Ann: Issue of Performance Rights and Unlisted Options, page-59

It seems that if 400 to 500 ounces a month is the operating break even level for OGX, then the real issue is the Cartesian royalty payments, as it won't take long to get to 500 ounces a month.

If OGX can get Cartesian to back off on the royalties even temporarily, then OGX immediately becomes cash flow positive.

Now Cartesian had a similar issue with another gold company called K92 Mining (listed in Canada). My understanding is that K92 successfully managed to get Cartesian to renegotiate their contract after not paying them for some months. There was a legal but technical reason for this renegotiation.

I wonder if OGX can do something similar...appeal the contract. Any thoughts?