Yeah, Paolo is definitely Italian, as I am. I've been in contact with him for a few years, mostly because of his interest in Forge. You can't find often someone as easygoing and passionate as him when it comes to fan-games.
So please, let me clarify that I have no intention of giving him a bad name as a translator. As a matter of fact, I should have told him in the first place, instead of writing here, and I apologize for doing so.
Anyway, both translations are correct when out of context; but only one is appropriate in this case, cause "of gold" specifies the material (we call it "complemento di materia"). I suppose Paolo was simply unaware of both how those cities are called usually here and how they effectively "look" in your game, so he simply chose one of the 2 most common translations and has been unlucky.
On a side note, Aprilskies is another great guy when it comes to helping out for the pleasure of doing so. I'm not surprised he did that in this case, as well.