Glossary

Admission: The admission of the Company’s shares on AIM on 17 July 2006
AGM or Annual General Meeting: The Annual General Meeting of the Company which is scheduled to be held on Wednesday 27 June 2007 at 11.30 am at The Sefton Hotel, The Promenade, Douglas, Isle of Man
AIM: Alternative Investment Market of the London Stock Exchange
Board of Directors of the Company: The Board of Directors of Nikanor PLC
BVI: British Virgin Islands
CFA: Congolese Francs – the currency of the DRC
Co: Cobalt
Combined Code: The Combined Code on Corporate Governance issued by the Financial Reporting Council
Company or Nikanor: Nikanor PLC, a company incorporated in the Isle of Man
COGS: Cost of goods sold
CSR: Corporate Social Responsibility
Cu: Copper
Directors: The Directors of the Company
DCP: DRC Copper and Cobalt Project SARL, a 75% subsidiary of Nikanor and 25% owned by Gécamines, registered in the DRC
Definitive feasibility study (DFS): Definitive Feasibility Study prepared by GEC and its consultants dated June 2006
DRC: The Democratic Republic of Congo
EGM: Extraordinary General Meeting
EIS: Environmental Impact Study, as prepared by SRK for DCP
EMP: Environmental Management Plan, as prepared by SRK for DCP
EPC: Engineering, Procurement and Construction
EPCM: Engineering, Procurement, Construction and Management
EPS: Earnings Per Share
EUR: Euros
FRP: Financial Reporting Procedures Project
GBP/Â£: British Pounds Sterling
GDP: Gross Domestic Product
Gécamines: La Génerale des Carrieres et des Mines, the parastatal mining company wholly owned by the DRC government
GEC: Global Enterprises Corporate Limited, a wholly owned subsidiary of Nikanor, registered in the BVI
GRI: Global Reporting Initiative
The Group: Nikanor PLC and its subsidiary companies
HSSE: Health, Safety, Social and Environmental
IAS: International Accounting Standard
IASB: International Accounting Standards Board
ICMM: International Council on Mining and Metals
IFRIC: International Financial Reporting Interpretation Committee
IFRS: International Financial Reporting Standards
IPO: Initial Public Offering of shares
Joint Venture Agreement (JVA): An agreement entered into between GEC and Gécamines in relation to the mining of the open pit mines of KOV, Tilwezembe and Kananga
JORC: The Australasian Joint Ore Reserves Committee Code
K: Thousand
KM: Kilometre
KOV: Kamoto East, Oliveira, Virgule and FNSR ore bodies
KT: Thousand metric tones
KTK: Existing operations of the Kolwezi concentrator, Tilwezembe and Kananga mines
KZC: The Kolwezi concentrator
LIBOR: London inter bank offered rate
Listing: The listing of the Company’s ordinary shares on AIM on 17 July 2006
LMB: London Metal Bulletin
LME: London Metal Exchange
LSE: London Stock Exchange
LSTK: Lump sum turn key
LTIP: Long Term Incentive Plan
The Major Shareholders: Oakey Investment Holdings Inc., Pitchley Properties Limited and New Horizon Minerals Limited
Mining Code: The Mining Code introduced a standard licensing, tax, customs, exchange control and environmental obligations regime to be applied to mineral projects in the DRC, replacing the previous system of individual project agreements
Mining permits: Exploration permits in respect of the KOV (EP4961), Tilwezembe (EP4963) and Kananga (EP4960) mines
MOU: Memorandum of Understanding
M: Metre
MM: Millimeters
MT: Million metric tonnes
MW: Megawatt of electrical power
NGOS: Non-governmental organisations and other non-profit lobbying associations
Nominated Adviser (NOMAD): Under AIM rules, JPMorgan Cazenove are the Company’s nominated advisers but their responsibilities are owed solely to the London Stock Exchange and not to the Company or to any director or shareholder
Phoenix Mining SPRL: A non-trading, 100% Group owned subsidiary, incorporated in the DRC.
PLC: Public Limited Company
Relationship Agreement: The Major Shareholders and the Company entered into an agreement on 12 July 2006 to regulate the ongoing relationship between them. The principal purpose of the agreement is to ensure that the Company and its subsidiaries are capable of carrying on business independently of the Major Shareholders and of any of their associates and that transactions and relationships with the Major Shareholders and their associates are at arm’s length and on normal commercial terms
SAMREC: South African Code for Reporting of Mineral Resources
SNEL: Société Nationale d’Electricité
SRK: SRK Consulting (South Africa) (Pty) Ltd
SX-EW: Solvent extraction/ electro winning
TPA: Metric tonnes per annum
TSR: Total Shareholder Return
USD/$: US Dollars
ZAR: South African Rand