As Aurum pointed out, the $23 million in shares has to be in a pp, otherwise there would be no direct benefit to EVG. As well, as I understand it, Goldcorp has the right to participate in any private placement for a period of 5 years to maintain their 15% share, regardless of price. What we don't know is the timing on the $23 million in shares. That could be spread out over the seven years as well... We won't know that until June 1st when the details are released.

If you read through the new presentation on the website, EVG is not hiding the fact that it is setting itself up for a take out.

http://www.evolvinggold.com/assets/files/pdf/evgpresentation9may2011.pdf

IMHO they understand that RSH is too large for them to develop themselves. This way a proven partner leads the way, allowing them a chance to learn what is needed to bring a project to the finish at the same time.

According to the June 30, 2010 MD&A http://www.evolvinggold.com/assets/files/pdf/june30_2010_evg_mdastatements.pdf there is still a wholly owned company that EVG set up (Exemplar Gold Corp) which has not commenced operations. EVG could spin Carlin/Humboldt into this company which would allow a major to buy it easily, and leaving them Jake's Creek and Boulder to develop, or they could spin off Jake's like they did with Kiyuk and PPG...

There is still a lot going on in this story, and I'm not sure it will be sorted out soon. I think this JV was a positive (although I am not sure yet).

GLTA