Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2022 | Oct. 28, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-34857 | |
Entity Registrant Name | Gold Resource Corporation | |
Entity Incorporation, State or Country Code | CO | |
Entity Tax Identification Number | 84-1473173 | |
Entity Address, Address Line One | 7900 E. Union Ave | |
Entity Address, Address Line Two | Suite 320 | |
Entity Address, City or Town | Denver, | |
Entity Address, State or Province | CO | |
Entity Address, Postal Zip Code | 80237 | |
City Area Code | 303 | |
Local Phone Number | 320-7708 | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | GORO | |
Security Exchange Name | NYSEAMER | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 88,398,109 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Entity Central Index Key | 0001160791 | |
Current Fiscal Year End Date | --12-31 |
CONDENSED CONSOLIDATED INTERIM
CONDENSED CONSOLIDATED INTERIM BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 22,531 | $ 33,712 |
Accounts receivable, net | 3,741 | 8,672 |
Inventories, net | 13,593 | 10,361 |
Promissory note | 3,575 | 3,885 |
Prepaid expenses and other current assets | 4,457 | 2,285 |
Zinc zero cost collar | 432 | |
Total current assets | 48,329 | 58,915 |
Property, plant and mine development, net | 149,232 | 156,771 |
Other non-current assets | 1,977 | 76 |
Total assets | 199,538 | 215,762 |
Current liabilities: | ||
Accounts payable | 11,267 | 13,308 |
Income taxes payable, net | 567 | 6,801 |
Mining royalty taxes payable, net | 3,156 | 2,975 |
Zinc zero cost collar | 1,844 | |
Accrued expenses and other current liabilities | 4,476 | 4,731 |
Total current liabilities | 19,466 | 29,659 |
Reclamation and remediation liabilities | 3,232 | 3,112 |
Gold and silver stream agreements | 43,201 | 42,560 |
Deferred tax liabilities, net | 11,826 | 13,126 |
Contingent consideration | 4,036 | 4,603 |
Other non-current liabilities | 2,133 | 1,952 |
Total liabilities | 83,894 | 95,012 |
Shareholders' equity: | ||
Common stock - $0.001 par value, 200,000,000 shares authorized: 88,398,109 and 88,338,774 shares outstanding at September 30, 2022 and December 31, 2021, respectively | 89 | 89 |
Additional paid-in capital | 110,736 | 110,153 |
Retained earnings | 11,874 | 17,563 |
Treasury stock at cost, 336,398 shares | (5,884) | (5,884) |
Accumulated other comprehensive loss | (1,171) | (1,171) |
Total shareholders' equity | 115,644 | 120,750 |
Total liabilities and shareholders' equity | $ 199,538 | $ 215,762 |
CONDENSED CONSOLIDATED INTERI_2
CONDENSED CONSOLIDATED INTERIM BALANCE SHEETS (Parenthetical) - $ / shares | Sep. 30, 2022 | Dec. 31, 2021 |
CONDENSED CONSOLIDATED INTERIM BALANCE SHEETS | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares outstanding | 88,398,109 | 88,338,774 |
Treasury stock, shares | 336,398 | 336,398 |
CONDENSED CONSOLIDATED INTERI_3
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Sales, net | $ 23,869 | $ 29,029 | $ 106,350 | $ 87,133 |
Cost of sales: | ||||
Production costs | 19,380 | 17,216 | 61,176 | 51,982 |
Depreciation and amortization | 6,609 | 3,521 | 19,829 | 11,299 |
Reclamation and remediation | 58 | 47 | 181 | 152 |
Total cost of sales | 26,047 | 20,784 | 81,186 | 63,433 |
Mine gross (loss) profit | (2,178) | 8,245 | 25,164 | 23,700 |
Costs and expenses: | ||||
General and administrative expenses | 1,799 | 2,355 | 5,618 | 6,070 |
Exploration expenses | 4,973 | 1,805 | 3,660 | |
Restructuring expenses | 496 | |||
Stock-based compensation | 450 | 30 | 1,617 | 711 |
Realized and unrealized (gain) loss on zinc zero cost collar | (218) | 184 | 120 | 184 |
Other expense (income), net | 765 | (10) | 1,817 | 543 |
Total costs and expenses | 7,769 | 4,364 | 19,287 | 11,664 |
(Loss) income before income taxes | (9,947) | 3,881 | 5,877 | 12,036 |
Provision for income taxes | (217) | 2,352 | 8,915 | 6,697 |
Net (loss) income | $ (9,730) | $ 1,529 | $ (3,038) | $ 5,339 |
Net (loss) income per common share: | ||||
Basic net (loss) income per common share | $ (0.11) | $ 0.02 | $ (0.03) | $ 0.07 |
Diluted net (loss) income per common share | $ (0.11) | $ 0.02 | $ (0.03) | $ 0.07 |
Weighted average shares outstanding: | ||||
Basic | 88,391,220 | 74,552,545 | 88,358,188 | 74,481,281 |
Diluted | 88,391,220 | 74,898,520 | 88,358,188 | 74,842,095 |
Oaxaca, Mexico | ||||
Costs and expenses: | ||||
Exploration expenses | $ 1,143 | $ 3,190 | ||
Michigan, USA | ||||
Costs and expenses: | ||||
Exploration expenses | $ 3,830 | $ 6,925 |
CONDENSED CONSOLIDATED INTERI_4
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CHANGES IN SHAREHOLDERS EQUITY - USD ($) $ in Thousands | Common Shares | Additional Paid-in Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Loss | Total |
Balance at Dec. 31, 2020 | $ 84,865 | $ 12,653 | $ (5,884) | $ (1,171) | $ 90,538 | |
Balance (in shares) at Dec. 31, 2020 | 74,713,356 | |||||
Balance at Dec. 31, 2020 | $ 75 | |||||
Stock-based compensation | 506 | 506 | ||||
Stock options exercised - settled in cash | 263 | 263 | ||||
Stock options exercised - settled in cash (in shares) | 217,718 | |||||
Common stock issued for vested restricted stock units (in shares) | 52,797 | |||||
Dividends declared | (2,234) | (2,234) | ||||
Surrender of stock for taxes due on vesting | (205) | (205) | ||||
Surrender of stock for taxes due on vesting (in shares) | (65,794) | |||||
Net income | 5,339 | 5,339 | ||||
Balance at Sep. 30, 2021 | 85,429 | 15,758 | (5,884) | (1,171) | 94,207 | |
Balance (in shares) at Sep. 30, 2021 | 74,918,077 | |||||
Balance at Sep. 30, 2021 | $ 75 | |||||
Balance at Jun. 30, 2021 | 85,269 | 14,974 | (5,884) | (1,171) | 93,263 | |
Balance (in shares) at Jun. 30, 2021 | 74,868,322 | |||||
Balance at Jun. 30, 2021 | $ 75 | |||||
Stock-based compensation | 160 | $ 160 | ||||
Stock options exercised - settled in cash (in shares) | 0 | |||||
Common stock issued for vested restricted stock units (in shares) | 50,183 | |||||
Dividends declared | (745) | $ (745) | ||||
Surrender of stock for taxes due on vesting (in shares) | (428) | |||||
Net income | 1,529 | 1,529 | ||||
Balance at Sep. 30, 2021 | 85,429 | 15,758 | (5,884) | (1,171) | 94,207 | |
Balance (in shares) at Sep. 30, 2021 | 74,918,077 | |||||
Balance at Sep. 30, 2021 | $ 75 | |||||
Balance at Dec. 31, 2021 | 110,153 | 17,563 | (5,884) | (1,171) | 120,750 | |
Balance (in shares) at Dec. 31, 2021 | 88,675,172 | |||||
Balance at Dec. 31, 2021 | $ 89 | 89 | ||||
Stock-based compensation | 952 | 952 | ||||
Stock options exercised - settled in cash | (331) | $ (331) | ||||
Stock options exercised - settled in cash (in shares) | 355,000 | |||||
Common stock issued for vested restricted stock units (in shares) | 80,169 | |||||
Dividends declared | (2,651) | $ (2,651) | ||||
Unclaimed shares related to the Aquila acquisition | (29) | (29) | ||||
Unclaimed shares related to the Aquila acquisition (in shares) | (16,249) | |||||
Surrender of stock for taxes due on vesting | (9) | (9) | ||||
Surrender of stock for taxes due on vesting (in shares) | (4,585) | |||||
Net income | (3,038) | (3,038) | ||||
Balance at Sep. 30, 2022 | 110,736 | 11,874 | (5,884) | (1,171) | 115,644 | |
Balance (in shares) at Sep. 30, 2022 | 88,734,507 | |||||
Balance at Sep. 30, 2022 | $ 89 | 89 | ||||
Balance at Jun. 30, 2022 | 110,480 | 22,488 | (5,884) | (1,171) | 126,002 | |
Balance (in shares) at Jun. 30, 2022 | 88,709,090 | |||||
Balance at Jun. 30, 2022 | $ 89 | |||||
Stock-based compensation | 285 | $ 285 | ||||
Stock options exercised - settled in cash (in shares) | 0 | |||||
Common stock issued for vested restricted stock units (in shares) | 41,666 | |||||
Dividends declared | (884) | $ (884) | ||||
Unclaimed shares related to the Aquila acquisition | (29) | (29) | ||||
Unclaimed shares related to the Aquila acquisition (in shares) | (16,249) | |||||
Net income | (9,730) | (9,730) | ||||
Balance at Sep. 30, 2022 | $ 110,736 | $ 11,874 | $ (5,884) | $ (1,171) | 115,644 | |
Balance (in shares) at Sep. 30, 2022 | 88,734,507 | |||||
Balance at Sep. 30, 2022 | $ 89 | $ 89 |
CONDENSED CONSOLIDATED INTERI_5
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Cash flows from operating activities: | ||
Net income | $ (3,038) | $ 5,339 |
Adjustments to reconcile net income to net cash from operating activities: | ||
Deferred income tax benefit | (1,101) | (74) |
Depreciation and amortization, including amortization in reclamation | 19,936 | 11,405 |
Stock-based compensation | 1,617 | 711 |
Other operating adjustments | (1,294) | 475 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 4,931 | (721) |
Inventories | (2,339) | (810) |
Prepaid expenses and other current assets | (1,404) | (1,038) |
Accounts payable and other accrued liabilities | (3,032) | 2,730 |
Mining royalty and income taxes payable, net | (6,362) | 3,855 |
Net cash provided by operating activities | 7,914 | 21,872 |
Cash flows from investing activities: | ||
Capital expenditures | (14,123) | (15,217) |
Equity investment | (1,743) | |
Proceeds from the sale of gold and silver rounds | 533 | |
Net cash used in investing activities | (15,333) | (15,217) |
Cash flows from financing activities: | ||
Proceeds (for) from the exercise of stock options | (376) | 263 |
Dividends paid | (2,651) | (2,481) |
Other financing activities | 3 | |
Net cash used in financing activities | (3,027) | (2,215) |
Effect of exchange rate changes on cash and cash equivalents | (735) | (301) |
Net (decrease) increase in cash and cash equivalents | (11,181) | 4,139 |
Cash and cash equivalents at beginning of period | 33,712 | 25,405 |
Cash and cash equivalents at end of period | $ 22,531 | $ 29,544 |
CONDENSED CONSOLIDATED INTERI_6
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Supplemental Cash Flow Information | ||
Income and mining taxes paid | $ 16,411 | $ 2,772 |
Non-cash investing activities: | ||
Change in capital expenditures in accounts payable | $ (836) | (72) |
Change in estimate for asset retirement costs | $ 7 |
Basis of Preparation of Financi
Basis of Preparation of Financial Statements | 9 Months Ended |
Sep. 30, 2022 | |
Basis of Preparation of Financial Statements | |
Basis of Preparation of Financial Statements | 1. Basis of Preparation of Financial Statements The Condensed Consolidated Interim 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 (“SEC”) 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, 2021 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 consolidated financial statements and notes have been reclassified to conform to the current presentation. These reclassifications had no effect on the reported results of operations. |
Recently Adopted Accounting Sta
Recently Adopted Accounting Standards | 9 Months Ended |
Sep. 30, 2022 | |
Recently Adopted Accounting Standards | |
Recently Adopted Accounting Standards | 2. Recently Adopted Accounting Standards Recent accounting pronouncements issued have been evaluated and do not presently impact our financial statements and supplemental data. |
Revenue
Revenue | 9 Months Ended |
Sep. 30, 2022 | |
Revenue | |
Revenue | 3. Revenue The Company derives its revenue from the sale of doré and concentrates. The following table presents the Company’s net sales for each period presented, disaggregated by source: For the three months ended September 30, For the nine months ended September 30, 2022 2021 2022 2021 (in thousands) (in thousands) Doré sales, net Gold $ 1,517 $ 1,634 $ 5,245 $ 6,816 Silver 46 38 123 643 Less: Refining charges (18) (21) (35) (112) Total doré sales, net 1,545 1,651 5,333 7,347 Concentrate sales Gold 7,592 8,709 35,983 22,904 Silver 4,266 6,179 15,497 19,443 Copper 2,164 2,447 8,969 9,547 Lead 2,075 3,641 9,670 8,641 Zinc 10,003 9,187 40,672 27,193 Less: Treatment and refining charges (2,842) (2,307) (8,710) (8,098) Total concentrate sales, net 23,258 27,856 102,081 79,630 Realized (loss) gain - embedded derivative, net (1) (1,212) (246) 814 204 Unrealized gain (loss) - embedded derivative, net 278 (232) (1,878) (48) Total sales, net $ 23,869 $ 29,029 $ 106,350 $ 87,133 (1) Copper, lead, and zinc are co-products. In the Realized gain - embedded derivative, net, there are $0.9 million loss and $0.8 million gain, respectively, related to these co-products for the three and nine months ended September 30, 2022. There are $0.2 and $0.5 million, respectively, in the Realized gain - embedded derivative, net, related to the co-products for the three and nine months ended September 30, 2021 . |
Inventories, net
Inventories, net | 9 Months Ended |
Sep. 30, 2022 | |
Inventories, net | |
Inventories, net | 4. Inventories, net At September 30, 2022 and December 31, 2021, inventories, net, consisted of the following: As of As of September 30, December 31, 2022 2021 (in thousands) Stockpiles - underground mine $ 655 $ - Concentrates 3,574 2,048 Doré, net 641 452 Subtotal - product inventories 4,870 2,500 Materials and supplies (1) 8,723 7,861 Total $ 13,593 $ 10,361 (1) Net of reserve for obsolescence of $384 as of September 30, 2022 and December 31, 2021. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2022 | |
Income Taxes | |
Income Taxes | 5. Income Taxes The Company recorded an income tax benefit of $0.2 million and income tax expense $8.9 million, respectively, for the three and nine months ended September 30, 2022. For the three and nine months ended September 30, 2021, the Company recorded an income tax expense of $2.4 million and $6.7 million, respectively. In accordance with applicable accounting rules, the interim provision for taxes is calculated using the estimated consolidated annual 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 income in the U.S. is taxed at 21%, and a 5% withholding tax applies to dividends received from Mexico. The Mexico income is taxed at 37.5% (30% income tax and 7.5% mining tax), and Canada income is taxed at 26.5%, which results in a consolidated effective tax rate above statutory U.S. Federal rates. The U.S. and Canadian jurisdictions do not currently generate taxable income. Mexico Mining Taxation Mining entities in Mexico are subject to two mining duties in addition to the 30% Mexico corporate income tax. The first is a “special” mining duty of 7.5% of taxable income as defined under Mexican tax law (also referred to as “mining royalty tax”) on extraction activities performed by concession holders. The mining royalty tax is generally applicable to earnings before income tax, depreciation, depletion, amortization, and interest, and it is considered an income tax for purposes of financial reporting. The second is a 0.5% mining duty over sales of gold and silver, but this duty is not considered an income tax for financial reporting purposes and reported as production cost. Both duties are tax deductible for Mexico income tax purposes. On January 1, 2022, the 2022 Tax Reform became effective in Mexico, which included several amendments to the Income Tax Law relevant to tax deductions. For 2022, a depreciation rate of 5% per year was established for construction of facilities, additions, repairs, improvements, adaptations, as well as any other construction performed in a mining lot, in accordance with Article 12 of the Mexican Mining Law. The Company periodically transfers funds from its Mexican wholly-owned subsidiary to the U.S. in the form of dividends, which are subject to a 10% Mexico withholding tax, unless otherwise provided per a tax treaty. The current U.S.-Mexico tax treaty limits the dividend withholding tax between these countries to 5%, as long as certain requirements are met. Based on the Company’s understanding that it meets these requirements, the Company pays a 5% withholding tax on dividends paid from Mexico. The impact of the planned annual dividends for 2022 is reflected in the estimated annual effective tax rate. As of September 30, 2022, the Company recorded $0.8 million deferred tax liability related to the 5% withholding tax on funds available for transfer to the U.S. as dividends in the future and no longer deemed to be permanently reinvested in Mexico. If these funds are distributed to the U.S. from Mexico in the future, at that time they will be subject to the 5% dividend withholding tax payment upon distribution. As of September 30, 2022, the Company believes that it has no liability for uncertain tax positions. |
Promissory Note
Promissory Note | 9 Months Ended |
Sep. 30, 2022 | |
Promissory Note. | |
Promissory Note | 6. Promissory Note A promissory note was acquired in the Aquila Resources, Inc. (“Aquila”) acquisition. In October 2021, Aquila sold its Wisconsin assets to Green Light Metals in return for a C$4.9 million ($3.9 million) promissory note. In June, an amended agreement was executed. Under the amended promissory note, Green Light Metals is to deliver C$4.9 million in Green Light Metal common shares once Green Light Metals goes public, or private shares of Green Light Metals at the maturity date of December 31, 2022, whichever occurs first. The shares are expected to represent approximately 20% to 28% of the total outstanding shares of Green Light Metals. Due to the short maturity of the promissory note, the carrying amount approximates the fair value, and likewise, no interest and collateral is required. Until maturity, the Company will record unrealized foreign currency gain or loss on the promissory note. |
Prepaid Expenses and Other Curr
Prepaid Expenses and Other Current Assets | 9 Months Ended |
Sep. 30, 2022 | |
Prepaid Expenses And Other Current Assets | |
Prepaid Expenses and Other Current Assets | 7. Prepaid Expenses and Other Current Assets At September 30, 2022 and December 31, 2021, prepaid expenses and other current assets consisted of the following: As of As of September 30, December 31, 2022 2021 (in thousands) Advances to suppliers $ 1,019 $ 188 Prepaid insurance 2,019 1,222 Other current assets 1,419 875 Total $ 4,457 $ 2,285 In Mexico value added (“IVA”) tax is assessed on the sales of products and purchases of materials and services. Businesses owe IVA taxes as the business sells a product and collects IVA taxes from its customers. Likewise, businesses are generally entitled to recover the taxes they have paid related to purchases of materials and services, either as a refund or credit to IVA tax payable. Amounts recorded as IVA taxes in the consolidated financial statements represent the net estimated IVA tax payable or receivable, since there is a legal right of offset of IVA taxes. As of September 30, 2022, this resulted in a small asset balance ($0.6 million), which is included in Other current assets above. |
Property, Plant and Mine Develo
Property, Plant and Mine Development, net | 9 Months Ended |
Sep. 30, 2022 | |
Property, Plant and Mine Development, net | |
Property, Plant and Mine Development, net | 8. Property, Plant and Mine Development, net At September 30, 2022 and December 31, 2021, property, plant and mine development, net consisted of the following: As of As of September 30, December 31, 2022 2021 (in thousands) Asset retirement costs $ 1,065 $ 1,065 Construction-in-progress (1) 300 15,854 Furniture and office equipment 1,719 1,685 Land 9,033 9,230 Mineral interest 79,543 79,964 Light vehicles and other mobile equipment 2,328 2,224 Machinery and equipment 40,119 33,213 Mill facilities and infrastructure 35,917 24,973 Mine Development 102,457 92,138 Software and licenses 1,552 1,592 Subtotal 274,033 261,938 Accumulated depreciation and amortization (124,801) (105,167) Total $ 149,232 $ 156,771 (1) Includes accrued capital expenditures of $0.2 million and $1.7 million at September 30, 2022 and December 31, 2021, respectively. The Company recorded depreciation and amortization expense of $6.6 million and $19.8 million, respectively, for the three and nine months ended September 30, 2022 as compared to $3.5 million and $11.3 million, respectively, for the same periods ended September 30, 2021. |
Accrued Expenses and Other Liab
Accrued Expenses and Other Liabilities | 9 Months Ended |
Sep. 30, 2022 | |
Accrued Expenses and Other Liabilities | |
Accrued Expenses and Other Liabilities | 9. Accrued Expenses and Other Liabilities At September 30, 2022 and December 31, 2021, accrued expenses and other liabilities consisted of the following: As of As of September 30, December 31, 2022 2021 (in thousands) Accrued royalty payments $ 1,769 $ 1,743 Employee profit sharing obligation 2,028 1,888 Other payables 679 1,100 Total accrued expenses and other current liabilities $ 4,476 $ 4,731 Accrued non-current labor obligation $ 1,166 $ 920 Share-based compensation liability 835 206 Other long-term liabilities 132 826 Total other non-current liabilities $ 2,133 $ 1,952 |
Gold and Silver Stream Agreemen
Gold and Silver Stream Agreements | 9 Months Ended |
Sep. 30, 2022 | |
Gold and Silver Stream Agreements | |
Gold and Silver Stream Agreements | 10. Gold and Silver Stream Agreements The following table presents the Company’s liabilities related to the Gold and Silver Stream Agreements as of September 30, 2022 and December 31, 2021: As of As of September 30, December 31, 2022 2021 (in thousands) Liability related to the Gold Stream Agreement $ 20,506 $ 20,364 Liability related to the Silver Stream Agreement 22,695 22,196 Total liability $ 43,201 $ 42,560 Periodic interest expense will be incurred based on an implied interest rate. The implied interest rate is determined based on the timing and probability of future production and an 8% discount rate. Interest expense is recorded to the Consolidated Statements of Operations and the gold and silver stream agreement liability on the Consolidated Balance Sheet. Gold Streaming Agreement In November 2017, Aquila entered into a stream agreement with Osisko Bermuda Limited (“OBL”), a wholly-owned subsidiary of Osisko Gold Royalties Ltd (TSX & NYSE: OR), pursuant to which OBL agreed to commit approximately $55 million to Aquila through a gold stream purchase agreement. In June 2020, Aquila amended its agreement with Osisko, reducing the total committed amount to $50 million, as well as adjusting certain milestone dates under the gold stream to align with the current project development timeline. Aquila had received a total of $20 million of the committed funds at the time of the Gold Resource Corporation acquisition. Remaining deposits from OBL are $5 million upon receipt of permits required for the development and operation of the Back Forty Project and $25 million upon the first drawdown of an appropriate project debt finance facility. OBL has been provided a general security agreement over the Back Forty Project which consists of the subsidiaries of Gold Resource Acquisition Sub, Inc., a 100% owned subsidiary of Gold Resource Corporation. The initial term of the agreement is for 40 years, automatically renewable for successive ten-year periods. The agreement is subject to certain operating and financial covenants, which are in good standing as of September 30, 2022. The $20 million received from OBL through September 30, 2022 is shown as a long-term liability on the Consolidated Balance Sheet along with implied interest. The implied interest rate is applied on OBL advance payments and calculated on the total expected life-of-mine production to be deliverable (as supported in the Back Forty Project Preliminary Economic Assessment) at the five-year average street consensus metal prices (based on the median) evaluated as of December 31, 2021 and is discounted at 8.0%. As the remaining $30 million deposit is subject to the completion of certain milestones and the satisfaction of certain other conditions, this amount is not reflected on the Consolidated Balance Sheet. Per the terms of the gold stream agreement, OBL will purchase 18.5% of the refined gold from Back Forty (the “Threshold Stream Percentage”) until the Company has delivered 105,000 ounces of gold (the “Production Threshold”). Upon satisfaction of the Production Threshold, the Threshold Stream Percentage will be reduced to 9.25% of the refined gold (the “Tail Stream”). In exchange for the refined gold delivered under the Stream Agreement, OBL will pay the Company ongoing payments equal to 30% of the spot price of gold on the day of delivery, subject to a maximum payment of $600 per ounce. Where the market price of gold is greater than the price paid, the difference realized from the sale of the gold will be applied against the deposit received from Osisko. Silver Stream Agreement Through a series of contracts, Aquila executed a silver stream agreement with OBL to purchase silver produced at the Back Forty Project. A total of $17.2 million has been advanced under the agreement as of September 30, 2022. There are no future deposits remaining under the agreement. The initial term of the agreement is for 40 years, automatically renewable for successive ten-year periods. The agreement is subject to certain operating and financial covenants, which are in good standing as of September 30, 2022. Per the terms of the silver stream agreement, OBL will purchase 85% of the silver produced from the Back Forty Project at a fixed price of $4 per ounce of silver. Where the market price of silver is greater than $4 per ounce, the difference realized from the sale of the silver will be applied against the deposit received from Osisko. The $17.2 million received from OBL through September 30, 2022 is shown as a long-term liability on the Consolidated Balance Sheet along with an implied interest. |
Reclamation and Remediation
Reclamation and Remediation | 9 Months Ended |
Sep. 30, 2022 | |
Reclamation and Remediation | |
Reclamation and Remediation | 11. Reclamation and Remediation The following table presents the changes in reclamation and remediation obligations for the nine months ended September 30, 2022 and the year ended December 31, 2021: 2022 2021 (in thousands) Reclamation liabilities – balance at beginning of period $ 1,833 $ 1,890 Foreign currency exchange loss (gain) 25 (57) Reclamation liabilities – balance at end of period 1,858 1,833 Asset retirement obligation – balance at beginning of period 1,279 1,208 Accretion 77 109 Foreign currency exchange loss (gain) 18 (38) Asset retirement obligation – balance at end of period 1,374 1,279 Total period end balance $ 3,232 $ 3,112 The Company’s undiscounted reclamation liabilities of $ 1.9 million and $1.8 million as of September 30, 2022 and December 31, 2021, respectively, are related to the Don David Gold Mine in Mexico. These represent reclamation liabilities that were expensed through 2013 before proven and probable reserves were established and the Company was considered to be a development stage entity; therefore, most of the costs, including asset retirement costs, were not allowed to be capitalized as part of our Property, Plant & Mine Development. The Company’s asset retirement obligations reflect the additions to the asset for reclamation and remediation costs in Property, Plant & Mine Development, post 2013 development stage status, which are discounted using a credit adjusted risk-free rate of 8%. As of September 30, 2022 and December 31, 2021, the Company’s asset retirement obligation related to the Don David Gold Mine in Mexico was $1.4 million and $1.3 million, respectively. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies | |
Commitments and Contingencies | 12. Commitments and Contingencies Commitments As of September 30, 2022 and December 31, 2021, the Company has equipment purchase commitments of approximately $1.2 million and $0.4 million, respectively. Contingent Consideration With the Aquila acquisition, the Company assumed a contingent consideration related to the December 30, 2013, Aquila acquisition of 100% of the shares of HudBay Michigan Inc. (“HMI”), a subsidiary of HudBay Minerals Inc. (“HudBay”), effectively giving Aquila 100% ownership in the Back Forty Project (the “HMI Acquisition”). Pursuant to the HMI Acquisition, HudBay’s 51% interest in the Back Forty Project was acquired in consideration for the issuance of common shares of Aquila, future milestone payments tied to the development of the Back Forty Project, and a 1% net smelter return royalty on production from certain land parcels in the project. The issuance of shares and 1% net smelter obligations were settled before the Company acquired Aquila. The contingent consideration is composed of the following in Canadian dollars: The value of future installments is based on C$9 million tied to development of the Back Forty project as follows: a. C $3 million payable on completion of any form of financing for purposes including the commencement of construction of Back Forty. Up to 50% of the C $3 million can be paid, at the Company’s option, in Gold Resource Corporation shares with the balance payable in cash (if as of November 2023 this milestone has not been achieved or payment made, HMI has the right to repurchase a 51% ownership in the Back Forty Project); b. C $2 million payable in cash 90 days after the commencement of commercial production; c. C $2 million payable in cash 270 days after the commencement of commercial production; and d. C $2 million payable in cash 450 days after the commencement of commercial production. The value of the contingent consideration as of September 30, 2022 was $4.0 million. The contingent consideration will be adjusted for the foreign currency translation, time value of money, and the likelihood of the milestone payments. Any future changes in the value of the contingent consideration will be recognized in the Consolidated Statements of Operations. Other Contingencies The Company has certain other contingencies resulting from litigation, claims, and other commitments that are subject to a variety of environmental and safety laws and regulations incidents related to the ordinary course of business. The Company currently has no basis to conclude that any or all such contingencies will materially affect its financial position, results of operations, or cash flows. However, in the future, there may be changes to these contingencies, or additional contingencies may occur, any of which might result in an accrual or a change in current accruals recorded by the Company, and there can be no assurance that their ultimate disposition will not have a material adverse effect on the Company’s financial position, results of operations, or cash flows. With the successful acquisition of Aquila Resources Inc. on December 10, 2021, the Company assumed substantial liabilities that relate to the gold and silver stream agreements with Osisko Bermuda Limited (see Note 10 - Gold and Silver Stream Agreements at a rate agreed with Osisko. If it fails to do so, Osisko may be entitled to enforce their remedies as a secured party and take possession of the assets that comprise the Back Forty Project. |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2022 | |
Shareholders' Equity | |
Shareholders' Equity | 13. Shareholders’ Equity During the three and nine months ended September 30, 2022, the Company declared and paid dividends of $0.01 per common share and $0.03 per common share for an aggregate total of $0.9 million and $2.7 million, respectively. During the three and nine months ended September 30, 2021, the Company declared dividends of $0.01 per common share and $0.03 per common share, respectively, and paid an aggregate total of $0.7 million and $2.5 million, respectively. As of September 30, 2022, there are 88,398,109 issued |
Derivatives
Derivatives | 9 Months Ended |
Sep. 30, 2022 | |
Derivatives | |
Derivatives | 14. Derivatives 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 forward metal prices. Please see Note—20 Fair Value Measurement The following table summarizes the Company’s unsettled sales contracts at September 30, 2022 with the quantities of metals under contract subject to final pricing occurring through November 2022: Gold Silver Copper Lead Zinc Total (ounces) (ounces) (tonnes) (tonnes) (tonnes) Under contract 4,784 253,342 282 1,647 3,373 Average forward price (per ounce or tonne) $ 1,741 $ 19.52 $ 7,738 $ 2,011 $ 3,474 Unsettled sales contracts value (in thousands) $ 8,329 $ 4,945 $ 2,182 $ 3,312 $ 11,718 $ 30,486 Other Derivatives Derivative instruments that are not designated as hedging instruments are required to be recorded on the balance sheet at fair value. Changes in fair value will impact the Company’s earnings through mark-to-market adjustments until the physical commodity is delivered or the financial instrument is settled. The fair value does not reflect the realized or cash value of the instrument. As of September 30, 2022, the Company’s derivatives not designated as hedges consist of zinc zero cost collars used to manage its near-term exposure to cash flow variability from zinc price risks. A zero cost collar is a combination of two options: a sold call option and a purchased put option. The Company sold call options to establish the ceiling price of $3,500 per tonne of zinc that the Company will receive for the contracted zinc volume of 1,950 tonnes for October through December 2022. The purchased put establishes the floor price of $3,200 per tonne of zinc that the Company will receive for the same contracted tonnes and period of time. Derivatives are carried at fair value and on a net basis when a legal right of offset exists with the same counterparty. Otherwise, any fair value gains or losses are recognized in earnings in the current period. The London Metal Exchange (“LME”) average zinc price of $3,660 per tonne during the nine months ended September 30, 2022 exceeded the call option ceiling of $3,313 per tonne, resulting in a realized loss of $2.4 million. The zinc price forward curve as of September 30, 2022 is below the put option ceiling, resulting in a $0.4 million asset on the remaining 1,950 tonnes. The asset recognized resulted in an unrealized gain of $2.3 million for the nine months ended September 30, 2022. The Company manages credit risk by selecting counterparties believed to be financially strong, by entering into netting arrangements with counterparties and by requiring other credit risk mitigants, as appropriate. The Company actively evaluates the creditworthiness of its counterparties, assigns appropriate credit limits, and monitors credit exposures against those assigned limits. |
Employee Benefits
Employee Benefits | 9 Months Ended |
Sep. 30, 2022 | |
Employee Benefits | |
Employee Benefits | 15. Employee Benefits Effective October 2012, the Company adopted a profit sharing plan (the “Plan”) which covers all U.S. employees. The Plan meets the requirements of a qualified retirement plan pursuant to the provisions of Section 401(k) of the Internal Revenue Code. The Plan also provides eligible employees the opportunity to make tax deferred contributions to a retirement trust account up to 50% of their qualified wages, subject to the IRS annual maximums. Under Mexican law, employees are entitled to receive statutory profit sharing (Participacion a los Trabajadores de las Utilidades or “PTU”) payment. The required cash payment to employees in the aggregate is equal to 10% of their employer’s profit subject to PTU, which differs from profit determined under U.S. GAAP. Please see Note 9 — Accrued Expenses and Other Liabilities |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2022 | |
Stock-Based Compensation | |
Stock-Based Compensation | 16. Stock-Based Compensation The Company’s compensation program comprises three main elements: base salary, an annual short-term incentive plan (“STIP”) cash award, and long-term equity-based incentive compensation (“LTIP”) in the form of performance share units (“PSUs”), restricted stock units (“RSUs”), stock options, and deferred stock units (“DSUs”). 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, 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 prior plan that is terminated, expired, forfeited, or canceled for any reason, will be available for grant under the Incentive Plan. Effective January 1, 2021, the Company’s Board of Directors, on the recommendation of the Compensation Committee, implemented a program to issue DSUs. DSUs are qualifying instruments under the terms of the Company’s Incentive Plan and therefore do not require additional shareholder approval. The vesting and settlement terms of the DSUs are determined by the Compensation Committee at the time the DSUs are awarded. DSUs of nil and 214,357 were granted to the Board of Directors during the three and nine months ended September 30, 2022, respectively. DSUs of nil and 130,000 were granted to the Board of Directors during the three and nine months ended September 30, 2021, respectively. DSUs are redeemable in cash or shares at the earlier of 10 years or upon the eligible directors’ termination. Termination is deemed to occur on the earliest of (1) the date of voluntary resignation or retirement of the director from the Board; (2) the date of death of the director; or (3) the date of removal of the director from the Board whether by shareholder resolution, failure to achieve re-election, or otherwise; and on which date the director is not a director or employee of the Company or any of its affiliates. These awards contain a cash settlement feature and are therefore classified as a liability and are marked to fair value each reporting period. The Company may also issue DSUs for directors in lieu of board fees at their request. During the three and nine months ended September 30, 2022, respectively, there were 3,746 and 10,454 DSUs granted in lieu of board fees that are also subject to mark-to-market adjustment. Both during the three and nine months ended September 30, 2021, respectively, there were 1,960 DSUs granted in lieu of board fees that are also subject to mark-to-market adjustment. As of September 30, 2022 and 2021, the liability balance related to DSUs was $0.6 million and $0.2 million, respectively. RSUs of nil and 611,681 were granted during the three and nine months ended September 30, 2022, respectively. No RSUs were granted during the three and nine months ended September 30, 2021. During the three and nine months ended September 30, 2022, a total of 41,666 and 119,467 RSUs vested, respectively, from which 41,666 and 80,169 RSUs were redeemed, respectively, issuing 41,666 and 75,584 common shares with an intrinsic value and a fair value of $74,165 and $138,101, respectively. During the three and nine months ended September 30, 2021, respectively, a total of 50,183 and 52,797 RSUs vested and redeemed, and 49,755 and 52,369 common shares were issued with an intrinsic value and a fair value of $0.1 million and $0.1 million, respectively. Stock options of nil and 320,816 were granted during the three and nine months ended September 30, 2022, respectively. Stock options of nil and 600,000 were granted during the three and nine months ended September 30, 2021, respectively. Stock options of nil and 355,000, respectively, were exercised during the three and nine months ended September 30, 2022. These exercises were settled in cash. No stock options were exercised during the three months ended September 30, 2021. During the nine months ended September 30, 2021, stock options to purchase an aggregate of 217,718 shares of the Company’s common stock were exercised at a weighted average exercise price of $1.31 per share. PSUs of nil and 695,041 were granted during the three and nine months ended September 30, 2022, respectively. No PSUs were granted during the three and nine months ended September 30, 2021. PSUs cliff vest usually in three years based on the relative total shareholder return of a predetermined peer group and are expected to be settled in cash. Stock-based compensation expense for the periods presented is as follows: For the three months ended September 30, For the nine months ended September 30, 2022 2021 2022 2021 (in thousands) (in thousands) Stock options $ 124 $ 74 $ 523 $ 436 Restricted stock units 161 87 465 71 Performance stock units 152 - 246 - Deferred stock units 13 (131) 383 204 Total $ 450 $ 30 $ 1,617 $ 711 The Co . |
Zinc Zero Cost Collar
Zinc Zero Cost Collar | 9 Months Ended |
Sep. 30, 2022 | |
Zinc Zero Cost Collar | |
Zinc Zero Cost Collar | 17. Zinc Zero Cost Collar During the three and nine months ended September 30, 2022 and 2021, the realized and unrealized (gains) losses related to the Company’s Zinc Zero Cost Collar are the following: For the three months ended September 30, For the nine months ended September 30, 2022 2021 2022 2021 (in thousands) (in thousands) Realized (gain) loss on zinc zero cost collar $ (61) $ 40 $ 2,396 $ 40 Unrealized (gain) loss on zinc zero cost collar (157) 144 (2,276) 144 Total $ (218) $ 184 $ 120 $ 184 On May 18, 2021, the Company entered into a Trading Agreement with Auramet International LLC that governs nonexchange traded, over-the-counter, spot, forward and option transactions on both a deliverable and non-deliverable basis involving various metals and currencies. Gains and losses due to changes in fair value are non-cash in nature until such time that they are realized through cash transactions. Please see Note 14—Derivatives |
Other (Income) Expense, Net
Other (Income) Expense, Net | 9 Months Ended |
Sep. 30, 2022 | |
Other (Income) Expense, Net | |
Other (Income) Expense, Net | 18. Other Expense, net Other expense, net, for the periods presented consisted of the following: For the three months ended September 30, For the nine months ended September 30, 2022 2021 2022 2021 (in thousands) (in thousands) Unrealized currency exchange loss (gain) (1) $ 678 $ (59) $ 1,200 $ 257 Realized currency exchange (gain) loss (34) 24 125 (35) Realized and unrealized loss (gain) from gold and silver rounds, net 9 54 (19) 86 Employee benefit obligation (2) - - - 700 Interest on streaming liabilities 257 - 567 - Other (income) expense (145) (29) (56) (465) Total $ 765 $ (10) $ 1,817 $ 543 (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 20—Fair Value Measurement . (2) In year-to-date 2022, Employee benefit obligation of $0.2 million is recorded in production cost rather than in other expense, net. In 2021, the initial Employee benefit obligation due to the Mexico Labor Reform was recorded as other expense. |
Net Income per Common Share
Net Income per Common Share | 9 Months Ended |
Sep. 30, 2022 | |
Net Income per Common Share | |
Net Income per Common Share | 19. Net Income per Common Share Basic net income per common share is calculated based on the weighted average number of common shares outstanding for the period. Diluted earnings per common share are 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 the Company’s RSUs and DSUs are considered to be dilutive in periods with net income. 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 2.1 million shares of common stock at weighted average exercise prices of $3.52 and 2.1 million shares of common stock at weighted average exercise prices of and $5.11 were outstanding as of September 30, 2022 and 2021, 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 the reporting period, and therefore are anti-dilutive. Basic and diluted net income per common share is calculated as follows: For the three months ended For the nine months ended September 30, September 30, 2022 2021 2022 2021 Numerator: Net income (in thousands) $ (9,730) $ 1,529 $ (3,038) $ 5,339 Denominator: Basic weighted average shares of common stock outstanding 88,391,220 74,552,545 88,358,188 74,481,281 Dilutive effect of share-based awards - 345,975 - 360,814 Diluted weighted average common shares outstanding 88,391,220 74,898,520 88,358,188 74,842,095 Basic and diluted net (loss) income per common share $ (0.11) $ 0.02 $ (0.03) $ 0.07 |
Fair Value Measurement
Fair Value Measurement | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Measurement | |
Fair Value Measurement | 20. 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 Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2 Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and Level 3 Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). 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 measured at fair value on a recurring basis by level within the fair value hierarchy as of September 30, 2022 and December 31, 2021: As of As of September 30, December 31, Input Hierarchy Level 2022 2021 (in thousands) Cash and cash equivalents $ 22,531 $ 33,712 Level 1 Accounts receivable, net $ 3,741 $ 8,672 Level 2 Investment in equity securities $ 1,716 $ - Level 1 Derivative asset - zinc zero cost collar $ 432 $ - Level 2 Derivative liability - zinc zero cost collar $ - $ (1,844) Level 2 Contingent consideration $ (4,036) $ (4,603) Level 3 Gold and silver stream agreements $ (43,201) $ (42,560) Level 3 The following methods and assumptions were used to estimate the fair value of each class of financial instrument: Cash and cash equivalents Accounts receivable, net: Note 14—Derivatives Investment in equity securities Derivative liability - zinc zero cost collar For the zinc zero cost collar, when the prior month LME average zinc price is greater than the call price, positions settling in the period are recorded as a realized gain or loss, and unsettled positions are recorded as an unrealized gain or loss. Contingent consideration Note 12— Commitments and Contingencies Gold and silver stream agreements Note 10—Gold and Silver Stream Agreements Gains and losses related to changes in the fair value of these financial instruments were included in the Company’s Condensed Consolidated Interim Statements of Operations as shown in the following table: For the three months ended September 30, For the nine months ended September 30, Statements of Operations Classification 2022 2021 2022 2021 Note (in thousands) Realized and unrealized derivative (loss) gain, net 14 $ (934) $ (478) $ (1,064) $ 156 Sales, net Realized gain (loss) on zinc zero cost collar 17 $ 61 $ (40) $ (2,396) $ (40) Realized and unrealized loss on zinc zero cost collar Unrealized gain (loss) on zinc zero cost collar 17 $ 157 $ (144) $ 2,276 $ (144) Realized and unrealized loss on zinc zero cost collar 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 For the three months ended September 30, 2022 Realized loss $ (198) $ (141) $ (158) $ (88) $ (627) $ (1,212) Unrealized (loss) gain (95) (81) 108 96 250 278 Total realized/unrealized derivatives, net $ (293) $ (222) $ (50) $ 8 $ (377) $ (934) Gold Silver Copper Lead Zinc Total For the three months ended September 30, 2021 Realized (loss) gain $ (110) $ (295) $ (4) $ 72 $ 91 $ (246) Unrealized gain (loss) 28 (11) (16) (84) (149) (232) Total realized/unrealized derivatives, net $ (82) $ (306) $ (20) $ (12) $ (58) $ (478) Gold Silver Copper Lead Zinc Total For the nine months ended September 30, 2022 Realized (loss) gain $ (16) $ 13 $ (173) $ (32) $ 1,022 $ 814 Unrealized (loss) gain (96) 30 3 (103) (1,712) (1,878) Total realized/unrealized derivatives, net $ (112) $ 43 $ (170) $ (135) $ (690) $ (1,064) Gold Silver Copper Lead Zinc Total For the nine months ended September 30, 2021 Realized (loss) gain $ (133) $ (123) $ 63 $ 146 $ 251 $ 204 Unrealized gain (loss) 58 10 (24) (63) (29) (48) Total realized/unrealized derivatives, net $ (75) $ (113) $ 39 $ 83 $ 222 $ 156 |
Supplementary Cash Flow Informa
Supplementary Cash Flow Information | 9 Months Ended |
Sep. 30, 2022 | |
Supplementary Cash Flow Information | |
Supplementary Cash Flow Information | 21. 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 and nine months ended September 30, 2022 and 2021 consisted of the following: For the three months ended September 30, For the nine months ended September 30, 2022 2021 2022 2021 (in thousands) (in thousands) Unrealized loss (gain) on gold and silver rounds $ 8 $ 55 $ (54) $ 86 Unrealized foreign currency exchange loss (gain) 678 (59) 1,200 257 Unrealized (gain) loss on zinc zero cost collar (157) 144 (2,276) 144 Other 4 (106) (164) (12) Total other operating adjustments $ 533 $ 34 $ (1,294) $ 475 |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting | |
Segment Reporting | 22. Segment Reporting As of September 30, 2022, the Company has organized its operations into three geographic regions: Oaxaca, Mexico, Michigan, U.S.A., and Corporate and Other. Oaxaca, Mexico represents the Company’s only production stage property. Michigan, U.S.A. is an advanced exploration stage property. Intercompany 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 production stage or advanced exploration stage properties are included in Corporate and Other. The following table shows selected information from the Consolidated Balance Sheets relating to the Company’s segments (in thousands): Oaxaca, Mexico Michigan, USA Corporate and Other Consolidated As of September 30, 2022 Total current assets $ 41,848 $ 3,911 $ 2,570 $ 48,329 Total non-current assets 59,908 89,347 1,954 151,209 Total assets $ 101,756 $ 93,258 $ 4,524 $ 199,538 Total current liabilities 15,893 2,636 937 19,466 Total non-current liabilities 2 62,706 1,720 64,428 Total shareholders' equity 85,861 27,916 1,867 115,644 Total liabilities and shareholders' equity $ 101,756 $ 93,258 $ 4,524 $ 199,538 As of December 31, 2021 Total current assets $ 50,057 $ 5,528 $ 3,330 $ 58,915 Total non-current assets 66,756 90,018 73 156,847 Total assets $ 116,813 $ 95,546 $ 3,403 $ 215,762 Total current liabilities 25,833 2,459 1,367 29,659 Total non-current liabilities 1,436 63,438 479 65,353 Total shareholders' equity 89,544 29,649 1,557 120,750 Total liabilities and shareholders' equity $ 116,813 $ 95,546 $ 3,403 $ 215,762 The following table shows selected information from the Consolidated Statements of Operations relating to the Company’s segments (in thousands): Oaxaca, Mexico Michigan, USA (1) Corporate and Other Consolidated For the three months ended September 30, 2022 Sales, net $ 23,869 $ - $ - $ 23,869 Total mine cost of sales, including depreciation 26,016 21 10 26,047 Exploration expense 1,143 3,830 - 4,973 Total other costs and expenses, including G&A (105) 349 2,552 2,796 Provision for income taxes (1,235) - 1,018 (217) Net loss $ (1,950) $ (4,200) $ (3,580) $ (9,730) For the three months ended September 30, 2021 Sales, net $ 29,029 $ - $ - $ 29,029 Total mine cost of sales, including depreciation 20,784 - - 20,784 Exploration expense 1,802 - 3 1,805 Total other costs and expenses, including G&A 122 - 2,437 2,559 Provision for income taxes 2,089 - 263 2,352 Net income (loss) $ 4,232 $ - $ (2,703) $ 1,529 (1) Michigan, USA was acquired on December 10, 2021, and therefore, there is no information for the three months ended September 30, 2021. Oaxaca, Mexico Michigan, USA (1) Corporate and Other Consolidated For the nine months ended September 30, 2022 Sales, net $ 106,350 $ - $ - $ 106,350 Total mine cost of sales, including depreciation 81,105 54 27 81,186 Exploration expense 3,190 6,925 - 10,115 Total other costs and expenses, including G&A 1,019 787 7,366 9,172 Provision for income taxes 7,634 - 1,281 8,915 Net income (loss) $ 13,402 $ (7,766) $ (8,674) $ (3,038) For the nine months ended September 30, 2021 Sales, net $ 87,133 $ - $ - $ 87,133 Total mine cost of sales, including depreciation 63,433 - - 63,433 Exploration expense 3,642 - 18 3,660 Total other costs and expenses, including G&A 655 - 7,349 8,004 Provision for income taxes 6,434 - 263 6,697 Net income (loss) $ 12,969 $ - $ (7,630) $ 5,339 (1) Michigan, USA was acquired on December 10, 2021, and therefore, there is no information for the nine months ended September 30, 2021. |
Basis of Preparation of Finan_2
Basis of Preparation of Financial Statements (Policy) | 9 Months Ended |
Sep. 30, 2022 | |
Basis of Preparation of Financial Statements | |
Basis of Presentation | The Condensed Consolidated Interim 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 (“SEC”) 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, 2021 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 consolidated financial statements and notes have been reclassified to conform to the current presentation. These reclassifications had no effect on the reported results of operations. |
Recently Adopted Accounting S_2
Recently Adopted Accounting Standards (Policy) | 9 Months Ended |
Sep. 30, 2022 | |
Recently Adopted Accounting Standards | |
Recently Adopted Accounting Standards | Recent accounting pronouncements issued have been evaluated and do not presently impact our financial statements and supplemental data. |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Revenue | |
Revenue from the sale of dore and concentrate | For the three months ended September 30, For the nine months ended September 30, 2022 2021 2022 2021 (in thousands) (in thousands) Doré sales, net Gold $ 1,517 $ 1,634 $ 5,245 $ 6,816 Silver 46 38 123 643 Less: Refining charges (18) (21) (35) (112) Total doré sales, net 1,545 1,651 5,333 7,347 Concentrate sales Gold 7,592 8,709 35,983 22,904 Silver 4,266 6,179 15,497 19,443 Copper 2,164 2,447 8,969 9,547 Lead 2,075 3,641 9,670 8,641 Zinc 10,003 9,187 40,672 27,193 Less: Treatment and refining charges (2,842) (2,307) (8,710) (8,098) Total concentrate sales, net 23,258 27,856 102,081 79,630 Realized (loss) gain - embedded derivative, net (1) (1,212) (246) 814 204 Unrealized gain (loss) - embedded derivative, net 278 (232) (1,878) (48) Total sales, net $ 23,869 $ 29,029 $ 106,350 $ 87,133 (1) Copper, lead, and zinc are co-products. In the Realized gain - embedded derivative, net, there are $0.9 million loss and $0.8 million gain, respectively, related to these co-products for the three and nine months ended September 30, 2022. There are $0.2 and $0.5 million, respectively, in the Realized gain - embedded derivative, net, related to the co-products for the three and nine months ended September 30, 2021 . |
Inventories, net (Tables)
Inventories, net (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Inventories, net | |
Summary of Inventories, net | As of As of September 30, December 31, 2022 2021 (in thousands) Stockpiles - underground mine $ 655 $ - Concentrates 3,574 2,048 Doré, net 641 452 Subtotal - product inventories 4,870 2,500 Materials and supplies (1) 8,723 7,861 Total $ 13,593 $ 10,361 (1) Net of reserve for obsolescence of $384 as of September 30, 2022 and December 31, 2021. |
Prepaid Expenses and Other Cu_2
Prepaid Expenses and Other Current Assets (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Prepaid Expenses And Other Current Assets | |
Schedule of prepaid and other assets | As of As of September 30, December 31, 2022 2021 (in thousands) Advances to suppliers $ 1,019 $ 188 Prepaid insurance 2,019 1,222 Other current assets 1,419 875 Total $ 4,457 $ 2,285 |
Property, Plant and Mine Deve_2
Property, Plant and Mine Development, net (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Property, Plant and Mine Development, net | |
Schedule of property, plant and mine development | As of As of September 30, December 31, 2022 2021 (in thousands) Asset retirement costs $ 1,065 $ 1,065 Construction-in-progress (1) 300 15,854 Furniture and office equipment 1,719 1,685 Land 9,033 9,230 Mineral interest 79,543 79,964 Light vehicles and other mobile equipment 2,328 2,224 Machinery and equipment 40,119 33,213 Mill facilities and infrastructure 35,917 24,973 Mine Development 102,457 92,138 Software and licenses 1,552 1,592 Subtotal 274,033 261,938 Accumulated depreciation and amortization (124,801) (105,167) Total $ 149,232 $ 156,771 (1) Includes accrued capital expenditures of $0.2 million and $1.7 million at September 30, 2022 and December 31, 2021, respectively. |
Accrued Expenses and Other Li_2
Accrued Expenses and Other Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Accrued Expenses and Other Liabilities | |
Schedule of Accrued Expenses and Other Current Liabilities | As of As of September 30, December 31, 2022 2021 (in thousands) Accrued royalty payments $ 1,769 $ 1,743 Employee profit sharing obligation 2,028 1,888 Other payables 679 1,100 Total accrued expenses and other current liabilities $ 4,476 $ 4,731 Accrued non-current labor obligation $ 1,166 $ 920 Share-based compensation liability 835 206 Other long-term liabilities 132 826 Total other non-current liabilities $ 2,133 $ 1,952 |
Gold and Silver Stream Agreem_2
Gold and Silver Stream Agreements (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Gold and Silver Stream Agreements | |
Schedule of liabilities related to the deferred revenues | As of As of September 30, December 31, 2022 2021 (in thousands) Liability related to the Gold Stream Agreement $ 20,506 $ 20,364 Liability related to the Silver Stream Agreement 22,695 22,196 Total liability $ 43,201 $ 42,560 |
Reclamation and Remediation (Ta
Reclamation and Remediation (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Reclamation and Remediation | |
Changes in Reclamation and Remediation | 2022 2021 (in thousands) Reclamation liabilities – balance at beginning of period $ 1,833 $ 1,890 Foreign currency exchange loss (gain) 25 (57) Reclamation liabilities – balance at end of period 1,858 1,833 Asset retirement obligation – balance at beginning of period 1,279 1,208 Accretion 77 109 Foreign currency exchange loss (gain) 18 (38) Asset retirement obligation – balance at end of period 1,374 1,279 Total period end balance $ 3,232 $ 3,112 |
Derivatives (Tables)
Derivatives (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Derivatives | |
Summary of unsettled sales contracts | Gold Silver Copper Lead Zinc Total (ounces) (ounces) (tonnes) (tonnes) (tonnes) Under contract 4,784 253,342 282 1,647 3,373 Average forward price (per ounce or tonne) $ 1,741 $ 19.52 $ 7,738 $ 2,011 $ 3,474 Unsettled sales contracts value (in thousands) $ 8,329 $ 4,945 $ 2,182 $ 3,312 $ 11,718 $ 30,486 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Stock-Based Compensation | |
Stock-based compensation expense | For the three months ended September 30, For the nine months ended September 30, 2022 2021 2022 2021 (in thousands) (in thousands) Stock options $ 124 $ 74 $ 523 $ 436 Restricted stock units 161 87 465 71 Performance stock units 152 - 246 - Deferred stock units 13 (131) 383 204 Total $ 450 $ 30 $ 1,617 $ 711 |
Zinc Zero Cost Collar (Tables)
Zinc Zero Cost Collar (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Zinc Zero Cost Collar | |
Schedule of realized and unrealized losses related to Zinc Zero Cost Collar | For the three months ended September 30, For the nine months ended September 30, 2022 2021 2022 2021 (in thousands) (in thousands) Realized (gain) loss on zinc zero cost collar $ (61) $ 40 $ 2,396 $ 40 Unrealized (gain) loss on zinc zero cost collar (157) 144 (2,276) 144 Total $ (218) $ 184 $ 120 $ 184 |
Other (Income) Expense, Net (Ta
Other (Income) Expense, Net (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Other (Income) Expense, Net | |
Schedule of Other (Income) Expense, net | For the three months ended September 30, For the nine months ended September 30, 2022 2021 2022 2021 (in thousands) (in thousands) Unrealized currency exchange loss (gain) (1) $ 678 $ (59) $ 1,200 $ 257 Realized currency exchange (gain) loss (34) 24 125 (35) Realized and unrealized loss (gain) from gold and silver rounds, net 9 54 (19) 86 Employee benefit obligation (2) - - - 700 Interest on streaming liabilities 257 - 567 - Other (income) expense (145) (29) (56) (465) Total $ 765 $ (10) $ 1,817 $ 543 (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 20—Fair Value Measurement . (2) In year-to-date 2022, Employee benefit obligation of $0.2 million is recorded in production cost rather than in other expense, net. In 2021, the initial Employee benefit obligation due to the Mexico Labor Reform was recorded as other expense. |
Net Income per Common Share (Ta
Net Income per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Net Income per Common Share | |
Schedule of net income per common share | For the three months ended For the nine months ended September 30, September 30, 2022 2021 2022 2021 Numerator: Net income (in thousands) $ (9,730) $ 1,529 $ (3,038) $ 5,339 Denominator: Basic weighted average shares of common stock outstanding 88,391,220 74,552,545 88,358,188 74,481,281 Dilutive effect of share-based awards - 345,975 - 360,814 Diluted weighted average common shares outstanding 88,391,220 74,898,520 88,358,188 74,842,095 Basic and diluted net (loss) income per common share $ (0.11) $ 0.02 $ (0.03) $ 0.07 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Measurement | |
Assets measured at fair value by level within fair value hierarchy | As of As of September 30, December 31, Input Hierarchy Level 2022 2021 (in thousands) Cash and cash equivalents $ 22,531 $ 33,712 Level 1 Accounts receivable, net $ 3,741 $ 8,672 Level 2 Investment in equity securities $ 1,716 $ - Level 1 Derivative asset - zinc zero cost collar $ 432 $ - Level 2 Derivative liability - zinc zero cost collar $ - $ (1,844) Level 2 Contingent consideration $ (4,036) $ (4,603) Level 3 Gold and silver stream agreements $ (43,201) $ (42,560) Level 3 |
Gains and Losses Related to Changes in Fair Value | For the three months ended September 30, For the nine months ended September 30, Statements of Operations Classification 2022 2021 2022 2021 Note (in thousands) Realized and unrealized derivative (loss) gain, net 14 $ (934) $ (478) $ (1,064) $ 156 Sales, net Realized gain (loss) on zinc zero cost collar 17 $ 61 $ (40) $ (2,396) $ (40) Realized and unrealized loss on zinc zero cost collar Unrealized gain (loss) on zinc zero cost collar 17 $ 157 $ (144) $ 2,276 $ (144) Realized and unrealized loss on zinc zero cost collar |
Realized and Unrealized Gain Losses on Derivatives | The following tables summarize the Company’s realized/unrealized derivatives for the periods presented (in thousands) Gold Silver Copper Lead Zinc Total For the three months ended September 30, 2022 Realized loss $ (198) $ (141) $ (158) $ (88) $ (627) $ (1,212) Unrealized (loss) gain (95) (81) 108 96 250 278 Total realized/unrealized derivatives, net $ (293) $ (222) $ (50) $ 8 $ (377) $ (934) Gold Silver Copper Lead Zinc Total For the three months ended September 30, 2021 Realized (loss) gain $ (110) $ (295) $ (4) $ 72 $ 91 $ (246) Unrealized gain (loss) 28 (11) (16) (84) (149) (232) Total realized/unrealized derivatives, net $ (82) $ (306) $ (20) $ (12) $ (58) $ (478) Gold Silver Copper Lead Zinc Total For the nine months ended September 30, 2022 Realized (loss) gain $ (16) $ 13 $ (173) $ (32) $ 1,022 $ 814 Unrealized (loss) gain (96) 30 3 (103) (1,712) (1,878) Total realized/unrealized derivatives, net $ (112) $ 43 $ (170) $ (135) $ (690) $ (1,064) Gold Silver Copper Lead Zinc Total For the nine months ended September 30, 2021 Realized (loss) gain $ (133) $ (123) $ 63 $ 146 $ 251 $ 204 Unrealized gain (loss) 58 10 (24) (63) (29) (48) Total realized/unrealized derivatives, net $ (75) $ (113) $ 39 $ 83 $ 222 $ 156 |
Supplementary Cash Flow Infor_2
Supplementary Cash Flow Information (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Supplementary Cash Flow Information | |
Schedule of Supplementary Cash Flow Information | For the three months ended September 30, For the nine months ended September 30, 2022 2021 2022 2021 (in thousands) (in thousands) Unrealized loss (gain) on gold and silver rounds $ 8 $ 55 $ (54) $ 86 Unrealized foreign currency exchange loss (gain) 678 (59) 1,200 257 Unrealized (gain) loss on zinc zero cost collar (157) 144 (2,276) 144 Other 4 (106) (164) (12) Total other operating adjustments $ 533 $ 34 $ (1,294) $ 475 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting | |
Schedule of financial information relating to the Company segments | The following table shows selected information from the Consolidated Balance Sheets relating to the Company’s segments (in thousands): Oaxaca, Mexico Michigan, USA Corporate and Other Consolidated As of September 30, 2022 Total current assets $ 41,848 $ 3,911 $ 2,570 $ 48,329 Total non-current assets 59,908 89,347 1,954 151,209 Total assets $ 101,756 $ 93,258 $ 4,524 $ 199,538 Total current liabilities 15,893 2,636 937 19,466 Total non-current liabilities 2 62,706 1,720 64,428 Total shareholders' equity 85,861 27,916 1,867 115,644 Total liabilities and shareholders' equity $ 101,756 $ 93,258 $ 4,524 $ 199,538 As of December 31, 2021 Total current assets $ 50,057 $ 5,528 $ 3,330 $ 58,915 Total non-current assets 66,756 90,018 73 156,847 Total assets $ 116,813 $ 95,546 $ 3,403 $ 215,762 Total current liabilities 25,833 2,459 1,367 29,659 Total non-current liabilities 1,436 63,438 479 65,353 Total shareholders' equity 89,544 29,649 1,557 120,750 Total liabilities and shareholders' equity $ 116,813 $ 95,546 $ 3,403 $ 215,762 |
Schedule of asset balances, excluding investments and intercompany | The following table shows selected information from the Consolidated Statements of Operations relating to the Company’s segments (in thousands): Oaxaca, Mexico Michigan, USA (1) Corporate and Other Consolidated For the three months ended September 30, 2022 Sales, net $ 23,869 $ - $ - $ 23,869 Total mine cost of sales, including depreciation 26,016 21 10 26,047 Exploration expense 1,143 3,830 - 4,973 Total other costs and expenses, including G&A (105) 349 2,552 2,796 Provision for income taxes (1,235) - 1,018 (217) Net loss $ (1,950) $ (4,200) $ (3,580) $ (9,730) For the three months ended September 30, 2021 Sales, net $ 29,029 $ - $ - $ 29,029 Total mine cost of sales, including depreciation 20,784 - - 20,784 Exploration expense 1,802 - 3 1,805 Total other costs and expenses, including G&A 122 - 2,437 2,559 Provision for income taxes 2,089 - 263 2,352 Net income (loss) $ 4,232 $ - $ (2,703) $ 1,529 (1) Michigan, USA was acquired on December 10, 2021, and therefore, there is no information for the three months ended September 30, 2021. Oaxaca, Mexico Michigan, USA (1) Corporate and Other Consolidated For the nine months ended September 30, 2022 Sales, net $ 106,350 $ - $ - $ 106,350 Total mine cost of sales, including depreciation 81,105 54 27 81,186 Exploration expense 3,190 6,925 - 10,115 Total other costs and expenses, including G&A 1,019 787 7,366 9,172 Provision for income taxes 7,634 - 1,281 8,915 Net income (loss) $ 13,402 $ (7,766) $ (8,674) $ (3,038) For the nine months ended September 30, 2021 Sales, net $ 87,133 $ - $ - $ 87,133 Total mine cost of sales, including depreciation 63,433 - - 63,433 Exploration expense 3,642 - 18 3,660 Total other costs and expenses, including G&A 655 - 7,349 8,004 Provision for income taxes 6,434 - 263 6,697 Net income (loss) $ 12,969 $ - $ (7,630) $ 5,339 (1) Michigan, USA was acquired on December 10, 2021, and therefore, there is no information for the nine months ended September 30, 2021. |
Revenue (Details)
Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Realized gain embedded derivative, net | $ (1,212) | |||
Unrealized gain (loss) - embedded derivative, net | 278 | |||
Total sales, net | 23,869 | $ 29,029 | $ 106,350 | $ 87,133 |
Dore | ||||
Disaggregation of Revenue [Line Items] | ||||
Less: Treatment and refining charges | (18) | |||
Total concentrate sales, net | 1,545 | |||
Gold Dore | ||||
Disaggregation of Revenue [Line Items] | ||||
Total concentrate sales, net | 1,517 | |||
Silver Dore | ||||
Disaggregation of Revenue [Line Items] | ||||
Total concentrate sales, net | 46 | |||
Concentrate | ||||
Disaggregation of Revenue [Line Items] | ||||
Less: Treatment and refining charges | (2,842) | |||
Total concentrate sales, net | 23,258 | |||
Gold Concentrate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total concentrate sales, net | 7,592 | |||
Silver Concentrate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total concentrate sales, net | 4,266 | |||
Copper Concentrate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total concentrate sales, net | 2,164 | |||
Lead Concentrate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total concentrate sales, net | 2,075 | |||
Zinc Concentrate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total concentrate sales, net | 10,003 | |||
Co-products | ||||
Disaggregation of Revenue [Line Items] | ||||
Realized gain embedded derivative, net | $ 900 | $ 200 | $ 800 | $ 500 |
Inventories, net (Details)
Inventories, net (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Stockpiles - underground mine | $ 655 | |
Concentrates | 3,574 | $ 2,048 |
Dore, net | 641 | 452 |
Subtotal - product inventories | 4,870 | 2,500 |
Materials and supplies | 8,723 | 7,861 |
Total | 13,593 | 10,361 |
Materials and supplies | ||
Inventory reserve | $ 384 | $ 384 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Dec. 31, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income tax expense | $ (217,000) | $ 2,352,000 | $ 8,915,000 | $ 6,697,000 | |
Effective tax rate | 21% | ||||
Mining duty over sales of gold and silver | 0.50% | ||||
Withholding tax on dividends | 10% | ||||
Dividend withholding tax between countries | 5% | ||||
Liability for uncertain tax positions | $ 0 | $ 0 | |||
Mexico | |||||
MITL corporate income tax rate | 37.50% | 37.50% | |||
MITL corporate income tax rate excluding mining tax | 30% | ||||
Mining tax rate | 7.50% | ||||
Withholding tax on dividends | 5% | ||||
Liability for uncertain tax positions | $ 800,000 | $ 800,000 | |||
CANADA | |||||
Canada income tax rate | 26.50% | 26.50% |
Promissory Note (Details)
Promissory Note (Details) - Aquila Resources Inc. - Green Light Metals $ in Millions, $ in Millions | 1 Months Ended | ||
Jun. 30, 2022 CAD ($) | Oct. 31, 2021 CAD ($) | Oct. 31, 2021 USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Promissory notes receivable | $ 4.9 | $ 3.9 | |
Value of shares issuable as a part of consideration | $ 4.9 | ||
Maximum | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Percentage of equity interest | 28% | ||
Minimum | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Percentage of equity interest | 20% |
Prepaid Expenses and Other Cu_3
Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Prepaid Expenses And Other Current Assets | ||
Advances to suppliers | $ 1,019 | $ 188 |
Prepaid insurance | 2,019 | 1,222 |
Other current assets | 1,419 | 875 |
Total | 4,457 | $ 2,285 |
IVA taxes receivable, net | $ 600 |
Property, Plant and Mine Deve_3
Property, Plant and Mine Development, net - Summary of Property, Equipment and Mine Development (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | |
Property, equipment and mine development - net | |||
Property and equipment, gross | [1] | $ 274,033 | $ 261,938 |
Accumulated depreciation and amortization | (124,801) | (105,167) | |
Total property, equipment and mine development - net | 149,232 | 156,771 | |
Accrued capital expenditures | 200 | 1,700 | |
Asset retirement costs | |||
Property, equipment and mine development - net | |||
Property and equipment, gross | 1,065 | 1,065 | |
Construction-In-Progress | |||
Property, equipment and mine development - net | |||
Property and equipment, gross | 300 | 15,854 | |
Furniture and office equipment | |||
Property, equipment and mine development - net | |||
Property and equipment, gross | 1,719 | 1,685 | |
Land | |||
Property, equipment and mine development - net | |||
Property and equipment, gross | 9,033 | 9,230 | |
Mineral interests | |||
Property, equipment and mine development - net | |||
Property and equipment, gross | 79,543 | 79,964 | |
Light Vehicles And Other Mobile Equipment | |||
Property, equipment and mine development - net | |||
Property and equipment, gross | 2,328 | 2,224 | |
Machinery And Equipment | |||
Property, equipment and mine development - net | |||
Property and equipment, gross | 40,119 | 33,213 | |
Mill facilities and infrastructure | |||
Property, equipment and mine development - net | |||
Property and equipment, gross | 35,917 | 24,973 | |
Mine Development | |||
Property, equipment and mine development - net | |||
Property and equipment, gross | 102,457 | 92,138 | |
Software and licenses | |||
Property, equipment and mine development - net | |||
Property and equipment, gross | $ 1,552 | $ 1,592 | |
[1] Includes accrued capital expenditures of $0.2 million and $1.7 million at September 30, 2022 and December 31, 2021, respectively. |
Property, Plant and Mine Deve_4
Property, Plant and Mine Development, net - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Property, Plant and Mine Development, net | ||||
Depreciation and amortization expense | $ 6,609 | $ 3,521 | $ 19,829 | $ 11,299 |
Accrued Expenses and Other Li_3
Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands | Apr. 23, 2021 | Sep. 30, 2022 | Dec. 31, 2021 |
Accrued Expenses and Other Liabilities | |||
Accrued royalty payments | $ 1,769 | $ 1,743 | |
Employee profit sharing obligation | 2,028 | 1,888 | |
Other payables | 679 | 1,100 | |
Total accrued expenses and other current liabilities | 4,476 | 4,731 | |
Other Liabilities, Noncurrent [Abstract] | |||
Accrued non-current labor obligation | 1,166 | 920 | |
Share-based compensation liability | 835 | 206 | |
Other long-term liabilities | 132 | 826 | |
Total other non-current liabilities | $ 2,133 | $ 1,952 | |
Percentage of statutory profit sharing payable | 10% |
Gold and Silver Stream Agreem_3
Gold and Silver Stream Agreements - Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 |
Deferred revenue | $ 43,201 | $ 42,560 |
Gold Streaming Agreement | ||
Deferred revenue | 20,506 | 20,364 |
Silver Streaming Agreement | ||
Deferred revenue | $ 22,695 | $ 22,196 |
Gold and Silver Stream Agreem_4
Gold and Silver Stream Agreements - Narrative (Details) - USD ($) $ in Thousands | 1 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Sep. 30, 2022 | Dec. 31, 2021 | Nov. 30, 2017 | |
Discount rate (as a percent) | 8% | |||
Deferred revenue | $ 43,201 | $ 42,560 | ||
Gold Streaming Agreement | ||||
Deferred revenue | 20,506 | 20,364 | ||
Gold Streaming Agreement | Aquila Resources Inc. | Gold. | ||||
Amount committed | $ 50,000 | $ 55,000 | ||
Cash acquisition costs | 20,000 | |||
Deposit amount | 5,000 | |||
Project Debt Finance First Draw Down | $ 25,000 | |||
Initial Term of Agreement | 40 years | |||
Automatic Renewal Term of Agreement | 10 years | |||
Deferred revenue | 20,000 | |||
Contingent Security Deposit Liability | 30,000 | |||
Threshold Stream (as a percent) | 18.50% | |||
Trail Stream (as a percent) | 9.25% | |||
Spot price of gold (as a percent) | 30% | |||
Maximum Amount Receivable on Gold Per Ounce | $ 600,000 | |||
Threshold price of silver at which deposit received is adjusted | 105 | |||
Gold Streaming Agreement | Aquila Resources Inc. | Silver | ||||
Deferred revenue | 17,200 | |||
Threshold price of silver at which deposit received is adjusted | $ 4,000 | |||
Gold Streaming Agreement | Gold Resources Acquisition Company | Aquila Resources Inc. | Gold. | ||||
Ownership percentage | 100% | |||
Silver Streaming Agreement | ||||
Deferred revenue | 22,695 | $ 22,196 | ||
Silver Streaming Agreement | Aquila Resources Inc. | Silver | ||||
Cash acquisition costs | $ 17,200 | |||
Deposit amount | $ 0 | |||
Initial Term of Agreement | 40 years | |||
Automatic Renewal Term of Agreement | 10 years | |||
Commodity produced (as a percent) | 85% |
Reclamation and Remediation (De
Reclamation and Remediation (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 | Dec. 31, 2021 | |
Asset Retirement Obligation, Roll Forward Analysis | ||
Reclamation liabilities - balance at beginning of period | $ 1,833 | $ 1,890 |
Foreign currency exchange loss (gain) | 25 | (57) |
Reclamation liabilities - balance at end of period | 1,858 | 1,833 |
Asset retirement obligation - balance at beginning of period | 1,279 | 1,208 |
Accretion | 77 | 109 |
Foreign currency exchange loss (gain) | 18 | (38) |
Asset retirement obligation - balance at end of period | 1,374 | 1,279 |
Total period end balance | $ 3,232 | $ 3,112 |
Reclamation and Remediation - N
Reclamation and Remediation - Narrative (Details) - USD ($) $ in Thousands | Sep. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Undiscounted reclamation liabilities | $ 1,858 | $ 1,833 | $ 1,890 |
Reclamation and remediation discount rate | 8% | ||
Asset Retirement Obligation | $ 1,374 | 1,279 | $ 1,208 |
Don David Gold Mine | |||
Undiscounted reclamation liabilities | 1,900 | 1,800 | |
Asset Retirement Obligation | $ 1,400 | $ 1,300 |
Commitments and Contingencies (
Commitments and Contingencies (Narrative) (Details) $ in Thousands, $ in Millions | Dec. 30, 2013 CAD ($) | Sep. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 10, 2021 USD ($) | Dec. 31, 2013 |
Leases [Line Items] | |||||
Equipment purchase commitments | $ 1,200 | $ 400 | |||
Contingent consideration | 4,036 | 4,603 | |||
Contingent consideration | 4,036 | $ 4,603 | |||
HudBay Michigan Inc | |||||
Leases [Line Items] | |||||
Percentage of voting equity interests acquired | 100% | ||||
Aquila Resources Inc. | Gold and silver streaming agreement with Osisko Bermuda Limited | Back Forty Project | |||||
Leases [Line Items] | |||||
Deposit amount | $ 37,200 | ||||
Aquila Resources Inc. | Back Forty Project | |||||
Leases [Line Items] | |||||
Percentage of ownership interest held | 100% | ||||
Contingent consideration | $ 9 | ||||
Contingent consideration due upon project financing | $ 3 | ||||
Percentage of contingent consideration payable in shares | 50% | ||||
Contingent consideration payable in shares | $ 3 | ||||
Right to repurchase ownership interest | 51% | ||||
Contingent consideration | $ 4,000 | ||||
Aquila Resources Inc. | Back Forty Project | 90 days after the commencement of commercial production | |||||
Leases [Line Items] | |||||
Contingent consideration payable in cash | $ 2 | ||||
Aquila Resources Inc. | Back Forty Project | 270 days after the commencement of commercial production | |||||
Leases [Line Items] | |||||
Contingent consideration payable in cash | 2 | ||||
Aquila Resources Inc. | Back Forty Project | 450 days after the commencement of commercial production | |||||
Leases [Line Items] | |||||
Contingent consideration payable in cash | $ 2 | ||||
HudBay Michigan Inc | HudBay Michigan Inc | |||||
Leases [Line Items] | |||||
Percentage of net smelter return royalty on production | 1% | ||||
HudBay Michigan Inc | Back Forty Project | |||||
Leases [Line Items] | |||||
Percentage of voting equity interests acquired at the asset acquisition date tied to the development of project | 51% |
Shareholders' Equity (Details)
Shareholders' Equity (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Shareholders' Equity | |||||
Dividend per share declared and paid | $ 0.01 | $ 0.01 | $ 0.03 | $ 0.03 | |
Dividends paid | $ 0.9 | $ 0.7 | $ 2.7 | $ 2.5 | |
Common stock, shares issued | 88,398,109 | 88,398,109 | |||
Common stock, shares outstanding | 88,398,109 | 88,398,109 | 88,338,774 |
Derivatives (Details)
Derivatives (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2022 USD ($) $ / t | Sep. 30, 2022 USD ($) $ / t $ / oz t oz | Dec. 31, 2021 USD ($) | |
Embedded Derivative [Line Items] | |||
Unsettled sales contracts value | $ 30,486 | ||
Realized loss on embedded derivative | $ 1,212 | ||
Unrealized gain (loss) - embedded derivative, net | 278 | ||
Derivative Asset, Current | 432 | $ 432 | |
Gold | |||
Embedded Derivative [Line Items] | |||
Under contract | oz | 4,784 | ||
Average forward price | $ / oz | 1,741 | ||
Unsettled sales contracts value | $ 8,329 | ||
Silver. | |||
Embedded Derivative [Line Items] | |||
Under contract | oz | 253,342 | ||
Average forward price | $ / oz | 19.52 | ||
Unsettled sales contracts value | $ 4,945 | ||
Copper | |||
Embedded Derivative [Line Items] | |||
Under contract | t | 282 | ||
Average forward price | $ / t | 7,738 | ||
Unsettled sales contracts value | $ 2,182 | ||
Lead | |||
Embedded Derivative [Line Items] | |||
Under contract | t | 1,647 | ||
Average forward price | $ / t | 2,011 | ||
Unsettled sales contracts value | $ 3,312 | ||
Zinc | |||
Embedded Derivative [Line Items] | |||
Under contract | t | 3,373 | ||
Average forward price | $ / t | 3,474 | ||
Unsettled sales contracts value | $ 11,718 | ||
Realized loss on embedded derivative | (2,400) | ||
Unrealized gain (loss) - embedded derivative, net | $ 2,300 | ||
Mark to market adjustment on number of tonnes | t | 1,950 | ||
Derivative Asset, Current | $ 400 | $ 400 | |
Call option sold price per tonne | $ / t | 3,500 | ||
Call option sold volume | t | 1,950 | ||
Derivative, Floor Price | $ / t | 3,200 | 3,200 | |
Zinc | Minimum | |||
Embedded Derivative [Line Items] | |||
Call option sold price per tonne | $ / t | 3,313 | ||
Zinc | Maximum | |||
Embedded Derivative [Line Items] | |||
Derivative, Average Cap Price | $ / t | 3,660 | 3,660 |
Employee Benefits (Details)
Employee Benefits (Details) | 9 Months Ended | |
Apr. 23, 2021 | Sep. 30, 2022 | |
Employee Benefits | ||
Defined contribution plan maximum percentage amount of the employee's gross pay that the employee can contribute | 50% | |
Percentage Of Statutory Profit Sharing Payable | 10% |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Equity Incentive plan shares for issuance authorized | 5,000,000 | 5,000,000 | |||
Total intrinsic value | $ 138,101 | ||||
Options granted | 0 | 0 | 320,816 | 600,000 | |
Number of shares purchased | 217,718 | 217,718 | |||
Weighted average exercise price | $ 1.31 | $ 1.31 | |||
Number of stock options exercised | 0 | 0 | 355,000 | ||
Accrued expenses and other current liabilities | $ 4,476,000 | $ 4,476,000 | $ 4,731,000 | ||
STIP | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Accrued expenses and other current liabilities | $ 700,000 | $ 700,000 | |||
Restricted stock units | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of units Granted | 0 | 0 | 611,681 | 0 | |
Total intrinsic value | $ 74,165,000 | $ 100,000 | $ 100,000 | ||
Vested (in shares) | 41,666 | 50,183 | 119,467 | 50,183 | |
Stock redeemed | 41,666 | 52,797 | 80,169 | 52,797 | |
Common shares issued | 41,666 | 49,755 | 75,584 | 52,369 | |
Deferred stock units | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of units Granted | 0 | 0 | 214,357 | 130,000 | |
Number of units Granted in lieu of board fees | 3,746 | 1,960 | 10,454 | 1,960 | |
Additional disclosures | |||||
Vesting period | 10 years | ||||
Deferred stock units liability | $ 600,000 | $ 200,000 | $ 600,000 | $ 200,000 | |
Phantom Share Units (PSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of units Granted | 0 | 0 | 695,041 | 0 | |
Additional disclosures | |||||
Vesting period | 3 years |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-based compensation expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Stock-based compensation expense | $ 450 | $ 30 | $ 1,617 | $ 711 |
Stock options | ||||
Stock-based compensation expense | 124 | 74 | 523 | 436 |
Restricted stock units | ||||
Stock-based compensation expense | 161 | 87 | 465 | 71 |
Performance stock units | ||||
Stock-based compensation expense | 152 | 246 | ||
Deferred stock units | ||||
Stock-based compensation expense | $ 13 | $ (131) | $ 383 | $ 204 |
Zinc Zero Cost Collar (Details)
Zinc Zero Cost Collar (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Realized (gain) loss on zinc zero cost collar | $ (1,212) | $ (246) | $ 814 | $ 204 |
Unrealized (gain) loss on zinc zero cost collar | 278 | (232) | (1,878) | (48) |
Total | 218 | (184) | (120) | (184) |
Zinc | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Realized (gain) loss on zinc zero cost collar | (627) | 91 | 1,022 | 251 |
Unrealized (gain) loss on zinc zero cost collar | 250 | (149) | (1,712) | (29) |
Zero Cost Collar | Zinc | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Realized (gain) loss on zinc zero cost collar | 400 | |||
Zero Cost Collar | Zinc | Not designated as hedge | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Realized (gain) loss on zinc zero cost collar | (61) | 40 | 2,396 | 40 |
Unrealized (gain) loss on zinc zero cost collar | (157) | 144 | (2,276) | 144 |
Total | $ (218) | $ 184 | $ 120 | $ 184 |
Other (Income) Expense, Net (De
Other (Income) Expense, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Unrealized currency exchange loss (gain) | $ 678 | $ (59) | $ 1,200 | $ 257 |
Realized currency exchange (gain) loss | (34) | 24 | 125 | (35) |
Realized and unrealized loss (gain) from gold and silver rounds, net | 9 | 54 | (19) | 86 |
Employee benefit obligation | 700 | |||
Interest on streaming liabilities | 257 | 567 | ||
Other (income) expense | (145) | (29) | (56) | (465) |
Total | $ 765 | $ (10) | 1,817 | $ 543 |
Other Expense | ||||
Employee benefit obligation | $ 200 |
Net Income per Common Share - N
Net Income per Common Share - Narrative (Details) - $ / shares shares in Millions | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Net Income per Common Share | ||
Stock options excluded from computation of diluted weighted average share outstanding | 2.1 | 2.1 |
Shares excluded from weighted average shares outstanding, exercise price | $ 3.52 | $ 5.11 |
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 | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Net Income per Common Share | ||||
Net income | $ (9,730) | $ 1,529 | $ (3,038) | $ 5,339 |
Basic weighted average shares of common stock outstanding | 88,391,220 | 74,552,545 | 88,358,188 | 74,481,281 |
Dilutive effect of share-based awards | 345,975 | 360,814 | ||
Diluted weighted average common shares outstanding | 88,391,220 | 74,898,520 | 88,358,188 | 74,842,095 |
Basic net income (loss) per common share: | ||||
Basic net (loss) income per common share | $ (0.11) | $ 0.02 | $ (0.03) | $ 0.07 |
Diluted net income (loss) per common share: | ||||
Diluted net (loss) income per common share | $ (0.11) | $ 0.02 | $ (0.03) | $ 0.07 |
Fair Value Measurement (Details
Fair Value Measurement (Details) $ in Millions | Sep. 22, 2022 CAD ($) shares | Sep. 22, 2022 USD ($) shares | Sep. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Contingent consideration | $ (4,036,000) | $ (4,603,000) | ||
Net allowance for doubtful accounts | $ 1,700,000 | 0 | ||
Contingent Consideration Probability | 60.75% | |||
Future Production Probability | $ 67.5 | |||
Gold And Silver Stream Discount Rate | 8 | |||
Maritime Resources Corp | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment made | $ 2.4 | $ 1,700,000 | ||
Number of equity securities purchased | shares | 47 | 47 | ||
Maximum | Maritime Resources Corp | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Ownership percentage | 10% | 10% | ||
Level 1 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash and cash equivalents | 22,531,000 | 33,712,000 | ||
Investment in equity securities | 1,716,000 | |||
Level 2 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Accounts receivable, net | 3,741,000 | 8,672,000 | ||
Derivative asset - zinc zero cost collar | 432,000 | |||
Derivative liability - zinc zero cost collar | (1,844,000) | |||
Level 3 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Gold and silver stream agreements | $ (43,201,000) | $ (42,560,000) |
Fair Value Measurement - Statem
Fair Value Measurement - Statement Of Income Classification (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Fair Value Statement Of Income Classification [Line Items] | ||||
Unrealized gain (loss) on zinc zero cost collar | $ 157 | $ (144) | $ 2,276 | $ (144) |
Sales, net | ||||
Fair Value Statement Of Income Classification [Line Items] | ||||
Realized and unrealized derivative (loss) gain, net | (934) | (478) | (1,064) | 156 |
Other expenses, net | ||||
Fair Value Statement Of Income Classification [Line Items] | ||||
Realized gain (loss) on zinc zero cost collar | 61 | (40) | (2,396) | (40) |
Unrealized gain (loss) on zinc zero cost collar | $ 157 | $ (144) | $ 2,276 | $ (144) |
Fair Value Measurement - Realiz
Fair Value Measurement - Realized Unrealized Derivatives, net (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Derivatives, Fair Value [Line Items] | ||||
Realized (loss) gain | $ (1,212) | $ (246) | $ 814 | $ 204 |
Unrealized gain (loss) | 278 | (232) | (1,878) | (48) |
Total realized/ unrealized derivatives, net | (934) | (478) | (1,064) | 156 |
Gold | ||||
Derivatives, Fair Value [Line Items] | ||||
Realized (loss) gain | (198) | (110) | (16) | (133) |
Unrealized gain (loss) | (95) | 28 | (96) | 58 |
Total realized/ unrealized derivatives, net | (293) | (82) | (112) | (75) |
Silver. | ||||
Derivatives, Fair Value [Line Items] | ||||
Realized (loss) gain | (141) | (295) | 13 | (123) |
Unrealized gain (loss) | (81) | (11) | 30 | 10 |
Total realized/ unrealized derivatives, net | (222) | (306) | 43 | (113) |
Copper | ||||
Derivatives, Fair Value [Line Items] | ||||
Realized (loss) gain | (158) | (4) | (173) | 63 |
Unrealized gain (loss) | 108 | (16) | 3 | (24) |
Total realized/ unrealized derivatives, net | (50) | (20) | (170) | 39 |
Lead | ||||
Derivatives, Fair Value [Line Items] | ||||
Realized (loss) gain | (88) | 72 | (32) | 146 |
Unrealized gain (loss) | 96 | (84) | (103) | (63) |
Total realized/ unrealized derivatives, net | 8 | (12) | (135) | 83 |
Zinc | ||||
Derivatives, Fair Value [Line Items] | ||||
Realized (loss) gain | (627) | 91 | 1,022 | 251 |
Unrealized gain (loss) | 250 | (149) | (1,712) | (29) |
Total realized/ unrealized derivatives, net | $ (377) | $ (58) | $ (690) | $ 222 |
Supplementary Cash Flow Infor_3
Supplementary Cash Flow Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Supplementary Cash Flow Information | ||||
Unrealized loss (gain) on gold and silver rounds | $ 8 | $ 55 | $ (54) | $ 86 |
Unrealized foreign currency exchange loss | 678 | (59) | 1,200 | 257 |
Unrealized (gain) loss on zinc zero cost collar | (157) | 144 | (2,276) | 144 |
Other | 4 | (106) | (164) | (12) |
Total other operating adjustments | $ 533 | $ 34 | $ (1,294) | $ 475 |
Segment Reporting (Details)
Segment Reporting (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 USD ($) | Sep. 30, 2021 USD ($) | Sep. 30, 2022 USD ($) segment | Sep. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | Jun. 30, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
Number of geographic regions | segment | 3 | |||||||
Balance sheet information | ||||||||
Total current assets | $ 48,329 | $ 48,329 | $ 58,915 | |||||
Total non-current assets | 151,209 | 151,209 | 156,847 | |||||
Total assets | 199,538 | 199,538 | 215,762 | |||||
Total current liabilities | 19,466 | 19,466 | 29,659 | |||||
Total non-current liabilities | 64,428 | 64,428 | 65,353 | |||||
Total shareholders' equity | 115,644 | $ 94,207 | 115,644 | $ 94,207 | $ 126,002 | 120,750 | $ 93,263 | $ 90,538 |
Total liabilities and shareholders' equity | 199,538 | 199,538 | 215,762 | |||||
Income statement information | ||||||||
Sales, net | 23,869 | 29,029 | 106,350 | 87,133 | ||||
Total mine cost of sales | 26,047 | 20,784 | 81,186 | 63,433 | ||||
Exploration expenses | 4,973 | 1,805 | 3,660 | |||||
Total other costs and expenses | 2,796 | 2,559 | ||||||
Provision for income taxes | (217) | 2,352 | 8,915 | 6,697 | ||||
Net income (loss) | (9,730) | 1,529 | ||||||
Oaxaca, Mexico | ||||||||
Income statement information | ||||||||
Exploration expenses | 1,143 | 3,190 | ||||||
Michigan, USA | ||||||||
Income statement information | ||||||||
Exploration expenses | 3,830 | 6,925 | ||||||
Operating Segments | Oaxaca, Mexico | ||||||||
Balance sheet information | ||||||||
Total current assets | 41,848 | 41,848 | 50,057 | |||||
Total non-current assets | 59,908 | 59,908 | 66,756 | |||||
Total assets | 101,756 | 101,756 | 116,813 | |||||
Total current liabilities | 15,893 | 15,893 | 25,833 | |||||
Total non-current liabilities | 2 | 2 | 1,436 | |||||
Total shareholders' equity | 85,861 | 85,861 | 89,544 | |||||
Total liabilities and shareholders' equity | 101,756 | 101,756 | 116,813 | |||||
Income statement information | ||||||||
Sales, net | 23,869 | 29,029 | 106,350 | 87,133 | ||||
Total mine cost of sales | 26,016 | 20,784 | 81,105 | 63,433 | ||||
Exploration expenses | 1,143 | 1,802 | 3,190 | 3,642 | ||||
Total other costs and expenses | (105) | 122 | 1,019 | 655 | ||||
Provision for income taxes | (1,235) | 2,089 | 7,634 | 6,434 | ||||
Net income (loss) | (1,950) | 4,232 | 13,402 | $ 12,969 | ||||
Operating Segments | Michigan, USA | ||||||||
Balance sheet information | ||||||||
Total current assets | 3,911 | 3,911 | 5,528 | |||||
Total non-current assets | 89,347 | 89,347 | 90,018 | |||||
Total assets | 93,258 | 93,258 | 95,546 | |||||
Total current liabilities | 2,636 | 2,636 | 2,459 | |||||
Total non-current liabilities | 62,706 | 62,706 | 63,438 | |||||
Total shareholders' equity | 27,916 | 27,916 | 29,649 | |||||
Total liabilities and shareholders' equity | 93,258 | 93,258 | 95,546 | |||||
Income statement information | ||||||||
Total mine cost of sales | 21 | |||||||
Exploration expenses | 3,830 | |||||||
Total other costs and expenses | 349 | |||||||
Net income (loss) | (4,200) | |||||||
Corporate and Other | ||||||||
Balance sheet information | ||||||||
Total current assets | 2,570 | 2,570 | 3,330 | |||||
Total non-current assets | 1,954 | 1,954 | 73 | |||||
Total assets | 4,524 | 4,524 | 3,403 | |||||
Total current liabilities | 937 | 937 | 1,367 | |||||
Total non-current liabilities | 1,720 | 1,720 | 479 | |||||
Total shareholders' equity | 1,867 | 1,867 | 1,557 | |||||
Total liabilities and shareholders' equity | 4,524 | $ 4,524 | $ 3,403 | |||||
Income statement information | ||||||||
Total mine cost of sales | 10 | |||||||
Exploration expenses | 3 | |||||||
Total other costs and expenses | 2,552 | 2,437 | ||||||
Provision for income taxes | 1,018 | 263 | ||||||
Net income (loss) | $ (3,580) | $ (2,703) |