Document And Entity Information
Document And Entity Information | 12 Months Ended |
Dec. 31, 2017shares | |
Document And Entity Information [abstract] | |
Entity Registrant Name | FORTUNA SILVER MINES INC |
Entity Central Index Key | 1,341,335 |
Document Type | 40-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2017 |
Document Fiscal Period Focus | FY |
Document Fiscal Year Focus | 2,017 |
Current Fiscal Year End Date | --12-31 |
Entity Current Reporting Status | Yes |
Entity Common Stock, Shares Outstanding | 159,636,983 |
Consolidated Income Statements
Consolidated Income Statements - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Consolidated Income Statements [abstract] | ||
Sales (note 25) | $ 268,111 | $ 210,255 |
Cost of sales (note 26) | 158,551 | 129,649 |
Mine operating income | 109,560 | 80,606 |
Other expenses (income) | ||
Selling, general and administration (note 27) | 24,911 | 31,117 |
Exploration and evaluation | 1,534 | 177 |
Share of loss of equity-accounted investee | 192 | |
Foreign exchange loss (gain) | 2,034 | (649) |
Impairment reversal (note 14) | (31,119) | |
Other expenses | 1,681 | 1,420 |
Other expenses (income), total | (767) | 32,065 |
Operating Income | 110,327 | 48,541 |
Financing items | ||
Interest income | (1,950) | (328) |
Interest expense | 1,674 | 2,147 |
Accretion of provision | 684 | 665 |
Loss (gain) on financial assets and liabilities carried at fair value | 4,968 | (1,053) |
Financial expense (income), total | 5,376 | 1,431 |
Income before Taxes | 104,951 | 47,110 |
Income tax (note 29) | ||
Current income tax expense | 34,863 | 29,063 |
Deferred income tax expense | 3,783 | 189 |
Total tax expense | 38,646 | 29,252 |
Net income for the year | $ 66,305 | $ 17,858 |
Earning Per Share Basic And Diluted [abstract] | ||
Basic | $ 0.42 | $ 0.13 |
Diluted | $ 0.42 | $ 0.13 |
Weighted average number of common shares outstanding during the period (000's) | ||
Basic | 158,036 | 136,888 |
Diluted | 158,312 | 138,053 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Consolidated Statements of Comprehensive Income [abstract] | ||
Net income for the year | $ 66,305 | $ 17,858 |
Items that may in the future be reclassified to profit or loss: | ||
Change in fair value of hedging instruments, net of nil tax (note 10b) | 369 | 85 |
Change in fair value of marketable securities, net of nil tax (note 6) | (307) | 334 |
Total other comprehensive income for the year | 62 | 419 |
Comprehensive income for the year | $ 66,367 | $ 18,277 |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 183,074 | $ 82,484 |
Short term investments (note 5) | 29,500 | 41,100 |
Marketable securities (note 6) | 556 | 1,579 |
Derivative assets (note 10) | 140 | 973 |
Accounts and other receivables (note 8) | 36,370 | 24,987 |
Income tax receivable | 130 | 72 |
Inventories (note 9) | 17,753 | 13,572 |
Prepaid expenses | 3,231 | 2,145 |
Assets held for sale (note 11) | 1,701 | |
Total current assets | 272,455 | 166,912 |
NON-CURRENT ASSETS: | ||
Mineral properties and exploration and evaluation assets (note 13) | 296,612 | 263,535 |
Plant and equipment (note 15) | 133,664 | 130,863 |
Investment in associate (note 7) | 2,694 | |
Other non-current receivables (note 12) | 1,223 | 562 |
Deferred tax assets (note 29) | 471 | |
Deposits on non-current assets | 572 | |
Total assets | 706,648 | 562,915 |
CURRENT LIABILITIES: | ||
Trade and other payables (note 14) | 41,476 | 40,160 |
Current closure and rehabilitation provisions (note 17) | 1,656 | 1,121 |
Income taxes payable | 14,237 | 14,447 |
Current portion of finance lease obligations (note 19) | 906 | 2,128 |
Derivative liabilities (note 10) | 2,328 | 254 |
Total current liabilities | 60,603 | 58,110 |
NON-CURRENT LIABILITIES: | ||
Bank loan (note 18) | 39,871 | 39,768 |
Other liabilities (note 20) | 1,356 | 3,544 |
Closure and rehabilitation provisions (note 21) | 12,577 | 12,091 |
Deferred tax liabilities (note 29) | 28,657 | 25,345 |
Lease obligations (note 19) | 906 | |
Total liabilities | 143,064 | 139,764 |
EQUITY: | ||
Share capital (note 23) | 418,168 | 343,963 |
Reserves | 16,015 | 16,092 |
Retained earnings | 129,401 | 63,096 |
Total equity | 563,584 | 423,151 |
Total liabilities and equity | $ 706,648 | $ 562,915 |
Consolidated Statements of Cash
Consolidated Statements of Cashflows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
OPERATING ACTIVITIES | ||
Net income for the year | $ 66,305 | $ 17,858 |
Items not involving cash | ||
Depletion and depreciation | 42,522 | 33,024 |
Accretion of provisions | 684 | 665 |
Income taxes | 38,646 | 29,252 |
Share based payments (recovery) expense, net of cash settlements | (36) | 8,430 |
Share of loss of equity-accounted investee (note 7) | 192 | |
Impairment reversal of mineral properties, plant and equipment (note 14) | (31,119) | |
Impairment charges | 2,637 | 1,423 |
Unrealized foreign exchange loss | 910 | |
Unrealized loss (gain) on financial assets carried at fair value | 3,386 | (1,053) |
Other | 14 | (86) |
Total adjustments to reconcile profit (loss) | 124,141 | 89,513 |
Accounts and other receivables | (11,782) | (18,521) |
Prepaid expenses | (899) | (630) |
Inventories | (4,744) | (2,922) |
Trade and other payables | 542 | 4,861 |
Rehabilitation payments | (793) | (349) |
Cash provided by operating activities | 106,465 | 71,952 |
Income taxes paid | (36,190) | (17,513) |
Interest paid | (1,796) | (2,028) |
Interest income | 1,723 | 289 |
Net cash provided by operating activities | 70,202 | 52,700 |
INVESTING ACTIVITIES | ||
Purchase of Lindero Project, net of cash received (note 13(b)) | (4,876) | |
Purchase of short term investments | (150,759) | (46,914) |
Redemption of short term investments | 160,636 | 41,845 |
Investment in marketable securities (notes 6 and 7) | (2,153) | (1,165) |
Purchase of mineral properties, plant and equipment | (47,060) | (40,229) |
Proceeds from sale of assets | 47 | 10 |
Cash used in investing activities | (39,289) | (51,329) |
FINANCING ACTIVITIES | ||
Proceeds from issuance of common shares | 76,686 | 10,025 |
Share issuance costs | (5,018) | |
Repayments of finance lease obligations | (2,128) | (1,219) |
Cash provided by financing activities | 69,540 | 8,806 |
Effect of exchange rate changes on cash and cash equivalents | 137 | 89 |
Increase in cash and cash equivalents during the year | 100,590 | 10,266 |
Cash and cash equivalents, beginning of the year | 82,484 | 72,218 |
Cash and cash equivalents, end of the year | 183,074 | 82,484 |
Cash and cash equivalents consists of: | ||
Cash and cash equivalents, end of the year | $ 82,484 | $ 72,218 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity $ in Thousands | Issued capital [member]USD ($)shares | Equity reserve [member]USD ($) | Hedging reserve [member]USD ($) | Fair value reserve [member]USD ($) | Foreign currency reserves [member]USD ($) | Retained earnings [member]USD ($) | USD ($) |
Equity at beginning of period at Dec. 31, 2015 | $ 203,953 | $ 14,169 | $ (307) | $ 1,115 | $ 45,238 | $ 264,168 | |
Equity at beginning of period, shares at Dec. 31, 2015 | shares | 129,240,567 | ||||||
Net income for the period | 17,858 | 17,858 | |||||
Other comprehensive income | 85 | $ 334 | 419 | ||||
Comprehensive income for the year | 85 | 334 | 17,858 | 18,277 | |||
Issuance of common shares | $ 122,813 | 122,813 | |||||
Issuance of common shares, shares | shares | 14,569,045 | ||||||
Exercise of warrants | $ 8,733 | (4,552) | 4,181 | ||||
Exercise of warrants, shares | shares | 931,700 | ||||||
Exercise of stock options | $ 8,464 | (2,621) | 5,843 | ||||
Exercise of stock options, shares | shares | 2,236,861 | ||||||
Share-based payments (note 22) | 468 | 468 | |||||
Issuance of warrants | 7,401 | 7,401 | |||||
Subtotal of transactions with owners of the Company | $ 140,010 | 696 | 140,706 | ||||
Subtotal of transactions with owners of the Company, shares | shares | 17,737,606 | ||||||
Equity at end of period at Dec. 31, 2016 | $ 343,963 | 14,865 | (222) | 334 | 1,115 | 63,096 | 423,151 |
Equity at end of period, shares at Dec. 31, 2016 | shares | 146,978,173 | ||||||
Net income for the period | 66,305 | 66,305 | |||||
Other comprehensive income | 369 | (307) | 62 | ||||
Comprehensive income for the year | 369 | (307) | 66,305 | 66,367 | |||
Issuance of common shares | $ 74,804 | 74,804 | |||||
Issuance of common shares, shares | shares | 11,873,750 | ||||||
Share issuance costs | $ (5,018) | (5,018) | |||||
Exercise of warrants | $ 2,168 | (1,084) | 1,084 | ||||
Exercise of warrants, shares | shares | 238,515 | ||||||
Exercise of stock options | $ 1,123 | (325) | 798 | ||||
Exercise of stock options, shares | shares | 307,160 | ||||||
Issuance of shares for mineral property | $ 1,128 | 1,128 | |||||
Issuance of shares for mineral property, shares | shares | 239,385 | ||||||
Share-based payments (note 22) | 1,270 | 1,270 | |||||
Subtotal of transactions with owners of the Company | $ 74,205 | (139) | 74,066 | ||||
Subtotal of transactions with owners of the Company, shares | shares | 12,658,810 | ||||||
Equity at end of period at Dec. 31, 2017 | $ 418,168 | $ 14,726 | $ 147 | $ 27 | $ 1,115 | $ 129,401 | $ 563,584 |
Equity at end of period, shares at Dec. 31, 2017 | shares | 159,636,983 |
Reporting Entity
Reporting Entity | 12 Months Ended |
Dec. 31, 2017 | |
Reporting Entity [abstract] | |
Reporting Entity | 1. Reporting Entity Fortuna Silver Mines Inc. and its subsidiaries (the "Company") is a publicly traded company incorporated and domiciled in British Columbia, Canada . The Company is engaged in precious and base metal mining and related activities in Latin America, including exploration, extraction, and processing. The Company operates the Caylloma silver, lead, and zinc mine (“Caylloma”) in southern Peru and the San Jose silver and gold mine (“San Jose”) in southern Mexico, and is developing the Lindero Gold Project in northern Argentina. Its common shares are listed on the New York Stock Exchange under the trading symbol FSM, and on the Toronto Stock Exchange under the trading symbol FVI. The Company’s registered office is located at Suite 650, 200 Burrard Street, Vancouver, Canada, V6C 3L6 . |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2017 | |
Basis of Accounting [abstract] | |
Basis of Presentation | 2. Basis of Presentation Statement of Compliance These consolidated financial statements have been prepared by management of the Company in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”) effective as of December 31, 2017 . On March 15, 2018, the Company's Board of Directors approved these financial statements for issuance. Presentation and Functional Currency These financial statements are presented in United States Dollars (“$” or "US$") , which is the functional currency of the Company. Reference to C$ are to Canadian dollars. All amounts in these financial statements have been rounded to the nearest thousand US dollars, unless otherwise stated. Basis of measurement These consolidated financial statements have been prepared on a historical cost basis, except for those assets and liabilities that are measured at fair values (Note 31) at the end of each reporting period. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Significant Accounting Policies [abstract] | |
Significant Accounting Policies | 3. Significant Accounting Policies The Company has consistently applied the following accounting policies to all periods presented in these consolidated financial statements. (a) Basis of Consolidation These financial statements include the accounts of the Company. All significant intercompany transactions, balances, revenues, and expenses have been eliminated upon consolidation. Subsidiaries are included in the consolidated financial results of the Company from the effective date of acquisition or control and up to the effective date of disposition or loss of control. Control is achieved when the Company has power over the investee, is exposed to or has rights to variable returns from its involvement with an investee, and had the ability to affect those returns through its power over the investee. Fortuna Silver Mines In. is the ultimate parent entity of the group. At December 31, 2017, the principal subsidiaries of the Company, their geographic locations, and the ownership interests held by the Company, were as follows: Name Location 2017 Principal Activity Minera Bateas S.A.C. ("Bateas") Peru 100% Caylloma Mine Compania Minera Cuzcatlan S.A. de C.V. ("Cuzcatlan") Mexico 100% San Jose Mine Mansfield Minera S.A. ("Mansfield") Argentina 100% Mine under construction (b) Foreign Currency Translation Transactions in foreign currencies are initially recorded in the functional currency at the exchange rate at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange at each financial position date. Foreign exchange gains or losses on translation to the functional currency of an entity are recorded in profit or loss. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rate as at the date of the initial transaction. (c) Financial Instruments i. Financial Assets The Company classifies all financial assets as either fair value through profit or loss (“FVTPL”), held-to-maturity (“HTM”), loans and receivables, or available-for-sale (“AFS”). The classification is determined at initial recognition and depends on the nature and purpose of the financial asset. Financial Assets at Fair Value Through Profit or Loss (“FVTPL”) Financial Assets are classified as FVTPL when the financial asset is held-for-trading or it is a designated FVTPL on initial recognition. A financial asset is classified in this category if acquired principally for the purpose of selling in the short term. Financial assets classified as FVTPL are stated at fair value with any resulting gain or loss recognized in profit or loss in the period in which they arise. Transaction costs related to financial assets classified as FVTPL are recognized immediately in profit or loss. Held-to-Maturity (“HTM”) HTM investments are recognized on a trade-date basis and are initially measured at fair value including transaction costs. The Company does not have any assets classified as HTM investments. Loans and Receivables Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. They are initially measured at fair value, net of transaction costs and are classified as current or non-current assets based on their maturity date, and subsequently measured at amortized cost, using the effective interest method, less any impairment. The impairment loss of receivables is based on a review of all outstanding amounts at each reporting period. Interest income is recognized by applying the effective interest rate. Available-For-Sale (“AFS”) AFS financial assets are non-derivatives that are either designated in this category or not classified in any of the other categories. AFS financial assets are measured at fair value, determined by published market prices in an active market, except for investments in equity instruments that do not have quoted market prices in an active market which are measured at cost. Changes in fair value are recorded in other comprehensive income (loss) until realized through disposal or impairment. Investments classified as AFS are written down to fair value through profit or loss whenever it is necessary to reflect prolonged or significant decline in the value of the assets. Realized gains and losses on the disposal of AFS securities are recognized in profit or loss. Impairment of Financial Assets Financial assets, other than those at FVTPL are assessed for indicators of impairment at each reporting period. Financial assets are impaired when there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated further cash flows of the investment have been impacted. For financial assets carried at amortized cost, the amount of the impairment is the difference between the asset’s carrying amount and the present value of the estimated future cash flows, discounted at the financial asset’s original effective interest rate. The carrying amount of all financial assets carried at amortized cost, excluding trade receivables, is directly reduced by the impairment loss. The carrying amount of trade receivables is reduced through the use of an allowed allowance. Subsequent recoveries of accounts previously written off are credited against the allowance account. Changes in the carrying amount of the allowance account are recognized in profit or loss. With the exception of AFS equity instruments, if in a subsequent period, the amount of the impairment loss decreases and the decrease relates to an event occurring after the impairment was recognized, the previously recognized impairment loss is reversed through profit or loss. On the date of impairment reversal, the carrying amount of the financial asset cannot exceed its amortized cost had an impairment not been recognized. Derecognition of Financial Assets A financial asset is derecognized when: · the contractual right of the asset’s cash flows expires; or · if the Company transfers the financial asset and substantially all risks and reward of ownership to another entity. ii. Financial Liabilities Long term debt and other financial liabilities are recognized initially at the fair value, net of transaction costs incurred, and are subsequently stated at amortized cost. Any difference between the amounts originally received (net of transaction costs) and the redemption value is recognized in profit or loss over the period to maturity using the effective interest method. iii. Derivative Instruments Derivative instruments are recorded at fair value, including those derivatives that are embedded in financial or non-financial contracts that are not closely related to the host contracts. Changes in the fair values of derivative instruments are recognized in profit or loss with the exception of derivatives designated as effective cash flow hedges. Derivatives not being accounted for as hedges are categorized as held-for-trading. Derivatives are initially recognized at fair value on the date a derivative contract is entered into and are subsequently remeasured at their fair value. Fair value of the Company’s recognized commodity-based derivatives are based on the forward prices of the associated market index. Gains or losses are recorded in profit and loss. For cash flow hedges that qualify under the hedging requirements of IAS 39 Financial Instruments: Recognition and Measurement (“IAS39”), the effective portion of any gain or loss on the hedging instrument is recognized in other comprehensive income (“OCI”) and the ineffective portion is reported as a gain (loss) on derivatives in profit or loss. Hedge accounting is discontinued prospectively when: · the hedge instrument expires or is sold, terminated, or exercised; · the hedge no longer meets the criteria for hedge accounting; and, · the Company revokes the designation. The Company considers derecognition of a cash flow hedge when the related forecast transaction is no longer expected to occur. If the Company revokes the designation, the cumulative gain or loss on the hedging instrument that has been recognized in OCI from the period when the hedge was expected to occur. Otherwise, the cumulative gain or loss on the hedge instrument that has been recognized in OCI from the period when the hedge was effective is reclassified from equity to profit or loss. Derivatives are carried as financial assets when the fair value is positive and as financial liabilities when the fair value is negative. iv. Effective Interest Method The effective interest method calculates the amortized cost of a financial instrument and allocates the interest income or expense over the corresponding period. The effective interest rate is the rate that discounts estimated future cash receipts or payments over the expected life of the financial instrument, or where appropriate, a shorter period, to the net carrying amount on initial recognition. Income or expense is recognized on an effective interest basis for instruments other than those financial instruments classified as FVTPL. (d) Cash and Cash Equivalents Cash and cash equivalents are designated as loans and receivables. Cash and cash equivalents include cash on hand, demand deposits, and money market instruments with maturities from the date of acquisition of 90 days or less, which are readily convertible to known amounts of cash and are subject to insignificant changes in value. (e) Inventories Inventories include metal contained in concentrates, stockpiled ore, materials and supplies. Costs allocated to metal inventories are based on average costs, which include direct mining costs, direct labor and material costs, mine site overhead, depletion and amortization. Costs allocated to materials and supplies are based on weighted average costs and include all costs of purchase and other costs in bringing these inventories to their existing location and condition. If carrying value exceeds net realizable amount, a write down is recognized. The write down may be reversed in a subsequent period if the circumstances which caused it no longer exist, to the extent that the related inventory has not been sold. Net realizable value is calculated as the estimated price at the time of sale based on prevailing metal prices less estimated future costs to convert the inventories into saleable form and estimated costs to sell. (f) Investment in Associates Associates are those entities in which the Company has significant influence, but not control or joint control, over the entity's financial and operating policies. Interests in associates are accounted for using the equity method. They are initially recognized at cost, which includes transaction costs. Subsequent to initial recognition, the consolidated financial statements include the Company’s share of the profit or loss and other comprehensive income of equity-accounted investees, until the date on which significant influence ceases. (g) Exploration and Evaluation Assets Significant payments related to the acquisition of land and mineral rights are capitalized as incurred. Prior to acquiring such land or mineral rights, the Company makes a preliminary evaluation to determine that the property has significant potential to develop an economic ore body. The time between initial acquisition and a full evaluation of a property’s potential is dependent on many factors including, but not limited to, location relative to existing infrastructure, the property’s stage of development, geological controls and metal prices. The Company defers the cost of acquiring, maintaining its interest and exploring mineral properties as exploration and evaluation assets when future inflow of economic benefits from the properties is probable and until such time as the properties are placed into development, abandoned, sold, or considered to be impaired in value. If a mineable ore body is discovered, exploration and evaluation costs are reclassified to mining properties. The Company uses the following criteria in its assessment: · the property has mineral reserves as referred to in Canadian National Instrument 43-101, and · when legal, permitting and social matters have been resolved sufficiently to allow mining of the body. If no mineable ore body is discovered, all previously capitalized costs are expensed in the period in which it is determined the property has no economic value. Proceeds received from the sale of interests in exploration and evaluation assets are credited to the carrying value of the mineral properties, plant and equipment. Exploration costs that do not relate to any specific property are expensed as incurred. (h) Mineral Properties, and Plant and Equipment i. Operational Mining Properties and Mine Development For operating mines, all mineral property expenditures are capitalized and amortized based on the unit-of-production method considering the expected production to be obtained over the life of the mineral property. The expected production includes proven and probable reserves and the portion of inferred resources expected to be extracted economically as part of the production cost. Costs of producing properties are amortized on a unit-of-production basis over proven and probable reserves and the portion of inferred resources where it is considered highly probable that those resources are expected to be extracted economically. The expected production to be obtained over the life of the mineral property is based on our life-of mine production plans which typically include a portion of inferred resources, and therefore differ from the life-of-mine plans we publish as part of our 43-101 compliant technical reports which are based on reserves only. The decision to use inferred resources, and the portion of inferred resources to be included varies for each operation and is based on the geological characteristics of the ore body, the quality and predictability of inferred resources, and the conversion of inferred resources into measured and indicated ("M&I") that we have historically achieved in the past. Many factors are taken into account during resource classification including; the quality of drilling and sampling, drill/sample spacing, sample preparation and analysis, geological logging and modelling, database construction, geological interpretation and modelling, statistical/geostatistical analysis, interpolation method, local estimation, engineering studies, economic parameters, and reconciliation with actual results. Once the integrity of the data has been established, two important considerations around classification of resources are geologic continuity and possible variation of thickness and grade between samples. For our inferred resources at San Jose and Caylloma we are able to achieve a significant level of confidence on the existence of mineable material as geological continuity has been established by consistent drill hole intercepts both along strike and down-dip which provides us with reasonable confidence in the location of the structures. The vast majority of the inferred resources are interpolated, estimated between existing drill hole intercepts, as opposed to extrapolated where the grades are estimated beyond the furthest sample point, adding to our confidence in the geologic continuity of the veins. Furthermore, San Jose and Caylloma are not structurally complex deposits where faulting has disrupted geologic continuity. With regards to the variation of thickness and grade between samples, we use statistical means to calculate the probability that tonnage and grade content falls within a certain accuracy over a given timeframe. If the potential variation is estimated to be within ± 25 % at 90 percent confidence globally, we classify it as an inferred resource. This is equivalent to stating that we have 95 percent confidence that greater than 75 % of the inferred tonnes, grade, and metal content will ultimately be recovered by the mine and hence that the same percentage or higher will be converted from an inferred resource to an indicated resource through infill drilling as per our policy of upgrading prior to production. As part of our process to include inferred resources into our life-of-mine production plans we apply an economic cut-off to identify only the material that can be considered profitable to mine within our mine designs and at this time we apply a conversion or “risk” factor to the mining blocks comprised of inferred resources we include in such mine production plans. This conversion factor is based on the predictability of conversion derived from statistical estimates of confidence as described above and the support from historic conversion rates of inferred resources into M&I at each of our mines. The conversion factors used in our 2017 and 2016 life-of-mine plans were 90% at San Jose and between 80% and 87% at Caylloma, depending on the veins being mined. The percentage of inferred resources included as a component of the total mineable inventory (reserve + resource) considered in the 2018 life-of-mine evaluation for each operation as of December 31, 2017, was San Jose 23% (2016 and 2015: 28% and 53% ); Caylloma 60% (2016 and 2015: 38% and 33% ) . The Company reviews the conversion factors including past experience in assessing the future expected conversion of inferred resources to be used in the life-of-mine plans for inclusion of inferred resources once a year in light of new geologic information and conversion data and when events or circumstances indicate that a review should be made. The Company continually monitors expected conversion and any changes in estimates that arise from this review are accounted for prospectively. Significant estimation is involved in determining resources and in determining the percentage of resources ultimately expected to be converted to reserves, which we determine based on careful consideration of both internal and external technical and economic data. Estimation of future conversion of resources is inherently uncertain and involves significant judgment and actual outcomes may vary from these judgments and estimates and such outcomes may have a material impact on the results. Revisions to these estimates are accounted for in the period in which the change in estimate arises. Costs of abandoned properties are written-off. Commercial Production Capital work in progress consists of expenditures for the construction of future mines and includes pre-production revenues and expenses prior to achieving commercial production. Commercial production is a convention for determining the point in time in which a mine and plant has completed the operational commissioning and has operational results that are expected to remain at a sustainable commercial level over a period of time, after which production costs are no longer capitalized and are reported as operating costs. The determination of when commercial production commences is based on several qualitative factors including but not limited to the following: · all major capital expenditures to bring the mine to the condition necessary for it to be capable of operating in the manner intended by management have been completed; and · the ability to sustain ongoing production of ore at a steady or increasing level. On the commencement of commercial production depletion of each mining property will be provided on a unit-of-production basis. Any costs incurred after the commencement of production are capitalized to the extent they give rise to a future economic benefit. ii. Plant and Equipment Completed property, plant and equipment are recorded at cost, net of accumulated depreciation and impairments. Costs directly related to construction projects are capitalized to work in progress until the asset is available for use in the manner intended by management. Assets, other than capital works in progress, are depreciated to their residual values over their estimated useful lives as follows: Land and buildings Land Not depreciated Mineral properties Units of production Declining balance Buildings, located at the mine Units of production Declining balance Buildings, others (1) 6 - 10 years Straight line Leasehold improvements (1) 4-8 years Straight line Plant and equipment Machinery and equipment (1) 3-15 years Straight line Furniture and other equipment (1) 2-13 years Straight line Transport units 4-5 years Straight line Capital work in progress Not depreciated (1) The lesser of useful life or life of mine. Equipment under finance lease is initially recorded at the present value of minimum lease payments at the inception of the lease and depreciated over the shorter of the lease term or useful life. Spare parts and components included in machinery and equipment, depending on the replacement period of the initial component, are depreciated over 8 to 18 months . Borrowing costs attributed to the construction of qualifying assets are capitalized to mineral properties, plant and equipment, and are included in the carrying amounts of related assets until the asset is available for use in the manner intended by management. Costs associated with commissioning activities on constructed plants are deferred from the date of mechanical completion of the facilities until the date the assets are ready for use in the manner intended by management. On an annual basis, the depreciation method, useful economic life, and residual value of each component asset is reviewed with any changes recognized prospectively over its remaining useful economic life. (i) Asset Impairment At the end of each reporting period, the Company makes an assessment of impairment indicators and if there are such indicators, then the Company performs a test of impairment. For the purpose of assessing impairment, assets are grouped at the lowest level for which there are separately identifiable cash inflows or cash generating units. These are typically individual mines or development projects. Brownfields exploration projects, located close to existing mine infrastructure, are assessed for impairment as part of the associated mine cash generating unit. An impairment loss is recognized for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less cost of disposal (“FVLCD”) and value in use. When the recoverable amount is assessed using pre-tax discounted cash flow techniques, the resulting estimates are based on detailed mine and/or production plans. For value in use, recent cost levels are considered, together with expected changes in costs are compatible with the current condition of the business. The cash flow forecasts are based on best estimates of the expected future revenues and costs, including the future cash costs of production, sustaining capital expenditures, and reclamation and closure costs. Where a FVLCD model is used the cash flow forecast includes net cash flows expected to be realized from extraction, processing, and sale of mineral resources that do not currently qualify for inclusion in proven or probable reserves and the portion of resources expected to be extracted economically. Where an impairment loss subsequently reverses, the carrying amount of the asset or cash-generating unit is increased to the revised estimate of recoverable amount but not beyond the carrying amount that would have been determined had no impairment loss been recognized for the asset or cash-generating unit in prior years. A reversal of an impairment loss is recognized into earnings immediately. (j) Borrowing Costs Interest and other financing costs incurred that are attributable to acquiring and developing exploration and development stage mining properties and constructing new facilities. (“qualifying assets’) are capitalized and included in the carrying amounts of qualifying assets until those qualifying assets are ready for their intended use. Capitalization of borrowing costs incurred commences on the date the following three conditions are met: · expenditures for the qualifying asset are being incurred; · borrowing costs are being incurred; and, · activities that are necessary to prepare the qualifying asset for its intended use are being undertaken. Borrowing costs incurred after the qualifying assets are ready for their intended use are expensed in the period in which they are incurred. Transaction costs, comprised of legal fees and upfront commitment fee, associated with the credit facility for general working capital and for future capital projects are recorded as a debit to the bank loan and are amortized over the term of the credit facility using the effective interest rate method. All other borrowing costs are expensed in the period in which they are incurred. (k) Assets Held for Sale A non-current asset is classified as held for sale when it meets the following critieria: · The non-current asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets; and, · The sale of the non-current asset is highly probable. For the sale to be highly probable: o The appropriate level of management must be committed to a plan to sell the asset; o An active program to locate a buyer and complete the plan must have been initiated; o The non-current asset or disposal group must be actively marketed for sale at a price that is reasonable in relation to its current fair value; o The sale should be expected to qualify for recognition as a completed sale within one year from the date of classification as held for sale (with certain exceptions); and o Actions required to complete the plan should indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. Assets held for sale are not depreciated and are recorded at the lower of their carrying amount and fair value less costs to sell. (l) Leases A lease is classified as a finance lease when substantially all of the risks and rewards incidental to ownership of the leased asset are transferred from the lessor to the lessee by the agreement. At the commencement of the lease term, finance leases are recognized as assets and liabilities at the lower of the fair value of the leased asset and the present value of the minimum lease payments. The assets are depreciated over the shorter of the asset’s useful lives and the term of the lease. Interest on the lease instalments is recognized as interest expense over the lease term using the effective interest method. Leases for land and buildings are recorded separately if the lease payments can be allocated accordingly. Leases that do not transfer all the risks and rewards of ownership are classified as operating leases. Payments are recorded in profit or loss using the straight line method over their estimated useful lives. (m) Income Taxes Income tax expense consists of current and deferred tax expense. Current tax expense is the expected tax payable on the taxable income for the year using tax rates enacted or substantively enacted at period end adjusted for amendments to tax payable with regards to previous years. Deferred tax assets and liabilities are recognized for deferred tax consequences attributable to unused tax loss carry forwards, unused tax credits, and differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using the enacted or substantively enacted tax rates expected to apply when the asset is realized or the liability is settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in profit or loss in the period that substantive enactment occurs. A deferred tax asset is recognized to the extent that it is probable that future taxable income will be available against which the asset can be utilized. To the extent that the Company does not consider it probable that a deferred tax asset will be recovered, the deferred tax asset is reduced. The following temporary differences do not result in deferred tax assets or liabilities: · the initial recognition of assets or liabilities, not arising in a business combination, that does not affect accounting or taxable income; · goodwill; and · investments in subsidiaries, associates and jointly controlled entities where the timing of reversal of the temporary differences can be controlled and reversal in the foreseeable future is not probable. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities, and when they relate to income taxes levied by the same taxation authority and the Company intends to settle its current tax assets and liabilities on a net basis. (n) Provisions i. Closure and Rehabilitation Provisions Future obligations to retire an asset, including dismantling, remediation and ongoing treatment and monitoring of the site related to normal operation are initially recognized and recorded as a liability based on estimated future cash flows discounted at the risk-free rate. The closure and reclamation provision (“CRP”) is adjusted at each reporting period for changes to the expected amount of cash flows required to discharge the liability, the timing of such cash flows and the risk-free discount rate. The liability is accreted to full value over time through periodic charges to profit or loss. The amount of the CRP initially recognized is capitalized as part of the related asset’s carrying value and amortized to profit or loss. The method of amortization follows that of the underlying asset. The costs related to a CRP are only capitalized to the extent that the amount meets the definition of an asset and can bring about future economic benefit. For a closed site or where the asset which generated a CRP no longer exists, there is no longer future benefit related to the costs and as such, the amounts are expensed. For operating sites, a revision in estimates or a new disturbance will result in an adjustment to the CRP with an offsetting adjustment to the capitalized closure and rehabilitation costs. ii. Environmental Disturbance Restoration Provisions During the operating life of an asset, events such as infractions of environmental laws or regulations may occur. These events are not related to the normal operation of the asset and are referred to as environmental disturbance restoration provisions (“EDRP”). The costs associated with an EDRP are accrued and charged to earnings in the period in which the event giving rise to the liability occurs. Any subsequent adjustments to an EDRP due to changes in estimates are also charged to earnings in the period of adjustment. These costs are not capitalized as part of the long-lived asset’s carrying value. iii. Other Provisions Provisions are recognized when a present legal or constructive obligation exists as a result of past events, and it is probable that an outflow of resources that can be reliably estimated will be required to settle the obligation. Where the effect of the time value of money is material the provision is discounted using an appropriate current market based pre-tax discount rate. (o) Share Capital Common shares are classified as equity. Costs directly attributable to the issuance of common share are shown in equity as a deduction from the proceeds. (p) Revenue Recognition Revenue arising from the sale of metal concentrates is recognized when all significant risks and rewards of ownership of the concentrates have been transferred to the buyer. The passing of risk and rewards to the customer is based on the terms of the sales contract. Final commodity prices are set in a period subsequent to the date of sale based on a specified quotational period either one, two, or three months after delivery. The Company’s metal concentrates are provisionally priced at the time of sale based on the prevailing market price. Variations between the price recorded at the delivery date and the final price set under the sales contracts are caused by changes in market prices, and result in an embedded derivative in accounts receivable. The embedded derivative is recorded at fair value each period until final settlement occurs, with changes in fair value classified as provisional price adjustments and included in sales in the consolidated income statement. Sales of metal con |
Use of Judgements and Estimates
Use of Judgements and Estimates | 12 Months Ended |
Dec. 31, 2017 | |
Use of Judgements and Estimates [abstract] | |
Use of Judgements and Estimates | 4. Use of Judgements and Estimates (a) Critical Accounting Estimates and Assumptions Many of the amounts included in the consolidated financial statements require management to make judgements and/or estimates. These judgements and estimates are continuously evaluated and are based on management’s experience and knowledge of the relevant facts and circumstances. Areas where critical accounting estimates and assumptions have the most significant effect on the amounts recognized in the consolidated financial statements include: Mineral Reserves and Resources and the Life of Mine Plan We estimate our mineral reserves and mineral resources in accordance with the Canadian Securities Administrators National Instrument 43-101 Standards of Disclosure for Mineral Projects requirements. Estimates of the quantities of the mineral reserves and mineral resources fr om the basis for our life of mine plans, which are used for the calculation of depletion expense under the units of production method, impairment tests, and forecasting the timing of the payments related to the environmental rehabilitation provision. Significant estimation is involved in determining the reserves and resources included within our life of mine plans. Changes in forecast prices of commodities, exchange rates, production costs or recovery rates may result in our life of mine plan being revised and such changes could impact depletion rates, asset carrying values and our environmental rehabilitation provision. As at December 31, 2017 we have used the following long term prices for our reserve and resource estimations : Gold $1,250 /oz, Silver $19 /oz, Lead $2,200 /t and Zinc $2,500 /t. In addition to the estimates above, estimation is involved in determining the percentage of resources ultimately expected to be converted to reserves and hence included in our life of mine plans. Our life of mine plans include a portion of inferred resources as we believe this provides a better estimate of the expected life of mine for certain type s of deposits, in particular for vein type structures. The percentage of inferred resources out of the total tonnage included in the life of mine plans is based on site specific geological, technical, and economic considerations. Estimation of future conversion of resources is inherently uncertain and involves judgement and actual outcomes may vary from these judgements and estimates and such changes could have a material impact on the financial results. Some of the key judgements of the estimation process include geological continuity , stationarity in the grades within defined domains , reasonable geotechnical and metallurgical conditions , treatment of outlier (extreme) values , cut-off grade determination and the establishment of geostatistical and search parameters. Revisions to these estimates are account ed for prospectively in the period in which the change in estimate arises. See note 3 (g)(i). Valuation of Mineral Properties and Exploration Properties The Company carries its mineral properties at cost less accumulated depletion and any accumulated provision for impairment. The costs of each property and related capitalized expenditures are depleted over the economic life of the property on a units-of-production basis. Costs are charged to the consolidated statement of income (loss) when a property is abandoned or when there is a recognized impairment in value. The Company undertakes a review of the carrying values of mining properties and related expenditures whenever events or changes in circumstances indicate that their carrying values may exceed their estimated net recoverable amounts determined by reference to estimated future operating results and discounted net cash flows. Where previous impairment has been recorded the Company analyzes any impairment reversal indicators. An impairment loss is recognized when the carrying value of those assets is not recoverable. In undertaking this review, management of the Company is required to make significant estimates of, amongst other things, future production and sales volumes, metal prices, foreign exchange rates , m ineral r esource and r eserve quantities, future operating and capital costs to the end of the mine’s life , and reclamation costs. These estimates are subject to various risks and uncertainties which may ultimately have an effect on the expected recoverability of the carrying values of the mining properties and related expenditures. The Company, from time to time, acquires exploration and development properties. When properties are acquired, the Company must determine the fair value attributable to each of the properties. When the Company conducts exploration on a mineral property and the results from the exploration do not support the carrying value, the property is written down to its new fair value which could have a material effect on the consolidated statement of financial position and the consolidated statement of income (loss). Reclamation and Other Closure Provisions The Company has obligations for reclamation and other closure activities related to its mining properties. The future obligations for mine closure activities are estimated by the Company using mine closure plans or other similar studies which outline the requirements that will be carried out to meet the obligations. Because the obligations are dependent on the laws and regulations of the countries in which the mines operate, the requirements could change as a result of amendments in the laws and regulations relating to environmental protection and other legislation affecting resource companies. As the estimate of the obligations is based on future expectations, a number of estimates and assumptions are made by management in the determination of closure provisions. Revenue Recognition Revenue from the sale of concentrate is recorded at the time the risks and rewards of ownership pass to the buyer using monthly average metal prices on the expected date of final settlement at which time the final sale prices will be fixed. Variations between the prices at initial recognition and final settlement may occur due to changes in the market metal prices and result in an embedded derivative in the accounts receivable. The embedded derivative is recorded at fair value each period until final settlement occurs with changes in the fair value classified as revenue. For changes in metal quantities upon receipt of new information and assay, the provisional sale quantities are adjusted. Contingencies Contingencies can be either possible assets or possible liabilities arising from past events which, by their nature, will only be resolved when one or more future events not within our control occur or fail to occur. The assessment of such contingencies inherently involves the exercise of significant judgement and estimates of the outcome of future events. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings or regulatory or government actions that may negatively impact our business or operations, the Company with assistance from its legal counsel evaluates the perceived merits of any legal proceedings or unasserted claims or actions. A liability is recognized in the consolidated financial statements when the outcome of the legal proceedings is probable and the estimated settlement amount can be estimated reliably. Contingent assets are not recognized in the consolidated financial statements until virtually certain. (b) Critical Accounting Judgements in Applying the Entity’s Accounting Policies Judgements that have the most significant effect on the amounts recognized in the Company’s consolidated financial statements are as follows: Income Taxes Deferred tax assets and liabilities are determined based on differences between the financial statement carrying values of assets and liabilities and their respective income tax bases (“temporary differences”) and losses carried forward. The determination of the ability of the Company to utilize tax loss carry-forwards to offset deferred tax liabilities requires management to exercise judgement and make certain assumptions about the future performance of the Company. Management is required to assess whether it is “probable” that the Company will benefit from these prior losses and other deferred tax assets. Changes in economic conditions, metal prices and other factors could result in revisions to the estimates of the benefits to be realized or the timing of utilization of the losses. Assessment of Impairment and Reversal of Impairment Indicators Management applies significant judgement i n assessing whether indicators of impairment or revers al of impairment exist for an asset or a group of assets which could result in a testing for impairment. Internal and external factors such as significant changes in the use of the asset, commodity prices, life of mines, tax laws or regulations in the countries that our mines operate in and interest rates are used by management in determining whether there are any indicators of impairment or reversal of previous impairments. Functional Currency The functional currency for the Company and its subsidiaries is the currency of the primary economic environment in which each operates. The Company has determined that its functional currency and that of its subsidiaries is the U.S. dollar. The determination of functional currency may require certain judgements to determine the primary economic environment. The Company reconsiders the functional currency used when there is a change in the events and conditions which determined the primary economic environment. |
Short Term Investments
Short Term Investments | 12 Months Ended |
Dec. 31, 2017 | |
Short Term Investments [abstract] | |
Short Term Investments | 5. Short Term Investments December 31, December 31, 2017 2016 Term deposits and similar instruments $ 29,500 $ 41,100 The term deposits have maturities in excess of 90 days and less than one year on the date of acquisition. |
Marketable Securities
Marketable Securities | 12 Months Ended |
Dec. 31, 2017 | |
Marketable Securities [abstract] | |
Marketable Securities | 6. Marketable Securities December 31, December 31, 2017 2016 Common shares of Medgold Resources Corp. $ - $ 1,266 Warrants of Medgold Resources Corp. - 313 Common shares of Prospero Silver Corp. 555 - Warrants of Prospero Silver Corp. 1 - $ 556 $ 1,579 In June 2016, the Company acquired 10 million common shares and 10 million common share purchase warrants of Medgold Resources Corp. ("Medgold"). In February 2017 , the Company exercised all of the Medgold warrants it held. Upon exercise, the Company held 24.0% of the issued and outstanding common shares of Medgold ( 20.4% on a fully diluted basis) and reclassified the amounts to investment in associate (note 7). In May 2017, the Company acquired by way of a private placement 5,357,142 units of Prospero Silver Corp. ("Prospero") at a price of C$0.28 per unit for cash consideration of C$1.5 million. Each unit wa s comprised of one common share and one common share purchase warrant exercisable at C$0.35 per share until May 2020 . Following the transaction, the Company own ed approximately 15% of the issued and outstanding common shares of Prospero and would own 25.95% if all of the warrants were exercised . T he Board of Directors of Prospero is required to approve an increase in the Company’s ownership above 19.9% . As at December 31, 2017, the Company owned approximately 15% of the issued common shares of Prospero. During the year ended December 31, 2017, the Company recognized an unrealized loss of $85 (2016 – $80 unrealized gain) related to fair value adjustments on its marketable securities t hrough the income statement and an unrealized loss of $555 , related to fair value adjustments on its marketable securities through other comprehensive income (2016 – $334 unrealized gain). |
Investments in Associate
Investments in Associate | 12 Months Ended |
Dec. 31, 2017 | |
Investments in Associate [abstract] | |
Investments in Associate | 7. Investment in Associate Medgold is a Canadian public company which trades on the TSX Venture Exchange under the ticker symbol MED and is quoted in Canadian dollars ("C$"). Medgold's principal business activity is the acquisition and exploration of resource properties in Serbia. On February 7, 2017, the Company exercised its common share purchase warrants to purchase 10 million common shares of Medgold (note 6) which resulted in the Company increasing its interest to 24.0% As a result, t he Company has significant influence over Medgold commencing on February 7, 2017, and accounts for its investment using the equity method. As at December 31, 2017, the Company owned a 22% interest in Medgold. The market value of the Company’s investment in Medgold as at December 31, 2017 was $3,200 . The Company is related to Medgold by virtue of a director in common. Medgold shares and warrants presented as marketable securities, January 1, 2017 $ 1,579 Cash paid upon exercise of warrants 1,372 Fair value adjustments prior to February 7, 2017 (65) Balance of Medgold investment at February 7, 2017 2,886 Share of Medgold's loss for the period February 7, 2017 to December 31, 2017 (192) Balance at December 31, 2017 $ 2,694 |
Accounts and Other Receivables
Accounts and Other Receivables | 12 Months Ended |
Dec. 31, 2017 | |
Accounts and Other Receivables [abstract] | |
Accounts and Other Receivables | 8. Accounts and Other Receivables December 31, December 31, 2017 2016 Trade receivables from concentrate sales $ 34,250 $ 23,185 Advances and other receivables 1,249 1,095 Value added taxes recoverable 871 707 Accounts and other receivables $ 36,370 $ 24,987 The Company's trade receivables from concentrate sales are expected to be collected in accordance with the terms of the existing concentrate sales contracts with its customers and no amounts were past due at December 3 1 , 2017 or December 31, 2016. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2017 | |
Inventories [abstract] | |
Inventories | 9. Inventories December 31, December 31, 2017 2016 Concentrate stockpiles $ 2,594 $ 1,285 Ore stockpiles 4,144 2,659 Materials and supplies 11,015 9,628 Inventories $ 17,753 $ 13,572 During the year ended December 31, 2017 , the Company expensed $ 156,614 (2016 – $127,984 ), of inventories to cost of sales and wrote down $985 ( 2016 - $nil ) of spare parts inventory to their net realizable value . |
Derivative Assets and Derivativ
Derivative Assets and Derivative Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Assets and Derivative Liabilities [abstract] | |
Derivative Assets and Derviative Liabilities | 10. Derivative Assets and Derivative Liabilities December 31, December 31, Assets 2017 2016 Interest rate swap $ 140 $ - Commodity derivative contracts - 973 Derivative assets $ 140 $ 973 Liabilities Interest rate swap $ - $ 254 Commodity derivative contracts 2,328 - Derivative liabilities $ 2,328 $ 254 (a) Commodity derivative contracts In December 2016, the Company entered into two sets of zinc forward sales contracts with Scotiabank, to mitigate its commodity price risks. The zinc forward sales contracts consist of a total of 3,900 tonnes of zinc at a price of $2,650 per tonne and 3,900 tonnes of zinc at a price of $2,750 per tonne which settled , on average , 650 tonnes per month through to the end of December 2017. In January 2017, the Company entered into a set of lead forward sales contracts with Scotiabank, to mitigate its commodity price risks. The lead forward sales contracts consist of 2,965 tonnes of lead at a price of $2,340 per tonne which settled , on average , 270 tonnes per month through to the end of December 2017. In July 2017, the Company entered into zero cost collars for an aggregate 7,500 tonnes of lead with a floor price of $2,100 per tonne and a cap price of $2,500 per tonne, maturing from August 2017 to June 2018. In 2017, t he Company also entered into zero cost collars for an aggregate 6,500 tonnes of zinc with a floor price of $2,500 per tonne and a cap price of $2,965 per tonne, maturing during the first half of 2018. The zinc and lead contracts are derivat ive financial instruments and are not accounted for as designated hedges under IAS 39. They were initially recognized at fair value on the date on which the related derivative contracts were entered into and are subsequently re-measured to estimated fair value. Any gains or losses arising from changes in the fair value of the derivatives are credited or charged to profit or loss. The following table summarizes the gains (losses) from the settlement of and the open positions for the zinc and lead forward sales contracts as at December 3 1 , 2017: December 31, December 31, 2017 2016 Realized Zinc Contracts Tonnes settled 7,803 - Average settlement price per tonne $ 2,894 $ - Settlement gains (losses) $ (1,521) $ - Lead Contracts Tonnes settled 4,465 - Average settlement price per tonne $ 2,361 $ - Settlement gains (losses) $ 19 $ - Unrealized Zinc Contracts Open positions - tonnes 6,500 7,803 Price per tonne $ 2,500 - 3,190 $ 2,650 - 2,750 Unrealized gains (losses) $ (2,957) $ 973 Lead Contracts Open positions - tonnes 6,000 - Price per tonne $ 2,100 - 2,689 $ - Unrealized gains (losses) $ (344) $ - (b) Interest rate swap Effective April 1, 2015, the Company entered into an interest rate swap ("Swap") on a notional amount of $40,000 , which expires on March 25, 2019 and matches the maturity of the bank loan. The swap has been designated as a hedge for accounting purposes. The swap was entered into to hedge the variable interest rate risk on the Company’s bank loan. The fixed interest rate on the swap is 1.52% and the floating amount is based on the one-month LIBOR rate. The swap is settled on a monthly basis, with settlement being the net difference between the fixed and floating interest rates. During the year ended December 31, 2017, the Company recognized unrealized gain of $369 ( 2016 – $85 ), related to fair value adjustments through other comprehensive income. The Swap was determined to be an effective hedge for the years ended December 31, 2017 and 2016, respectively . Subsequent to December 31, 2017, the Company terminated the Swap and received a $214 settlement payment. |
Assets held for sale
Assets held for sale | 12 Months Ended |
Dec. 31, 2017 | |
Assets held for sale [abstract] | |
Assets held for sale | 11. Assets held for sale During the year ended December 31, 2017, it was determined that certain plant and equipment were no longer be required for mining operations at the San Jose Mine and became available for immediate sale. As a result, the Company wrote-down the carrying amount of these assets by $901 to their estimated fair value of $1,701 and transferred the balance from property, plant and equipment to assets held for sale. |
Other non-current receivables
Other non-current receivables | 12 Months Ended |
Dec. 31, 2017 | |
Other non-current receivables [abstract] | |
Other non-current receivables | 12. Other non-current receivables As at December 31, 2017, there were $1,223 ( 2016 - $562 ) of value added tax recoverable from expenditures on the development of the Lindero Gold Project in Argentina. The Company expects recovery of these amounts to commence once the Lindero Gold Project reaches commercial production. |
Mineral Properties and Explorat
Mineral Properties and Exploration and Evaluation Assets | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Plant and Equipment | 15. Plant and Equipment Machinery and equipment Land, buildings and leasehold improvements Furniture and other equipment Transport units Equipment under finance lease Capital work in progress Total COST Balance, January 1, 2017 $ 57,685 $ 132,067 $ 15,848 $ 1,095 $ 7,810 $ 941 $ 215,446 Additions 3,290 276 726 108 - 10,812 15,212 Disposals (3,461) (1,184) (3,006) (110) (515) (730) (9,006) Reclassifications 4,703 579 (7,253) 70 - 1,898 (3) Balance, December 31, 2017 $ 62,217 $ 131,738 $ 6,315 $ 1,163 $ 7,295 $ 12,921 $ 221,649 ACCUMULATED IMPAIRMENT Balance, January 1, 2017 $ 3,776 $ 16,154 $ 2,365 $ - $ 475 $ - $ 22,770 Disposals (1) - - - (75) - (76) Impairment reversal (note 14) (3,775) (16,154) (2,365) - (400) - (22,694) Balance, December 31, 2017 $ - $ - $ - $ - $ - $ - $ - ACCUMULATED DEPRECIATION Balance, January 1, 2017 $ 17,864 $ 33,479 $ 6,748 $ 576 $ 3,146 $ - $ 61,813 Disposals (2,549) (448) (1,507) (101) (440) - (5,045) Reclassifications 3,907 - (3,920) 13 - - - Impairment reversal (note 14) 2,449 6,484 1,253 - 251 - 10,437 Depreciation 5,899 12,838 1,316 174 553 - 20,780 Balance, December 31, 2017 $ 27,570 $ 52,353 $ 3,890 $ 662 $ 3,510 $ - $ 87,985 NET BOOK VALUE, December 31, 2017 $ 34,647 $ 79,385 $ 2,425 $ 501 $ 3,785 $ 12,921 $ 133,664 Machinery and equipment Buildings and leasehold improvements Furniture and other equipment Transport units Equipment under finance lease Capital work in progress Total COST Balance, January 1, 2016 $ 28,462 $ 94,872 $ 15,476 $ 711 $ 5,215 $ 38,792 $ 183,528 Acquisition of subsidiary 6,954 - - - - - 6,954 Additions 1,627 258 368 181 2,013 21,849 26,296 Disposals (211) - (106) (64) (75) - (456) Reclassifications 20,853 36,937 110 267 657 (59,700) (876) Balance, December 31, 2016 $ 57,685 $ 132,067 $ 15,848 $ 1,095 $ 7,810 $ 941 $ 215,446 ACCUMULATED IMPAIRMENT Balance, January 1, 2016 $ 3,784 $ 16,154 $ 2,405 $ - $ 483 $ - $ 22,826 Disposals (8) - (40) - (8) - (56) Balance, December 31, 2016 $ 3,776 $ 16,154 $ 2,365 $ - $ 475 $ - $ 22,770 ACCUMULATED DEPRECIATION Balance, January 1, 2016 $ 14,816 $ 24,466 $ 4,387 $ 505 $ 2,845 $ - $ 47,019 Disposals (199) - (64) (60) (67) - (390) Reclassifications 12 2 (14) - - - - Depreciation 3,235 9,011 2,439 131 368 - 15,184 Balance, December 31, 2016 $ 17,864 $ 33,479 $ 6,748 $ 576 $ 3,146 $ - $ 61,813 NET BOOK VALUE, December 31, 2016 $ 36,045 $ 82,434 $ 6,735 $ 519 $ 4,189 $ 941 $ 130,863 |
Mineral Properties and Exploration and Evaluation Assets [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Plant and Equipment | 13. Mineral Properties and Exploration and Evaluation Assets Depletable Not depleted Caylloma San Jose Lindero Other Total COST Balance, January 1, 2017 $ 100,630 $ 151,259 $ 130,590 $ 1,844 $ 384,323 Additions 10,599 13,888 9,234 2,508 36,229 Change in rehabilitation provision 1,448 (931) 301 - 818 Disposals - - - (202) (202) Reclassifications (8) (18) 29 - 3 Balance, December 31, 2017 $ 112,669 $ 164,198 $ 140,154 $ 4,150 $ 421,171 ACCUMULATED IMPAIRMENT Balance, January 1, 2017 $ 31,900 $ - $ - $ - $ 31,900 Impairment reversal (note 14) (31,900) - - - (31,900) Balance, December 31, 2017 $ - $ - $ - $ - $ - ACCUMULATED DEPLETION Balance, January 1, 2017 $ 42,059 $ 46,829 $ - $ - $ 88,888 Impairment reversal (note 14) 13,038 - - - 13,038 Depletion 5,956 16,677 - - 22,633 Balance, December 31, 2017 $ 61,053 $ 63,506 $ - $ - $ 124,559 NET BOOK VALUE, December 31, 2017 $ 51,616 $ 100,692 $ 140,154 $ 4,150 $ 296,612 Depletable Not depleted Caylloma San Jose Lindero Other Total COST Balance, January 1, 2016 $ 92,973 $ 136,666 $ - $ 1,533 $ 231,172 Acquisition of subsidiary - - 128,687 - 128,687 Additions 7,060 14,643 1,795 942 24,440 Change in rehabilitation provision 597 (414) 108 - 291 Disposals - (512) - (631) (1,143) Reclassifications - 876 - - 876 Balance, December 31, 2016 $ 100,630 $ 151,259 $ 130,590 $ 1,844 $ 384,323 ACCUMULATED IMPAIRMENT Balance, January 1, 2016 $ 31,900 $ - $ - $ - $ 31,900 Balance, December 31, 2016 $ 31,900 $ - $ - $ - $ 31,900 ACCUMULATED DEPLETION Balance, January 1, 2016 $ 37,552 $ 33,000 $ - $ - $ 70,552 Depletion 4,507 13,829 - - 18,336 Balance, December 31, 2016 $ 42,059 $ 46,829 $ - $ - $ 88,888 NET BOOK VALUE, December 31, 2016 $ 26,671 $ 104,430 $ 130,590 $ 1,844 $ 263,535 The assets of Bateas ( Caylloma ) and Cuzcatlan (San Jose), and their holding companies , are pledged as security under the Company’s credit facility. (a) Exploration and Evaluation Assets Included in mineral properties are exploration and evaluation assets which are categorized as no t depleted other in the above tables. The Company is currently conducting exploration and evaluation activities on the following properties: (i) Tlacolula Property On August 2, 2017, the Company completed a Purchase and Sale Agreement with Radius Gold Inc. to acquire the Tlacolula gold property (the “Property”) for total consideration of $1,328 , comprising of $150 cash and the issuance of 239,385 common shares valued at $1,128 . Radius was granted a 2% NSR royalty on the Property, of which one-half of the royalty can be purchased for $1,500 . During the year ended December 31, 2017, the Company spent $158 on the Property, which has been capitalized as part of mineral properties. (ii) Northwest Nevada Initiative In December 2016, the Company entered into an option agreement with an unrelated party to acquire 6,756 mineral claims in north west Nevada, USA, totaling 239,128 acres ( 96,773 hectares). To maintain this agreement, the Company is required to make cash payments totaling $2,300 , a combination of cash and shares of $4,100 and spend $2,000 in exploration expenditures by December 6, 2020. A further success payment is required if the Company completes an economic study on a potential mine if certain minimum technical parameters based on resource size and rate of return are met. During the year ended December 31, 2017, the Company completed a drilling program with less than encouraging results and decided to terminate the option agreement and wrote-off the carrying value of the Property. Balance, December 31, 2016 $ 200 Exploration expenditures during the year 1,410 1,610 Less: charged to exploration expenses (1,301) Less: transferred to accounts receivable (109) 200 Less: write-off (200) Balance December 31, 2017 $ - (b) Lindero Gold Project On July 28, 2016, Fortuna Silver Mines Inc. acquired all the issued and outstanding common shares of Goldrock Mines Corp. ("Goldrock"), a public company listed on the TSX Venture Exchange, by issuing 14,569,045 common shares and 1,514,677 warrants, exercisable at C$ 6.01 per common share and expiring on October 31, 2018. Goldrock's principal asset is the 100% owned Lindero Gold Project located in Salta Province, Argentina. This acquisition has been accounted for as an asset purchase, as Goldrock Mines Corp. and its subsidiaries did not meet the definition of a business as defined in IFRS 3 «Business Combinations». The following summarizes the consideration paid and estimates of fair value of assets acquired and liabilities assumed: Consideration: 14,569,045 common shares of the Company $ 122,813 1,514,677 warrants 7,401 Costs of the transaction 8,226 Cash of Goldrock received (528) Costs of the transaction paid by Goldrock prior to closing (2,822) 4,876 $ 135,090 Assets acquired and liabilities assumed: Accounts receivable $ 249 Machinery and Equipment 6,954 Accounts payable (700) Closure and rehabilitation provisions (100) Lindero Gold Project 128,687 $ 135,090 The cash used for the purchase of the Lindero Gold Project was as follows: Total consideration $ 135,090 less: Non-cash issuance of common shares (122,813) less: Non-cash issuance of warrants (7,401) $ 4,876 Comprising: Cash transaction costs $ 5,404 less: Cash of Goldrock received (528) $ 4,876 The consideration was determined based on the fair value of the Company’s shares at the closing date of the acquisition, plus the estimated fair value of warrants issued and transaction costs incurred. The warrants were accounted for under IFRS 2 «Share-based Payment», and are treated as equity settled share-based payments. The corresponding credit has been recorded in equity. The purchase price was allocated to the assets acquired and liabilities assumed on a relative fair value basis. On September 21, 2017, the Board of Directors approved the construction of the Lindero Gold Project, and the expenditures related to this project are no longer classified as an exploration and evaluation asset. |
Impairment Reversal
Impairment Reversal | 12 Months Ended |
Dec. 31, 2017 | |
Impairment Reversal [abstract] | |
Impairment Reversal | 14. Impairment Reversal For the year ended December 31, 2017, the Company recognized an impairment reversal of $31,119 with respect to the Caylloma Mine. The impairment reversal was due to the significant increase in resources from the successful exploration drill program at the Animas NE vein and increases in the estimated zinc and lead prices. With the increase in resources, as well as increases in estimated prices, management updated its mine plan for the Caylloma mine. The new mine plan significantly improved the production profile and the associated cash flows compared with the Company’s previous estimates and accordingly, was considered to be an indicator of impairment reversal. The impairment charges recorded during the year s ended December 31, 2015 and 2013 were $55,000 before tax. The amount of impairment reversal is limited to the carrying amount had no impairment been recognized in prior periods, net of depletion and amortization which would have been recognized. The recoverable amount of the Caylloma Mine was determined based on its fair value less costs of disposal estimated utilizing a discounted cash flow model. The projected cash flows used are significantly affected by changes in assumptions for metal prices, changes in the amount of recoverable reserves and resources, production cost estimates, future capital expenditures and discount rates. The discounted cash flow model is a Level 3 measurement in the fair value hierarchy. For the year ended December 31, 2017, the Company's impairment testing incorporated the following key assumptions in addition to the increase in the estimated life of the mine: a) Weighted average cost of capital As at December 31, 2017 , projected cash flows were discounted using a real after-tax discount rate of 4.1% which represented the estimated weighted average cost of capital. b) Metal Price assumptions Metal Price Assumptions 2018 2019 2020 2021 2022 -2025 Silver price ($ per ounce) $ 17.56 $ 18.44 $ 19.00 $ 19.00 $ 18.40 Gold price ($ per ounce) $ 1,300 $ 1,300 $ 1,342 $ 1,325 $ 1,325 Lead price ($ per tonne) $ 2,469 $ 2,403 $ 2,315 $ 2,205 $ 2,205 Zinc price ($ per tonne) $ 3,175 $ 3,031 $ 2,756 $ 2,756 $ 2,425 |
Plant and Equipment
Plant and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Plant and Equipment [abstract] | |
Plant and Equipment | 15. Plant and Equipment Machinery and equipment Land, buildings and leasehold improvements Furniture and other equipment Transport units Equipment under finance lease Capital work in progress Total COST Balance, January 1, 2017 $ 57,685 $ 132,067 $ 15,848 $ 1,095 $ 7,810 $ 941 $ 215,446 Additions 3,290 276 726 108 - 10,812 15,212 Disposals (3,461) (1,184) (3,006) (110) (515) (730) (9,006) Reclassifications 4,703 579 (7,253) 70 - 1,898 (3) Balance, December 31, 2017 $ 62,217 $ 131,738 $ 6,315 $ 1,163 $ 7,295 $ 12,921 $ 221,649 ACCUMULATED IMPAIRMENT Balance, January 1, 2017 $ 3,776 $ 16,154 $ 2,365 $ - $ 475 $ - $ 22,770 Disposals (1) - - - (75) - (76) Impairment reversal (note 14) (3,775) (16,154) (2,365) - (400) - (22,694) Balance, December 31, 2017 $ - $ - $ - $ - $ - $ - $ - ACCUMULATED DEPRECIATION Balance, January 1, 2017 $ 17,864 $ 33,479 $ 6,748 $ 576 $ 3,146 $ - $ 61,813 Disposals (2,549) (448) (1,507) (101) (440) - (5,045) Reclassifications 3,907 - (3,920) 13 - - - Impairment reversal (note 14) 2,449 6,484 1,253 - 251 - 10,437 Depreciation 5,899 12,838 1,316 174 553 - 20,780 Balance, December 31, 2017 $ 27,570 $ 52,353 $ 3,890 $ 662 $ 3,510 $ - $ 87,985 NET BOOK VALUE, December 31, 2017 $ 34,647 $ 79,385 $ 2,425 $ 501 $ 3,785 $ 12,921 $ 133,664 Machinery and equipment Buildings and leasehold improvements Furniture and other equipment Transport units Equipment under finance lease Capital work in progress Total COST Balance, January 1, 2016 $ 28,462 $ 94,872 $ 15,476 $ 711 $ 5,215 $ 38,792 $ 183,528 Acquisition of subsidiary 6,954 - - - - - 6,954 Additions 1,627 258 368 181 2,013 21,849 26,296 Disposals (211) - (106) (64) (75) - (456) Reclassifications 20,853 36,937 110 267 657 (59,700) (876) Balance, December 31, 2016 $ 57,685 $ 132,067 $ 15,848 $ 1,095 $ 7,810 $ 941 $ 215,446 ACCUMULATED IMPAIRMENT Balance, January 1, 2016 $ 3,784 $ 16,154 $ 2,405 $ - $ 483 $ - $ 22,826 Disposals (8) - (40) - (8) - (56) Balance, December 31, 2016 $ 3,776 $ 16,154 $ 2,365 $ - $ 475 $ - $ 22,770 ACCUMULATED DEPRECIATION Balance, January 1, 2016 $ 14,816 $ 24,466 $ 4,387 $ 505 $ 2,845 $ - $ 47,019 Disposals (199) - (64) (60) (67) - (390) Reclassifications 12 2 (14) - - - - Depreciation 3,235 9,011 2,439 131 368 - 15,184 Balance, December 31, 2016 $ 17,864 $ 33,479 $ 6,748 $ 576 $ 3,146 $ - $ 61,813 NET BOOK VALUE, December 31, 2016 $ 36,045 $ 82,434 $ 6,735 $ 519 $ 4,189 $ 941 $ 130,863 |
Trade and Other Payables
Trade and Other Payables | 12 Months Ended |
Dec. 31, 2017 | |
Trade and Other Payables [abstract] | |
Trade and Other Payables | 16. Trade and Other Payables December 31, December 31, 2017 2016 Trade accounts payable $ 13,576 $ 15,251 Refundable deposits to contractors 686 1,514 Payroll payable 13,894 10,755 Mining royalty 1,023 755 Value added taxes payable 1,285 1,866 Interest payable 137 114 Due to related parties (note 17(a)) - 10 Other payables 411 354 31,012 30,619 Deferred share units payable 5,094 4,992 Restricted share units payable 2,679 2,870 Performance share units payable 2,691 1,679 Total current share units payable (note 22) 10,464 9,541 Total trade and other payables $ 41,476 $ 40,160 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [abstract] | |
Related Party Transactions | 17. Related Party Transactions In addition to the related party transactions and balances disclosed elsewhere in these financial statements, the Company entered into the following related party transactions during the years ended December 31, 2017 and 2016 : a) Purchase of Goods and Services During the year ended December 31, 2017 and 2016 , the Company entered into the following related party transactions with Gold Group Management Inc. and Mill Street Services Ltd., companies with directors in common with the Company . Year ended December 31, 2017 2016 Personnel costs $ 138 $ 121 General and administrative expenses 175 103 $ 313 $ 224 The Company has outstanding balances payable with Gold Group Management Inc. of $nil as at December 31 , 2017 ( December 31, 2016 - $10 ). Amounts due to related parties are due on demand, and are unsecured . b) Key Management Personnel Year ended December 31, 2017 2016 Salaries and short term employee benefits $ 4,704 $ 3,987 Directors fees 594 357 Consulting fees 138 127 Share-based payments 3,672 13,527 $ 9,108 $ 17,998 |
Bank Loan
Bank Loan | 12 Months Ended |
Dec. 31, 2017 | |
Bank Loan [abstract] | |
Bank Loan | 18. Bank Loan In April 2015, the Company drew down $40,000 of the $60,000 available under its credit facility agreement with the Bank of Nova Scotia (“Credit Facility”) . The Credit Facility is secured by a first ranking lien on the assets of Bateas, Cuzcatlan, and their holding companies. Interest on the Credit Facility is calculated using the one, two, three, or six month US$ LIBOR rates plus a graduated margin based on the Company’s leverage ratio, as defined in the Credit Facility. Interest is payable one month in arrears. The C redit F acility is repayable with a balloon payment on the maturity date of April 1, 2019 . While the C redit F acility remains drawn , the Company is required to maintain the following financial covenants: a) Total debt to EBITDA (as defined in the Credit Facility) of not greater than 3 :1 calculated on a rolling four fiscal quarter basis and measured at the end of each fiscal quarter of the Company; and, b) Minimum tangible net worth (as defined in the Credit Facility) in an amount equal to the sum of (a) 85% of the tangible net worth as at June 30, 2014 , (b) 50% of positive quarterly net income earned after June 30, 2014 , and (c) 50% of the value of any equity interests issued by the Company after June 30, 2014 . As at December 31, 201 7 and 2016 , the Company was in compliance with all covenants under the C redit F acility. Other than interest, no payments are required until April 2019. On January 26, 2018, the Company entered into an amended and restated credit facility with the Bank of Nova Scotia (“Amended Credit Facility”). The Amended Credit Facility consists of a $40,000 non-revolving credit facility and an $80,000 revolving credit facility. The Amended Credit Facility is secured by a first ranking lien on the assets of Bateas, Cuzcatlan, Mansfield and their holding companies. The Company must comply with the terms in the amended agreement related to reporting requirements, conduct of business, insurance, notices, and must maintain certain covenants. |
Finance Lease Obligations
Finance Lease Obligations | 12 Months Ended |
Dec. 31, 2017 | |
Finance Lease Obligations [abstract] | |
Finance Lease Obligations | 19. Finance Lease Obligations Minimum lease payments December 31, December 31, 2017 2016 Less than one year $ 912 $ 2,189 Between one and five years - 912 912 3,101 Less: future finance charges (6) (67) Present value of minimum lease payments $ 906 $ 3,034 Presented as: Current portion $ 906 $ 2,128 Non-current portion - 906 |
Other Liabilities
Other Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
Other Liabilities [abstract] | |
Other Liabilities | 20. Other Liabilities December 31, December 31, 2017 2016 Restricted share units (note 22) $ 1,256 $ 1,619 Performance share units (note 22) - 1,866 Other non-current liabilities 100 59 $ 1,356 $ 3,544 |
Closure and Rehabilitation Prov
Closure and Rehabilitation Provisions | 12 Months Ended |
Dec. 31, 2017 | |
Closure and Rehabilitation Provisions [abstract] | |
Closure and Rehabilitation Provisions | 21. Closure and Rehabilitation Provisions Closure and rehabilitation provisions Caylloma Mine San Jose Mine Lindero Gold Project Total Balance January 1, 2017 $ 8,182 $ 4,822 $ 208 $ 13,212 Changes in estimate 1,761 (1,152) 301 910 Incurred and charged against the provision (623) (170) - (793) Accretion expense 304 380 - 684 Effect of foreign exchange changes - 220 - 220 Balance December 31, 2017 9,624 4,100 509 14,233 Current portion 1,533 123 - 1,656 Non-current portion $ $8,091 $ $3,977 $ $509 $ $12,577 Closure and reclamation provisions represent the present value of rehabilitation costs relating to mine and development sites. There have been no significant changes in requirements, laws, regulations, operating assumptions, estimated timing and amount of closure and rehabilitation obligations during year ended Dec ember 3 1 , 2017 , except for the timing caused by the extended Caylloma life of mine . Closure and rehabilitation provisions Caylloma Mine San Jose Mine Lindero Gold Project Total Anticipated settlement date 2022 - 2029 2025 - 2037 2019 - 2032 Undiscounted uninflated estimated cash flow $ 9,726 $ 5,016 $ 444 $ 15,186 Discount rate 3.76% 7.22% 5.91% Inflation rate 2.00% 3.87% 6.58% |
Share Based Payments
Share Based Payments | 12 Months Ended |
Dec. 31, 2017 | |
Share Based Payments [abstract] | |
Share Based Payments | 22. Share Based Payments (a) Deferred Share Units Number of Deferred Share Units Fair Value Outstanding, December 31, 2015 1,016,416 $ 2,279 Grants 201,319 781 Units paid out in cash (238,027) (1,721) Units transferred to trade payables (96,640) (902) Change in fair value - 4,555 Outstanding, December 31, 2016 883,068 $ 4,992 Grants 91,108 429 Change in fair value - (327) Outstanding, December 31, 2017 974,176 $ 5,094 (b) Restricted Share Units Number of Restricted Share Units Fair Value Outstanding, December 31, 2015 1,015,846 $ 2,179 Grants to executive directors 317,276 1,161 Grants to officers 389,991 1,509 Grants to employees 82,679 323 Units paid out in cash (419,019) (2,104) Forfeited or cancelled (49,053) - Change in fair value and vesting - 1,421 Outstanding, December 31, 2016 1,337,720 $ 4,489 Grants to officers 406,499 1,919 Grants to employees 38,037 181 Units paid out in cash (406,022) (2,114) Forfeited or cancelled (5,007) (5) Change in fair value and vesting - 1,310 Outstanding, December 31, 2017 1,371,227 $ 5,780 Less: Equity grants to officers (390,751) (1,845) Cash settled restricted share units, December 31, 2017 980,476 $ 3,935 (c) Performance Share Units Number of Performance Share Units Fair Value Outstanding, December 31, 2015 1,236,620 $ 1,194 Units paid out in cash (247,324) (961) Forfeited or cancelled (103,761) - Change in fair value and vesting - 3,312 Outstanding, December 31, 2016 885,535 $ 3,545 Units paid out in cash (332,076) (1,770) Change in fair value and vesting - 916 Outstanding, December 31, 2017 553,459 $ 2,691 |
Share Capital
Share Capital | 12 Months Ended |
Dec. 31, 2017 | |
Share Capital [abstract] | |
Share Capital | 23. Share Capital (a) Authorized share capital The Company has an unlimited number of common shares without par value authorized for issue. In February 201 7 , the Company closed a private placement by issuing an aggregate of 11,873,750 common shares at a price of US $6.30 per common share for gross proceeds of $74,804 , or net proceeds of $70,497 after share issuance costs. (b) Stock Options The Company’s Stock Option Plan, as amended and approved from time to time, permits the Company to issue up to 12,200,000 stock options. As at December 30, 2017, a total of 2,222,905 common shares were available for issuance under the plan. Number of stock options Weighted average exercise price Canadian dollars Outstanding, December 31, 2015 3,105,355 $ 3.66 Exercised (2,236,861) $ 3.45 Forfeited (23,501) $ 4.79 Outstanding, December 31, 2016 844,993 $ 4.19 Exercised (307,160) $ 3.39 Granted 617,694 $ 6.35 Outstanding, December 31, 2017 1,155,527 $ 5.56 Vested and exercisable, December 31, 2016 459,578 $ 3.68 Vested and exercisable, December 31, 2017 537,833 $ 4.64 During the year ended December 3 1 , 2017, 617,694 options (2016 - nil) were granted. The assumptions used to estimate the fair value of the stock options granted during the year ended Dec ember 3 1 , 2017 were a risk-free interest rate of 0.77% , expected volatility of 63.02% , expected life of 3 years, expected forfeiture rate of 5.57% , and an expected dividend yield of nil . The fair value, as determined using the Black-Scholes model , was $2.61 per option granted in the period. During year ended December 31, 2017 , the Company expensed a total of $674 , in share-based payments related to the vesting of stock options ( 2016 – $468 ). (c) Warrants Number of warrants Weighted average exercise price Canadian dollars Outstanding, December 31, 2015 - $ - Granted 1,514,677 $ 6.01 Exercised (931,700) $ 6.01 Outstanding, December 31, 2016 582,977 $ 6.01 Exercised (238,515) $ 6.01 Outstanding, December 31, 2017 344,462 $ 6.01 |
Earnings per Share
Earnings per Share | 12 Months Ended |
Dec. 31, 2017 | |
Earnings per Share [abstract] | |
Earnings per Share | 24. Earnings per Share Year ended December 31, Basic 2017 2016 Net income for the year $ 66,305 $ 17,858 Weighted average number of shares (000's) 158,036 136,888 Earnings per share - basic $ 0.42 $ 0.13 Year ended December 31, Diluted 2017 2016 Net income for the year $ 66,305 $ 17,858 Weighted average number of shares ('000's) 158,036 136,888 Incremental shares from options 250 236 Incremental shares from warrants 26 929 Weighted average diluted number of shares (000's) 158,312 138,053 Diluted earnings per share $ 0.42 $ 0.13 As at December 31, 2017, there were no anti-dilutive options or warrants excluded from the above calculation (2016 – Nil ) . |
Sales
Sales | 12 Months Ended |
Dec. 31, 2017 | |
Sales [abstract] | |
Sales | 25. Sales (a) By product and geographical area Year ended December 31, 2017 Canada Peru Mexico Argentina Total Silver-gold concentrates $ - $ - $ 179,996 $ - $ 179,996 Silver-lead concentrates - 42,202 - - 42,202 Zinc concentrates - 45,913 - - 45,913 Sales to external customers $ - $ 88,115 $ 179,996 $ - $ 268,111 Year ended December 31, 2016 Canada Peru Mexico Argentina Total Silver-gold concentrates $ - $ - $ 143,151 $ - $ 143,151 Silver-lead concentrates - 40,442 - - 40,442 Zinc concentrates - 26,662 - - 26,662 Sales to external customers $ - $ 67,104 $ 143,151 $ - $ 210,255 (b) By major customer Year ended December 31, 2017 2016 Customer 1 $ 106,850 $ 71,184 Customer 2 73,146 71,967 Customer 3 79,523 18,238 Customer 4 8,508 40,646 Other Customers 84 8,220 $ 268,111 $ 210,255 |
Cost of Sales
Cost of Sales | 12 Months Ended |
Dec. 31, 2017 | |
Cost of Sales [abstract] | |
Cost of Sales | 26. Cost of Sales Year ended December 31, 2017 Caylloma San Jose Total Direct mining costs $ 35,476 $ 58,187 $ 93,663 Salaries and benefits 6,013 5,286 11,299 Workers' participation 1,545 5,805 7,350 Depletion and depreciation 9,175 32,929 42,104 Royalties 1,283 2,852 4,135 $ 53,492 $ 105,059 $ 158,551 Year ended December 31, 2016 Caylloma San Jose Total Direct mining costs $ 32,047 $ 46,574 $ 78,621 Salaries and benefits 5,399 4,697 10,096 Workers' participation 973 4,742 5,715 Depletion and depreciation 7,958 24,759 32,717 Royalties 873 1,627 2,500 $ 47,250 $ 82,399 $ 129,649 |
Selling General and Administrat
Selling General and Administrative | 12 Months Ended |
Dec. 31, 2017 | |
Selling, General and Administrative [abstract] | |
Selling General and Administrative | 27. Selling, General, and Administrative Year ended December 31, 2017 2016 Selling, general and administrative $ 19,320 $ 15,616 Workers' participation 1,750 1,363 21,070 16,979 Share-based payments 3,841 14,138 $ 24,911 $ 31,117 |
Other Expenses
Other Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Other Expense [abstract] | |
Other Expenses | 28. Other expenses Year ended December 31, 2017 2016 Loss (gain) on disposal of property, plant, and equipment $ 1,450 $ (3) Write off of inventories 985 280 Write off of mineral properties 202 1,143 Other income (956) - $ 1,681 $ 1,420 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Taxes [abstract] | |
Income Taxes | 29. Income Taxes (a) Reconciliation of effective tax rate Income tax expense differs from the amount that would be computed by applying the applicable Canadian statutory income tax rate to income before income taxes. The significant reasons for the differences are as follows: Year ended December 31, 2017 2016 Net income before tax $ 104,951 $ 47,110 Statutory tax rate 26.0% 26.0% Anticipated income tax at statutory rates 27,287 12,249 Non-deductible expenditures 1,082 514 Differences between Canadian and foreign tax rates 5,804 2,995 Change in estimate 88 (511) Effect of change in tax rates (1,576) (622) Inflation adjustment (2,242) (933) Impact of foreign exchange (666) 5,328 Change in deferred tax assets not recognized 4,194 4,839 Mining taxes 4,568 2,738 Withholding taxes 649 2,760 Other items (542) (105) Total income tax expense $ 38,646 $ 29,252 Total income tax represented by: Current income tax expense $ 34,863 $ 29,063 Deferred tax expense 3,783 189 $ 38,646 $ 29,252 In 2015, Peru underwent a tax reform that included an announced decrease in tax rates over a four year period. In December of 2016 the future decreases were halted and the tax rate was increased. The Company’s Peruvian operating subsidiary, Minera Bateas, had an agreement with Peruvian government that stabilized its tax rate until December 31, 2017. The Company will be subject to a Peruvian income tax rate of 29.5% in 2018 and thereafter. On December 27, 2017, the Argentine Congress passed the proposed tax reform which became effective on January 1, 2018. The changes included an immediate transitional reduction in corporate income tax rate from 35% to 30% for the two taxation years beginning on or after January 1, 2018. Effective 2020 and thereafter, the Argentine corporate income tax rate will reduce from 30% to 25% . Effective January 1, 2018, the British Columbia provincial tax rate will increase from 11% to 12% , resulting in an increase in the combined Canadian Federal and Provincial statutory tax rate of 27% starting 2018 and thereafter. (b) Tax amounts recognized in profit or loss Year ended December 31, 2017 2016 Current tax expense Current taxes on profit for the year $ 34,940 $ 29,791 Changes in estimates related to prior years (77) (728) $ 34,863 $ 29,063 Deferred tax expense Origination and reversal of temporary differences and foreign exchange rate effects $ 5,194 $ 594 Changes in estimates related to prior years 165 217 Effect of changes in tax rates (1,576) (622) $ 3,783 $ 189 Total Tax expense $ 38,646 $ 29,252 (c) Deferred tax balances The significant components of the recognized deferred tax assets and liabilities are: December 31, December 31, 2017 2016 Deferred tax assets: Reclamation and closure cost obligation $ 3,996 $ 3,940 Other 6,268 2,898 Total deferred tax assets $ 10,264 $ 6,838 Deferred tax liabilities: Mineral properties $ (30,413) $ (14,858) Mining taxes (3,376) (3,336) Equipment and buildings (4,658) (5,363) Other (474) (8,155) Total deferred tax liabilities $ (38,921) $ (31,712) Net deferred tax liabilities $ (28,657) $ (24,874) Classification: 2017 2016 Deferred tax assets $ - $ 471 Deferred tax liabilities (28,657) (25,345) Net deferred tax liabilities $ (28,657) $ (24,874) The Company ’ s movement of net deferred tax liabilities is described below: 2017 2016 At January 1 $ 24,874 $ 24,685 Deferred income tax expense through income statement 3,783 189 At December 31 $ 28,657 $ 24,874 (d) Unrecognized deferred tax assets and liabilities The Company recognizes tax benefits on losses or other deductible amounts where it is more likely than not that the deferred tax asset will be realized . The Company ’ s unrecognized deductible temporary differences and unused tax losses for which no deferred tax asset is recognized consists of the following amounts: December 31, December 31, 2017 2016 Unrecognized deductible temporary differences and unused tax losses: Non capital losses $ 73,994 $ 55,500 Provisions and other 11,720 13,074 Share issue costs 4,473 624 Mineral properties, plant and equipment 762 1,801 Derivative liabilities - 254 Capital losses 906 846 Unrecognized deductible temporary differences $ 91,855 $ 72,099 As at December 31, 2017, the Company has temporary differences associated with investments in subsidiaries for which an income tax liability has not been recognized as the Company can control the timing of the reversal of the temporary differences and the Company plans to reinvest in its foreign subsidiaries. The temporary difference associated with investments in subsidiaries aggregate to: December 31, December 31, 2017 2016 Mexico $ 69,044 $ 66,035 Peru 98,070 58,017 (e) Tax loss carryforwards Tax losses have the following expiry dates : December 31, December 31, Year of expiry 2017 2016 Canada 2025 – 2037 $ 74,300 $ 55,500 Argentina 2018 – 2022 3,700 - Mexico 2021 – 2025 332 450 Barbados 2022 – 2024 266 185 In addition, at December 31, 2017, the Company has accumulated Canadian resource-related expenses of $5,773 ( 2016 - $3,271 ) for which the deferred tax benefit has not been recognized. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
Segment Information [abstract] | |
Segment Information | 30. Segmented Information The following summary describes the operations of each reportable segment : · Bateas – operates the Caylloma silver, lead, and zinc mine · Cuzcatlan – operates the San Jose silver-gold mine · Lindero – development of the Lindero Gold Project · Corporate – corporate stewardship Year ended December 31, 2017 Corporate Bateas Cuzcatlan Lindero Total Revenues from external customers $ - $ 88,115 $ 179,996 $ - $ 268,111 Cost of sales - (53,492) (105,059) - (158,551) Selling, general, and administration (15,662) (3,251) (5,998) - (24,911) Impairment reversal of mineral properties, plant, and equipment - 31,119 - - 31,119 Other expenses (1,626) (116) (3,699) - (5,441) Finance items (867) (4,620) 111 - (5,376) Segment profit (loss) before taxes (18,155) 57,755 65,351 - 104,951 Income taxes (643) (17,136) (20,927) 60 (38,646) Segment profit (loss) after taxes $ (18,798) $ 40,619 $ 44,424 $ 60 $ 66,305 Year ended December 31, 2016 Corporate Bateas Cuzcatlan Lindero Total Revenues from external customers $ - $ 67,104 $ 143,151 $ - $ 210,255 Cost of sales - (47,250) (82,399) - (129,649) Selling, general, and administration (23,684) (2,616) (4,817) - (31,117) Other income (expenses) 195 (767) (376) - (948) Finance items (1,847) 718 (302) - (1,431) Segment profit (loss) before taxes (25,336) 17,189 55,257 - 47,110 Income taxes (2,728) (4,411) (21,935) (178) (29,252) Segment profit (loss) after taxes $ (28,064) $ 12,778 $ 33,322 $ (178) $ 17,858 December 31, 2017 Corporate Bateas Cuzcatlan Lindero Total Total assets $ 82,978 $ 156,513 $ 316,692 $ 150,465 $ 706,648 Total liabilities $ 57,889 $ 35,169 $ 48,441 $ 1,565 $ 143,064 Capital expenditures $ 540 $ 13,184 $ 22,577 $ 10,757 $ 47,058 December 31, 2016 Corporate Bateas Cuzcatlan Lindero Total Total assets $ 40,351 $ 105,001 $ 279,316 $ 138,247 $ 562,915 Total liabilities $ 57,132 $ 23,622 $ 57,962 $ 1,048 $ 139,764 Capital expenditures $ 283 $ 8,996 $ 36,773 $ 2,009 $ 48,061 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Measurements [abstract] | |
Fair Value Measurements | 31. Fair Value Measurements Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction in the principal (or most advantageous) market at the measurement date under current market conditions (an exit price) regardless of whether that price is directly observable or estimated using another valuation technique. The fair value hierarchy establishes three levels to classify the inputs to valuation techniques used to measure fair value. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 inputs are quoted prices in markets that are not active, quoted prices for similar assets or liabilities in active markets, inputs other than quoted prices that are observable for the asset or liability (interest rate, yield curves), or inputs that are derived principally from or corroborated observable market data or other means. Level 3 inputs are unobservable (supported by little or no market activity). The fair value hierarchy gives the highest priority to Level 1 inputs and the lowest priority to Level 3 inputs. The following sets up the methods and assumptions used to estimate the fair value of Level 2 and Level 3 financial instruments. Financial asset or liability Methods and assumptions used to estimate fair value Trade receivables Trade receivables arising from the sales of metal concentrates are subject to provisional pricing, and the final selling price is adjusted at the end of a quotational period. We mark these to market at each reporting date based on the forward price corresponding to the expected settlement date. Interest rate swaps, and metal contracts Fair value is calculated as the present value of the estimated contractual cash flows. Estimates of future cash flows are based on quoted swap rates, futures prices and interbank borrowing rates. These are discounted using a yield curve, and adjusted for credit risk of the Company or the counterparty. Marketable securities – warrants The Company determines the value of the warrants using a Black-Scholes valuation model which uses a combination of quoted prices and market-derived inputs, such as volatility and interest rate estimates. Fair value changes on the warrants are charged to profit and loss. During the year ended December 31, 2017 , and 2016, there were no transfers of amounts between Level 1, Level 2, and Level 3 of the fair value hierarchy. The following tables show the carrying amounts and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy. Fair value information for financial assets and financial liabilities not measured at fair value is not presented if the carrying amount is a reasonable approximation of fair value. Carrying value Fair value December 31, 2017 Available for sale Fair value through profit or loss Fair Value (hedging) Loans and receivables Other liabilities Total Level 1 Level 2 Level 3 Carrying value approximates Fair Value Financial assets measured at Fair Value Marketable securities – shares $ 555 $ - $ - $ - $ - $ 555 $ 555 $ - $ - $ - Marketable securities – warrants - 1 - - - 1 - 1 - - Trade receivables concentrate sales - 34,250 - - - 34,250 - 34,250 - - Interest rate swap asset - - 140 - - 140 - 140 - - $ 555 $ 34,251 $ 140 $ - $ - $ 34,946 $ 555 $ 34,391 $ - $ - Financial assets not measured at Fair Value Cash and cash equivalents $ - $ - $ - $ 183,074 $ - $ 183,074 $ - $ - $ - $ 183,074 Term deposits - - - 29,500 - 29,500 - - - 29,500 Other receivables - - - 1,251 - 1,251 - - - 1,251 $ - $ - $ - $ 213,825 $ - $ 213,825 $ - $ - $ - $ 213,825 Financial liabilities measured at Fair Value Metal forward sales contracts $ - $ (2,328) $ - $ - $ - $ (2,328) $ - $ (2,328) $ - $ - $ - $ (2,328) $ - $ - $ - $ (2,328) $ - $ (2,328) $ - $ - Financial liabilities not measured at Fair Value Trade payables $ - $ - $ - $ - $ (13,576) $ (13,576) $ - $ - $ - $ (13,576) Payroll payable - - - - (13,894) (13,894) - - - (13,894) Share units payable - - - - (11,720) (11,720) - (11,720) - - Finance lease obligations - - - - (906) (906) - - - (906) Bank loan payable - - - - (39,871) (39,871) - (40,000) - - Other payables - - - - (1,671) (1,671) - - - (1,671) $ - $ - $ - $ - $ (81,638) $ (81,638) $ - $ (51,720) $ - $ (30,047) Carrying value Fair value December 31, 2016 Available for sale Fair value through profit or loss Fair Value (hedging) Loans and receivables Other liabilities Total Level 1 Level 2 Level 3 Carrying value approximates Fair Value Financial assets measured at Fair Value Marketable securities – shares $ 1,266 $ - $ - $ - $ - $ 1,266 $ 1,266 $ - $ - $ - Marketable securities – warrants - 313 - - - 313 - 313 - - Trade receivables concentrate sales - 23,185 - - - 23,185 - 23,185 - - Zinc forward contracts - 973 - - - 973 - 973 - - $ 1,266 $ 24,471 $ - $ - $ - $ 25,737 $ 1,266 $ 24,471 $ - - Financial assets not measured at Fair Value Cash and cash equivalents $ - $ - $ - $ 82,484 $ - $ 82,484 $ - $ - $ - $ 82,484 Term deposits - - - 41,100 - 41,100 - - - 41,100 Other receivables - - - 72 - 72 - - - 72 $ - $ - $ - $ 123,656 $ - $ 123,656 $ - $ - $ - $ 123,656 Financial liabilities measured at Fair Value Interest rate swap liability $ - $ - $ (254) $ - $ - $ (254) $ - - $ (254) $ - $ - $ - $ - $ (254) $ - $ - $ (254) $ - $ (254) $ - $ - Financial liabilities not measured at Fair Value Trade payables $ - $ - $ - $ - $ (15,251) $ (15,251) $ - $ - $ - $ (15,251) Payroll payable - - - - (10,755) (10,755) - - - (10,755) Share units payable - - - - (13,026) (13,026) - (13,026) - - Finance lease obligations - - - - (3,034) (3,034) - - - (3,034) Bank loan payable - - - - (39,768) (39,768) - (40,000) - 232 Other payables - - - - (17,605) (17,605) - - - (17,605) $ - $ - $ - $ - $ (99,439) $ (99,439) $ - $ (53,026) $ - $ (46,413) |
Management of Financial Risk
Management of Financial Risk | 12 Months Ended |
Dec. 31, 2017 | |
Management of Financial Risk [abstract] | |
Managment of Financial Risk | 32. Management of Financial Risk The Board of Directors has overall responsibility for the establishment and oversight of the Company’s risk management framework and reviews the Company’s policies on an ongoing basis. The Company is exposed to certain financial risks, including credit risk, liquidity risk, currency risk, metal price risk, and interest rate risk. (a) Credit Risk Credit risk is the risk of an unexpected loss if a customer or third party to a financial instrument fails to meet its contractual obligations. All of our trade accounts receivables from concentrate sales are held with large international metals trading companies. The Company’s cash and cash equivalents and short term investments are held through large financial institutions. These investments mature at various dates within one year. The Company’s maximum exposure to credit risk as at December 31, 2017 and 2016 is as follows: December 31, December 31, 2017 2016 Cash and cash equivalents $ 183,074 $ 82,484 Short term investments 29,500 41,100 Marketable securities 556 1,579 Derivative assets 140 973 Accounts receivable and other assets 36,370 24,987 Income tax receivable 130 72 Other non-current receivables 1,223 562 $ 250,993 $ 151,757 The carrying amount of financial assets recorded in the financial statements represents the Company’s maximum exposure to credit risk. We limit our exposure to counterparty credit risk on cash and term deposits by only dealing with financial institutions with high credit ratings and through our investment policy of purchasing only instruments with a high credit rating. Almost all of our concentrate are sold to large well-known concentrate buyers. (b) Liquidity Risk Liquidity risk is the risk that we will not be able to meet our financial obligations as they come due. We manage our liquidity risk by continually monitoring forecasted and actual cash flows. We have in place a planning and budgeting process to help determine the funds required to support our normal operating requirements and our development plans. We aim to maintain sufficient liquidity to meet our short term business requirements, taking into account our anticipated cash flows from operations, our holdings of cash and cash equivalents, and our committed and anticipated liabilities. The following are the remaining contractual maturities of financial liabilities at the reporting date. The tables include cash flows associated with both interest and principal payments. Expected payments due by year as at December 31, 2017 Less than After 1 year 1 – 3 years 4 – 5 years 5 years Total Trade and other payables $ 41,476 $ - $ - $ - $ 41,476 Bank loan - 40,000 - - 40,000 Derivative liabilities 2,328 - - - 2,328 Income tax payable 14,237 - - - 14,237 Finance lease obligations 906 - - - 906 Other liabilities - 1,356 - - 1,356 Operating leases 653 1,025 634 - 2,312 Provisions 1,708 4,690 5,465 3,323 15,186 $ 61,308 $ 47,071 $ 6,099 $ 3,323 $ 117,801 Expected payments due by year as at December 31, 2016 Less than After 1 year 1 – 3 years 4 – 5 years 5 years Total Trade and other payables $ 40,160 $ - $ - $ - $ 40,160 Bank loan - 40,000 - - 40,000 Derivative liabilities 254 - - - 254 Income tax payable 14,447 - - - 14,447 Finance lease obligations 2,189 912 - - 3,101 Other liabilities - 3,544 - - 3,544 Operating leases 431 360 82 - 873 Provisions 1,154 2,728 5,172 5,174 14,228 $ 58,635 $ 47,544 $ 5,254 $ 5,174 $ 116,607 Operating leases includes leases for office premises, computer equipment and other equipment used in the normal course of business. (c) Currency risk The functional and reporting currency for all entities within the consolidated group is the US dollar. We are exposed to fluctuations in foreign exchange rates as a portion of our expenses are incurred in Canadian dollars, Peruvian soles, Argentinean pesos and Mexican pesos. A significant change in the foreign exchange rates between the United States dollar relative to the other currencies could have a material effect on the Company’s profit or loss, financial position, or cash flows. We have not hedged our exposure to foreign currency fluctuations. As at December 31, 2017 and 2016, the Company was exposed to currency risk through the following assets and liabilities denominated in foreign currencies: December 31, 2017 Canadian Dollars Peruvian Soles Mexican Pesos Argentinian Pesos Cash and cash equivalents 4,511 693 27,842 12,186 Marketable securities 697 - - - Accounts receivable and other assets 292 4,428 3,018 33 Income tax receivable - 421 - - Investments in associates 3,685 - - - Trade and other payables (14,950) (17,244) (253,702) (7,814) Provisions, current - - (2,418) - Income tax payable - (6,631) (176,977) - Other liabilities (1,576) - (1,967) - Provisions - - (78,567) - Total foreign currency exposure (7,341) (18,333) (482,771) 4,405 US$ equivalent of foreign currency exposure (5,852) (5,650) (24,462) 236 December 31, 2016 Canadian Dollars Peruvian Soles Mexican Pesos Argentinian Pesos Cash and cash equivalents 9,436 4,098 7,788 16,502 Marketable securities 2,300 - - - Accounts receivable and other assets 343 3,810 3,369 115 Income tax receivable - 243 - - Deposits on non-current assets - - 4,325 8,419 Trade and other payables (14,581) (13,666) (208,364) (3,891) Due to related parties (14) - - - Provisions, current - (2,765) (6,169) - Income tax payable - (7,564) (202,804) 509 Other liabilities (4,679) - (1,220) - Provisions - (24,719) (93,520) (7,283) Total foreign currency exposure (7,195) (40,563) (496,595) 14,371 US$ equivalent of foreign currency exposure (5,359) (12,072) (24,032) 904 Sensitivity as to change in foreign currency exchange rates on our foreign currency exposure as at December 31, 2017 is provided below: Effect on foreign denominated Currency Change items Mexican Peso +/- 10% $ 2,351 Peruvian Soles +/- 10% $ 739 Argentinian Peso +/- 10% $ 52 Canadian Dollar +/- 10% $ 509 (d) Metal Price Risk We are exposed to metal price risk with respect to our sales of silver, gold, zinc, and lead concentrates. A 10% change in metal prices from the prices used at December 31, 2017 would result in the following change to sales and accounts receivable for sales which are still based on provisional prices as at December 31, 2017. As a matter of policy, we do not hedge our silver production. Metal Change Effect on Sales Silver +/- 10% $ 6,708 Gold +/- 10% $ 3,483 Lead +/- 10% $ 279 Zinc +/- 10% $ 453 We mitigate the price risk of our base metal production from time to time by committing a portion of such production under forward sales and collar contracts. W e have entered into a series of lead and zinc forward sales and collar swaps representing approximately 50% of our expected lead and zinc production to June 201 8 (note 10( a )). (e) Interest Rate Risk Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. Currently, our interest rate exposure mainly relates to interest earned on our cash , cash equivalent, and short term investment balances, and the mark-to-market value of derivative instruments which depend on interest rates. We have entered into an interest rate swap to mitigate the interest rate risk on our bank loan. |
Supplemental Cashflow Informati
Supplemental Cashflow Information | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Cashflow Information [abstract] | |
Supplemental Cashflow Information | 33. Supplemental cashflow information The changes in liabilities arising from financing activities, including both changes arising from cash flows and non-cash changes were as follows: Bank Loan Finance lease obligation Interest rate swaps As at January 1, 2016 $ 39,486 $ 1,884 $ 351 Additions - 2,362 - Amortization of transaction costs 282 - - Principal payments - (1,212) - Interest accrued - - (14) Change in fair value - - (84) As at January 1, 2017 39,768 3,034 253 Amortization of transaction costs 103 - - Principal payments - (2,128) - Interest accrued - - (25) Change in fair value - - (368) As at December 31, 2017 $ 39,871 $ 906 $ (140) |
Contingencies and Capital Commi
Contingencies and Capital Commitments | 12 Months Ended |
Dec. 31, 2017 | |
Contingencies and Capital Commitments [abstract] | |
Contingencies and Capital Commitments | 34. Contingencies and Capital Commitments (a) Bank Letter of Guarantee The Caylloma Mine closure plan was updated in March 2017, with total undiscounted closure costs of $9,230 consisting of progressive closure activities of $3,646 , final closure activities of $4,971 , and post-closure activities of $613 . Pursuant to the closure regulations, the Company is required to place the following guarantees with the government: · 2017 – $3,179 · 2018 – $4,990 · 2019 – $6,928 The Company has established a bank letter of guarantee in the amount of $4,990 ( 2016 – $3,179 ), on behalf of Bateas in favor of the Peruvian mining regulatory agency, in compliance with local regulation and to collateralize Bateas’ mine closure plan. This bank letter of guarantee expires on December 31, 201 8 . (b) Other Commitments As at December 3 1 , 2017, the Company had capital commitments of $5,715 for civil work, equipment purchases and other services at the Lindero Gold Project expected to be expended within one year . Operating leases includes leases for office premises, computer and other equipment used in the normal course of business. The expected payments due by period, as at December 31, 2017 are as follows: Less than 1 year 1 – 3 years 4 – 5 years Total Office premises $ 563 $ 988 $ 634 $ 2,185 Computer equipment 89 37 - 126 Machinery 1 - - 1 Total operating leases $ 653 $ 1,025 $ 634 $ 2,312 (c) Tax Contingencies Peru The Company has been assessed $1,750 by SUNAT, the Peruvian tax authority, including interest and penalties of $573 , for tax years 2010 and 2011 . The Company is appealing these assessments and has provided a guarantee by way of a letter bond in the amount of $838 . No amounts have been accrued as at December 31, 2017 or December 31, 2016 in respect of these tax assessments as the Company believes it is more likely than not that the Company’s appeal will be successful. Mexico During 2015, the Company’s foreign trade operations for tax years 2011 to 2014 were reviewed by the Mexican Tax Administration Service ( “ SAT ” ) and was subject to an administrative customs procedure ( “ PAMA ” ) for specific temporary import documents (pediments). On October 27, 2015, the SAT issued an assessment regarding the Company’s foreign trade operations for tax years 2011 to 2014, and denied certain claims, which resulted in the following assessments totaling $198 (the “ tax credit ” ): · $30 in general import tax, $90 in VAT, and $5 custom management tax, and · associated fines of $94 On December 11, 2015, the Company established a security bond in the amount of $211 in favor of PAMA to collateralize this tax credit of $198. On January 21, 2016, the Company presented its arguments before the Mexican Federal Court for the nullification and voidance of the tax credit (the “Company claim”). On August 18, 2016, the Mexican Federal Court issued a first instance resolution declaring the nullity and voidance of the tax assessment, which the tax authority appealed. On April 6, 2017, the Mexican Federal Court issued a ruling to reinstate the tax credits in dispute and ordered the tax authority to settle the tax credits. The ruling is final and unappealable. In October 2017, the security bond was released and fully recovered. (d) Other Contingencies The Company is subject to various investigations, royalties and other claims, legal, labor, and tax proceedings covering matters that arise in the ordinary course of business activities. Each of these matters is subject to various uncertainties, and it is possible that some of these matters may be resolved unfavorably for the Company. Certain conditions may exist as of the date the financial statements are issued that may result in a loss to the Company. N one of these matters is expected to have a material effect on the results of operations or financial conditions of the Company. |
Significant Accounting Polici41
Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2017 | |
Significant Accounting Policies [abstract] | |
Basis of Consolidation | (a) Basis of Consolidation These financial statements include the accounts of the Company. All significant intercompany transactions, balances, revenues, and expenses have been eliminated upon consolidation. Subsidiaries are included in the consolidated financial results of the Company from the effective date of acquisition or control and up to the effective date of disposition or loss of control. Control is achieved when the Company has power over the investee, is exposed to or has rights to variable returns from its involvement with an investee, and had the ability to affect those returns through its power over the investee. Fortuna Silver Mines In. is the ultimate parent entity of the group. At December 31, 2017, the principal subsidiaries of the Company, their geographic locations, and the ownership interests held by the Company, were as follows: Name Location 2017 Principal Activity Minera Bateas S.A.C. ("Bateas") Peru 100% Caylloma Mine Compania Minera Cuzcatlan S.A. de C.V. ("Cuzcatlan") Mexico 100% San Jose Mine Mansfield Minera S.A. ("Mansfield") Argentina 100% Mine under construction |
Foreign Currency Translation | (b) Foreign Currency Translation Transactions in foreign currencies are initially recorded in the functional currency at the exchange rate at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange at each financial position date. Foreign exchange gains or losses on translation to the functional currency of an entity are recorded in profit or loss. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rate as at the date of the initial transaction. |
Financial Instruments | (c) Financial Instruments i. Financial Assets The Company classifies all financial assets as either fair value through profit or loss (“FVTPL”), held-to-maturity (“HTM”), loans and receivables, or available-for-sale (“AFS”). The classification is determined at initial recognition and depends on the nature and purpose of the financial asset. Financial Assets at Fair Value Through Profit or Loss (“FVTPL”) Financial Assets are classified as FVTPL when the financial asset is held-for-trading or it is a designated FVTPL on initial recognition. A financial asset is classified in this category if acquired principally for the purpose of selling in the short term. Financial assets classified as FVTPL are stated at fair value with any resulting gain or loss recognized in profit or loss in the period in which they arise. Transaction costs related to financial assets classified as FVTPL are recognized immediately in profit or loss. Held-to-Maturity (“HTM”) HTM investments are recognized on a trade-date basis and are initially measured at fair value including transaction costs. The Company does not have any assets classified as HTM investments. Loans and Receivables Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. They are initially measured at fair value, net of transaction costs and are classified as current or non-current assets based on their maturity date, and subsequently measured at amortized cost, using the effective interest method, less any impairment. The impairment loss of receivables is based on a review of all outstanding amounts at each reporting period. Interest income is recognized by applying the effective interest rate. Available-For-Sale (“AFS”) AFS financial assets are non-derivatives that are either designated in this category or not classified in any of the other categories. AFS financial assets are measured at fair value, determined by published market prices in an active market, except for investments in equity instruments that do not have quoted market prices in an active market which are measured at cost. Changes in fair value are recorded in other comprehensive income (loss) until realized through disposal or impairment. Investments classified as AFS are written down to fair value through profit or loss whenever it is necessary to reflect prolonged or significant decline in the value of the assets. Realized gains and losses on the disposal of AFS securities are recognized in profit or loss. Impairment of Financial Assets Financial assets, other than those at FVTPL are assessed for indicators of impairment at each reporting period. Financial assets are impaired when there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated further cash flows of the investment have been impacted. For financial assets carried at amortized cost, the amount of the impairment is the difference between the asset’s carrying amount and the present value of the estimated future cash flows, discounted at the financial asset’s original effective interest rate. The carrying amount of all financial assets carried at amortized cost, excluding trade receivables, is directly reduced by the impairment loss. The carrying amount of trade receivables is reduced through the use of an allowed allowance. Subsequent recoveries of accounts previously written off are credited against the allowance account. Changes in the carrying amount of the allowance account are recognized in profit or loss. With the exception of AFS equity instruments, if in a subsequent period, the amount of the impairment loss decreases and the decrease relates to an event occurring after the impairment was recognized, the previously recognized impairment loss is reversed through profit or loss. On the date of impairment reversal, the carrying amount of the financial asset cannot exceed its amortized cost had an impairment not been recognized. Derecognition of Financial Assets A financial asset is derecognized when: · the contractual right of the asset’s cash flows expires; or · if the Company transfers the financial asset and substantially all risks and reward of ownership to another entity. ii. Financial Liabilities Long term debt and other financial liabilities are recognized initially at the fair value, net of transaction costs incurred, and are subsequently stated at amortized cost. Any difference between the amounts originally received (net of transaction costs) and the redemption value is recognized in profit or loss over the period to maturity using the effective interest method. iii. Derivative Instruments Derivative instruments are recorded at fair value, including those derivatives that are embedded in financial or non-financial contracts that are not closely related to the host contracts. Changes in the fair values of derivative instruments are recognized in profit or loss with the exception of derivatives designated as effective cash flow hedges. Derivatives not being accounted for as hedges are categorized as held-for-trading. Derivatives are initially recognized at fair value on the date a derivative contract is entered into and are subsequently remeasured at their fair value. Fair value of the Company’s recognized commodity-based derivatives are based on the forward prices of the associated market index. Gains or losses are recorded in profit and loss. For cash flow hedges that qualify under the hedging requirements of IAS 39 Financial Instruments: Recognition and Measurement (“IAS39”), the effective portion of any gain or loss on the hedging instrument is recognized in other comprehensive income (“OCI”) and the ineffective portion is reported as a gain (loss) on derivatives in profit or loss. Hedge accounting is discontinued prospectively when: · the hedge instrument expires or is sold, terminated, or exercised; · the hedge no longer meets the criteria for hedge accounting; and, · the Company revokes the designation. The Company considers derecognition of a cash flow hedge when the related forecast transaction is no longer expected to occur. If the Company revokes the designation, the cumulative gain or loss on the hedging instrument that has been recognized in OCI from the period when the hedge was expected to occur. Otherwise, the cumulative gain or loss on the hedge instrument that has been recognized in OCI from the period when the hedge was effective is reclassified from equity to profit or loss. Derivatives are carried as financial assets when the fair value is positive and as financial liabilities when the fair value is negative. iv. Effective Interest Method The effective interest method calculates the amortized cost of a financial instrument and allocates the interest income or expense over the corresponding period. The effective interest rate is the rate that discounts estimated future cash receipts or payments over the expected life of the financial instrument, or where appropriate, a shorter period, to the net carrying amount on initial recognition. Income or expense is recognized on an effective interest basis for instruments other than those financial instruments classified as FVTPL. |
Cash and Cash Equivalents | (d) Cash and Cash Equivalents Cash and cash equivalents are designated as loans and receivables. Cash and cash equivalents include cash on hand, demand deposits, and money market instruments with maturities from the date of acquisition of 90 days or less, which are readily convertible to known amounts of cash and are subject to insignificant changes in value. |
Inventories | (e) Inventories Inventories include metal contained in concentrates, stockpiled ore, materials and supplies. Costs allocated to metal inventories are based on average costs, which include direct mining costs, direct labor and material costs, mine site overhead, depletion and amortization. Costs allocated to materials and supplies are based on weighted average costs and include all costs of purchase and other costs in bringing these inventories to their existing location and condition. If carrying value exceeds net realizable amount, a write down is recognized. The write down may be reversed in a subsequent period if the circumstances which caused it no longer exist, to the extent that the related inventory has not been sold. Net realizable value is calculated as the estimated price at the time of sale based on prevailing metal prices less estimated future costs to convert the inventories into saleable form and estimated costs to sell. |
Investment in Associates | (f) Investment in Associates Associates are those entities in which the Company has significant influence, but not control or joint control, over the entity's financial and operating policies. Interests in associates are accounted for using the equity method. They are initially recognized at cost, which includes transaction costs. Subsequent to initial recognition, the consolidated financial statements include the Company’s share of the profit or loss and other comprehensive income of equity-accounted investees, until the date on which significant influence ceases. |
Exploration and Evaluation Assets | (g) Exploration and Evaluation Assets Significant payments related to the acquisition of land and mineral rights are capitalized as incurred. Prior to acquiring such land or mineral rights, the Company makes a preliminary evaluation to determine that the property has significant potential to develop an economic ore body. The time between initial acquisition and a full evaluation of a property’s potential is dependent on many factors including, but not limited to, location relative to existing infrastructure, the property’s stage of development, geological controls and metal prices. The Company defers the cost of acquiring, maintaining its interest and exploring mineral properties as exploration and evaluation assets when future inflow of economic benefits from the properties is probable and until such time as the properties are placed into development, abandoned, sold, or considered to be impaired in value. If a mineable ore body is discovered, exploration and evaluation costs are reclassified to mining properties. The Company uses the following criteria in its assessment: · the property has mineral reserves as referred to in Canadian National Instrument 43-101, and · when legal, permitting and social matters have been resolved sufficiently to allow mining of the body. If no mineable ore body is discovered, all previously capitalized costs are expensed in the period in which it is determined the property has no economic value. Proceeds received from the sale of interests in exploration and evaluation assets are credited to the carrying value of the mineral properties, plant and equipment. Exploration costs that do not relate to any specific property are expensed as incurred. |
Mineral Properties, and Plant and Equipment | (h) Mineral Properties, and Plant and Equipment i. Operational Mining Properties and Mine Development For operating mines, all mineral property expenditures are capitalized and amortized based on the unit-of-production method considering the expected production to be obtained over the life of the mineral property. The expected production includes proven and probable reserves and the portion of inferred resources expected to be extracted economically as part of the production cost. Costs of producing properties are amortized on a unit-of-production basis over proven and probable reserves and the portion of inferred resources where it is considered highly probable that those resources are expected to be extracted economically. The expected production to be obtained over the life of the mineral property is based on our life-of mine production plans which typically include a portion of inferred resources, and therefore differ from the life-of-mine plans we publish as part of our 43-101 compliant technical reports which are based on reserves only. The decision to use inferred resources, and the portion of inferred resources to be included varies for each operation and is based on the geological characteristics of the ore body, the quality and predictability of inferred resources, and the conversion of inferred resources into measured and indicated ("M&I") that we have historically achieved in the past. Many factors are taken into account during resource classification including; the quality of drilling and sampling, drill/sample spacing, sample preparation and analysis, geological logging and modelling, database construction, geological interpretation and modelling, statistical/geostatistical analysis, interpolation method, local estimation, engineering studies, economic parameters, and reconciliation with actual results. Once the integrity of the data has been established, two important considerations around classification of resources are geologic continuity and possible variation of thickness and grade between samples. For our inferred resources at San Jose and Caylloma we are able to achieve a significant level of confidence on the existence of mineable material as geological continuity has been established by consistent drill hole intercepts both along strike and down-dip which provides us with reasonable confidence in the location of the structures. The vast majority of the inferred resources are interpolated, estimated between existing drill hole intercepts, as opposed to extrapolated where the grades are estimated beyond the furthest sample point, adding to our confidence in the geologic continuity of the veins. Furthermore, San Jose and Caylloma are not structurally complex deposits where faulting has disrupted geologic continuity. With regards to the variation of thickness and grade between samples, we use statistical means to calculate the probability that tonnage and grade content falls within a certain accuracy over a given timeframe. If the potential variation is estimated to be within ± 25 % at 90 percent confidence globally, we classify it as an inferred resource. This is equivalent to stating that we have 95 percent confidence that greater than 75 % of the inferred tonnes, grade, and metal content will ultimately be recovered by the mine and hence that the same percentage or higher will be converted from an inferred resource to an indicated resource through infill drilling as per our policy of upgrading prior to production. As part of our process to include inferred resources into our life-of-mine production plans we apply an economic cut-off to identify only the material that can be considered profitable to mine within our mine designs and at this time we apply a conversion or “risk” factor to the mining blocks comprised of inferred resources we include in such mine production plans. This conversion factor is based on the predictability of conversion derived from statistical estimates of confidence as described above and the support from historic conversion rates of inferred resources into M&I at each of our mines. The conversion factors used in our 2017 and 2016 life-of-mine plans were 90% at San Jose and between 80% and 87% at Caylloma, depending on the veins being mined. The percentage of inferred resources included as a component of the total mineable inventory (reserve + resource) considered in the 2018 life-of-mine evaluation for each operation as of December 31, 2017, was San Jose 23% (2016 and 2015: 28% and 53% ); Caylloma 60% (2016 and 2015: 38% and 33% ) . The Company reviews the conversion factors including past experience in assessing the future expected conversion of inferred resources to be used in the life-of-mine plans for inclusion of inferred resources once a year in light of new geologic information and conversion data and when events or circumstances indicate that a review should be made. The Company continually monitors expected conversion and any changes in estimates that arise from this review are accounted for prospectively. Significant estimation is involved in determining resources and in determining the percentage of resources ultimately expected to be converted to reserves, which we determine based on careful consideration of both internal and external technical and economic data. Estimation of future conversion of resources is inherently uncertain and involves significant judgment and actual outcomes may vary from these judgments and estimates and such outcomes may have a material impact on the results. Revisions to these estimates are accounted for in the period in which the change in estimate arises. Costs of abandoned properties are written-off. Commercial Production Capital work in progress consists of expenditures for the construction of future mines and includes pre-production revenues and expenses prior to achieving commercial production. Commercial production is a convention for determining the point in time in which a mine and plant has completed the operational commissioning and has operational results that are expected to remain at a sustainable commercial level over a period of time, after which production costs are no longer capitalized and are reported as operating costs. The determination of when commercial production commences is based on several qualitative factors including but not limited to the following: · all major capital expenditures to bring the mine to the condition necessary for it to be capable of operating in the manner intended by management have been completed; and · the ability to sustain ongoing production of ore at a steady or increasing level. On the commencement of commercial production depletion of each mining property will be provided on a unit-of-production basis. Any costs incurred after the commencement of production are capitalized to the extent they give rise to a future economic benefit. ii. Plant and Equipment Completed property, plant and equipment are recorded at cost, net of accumulated depreciation and impairments. Costs directly related to construction projects are capitalized to work in progress until the asset is available for use in the manner intended by management. Assets, other than capital works in progress, are depreciated to their residual values over their estimated useful lives as follows: Land and buildings Land Not depreciated Mineral properties Units of production Declining balance Buildings, located at the mine Units of production Declining balance Buildings, others (1) 6 - 10 years Straight line Leasehold improvements (1) 4-8 years Straight line Plant and equipment Machinery and equipment (1) 3-15 years Straight line Furniture and other equipment (1) 2-13 years Straight line Transport units 4-5 years Straight line Capital work in progress Not depreciated (1) The lesser of useful life or life of mine. Equipment under finance lease is initially recorded at the present value of minimum lease payments at the inception of the lease and depreciated over the shorter of the lease term or useful life. Spare parts and components included in machinery and equipment, depending on the replacement period of the initial component, are depreciated over 8 to 18 months . Borrowing costs attributed to the construction of qualifying assets are capitalized to mineral properties, plant and equipment, and are included in the carrying amounts of related assets until the asset is available for use in the manner intended by management. Costs associated with commissioning activities on constructed plants are deferred from the date of mechanical completion of the facilities until the date the assets are ready for use in the manner intended by management. On an annual basis, the depreciation method, useful economic life, and residual value of each component asset is reviewed with any changes recognized prospectively over its remaining useful economic life. |
Asset Impairment | (i) Asset Impairment At the end of each reporting period, the Company makes an assessment of impairment indicators and if there are such indicators, then the Company performs a test of impairment. For the purpose of assessing impairment, assets are grouped at the lowest level for which there are separately identifiable cash inflows or cash generating units. These are typically individual mines or development projects. Brownfields exploration projects, located close to existing mine infrastructure, are assessed for impairment as part of the associated mine cash generating unit. An impairment loss is recognized for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less cost of disposal (“FVLCD”) and value in use. When the recoverable amount is assessed using pre-tax discounted cash flow techniques, the resulting estimates are based on detailed mine and/or production plans. For value in use, recent cost levels are considered, together with expected changes in costs are compatible with the current condition of the business. The cash flow forecasts are based on best estimates of the expected future revenues and costs, including the future cash costs of production, sustaining capital expenditures, and reclamation and closure costs. Where a FVLCD model is used the cash flow forecast includes net cash flows expected to be realized from extraction, processing, and sale of mineral resources that do not currently qualify for inclusion in proven or probable reserves and the portion of resources expected to be extracted economically. Where an impairment loss subsequently reverses, the carrying amount of the asset or cash-generating unit is increased to the revised estimate of recoverable amount but not beyond the carrying amount that would have been determined had no impairment loss been recognized for the asset or cash-generating unit in prior years. A reversal of an impairment loss is recognized into earnings immediately. |
Borrowing Costs | (j) Borrowing Costs Interest and other financing costs incurred that are attributable to acquiring and developing exploration and development stage mining properties and constructing new facilities. (“qualifying assets’) are capitalized and included in the carrying amounts of qualifying assets until those qualifying assets are ready for their intended use. Capitalization of borrowing costs incurred commences on the date the following three conditions are met: · expenditures for the qualifying asset are being incurred; · borrowing costs are being incurred; and, · activities that are necessary to prepare the qualifying asset for its intended use are being undertaken. Borrowing costs incurred after the qualifying assets are ready for their intended use are expensed in the period in which they are incurred. Transaction costs, comprised of legal fees and upfront commitment fee, associated with the credit facility for general working capital and for future capital projects are recorded as a debit to the bank loan and are amortized over the term of the credit facility using the effective interest rate method. All other borrowing costs are expensed in the period in which they are incurred. |
Assets Held for Sale | (k) Assets Held for Sale A non-current asset is classified as held for sale when it meets the following critieria: · The non-current asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets; and, · The sale of the non-current asset is highly probable. For the sale to be highly probable: o The appropriate level of management must be committed to a plan to sell the asset; o An active program to locate a buyer and complete the plan must have been initiated; o The non-current asset or disposal group must be actively marketed for sale at a price that is reasonable in relation to its current fair value; o The sale should be expected to qualify for recognition as a completed sale within one year from the date of classification as held for sale (with certain exceptions); and o Actions required to complete the plan should indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. Assets held for sale are not depreciated and are recorded at the lower of their carrying amount and fair value less costs to sell. |
Leases | (l) Leases A lease is classified as a finance lease when substantially all of the risks and rewards incidental to ownership of the leased asset are transferred from the lessor to the lessee by the agreement. At the commencement of the lease term, finance leases are recognized as assets and liabilities at the lower of the fair value of the leased asset and the present value of the minimum lease payments. The assets are depreciated over the shorter of the asset’s useful lives and the term of the lease. Interest on the lease instalments is recognized as interest expense over the lease term using the effective interest method. Leases for land and buildings are recorded separately if the lease payments can be allocated accordingly. Leases that do not transfer all the risks and rewards of ownership are classified as operating leases. Payments are recorded in profit or loss using the straight line method over their estimated useful lives. |
Income Taxes | (m) Income Taxes Income tax expense consists of current and deferred tax expense. Current tax expense is the expected tax payable on the taxable income for the year using tax rates enacted or substantively enacted at period end adjusted for amendments to tax payable with regards to previous years. Deferred tax assets and liabilities are recognized for deferred tax consequences attributable to unused tax loss carry forwards, unused tax credits, and differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using the enacted or substantively enacted tax rates expected to apply when the asset is realized or the liability is settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in profit or loss in the period that substantive enactment occurs. A deferred tax asset is recognized to the extent that it is probable that future taxable income will be available against which the asset can be utilized. To the extent that the Company does not consider it probable that a deferred tax asset will be recovered, the deferred tax asset is reduced. The following temporary differences do not result in deferred tax assets or liabilities: · the initial recognition of assets or liabilities, not arising in a business combination, that does not affect accounting or taxable income; · goodwill; and · investments in subsidiaries, associates and jointly controlled entities where the timing of reversal of the temporary differences can be controlled and reversal in the foreseeable future is not probable. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities, and when they relate to income taxes levied by the same taxation authority and the Company intends to settle its current tax assets and liabilities on a net basis. |
Provisions | (n) Provisions i. Closure and Rehabilitation Provisions Future obligations to retire an asset, including dismantling, remediation and ongoing treatment and monitoring of the site related to normal operation are initially recognized and recorded as a liability based on estimated future cash flows discounted at the risk-free rate. The closure and reclamation provision (“CRP”) is adjusted at each reporting period for changes to the expected amount of cash flows required to discharge the liability, the timing of such cash flows and the risk-free discount rate. The liability is accreted to full value over time through periodic charges to profit or loss. The amount of the CRP initially recognized is capitalized as part of the related asset’s carrying value and amortized to profit or loss. The method of amortization follows that of the underlying asset. The costs related to a CRP are only capitalized to the extent that the amount meets the definition of an asset and can bring about future economic benefit. For a closed site or where the asset which generated a CRP no longer exists, there is no longer future benefit related to the costs and as such, the amounts are expensed. For operating sites, a revision in estimates or a new disturbance will result in an adjustment to the CRP with an offsetting adjustment to the capitalized closure and rehabilitation costs. ii. Environmental Disturbance Restoration Provisions During the operating life of an asset, events such as infractions of environmental laws or regulations may occur. These events are not related to the normal operation of the asset and are referred to as environmental disturbance restoration provisions (“EDRP”). The costs associated with an EDRP are accrued and charged to earnings in the period in which the event giving rise to the liability occurs. Any subsequent adjustments to an EDRP due to changes in estimates are also charged to earnings in the period of adjustment. These costs are not capitalized as part of the long-lived asset’s carrying value. iii. Other Provisions Provisions are recognized when a present legal or constructive obligation exists as a result of past events, and it is probable that an outflow of resources that can be reliably estimated will be required to settle the obligation. Where the effect of the time value of money is material the provision is discounted using an appropriate current market based pre-tax discount rate. |
Share Capital | (o) Share Capital Common shares are classified as equity. Costs directly attributable to the issuance of common share are shown in equity as a deduction from the proceeds. |
Revenue Recognition | (p) Revenue Recognition Revenue arising from the sale of metal concentrates is recognized when all significant risks and rewards of ownership of the concentrates have been transferred to the buyer. The passing of risk and rewards to the customer is based on the terms of the sales contract. Final commodity prices are set in a period subsequent to the date of sale based on a specified quotational period either one, two, or three months after delivery. The Company’s metal concentrates are provisionally priced at the time of sale based on the prevailing market price. Variations between the price recorded at the delivery date and the final price set under the sales contracts are caused by changes in market prices, and result in an embedded derivative in accounts receivable. The embedded derivative is recorded at fair value each period until final settlement occurs, with changes in fair value classified as provisional price adjustments and included in sales in the consolidated income statement. Sales of metal concentrates are net of refining and treatment charges. Revenues from metal concentrate sales are also subject to adjustment upon final settlement of weights and assays as of a date that is typically one, two, or three months after the delivery date. Typically, the adjustment is based on an inspection of the concentrate by the customer and in certain cases, an inspection by a third party. Adjustments for weights and assays are recorded when results are determinable or on final settlement. |
Share-Based Payments | (q) Share-Based Payments The fair value method of accounting is used for share-based payment transactions. Under this method, the cost of stock options and other equity-settled share-based payment arrangements are recorded based on the estimated fair value at the grant date and charged to earnings over the vesting period. Where awards are forfeited because non-market based vesting conditions were not satisfied, the expense previously recognized are reversed in the period the forfeiture occurs. Share-based payment expenses relating to cash-settled awards, including deferred and restricted share units are accrued and expensed over the vesting period based on the quoted market value of Company’s common shares. As these awards will be settled in cash, the expense and liability are adjusted at each reporting period for changes in the underlying share price. Equity settled share-based payment transactions with parties other than employees are measured at the fair value of the goods or services received, except where that fair value cannot be estimated reliably, in which case they are measured at the fair value of the equity instruments granted, measured at the date the Company obtains the goods or the counter party renders the services. i. Stock Option Plan The Company applies the fair value method of accounting for all stock option awards. Under this method, the Company recognizes a compensation expense for all stock options awarded to employees, based on the fair value of the options on the date of grant which is determined by using the Black-Scholes option pricing model. The fair value of the options is expensed over the graded vesting period of the options ii. Deferred Share Unit (“DSU”) Plan Deferred share units are typically granted to non-executive directors of the Company. They are payable in cash upon resignation, retirement, removal, failure to achieve re-election, or upon a change of control of the Company. The DSU compensation liability is accounted for based on the number of DSUs outstanding and the quoted market value of the Company’s common shares at the financial position date. The year-over-year change in the DSU compensation liability is recognized in profit or loss. iii. Share Unit Plans The Company’s amended and restated share unit plan (the “SU Plan”) covers all restricted share units (“RSUs”) and performance share unites (“PSUs”) granted by the Company on and after March 1, 2015. All RSUs granted prior to March 1, 2015 are governed by the restricted share unit plan dated November 12, 2010. Restricted Share Units (“RSUs”) The Company’s RSUs are settled in either cash or equity, as determined by the Company’s Board of Directors at the grant date and typically vest over three years , in tranches of 20% , 30% , and 50% . For cash-settled RSUs the compensation liability is accounted for based on the number of RSUs outstanding and the quoted market value of the Company’s common shares at the financial position date. The Company recognizes a compensation cost in profit or loss for cash settled RSUs granted equal to the quoted market value of the Company’s common shares at the date of which RSUs are awarded to each participant over the vesting period on a graded vesting basis and adjusts for the changes in the fair value until the end of the term of the RSUs. The cumulative effect of the change in fair value is recognized in profit or loss in the period of change. The fair value of equity settled RSUs are determined based on the quoted market value of the Company’s common shares at the date of grant and the compensation expense is recognized over the vesting period on a graded vesting basis with a corresponding amount recorded as reserves. Performance Share Units (“PSUs”) Performance Share Units ("PSUs") are performance-based awards for the achievement of specified performance metrics by specified deadlines, which are settled in cash and vest over a three -year period in tranches of 20% , 30% and 50% . The Company’s PSUs are settled in cash. The fair value of the estimated number of PSUs awarded that will eventually vest, determined as the date of grant is recognized as share-based payments expense within selling, general and administrative expenses in the consolidated income statement over the vesting period with a corresponding amount recorded as a liability. Until the liability is settled, the fair value of the PSUs is re-measured at the end of each reporting period. Any changes in fair value up to the settlement date are recognized as share-based payments expense or recovery. The fair value of PSUs is estimated for each PSUs granted equal to the quoted market value, up to a maximum of two times the grant price of the Company’s common shares. PSUs for which the performance metrics have not been achieved are forfeited and cancelled. |
Related Party Transactions | (r) Related Party Transactions Parties are considered to be related if one party has the ability directly, or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered to be related if they are subject to common control. Related parties may be individuals or corporate entities, and include key management personnel of the Company. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. |
Earnings per Share | (s) Earnings per Share Basic earnings per share is computed by dividing the net income for the year by the weighted average number of common shares outstanding during the year. The diluted earnings per share calculation is based on the weighted average number of common shares outstanding during the year, plus the effects of dilutive common share equivalents. This method requires that the dilutive effect of outstanding options issued should be calculated using the treasury stock method. This method assumes that all common share equivalents have been exercised at the beginning of the year (or at the time of issuance, if later), and that the funds obtained thereby were used to purchase common shares of the Company at the average trading price of the common shares during the year, but only if dilutive. |
Segment Reporting | (t) Segment Reporting The Company’s operating segments are based on the reports reviewed by the senior management group that are used to make strategic decisions. The Chief Executive Officer, as chief operating decision maker, considers the business from a geographic perspective considering the performance of the Company’s business units. A geographical segment is a distinguishable component of the entity that is engaged in providing products or services within a particular economic environment and is subject to risks and returns that are different than those of segments operating in other economic environments. The business operations comprise the mining and processing of silver-lead, zinc, and silver-gold and the sale of these products. |
Significant Accounting Estimates and Judgements | (u) Significant Accounting Estimates and Judgements The preparation of these financial statements requires management to make estimates and judgements that affect the reported amounts of assets and liabilities at the period end date and reported amounts of expenses during the reporting period. Such judgements and estimates are, by their nature, uncertain. Actual outcomes could differ from these estimates. The impacts of such judgements and estimates are pervasive throughout the financial statements, and may require accounting adjustments based on future occurrences. Revisions to accounting estimates are recognized in the period in which the estimate is revised and are accounted for prospectively. In preparing these consolidated financial statements for the year ended December 31, 2017, the Company applied the critical judgements and estimates as disclosed in note 4. |
Adoption of New Accounting Standards and those issued but not yet effective | (v) Adoption of New Accounting Standards The following standards or amendments were adopted effective January 1, 2017. They had no significant impact on the financial position, results of operations, or cash flows of the Company previously reported. Amendments to IAS 12 , Recognition of Deferred Tax Assets for Unrealized Losse s . On January 19, 2016, the IASB issued amendments to IAS 12 to clarify how to account for deferred tax assets related to debt instruments measured at fair value. The Company applied this amendment on January 1, 2017 with no change to the condensed consolidated financial statements. Amendments to IAS 7 , S tatement of Cash Flow , Disclosure Initiative. On January 29, 2016, the IASB issued amendments to IAS 7 to provide investors with additional information to better understand changes in financial liabilities arising from both cash and non-cash items. The Company applied this amendment on January 1, 2017 . As a result of applying this amendment, the Company presents new disclosures relating to the changes in financial liabilities arising from financing activities (Note 33). |
Comparative figures | (x) Comparative figures Certain comparative figures have been reclassified to conform to the presentation adopted for the year ended December 31, 2017. |
Use of Judgements and Estimat42
Use of Judgements and Estimates (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Use of Judgements and Estimates [abstract] | |
Critical Accounting Estimates and Assumptions | (a) Critical Accounting Estimates and Assumptions Many of the amounts included in the consolidated financial statements require management to make judgements and/or estimates. These judgements and estimates are continuously evaluated and are based on management’s experience and knowledge of the relevant facts and circumstances. Areas where critical accounting estimates and assumptions have the most significant effect on the amounts recognized in the consolidated financial statements include: Mineral Reserves and Resources and the Life of Mine Plan We estimate our mineral reserves and mineral resources in accordance with the Canadian Securities Administrators National Instrument 43-101 Standards of Disclosure for Mineral Projects requirements. Estimates of the quantities of the mineral reserves and mineral resources fr om the basis for our life of mine plans, which are used for the calculation of depletion expense under the units of production method, impairment tests, and forecasting the timing of the payments related to the environmental rehabilitation provision. Significant estimation is involved in determining the reserves and resources included within our life of mine plans. Changes in forecast prices of commodities, exchange rates, production costs or recovery rates may result in our life of mine plan being revised and such changes could impact depletion rates, asset carrying values and our environmental rehabilitation provision. As at December 31, 2017 we have used the following long term prices for our reserve and resource estimations : Gold $1,250 /oz, Silver $19 /oz, Lead $2,200 /t and Zinc $2,500 /t. In addition to the estimates above, estimation is involved in determining the percentage of resources ultimately expected to be converted to reserves and hence included in our life of mine plans. Our life of mine plans include a portion of inferred resources as we believe this provides a better estimate of the expected life of mine for certain type s of deposits, in particular for vein type structures. The percentage of inferred resources out of the total tonnage included in the life of mine plans is based on site specific geological, technical, and economic considerations. Estimation of future conversion of resources is inherently uncertain and involves judgement and actual outcomes may vary from these judgements and estimates and such changes could have a material impact on the financial results. Some of the key judgements of the estimation process include geological continuity , stationarity in the grades within defined domains , reasonable geotechnical and metallurgical conditions , treatment of outlier (extreme) values , cut-off grade determination and the establishment of geostatistical and search parameters. Revisions to these estimates are account ed for prospectively in the period in which the change in estimate arises. See note 3 (g)(i). Valuation of Mineral Properties and Exploration Properties The Company carries its mineral properties at cost less accumulated depletion and any accumulated provision for impairment. The costs of each property and related capitalized expenditures are depleted over the economic life of the property on a units-of-production basis. Costs are charged to the consolidated statement of income (loss) when a property is abandoned or when there is a recognized impairment in value. The Company undertakes a review of the carrying values of mining properties and related expenditures whenever events or changes in circumstances indicate that their carrying values may exceed their estimated net recoverable amounts determined by reference to estimated future operating results and discounted net cash flows. Where previous impairment has been recorded the Company analyzes any impairment reversal indicators. An impairment loss is recognized when the carrying value of those assets is not recoverable. In undertaking this review, management of the Company is required to make significant estimates of, amongst other things, future production and sales volumes, metal prices, foreign exchange rates , m ineral r esource and r eserve quantities, future operating and capital costs to the end of the mine’s life , and reclamation costs. These estimates are subject to various risks and uncertainties which may ultimately have an effect on the expected recoverability of the carrying values of the mining properties and related expenditures. The Company, from time to time, acquires exploration and development properties. When properties are acquired, the Company must determine the fair value attributable to each of the properties. When the Company conducts exploration on a mineral property and the results from the exploration do not support the carrying value, the property is written down to its new fair value which could have a material effect on the consolidated statement of financial position and the consolidated statement of income (loss). Reclamation and Other Closure Provisions The Company has obligations for reclamation and other closure activities related to its mining properties. The future obligations for mine closure activities are estimated by the Company using mine closure plans or other similar studies which outline the requirements that will be carried out to meet the obligations. Because the obligations are dependent on the laws and regulations of the countries in which the mines operate, the requirements could change as a result of amendments in the laws and regulations relating to environmental protection and other legislation affecting resource companies. As the estimate of the obligations is based on future expectations, a number of estimates and assumptions are made by management in the determination of closure provisions. Revenue Recognition Revenue from the sale of concentrate is recorded at the time the risks and rewards of ownership pass to the buyer using monthly average metal prices on the expected date of final settlement at which time the final sale prices will be fixed. Variations between the prices at initial recognition and final settlement may occur due to changes in the market metal prices and result in an embedded derivative in the accounts receivable. The embedded derivative is recorded at fair value each period until final settlement occurs with changes in the fair value classified as revenue. For changes in metal quantities upon receipt of new information and assay, the provisional sale quantities are adjusted. Contingencies Contingencies can be either possible assets or possible liabilities arising from past events which, by their nature, will only be resolved when one or more future events not within our control occur or fail to occur. The assessment of such contingencies inherently involves the exercise of significant judgement and estimates of the outcome of future events. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings or regulatory or government actions that may negatively impact our business or operations, the Company with assistance from its legal counsel evaluates the perceived merits of any legal proceedings or unasserted claims or actions. A liability is recognized in the consolidated financial statements when the outcome of the legal proceedings is probable and the estimated settlement amount can be estimated reliably. Contingent assets are not recognized in the consolidated financial statements until virtually certain. |
Critical Accounting Judgements in Applying the Entity's Accounting Policies | (b) Critical Accounting Judgements in Applying the Entity’s Accounting Policies Judgements that have the most significant effect on the amounts recognized in the Company’s consolidated financial statements are as follows: Income Taxes Deferred tax assets and liabilities are determined based on differences between the financial statement carrying values of assets and liabilities and their respective income tax bases (“temporary differences”) and losses carried forward. The determination of the ability of the Company to utilize tax loss carry-forwards to offset deferred tax liabilities requires management to exercise judgement and make certain assumptions about the future performance of the Company. Management is required to assess whether it is “probable” that the Company will benefit from these prior losses and other deferred tax assets. Changes in economic conditions, metal prices and other factors could result in revisions to the estimates of the benefits to be realized or the timing of utilization of the losses. Assessment of Impairment and Reversal of Impairment Indicators Management applies significant judgement i n assessing whether indicators of impairment or revers al of impairment exist for an asset or a group of assets which could result in a testing for impairment. Internal and external factors such as significant changes in the use of the asset, commodity prices, life of mines, tax laws or regulations in the countries that our mines operate in and interest rates are used by management in determining whether there are any indicators of impairment or reversal of previous impairments. Functional Currency The functional currency for the Company and its subsidiaries is the currency of the primary economic environment in which each operates. The Company has determined that its functional currency and that of its subsidiaries is the U.S. dollar. The determination of functional currency may require certain judgements to determine the primary economic environment. The Company reconsiders the functional currency used when there is a change in the events and conditions which determined the primary economic environment. |
Significant Accounting Polici43
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Significant Accounting Policies [abstract] | |
Disclosure of subsidiaries | Fortuna Silver Mines In. is the ultimate parent entity of the group. At December 31, 2017, the principal subsidiaries of the Company, their geographic locations, and the ownership interests held by the Company, were as follows: Name Location 2017 Principal Activity Minera Bateas S.A.C. ("Bateas") Peru 100% Caylloma Mine Compania Minera Cuzcatlan S.A. de C.V. ("Cuzcatlan") Mexico 100% San Jose Mine Mansfield Minera S.A. ("Mansfield") Argentina 100% Mine under construction |
Schedule Related to Property, Plant and Equipment | Machinery and equipment Land, buildings and leasehold improvements Furniture and other equipment Transport units Equipment under finance lease Capital work in progress Total COST Balance, January 1, 2017 $ 57,685 $ 132,067 $ 15,848 $ 1,095 $ 7,810 $ 941 $ 215,446 Additions 3,290 276 726 108 - 10,812 15,212 Disposals (3,461) (1,184) (3,006) (110) (515) (730) (9,006) Reclassifications 4,703 579 (7,253) 70 - 1,898 (3) Balance, December 31, 2017 $ 62,217 $ 131,738 $ 6,315 $ 1,163 $ 7,295 $ 12,921 $ 221,649 ACCUMULATED IMPAIRMENT Balance, January 1, 2017 $ 3,776 $ 16,154 $ 2,365 $ - $ 475 $ - $ 22,770 Disposals (1) - - - (75) - (76) Impairment reversal (note 14) (3,775) (16,154) (2,365) - (400) - (22,694) Balance, December 31, 2017 $ - $ - $ - $ - $ - $ - $ - ACCUMULATED DEPRECIATION Balance, January 1, 2017 $ 17,864 $ 33,479 $ 6,748 $ 576 $ 3,146 $ - $ 61,813 Disposals (2,549) (448) (1,507) (101) (440) - (5,045) Reclassifications 3,907 - (3,920) 13 - - - Impairment reversal (note 14) 2,449 6,484 1,253 - 251 - 10,437 Depreciation 5,899 12,838 1,316 174 553 - 20,780 Balance, December 31, 2017 $ 27,570 $ 52,353 $ 3,890 $ 662 $ 3,510 $ - $ 87,985 NET BOOK VALUE, December 31, 2017 $ 34,647 $ 79,385 $ 2,425 $ 501 $ 3,785 $ 12,921 $ 133,664 Machinery and equipment Buildings and leasehold improvements Furniture and other equipment Transport units Equipment under finance lease Capital work in progress Total COST Balance, January 1, 2016 $ 28,462 $ 94,872 $ 15,476 $ 711 $ 5,215 $ 38,792 $ 183,528 Acquisition of subsidiary 6,954 - - - - - 6,954 Additions 1,627 258 368 181 2,013 21,849 26,296 Disposals (211) - (106) (64) (75) - (456) Reclassifications 20,853 36,937 110 267 657 (59,700) (876) Balance, December 31, 2016 $ 57,685 $ 132,067 $ 15,848 $ 1,095 $ 7,810 $ 941 $ 215,446 ACCUMULATED IMPAIRMENT Balance, January 1, 2016 $ 3,784 $ 16,154 $ 2,405 $ - $ 483 $ - $ 22,826 Disposals (8) - (40) - (8) - (56) Balance, December 31, 2016 $ 3,776 $ 16,154 $ 2,365 $ - $ 475 $ - $ 22,770 ACCUMULATED DEPRECIATION Balance, January 1, 2016 $ 14,816 $ 24,466 $ 4,387 $ 505 $ 2,845 $ - $ 47,019 Disposals (199) - (64) (60) (67) - (390) Reclassifications 12 2 (14) - - - - Depreciation 3,235 9,011 2,439 131 368 - 15,184 Balance, December 31, 2016 $ 17,864 $ 33,479 $ 6,748 $ 576 $ 3,146 $ - $ 61,813 NET BOOK VALUE, December 31, 2016 $ 36,045 $ 82,434 $ 6,735 $ 519 $ 4,189 $ 941 $ 130,863 |
Short Term Investments (Tables)
Short Term Investments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Short Term Investments [abstract] | |
Schedule of Short Term Investments | December 31, December 31, 2017 2016 Term deposits and similar instruments $ 29,500 $ 41,100 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Marketable Securities [abstract] | |
Schedule of Marketable Securities | December 31, December 31, 2017 2016 Common shares of Medgold Resources Corp. $ - $ 1,266 Warrants of Medgold Resources Corp. - 313 Common shares of Prospero Silver Corp. 555 - Warrants of Prospero Silver Corp. 1 - $ 556 $ 1,579 |
Investments in Associate (Table
Investments in Associate (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Investments in Associate [abstract] | |
Disclosure of Associates | Medgold shares and warrants presented as marketable securities, January 1, 2017 $ 1,579 Cash paid upon exercise of warrants 1,372 Fair value adjustments prior to February 7, 2017 (65) Balance of Medgold investment at February 7, 2017 2,886 Share of Medgold's loss for the period February 7, 2017 to December 31, 2017 (192) Balance at December 31, 2017 $ 2,694 |
Accounts and Other Receivables
Accounts and Other Receivables (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounts and Other Receivables [abstract] | |
Schedule of Trade and Other Receivables | December 31, December 31, 2017 2016 Trade receivables from concentrate sales $ 34,250 $ 23,185 Advances and other receivables 1,249 1,095 Value added taxes recoverable 871 707 Accounts and other receivables $ 36,370 $ 24,987 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Inventories [abstract] | |
Schedule of Inventories | December 31, December 31, 2017 2016 Concentrate stockpiles $ 2,594 $ 1,285 Ore stockpiles 4,144 2,659 Materials and supplies 11,015 9,628 Inventories $ 17,753 $ 13,572 |
Derivative Assets and Derivat49
Derivative Assets and Derivative Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Assets and Derivative Liabilities [abstract] | |
Schedule of Derivative Assets and Liabilities | December 31, December 31, Assets 2017 2016 Interest rate swap $ 140 $ - Commodity derivative contracts - 973 Derivative assets $ 140 $ 973 Liabilities Interest rate swap $ - $ 254 Commodity derivative contracts 2,328 - Derivative liabilities $ 2,328 $ 254 |
Schedule of Derivative Gain (Loss) Settled and Open Positions | The following table summarizes the gains (losses) from the settlement of and the open positions for the zinc and lead forward sales contracts as at December 3 1 , 2017: December 31, December 31, 2017 2016 Realized Zinc Contracts Tonnes settled 7,803 - Average settlement price per tonne $ 2,894 $ - Settlement gains (losses) $ (1,521) $ - Lead Contracts Tonnes settled 4,465 - Average settlement price per tonne $ 2,361 $ - Settlement gains (losses) $ 19 $ - Unrealized Zinc Contracts Open positions - tonnes 6,500 7,803 Price per tonne $ 2,500 - 3,190 $ 2,650 - 2,750 Unrealized gains (losses) $ (2,957) $ 973 Lead Contracts Open positions - tonnes 6,000 - Price per tonne $ 2,100 - 2,689 $ - Unrealized gains (losses) $ (344) $ - |
Mineral Properties and Explor50
Mineral Properties and Exploration and Evaluation Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Schedule Related to Property, Plant and Equipment | Machinery and equipment Land, buildings and leasehold improvements Furniture and other equipment Transport units Equipment under finance lease Capital work in progress Total COST Balance, January 1, 2017 $ 57,685 $ 132,067 $ 15,848 $ 1,095 $ 7,810 $ 941 $ 215,446 Additions 3,290 276 726 108 - 10,812 15,212 Disposals (3,461) (1,184) (3,006) (110) (515) (730) (9,006) Reclassifications 4,703 579 (7,253) 70 - 1,898 (3) Balance, December 31, 2017 $ 62,217 $ 131,738 $ 6,315 $ 1,163 $ 7,295 $ 12,921 $ 221,649 ACCUMULATED IMPAIRMENT Balance, January 1, 2017 $ 3,776 $ 16,154 $ 2,365 $ - $ 475 $ - $ 22,770 Disposals (1) - - - (75) - (76) Impairment reversal (note 14) (3,775) (16,154) (2,365) - (400) - (22,694) Balance, December 31, 2017 $ - $ - $ - $ - $ - $ - $ - ACCUMULATED DEPRECIATION Balance, January 1, 2017 $ 17,864 $ 33,479 $ 6,748 $ 576 $ 3,146 $ - $ 61,813 Disposals (2,549) (448) (1,507) (101) (440) - (5,045) Reclassifications 3,907 - (3,920) 13 - - - Impairment reversal (note 14) 2,449 6,484 1,253 - 251 - 10,437 Depreciation 5,899 12,838 1,316 174 553 - 20,780 Balance, December 31, 2017 $ 27,570 $ 52,353 $ 3,890 $ 662 $ 3,510 $ - $ 87,985 NET BOOK VALUE, December 31, 2017 $ 34,647 $ 79,385 $ 2,425 $ 501 $ 3,785 $ 12,921 $ 133,664 Machinery and equipment Buildings and leasehold improvements Furniture and other equipment Transport units Equipment under finance lease Capital work in progress Total COST Balance, January 1, 2016 $ 28,462 $ 94,872 $ 15,476 $ 711 $ 5,215 $ 38,792 $ 183,528 Acquisition of subsidiary 6,954 - - - - - 6,954 Additions 1,627 258 368 181 2,013 21,849 26,296 Disposals (211) - (106) (64) (75) - (456) Reclassifications 20,853 36,937 110 267 657 (59,700) (876) Balance, December 31, 2016 $ 57,685 $ 132,067 $ 15,848 $ 1,095 $ 7,810 $ 941 $ 215,446 ACCUMULATED IMPAIRMENT Balance, January 1, 2016 $ 3,784 $ 16,154 $ 2,405 $ - $ 483 $ - $ 22,826 Disposals (8) - (40) - (8) - (56) Balance, December 31, 2016 $ 3,776 $ 16,154 $ 2,365 $ - $ 475 $ - $ 22,770 ACCUMULATED DEPRECIATION Balance, January 1, 2016 $ 14,816 $ 24,466 $ 4,387 $ 505 $ 2,845 $ - $ 47,019 Disposals (199) - (64) (60) (67) - (390) Reclassifications 12 2 (14) - - - - Depreciation 3,235 9,011 2,439 131 368 - 15,184 Balance, December 31, 2016 $ 17,864 $ 33,479 $ 6,748 $ 576 $ 3,146 $ - $ 61,813 NET BOOK VALUE, December 31, 2016 $ 36,045 $ 82,434 $ 6,735 $ 519 $ 4,189 $ 941 $ 130,863 |
Mineral Properties and Exploration and Evaluation Assets [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Schedule Related to Property, Plant and Equipment | Depletable Not depleted Caylloma San Jose Lindero Other Total COST Balance, January 1, 2017 $ 100,630 $ 151,259 $ 130,590 $ 1,844 $ 384,323 Additions 10,599 13,888 9,234 2,508 36,229 Change in rehabilitation provision 1,448 (931) 301 - 818 Disposals - - - (202) (202) Reclassifications (8) (18) 29 - 3 Balance, December 31, 2017 $ 112,669 $ 164,198 $ 140,154 $ 4,150 $ 421,171 ACCUMULATED IMPAIRMENT Balance, January 1, 2017 $ 31,900 $ - $ - $ - $ 31,900 Impairment reversal (note 14) (31,900) - - - (31,900) Balance, December 31, 2017 $ - $ - $ - $ - $ - ACCUMULATED DEPLETION Balance, January 1, 2017 $ 42,059 $ 46,829 $ - $ - $ 88,888 Impairment reversal (note 14) 13,038 - - - 13,038 Depletion 5,956 16,677 - - 22,633 Balance, December 31, 2017 $ 61,053 $ 63,506 $ - $ - $ 124,559 NET BOOK VALUE, December 31, 2017 $ 51,616 $ 100,692 $ 140,154 $ 4,150 $ 296,612 Depletable Not depleted Caylloma San Jose Lindero Other Total COST Balance, January 1, 2016 $ 92,973 $ 136,666 $ - $ 1,533 $ 231,172 Acquisition of subsidiary - - 128,687 - 128,687 Additions 7,060 14,643 1,795 942 24,440 Change in rehabilitation provision 597 (414) 108 - 291 Disposals - (512) - (631) (1,143) Reclassifications - 876 - - 876 Balance, December 31, 2016 $ 100,630 $ 151,259 $ 130,590 $ 1,844 $ 384,323 ACCUMULATED IMPAIRMENT Balance, January 1, 2016 $ 31,900 $ - $ - $ - $ 31,900 Balance, December 31, 2016 $ 31,900 $ - $ - $ - $ 31,900 ACCUMULATED DEPLETION Balance, January 1, 2016 $ 37,552 $ 33,000 $ - $ - $ 70,552 Depletion 4,507 13,829 - - 18,336 Balance, December 31, 2016 $ 42,059 $ 46,829 $ - $ - $ 88,888 NET BOOK VALUE, December 31, 2016 $ 26,671 $ 104,430 $ 130,590 $ 1,844 $ 263,535 |
Northwest Nevada Initiative [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Schedule Related to Property, Plant and Equipment | Balance, December 31, 2016 $ 200 Exploration expenditures during the year 1,410 1,610 Less: charged to exploration expenses (1,301) Less: transferred to accounts receivable (109) 200 Less: write-off (200) Balance December 31, 2017 $ - |
Lindero Project [member] | Mineral Properties and Exploration and Evaluation Assets [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Schedule of Considerations Paid and Estimates of Fair Value of Assets and Liabilties Nonbusiness Combination | The following summarizes the consideration paid and estimates of fair value of assets acquired and liabilities assumed: Consideration: 14,569,045 common shares of the Company $ 122,813 1,514,677 warrants 7,401 Costs of the transaction 8,226 Cash of Goldrock received (528) Costs of the transaction paid by Goldrock prior to closing (2,822) 4,876 $ 135,090 Assets acquired and liabilities assumed: Accounts receivable $ 249 Machinery and Equipment 6,954 Accounts payable (700) Closure and rehabilitation provisions (100) Lindero Gold Project 128,687 $ 135,090 The cash used for the purchase of the Lindero Gold Project was as follows: Total consideration $ 135,090 less: Non-cash issuance of common shares (122,813) less: Non-cash issuance of warrants (7,401) $ 4,876 Comprising: Cash transaction costs $ 5,404 less: Cash of Goldrock received (528) $ 4,876 |
Reversal of Impairment (Table)
Reversal of Impairment (Table) | 12 Months Ended |
Dec. 31, 2017 | |
Impairment Reversal [abstract] | |
Schedule of Metal Prices Assumptions Used for Impairment Determination | For the year ended December 31, 2017, the Company's impairment testing incorporated the following key assumptions in addition to the increase in the estimated life of the mine: a) Weighted average cost of capital As at December 31, 2017 , projected cash flows were discounted using a real after-tax discount rate of 4.1% which represented the estimated weighted average cost of capital. b) Metal Price assumptions Metal Price Assumptions 2018 2019 2020 2021 2022 -2025 Silver price ($ per ounce) $ 17.56 $ 18.44 $ 19.00 $ 19.00 $ 18.40 Gold price ($ per ounce) $ 1,300 $ 1,300 $ 1,342 $ 1,325 $ 1,325 Lead price ($ per tonne) $ 2,469 $ 2,403 $ 2,315 $ 2,205 $ 2,205 Zinc price ($ per tonne) $ 3,175 $ 3,031 $ 2,756 $ 2,756 $ 2,425 |
Plant and Equipment (Tables)
Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Plant and Equipment [abstract] | |
Schedule Related to Property, Plant and Equipment | Machinery and equipment Land, buildings and leasehold improvements Furniture and other equipment Transport units Equipment under finance lease Capital work in progress Total COST Balance, January 1, 2017 $ 57,685 $ 132,067 $ 15,848 $ 1,095 $ 7,810 $ 941 $ 215,446 Additions 3,290 276 726 108 - 10,812 15,212 Disposals (3,461) (1,184) (3,006) (110) (515) (730) (9,006) Reclassifications 4,703 579 (7,253) 70 - 1,898 (3) Balance, December 31, 2017 $ 62,217 $ 131,738 $ 6,315 $ 1,163 $ 7,295 $ 12,921 $ 221,649 ACCUMULATED IMPAIRMENT Balance, January 1, 2017 $ 3,776 $ 16,154 $ 2,365 $ - $ 475 $ - $ 22,770 Disposals (1) - - - (75) - (76) Impairment reversal (note 14) (3,775) (16,154) (2,365) - (400) - (22,694) Balance, December 31, 2017 $ - $ - $ - $ - $ - $ - $ - ACCUMULATED DEPRECIATION Balance, January 1, 2017 $ 17,864 $ 33,479 $ 6,748 $ 576 $ 3,146 $ - $ 61,813 Disposals (2,549) (448) (1,507) (101) (440) - (5,045) Reclassifications 3,907 - (3,920) 13 - - - Impairment reversal (note 14) 2,449 6,484 1,253 - 251 - 10,437 Depreciation 5,899 12,838 1,316 174 553 - 20,780 Balance, December 31, 2017 $ 27,570 $ 52,353 $ 3,890 $ 662 $ 3,510 $ - $ 87,985 NET BOOK VALUE, December 31, 2017 $ 34,647 $ 79,385 $ 2,425 $ 501 $ 3,785 $ 12,921 $ 133,664 Machinery and equipment Buildings and leasehold improvements Furniture and other equipment Transport units Equipment under finance lease Capital work in progress Total COST Balance, January 1, 2016 $ 28,462 $ 94,872 $ 15,476 $ 711 $ 5,215 $ 38,792 $ 183,528 Acquisition of subsidiary 6,954 - - - - - 6,954 Additions 1,627 258 368 181 2,013 21,849 26,296 Disposals (211) - (106) (64) (75) - (456) Reclassifications 20,853 36,937 110 267 657 (59,700) (876) Balance, December 31, 2016 $ 57,685 $ 132,067 $ 15,848 $ 1,095 $ 7,810 $ 941 $ 215,446 ACCUMULATED IMPAIRMENT Balance, January 1, 2016 $ 3,784 $ 16,154 $ 2,405 $ - $ 483 $ - $ 22,826 Disposals (8) - (40) - (8) - (56) Balance, December 31, 2016 $ 3,776 $ 16,154 $ 2,365 $ - $ 475 $ - $ 22,770 ACCUMULATED DEPRECIATION Balance, January 1, 2016 $ 14,816 $ 24,466 $ 4,387 $ 505 $ 2,845 $ - $ 47,019 Disposals (199) - (64) (60) (67) - (390) Reclassifications 12 2 (14) - - - - Depreciation 3,235 9,011 2,439 131 368 - 15,184 Balance, December 31, 2016 $ 17,864 $ 33,479 $ 6,748 $ 576 $ 3,146 $ - $ 61,813 NET BOOK VALUE, December 31, 2016 $ 36,045 $ 82,434 $ 6,735 $ 519 $ 4,189 $ 941 $ 130,863 |
Trade and Other Payables (Table
Trade and Other Payables (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Trade and Other Payables [abstract] | |
Schedule of Trade and Other Payables | December 31, December 31, 2017 2016 Trade accounts payable $ 13,576 $ 15,251 Refundable deposits to contractors 686 1,514 Payroll payable 13,894 10,755 Mining royalty 1,023 755 Value added taxes payable 1,285 1,866 Interest payable 137 114 Due to related parties (note 17(a)) - 10 Other payables 411 354 31,012 30,619 Deferred share units payable 5,094 4,992 Restricted share units payable 2,679 2,870 Performance share units payable 2,691 1,679 Total current share units payable (note 22) 10,464 9,541 Total trade and other payables $ 41,476 $ 40,160 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [abstract] | |
Schedule of Related Party Transactions | a) Purchase of Goods and Services During the year ended December 31, 2017 and 2016 , the Company entered into the following related party transactions with Gold Group Management Inc. and Mill Street Services Ltd., companies with directors in common with the Company . Year ended December 31, 2017 2016 Personnel costs $ 138 $ 121 General and administrative expenses 175 103 $ 313 $ 224 The Company has outstanding balances payable with Gold Group Management Inc. of $nil as at December 31 , 2017 ( December 31, 2016 - $10 ). Amounts due to related parties are due on demand, and are unsecured . b) Key Management Personnel Year ended December 31, 2017 2016 Salaries and short term employee benefits $ 4,704 $ 3,987 Directors fees 594 357 Consulting fees 138 127 Share-based payments 3,672 13,527 $ 9,108 $ 17,998 |
Finance Lease Obligations (Tabl
Finance Lease Obligations (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Finance Lease Obligations [abstract] | |
Schedule of Operating Lease Payments | Minimum lease payments December 31, December 31, 2017 2016 Less than one year $ 912 $ 2,189 Between one and five years - 912 912 3,101 Less: future finance charges (6) (67) Present value of minimum lease payments $ 906 $ 3,034 Presented as: Current portion $ 906 $ 2,128 Non-current portion - 906 |
Closure and Rehabilitation Pr56
Closure and Rehabilitation Provisions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Closure and Rehabilitation Provisions [abstract] | |
Schedule of Closure and Rehabilitation Provisions | Closure and rehabilitation provisions Caylloma Mine San Jose Mine Lindero Gold Project Total Balance January 1, 2017 $ 8,182 $ 4,822 $ 208 $ 13,212 Changes in estimate 1,761 (1,152) 301 910 Incurred and charged against the provision (623) (170) - (793) Accretion expense 304 380 - 684 Effect of foreign exchange changes - 220 - 220 Balance December 31, 2017 9,624 4,100 509 14,233 Current portion 1,533 123 - 1,656 Non-current portion $ $8,091 $ $3,977 $ $509 $ $12,577 |
Schedule of Estmates Used in Closure and Rehabilitation Provisions | Closure and rehabilitation provisions Caylloma Mine San Jose Mine Lindero Gold Project Total Anticipated settlement date 2022 - 2029 2025 - 2037 2019 - 2032 Undiscounted uninflated estimated cash flow $ 9,726 $ 5,016 $ 444 $ 15,186 Discount rate 3.76% 7.22% 5.91% Inflation rate 2.00% 3.87% 6.58% |
Share Based Payments (Tables)
Share Based Payments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Deferred Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Schedule of Outstanding and Fair Value of Other Units Activity | Number of Deferred Share Units Fair Value Outstanding, December 31, 2015 1,016,416 $ 2,279 Grants 201,319 781 Units paid out in cash (238,027) (1,721) Units transferred to trade payables (96,640) (902) Change in fair value - 4,555 Outstanding, December 31, 2016 883,068 $ 4,992 Grants 91,108 429 Change in fair value - (327) Outstanding, December 31, 2017 974,176 $ 5,094 |
Restricted Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Schedule of Outstanding and Fair Value of Other Units Activity | Number of Restricted Share Units Fair Value Outstanding, December 31, 2015 1,015,846 $ 2,179 Grants to executive directors 317,276 1,161 Grants to officers 389,991 1,509 Grants to employees 82,679 323 Units paid out in cash (419,019) (2,104) Forfeited or cancelled (49,053) - Change in fair value and vesting - 1,421 Outstanding, December 31, 2016 1,337,720 $ 4,489 Grants to officers 406,499 1,919 Grants to employees 38,037 181 Units paid out in cash (406,022) (2,114) Forfeited or cancelled (5,007) (5) Change in fair value and vesting - 1,310 Outstanding, December 31, 2017 1,371,227 $ 5,780 Less: Equity grants to officers (390,751) (1,845) Cash settled restricted share units, December 31, 2017 980,476 $ 3,935 |
Performance Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Schedule of Outstanding and Fair Value of Other Units Activity | (c) Performance Share Units Number of Performance Share Units Fair Value Outstanding, December 31, 2015 1,236,620 $ 1,194 Units paid out in cash (247,324) (961) Forfeited or cancelled (103,761) - Change in fair value and vesting - 3,312 Outstanding, December 31, 2016 885,535 $ 3,545 Units paid out in cash (332,076) (1,770) Change in fair value and vesting - 916 Outstanding, December 31, 2017 553,459 $ 2,691 |
Share Capital (Table)
Share Capital (Table) | 12 Months Ended |
Dec. 31, 2017 | |
Stock Options Clase of Share Capital [member] | |
Disclosure of classes of share capital [line items] | |
Schedule of Share Capital | The Company’s Stock Option Plan, as amended and approved from time to time, permits the Company to issue up to 12,200,000 stock options. As at December 30, 2017, a total of 2,222,905 common shares were available for issuance under the plan. Number of stock options Weighted average exercise price Canadian dollars Outstanding, December 31, 2015 3,105,355 $ 3.66 Exercised (2,236,861) $ 3.45 Forfeited (23,501) $ 4.79 Outstanding, December 31, 2016 844,993 $ 4.19 Exercised (307,160) $ 3.39 Granted 617,694 $ 6.35 Outstanding, December 31, 2017 1,155,527 $ 5.56 Vested and exercisable, December 31, 2016 459,578 $ 3.68 Vested and exercisable, December 31, 2017 537,833 $ 4.64 |
Warrants Clase of Share Capital [member] | |
Disclosure of classes of share capital [line items] | |
Schedule of Share Capital | Number of warrants Weighted average exercise price Canadian dollars Outstanding, December 31, 2015 - $ - Granted 1,514,677 $ 6.01 Exercised (931,700) $ 6.01 Outstanding, December 31, 2016 582,977 $ 6.01 Exercised (238,515) $ 6.01 Outstanding, December 31, 2017 344,462 $ 6.01 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings per Share [abstract] | |
Schedule of Earnings per Share | Year ended December 31, Basic 2017 2016 Net income for the year $ 66,305 $ 17,858 Weighted average number of shares (000's) 158,036 136,888 Earnings per share - basic $ 0.42 $ 0.13 Year ended December 31, Diluted 2017 2016 Net income for the year $ 66,305 $ 17,858 Weighted average number of shares ('000's) 158,036 136,888 Incremental shares from options 250 236 Incremental shares from warrants 26 929 Weighted average diluted number of shares (000's) 158,312 138,053 Diluted earnings per share $ 0.42 $ 0.13 |
Sales (Tables)
Sales (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Sales [abstract] | |
Schedule of Sales by Product and Geographical Area | (a) By product and geographical area Year ended December 31, 2017 Canada Peru Mexico Argentina Total Silver-gold concentrates $ - $ - $ 179,996 $ - $ 179,996 Silver-lead concentrates - 42,202 - - 42,202 Zinc concentrates - 45,913 - - 45,913 Sales to external customers $ - $ 88,115 $ 179,996 $ - $ 268,111 Year ended December 31, 2016 Canada Peru Mexico Argentina Total Silver-gold concentrates $ - $ - $ 143,151 $ - $ 143,151 Silver-lead concentrates - 40,442 - - 40,442 Zinc concentrates - 26,662 - - 26,662 Sales to external customers $ - $ 67,104 $ 143,151 $ - $ 210,255 |
Schedule of Sales by Major Customer | (b) By major customer Year ended December 31, 2017 2016 Customer 1 $ 106,850 $ 71,184 Customer 2 73,146 71,967 Customer 3 79,523 18,238 Customer 4 8,508 40,646 Other Customers 84 8,220 $ 268,111 $ 210,255 |
Cost of Sales (Tables)
Cost of Sales (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Cost of Sales [abstract] | |
Schedule of Cost of Sales | Year ended December 31, 2017 Caylloma San Jose Total Direct mining costs $ 35,476 $ 58,187 $ 93,663 Salaries and benefits 6,013 5,286 11,299 Workers' participation 1,545 5,805 7,350 Depletion and depreciation 9,175 32,929 42,104 Royalties 1,283 2,852 4,135 $ 53,492 $ 105,059 $ 158,551 Year ended December 31, 2016 Caylloma San Jose Total Direct mining costs $ 32,047 $ 46,574 $ 78,621 Salaries and benefits 5,399 4,697 10,096 Workers' participation 973 4,742 5,715 Depletion and depreciation 7,958 24,759 32,717 Royalties 873 1,627 2,500 $ 47,250 $ 82,399 $ 129,649 |
Selling General and Administr62
Selling General and Administrative (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Selling, General and Administrative [abstract] | |
Schedule of Selling, General and Administrative Expenses | Year ended December 31, 2017 2016 Selling, general and administrative $ 19,320 $ 15,616 Workers' participation 1,750 1,363 21,070 16,979 Share-based payments 3,841 14,138 $ 24,911 $ 31,117 |
Other Expenses (Tables)
Other Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Expense [abstract] | |
Schedule of Other Expenses | Year ended December 31, 2017 2016 Loss (gain) on disposal of property, plant, and equipment $ 1,450 $ (3) Write off of inventories 985 280 Write off of mineral properties 202 1,143 Other income (956) - $ 1,681 $ 1,420 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Taxes [abstract] | |
Schedule of Income Tax Reconciliation | The significant reasons for the differences are as follows: Year ended December 31, 2017 2016 Net income before tax $ 104,951 $ 47,110 Statutory tax rate 26.0% 26.0% Anticipated income tax at statutory rates 27,287 12,249 Non-deductible expenditures 1,082 514 Differences between Canadian and foreign tax rates 5,804 2,995 Change in estimate 88 (511) Effect of change in tax rates (1,576) (622) Inflation adjustment (2,242) (933) Impact of foreign exchange (666) 5,328 Change in deferred tax assets not recognized 4,194 4,839 Mining taxes 4,568 2,738 Withholding taxes 649 2,760 Other items (542) (105) Total income tax expense $ 38,646 $ 29,252 Total income tax represented by: Current income tax expense $ 34,863 $ 29,063 Deferred tax expense 3,783 189 $ 38,646 $ 29,252 |
Schedule of Curent and Deferred Taxes | Year ended December 31, 2017 2016 Current tax expense Current taxes on profit for the year $ 34,940 $ 29,791 Changes in estimates related to prior years (77) (728) $ 34,863 $ 29,063 Deferred tax expense Origination and reversal of temporary differences and foreign exchange rate effects $ 5,194 $ 594 Changes in estimates related to prior years 165 217 Effect of changes in tax rates (1,576) (622) $ 3,783 $ 189 Total Tax expense $ 38,646 $ 29,252 |
Schedule of Deferred Tax Assets and Liabilities | The significant components of the recognized deferred tax assets and liabilities are: December 31, December 31, 2017 2016 Deferred tax assets: Reclamation and closure cost obligation $ 3,996 $ 3,940 Other 6,268 2,898 Total deferred tax assets $ 10,264 $ 6,838 Deferred tax liabilities: Mineral properties $ (30,413) $ (14,858) Mining taxes (3,376) (3,336) Equipment and buildings (4,658) (5,363) Other (474) (8,155) Total deferred tax liabilities $ (38,921) $ (31,712) Net deferred tax liabilities $ (28,657) $ (24,874) Classification: 2017 2016 Deferred tax assets $ - $ 471 Deferred tax liabilities (28,657) (25,345) Net deferred tax liabilities $ (28,657) $ (24,874) The Company ’ s movement of net deferred tax liabilities is described below: 2017 2016 At January 1 $ 24,874 $ 24,685 Deferred income tax expense through income statement 3,783 189 At December 31 $ 28,657 $ 24,874 |
Schedule of Unrecognized Deductible Temporary Difference and Unused Tax Losses | The Company ’ s unrecognized deductible temporary differences and unused tax losses for which no deferred tax asset is recognized consists of the following amounts: December 31, December 31, 2017 2016 Unrecognized deductible temporary differences and unused tax losses: Non capital losses $ 73,994 $ 55,500 Provisions and other 11,720 13,074 Share issue costs 4,473 624 Mineral properties, plant and equipment 762 1,801 Derivative liabilities - 254 Capital losses 906 846 Unrecognized deductible temporary differences $ 91,855 $ 72,099 As at December 31, 2017, the Company has temporary differences associated with investments in subsidiaries for which an income tax liability has not been recognized as the Company can control the timing of the reversal of the temporary differences and the Company plans to reinvest in its foreign subsidiaries. The temporary difference associated with investments in subsidiaries aggregate to: December 31, December 31, 2017 2016 Mexico $ 69,044 $ 66,035 Peru 98,070 58,017 |
Schedule of Tax Losses Expiry Dates | Tax losses have the following expiry dates : December 31, December 31, Year of expiry 2017 2016 Canada 2025 – 2037 $ 74,300 $ 55,500 Argentina 2018 – 2022 3,700 - Mexico 2021 – 2025 332 450 Barbados 2022 – 2024 266 185 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Information [abstract] | |
Schedule of Segment Information | Year ended December 31, 2017 Corporate Bateas Cuzcatlan Lindero Total Revenues from external customers $ - $ 88,115 $ 179,996 $ - $ 268,111 Cost of sales - (53,492) (105,059) - (158,551) Selling, general, and administration (15,662) (3,251) (5,998) - (24,911) Impairment reversal of mineral properties, plant, and equipment - 31,119 - - 31,119 Other expenses (1,626) (116) (3,699) - (5,441) Finance items (867) (4,620) 111 - (5,376) Segment profit (loss) before taxes (18,155) 57,755 65,351 - 104,951 Income taxes (643) (17,136) (20,927) 60 (38,646) Segment profit (loss) after taxes $ (18,798) $ 40,619 $ 44,424 $ 60 $ 66,305 Year ended December 31, 2016 Corporate Bateas Cuzcatlan Lindero Total Revenues from external customers $ - $ 67,104 $ 143,151 $ - $ 210,255 Cost of sales - (47,250) (82,399) - (129,649) Selling, general, and administration (23,684) (2,616) (4,817) - (31,117) Other income (expenses) 195 (767) (376) - (948) Finance items (1,847) 718 (302) - (1,431) Segment profit (loss) before taxes (25,336) 17,189 55,257 - 47,110 Income taxes (2,728) (4,411) (21,935) (178) (29,252) Segment profit (loss) after taxes $ (28,064) $ 12,778 $ 33,322 $ (178) $ 17,858 December 31, 2017 Corporate Bateas Cuzcatlan Lindero Total Total assets $ 82,978 $ 156,513 $ 316,692 $ 150,465 $ 706,648 Total liabilities $ 57,889 $ 35,169 $ 48,441 $ 1,565 $ 143,064 Capital expenditures $ 540 $ 13,184 $ 22,577 $ 10,757 $ 47,058 December 31, 2016 Corporate Bateas Cuzcatlan Lindero Total Total assets $ 40,351 $ 105,001 $ 279,316 $ 138,247 $ 562,915 Total liabilities $ 57,132 $ 23,622 $ 57,962 $ 1,048 $ 139,764 Capital expenditures $ 283 $ 8,996 $ 36,773 $ 2,009 $ 48,061 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Measurements [abstract] | |
Schedule of Fair Value of Financial Instruments | Carrying value Fair value December 31, 2017 Available for sale Fair value through profit or loss Fair Value (hedging) Loans and receivables Other liabilities Total Level 1 Level 2 Level 3 Carrying value approximates Fair Value Financial assets measured at Fair Value Marketable securities – shares $ 555 $ - $ - $ - $ - $ 555 $ 555 $ - $ - $ - Marketable securities – warrants - 1 - - - 1 - 1 - - Trade receivables concentrate sales - 34,250 - - - 34,250 - 34,250 - - Interest rate swap asset - - 140 - - 140 - 140 - - $ 555 $ 34,251 $ 140 $ - $ - $ 34,946 $ 555 $ 34,391 $ - $ - Financial assets not measured at Fair Value Cash and cash equivalents $ - $ - $ - $ 183,074 $ - $ 183,074 $ - $ - $ - $ 183,074 Term deposits - - - 29,500 - 29,500 - - - 29,500 Other receivables - - - 1,251 - 1,251 - - - 1,251 $ - $ - $ - $ 213,825 $ - $ 213,825 $ - $ - $ - $ 213,825 Financial liabilities measured at Fair Value Metal forward sales contracts $ - $ (2,328) $ - $ - $ - $ (2,328) $ - $ (2,328) $ - $ - $ - $ (2,328) $ - $ - $ - $ (2,328) $ - $ (2,328) $ - $ - Financial liabilities not measured at Fair Value Trade payables $ - $ - $ - $ - $ (13,576) $ (13,576) $ - $ - $ - $ (13,576) Payroll payable - - - - (13,894) (13,894) - - - (13,894) Share units payable - - - - (11,720) (11,720) - (11,720) - - Finance lease obligations - - - - (906) (906) - - - (906) Bank loan payable - - - - (39,871) (39,871) - (40,000) - - Other payables - - - - (1,671) (1,671) - - - (1,671) $ - $ - $ - $ - $ (81,638) $ (81,638) $ - $ (51,720) $ - $ (30,047) Carrying value Fair value December 31, 2016 Available for sale Fair value through profit or loss Fair Value (hedging) Loans and receivables Other liabilities Total Level 1 Level 2 Level 3 Carrying value approximates Fair Value Financial assets measured at Fair Value Marketable securities – shares $ 1,266 $ - $ - $ - $ - $ 1,266 $ 1,266 $ - $ - $ - Marketable securities – warrants - 313 - - - 313 - 313 - - Trade receivables concentrate sales - 23,185 - - - 23,185 - 23,185 - - Zinc forward contracts - 973 - - - 973 - 973 - - $ 1,266 $ 24,471 $ - $ - $ - $ 25,737 $ 1,266 $ 24,471 $ - - Financial assets not measured at Fair Value Cash and cash equivalents $ - $ - $ - $ 82,484 $ - $ 82,484 $ - $ - $ - $ 82,484 Term deposits - - - 41,100 - 41,100 - - - 41,100 Other receivables - - - 72 - 72 - - - 72 $ - $ - $ - $ 123,656 $ - $ 123,656 $ - $ - $ - $ 123,656 Financial liabilities measured at Fair Value Interest rate swap liability $ - $ - $ (254) $ - $ - $ (254) $ - - $ (254) $ - $ - $ - $ - $ (254) $ - $ - $ (254) $ - $ (254) $ - $ - Financial liabilities not measured at Fair Value Trade payables $ - $ - $ - $ - $ (15,251) $ (15,251) $ - $ - $ - $ (15,251) Payroll payable - - - - (10,755) (10,755) - - - (10,755) Share units payable - - - - (13,026) (13,026) - (13,026) - - Finance lease obligations - - - - (3,034) (3,034) - - - (3,034) Bank loan payable - - - - (39,768) (39,768) - (40,000) - 232 Other payables - - - - (17,605) (17,605) - - - (17,605) $ - $ - $ - $ - $ (99,439) $ (99,439) $ - $ (53,026) $ - $ (46,413) |
Management of Financial Risk (T
Management of Financial Risk (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Schedule of Company's Maximum Exposure to Credit Risk | The Company’s maximum exposure to credit risk as at December 31, 2017 and 2016 is as follows: December 31, December 31, 2017 2016 Cash and cash equivalents $ 183,074 $ 82,484 Short term investments 29,500 41,100 Marketable securities 556 1,579 Derivative assets 140 973 Accounts receivable and other assets 36,370 24,987 Income tax receivable 130 72 Other non-current receivables 1,223 562 $ 250,993 $ 151,757 |
Schedule of Company's Liquidity Risk | The following are the remaining contractual maturities of financial liabilities at the reporting date. The tables include cash flows associated with both interest and principal payments. Expected payments due by year as at December 31, 2017 Less than After 1 year 1 – 3 years 4 – 5 years 5 years Total Trade and other payables $ 41,476 $ - $ - $ - $ 41,476 Bank loan - 40,000 - - 40,000 Derivative liabilities 2,328 - - - 2,328 Income tax payable 14,237 - - - 14,237 Finance lease obligations 906 - - - 906 Other liabilities - 1,356 - - 1,356 Operating leases 653 1,025 634 - 2,312 Provisions 1,708 4,690 5,465 3,323 15,186 $ 61,308 $ 47,071 $ 6,099 $ 3,323 $ 117,801 Expected payments due by year as at December 31, 2016 Less than After 1 year 1 – 3 years 4 – 5 years 5 years Total Trade and other payables $ 40,160 $ - $ - $ - $ 40,160 Bank loan - 40,000 - - 40,000 Derivative liabilities 254 - - - 254 Income tax payable 14,447 - - - 14,447 Finance lease obligations 2,189 912 - - 3,101 Other liabilities - 3,544 - - 3,544 Operating leases 431 360 82 - 873 Provisions 1,154 2,728 5,172 5,174 14,228 $ 58,635 $ 47,544 $ 5,254 $ 5,174 $ 116,607 |
Currency risk [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Disclosure of Nature and Extent of Risks Arising from Financial Instruments | As at December 31, 2017 and 2016, the Company was exposed to currency risk through the following assets and liabilities denominated in foreign currencies: December 31, 2017 Canadian Dollars Peruvian Soles Mexican Pesos Argentinian Pesos Cash and cash equivalents 4,511 693 27,842 12,186 Marketable securities 697 - - - Accounts receivable and other assets 292 4,428 3,018 33 Income tax receivable - 421 - - Investments in associates 3,685 - - - Trade and other payables (14,950) (17,244) (253,702) (7,814) Provisions, current - - (2,418) - Income tax payable - (6,631) (176,977) - Other liabilities (1,576) - (1,967) - Provisions - - (78,567) - Total foreign currency exposure (7,341) (18,333) (482,771) 4,405 US$ equivalent of foreign currency exposure (5,852) (5,650) (24,462) 236 December 31, 2016 Canadian Dollars Peruvian Soles Mexican Pesos Argentinian Pesos Cash and cash equivalents 9,436 4,098 7,788 16,502 Marketable securities 2,300 - - - Accounts receivable and other assets 343 3,810 3,369 115 Income tax receivable - 243 - - Deposits on non-current assets - - 4,325 8,419 Trade and other payables (14,581) (13,666) (208,364) (3,891) Due to related parties (14) - - - Provisions, current - (2,765) (6,169) - Income tax payable - (7,564) (202,804) 509 Other liabilities (4,679) - (1,220) - Provisions - (24,719) (93,520) (7,283) Total foreign currency exposure (7,195) (40,563) (496,595) 14,371 US$ equivalent of foreign currency exposure (5,359) (12,072) (24,032) 904 Sensitivity as to change in foreign currency exchange rates on our foreign currency exposure as at December 31, 2017 is provided below: Effect on foreign denominated Currency Change items Mexican Peso +/- 10% $ 2,351 Peruvian Soles +/- 10% $ 739 Argentinian Peso +/- 10% $ 52 Canadian Dollar +/- 10% $ 509 |
Commodity price risk [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Disclosure of Nature and Extent of Risks Arising from Financial Instruments | Metal Change Effect on Sales Silver +/- 10% $ 6,708 Gold +/- 10% $ 3,483 Lead +/- 10% $ 279 Zinc +/- 10% $ 453 |
Supplemental Cashflow Informa68
Supplemental Cashflow Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Cashflow Information [abstract] | |
Schedule of Changes in Liabilities Arising from Financing Activities | The changes in liabilities arising from financing activities, including both changes arising from cash flows and non-cash changes were as follows: Bank Loan Finance lease obligation Interest rate swaps As at January 1, 2016 $ 39,486 $ 1,884 $ 351 Additions - 2,362 - Amortization of transaction costs 282 - - Principal payments - (1,212) - Interest accrued - - (14) Change in fair value - - (84) As at January 1, 2017 39,768 3,034 253 Amortization of transaction costs 103 - - Principal payments - (2,128) - Interest accrued - - (25) Change in fair value - - (368) As at December 31, 2017 $ 39,871 $ 906 $ (140) |
Contingencies and Capital Com69
Contingencies and Capital Commitments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Contingencies and Capital Commitments [abstract] | |
Schedule of Operating Lease Payments, by Assets | The expected payments due by period, as at December 31, 2017 are as follows: Less than 1 year 1 – 3 years 4 – 5 years Total Office premises $ 563 $ 988 $ 634 $ 2,185 Computer equipment 89 37 - 126 Machinery 1 - - 1 Total operating leases $ 653 $ 1,025 $ 634 $ 2,312 |
Reporting Entity (Details)
Reporting Entity (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Reporting Entity [abstract] | |
Name of reporting entity or other means of identification | Fortuna Silver Mines Inc. |
Domicile of entity | British Columbia, Canada |
Address of entity's registered office | Suite 650, 200 Burrard Street, Vancouver, Canada, V6C 3L6 |
Description of nature of entity's operations and principal activities | The Company is engaged in precious and base metal mining and related activities in Latin America, including exploration, extraction, and processing. The Company operates the Caylloma silver, lead, and zinc mine ("Caylloma") in southern Peru and the San Jose silver and gold mine ("San Jose") in southern Mexico, and is developing the Lindero Gold Project in northern Argentina.Its common shares are listed on the New York Stock Exchange under the trading symbol FSM, and on the Toronto Stock Exchange under the trading symbol FVI. |
Basis of Presentation (Narrativ
Basis of Presentation (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Basis of Accounting [abstract] | |
Description of functional currency | United States Dollars ("$" or "US$") |
Description of presentation currency | financial statements are presented in United States Dollars ("$" or "US$") |
Significant Accounting Polici72
Significant Accounting Policies (Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure Of Significant Accounting Policies [line items] | |||
Variation potential percentage benchmark | 25.00% | ||
Confidence percentage related to inferred tonnes, grade, metal content recoverability | 95.00% | ||
Inferred recoverability of resources percentage, benchmark | 75.00% | ||
Bottom of range [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Conversion factors related to inferred resources | 80.00% | ||
Top of range [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Conversion factors related to inferred resources | 87.00% | ||
Machinery and Equipment [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Depreciation method, property, plant and equipment | Straight line | ||
Useful lives or depreciation rates, property, plant and equipment | 3-15 years | ||
Spare Parts and Components [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Useful lives or depreciation rates, property, plant and equipment | 8 to 18 months | ||
Mineral Properties [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Depreciation method, property, plant and equipment | Declining balance | ||
San Jose M&I Property [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Conversion factors related to inferred resources | 90.00% | ||
Percentage of inferred resources | 23.00% | 28.00% | 53.00% |
Caylloma M&I Property [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Percentage of inferred resources | 60.00% | 38.00% | 33.00% |
Restricted Share Units [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting period | 3 years | ||
Description of vesting requirements for share-based payment arrangement | RSUs are settled in either cash or equity, as determined by the Company's Board of Directors at the grant date and typically vest over three years, in tranches of 20%, 30%, and 50% | ||
Restricted Share Units [member] | Vesting Tranche One Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 20.00% | ||
Restricted Share Units [member] | Vesting Tranche Two Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 30.00% | ||
Restricted Share Units [member] | Vesting Tranche Three Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 50.00% | ||
Performance Share Units [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting period | 3 years | ||
Description of vesting requirements for share-based payment arrangement | Performance Share Units ("PSUs") are performance-based awards for the achievement of specified performance metrics by specified deadlines, which are settled in cash and vest over a three-year period in tranches of 20%, 30% and 50%. | ||
Performance Share Units [member] | Vesting Tranche One Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 20.00% | ||
Performance Share Units [member] | Vesting Tranche Two Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 30.00% | ||
Performance Share Units [member] | Vesting Tranche Three Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 50.00% |
Significant Accounting Polici73
Significant Accounting Policies (Disclosure of subsidiaries) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Minera Bateas S.A.C. [member] | |
Disclosure of subsidiaries [line items] | |
Name of subsidiary | Minera Bateas S.A.C. ("Bateas") |
Principal place of business of subsidiary | Peru |
Proportion of ownership interest in subsidiary | 100.00% |
Principal activity of subsidiary | Caylloma Mine |
Compania Minera Cuzcatlan S.A. de C.V. [member] | |
Disclosure of subsidiaries [line items] | |
Name of subsidiary | Compania Minera Cuzcatlan S.A. de C.V. ("Cuzcatlan") |
Principal place of business of subsidiary | Mexico |
Proportion of ownership interest in subsidiary | 100.00% |
Principal activity of subsidiary | San Jose Mine |
Mansfield Minera S.A. [member] | |
Disclosure of subsidiaries [line items] | |
Name of subsidiary | Mansfield Minera S.A. ("Mansfield") |
Principal place of business of subsidiary | Argentina |
Proportion of ownership interest in subsidiary | 100.00% |
Principal activity of subsidiary | Mine under construction |
Significant Accounting Polici74
Significant Accounting Policies (Schedule related to property, plant and equipment) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Land [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Not depreciated |
Buildings [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Straight line |
Useful lives or depreciation rates, property, plant and equipment | 6-10 years |
Mineral Properties [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Measurement bases, property, plant and equipment | Units of production |
Depreciation method, property, plant and equipment | Declining balance |
Buildings Located At Mine [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Measurement bases, property, plant and equipment | Units of production |
Depreciation method, property, plant and equipment | Declining balance |
Leasehold improvements [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Straight line |
Useful lives or depreciation rates, property, plant and equipment | 4-8 years |
Machinery and Equipment [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Straight line |
Useful lives or depreciation rates, property, plant and equipment | 3-15 years |
Furniture and other equipment [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Straight line |
Useful lives or depreciation rates, property, plant and equipment | 2-13 years |
Transport units [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Straight line |
Useful lives or depreciation rates, property, plant and equipment | 4-5 years |
Capital Work in Progress [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Not depreciated |
Use of Judgements and Estimat75
Use of Judgements and Estimates (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2017$ / oz$ / T | |
Gold Commodity Type [member] | |
Disclosure Of Detailed Information About Use Of Judgements And Estimates Explanatory [line items] | |
Long term prices used for reserves and resource estimates related to commodity per ounce | $ / oz | 1,250 |
Silver Commodity Type [member] | |
Disclosure Of Detailed Information About Use Of Judgements And Estimates Explanatory [line items] | |
Long term prices used for reserves and resource estimates related to commodity per ounce | $ / oz | 19 |
Lead Commodity [member] | |
Disclosure Of Detailed Information About Use Of Judgements And Estimates Explanatory [line items] | |
Long term prices used for reserves and resource estimates related to commodity per ounce | $ / T | 2,200 |
Zinc Commodity [member] | |
Disclosure Of Detailed Information About Use Of Judgements And Estimates Explanatory [line items] | |
Long term prices used for reserves and resource estimates related to commodity per ounce | $ / T | 2,500 |
Short Term Investments (Schedul
Short Term Investments (Schedule of Short Term Investments) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Short Term Investments [abstract] | ||
Term deposits and similar instruments | $ 29,500 | $ 41,100 |
Marketable Securities (Narrativ
Marketable Securities (Narrative) (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
May 31, 2017CAD ($)shares | Feb. 28, 2017 | Jun. 30, 2016shares | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Disclosure of financial assets [line items] | ||||||
Gain (loss) unrealized in profit loss | $ (85) | $ 80 | ||||
Gain (loss) unrealized in other comprehensive income | (307) | $ 334 | ||||
Gain (loss) unrealized in OCI including reversals | $ (555) | $ 334 | ||||
Medgold Resources Corporation [member] | ||||||
Disclosure of financial assets [line items] | ||||||
Number of shares acquired by entity | shares | 10,000,000 | |||||
Number of warrants acquired by entity | shares | 10,000,000 | |||||
Medgold Resources Corporation [member] | Associates [member] | ||||||
Disclosure of financial assets [line items] | ||||||
Proportion of ownership interest in associate | 24.00% | |||||
Proportion of ownership interest including diluted portion in associate | 20.40% | |||||
Prospero Silver Corporation [member] | ||||||
Disclosure of financial assets [line items] | ||||||
Number of units acquired by entity | shares | 5,357,142 | |||||
Proportion of ownership interest | 15.00% | |||||
Proportion of ownership interest if all warrants exercised | 25.95% | |||||
Purchased per unit price paid by entity | 0.28 | |||||
Available for sale interest in investment | $ 1,500,000 | |||||
Strike price per warrant | 0.35 | |||||
Approved amount of ownership percentage authorized by the board of directors | 19.9 |
Marketable Securities (Schedule
Marketable Securities (Schedule of Marketable Securities) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial assets [line items] | ||
Current financial assets | $ 556 | $ 1,579 |
Derivative Warrants [member] | Medgold Resources Corporation [member] | ||
Disclosure of financial assets [line items] | ||
Current financial assets | 313 | |
Derivative Warrants [member] | Prospero Silver Corporation [member] | ||
Disclosure of financial assets [line items] | ||
Current financial assets | 1 | |
Equity investments [member] | Medgold Resources Corporation [member] | ||
Disclosure of financial assets [line items] | ||
Current financial assets | $ 1,266 | |
Equity investments [member] | Prospero Silver Corporation [member] | ||
Disclosure of financial assets [line items] | ||
Current financial assets | $ 555 |
Investments in Associate (Narra
Investments in Associate (Narrative) (Details) - Medgold [member] $ in Thousands, shares in Millions | Feb. 07, 2017shares | Dec. 31, 2017USD ($) |
Disclosure of associates [line items] | ||
Name of associate | Medgold Resourced Corporation | |
Number of common share purchased in associate | shares | 10 | |
Proportion of ownership interest in associate | 24.00% | 22.00% |
Fair value of investment | $ | $ 3,200 |
Investments in Associate (Discl
Investments in Associate (Disclosure of Associates) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 07, 2017 | Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of associates [line items] | ||||
Share of Medgold's loss for the period February 7, 2017 to December 31, 2017 | $ (192) | |||
Medgold [member] | ||||
Disclosure of associates [line items] | ||||
Medgold shares and warrants presented as marketable securities, January 1, 2017 | $ 1,579 | |||
Cash paid upon exercise of warrants | $ 1,372 | |||
Fair value adjustments prior to February 7, 2017 | (65) | |||
Balance of Medgold Investment at February 7, 2017 | $ 2,886 | |||
Share of Medgold's loss for the period February 7, 2017 to December 31, 2017 | (192) | |||
Balance December 30, 2017 | $ 2,886 | $ 2,694 | $ 2,694 |
Accounts and Other Receivable81
Accounts and Other Receivables (Schedule of Trade and Other Receivables) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Accounts and Other Receivables [abstract] | ||
Trade receivables from concentrate sales | $ 34,250 | $ 23,185 |
Advances and other receivables | 1,249 | 1,095 |
Value added taxes recoverable | 871 | 707 |
Total accounts and other receivables | $ 36,370 | $ 24,987 |
Inventories (Schedule of Invent
Inventories (Schedule of Inventories) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Inventories [abstract] | ||
Concentrate stockpiles | $ 2,594 | $ 1,285 |
Ore stockpiles | 4,144 | 2,659 |
Materials and supplies | 11,015 | 9,628 |
Total current inventories | 17,753 | 13,572 |
Cost of inventories recognised as expense during period | 156,614 | 127,984 |
Inventory write-down | $ 985 | $ 280 |
Derivative Assets and Derivat83
Derivative Assets and Derivative Liabilities (Narrative) (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | 33 Months Ended | ||||
Jul. 31, 2017$ / T | Jan. 31, 2017t$ / T | Dec. 31, 2017USD ($) | Nov. 30, 2017t$ / T | Dec. 31, 2016USD ($) | Dec. 31, 2017 | Apr. 01, 2015USD ($) | |
Disclosure of financial assets [line items] | |||||||
Proceeds from sales or maturity of financial instruments, classified as investing activities | $ | $ 160,636 | $ 41,845 | |||||
Interest rate swap contract [member] | Interest rate risk [member] | |||||||
Disclosure of financial assets [line items] | |||||||
Nominal amount of hedging instrument | $ | 40,000 | ||||||
Derivative contract interest rate | 1.52% | ||||||
Gains (losses) on cash flow hedges, net of tax | $ | 369 | $ 85 | |||||
Proceeds from sales or maturity of financial instruments, classified as investing activities | $ | $ 214 | ||||||
Zinc Commodity [member] | December 2016 One [member] | Forward contract [member] | |||||||
Disclosure of financial assets [line items] | |||||||
Derivative contract quantity of commodity | 3,900 | ||||||
Derivative contract price per commodity | 2,650 | ||||||
Zinc Commodity [member] | December 2016 Two [member] | Forward contract [member] | |||||||
Disclosure of financial assets [line items] | |||||||
Derivative contract quantity of commodity | 3,900 | ||||||
Derivative contract price per commodity | 2,750 | ||||||
Derivative contract monthly settled tonnes | t | 650 | ||||||
Zinc Commodity [member] | July 2017 Two [member] | Forward contract [member] | |||||||
Disclosure of financial assets [line items] | |||||||
Derivative contract quantity of commodity | 6,500 | ||||||
Derivative contract cap price per tonne | 2,965 | ||||||
Derivative contract floor price per tonne | 2,500 | ||||||
Lead Commodity [member] | Forward contract [member] | |||||||
Disclosure of financial assets [line items] | |||||||
Derivative contract quantity of commodity | 2,965 | ||||||
Derivative contract price per commodity | 2,340 | ||||||
Derivative contract monthly settled tonnes | t | 270 | ||||||
Lead Commodity [member] | July 2017 One [member] | Forward contract [member] | |||||||
Disclosure of financial assets [line items] | |||||||
Derivative contract quantity of commodity | 7,500 | ||||||
Derivative contract cap price per tonne | 2,500 | ||||||
Derivative contract floor price per tonne | 2,100 |
Derivative Assets and Derivat84
Derivative Assets and Derivative Liabilities (Schedule of Derivative Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial assets [line items] | ||
Derivative financial assets | $ 140 | $ 973 |
Derivative financial liabilities | 2,328 | 254 |
Option and Forward Contracts [member] | ||
Disclosure of financial assets [line items] | ||
Derivative financial assets | 973 | |
Derivative financial liabilities | 2,328 | |
Interest rate swap contract [member] | ||
Disclosure of financial assets [line items] | ||
Derivative financial assets | $ 140 | |
Derivative financial liabilities | $ 254 |
Derivative Assets and Derivat85
Derivative Assets and Derivative Liabilities (Schedule of Derivative Gain (Loss) Settled and Open Positions) (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($)$ / T | Dec. 31, 2016USD ($)$ / T | |
Zinc Commodity [member] | Option and Forward Contracts [member] | ||
Disclosure of financial assets and liabilities [line items] | ||
Tonnes settled | 7,803 | |
Average settled price per tonne | 2,894 | |
Settlement gains (losses) | $ | $ (1,521) | |
Open positions - tonnes | 6,500 | 7,803 |
Unrealized gains (losses) | $ | $ (2,957) | $ 973 |
Zinc Commodity [member] | Option and Forward Contracts [member] | Bottom of range [member] | ||
Disclosure of financial assets and liabilities [line items] | ||
Price per tonne | 2,500 | 2,650 |
Zinc Commodity [member] | Option and Forward Contracts [member] | Top of range [member] | ||
Disclosure of financial assets and liabilities [line items] | ||
Price per tonne | 3,190 | 2,750 |
Lead Commodity [member] | Bottom of range [member] | ||
Disclosure of financial assets and liabilities [line items] | ||
Price per tonne | 2,100 | |
Lead Commodity [member] | Top of range [member] | ||
Disclosure of financial assets and liabilities [line items] | ||
Price per tonne | 2,689 | |
Lead Commodity [member] | Option and Forward Contracts [member] | ||
Disclosure of financial assets and liabilities [line items] | ||
Tonnes settled | 4,465 | |
Average settled price per tonne | 2,361 | |
Settlement gains (losses) | $ | $ 19 | |
Open positions - tonnes | 6,000 | |
Unrealized gains (losses) | $ | $ (344) |
Assets held for sale (Narrative
Assets held for sale (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of fair value measurement of assets [line items] | ||
Impairment loss recognised in profit or loss, property, plant and equipment | $ 202 | $ 1,143 |
Assets held for sale | 1,701 | |
San Jose M&I Property [member] | ||
Disclosure of fair value measurement of assets [line items] | ||
Assets held for sale | 1,701 | |
San Jose M&I Property [member] | Non-current assets held for sale [member] | ||
Disclosure of fair value measurement of assets [line items] | ||
Impairment loss recognised in profit or loss, property, plant and equipment | $ 901 |
Other non-current receivables (
Other non-current receivables (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of fair value measurement of assets [line items] | ||
Value added tax receivables | $ 871 | $ 707 |
Lindero Project [member] | ||
Disclosure of fair value measurement of assets [line items] | ||
Value added tax receivables | $ 1,223 | $ 562 |
Mineral Properties and Explor88
Mineral Properties and Exploration and Evaluation Assets (Narrative) (Details) $ in Thousands | Aug. 02, 2017USD ($)shares | Jul. 28, 2016CAD ($)shares | Dec. 31, 2016USD ($)claim | Dec. 31, 2016USD ($)ha | Dec. 31, 2016USD ($)a | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Disclosure of detailed information about property, plant and equipment [line items] | |||||||
Purchase of mining assets | $ 47,060 | $ 40,229 | |||||
Expense arising from exploration for and evaluation of mineral resources | 1,534 | 177 | |||||
Warrants exercise price issued for nonbusiness combination | 6.01 | ||||||
Lindero Project [member] | |||||||
Disclosure of detailed information about property, plant and equipment [line items] | |||||||
Common shares of acquirer transferred | shares | 14,569,045 | ||||||
Warrants of acquirer transferred | shares | 1,514,677 | ||||||
Tlacolula Property [member] | |||||||
Disclosure of detailed information about property, plant and equipment [line items] | |||||||
Purchase of mining assets | $ 150 | ||||||
Fair value of consideration transferred to purchase asset | $ 1,328 | ||||||
Number of instruments or interests issued or issuable | shares | 239,385 | ||||||
Equity interests of acquirer | $ 1,128 | ||||||
NSR royalty, percentage | 2.00% | ||||||
Half of NSR royalty purchae price, per agreement | $ 1,500 | ||||||
Expense arising from exploration for and evaluation of mineral resources | $ 158 | ||||||
Northwest Nevada Initiative [member] | |||||||
Disclosure of detailed information about property, plant and equipment [line items] | |||||||
Number of mineral claims acquired | claim | 6,756 | ||||||
Area of property | 96,773 | 239,128 | |||||
Contingent consideration of option agreement cash payment amount | $ 2,300 | $ 2,300 | $ 2,300 | 2,300 | |||
Contingent consideration of option agreement cash payment and share issuable amount | 4,100 | 4,100 | 4,100 | 4,100 | |||
Contractual capital commitments | $ 2,000 | $ 2,000 | $ 2,000 | $ 2,000 |
Mineral Properties and Explor89
Mineral Properties and Exploration and Evaluation Assets (Schedule Related to Property, Plant and Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cost | ||
Balance, January 1 | $ 130,863 | |
Balance, December 31 | 133,664 | $ 130,863 |
Accumulated Impairment | ||
Balance, January 1 | 130,863 | |
Impairment reversal (note 14) | 31,119 | |
Balance, December 31 | 133,664 | 130,863 |
Accumulated Depreciation | ||
Balance, January 1 | 130,863 | |
Impairment reversal (note 14) | 31,119 | |
Balance, December 31 | 133,664 | 130,863 |
NET BOOK VALUE, December 31, | 130,863 | 130,863 |
Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 215,446 | 183,528 |
Acquisition of subsidiary | 6,954 | |
Additions | 15,212 | 26,296 |
Disposals | (9,006) | (456) |
Reclassifications | (3) | (876) |
Balance, December 31 | 221,649 | 215,446 |
Accumulated Impairment | ||
Balance, January 1 | 215,446 | 183,528 |
Balance, December 31 | 221,649 | 215,446 |
Accumulated Depreciation | ||
Balance, January 1 | 215,446 | 183,528 |
Balance, December 31 | 221,649 | 215,446 |
NET BOOK VALUE, December 31, | 215,446 | 183,528 |
Accumulated impairment [member] | ||
Cost | ||
Balance, January 1 | 22,770 | 22,826 |
Disposals | (76) | (56) |
Balance, December 31 | 22,770 | |
Accumulated Impairment | ||
Balance, January 1 | 22,770 | 22,826 |
Impairment reversal (note 14) | (22,694) | |
Balance, December 31 | 22,770 | |
Accumulated Depreciation | ||
Balance, January 1 | 22,770 | 22,826 |
Impairment reversal (note 14) | (22,694) | |
Balance, December 31 | 22,770 | |
NET BOOK VALUE, December 31, | 22,770 | 22,826 |
Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance, January 1 | 61,813 | 47,019 |
Disposals | (5,045) | (390) |
Balance, December 31 | 87,985 | 61,813 |
Accumulated Impairment | ||
Balance, January 1 | 61,813 | 47,019 |
Impairment reversal (note 14) | 10,437 | |
Balance, December 31 | 87,985 | 61,813 |
Accumulated Depreciation | ||
Balance, January 1 | 61,813 | 47,019 |
Impairment reversal (note 14) | 10,437 | |
Balance, December 31 | 87,985 | 61,813 |
NET BOOK VALUE, December 31, | 61,813 | 47,019 |
Mineral Properties and Exploration and Evaluation Assets [member] | ||
Cost | ||
Balance, January 1 | 263,535 | |
Balance, December 31 | 296,612 | 263,535 |
Accumulated Impairment | ||
Balance, January 1 | 263,535 | |
Balance, December 31 | 296,612 | 263,535 |
Accumulated Depreciation | ||
Balance, January 1 | 263,535 | |
Balance, December 31 | 296,612 | 263,535 |
NET BOOK VALUE, December 31, | 263,535 | 263,535 |
Mineral Properties and Exploration and Evaluation Assets [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 384,323 | 231,172 |
Acquisition of subsidiary | 128,687 | |
Additions | 36,229 | 24,440 |
Change in rehabilitation provision | 818 | 291 |
Disposals | (202) | (1,143) |
Reclassifications | 3 | 876 |
Balance, December 31 | 421,171 | 384,323 |
Accumulated Impairment | ||
Balance, January 1 | 384,323 | 231,172 |
Balance, December 31 | 421,171 | 384,323 |
Accumulated Depreciation | ||
Balance, January 1 | 384,323 | 231,172 |
Balance, December 31 | 421,171 | 384,323 |
NET BOOK VALUE, December 31, | 384,323 | 231,172 |
Mineral Properties and Exploration and Evaluation Assets [member] | Accumulated impairment [member] | ||
Cost | ||
Balance, January 1 | 31,900 | 31,900 |
Balance, December 31 | 31,900 | |
Accumulated Impairment | ||
Balance, January 1 | 31,900 | 31,900 |
Impairment reversal (note 14) | (31,900) | |
Balance, December 31 | 31,900 | |
Accumulated Depreciation | ||
Balance, January 1 | 31,900 | 31,900 |
Impairment reversal (note 14) | (31,900) | |
Balance, December 31 | 31,900 | |
NET BOOK VALUE, December 31, | 31,900 | 31,900 |
Mineral Properties and Exploration and Evaluation Assets [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance, January 1 | 88,888 | 70,552 |
Balance, December 31 | 124,559 | 88,888 |
Accumulated Impairment | ||
Balance, January 1 | 88,888 | 70,552 |
Impairment reversal (note 14) | 13,038 | |
Balance, December 31 | 124,559 | 88,888 |
Accumulated Depreciation | ||
Balance, January 1 | 88,888 | 70,552 |
Impairment reversal (note 14) | 13,038 | |
Depletion | 22,633 | 18,336 |
Balance, December 31 | 124,559 | 88,888 |
NET BOOK VALUE, December 31, | 88,888 | 70,552 |
Caylloma Plant and Mine Equipment [member] | Depletable [member] | ||
Cost | ||
Balance, January 1 | 26,671 | |
Balance, December 31 | 51,616 | 26,671 |
Accumulated Impairment | ||
Balance, January 1 | 26,671 | |
Balance, December 31 | 51,616 | 26,671 |
Accumulated Depreciation | ||
Balance, January 1 | 26,671 | |
Balance, December 31 | 51,616 | 26,671 |
NET BOOK VALUE, December 31, | 26,671 | 26,671 |
Caylloma Plant and Mine Equipment [member] | Depletable [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 100,630 | 92,973 |
Additions | 10,599 | 7,060 |
Change in rehabilitation provision | 1,448 | 597 |
Reclassifications | (8) | |
Balance, December 31 | 112,669 | 100,630 |
Accumulated Impairment | ||
Balance, January 1 | 100,630 | 92,973 |
Balance, December 31 | 112,669 | 100,630 |
Accumulated Depreciation | ||
Balance, January 1 | 100,630 | 92,973 |
Balance, December 31 | 112,669 | 100,630 |
NET BOOK VALUE, December 31, | 100,630 | 92,973 |
Caylloma Plant and Mine Equipment [member] | Depletable [member] | Accumulated impairment [member] | ||
Cost | ||
Balance, January 1 | 31,900 | 31,900 |
Balance, December 31 | 31,900 | |
Accumulated Impairment | ||
Balance, January 1 | 31,900 | 31,900 |
Impairment reversal (note 14) | (31,900) | |
Balance, December 31 | 31,900 | |
Accumulated Depreciation | ||
Balance, January 1 | 31,900 | 31,900 |
Impairment reversal (note 14) | (31,900) | |
Balance, December 31 | 31,900 | |
NET BOOK VALUE, December 31, | 31,900 | 31,900 |
Caylloma Plant and Mine Equipment [member] | Depletable [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance, January 1 | 42,059 | 37,552 |
Balance, December 31 | 61,053 | 42,059 |
Accumulated Impairment | ||
Balance, January 1 | 42,059 | 37,552 |
Impairment reversal (note 14) | 13,038 | |
Balance, December 31 | 61,053 | 42,059 |
Accumulated Depreciation | ||
Balance, January 1 | 42,059 | 37,552 |
Impairment reversal (note 14) | 13,038 | |
Depletion | 5,956 | 4,507 |
Balance, December 31 | 61,053 | 42,059 |
NET BOOK VALUE, December 31, | 42,059 | 37,552 |
San Jose Property Plant and Mine Equipment [member] | Depletable [member] | ||
Cost | ||
Balance, January 1 | 104,430 | |
Balance, December 31 | 100,692 | 104,430 |
Accumulated Impairment | ||
Balance, January 1 | 104,430 | |
Balance, December 31 | 100,692 | 104,430 |
Accumulated Depreciation | ||
Balance, January 1 | 104,430 | |
Balance, December 31 | 100,692 | 104,430 |
NET BOOK VALUE, December 31, | 104,430 | 104,430 |
San Jose Property Plant and Mine Equipment [member] | Depletable [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 151,259 | 136,666 |
Additions | 13,888 | 14,643 |
Change in rehabilitation provision | (931) | (414) |
Disposals | (512) | |
Reclassifications | (18) | 876 |
Balance, December 31 | 164,198 | 151,259 |
Accumulated Impairment | ||
Balance, January 1 | 151,259 | 136,666 |
Balance, December 31 | 164,198 | 151,259 |
Accumulated Depreciation | ||
Balance, January 1 | 151,259 | 136,666 |
Balance, December 31 | 164,198 | 151,259 |
NET BOOK VALUE, December 31, | 151,259 | 136,666 |
San Jose Property Plant and Mine Equipment [member] | Depletable [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance, January 1 | 46,829 | 33,000 |
Balance, December 31 | 63,506 | 46,829 |
Accumulated Impairment | ||
Balance, January 1 | 46,829 | 33,000 |
Balance, December 31 | 63,506 | 46,829 |
Accumulated Depreciation | ||
Balance, January 1 | 46,829 | 33,000 |
Depletion | 16,677 | 13,829 |
Balance, December 31 | 63,506 | 46,829 |
NET BOOK VALUE, December 31, | 46,829 | 33,000 |
Lindero Project [member] | Non Depletable [member] | ||
Cost | ||
Balance, January 1 | 130,590 | |
Balance, December 31 | 140,154 | 130,590 |
Accumulated Impairment | ||
Balance, January 1 | 130,590 | |
Balance, December 31 | 140,154 | 130,590 |
Accumulated Depreciation | ||
Balance, January 1 | 130,590 | |
Balance, December 31 | 140,154 | 130,590 |
NET BOOK VALUE, December 31, | 130,590 | 130,590 |
Lindero Project [member] | Non Depletable [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 130,590 | |
Acquisition of subsidiary | 128,687 | |
Additions | 9,234 | 1,795 |
Change in rehabilitation provision | 301 | 108 |
Reclassifications | 29 | |
Balance, December 31 | 140,154 | 130,590 |
Accumulated Impairment | ||
Balance, January 1 | 130,590 | |
Balance, December 31 | 140,154 | 130,590 |
Accumulated Depreciation | ||
Balance, January 1 | 130,590 | |
Balance, December 31 | 140,154 | 130,590 |
NET BOOK VALUE, December 31, | 130,590 | 130,590 |
Other Mineral Properties and Exploration and Evaluation Assets [member] | Non Depletable [member] | ||
Cost | ||
Balance, January 1 | 1,844 | |
Balance, December 31 | 4,150 | 1,844 |
Accumulated Impairment | ||
Balance, January 1 | 1,844 | |
Balance, December 31 | 4,150 | 1,844 |
Accumulated Depreciation | ||
Balance, January 1 | 1,844 | |
Balance, December 31 | 4,150 | 1,844 |
NET BOOK VALUE, December 31, | 1,844 | 1,844 |
Other Mineral Properties and Exploration and Evaluation Assets [member] | Non Depletable [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 1,844 | 1,533 |
Additions | 2,508 | 942 |
Disposals | (202) | (631) |
Balance, December 31 | 4,150 | 1,844 |
Accumulated Impairment | ||
Balance, January 1 | 1,844 | 1,533 |
Balance, December 31 | 4,150 | 1,844 |
Accumulated Depreciation | ||
Balance, January 1 | 1,844 | 1,533 |
Balance, December 31 | 4,150 | 1,844 |
NET BOOK VALUE, December 31, | $ 1,844 | $ 1,533 |
Mineral Properties and Explor90
Mineral Properties and Exploration and Evaluation Assets (Northwest Nevada Initiative Property) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Balance, January 1 | $ 130,863 | |
Less: write-off | 202 | $ 1,143 |
Balance, December 31 | 133,664 | 130,863 |
Northwest Nevada Initiative [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Balance, January 1 | 200 | |
Additions | 1,410 | |
Subtotal carrying amount of property after expenditures | 1,610 | |
Less: charged to exploration expenses | (1,301) | |
Less: transferred to accounts receivable | (109) | |
Decreases to property | 200 | |
Less: write-off | (200) | |
Balance, December 31 | $ 200 |
Mineral Properties and Explor91
Mineral Properties and Exploration and Evaluation Assets (Schedule of Considerations Paid and Estimates of Fair Value of Assets and Liabilties Nonbusiness Combination) (Details) - Lindero Project [member] $ in Thousands | Jul. 28, 2016USD ($)shares |
Consideration: | |
Common shares of acquirer transferred | shares | 14,569,045 |
Warrants of acquirer transferred | shares | 1,514,677 |
14,569,045 common shares of the Company | $ 122,813 |
1,514,677 warrants | 7,401 |
Costs of the transaction | 8,226 |
Cash of Goldrock received | (528) |
Costs of the transaction paid by Goldrock prior to closing | (2,822) |
Cost of transaction, excluding cash acquired and paid by acquiree | 4,876 |
Total consideration | 135,090 |
Assets acquired and liabilities assumed: | |
Accounts receivable | 249 |
Machinery and Equipment | 6,954 |
Accounts payable | (700) |
Closure and rehabilitation provision | (100) |
Lindero Gold Project | 128,687 |
Total consideration transferred | 135,090 |
Total consideration | |
Total consideration | 135,090 |
less: Non-cash issuance of common shares | (122,813) |
less: Non-cash issuance of warrants | (7,401) |
Comprising: | |
Cash transaction costs | 5,404 |
Cash of Goldrock received | (528) |
Cost of transaction, excluding cash acquired and paid by acquiree | $ 4,876 |
Reversal of Impairment (Narrati
Reversal of Impairment (Narrative) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2013 | |
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||||
Reversal of impairment loss | $ 31,119 | |||
Impairment loss | 2,637 | $ 1,423 | ||
Caylloma Plant and Mine Equipment [member] | Individual assets or cash-generating units [member] | ||||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||||
Reversal of impairment loss | $ 31,119 | |||
Impairment loss | $ 55,000 | $ 55,000 | ||
Discount rate applied to cash flow projections | 4.10% |
Reversal of Impairment (Schedul
Reversal of Impairment (Schedule of Metal Prices Assumptions Used for Impairment Determination) (Details) | Dec. 31, 2017$ / oz$ / T |
Silver Commodity Type [member] | |
Metal Price Assumptions Used [line items] | |
2018 | $ / oz | 17.56 |
2019 | $ / oz | 18.44 |
2020 | $ / oz | 19 |
2021 | $ / oz | 19 |
2022 - 2025 | $ / oz | 18.40 |
Gold Commodity Type [member] | |
Metal Price Assumptions Used [line items] | |
2018 | $ / oz | 1,300 |
2019 | $ / oz | 1,300 |
2020 | $ / oz | 1,342 |
2021 | $ / oz | 1,325 |
2022 - 2025 | $ / oz | 1,325 |
Lead Commodity [member] | |
Metal Price Assumptions Used [line items] | |
2018 | $ / T | 2,469 |
2019 | $ / T | 2,403 |
2020 | $ / T | 2,315 |
2021 | $ / T | 2,205 |
2022 - 2025 | $ / T | 2,205 |
Zinc Commodity [member] | |
Metal Price Assumptions Used [line items] | |
2018 | $ / T | 3,175 |
2019 | $ / T | 3,031 |
2020 | $ / T | 2,756 |
2021 | $ / T | 2,756 |
2022 - 2025 | $ / T | 2,425 |
Plant and Equipment (Schedule R
Plant and Equipment (Schedule Related to Property, Plant and Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cost | ||
Balance, January 1 | $ 130,863 | |
Balance, December 31 | 133,664 | $ 130,863 |
Accumulated Impairment | ||
Balance, January 1 | 130,863 | |
Impairment reversal (note 14) | 31,119 | |
Balance, December 31 | 133,664 | 130,863 |
Accumulated Depreciation | ||
Balance, January 1 | 130,863 | |
Impairment reversal (note 14) | 31,119 | |
Depreciation | 42,522 | 33,024 |
Balance, December 31 | 133,664 | 130,863 |
NET BOOK VALUE, December 31, | 130,863 | 130,863 |
Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 215,446 | 183,528 |
Acquisition of subsidiary | 6,954 | |
Additions | 15,212 | 26,296 |
Disposals | (9,006) | (456) |
Reclassifications | (3) | (876) |
Balance, December 31 | 221,649 | 215,446 |
Accumulated Impairment | ||
Balance, January 1 | 215,446 | 183,528 |
Disposals | (9,006) | (456) |
Balance, December 31 | 221,649 | 215,446 |
Accumulated Depreciation | ||
Balance, January 1 | 215,446 | 183,528 |
Disposals | (9,006) | (456) |
Reclassifications | (3) | (876) |
Balance, December 31 | 221,649 | 215,446 |
NET BOOK VALUE, December 31, | 215,446 | 183,528 |
Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance, January 1 | 61,813 | 47,019 |
Disposals | (5,045) | (390) |
Balance, December 31 | 87,985 | 61,813 |
Accumulated Impairment | ||
Balance, January 1 | 61,813 | 47,019 |
Disposals | (5,045) | (390) |
Impairment reversal (note 14) | 10,437 | |
Balance, December 31 | 87,985 | 61,813 |
Accumulated Depreciation | ||
Balance, January 1 | 61,813 | 47,019 |
Disposals | (5,045) | (390) |
Impairment reversal (note 14) | 10,437 | |
Depreciation | 20,780 | 15,184 |
Balance, December 31 | 87,985 | 61,813 |
NET BOOK VALUE, December 31, | 61,813 | 47,019 |
Accumulated impairment [member] | ||
Cost | ||
Balance, January 1 | 22,770 | 22,826 |
Disposals | (76) | (56) |
Balance, December 31 | 22,770 | |
Accumulated Impairment | ||
Balance, January 1 | 22,770 | 22,826 |
Disposals | (76) | (56) |
Impairment reversal (note 14) | (22,694) | |
Balance, December 31 | 22,770 | |
Accumulated Depreciation | ||
Balance, January 1 | 22,770 | 22,826 |
Disposals | (76) | (56) |
Impairment reversal (note 14) | (22,694) | |
Balance, December 31 | 22,770 | |
NET BOOK VALUE, December 31, | 22,770 | 22,826 |
Machinery and Equipment [member] | ||
Cost | ||
Balance, January 1 | 36,045 | |
Reclassifications | 3,907 | 12 |
Balance, December 31 | 34,647 | 36,045 |
Accumulated Impairment | ||
Balance, January 1 | 36,045 | |
Balance, December 31 | 34,647 | 36,045 |
Accumulated Depreciation | ||
Balance, January 1 | 36,045 | |
Reclassifications | 3,907 | 12 |
Balance, December 31 | 34,647 | 36,045 |
NET BOOK VALUE, December 31, | 36,045 | 36,045 |
Machinery and Equipment [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 57,685 | 28,462 |
Acquisition of subsidiary | 6,954 | |
Additions | 3,290 | 1,627 |
Disposals | (3,461) | (211) |
Reclassifications | 4,703 | 20,853 |
Balance, December 31 | 62,217 | 57,685 |
Accumulated Impairment | ||
Balance, January 1 | 57,685 | 28,462 |
Disposals | (3,461) | (211) |
Balance, December 31 | 62,217 | 57,685 |
Accumulated Depreciation | ||
Balance, January 1 | 57,685 | 28,462 |
Disposals | (3,461) | (211) |
Reclassifications | 4,703 | 20,853 |
Balance, December 31 | 62,217 | 57,685 |
NET BOOK VALUE, December 31, | 57,685 | 28,462 |
Machinery and Equipment [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance, January 1 | 17,864 | 14,816 |
Disposals | (2,549) | (199) |
Balance, December 31 | 27,570 | 17,864 |
Accumulated Impairment | ||
Balance, January 1 | 17,864 | 14,816 |
Disposals | (2,549) | (199) |
Impairment reversal (note 14) | 2,449 | |
Balance, December 31 | 27,570 | 17,864 |
Accumulated Depreciation | ||
Balance, January 1 | 17,864 | 14,816 |
Disposals | (2,549) | (199) |
Impairment reversal (note 14) | 2,449 | |
Depreciation | 5,899 | 3,235 |
Balance, December 31 | 27,570 | 17,864 |
NET BOOK VALUE, December 31, | 17,864 | 14,816 |
Machinery and Equipment [member] | Accumulated impairment [member] | ||
Cost | ||
Balance, January 1 | 3,776 | 3,784 |
Disposals | (1) | (8) |
Balance, December 31 | 3,776 | |
Accumulated Impairment | ||
Balance, January 1 | 3,776 | 3,784 |
Disposals | (1) | (8) |
Impairment reversal (note 14) | (3,775) | |
Balance, December 31 | 3,776 | |
Accumulated Depreciation | ||
Balance, January 1 | 3,776 | 3,784 |
Disposals | (1) | (8) |
Impairment reversal (note 14) | (3,775) | |
Balance, December 31 | 3,776 | |
NET BOOK VALUE, December 31, | 3,776 | 3,784 |
Land, Buildings and Leasehold Improvements [member] | ||
Cost | ||
Balance, January 1 | 82,434 | |
Reclassifications | 2 | |
Balance, December 31 | 79,385 | 82,434 |
Accumulated Impairment | ||
Balance, January 1 | 82,434 | |
Balance, December 31 | 79,385 | 82,434 |
Accumulated Depreciation | ||
Balance, January 1 | 82,434 | |
Reclassifications | 2 | |
Balance, December 31 | 79,385 | 82,434 |
NET BOOK VALUE, December 31, | 82,434 | 82,434 |
Land, Buildings and Leasehold Improvements [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 132,067 | 94,872 |
Additions | 276 | 258 |
Disposals | (1,184) | |
Reclassifications | 579 | 36,937 |
Balance, December 31 | 131,738 | 132,067 |
Accumulated Impairment | ||
Balance, January 1 | 132,067 | 94,872 |
Disposals | (1,184) | |
Balance, December 31 | 131,738 | 132,067 |
Accumulated Depreciation | ||
Balance, January 1 | 132,067 | 94,872 |
Disposals | (1,184) | |
Reclassifications | 579 | 36,937 |
Balance, December 31 | 131,738 | 132,067 |
NET BOOK VALUE, December 31, | 132,067 | 94,872 |
Land, Buildings and Leasehold Improvements [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance, January 1 | 33,479 | 24,466 |
Disposals | (448) | |
Balance, December 31 | 52,353 | 33,479 |
Accumulated Impairment | ||
Balance, January 1 | 33,479 | 24,466 |
Disposals | (448) | |
Impairment reversal (note 14) | 6,484 | |
Balance, December 31 | 52,353 | 33,479 |
Accumulated Depreciation | ||
Balance, January 1 | 33,479 | 24,466 |
Disposals | (448) | |
Impairment reversal (note 14) | 6,484 | |
Depreciation | 12,838 | 9,011 |
Balance, December 31 | 52,353 | 33,479 |
NET BOOK VALUE, December 31, | 33,479 | 24,466 |
Land, Buildings and Leasehold Improvements [member] | Accumulated impairment [member] | ||
Cost | ||
Balance, January 1 | 16,154 | 16,154 |
Balance, December 31 | 16,154 | |
Accumulated Impairment | ||
Balance, January 1 | 16,154 | 16,154 |
Impairment reversal (note 14) | (16,154) | |
Balance, December 31 | 16,154 | |
Accumulated Depreciation | ||
Balance, January 1 | 16,154 | 16,154 |
Impairment reversal (note 14) | (16,154) | |
Balance, December 31 | 16,154 | |
NET BOOK VALUE, December 31, | 16,154 | 16,154 |
Furniture and Other Equipment [member] | ||
Cost | ||
Balance, January 1 | 6,735 | |
Reclassifications | (3,920) | (14) |
Balance, December 31 | 2,425 | 6,735 |
Accumulated Impairment | ||
Balance, January 1 | 6,735 | |
Balance, December 31 | 2,425 | 6,735 |
Accumulated Depreciation | ||
Balance, January 1 | 6,735 | |
Reclassifications | (3,920) | (14) |
Balance, December 31 | 2,425 | 6,735 |
NET BOOK VALUE, December 31, | 6,735 | 6,735 |
Furniture and Other Equipment [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 15,848 | 15,476 |
Additions | 726 | 368 |
Disposals | (3,006) | (106) |
Reclassifications | (7,253) | 110 |
Balance, December 31 | 6,315 | 15,848 |
Accumulated Impairment | ||
Balance, January 1 | 15,848 | 15,476 |
Disposals | (3,006) | (106) |
Balance, December 31 | 6,315 | 15,848 |
Accumulated Depreciation | ||
Balance, January 1 | 15,848 | 15,476 |
Disposals | (3,006) | (106) |
Reclassifications | (7,253) | 110 |
Balance, December 31 | 6,315 | 15,848 |
NET BOOK VALUE, December 31, | 15,848 | 15,476 |
Furniture and Other Equipment [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance, January 1 | 6,748 | 4,387 |
Disposals | (1,507) | (64) |
Balance, December 31 | 3,890 | 6,748 |
Accumulated Impairment | ||
Balance, January 1 | 6,748 | 4,387 |
Disposals | (1,507) | (64) |
Impairment reversal (note 14) | 1,253 | |
Balance, December 31 | 3,890 | 6,748 |
Accumulated Depreciation | ||
Balance, January 1 | 6,748 | 4,387 |
Disposals | (1,507) | (64) |
Impairment reversal (note 14) | 1,253 | |
Depreciation | 1,316 | 2,439 |
Balance, December 31 | 3,890 | 6,748 |
NET BOOK VALUE, December 31, | 6,748 | 4,387 |
Furniture and Other Equipment [member] | Accumulated impairment [member] | ||
Cost | ||
Balance, January 1 | 2,365 | 2,405 |
Disposals | (40) | |
Balance, December 31 | 2,365 | |
Accumulated Impairment | ||
Balance, January 1 | 2,365 | 2,405 |
Disposals | (40) | |
Impairment reversal (note 14) | (2,365) | |
Balance, December 31 | 2,365 | |
Accumulated Depreciation | ||
Balance, January 1 | 2,365 | 2,405 |
Disposals | (40) | |
Impairment reversal (note 14) | (2,365) | |
Balance, December 31 | 2,365 | |
NET BOOK VALUE, December 31, | 2,365 | 2,405 |
Transport units [member] | ||
Cost | ||
Balance, January 1 | 519 | |
Reclassifications | 13 | |
Balance, December 31 | 501 | 519 |
Accumulated Impairment | ||
Balance, January 1 | 519 | |
Balance, December 31 | 501 | 519 |
Accumulated Depreciation | ||
Balance, January 1 | 519 | |
Reclassifications | 13 | |
Balance, December 31 | 501 | 519 |
NET BOOK VALUE, December 31, | 519 | 519 |
Transport units [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 1,095 | 711 |
Additions | 108 | 181 |
Disposals | (110) | (64) |
Reclassifications | 70 | 267 |
Balance, December 31 | 1,163 | 1,095 |
Accumulated Impairment | ||
Balance, January 1 | 1,095 | 711 |
Disposals | (110) | (64) |
Balance, December 31 | 1,163 | 1,095 |
Accumulated Depreciation | ||
Balance, January 1 | 1,095 | 711 |
Disposals | (110) | (64) |
Reclassifications | 70 | 267 |
Balance, December 31 | 1,163 | 1,095 |
NET BOOK VALUE, December 31, | 1,095 | 711 |
Transport units [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance, January 1 | 576 | 505 |
Disposals | (101) | (60) |
Balance, December 31 | 662 | 576 |
Accumulated Impairment | ||
Balance, January 1 | 576 | 505 |
Disposals | (101) | (60) |
Balance, December 31 | 662 | 576 |
Accumulated Depreciation | ||
Balance, January 1 | 576 | 505 |
Disposals | (101) | (60) |
Depreciation | 174 | 131 |
Balance, December 31 | 662 | 576 |
NET BOOK VALUE, December 31, | 576 | 505 |
Equipment Under Finance Lease [member] | ||
Cost | ||
Balance, January 1 | 4,189 | |
Balance, December 31 | 3,785 | 4,189 |
Accumulated Impairment | ||
Balance, January 1 | 4,189 | |
Balance, December 31 | 3,785 | 4,189 |
Accumulated Depreciation | ||
Balance, January 1 | 4,189 | |
Balance, December 31 | 3,785 | 4,189 |
NET BOOK VALUE, December 31, | 4,189 | 4,189 |
Equipment Under Finance Lease [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 7,810 | 5,215 |
Additions | 2,013 | |
Disposals | (515) | (75) |
Reclassifications | 657 | |
Balance, December 31 | 7,295 | 7,810 |
Accumulated Impairment | ||
Balance, January 1 | 7,810 | 5,215 |
Disposals | (515) | (75) |
Balance, December 31 | 7,295 | 7,810 |
Accumulated Depreciation | ||
Balance, January 1 | 7,810 | 5,215 |
Disposals | (515) | (75) |
Reclassifications | 657 | |
Balance, December 31 | 7,295 | 7,810 |
NET BOOK VALUE, December 31, | 7,810 | 5,215 |
Equipment Under Finance Lease [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance, January 1 | 3,146 | 2,845 |
Disposals | (440) | (67) |
Balance, December 31 | 3,510 | 3,146 |
Accumulated Impairment | ||
Balance, January 1 | 3,146 | 2,845 |
Disposals | (440) | (67) |
Impairment reversal (note 14) | 251 | |
Balance, December 31 | 3,510 | 3,146 |
Accumulated Depreciation | ||
Balance, January 1 | 3,146 | 2,845 |
Disposals | (440) | (67) |
Impairment reversal (note 14) | 251 | |
Depreciation | 553 | 368 |
Balance, December 31 | 3,510 | 3,146 |
NET BOOK VALUE, December 31, | 3,146 | 2,845 |
Equipment Under Finance Lease [member] | Accumulated impairment [member] | ||
Cost | ||
Balance, January 1 | 475 | 483 |
Disposals | (75) | (8) |
Balance, December 31 | 475 | |
Accumulated Impairment | ||
Balance, January 1 | 475 | 483 |
Disposals | (75) | (8) |
Impairment reversal (note 14) | (400) | |
Balance, December 31 | 475 | |
Accumulated Depreciation | ||
Balance, January 1 | 475 | 483 |
Disposals | (75) | (8) |
Impairment reversal (note 14) | (400) | |
Balance, December 31 | 475 | |
NET BOOK VALUE, December 31, | 475 | 483 |
Capital Work in Progress [member] | ||
Cost | ||
Balance, January 1 | 941 | |
Balance, December 31 | 12,921 | 941 |
Accumulated Impairment | ||
Balance, January 1 | 941 | |
Balance, December 31 | 12,921 | 941 |
Accumulated Depreciation | ||
Balance, January 1 | 941 | |
Balance, December 31 | 12,921 | 941 |
NET BOOK VALUE, December 31, | 941 | 941 |
Capital Work in Progress [member] | Gross carrying amount [member] | ||
Cost | ||
Balance, January 1 | 941 | 38,792 |
Additions | 10,812 | 21,849 |
Disposals | (730) | |
Reclassifications | 1,898 | (59,700) |
Balance, December 31 | 12,921 | 941 |
Accumulated Impairment | ||
Balance, January 1 | 941 | 38,792 |
Disposals | (730) | |
Balance, December 31 | 12,921 | 941 |
Accumulated Depreciation | ||
Balance, January 1 | 941 | 38,792 |
Disposals | (730) | |
Reclassifications | 1,898 | (59,700) |
Balance, December 31 | 12,921 | 941 |
NET BOOK VALUE, December 31, | $ 941 | $ 38,792 |
Trade and Other Payables (Sched
Trade and Other Payables (Schedule of Trade and Other Payables) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Trade and Other Payables [abstract] | ||
Trade accounts payable | $ 13,576 | $ 15,251 |
Refundable deposits to contractors | 686 | 1,514 |
Payroll payable | 13,894 | 10,755 |
Mining royalty | 1,023 | 755 |
Value added tax payables | 1,285 | 1,866 |
Interest payable | 137 | 114 |
Due to related parties (note 17(a)) | 10 | |
Other payables | 411 | 354 |
Trade and other payables, subtotal | 31,012 | 30,619 |
Deferred share units payable | 5,094 | 4,992 |
Restricted share units payable | 2,679 | 2,870 |
Performance share units payable | 2,691 | 1,679 |
Current share units payable | 10,464 | 9,541 |
Total trade and other payables | $ 41,476 | $ 40,160 |
Related Party Transactions (Nar
Related Party Transactions (Narrative) (Details) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Gold Group Management Inc [member] | ||
Disclosure of transactions between related parties [line items] | ||
Amounts payable, related party transactions | $ 0 | $ 10,000 |
Related Party Transactions (Sch
Related Party Transactions (Schedule of Related Party) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of transactions between related parties [line items] | ||
Salaries and wages | $ 4,704 | $ 3,987 |
Director fees | 594 | 357 |
Consulting fees | 138 | 127 |
Share-based payments | 3,672 | 13,527 |
Key management personnel compensation | 9,108 | 17,998 |
Gold Group Management Inc and Mill Street Services Ltd [member] | ||
Disclosure of transactions between related parties [line items] | ||
Personnel costs | 138 | 121 |
General and administrative expenses | 175 | 103 |
Purchase of goods and service related rarty transactions | $ 313 | $ 224 |
Bank Loan (Narrative) (Details)
Bank Loan (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Jan. 26, 2018 | Apr. 30, 2015 | Jun. 30, 2014 | |
Disclosure of detailed information about borrowings [line items] | ||||
Maximum debt to EBITDA ratio | 3.00% | |||
Term Credit Facility [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Notional amount | $ 60,000 | |||
Borrowings, maturity | April 1, 2019 | |||
Secured bank loans received | $ 40,000 | |||
Borrowings, interest rate basis | Interest on the Credit Facility is calculated using the one, two, three, or six month US$ LIBOR rates plus a graduated margin based on the Company's leverage ratio, as defined in the Credit Facility. Interest is payable one month in arrears. | |||
Term Credit Facility [member] | Entering into significant commitments or contingent liabilities [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Notional amount | $ 40,000 | |||
Revolving Credit Facillity [member] | Entering into significant commitments or contingent liabilities [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Notional amount | $ 80,000 | |||
Tangible Net Worth [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Minimum tangible net worth percentage | 85.00% | |||
Positive Quarterly Net Income [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Minimum tangible net worth percentage | 50.00% | |||
Value of any Equity Interests Issued [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Minimum tangible net worth percentage | 50.00% |
Finance Lease Obligations (Sche
Finance Lease Obligations (Schedule of Finance Lease Obligations) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of finance lease and operating lease by lessee [line items] | ||
Minimum finance lease payments payable | $ 912 | $ 3,101 |
Less: future finance charges | (6) | (67) |
Present value of minimum lease payments | 906 | 3,034 |
Current portion | 906 | 2,128 |
Non-current portion of finance lease obligations | 906 | |
Not later than one year [member] | ||
Disclosure of finance lease and operating lease by lessee [line items] | ||
Minimum finance lease payments payable | $ 912 | 2,189 |
Later than one year and not later than five years [member] | ||
Disclosure of finance lease and operating lease by lessee [line items] | ||
Minimum finance lease payments payable | $ 912 |
Other Liabilities (Schedule of
Other Liabilities (Schedule of Other Liabilites) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Other Liabilities [abstract] | ||
Restricted share units (note 22) | $ 1,256 | $ 1,619 |
Performance share units (note 22) | 1,866 | |
Other liabilities | 100 | 59 |
Other non-current liabilities | $ 1,356 | $ 3,544 |
Closure and Rehabilitation P101
Closure and Rehabilitation Provisions (Schedule of Closure and Rehabilitation Provisions) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of other provisions [line items] | ||
Current portion | $ 1,656 | $ 1,121 |
Other non-current procivions | 12,577 | $ 12,091 |
Provision for decommissioning, restoration and rehabilitation costs [member] | ||
Disclosure of other provisions [line items] | ||
Balance January 1, 2017 | 13,212 | |
Changes in estimate | 910 | |
Incurred and charged against the provision | (793) | |
Accretion expense | 684 | |
Effect of foreign exchange changes | 220 | |
Balance December 31, 2017 | 14,233 | |
Current portion | 1,656 | |
Other non-current procivions | 12,577 | |
Caylloma M&I Property [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | ||
Disclosure of other provisions [line items] | ||
Balance January 1, 2017 | 8,182 | |
Changes in estimate | 1,761 | |
Incurred and charged against the provision | (623) | |
Accretion expense | 304 | |
Balance December 31, 2017 | 9,624 | |
Current portion | 1,533 | |
Other non-current procivions | 8,091 | |
San Jose M&I Property [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | ||
Disclosure of other provisions [line items] | ||
Balance January 1, 2017 | 4,822 | |
Changes in estimate | (1,152) | |
Incurred and charged against the provision | (170) | |
Accretion expense | 380 | |
Effect of foreign exchange changes | 220 | |
Balance December 31, 2017 | 4,100 | |
Current portion | 123 | |
Other non-current procivions | 3,977 | |
Lindero Project [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | ||
Disclosure of other provisions [line items] | ||
Balance January 1, 2017 | 208 | |
Changes in estimate | 301 | |
Balance December 31, 2017 | 509 | |
Other non-current procivions | $ 509 |
Closure and Rehabilitation P102
Closure and Rehabilitation Provisions (Schedule of Estmates Used in Closure and Rehabilitation Provisions) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Provision for decommissioning, restoration and rehabilitation costs [member] | |
Disclosure of other provisions [line items] | |
Undiscounted estimated cash flow | $ 15,186 |
Caylloma M&I Property [member] | Bottom of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2,022 |
Caylloma M&I Property [member] | Top of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2,029 |
Caylloma M&I Property [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | |
Disclosure of other provisions [line items] | |
Undiscounted estimated cash flow | $ 9,726 |
Discount rate | 3.76% |
Inflation rate | 2.00% |
San Jose M&I Property [member] | Bottom of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2,025 |
San Jose M&I Property [member] | Top of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2,037 |
San Jose M&I Property [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | |
Disclosure of other provisions [line items] | |
Undiscounted estimated cash flow | $ 5,016 |
Discount rate | 7.22% |
Inflation rate | 3.87% |
Lindero Project [member] | Bottom of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2,019 |
Lindero Project [member] | Top of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2,032 |
Lindero Project [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | |
Disclosure of other provisions [line items] | |
Undiscounted estimated cash flow | $ 444 |
Discount rate | 5.91% |
Inflation rate | 6.58% |
Share Based Payments (Narrative
Share Based Payments (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Restricted Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Description of vesting requirements for share-based payment arrangement | RSUs are settled in either cash or equity, as determined by the Company's Board of Directors at the grant date and typically vest over three years, in tranches of 20%, 30%, and 50% |
Performance Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Description of vesting requirements for share-based payment arrangement | Performance Share Units ("PSUs") are performance-based awards for the achievement of specified performance metrics by specified deadlines, which are settled in cash and vest over a three-year period in tranches of 20%, 30% and 50%. |
Vesting Tranche One Period [member] | Restricted Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Vesting tranche percentage sharebased arrangements | 20.00% |
Vesting Tranche One Period [member] | Performance Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Vesting tranche percentage sharebased arrangements | 20.00% |
Vesting Tranche Two Period [member] | Restricted Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Vesting tranche percentage sharebased arrangements | 30.00% |
Vesting Tranche Two Period [member] | Performance Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Vesting tranche percentage sharebased arrangements | 30.00% |
Vesting Tranche Three Period [member] | Restricted Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Vesting tranche percentage sharebased arrangements | 50.00% |
Vesting Tranche Three Period [member] | Performance Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Vesting tranche percentage sharebased arrangements | 50.00% |
Share Based Payments (Schedule
Share Based Payments (Schedule of Outstanding Units Activity) (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($)shares | |
Deferred Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Outstanding, other than options, beginning | shares | 883,068 | 1,016,416 |
Granted, other units | shares | 91,108 | 201,319 |
Paid, other units | shares | (238,027) | |
Increase (decrease), other units | shares | (96,640) | |
Outstanding, other than options, ending | shares | 974,176 | 883,068 |
Outstanding, beginning balance, fair value | $ 4,992 | $ 2,279 |
Fair Value, granted, other units | 429 | 781 |
Outstanding, ending balance, fair value | 5,094 | 4,992 |
Fair Value, Paid in Cash, other units | (1,721) | |
Fair value increase (decrease), other units | (902) | |
Change in fair value, other units | $ (327) | $ 4,555 |
Restricted Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Outstanding, other than options, beginning | shares | 1,337,720 | 1,015,846 |
Paid, other units | shares | (406,022) | (419,019) |
Forfeited or cancelled, other units | shares | (5,007) | (49,053) |
Outstanding, other than options, ending | shares | 1,371,227 | 1,337,720 |
Less: Equity grants to executive director and officers | shares | (390,751) | |
Cash settleable other units | shares | 980,476 | |
Outstanding, beginning balance, fair value | $ 4,489 | $ 2,179 |
Fair value, forfeited or cancelled, other units | (5) | |
Outstanding, ending balance, fair value | 5,780 | 4,489 |
Fair Value, Paid in Cash, other units | (2,114) | (2,104) |
Change in fair value, other units | 1,310 | $ 1,421 |
Less: Fair value grants to executive director and officers | (1,845) | |
Fair value cash settleable other units | $ 3,935 | |
Restricted Share Units [member] | Executive Director [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Granted, other units | shares | 317,276 | |
Fair Value, granted, other units | $ 1,161 | |
Restricted Share Units [member] | Officers [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Granted, other units | shares | 406,499 | 389,991 |
Fair Value, granted, other units | $ 1,919 | $ 1,509 |
Restricted Share Units [member] | Employee [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Granted, other units | shares | 38,037 | 82,679 |
Fair Value, granted, other units | $ 181 | $ 323 |
Performance Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Outstanding, other than options, beginning | shares | 885,535 | 1,236,620 |
Paid, other units | shares | (332,076) | (247,324) |
Forfeited or cancelled, other units | shares | (103,761) | |
Outstanding, other than options, ending | shares | 553,459 | 885,535 |
Outstanding, beginning balance, fair value | $ 3,545 | $ 1,194 |
Outstanding, ending balance, fair value | 2,691 | 3,545 |
Fair Value, Paid in Cash, other units | (1,770) | (961) |
Change in fair value, other units | $ 916 | $ 3,312 |
Share Capital (Narrative) (Deta
Share Capital (Narrative) (Details) | 1 Months Ended | 12 Months Ended | ||
Feb. 28, 2017USD ($)shares / $shares | Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($) | May 29, 2017$ / shares | |
Disclosure of classes of share capital [line items] | ||||
Issue of equity | $ 74,804,000 | $ 122,813,000 | ||
Number of shares that remain available under the plan for issuance | shares | 2,222,905 | |||
Expense from share-based payment transactions with employees | $ 3,841,000 | 14,138,000 | ||
Stock Options Clase of Share Capital [member] | ||||
Disclosure of classes of share capital [line items] | ||||
Issuance of common shares, shares | shares | 11,873,750 | |||
Shares issed for the period per share amount | shares / $ | 6.30 | |||
Proceeds from issuing shares, gross | $ 74,804,000 | |||
Proceeds from issuing shares | $ 70,497,000 | |||
Number of shares authorised | shares | 12,200,000 | |||
Granted, options | shares | 617,694 | |||
Risk free interest rate, share options granted | 0.77% | |||
Expected volatility, share options granted | 63.02% | |||
Option life, share options granted | 3 | |||
Description of expected forfeiture rate | 5.57 | |||
Expected dividend, share options granted | $ 0 | |||
Description of option pricing model, share options granted | Black-Scholes model | |||
Fair value per share granted options | $ / shares | $ 2.61 | |||
Expense from share-based payment transactions with employees | $ 674,000 | $ 468,000 |
Share Capital (Schedule of Shar
Share Capital (Schedule of Share Captial) (Details) | 12 Months Ended | |
Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($)shares | |
Disclosure of classes of share capital [line items] | ||
Outstanding, options, beginning | shares | 3,105,355 | |
Outstanding, options, Weighted average exercise price, beginning | $ | $ 3.66 | |
Stock Options Clase of Share Capital [member] | ||
Disclosure of classes of share capital [line items] | ||
Outstanding, options, beginning | shares | 844,993 | |
Exercised, options | shares | (307,160) | (2,236,861) |
Granted, options | shares | 617,694 | |
Forfeited, options | shares | (23,501) | |
Outstanding, options, ending | shares | 1,155,527 | 844,993 |
Exercisable, options | shares | 537,833 | 459,578 |
Outstanding, options, Weighted average exercise price, beginning | $ | $ 4.19 | |
Exercised, options, Weighted average exercise price | $ | 3.39 | $ 3.45 |
Forfeited, options, Weighted average exercise price | $ | 4.79 | |
Granted, options, Weighted average exercise price | $ | 6.35 | |
Outstanding, options, Weighted average exercise price, ending | $ | 5.56 | 4.19 |
Exercisable, options, Weighted average exercise price | $ | $ 4.64 | $ 3.68 |
Warrants Clase of Share Capital [member] | ||
Disclosure of classes of share capital [line items] | ||
Outstanding, other than options, beginning | shares | 582,977 | |
Exercised, other than options | shares | 238,515 | 931,700 |
Granted, other than options | shares | 1,514,677 | |
Outstanding, other than options, ending | shares | 344,462 | 582,977 |
Weighted average, beginning, other units | $ | $ 6.01 | |
Weighted average, granted, other units | $ | $ 6.01 | |
Weighted average, exercised, other units | $ | 6.01 | 6.01 |
Weighted average, ending, other units | $ | $ 6.01 | $ 6.01 |
Earnings per Share (Narrative)
Earnings per Share (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2016shares | |
Stock Options and Warrants [member] | |
Disclosure of Earnings Per Share [line items] | |
Antidilutive securities excluded from computation of EPS | 0 |
Earnings per Share (Schedule of
Earnings per Share (Schedule of Earnings per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings per Share [abstract] | ||
Net income for the year | $ 66,305 | $ 17,858 |
Weighted average number of shares ('000's) | 158,036 | 136,888 |
Earnings per share - basic | $ 0.42 | $ 0.13 |
Incremental shares from options | 250 | 236 |
Incremental shares from warrants | 26 | 929 |
Weighted average diluted number of shares (000's) | 158,312 | 138,053 |
Diluted earnings per share | $ 0.42 | $ 0.13 |
Sales (Schedule of Sales by Pro
Sales (Schedule of Sales by Product and Geographical Area) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of geographical areas [line items] | ||
Revenue | $ 268,111 | $ 210,255 |
Silver Gold Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | 179,996 | 143,151 |
Silver Lead Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | 42,202 | 40,442 |
Zinc Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | 45,913 | 26,662 |
CANADA | ||
Disclosure of geographical areas [line items] | ||
Revenue | ||
CANADA | Silver Gold Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | ||
CANADA | Silver Lead Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | ||
CANADA | Zinc Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | ||
PERU | ||
Disclosure of geographical areas [line items] | ||
Revenue | 88,115 | 67,104 |
PERU | Silver Lead Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | 42,202 | 40,442 |
PERU | Zinc Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | 45,913 | 26,662 |
MEXICO | ||
Disclosure of geographical areas [line items] | ||
Revenue | 179,996 | 143,151 |
MEXICO | Silver Gold Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | 179,996 | 143,151 |
ARGENTINA | ||
Disclosure of geographical areas [line items] | ||
Revenue | ||
ARGENTINA | Silver Gold Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | ||
ARGENTINA | Silver Lead Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue | ||
ARGENTINA | Zinc Concentrates [member] | ||
Disclosure of geographical areas [line items] | ||
Revenue |
Sales (Schedule of Sales by Maj
Sales (Schedule of Sales by Major Customer) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of major customers [line items] | ||
Revenue | $ 268,111 | $ 210,255 |
Customer One [member] | ||
Disclosure of major customers [line items] | ||
Revenue | 106,850 | 71,184 |
Customer Two [member] | ||
Disclosure of major customers [line items] | ||
Revenue | 73,146 | 71,967 |
Customer Three [member] | ||
Disclosure of major customers [line items] | ||
Revenue | 79,523 | 18,238 |
Customer Four [member] | ||
Disclosure of major customers [line items] | ||
Revenue | 8,508 | 40,646 |
Other Customers [member] | ||
Disclosure of major customers [line items] | ||
Revenue | $ 84 | $ 8,220 |
Cost of Sales (Schedule of Cost
Cost of Sales (Schedule of Cost of Sales) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Direct mining costs | $ 93,663 | $ 78,621 |
Salaries and benefits | 11,299 | 10,096 |
Workers' Participation | 7,350 | 5,715 |
Depletion and depreciation | 42,104 | 32,717 |
Royalties | 4,135 | 2,500 |
Cost of sales | 158,551 | 129,649 |
Caylloma M&I Property [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Direct mining costs | 35,476 | 32,047 |
Salaries and benefits | 6,013 | 5,399 |
Workers' Participation | 1,545 | 973 |
Depletion and depreciation | 9,175 | 7,958 |
Royalties | 1,283 | 873 |
Cost of sales | 53,492 | 47,250 |
San Jose M&I Property [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Direct mining costs | 58,187 | 46,574 |
Salaries and benefits | 5,286 | 4,697 |
Workers' Participation | 5,805 | 4,742 |
Depletion and depreciation | 32,929 | 24,759 |
Royalties | 2,852 | 1,627 |
Cost of sales | $ 105,059 | $ 82,399 |
Selling General and Administ112
Selling General and Administrative (Schedule of Selling General And Administrative Expenses) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Selling, General and Administrative [abstract] | ||
General and administrative expense | $ 19,320 | $ 15,616 |
Workers' participation | 1,750 | 1,363 |
Selling, genereal and administrative subtotal | 21,070 | 16,979 |
Share-based payments | 3,841 | 14,138 |
Total selling, general and administrative expense | $ 24,911 | $ 31,117 |
Other Expenses (Schedule of Oth
Other Expenses (Schedule of Other Expenses) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Other Expense [abstract] | ||
Loss (gain) on disposal of property, plant, and equipment | $ 1,450 | $ (3) |
Write off of inventories | 985 | 280 |
Write off of mineral properties | 202 | 1,143 |
Other income | (956) | |
Other expenses, by nature | $ 1,681 | $ 1,420 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [line items] | ||||
Applicable tax rate | 26.00% | 26.00% | ||
PERU | Changes in tax rates or tax laws enacted or announced [member] | ||||
Income Taxes [line items] | ||||
Applicable tax rate | 29.50% | |||
ARGENTINA | ||||
Income Taxes [line items] | ||||
Applicable tax rate | 35.00% | |||
ARGENTINA | Changes in tax rates or tax laws enacted or announced [member] | ||||
Income Taxes [line items] | ||||
Applicable tax rate | 25.00% | 30.00% | ||
British Columbia [member] | ||||
Income Taxes [line items] | ||||
Applicable tax rate | 11.00% | |||
British Columbia [member] | Changes in tax rates or tax laws enacted or announced [member] | ||||
Income Taxes [line items] | ||||
Applicable tax rate | 12.00% | |||
CANADA | ||||
Income Taxes [line items] | ||||
Resource related expense accumulated with no deferred tax benefit recognized | $ 5,773 | $ 3,271 | ||
CANADA | Changes in tax rates or tax laws enacted or announced [member] | ||||
Income Taxes [line items] | ||||
Applicable tax rate | 27.00% |
Income Taxes (Schedule of Incom
Income Taxes (Schedule of Income Tax Reconciliation) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [abstract] | ||
Net income before tax | $ 104,951 | $ 47,110 |
Statutory tax rate | 26.00% | 26.00% |
Anticipated income tax at statutory rates | $ 27,287 | $ 12,249 |
Non-deductible expenditures | 1,082 | 514 |
Differences between Canadian and foreign tax rates | 5,804 | 2,995 |
Change in estimate | 88 | (511) |
Effect of change in tax rates | (1,576) | (622) |
Inflation adjustment | (2,242) | (933) |
Impact of foreign exchange | (666) | 5,328 |
Change in deferred tax assets | 4,194 | 4,839 |
Mining taxes | 4,568 | 2,738 |
Withholding taxes | 649 | 2,760 |
Other items | (542) | (105) |
Total tax expense | 38,646 | 29,252 |
Current income tax expense | 34,863 | 29,063 |
Deferred income tax expense | $ 3,783 | $ 189 |
Income Taxes (Schedule of Curen
Income Taxes (Schedule of Curent and Deferred Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [abstract] | ||
Current taxes on profit for the year | $ 34,940 | $ 29,791 |
Changes in estimates related to prior years | (77) | (728) |
Total current tax expense (income) and adjustments for current tax of prior periods | 34,863 | 29,063 |
Origination and reversal of temporary differences | 5,194 | 594 |
Changes in estimates related to prior years | 165 | 217 |
Effect of changes in tax rates | (1,576) | (622) |
Deferred tax expense (income) | 3,783 | 189 |
Total tax expense | $ 38,646 | $ 29,252 |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Net deferred tax assets | $ 10,264 | $ 6,838 | ||
Net deferred tax liabilities | (38,921) | (31,712) | ||
Net deferred tax liabilities | $ (24,874) | $ (24,685) | (28,657) | (24,874) |
Reconciliation of changes in deferred tax liability (asset) [abstract] | ||||
Begining balance | 24,874 | 24,685 | ||
Deferred income tax expense through income statement | 3,783 | 189 | ||
Ending balance | $ 28,657 | $ 24,874 | ||
Other temporary differences [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Net deferred tax assets | 6,268 | 2,898 | ||
Net deferred tax liabilities | (474) | (8,155) | ||
Provision for decommissioning, restoration and rehabilitation costs [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Net deferred tax assets | 3,996 | 3,940 | ||
Mineral Properties [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Net deferred tax liabilities | (30,413) | (14,858) | ||
Mining Taxes [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Net deferred tax liabilities | (3,376) | (3,336) | ||
Equipment and Building [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Net deferred tax liabilities | $ (4,658) | $ (5,363) |
Income Taxes (Schedule of Unrec
Income Taxes (Schedule of Unrecognized Deductible Temporary Difference and Unused Tax Losses) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Income Taxes [line items] | ||
Non capital losses | $ 73,994 | $ 55,500 |
Provision and other | 11,720 | 13,074 |
Share issue costs | 4,473 | 624 |
Mineral properties, plant and equipment | 762 | 1,801 |
Derivative liabilities | 254 | |
Capital losses | 906 | 846 |
Unrecognized deductible temporary differences | 91,855 | 72,099 |
MEXICO | ||
Income Taxes [line items] | ||
Non capital losses | 332 | 450 |
Temporary differences associated with investments in subsidiaries, branches and associates and interests in joint arrangements for which deferred tax liabilities have not been recognised | 69,044 | 66,035 |
PERU | ||
Income Taxes [line items] | ||
Temporary differences associated with investments in subsidiaries, branches and associates and interests in joint arrangements for which deferred tax liabilities have not been recognised | $ 98,070 | $ 58,017 |
Income Taxes (Schedule of Tax L
Income Taxes (Schedule of Tax Losses Expiry Dates) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [line items] | ||
Unused tax losses for which no deferred tax asset recognised | $ 73,994 | $ 55,500 |
CANADA | ||
Income Taxes [line items] | ||
Unused tax losses for which no deferred tax asset recognised | $ 74,300 | 55,500 |
CANADA | Bottom of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2,025 | |
CANADA | Top of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2,037 | |
ARGENTINA | ||
Income Taxes [line items] | ||
Unused tax losses for which no deferred tax asset recognised | $ 3,700 | |
ARGENTINA | Bottom of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2,018 | |
ARGENTINA | Top of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2,022 | |
MEXICO | ||
Income Taxes [line items] | ||
Unused tax losses for which no deferred tax asset recognised | $ 332 | 450 |
MEXICO | Bottom of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2,021 | |
MEXICO | Top of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2,025 | |
BARBADOS | ||
Income Taxes [line items] | ||
Unused tax losses for which no deferred tax asset recognised | $ 266 | $ 185 |
BARBADOS | Bottom of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2,022 | |
BARBADOS | Top of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2,024 |
Segment Information (Schedule o
Segment Information (Schedule of Segment Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of operating segments [line items] | ||
Revenues from external customers | $ 268,111 | $ 210,255 |
Cost of sales | (158,551) | (129,649) |
Selling, general and administration | (24,911) | (31,117) |
Impairment reversal (note 14) | 31,119 | |
Other income (expenses) | (5,441) | (948) |
Finance items | (5,376) | (1,431) |
Income before Taxes | 104,951 | 47,110 |
Total tax expense | (38,646) | (29,252) |
Net income for the year | 66,305 | 17,858 |
Assets | 706,648 | 562,915 |
Liabilities | 143,064 | 139,764 |
Capital Expenditure | 47,058 | 48,061 |
Material reconciling items [member] | ||
Disclosure of operating segments [line items] | ||
Selling, general and administration | (15,662) | (23,684) |
Other income (expenses) | (1,626) | 195 |
Finance items | (867) | (1,847) |
Income before Taxes | (18,155) | (25,336) |
Total tax expense | (643) | (2,728) |
Net income for the year | (18,798) | (28,064) |
Assets | 82,978 | 40,351 |
Liabilities | 57,889 | 57,132 |
Capital Expenditure | 540 | 283 |
Bateas Reporting Segment [member] | ||
Disclosure of operating segments [line items] | ||
Revenues from external customers | 88,115 | 67,104 |
Cost of sales | (53,492) | (47,250) |
Selling, general and administration | (3,251) | (2,616) |
Impairment reversal (note 14) | 31,119 | |
Other income (expenses) | (116) | (767) |
Finance items | (4,620) | 718 |
Income before Taxes | 57,755 | 17,189 |
Total tax expense | (17,136) | (4,411) |
Net income for the year | 40,619 | 12,778 |
Assets | 156,513 | 105,001 |
Liabilities | 35,169 | 23,622 |
Capital Expenditure | 13,184 | 8,996 |
Cuzcatlan Reporting Segment [member] | ||
Disclosure of operating segments [line items] | ||
Revenues from external customers | 179,996 | 143,151 |
Cost of sales | (105,059) | (82,399) |
Selling, general and administration | (5,998) | (4,817) |
Other income (expenses) | (3,699) | (376) |
Finance items | 111 | (302) |
Income before Taxes | 65,351 | 55,257 |
Total tax expense | (20,927) | (21,935) |
Net income for the year | 44,424 | 33,322 |
Assets | 316,692 | 279,316 |
Liabilities | 48,441 | 57,962 |
Capital Expenditure | 22,577 | 36,773 |
Lindero Reporting Segment [member] | ||
Disclosure of operating segments [line items] | ||
Total tax expense | 60 | (178) |
Net income for the year | 60 | (178) |
Assets | 150,465 | 138,247 |
Liabilities | 1,565 | 1,048 |
Capital Expenditure | $ 10,757 | $ 2,009 |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule of Fair Value of Financial Instruments) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | $ 706,648 | $ 562,915 |
Liabilities | (143,064) | (139,764) |
Level 1 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 555 | 1,266 |
Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 34,391 | 24,471 |
Financial liabilities, at fair value | (2,328) | (254) |
Level 2 of fair value hierarchy [member] | Interest rate swap contract [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 140 | |
Financial liabilities, at fair value | (254) | |
Level 2 of fair value hierarchy [member] | Forward contract [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 973 | |
Metal Forward Sales Contracts [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (2,328) | |
Marketable Securites - Shares [member] | Level 1 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 555 | 1,266 |
Marketable Securites - Warrants [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 1 | 313 |
Trade Receivables Concentrate Sales [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 34,250 | 23,185 |
At fair value [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 34,946 | 25,737 |
Liabilities | (2,328) | |
Financial liabilities, at fair value | (254) | |
At fair value [member] | Interest rate swap contract [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 140 | |
Financial liabilities, at fair value | (254) | |
At fair value [member] | Forward contract [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 973 | |
At fair value [member] | Financial assets available-for-sale, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 555 | 1,266 |
At fair value [member] | Financial assets at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 34,251 | 24,471 |
Liabilities | (2,328) | |
At fair value [member] | Financial assets at fair value through profit or loss, category [member] | Forward contract [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 973 | |
At fair value [member] | Financial assets at fair value through other comprehensive income, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 140 | |
Liabilities | (254) | |
At fair value [member] | Financial assets at fair value through other comprehensive income, category [member] | Interest rate swap contract [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 140 | |
Liabilities | (254) | |
At fair value [member] | Metal Forward Sales Contracts [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (2,328) | |
At fair value [member] | Metal Forward Sales Contracts [member] | Financial assets at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (2,328) | |
At fair value [member] | Marketable Securites - Shares [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 555 | 1,266 |
At fair value [member] | Marketable Securites - Shares [member] | Financial assets available-for-sale, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 555 | 1,266 |
At fair value [member] | Marketable Securites - Warrants [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 1 | 313 |
At fair value [member] | Marketable Securites - Warrants [member] | Financial assets at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 1 | 313 |
At fair value [member] | Trade Receivables Concentrate Sales [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 34,250 | 23,185 |
At fair value [member] | Trade Receivables Concentrate Sales [member] | Financial assets at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 34,250 | 23,185 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 213,825 | 123,656 |
Financial assets, at fair value | 213,825 | 123,656 |
Liabilities | (81,638) | (99,439) |
Financial liabilities, at fair value | (30,047) | (46,413) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Other Liabilities [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (81,638) | (99,439) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Loans and receivables, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 213,825 | 123,656 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (51,720) | (53,026) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Trade Payables [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (13,576) | (15,251) |
Financial liabilities, at fair value | (13,576) | (15,251) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Trade Payables [member] | Other Liabilities [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (13,576) | (15,251) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Payroll Payable [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (13,894) | (10,755) |
Financial liabilities, at fair value | (13,894) | (10,755) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Payroll Payable [member] | Other Liabilities [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (13,894) | (10,755) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Share Units Payable [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (11,720) | (13,026) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Share Units Payable [member] | Other Liabilities [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (11,720) | (13,026) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Share Units Payable [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (11,720) | (13,026) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Finance Lease Obligations [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (906) | (3,034) |
Financial liabilities, at fair value | (906) | (3,034) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Finance Lease Obligations [member] | Other Liabilities [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (906) | (3,034) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Bank Loan Payable [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (39,871) | (39,768) |
Financial liabilities, at fair value | 232 | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Bank Loan Payable [member] | Other Liabilities [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (39,871) | (39,768) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Bank Loan Payable [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (40,000) | (40,000) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Other Payables [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (1,671) | (17,605) |
Financial liabilities, at fair value | (1,671) | (17,605) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Other Payables [member] | Other Liabilities [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | (1,671) | (17,605) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Cash and Cash Equivalent [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 183,074 | 82,484 |
Financial assets, at fair value | 183,074 | 82,484 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Cash and Cash Equivalent [member] | Loans and receivables, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 183,074 | 82,484 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Term Deposits [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 29,500 | 41,100 |
Financial assets, at fair value | 29,500 | 41,100 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Term Deposits [member] | Loans and receivables, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 29,500 | 41,100 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Other Receivables [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 1,251 | 72 |
Financial assets, at fair value | 1,251 | 72 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Other Receivables [member] | Loans and receivables, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | $ 1,251 | $ 72 |
Management of Financial Risk (S
Management of Financial Risk (Schedule of Company's Maximum Exposure to Credit Risk) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Cash and cash equivalents | $ 183,074 | $ 82,484 | $ 72,218 |
Short term investments (note 5) | 29,500 | 41,100 | |
Marketable securities | 556 | 1,579 | |
Derivative assets | 140 | 973 | |
Accounts receivable and other assets | 36,370 | 24,987 | |
Income tax receivable | 130 | 72 | |
Other non-current receivables | 1,223 | 562 | |
Credit risk [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Cash and cash equivalents | 183,074 | 82,484 | |
Short term investments (note 5) | 29,500 | 41,100 | |
Marketable securities | 556 | 1,579 | |
Derivative assets | 140 | 973 | |
Accounts receivable and other assets | 36,370 | 24,987 | |
Income tax receivable | 130 | 72 | |
Other non-current receivables | 1,223 | 562 | |
Total financial assets | $ 250,993 | $ 151,757 |
Management of Financial Risk123
Management of Financial Risk (Schedule of Company's Liquidity Risk) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Other non-current liabilities | $ 1,356 | $ 3,544 |
Liquidity risk [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Trade and other payables | 41,476 | 40,160 |
Bank loan | 40,000 | 40,000 |
Derivative liabilities | 2,328 | 254 |
Income tax payable | 14,237 | 14,447 |
Finance lease obligations | 906 | 3,101 |
Other non-current liabilities | 1,356 | 3,544 |
Operating leases | 2,312 | 873 |
Provisions | 15,186 | 14,228 |
Total financial liabilities | 117,801 | 116,607 |
Liquidity risk [member] | Not later than one year [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Trade and other payables | 41,476 | 40,160 |
Derivative liabilities | 2,328 | 254 |
Income tax payable | 14,237 | 14,447 |
Finance lease obligations | 906 | 2,189 |
Operating leases | 653 | 431 |
Provisions | 1,708 | 1,154 |
Total financial liabilities | 61,308 | 58,635 |
Liquidity risk [member] | Later than one year and not later than three years [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Bank loan | 40,000 | 40,000 |
Finance lease obligations | 912 | |
Other non-current liabilities | 1,356 | 3,544 |
Operating leases | 1,025 | 360 |
Provisions | 4,690 | 2,728 |
Total financial liabilities | 47,071 | 47,544 |
Liquidity risk [member] | Later than three years and not later than five years [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Operating leases | 634 | 82 |
Provisions | 5,465 | 5,172 |
Total financial liabilities | 6,099 | 5,254 |
Liquidity risk [member] | Later than five years [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Provisions | 3,323 | 5,174 |
Total financial liabilities | $ 3,323 | $ 5,174 |
Management of Financial Risk (D
Management of Financial Risk (Disclosure of Nature and Extent Arising from Financial Instruments - Currency Risk) (Details) - Currency risk [member] S/ in Thousands, $ in Thousands, $ in Thousands, $ in Thousands, $ in Thousands | 12 Months Ended | ||||||||||||
Dec. 31, 2017PEN (S/) | Dec. 31, 2017MXN ($) | Dec. 31, 2017ARS ($) | Dec. 31, 2017CAD ($) | Dec. 31, 2017MXN ($) | Dec. 31, 2017ARS ($) | Dec. 31, 2017CAD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016PEN (S/) | Dec. 31, 2016MXN ($) | Dec. 31, 2016ARS ($) | Dec. 31, 2016CAD ($) | Dec. 31, 2016USD ($) | |
CANADA | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | $ (7,341) | $ (5,852) | $ (7,195) | $ (5,359) | |||||||||
Effect of Foreign denominated items | $ 509 | ||||||||||||
Change percentage, currency | 10.00% | 10.00% | 10.00% | 10.00% | |||||||||
CANADA | Cash and Cash Equivalent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | 4,511 | 9,436 | |||||||||||
CANADA | Marketable Securities [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | 697 | 2,300 | |||||||||||
CANADA | Accounts Receivable and Other Assets [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | 292 | 343 | |||||||||||
CANADA | Investments In Associate [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | 3,685 | ||||||||||||
CANADA | Trade and Other Payables [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | (14,950) | (14,581) | |||||||||||
CANADA | Due to Related Party [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | (14) | ||||||||||||
CANADA | Other Liabilities [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | $ (1,576) | $ (4,679) | |||||||||||
PERU | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | S/ (18,333) | (5,650) | S/ (40,563) | (12,072) | |||||||||
Effect of Foreign denominated items | S/ | S/ 739 | ||||||||||||
Change percentage, currency | 10.00% | 10.00% | 10.00% | 10.00% | |||||||||
PERU | Cash and Cash Equivalent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | S/ | S/ 693 | 4,098 | |||||||||||
PERU | Accounts Receivable and Other Assets [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | S/ | 4,428 | 3,810 | |||||||||||
PERU | Income Tax Receivable [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | S/ | 421 | 243 | |||||||||||
PERU | Trade and Other Payables [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | S/ | (17,244) | (13,666) | |||||||||||
PERU | Provisions Current [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | S/ | (2,765) | ||||||||||||
PERU | Income Tax Payable [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | S/ | S/ (6,631) | (7,564) | |||||||||||
PERU | Provisions Noncurrent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | S/ | S/ (24,719) | ||||||||||||
MEXICO | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | $ (482,771) | (24,462) | $ (496,595) | (24,032) | |||||||||
Effect of Foreign denominated items | $ 2,351 | ||||||||||||
Change percentage, currency | 10.00% | 10.00% | 10.00% | 10.00% | |||||||||
MEXICO | Cash and Cash Equivalent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | 27,842 | 7,788 | |||||||||||
MEXICO | Accounts Receivable and Other Assets [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | 3,018 | 3,369 | |||||||||||
MEXICO | Deposits on Noncurrent Assets [Member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | 4,325 | ||||||||||||
MEXICO | Trade and Other Payables [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | (253,702) | (208,364) | |||||||||||
MEXICO | Provisions Current [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | (2,418) | (6,169) | |||||||||||
MEXICO | Income Tax Payable [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | (176,977) | (202,804) | |||||||||||
MEXICO | Other Liabilities [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | (1,967) | (1,220) | |||||||||||
MEXICO | Provisions Noncurrent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | $ (78,567) | $ (93,520) | |||||||||||
ARGENTINA | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | $ 4,405 | $ 236 | $ 14,371 | $ 904 | |||||||||
Effect of Foreign denominated items | $ 52 | ||||||||||||
Change percentage, currency | 10.00% | 10.00% | 10.00% | 10.00% | |||||||||
ARGENTINA | Cash and Cash Equivalent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | 12,186 | 16,502 | |||||||||||
ARGENTINA | Accounts Receivable and Other Assets [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | 33 | 115 | |||||||||||
ARGENTINA | Deposits on Noncurrent Assets [Member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on assets | 8,419 | ||||||||||||
ARGENTINA | Trade and Other Payables [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | $ (7,814) | (3,891) | |||||||||||
ARGENTINA | Income Tax Payable [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | 509 | ||||||||||||
ARGENTINA | Provisions Noncurrent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exchange exposure on liabilities | $ (7,283) |
Management of Financial Risk125
Management of Financial Risk (Disclosure of Nature and Extent Arising from Financial Instruments - Commodity Price Risk) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Gold Commodity Type [member] | Commodity price risk [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on Sales | $ 3,483 |
Change percentage, commodity | 10.00% |
Silver Commodity Type [member] | Commodity price risk [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on Sales | $ 6,708 |
Change percentage, commodity | 10.00% |
Lead Commodity [member] | Commodity price risk [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on Sales | $ 279 |
Change percentage, commodity | 10.00% |
Zinc Commodity [member] | Commodity price risk [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on Sales | $ 453 |
Change percentage, commodity | 10.00% |
Lead And Zinc Commodity [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Percentage of production with forward sales and colloar swaps | 50.00% |
Supplemental Cashflow Inform126
Supplemental Cashflow Information (Schedule of Changes in Liabilities Arising from Financing Activities) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Long-term borrowings [member] | ||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||
Liabilities arising from financing activities at beginning of period | $ 39,768 | $ 39,486 |
Amortization of transaction costs | 103 | 282 |
Liabilities arising from financing activities at end of period | 39,871 | 39,768 |
Lease liabilities [member] | ||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||
Liabilities arising from financing activities at beginning of period | 3,034 | 1,884 |
Additions | 2,362 | |
Principal payments | (2,128) | (1,212) |
Liabilities arising from financing activities at end of period | 906 | 3,034 |
Assets held to hedge liabilities arising from financing activities [member] | ||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||
Liabilities arising from financing activities at beginning of period | 253 | 351 |
Interest accrued | (25) | (14) |
Change in fair value | (368) | (84) |
Liabilities arising from financing activities at end of period | $ (140) | $ 253 |
Contingencies and Capital Co127
Contingencies and Capital Commitments (Narrative) (Details) - USD ($) | Oct. 27, 2015 | Mar. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 11, 2015 |
Disclosure of other provisions [line items] | |||||||
Guarantees with government current year | $ 3,179,000 | ||||||
Guarantees with government next year | 4,990,000 | ||||||
Guarantees with government in two years | 6,928,000 | ||||||
Tax expense (income) | 38,646,000 | $ 29,252,000 | |||||
Value added tax payables | 1,285,000 | 1,866,000 | |||||
MEXICO | Tax contingent liability [member] | |||||||
Disclosure of other provisions [line items] | |||||||
Tax benefit assessment | $ 198,000 | ||||||
General import tax | 30,000 | ||||||
Value added tax payables | 90,000 | ||||||
Custom management tax | 5,000 | ||||||
Tax fines | $ 94,000 | ||||||
Tax effect security bond | $ 211,000 | ||||||
PERU | Tax contingent liability [member] | |||||||
Disclosure of other provisions [line items] | |||||||
Tax expense (income) | $ 1,750,000 | $ 1,750,000 | |||||
Income tax interest and penaltie | 573,000 | 573,000 | |||||
Income tax letter bond | $ 838,000 | $ 838,000 | |||||
Income tax expense, interest and penalties, accrued | 0 | 0 | |||||
Lindero Project [member] | |||||||
Disclosure of other provisions [line items] | |||||||
Capital commitments | 5,715,000 | ||||||
Provision for credit commitments [member] | |||||||
Disclosure of other provisions [line items] | |||||||
Undiscounted closure costs | $ 9,230,000 | ||||||
Progressive closure activities | 3,646,000 | ||||||
Final closure activities | 4,971,000 | ||||||
Post closure activities | $ 613,000 | ||||||
Bank letter of guarantee | $ 4,990,000 | $ 3,179,000 |
Contingencies and Capital Co128
Contingencies and Capital Commitments (Schedule of Operating Lease Payments) (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | $ 2,312 |
Buildings [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 2,185 |
Computer equipment [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 126 |
Machinery and Equipment [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 1 |
Not later than one year [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 653 |
Not later than one year [member] | Buildings [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 563 |
Not later than one year [member] | Computer equipment [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 89 |
Not later than one year [member] | Machinery and Equipment [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 1 |
Later than one year and not later than three years [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 1,025 |
Later than one year and not later than three years [member] | Buildings [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 988 |
Later than one year and not later than three years [member] | Computer equipment [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 37 |
Later than three years and not later than five years [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | 634 |
Later than three years and not later than five years [member] | Buildings [member] | |
Disclosure of finance lease and operating lease by lessee [line items] | |
Lease payment | $ 634 |
Uncategorized Items - fsm-20171
Label | Element | Value |
Cash equivalents | ifrs-full_CashEquivalents | $ 4,455,000 |
Cash equivalents | ifrs-full_CashEquivalents | 103,020,000 |
Cash | ifrs-full_Cash | 78,029,000 |
Cash | ifrs-full_Cash | $ 80,054,000 |