WORD

ABBREVIATION

DEFINITION

Acceleration

To increase the planned rate of completing the Services by either bringing forward a date or preventing a date from being further delayed by delays that have already occurred or are forecast as likely to occur.

Accrued Cost

The cost of work performed to date comprising the sum of paid to date, invoices in hand but not yet paid plus work completed but not yet invoiced.

Accuracy

A bandwidth of probability of occurrence usually of expenditure estimates expressed as a percentage e.g an estimate of ± 20%.

Activity

A discrete element of the scope of work to be performed during delivery of a project. An activity normally has a known scope and duration, budget cost and defined resource. Activities can be subdivided into tasks and form part of the Work Breakdown Structure of a project.

Actual Costs

Actual costs are the sum of all Expenditure to date.

Agreement(s)

A document between two parties detailing the responsibilities of each party and the commercial arrangements between them.

Synonym: Contract, Services Agreement, Purchase Order

Approve

Authorised as acceptable by the appropriate person with accountability.

Area Layouts

Multi-discipline arrangement drawings which locate each key equipment item, level or building envelope and also provide specific zones for each ancillary service (ie cable tray zones, pipe rack areas etc.)

As Built

Drawings and technical documents reflecting the final dimensions, features and conditions of the project as constructed.

Associated Costs of Acceleration

The incremental increase or decrease in the direct / indirect costs of the Implementation Contractor. These may include the consequential costs of accelerating the Services.

Associated Costs of Extensions of Time

The incremental difference in the direct / indirect costs of the Implementation Contractor as a result of the Extension of Time. These may include consequential costs solely and directly attributable to any Extension of Time for completion of the Services.

Authorised Work

An activity that is approved to proceed.

Availability

The total energy available to the system, allowing for planned maintenance and breakdowns, as a percentage of total energy capacity.

Antimony Trioxide

ATO

 Antimony Trioxide (Sb₂O₃) white powder with approximately 82% Antimony (Sb) content.

AS/NZS 4801:2000

This document is used as the reference for Safety Management Standard within the Business Management System.

AS/NZS 4360:1999

Risk Management System Standard.

Bankable

The standard of a Study sufficiently rigorous to ensure the documents prepared can be used for arranging non or limited recourse debt finance.

Bankers Acceptance Test

BAT

A specified and defined test performed to prove the operation of the facility or a sub-set thereof in accordance with the contractual and required criteria.

Successful completion of this test shall be confirmed by the issue of an appropriate certificate and will usually result in a reduction or elimination of assets of the Parent Company being held as security by a lender. This certificate may also release the Implementation Contractor of its performance obligations towards the Owners.

Base Line

A fixed and defined basis of cost, schedule or scope of work usually defined when the Feasibility Study is signed off and the project committed. The base line is normally not altered and progress is used as a comparative measure against it.

Base Case

A case within a Feasibility Study considered the most likely or nominal configuration.

Base Date

When preparing an estimate and corresponding schedule, a base date is defined together with a set of base currency exchange rates for international currencies, labour rates, etc. which may vary from time to time. The base date is generally the date at which the estimate and schedule was compiled and completed.

Baseload

The minimum electrical load that is always present in the system. Baseload stations operate more or less continuously to meet demand.

Basis of Design

Sets out the project requirements in detail and forms a firm base for the Project Specification.

Battery Limits

The geographical demarcation, as indicated on a drawing etc., delineating the area of responsibility or Scope of Work of a given party.

Brownfields Project

When an existing facility is in operation and, extensions and modifications are made to the existing facility.

Budget

A planned allocation of resources (financial, time, personnel, etc.). The planned cost of needed materials is usually subdivided into quantity required and unit cost. The planned cost of labour is usually subdivided into the workhours required and the wage rate.

Budget Appropriation

The amount of money approved by the Owner in respect of a particular capital project.

 Synonyms: Approved Budget, Capital Expenditure Appropriation

Business Base Case

In an incremental project analysis, i.e. expansion, the existing case without the project.

Calendar Time

Equates to one (1) year, 12 months, 52 weeks, 365 days

Capacity

The greatest load that can be supplied by a production unit or in electrical terms a generating unit, power stations or entire grid system.

Capacity Factor

The ratio of actual usage of the plant to the total capacity of the plant (or system).

Capital Costs

CAPEX

Capital costs are those costs necessary to establish a project and to achieve first commercial production. Normally includes direct and indirect costs.

Cash Costs

Direct cash costs of production such as drilling, blasting, loading, hauling, milling, smelting, refining, freight, maintenance, marketing freight and selling costs. Direct cash costs include any intermediate product credits.

 Synonym: Direct Process Costs

Change Order

CO

Changes in scope which may or may not change the "Authorised Total" of the Approved Budget.

 Synonyms: Variation Order, Variation

Changes

Any difference which causes the base line budget, schedule, quality or performance of the Scope of Work or Scope of Services of the project to be altered, or the basis of the Agreement to be altered.

Chemical Reactions

Descriptions of the chemical interactions and formula for each process step.

Carbon Dioxide

CO₂

 A gas, generally from combustion oxidisation of carbon fuel

Commissioned

The bringing into operation on mined ore or feedstock of a plant and / or equipment on an increasing rate to achieve the design capacity.

Commissioning

Commencing the operation of a facility with the introduction of feedstock for the purpose of producing the intended product.

 Synonym: Hot commissioning, start up, ramp up

Commitment

The value of any contract, purchase order, agreement or other obligation between the Owner and the supplier of goods or services. The goods or services may or may not have been delivered as yet when the commitment is made.

 A commitment does not exist unless in writing and authorised.

Competent Person

A ‘Competent Person’ is a person who is a Member or Fellow of the Australasian Institute of Mining and Metallurgy and / or the Australian Institute of Geoscientists with a minimum of five years experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which that person is undertaking.

Concept Study

The initial study undertaken to determine the viability of a project. Occurs prior to the Pre-feasibility study and provides the least accurate forecasts for costs, time, production etc. Accuracy level is usually ± 30% to ± 50%.

Consolidated

The 100 per cent consolidation of entities controlled by the Parent Company together with the equity method consolidation of jointly controlled corporate entities or of corporate entities over which it exerts significant influence, but not control.

Constant Value Money

CVM

Cost estimates referenced to an agreed base date.

Synonym: Base Date Money

Construction

The part of the Implementation Phase when physical construction work occurs.

Construction Contractors

Organisations undertaking construction work at a project site. Generally does not include design activities.

Contingency

A provision based on experience which is intended to cover non measurable omissions and inaccuracies in the data used to compile the estimate, but which will be required if the project is to be complete.

Contracting Plan

Contracting techniques used to establish a contract between two parties e.g the Owner and Contractors. Broadly nominates the scope of work, type of contract (e.g design and construct) and the form, nature and number of contracts. The Contracting Plan also defines the interfaces between the parties and physical areas of work.

Control Budget

The budget against which the expenditure on the project is controlled and which may not be varied or exceeded without approval. Control Budget is the Budget (at appropriation) plus approved changes or transfers.

Control Description

A text of the general philosophy of the automated control and instrumentation of the process and hence the plant.

Control Document

Any document with a procedure which requires its issue and revisions to be performed to rigid processes.

Corporate Overhead

Costs of the Corporate functions above the Project Manager that are not contract or project specific, inclusive of corporate management, support services, non-project office costs, access to technology, depreciation and company insurances.

Corporate overhead may include contingency on quantities and rates, but not profit for contract completion risk. Also may include the cost of providing bonds, security and funding of differential cash flows.

Cost Control

The application of procedures to monitor commitments and expenditures and performance against progress of projects to actively take decisions or actions to ensure the Indicated Final Cost are less than authorised budgets.

Cost Curve

A world cost curve plots total world production versus cost, for all producers of a particular commodity. Total world production is expressed as a total percentage of 100 per cent, then broken up into four quartiles. The lowest cost quartile is Q1; the second cost quartile is Q2, etc. The further a producer is positioned to the left of the curve (ie Q1), the higher its net operating margins.

Cost Report

A report showing the Original Budget, Control Budget, Commitments, Estimate to Complete and Indicated Final Cost. Variances between the Approved or Control Budget and the Indicated Final Cost are also shown. Changes on a monthly basis may be included and the level of detail will vary from summary level to very detailed.

Critical Path

Sequence of jobs or activities in a network analysis project such that the total duration equals the sum of the durations of the individual jobs in the sequence. There is no (float) in activity durations along the critical path, which is the longest time path through the network.

Critical Path Method

CPM

A network technique used to analyse the time schedule of complex projects.

Data Date

The date at which the projects status is reported.

Defects Liability Period

Period whereby the supplier of the goods, services or facilities is obliged to rectify any errors at no cost to the Purchaser.

Deletion

To remove or no longer require (the Scope item). Substitution is to delete and then replace with either another scope item or another Full System.

Deliverables

The outputs in physical form for a defined phase of a project – a list of "deliverables" is established to measure progress of the work, and can be linked with milestone payments.

Design & Construct

D & C

Design and Construct contract basis (with the Owner providing the process and performance requirements, general configurations and overall standards to be achieved).

Detailed Design

Commencing from completion of basic engineering, the production of final engineering designs suitable for use in erecting facilities and / or for the preparation of fabrication drawings.

Development Costs

Those costs specific to a project, either capital or expense items, which occur prior to project capital expenditures and which are necessary in determining the potential of that project for consideration and eventual promotion.

Dilution

The incorporation of waste or non mineralised material with the ore during the mining process thus lowering the average grade or quality mined.

Direct Costs

Actual cost of bought in materials, equipment and labour inclusive of salary and wages, site allowances, personnel expenses and statutory burdens.

Duty Specification

Details the performance of a specific part of the project (plant) based on given feed materials and under specified conditions.

Earned Value

The periodic, consistent measurement of work performed in terms of the budget planned for that work. Earned value is the budgeted cost or work performed compared to the budgeted cost of work schedules (planned), to obtain performance measures. This is then compared to the actual cost of work performed to obtain cost performance.

Economic Cut-Off Grade

ECOG

The resource grade where the incremental cost per unit of mineral equals the incremental revenue per unit of mineral.

Economic Sampling Limit

The point where the marginal benefits of accumulating additional delineation information balances the costs.

Engineering

The part of the Execution Phase when engineering detailed design and documentation occurs.

Engineering Design Criteria

Basis of design for engineering disciplines including matters such as:

Ground conditions

Earthquake and wind loading

Standards to be followed

Preferred speeds, types of devices etc

Performance parameters

Engineering Standards

Guidelines or text indicating the common engineering performance and quality standards to be achieved from the facilities.

Engineering, Procurement and Construction

EPC

A project executed by an Implementation Contractor usually with varying process design warranties but full mechanical throughput warranties. The Implementation Contractor provides all engineering, supply and construction works. All engineering is generally done by the Implementation Contractor, a Sub-consultant or JV Partner, to an envelope performance criteria which includes a "fit of intended purpose" basis.

Engineering, Procurement and Construction Management

EPCM

Engineering, Procurement and Construction Management, where the Implementation Contractor supplies design and management services and others are contracted to provide materials, equipment and to install and construct the plant or facilities under the supervision of the Implementation Contractor.

Enterprise Bargaining Agreement

EBA

Environmental Impact Study

EIS

Environmental Management Program

EMP

Environmental Management System

EMS

Equipment and Motor List

A control document description of:

Equipment

Motor drawn kWs

Equipment number >

Equipment type

Location

Motor size

Drawing reference

Specification

reference

Equipment Data Sheet

Single data sheet describing each piece of equipment.

Data normally includes:

Process data

Materials

Physical

Performance

characteristics

Errors & Omissions

Services or work not correctly performed to the required standard, or not performed at all, but should have been.

Escalation

The provision in actual or estimated costs for an increase in the cost of equipment, material, labour etc, over that specified in the purchase order or contract due to continuing price level changes over time.

Estimate to Complete

ETC

The estimated cost to complete a project over and above the commitments already made. The estimated cost to complete plus commitments to date represent the indicated final cost.

Synonyms: Cost to Complete

Execution Phase

The phase of the project that commences after the Feasibility Study and is completed upon achieving a pre-determined level of output and quality. The Execution Phase generally consists of Engineering, Procurement, Construction, Pre-commissioning and Commissioning.

Exhibit

Specific document forming a referenced attachment to a Contract or Agreement.

Synonym: Schedule, Appendix

Expenditure

The value of an actual payment made.

Extension of Time

EOT

An extension to a date in an Agreement or, if referenced, to any date in a schedule of the Services, or for completing the Works or Facilities within stated times. Such an extension to an Agreement date may constitute a Change and hence a Variation to the Agreement.

Feasibility Study

FS

A detailed study addressing all aspects of a project upon which the Owner can decide on the validity of further investment in developing the project. The Feasibility Study forms the basis of the time, cost, quality, performance and scope of work criteria to be achieved in the execution phase.

Federation Internationale Des Ingenieurs – Conseils

FIDIC

An international form of contract

Fee

In the case of an EPCM Contractor or an Implementation Contractor, the sum of Profit and Corporate Overheads.

Fixed Price

A fixed price provided by a third party to undertake a set scope of work which remains unchanged unless the scope of work is altered, or it is adjusted by pre-set formula for certain criteria e.g escalation.

Force Majeure

Events beyond the control of either the Implementation Contractor or Owner.

Frequency Rate

FR

Number of lost time and medically treated injuries per million hours worked.

Fringe Benefits Tax

FBT

A tax on employee welfare benefits, ie expenses of employment such as holidays, sick leave, health and welfare benefits, retirement fund, training, supplemental union benefits, etc.

Full System

Consists of a number of units of property or groupings of items or equipment, connected together to convert the physical properties of feed materials from one physical or chemical state to another physical or chemical state.

Fully Allocated Unit Cost

This includes all mining and processing costs, amortisation, depreciation, marketing, royalties and administration costs, plus the cost (less the revenue) of co-products and intermediate products, divided by the quantity of metal produced.

Functional Currency

The currency that is most meaningful for the investment in the project. This is either the project’s country currency or US$.

Goals / Objectives

Statement of outcomes that may have multiple actions.

Greenfields Project

A project which is started in a new locality, from a bare plot of land, at which no specific infrastructure or services or any existing plants or facilities are available.

Guarantee and Maintenance Period

A contractually defined period, which commences at a specified time (usually mechanical completion) during which time the Implementation Contractor is responsible for the rectification of defective work.

Synonym: Defects Liability Period (DLP)

Hazard & Operability

HAZOP

Hazard and operability process to systematically review all safety potential aspects of a plant.

HAZOP Report

Report examining the risks associated with the hazards of operating the plant and measures to mitigate exposures to the operators and plant.

Heads of Agreement

A partially completed Agreement containing the non-legal wording of the matters contained in Term Sheets or other exchanges of matters. Legal issues only broadly presented. Subject to legal review and completion. Capable of being made conditionally and commercially binding on the parties.

Heat Balance

Thermodynamic flows and temperatures at minimum, design and maximum condition through each processing unit.

Histogram

A graphical representation of the frequency of estimated, actual and / or forecast events.

Hold

An area approved for design, approved for construction, drawing or specification which is not yet authorised.

Human Resource / Industrial Relations

HR / IR

The discipline of managing personnel within existing or new structures with reference to any employee representative organisations.

Implementation Contractor

The organisation leading or overall managing the Execution Phase of a project irrespective of the contracting strategy that has been adopted.

Synonym: Contractor

Indicated Final Cost

IFC

The sum of commitments to date and the cost to complete, including direct costs, indirect costs, Implementation Contractor costs, owner’s costs, contingency and escalation.

Synonyms: Forecast Final Cost, Estimate at Completion, Total Indicated Cost.

Indicated Mineral Resource

An Indicated Mineral Resource is that part of a Mineral Resource for which tonnage, densities, shape, physical characteristics, grade and mineral content can be estimated with a reasonable level of confidence.

Indirect Costs

Supervision and management costs directly incurred within the contract down to and inclusive of foremen, plus non-productive support labour but not craft labour. Material costs inclusive of consumables, temporary facilities, repairs and maintenance, fuel and other consumables. Costs of construction equipment at actual value or hire cost.

Inferred Mineral Resource

An Inferred Mineral Resource is that part of a Mineral Resource for which tonnage, grade and mineral content can be estimated with a low level of confidence.

Information Technology

IT

Initial Design Change

The identification by an Implementation Contractor that design development has occurred, which the Implementation Contractor considers is a Change to the original, or previously amended, current scope of the project.

Inputs and Outputs Specification

Specification of chemical and physical properties of materials entering or leaving a plant or main processing areas.

Inspection and Test Procedures / Programs

ITP

Those procedures or programs which define the inspections and test records identifying the periodical points (checklist, witness or hold) to be signed off by the manufacturer, supplier, designer or client from supply of raw material through final bench testing which verifies the testing and inspection of the equipment.

Internal Rate of Return

IRR

The rate of return on capital, received for an investment consisting of payments and income that occur at regular intervals.

ISO 9001 / 9002 / 9003

International Standards Organisations specifications for quality systems.

Issue Sheet

In-house summary of commercial issues, strategies and preferred outcomes addressing the main parameters, generally used for internal distribution only.

Issued for Construction

Drawings and documents which have been reviewed and approved and can be issued for Construction work to commence.

Key Performance Indicators

KPI

Defined and Measurable basis of quantification of outcomes.

Labour burden

Taxes and insurances the employer is required to pay by law based on labour payroll, on behalf of or for the benefit of labour.

Latent Conditions

Information not available or able to be obtained to a tenderer at the date of bidding. Latent Conditions often apply to existing ground conditions at the project site(s).

Level

The level of detail provided usually in a Project Schedule or Project Cost Report with Level 1 being a summary level and Level 5 being the most detailed.

Line List

Control document description for piping of:

Line size

ID number

Fluid

To & From

Material classification

Cladding / Insulation

Line Size Calculations

Calculation of pipework line sizes to match process flow rates, process design criteria and physical locations and routes.

Liquidated Damages

LD’s

Pre-estimated and agreed direct and indirect costs incurred by an Owner for late completion of a contract, or separable portion of a contract, by acts or omissions of an Implementation Contractor.

London Metal Exchange

LME

International market for the buying and selling of metals.

Lost Time Injury

LTI

An injury that results in at least one full shift being lost at some time (not necessarily immediately) after the shift during which the injury occurred.

Lost Time Injury Frequency Rate

LITFR

Lump Sum

The complete in-place cost of a system, a subsystem, a particular item, or an entire project. Lump-sum contracts imply that no additional charges or costs will be assessed against the Owner if the quantities of work vary.

Margin

The net difference between the contract price and all direct and indirect costs, but before corporate overhead and contract profit.

Mass Balance

Mass flow at minimum, design and maximum condition through each processing unit with inputs, outputs, loses and gains able to be reconciled.

Material Selection Guidelines

Guidelines for engineers to select and specify materials for equipment. General information on fluids ie. ph chemical composition, general types of material available, corrosion rates and allowances.

Measured Mineral Resource

A Measured Mineral Resource is that part of a Mineral Resource for which tonnage, densities, shape, physical characteristics, grade and mineral content can be estimate with a high level of confidence.

Mechanical Completion

The status of a single descrete unit of equipment or component, or a system of units and components together forming a processing unit, or a complete processing or facility line which is ready to commence with no-load tests to confirm pressure tests, alignment, rotation, control systems performance, safe operation, after cleaning, flushing and draining and filled with first fill of lubricants and processing fluids as necessary. The issue of an appropriate certificate shall confirm this status.

Synonyms: Cold Commissioning Completion.

Medically Treated Injury

MTI

An injury beyond the scope of first aid that requires treatment by a medical practitioner.

Metallurgical Guarantee

An element of a metallurgical recovery process to be guaranteed, based on the recovery, extraction or separation of a specified component of the feed stock at a given rate or percentage.

Milestone

Points in time when significant events should occur on a project e.g. Board Approval, Funding, Commence on Site, Mechanical Completion.

Mineral Resources

A Mineral Resource is a concentration or occurrence of material of intrinsic economic interest in or on the Earth’s crust in such form and quantity that there are reasonable prospects for eventual economic extraction.

Money-Of-The-Day

MOD

Estimates are escalated to money-of-the-day based on the project schedule and using agreed escalation rates.

Net Present Value

NPV

The present value of a series of future cash flows, taking the time value of money at a given discount rate.

Numbering Standards and Procedures.

Guidelines for the identification of items such as documents, equipment or material and the format for presentation of information in alphabetical and or numerical form.

Occupational Health and Safety

OH&S

Operating Costs

OPEX

Operating costs cover all site production costs and commence once the pre-determined level of output and quality have been achieved.

Operating Instructions

A text describing how a plant or item of equipment is to be operated.

Operations

The division within the Owner’s organisation that will operate and maintain the completed plant.

Operations and Maintenance Manuals

Documents prepared to explain the operation of equipment within a plant and how it should be maintained. Manuals are usually approved by the Owner’s Project Team prior to acceptance and may be requirement for achieving Mechanical Completion.

Ore Reserves

An Ore Reserve is the economically mineable part of a Measured or Indicated Mineral Resource.

Original Budget

The Budget amount approved at the time of original project approval.

Owner

The Owner is the appropriate Division or Company, Joint Venture or mine responsible for the project and operation of the completed project.

Owner Contingency Allowances

Monies allowed for by the Owner based on past experience, to cover unidentified changes, at the time of budget approval. Forms part of the Owner’s Costs budget.

Owner’s Costs

All costs identified as being the direct responsibility of the Owner from the start of the project to the handover to Operations may include pre-production and Operations costs prior to start of Commissioning.

Owner’s Team

The Owner’s Team consists of the Business Team, Project Team and Operations Team (prior to operations start-up).

Percent Complete

An estimate or measure expressed as a percent, of the amount of scope that has been completed up to a defined date on an activity or a group of activities.

Performance Bond

A security provided by the Contractor to give the Owner a commercial basis to enforce completion of the Contractor’s obligations. The security may be in the form of an irrevocable bank guarantee, letter of credit, insurance bond or cash.

Synonym: Security Guarantee

Performance Test

A test designed to prove the plant can be operated under normal operating and maintenance routines to yield the required recovery rates and capacities.

Piping and Instrument Diagram

P & ID

A visual representation of equipment, vessels, piping and instruments in diagrammatic form indicating:

Equipment items and number

Process piping or transfer devices and numbers

Line sizes and numbers

Measurement and control points

Control values

Instrumentation

Control loops

Piping Specification

Describing for each class of piping:

Materials of construction

Size ranges

Rating – pressures, temperatures, etc

Code compliance

Physical aspects

Brand / source

Planned Operating Time

Equates to Required Time less scheduled downtime.

Plant Commissioning Manual

A text of particular or special requirements related to commissioning the plant.

Plant Layouts

Overall arrangement drawings of main structures and equipment.

Plant Start up Description

A text of the general method of starting up the plant in a routine environment.

Pre-commissioning

PFS

Non-operating activities, such as adjustments, alignment checks, motor rotation, lubrication and hydrostatic testing, where applicable, to ready the plant for Commissioning and the introduction of feedstock.

Synonym: Cold Commissioning

Pre-feasibility Study

The Pre-feasibility Study occurs between the Concept Study and the Feasibility Study. Pre-feasibility Studies generally investigate various cases and configurations to recommend one case to be studied during the Feasibility Study phase. It is more accurate and detailed than the Concept Study but still inferior in the level of detail to the Feasibility Study. Level of accuracy usually ± 20%.

Probable Ore Reserves

A Probable Ore Reserve is the economically mineable part of an Indicated, and in some circumstances Measured Mineral Resource.

Process Calculations

Calculations of mass balances, process equipment ratings and sizes.

Process Design Criteria

The basis of the criteria for the mineral recovery process including operating parameters of efficiencies and availabilities.

Synonym: Process criteria

Process Engineering Design Criteria

A schedule of the basis of designing each element of the process.

Items such as:

Retention times

Settlement rates

Flow velocities

Viscosity

Process Equipment Data Sheets

Individual data sheets for each process unit incorporating information on the ratings, type, features and preliminary selection of the type of processing equipment.

Process Equipment Sizing Calculations

Calculations determining the minimum, design and maximum rating of process equipment

Process Flow diagram

PFD

A diagram in block form showing the process steps and the principle transfer rates between areas.

Process Guarantee

An undertaking that the plant will achieve specified capacity and recovery rates.

Procurement Plan

A schedule defining all the steps in the procurement process for each contract, purchase order, package or item of equipment so that priorities can be identified and progress monitored.

Procurement Strategy

A Procurement Strategy covers the policies to be adopted to ensure that all equipment, materials, services and labour are procured in the most efficient, low cost, timely method available under the circumstances influencing the execution of the project. The procurement strategy sets out interfaces including materials and equipment to be issued freely to Contractors.

Productive Time

Is Planned Operating Time less Unscheduled Downtime.

Project

The total plant to be designed, procured, constructed, commissioned and handed over to Operations, comprising of a mine if required, processing facility and the total infrastructure as required to support the mine and processing facility.

Project Base Case

A configuration of a project initially set as the most likely and optimum project parameters.

Project Base Date

When preparing an estimate and corresponding schedule, a base date is defined together with a set of base currency exchanged rates for international currencies. The base date is generally the date at which quotations are obtained, the estimate and schedule were compiled but not necessarily completed.

Project Execution Plan

PEP

Covers the entire period from project approval to Commissioning. Addresses objectives, strategy, resources, procedures, interfaces, etc.

Project Manager

The individual allocated responsible for managing or leading a project to completion.

Project Schedule

A diagram of activities against time defining when all the activities will occur on a project, presented in a logical sequence.

Synonym: Schedule, Program

Proved Ore Reserves

A Proved Ore Reserve is the economically mineable part of a Measured Mineral Resource.

Qualified Person

QP

A person described in Canadian National Instrument 43 101 section 1.1 Definitions, “qualified person”

Quality Assurance

QA

Traceable systems providing the evidence needed to establish confidence that the quality control process is being performed satisfactorily.

Quality Control

QC

The physical inspection of a product, to ensure its full compliance with the standards and specifications.

Ramp-up

The process of taking a commissioned plant from initial to the full, or near full, capacity rating.

Red Lined

"Approved for Construction" drawings marked up with as built information.

Request for Information

RFI

A system usually established to formally record requests for information and the responses supplied.

Request for Quotation

RFQ

A request for a quotation or tender price from a Construction Contractor, Supplier or Vendor.

Required on Site

ROS

Required on Site dates specified in an overall schedule or a Procurement Schedule for a project by which materials or equipment are needed to ensure no delays occur to erection or installation works.

Required Time

Is Calendar Time less Standby Time.

Return on Investment

ROI

The ratio of expected average annual after tax profit (during the earning life) to total investment including working capital.

Risk Management

The minimisation of adverse effects from risks to which a party is exposed.

Routine Design Development

During the engineering process, refined designs are developed to satisfy the performance parameters. These normally occur and are anticipated to occur in converting the incomplete outline of a project to a final design outcome.

Run of Mine Ore

ROM

Ore as shipped directly from the mine to the primary crushing or sizing plant or their immediate stockpiles.

Sampling System Description

A text describing the location, type size and frequency of sampling required.

Scheduled Downtime

Equates to:

Scheduled Process

Equipment Relocations

Scheduled Cable Moves

Routine crib, smoke breaks

Safety / Statutory Inspections

Scheduled Safety and Training

Scheduled Power Outages

Scheduled Process Delays (blasting)

Scheduled Equipment

Planned Corrective Maintenance

Planned Preventative Maintenance

Planned Shutdowns

Scope Item

Any single unit of property or items of equipment, constituting a project asset in their own right.

Scope of Services

A detailed description of the services to be performed by Consultants and Contractors under a Services Agreement.

Scope of Services Changes

A difference in Services from that agreed at the time of Contract acceptance, to that actually provided, which is definable as a Change to the Services Agreement.

Scope of Work

SOW

A detailed description of the scope of a particular item of work that has to be completed to achieve a defined objective.

Scope of Work Changes

A physical difference between the baseline project scope (at the time of engagement of an Implementation Contractor) and that incorporated in the Facilities, plant, equipment or features of a project, which is definable as a Change to the project.

Services

Non-physical assets such as advice or personal efforts.

Shift Utilisation

#NAME?

Significant Design Development

A design which is implemented to a significantly different performance criteria than the original specified performance parameter, causing a material difference in the Facility from that outlined in the design criteria or Feasibility Study.

Standard Drawings

Drawings for common items of supply and construction utilised throughout a project.

Standard Specifications

Specifications for common items of supply and construction utilised throughout the project.

Standard Unit of Measurement

The unit of measurement used when measuring quantities e.g cubic metres, square metres, tonnes and meters.

Standby Time

Equates to:

Roster structure

Industrial Disputes

Public Holidays

Abnormal Weather Delays

3^rd party supply failures

Start Up

Activities associated with operating the plant after feedstock has been introduced, which carries on until a pre-determined level of output and quality are achieved.

Synonym: Ramp-up

Statement of Work

SOW

Preparation of a document defining objectives, a work description, activities, deliverables, milestones, references, qualifications and estimated costs for an area, work package or activity.

Status

The actual condition of the project at a specified point in time, relative to the original plan.

Steering Committee

A team comprising senior representatives from one or different parties required to oversee the execution of a project.

Stream Data

Data on velocities, pressure drop etc, shown on mass balances or PFDs.

Study Contractor

An externally contracted organisation involved with the Owner during the Concept, Pre-feasibility and Feasibility Study phases.

Synonym: Study Consultant

Study Phase

The phase of a project when the Concept Study, Pre-feasibility Study or Feasibility Study are undertaken.

Sunk Cost

A cost that has already been incurred and which is not to be considered a part of the capital cost when making a new investment decision.

Technology Supplier(s)

An organisation providing specific technology for a process or system.

Term Sheets

Utilised as negotiating tools with major commercial and legal issues included. Principles documented sufficiently to support an exchange of letters of intent from the parties as to conditional acceptance of commercial arrangements.

Test Program

A text describing what tests are required to be performed during commissioning, normal start up and operations.

Throughput (Guarantee)

An element of a process guarantee which is based on the physical capacity of the plant to pass or discharge ore / material / product at a given rate, not necessarily the metallurgical recovery rate.

Trend

Any identified difference in cost or schedule from ‘as budgeted’ to forecast which is not a Scope of Work change nor grounds for a Variation.

Turnkey

A form of delivery of a total process design, supply, construction, commissioning and start-up of a project to specific performance requirements.

Synonym: Lump sum turn key (LSTK)

Unscheduled Downtime

Equates to:

Unscheduled Equipment being:

Breakdown Repairs

Diagnostic Time

Response Time

Waiting on parts

Clearing to repair

Preventative Maintenance Overrun

Equipment Failure

Unscheduled Process being:

No Operator (Unscheduled)

Unscheduled cable moves

No consumables (fuel & oil)

Equipment bogged

Normal weather events

Utilisation

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Utility Schematic

Similar to PFDs but for utilities which have only a mass transfer function.

Valuation Methods

Normally addresses the incremental differences for any Scope Variations (or Changes) in cost, time, quality or performance parameters, at the time in which the Variation (or Change) is intended to be made.

Value Added Tax

VAT

A tax added to the value of goods purchased. In some countries this may also be titled a Goods and Services Tax.

Value of Work Done

The value of work, goods and services received, whether they have been paid for or not.

Valve List

Schedule of valves indicating:

Valve number

Size

Fluid

Material / specification, classification

Valve type

Line number

Variations

Any amendment to a contract or services agreement to change the Scope of Work.

Vendors

Suppliers of equipment to a project. Installation, pre-commissioning and commissioning may also be included within the Scope of Work.

Vessel Data Sheet

Similar to Equipment Data Sheet, but showing size, orientation and connections for atmospheric or pressurised vessels.

Warranty

Commitment by a party that the contracted obligations will achieve a defined standard.

Warranty, Indemnity and Guarantees

WIGs

Warranty, Indemnity and Guarantees defining a party’s liability to the purchasing Company.

Water Balance

The inputs, outputs, loses and gains of free and contained water at maximum, design and minimum conditions through each processing unit.

Work Breakdown Structure

WBS

The manner in which the project is "broken down" into discrete working packages and structured to ensure adequate control.

Work Package

WP

The Work Package is the WBS element that primarily represents the execution strategy of the project by incorporating a collection of work to be carried out by one person or group for the project. Packages may be further subdivided into Activities and Tasks in the work breakdown structure of the project.

Working Capital

WC

Capital which is required to finance the operation of the asset being the differential cash flow of the business.