CVI 0.00% 0.3¢ cvi energy corporation limited

something to spark the u.s

  1. 32 Posts.
    CityView Corporation (OTCBB: CTVWF) $0.15
    With many U.S. micro-cap equities generating poor returns for investors, we thought we would look beyond the borders for a promising investment opportunity. CityView Corporation is an Australian-based resource company, widely traded on the Australian Stock Exchange (ASX) but largely unknown in the U.S. Its primary focus is in Western Africa, where it has base metals projects in Angola and an oil and gas property in Cameroon. The company is also seeking onshore oil concessions in Angola's Kwanza Basin and in the Niger Delta in the Cameroon.

    The turnaround in the company's prospects has been dramatic. Technically, the company was insolvent in 2006, as it owned two Indonesian oil projects in defunct projects. Under a new management team and board, the company has refinanced its operations, with Aus$12.1 million in cash as of December, 2007 (around $11 million) and a growing portfolio of promising projects in Western Africa. The company acquired the right to purchase a 40% share in the Cameroon Oilfield, where it recently completed a feasibility study of the North Matanda PH72 field. Cameroon is Africa's sixth largest oil producer.
    While the Cameroon Oilfield represents a significant opportunity, Angola is equally exciting, as the country has an untapped wealth of energy and minerals. Companies enjoy favorable tax and work conditions, and major energy companies are already pumping more than 2 million barrels of oil/day offshore. CityView's owns its metal projects through Fortitude Minerals Limited, which controls nine concession areas totaling more than 15,000 square kilometers of prime mineralized areas in Angola. Five copper licenses running for several hundred kilometers along the western seaboard of Angola and encompass the greater part of the Upper Cuvo formation.

    Copper mineralization has been reported along the entire length of the Upper Cuvo formation, with potential to be a new copper province. Included amongst the copper licenses is Cachoeiras de Binga on which over 6,000 meters of core has been drilled. Fortitude's immediate objective is to bring this resource to a JORC standard.

    The company also holds licenses for gold and diamond CityView's has been granted the exclusive right to acquire 100% of Canzar Resources plc, the holders of a 41% interest in three kimberlitic diamond concessions: Caufo, Luachisee and Nheffo. Endiama, the Angolan National Diamonds company, has confirmed that if any of the kimberlite concessions are not commercially viable, they will be replaced with other commercially viable kimberlites. Endiama has also agreed to enter into a long term operating agreement with Canzar on certain properties and will guarantee for the first four years a minimum annual net income to Canzar of $12.5 million per annum.
    The company has a number of potential near-term catalysts, including the granting of a key license in the Kwanza Basin which could occur during the current quarter and opportunities to prove up or acquire additional properties with abundant resource potential.

    Despite these opportunities, the stock has lost more than half of its value since mid-November, where it made a new 52-week high of $0.36. The last time the stock was at this level, in mid-October, it surged to a new high within one month. In November, the company raised $3.45 million at $0.31, suggesting that somebody believes the stock is undervalued.

    If history repeats itself, investors in CityView at today's prices could quickly reap significant rewards.

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