Comstock Inc (LODE)

[phx85]

Straight from the 10Q:
Interest is payable semi-annually. For the first two years, interest will be payable, at the option of the Company, either in cash or in the form of additional Debentures (or a combination thereof). For the third and fourth years, interest will be payable only in cash. The Company elected to pay the first two semi-annual interest payments in cash in June 2017, and December of 2017. In June 2018, the Company elected to make the third payment of $437,852, in the form of additional Debentures (Payment in Kind).

So, first two payments were in cash - $$ from Tonogold was paid against the principal and that is why the overall debenture debt is lower. Had they paid the interest with new debentures, like your post suggested, the overall debt would be growing at a rather significant rate.

Unfortunately, they did elect to use the "payment in kind" feature for the interest payment that was due July 1, so the debt did go higher - from 7.9m to 8.4 mil.