Ann: Lorena Transaction Update, page-6

Well Cloncurry had the biggest rain fall in QLD today with 60mm, so looks like a big wet coming. As for the purchase of the Lorena Gold process plant, I am informed from a reliable source that it’s a great and well constructed plant. I’m also informed there are actually two process plants TBA are buying in the deal.apart from the 300ktpa CIP plant there is full brand new never used 300ktoa floatation plant that allows TBA to process both gold copper sulphides. There is.also a full gold electro winning circuit and laboratory that will allow them to strip the carbon and do their own Gold pour. Having said all that, shareholders are still bewildered as to why the sudden switch from processing at the Mt Freda heap leach carbon processing plant they have been constructing for the past 9 months. The announcement today, says that TBA will have to increase the capacity of the tailings dam which itself will be a minimum 6 months in approval and construction phase . What I can’t work out is that during the + 6 month period between now and recommissioning of Lorena plant, why not at least crush and process the ore mined already at the Golden Mile processing it through the Mt Freda heap leach vats carbon column plant. A friend of a friend who works at Mt Freda is flying a drone over Mt Freda over this weekend so we may have an update on why it’s not being used. There seems a major cover up.Using both process plants would make sense and let a gold pour get done before commissioning of Lorena. They can also strip the carbon at Lorena from Mt Freda carbon columns I’m told.One thing on the positive note is that the Lorena CIP plant does is process the ore with the Gold removed from the ore immediately. So, the million dollar question is, why don’t directors start up Mt Freda cyanide leach Vats now with the 15,000 tonnes @ 2g/t Au or around 2,000 ounces of $5.6m. I am advised it will take only 3 months to process in the already Mt Freda constructed cyanide leach vats. If it is going to take 6 months to upgrade the tailings dam at Lorena I would have thought that the Mt Freda plant would be attractive to Director’s.Let’s see if common economical sense prevails. If anyone from TBA reads this post please tell me why the plan above is not an option or non achievable and a smart move. Or is there something TBA directors don’t want to tell us.I must say it was a smart move and a great opportunity to buy a great near new CIP plant probably worth $20m to replace for a pittance. A one in a million opportunity. I do think that the wet season may dampen the party and why the combo two plant is not a great option.