SO HERE IS THE WHOLE POST by PFijo0 at Stockhouse's KRY:

My View OF What Transpired PFijo0 5/3/2008 10:36:03 AM Based on the known facts:

it was earlier reported-

1) "On the topic of Sidor, fortunately we are moving at a good pace, that is what I can say," said Chavez in taped remarks following a press conference Wednesday. "The details are being worked on, but I am still waiting for a final report from the (mining) minister. The same thing is happening with the topic of Las Cristinas."

2) "The Ministry of Mines is inspecting all the contract miners supposedly made under the influence of the opposition through a connection between the (Gustavo) Cisneros and Barrick Gold and Valgold, and the ties between Enrique Tejera Paris and family and Crystallex."

What would have been contained in the report that was sent to Chavez?

a) $25M of funds were funnelled from KRY to Enrique Tejera Paris.

b) Enrique Tejera Paris was implicated in the coup against Chavez.

c) The money trail shows, who in effect, financed the coup.

3) Vannessa is pursuing a case against Venezuela for the "expropriation of the Las Cristinas properties" and is seeking monetary damages in excess of $1B.

By having km 88 declared off limits to mining for environmental concerns based on the damage that mining would cause to the Imataca Forest Reserve, Chavez kills two birds with one stone.

He exacts retribution against KRY and he nullifies VVV's claim. The arbitrators ruling was due in a few weeks. What are VVV's damages? None. There are no lost profits since Las Cristinas is off limits to mining based on MinAmb's "environmental" ruling.

GRZ was caught in the crossfire. They will have a claim against Venezuela since the Brisas project had previously gotten the environmental seal of approval from MinAmb.

After KRY files for bankruptcy and VVV goes away, Chavez will settle with GRZ and maybe even issue a presidential decree that the project can procede.

KRY has no recourse. They signed away that right when they obtained the rights to Las Cristinas for $15M in the no-bid process.

Per the MOA-
"The doubts and controversies of any nature that could arise from the execution of this Contract and that may not be resolved in an amicable manner by the Parties, shall be decided by the competent tribunals of the Bolivarian Republic of Venezuela, in accordance to its laws, and they may not give origin to reclamations before foreign tribunals."

Barring a miracle, the following events will likely unfold:
A) KRY will receive a delisting notice from AMEX
B) A 10 for 1 reverse split will be declared
C) After the stock sinks below $1 again, KRY will find itself in the Pink Sheets
D) Class action shareholder law suits
E) Bankruptcy