In the months since hockey legend and Penguins owner Mario Lemieux put his team up for sale and worked to cement a slots licensing deal that would keep the team in a new arena in Pittsburgh, he has watched deal after deal fall apart.

The most bitter defeat of all, however, likely came yesterday when the state Gaming Control Board rejected a slots license proposal from Isle of Capri, which had pledged $290 million toward construction of a new facility to replace the aging Mellon Arena.

The decision left fans wondering about the team's future in Pittsburgh and buoyed the hopes of fans in other cities, such as Kansas City, which has an empty arena awaiting a team.

It also brought prospective buyers back into the hunt for a team suddenly made more valuable merely because its future in Pittsburgh is uncertain.

Just last week, the National Hockey League blocked the team's sale by insisting that a new buyer keep the Penguins here. That stance apparently changed in an instant, though. Within hours of the gaming board's announcement, commissioner Gary Bettman released a statement that came very close to a threat.

"The decision by the gaming commission was terrible news for the Penguins, their fans and the NHL," the statement said. "The future of this franchise in Pittsburgh is uncertain, and the Penguins now will have to explore all other options, including possible relocation. The NHL will support the Penguins in their endeavors."

Even Mr. Lemieux, the Hall of Famer who led his team to the Stanley Cup in 1991 and 1992 then helped save it from bankruptcy in 1999, couldn't pull off this victory.

The team was taking the ice at Mellon Arena for practice and cleaning crews were tidying after a basketball game the previous night when the Gaming Control Board made its decision.

Although the players have only watched the ownership and arena issues peripherally, several expressed disappointment over the decision to award the slots license to PITG Gaming.

"We've got a short window to decide where we're going to be next season, so it will be interesting" said veteran winger Mark Recchi, who makes his permanent home in the Pittsburgh area. He said he has no faith in the alternate Plan B funding plan for an arena and fears the team could leave.

"Economically, it would be terrible for the city [to lose the Penguins] and a sad thing. We'll cross our fingers and hope things work out, but it's pretty scary because everybody that wants to buy it wants to move it to another city, and I don't think this town can afford to lose the team."

Mr. Recchi is a good friend of Mr. Lemieux.

"I feel terrible for him," Recchi said. "He's worked so hard to keep the team here and done everything right. I'd like to see him get rewarded for it. He's done everything in his power to keep the team here, and now it's out of his hands."

Penguins winger Ryan Malone grew up in Upper St. Clair and saw what the Stanley Cup championships in 1991 and '92 did for hockey in this area.

"That really gave Pittsburgh a big hockey boom, with so many rinks now and different leagues, different teams -- that's all because of what the Penguins did in the early '90s," Mr. Malone said.

"[Events yesterday are] kind of a slap in the face to Mario. I don't know what his options are, but I hope the team stays in Pittsburgh because I think we owe that to the fans who supported us through the years and are seeing us rebuilding."

It might be some time before Pittsburgh and Penguins fans know who comes out on top in this next stage of the process, but there is a crucial time element: The Penguins' lease at Mellon Arena expires in June, making them a free agent.

The Penguins can expect keen interest from other cities, meaning that there is a real possibility of the club moving if the team can't reach agreement with local and state officials on the proposed Plan B or some other funding arrangement for a new facility.

The Penguins partnered with gaming company Isle of Capri, which had pledged $290 million toward a new arena. Team officials were tentatively scheduled to hold a news conference yesterday, but when the state Gaming Control Board picked PITG Gaming and its plan for a North Shore casino, the Penguins opted instead to issue a short statement.

The team congratulated Don Barden and PITG Gaming, thanked Isle of Capri, expressed disappointment over Isle of Capri's loss and noted that the Penguins are entering "a period of uncertainty."

"We will re-evaluate all of our options before deciding on a course of action and making a further comment," the statement said.

All indications are that the Penguins -- owned by a group that is led by Mr. Lemieux and includes reclusive California billionaire Ron Burkle -- won't make any decisions until after Christmas.

Mr. Lemieux announced in February that the team was for sale, but that process has faltered, including the last-minute withdrawal Friday of Canadian billionaire Jim Balsillie, who refused to sign on to the NHL stipulation, now apparently rescinded, that he keep the team in Pittsburgh.

Since then, there has been an almost audible scramble among past bidders, interested bidders and potential bidders -- with varied intentions, to be sure -- hoping to buy the Penguins.

Mr. Balsillie and previous bidders Andrew Murstein, Lawrence Gottesdiener and Jim Renacci each said by e-mail that they remain interested. It's believed Sam Fingold, who signed a letter of intent last summer, also remains interested.

Toronto businessman Frank D'Angelo and partner Barry Sherman this week went public with designs on the Penguins.

Interest surely will escalate with PITG Gaming's triumph.

Without the security of the slots license in the hands of Isle of Capri, which would have legally bound the Penguins to remain in Pittsburgh for at least 20 years, the team becomes a hot commodity, one that would be expected to fetch more money if it is wholly portable. Mr. Balsillie's offer was believed to be $175 million.

Cities such as Winnipeg, Kansas City, Houston, Las Vegas, Oklahoma City and Portland, Ore., have been mentioned as possible destinations, and others could surface. There are ready-made arenas in some, including Kansas City.

"Let's just say it's beginning to look a lot like Christmas," Brenda Tinnen, general manager of Kansas City's new Sprint Center, told the Kansas City Star.

Under Plan B, PITG Gaming already had agreed to contribute toward construction of a new city arena, but there is no legal obligation for the Penguins to participate and any new owner might have no intention of doing so.

Before he backed out over stipulations by the NHL, Mr. Balsillie said he would be willing to work with Plan B. He reiterated that in an e-mail yesterday.

"We've fully studied the situation, and are prepared to complete the purchase and immediately commence good faith 'Plan B' negotiations with the government officials to keep the team in Pittsburgh," said Mr. Balsillie, of Waterloo, Ontario, the chairman and co-CEO of Research in Motion, the company behind the popular Blackberry PDAs.

Mr. Murstein, president of Medallion Corp. in New York, and Mr. Renacci, a Ringgold High School graduate who now is an Ohio mayor and owner of an Arena Football team in Columbus, were among the bidders last summer and both said they were determined to keep the Penguins here. Mr. D'Angelo, a beer magnate, also has said he wants to keep the Penguins in Pittsburgh.

Mr. Fingold, who at one time had ties to Kansas City, and Mr. Gottesdiener, who had investigated bringing the NHL back to Hartford, have said they would consider keeping the Penguins here. Both men are real estate investors in Hartford.