Chris
Might be worth looking at the Grizzly Tools website to see if they offer a similar machine and, if so, downloading the manual for a circuit diagram. Grizzly manuals are generally reckoned to be about the best for the Asian import machines.
Generally the Asian machines of comparable size and duty class use very similar electrical circuit arrangements. Even if not exactly the same machine its possible that an equivalent from Grizzly has a sufficiently similar circuit arrangement for you to figure out what you have.
If you have separate motor start and stop buttons independent of the forward and reverse switch its possible that the 3 rd contactor should be wired to provides the self-latching and safety release functions. Basically the motor incoming power goes via the 3 rd contactor connected in the usual way with momentary close and open start and stop switches to operate the coil with the usual monetary break safety switches in series with the stop switch.
I guess the lathe doesn't have a clutch. Just push the start button to get power up to the motor control contactors then select forward or reverse. Not a nice system with the latching switches for forawrd and reverse.
My Smart & Brown 1024 VSL is a clutchless machine and uses a system very similar to what I've described but all the switches are momentary. The latching control contactor also provides a spindle jog function so it turns only when a forward or reverse button is held down.
Clive
Clive