Glossary

Price of a share / the basic profit per share (P/E)

P/E = the price of a share / the basic profit per share.

P/E, earnings multiple, a ratio between price and profit, is a ratio between the capitalization of a company and its annual profits. The indicator is among the basic coefficients used for estimating the investment-wise attractiveness of public corporations. Small numbers mean that the company looked at is underestimated while large number mean it is overestimated.

Production drilling

Drilling wells with the purpose of putting mineral deposits into operation.

Profitability of assets

The profitability of assets = the worth of assets / net profits.

This is a relative indicator of the efficiency of activities. It is obtained as a quotient of the division of the amount of net profits received by a company over a certain period by the amount of the company's total assets for the same period.

Profitability of non-negotiable assets

The profitability of non-negotiable assets = the worth of non-negotiable assets / net profits.

The non-negotiable assets' net profit ratio shows the efficiency of the use of non-negotiable assets of a company.

Profitability of share capital

The profitability of share capital is the total share capital / net profits.

The profitability of share capital is indicative of the rate of return on a company's invested own capital.

Prospecting drilling

The way of prospecting for mineral deposits by drilling wells.