I agree with those that don't believe Tyhee is diluting as the industry generally defines dilution. However, I believe all (always exceptions) mining companies dilute. Some management just manages the dilution better for shareholders than others. For example. Two Gold companies are formed. Call them A and B... Neither ever plans to do a JV or sell etc.. Both buy properties that have 9 million ounces of gold in the property. Of course neither of them know that yet because they haven't drilled a single hole in the property. So both go to the market and issue the same amount of shares to start a drilling program. You buy 1,000 shares in each company. Each company starts a drilling program exactly the same way and each determine that there are 3 zones (Zone a, b and c) within the property that has significant gold deposits. By their estimates they believe each zone has 3 million ounces.

Company A decides to only focus and drill on Zone A. So they issue enough shares to complete the drilling on Zone A, do a feasibility and build the mine. The profits from Zone A mine is eventually used to payoff much if not all from Zone A loan as well as to start drilling Zone B towards a mine. Zone b profits is used to fund Zone C etc... Your 1,000 shares (representing a piece of the 9 million ounces of gold) are from an outstanding share count from Zone a and no (or little) new shares from zone b and c.

Company B decides to focus on all 3 zones at once and have one big (or 3 little) mines all at one time. So they issue shares to drill on Zone A and more share for Zone B and more shares for Zone C. Although the outstanding Share count is increasing significantly to fund the drilling on a, b and c you as an investor are happy because they are increasing the M&I and reserves. They do their feasiblity etc. and build the mine. Your 1,000 shares (plus whatever additional shares that were added for zone b and c) represent a piece of the 9 million ounces of gold on the property.

Who is better off. Shareholder in company A or company B. Perhaps company B's approach is better for the company bottom line and it's employees and those in the inside, wink wink.. I mean bankers and board members) but it isn't better for general shareholders.

My Point ( and maybe naive example) isn't directed at Tyhee or any company that they are being dishonest or trying to purposely mess with the shareholders... My point is that there is more than one way to look at dilution. One process is done at the expense of shareholders and the other through the mining product and smart business management.