"As for Canada Chrome? I don't know how to value that future play. With all of that chrome it should open high!! Speculation!!!" (Donypee)

Some info gathered here and there, and some speculation...

KWG is holding a 100% position in two subsidiaries, Canada Chrome Corp. (formerly ChromeCana Ltd) and Debuts Diamond Inc. From the last MD&A:

"KWG Resources Inc., ("KWG" or the "Company"), is an exploration stage company with interest in two group of properties in Ontario, Canada: The chromite, nickel, base metal group held by its wholly-owned subsidiary, Canada Chrome Corporation ("CCC"), and the diamond group held by its wholly-owned subsidiary, Debuts Diamonds Inc. ("DDI")."

I can't find the Financial Statements of these 2 subsidiaries. In KWG's FS, however, the "Mining Assets" are accounted as being owned by KWG directly. Furthermore, the Shares held by KWG in CCC and DDI are, surprisingly, not accounted for as Assets in KWG's Balance Sheet, and actually no reference to them is made in the FS. (Note that the positions of KWG in Spider Resources, Copper Mesa ans Strike Minerals are accounted as 'Temporary Investments'). So I conclude that these two corporations, CCC and DDI, are still empty-shell corporations at the time of the Q3 filing, ie Nov 24 2009.

Also special, is that KWG is a Quebec jurisdiction (Partie 1A) company. Canada Chrome Corporation is a Federal jurisdiction (CBCA) company . Debut Diamonds Inc is an Ontario jurisdiction (OBCA) company. 3 different jusrisdictions within the same Group!!! Surprising situation, I may say. Usually, subsidiaries are incorporated under the same jurisdiction than the mother-company. Or at least under the same jurisdiction than the sister...

Why 3 sets of jurisdictions here?

A Provincial corporation has to keep its head-office in the jurisdiction it was born. A Federal one may establish its head-office in any Province of Canada. So maybe CCC's head-office is set to move at a later time. DDI h-o is set to stay in Ontario. And as for KWG? Well. It has its head-office in Montreal (probably at an attorney's address, or a 'mailbox' address) even if none of the Directors and of the main Shaerholders are residing in Québec!!! BTW the 3 main Shareholders indicated on the Registry are CDS (that is, us, the retail), Mineraldfields (Joe Dwek?) and Cliffs Greene B.V (reg'd in Netherlands).

Looking at all that, I wonder... KWG's Assets will be spinned into two parts as we were told before: CCC (chromite-related and other ROF? assets), and in DDI (diamonds -Victor mine), and KWG is set to dissappear, I think. Many former Quebec companies, which were registered in the late Montreal Exchange, are 'stuck' with their Provincial jurisdiction corporations, whereas their business is in Toronto, or Vancouver. Jaguar (Viv Alboini) made a complex reorg to have them become an Ontario jurisdiction Corp 2 or 3 years ago. Bye-bye Québec! (Note that a new Quebec legislation is coming which will allow an easy change of jurisdiction...)

KWG spin-off will be done, IMO, in the course of a friendly arrangement with Cliffs, when we will be ending with all or most shares of DDI, and a few shares of CCC. Or maybe CCC will be bought out entirely by Cliffs against CLF shares or $$$. Next year, I guess... All speculation.

Just talking, guys. GLTA.

BB.