Why did they approve the EIS? They also approved KRY's plan this past summer and did a site visit. Are they trying to show that they are in favor when really they aren't? I think what they have actually done is strengthen KRY's case if it gets to arbitration.

That's an easy one to answer. A firm denial to coperate or a failure to accept applications for permits would be a default on the Venezuelan part and would trigger much quicker legal action by GRZ and KRY.

By fiddling about and keeping hopes alive they encouraged KRY and GRZ to expend more time and cash, advancing the engineering and doing a lot of preliminary work which both weakens the financial resources of the companies and improves the value of the property for their "chosen" successor.

If Rusoro was successful in taking over GRZ they have saved the government at least $300 million in damages they would otherwise have to pay GRZ and a possible billion or so in lost profits. RML gets $300 million worth of drilling data, environmental studies, permits and engineering in addition to $100 million in cash, $40 million in equipment ready for delivery this year and a grateful Venezuelan government who are let off the legal hook. Total cost the RML is less than 180 million of their almost untradeable stock printed up for no cost. Of course they get 10.4 million ounces of P&P gold and a highly prospective Choco 5 property (which they have already drilled a couple of holes in, without GRZ's permission). Pretty sweet deal all around except for GRZ shareholders.........