, and it has not drilled the project since 2016.

Final Word

The agreement gives Citigold exposure to mining and processing without leading the proving-up drilling program, in return for a share of surplus and a production payment. The value of that arrangement rests on drilling results and resource conversion that have yet to occur. The next signals will come from NMR’s proving-up program and the planning meetings that the parties will hold each month.