Ann: Response to ASX Aware Letter, page-44

The level of managerial and financial incompetence is quite staggering, and hard to believe.

Is there a new CEO and CFO out there brave enough to now take this on, because I certainly wouldn't, when there are plenty of mining jobs in Australia and Canada and the USA.

Are there any financiers or funds out there brave enough to throw more cash at this project in a rising inflationary environment, as opposed to finding investment opportunities with other companies?

Are there any companies out there brave enough to strike a JV with the current mob at Morila, to help bail them out, and on what terms?

This is exactly the scenario where the vultures (hedge funds and corporate raiders) circle, waiting for administration, so they can swoop in and pick off 17% of Leo shares for just pennies. Rather than this happening, with shareholders potentially getting nothing as a result, it may be preferable for the current management to take the company private, then distribute all the Leo shares to FFX shareholders, and only then consider administration if the financial situation was hopeless. At least shareholders would get more free LLL shares.

I'd pay good money to see the CFO spreadsheets and financial software accounts over the past year, I'm sure it would clear up a lot of questions, and be more than illuminating !!!

What a debacle, it's almost impossible to understand how this could happen.

Gw