Questions on the report., page-2

GJ, As a mining engineer I can answer this in general but not specifically for this case.

All reported numbers are proven and probable reserves (this is the same as measured and indicated). There is no facility in JORC for converting an inferred resource to any class of reserve. But for internal workings a company can do what they like in terms of using the inferred resources in their mine plan. It is their decision to adopt risk. While the material that the mine plan targets may be classified as waste internally they probably have a good idea of some areas that will almost certainly deliver ore. I would think it is small parcels and nowhere near the total resource. I may be wrong (not going back to read before I reply) but I think the total resource has an open pit reserve component and a UG reserve component so that the open pit is never going to target it all.

Overall I think this would be a great question to put to the board to ask for the mining schedule to see what quantity of inferred material is planned to be delivered and then what expectation there is based on mining to date of how much of the inferred is actually ore - this goes a long way to explaining the increase in tonnes as compared to reserve.

The second part for the impairment I do not think you will get much luck. Typically at the base of an open pit the strip ratio drops towards zero. The original mine plan targeted material that was low strip and omitting this does not mean that an average strip ratio for that material can be removed. It actually means that the strip ratio for the remaining material has increased since the cross section shows that virtually the same waste is mined for less total ore. There will be some win and I am sure that it will be calculated out by the accounts people but I think that with the slopes laid back the only waste left behind is the part below the new pit floor.