Close To Absolute Conformation Insuficient Liberation of Gold

ASX Ann 09th Dec 2016 Company Update
Preparation of remedial action plan well advanced-Accept it did not happen!

Independent Technical Reviews Support Recommencement
of Operations at Cascavel

Reviews by SRK and Mining Plus conclude that mining & recovery issues
can be readily rectified.
In summary, the key components of the plan to recommence operations at
Cascavel include:

• Increasing the amount of high-grade ore being delivered to the processing plant by revising the mine plan to open up more development in the higher grade southern portions of the mine.
•  Improving gold recoveries by enhancing the liberation of gold from the ore.
•  Providing additional training to plant employees; and
•  Increasing the amount of working capital available to the Company.

Cascavel Gold Mine – Independent Technical Reviews
Overall, Mining Plus stated: "The issues observed at the Cascavel Mine are common start-up and
commission(ing) problems, and we identified no "fundamental problems that should impede
the mine from achieving success."

Key issues and areas of improvements identified in the review process included:
The key findings from the review of the Cascavel processing circuits were that gold recoveries were
most likely to have been impacted due to insufficient liberation of the gold from the ore
and from operator error during the first two months of operation of the plant.

Modifications to the tertiary crusher (VSI) are required to overcome the poor performance
of this crusher and the circuit’s inability to date to achieve the optimal particle size
distribution for gold liberation.
If further tuning of the VSI does not result in the achievement of the desired particle size distribution,
then a small mill will be introduced to the circuit.!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Well that's further reassurance & conformation that recent sampling results being received
after particle size is reduced post finer crushing liberates more gold from utilising hammer mills.
Its a pity for LTH-that this was not acted upon some 13 months ago when Reviews by SRK and
Mining Plus conclude that mining & recovery issues can be readily rectified!!!

Further that the KEY FINDINGS from the review
Cascavel processing circuits were that gold recoveries were most likely to have been impacted
due to insufficient liberation of the gold from the ore and from operator error during
the first two months of operation of the plant.
Modifications to the tertiary crusher (VSI) are required to overcome the poor performance
of this crusher and the circuit’s inability to date to achieve the optimal particle size
distribution for gold liberation.
If further tuning of the VSI does not result in the achievement of the desired particle size distribution,
then a small mill will be introduced to the circuit.!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

This historical review certainly packs & impact now post recent Hammer Mill Recovery
averaging 45 grams gold per tonne from multiple mine locations !
Well there was very little doubt in my mind that issues experienced with the gravity plant
have now been identified will be confirmed as being overcome once the gravity plant becomes operational
then sooner the better
After reading the above I will now conclude there is NO DOUBT WATSO EVER -in my mind regarding
the gravity plants ability to recover gold once gold recovery commences post the Hammer mills is installation
& as previously stated be gold recovery should be in the 85 -88% range.
GET THAT 25/30 TONNE PER HR HAMMER MILL INCORPORATED IN CIRUIT-& operating ASAP!!
Further this is virtually conformation of what will be found when tails are sampled !!
Its unfortunate for LTH-better late than never if there was a higher sentiment rating
than buy I would use it.
That's virtually 100% absolution conformation for me !!!!!!!!!!!
Bloody Good One !!!!!!
GLTAH-always pay's to reread & analyse old announcements .
imo Additionally when this resonates unlikely to be just mine .
salt