It is becoming more and more difficult to understand what the hell is going on.

Kry says nothing has changed and will only do a PR when there is a material event because both China and VZ don't want this to be public deal.

Both RF and RM have said that Kry only pays attention to official VZ information sources like the Gaceta and actions by VZ. They have maintained nothing has changed and they continue to work with VZ officials to get the MOC transferred and permit issued.

Why would Aggie talk about being involved in LC but tell people to talk to a Rusoro manager in VZ? Given his ego he would want to be front and center if RML had anything to do with mining the gold at LC.

The stories that are hitting us right now talk about whether our MOC is legal. If I'm not mistaken this issue was raised in front of the AVN and we were given confirmation we have done everything legally. If this latest strategy of illegal contract is being used to try and get rid of us VZ is free to go that route and it will become a legal proceeding which I am fine with. After 8 years, if this is the best they have we are in great shape.

Are the stories being planted to soften us up for a buy out offer? It is quite possible Hugo and the Russians want us out of the way but now have a problem with China in the picture. Any offer we would get from Russian interests would be less than what we would get from Chinese interests.

With RF tying our wagon to CREC he has basically told Hugo Kry will not simply go away. At the 2010 AGM we were told Hugo himself gave the go ahead to the Chinese to pursue a deal with us. The ball is now in Hugo's court.

It should be an interesting 2 weeks leading up to our 3rd quarter report!