dygemysky:
Literally: separate.

What Gandolf will say here is that his and Gandalf's craft is not to create in the sense of something new but to create by separating something already in existence from that no thing which is every thing; that is, from the four elements.

Gandolf will also say that to create fire, for example, means to separate it from elemental air–fire–water–earth, and the separation of fire simultaneously creates the remaining three elements by the same power of separation.

Gandolf will acknowledge that also part of his craft is to direct the viewers' attention to where he wishes, fire in this case, and to misdirect their attention to the byproduct of his creation, the simultaneously created elementals.