Gold Resource (GORO) 10-Q 5 May 20 2020 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Mar. 31, 2020	May 04, 2020
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2020
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q1
Entity Registrant Name	GOLD RESOURCE CORP
Entity Central Index Key	0001160791
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		70,026,027
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 18,366	$ 11,076
Gold and silver rounds/bullion	4,111	4,265
Accounts receivable, net	4,043	8,362
Inventories, net	24,805	24,131
Prepaid taxes	118	786
Prepaid expenses and other current assets	1,266	2,032
Total current assets	52,709	50,652
Property, plant and mine development, net	124,450	125,259
Operating lease assets, net	5,305	7,436
Deferred tax assets, net	8,433	4,635
Other non-current assets	5,176	5,030
Total assets	196,073	193,012
Current liabilities:
Accounts payable	12,092	14,456
Loans payable, current	888	879
Finance lease liabilities, current	452	446
Operating lease liabilities, current	5,192	7,287
Income taxes payable, net	1,289
Mining royalty taxes payable, net	1,018	1,538
Accrued expenses and other current liabilities	3,563	3,366
Total current liabilities	24,494	27,972
Reclamation and remediation liabilities	5,487	5,605
Loans payable, long-term	556	782
Finance lease liabilities, long-term	320	435
Operating lease liabilities, long-term	124	160
Total liabilities	30,981	34,954
Shareholders' equity:
Common stock - $0.001 par value, 100,000,000 shares authorized: 69,541,527 and 65,691,527 shares outstanding at March 31, 2020 and December 31, 2019, respectively	70	66
Additional paid-in capital	158,987	148,171
Retained earnings	13,090	16,876
Treasury stock at cost, 336,398 shares	(5,884)	(5,884)
Accumulated other comprehensive loss	(1,171)	(1,171)
Total shareholders' equity	165,092	158,058
Total liabilities and shareholders' equity	$ 196,073	$ 193,012

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Mar. 31, 2020	Dec. 31, 2019
CONDENSED CONSOLIDATED BALANCE SHEETS
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares outstanding	69,541,527	65,691,527
Treasury stock, shares	336,398	336,398

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Sales, net	$ 28,005	$ 26,578
Depreciation and amortization	7,398	3,646
Reclamation and remediation	38	16
Total mine cost of sales	28,321	21,139
Mine gross (loss) profit	(316)	5,439
Costs and expenses:
General and administrative expenses	2,274	2,011
Other expense, net	1,513	25
Total costs and expenses	4,942	3,486
(Loss) income before income taxes	(5,258)	1,953
Provision for income taxes	(2,137)	1,071
Net (loss) income	$ (3,121)	$ 882
Net (loss) income per common share:
Basic and diluted	$ (0.05)	$ 0.01
Weighted average shares outstanding:
Basic	66,022,202	60,672,133
Diluted	66,022,202	61,142,088
Production costs
Total mine cost of sales	$ 20,885	$ 17,477
Exploration expenses
Costs and expenses:
Total costs and expenses	$ 1,155	$ 1,450

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY - USD ($) $ in Thousands	Common Shares	Additional Paid-in Capital	Retained Earnings	Treasury Stock	Accumulated Other Comprehensive Income (Loss)	Total
Balance at Dec. 31, 2018		$ 121,602	$ 12,656	$ (5,884)	$ (1,171)	$ 127,262
Balance (in shares) at Dec. 31, 2018	59,186,829
Balance at Dec. 31, 2018	$ 59
Stock-based compensation		336				336
Net stock options exercised	$ 1	97				$ 98
Net stock options exercised (in shares)	69,448					274,750
Common stock issued for vested restricted stock units (in shares)	14,804
Dividends declared			(307)			$ (307)
Issuance of stock, net of issuance costs	$ 3	10,900				10,903
Issuance of stock, net of issuance costs (in shares)	2,562,130
Net income (loss)			882			882
Balance at Mar. 31, 2019		132,935	13,231	(5,884)	(1,171)	139,174
Balance (in shares) at Mar. 31, 2019	61,833,211
Balance at Mar. 31, 2019	$ 63
Balance at Dec. 31, 2019		148,171	16,876	(5,884)	(1,171)	158,058
Balance (in shares) at Dec. 31, 2019	66,027,925
Balance at Dec. 31, 2019	$ 66					66
Stock-based compensation		470				$ 470
Net stock options exercised (in shares)						0
Dividends declared			(665)			$ (665)
Issuance of stock, net of issuance costs	$ 4	10,346				10,350
Issuance of stock, net of issuance costs (in shares)	3,850,000
Net income (loss)			(3,121)			(3,121)
Balance at Mar. 31, 2020		$ 158,987	$ 13,090	$ (5,884)	$ (1,171)	165,092
Balance (in shares) at Mar. 31, 2020	69,877,925
Balance at Mar. 31, 2020	$ 70					$ 70

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Cash flows from operating activities:
Net income	$ (3,121)	$ 882
Adjustments to reconcile net income to net cash from operating activities:
Deferred income taxes	(4,650)	895
Depreciation and amortization	7,535	3,763
Stock-based compensation	470	336
Other operating adjustments	1,780	(128)
Changes in operating assets and liabilities:
Accounts receivable	4,320	(2,771)
Inventories	(3,495)	(6,324)
Prepaid expenses and other current assets	175	221
Other non-current assets	921	40
Accounts payable and other accrued liabilities	(802)	3,222
Mining royalty and income taxes payable, net	1,844	(784)
Net cash provided by operating activities	4,977	(648)
Cash flows from investing activities:
Capital expenditures	(6,929)	(8,786)
Other investing activities	1	1
Net cash used in investing activities	(6,928)	(8,785)
Cash flows from financing activities:
Proceeds from the exercise of stock options		98
Proceeds from issuance of stock	10,350	10,806
Dividends paid	(657)	(303)
Repayment of loans payable	(216)	(187)
Repayment of finance leases	(109)	(101)
Net cash provided by (used in) financing activities	9,368	10,313
Effect of exchange rate changes on cash and cash equivalents	(127)	(115)
Net increase (decrease) in cash and cash equivalents	7,290	765
Cash and cash equivalents at beginning of period	11,076	7,762
Cash and cash equivalents at end of period	18,366	8,527
Supplemental Cash Flow Information
Interest expense paid	32	42
Income and mining taxes paid	197	209
Non-cash investing activities:
Change in capital expenditures in accounts payable	(950)	2,303
Change in estimate for asset retirement costs	$ 435	462
Equipment purchased through loan payable		$ 330

Basis of Preparation of Financi

Basis of Preparation of Financial Statements	3 Months Ended
	Mar. 31, 2020
Basis of Preparation of Financial Statements
Basis of Preparation of Financial Statements	1. Basis of Preparation of Financial Statements The interim Condensed Consolidated Financial Statements (“interim financial statements”) of Gold Resource Corporation and its subsidiaries (collectively, the “Company”) are unaudited and have been prepared in accordance with the rules of the Securities and Exchange Commission for interim statements. Certain information and footnote disclosures required by United States Generally Accepted Accounting Principles (“U.S. GAAP”) have been condensed or omitted as permitted by such rules, although the Company believes that the disclosures included are adequate to make the information presented not misleading. In the opinion of management, all adjustments (including normal recurring adjustments) and disclosures necessary for a fair presentation of these interim financial statements have been included. The results reported in these interim financial statements are not necessarily indicative of the results that may be reported for the entire year. These interim financial statements should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2019 included in the Company’s annual report on Form 10-K. The year-end balance sheet data was derived from the audited financial statements. Unless otherwise noted, there have been no material changes to the footnotes from those accompanying the audited consolidated financial statements contained in the Company’s annual report on Form 10-K. Certain items in the prior period’s Condensed Consolidated Financial Statements have been reclassified to conform to the current presentation.

Recently Adopted Accounting Sta

Recently Adopted Accounting Standards	3 Months Ended
	Mar. 31, 2020
Recently Adopted Accounting Standards
Recently Adopted Accounting Standards	2. Recently Adopted Accounting Standards In June 2016, the Financial Accounting Standards Board issued ASU No. 2016-13, "Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments”. The standard modifies the measurement approach for credit losses on financial instruments, including trade receivables, from an incurred loss method to a current expected credit loss method. The standard requires the measurement of expected credit losses to be based on relevant information, including historical experiences, current conditions and a forecast that is supportable. The Company adopted the new standard on January 1, 2020. The adoption of the standard did not have any effect on our Condensed Consolidated Financial Statements.

Revenue

Revenue	3 Months Ended
	Mar. 31, 2020
Revenue
Revenue	3. Revenue The Company derives its revenue from the sale of d oré and concentrates. The following table presents the Company’s net sales for each period presented, disaggregated by source: Three months ended March 31, 2020 2019 (in thousands) Doré sales, net Gold $ 7,683 $ 1,683 Silver 676 400 Less: Refining charges (92) (38) Total doré sales, net 8,267 2,045 Concentrate sales Gold 6,216 4,565 Silver 5,215 3,761 Copper 2,361 2,114 Lead 3,479 3,395 Zinc 9,040 12,271 Less: Treatment and refining charges (5,835) (3,410) Total concentrate sales, net 20,476 22,696 Realized/unrealized embedded derivative, net (738) 1,837 Total sales, net $ 28,005 $ 26,578

Gold and Silver Rounds_Bullion

Gold and Silver Rounds/Bullion	3 Months Ended
	Mar. 31, 2020
Gold and Silver Rounds/Bullion
Gold and Silver Rounds/Bullion	4. Gold and Silver Rounds/Bullion The Company periodically purchases gold and silver bullion on the open market for investment purposes and to use in its dividend exchange program under which shareholders may exchange their cash dividends for minted gold and silver rounds. At March 31, 2020 and December 31, 2019, the Company’s holdings of rounds/bullion, using quoted market prices, consisted of the following: 2020 2019 Ounces Per Ounce Amount Ounces Per Ounce Amount (in thousands) (in thousands) Gold 1,866 $ 1,609 $ 3,002 1,866 $ 1,515 $ 2,827 Silver 79,605 $ 13.93 1,109 79,662 $ 18.05 1,438 Total holdings $ 4,111 $ 4,265

Inventories

Inventories	3 Months Ended
	Mar. 31, 2020
Inventories
Inventories	5. Inventories, net At March 31, 2020 and December 31, 2019, inventories, net consisted of the following: 2020 2019 (in thousands) Stockpiles - underground mine $ 3,301 $ 3,968 Stockpiles - open pit mine 165 833 Leach pad 11,542 9,103 Concentrates 1,826 1,340 Doré (1) 1,233 1,581 Subtotal - product inventories 18,067 16,825 Materials and supplies (2) 6,738 7,306 Total $ 24,805 $ 24,131 (1) Net of reserve of $378 and $478 at March 31, 2020 and December 31, 2019, respectively. (2) Net of reserve for obsolescence of $1,264. In addition to the inventory above, as of March 31, 2020 and December 31, 2019, the Company has $4.8 million and $4.7 million, respectively, of low-grade ore stockpile inventory included in other non-current assets on the accompanying Condensed Consolidated Balance Sheets. During the three months ended March 31, 2020 and 2019, the Company recorded a net realizable value inventory adjustment of $1.6 million and nil, respectively, for inventories at its Isabella Pearl Mine.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2020
Income Taxes
Income Taxes	6. Income Taxes The Company recorded income tax benefit of $2.1 million and income tax expense of $1.1 million for the three months ended March 31, 2020 and 2019, respectively . In accordance with applicable accounting rules, the interim provision for taxes was calculated by using the consolidated effective tax rate. The consolidated effective tax rate is a function of the combined effective tax rates for the jurisdictions in which the Company operates. Variations in the relative proportions of jurisdictional income could result in fluctuations to the Company’s consolidated effective tax rate. At the federal level, the Company’s losses in the U.S. are taxed at 21%, while a 5% net proceeds of minerals tax applies to the Company’s operations in Nevada. The U.S. tax results are netted against the Company’s income in Mexico which is taxed at 37.5% (30% income tax and 7.5% mining tax), which has resulted in a consolidated effective tax rate above statutory rates. Enacted in response to the novel coronavirus (“COVID-19”) pandemic, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act provides roughly $2 trillion in economic relief to eligible businesses and individuals impacted by the novel coronavirus outbreak. The CARES Act is significant legislation that will affect nearly every aspect of the economy. The CARES Act affected corporate taxpayers, including corporations seeking sources of liquidity through net operating loss (“NOL”) carryback claims and income tax refunds. The Company has not applied for aid or relief funds under the CARES Act and in most cases will not qualify for such aid as our operations in the U.S. have continued uninterrupted and our suspended operation in Mexico is considered to be foreign business, thus not qualifying for benefits under the Act. However, as a result of changes under the CARES Act, corporate taxpayers with eligible NOLs may now carryback those losses to prior years to receive a refund of up to five years of prior taxes paid. As the CARES Act did not modify IRC Section 172(b)(3), a taxpayer, where advantageous, can still waive the carryback and elect to carry NOLs forward to subsequent tax years. Further, for years 2018 thru 2020, the CARES Act removed the 80% NOL utilization limitation on corporate taxpayers, thus the Company may use NOLs to fully offset taxable income in those years. The CARES Act has no immediate impact on the Company’s income taxes, however removal of the NOL utilization limitation will expedite its future realization of US losses generated post Tax Cuts and Jobs Act of 2017. The Company periodically transfers funds from its Mexican wholly-owned subsidiary to the U.S. in the form of dividends. Mexico requires a 10% withholding tax on dividends to foreign parent companies on all post-2013 earnings. Dividends from earnings generated prior to 2014 were exempted from the new dividend withholding tax. The Company commenced distribution of post-2013 earnings from Mexico in 2018. According to the existing U.S. – Mexico tax treaty, the dividend withholding tax between these countries is limited to 5% if certain requirements are met. Based on the Company’s review of these requirements, it estimates it will pay a 5% withholding tax on dividends received from Mexico in 2020. The impact of the planned annual dividends for 2020 is reflected in the estimated annual effective tax rate. As of March 31, 2020, the Company believes that it has no liability for uncertain tax positions.

Prepaid Expenses and Other Curr

Prepaid Expenses and Other Current Assets	3 Months Ended
	Mar. 31, 2020
Prepaid Expenses And Other Current Assets
Prepaid Expenses and Other Current Assets	7. Prepaid Expenses and Other Current Assets At March 31, 2020 and December 31, 2019, prepaid expenses and other current assets consisted of the following: 2020 2019 (in thousands) Advances to suppliers $ 89 $ 109 Prepaid insurance 767 1,333 IVA taxes receivable, net - 245 Prepaid royalties 103 127 Other current assets 307 218 Total $ 1,266 $ 2,032

Property, Plant and Mine Develo

Property, Plant and Mine Development, net	3 Months Ended
	Mar. 31, 2020
Property, Plant and Mine Development, net
Property, Plant and Mine Development,net	8. Property, Plant and Mine Development, net At March 31, 2020 and December 31, 2019, property, plant and mine development, net consisted of the following: 2020 2019 (in thousands) Asset retirement costs $ 3,847 $ 3,412 Construction-in-progress (1) 15,279 11,965 Furniture and office equipment 2,101 2,087 Leach pad and ponds 5,649 5,649 Land 242 242 Light vehicles and other mobile equipment 2,553 2,553 Machinery and equipment 44,125 43,364 Mill facilities and infrastructure 31,966 31,408 Mineral interests and mineral rights 18,228 18,228 Mine development 91,422 90,089 Software and licenses 1,659 1,659 Subtotal (2) (3) 217,071 210,656 Accumulated depreciation and amortization (92,621) (85,397) Total $ 124,450 $ 125,259 (1) Includes Nevada pre-production stripping costs of $13.3 million and $9.6 million at March 31, 2020 and December 31, 2019, respectively. Mexico construction-in-progress was $1.9 million and $2.4 million at March 31, 2020 and December 31, 2019, respectively. (2) Includes $1.8 million of assets recorded under finance leases. Please see Note 13 for additional information. (3) Includes accrued capital expenditures of $2.8 million and $3.8 million at March 31, 2020 and December 31, 2019, respectively. The Company recorded depreciation and amortization expense of $7.5 million and $3.8 million for the three months ended March 31, 2020 and 2019, respectively .

Accrued Expenses and Other Curr

Accrued Expenses and Other Current Liabilities	3 Months Ended
	Mar. 31, 2020
Accrued Expenses and Other Current Liabilities
Accrued Expenses and Other Current Liabilities	9. Accrued Expenses and Other Current Liabilities At March 31, 2020 and December 31, 2019, accrued expenses and other current liabilities consisted of the following: 2020 2019 (in thousands) Accrued insurance $ 216 $ 452 Accrued royalty payments 2,316 2,212 Dividends payable 227 219 IVA taxes payable, net 514 - Other payables 290 483 Total $ 3,563 $ 3,366

Reclamation and Remediation

Reclamation and Remediation	3 Months Ended
	Mar. 31, 2020
Reclamation And Remediation
Reclamation and Remediation	10. Reclamation and Remediation The following table presents the changes in reclamation and remediation obligations for the three months ended March 31, 2020 and year ended December 31, 2019: 2020 2019 (in thousands) Reclamation liabilities – balance at beginning of period $ 2,014 $ 2,009 Changes in estimate - (82) Foreign currency exchange (gain) loss (401) 87 Reclamation liabilities – balance at end of period 1,613 2,014 Asset retirement obligation – balance at beginning of period 3,591 1,289 Changes in estimate 435 2,172 Accretion 71 102 Foreign currency exchange (gain) loss (223) 28 Asset retirement obligation – balance at end of period 3,874 3,591 Total period end balance $ 5,487 $ 5,605 The Company’s reclamation liabilities are related to the Aguila project in Mexico. The Company’s asset retirement obligations were discounted using a credit adjusted risk-free rate of 8%. As of March 31, 2020 and December 31, 2019, the Company recorded an asset retirement obligation of $3.0 million and $2.5 million, respectively, related to the Isabella Pearl project. As of March 31, 2020 and December 31, 2019, the Company’s asset retirement obligation related to the Aguila project in Mexico was $0.9 million and $1.1 million, respectively.

Loans Payable

Loans Payable	3 Months Ended
	Mar. 31, 2020
Loans Payable
Loans Payable	11. Loans Payable The Company has financed certain equipment purchases on a long-term basis. The loans bear annual interest at rates ranging from 3% to 4.48%, are collateralized by the equipment, and require monthly principal and interest payments of $0.08 million. As of March 31, 2020, and December 31, 2019, there was an outstanding balance of $1.4 million and $1.7 million, respectively. Scheduled minimum repayments are $0.7 million in 2020, $0.7 million in 2021, and $0.1 million in 2022. One of the loan agreements is subject to a prepayment penalty of 1% of the outstanding loan balance at time of repayment. The fair value of the loans payable, based on Level 2 inputs, approximated the outstanding balance at both March 31, 2020 and December 31, 2019. See Note 19 for the definition of a Level 2 input.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2020
Commitments and Contingencies
Commitments and Contingencies	12. Commitments and Contingencies The Company has a Contract Mining Agreement with a mining contractor relating to mining activities at its Isabella Pearl project. Included in this Agreement is an embedded lease for the mining equipment for which the Company has recognized a right-of-use asset and corresponding operating lease liability. Please see Note 13 for more information. In addition to the embedded lease payments, the Company pays the contract miner operational costs in the normal course of business. These costs represent the remaining future contractual payments for the Contract Mining Agreement over its term. The contractual payments are determined by rates within the Contract Mining Agreement, estimated tonnes moved and bank cubic yards for drilling and blasting. As of March 31, 2020, total estimated contractual payments remaining, excluding embedded lease payments, are $5.4 million for the year ended December 31, 2020. As of March 31, 2020, the Company has equipment purchase commitments aggregating approximately $1.1 million.

Leases

Leases	3 Months Ended
	Mar. 31, 2020
Leases
Leases	13. Leases Operating Leases The Company leases office equipment and administrative offices from third parties as well as an administrative office from a related party. In addition, the Company has an embedded lease in its Contract Mining Agreement. Leases with an initial term of 12 months or less are not recorded on the balance sheet; the Company recognizes lease expense for these leases as incurred over the lease term. For leases beginning in 2019 and later, the Company accounts for lease components (e.g., fixed payments including rent, real estate taxes and insurance costs) separately from the non-lease components (e.g., common-area maintenance costs). Some leases include one or more options to renew, with renewal terms that can extend the lease term from one to two years. The exercise of lease renewal options is at the Company’s sole discretion. The depreciable life of assets are limited by the expected lease term, unless there is a transfer of title or purchase option reasonably certain of exercise. The weighted average remaining lease term for the Company’s operating leases as of March 31, 2020 is 0.65 years. The discount rate implicit within the Company’s leases is generally not determinable and therefore the Company determines the discount rate based on its incremental borrowing rate. The incremental borrowing rate for the Company’s leases is determined based on the lease term adjusted for impacts of collateral. The weighted average discount rate used to measure the Company’s operating lease liabilities as of March 31, 2020 was 4.48%. There are no material residual value guarantees and no restrictions or covenants imposed by the Company’s leases. Most of the Company’s leases have a standard payment schedule; however, the payments for its mining equipment embedded lease are determined by tonnage hauled. This embedded lease is within a Contract Mining Agreement entered into for the mining activities at the Company’s Isabella Pearl project. The payments, amortization of the right-of-use asset, and interest vary immaterially from forecasted amounts due to variable conditions at the mine. During the three months ended March 31, 2020, the Company capitalized variable lease costs of $0.7 million to Inventory and $1.5 million to Property, plant, and mine development, respectively. The components of all other lease costs recognized within the Company’s Condensed Consolidated Statements of Operations are as follows: Three months ended March 31, Lease Cost Type Consolidated Statements of Operations Location 2020 2019 (in thousands) Operating lease cost General and administrative expenses $ 18 $ 20 Operating lease cost Production costs 20 19 Related party lease cost General and administrative expenses 13 11 Short term lease cost Production costs 66 191 Maturities of operating lease liabilities as of March 31, 2020 are as follows (in thousands) : Year Ending December 31: 2020 $ 5,230 2021 151 2022 13 2023 - Thereafter - Total lease payments 5,394 Less imputed interest (78) Present value of minimum payments 5,316 Less: current portion (5,192) Long-term portion of minimum payments $ 124 Finance Leases The Company has finance lease agreements for certain equipment. The leases bear annual imputed interest of 1.58% to 5.95% and require monthly principal, interest, and sales tax payments of $0.04 million. The weighted average discount rate for the Company’s finance leases is 5.80%. Scheduled minimum annual payments as of March 31, 2020 are as follows (in thousands) : Year Ending December 31: 2020 $ 362 2021 419 2022 13 2023 13 Thereafter 3 Total minimum obligations 810 Less: interest portion (38) Present value of minimum payments 772 Less: current portion (452) Long-term portion of minimum payments $ 320 The weighted average remaining lease term for the Company’s finance leases as of March 31, 2020 is 1.77 years. Supplemental cash flow information related to the Company’s operating and finance leases is as follows for the three months ended March 31, 2020 and 2019: Three months ended March 31, 2020 2019 (in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 766 $ 798 Operating cash flows from finance leases 12 93 Investing cash flows from operating lease 1,452 846 Financing cash flows from finance leases 110 17

Embedded Derivatives

Embedded Derivatives	3 Months Ended
	Mar. 31, 2020
Embedded Derivatives
Embedded Derivatives	14. Embedded Derivatives Concentrate sales contracts contain embedded derivatives due to the provisional pricing terms for unsettled shipments. At the end of each reporting period, the Company records an adjustment to accounts receivable and revenue to reflect the mark-to-market adjustments for outstanding provisional invoices based on metal forward prices. Please see Note 19 for additional information. The following table summarizes the Company’s unsettled sales contracts as of March 31, 2020 with the quantities of metals under contract subject to final pricing occurring through May 2020: Gold Silver Copper Lead Zinc (ounces) (ounces) (tonnes) (tonnes) (tonnes) Under contract 3,584 219,721 436 989 1,169 Average forward price (per ounce or tonne) $ 1,569 $ 15.77 $ 5,484 $ 1,699 $ 1,878

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2020
Stock-Based Compensation
Stock-Based Compensation	15. Stock-Based Compensation The Gold Resource Corporation 2016 Equity Incentive Plan (the “Incentive Plan”) allows for the issuance of up to 5 million shares of common stock in the form of incentive and non-qualified stock options, stock appreciation rights, restricted stock units (“RSUs”), stock grants, stock units, performance shares, performance share units and performance cash. Additionally, pursuant to the terms of the Incentive Plan, any award outstanding under the any prior plan that is terminated, expired, forfeited, or canceled for any reason, will be available for grant under the Incentive Plan. During the three months ended March 31, 2019, a total of 14,804 RSUs vested and shares were issued with an intrinsic value of $0.1 million and a fair value of $0.1 million. No RSU’s vested during the three months ended March 31, 2020. During the three months ended March 31, 2019, stock options to purchase an aggregate of 274,750 shares of the Company’s common stock were exercised at a weighted average exercise price of $3.95 per share. Of that amount, 250,000 of the options were exercised on a net exercise basis, resulting in 44,698 shares being delivered. The remaining 24,750 options were exercised for cash . No stock options were exercised during the three months ended March 31, 2020. Stock-based compensation expense for stock options and RSUs for the periods presented is as follows: Three months ended March 31, 2020 2019 (in thousands) Stock options $ 222 $ 211 Restricted stock units 248 125 Total $ 470 $ 336 The Company has a short-term incentive plan for its executive officers that provides for the grant of either cash or stock-based bonus awards payable upon achievement of specified performance metrics (the “STIP”). As of March 31, 2020 and December 31, 2019, nil has been accrued related to the STIP .

Shareholders' Equity

Shareholders' Equity	3 Months Ended
	Mar. 31, 2020
Shareholders' Equity
Shareholders' Equity	16. Shareholders’ Equity On April 3, 2018, the Company entered into an At-The-Market Offering Agreement (the “ATM Agreement”) with an investment banking firm (“Agent”) pursuant to which the Agent agreed to act as the Company’s sales agent with respect to the offer and sale from time to time of the Company’s common stock having an aggregate gross sales price of up to $75.0 million (the “Shares”). The ATM Agreement will remain in full force and effect until the earlier of (i) April 3, 2021, (ii) the effective date for a shelf registration filed with the Securities and Exchange Commission, when a new ATM agreement will be effective, or (iii) the date that the ATM Agreement is terminated in accordance with its terms. An aggregate of 3,850,000 shares and 2,562,130 shares of the Company’s common stock were sold through the ATM Agreement during the three months ended March 31, 2020 and 2019, for net proceeds to the Company, after deducting the Agent’s commissions and other expenses, of $10.4 million and $10.8 million, respectively. During the three months ended March 31, 2019, the Company issued 25,000 shares of its common stock a t a value of $3.88 per share as payment for a one-year investor relations agreement with a third-party. During the three months ended March 31, 2020 and 2019, the Company declared and paid dividends of $0.01 and $0.005 per common share, respectively, for an aggregate total of $0.7 million and $0.3 million, respectively.

Other Expense, Net

Other Expense, Net	3 Months Ended
	Mar. 31, 2020
Other Expense, Net
Other Expense, Net	17. Other Expense, net Other expense, net, for the periods presented consisted of the following: Three months ended March 31, 2020 2019 (in thousands) Unrealized currency exchange loss (gain) $ 1,618 $ (127) Realized currency exchange (gain) loss (291) 151 Unrealized loss (gain) from gold and silver rounds/bullion, net (1) 151 (17) Other expense 35 18 Total $ 1,513 $ 25 (1) Gains and losses due to changes in fair value are non-cash in nature until such time that they are realized through cash transactions. For additional information regarding the Company’s fair value measurements and investments, please see Note 19.

Net Income per Common Share

Net Income per Common Share	3 Months Ended
	Mar. 31, 2020
Net Income per Common Share
Net Income per Common Share	18. Net (Loss) Income per Common Share Basic earnings or loss per common share is calculated based on the weighted average number of common shares outstanding for the period. Diluted earnings per common share is calculated based on the assumption that stock options and other dilutive securities outstanding, which have an exercise price less than the average market price of the Company’s common shares during the period, would have been exercised on the later of the beginning of the period or the date granted and that the funds obtained from the exercise were used to purchase common shares at the average market price during the period. All of the Company’s RSUs are considered to be dilutive. The effect of the Company’s dilutive securities is calculated using the treasury stock method and only those instruments that result in a reduction in net income per common share are included in the calculation. Options to purchase 3.3 million and 3.6 million shares of common stock at weighted average exercise prices of $9.48 and $10.48 were outstanding at March 31, 2020 and 2019, respectively, but were not included in the computation of diluted weighted average common shares outstanding, as the exercise price of the options exceeded the average price of the Company’s common stock during those periods, and therefore are anti-dilutive. Basic and diluted net income per common share is calculated as follows: Three months ended March 31, 2020 2019 Net (loss) income (in thousands) $ (3,121) $ 882 Basic weighted average shares of common stock outstanding 66,022,202 60,672,133 Dilutive effect of share-based awards - 469,955 Diluted weighted average common shares outstanding 66,022,202 61,142,088 Net (loss) income per share: Basic and diluted $ (0.05) $ 0.01

Fair Value Measurement

Fair Value Measurement	3 Months Ended
	Mar. 31, 2020
Fair Value Measurement
Fair Value Measurement	19. Fair Value Measurement Fair value accounting establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: Level 1 Level 2 Level 3 As required by accounting guidance, assets are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The following table sets forth certain of the Company’s assets and liabilities measured at fair value by level within the fair value hierarchy as of March 31, 2020 and December 31, 2019: 2020 2019 Input Hierarchy Level (in thousands) Cash and cash equivalents $ 18,366 $ 11,076 Level 1 Gold and silver rounds/bullion $ 4,111 $ 4,265 Level 1 Receivables from provisional concentrate sales $ 4,043 $ 8,362 Level 2 Loans payable $ 1,444 $ 1,661 Level 2 Cash and cash equivalents consist primarily of cash deposits and are valued at cost, which approximates fair value. Gold and silver rounds/bullion consist of precious metals used for investment purposes and in the dividend program which are valued using quoted market prices. Please see Note 4 for additional information. Trade accounts receivable include amounts due to the Company for deliveries of concentrates and doré sold to customers, net of allowance for doubtful accounts of $1.4 million. Concentrate sales contracts provide for provisional pricing as specified in such contracts. These sales contain an embedded derivative related to the provisional pricing mechanism which is bifurcated and accounted for as a derivative. At the end of each reporting period, the Company records an adjustment to sales to reflect the mark-to-market of outstanding provisional invoices based on the forward price curve. Because these provisionally priced sales have not yet settled as of the reporting date, the mark-to-market adjustment related to these invoices is included in accounts receivable as of each reporting date. At March 31, 2020 and December 31, 2019, the Company had unrealized losses of $0.1 million and unrealized gains of $0.2 million, respectively, included in its accounts receivable on the accompanying Condensed Consolidated Balance Sheets related to mark-to-market adjustments. Please see Note 14 for additional information. Loans payable consist of obligations for equipment purchases financed on a long-term basis. Loans payable are recorded at amortized cost, which approximates fair value. See Note 11 for additional information. Gains and losses related to changes in the fair value of these financial instruments were included in the Company’s Condensed Consolidated Statements of Operations as shown in the following table: Three months ended March 31, 2020 2019 Statement of Operations Classification Realized/unrealized derivative (loss) gain, net $ (738) $ 1,837 Sales, net Realized/unrealized gold and silver rounds/bullion (loss) gain, net $ (152) $ 15 Other expense, net Realized/Unrealized Derivatives The following tables summarize the Company’s realized/unrealized derivatives for the periods presented (in thousands) : Gold Silver Copper Lead Zinc Total Three months ended March 31, 2020 Realized gain (loss) $ 351 $ 160 $ 5 $ (157) $ (817) $ (458) Unrealized (loss) gain (128) (325) (119) 50 242 (280) Total realized/unrealized derivatives, net $ 223 $ (165) $ (114) $ (107) $ (575) $ (738) Gold Silver Copper Lead Zinc Total Three months ended March 31, 2019 Realized gain $ 124 $ 60 $ 14 $ 15 $ 598 $ 811 Unrealized (loss) gain (23) (2) 153 (3) 901 1,026 Total realized/unrealized derivatives, net $ 101 $ 58 $ 167 $ 12 $ 1,499 $ 1,837

Supplementary Cash Flow Informa

Supplementary Cash Flow Information	3 Months Ended
	Mar. 31, 2020
Supplementary Cash Flow Information
Supplementary Cash Flow Information	20. Supplementary Cash Flow Information Other operating adjustments and write-downs within the net cash provided by operations on the Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2020 and 2019 consisted of the following: 2020 2019 (in thousands) Unrealized loss (gain) on gold and silver rounds/bullion $ 151 $ (17) Unrealized foreign currency exchange loss (gain) 1,618 (127) Other 11 16 Total other operating adjustments $ 1,780 $ (128)

Segment Reporting

Segment Reporting	3 Months Ended
	Mar. 31, 2020
Segment Reporting
Segment Reporting	21. Segment Reporting The Company has organized its operations into two geographic regions. The geographic regions include Oaxaca, Mexico and Nevada, U.S.A. and represent the Company’s operating segments. Inter-company revenue and expense amounts have been eliminated within each segment in order to report on the basis that management uses internally for evaluating segment performance. The Company’s business activities that are not considered operating segments are included in Corporate and Other. The financial information relating to the Company’s segments is as follows ( in thousands ): Mexico Nevada Corporate and Other Consolidated Three months ended March 31, 2020 Revenue $ 22,148 $ 5,857 $ - $ 28,005 Exploration expense 968 177 10 1,155 Net loss (952) (793) (1,376) (3,121) Capital expenditures (1) 1,979 4,398 37 6,414 Mexico Nevada Corporate and Other Consolidated Three months ended March 31, 2019 Revenue $ 26,578 $ - $ - $ 26,578 Exploration expense 1,068 383 (1) 1,450 Net income (loss) 3,396 (419) (2,095) 882 Capital expenditures (2) 4,682 7,199 - 11,881 (1) Includes a decrease in capital expenditures in accounts payable of $950 and non-cash additions of $435; consolidated capital expenditures on a cash basis were $6,929. (2) Includes an increase in capital expenditures in accounts payable of $2,303 and non-cash additions of $792; consolidated capital expenditures on a cash basis were $8,786 . Total asset balances, excluding intercompany balances, at March 31, 2020 and December 31, 2019 are as follows: 2020 2019 (in thousands) Mexico $ 89,677 $ 98,718 Nevada 85,947 84,669 Corporate and Other 20,449 9,625 Consolidated $ 196,073 $ 193,012

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2020
Subsequent Events
Subsequent Events	22. Subsequent Events On March 11, 2020, the World Health Organization declared the outbreak of a respiratory disease caused by a new novel coronavirus (“COVID-19”) as a “pandemic”. On March 31, 2020, the Mexican government issued a national health emergency order with an immediate suspension order for 30 days of all “non-essential” public and private sector business (which included mining) in order to mitigate the spread and transmission of COVID-19. As a result of this order, the Company suspended its Mexico operations on April 1, 2020. On April 20, 2020 the suspension order was extended to May 30, 2020. As of the date of the issuance of these unaudited Condensed Consolidated Financial Statements, there have been no other significant impacts, including impairments, to the Company’s operations and financial statements. The Company continues to monitor the situation and due to uncertainty of the pandemic, management's judgment regarding its impact on the results of operations, cash flows, and financial condition may change in the future and the extent of the impact cannot be reasonably estimated at this time. Subsequent to March 31, 2020, the Company sold 484,500 shares of its common stock under the ATM Agreement for net proceeds of $1.6 million.

Basis of Preparation of Finan_2

Basis of Preparation of Financial Statements (Policy)	3 Months Ended
	Mar. 31, 2020
Basis of Preparation of Financial Statements
Basis of Presentation	The interim Condensed Consolidated Financial Statements (“interim financial statements”) of Gold Resource Corporation and its subsidiaries (collectively, the “Company”) are unaudited and have been prepared in accordance with the rules of the Securities and Exchange Commission for interim statements. Certain information and footnote disclosures required by United States Generally Accepted Accounting Principles (“U.S. GAAP”) have been condensed or omitted as permitted by such rules, although the Company believes that the disclosures included are adequate to make the information presented not misleading. In the opinion of management, all adjustments (including normal recurring adjustments) and disclosures necessary for a fair presentation of these interim financial statements have been included. The results reported in these interim financial statements are not necessarily indicative of the results that may be reported for the entire year. These interim financial statements should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2019 included in the Company’s annual report on Form 10-K. The year-end balance sheet data was derived from the audited financial statements. Unless otherwise noted, there have been no material changes to the footnotes from those accompanying the audited consolidated financial statements contained in the Company’s annual report on Form 10-K. Certain items in the prior period’s Condensed Consolidated Financial Statements have been reclassified to conform to the current presentation.

Revenue (Tables)

Revenue (Tables)	3 Months Ended
	Mar. 31, 2020
Revenue
Revenue from the sale of dore and concentrate	Three months ended March 31, 2020 2019 (in thousands) Doré sales, net Gold $ 7,683 $ 1,683 Silver 676 400 Less: Refining charges (92) (38) Total doré sales, net 8,267 2,045 Concentrate sales Gold 6,216 4,565 Silver 5,215 3,761 Copper 2,361 2,114 Lead 3,479 3,395 Zinc 9,040 12,271 Less: Treatment and refining charges (5,835) (3,410) Total concentrate sales, net 20,476 22,696 Realized/unrealized embedded derivative, net (738) 1,837 Total sales, net $ 28,005 $ 26,578

Gold and Silver Rounds_Bullion

Gold and Silver Rounds/Bullion (Tables)	3 Months Ended
	Mar. 31, 2020
Gold and Silver Rounds/Bullion
Schedule of Company's Holdings	2020 2019 Ounces Per Ounce Amount Ounces Per Ounce Amount (in thousands) (in thousands) Gold 1,866 $ 1,609 $ 3,002 1,866 $ 1,515 $ 2,827 Silver 79,605 $ 13.93 1,109 79,662 $ 18.05 1,438 Total holdings $ 4,111 $ 4,265

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Mar. 31, 2020
Inventories
Summary of Inventories	2020 2019 (in thousands) Stockpiles - underground mine $ 3,301 $ 3,968 Stockpiles - open pit mine 165 833 Leach pad 11,542 9,103 Concentrates 1,826 1,340 Doré (1) 1,233 1,581 Subtotal - product inventories 18,067 16,825 Materials and supplies (2) 6,738 7,306 Total $ 24,805 $ 24,131 (1) Net of reserve of $378 and $478 at March 31, 2020 and December 31, 2019, respectively. (2) Net of reserve for obsolescence of $1,264.

Prepaid Expenses and Other Cu_2

Prepaid Expenses and Other Current Assets (Tables)	3 Months Ended
	Mar. 31, 2020
Prepaid Expenses And Other Current Assets
Schedule of prepaid and other assets	2020 2019 (in thousands) Advances to suppliers $ 89 $ 109 Prepaid insurance 767 1,333 IVA taxes receivable, net - 245 Prepaid royalties 103 127 Other current assets 307 218 Total $ 1,266 $ 2,032

Property, Plant and Mine Deve_2

Property, Plant and Mine Development, net (Tables)	3 Months Ended
	Mar. 31, 2020
Property, Plant and Mine Development, net
Schedule of property, plant and mine development	2020 2019 (in thousands) Asset retirement costs $ 3,847 $ 3,412 Construction-in-progress (1) 15,279 11,965 Furniture and office equipment 2,101 2,087 Leach pad and ponds 5,649 5,649 Land 242 242 Light vehicles and other mobile equipment 2,553 2,553 Machinery and equipment 44,125 43,364 Mill facilities and infrastructure 31,966 31,408 Mineral interests and mineral rights 18,228 18,228 Mine development 91,422 90,089 Software and licenses 1,659 1,659 Subtotal (2) (3) 217,071 210,656 Accumulated depreciation and amortization (92,621) (85,397) Total $ 124,450 $ 125,259 (1) Includes Nevada pre-production stripping costs of $13.3 million and $9.6 million at March 31, 2020 and December 31, 2019, respectively. Mexico construction-in-progress was $1.9 million and $2.4 million at March 31, 2020 and December 31, 2019, respectively. (2) Includes $1.8 million of assets recorded under finance leases. Please see Note 13 for additional information. (3) Includes accrued capital expenditures of $2.8 million and $3.8 million at March 31, 2020 and December 31, 2019, respectively.

Accrued Expenses and Other Cu_2

Accrued Expenses and Other Current Liabilities (Tables)	3 Months Ended
	Mar. 31, 2020
Accrued Expenses and Other Current Liabilities
Schedule of Accrued Expenses and Other Current Liabilities	2020 2019 (in thousands) Accrued insurance $ 216 $ 452 Accrued royalty payments 2,316 2,212 Dividends payable 227 219 IVA taxes payable, net 514 - Other payables 290 483 Total $ 3,563 $ 3,366

Reclamation and Remediation (Ta

Reclamation and Remediation (Tables)	3 Months Ended
	Mar. 31, 2020
Reclamation And Remediation
Changes in Reclamation and Remediation	2020 2019 (in thousands) Reclamation liabilities – balance at beginning of period $ 2,014 $ 2,009 Changes in estimate - (82) Foreign currency exchange (gain) loss (401) 87 Reclamation liabilities – balance at end of period 1,613 2,014 Asset retirement obligation – balance at beginning of period 3,591 1,289 Changes in estimate 435 2,172 Accretion 71 102 Foreign currency exchange (gain) loss (223) 28 Asset retirement obligation – balance at end of period 3,874 3,591 Total period end balance $ 5,487 $ 5,605

Leases (Tables)

Leases (Tables)	3 Months Ended
	Mar. 31, 2020
Leases
Schedule of lease cost	Three months ended March 31, Lease Cost Type Consolidated Statements of Operations Location 2020 2019 (in thousands) Operating lease cost General and administrative expenses $ 18 $ 20 Operating lease cost Production costs 20 19 Related party lease cost General and administrative expenses 13 11 Short term lease cost Production costs 66 191
Schedule of future minimum operating lease payments - ASC 842	Year Ending December 31: 2020 $ 5,230 2021 151 2022 13 2023 - Thereafter - Total lease payments 5,394 Less imputed interest (78) Present value of minimum payments 5,316 Less: current portion (5,192) Long-term portion of minimum payments $ 124
Schedule of minimum finance lease payments - ASC 842	Scheduled minimum annual payments as of March 31, 2020 are as follows (in thousands) : Year Ending December 31: 2020 $ 362 2021 419 2022 13 2023 13 Thereafter 3 Total minimum obligations 810 Less: interest portion (38) Present value of minimum payments 772 Less: current portion (452) Long-term portion of minimum payments $ 320
Schedule of supplemental cash flow information	Three months ended March 31, 2020 2019 (in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 766 $ 798 Operating cash flows from finance leases 12 93 Investing cash flows from operating lease 1,452 846 Financing cash flows from finance leases 110 17

Embedded Derivatives (Tables)

Embedded Derivatives (Tables)	3 Months Ended
	Mar. 31, 2020
Embedded Derivatives
Summary of unsettled sales contracts	Gold Silver Copper Lead Zinc (ounces) (ounces) (tonnes) (tonnes) (tonnes) Under contract 3,584 219,721 436 989 1,169 Average forward price (per ounce or tonne) $ 1,569 $ 15.77 $ 5,484 $ 1,699 $ 1,878

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2020
Stock-Based Compensation
Stock-based compensation expense	Three months ended March 31, 2020 2019 (in thousands) Stock options $ 222 $ 211 Restricted stock units 248 125 Total $ 470 $ 336

Other Expense, Net (Tables)

Other Expense, Net (Tables)	3 Months Ended
	Mar. 31, 2020
Other Expense, Net
Schedule of Other Expense, net	Three months ended March 31, 2020 2019 (in thousands) Unrealized currency exchange loss (gain) $ 1,618 $ (127) Realized currency exchange (gain) loss (291) 151 Unrealized loss (gain) from gold and silver rounds/bullion, net (1) 151 (17) Other expense 35 18 Total $ 1,513 $ 25 Gains and losses due to changes in fair value are non-cash in nature until such time that they are realized through cash transactions. For additional information regarding the Company’s fair value measurements and investments, please see Note 19.

Net Income per Common Share (Ta

Net Income per Common Share (Tables)	3 Months Ended
	Mar. 31, 2020
Net Income per Common Share
Net Income Per Share	Three months ended March 31, 2020 2019 Net (loss) income (in thousands) $ (3,121) $ 882 Basic weighted average shares of common stock outstanding 66,022,202 60,672,133 Dilutive effect of share-based awards - 469,955 Diluted weighted average common shares outstanding 66,022,202 61,142,088 Net (loss) income per share: Basic and diluted $ (0.05) $ 0.01

Fair Value Measurement (Tables)

Fair Value Measurement (Tables)	3 Months Ended
	Mar. 31, 2020
Fair Value Measurement
Assets measured at fair value by level within fair value hierarchy	2020 2019 Input Hierarchy Level (in thousands) Cash and cash equivalents $ 18,366 $ 11,076 Level 1 Gold and silver rounds/bullion $ 4,111 $ 4,265 Level 1 Receivables from provisional concentrate sales $ 4,043 $ 8,362 Level 2 Loans payable $ 1,444 $ 1,661 Level 2
Gains and Losses Related to Changes in Fair Value	Three months ended March 31, 2020 2019 Statement of Operations Classification Realized/unrealized derivative (loss) gain, net $ (738) $ 1,837 Sales, net Realized/unrealized gold and silver rounds/bullion (loss) gain, net $ (152) $ 15 Other expense, net
Realized and Unrealized Gain Losses on Derivatives	Gold Silver Copper Lead Zinc Total Three months ended March 31, 2020 Realized gain (loss) $ 351 $ 160 $ 5 $ (157) $ (817) $ (458) Unrealized (loss) gain (128) (325) (119) 50 242 (280) Total realized/unrealized derivatives, net $ 223 $ (165) $ (114) $ (107) $ (575) $ (738) Gold Silver Copper Lead Zinc Total Three months ended March 31, 2019 Realized gain $ 124 $ 60 $ 14 $ 15 $ 598 $ 811 Unrealized (loss) gain (23) (2) 153 (3) 901 1,026 Total realized/unrealized derivatives, net $ 101 $ 58 $ 167 $ 12 $ 1,499 $ 1,837

Supplementary Cash Flow Infor_2

Supplementary Cash Flow Information (Tables)	3 Months Ended
	Mar. 31, 2020
Supplementary Cash Flow Information
Schedule of Supplementary Cash Flow Information	2020 2019 (in thousands) Unrealized loss (gain) on gold and silver rounds/bullion $ 151 $ (17) Unrealized foreign currency exchange loss (gain) 1,618 (127) Other 11 16 Total other operating adjustments $ 1,780 $ (128)

Segment Reporting (Tables)

Segment Reporting (Tables)	3 Months Ended
	Mar. 31, 2020
Segment Reporting
Schedule of financial information relating to the Company segments	Mexico Nevada Corporate and Other Consolidated Three months ended March 31, 2020 Revenue $ 22,148 $ 5,857 $ - $ 28,005 Exploration expense 968 177 10 1,155 Net loss (952) (793) (1,376) (3,121) Capital expenditures (1) 1,979 4,398 37 6,414 Mexico Nevada Corporate and Other Consolidated Three months ended March 31, 2019 Revenue $ 26,578 $ - $ - $ 26,578 Exploration expense 1,068 383 (1) 1,450 Net income (loss) 3,396 (419) (2,095) 882 Capital expenditures (2) 4,682 7,199 - 11,881 (1) Includes a decrease in capital expenditures in accounts payable of $950 and non-cash additions of $435; consolidated capital expenditures on a cash basis were $6,929. (2) Includes an increase in capital expenditures in accounts payable of $2,303 and non-cash additions of $792; consolidated capital expenditures on a cash basis were $8,786 .
Schedule of asset balances, excluding investments and intercompany	2020 2019 (in thousands) Mexico $ 89,677 $ 98,718 Nevada 85,947 84,669 Corporate and Other 20,449 9,625 Consolidated $ 196,073 $ 193,012

Revenue (Details)

Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Disaggregation of Revenue [Line Items]
Realized/unrealized embedded derivative, net	$ (738)	$ 1,837
Total sales, net	28,005	26,578
Dore
Disaggregation of Revenue [Line Items]
Less: Treatment and refining charges	(92)	(38)
Total sales, net	8,267	2,045
Gold Dore
Disaggregation of Revenue [Line Items]
Total sales, net	7,683	1,683
Silver Dore
Disaggregation of Revenue [Line Items]
Total sales, net	676	400
Concentrate
Disaggregation of Revenue [Line Items]
Less: Treatment and refining charges	(5,835)	(3,410)
Total sales, net	20,476	22,696
Gold Concentrate
Disaggregation of Revenue [Line Items]
Total sales, net	6,216	4,565
Silver Concentrate
Disaggregation of Revenue [Line Items]
Total sales, net	5,215	3,761
Copper Concentrate
Disaggregation of Revenue [Line Items]
Total sales, net	2,361	2,114
Lead Concentrate
Disaggregation of Revenue [Line Items]
Total sales, net	3,479	3,395
Zinc Concentrate
Disaggregation of Revenue [Line Items]
Total sales, net	$ 9,040	$ 12,271

Gold and Silver Rounds_Bullio_2

Gold and Silver Rounds/Bullion - Bullion Holdings (Details) $ in Thousands	Mar. 31, 2020USD ($)oz$ / oz	Dec. 31, 2019USD ($)oz$ / oz
Schedule of Investments [Line Items]
Total carrying value	$ 4,111	$ 4,265
Gold
Schedule of Investments [Line Items]
Ounces | oz	1,866	1,866
Carrying value per ounce | $ / oz	1,609	1,515
Total carrying value	$ 3,002	$ 2,827
Silver
Schedule of Investments [Line Items]
Ounces | oz	79,605	79,662
Carrying value per ounce | $ / oz	13.93	18.05
Total carrying value	$ 1,109	$ 1,438

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands		Mar. 31, 2020	Dec. 31, 2019
Stockpiles - underground mine		$ 3,301	$ 3,968
Stockpiles - open pit mine		165	833
Leach pad		11,542	9,103
Concentrates		1,826	1,340
Dore	[1]	1,233	1,581
Subtotal - product inventories		18,067	16,825
Materials and supplies	[2]	6,738	7,306
Total		24,805	24,131
Low-grade ore stockpile inventory		4,800	4,700
Dore
Inventory reserve		378	$ 478
Materials And Supplies [Member]
Inventory reserve		1,264
Isabella Pearl Project
Inventory adjustment		$ 1,600
[1]	Net of reserve of $378 and $478 at March 31, 2020 and December 31, 2019, respectively.
[2]	Net of reserve for obsolescence of $1,264.

Income Taxes (Details)

Income Taxes (Details) - USD ($)	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Income Taxes
Income tax (benefit) expense	$ (2,137,000)	$ 1,071,000
Effective tax rate	21.00%
MITL corporate income tax rate	37.50%
MITL corporate income tax rate excluding mining tax	30.00%
Mining tax rate	7.50%
Minerals Tax Rate	5.00%
Withholding tax on dividends	10.00%
Dividend withholding tax between countries	5.00%
Liability for uncertain tax positions	$ 0

Prepaid Expenses and Other Cu_3

Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Prepaid Expenses And Other Current Assets
Advances to suppliers	$ 89	$ 109
Prepaid insurance	767	1,333
IVA taxes receivable, net		245
Prepaid royalties	103	127
Other current assets	307	218
Total	$ 1,266	$ 2,032

Property, Plant and Mine Deve_3

Property, Plant and Mine Development, net - Summary of Property, Equipment and Mine Development (Details) - USD ($) $ in Thousands		Mar. 31, 2020	Dec. 31, 2019
Property, equipment and mine development - net
Property and equipment, gross	[1],[2]	$ 217,071	$ 210,656
Accumulated depreciation and amortization		(92,621)	(85,397)
Total property, equipment and mine development - net		124,450	125,259
Accrued capital expenditures		2,800	3,800
Asset retirement costs
Property, equipment and mine development - net
Property and equipment, gross		3,847	3,412
Construction-in-progress
Property, equipment and mine development - net
Property and equipment, gross	[3]	15,279	11,965
Furniture and office equipment
Property, equipment and mine development - net
Property and equipment, gross		2,101	2,087
Leach pad and ponds
Property, equipment and mine development - net
Property and equipment, gross		5,649	5,649
Land
Property, equipment and mine development - net
Property and equipment, gross		242	242
Light vehicles and other mobile equipment
Property, equipment and mine development - net
Property and equipment, gross		2,553	2,553
Machinery and equipment
Property, equipment and mine development - net
Property and equipment, gross		44,125	43,364
Mill facilities and infrastructure
Property, equipment and mine development - net
Property and equipment, gross		31,966	31,408
Mineral interests and mineral rights
Property, equipment and mine development - net
Property and equipment, gross		18,228	18,228
Mine development
Property, equipment and mine development - net
Property and equipment, gross		91,422	90,089
Software and licenses
Property, equipment and mine development - net
Property and equipment, gross		1,659	1,659
Asset Value, Finance Lease
Property, equipment and mine development - net
Property and equipment, gross		1,800	1,800
Mexico
Property, equipment and mine development - net
Asset and development costs		1,900	2,400
Nevada
Property, equipment and mine development - net
Asset and development costs		$ 13,300	$ 9,600
[1]	Includes $1.8 million of assets recorded under finance leases. Please see Note 13 for additional information.
[2]	Includes accrued capital expenditures of $2.8 million and $3.8 million at March 31, 2020 and December 31, 2019, respectively.
[3]	Includes Nevada pre-production stripping costs of $13.3 million and $9.6 million at March 31, 2020 and December 31, 2019, respectively. Mexico construction-in-progress was $1.9 million and $2.4 million at March 31, 2020 and December 31, 2019, respectively.

Property, Plant and Mine Deve_4

Property, Plant and Mine Development, net - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Property, Plant and Mine Development, net
Depreciation and amortization expense	$ 7,535	$ 3,763

Accrued Expenses and Other Cu_3

Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Accrued Expenses and Other Current Liabilities
Accrued insurance	$ 216	$ 452
Accrued royalty payments	2,316	2,212
Dividends payable	227	219
IVA taxes payable, net	514
Other payables	290	483
Total	$ 3,563	$ 3,366

Reclamation and Remediation (De

Reclamation and Remediation (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2020	Dec. 31, 2019
Asset Retirement Obligation, Roll Forward Analysis
Reclamation liabilities – balance at beginning of period	$ 2,014	$ 2,009
Changes in estimate		(82)
Foreign currency exchange loss	(401)	87
Reclamation liabilities – balance at end of period	1,613	2,014
Asset retirement obligation – balance at beginning of period	3,591	1,289
Changes in estimate	435	2,172
Accretion	71	102
Foreign currency exchange loss	(223)	28
Asset retirement obligation – balance at end of period	3,874	3,591
Total period end balance	$ 5,487	$ 5,605
Reclamation and remediation discount rate	8.00%	8.00%
Aguila Project
Asset Retirement Obligation, Roll Forward Analysis
Asset retirement obligation – balance at beginning of period	$ 1,100
Asset retirement obligation – balance at end of period	900	$ 1,100
Isabella Pearl Project
Asset Retirement Obligation, Roll Forward Analysis
Asset retirement obligation – balance at beginning of period	2,500
Asset retirement obligation – balance at end of period	$ 3,000	$ 2,500

Loans Payable (Details)

Loans Payable (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Dec. 31, 2019
Debt Instrument [Line Items]
Periodic payment	$ 80
Outstanding loan	1,400	$ 1,700
2020	700
2021	700
2022	$ 100
Minimum
Debt Instrument [Line Items]
Interest rate	3.00%
Repayment penalty, percentage	1.00%
Maximum
Debt Instrument [Line Items]
Interest rate	4.48%

Commitments and Contingencies (

Commitments and Contingencies (Narrative) (Details) $ in Millions	Mar. 31, 2020USD ($)
Commitments and Contingencies
Equipment purchase commitments	$ 1.1
Remainder of 2020 payments	$ 5.4

Leases - Operating Leases (Deta

Leases - Operating Leases (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Leases
Right-of-use assets	$ 5,305	$ 7,436
Operating lease liabilities	$ 5,316

Leases - Quantitative informati

Leases - Quantitative information (Details) $ in Millions	3 Months Ended
	Mar. 31, 2020USD ($)
Lessee, Lease, Description [Line Items]
Option to renew	true
Weighted average remaining lease term for operating leases	7 months 24 days
Weighted average discount rate used to measure operating lease liabilities	4.48%
Operating lease, existence of material residual value guarantees	false
Inventory
Lessee, Lease, Description [Line Items]
Capitalized variable lease costs	$ 0.7
Property, plant and mine development
Lessee, Lease, Description [Line Items]
Capitalized variable lease costs	$ 1.5
Maximum
Lessee, Lease, Description [Line Items]
Renewal term	2 years
Minimum
Lessee, Lease, Description [Line Items]
Renewal term	1 year

Leases - Other Leases (Details)

Leases - Other Leases (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
General and administrative expenses
Lessee, Lease, Description [Line Items]
Operating lease cost	$ 18	$ 20
Related party lease cost	13	11
Production costs
Lessee, Lease, Description [Line Items]
Operating lease cost	20	19
Short-term lease cost	$ 66	$ 191

Leases - Maturities of operatin

Leases - Maturities of operating lease liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Leases
2020	$ 5,230
2021	151
2022	13
Total lease payments	5,394
Less imputed interest	(78)
Present value of minimum payments	5,316
Less: current portion	(5,192)	$ (7,287)
Present value of minimum payments	$ 124	$ 160

Leases - Quantitative informa_2

Leases - Quantitative information Finance lease (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2020USD ($)
Lessee, Lease, Description [Line Items]
Weighted average discount rate for finance leases	5.80%
Monthly principal, interest and sales tax payments	$ 40
Finance Lease, Weighted Average Remaining Lease Term	1 year 9 months 7 days
Minimum
Lessee, Lease, Description [Line Items]
Lessee, Finance Lease, Discount Rate	1.58%
Maximum
Lessee, Lease, Description [Line Items]
Lessee, Finance Lease, Discount Rate	5.95%

Leases - Finance Leases Minimum

Leases - Finance Leases Minimum Annual Payments (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Finance Lease Liabilities, Payments, Due [Abstract]
2020	$ 362
2021	419
2022	13
2023	13
Thereafter	3
Total minimum obligations	810
Less: interest portion	(38)
Present value of minimum payments	772
Less: current portion	(452)	$ (446)
Present value of minimum payments	$ 320	$ 435

Leases - Supplemental Cash Flow

Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Leases
Operating cash flows from operating leases	$ 766	$ 798
Operating cash flows from finance leases	12	93
Investing cash flows from operating lease	1,452	846
Financing cash flows from finance leases	$ 110	$ 17

Embedded Derivatives (Details)

Embedded Derivatives (Details)	3 Months Ended
	Mar. 31, 2020$ / oz$ / tozt
Gold
Embedded Derivative [Line Items]
Under contract | oz	3,584
Average forward price | $ / oz	1,569
Silver
Embedded Derivative [Line Items]
Under contract | oz	219,721
Average forward price | $ / oz	15.77
Copper
Embedded Derivative [Line Items]
Under contract | t	436
Average forward price | $ / t	5,484
Lead
Embedded Derivative [Line Items]
Under contract | t	989
Average forward price | $ / t	1,699
Zinc
Embedded Derivative [Line Items]
Under contract | t	1,169
Average forward price | $ / t	1,878

Stock-Based Compensation (Detai

Stock-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Dec. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity Incentive plan shares for issuance authorized	5,000,000
Weighted Average Exercise Price, Exercised		$ 3.95
Number of shares exercised on a net exercise basis		250,000
Number of shares exercised and delivered		44,698
Number of shares exercised for cash		24,750
Number of stock options exercised	0	274,750
Accrued expenses and other current liabilities	$ 3,563		$ 3,366
STIP
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Accrued expenses and other current liabilities	$ 0		$ 0
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total intrinsic value		$ 100
Fair value		$ 100
Vested (in shares)		14,804

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock-based compensation expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Stock-Based Compensation
Stock options	$ 222	$ 211
Restricted stock units	248	125
Total stock-based compensation	$ 470	$ 336

Stock-Based Compensation - Allo

Stock-Based Compensation - Allocation of Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Stock-Based Compensation
Total stock-based compensation	$ 470	$ 336

Shareholders' Equity (Details)

Shareholders' Equity (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Apr. 03, 2018
Value of shares issued	$ 10,350	$ 10,903
Period for consulting agreement		1 year
Cash dividend rate declared, per common share	$ 0.010	$ 0.005
Share issue price ( in dollars per share)		3.88
Cash dividend rate paid, per common share	$ 0.01	$ 0.005
Shares issued as payment for third-party agreement		25,000
Dividends	$ 665	$ 307
ATM Agreement
Sale of shares	3,850,000	2,562,130
Value of shares issued	$ 10,400	$ 10,800
Maximum | ATM Agreement
Common stock aggregate gross sales price			$ 75,000

Other Expense, Net (Details)

Other Expense, Net (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Other Expense, Net
Unrealized currency exchange (gain) loss	$ 1,618	$ (127)
Realized currency exchange loss (gain)	(291)	151
Unrealized (gain) loss from gold and silver rounds/bullion, net	151	(17)
Other expense (income)	35	18
Total	$ 1,513	$ 25

Net Income per Common Share - N

Net Income per Common Share - Narrative (Details) - $ / shares shares in Millions	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Net Income per Common Share
Stock options excluded from computation of diluted weighted average share outstanding	3.3	3.6
Shares excluded from weighted average shares outstanding, exercise price	$ 9.48	$ 10.48

Net Income per Common Share - P

Net Income per Common Share - Potential Dilutive Stock Options On Weighted Average Shares Outstanding (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Net Income per Common Share
Net income	$ (3,121)	$ 882
Basic weighted average shares of common stock outstanding	66,022,202	60,672,133
Dilutive effect of share-based awards		469,955
Diluted weighted average common shares outstanding	66,022,202	61,142,088
Net income per share:
Basic and diluted	$ (0.05)	$ 0.01

Fair Value Measurement (Details

Fair Value Measurement (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Net allowance for doubtful accounts	$ 1,400
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash bank deposits	18,366	$ 11,076
Gold and silver rounds/bullion	4,111	4,265
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Receivables from provisional concentrate sales	4,043	8,362
Loans Payable	$ 1,444	$ 1,661

Fair Value Measurement - Statem

Fair Value Measurement - Statement Of Income Classification (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Sales
Fair Value Statement Of Income Classification [Line Items]
Realized/unrealized derivative gain (loss), net	$ (738)	$ 1,837
Other Operating Income (Expense)
Fair Value Statement Of Income Classification [Line Items]
Realized/unrealized gold and silver rounds/bullion gain (loss), net	$ (152)	$ 15

Fair Value Measurement - Realiz

Fair Value Measurement - Realized Unrealized Derivatives (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Derivatives, Fair Value [Line Items]
Realized gain (loss)	$ (458)	$ 811
Unrealized gain (loss)	(280)	1,026
Total realized/ unrealized derivatives, net	(738)	1,837
Gold
Derivatives, Fair Value [Line Items]
Realized gain (loss)	351	124
Unrealized gain (loss)	(128)	(23)
Total realized/ unrealized derivatives, net	223	101
Silver
Derivatives, Fair Value [Line Items]
Realized gain (loss)	160	60
Unrealized gain (loss)	(325)	(2)
Total realized/ unrealized derivatives, net	(165)	58
Copper
Derivatives, Fair Value [Line Items]
Realized gain (loss)	5	14
Unrealized gain (loss)	(119)	153
Total realized/ unrealized derivatives, net	(114)	167
Lead
Derivatives, Fair Value [Line Items]
Realized gain (loss)	(157)	15
Unrealized gain (loss)	50	(3)
Total realized/ unrealized derivatives, net	(107)	12
Zinc
Derivatives, Fair Value [Line Items]
Realized gain (loss)	(817)	598
Unrealized gain (loss)	242	901
Total realized/ unrealized derivatives, net	$ (575)	$ 1,499

Supplementary Cash Flow Infor_3

Supplementary Cash Flow Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Supplementary Cash Flow Information
Unrealized (gain) loss on gold and silver rounds/bullion	$ 151	$ (17)
Unrealized currency exchange (gain) loss	1,618	(127)
Other	11	16
Total other operating adjustments	$ 1,780	$ (128)

Segment Reporting (Details)

Segment Reporting (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2020USD ($)segment	Mar. 31, 2019USD ($)	Dec. 31, 2019USD ($)
Number of reportable segments | segment	2
Total sales, net	$ 28,005	$ 26,578
Exploration expense	4,942	3,486
Net income (loss)	(3,121)	882
Capital expenditures	6,414	11,881
Change in capital expenditures in accounts payable	(950)	2,303
Non - cash additions	435	792
Capital expenditures on a cash basis	6,929	8,786
Assets	196,073		$ 193,012
Mexico
Total sales, net	22,148	26,578
Net income (loss)	(952)	3,396
Capital expenditures	1,979	4,682
Assets	89,677		98,718
Nevada
Total sales, net	5,857
Net income (loss)	(793)	(419)
Capital expenditures	4,398	7,199
Assets	85,947		84,669
Corporate and Other
Net income (loss)	(1,376)	(2,095)
Capital expenditures	37
Assets	20,449		$ 9,625
Exploration expenses
Exploration expense	1,155	1,450
Exploration expenses | Mexico
Exploration expense	968	1,068
Exploration expenses | Nevada
Exploration expense	177	383
Exploration expenses | Corporate and Other
Exploration expense	$ 10	$ (1)

Subsequent Events (Details)

Subsequent Events (Details) - Subsequent Event - ATM Agreement $ in Millions	1 Months Ended
	May 05, 2020USD ($)shares
Subsequent Events
Net proceeds from sale of shares | $	$ 1.6
Sale of shares | shares	484,500