English to Russian Tech/Engineering Mining & Minerals / Gems Estimation of mineral resources and reserves

The current mine reconciliation process is based on comparing mined tonnes with the baseline GKZ resource calculation. Significant discrepancies were assessed in the depleted stoping areas when comparing the on-balance reserves derived from the geological block models and the reported approved depletion for the mine. This highlighted that the existing geological block models are not up to date with current geological or mining data and are unable to be used as a base for mine planning, depletion or realistic reconciliation.

GKZ = ГКЗ (государственный комитет по запасам).