Guides
Mining valuation glossary
Short definitions for the terms used across the calculator and guides.
Company and market terms
Market capitalisation: share price multiplied by shares outstanding. Fully diluted shares: shares counting options, warrants and convertibles that could be exercised. Enterprise value (EV): market capitalisation adjusted for debt, cash and other claims.
EV to cash flow: enterprise value divided by annual cash flow, which depends on the multiple a user chooses to compare against.
Resource terms
Inferred, indicated, measured: resource confidence categories, from lowest to highest. Proven and probable: reserve categories that have passed economic tests. Grade: concentration of metal in rock, in grams per tonne or percent.
Recovery: share of contained metal retrieved by processing. Payability: share of recovered metal for which the buyer pays. Contained metal: quantity of metal in the rock before losses.
Cost and valuation terms
Cash cost: direct operating cost per unit. AISC: all-in sustaining cost, which includes sustaining capital. Sustaining capex: spending that maintains operations. Initial capex: spending to build the mine.
NAV: net asset value, the present value of project cash flows. WACC: weighted average cost of capital, used here as a discount rate. Royalty: payment to a rights holder, usually a percentage. Risked NAV: NAV after risk adjustment.
Try it with your own figures
The calculator starts with the market snapshot. Nothing is pre-filled for you, and results depend on what you enter.
Open the mining stock calculatorFrequently asked questions
- Do definitions differ between companies?
- Yes, especially for non-standard measures such as AISC. Read each issuer's own definition.