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DCF is a valuation method used to estimate the value of an investment based on its expected future cash flows, which are discounted to account for the cost of capital. Mining companies use DCF to evaluate investment opportunities and decide on project funding.

Marginal cost is the change in total cost that arises when the quantity produced changes by one unit. In mining, marginal cost informs decisions on how much resource to extract, balancing increased quantity with the cost of extraction.

Senior mining companies are larger enterprises focusing on the extraction and processing of minerals. Their operations influence market supply, pricing, and regional economic development.

Opportunity costs represent the benefits a company forgoes by choosing one alternative over another. For mining companies, it can refer to the potential earnings from investing capital in different projects or markets rather than the current operation.

Ore grade is the concentration of the desired mineral or metal in the ore being mined. It is a critical economic indicator in the mining sector as higher-grade ores typically lead to lower production costs and higher profitability.

The payback period is the time required for the return on an investment to repay the total initial investment. In the mining industry, this metric is used to assess how quickly an investment in a mining project can be recovered.

Economies of scale refer to the cost advantage that arises with increased output of a product, which causes the average cost per unit to fall. In the mining sector, economies of scale can be realized through larger production volumes, more efficient equipment, and cost optimization.

Break-even analysis determines the production level at which total revenues equals total costs. In mining, it's used to calculate the amount of mineral that needs to be extracted and sold to cover the operating costs.

These are small companies specializing in the exploration of new mining sites. They are a critical part of the mining sector as their activities can lead to the discovery of new extractable resources, impacting supply and market economics.

The stripping ratio is the ratio of the volume of waste material required to be removed in order to extract a certain volume of ore. In mining economics, it influences the cost of extracting mineral and determines whether a deposit is economically feasible to mine.

AMD refers to outflow of acidic water from mines. While not an economic indicator, its management is a significant cost for mines and can have important economic impacts on mining operations due to environmental regulatory compliance and remediation.

Mineral reserves are the economically minable part of a measured or indicated resource. Reserve estimates affect financing and mine planning in the mining industry and are continuously updated based on exploration outcomes and market conditions.

IRR is the discount rate that makes the net present value (NPV) of all cash flows from a particular project equal to zero. In the mining sector, IRR is used to compare profitability of projects and to decide whether to proceed with the project investment.

A feasibility study evaluates a project’s potential for success. In the mining industry, this comprehensive study includes technical and economic analysis to determine if the project can be profitable before proceeding.

Commodity prices are the market prices for raw materials like metals and minerals. In the mining industry, changes in these prices directly affect profitability, valuation of reserves, and investment decisions.

The NPV represents the difference between the present value of cash inflows and outflows over a period of time. In the mining sector, NPV is used to assess the profitability of a mining project, considering the time value of money.

CAPEX is the funds used by a company to acquire or upgrade physical assets such as equipment, property, or industrial buildings. In the mining industry, CAPEX decisions influence the profitability and financial viability of mining projects.

OPEX consists of the day-to-day expenses required for operating a business, such as wages, utilities, and maintenance. In the mining sector, OPEX influences the operational aspects of the mines and affects the bottom line.

Rehabilitation costs refer to the funds necessary to restore a mining site after operations cease. These are critical for mine economics, influencing long term liability, and environmental responsibilities.

Classification refers to the categorization of mineral resources based on geological confidence and economic feasibility. This classification affects investment decisions and potential profitability of mining operations.

The exploration budget is allocated for activities aimed at discovering new mineral deposits. In mine economics, the budget affects the potential growth of reserves and future production levels.

Sunk costs are expenditures that have been incurred and cannot be recovered. In mine economics, they are relevant when deciding future investments, as they should not influence ongoing decision-making despite being part of the total costs.

RRR measures the amount of proved reserves added to a company's reserve base during the year relative to the amount of resource that was produced. In mining, maintaining a healthy RRR is crucial for sustainable operation.

LOM is the period over which mine operations are expected to continue, often dependent on the reserve base and production rate. In mining economics, it is fundamental in determining project lifespan and planning.