Mining Glossary P & Q

Pan - To wash gravel, sand or crushed rock samples in order to isolate gold or other valuable metals by their higher density.

Participating interest - A company's interest in a mine, which entitles it to a certain percentage of profits in return for putting up an equal percentage of the capital cost of the project.

Par value- The stated face value of a stock. Par value shares have no specified face value, but the total amount of authorized capital is set down in the company's charter.

Patent - The ultímate stage of holding a mineral claim, after which no more assessment work is necessary because all mineral rights have been earned.

Pegmatite - A coarse-grained, igneous rock, generally coarse, but irregular in texture, and similar to a granite in composition; usually occurs in dykes or veins and sometimes contains valuable minerals.

Pellet - A marble-sized ball of iron ore fused with clay for transportation and use in steelmaking.

Pentlandite - Nickel iron sulphide, the most common nickel ore.

Perídotite - An intrusive igneous rock consisting mainly of olivine.

Phaneritic - A term used to describe the coarse-grained texture of some igneous rocks.

Picket line - A reference line, marked by pickets or stakes, established on a property for mapping and survey purposes.

Pig iron - Crude iron from a blast furnace.

Pillar - A block of solid ore or other rock left in place to structurally support the shaft, walls or roof of a mine.

Pitchblende - An important uranium ore mineral. It is black in color, possesses a characteristic greasy lustre and is highly radioactive.

Placer - A deposit of sand and gravel containing valuable metals such as gold, tin or diamonds.

Plant - A building or group of buildings in which a process or function is carried out; at a mine site it will include warehouses, hoisting equipment, compressors, maintenance shops, offices and the mill or concentrator.

Plate tectonics - A geological theory which postulates that the Earth's crust is made up of a number of rigid plates which collide, rub up against and spread out from one another.

Plug - A common name for a small offshoot from a large body of molten rock.

Plunge - The vertical angle a linear geological feature makes with the horizontal plane.

Plutonic - Refers to rocks of igneous origin that have come from great depth.

Point - Unit of value of a stock as quoted by a stock exchange. May represent one dollar, one cent or one-eighth of a dollar, depending on the stock exchange.

Polishing pond - The last in a series of settling ponds through which mill effluent flows before being discharged into the natural environment.

Pooling shares - See escrowed shares.

Porphyry - Any igneous rock in which relatively large crystals, called phenocrysts, are set in a fine-grained groundmass.

Porphyry copper - A deposit of disseminated copper minerals in or around a large body of intrusive rock.

Portal - The surface entrance to a tunnel or adit.

Portfolio - A list of financial assets.

Possible reserves - Valuable mineralization not sampled enough to accurately estimate its tonnage and grade, or even verify its existence. Also called "inferred reserves."

Potash - Potassium compounds mined for fertilizer and for use in the chemical industry.

Precambrian Shield - The oldest, most stable regions of the earth's crust, the largest of which is the Canadian Shield.

Preferred shares - Shares of a limited liability company that rank ahead of common shares, but after bonds, in distribution of earnings or in claim to the company's assets in the event of liquidation. They pay a fixed dividend but normally do not have voting rights, as with common shares.

Price-to-earnings ratio - The current market price of a stock divided by the company's net earnings per share for the year.

Primary deposits - Valuable minerals deposited during the original period or periods of mineralization, as opposed to those deposited as a result of alteration or weathering.

Prívate placement - Sale of shares to individuals or corporations outside the normal market, at a negotiated price. Often used to raise capital for a junior exploration company.

Pro rata - In proportíon, usually to ownership, income or contribution.

Probable reserves - Valuable mineralization not sampled enough to accurately estimate the terms of tonnage and grade. Also called "indicated reserves."

Profit and loss statement - The income statement of a company detailing revenues rninus total costs to give total profit.

Prospect - A mining property, the value of which has not been determined by exploration.

Prospectus - A document filed with the appropriate securities commission detailing the activities and financial condition of a company seeking funds from the public through the issuance of shares.

Proton precession magnetometer - A geo-physical instrument which measures magnetic field intensity in terms of vertical gradient and total field.

Proven reserves - Reserves that have been sampled extensively by closely spaced diamond drill holes and developed by underground workings in sufficient detail to render an accurate estimation of grade and tonnage. Also called "measured reserves."

Proxy - A power of attorney given by the shareholder so that his stock may be voted by his nominee(s) at shareholders' meetings.

Pulp - Pulverized or ground ore in solution.

Put - An option to sell a stock at an agreed upon price within a specified time. The owner can present his put to the contracting broker at any time within the option period and compel him to buy the stock.

Pyramiding - The use of increased buying power to increase ownership arising from price appreciation.

Pyrite - A yellow iron sulphide mineral, normally of little value. It is sometimes referred to as "fool's gold".

Pyrrhotite - A bronze-colored, magnetic iron sulphide mineral.

Quartzite - A metamorphic rock formed by the transformation of sandstone by heat and pressure.