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Gold/Mining/Energy : Centurion Gold --CGHI-- -- Ignore unavailable to you. Want to Upgrade?

To: siempre who wrote (72)	7/15/2005 7:11:31 PM
From: siempre	Read Replies (1) \| Respond to of 460

this is my post from June 19...JEEZ Geez, it's only been four weeks?...seems like four months they've been doing this... CGHI is paying for its acquisitions with shares, & the companies which receive the shares are selling them back into the market..... February 25 CENTURION GOLD HOLDINGS CLARIFIES INTENT OF NEW FUNDING, THE NON-DILUTIVE OBJECTIVE OF ITS CURRENT ACQUISITION STRATEGY, AND UPGRADES TO ONGOING OPERATIONS Johannesburg, South Africa - February 25, 2005 -- Centurion Gold Holdings, Inc., (OTC BB: CGHI.OB). The Board of Directors of Centurion Gold Holdings is pleased to report that, following last week's announced $25.0 million equity purchase agreement with Dutchess Private Equities Fund, LP the Company has achieved a milestone in its strategy of growth through acquisition. The new agreement was sought by the Board as an essential component for meeting growth objectives while preserving and growing current shareholder value. Under the terms of the agreement, the Company can now offer shares of its common stock to potential acquisition targets in large blocks while increasing revenue and gold reserves. The Company is now in a position to fully execute its acquisition strategy and acquire additional mineral bearing properties and mineral rights. Dale Paul, chief executive officer of Centurion Gold Holdings, states, "With this agreement, Centurion shares are made much more attractive to prospective acquisition targets. I believe this is a breakthrough for a company of our size because it provides owners of the large properties we seek to acquire an assurance that they will find a ready available valuation in the public markets for the CGHI shares they accept in exchange for their resources." Arthur Johnson, Centurion's chief financial officer, added, "From my perspective, this agreement puts Centurion Gold Holdings in a much better position to meet the strategic requirements of acquired growth, at the same time we strive to achieve efficiencies and organic growth with our existing holdings. By providing a dependable valuation and source of marketability to our acquisition targets, it enables the Company to better use its available resources for capital improvements and, on a selective basis, capitalize production upgrades through a non-dilutive source. The Board and management feel that these steps will make acquisitions possible, help favorably increase the Company's revenues and net asset value, and grow current shareholder value as well." Centurion's Board of Directors has made growth through acquisition a cornerstone in the Company's business strategy. The Board believes that recent changes in South Africa mining laws have created an environment highly favorable for Centurion Gold Holdings' growth by acquisition mission. The new laws enacted in the wake of Apartheid, also known as the "use it or lose it" laws, require that certain mineral-bearing properties be put in production or be forfeited. Mr. Paul states "As a direct result of these laws, there are numerous high quality acquisition candidates that have never been available previously in history. The Centurion business model is structured to satisfy the requirements of the "use it or lose it" laws, preserve the intent of minority empowerment, provide value to those whose holdings that are in jeopardy of being lost, and provide a favorable return on investment for the Company's shareholders." The Company intends to use this financing facility wisely in order to preserve and enhance shareholder value. Mr. Johnson stated, "The Board of Directors' paramount concern is preserving and enhancing minority shareholder value as such this facility will be employed for acquisitions and capital improvements where the Company can achieve a corresponding increase in revenues, or net profits to offset any increase in shares outstanding and any dilutive effects." Mr. Paul added, "Over the last three years the Company has grown organically and its properties currently contain 1.7 million oz. of gold resources valued at approximately $751 million at current prices of $432/oz. Employing traditional valuation methods of ten percent of proven reserves the fair value of our Company is approximately $75 million or approximately $1.40 per share." Mr. Johnson added, "With high oil prices and the destabilization of the dollar with depreciation expected to continue, we forecast the gold prices to remain at current levels and possible rise further." We are currently reviewing a number of very favorable acquisition targets with the goal of increasing proven reserves to over 2 million oz. by end of calendar year 2005 which would place Company's valuation at $86 million or approximately $1.60 per share at today's prices. centuriongold.com this explanation makes more sense than anything I've seen prior to this....just honing my detective abilities.... regards, siempre..