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NHL Agent Explains Draft Loophole That Saves Teams Money

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There are important factors that go into every pick in the NHL draft. You’ve got the measurables like height and weight, intangibles like character and work rate, not to mention individual skill. However, there are often political reasons as well that could explain why players from some leagues, such as the QMJHL, aren’t selected as often as players from other leagues and vice versa.

Recently, on a Russian podcast, NHL player agent Dan Milstein broke the fourth wall on why teams like the Carolina Hurricanes draft as many Russians as they do. Surprisingly, it isn’t because their scouts enjoy the weather. 

He explained that if a player is drafted to the NHL out of the OHL, WHL or QMJHL, teams have two years to sign them before losing their rights. In the NCAA, it is four years.

“That’s why teams, unfortunately, hand out three-year contracts to these kids at 19 to 20 years old,” Milstein explained in Russian. 

For players drafted out of Russia, however, the signing rights remain with the NHL team until age 27. That’s a huge difference.

Milstein said most drafted players won’t make the NHL in their first entry-level contract, resulting in the team paying out three years at the AHL rate of $85,000, or $255,000 total. 

Whereas if a player was drafted out of Russia, the team could save all that money by delaying signing the player until their age-24 season, when they should be close to making an immediate impact.

How Has The Method Fared?

Over the past six drafts, 40 percent of players Carolina has drafted (22 of 55) were selected out of Russian pro or junior leagues. Among them, only four have signed entry-level deals.

Despite playing just four games in the NHL, 2020 third-round pick Alexander Nikishin stands as the prime example of why this method has worked. Nikishin has been among the best defensemen in the KHL for the past three seasons, leading blueliners in points twice in that span.

However, detractors and Hurricanes fans would argue that, given his dominance at that level, he should’ve made the jump to the NHL sooner.

The other examples are less flattering. 

Gleb Trikozov, a 2022 second-rounder, has struggled to break into a full-time KHL role, leading to him signing with Carolina at 20. His rookie season was a nightmare, starting slow with three points over 20 games in the AHL before a lower-body injury took him out for the remainder of the season.

Alexander Pashin, a 2020 seventh-round pick, was signed at 21 in 2022-23, as he wasn’t able to break through as a KHL regular. Pashin and the Hurricanes agreed to a mutual contract termination after one AHL season, and he is now a prolific KHL scorer, however, his rights are no longer owned by the Hurricanes.

More recently, the Hurricanes signed their 2023 fifth-round pick, Ruslan Khazheyev, to a rookie deal, as the goaltender was not guaranteed pro minutes in Russia. He’s coming off an underwhelming rookie season in the AHL, posting a .876 save percentage through 30 games with the Chicago Wolves.

However, the Hurricanes still have some solid prospects in Russia, namely Semyon Frolov (2025 second round), Nikita Artamonov (2024 second round), Kurban Limatov (2025 third round), Alexander Rykov (2023 fourth round), Vladimir Grudinin (2022 fifth round) and Timur Kol (2024 sixth round).

As this is a money-saving method, the Hurricanes have theoretically saved $1.53 million by selecting the Russian-based players over CHL players. At the absolute most, over this span, the team can save up to $61.2 million assuming the 18 unsigned players do not sign until age 24, four years after CHL rights would otherwise expire.

The Future

For teams just learning about this strategy, they’ll be upset to know that rule changes confirmed in the next collective bargaining agreement will eliminate this loophole.

The new CBA, which goes into effect in 2026-27, will have NHL teams retain the signing rights of drafted players until the player turns 22, regardless of what country they were drafted out of.

While this change will effectively close this loophole, with enough time, teams will find new ways to exploit the new rules.

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