Citigold AnnualReport 2008

ANNUAL
REPORT
2008
CONTENTS
Business Overview 1 CORPORATE DIRECTORY
Chairman’s Letter 2
Review Of Operations 3
Corporate and Registered Office
Level 15, IBM Centre,
Directors’ Report 9 348 Edward Street,
Brisbane, 4000 Qld, Australia
Auditors’ Independence Declaration 18
Telephone: +61 7 3834 0000
Corporate Governance 19 Facsimile: +61 7 3834 0011
Email: brisbane@citigold.com
Financial Statements 23
Consolidated income statement 24 Charters Towers Mine Site
Clermont Highway, PO Box 10,
Consolidated balance sheet 25 Charters Towers, Qld, 4820, Australia
Consolidated statement of changes in equity 26 Telephone: +61 7 4787 8300
Facsimile: +61 7 4787 8600
Consolidated cash flow statement 27 Email: mine@citigold.com
Notes To The Financial Statements 28 International Office
Directors’ Declaration 58 Gold & Diamond Park
Sheikh Zayed Road, PO Box 38148
Independent Auditor’s Report 59 Dubai, UAE
ASX Additional Information 61 Telephone: +971 4 340 4588
Facsimile: +971 4 340 7768
Email: gold@citigold.com
Directors
FRONT COVER IMAGE: John J Foley (Chairman)
ORE SAMPLE Mark J Lynch (Managing Director)
Terence V Willsteed (Director)
MINED OUT OF Company Secretary
WARRIOR A SSAYED Matthew Martin
8 3 0 G/ T
(27 OZ/ TONNE)
Exchange Listing
Australia (ASX) Code ‘CTO’
Dubai DIFX (DIFX) Code ‘CTO’
Other Trading Platforms
America ADR’s Code ‘CTOHY’
Germany FSE Code ‘CHP’
Share Registry
Computershare Investor Services
Level 27, 345 Queen Street,
Brisbane Qld 4000
Telephone: 1300 552 270
Auditor
BDO Kendalls
Level 19, 2 Market St,
Sydney NSW 2000
Bank
HSBC
www.citigold.com
ii CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

Financial Report for the year ended 30 June 2008
BUSINESS OVERVIEW
Citigold Corporation Ltd (Citigold) is a growing Australian lines using several
gold mining and exploration company producing gold from diamond core rigs. The goal is to
Australia’s richest goldfield at Charters Towers in north east establish that the field is a 50 million
Australia, 1000 kilometres north of Brisbane, Queensland. ounce gold giant. All the indicators are there
but we have to do the work to prove it.
Citigold listed on the Australian Securities Exchange (ASX)
in 1993 and, as a part of its international strategy, listed on Citigold’s mission is to efficiently expand gold
the Dubai DIFX stock exchange in 2007. Citigold shares are production targeting a 50% cash surplus on gold
quoted on the Frankfurt Stock Exchange (FSE) and Citigold revenues through mechanised mining of the high
has an ADR program in the U.S.A. grade reefs. Citigold’s deposits at Charters Towers will
be developed through several inter-related and adjacent
Citigold holds 100% of the high grade Charters Towers
mines feeding a common gold extraction plant. The
goldfield where a Mineral Resource of 10,000,000 ounces
Charters Towers Warrior mine is the first in operation, and
of gold (331 tonnes) at an average grade of 14 g/t gold,
now producing gold.
to JORC reporting standards, has been defined and
documented. This gold deposit is currently the largest high Citigold’s gold is shipped to Australian Gold Refineries where
grade gold resource in Australia. it is processed and sold into global markets.
The Company has invested over $120 million to develop SHAREHOLDERS WELCOME AT MINE
the goldfield, has commenced commercially extracting gold Shareholders are always welcome to visit the mining
and plans to build up gold production from its underground operations at Charters Towers by prior arrangement.
mines in stages towards 300,000 ounces annually with a Please contact
life of over 20 years. We are developing a large gold project the Brisbane
requiring time and commitment. office to co-
Unlocking the enormous value of the gold assets at Charters
Towers for the benefit of shareholders is a key focus of
ordinate your
visit to the
mine site.
GROWTH
Citigold’s strategic plan. We have assembled a core team
of leading mining professionals technically and practically
skilled in the Company’s type of geology and mining
B U I LT O N
operations. We are striving to be the best at what we do.
The Company has commenced an extensive drilling program
on the major east-west multi-kilometre long parallel reef
IdlZgh=âa
GOLD
9gâag^\ViGVXZXdjghZ
DaYh]Vaadlb^cZh
8]VgiZghIdlZghHdji]
LVgg^dgHZVb
Hjg[VXZ
&'%b
=^\]"\gVYZ
\daYWZ\^ch
.%%b
9ZZeZhi
egZk^djh
b^cZh
(&&&c 7gâa^Vci
9_j_]ebZÊi HjcWjghi
fhefei[Z HZVb
êb[ Feii_Xb[]ebZiekhY[
Z[fj^jeX[Yed\_hc[Z
9_j_]ebZÊi
(&&&c
(%%%"*%%%b Z[[fêb[
<gVcîZZcYh
Illustration of the Charters Towers gold deposit.
CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 1

CHAIRMAN’S LETTER
Dear Shareholder, Exploration is continuing on our surrounding Exploration
Permits to define new areas of mineralisation. Your
Company now owns five drill rigs and is actively drilling,
The 2008 financial year saw the first full year of successful with over 21 kilometres of diamond core drilled in 110 holes.
continuous gold production from the Charters Towers Over $4 million was spent during the year on exploration
Warrior mine. and drilling.
The gold production coincided with the US gold price rising At the time of writing the Deep Hole was at 1,400 metres
from around US$648 per ounce in July 2007 to peak at and on the way towards 2,000 metres. This is a significant
US$1037 per ounce before receding slightly to US$925 per exploration initiative that we all follow with interest
ounce in June 2008. The Australian dollar exchange rate looking for the deep extensions of the high grade gold
appreciated to almost parity with the US dollar for part of mineralisation.
the year and resulted in an average gold sale price to your
I would like to express my appreciation for the encouraging
Company of A$917 per ounce and a production cash cost
support we enjoyed from the Charters Towers Regional
averaging A$495 per ounce.
community. The mine, with operations within the City limits,
In the turbulent international financial markets gold is has a close and mutually beneficial relationship that is not
returning to its role of a safe place to invest in times of geo- available with the more usual remote fly in fly out operations.
political tensions and a diminished outlook for the US$. Gold We look to add to the prosperity of the region as we grow.
is ‘Rare’ – it is amazing, but the total amount of gold in the
This excellent progress is only possible through the
world is a surprisingly small quantity. It has been stated that
dedicated efforts of our staff and the continued support from
if all the available gold produced in the world was stacked
our suppliers and shareholders. I express my sincere thanks
up as gold bars rising up to 20 metres in height, the area it
and gratitude to all groups for their effort and support, and I
would cover would be about a tennis court.
look forward to a rapid increase in gold production and the
Mining at Warrior is continuing with the development of a value of shareholders’ investment.
new Western Decline to open up a further 1,000 metres
along the reef and to give rapid access to new areas for
mining and increase gold output by increasing the areas
that can be worked simultaneously. The investment at
Charters Towers has so far created 108 jobs in Queensland
at June 30 2008, an increase of 32% over last year. John J Foley
Chairman
The Warrior structure appears from aerial magnetic
Citigold Corporation Limited
geophysics to continue for a further kilometre to the east,
taking the total strike length to three kilometres and a new
large mining lease has been taken out to cover this area.
Subject to successful drilling it is expected that an Eastern
Decline will be commenced this coming year.
John Foley Mark Lynch Matthew Martin Terence Willsteed

Chairman Managing Director Chief Financial Officer Director
& Company Secretary
2 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

REVIEW OF OPERATIONS
output. The focus in
the short term will remain on
the current Warrior reef area growing
output towards 100,000 ozs year before
expanding onto the Sunburst reef.
The financial year has seen the financial
performance improve substantially with a loss of only
$2.4 million in 2008 down from $7.2 million in 2007.
Operating costs of A$495 have confirmed that gold can
be mined profitably and as gold production grows we are
expecting group profitability in 2009 and beyond.
HIGHLIGHTS FOR THE YEAR INCLUDE: It is expected that ongoing growth in gold production in
• 10 million ounce gold resource with potential to increase. future years will then be funded internally without the need
• Gold produced from underground was 17,497 ounces for further external funding.
and gold sold trebled to 13,784 ounces. MINING OPERATIONS
• Average cash production cost per ounce of gold was Although production growth has been slower than planned,
A$495 per ounce. the conservative development approach to build the
• Average gold sale price received was A$917 per ounce. business ensures capital efficiencies. With vertical mining
• Company remains free of secured debt and gold sales depth now below 200 metres depth the mine is ready to
are unhedged. accelerate the more efficient horizontal expansion that will
• Revenue quadrupled to over A$12 million see more working areas opened up for ore extraction.
• Full time employees increased by 32% to 108.
• Underground mine development increased to Over the period the Charters Towers Warrior operations
2,600 metres. continued to ramp up gold production in parallel with mine
• Core drilling trebled to 21,580 metres for 110 holes. development.
• High grade drill intersections continue. Underground mining over the past year provided gold
• Deep 2,000 metre long drill hole commenced. production and enabled detailed sampling of the Warrior lode.
OUTLOOK Warrior Gold Resource
The good work carried out in 2008 has left Citigold well The Warrior mining area represents only a part of the
placed for 2009 and beyond. As an unhedged gold producer overall Charters Towers 10 million ounce gold deposit.
the Company is positioned to reap the benefits of a strong
gold price.
As gold production grows forward estimates show that Garry Foord – General Manager Mining, Sara Warren –
the cash cost of gold production should decrease towards Senior Geologist and Chris Towsey – Chief Operating Officer
A$350 per ounce due to economies of scale and efficiencies
to be added to the extraction and processing of ore over the
coming year.
A capital raising announced in September 2008 will have
a positive impact on Citigold’s future whereby the Dubai
Group has commenced investing up to $35 million to
acquire an 18% interest in Citigold. This will underpin the
expansion of the Charters Towers gold mining operations,
lift gold production, substantially boost future cash flows
and improve financial flexibility for ongoing investment in
the expansion of gold production.
The Warrior lode to date is performing similarly to the
historically mined Brilliant Day Dawn lode that averaged
38 g/t gold. With the recent electric power upgrade, move
to 24 hour operation, equipment upgrades and major
funding in place we can now accelerate expansion of the
underground mining areas to significantly increase gold

REVIEW OF OPERATIONS CONTINUED
Mining has commenced on the eastern side of the Warrior are based on local concentrations of a large number of very
reefs east-west strike line. The deposit has an overall small particles of fine gold. For example, in one ore sample
length of 2 kilometres. The Inferred Mineral Resource for from underground, grading over 300 g/t, there were 555
Warrior deposit is 1.9 million tonnes at 14 g/t Au containing particles of gold in less than 1 mm of ore. This information
840,000 ounces of gold (rounded to 2 significant figures) supports the long held belief of the senior geological staff
(see Table 8 on Page 59 of the Report on the Inferred that Citigold can quantify the gold distribution by drilling.
Mineral Resources for the Charters Towers Gold Project May
2005). Within the overall resource head grades and widths Mineral Processing
of the specific mining areas are expected to vary. Gold recovery in the processing plant averaged just under
98%, improving on the earlier conservative assumptions
Underground Development of 95% made in the Company’s studies and ore reserve
Development metres in the underground operation including estimation stages. Milling was interrupted on two occasions
the decline, cross-cuts, level drives and loading bays by problems with the grinding mill electric motor. A spare
totalled 2,600 metres for the year and gold produced from motor has been ordered as a critical spare to minimize any
underground was 17,497 ounces of gold. A large part of future interruptions.
the development was capital development for underground
infrastructure including long term haulage roads. Strengthening Local Management
The appointment of Mr Garry Foord to the position of
Development early in the year focused on extending the 830, General Manager Mining of the underground gold operations
820 and 805 ore levels while continuing the internal decline greatly strengthens the technical and operational planning
to the 790 Level. By the end of the year, the Main Decline leadership on site to help drive the acceleration in gold
advanced down to the 727 level (the surface is 960 Level), production. Mr Foord is a qualified First Class Mine Manager
and work had commenced on the Western Decline from its and has over 30 years experience as a mining engineer
junction with the Main Decline at the 730 Level. developing and coordinating mining and exploration projects.
The internal ventilation shaft and second exit from the mine Mr Foord headed the mine design team and implemented
was extended from the 850 level down to the 790 level at the successful slot stoping mining method currently in use
the beginning of the year. A Return Air Raise was completed at the Warrior mine.
extending the ventilation link that connects through to the Electric Power Upgrade Completed
surface, down to the 745 Level. An additional mobile Refuge A major upgrade to the underground electric power supply
Bay was installed near the 745 level as a safe haven for was completed by the State grid provider in August 2008
workers in that area of the mine in case of emergency. and has more than quadrupled the power supply to the
Ore Production Warrior underground site to 3 MW. This delayed upgrade
Underground mining of the ore body has confirmed – greatly hindered mine output during the 2007/08 financial
year. The upgrade will mean more of the mining activities
• Gold resource model is accurate can be operated simultaneously which will assist in ramping
• Gold reserve model is accurate and reliable up mine output.
• High-grade reefs show their expected geological
continuity Mechanised Mining
The mechanised long hole slot mining method used at
Ore stoping during the year was from the 840, 830, 820, Charters Towers by Citigold’s mining crews is performing
805, 790 and 745 Levels. The underground operated effectively and efficiently. Citigold’s senior mine design and
effectively on a 5 day a week basis mining some 35,308 geological staff planned the long hole mining method based
tonnes (56%) of ore from stopes and 27,976 tonnes (44%) on the fact that the gold quartz ore bodies are geologically
from ore accessed in the development levels, totalling separate from the surrounding country rock. This results
63,284 tonnes of ore grading 9 g/t Au after planned dilution. in the ore breaking clean after blasting and minimal
Stoped ore grades averaged 11.7 g/t. In addition some unplanned dilution.
114,432 tonnes of development rock was mined from
the decline and other access areas. The progressive upgrade of old mining equipment to new
mining gear, and expansion of the fleet, continued during
Also of significance is that microscope studies of the year with the arrival of the Atlas Copco 1520 (15 tonne
the very high grade ore, sampled from the mining capacity LHD loader), an MT 5010 haulage truck, new
face, by Professor Roger Taylor of James H104 single boom blast hole rig, two U8 Diamond Drill rigs
Cook University shows that the gold is and one U6 diamond drill. The equipment being acquired
not ‘nuggetty’ (very large pieces) but is aimed at achieving optimal productivity for Citigold’s
rather the very high grades particular mining needs.

The introduction of 24 hour 7 days per week operations This upgrade will
in August 2008 provided a 40% increase in the available result in Citigold’s process
working hours per week. This increase in working hours plant having a larger capacity
was only made possible by the purchasing of new mining and more efficient gravity circuit
gear, ensuring less down time, and the increase in ensuring that more of the high grade gold
underground staff. is recovered earlier in the process flow chart,
hence lower the processing cost per ounce.
Western Decline
To date the mine has been principally developed vertically 3. Digital underground wireless voice and data
with only limited horizontal development to ensure mine communication system network – this will create
access, at depth, was advanced. The east-west striking a network throughout the underground operations that
gold reefs at Charters Towers are well understood due will enable management to locate machines and staff
to the amount of historical data generated through the underground. This will assist management to ensure the
past mining of over 6 million ounces of gold, on adjacent underground is operating at maximum efficiency as well
reefs, and the subsequent recent drilling. The high grade as assisting Citigold to maintain its good safety record.
reefs are sub-outcrops (do not come to the surface) and 4. Down hole geophysical detection of very high grade
broaden with depth. Previously below 200 metres depth gold zones – the current drilling is consistent with the
the reefs averaged a high of 5,000 ounces per vertical expected payability of 30% along the strike length of the
metre. Horizontal development is lower cost than vertical reef structures. During the year testing was commenced
development, but first it was essential to get the depth. to assess if geophysical techniques using radar imaging
The Western decline (5 metres x 5 metres @ 1:7 from boreholes and electromagnetic methods could be
gradient) development at Charters Towers Warrior mine used to improve efficiencies in drilling and increase the
will progressively open up the reef for mining and ore number of holes that intersect high grade ore. The very
extraction along a one kilometre area. The initial aim high-grade ore areas (hot spots) seem to have a ‘core’ of
is to have at least five separate ore extraction areas in massive sulphides that geophysical techniques can target.
operation at all times growing to ten at full production at To date the results have been very encouraging. Citigold’s
the Warrior mine. technical team plan to conclude the test work in late 2008
and implement the required techniques in early 2009.
Efficiency Initiatives
Over the next twelve months Citigold plans to implement four MINERAL RESOURCES AND ORE
cost reduction efficiency programs: RESERVES
Citigold Mineral Resources and Ore Reserves for the overall
1. Photometric ore sorting underground – this will help
Charters Towers Gold Project are reported in accordance
to reduce costs and increase efficiencies at both the
with the Australasian JORC Reporting Code. As at 30 June
underground and production plant by removing waste
2008 the Resources and Reserves are tabled below:
rock, at the source, from the underground ensuring
reduced tonnes are transported to the surface thereby Full details are contained in the “Report on the Inferred
increasing the head grade of ore going to the process Mineral Resources for the Charters Towers Gold Project May
plant and reducing haulage and mining costs. 2005” and the “Report on the Indicated Mineral Resources
and Probable Ore Reserves for the Charters Towers Gold
2. Upgrade of the gravity circuit – External studies have
Project, August 2005” which can be found on the Citigold
estimated up to 50% of the gold contained in the ore at
web site at www.citigold.com (click on “Reports” then
Charters Towers can be extracted by gravity processing.
“Technical Reports”).
CATEGORY TONNES GRADE CUT OFF CONTAINED

g/t Au OUNCES
Inferred Mineral Resources 23,000,000 14 3 metre-grams 10,000,000
per tonne
Indicated Mineral Resources 740,000 15 7 g/t Au 370,000
(includes Probable Ore Reserve)
Probable Ore Reserves 800,000 13 7 g/t Au 330,000
(contained within Indicated Mineral Resource)
CITIGOLD CORPORATION LIMITED AND ONTROLLED ENTITIES 5

The following statements apply in respect of the could assist in explaining the feed source that has supplied
information in this report that relates to Exploration the high grade gold into the 5 major known east west reefs
Results, Mineral Resources and Ore Reserves: The and associated cross reefs.
information is based on, and accurately reflects, information
The Government of Queensland, acting through the
compiled by Mr Christopher Alan John Towsey, who is a
Department of Mines and Energy (DME), is supporting the
Corporate Member and Fellow of the Australasian Institute
drilling of this deep hole, the deepest gold exploration hole
of Mining and Metallurgy and a Member of the Australian
ever drilled at Charters Towers.
Institute of Geoscientists. Mr Towsey is a geologist and
employed by CTO as Chief Operating Officer. He has the The main targets are below 1,400 metres. A gold-
relevant experience in relation to the mineralisation being mineralised structure was intersected at a down hole width
reported on to qualify as a Competent Person as defined of 1.75 metres wide and at approximately 560 metres
in the Joint Ore Reserves Committee (JORC) Australasian depth. The structure appears to be related to the St Patrick’s
Code for Reporting of Identified Mineral Resources and lode. If the intersection is on the St Patrick’s lode it is the
Ore Reserves. Mr Towsey has consented in writing to deepest drill intersection to date on this structure, located
the inclusion in this report of the matters based on the some 1000 metres down dip from the bottom of the old
information in the form and context in which it appears. workings on the lode. It would also extend the strike extent
by 1500 metres.
EXPLORATION
Core Drilling Program Regional Exploration
Citigold acquired additional computerised diamond-core drill Other regional exploration programs included ground
rigs during the year, taking the total to five rigs, three U8s geophysical surveys geological mapping, stream sediment,
and two slightly smaller U6s. Diamond-core drilling trebled soil, and rock sampling on EPM 15964. This work aims to
to 21,580 metres (6,033m last year) in the last financial delineate new drill targets outside the existing 10 million
year with 110 holes completed (24 last year). The 110 holes ounce resource zone.
completed during the year confirmed the payability of 30% Locally soil sampling was also conducted in the area west
with approximately 33 significant intersections, although of Warrior mining area and on a reef structure about 300
99% of holes intersected the structure as planned. For the metres south of the major Warrior east west reef. This
full list of intersections please visit Citigold’s website at southern reef has had past mining and this work aims to
www.citigold.com delineate new drill targets.
Deep Drill Hole Additional Mineral Tenure
The deep drill hole targeting a 2,000 m length to test for A new 293 hectare underground Mining Lease was applied
deep extensions of known structures commenced in late for in 2008, over ground already controlled by Citigold under
June and by 11 September it was at 1,122 metres. Weekly exploration tenure. The new mining lease will cover a 1.5
updates are being uploaded to Citigold’s website at www. kilometre eastern extension of the Warrior reef for future
citigold.com. The hole is located on the north-eastern side mining. Citigold currently has mining leases covering the
of the City, near the Racecourse, and dips steeply to the Charters Towers Warrior reef for 2 kilometres to the west
south-south-west. The deep hole may test an area that where mining is planned over the coming years.

Gateway Mining environment. Citigold’s mining and processing operations
Citigold has a 16% shareholding investment in the have been established in a way that strives to have
Australian focused ASX listed exploration company Gateway minimal impact on the natural environment of the Charters
Mining Limited. Gateway has several advanced exploration Towers region.
projects in Western Australia, New South Wales and Similarly working within a community of 8,500 residents
Queensland. Their projects are for gold and base metals presents a unique challenge. The Company’s staff at
that are being explored by the company and through joint Charters Towers works hard to create the maximum
ventures. Gateway has continued to focus on their prime benefit, and minimal disturbance, within the community
exploration projects. Citigold looks forward to gains from though consultation, employment and involvement of
Gateway’s future exploration success. local businesses. Many of Citigold’s staff are long time
SAFETY, HEALTH AND ENVIRONMENT residents of Charters Towers and therefore have a genuine
The Company’s policy is stated as: commitment to their home town.
“Citigold Corporation Limited explores for and produces gold

profitably and sustainably without harming its employees,
the community or the environment.”
The annual safety, health and environmental audit was
undertaken in mid December 2007 by external contractors
as part of Citigold’s policy of regular auditing of its safety,
health and environmental risk management system in a
similar manner to financial management system audits.
During the year there were 2 Lost Time Injuries during the
year, both were minor, unrelated to underground operations
and only involved two days lost time.
There were no health issues or reportable environmental
incidents during the year.
Community Relations
The Company supports local communities with personnel,
labour and donations to a wide range of community
activities that have included local rodeo associations and
entrants, All Soul’s School, Lions Club, Over 60’s, National
Aborigines and Islanders Day Observance Committee parade
and the Combined Mines Charity Ball. As operations expand
Citigold will continue to support and work in harmony with
the local community.
Environmental
Today there are two main sectors of environmental Jim Morrison, General Manager Exploration, inspecting drill core at
consideration – the natural environment and the people Citigold’s core yard

CORPORATE Citigold pays a royalty to the Australian Gold Trust
The financial markets went through a very volatile period participants of 1.4% on the first 40,000 ounces produced
during calendar 2008 with most world stock exchanges from the Warrior mining lease.
experiencing major declines in indices. Citigold was not In March 2008 the Company announced that the shares in
immune to these declines. With the gold price holding Citigold were now quoted on the Frankfurt Stock Exchange
long term support during the period, Citigold’s foundations (FSE) under the trading symbol ‘CHP’. The Frankfurt
remain strong and management looks towards 2009 to exchange is the largest in the Euro zone. This listing will
grow shareholder value through the growth in operations give the Company an opportunity to increase its European
and gold output. shareholder base.
The Company’s strategic plan to further enhance The Brisbane Corporate office lease ended after 6 years at
shareholder value includes: Milton, on the edge of the City, and a decision was made
1. boosting gold production to expand cash flow and to relocate. The new office is a similar size and is located
generate profits; and closer to the City and public transport hubs, at Level 15, IBM
Centre, 348 Edward Street, Brisbane, Queensland.
2. expanding the gold resources and reserves, thereby
increasing the value of the gold asset.
During the year the Company announced that certain
executives of the Company had been invited to participate
in the Executive Option Plan to provide a retention and
performance framework. This Plan provides for the staged
granting of Options to acquire shares at 50 cents per share.
The current market conditions mean that management will
be strongly motivated to ensure the Company achieves its
targeted growth in production efficiently to ensure value is
put into these Options and a rising share price would benefit
all shareholders.

DIRECTORS’ REPORT
The directors present their report together with the financial report of Citigold Corporation Limited and the consolidated
financial report of the consolidated entity for the year ended 30 June 2008 and the auditor’s report therein.
1. DIRECTORS
The names and the relevant details of Directors of the Company in office during or since the end of the financial year are
as follows.
Current Directors
Name and Experience Special
qualifications Responsibilities
J J Foley Graduating in law from the University of Sydney in 1969, Mr Foley was admitted Non-Executive,
BD, LLB, BL to practise as a barrister in New South Wales in 1971. He was called to the Irish Member of Audit
(Dub) Bar in 1989 and admitted as a Member of the Honourable Society of Kings’ Inns and Finance,
in Dublin. Mr Foley has over 30 years’ experience in the gold mining industry, has Remuneration
Appointed been a guest speaker at the World Gold Council in New York and is a past Director and Health, Safety
02/07/1993 of the Australian Gold Council. and Environment
Committees.
M J Lynch Actively involved in gold exploration and mining for over 28 years. During his Managing Director
FAICD career, he has blended his knowledge of economics and science into his specialist Member of
skills of strategic planning and innovation. Mr Lynch has extensive hands-on Health, Safety
Appointed experience in mine management and mining tenure administration, held the and Environment
02/07/1993 position of Director of the Queensland Resources Council for six years. He is committee.
currently a Fellow of the Australian Institute of Company Directors and is the
driving force behind the company’s strategic vision to focus on growing the gold
business in a way that adds value for shareholders.
T V Willsteed Mining Engineer with a career spanning over 46 years in mining operations, Non-Executive
BE(Mining) Hons, minerals processing, corporate management and consulting. Fellow of Director Chairman
BA, FAIMM, Australasian Institute of Mining and Metallurgy. He is also a BA graduate and a of Audit and Finance,
MSME, MAICD registered member of the leading Society of Mining Engineers (SME) in the USA. Remuneration
As the principal of consulting mining engineers Terence Willsteed and Associates, and Health, Safety
Appointed he has extensive experience in the assessment and development of a wide range and Environment
21/10/2006 of mineral projects. His career in the mining industry has included senior line committees.
operational and engineering positions with Zinc Corporation, Mt Isa Mines Ltd
and Consolidated Goldfields Ltd. Mr Terence Willsteed has expertise in managing
mineral projects, both within Australia and internationally. Over the past three years
has acted as a non-executive director of other Australian listed public companies
as follows: Climax Mining Limited (resigned 2007); Austral Gold NL (resigned 2007);
European Gas Limited (current since November 2002); Goldsearch Limited (current
since July 2004) and an LSE listed company; International Ferro Metals Limited
(current since September 2005)

DIRECTORS’ REPORT CONTINUED
Company Secretary
Mr Matthew Martin
B.Com, CA
Mr Martin has worked in various roles as part of several global teams, including international banking capital raisings and
accrued skills in most aspects of corporate finance and accounting. He has strong skills in systems compliance, multinational
financial statements, forecasting, reporting and analysis. In his previous employment he acted as Company Secretary for client
companies. He joined the company in December 2005 as corporate accountant. He was appointed Company Secretary in April
2006 and Chief Financial Officer in July 2007.
Meetings of Directors
The number of directors’ meetings (including board committees) held and the number of meetings attended by each director
during the year ended 30 June 2008 was:
Board Meeting Audit and Finance Health, Safety and Remuneration
Environment **
Held Attended Held Attended Held Attended Held Attended
J J Foley 16 16 2 2 ** ** 1 1
M J Lynch 16 16 * * ** ** * *
T V Willsteed 16 16 2 2 ** ** 1 1
* Not a member of the relevant committee
** Health, Safety and Environment issues are reviewed and mine reports considered by Directors at each Board meeting.
Directors’ interests
The relevant interest of each director in the shares and options issued by the companies within the consolidated entity
and other related bodies corporate, as notified by the directors to the Australian Securities Exchange in accordance with
s205G (1) of the Corporations Act, at the 30 June 2008 is detailed in the following table.
Director Ordinary shares Share Options
J J Foley 4,599,374 3,000,000
M J Lynch 86,801,803 10,000,000
T V Willsteed Nil 750,000
Remuneration of directors and senior management
Information about the remuneration of the directors and senior management is set out in the Remuneration Report of the
Directors’ Report.
Share options granted to directors and senior management
During and since the end of the financial year, 5 million options over fully paid ordinary shares were granted to senior management
team as part of their remuneration:
Directors and Senior Number of options Issuing entity Number of shares
Management granted under option
C. Towsey 1,000,000 Citigold Corporation Limited 1,000,000
M. Martin 1,000,000 Citigold Corporation Limited 1,000,000
G. Foord 1,000,000 Citigold Corporation Limited 1,000,000
J. Morrison 1,000,000 Citigold Corporation Limited 1,000,000
J. Lynch 1,000,000 Citigold Corporation Limited 1,000,000
2. PRINCIPAL ACTIVITIES
During the year the principal activities of the consolidated entity consisted of production, development and exploration of the
Charters Towers goldfield. There has been no significant change in the nature of these activities during the year.

3. DIVIDENDS – CITIGOLD CORPORATION LIMITED
No amount has been paid or declared by way of dividend by the Company during the year. The directors do not recommend a
dividend at this time.
4. SIGNIFICANT CHANGES IN THE STATE OF AFFAIRS
Significant changes in the state of affairs on the consolidated entity during the financial year were as follows:
(a) Ordinary Shares
An increase in ordinary shares in the Company from 641,902,700 to 678,644,974 as a result of:
Type of Issue Issue Price Number of shares Issued
Exercise of options $0.15 25,000
Share Purchase Plan $0.39 19,197,091
Share Purchase Plan $ - 959,855
Share placement $0.45 1,222,222
Exercise of options $0.15 1,776,667
Share placement $0.28 13,303,571
Net cash received was used to continue the exploration, development and general activities of the Company.
See Note 18 of the Financial Statements.
(b) Revaluation of assets

The Non Current Assets of Citigold Corporation were reviewed by independent consulting mining engineers. The Property
Plant and Equipment of the Company was valued as at 30 June 2008. The value of the mining tenements has now been
upgraded resulting in an increase in the overall value of the Charters Towers Gold Project to $209 million.
5. SHARE OPTIONS
Details of unissued shares or interest under options as at the date of this report are:
Issuing Entity Number of options Exercise Price Expiry date of Option
Citigold Corporation Limited 4,761,220 $0.32 20-Jul-08
Citigold Corporation Limited 6,296,917 $0.37 19-Sep-08
Citigold Corporation Limited 122,222 $0.45 20-Nov-09
Citigold Corporation Limited 5,625,000 $0.50 27-Nov-09
Citigold Corporation Limited 1,330,357 $0.37 14-May-10
Citigold Corporation Limited 6,562,500 $0.50 10-Apr-11
Citigold Corporation Limited 6,562,500 $0.50 27-Nov-11
Details of option exercised during the financial year:
Date Details Option exercised Amount paid Amount unpaid
23-Aug-07 Fully paid ordinary shares 25,000 $ 3,750 $ -
27-Nov-07 Fully paid ordinary shares 119,150 $ 17,873 $ -
17-Mar-08 Fully paid ordinary shares 1,776,667 $ 266,500 $ -
17-Mar-08 Fully paid ordinary shares 31,250 $ 10,000 $ -

6. POST BALANCE DATE EVENTS
On 24 September 2008 the Company announced the placement of up to 18% of the outstanding shares to the Dubai Group
for $35 million. For the full disclosure please visit Citigold’s website at www.citigold.com. No other matters or circumstances
have arisen since the end of the financial year which significantly affect or may significantly affect the Company’s operations,
the result of those operations or the state of affairs in subsequent financial years.
7. REVIEW OF OPERATIONS
A review of the consolidated entity’s operations during the year and the results of these operations are disclosed in pages 3
to 7 of the Annual Report.
8. LIKELY DEVELOPMENTS AND EXPECTED RESULTS OF OPERATIONS
Likely developments in the operations of the consolidated entity are:
(a) the continuation of exploration activity aimed at increasing resources and reserves,
(b) the continuation of mining activity at Charters Towers.
Additional comments on expected results are included in the Review of Operations.
9. INDEMNIFICATION AND INSURANCE
During the financial year the Company paid premiums to insure all Directors and Officers of the Company against claims
brought against the individual while performing services for the Company and against expenses relating thereto, other than
conduct involving a wilful breach of duty in relation to the Company. Under the terms and conditions of the insurance contract,
the nature of liabilities insured against and the premium paid cannot be disclosed.
The Company has not otherwise, save as enshrined in the Company’s constitution, during or since the end of the financial year,
in respect of any person who is or has been an officer of the Company:
(a) indemnified or made any relevant agreement for indemnifying against a liability, including costs and expenses in
successfully defending legal proceedings; or
(b) paid or agreed to pay a premium in respect of a contract insuring against a liability from the costs or expenses to defend
legal proceedings.
10. PROCEEDINGS ON BEHALF OF THE COMPANY
No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of
the company, or to intervene in any proceedings to which the company is a party, for the purpose of taking responsibility on
behalf of the company for all or part of those proceedings
11. ENVIRONMENTAL REGULATIONS
Entities in the consolidated entity are subject to significant environmental regulation in respect to its exploration and mining
activities in gold.
The organisation has developed criteria to determine areas of ‘particular’ or ‘significant’ importance, with regard to
environmental performance. These are graded 1 to 4 in terms of priority.
Level 1 incident – major non compliance with regulatory requirements resulting in potential political outcry and significant
environmental damage of both a long and short term nature.
Level 2 incident – significant non compliance resulting in regulatory action, however, environmental damage is only of a
short term nature.
Level 3 incident – minor non compliance – no fine is imposed, however, regulatory authority is notified.
Level 4 incident – non compliance with internal policies and procedures. The incident is contained on site.
In the last year the following incidents have occurred.
Level 1 Level 2 Level 3 Level 4
Incidents - - - -
The Company has an internal reporting and monitoring system with regard to environmental management on the site. The
Company employs an environmental officer to monitor all water quality, noise and air quality issues as well as liaise with the
community on activities that may impact on the local area.

12. AUDIT/NON-AUDIT SERVICES AND AUDITOR INDEPENDENCE
The fees paid or payable for services provided by the auditor of the Company are set out in Note 6 of the Financial
Statements.
The Auditor’s independence declaration is included on page 18.
13. REMUNERATION REPORT – AUDITED
1) Director and Senior Management Details
The following persons were Directors and/or key management personnel of the Group:
J.J. Foley (Non Executive Chairman)
M.J. Lynch (Managing Director/Chief Executive Officer)
T.V. Willsteed (Non Executive Director)
M.B. Martin (Company Secretary/Chief Financial Officer)
C.A.J. Towsey (Chief Operating Officer)
G. Foord (General Manager – Mining)
J.F. Lynch (Site Senior Executive)
R.J. Morrison (Exploration Manager)
There are no other group or company executives.
2) Remuneration Policy
The Remuneration Committee, consisting of two non-executive directors, advises the Board on remuneration policies and
practices generally. The Committee can make recommendations
on remuneration packages and other terms of employment
for executive directors, non-executive directors and
senior executives.
Executive remuneration and other terms of employment are
reviewed by the Committee when necessary having regard to
performance, relevant comparative information and independent
expert advice. As well as a base salary, remuneration packages
include superannuation and use of motor vehicles.
During the year a performance aspect of executive
remuneration was implemented via the issue of share options
through the option plan. This will help to align executives’ goals
with that of the shareholders. The share price over the last five
years has increased by over 100% and production has grown
over the last 2 years by 300%.
Remuneration packages are set at levels that are intended
to attract and retain executives capable of managing the
consolidated entity’s operations.
The Board, within the maximum amount approved by
shareholders from time to time, determines remuneration of
non-executive directors. The fees have been determined by the
Board having regard to industry practice and the need to obtain
appropriately qualified persons. Non-executive directors are
also entitled to statutory superannuation.

3) Payments to specified Directors and Key Management Personnel
for the year ended 30 June 2008
Short-term employee benefits Post- Share- Total Proportion of
employment based remuneration
benefits payments that is
2008 Cash Non- Related Superannuation Options²
performance
based
salary and monetary party
fees benefits Payments³
Directors $ $ $ $ $ $ %
J J Foley 63,846 13,254 122,493 1,019 - 200,612 -
4
M J Lynch¹ 378,991 - - - - 378,991 -
T V Willsteed - - 40,000 - - 40,000 -
Other Key Management Personnel
C A J Towsey 177,740 29,692 43,337 26,860 99,210 376,839 26
J F Lynch 207,360 30,067 - 17,717 99,211 354,355 28
R J Morrison 171,489 5,391 12,072 15,434 99,211 303,597 33
G Foord 114,535 21,175 52,756 19,144 99,211 306,821 32
M B Martin 152,453 42,972 45,452 13,721 99,211 353,809 28
1,266,414 142,551 316,110 93,895 496,054 2,315,024 -
1
During the year ended 30 June 2008 M Lynch was based in the U.A.E.
2
The amount relates to the share based payment expense charged for options granted to Senior Executives in this Financial Year. Fair values
of options are determined using Black Scholes options pricing model that takes into account the exercise price, the term of the option, the
expected dividend yield, the risk free interest rate for the term of the option and the expected volatility of the underlying share. No money
or shares actually passed to the Directors and these Share Based Payment amounts are estimations of a benefit received but the stated
benefit may or may not be actually realised at a future date.
3
The related party payments are payments to entities related to the Directors and/or Key Management Personnel for work carried out by that
entity or the hire of equipment owned by that entity
4
Cash, salary and fees includes a Long Service payment made during the year to Mr Lynch
8]VgiZghIdlZgh
7g^hWVcZ
©2008 Google
©2008 Europa Technologies
©2008 MapData Sciences Pty Ltd, PSMA
©2008 Cnes/Spot Image Canberra
Image NASA

Payments to specified Directors and Key Management Personnel
for the year ended 30 June 2007
Short-term employee benefits Post- Share- Total Proportion of
employment based remuneration
benefits payments that is
2007 Cash Non- Related Superannuation Options
performance
based
salary and monetary party
fees benefits Payments
Directors $ $ $ $ $ $ %
J J Foley 35,000 16,608 150,000 3,150 192,332 397,090 48
M J Lynch 279,585 - 7,890 - 641,106 928,581 69
T V Willsteed - - 20,000 - 48,083 68,083 71
P B Blood 12,694 - - - - 12,694
C A J Towsey 148,884 8,123 41,502 29,218 - 227,727 -
J F Lynch 152,692 - - 13,116 - 165,808 -
R J Morrison 152,312 - 5,942 13,708 - 171,962 -
G Foord 96,604 4,079 51,622 7,194 - 159,499 -
M B Martin 96,267 432 32,610 7,116 - 136,425 -
974,038 29,242 309,566 73,502 881,521 2,267,869 -
Share based payments granted as compensation for the current year
Directors and Executive share option plan
Citigold Corporation Limited has a Directors and Executive share option plan to provide an incentive for future performance
and retention of key personnel.
During the financial year, as part of the employee performance and salary review process, the Remuneration Committee
invited certain executives to participate in the Company’s Executive Option Plan to provide a retention and performance
framework. 5,000,000 options over Ordinary Shares were granted to senior executives.
The general terms and conditions of options affecting remuneration in this or future reporting periods are as follows:
(All options have been issued on the same terms and conditions as the Director’s options approved at the 2006 Annual
General Meeting.)
The Board does not have a policy in relation to limiting their exposure to risk in relation to options issued to Directors
or Executives.
The options will have an exercise price of $0.50, vest over a period of two years, are subjected to performance conditions
being achieved and expire 3 years after vesting. These options are for nil consideration and issued for free. The performance
conditions are listed below:
Tranche Performance Condition Required Date Number of Options
1 Nil N/A 30%
2 Share Price of $0.73 15 December 2007 35%
or production rate of 50,000 oz p.a.
3 Share Price of $1.00 15 December 2008 35%
or production rate of 100,000 oz p.a.
Under the conditions of the options each tranche will only vest if and when the performance conditions for that tranche is
achieved for a period of 25 or more consecutive or non consecutive days pre the required date and/or 6 months post the
required date.

The amount of options available to each executive in each tranche is to the right:
Tranche Number of Options

1 300,000
2 350,000
3 350,000
The following grants of share based payment compensation to executives (below) relate to this financial year:
During Financial Year % of Compensation
Name Option granted No. Granted No. Vested % of grant % of grant consisting of options
vested forfeited
C. Towsey 6 August 2007 1,000,000 650,000 65% Nil 26
M. Martin 6 August 2007 1,000,000 650,000 65% Nil 28
G. Foord 6 August 2007 1,000,000 650,000 65% Nil 32
J. Morrison 6 August 2007 1,000,000 650,000 65% Nil 33
J. Lynch 6 August 2007 1,000,000 650,000 65% Nil 32
The following table summarises the future value of options granted at grant date:
Name Total Value of Options granted Value per Option
C. Towsey $133,949 $0.13
M. Martin $133,949 $0.13
G. Foord $133,949 $0.13
J. Morrison $133,949 $0.13
J. Lynch $133,949 $0.13
4) Service Contracts
Managing Director
Contract Term: 5 years, Commenced January 2007
Base Salary: $320,460, inclusive of superannuation, to be reviewed annually by the Remuneration Committee
Termination Payment on early termination by the Group, other than for gross misconduct, equal to 3 years
Payments: of employment.
Company Secretary/ CFO
Contract Term: Ongoing, Commenced December 2005
Termination Payment on early termination by the Group, other than for gross misconduct, equal to 3 months
Payments: base salary.
Chief Operating Officer
Contract Term: Ongoing, Commenced July 2002
Senior Site Executive
Contract Term: 5 years, Commenced January 2007

General Manager Mining
Contract Term: Ongoing, Commenced July 2004
Exploration Manager
Contract Term: Ongoing, Commenced October 2001
5) Share options exercised during the current year
During 2008 Mr Towsey exercised 31,250 options. The exercise of options enabled Mr Towsey to buy Shares in the Company
at $0.37 when the share price was $0.43 resulting in a total gain of $1,875.
No other options were exercised during the year by key management personnel or executives of the consolidated entities.
END OF AUDITED REMUNERATION REPORT
DIRECTORS REPORT DECLARATION
This report is made in accordance with a resolution of directors.
J J Foley M J Lynch
Chairman Director
Sydney
30 September 2008

AUDITORS’ INDEPENDENCE DECLARATION

CORPORATE GOVERNANCE
Good corporate governance does not just ensure the Audit and Finance
company is well managed and directed but it protects the Committee
rights and enhances the interests of shareholders The audit and finance committee
The Board regularly reviews and put in place policies comprises of the following Non-Executive
and practices to comply as far as is practicable with Directors: T V Willsteed (Chairman) and JJ Foley.
ASX Corporate Governance Council’s Principles and Since the board consists of only three Directors,
Recommendations. In the limited circumstances where the one of them being an Executive Director (Managing
Company’s corporate governance practices do not correlate Director), the company can only appoint two independent
with the recommendations, the Company does not consider Directors instead of the recommended three independent
that the practices are appropriate for the Company due to members in the Audit and Finance Committee. Citigold
the size of the Company or its Board. As part of the review believes that the current board and its committees are
to further strengthen the company’s governance policies appropriately sized as it has adequate skills, expertise and
and practices, the Board has adopted in January 2008 a experience to run the company. Moreover, keeping the
new Board Charter. Relevant principles are listed below. current board size enable all directors to voice their opinions.
A. LAY SOLID FOUNDATION FOR The main responsibilities of the audit and finance committee
are to supervise the audit function, review the integrity of
MANAGEMENT AND OVERSIGHT the company’s financial reporting and ensure compliance
The Board of Directors primary role is to set corporate
with financial reporting and related regulatory requirements.
direction, governance, defining broad policy and governs
In addition, the committee oversees the company’s risk
the business in such a way that protects the rights and
management system.
enhances the interests of shareholders.
As the Board acts on behalf of and is accountable to Remuneration Committee
shareholders, the Board seeks to identify the expectations The Remuneration committee consists of the following
of shareholders, as well as other regulatory and ethical Non-Executive Directors: T V Willsteed (Chairman) and JJ
expectations and obligations. The Board Charter sets out the Foley. Since the board consists of only three Directors, one
principal function and responsibility of the Board: of them being an Executive Director (Managing Director),
the company can only appoint two independent Directors
• Development and implementation of corporate strategies instead of the recommended three independent members in
• Provide leadership in the development of appropriate the Remuneration Committee. As noted previously, Citigold
culture and values for the company believes that the current board and its committees are
• Appointment and assessment of the performance of the appropriately sized as it has adequate skills, expertise and
Managing Director and Directors experience to run the company.
• Inputting and monitoring managerial goals
• Ensuring the significant risks facing the consolidated The Remuneration Committee’s key responsibilities are:
entity have been identified and appropriate and 1) Assists and advises the Board on remuneration
adequate control, monitoring and reporting mechanisms guidelines and practices.
are in place 2) Reviews and make recommendations on remuneration
• Ensuring corporate accountability to shareholders packages and other terms of employment for directors
The Board has delegated responsibility for the day to and senior executives.
day operation and administration of the Company to the 3) Reviews the company’s recruitment, retention
Managing Director and the executive management team. and termination guidelines and procedure for
senior management.
B. STRUCTURE THE BOARD TO ADD Citigold Corporation Limited has not formed a nomination
VALUE committee as there are only 3 Directors. The Board is able
The Board has established a number of committees to to efficiently address the issue of board competencies. The
facilitate the execution of its duties. Each committee has its board ensures that all Directors bring relevant complementary
own autonomy with authority delegated to it by the Board skills and experience to the Board and Board performance
and the manner in which the committee is to operate. is reviewed on an annual basis based upon each director’s
Current committees of the Board are: contribution to specific Board objectives.
• the audit and finance committee Health, Safety and Environment Committee
• the remuneration committee The health, safety and environment committee consists
• the health, safety and environment committee of the following executive and Non-Executive Directors:

CORPORATE GOVERNANCE CONTINUED
JJ Foley, TV Willsteed and MJ Lynch. The objectives of the Entities connected with Mr M J Lynch had business dealings
committee are as follows: with entities in the consolidated entity during the year. Mr
M J Lynch declared his interests in those dealings to the
• ensuring the Company adopts, maintains and applies
Company and took no part in decisions relating to them.
appropriate health, safety and environment policies
and procedures; C. PROMOTE ETHICAL DECISION MAKING
• ensuring that the Company maintains effective health, All directors, executives and staff of the consolidated
safety and environment related internal control and risk entity are required to abide by all legal requirements,
management systems; and the Listing Rules of the Australian Securities Exchange,
• providing a formal forum for communication between the Corporations Act with the regard to trading in the
the Board and senior management in health, safety Company’s securities and appropriate standards of
and environment matters, both Company specific ethical conduct with regard to the operation of the
and otherwise. consolidated entity.
Board Composition Code of Conduct
The Board is comprised of three (3) Directors, being 2 A Code of Conduct (the Code) as adopted by the Board sets
Non-Executive Directors and One Executive Director, Mr M out ethical standards expected of all directors, executives
J Lynch. A majority of the Board is Non-Executive Directors, and employees. The Code is reviewed and updated as
including the Chairman. necessary to generally reflect industry standards of integrity
The skills, experience and expertise relevant to the position and professionalism. The Code covers:
of each Director who is in office at the date of the annual • professional conduct
report, their meeting attendances and their term of office • other employees
are detailed in the Directors’ Report. Each Director brings • conflicts of interest
relevant complementary skills and experience to the Board • customer and supplier relations
covering the areas of legal, finance and operations. • compliance with laws and regulations
The Company’s Constitution specifies that a third of the • confidential information
Directors (with the exception of the Managing Director) Trading in Citigold’s shares
must, by rotation, retire from office at each Annual General Employees, officers and directors who have access to, or
Meeting (AGM) such that at least one Director stands for knowledge of, material inside information from or about the
election at each AGM. Where eligible, a Director may stand company are prohibited from buying, selling or otherwise
for re-election. All Board appointments are subject to trading in the company’s stock or other securities until the
shareholder approval. release of this information to the public through the ASX.
Independence “Insider” information includes any information concerning
In accordance with the Board Charter and ASX the company’s financial position, strategy or operations
Recommendations, the majority of the Board comprises of non- which, if made public, would be likely to have a material
executive directors, including the Chairman. All Non-Executive effect on the price or value of the securities of the company
Directors are regarded as independent and free of any and the information would, or would be likely to, influence
relationship that may conflict with the interest of the company. persons who commonly invest in securities in deciding
whether to acquire or dispose of the securities.
Directors must disclose to the Board actual or potential
conflicts that may or might reasonably be thought to exist D. SAFEGUARD INTEGRITY IN FINANCIAL
between the interest of the director and the interest of REPORTING
the company. Directors are required to adhere strictly to As part of Citigold’s commitment to a transparent
constraints on their participation and voting in relation to system for auditing and reporting of company’s financial
any matter in which they may have a conflict of interest. performance, the company has established the Audit and
Finance Committee. The audit and finance committee
Entities connected with Mr J J Foley had business
supervise the audit function including the appointment of
dealings with the consolidated entity during the
the external auditor, the preparation of financial statements
year. Mr J J Foley declared his interests in those
and assesses the adequacies of internal control, and
dealings to the Company and took no part in
financial risk system. In fulfilling its responsibilities, the
decisions relating to them. These dealings
audit and finance committee regularly provide a forum for
were not considered to be of an amount
communication between the board, management and the
or nature that would affect Mr Foley’s
external auditors. A formal charter for audit and finance
independent judgement.
committee is adopted since September 2005.

The Audit and Finance Committee has adopted and
complies with a formal charter.
The Chief Executive Officer and Chief Financial Officer have
declared in writing that the financial statements for the
year ended 30 June 2008 represent a true and fair view of
Citigold’s financial position and performance and that the
reports conform to relevant accounting standards.
E. MAKE TIMELY AND BALANCED
DISCLOSURE
All Directors, executives and staff of the consolidated
entity are made aware of the ASX’s continuous disclosure
requirements and operate in an environment where
emphasis is placed on full, timely and honest disclosure to
the market.
The board adopts a Continuous Disclosure Policy to ensure
that information considered material by the company is
immediately lodged with ASX. Moreover, Citigold’s website
contains recent and historical information, including ASX
announcements, financial reports and presentations.
F. RESPECT THE RIGHTS OF
SHAREHOLDERS
Citigold is committed in providing shareholders with timely, the financial and operational aspects of the company’s
detailed and factual company information. activities and considers the advice of other external advisors.
Information is communicated to shareholders through: The risk management approach that the Board employs
includes a) assessing internal policies and processes
• The annual report which is accessible by all for determining and managing key risk areas such as
shareholders noncompliance with laws regulations standards and best
• The half-yearly report which is made available by way of practice guidelines, litigation and claims and other relevant
an ASX release business risk b) having a sound risk management system,
• The Annual General Meeting policies and internal control c) Meeting of key stakeholders
• ASX releases in accordance with the consolidated to understand and discuss company’s control environment.
entity’s continuous disclosure obligations
• Information available on the Company’s website at Citigold currently operates on a NOSA Five Star Integrated
www.citigold.com Risk Management System. This is a commercial product
originally produced by the National Occupational Safety
Shareholders are invited to advise the Company of their Association, operated by Citigold, with the results audited
email addresses. ASX announcements, once released, are annually by external consultants. This system identifies all
then able to be emailed directly to the shareholder. aspects of risks of the operation, particularly those related
In addition, all shareholders are encouraged to attend the to safety, health, environment and social impact. Citigold’s
AGM and use the opportunity to ask questions. operations are subject to regulation and regular inspection
and monitoring by the Queensland State Government
The company’s external auditor attends the company’s Department of Mines and Energy and the Environmental
annual general meeting and is available to answer Protection Authority.
shareholder questions about the conduct of the audit and
the preparation and content of the auditors report. The Managing Director and CFO have not given a written
statement to the board in accordance with best practice
F. RECOGNISE AND MANAGE RISK recommendation 7.2 because the board considers that its
Due to the size of the Board, a separate risk management direct management and oversight of risk ensures a sound
committee has not been established. The Board believes system of risk management and internal compliance and
that it is important for all Board members to take a proactive control that is operating efficiently and effectively in all
role to the company’s risk management and internal material respects.
compliance and control procedures. The Board monitors

CORPORATE GOVERNANCE CONTINUED
G. ENCOURAGING ENHANCED by shareholders which is currently at a combined total of
PERFORMANCE A$150,000. Non-Executive Directors may participate in
equity schemes of the company subject to the shareholders
Review of Directors and Board approval, such as option schemes, that are designed to
Performance encourage enhanced performance of the participant.
Citigold considers the evaluation of directors and senior
executive performance as important in establishing a Executive Remuneration
culture of performance and accountability. The Remuneration Committee, consisting of two Non-
Executive Directors, advises the Board on remuneration
The Board and Director’s performance is reviewed on an
policies and practices. The Committee can make
annual basis. The goals of review are based upon each
recommendations on remuneration packages and other
director’s contribution to specific Board objectives and
terms of employment for executive directors and senior
the objectives of board committees in which the director
executives. Executive remuneration and other terms
participates.. The Chairman provides each director with
of employment are reviewed by the Committee when
confidential feedback on performance and it is used
necessary having regard to performance, market conditions
to develop a development plan for each director. The
and relevant comparative information and independent
remuneration and nomination committee also carries out
expert advice.
performance reviews of the Managing Director/CEO and the
Executive Management Team on a yearly basis. Citigold’s senior executives participate in a share option
plan linking Citigold’s performance to their remuneration
At the AGM, the shareholders will have the opportunity
designed to encourage enhanced performance of the
to voice their opinion on the performance of the Board.
participant. The senior executive share option plan was
Furthermore at every second year of AGM, the shareholders
not approved by shareholders because the options were
can exercise their right to remove the Non-Executive
granted on the same terms and conditions as the option
Director from office if the shareholders deem that the non
plan previously approved by shareholders for the Directors.
executive director’s performance is not up to standard.
Further details in relation to Director and Executive
Director Education remuneration can be found in the director’s report.
Citigold Corporation Limited has a policy to educate new
Directors about the nature of the business and current I. RECOGNISES THE IMPORTANCE OF
issues, strategic direction and expectations of Citigold in ENVIRONMENTAL AND OCCUPATIONAL
regards to the performance of Directors. New Directors HEALTH AND SAFETY ISSUES
undergo an induction process in which they will be given a Citigold Corporation Limited recognises the importance
full briefing on the company. This includes meeting with key of environmental and occupational health and safety
executives, tour of mining operation, an induction package (OHS) issues and is committed to the highest levels of
and presentation. Directors and the senior executives are performance. To help meet this objective an Environmental,
also given access to continuing education opportunities Health and Safety Management System (EHSMS) has been
to develop their skills and knowledge in the area of established by mine management. The EHSMS is a tool
governance processes and in the company’s industry. that allows the systematic identification of environmental
Independent Professional Advice and and OHS issues and ensures they are managed in a
structured manner.
Access to Company’s Information
Subject to annual limit or Board approval, Directors and Through the EHSMS, the consolidated entity aims to:
Board committees have the right, in connection with
• comply with all relevant legislation
their duties and responsibilities, to seek independent,
• continually assess and improve the impact of its
professional advice at the Company’s expense. Directors
operations on the environment
also have the right of access to all relevant information
• encourage employees to actively participate in the
that may help them in exercising their duties subjected
management of environmental and OHS issues, and
to protocol set out in the Board Charter.
• use energy and other resources efficiently
H. REMUNERATE FAIRLY AND Information on compliance with significant environmental
RESPONSIBLY regulations is set out in the Directors’ Report.
Board Remuneration
Non-Executive Directors’ remuneration
may not exceed the limit approved

FINANCIAL
STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2008

FINANCIAL STATEMENTS CONTINUED
CONSOLIDATED INCOME STATEMENT
Consolidated The Company
Note Year Ended Year Ended Year Ended Year Ended
30 June 2008 30 June 2007 30 June 2008 30 June 2007
$ $ $ $
Sales Revenue 12,156,873 2,759,518 - -
Cost of sales (6,379,797) (3,213,689) - -
Gross Profit/(Loss) 5,777,076 (454,171) - -

Other Income 2 639,377 914,598 444,973 969,942
Salaries and employee benefits (3,035,191) (4,710,083) (40,966) (72,820)
expense
Share based payments expense (496,054) (881,521) (496,054) (881,521)
Consulting expense (767,382) (643,322) (625,569) (452,137)
Other expenses 3 (2,785,466) (2,350,738) (2,450,331) (4,675,515)
Depreciations and amortisation 3 (1,747,518) (1,371,687) (912,869) (633,981)
expense
Finance costs 4 (752,266) (548,159) (707,983) (507,215)
Loss before income tax (3,167,424) (10,045,083) (4,788,799) (6,253,247)
Income tax 6 795,721 2,872,545 1,175,771 1,628,630
Loss after tax from operations (2,371,703) (7,172,538) (3,613,028) (4,624,617)
Loss attributable to minority 33 86 - -

interest
Loss attributable to members of (2,371,670) (7,172,454) (3,613,028) (4,624,617)
the parent entity
Earnings/ (Loss) per share:
Basic and diluted EPS (Cents per 7 (0.36) (1.18)
share)
The above income statement should be read in conjunction with the accompanying notes.

CONSOLIDATED BALANCE SHEET
$ $ $ $
Current assets
Cash and cash equivalents 9 1,581,300 4,371,541 1,543,897 4,806,229
Trade and other receivables 10 153,364 888,010 46,937 361,713
Inventories 11 1,747,272 706,312 503,232 507,053
Investments (available for sale) 12 1,630,000 1,956,000 1,630,000 1,956,000
Total current assets 5,111,936 7,921,863 3,724,066 7,630,995
Non-current assets
Property, plant and equipment 13 208,716,801 182,635,103 198,842,701 172,813,065
Other Non current assets 14 783,031 725,054 778,935 720,958
Other receivables 10 - - 11,231,441 11,395,870
Other financial assets 15 - - 10,697,477 10,697,477
Total non current assets 209,499,832 183,360,157 221,550,554 195,627,370
Total assets 214,611,768 191,282,020 225,274,620 203,258,365
Current liabilities
Trade and other payables 16 3,017,589 3,115,291 278,882 300,132
Borrowings 17 3,294,046 1,704,572 3,178,291 1,433,622
Total current liabilities 6,311,635 4,819,863 3,457,173 1,733,754
Non current liabilities

Borrowings 17 3,472,037 3,019,473 3,270,767 2,735,955
Provisions 19 17,041,524 14,232,766 19,271,955 16,849,261
Total non-current liabilities 20,513,561 17,252,239 22,542,722 19,585,216
Total liabilities 26,825,196 22,072,102 25,999,895 21,318,970
Net assets 187,768,470 169,209,919 199,274,625 181,939,395
Equity
Issued capital 20 124,357,850 112,302,064 124,357,850 112,302,064
Reserves 21 86,527,192 77,634,722 85,955,764 77,063,292
Accumulated losses 22 (23,167,878) (20,796,206) (11,038,989) (7,425,961)
Parent entity interest 187,717,164 169,140,580 199,274,625 181,939,395
Minority interest 69,306 69,339 - -
Total equity 187,786,470 169,209,919 199,274,625 181,939,395

FINANCIAL STATEMENTS CONTINUED
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
$ $ $ $
Total recognise income and expense attributable to:
Equity holders of the parent (2,371,670) (7,172,454) (3,613,028) (4,624,617)
Minority interest (33) (86) - -
Total Loss for the period (2,371,703) (7,172,540) (3,613,028) (4,624,617)
Total equity opening balance 169,202,919 139,976,659 181,939,395 150,158,213
Change in accounting Policy - - - 5,200,597
Total equity revised 169,209,919 139,976,659 181,939,395 144,957,616
opening balance
Loss for the period (2,371,703) (7,172,540) (3,613,028) (4,624,617)
Reserve movement 8,892,469 11,625,044 8,892,472 11,625,043
Contribution of equity, 20 12,055,786 24,780,756 12,055,786 24,780,756
net of transaction costs
Total equity closing balance 187,786,470 169,209,919 199,274,625 181,939,395
The above statement of changes in equity should be read in conjunction with the accompanying notes.

CONSOLIDATED CASH FLOW STATEMENT
$ $ $ $
Cash flows from operating
activities
Receipts from customers 13,403,830 4,670,347 706,081 500,420
Payments to suppliers (13,539,103) (9,554,947) (2,589,859) (2,023,282)
Interest paid and other finance (1,036,892) (1,180,562) (1,048,084) (925,575)
expenses
Net cash flow from operating 8 (1,172,165) (6,065,161) (2,931,862) (2,448,437)
activities
Cash flows from investing

activities
Interest received 87,075 285,156 86,088 66,778
Payment for Properties, plant and (3,711,663) (6,039,401) (2,824,947) (4,560,881)
equipment
Development costs (12,122,574) (7,566,183) (12,122,574) (7,566,183)
Amounts repaid (advanced) to - - 164,430 (3,913,230)
related parties
Net cash flow from investing (15,747,162) (13,320,428) (14,697,003) (15,973,516)
activities
Cash flows from financing

activities
Net proceeds from issues of equity 12,055,788 24,562,611 12,055,787 24,562,611
securities
Proceeds from borrowings 3,797,254 1,626,044 3,797,255 1,071,577
Repayment of borrowings (1,723,958) (4,616,982) (1,486,509) (4,537,816)
Net cash flow from financing 14,129,084 21,571,673 14,366,533 21,096,372
activities
Net increase/(decrease) in cash (2,790,241) 2,186,084 (3,262,332) 2,674,419

and cash equivalents
Cash at beginning of year 4,371,541 2,185,457 4,806,229 2,131,810
Cash and cash equivalents at 9 1,581,300 4,371,541 1,543,897 4,806,229

end of year
The above cash flow statement should be read in conjunction with the accompanying notes.

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2008 Unrealised losses are also eliminated unless the transaction
The financial report of Citigold Corporation Limited for provides evidence of the impairment of the asset transferred.
the year ended 30 June 2008 was authorised for issue Accounting policies of subsidiaries have been changed
in accordance with a resolution of the directors on 30 where necessary to ensure consistency with the policies
September 2008 and covers Citigold Corporation Limited adopted by the Group.
as an individual entity as well as the consolidated Where the Citigold Corporation Group’s interest is less
entity consisting of Citigold Corporation Limited and its than 100 per cent, the interest attributable to outside
subsidiaries as required by the Corporations Act 2001. shareholders is reflected in minority interests. Minority
Citigold Corporation Limited is a company limited by shares interests in the results and equity of subsidiaries are shown
incorporate in Australia whose shares are publicly traded on separately in the consolidated income statement and
the Australian Stock Exchange. balance sheet respectively.
1. SUMMARY OF SIGNIFICANT Subsidiaries are accounted for in the parent entity financial
statements at cost.
ACCOUNTING POLICIES
The following significant accounting policies have been b) Foreign Currency Translation
adopted in the preparation and presentation of the year The results and financial position of each entity are expressed
financial report. The financial reports include separate in Australia dollars, which are the functional currency of Citigold
financial statements for Citigold Corporation Limited as an Corporation Limited and the presentation currency for the
individual entity and the consolidated entity consisting of consolidated financial statements.
Citigold Corporation Limited and its subsidiaries.
In preparing the financial statements of individual entities,
Basis of Preparation transaction in currencies other than the entity’s functional
The financial report is a general purpose financial report, currency are recorded at the rates of exchange prevailing on
which has been prepared in accordance with Australian the dates of transactions. At balance sheet date, monetary
equivalents to International Financial Reporting Standards items denominated in foreign currencies are retranslated at
(AIFRS), other authoritative pronouncements of the the rates prevailing at the balance sheet date. Non monetary
Australian Accounting Standards Board and the Corporations items carried at fair value that are denominated in foreign
Act 2001. currencies are retranslated at rates prevailing on the date
when fair value is determined. Non monetary items that are
The financial report has been prepared on the basis measured in terms of historical cost in a foreign currency
of historical cost, except for the revaluation of certain are not retranslated.
noncurrent assets and financial instruments. Cost is based
on the fair values of the consideration given in exchange c) Borrowings
for assets. Loan and borrowings are initially recognised at fair
value, net of transaction costs incurred. Borrowings are
Statement of Compliance subsequently measured at amortised cost. Any difference
The financial report complies with Australian Accounting between the proceeds (net of transaction costs) and the
Standards which include AIFRS. Compliance with AIFRS redemption amount is recognised in the income statement
ensures that the financial report complies with International over the period of the loans and borrowings using the
Financial Reporting Standards (IFRS). effective interest method.
a) Basis of consolidation d) Cash and cash equivalents
The financial report of the Citigold Corporation Group For the purposes of the Cash Flow Statement, cash and
(“the consolidated entity”) includes the consolidation of cash equivalents includes cash on hand and at bank,
Citigold Corporation Limited and its respective subsidiaries. deposits held at call with financial institutions, other short
Subsidiaries are entities controlled by the parent entity. term, highly liquid investments with maturities of three
Control exists where either parent entity has the power to months or less, that are readily convertible to known
govern the financial and operating policies of an entity so as amounts of cash and which are subject to an insignificant
to obtain benefits from its activities. Subsidiaries are included risk of changes in value and bank overdrafts.
in the consolidated financial report from the date control
commences until the date control ceases. The effects of all e) Trade receivables
transactions between entities within the Citigold Corporation Trade receivables are recognised at original invoice amounts
Group have been eliminated. less an allowance for uncollectible amounts and have
repayment terms between 2 and 90 days. Collectability of
Intercompany transactions, balances and unrealised gains trade receivables is assessed on an ongoing basis. Debts
on transactions between Group companies are eliminated. which are known to be uncollectible are written off.

f) Employee benefits because internal conditions were not met. An expense is still
1) Provision for wages and salaries, annual leave and long recognised for options that do not ultimately vest because a
service leave market condition was not met.
Provision is made for benefits accruing to employees in
g) Exploration, evaluation and development expenditure
respect of wages and salaries, annual leave and long service
Exploration and evaluation costs are written off in the year
leave when it is probable that settlement will be required and
they are incurred, apart from acquisition costs which are
they are capable of being measured reliably.
carried forward where right of tenure of the area of interest
Provisions made in respect of employee benefits expected is current and the expenditure is expected to be recouped
to be settled within 12 months are measured at their through sale or successful development and exploration
nominal values using the remuneration rate expected to of the area of interest or where exploration and evaluation
apply at the time of settlement. activities in the area of interest have not at the reporting date
reached a stage which permits a reasonable assessment
Provisions made in respect of employee benefits which are
of the existence or otherwise of economically recoverable
not expected to be settled within 12 months are measured
reserves, and active and significant operations in, or in
as the present value of the estimated future cash outflows
relation to, the area of interest are continuing.
to be made by the consolidated entity in respect of services
provided by employees up to reporting date. Development expenditure is capitalised in the year it
is incurred.
The liability for long service leave is recognised in the
provision for employee benefits and measured as the h) Impairment of assets
present value of expected future payments to be made At each reporting date, the consolidated entity reviews the
in respect of services provided by employees up to the carrying amounts of its tangible and intangible assets to
reporting date using the projected unit credit method. determine whether there is any indication that those assets
Consideration is given to expected future wage and salary have suffered an impairment loss. If any such indication
levels, experience of employee departures and periods of exists, the recoverable amount of the asset is estimated
service. Expected future payments are discounted using in order to determine the extent of the impairment loss (if
market yields at the reporting date on national government any). Where the asset does not generate cash flows that
bonds with terms to maturity and currency that match, as are independent from other assets, the consolidated entity
closely as possible, the estimated future cash flows. estimates the recoverable amount of the cash-generating
unit to which the asset belongs.
2) Share-based payment transactions
The Group provides benefits to employees (including Recoverable amount is the higher of fair value less costs
directors) of the Group in the form of share-based payment to sell and value in use. In assessing value in use, the
transactions, whereby employees render services in estimated future cash flows are discounted to their present
exchange for shares or options over shares. Currently, value using a pre-tax discount rate that reflects current
Citigold Corporation Limited has a Directors and Executive market assessments of the time value of money and the
share option plan. risks specific to the asset for which the estimates of future
cash flows have not been adjusted.
The fair value of options granted under the Citigold
Corporation Limited Directors and Executive share option i) Taxation
plan are recognised as an employee benefit expense with a Current tax
corresponding increase in equity (share option reserve). The Current tax is the expected tax payable on the taxable
fair value is measured at grant date and recognised over the income for the period, using tax rates and tax laws that
period during which the employees become unconditionally have been enacted or substantively enacted by the reporting
entitled to the options. Fair value is determined by using date. Current tax for current and prior periods is recognised
the Black-Scholes option pricing model. In determining fair as a liability (or asset) to the extent that it is unpaid
value, no account is taken of any performance conditions (or refundable).
other than those related to the share price of Citigold
Deferred Tax
Corporation Limited (“market conditions”). The cumulative
Deferred tax is accounted for using the comprehensive
expense recognised between grant date and vesting date is
balance sheet liability method in respect of temporary
adjusted to reflect the directors best estimate of the number
differences arising from differences between the carrying
of options that will ultimately vest because of internal
amount of the assets and liabilities in the financial
conditions of the options, such as the employees having to
statements and the corresponding tax base of those items.
remain with the company until vesting date, or such that
employees are required to meet production targets. No Deferred tax liabilities are recognised for all taxable
expense is recognised for options that do not ultimately vest temporary differences. Deferred tax assets are recognised

NOTES TO THE FINANCIAL STATEMENTS CONTINUED
to the extent that it is probable that sufficient taxable payments are included in the Income Statement on a
amounts will be available against which deductible straight-line basis over the lease term.
temporary differences or unused tax losses can be utilised.
l) Financial Assets
Deferred tax assets and liabilities are measured at the tax The group classifies its financial assets as available for sale
rates that are expected to apply to the period(s) when the financial assets. The classification depends on the purpose
assets and liability give rise to them are realised or settled, for which the investments were acquired. Management
based on tax rates and tax laws that have been enacted by determines the classification of its investments at initial
the reporting date. recognition.
Current and deferred tax for the period is recognised as an Available-for-sale financial assets
expense or income in the income statement, except when Available-for-sale financial assets comprise investments in
it relates to items credited or debited directly to equity, in listed and unlisted entities and any non-derivatives that are
which case the deferred tax is recognised directly in equity. not classified as any other category, and are classified as
non-current assets. After initial recognition, these investments
Tax consolidation
are measured at fair value with gains or losses recognised
The parent entity company and all its wholly-owned
as a separate component of equity (available-for-sale
Australian resident entities are part of a tax consolidated
investments revaluation reserve). Where losses have been
group under Australian taxation law. Citigold Corporation
recognised in equity and there is objective evidence that the
Limited is the head entity in the tax-consolidated group.
asset is impaired, the cumulative loss, being the difference
Goods and services tax between the acquisition cost and current fair value less
Revenues, expenses and assets are recognised net of any impairment loss previously recognised in the income
the amount of goods and services tax (GST), except for statement, is removed from equity and recognised in the
receivables and payables which are recognised inclusive income statement.
of GST.
Reversals of impairment losses on equity instruments
The net amount of GST recoverable from, or payable to, classified as available-for-sale cannot be reversed through
the taxation authority is included as part of receivables or the income statement. Reversals of impairment losses on
payables. debt instruments classified as available-for-sale can be
reversed through the income statement where the reversal
Cash flows are included in the Cash Flow Statement on a gross
relates to an increase in the fair value of the debt instrument
basis. The GST component of cash flows arising from investing
occurring after the impairment loss was recognised in the
and financing activities which is recoverable from, or payable to,
income statement.
the taxation authority is classified as operating cash flows.
The fair value of quoted investments are determined by
j) Inventories
reference to Stock Exchange quoted market bid prices at the
Inventories are valued at the lower of cost and net realisable
close of business on the balance sheet date. For investments
value. Costs are assigned to inventory on hand using the
where there is no quoted market price, fair value is determined
first in first out method. Net realisable value is the estimated
by reference to the current market value of another instrument
selling price in the ordinary course of business less the
which is substantially the same or is calculated based on
estimated costs of completion and the estimated costs
the expected cash flows of the underlying net asset base of
necessary to make the sale.
the investment.
k) Leased assets
Impairment of Financial Assets
Assets held under leases which result in entities in the
Financial assets, other than those at fair value through
consolidated entity receiving substantially all the risks and
profit and loss, are assessed for indicators of impairment
rewards of ownership of the asset (finance leases) are
at each balance sheet date. Financial assets are impaired
capitalised at the lower of the fair value of the property,
where there is objective evidence that as a result of one
plant and equipment or the estimated present value of the
or more events that occurred after initial recognition of
minimum lease payments. The corresponding finance lease
the financial asset, the estimated future cash flow of the
obligation is included within interest bearing liabilities. The
investment have been impacted.
interest element is allocated to accounting periods during
the lease term to reflect a constant rate of interest on the For equity instruments, including listed or unlisted shares,
remaining balance of the obligation for each accounting objective evidence of impairment includes information about
period. Finance leased assets are amortised at a straight significant changes with an adverse effect that have take place
line method over the estimated useful life of the asset. in technological, market, economic or legal environment in
Operating lease assets are not capitalised and rental which the issuer operates, and indicates that the cost of the

investment in the equity instrument may not be recovered. expected useful life to its estimated residual value. Leasehold
Where there is a significant or prolonged decline in the fair improvements are depreciated over the period of the lease or
value of an available for sale financial asset (which constitutes estimated useful life, whichever is the shorter, using the straight
objective evidence of impairment), the full amount of the line method.
impairment, including any amount previously charged to equity,
Depreciation rates and methods shall be reviewed at least
is recognised in the income statement.
annually and, where changed, shall be accounted for as a
In respect of available for sale equity instruments, any change in accounting estimate. Where depreciation rates
subsequent increase in fair value after an impairment loss is or methods are changed, the net written down value of
recognised directly in equity. the asset is depreciated from the date of the change in
accordance with the new depreciation rate or method.
m) Payables
Depreciation recognised in prior financial years shall not be
Trade payables and other accounts payable are recognised
changed, that is, the change in depreciation rate or method
when entities in the consolidated entity become obliged to
shall be accounted for on a ‘prospective’ basis.
make future payments resulting from the purchase of goods
and services. These amounts are unsecured and have 30- o) Provision for restoration and rehabilitation
60 day payment terms. Entities in the consolidated entity are generally required
to decommission and rehabilitate mine and processing
n) Property, plant and equipment
sites at the end of their producing lives to a condition
Development Properties are measured at fair value less
acceptable to the relevant authorities and consistent with its
accumulated depreciation. Any accumulated depreciation
environmental policies. The expected cost of any approved
at revaluation date is eliminated against the gross carrying
decommissioning or rehabilitation programme is provided
amount of the asset and the net amount is restated as
when the related environmental disturbance occurs, based
the revalued amount of the asset. A revaluation surplus is
on the interpretation of environmental and
credited to the asset revaluation reserve included within
regulatory requirements.
shareholder’s equity unless it reverses a revaluation decrease
on the same asset previously recognised in the income Where there is a change in the expected decommissioning
statement. A revaluation deficit is recognised in the income and restoration costs, an adjustment is recorded against the
statement unless it directly offsets a previous revaluation carrying value of the provision and any related asset, and
surplus on the same asset in the asset revaluation reserve. An the effect is then recognised in the Income Statement in the
annual transfer is made from the asset revaluation reserve to year incurred.
retained earnings for the depreciation charge recognised in
The provisions referred to above does not include any amounts
the income statement (net of tax) relating to the revaluation
related to remediation costs associated with unforeseen
surplus. On disposal, any revaluation reserve relating to sold
circumstances. Such costs are recognised when environmental
assets is transferred to retained earnings.
contamination as a result of oil and chemical spills, seepage or
All other plant and equipment is stated at historical cost less other unforseen events gives rise to a loss which is probable
depreciation. Historical cost includes expenditure that is and reliably estimable. The cost of other activities to prevent
directly attributable to the acquisition of the items. and control pollution is charged to the Income Statement as
incurred.
Subsequent costs are included in the asset’s carrying value
or recognised as a separate asset only when it is probable p) Contributed Equity
that a future economic benefit associated with the item Ordinary shares are classified as equity.
will flow to the Company and the cost can be measured
Costs directly attributable to the issue of new shares or
reliably. All other repairs and maintenance are charged to
options are shown as a deduction from the equity proceeds,
the income statement during the reporting period in which
net of any income tax benefit. Costs directly attributable
they are incurred.
to the issue of new shares or options associated with
Depreciation of property, plant and equipment the acquisition of a business are included as part of the
The carrying amounts of property, plant and equipment purchase consideration.
(including the original capital expenditure and any subsequent
q) Earnings per share
capital expenditure) is depreciated to its residual value over
1) Basic earnings per share
the useful economic life of the specific assets concerned or
Basic earnings per share is calculated by dividing the
the life of the mine or lease, if shorter. The rates vary between
profit attributable to members of the Group, adjusted for
4% and 40%
the after-tax effect of preference dividends on preference
Depreciation is calculated on a straight line basis so as to write shares classified as equity, by the weighted average number
off the net cost or other re-valued amount of each asset over its of ordinary shares outstanding during the financial year,

adjusted for bonus elements in ordinary shares during t) New accounting standards and interpretations
the year. The weighted average number of issued shares Certain new accounting standards and interpretations
outstanding during the financial year does not include have been published that are not mandatory for 30 June
shares issued as part of the Employee Share Option Plan 2008 reporting periods. The Company’s and consolidated
that are treated as in-substance options. entity’s assessment of the impact of these new standards
and interpretations is that the application of the standards
2) Diluted Earnings per share
and interpretation will have no material impact on the
Earnings used to calculate diluted earnings per share are
Company’s or Consolidated Entity’s financial reports.
calculated by adjusting the basic earnings by the after-tax
effect of dividends and interest associated with dilutive u) Accounting estimates and judgements
potential ordinary shares. The weighted average number of Critical Judgements
shares used is adjusted for the weighted average number of Management have made the following judgements when
shares assumed to have been issued for no consideration in applying the Group’s accounting policies:
relation to dilutive potential ordinary shares.
• Classification of shares in Gateway Mining Limited as
r) Revenue recognition Available for Sale
Sale of goods • Classification of Development Properties as Tangible
Revenue from the sale of goods is recognised when Assets and accounted for under AASB 116
the consolidated entity has transferred to the buyer the
Critical accounting estimates and assumptions
significant risks and rewards of ownership of the goods.
Details of critical accounting estimates and assumptions
Other income about the future made by management at reporting date are
Other income is recognised on a receivable basis. set out below:
s) Borrowing Costs Assumptions on the valuation of share options per note 18.
Borrowing costs are expensed unless capitalised to
Assumption on the valuation of the Development Property
qualifying assets.
per note 13.
2. OTHER INCOME
Year Ended Year Ended Year Ended Year Ended
$ $ $ $
Interest received 87,075 285,156 86,088 66,778
Equipment Hire 157,989 8,240 - -
Government Rebates 233,872 49,359 - -
Sundry Income 160,441 523,643 4,330 500,419
Brilliant Gold Reef Project
(Reimbursed expense) - - 354,540 354,545
Gain on sale of assets - 48,200 - 48,200
Total 639,377 914,598 444,973 969,942

3. EXPENSES
Other Expenses
$ $ $ $
Insurance 127,999 89,242 116,955 76,935
Office administration costs 522,531 522,109 272,426 225,488
Government Statutory Royalty Payments 340,101 - 340,101 -
Corporate administration 556,834 713,157 512,040 559,516
Tenement charges and costs 281,145 196,558 269,786 195,907
Travel expenses 484,392 298,779 142,339 140,320
Professional fees 116,092 182,647 116,093 145,010
Loss on currency transactions 372 22,217 46 17,990
Impairment of debtors - 30 354,545 2,988,348
Loss on available for sale asset 326,000 326,000 326,000 326,000
Total 2,785,466 2,350,738 2,450,331 4,675,515
Depreciation and Amortisation Expenses

$ $ $ $
Plant and Equipment 1,747,518 1,371,688 912,869 633,981
Operating Leases Expense

$ $ $ $
Operating Leases Expenses 18,207 33,570 7,241 6,997
Superannuation Expense
$ $ $ $
Superannuation Expense 337,608 167,971 - -

4. FINANCE COSTS
$ $ $ $
Royalty Payments 238,894 - 238,894 -
Interest Expense 173,636 548,159 129,353 507,215
Investment returns 339,736 - 339,736 -
Total 752,266 548,159 707,983 507,215
Royalty payments and investment returns relate to the return on $1million investment in Citigold in a prior period. They are only payable on the
first 40,000 ounces produced on the Warrior Mining Lease.
5. AUDITORS REMUNERATION
$ $ $ $
Audit and review of financial reports 41,634 33,437 41,634 33,437
Total 41,634 33,437 41,634 33,437
6. INCOME TAX EXPENSE

$ $ $ $
(a) Income tax expense
Current tax - - - -
Deferred tax asset 795,721 2,872,545 1,175,771 1,628,630

Deferred tax liability 3,598,465 4,604,367 3,598,465 4,604,367
Deferred tax allocated to equity (3,598,465) (4,604,367) (3,598,465) (4,604,367)
Total 795,721 2,872,545 1,175,771 1,628,630
(b) Reconciliation of effective tax rate

Loss from continuing operations before (3,167,423) (10,045,083) (4,788,799) (6,253,247)
tax
Prima facie tax benefit calculated at
30% on the profit/ (loss) (950,227) (3,111,325) (1,436,640) (1,973,774)
Tax effect on the amounts that are not
tax deductible in calculating income:
Share-based payments 148,816 264,456 148,816 264,456
Sundry items 5,690 (25,676) 112,053 80,688
Income Tax Benefit/(Expense) (795,721) (2,872,545) (1,175,771) (1,628,630)

Income Tax Expense Continued Consolidated The Company
$ $ $ $
(c) Reconciliation of Deferred Tax 36,247,796 32,649,331 36,247,796 32,649,331
Liability Tax effect on revaluation of
mining tenements
Total deferred tax liability (at 30%) 36,247,796 32,649,331 36,247,796 32,649,331
(d) Reconciliation of Deferred Tax

Liability/ Asset
Total deferred tax asset (19,743,518) (18,947,797) (17,483,645) (16,307,874)
Total deferred tax liability 36,247,796 32,649,331 36,247,796 32,649,331
Net Deferred Tax Liability/ (Asset) 16,504,278 13,701,534 18,764,151 16,341,457

The deferred tax liability is recognised in equity not the income statement due to the revaluation of mining tenements being credited directly to equity.
7. EARNINGS PER SHARE (EPS)

a) Basic earnings per share
The calculation of basic earnings per share at 30 June 2008 was based on the loss attributable to ordinary shareholders of
$2,371,670 (loss of $7,172,454 in 2007) and weighted average number of ordinary shares outstanding during the financial
year ended 30 June 2008 of 656,388,203 (606,878,226 in 2007), calculation as follows:
Consolidated
Year Ended Year Ended
30 June 2008 30 June 2007
$ $
Profit (loss) for the period* (2,371,670) (7,172,454)
Weighted average number of ordinary shares

Opening Balance 641,902,700 566,927,749
Effect of shares issued in July - 1,685,319
Effect of shares issued in August 113,233 9,832,717
Effect of shares issued in September - 8,274
Effect of shares issued in October - 17,366,526
Effect of shares issued in November 12,722,292 303,726
Effect of shares issued in December - 5,839,981
Effect of shares issued in February - 41,918
Effect of shares issued in March 520,086 -
Effect of shares issued in April - 2,936,621
Effect of share purchase plan May - 973,151
Effect of shares issued in May 1,129,892 962,245
Total weighted average number of ordinary shares used in calculating basic 656,388,203 606,878,226
earnings per share
Loss per share – cents (0.36) (1.18)

*all attributable to ordinary shareholders
31,260,716 options (2007 – 26,867,672 options) on issue at year end have not been taken into account in calculating diluted EPS because the
effect would be anti-dilutive.

b) Correction of error in calculating the EPS in prior year
In the prior year financial report the disclosed EPS calculation included an incorrectly calculated weighted average number
of ordinary shares. The correction of this error together with the impact of correcting the recognised tax benefit results in a
restatement of the EPS as follows
Prior year EPS 1.78
Corrected EPS 1.18
8. RECONCILIATION OF CASH FLOWS FROM OPERATING ACTIVITIES
$ $ $ $
Net Loss for the year (2,371,703) (7,172,538) (3,613,028) (4,624,617)
Adjustments for:
Depreciation 1,747,518 1,371,688 912,869 633,981
Interest Received (87,075) (285,156) (86,088) (66,778)
Executive Share Payments 496,054 881,521 496,054 881,521
Deferred Tax Benefit (795,721) (2,872,545) (1,175,771) (1,628,630)
Gain on sale of Plant, property and - (48,200) - (48,200)
equipment
Unrealised loss on investments 326,000 326,000 326,000 326,000
Unrealised Impairment of Debtors - - - 2,988,318
(Increase)/ decrease in Trade and other 676,669 1,119,742 336,996 (567,699)
receivables
(Increase)/ decrease in inventories (1,040,960) (220,742) (14,575) (46,053)
(Decrease)/ increase in trade and other (485,211) 518,862 (114,319) (296,280)
payables
Increase/ (decrease) in Employee 362,256 316,208 - -
provisions
Net Cash from operating activities (1,172,165) (6,065,161) (2,931,862) (2,448,437)
9. CASH AND CASH EQUIVALENTS

$ $ $ $
Bank Balances 1,468,329 4,271,541 1,430,926 4,706,229
Call deposits 112,971 100,000 112,971 100,000
Cash and cash equivalents in cash flow 1,581,300 4,371,541 1,543,897 4,806,229
statement
Bank balance is earning interest at a rate between 0.5% and 4.7% per annum. The call deposit is earning interest at the rate of
5.75% per annum.
Cash and cash equivalents are held with two high quality financial institutions.

10. RECEIVABLES
$ $ $ $
CURRENT
Trade Debtor 1,080 1,411 3,342,964 2,988,318
Trade Debtor impairment - - (3,342,964) (2,988,318)
Security Bonds 22,582 21,225 16,854 16,854
Prepayments 10,904 - 10,200 -
GST paid on acquisitions 118,798 865,374 19,883 344,859
Total 153,364 888,010 46,937 361,713
NON CURRENT
Receivables (wholly owned subsidiaries) - - 11,231,441 11,395,870
Total - - 11,231,441 11,395,870
All of the above receivables are held by a credit worthy party. Recoverability of the receivables is highly probable.
Analysis of Trade Debtor Impairment account
$ $ $ $
Opening Balance - - 2,988,318
Provisions for doubtful receivables - - 354,546 2,988,318
Receivables written off during the year - - - -
Closing Balance - - 3,342,864 2,988,318
11. INVENTORIES
$ $ $ $
Current
Raw Material 955,860 - 475,573 -
Consumables 763,345 660,259 - 460,999
Gold and Silver on hand 28,067 46,053 27,659 46,054
Total 1,747,272 706,312 503,232 507,053

12. INVESTMENTS (AVAILABLE FOR SALE)
$ $ $ $
Current Investment
Listed equity securities – at fair value 1,630,000 1,956,000 1,630,000 1,956,000
Equity securities are currently listed on the Australian Stock Exchange. $326,000 decline in the fair value of the listed equity
securities has been expensed.
13. PLANT, PROPERTY AND EQUIPMENT
$ $ $ $
Plant, Property and Equipment
Exploration, Evaluation and

Development expenditure
Costs brought forward in respect of areas 46,872,430 39,306,247 46,872,430 39,306,247
of interest:
Costs incurred in period 12,014,800 7,452,427 12,014,800 7,452,427
Capitalised Borrowing Costs 107,774 113,756 107,774 113,756
Less: Accumulated amortisation -1,142,988 -1,142,988 -1,142,988 -1,142,988
Total exploration, evaluation and 57,852,016 45,729,442 57,852,016 45,729,442
development expenditure
Development Property – at
independent valuation
Independent valuation brought forward 126,483,017 111,135,127 121,475,727 106,127,837
Net revaluation increment 11,994,982 15,347,890 11,994,982 15,347,890
Less: Accumulated amortisation - - - -
Total development property 138,477,999 126,483,017 133,470,709 121,475,727
Freehold Land and Buildings

– at deemed cost
Carrying amount at beginning of year 518,548 518,548 367,500 367,500
Carrying amount at end of year 518,548 518,548 367,500 367,500
Plant and Equipment

At Cost 18,446,860 14,735,198 9,687,120 6,862,172
Less: accumulated depreciation -6,578,622 -4,831,102 -2,534,644 -1,621,774
Carrying amount at end of year 11,868,238 9,904,096 7,152,476 5,240,398
Total Carrying Value 208,716,801 182,635,103 198,842,701 172,813,065

Reconciliation of Plant and Equipment:
$ $ $ $
Plant and Equipment
Carrying amount at beginning of year 9,904,096 5,995,508 5,240,398 5,952,554
Net additions during year 3,711,660 5,280,276 2,824,947 -78,175
Less: depreciation charged in year -1,747,518 -1,371,688 -912,869 -633,981
Carrying amount at end of year 11,868,238 9,904,096 7,152,476 5,240,398
Leased Plant and Machinery

Entities in the consolidated entity lease production equipment under a number of hire purchase and finance lease
agreements. At the end of each lease the entity has the option to purchase the equipment at a beneficial price. For the
additions in the group during the period, an amount of $2,768,595 (2007: $3,122,992) was in relation to assets under hire
purchase and finance lease. At 30 June 2008, the net carrying amount of leased plant and machinery was $7,175,641(2007:
$5,191,697). The lease equipment secures lease obligations.
Exploration, Evaluation and Development expenditure
The recoverability of the carrying amount of the exploration and evaluation assets is dependent on successful development
and commercial exploitation, or alternatively, sale of the respective areas of interest.
Independent Valuation
The valuation was conducted by I. H. Sandercock, BEng(Mining), MAusIMM (CP), MSME, MMICA, of Sandercock Associates
Pty Limited, consulting mining engineers and independent valuers of mining assets. Mr Sandercock is a mining engineer with
over 33 years experience in the area of mine operations and mine consulting. Sandercock Associates Pty Limited is a mineral
industry consulting group, specialising in independent due diligence reviews, valuations and technical audits of resources
and reserves, mining and processing operation, project feasibility studies and project management. He has no vested interest
in Citigold or the outcome of the valuation, and was paid a once-only, per diem fee for the valuation at normal industry rates.
The key assumptions used to derive this valuation are as follows:
Discount rate 12.5%
Gold Price AUD 750
Plant Recovery 95%
Grams per tonne (extracted) 8.74 to 9.13
Grams per tonne post ore sorting 9.13 to 17.90
Mine Life 15 years
Ounces produced (per annum) 50,009 to 310,490
14. OTHER NON-CURRENT ASSETS
$ $ $ $
Security deposit against restoration costs 529,181 530,204 525,085 526,108
lodged with the Department of Mines and
Energy
Security deposits 253,850 194,850 253,850 194,850
Total 783,031 725,054 778,935 720,958
Security deposits are held with a credit worthy third party. Recoverability of the deposit is highly probable.

15. OTHER FINANCIAL ASSETS
$ $ $ $
Investment in subsidiary companies at - - 10,697,477 10,697,477
costs
Total - - 10,697,477 10,697,477
The above carrying amount of the financial assets approximates fair value.
16. PAYABLES
$ $ $ $
Trade creditors 1,626,213 1,497,633 134,917 328,974
Annual leave liability 953,103 596,861 - -
Sundry creditors and accrued expenses 438,273 1,020,797 143,965 (28,842)
Total 3,017,589 3,115,291 278,882 300,132
17. INTEREST BEARING LIABILITIES

$ $ $ $
Current
Unsecured Liabilities
Loan From Unrelated party 1,001,643 - 1,001,643 -
Charge Account Liabilities 387 4,636 387 4,636
1,002,030 4,636 1,002,030 4,636
Secured Liabilities
Finance Lease Liabilities 2,292,017 1,699,936 2,176,261 1,428,986
Total 3,294,047 1,704,572 3,178,291 1,433,622
Non Current
Secured Liabilities
Finance Lease Liabilities 3,472,037 3,019,473 3,270,767 2,735,955
Loan from Unrelated Party

The loan is recallable in 3 months and interest is calculated at 12% per annum.

18. SHARE BASED PAYMENTS
Employees/ Directors
Citigold Corporation Limited has a Directors and Executive share option plan to provide an incentive for future performance
and retention of key personnel.
Each share option converts to one ordinary share of Citigold Corporation Limited on exercise. No amounts are paid or payable
by the recipient on receipt of the option. The options may be exercised at any time from the date of vesting to the date of
their expiry.
The general terms and conditions of options affecting remuneration in this or future reporting periods are as follows:
(All options have been issued on the same terms and conditions as the Director’s options approved at the 2006 Annual
General Meeting.)
The options will have an exercise price of $0.50, vest over a period of two years, be subject to performance conditions being
achieved and expire 3 years after vesting. The performance conditions are listed below.
Tranche Performance Condition Required Date Number of Options
1 Nil N/A 30%
2 Share Price of $0.73 or production rate of 15 December 2007 35%
50,000 oz p.a.
3 Share Price of $1.00 or production rate of 15 December 2008 35%
100,000 oz p.a.
The following shared based payment arrangements were in existence during the current and comparative reporting periods:
Option Series Number Grant Date Expiry Date Exercise Price Fair Value at grant
date
1) Issued 27 November 2006 4,125,000 27/11/2006 27-Nov-09 $0.50 0.03
2) Issued 27 November 2006 4,812,500 27/11/2006 10-Apr-11 $0.50 0.07
3) Issued 27 November 2006 4,812,500 27/11/2006 27-Nov-11 $0.50 0.09
4) Issued 6 August 2007 1,500,000 6/08/2007 27-Nov-09 $0.50 0.11
5) Issued 6 August 2007 1,750,000 6/08/2007 10-Apr-11 $0.50 0.13
6) Issued 6 August 2007 1,750,000 6/08/2007 27-Nov-11 $0.50 0.16
The following reconciles the outstanding share options granted under the Director/Employees share option plan:
2008 2007
Number of options Number of options
Balance at beginning of the financial year 13,750,000 -
Granted during the financial year 5,000,000 13,750,000
Forfeited during the financial year - -
Exercised during the financial year - -
Balance at end of the financial year 18,750,000 13,750,000
Exercisable at the end of financial year 12,187,500 4,125,000
No share options have been exercised under the Director/Employees share option plan during the financial year.
Fair Value of option
The fair value at grant date was determined by using the Black-Scholes option pricing model that takes into account the
share price at grant date, exercise price, expected volatility, option life and the risk free rate. The inputs used for the Black-
Scholes option pricing model for options granted during the year were as follows:

FY 2008 FY 2007
Grant Date 6/08/2007 27/11/2006
Share price at grant date $0.44 $0.47
Exercise price $0.50 $0.50
Expected volatility 60.11% 46.98%
Risk Free rate 6.36% 5.75%
The Options are granted for no consideration. Expected volatility was determined based on the historic volatility (based on the
remaining life of the option), adjusted for any expected changes to future volatility based on publicly available information.
Creditors/ suppliers
No share payments were made to any creditor or supplier of the consolidated entity during the period.
19. PROVISIONS
$ $ $ $
Non Current Provisions
Employee benefits 29,442 23,428 - -
Restoration and rehabilitation 507,804 507,804 507,804 507,804
Deferred Income Tax 16,504,278 13,701,534 18,764,151 16,341,457
17,041,524 14,232,766 19,271,955 16,849,261
Restoration, rehabilitation and environmental
The provision for restoration, rehabilitation and environmental work has been classified as a non-current provision as the obligation
to perform such work will only arise on the cessation of mining. The provision, which has not been discounted to present value, is
fully funded by a cash deposit of an equal or greater amount held by the Queensland Department of Mines and Energy.
20. ISSUED CAPITAL
Reconciliation of movement in issued capital of the parent entity
Movements in Issued Capital 2008:
Date Details Number of Shares Issue Price $ $
Balance as at 1 July 2007 641,902,700 112,302,064
23-Aug-07 Exercise of options 25,000 0.15 3,750.00
27-Nov-07 Share Purchase Plan 19,197,091 0.39 7,486,523.78
27-Nov-07 Share Purchase Plan 959,855 -
27-Nov-07 Share placement 1,222,222 0.45 549,999.90
27-Nov-07 Exercise of options 119,150 0.15 17,872.50
17-Mar-08 Exercise of options 1,776,667 0.15 266,500.05
17-Mar-08 Exercise of options 31,250 0.32 10,000.00
30-May-08 Share placement 13,303,571 0.28 3,724,999.88
Transaction costs on share issue -39,600.00
Total movement during the year 36,742,274 12,055,786

Balance for the year 678,644,974 124,357,850

Movements in Issued Capital 2007:
Balance at 1 July 2006 566,927,749 87,521,310
3-Jul-06 Conversion of options 1,287,500 0.15 193,125
21-Jul-06 Conversion of options 433,333 0.15 65,000
3-Aug-06 Ordinary share issue 10,395,875 0.32 3,326,680
17-Aug-06 Conversion of options 466,584 0.15 69,989
1-Sep-06 Conversion of notes 10,000 0.40 4,000
5-Oct-06 Conversion of options 100,000 0.15 15,000
5-Oct-06 Ordinary share issue 23,552,171 0.37 8,714,303
5-Oct-06 Commission for Share Placement (62,139)
1-Nov-06 Conversion of options 160,000 0.15 24,000
1-Nov-06 Conversion of options 300,000 0.32 96,000
5-Dec-06 Conversion of options 2,246,665 0.15 337,000
5-Dec-06 Conversion of options 25,000 0.32 8,000
5-Dec-06 Conversion of options 16,667 0.37 6,167
8-Dec-06 Conversion of options 8,127,001 0.15 1,219,050
14-Feb-07 Conversion of notes 112,500 0.40 45,000
2-Apr-07 Conversion of notes 3,843,782 0.40 1,537,513
2-Apr-07 Ordinary share issue 7,399,577 0.43 3,181,818
2-Apr-07 Ordinary share issue 739,957 - -
2-Apr-07 Conversion of options 50,000 0.15 7,500
2-Apr-07 Conversion of options 10,128 0.37 3,748
16-May-07 Ordinary share issue 7,317,073 0.41 3,000,000
16-May-07 Ordinary share issue 487,804 - -
16-May-07 Ordinary share issue 7,400,000 0.41 3,034,000
16-May-07 Ordinary share issue 493,334 - -
Transaction costs on share issue (45,000)
Total movements for the year 74,974,951 24,780,754
Balance as at 30 June 2007 641,902,700 112,302,064
Share options
The terms, amount and number of options are as follows:
Number of options for year ended 30 June 2008:
Citigold Corporation Limited 4,761,220 $0.32 20 July 2008
Citigold Corporation Limited 6,296,917 $0.37 19 September 2008
Citigold Corporation Limited 122,222 $0.45 20 November 2009
Citigold Corporation Limited 5,625,000 $0.50 27 November 2009
Citigold Corporation Limited 1,330,357 $0.37 14 May 2010
Citigold Corporation Limited 6,562,500 $0.50 10 April 2011
Balance as at 30 June 2008 31,260,716

Number of options for year ended 30 June 2007:
Citigold Corporation Limited 1,920,817 $0.15 17 March 2008
Citigold Corporation Limited 4,872,938 $0.32 20 July 2008
Citigold Corporation Limited 6,323,917 $0.37 19 September 2008
Citigold Corporation Limited 4,812,500 $0.50 10 April 2011
Balance as at 30 June 2007 26,867,672

Movement in share options
The movement in the company’s share options during the year ended 30 June 2008 were as follows:

6-Aug-07 Issue of options 5,000,000 - -
23-Aug-07 Exercise of options (25,000) 0.15 3,750
20-Nov-07 Issue of options 122,222 - -
27-Nov-07 Exercise of options (119,150) 0.15 17,873
17-Mar-08 Exercise of options (1,776,667) 0.15 266,500
17-Mar-08 Exercise of options (31,250) 0.32 10,000
14-May-08 Issue of options 1,330,357 - -
Total Movement 4,393,044 333,862

Ordinary shares
Ordinary shareholders are entitled to participate in dividends and the proceeds on winding up of the company in proportion to
the number of and amounts paid on the shares held. Every ordinary shareholder present at a meeting in person or by proxy is
entitled to one vote on a show of hands or by poll.
Capital Risk Management
The Group considers its capital to comprise its ordinary share capital plus reserves.
In managing its capital, the Group’s primary objective is to ensure its continued ability to provide a return for its equity
shareholders through capital growth. In order to achieve this objective, the Group seeks to maintain a gearing ratio that
balances risks and returns at an acceptable level and also to maintain a sufficient funding base to enable the Group to meet
its working capital and strategic investment needs. In making decisions to adjust its capital structure to achieve these aims,
either through its new share issues, or the reduction of debt, the Group considers not only its short-term position but also its
long-term operational and strategic objectives.
It is the Group’s policy to maintain its gearing ratio within the range of 0 – 15% (2007: 0- 15%). The Group’s gearing ratio at
the balance sheet date is shown below:

$ $ $ $
Gearing Ratio:
Net debt 6,766,083 4,724,045 6,449,058 4,169,577
Total equity 187,786,470 169,209,919 199,274,625 181,939,395
Total capital 194,552,553 173,933,964 205,723,683 186,108,972
Gearing Ratio 3.48% 2.72% 3.13% 2.24%
The increase in gearing has been brought about by the Board’s decision to take on additional debt finance to fund the
acquisition of new mining machinery during the year; the Group intends to maintain these gearing levels going forward.
There have been no other significant changes to the Group’s capital management objectives, policies and processes in the
year nor has there been any change in what the Group considers to be its capital.
21. RESERVES
$ $ $ $
Composition:
Asset Revaluation Reserve 84,578,189 76,181,771 84,578,189 76,181,771
Capital Profits Reserve 571,430 571,430 - -
Share Based Remuneration Reserve 1,377,575 881,521 1,377,575 881,521
Available for sale assets revaluation - - - -
Total 86,527,192 77,634,722 85,955,764 77,063,292
Asset Revaluation Reserve

Balance at beginning of the year 76,181,771 65,438,248 76,181,771 65,438,248
Revaluation (decrease)/ increase 8,396,517 10,743,523 8,396,517 10,743,523
during the year
Balance at end of Year 84,578,189 76,181,771 84,578,189 76,181,771
Capital Profits Reserve

Balance at beginning of the year 571,430 571,430 - -
Revaluation (decrease)/ increase - - -
during the year
Balance at end of Year 571,430 571,430 - -
Share Based Remuneration Reserve

Balance at beginning of the year 881,521 - 881,521 -
Revaluation (decrease)/ increase 496,054 881,521 496,054 881,521
during the year
Balance at end of Year 1,377,575 881,521 1,377,575 881,521

Reserves Continued Consolidated The Company
$ $ $ $
Available for Sale Reserve
Balance at beginning of the year - (326,000) - (326,000)
Revaluation (decrease)/ increase - 326,000 - 326,000
during the year
Balance at end of Year - - - -
Asset Revaluation
The asset revaluation reserve contains net revaluation increments and decrements arising on the revaluation of
non-current assets.
Capital Profits
Upon disposal of revalued assets, and increments standing to the credit of the asset revaluation reserve is transferred to the
capital profits reserve.
Available for Sale Reserve
The available for sale reserve contains the gain or loss on the available for sale financial assets. Amounts are removed from
the reserve and recycled into profit or loss when the available for sale asset is derecognised or impaired.
22. ACCUMULATED LOSSES
$ $ $ $
Accumulated losses at beginning of the (20,796,206) (13,297,582) (7,425,961) (11,504,788)
year
Change in Accounting Policy - - - 9,029,444
Net Profit/ (loss) attributable to members (2,371,672) (7,172,624) (3,613,028) (4,624,617)
of the parent entity for the year
Net changes in impairment from prior year - (326,000) - (326,000)
Total (23,167,878) (20,796,206) (11,038,989) (7,425,961)
23. CHANGE IN ACCOUNTING POLICY

In the prior period the Company has changed the way it recognised certain inter company transactions. It is considered this
amendment resulted in the financial report providing reliable and more relevant information about the financial performance,
financial position and cash flows of the Company.
The following equity accounts were impacted by the change in policy on the Company’s financial statements for the year
ended 30 June 2007
Reserves – impact was a reduction in reserves of $3,828,845
Accumulated losses – the impact reduced the accumulated losses by $9,029,442
The net impact was an overall reduction in equity in the Company’s financial statements of $5,200,597
This change in accounting policy has no impact on the consolidated financial report.

24. PRIOR PERIOD ERRORS
a) Application of AASB 112 Income Taxes
On adoption of IFRS in 2005 the Group should have recognised a deferred tax liability in respect of revaluations of
Development Property in accordance with AASB112 Income Taxes. Further in prior periods the Group has recognised
its deferred tax asset through equity in the Asset Revaluation Reserve. The Group was advised that this is the incorrect
treatment under AASB 112. The correct treatment is to recognise a deferred tax liability in respect to a revalued asset and to
recognise a deferred tax asset to the extent that they can be offset against the deferred tax liability.
The following equity accounts have been impacted by the change in policy on the consolidated and company financial
statements for the year ended 30 June 2008.
Further impact of correcting the error are as follows:
Consolidated Entity
Total Liabilities
Previously reported 13,708,910 12,852,274
Correction of error 8,363,192 8,466,696
Restated total liabilities 22,072,102 21,318,970
Total Equity
Correction of error -8,363,191 -7,466,696
Restated total equity 169,209,919 181,939,395
Asset revaluation reserve

Correction of error -39,335,813 -31,970,550
Accumulated losses
Previously reported -51,768,829 -31,929,815
Restated total equity -20,796,206 -7,425,961
Income Tax benefit

Previously reported 0 0
b) EPS calculation
In the prior year financial report the disclosed EPS calculation included an incorrectly calculated weighted average number
of ordinary shares. The correction of this error together with the impact of correcting the recognised tax benefit results in a
restatement of the EPS as follows
Prior year EPS 1.78
Corrected EPS 1.18
25. FINANCIAL RISK MANAGEMENT
(a) General objectives, policies and processes
In common with all other businesses, the Group is exposed to risks that arise from its use of financial instruments. This note
describes the Group’s objectives, policies and processes for managing those risks and the methods used to measure them.
Further quantitative information in respect of these risks is presented throughout these financial statements.

There have been no substantive changes in the Group’s exposure to financial instrument risks, its objectives, policies and processes
for managing those risks or the methods used to measure them from previous periods unless otherwise stated in this note.
These are the principal financial instruments from which financial instrument risk arises:
• Trade receivables • Cash at bank • Trade and other payables
Financial Instruments Consolidated The Company

$ $ $ $
Cash 1,581,300 4,371,541 1,543,897 4,806,229
Trade debtor 10 1,080 1,411 3,342,964 2,988,318
Trade debtor impairment 10 - - (3,342,864) (2,988,318)
Security bonds 10 22,583 21,225 16,854 16,854
Prepayments (if these are refundable) 10 10,904 - 10,200 -
Receivables 10 - - 11,231,441 11,395,870
Deposits (if refundable) 14 783,031 725,054 778,935 720,958
Loans and Receivables (Cash and 2,398,898 5,119,231 13,581,427 16,939,911
Cash equivalents)
Available for sale financial assets 12 1,630,000 1,956,000 1,630,000 1,956,000
Trade creditors 16 1,626,213 1,497,633 134,917 328,974
Sundry creditors and accrued 16 2,000 - 2,000 -
expenses (exclude accrued expenses
and any statutory amounts such as
PAYG/Superannuation)
Loan from unrelated party 17 1,001,643 - 1,001,643 -
Charge account liabilities 17 387 4,636 387 4,636
Finance lease liability – current 17 2,292,017 1,699,936 2,176,261 1,428,986
Finance lease liability – non current 17 3,472,037 3,019,473 3,270,767 2,735,955
Financial liabilities at amortised cost 8,394,297 6,221,678 6,585,975 4,498,551
Categories of financial Instruments Consolidated The Company

$ $ $ $
Loans and Receivables (Including cash and 2,398,898 5,119,231 13,581,427 16,939,911
cash equivalents)
Available for sale financial assets 1,630,000 1,956,000 1,630,000 1,956,000
Financial liabilities at amortised cost -8,394,297 -6,221,678 -6,585,975 -4,498,551
Total -4,365,399 853,553 8,625,452 14,397,360

b) Credit Risk
Credit risk is the risk that the other party to a financial instrument will fail to discharge their obligation resulting in the Group
incurring a financial loss. This usually occurs when debtors fail to settle their obligations owing to the Group.
The maximum exposure to credit risk at balance date is as follows:
$ $ $ $
Loans and receivables 28,938 888,010 11,753,952 11,757,583
Cash and Cash Equivalents 1,581,300 4,371,541 1,543,897 4,806,229
1,610,238 5,259,551 13,297,849 16,563,812
Included in loans and receivables is a significant customer, located in Australia, that accounts for 100% of trade receivables
at 30 June 2008. (2007: 100%).
The maximum exposure to credit risk at balance date by country is as follows:
$ $ $ $
Australia 2,210,238 5,259,551 9,601,599 13,801,191
United Arab Emirates - - 3,696,250 2,762,621
2,210,238 5,259,511 13,297,849 16,563,812
c) Liquidity risk
Liquidity risk is the risk that the Group may encounter difficulties raising funds to meet commitments associated with
financial instruments, e.g. borrowing repayments. It is the policy of the Board of Directors that the Treasury maintains
adequate committed credit facilities and the ability to close-out market positions.
Financing arrangements
There were no financing facilities available at balance date:
Carrying Contractual < 6 mths 6- 12 mths 1-3 years > 3 years
Amount Cash flows
$ $ $ $ $ $
MATURITY ANALYSIS – GROUP 2008
Financial Liabilities
Trade Creditors 1,626,213 1,626,213 1,626,213 - - -
Finance lease liabilities 5,764,054 6,847,393 1,405,493 1,356,640 3,834,211 251,049
Term Loan – Pal Group 1,002,030 1,002,030 1,002,030 - - -
TOTAL 8,392,297 9,475,636 4,033,736 1,356,640 3,834,211 251,049
Financial Assets
Trade debtors 1,080 1,080 1,080 - - -
Loans to related - - - - - -
parties
TOTAL 153,364 153,364 153,364 - - -

Financing Carrying Contractual < 6 mths 6- 12 mths 1-3 years > 3 years
Arrangements Amount Cash flows
Continued $ $ $ $ $ $
MATURITY ANALYSIS – GROUP 2007
Finance lease liabilities 4,719,409 5,425,840 986,693 955,665 2,956,926 526,556

TOTAL 6,217,042 6,923,473 2,484,326 955,665 2,956,926 526,556
Financial Assets
Trade debtors 1,411 1,411 1,411 - - -
Other receivables 886,599 886,599 886,599 - - -
Loans to related - - - - - -
parties
TOTAL 888,010 888,010 888,010 - - -
MATURITY ANALYSIS – COMPANY 2008

Finance lease liabilities 5,447,028 6,462,968 1,319,072 1,304,406 3,621,241 218,249
TOTAL 5,581,945 6,597,885 1,453,989 1,304,406 3,621,241 218,249
Financial Assets
Loans to related 11,231,441 11,231,441 - - - 11,231,441
parties
TOTAL 11,278,378 11,278,378 46,937 - - 11,231,441
MATURITY ANALYSIS – COMPANY 2007

Trade Creditors 328,974 328,974 328,974 - - -
Finance lease liabilities 4,064,941 4,766,242 830,216 799,189 2,742,316 394,521
TOTAL 4,393,915 5,095,216 1,159,190 799,189 2,742,316 394,521
Financial Assets
Trade debtors - - - - - -
Loans to related 11,395,870 11,395,870 - - - 11,395,870
parties
TOTAL 11,757,583 11,757,583 361,713 - - 11,395,870
d) Market Risk
Market risk arises from the use of foreign currency financial instruments. It is a risk that the fair value or future cash flows of
a financial instrument will fluctuate because of changes in foreign exchange rates (currency risk).
e) Interest rate risk
All loans have fixed interest rates, cash and cash equivalents are invested at variable interest rates subjecting the interest
amount received to interest rate risk. The balance in cash and cash equivalents will not drop regardless of the interest rate
therefore there is no down side interest rate risk.

Sensitivity Analysis Carrying Amount +1% -1%
AUD Profit Profit
$ $ $
Consolidated – 2008
Cash and cash equivalents 1,581,300 15,813 -
Tax charge of 30% - (4,744) -
After tax increase/ (decrease) 11,069 -
The above analysis assumes all other variables remain constant.
The same analysis was performed for the period ended 30 June 2007.
Tax charge of 30% - (13,114) -
Entity – 2008
Tax charge of 30% - (4,631) -
Entity – 2007
Tax charge of 30% - (1,441) -
f) Other price risk

The Group invests surplus cash in publicly traded shares and in doing so it exposes itself to the fluctuations in price that are
inherent in such a market. The group monitors the performance of the listed equity securities on a continuous basis
The Group’s exposure to equity price risk is as follows:
2008 ASX
Listed Securities $1,630,000
The group’s most significant holding is in the Exploration sector which accounts for 100% of its total investments in ASX listed shares.
2007 ASX
Listed Securities $1,956,000
The parent entity’s exposure to equity price risk is as follows:
2008 ASX
Listed Security $1,630,000
2007 ASX
Listed Security $1,956,000
The parent entity’s most significant holding is in the Exploration sector which accounts for 100% of its total investments in
ASX listed shares.

Sensitivity Analysis Carrying Amount +1% -1%
AUD Profit Profit
$ $ $
Listed securities on ASX 1,630,000 163,000 (163,000)
Tax charge of 30% - (48,900) 48,900
After tax increase/ (decrease) 114,100 (114,100)
Tax charge of 30% - (58,680) 58,680
Entity – 2008
Tax charge of 30% - (48,900) 48,900
Entity – 2007
Tax charge of 30% - (58,680) 58,680
After tax increase/ (decrease) - 136,920 (136,920)
26. COMMITMENTS
Finance Leases Liabilities
$ $ $ $
Finance Lease Commitments Payable
• not later than one year 2,762,133 1,942,357 2,623,478 1,629,405
• later than one year but not later than 4,085,260 3,483,483 3,839,490 3,136,837
five years
Minimum lease payments 6,847,393 5,425,840 6,462,968 4,766,242
Less future finance charges (1,083,339) (820,064) (1,015,940) (714,935)
Total lease liability 5,764,054 4,605,776 5,447,028 4,051,308
The finance leases commitments are for finance leases over mining machinery, office equipment, motor vehicles and
portable items of plant. At the end of each lease, the entity has the option to purchase the equipment at a beneficial price.
The leases are on normal commercial terms and conditions and are for terms of between one and five years. The group’s
obligations under the leases are secured by the lessor’s title to the leased assets.

Exploration expenditure commitments
The consolidated entity and the Company have the following discretionary exploration expenditure commitments in respect of
exploration and mining tenements to maintain current rights of tenure. These commitments may be reduced by renegotiation
upon renewal of the tenements, or by relinquishment of tenure.
$ $ $ $
Exploration expenditure commitments payable:
• not later than one year 100,000 267,000 100,000 267,000
• later than one year but not later than 281,706 820,553 281,706 820,553
five years
Total 381,706 1,087,553 381,706 1,087,553
Operating lease commitments

Operating Lease Commitments in respect of non-cancellable operating leases contracted for but not capitalised in the
financial statements
$ $ $ $
Operating lease commitments payable
• not later than one year 14,658 22,044 14,658 22,044
• later than one year but not later than 19,934 33,897 19,934 33,897
five years
Total 34,592 55,941 34,592 55,941
The general terms of the operating lease commitments disclosed above are: Non-cancellable leases for rental of office
equipment with initial terms of between 3 and 5 years. Rentals are payable monthly. The agreements do not contain
escalation clauses. Options exist to renew the leases annually at the end of the lease term.
27. CONSOLIDATED ENTITIES
Country of Ownership Ownership Date of
Incorporation Interest Interest Incorporation
2008 2007
Charters Towers Gold Pty Ltd Australia 100 100 5 Oct 1995
Charters Towers Mines Pty Ltd Australia 91.5 91.5 14 Mar 1984
Charters Technology Pty Ltd Australia 100 100 13 Jan 2000
Gold Management Pty Ltd Australia 100 100 28 Jan 2000
Gold Projects Pty Ltd Australia 100 100 25 Jan 2000
Great Mines Limited Australia 100 100 19 Mar 1984
Deeprock Mining Pty Limited Australia 81.2 81.2 18 Jun 1984
Citigold FZCO UAE 100 100 11 Dec 2002
Queensland Gold Mines Pty Limited Australia 100 100 27 Feb 2006

28. FINANCIAL INSTRUMENTS
Exposure to credit, interest rate risk and currency risk arise in the normal course of the consolidated entity’s business. No
hedging of this risk is undertaken by the consolidated entity.
Fair Values
$ $ $ $
Equity Securities available for sale 1,630,000 1,630,000 1,956,000 1,956,000
Trade and other receivables 628,938 628,938 1,174,323 1,174,323
Cash and cash equivalents 1,581,300 1,581,300 4,371,541 4,371,541
Trade and other payables (2,064,486) (2,064,486) (1,496,049) (1,496,049)
Non Current Assets (note 14) 783,031 725,054 778,935 720,958
Non Current interest bearing assets (note 17) 3,294,047 1,704,572 3,178,291 1,433,622
Securities
Fair value is based on quoted market prices at the balance sheet date without any deduction for transaction costs.
29. RELATED PARTY TRANSACTIONS
(a) Parent entity
The ultimate parent entity within the Consolidated Group is Citigold Corporation Limited.
(b) Subsidiaries
Interests in subsidiaries are set out in note 27.
(c) Key management personnel
Disclosures relating to key management personnel are set out in note 34.
(d) Loans to related parties
$ $ $ $
Loans to subsidiaries
Opening balance - - 11,395,870 7,482,640

Loans advance - - 24,934,565 3,913,230
Loan repayments received - - (25,098,995) -
Closing balance - - 11,231,440 11,395,870
Citigold Corporation Limited has provided an unsecured, interest free loan to its wholly owned subsidiaries. An impairment
assessment is undertaken each financial year by examining the financial position of the subsidiary and the market in which
the subsidiaries operate to determine whether there is objective evidence that the loan to each subsidiary is impaired. When
such objective evidence exists, the Company recognises an allowance for the impairment.

30. SUBSEQUENT EVENTS
On 24 September 2008 the Company announced the placement of up to 18% of the outstanding shares to the Dubai Group
for $35 million. No other matters or circumstances have arisen since the end of the year that have significantly affected,
or may significantly affect, the operations, results of operations or state of affairs of the consolidated entity in subsequent
accounting periods.
31. GOING CONCERN
The financial statements have been prepared on a going concern basis. As in previous financial periods, the ability of the
consolidated entity to meets its expenditure commitments and progress with its development and exploration program is
dependent upon production and continued capital raising.
32. CONTINGENT LIABILITIES
During a prior accounting period, the Company entered into an agreement with the trustee of a related unit trust to pay future
royalties from gold production. The consideration received for the royalties payable in the future has been recorded as revenue.
The amount and timing of the payments by the entity is contingent on a number of future events and circumstances, such
as the future price of gold and the timing and amount of gold production. The effect of these circumstances cannot be
accurately predicted at the date of signing these financial statements. In general terms the minimum amount payable under
the agreement is nil and the maximum amount payable is 1.4% of the value of 40,000 ounces of gold plus one million dollars
($1,000,000). The one million dollars is currently being repaid at the rate of $25 per ounce of gold produced.
33. SEGMENT REPORTING
The consolidated entity operates in the mining exploration industry. Details of the mining exploration activities are set
out in the review of operations. Each company within the consolidated entity operates within the one geographic area,
being Australia.
34. KEY MANAGEMENT PERSONNEL DISCLOSURES
a) Directors
The following persons were Directors of Citigold Corporation Ltd during the financial year:
• J J Foley Non-executive Chairman
• M J Lynch Managing Director and Chief Executive Officer
• T V Willsteed Non-executive Director
(b) Other Key Management Personnel
The following persons also have authority and responsibility for planning, directing and controlling the activities of the
Company, directly or indirectly, during the financial year:
• M B Martin Company Secretary and Chief Financial Officer
• C A J Towsey Chief Operating Officer
• G Foord General Manager Engineering
• J F Lynch Site Senior Executive
• R J Morrison Exploration Manager
All the above persons were also Key Management Personnel/ directors during the year ended 30 June 2007 and are all
employees of the Group.

(c) Key management personnel compensation
$ $ $ $
Short term employee benefits 1,725,075 1,312,846 1,725,075 1,312,846
Post employment benefits 93,895 73,502 93,895 73,502
Other long term benefits - - - -
Termination benefits - - - -
Share based payments 496,054 881,521 496,054 881,521
2,315,024 2,267,869 2,315,024 2,267,869
Further information regarding the identity of key management personnel and their compensation can be found in the Audited
Remuneration Report contained in the Directors’ Report on pages 13 to 17 of this annual report.
(d) Key management personnel equity interest
Shares
The number of shares held in the Company during the financial year by each Director and each of the Key Management
Personnel of the Group, including related entities, are set out below:
Balance at the start Exercise of options Other net changes Balance at the end of
of the year during the year the year
2008
Directors
J J Foley 4,582,988 - 16,386 4,599,374
M J Lynch 86,787,621 - 13,462 86,801,083
T V Willsteed - - - -
C A J Towsey 436,554 31,250 (26,076) 441,728
G Foord 551,016 - (265,000) 286,016
J F Lynch 86,787,621 - 13,462 86,801,083
R J Morrison 133,008 - - 133,008
M B Martin - - - -
2007
Directors
J J Foley 4,800,964 - (217,976) 4,582,988
M J Lynch 86,774,613 - 13,008 86,787,621
T V Willsteed - - - -
C A J Towsey 365,000 - 71,554 436,554
G Foord 135,000 320,000 96,016 551,016
J F Lynch 86,774,613 - 13,008 86,787,621
R J Morrison 325,197 200,000 (392,189) 133,008
M B Martin - - - -

Options
(a) Details of options provided as remuneration and shares issued on the exercise of such options, together with terms and
conditions of the options can be found in the detailed remuneration disclosures to the Directors Report (item 11).
(b) The number of options held in the Company during the financial year by each Director and each of the Key Management
Personnel of the Group, including related entities, are set out below:
Balance at the Exercise of Granted during Other changes Balance at the Vested and
start of the options the year as during the year end of the year exercisable at
year remuneration the end of the
year
2008
Directors
J J Foley 3,000,000 - - - 3,000,000 1,950,000
M J Lynch 10,000,000 - - - 10,000,000 6,500,000
T V Willsteed 750,000 - - - 750,000 487,500

C A J Towsey 62,000 (31,250) 1,000,000 - 1,030,750 680,750
G Foord 65,000 - 1,000,000 - 1,065,000 715,000
J F Lynch - - 1,000,000 - 1,000,000 650,000
R J Morrison - - 1,000,000 - 1,000,000 650,000
M B Martin - - 1,000,000 - 1,000,000 650,000
2007
Directors
J J Foley - - 3,000,000 - 3,000,000 900,000
M J Lynch - - 10,000,000 - 10,000,000 3,000,000
T V Willsteed - - 750,000 - 750,000 225,000

C A J Towsey - - - 62,000 62,000 62,000
G Foord 320,000 (320,000) - 65,000 65,000 65,000
J F Lynch - - - - - -
R J Morrison 200,000 (200,000) - - - -
M B Martin - - - - - -
LOANS TO DIRECTORS OR KEY MANAGEMENT PERSONNEL

No loans were granted to any directors or other key management personnel of the Company and the group during the period
ending 30 June 2008.

DIRECTORS’ DECLARATION
In the opinion of the directors of Citigold Corporation Limited
a) The financial statements and notes set out on pages 23 to 60 are in accordance with the Corporations Act 2001 including:
(i) comply with Accounting Standards, the Corporations Regulations 2001 and other mandatory professional reporting
requirements; and
(ii) giving a true and fair view of the Company’s and consolidated entity’s financial position as at 30 June 2008 and of
their performance, as represented by the results of their operations and their cash flows, for the financial year ended
on that date; and
b) there are reasonable grounds to believe that the company will be able to pay its debts as and when they become due and
payable; and
c) The remuneration disclosures included in pages 13 to 17 of the Directors’ Report (as part of the Remuneration Report), for
the year ended 30 June 2008, comply with section 300A of the Corporations Act 2001; and
d) there are reasonable grounds to believe that the company and the group entities identified in Note 39 will be able to
meet any obligations or liabilities to which they are or may become subject to by virtue of the Deed of Cross Guarantee
between the Company and those group entities pursuant to ASIC Class Order 98/1418.
The directors have been given the declarations by the Chief Executive Officer and Chief Financial Officer for the financial year
ended 30 June 2008 pursuant to Section 295A of the corporations act.
This declaration is made in accordance with a resolution of the directors.
J J Foley M J Lynch
Chairman Director
Sydney
30 September 2008

INDEPENDENT AUDITOR’S REPORT

INDEPENDENT AUDITOR’S REPORT

ASX ADDITIONAL INFORMATION
Additional information required by the Australian Securities Substantial shareholders – Shareholders appearing on
Exchange Limited Listing Rules and not disclosed elsewhere the Company’s register of substantial shareholders as at
in this Report. 30 September 2008 are Aurora Investments Limited who hold
68,534,983 ordinary shares representing 10.1% of issued shares.
1. SHAREHOLDINGS AS AT
30 SEPTEMBER 2008 Voting rights – All shares carry voting rights of one vote
Distribution of members and their holdings: per share.
Range Total Holders Units

2. RESTRICTED SECURITIES
At the time of this report there are no ordinary shares
1 - 1,000 1,237 555,938 classified as restricted securities
1,001 - 5,000 1,973 5,893,512
5,001 - 10,000 1,334 11,110,051 3. ON MARKET BUY BACK
There is no current on-market buy back.
10,001 - 100,000 3,638 130,868,107
100,001 - and over 862 530,217,366 4. SUMMARY OF MINING TENEMENTS
Total 9,044 678,644,974 & AREAS OF INTEREST AS AT
2,018 shareholders have less than a marketable parcel of
30 SEPTEMBER 2008
The Consolidated Entity has 100% control of the following
ordinary shares.
mining tenements at Charters Towers:
Twenty largest shareholders
Exploration Permit Minerals
Name Number of % of Issued
Shares Share EPM 11658 EPM 13453 EPM 15964 EPM 15966
Capital Exploration Permit Minerals Application
Aurora Investments Limited 68,534,983 10.10% EPMA 16979
Citicorp Nominees Pty Limited 48,298,769 7.12% Mineral Development Licence
National Nominees Limited 17,349,798 2.56% MDL 116 MDL 118 MDL 119 MDL 251
ANZ Nominees Limited 14,961,162 2.20% Mineral Development Licence Application
JFO Investments Ltd 13,703,879 2.02%
MDLA 252
HSBC Custody Nominees 12,493,021 1.84%
(Australia) Limited Mining Lease
Mr Ian Robert Mcpherson + 10,086,276 1.49% ML 1343 ML 1429 ML 1548 ML 10093
Mrs Ann Elizabeth Mcpherson ML 1344 ML 1430 ML 1549 ML 10193
Underwriting & Mining 9,707,732 1.43% ML 1347 ML 1431 ML 1585 ML 10196
Investment Corporation Pty Ltd ML 1348 ML 1432 ML 1586 ML 10208
J P Morgan Nominees Australia 9,549,341 1.41% ML 1385 ML 1433 ML 1587 ML 10222
Limited ML 1387 ML 1472 ML 1735 ML 10281
Rosa And Sons Investments 9,275,382 1.37% ML 1398 ML 1488 ML 10005 ML 10282
Pty Ltd
ML 1407 ML 1490 ML 10032 ML 10283
Mr Sidney John Reynolds + 8,932,563 1.32%
Mrs Antoinette Marie Rees ML 1408 ML 1491 ML 10042 ML 10284
Mr William Jangsing Lee 7,565,132 1.11% ML 1409 ML 1499 ML 10048 ML 10285
John Francis Lynch 5,669,090 0.84% ML 1424 ML 1521 ML 10050
Miss Lily Lee 5,500,000 0.81% ML1428 ML 1545 ML 10091
Mr John Cunningham Mcbride 4,111,392 0.61% Mining Lease Application
Dr William Roney + 3,902,598 0.58% MLA 10335
Mr Stephen Roney
Mr Jeffrey Anthony Somers + 3,680,474 0.54%
Mrs Jill Somers
Prime Impact Pty Ltd 3,529,554 0.52%
Bill Ford Nominees Pty Ltd 3,382,834 0.50%
Dr Jayson Wayne Oates 3,328,545 0.49%
263,562,525 38.84%


Citigold AnnualReport 2008

Diunggah oleh

Informasi Dokumen

Deskripsi Asli:

Judul Asli

Hak Cipta

Format Tersedia

Bagikan dokumen Ini

Bagikan atau Tanam Dokumen

Opsi Berbagi

Apakah menurut Anda dokumen ini bermanfaat?

Apakah konten ini tidak pantas?

Hak Cipta:

Format Tersedia

Citigold AnnualReport 2008

Diunggah oleh

Hak Cipta:

Format Tersedia

ANNUAL

ii CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 1

John Foley Mark Lynch Matthew Martin Terence Willsteed

2 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 3

4 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CATEGORY TONNES GRADE CUT OFF CONTAINED

CITIGOLD CORPORATION LIMITED AND ONTROLLED ENTITIES 5

6 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

“Citigold Corporation Limited explores for and produces gold

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 7

8 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 9

10 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

(b) Revaluation of assets

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 11

12 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 13

14 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 15

Tranche Number of Options

16 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 17

18 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 19

20 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 21

22 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 23

Gross Profit/(Loss) 5,777,076 (454,171) - -

Loss before income tax (3,167,424) (10,045,083) (4,788,799) (6,253,247)

Income tax 6 795,721 2,872,545 1,175,771 1,628,630

Loss after tax from operations (2,371,703) (7,172,538) (3,613,028) (4,624,617)

Loss attributable to minority 33 86 - -

24 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

Non current liabilities

Total liabilities 26,825,196 22,072,102 25,999,895 21,318,970

Net assets 187,768,470 169,209,919 199,274,625 181,939,395

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 25

26 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

Cash flows from investing

Cash flows from financing

Net increase/(decrease) in cash (2,790,241) 2,186,084 (3,262,332) 2,674,419

Cash at beginning of year 4,371,541 2,185,457 4,806,229 2,131,810

Cash and cash equivalents at 9 1,581,300 4,371,541 1,543,897 4,806,229

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 27

28 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 29

30 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 31

32 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

Depreciation and Amortisation Expenses

Operating Leases Expense

CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES 33

6. INCOME TAX EXPENSE

Deferred tax asset 795,721 2,872,545 1,175,771 1,628,630

(b) Reconciliation of effective tax rate

34 CITIGOLD CORPORATION LIMITED AND CONTROLLED ENTITIES

(d) Reconciliation of Deferred Tax

Net Deferred Tax Liability/ (Asset) 16,504,278 13,701,534 18,764,151 16,341,457

7. EARNINGS PER SHARE (EPS)