Hmmmm.... From the Sept 16 quarterly: "One of the ponds was...

Hmmmm....
From the Sept 16 quarterly:
"One of the ponds was completed and filled with brine to assess seepage rates from an unlined evaporation pond in that location.....
While significant seepage rate was recorded from the pond initially, this diminished with time. Since the ponds are located over a clay base (1-1.5 metres) it is believed that the seepage observed is lateral and not via the pond base.
The second trial pond has been constructed with plastic membrane around the side walls to block the lateral component of seepage losses. This pond has been filled with brine and is also being monitored to establish seepage losses from ponds with side wall membrane protection. This data will assist in finalising design of production ponds for the LD Project."

And then this from the Dec 16 quarterly:
"The Cost Estimates for construction of Evaporation Ponds and Brine supply trenches are currently being prepared by well respected contractors under a formal tender process. The Tenders have been prepared on the basis of Pond and Trench design parameters prepared by Knight Piesold Engineering late in 2016."

As far as I can see, issues with lateral seepage were acknowledged in the Sept quarterly and were subsequently addressed in the design prepared by Knight Piesold. Probably by lining the walls of the ponds.