from the readme.txt in the files:
SpellCrafting version 3.0, by Xanthos
Introduction
SpellCrafting is the ability to create magics that can be used to affix properties to an item. The system uses two types of jewels, Spellcrafting Jewels and Magic Jewels. The former provide for a specific property to be affixed to an item (i.e., faster casting). The latter provide the charges that affix one of the Spellcrafting properties to an item. Spellcraft Jewels are added to a Book of Spellcrafting, just like scrolls with a spellbook, by dropping them onto the book. There are 50 different Spellcraft Jewels, each with a property that it can affix to items. Magic Jewels are required to affix a property to an item and can be kept in a players backpack or dropped on the book as charges. Holding a lit candle while opening the book allows this "hidden writing" to be displayed. Provided with the system are the Guardian Of The Magics - this npc is a high hp caster that has a small chance to drop a random spellcraft and/or book and magic jewels. There is also a Spellcraft Vendor for those who would rather be able to buy the spellcraft items.

Looks like a sort of enchanting system for items, and not an actual spell crafting system.
 
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