Captaintime,

Your post says: "... PRB will have a larger hammer if their is a similar gold depsoit in East Limb.If they have the probabilty or another 4-5 millions ounces then this yields the choice of where to mine first. This will diminish the value of 50/50 land position at Borden and the little portion by the high grade."

This would certianly be a better bargaining position for PRB, if there is a decent (4Moz high grade and close to surface) deposit in the East Limb. In fact, one good hit (long intercept of high grades, no need for a proven deposit of 4Moz) in the East Limb would send the same signal. The forestry people would clearly see this coming, since they are shrewd business people as well.

However, this strategy can be applied right now, if Dave wants to play tough. He can "talk about" an option to go around the wedge claim (some 200m gap) and mine the deposit under the lake first, and without touching any 50-50 JV portion. He could also look at an option for the open pit portion which goes around the 50-50 JV portion (i.e., another "pit constrained" option).

Let the forestry sit there and sulk, if they don't want to be reasonable. Or, they could be more reasonable for some cash in the pocket for their retirement enjoyment. Nobody wants to wait forever. Perhaps, one of us could have a little chit chat with the forestry people to explain these options to them over coffee, or something stronger?

goldhunter