First question; I was wondering how 'flexible' the idea of the '12 words' was. I take it that it's meant to be a 12 word count limit, I was wondering how people would respond to '12 individual words' (but being able to use any of those 12 as much as you'd like). I don't have an idea for this, but thought it might be an interesting way to go.

Secondly;  Would there be any issues in using 'examples of play' outside of the 12 word limit? Or would that be considered to be part of the 'rules' and thus should adhere to it?

If you use the same word twice, it counts as two words. Some people have shown me ideas where they have a separate map for the game; the rules mention something about different colours, and each colour is used multiple times on the map. (I approve of the coloured map idea.)

As explained in the rules & FAQ, 12 words are only for the core mechanics. You can have other sections, and it is fine to use as many words as you want in them.