High River Gold Mines Ltd HRIVF

RE: Magnitude of Prognoz

[discern]

Great reminder.
After Severstal messed up the minority share holders over the past year, it looks like they are playing hard ball with the current 50% stake holder of Prognoz.
I recall reading that the other stake holders are part of the former mismanagement team of HRG before Severstal took over that brought to us the fabulous Royal Gold royalty deal where a full 25% of all production is given to pay off a loan where 60% of the gold given is simply a "bonus" and doesn't actually pay off debt.
If this bankruptcy proceedings is a way to purchase the remainder of Prognoz at a reduced rate then we may actually recoup considerable value.
I am certain that it is this squabble that is keeping HRG from continued drilling at Prognoz.  They have intentionally written it down and intentionally have abandonded exploration until ownership is settled.  It would be nice for them to complete soon and get some drills on those other veins.  Last September Igor said there wasn't enough money to explore Prognoz.  There is enough cash flow to fund a substantial exploration now.
If the resource size increases significantly it is possible that Prognoz becomes our most valuable asset.