Mill feed definition
Mill feed means in situ ore that is anticipated to be added to the "stockpile" of broken ore after it is mined, based on an indicated block model grade that is lower than average proven and probable reserve grade. Of the 18,275,000 tonnes of reserves reported for stockpile at Fort Knox, 16,618,000 tonnes of proven reserves are "low-grade stockpiled inventory" and 1,657,000 tonnes of probable reserves are "mill feed". The stockpile quantity is calculated from a volume survey of the broken ore. The grade is assigned to the stockpile based on production records. Any remaining stockpiles will be processed at the end of the mine life, which is anticipated to be in 2007 S-73 for Fort Knox and 2003 for Kubaka. Kinross has not capitalized costs associated with the 16,618,000 tonnes of low-grade stockpiled inventory because, at gold prices below $300 per ounce, it is uncertain if or when these reserve quantities will be processed.