GWh, what do you make of this information I received from RM:

Mar.16/11, I asked RM whether the Primary Binding Agreement with CREC/CRRC was still in effect. He replied (same day) that he had been advised that to date, neither party has terminated nor taken any steps to terminate the Agreement.

Then I asked him how this affected our Arbitration case. Will KRY have to share the settlement with the Chinese, with them getting two thirds?

He replied that it has no impact if the Primary Binding Agreement is not advanced into a final Joint Venture which needs a Permit, Venezuela approval, and shareholder approval.

IMO, this indicates that a final JV may just come through (for better or worse).

All comments welcome.

vlada