hoov, the board has become very polarized by the deals/dilution/possibilities that have popped up in recent days. i'll try to give an accurate summary from all sides (so all sides will hate me when i'm done). kry is officially hanging everything on this deal imo...

the black and white summary is that by the end of next month:

- kry will either be a viable company with a strong long term partner and a permit.

- or have $35mil and dilution to try and pay off the noteholders/begin the arbitration process...which does'nt sound real promising....

1. the chinese deal cuts krys stake dramatically but (if it happens) it keeps kry alive and provides many benefits such as a strong well funded partner with political juice going forward. it also gets kry a permit by aug 1st... i think the underlying tension here is that many are worried that the chinese deal was cooked up to raise immediate funding.

2. the $35mil fund raising is my main contention...if kry knows they will have a permit and partner by july 31st why raise funds 6 weeks before that? why not wait til the deal is closed and raise funds at a higher PPS and more favorable terms?

the one thing that is certain is dilution. the market in general (EZ not included) has'nt placed any faith in management statements in some time so the benefit from the chinese deal wont be realized until the deal is actually done. the $35mil and dilution is a done deal so the negative reaction should already be realized.

personally, i think if the chinese deal/permit happens then we should see positive results for the foreseeable future....if the chinese deal turns out to be BS (like many before it) then kry has to line up a buttload of financing, fast or be BK....the one thing everyone seems to like is that we now have a firm date of action....stay tuned

btw, thanks, and congrats on your little gold mine....another one i'll be holding for awhile..:)