Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 | Feb. 16, 2015 | Jun. 30, 2014 |
Document Entity Information | |||
Entity Registrant Name | Thompson Creek Metals CO Inc. | ||
Entity Central Index Key | 1415020 | ||
Document Type | 10-K | ||
Document Period End Date | 31-Dec-14 | ||
Amendment Flag | FALSE | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $633 | ||
Entity Common Stock, Shares Outstanding | 214,343,626 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Current assets | ||
Cash and cash equivalents | $265.60 | $233.90 |
Accounts receivable | 42 | 47.8 |
Accounts receivable-related parties | 4.1 | 6.3 |
Product inventory | 96.6 | 122.1 |
Materials and supplies inventory | 30.4 | 65.8 |
Prepaid expenses and other current assets | 7.7 | 13.2 |
Income and mining taxes receivable | 0.5 | 4.4 |
Restricted cash | 1.6 | 2.5 |
Deferred income tax assets (Note 18) | 0.1 | 2.8 |
Total current assets | 448.6 | 498.8 |
Property, plant, equipment and development, net | 2,218.30 | 2,538 |
Restricted cash | 5.7 | 5.7 |
Reclamation deposits | 10.3 | 7.4 |
Other assets | 35.4 | 24.2 |
Deferred income tax assets | 128 | 134.6 |
Total assets | 2,846.30 | 3,208.70 |
Current liabilities | ||
Accounts payable and accrued liabilities | 93.1 | 104.9 |
Income, mining and other taxes payable | 1.8 | 0.7 |
Current portion of Gold Stream deferred revenue | 40.4 | 21.3 |
Current portion of long-term debt | 3.9 | 15.4 |
Current portion of long-term lease obligations | 22.8 | 21.8 |
Deferred income tax liabilities | 14.1 | 17.2 |
Other current liabilities | 0.3 | 2.1 |
Total current liabilities | 176.4 | 183.4 |
Gold Stream deferred revenue | 721.1 | 759.4 |
Long-term debt | 872.3 | 906.9 |
Long-term lease obligations | 45.7 | 68.7 |
Other liabilities | 5.2 | 6.5 |
Asset retirement obligations | 35.3 | 43.8 |
Deferred income tax liabilities | 102.8 | 133.8 |
Total liabilities | 1,958.80 | 2,102.50 |
Commitments and contingencies | ||
Shareholders' equity | ||
Common stock, no-par, 214,148,315 and 171,452,069 shares issued and outstanding as of December 31, 2014 and December 31, 2013, respectively | 1,186.10 | 1,028.90 |
Additional paid-in capital | 86.6 | 230.7 |
Retained deficit | -246.9 | -122.7 |
Accumulated other comprehensive income (loss) | -138.3 | -30.7 |
Total shareholders' equity | 887.5 | 1,106.20 |
Total liabilities and shareholders' equity | $2,846.30 | $3,208.70 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) | Dec. 31, 2014 | Dec. 31, 2013 |
Statement of Financial Position [Abstract] | ||
Common stock, shares issued | 214,148,315 | 171,452,069 |
Common stock, shares outstanding | 214,148,315 | 171,452,069 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS and COMPREHENSIVE INCOME (LOSS) (USD $) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
REVENUES | |||
Copper sales | $178.40 | $8.70 | $0 |
Gold sales | 172.3 | 5.6 | 0 |
Molybdenum sales | 441.2 | 400.8 | 386.8 |
Tolling, calcining and other | 14.8 | 19.3 | 14.6 |
Total revenues | 806.7 | 434.4 | 401.4 |
Cost of sales | |||
Operating expenses | 523.8 | 328.2 | 374.5 |
Depreciation, depletion and amortization | 99.9 | 51.9 | 64 |
Total cost of sales | 623.7 | 380.1 | 438.5 |
Selling and marketing | 14.1 | 9.3 | 8 |
Accretion expense | 3.6 | 2.4 | 2.3 |
Asset impairments | 104.8 | 194.9 | 530.5 |
General and administrative | 23.5 | 21.6 | 27.6 |
Exploration | 0.9 | 1.4 | 2.2 |
Total costs and expenses | 770.6 | 609.7 | 1,009.10 |
OPERATING INCOME (LOSS) | 36.1 | -175.3 | -607.7 |
OTHER (INCOME) EXPENSE | |||
Goodwill impairment | 0 | 0 | 47 |
Start-up costs | 0 | 10.3 | 5.5 |
Change in fair value of common stock purchase warrants | 0 | 0 | -1.8 |
(Gain) loss on foreign exchange | 99.8 | 70.8 | -12.2 |
Interest and finance fees | 92.3 | 24.1 | 12.8 |
(Gain) loss from debt extinguishment | -1.6 | 0 | 0 |
Interest (income) expense | -0.4 | -1 | -1.1 |
Other | -8.1 | -1.1 | -0.5 |
Total other (income) expense | 182 | 103.1 | 49.7 |
Income (loss) before income and mining taxes | -145.9 | -278.4 | -657.4 |
INCOME AND MINING TAX EXPENSE (BENEFIT) | |||
Current income and mining tax expense (benefit) | 15.4 | 13.9 | -5.4 |
Deferred income and mining tax expense (benefit) | -37.1 | -77.3 | -105.7 |
Total income and mining tax expense (benefit) | -21.7 | -63.4 | -111.1 |
NET INCOME (LOSS) | -124.2 | -215 | -546.3 |
Post retirement benefit, net of tax | -0.4 | -0.2 | 0 |
Foreign currency translation | -107.2 | -88.4 | 33.9 |
Total other comprehensive income (loss) | -107.6 | -88.6 | 33.9 |
Total comprehensive income (loss) | ($231.80) | ($303.60) | ($512.40) |
NET INCOME (LOSS) PER SHARE | |||
Basic (in dollars per share) | ($0.64) | ($1.26) | ($3.24) |
Diluted (in dollars per share) | ($0.64) | ($1.26) | ($3.24) |
Weighted-average number of common shares | |||
Basic (in shares) | 193.7 | 171.1 | 168.4 |
Diluted (in shares) | 193.7 | 171.1 | 168.4 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Cash Flows [Abstract] | |||
Net income (loss) | ($124.20) | ($215) | ($546.30) |
Items not affecting cash: | |||
Asset impairments | 104.8 | 194.9 | 530.5 |
Goodwill impairment | 0 | 0 | 47 |
Change in fair value of common stock purchase warrants | 0 | 0 | -1.8 |
Depreciation, depletion and amortization | 99.9 | 51.9 | 64 |
Deferred revenue related to Gold Stream Arrangement | -31.2 | -1 | 0 |
Accretion expense | 3.6 | 2.4 | 2.3 |
Amortization of finance fees | 5 | 1.3 | 9.6 |
Stock-based compensation | 5.8 | 5.4 | 6.3 |
Obsolete materials and supplies inventory write downs | 2.8 | 2.4 | 0.2 |
Product inventory write downs | 22.5 | 51.6 | 52.6 |
Deferred income tax benefit | -37.1 | -77.3 | -105.7 |
Unrealized gain on financial instruments and mark-to-market adjustments | -5 | -0.2 | 1.7 |
Unrealized foreign exchange (gain) loss | 101.3 | 70.4 | -13.3 |
Debt extinguishment | -2.2 | 0 | 0 |
Change in current assets and liabilities | 10.9 | -42.6 | -75.3 |
Gold Stream Arrangement net payable - ounces to be delivered | 27.9 | 0.6 | 0 |
Cash generated by (used in) operating activities | 184.8 | 44.8 | -28.2 |
INVESTING ACTIVITIES | |||
Capital expenditures | -82.1 | -428.9 | -771.5 |
Capitalized interest payments | -9.1 | -74.7 | -40.7 |
Disposition of assets | 0 | 0.2 | 0 |
Restricted cash | 0.2 | 33.2 | 5.6 |
Reclamation refund | 7.1 | 28.1 | 0 |
Reclamation deposit | -10 | -7 | -5.3 |
Cash used in investing activities | -93.9 | -449.1 | -811.9 |
FINANCING ACTIVITIES | |||
Proceeds from the Gold Stream Arrangement | 0 | 111.9 | 305 |
Proceeds from equipment financings | 0 | 37.8 | 49.3 |
Repayments of equipment financings | -21.7 | -23.2 | -9.7 |
Repayment of long-term debt | -11.2 | -16.6 | -10.9 |
Senior unsecured note repurchase | -23.2 | 0 | 0 |
Proceeds (costs) from issuance of common shares, net | 0.3 | 0.9 | -0.3 |
Proceeds from senior secured note issuance | 0 | 0 | 346.8 |
Proceeds from senior unsecured note issuance | 0 | 0 | 200 |
Debt issuance costs | 0 | 0 | -22 |
Proceeds from tangible equity units | 0 | 0 | 220 |
Issuance costs related to equity portion of tangible equity units | 0 | 0 | -6.4 |
Cash (used in) generated by financing activities | -55.8 | 110.8 | 1,071.80 |
EFFECT OF EXCHANGE RATE CHANGES ON CASH | -3.4 | 0.6 | 0.6 |
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 31.7 | -292.9 | 232.3 |
Cash and cash equivalents, beginning of period | 233.9 | 526.8 | 294.5 |
Cash and cash equivalents, end of period | $265.60 | $233.90 | $526.80 |
CONSOLIDATED_STATEMENTS_OF_SHA
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (USD $) | Total | Common Stock | Additional Paid-in Capital | Retained Earnings (Deficit) | Accumulated Other Comprehensive Income (Loss) | tMEDS | tMEDS | tMEDS |
In Millions, except Share data, unless otherwise specified | Common Stock | Additional Paid-in Capital | ||||||
Balances at at Dec. 31, 2011 | $1,729.50 | $1,014.30 | $52.60 | $638.60 | $24 | |||
Balances at (in shares) at Dec. 31, 2011 | 167,964,000 | |||||||
Increase (Decrease) in Shareholders' Equity | ||||||||
Issuance of tangible equity units | 177.7 | 177.7 | 177.7 | |||||
Amortization of stock-based compensation | 6.3 | 6.3 | ||||||
Shares issued under stock-based compensation | 0.9 | 2.8 | -1.9 | |||||
Shares issued under stock-based compensation (in shares) | 371,000 | |||||||
Tax benefit of stock option exercises | -0.9 | -0.9 | ||||||
Warrant exercises | 0.8 | 0.8 | ||||||
Warrant exercises (in shares) | 392,000 | |||||||
Comprehensive income (loss): | ||||||||
Net income (loss) | -546.3 | -546.3 | ||||||
Post retirement benefit, net of tax | 0 | |||||||
Foreign currency translation | 33.9 | 33.9 | ||||||
Total comprehensive income (loss) | -512.4 | |||||||
Balances at at Dec. 31, 2012 | 1,401.90 | 1,017.90 | 233.8 | 92.3 | 57.9 | |||
Balances at (in shares) at Dec. 31, 2012 | 168,727,000 | |||||||
Increase (Decrease) in Shareholders' Equity | ||||||||
Amortization of stock-based compensation | 5.6 | 5.6 | ||||||
Shares issued under stock-based compensation | 1 | 3.9 | -2.9 | |||||
Shares issued under stock-based compensation (in shares) | 616,000 | |||||||
Tax benefit of stock option exercises | -0.3 | -0.3 | 1.6 | 1.6 | ||||
Settlement of tangible equity units | 7.1 | -7.1 | ||||||
Settlement of tangible equity units (in shares) | 2,109,000 | |||||||
Comprehensive income (loss): | ||||||||
Net income (loss) | -215 | -215 | ||||||
Post retirement benefit, net of tax | -0.2 | -0.2 | ||||||
Foreign currency translation | -88.4 | -88.4 | ||||||
Total comprehensive income (loss) | -303.6 | |||||||
Balances at at Dec. 31, 2013 | 1,106.20 | 1,028.90 | 230.7 | -122.7 | -30.7 | |||
Balances at (in shares) at Dec. 31, 2013 | 171,452,069 | 171,452,000 | ||||||
Increase (Decrease) in Shareholders' Equity | ||||||||
Amortization of stock-based compensation | 5.8 | 5.8 | ||||||
Shares issued under stock-based compensation | -0.1 | 2.4 | -2.5 | |||||
Shares issued under stock-based compensation (in shares) | 566,000 | |||||||
Tax benefit of stock option exercises | -1.8 | -1.8 | 0.1 | 0.1 | ||||
Settlement of tangible equity units | 9.1 | 154.8 | -145.7 | |||||
Settlement of tangible equity units (in shares) | 42,130,000 | |||||||
Comprehensive income (loss): | ||||||||
Net income (loss) | -124.2 | -124.2 | ||||||
Post retirement benefit, net of tax | -0.4 | -0.4 | ||||||
Foreign currency translation | -107.2 | -107.2 | ||||||
Total comprehensive income (loss) | -231.8 | |||||||
Balances at at Dec. 31, 2014 | $887.50 | $1,186.10 | $86.60 | ($246.90) | ($138.30) | |||
Balances at (in shares) at Dec. 31, 2014 | 214,148,315 | 214,148,000 |
Description_of_Business
Description of Business | 12 Months Ended |
Dec. 31, 2014 | |
Basis of Presentation [Abstract] | |
Description of Business | Description of Business |
Thompson Creek Metals Company Inc. ("TCM") is a North American mining company incorporated under the laws of British Columbia with copper, gold and molybdenum mining, milling, processing and marketing operations in Canada and the United States ("US"). | |
The Copper-Gold operations consist of Mount Milligan Mine, a conventional truck-shovel open-pit copper and gold mine and concentrator in British Columbia. The US operations for molybdenum include the Thompson Creek Mine ("TC Mine") (mine and mill) in Idaho and the Langeloth Metallurgical Roasting Facility (the "Langeloth Facility") in Pennsylvania. The Canadian operations for molybdenum consist of a 75% joint venture interest in the Endako Molybdenum Mine Joint Venture ("Endako Mine") (mine, mill and roaster) in British Columbia. As previously disclosed, effective December 31, 2014, TC Mine was placed on care and maintenance after completing the processing of stockpiled ore from Phase 7. TCM is conducting limited stripping at the mine for the next phase of mining (referred to as “Phase 8”) to maintain its options while TCM continue to evaluate alternatives for TC Mine. Additionally, due to adverse conditions in the molybdenum market, TCM's Endako Mine was placed on temporary suspension, effective December 31, 2014. TCM will continue to closely monitor market conditions and re-evaluate the status of the Endako Mine as market conditions warrant. | |
TCM also has a 100% interest in a copper and molybdenum exploration property located in British Columbia (the “Berg property”), a 100% interest in a gold exploration project located in Nunavut, Canada (the "Maze Lake property"), and a 0.51% net smelter return royalty and a 10.2% net profits interest in a zinc and lead exploration project located in Canada (the "Howards Pass property"). |
Significant_Accounting_Policie
Significant Accounting Policies | 12 Months Ended | ||
Dec. 31, 2014 | |||
Accounting Policies [Abstract] | |||
Significant Accounting Policies | Significant Accounting Policies | ||
Basis of Preparation and Principles of Consolidation | |||
The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States ("US GAAP"). The consolidated financial statements include the accounts of TCM and its subsidiaries, and intercompany accounts and transactions have been eliminated in consolidation. TCM also consolidates its 75% proportionate interest in the accounts of the unincorporated Endako Mine joint venture. | |||
Certain prior year amounts in the financial statements have been reclassified to conform to the current year presentation. Intercompany accounts and transactions have been eliminated in consolidation. Financial amounts are presented in United States (“US”) dollars unless otherwise stated. References to C$ are Canadian dollars. | |||
Use of Estimates | |||
The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities as of the date of the financial statements and the reported amounts of revenues and expenditures during the reporting period. As the estimation process is inherently uncertain, actual future outcomes could differ from current estimates and assumptions, potentially having material effects on future financial statements. The more significant areas requiring the use of management estimates include mineral reserve estimation; useful asset lives for depreciation, depletion and amortization; reclamation and closure costs; environmental obligations; deferred taxes and valuation allowances; asset fair values in evaluating asset impairments and estimates of recoverable copper, gold and other minerals. | |||
Currency Translation | |||
The functional currency of TCM and its US operations is the US dollar. Monetary assets and liabilities denominated in foreign currencies are translated into US dollars at exchange rates in effect at the balance sheet date, with resulting gains or losses reported in (gain) loss on foreign exchange in the computation of net income (loss). Other non-monetary assets and liabilities are translated at historic rates. Revenues, expenses and cash flows in foreign currencies are translated into US dollars at average exchange rates. | |||
The functional currency of TCM's Canadian operations is the Canadian dollar. The assets and liabilities for those subsidiaries with a Canadian dollar functional currency are translated at exchange rates in effect at the balance sheet date, and revenues and expenditures are translated at average exchange rates. Differences arising from these foreign currency translations are recorded in the Consolidated Balance Sheets as accumulated other comprehensive income (loss) within Shareholders' equity. | |||
Change in Estimate | |||
On January 1, 2014, the Life of Mine Plan ("LOM") for the Endako Mine was revised to reflect long term molybdenum pricing expectations. As a result, Endako Mine's estimated mine life was reduced to approximately 3.5 years from 15 years. During the second quarter of 2014, in light of the reduced mine life and to better reflect the economic utilization of property, plant and equipment assets at the Endako Mine, TCM reduced the depreciable lives of Endako Mine's property, plant and equipment assets using the straight line and declining balance depreciation convention (the depreciable lives of assets using the units-of-production depreciation convention had been reduced in the first quarter of 2014) and began considering the salvage values of these assets when recognizing its share of depreciation, depletion and amortization expense. This change in estimate, effective as of April 1, 2014, was accounted for prospectively in accordance with ASC 205, Accounting Changes and Error Corrections. This change lowered depreciation expense and increased net income by $2.3 million, or approximately $0.01 per diluted share, and $7.4 million, or approximately $0.04 per diluted share, respectively, for the three months and year ended December 31, 2014. | |||
Fair Value Measurement | |||
US GAAP accounting standards define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The standards establish a fair value hierarchy that distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity's own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below: | |||
Level 1 | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | ||
Level 2 | Quoted prices in markets that are not active or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability. | ||
Level 3 | Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). | ||
Cash and Cash Equivalents and Restricted Cash | |||
Cash is comprised of cash deposits held at banks. Cash equivalents are financial instruments issued or guaranteed by major financial institutions and governments that have an original maturity date of less than 90 days. Cash equivalents are stated at cost, which approximates market value. Restricted cash is primarily comprised of amounts withheld related to certain construction contracts and amounts to fund TCM's deferred compensation program. | |||
Accounts Receivable | |||
Accounts receivable are carried at their estimated collectible amounts. Accounts receivable included trade receivables of $45.1 million and $41.6 million and other receivables of $1.0 million and $6.2 million as of December 31, 2014 and 2013, respectively. Other receivables as of December 31, 2014 primarily consisted of $2.0 million of Goods and Services Sales Tax refunds receivable; $0.9 million of Langeloth Facility receivables; $0.3 million of third party molybdenum receivables; $1.3 million in settlement receivables on hedges and other miscellaneous receivables, partially offset by $3.5 million of mark-to-market adjustments relating to provisional invoices for Mount Milligan Mine copper and gold concentrate sales. Other receivables as of December 31, 2013 primarily consisted of $3.3 million of Goods and Services Sales Tax refunds and Canadian Harmonized Sales Tax refunds and $0.3 million of mark-to-market adjustments relating to provisional invoices for Mount Milligan Mine copper and gold concentrate sales. | |||
Product Inventories | |||
Product inventories are carried at the lower of cost or market and assessed monthly to determine if a write down is required; through the first quarter of 2012, the assessment was performed quarterly. Cost is comprised of production costs for copper-gold concentrate ("concentrate") and molybdenum concentrate ("molybdenum") produced and processed from TCM's mines, as well as amounts paid for molybdenum concentrate purchased from third parties. Production costs include the direct mining, milling and on-site general and administrative costs; costs of processing and roasting; transportation, shipping, freight and insurance costs; refining and treatment costs; warehouse costs; stock-based compensation and depreciation, depletion and amortization. Stripping costs (i.e., the costs of removing overburden and waste material to access mineral deposits) incurred during the production phase of a mine are considered variable production costs and are included as a component of inventory produced during the period in which stripping costs are incurred. For concentrate, TCM uses the weighted-average cost method for production and sales of product inventory. For molybdenum, TCM uses the first-in, first-out cost method for production and sales of product inventory. For both the copper-gold operations and molybdenum operations, the weighted-average cost method is used for stockpiled ore. | |||
Obsolescence | |||
TCM routinely evaluates materials and supplies inventory for obsolescence. When necessary, obsolete and surplus materials and supplies are written down in a manner that reduces the inventory value to an amount that does not exceed its net realizable value, which may be considered salvage value, with the difference charged to current period expenses. During 2014, 2013 and 2012, TCM recorded write downs for obsolete materials and supplies inventory of $2.8 million, $2.4 million and $0.2 million, respectively. | |||
Property, Plant, Equipment and Development | |||
Mineral Properties | |||
TCM capitalizes the costs to acquire mineral properties. On acquisition of a mineral property, TCM estimates the fair value of proven and probable mineral reserves, as well as the value beyond proven and probable mineral reserves, and records any costs incurred as assets at the date of acquisition. The costs assigned to mineral properties in production are amortized over the life of the mine using the units-of-production method based on the volume of mineral produced in relation to the total estimated proven and probable mineral reserves. The cost assigned to the value beyond proven and probable mineral reserves is not amortized. However, as new information is obtained or economic conditions change, mineralized material may be converted into proven and probable mineral reserves at which time the capitalized costs associated with mineralized material are reclassified as costs subject to amortization. | |||
Mine Development | |||
Capitalization of mine development costs that meet the definition of an asset begins once all operating permits have been secured, mineralization is classified as proven and probable reserves and a final feasibility study has been completed. Mine development costs include engineering and metallurgical studies, drilling and other related costs to delineate an ore body and the removal of overburden to initially expose an ore body at open pit surface mines. Costs incurred before mineral resources are classified as proven and probable reserves are expensed and classified as exploration expense, unless it can be substantiated prior to the commencement of a drilling program that the drilling costs will result in the conversion of a mineral resource into proven and probable reserves. All capitalized costs are amortized using the units-of-production method over the estimated life of the ore body based on recoverable quantities to be produced from estimated proven and probable mineral reserves. Interest expense allocable to the cost of developing mining properties and to construct new facilities is capitalized until assets are ready for their intended use. Gains or losses from sales or retirements of assets are included in costs and expenses on the Consolidated Statements of Operations and Comprehensive Income (Loss). Tax credits, which will be used to offset future taxable income, generated from qualifying new mine development costs are included as reductions to property, plant, equipment and development and increases to deferred tax assets on the Consolidated Balance Sheets. The benefit from these tax incentives will be reflected in net income over the estimated life of the ore body, along with the capitalized mine development costs which generated the credits. | |||
Facilities and Equipment | |||
Mining facilities and equipment are recorded at cost. Expenditures for facilities and equipment relating to new assets or improvements are capitalized if they extend useful lives or extend functionality. Fixed plant and machinery are amortized using the units-of-production method over the lesser of the estimated life of the equipment or the ore body based on recoverable quantities to be produced from estimated proven and probable mineral reserves. Facilities, mobile and other equipment are depreciated on either a declining-balance or straight-line basis over the shorter of their estimated useful life or the life of the mine. The declining-balance percentages range from 10% to 50%, and the estimated useful lives range from 3 years to life-of-mine. Processing facilities are depreciated on a straight-line basis over the estimated useful lives ranging from 2 to 20 years. Tax allowances, which will be used to offset future taxable income, generated from qualifying new mine facilities and equipment expenditures are included as reductions to property, plant, equipment and development and increases to deferred tax assets on the Consolidated Balance Sheets. The benefit from these tax incentives will be reflected in net income over estimated life of the facilities and equipment, along with the associated expenditures which generated the allowances. | |||
Repairs and maintenance costs are charged to expense as incurred, except when these repairs extend the life or functionality of the asset. In these instances, expenditures are capitalized and amortized over the period benefited. | |||
Depreciation, depletion and amortization is allocated to product inventory cost and then included in depreciation, depletion and amortization as inventory is sold. | |||
Additionally, interest expense and financing fees allocable to the cost of developing mining properties and to constructing new facilities is capitalized until assets are ready for their intended use. For the years ended December 31, 2014, 2013 and 2012, $4.1 million, $75.2 million and $52.3 million, respectively, of interest expense and financing fees were capitalized and $9.1 million, $74.7 million, $40.7 million, respectively of interest that had been formerly capitalized was paid. | |||
Exploration | |||
Exploration includes geological and geophysical work on areas without identified reserves, together with drilling and other related costs. These costs are expensed as incurred. | |||
Asset Impairments | |||
TCM reviews and evaluates its long-lived assets for impairment using a two-step approach when events and changes in circumstances indicate that the related carrying amounts of its assets may not be recoverable. If total estimated future cash flows on an undiscounted basis are less than the carrying amount of the assets (step 1), TCM performs an evaluation of the estimated fair value of the asset or asset group (step 2). An impairment loss is measured and recorded based on the difference between book value and the estimated fair value of the asset or asset group. Fair value is estimated using discounted estimated future cash flows, or the application of an expected fair value technique in the absence of an observable market price. Future cash flows include estimates of recoverable quantities to be produced from estimated proven and probable mineral reserves, commodity prices (considering current and historical prices, price trends and related factors), production quantities and capital expenditures, all based on life-of-mine plans and projections. In estimating future cash flows, assets are grouped at the lowest level for which identifiable cash flows exist that are largely independent of cash flows from other asset groups. Generally, in estimating future cash flows, all assets are grouped at a particular mine for which there are identifiable cash flows. The assumptions underlying future cash flow estimates are subject to significant risks and uncertainties. Any differences between TCM's assumptions and market conditions and/or TCM's operating performance could have a material effect on the determination of ore reserves or the ability to recover the carrying amounts of TCM's long-lived assets, thus resulting in impairment charges. | |||
During 2014, 2013 and 2012, TCM experienced triggering events that caused management to update its impairment evaluation. As a result of this evaluation, in 2014 TCM further impaired the value of the remaining materials and supplies inventory at TC Mine and TCM's share of the property, plant and equipment assets and materials and supplies inventory at Endako Mine. Additionally in 2014, TCM also wrote down the value of the TCM exploration properties. In 2013 TCM wrote down to the assets’ fair value the property, plant and equipment assets and materials and supplies inventory at TC Mine and TCM's share of those assets at Endako Mine. In 2012 TCM wrote down TCM's share of the assets at Endako Mine. See Note 5 for further discussion. | |||
Goodwill | |||
During 2012, TCM suspended waste stripping activity associated with the next phase of production at TC Mine, which, coupled with declines in molybdenum prices, represented significant changes in TCM's business, thereby requiring TCM to evaluate goodwill for impairment on an enterprise-wide basis. As a result of this evaluation, the then-remaining balance of goodwill was impaired during 2012. See Note 5 for further discussion. | |||
Legal Fees | |||
TCM generally recognizes legal expenses as incurred; when it is determined that a contingency meets the criteria for recognition as a liability on the balance sheet, TCM also accrues for the related incurred legal fees associated with that probable contingency. | |||
Debt Issuance Costs | |||
Included in other long-term assets are costs associated with the issuance of TCM's secured and unsecured senior notes and tangible equity units ("tMEDS"). The remaining unamortized issuance costs at December 31, 2014 and 2013 totaled $15.3 million and $21.3 million, respectively, and are being amortized over the life of the senior notes or the tMEDS, as applicable. Amortization costs for the secured and unsecured senior notes and tMEDS were capitalized to Mount Milligan Mine until the underlying assets became ready for their intended use. | |||
Equipment Financings | |||
TCM is the lessee of equipment under the Equipment Facility with Caterpillar (see Note 8). In 2013, TCM entered into an equipment financing transaction with Caterpillar with respect to certain Endako Mine equipment. In 2013 and 2012, TCM also entered into equipment financing transactions with Caterpillar with respect to certain equipment at Mount Milligan Mine pursuant to the Equipment Facility. On January 15, 2015 TCM entered into an amendment with Caterpillar which extends its ability to finance additional equipment under the Equipment Facility through December 2015. The assets and liabilities under these capital leases are recorded at the lower of the present value of the minimum lease payments or the fair value of the asset. Once ready for their intended use, the assets are depreciated over the lower of their related lease terms or their estimated productive lives. Beginning in September 2013, in conjunction with the start-up phase of Mount Milligan Mine, TCM ceased capitalizing the interest and debt issuance costs associated with the leases under the Equipment Facility for Mt. Milligan Mine as the related assets were placed in service. | |||
Financial Instruments | |||
From time to time, TCM enters into various arrangements, such as forward commodity contracts, foreign currency forward contracts and fixed- and provisionally-priced purchase and sale contracts. TCM does not account for any of these arrangements using hedge accounting. | |||
Financial and derivative instruments (including embedded derivatives) and any outstanding common stock purchase warrants are recorded at fair value on the Consolidated Balance Sheets. Changes in the fair value of derivatives are recorded each period in the Consolidated Statements of Operations and Comprehensive Income (Loss). All of TCM's once-outstanding common stock purchase warrants were exercised or expired as of December 31, 2012. | |||
Provision for Income and Mining Taxes | |||
TCM computes income taxes using the asset and liability approach that results in the recognition of deferred tax assets and liabilities for the expected future tax consequences or benefits of temporary differences between the financial reporting basis and the tax basis of assets and liabilities, as well as operating loss and tax credit carry-forwards, using enacted tax rates in effect in the years in which the differences are expected to reverse. | |||
In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of its deferred tax assets will not be realized. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income, carryback of losses and tax planning strategies in making this assessment. A valuation allowance is provided for the portion of TCM's net deferred tax assets for which it is not more likely than not that they will be realized. | |||
Asset Retirement Obligations | |||
Future obligations to retire an asset, including site closure, dismantling, remediation and ongoing treatment and monitoring, are recorded as a liability at fair value at the time of construction or development. The fair value determination is based on estimated future cash flows, the current credit-adjusted risk-free discount rate and an estimated inflation factor. The value of asset retirement obligations is evaluated on an annual basis or as new information becomes available on the expected amounts and timing of cash flows required to discharge the liability. The fair value of the liability is added to the carrying amount of the associated asset, and this additional carrying amount is depreciated or amortized over the estimated life of the asset. An accretion cost, representing the increase over time in the present value of the liability, is recorded each period as accretion expense. As reclamation work is performed or liabilities are otherwise settled, the recorded amount of the liability is reduced. | |||
Revenue Recognition | |||
TCM sells its products pursuant to sales contracts entered into with its customers. For concentrate sales, revenue is recognized when title and risk of loss pass and when collectability is reasonably assured. For concentrate, this is when a provisional payment is received. The passing of title and risk of loss are based on terms of the sales contract, generally upon shipment or delivery of product. Revenues from TCM’s concentrate sales are recorded based on a provisional sales price, with adjustments made for a final sales price calculated in accordance with the terms specified in the relevant sales contract, including the price to be received under the Gold Stream Arrangement, as well as any potential losses from TCM's commitment under the Gold Stream Arrangement. Revenues from concentrate sales are recorded net of treatment and all refining charges and the impact of derivative contracts. Treatment and refining charges represent payments or price adjustments that are contractually negotiated, as is typical in the industry. Moreover, because a portion of the metals contained in concentrate is unrecoverable as a result of the smelting process, TCM's revenues from concentrate sales are also recorded net of allowances based on the quantity and value of these unrecoverable metals. | |||
Under the long-established structure of sales agreements prevalent in the industry, metals contained in concentrate are generally provisionally priced at the time of shipment. The provisional prices are finalized in a specified future month (generally one to four months from the shipment date) based on quoted monthly average spot gold prices on the London Metal Exchange ("LME") or spot copper prices on the London Bullion Market Association ("LBMA"). TCM receives market prices based on prices in the specified future month, which results in mark-to-market price fluctuations recorded to revenues until the date of settlement. To the extent final prices are higher or lower than what was recorded on a provisional basis, an increase or decrease to revenues is recorded each reporting period until the date of final pricing. | |||
To satisfy its obligations under the Gold Stream Arrangement, TCM purchases unallocated refined gold and arranges for delivery to Royal Gold's designated account. TCM recognizes revenue for sales of refined gold when title and risk of loss passes and when collectability is reasonably assured. Revenue from and costs for unallocated refined gold delivered under the Gold Stream Arrangement and gains and losses related to TCM's forward commodity gold contracts to hedge the Company's exposure under the Gold Stream Arrangement are netted and recorded to gold sales. | |||
TCM recognizes revenue from molybdenum sales when persuasive evidence of an arrangement exists, the price is fixed and determinable, the product has been delivered, title has transferred and collection is reasonably assured. TCM's sales contracts specify the point in the delivery process at which title transfers to the customer (shipping point or destination). Shipping and handling fees are accounted for on a gross basis under the terms of the contract. TCM recognizes tolling and calcining revenue under contractual arrangements as the services are performed on a per-unit basis. | |||
TCM enters into provisionally-priced molybdenum, copper and gold sales contracts, whereby the contracts settle at prices to be determined at a future date based upon quoted prices. The future pricing mechanism of these agreements constitutes an embedded derivative, which is bifurcated and separately marked to an estimated fair value at the end of each period. Changes to the fair value of embedded derivatives related to molybdenum sales agreements are included in molybdenum sales revenue in the determination of net income (loss). | |||
Stock-Based Compensation | |||
Stock Options | |||
TCM measures compensation related to stock options based on the fair value of instruments issued. The fair value of stock options at grant date is estimated using a Black-Scholes option pricing model. Compensation expense is recognized on a straight-line basis over the stock option vesting period and included in the specific income statement categories that include the costs and benefits of the employees granted the stock-based award. Proceeds arising from the exercise of stock options are credited to common stock. | |||
Performance Share Units | |||
Performance share units ("PSUs") are accounted for at fair value using a Monte Carlo simulation valuation model on the date of grant. The Monte Carlo model is based on random projections of stock price paths. Expected volatility is calculated using a weighted average of historical daily volatilities and represents the extent to which TCM's stock price performance is expected to fluctuate during each of the calendar periods of the award's anticipated term. The fair value is recognized as an expense on a straight-line basis over the requisite service period (usually the vesting period) and included in the specific income statement categories that include the costs and benefits of the employees granted PSUs. Upon vesting, common shares are issued to the employee from authorized but unissued common stock. According to the provisions of ASC 718, Compensation—Stock Compensation, stock based compensation expense is reversed for unvested and forfeited PSUs. | |||
Restricted Stock Units | |||
Restricted stock units ("RSUs") are accounted for at fair value, which is based on the market value of TCM's common shares on the day of grant. The total fair value is recognized as an expense on a straight-line basis over the vesting period and included in the specific income statement categories that include the costs and benefits of the employee and directors granted RSUs. Upon vesting, common shares are issued to the employee or director from authorized but unissued common stock. According to the provisions of ASC 718, Compensation—Stock Compensation, stock based compensation expense is reversed for unvested and forfeited RSUs. | |||
Employee Stock Purchase Plan | |||
TCM's employee stock purchase plan ("ESPP") provides an opportunity for TCM's employees to purchase its common shares at 85% of the closing price at the beginning of the offering period or at the end of the offering period, whichever is lower. The ESPP was suspended effective July 1, 2013 pending approval of an amended plan by the TCM shareholders. Effective May 13, 2014, TCM shareholders approved the Amended and Restated Thompson Creek Metals Company Inc. 2010 Employee Stock Purchase Plan that makes additional shares of TCM's common stock available for issuance. | |||
Earnings per Share | |||
Earnings per share calculations are based on the weighted-average number of common shares issued and outstanding during the year. Diluted earnings per share are calculated using the treasury stock method, which assumes that outstanding stock options and warrants with an average exercise price less than the average market price of TCM's common shares are exercised, and the proceeds are used to repurchase common shares at the average market price of the common shares for the period. In years in which a loss is incurred, the effect of potential issuances of shares under the exercise of options, warrants and RSUs would be anti-dilutive, and therefore, are excluded from diluted earnings per share calculations. |
Inventory
Inventory | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Inventory Disclosure [Abstract] | ||||||||||||
Inventory | Inventory | |||||||||||
The carrying value of product inventory was as follows: | ||||||||||||
December 31, | December 31, | |||||||||||
2014 | 2013 | |||||||||||
Copper and Gold Inventory: | ||||||||||||
Concentrate | $ | 29.4 | $ | 39.8 | ||||||||
Stockpiled ore | 8.3 | 4.8 | ||||||||||
$ | 37.7 | $ | 44.6 | |||||||||
Molybdenum Inventory: | ||||||||||||
Finished product | $ | 45 | $ | 27.5 | ||||||||
Work-in-process | 13.5 | 28 | ||||||||||
Stockpiled ore | 0.4 | 22 | ||||||||||
$ | 58.9 | $ | 77.5 | |||||||||
$ | 96.6 | $ | 122.1 | |||||||||
During 2014, 2013 and 2012, the carrying value of TCM's copper and gold and molybdenum inventory exceeded the market value, resulting in write downs of $25.5 million, $57.8 million, and $73.8 million, respectively. | ||||||||||||
The following table sets forth the inventory write downs in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss) for the years presented: | ||||||||||||
Years Ended | ||||||||||||
December 31, | December 31, | December 31, | ||||||||||
2014 | 2013 | 2012 | ||||||||||
Copper-Gold | ||||||||||||
Operating expense | $ | — | $ | 20.2 | $ | — | ||||||
Depreciation, depletion and amortization | — | 2.1 | — | |||||||||
Start-up costs | — | 7.3 | — | |||||||||
US Operations Molybdenum | ||||||||||||
Operating expense | 2.1 | — | 14.4 | |||||||||
Depreciation, depletion and amortization | 0.2 | — | 1.2 | |||||||||
Canadian Operations Molybdenum | ||||||||||||
Operating expense | 20.4 | 24.1 | 38.2 | |||||||||
Depreciation, depletion and amortization | 2.8 | 4.1 | 20 | |||||||||
$ | 25.5 | $ | 57.8 | $ | 73.8 | |||||||
Property_Plant_Equipment_and_D
Property, Plant, Equipment and Development, Net | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property, Plant, Equipment and Development, Net | Property, Plant, Equipment and Development, Net | ||||||||
Property, plant, equipment and development, net, was comprised of the following: | |||||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
Mining properties and mineral reserves | $ | 703.7 | $ | 768.6 | |||||
Mining and milling equipment and facilities | 1,523.40 | 1,661.20 | |||||||
Processing facilities | 171.1 | 168.5 | |||||||
Construction-in-progress | 23.1 | 42.7 | |||||||
Other | 6.5 | 18.3 | |||||||
2,427.80 | 2,659.30 | ||||||||
Less: Accumulated depreciation, depletion and amortization | (209.5 | ) | (121.3 | ) | |||||
$ | 2,218.30 | $ | 2,538.00 | ||||||
The construction-in-progress balance included $19.2 million and $33.2 million related to Mount Milligan Mine as of December 31, 2014 and 2013, respectively. The construction-in-progress balance at December 31, 2014 consisted of $11.7 million for Phase 2 of the tailings facility system and $7.5 million for other items for Mount Milligan Mine. | |||||||||
During the years ended December 31, 2014, December 31, 2013 and December 31, 2012 TCM recognized non-cash property plant equipment and development asset impairments of $92.0 million, $188.0 million and $530.5 million, respectively. See Note 5 for further discussion of asset impairments. |
Asset_Impairments
Asset Impairments | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||
Asset Impairments | Asset Impairments | |||||||||||
Asset Impairments | ||||||||||||
The following table sets forth the write downs of property, plant, and equipment and development assets, mineral reserves, materials and supplies inventory and goodwill in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss) for the years presented: | ||||||||||||
Years Ended | ||||||||||||
December 31, | December 31, | December 31, | ||||||||||
2014 | 2013 | 2012 | ||||||||||
US Operations Molybdenum | ||||||||||||
Property, plant, and equipment | $ | — | $ | 127.8 | $ | — | ||||||
Materials and supplies | 3.3 | 1.6 | — | |||||||||
Canadian Operations Molybdenum | ||||||||||||
Property, plant, and equipment and development assets (1) | 66.7 | 59.4 | 530.5 | |||||||||
Materials and supplies | 9.5 | 5.3 | — | |||||||||
Exploration Properties and Other | ||||||||||||
Mineral reserves | 25.3 | — | — | |||||||||
Land | — | 0.8 | — | |||||||||
Goodwill | — | — | 47 | |||||||||
$ | 104.8 | $ | 194.9 | $ | 577.5 | |||||||
(1) Included an impairment charge on development assets for Endako Mine for the year ended December 31, 2012. | ||||||||||||
Effective December 31, 2014, TCM and its joint venture partner temporarily suspended operations at Endako Mine due to recent and expected ongoing weakness in the molybdenum price. Additionally, given mining performance for 2014, there was a decrease in the Endako Mine molybdenum proven and probable reserves. The temporary suspension and reserve decrease constituted triggering events, requiring TCM to re-evaluate its proportionate share of Endako Mine's long-lived assets for impairment in the fourth quarter of 2014. This evaluation indicated that TCM's share of the anticipated undiscounted cash flows from Endako Mine assets, using the two-step approach discussed in Note 2, were less than its share of the carrying value of the fixed assets due to the expected future molybdenum price and anticipated production and cash costs from the Endako Mine. This resulted in estimating TCM's share of the assets’ estimated fair value, which was also less than TCM's share of their carrying values. As a result, this evaluation resulted in non-cash write downs of the Endako Mine property, plant and equipment assets and materials and supply inventory. | ||||||||||||
Additionally, as of December 31, 2014, TCM evaluated the fair value of its exploration properties given the significant decline in commodity prices in the fourth quarter of 2014. This evaluation indicated that the fair value of these properties was less than TCM's carrying values and non-cash write downs were recognized in the fourth quarter of 2014, representing a write-down to the assets’ estimated fair value as of December 31, 2014. | ||||||||||||
TCM also evaluated the fair value of its remaining materials and supplies inventory at TC Mine as of December 31, 2014, given recent weakness in commodity markets. As a result, the fair value of TC Mine’s materials and supplies inventory was less than the carrying value and TCM recognized non-cash write downs in the fourth quarter of 2014. | ||||||||||||
Given recent declines in commodity prices, TCM assessed all long-lived assets for impairment in the fourth quarter of 2014. The impairment analysis did not result in any other long-lived asset impairments during the fourth quarter of 2014. | ||||||||||||
As of December 31, 2013 TCM's decision to place TC Mine on care and maintenance and the update to its Endako Mine molybdenum reserves using a price of $10 per pound of molybdenum oxide compared to $12 per pound used previously, constituted triggering events, requiring TCM to evaluate the long-lived assets at these mines for impairment in the fourth quarter of 2013. As a result of these analyses, TCM recorded a non-cash asset impairment, representing a write down to the assets' estimated fair value as of December 31, 2013. | ||||||||||||
Additionally during 2013, TCM negotiated a contract with US Energy to sell land originally acquired by one of its subsidiaries for easements related to the Mt. Emmons project, in respect of which TCM terminated its interest in 2011. TCM assessed the impact of this contract on the carrying value of the land, and recorded a non-cash write down of the land representing a write down to the land's fair value. | ||||||||||||
For the year ended December 31, 2012, TCM recorded a non-cash write down of its share of the Endako Mine's property, plant, equipment and development assets representing a write down to the assets' estimated fair value. | ||||||||||||
These impairments were included in total costs and expenses in TCM's Consolidated Statements of Operations and Comprehensive Income (Loss) and excluded from TCM's non-GAAP measures of adjusted net income (loss) per share-basic and diluted. See "Non-GAAP Financial Measures" in Item 7 for the definition and calculation of adjusted net income (loss). | ||||||||||||
Goodwill | ||||||||||||
On October 26, 2006, TCM acquired Thompson Creek Metals Company USA, a private company that owned, among other assets, TC Mine, Endako Mine and the Langeloth Facility. This acquisition was accounted for using the purchase method, whereby the purchase consideration was allocated to the estimated fair values of the assets acquired and liabilities assumed at the effective date of the purchase. Because the purchase price exceeded the fair value of the net identifiable assets acquired, TCM recorded goodwill related to this transaction. | ||||||||||||
During the third quarter of 2012, TCM suspended waste stripping activity associated with the next phase of production at TC Mine. This decision and the decline in molybdenum prices represented significant changes in TCM's business, requiring TCM to evaluate for potential impairments on an enterprise-wide basis at September 30, 2012. For purposes of the impairment evaluation, estimates of after-tax discounted future cash flows of the individual reporting units were used. The estimated cash flows were derived from life-of-mine plans developed using long-term analyst pricing reflective of the then-current price environment and management's projections for operating costs. TCM also considered the market value of its equity. As a result of this evaluation, a goodwill impairment charge representing the entire balance of goodwill, was recorded in other (income) expense in its Consolidated Statements of Operations and Comprehensive Income (Loss) in 2012. |
Financial_Instruments
Financial Instruments | 12 Months Ended | ||||||||||||||
Dec. 31, 2014 | |||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||
Financial Instruments | Financial Instruments | ||||||||||||||
TCM enters into various derivative financial instruments in the normal course of operations to manage exposure to the market prices of copper, gold and molybdenum. TCM does not apply hedge accounting to its derivative instruments. Accordingly, changes in fair value of derivative instruments are recorded in the Consolidated Statements of Operations and Comprehensive Income (Loss), except those contracts for which TCM has elected to apply the normal purchases and normal sales scope exception. | |||||||||||||||
The following table provides details about the fair values of TCM's derivative assets and liabilities: | |||||||||||||||
Fair Value as of December 31, | |||||||||||||||
2014 | 2013 | ||||||||||||||
Assets (1) | |||||||||||||||
Commodity contracts | $ | 1.8 | $ | 0.2 | |||||||||||
Liabilities (1) | |||||||||||||||
Forward currency contracts | $ | 0.3 | $ | — | |||||||||||
(1)TCM's derivative assets are included in prepaid expenses and other current assets, and derivative liabilities are included in other current liabilities. TCM is exposed to credit risk when counterparties with which it has entered into derivative transactions are unable to satisfy their obligations. To reduce counterparty credit exposure, TCM deals primarily with large, credit-worthy financial institutions and companies and limits credit exposure to each. TCM believes the counterparties to the contracts to be credit-worthy entities and, therefore, TCM believes credit risk of counterparty non-performance is relatively low, and as such, the fair value of the derivatives has not been adjusted. | |||||||||||||||
The following table sets forth the gains (losses) on derivative instruments for the years presented: | |||||||||||||||
Years Ended | |||||||||||||||
Derivative Type and Activity | Statement of Operations Classification | December 31, | December 31, | December 31, | |||||||||||
2014 | 2013 | 2012 | |||||||||||||
Gold hedges related to Gold Stream Arrangement | Gold sales | $ | (1.3 | ) | $ | — | $ | — | |||||||
Copper and Gold hedges; other commodity contracts | Other | $ | 4.8 | $ | 1.6 | $ | (2.5 | ) | |||||||
Molybdenum hedges | Molybdenum sales | $ | — | $ | (0.1 | ) | $ | (0.4 | ) | ||||||
Forward currency contracts | Gain (loss) on foreign exchange, net | $ | (0.2 | ) | $ | — | $ | (1.8 | ) | ||||||
Common stock purchase warrant derivatives | Change in fair value of common stock purchase warrants | $ | — | $ | — | $ | 1.8 | ||||||||
Gold Hedges Related to Gold Stream Arrangement and Other Commodity Contracts | |||||||||||||||
TCM must satisfy its obligation under the Gold Stream Arrangement (discussed in Note 10) by delivering gold to Royal Gold after TCM receives payment from third-party purchasers, including offtakers and traders, that purchase concentrate from Mount Milligan Mine ("MTM Customers"). During 2014, in connection with TCM's first 12 shipments of concentrate from Mount Milligan Mine, TCM delivered gold to Royal Gold based on a percentage of the gold ounces included in each provisional sale of gold to MTM Customers within two days of receiving a provisional payment. | |||||||||||||||
TCM receives payment from MTM Customers in cash, thus requiring the purchase of gold in order to satisfy the obligation to pay Royal Gold in gold. In order to hedge its gold price risk that arises when physical purchase and concentrate sales pricing periods do not match, hereafter referred to as the Gold Stream Risk, TCM has entered into certain forward gold purchase and sales contracts pursuant to which it purchases gold at an average price during a quotational period and sells gold at a spot price. TCM records its forward commodity contracts at fair value using a market approach based on observable quoted market prices and contracted prices. | |||||||||||||||
In addition to the Gold Stream Risk and in connection with the sale of concentrate from Mount Milligan Mine, TCM is exposed to copper and gold price fluctuations between the dates of concentrate shipment, provisional payment and final payment. In order to hedge the price risk for the metals contained in concentrate, TCM has entered into certain forward copper and gold purchase and sale contracts pursuant to which it purchases copper or gold at an average price during a quotational period and sells copper or gold at a spot price. Additionally, TCM has entered into zero cost collars pursuant to which it agrees with a counterparty to a floor and ceiling relative to future prices of gold. If the gold price is below the floor, the counterparty pays TCM the difference between the price and the floor. If the gold price is above the ceiling, TCM pays the counterparty the difference between the ceiling and the price. TCM records its commodity contracts at fair value using a market approach based on observable quoted market prices and contracted prices. These activities are intended to protect against the price risk related to the MTM Customer purchase contracts. | |||||||||||||||
The following table provides details of TCM's commodity contracts as of December 31, 2014: | |||||||||||||||
Quantity | Sell Price | Buy Price | Maturities Through | ||||||||||||
Gold Hedge Sales related to Gold Stream Arrangement (oz) | 6,461 | $1,192-$1,213 | TBD | Jan-15 | |||||||||||
Gold Hedge Purchases related to Gold Stream Arrangement (oz) | 31,060 | TBD | TBD | January 2015-April 2015 | |||||||||||
Forward Gold Sales (oz) | 3,300 | $1,230 | TBD | Jan-15 | |||||||||||
Forward Copper Sales (lb) | 7,716,100 | $3.05-$3.19 | TBD | January 2015-May 2015 | |||||||||||
Quantity | Put Price | Call Price | Maturities Through | ||||||||||||
Gold Collars (oz) | 22,000 | $1,150-$1,175 | $1,237 - $1,267 | January 2015-December 2015 | |||||||||||
Provisionally-Priced Contracts | |||||||||||||||
Certain molybdenum, copper and gold sales contracts provide for provisional pricing. These sales contain an embedded derivative related to the provisional-pricing mechanism, which is bifurcated and accounted for as a derivative. TCM also enters into provisionally-priced molybdenum purchase contracts that also contain an embedded derivative, which is bifurcated and accounted for as a derivative. | |||||||||||||||
TCM determines the fair value of its provisionally-priced contracts using a market approach based upon observable inputs from published market prices and contract terms. Changes to the fair values of the embedded derivatives related to provisionally-priced molybdenum purchases are included in operating expenses in the Consolidated Statements of Operations and Comprehensive Income (Loss) as the product is sold. | |||||||||||||||
The following table sets forth TCM's outstanding provisionally-priced contracts as of December 31, 2014: | |||||||||||||||
Average Price Per Unit | |||||||||||||||
Open Positions | Contract | Market | Maturities Through | ||||||||||||
Embedded derivatives in provisional sales contracts: | |||||||||||||||
Molybdenum (thousands of pounds) | 68.6 | $9.38 | $8.88 | Jan-15 | |||||||||||
Copper (millions of pounds) | 21.2 | TBD | TBD | Apr-15 | |||||||||||
Gold (ounces) | 11,356 | TBD | TBD | Jan-15 | |||||||||||
Embedded derivatives in provisional purchase contracts: | |||||||||||||||
Molybdenum (thousands of pounds) | 380 | $7.80 | $8.96 | Feb-15 | |||||||||||
Forward Currency Contracts | |||||||||||||||
TCM transacts business in various currencies in the normal course of its operations and for capital expenditures. In addition, with all of its revenues denominated in US dollars, TCM has an ongoing foreign exchange risk with respect to its Canadian operations. To help mitigate this risk, TCM has entered into foreign currency forward contracts pursuant to which it has agreed to buy Canadian dollars at an agreed-upon rate. TCM records its currency contracts at fair value using a market approach based on observable quoted exchange rates and contracted notional amounts. As of December 31, 2014, TCM had 8 open foreign currency option contracts. As of December 31, 2013 and 2012, TCM had no open foreign currency contracts. | |||||||||||||||
The following table provides details of TCM's forward currency contracts as of December 31, 2014: | |||||||||||||||
Notional Amount | Buy Price | Maturities Through | |||||||||||||
Forward currency contracts | $25,000,000 | $1USD/C$1.14-C$1.16 | January 2015 - March 2015 | ||||||||||||
Fixed-Priced Contracts | |||||||||||||||
TCM has entered into certain sales contracts pursuant to which it sells future molybdenum production at fixed prices. These fixed prices may be different than the quoted market prices at the date of sale. TCM has elected to treat these contracts as normal purchase and normal sale contracts. | |||||||||||||||
The Gold Stream Arrangement contains an agreement to sell gold at a fixed price, but it does not meet the definition of a derivative instrument. See discussion of the Gold Stream Arrangement in Note 10. | |||||||||||||||
The following table sets forth TCM's outstanding molybdenum fixed-priced sales contracts as of December 31, 2014: | |||||||||||||||
Quantity (000's lb) | Sell Price | Maturities Through | |||||||||||||
Molybdenum fixed price sales | 599.7 | $12.05 | Nov-15 |
Fair_Value_Measurement
Fair Value Measurement | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Fair Value Measurement | Fair Value Measurement | ||||||||||||||||
US GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The standards establish a fair value hierarchy that distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity's own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The sensitivity to changes in inputs and their impact on the fair value measurement can be significant. The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below: | |||||||||||||||||
Level 1 | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | ||||||||||||||||
Level 2 | Quoted prices in markets that are not active or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability. | ||||||||||||||||
Level 3 | Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). | ||||||||||||||||
The following table sets forth TCM's financial liabilities measured at fair value by level within the fair value hierarchy. As required, liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement, as discussed in Note 2. | |||||||||||||||||
Fair Value at December 31, 2014 | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Liabilities: | |||||||||||||||||
Senior secured notes | $ | 393.2 | $ | — | $ | 393.2 | $ | — | |||||||||
Senior unsecured notes | 453.3 | — | 453.3 | — | |||||||||||||
tMEDS | 0.4 | — | — | 0.4 | |||||||||||||
$ | 846.9 | $ | — | $ | 846.5 | $ | 0.4 | ||||||||||
Fair Value at December 31, 2013 | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Liabilities: | |||||||||||||||||
Senior secured notes | $ | 397.2 | $ | — | $ | 397.2 | $ | — | |||||||||
Senior unsecured notes | 492.4 | — | 492.4 | — | |||||||||||||
tMEDS | 12.7 | — | — | 12.7 | |||||||||||||
$ | 902.3 | $ | — | $ | 889.6 | $ | 12.7 | ||||||||||
TCM classified its senior secured and unsecured notes within Level 2 because they are valued using a mix of inputs, including a risk-free interest rate input that is quoted in an active market and credit spread inputs that are observable but are not quoted market prices for identical liabilities. Both inputs are negatively correlated to the fair value measure; an increase (decrease) in the input will decrease (increase) the fair value measure. | |||||||||||||||||
TCM classified its tMEDS within Level 3 because they are valued using significant unobservable inputs. TCM determined the fair value of the debt component of tMEDS using a discounted cash flow model by obtaining yields for comparably-rated issuers trading in the market, considering the market yield of existing TCM debt and the credit rating of TCM. | |||||||||||||||||
As of December 31, 2014, the carrying values of the 9.75% senior secured notes were lower than their fair values of approximately $393.2 million, while the carrying value of the 7.375% senior unsecured notes, the 12.5% senior unsecured notes and tMEDS were higher than their fair values of $273.0 million, $180.3 million and $0.4 million, respectively. TCM determined the fair value of the notes using a discounted cash flow valuation model, consisting of inputs such as risk-free interest rates and credit spreads. | |||||||||||||||||
As of December 31, 2013, the carrying values of the 9.75% senior secured notes were lower than their fair values of approximately $397.2 million, while the carrying value of the 7.375% senior unsecured notes, the 12.5% senior unsecured notes and tMEDS were higher than their fair values of $297.7 million, $194.7 million and $12.7 million, respectively. TCM determined the fair value of the notes using a discounted cash flow valuation model, consisting of inputs such as risk-free interest rates and credit spreads. | |||||||||||||||||
There were no transfers into or out of Level 1, 2 or 3 during the years ended December 31, 2014 and 2013. TCM's policy is to recognize transfers as of the actual date of the event or change in circumstances. | |||||||||||||||||
The following table sets forth a reconciliation of activity related to Level 3 financial liabilities for the years ended December 31, 2014 and 2013: | |||||||||||||||||
Total | Debt | ||||||||||||||||
Balance at January 1, 2013 | $ | 27.8 | $ | 27.8 | |||||||||||||
Settlement and revaluation of tMEDS | (15.1 | ) | (15.1 | ) | |||||||||||||
Balance at December 31, 2013 | 12.7 | 12.7 | |||||||||||||||
Settlement and revaluation of tMEDS | (12.3 | ) | (12.3 | ) | |||||||||||||
Balance at December 31, 2014 | $ | 0.4 | $ | 0.4 | |||||||||||||
Leases
Leases | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Leases, Capital [Abstract] | |||||||||||||
Leases | Leases | ||||||||||||
TCM's total capital lease obligations consisted of the following: | |||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||
Equipment Facility capital leases | $ | 20.3 | $ | 27.2 | |||||||||
Equipment Facility sale leaseback | 45.9 | 59.8 | |||||||||||
Endako Mine sale leaseback | 2.3 | 3.5 | |||||||||||
Total lease obligations | 68.5 | 90.5 | |||||||||||
Less: Current portion | (22.8 | ) | (21.8 | ) | |||||||||
Total long-term lease obligations | $ | 45.7 | $ | 68.7 | |||||||||
Equipment Financings | |||||||||||||
On March 30, 2011, TCM entered into an equipment financing facility, as amended from time to time (the "Equipment Facility"), pursuant to which Caterpillar Financial Services Limited ("Caterpillar") agreed to underwrite up to $132.0 million in mobile fleet equipment financing for Mount Milligan Mine. Each borrowing under the Equipment Facility represents a capital lease and has a term of 48 or 60 months. Interest on the amounts borrowed under the Equipment Facility is payable at either floating or fixed rates, at TCM's option. At the end of each 48 or 60 month lease period, TCM has the option to purchase the underlying equipment for a nominal sum. The Equipment Facility includes non-financial covenants, and as of December 31, 2014, TCM was in compliance with these covenants. TCM's ability to finance additional equipment under the Equipment Facility expired in September 2014 per the terms of the Equipment Facility agreement. On January 15, 2015, TCM entered into an amendment with Caterpillar which extends its ability to finance additional equipment under the Equipment Facility through December 2015. | |||||||||||||
During 2013, TCM entered into three leases with Caterpillar with respect to certain equipment pursuant to the Equipment Facility, of which two are considered sale-leaseback transactions. Interest payments are based on a fixed rate of 5.50% | |||||||||||||
Also during 2013, TCM entered into a sale-leaseback transaction with Caterpillar with respect to certain Endako Mine equipment (the "Endako Sale Leaseback"), which is separate from the Equipment Facility. TCM received $5.3 million in cash from Caterpillar for the sale of this equipment, which was subsequently leased back, after an upfront down payment of $1.4 million. Interest payments are based on a fixed rate of 5.85%. The agreement includes certain non-financial covenants, and as of December 31, 2014, TCM was in compliance with these covenants. | |||||||||||||
TCM received $37.8 million in cash from Caterpillar for the sale of equipment, including the Endako Sale Leaseback, which was subsequently leased back. These leases resulted in an increase to TCM's capital lease obligation at December 31, 2013 of $33.2 million after upfront payments of $4.6 million. | |||||||||||||
As of December 31, 2014 and 2013, TCM had $66.2 million and $87.0 million, respectively, in outstanding borrowings under the Equipment Facility. Interest pertaining to the Equipment Facility is allocable to the cost of developing mining properties and to constructing new facilities and is capitalized until assets are ready for their intended use. Beginning in September 2013, in conjunction with the start-up phase of Mount Milligan Mine, TCM ceased capitalizing the interest and debt issuance costs associated with the leases under the Equipment Facility for Mount Milligan Mine as the related assets were placed in service. | |||||||||||||
Interest and debt issuance costs on the equipment financings, as described above, consisted of the following: | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Interest paid | $ | 4.6 | $ | 4.7 | $ | 1 | |||||||
Interest and debt issuance costs capitalized | $ | — | $ | 3.7 | $ | 1.9 | |||||||
Interest and debt issuance costs expensed | $ | 5 | $ | 1.9 | $ | — | |||||||
Future lease payments under capital leases as of December 31, 2014 for each of the next five years and in the aggregate were: | |||||||||||||
Total | |||||||||||||
(in millions) | |||||||||||||
2015 | $ | 22.8 | |||||||||||
2016 | 24.1 | ||||||||||||
2017 | 18.9 | ||||||||||||
2018 | 2.7 | ||||||||||||
2019 | — | ||||||||||||
Total future capital lease payments | $ | 68.5 | |||||||||||
Operating Leases | |||||||||||||
TCM leases certain assets, such as equipment and office space, under operating leases expiring at various dates through 2018. Future lease payments under operating leases as of December 31, 2014 for each of the next five years and in the aggregate were: | |||||||||||||
Total | |||||||||||||
(in millions) | |||||||||||||
2015 | $ | 2.9 | |||||||||||
2016 | 2.5 | ||||||||||||
2017 | 1.6 | ||||||||||||
2018 | 0.4 | ||||||||||||
2019 | 0.2 | ||||||||||||
Thereafter | — | ||||||||||||
Total future operating lease payments | $ | 7.6 | |||||||||||
Rent expense for 2014, 2013 and 2012 was $0.5 million, $0.7 million and $0.6 million, respectively. |
Debt
Debt | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Debt Disclosure [Abstract] | ||||||||||||
Debt | Debt | |||||||||||
TCM's secured and unsecured notes, tMEDS, equipment loans and other credit facilities consisted of the following: | ||||||||||||
December 31, | December 31, | |||||||||||
2014 | 2013 | |||||||||||
9.75% Senior secured notes due 2017, net of discount | $ | 347.9 | $ | 347.3 | ||||||||
7.375% Senior unsecured notes due 2018 | 335.8 | 350 | ||||||||||
12.5% Senior unsecured notes due 2019 | 188.5 | 200 | ||||||||||
tMEDS | 1.2 | 19.4 | ||||||||||
Equipment loans | 2.8 | 5.4 | ||||||||||
Other | — | 0.2 | ||||||||||
Total debt | 876.2 | 922.3 | ||||||||||
Less: Current portion | (3.9 | ) | (15.4 | ) | ||||||||
Total long-term debt | $ | 872.3 | $ | 906.9 | ||||||||
Interest paid, capitalized and expensed was as follows: | ||||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Interest paid | $ | 86.7 | $ | 77.1 | $ | 40.3 | ||||||
Interest capitalized | $ | 4.1 | $ | 71.5 | $ | 50.4 | ||||||
Interest expensed | $ | 87.3 | $ | 22.2 | $ | 12.8 | ||||||
9.75% Senior Secured Notes | ||||||||||||
On November 27, 2012, TCM issued $350.0 million of 9.75% senior secured notes (the “2017 Notes”). The proceeds received in the offering were $336.8 million, net of financing fees of $10.0 million and a discount of $3.2 million. The net proceeds from the 2017 Notes offering were used to fund the completion of Mount Milligan Mine and for general working capital purposes. The 2017 Notes are guaranteed on a senior basis by substantially all of TCM's subsidiaries and are secured by a first priority lien subjected to permitted liens on substantially all of TCM's and the guarantors' property and assets. | ||||||||||||
The 2017 Notes mature on December 1, 2017 and accrue interest from November 27, 2012 until maturity at a fixed rate of 9.75% per year. Interest on the 2017 Notes is payable on February 1 and August 1 of each year, commencing February 1, 2013, to the holders of record at the close of business on the January 15 and July 15 prior to each interest payment date. | ||||||||||||
The 2017 Notes are governed by a base indenture, dated May 11, 2012, supplemented by the first supplemental indenture, dated May 11, 2012, and the fifth supplemental indenture, dated November 27, 2012 (the “2017 Notes Indenture”). There are no maintenance covenants with respect to TCM's financial performance. However, the 2017 Notes Indenture does contain transaction-based restrictive covenants that restrict TCM's ability and the ability of certain of TCM's subsidiaries to incur additional indebtedness; pay dividends or make other distributions or repurchase or redeem capital stock; prepay, redeem or repurchase certain debt; make loans and investments; sell assets; incur liens; enter into transactions with affiliates; and enter into agreements restricting the Company's subsidiaries ability to pay dividends and consolidate, merge or sell all or substantially all of TCM's assets, in each case subject to certain exceptions. | ||||||||||||
The 2017 Notes are redeemable at TCM's option at any time prior to December 1, 2015 at a price equal to 100% of the principal amount of the 2017 Notes, plus accrued and unpaid interest and a make-whole premium. TCM may also redeem up to 35% of the original principal amount of the 2017 Notes at any time prior to December 1, 2015 with the proceeds of certain equity offerings at a redemption price of 109.75% of the principal amount of the 2017 Notes, together with accrued and unpaid interest to, but not including, the date of redemption. TCM may also redeem the 2017 Notes at any time on or after December 1, 2015 at the redemption prices specified in the 2017 Notes Indenture together with accrued and unpaid interest to, but not including, the date of redemption. Finally, TCM may redeem the 2017 Notes at any time upon the occurrence of specified events relating to Canadian tax law at a redemption price of 100% of the principal amount of the 2017 Notes plus accrued and unpaid interest to, but not including, the date of redemption. | ||||||||||||
The 2017 Notes Indenture contains customary events of default. If an event of default occurs and is continuing under the 2017 Notes Indenture, the trustee or holders of at least 25% in principal of the outstanding 2017 Notes may declare the principal, premium, if any, and accrued and unpaid interest on all the 2017 Notes to be due and payable immediately. Certain events of bankruptcy or insolvency are events of default that would result in the 2017 Notes being due and payable immediately upon the occurrence of such events of default. | ||||||||||||
12.5% Senior Unsecured Notes | ||||||||||||
On May 11, 2012, TCM issued $200.0 million of 12.5% senior unsecured notes (the “2019 Notes”). The proceeds received in the offering were $193.1 million, net of financing fees of $6.9 million. The net proceeds from the 2019 Notes offering were used to fund the completion of Mount Milligan Mine and for general working capital purposes. The 2019 Notes are guaranteed on a senior basis by substantially all of TCM's subsidiaries. | ||||||||||||
The 2019 Notes mature on May 1, 2019 and accrue interest from May 11, 2012 until maturity at a fixed rate of 12.5% per year. Interest on the 2019 Notes is payable on May 1 and November 1 of each year, commencing November 1, 2012, to the holders of record at the close of business on the April 15 and October 15 prior to each interest payment date. | ||||||||||||
The 2019 Notes are governed by a base indenture as supplemented by the first supplemental indenture and the second supplemental indenture thereto, each dated May 11, 2012 (the “2019 Notes Indenture”). There are no maintenance covenants with respect to the Company's financial performance. However, the 2019 Notes Indenture does contain transaction-based restrictive covenants that restrict the Company's ability and the ability of certain of the Company's subsidiaries to incur additional indebtedness; pay dividends or make other distributions or repurchase or redeem capital stock; prepay, redeem or repurchase certain debt; make loans and investments; sell assets; incur liens; enter into transactions with affiliates; and enter into agreements restricting the Company's subsidiaries ability to pay dividends and consolidate, merge or sell all or substantially all of TCM assets, in each case subject to certain exceptions. | ||||||||||||
The 2019 Notes are redeemable at TCM's option at any time prior to May 1, 2016 at a price equal to 100% of the principal amount of the 2019 Notes, plus accrued and unpaid interest and a make-whole premium. TCM may also redeem up to 35% of the original principal amount of the 2019 Notes at any time prior to May 1, 2015 with the proceeds of certain equity offerings at a redemption price of 112.5% of the principal amount of the 2019 Notes, together with accrued and unpaid interest to, but not including, the date of redemption. TCM may also redeem the 2019 Notes at any time on or after May 1, 2016 at the redemption prices specified in the 2019 Notes Indenture together with accrued and unpaid interest to, but not including, the date of redemption. Finally, TCM may redeem the 2019 Notes at any time upon the occurrence of specified events relating to Canadian tax law at a redemption price of 100% of the principal amount of the 2019 Notes plus accrued and unpaid interest to, but not including, the date of redemption. | ||||||||||||
The 2019 Notes Indenture contains customary events of default. If an event of default occurs and is continuing under the 2019 Notes Indenture, the trustee or holders of at least 25% in principal of the outstanding 2019 Notes may declare the principal, premium, if any, and accrued and unpaid interest on all the 2019 Notes to be due and payable immediately. Certain events of bankruptcy or insolvency are events of default that would result in the 2019 Notes being due and payable immediately upon the occurrence of such events of default. | ||||||||||||
During the fourth quarter of 2014, TCM repurchased $11.5 million of its 2019 Notes in open market transactions. In connection with the repurchase of these notes, TCM recorded a debt extinguishment loss of $0.2 million and reduced $0.2 million of the related unamortized debt issuance costs. | ||||||||||||
7.375% Senior Unsecured Notes | ||||||||||||
On May 20, 2011, TCM issued of $350.0 million of 7.375% senior unsecured notes (the "2018 Notes"). The proceeds received in the offering were $339.9 million, net of financing fees of $10.1 million. The net proceeds from the 2018 Notes offering were used to fund the development of Mount Milligan and for general working capital purposes. The 2018 Notes are guaranteed on a senior basis by substantially all of the Company's subsidiaries. | ||||||||||||
The 2018 Notes mature on June 1, 2018 and accrue interest from May 20, 2011 until maturity at a fixed rate of 7.375% per year. Interest is payable on June 1 and December 1 of each year, and the first interest payment occurred on December 1, 2011. Interest is payable to the holders of record at the close of business on the May 15 and November 15 prior to each interest payment date. | ||||||||||||
The 2018 Notes are governed by an indenture, dated May 20, 2011 (the “2018 Notes Indenture”). There are no maintenance covenants with respect to TCM's financial performance. However, the 2018 Notes Indenture does contain transaction-based restrictive covenants that restrict the Company's ability and the ability of certain of TCM subsidiaries to incur additional indebtedness; pay dividends or make other distributions or repurchase or redeem capital stock; prepay, redeem or repurchase certain debt; make loans and investments; sell assets; incur liens; enter into transactions with affiliates; enter into agreements restricting the Company's subsidiaries ability to pay dividends and consolidate, merge or sell all or substantially all of TCM assets, in each case subject to certain exceptions. | ||||||||||||
TCM may redeem the 2018 Notes at any time upon the occurrence of specified events relating to Canadian tax law at a redemption price of 100% of the principal amount of the 2018 Notes plus accrued and unpaid interest to, but not including, the date of redemption. | ||||||||||||
The 2018 Notes Indenture contains customary events of default. If an event of default occurs and is continuing under the 2018 Notes Indenture, the trustee or holders of at least 25% in principal of the outstanding 2018 Notes may declare the principal, premium, if any, and accrued and unpaid interest on all the 2018 Notes to be due and payable immediately. Certain events of bankruptcy or insolvency are events of default that would result in the 2018 Notes being due and payable immediately upon the occurrence of such events of default. In December 2011, TCM completed an exchange offer of the original 2018 Notes for a like principal amount of exchange notes registered under the Securities Act of 1933, pursuant to a registration rights agreement with the initial purchasers. | ||||||||||||
During the fourth quarter of 2014, TCM repurchased $14.2 million of its 2018 Notes in a open market transactions. In connection with the repurchase of these notes, TCM recorded a debt extinguishment gain of $2.3 million and reduced $0.3 million of the related unamortized debt issuance costs. | ||||||||||||
Mobile Mining Equipment Loans | ||||||||||||
On December 8, 2010, TCM executed an equipment financing agreement with Caterpillar in the amount of $12.8 million secured by six units of mobile mining equipment purchased by TCM during 2010. This fixed-rate loan bears interest at 3.6%, is scheduled to mature no later than December 8, 2015 and has an outstanding payable amount of $2.8 million as of December 31, 2014. | ||||||||||||
Total Debt | ||||||||||||
Aggregate maturities, net of discount amortization on the 2018 Notes, of the outstanding borrowings at December 31, 2014 were as follows: | ||||||||||||
Years | Principal Due | |||||||||||
(in millions) | ||||||||||||
2015 | $ | 3.9 | ||||||||||
2016 | — | |||||||||||
2017 | 350 | |||||||||||
2018 | 335.8 | |||||||||||
2019 | 188.6 | |||||||||||
Thereafter | — | |||||||||||
Total maturities | 878.3 | |||||||||||
Discount amortization on 2017 Notes | (2.1 | ) | ||||||||||
Total debt | $ | 876.2 | ||||||||||
Gold_Stream_Arrangement
Gold Stream Arrangement | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | ||||||||
Gold Stream Arrangement | Gold Stream Arrangement | |||||||
Pursuant to an agreement dated October 2010, as subsequently amended in December 2011, August 2012 and December 2014, with a subsidiary of Royal Gold, Inc. ("Royal Gold") (referred to as the "Gold Stream Arrangement"), TCM agreed to sell to Royal Gold 52.25% of the refined gold production from Mount Milligan Mine for a total upfront payment of $781.5 million, plus $435 per ounce, or the prevailing market rate if lower than $435 per ounce, when the gold is delivered. The upfront cash payments received under the Gold Stream Arrangement, of $111.9 million in 2013, $305.0 million in 2012, $138.1 million in 2011 and $226.5 million in 2010, were recorded as deferred revenue and classified as a liability on TCM's Consolidated Balance Sheets. | ||||||||
The Gold Stream Arrangement restricts TCM's ability to incur debt that is secured by the Mount Milligan Mine assets. Subject to the exceptions discussed below, TCM cannot incur debt that is secured by the Mount Milligan Mine assets in excess of $350.0 million until the earlier of the date upon which 425,000 ounces of refined gold have been sold and delivered to Royal Gold or the date upon which the aggregate dollar amount of the difference between the market price for the gold delivered to Royal Gold and the price actually paid by Royal Gold exceeds $280.0 million. Per the December 2014 amendment, discussed in Note 10 of Item 8, TCM is additionally permitted to pledge the Mount Milligan Mine assets to secure up to $25.0 million of hedging obligations incurred in connection with gold and copper production from Mount Milligan Mine, foreign currency exchange risk relating to Mount Milligan Mine and one or more corporate credit facilities utilized in connection with Mount Milligan Mine. Provided that Mount Milligan Mine meets specified throughput, recovery and delivery conditions, the $25.0 million could increase to $50.0 million. | ||||||||
TCM must maintain a deposit record during the term of the Gold Stream Arrangement wherein TCM reduces the $781.5 million total amount paid by Royal Gold by the difference between the current market price at the time of sale of refined gold to Royal Gold and $435 per ounce, multiplied by the amount of refined gold sold in such sale. If, at the end of the initial 50-year term of the agreement, the total deposit amount reflected in the deposit record has not been reduced to nil, TCM must pay to Royal Gold the remaining balance reflected in the deposit record. As of December 31, 2014, the remaining deposit per the Gold Stream Arrangement totaled $734.4 million. In the event of any default under the Company's agreement with Royal Gold, Royal Gold could require TCM to repay the outstanding deposit. | ||||||||
Royal Gold has a security interest in all of the Mount Milligan Mine assets until its total deposit amount has been reduced to nil. Royal Gold's security interest is subject to subordination to project or corporate financings by TCM, except that in such circumstances, Royal Gold retains a first priority interest in 52.25% of the refined gold from Mount Milligan Mine. After the total deposit amount has been reduced to nil, Royal Gold's security will consist solely of its first priority interest in 52.25% of the refined gold. The cash payments received under the Gold Stream Arrangement are recorded as deferred revenue and classified as a liability on TCM's Consolidated Balance Sheets. | ||||||||
TCM sells copper and gold concentrate from Mount Milligan Mine to MTM Customers, and then purchases gold ounces in the market for delivery to Royal Gold, in an amount based on a portion of the gold ounces in the copper and gold concentrate sold to MTM Customers as determined in accordance with the terms of the Gold Stream Arrangement. Mount Milligan Mine began selling copper and gold concentrate to MTM Customers and delivering gold ounces to Royal Gold in the fourth quarter of 2013, at which time TCM began to recognize an amount of the deferred revenue as gold ounces are delivered to Royal Gold, as explained further below. In connection with TCM's first 12 shipments of copper and gold concentrate (which concluded in the fourth quarter of 2014) from Mount Milligan Mine to MTM Customers, TCM was required to deliver gold ounces to Royal Gold based on a percentage of gold ounces in each provisional sale of gold to MTM Customers within two days of receiving a provisional payment for the sale of the copper and gold concentrate, with subsequent delivery of the remaining gold ounces upon final settlement. Hereinafter, all deliveries of gold to Royal Gold will be based solely on the final settlement of provisional sales of concentrate to MTM Customers and payable at the time of final settlement. The gold ounces delivered to Royal Gold under the Gold Stream Arrangement are based on the contained gold ounces in the provisional payments and final settlements multiplied by a 97% payable factor. | ||||||||
Revenues from the Gold Stream Arrangement are recognized upon the provisional sale of the copper and gold concentrate delivered to MTM Customers based on the amount of the provisional gold ounces in such sale, with adjustments made for the $435 per ounce price, the per ounce price for the deferred revenue that was received upfront pursuant to the terms of the Gold Stream Arrangement and certain adjustments. | ||||||||
The components of revenue under the Gold Stream Arrangement are as follows: | ||||||||
• | recognition of an amount of deferred revenue based on the amount of gold ounces delivered to Royal Gold in the applicable period compared to total expected gold deliveries over the life of the mine; | |||||||
• | recognition of receipts of $435 per ounce, or the prevailing market rate if lower than $435 per ounce, when the gold ounces are delivered; | |||||||
• | recognition of any unrealized losses resulting from the difference between the $435 per ounce plus the deferred revenue per ounce price and the prevailing spot price at the end of any period, net of purchase costs for the gold ounces delivered to Royal Gold; and | |||||||
• | gains or losses related to TCM's commodity gold contracts used to hedge TCM’s Gold Stream Risk, as defined above. | |||||||
The following table presents the revenue under the Gold Stream Arrangement for the years ended December 31, 2014 and 2013, respectively in the form of (i) cash receipts based on gold sales during the applicable period, and (ii) deferred revenue for gold ounces delivered and deferred revenue to be recognized upon final settlement during the applicable period: | ||||||||
Years Ended | ||||||||
(US$ in millions) | December 31, 2014 | December 31, 2013 | ||||||
Gold sales related to cash portion of Gold Stream Arrangement (1) | $ | 39 | $ | 1.3 | ||||
Gold sales related to deferred portion of Gold Stream Arrangement (1) (2) | 31.2 | 1 | ||||||
Total gold sales under Gold Stream Arrangement (1) (2) | $ | 70.2 | $ | 2.3 | ||||
_____________________________________________________________________________ | ||||||||
(1) Recognized revenue and related gold ounces based on provisional sales may be subject to adjustment upon final settlement. | ||||||||
(2) Consists of $19.2 million and $0.8 million of revenue which was previously deferred, for the years ended December 31, 2014 and 2013, respectively. Revenue ultimately to be recognized upon delivery of gold is $12.0 million and $0.7 million for the years ended December 31, 2014 and 2013, respectively. |
Tangible_Equity_Units_tMEDS
Tangible Equity Units ("tMEDS") | 12 Months Ended |
Dec. 31, 2014 | |
Stockholders' Equity Note [Abstract] | |
Tangible Equity Units (tMEDS) | Tangible Equity Units ("tMEDS") |
On May 11, 2012, TCM completed a public offering of 8,800,000 tMEDS with a stated value of $25.00. Each tMEDS unit consisted of a prepaid common stock purchase contract and a senior amortizing note due May 15, 2015. Each prepaid common stock purchase contract will automatically settle on May 15, 2015, unless settled earlier as described below. At any time prior to the third business day immediately preceding May 15, 2015, the holder may settle the purchase contract early. Each contract settled prior to November 10, 2012 was settled for 4.3562 shares of common stock, which is 95% of the minimum settlement rate. Each contract settled on or after November 11, 2012 but prior to the third business day preceding May 15, 2015 will be settled for 4.5855 shares of common stock, subject in either case to certain adjustments. | |
On May 21, 2014, TCM commenced an offer ("Exchange Offer") to exchange any and all of the 8,340,000 then outstanding units of tMEDS for a number of shares of TCM’s common stock. Pursuant to the terms of the Exchange Offer, as amended, each holder of tMEDS could tender all or a portion of such holder's tMEDS in exchange for (i) 5.3879 shares of common stock plus (ii) a number of shares of common stock equal to $1.25 divided by $2.73, which is the five day arithmetic daily volume-weighted average price of the TCM common stock over the trading period beginning on June 16, 2014 and ending on June 20, 2014. The Exchange Offer expired on June 24, 2014, and 7,206,862 units, or 86.4%, of the tMEDS were tendered for exchange, and accepted by TCM. In exchange for the tendered tMEDS, TCM issued 42,129,829 shares of its common stock. During the year ended December 31, 2013, holders settled 460,000 purchase contracts for which TCM issued 2,109,330 shares of common stock. | |
As of December 31, 2014, 1,133,138 tMEDS remained outstanding. Such tMEDS will continue to be held pursuant to their original terms and conditions, including mandatory conversion on May 15, 2015, as described above. Additionally, on July 8, 2014, TCM filed an application to notify the SEC of its delisting of any and all units of tMEDS which remained outstanding following settlement of the Exchange Offer, and the delisting became effective 10 days after such filing. TCM does not intend to re-list its tMEDS on another securities exchange. | |
Although each outstanding unit of tMEDS was treated as one unit for purposes of the Exchange Offer, the accounting treatment considers each component of each unit of tMEDS, a prepaid common stock purchase contract and a senior amortizing note, separately. In June 2014, in connection with shares of common stock issued in exchange for the prepaid common stock purchase contract components of the tendered tMEDS, TCM recorded a $145.5 million increase to common stock and a $145.5 million decrease to additional paid-in capital equal to the value of the shares issued in exchange for the prepaid common stock purchase contract components of the tendered tMEDS, net of a $0.2 million decrease to additional paid-in capital for issuance costs incurred by TCM. | |
In connection with the settlement of $10.9 million of the senior amortizing notes component of the tendered tMEDS, TCM issued $9.3 million in TCM common stock and made a principal payment of $1.2 million to the senior amortizing note holders. Additionally, TCM recorded $0.5 million in debt extinguishment losses due to the difference between consideration offered for extinguished debt net of $0.5 million of fees and expenses incurred by TCM in connection with the Exchange Offer, and the write off of $0.3 million of unamortized debt issuance costs. | |
The senior amortizing note component of the tMEDs that remained outstanding as of December 31, 2014 was $1.2 million, which is included in the current portion of long-term debt on the Consolidated Balance Sheets. The unamortized deferred financing costs related to the remaining tMEDS were nil and $0.6 million as of December 31, 2014 and 2013, respectively. For the years ended December 31, 2014 and 2013, TCM paid $1.3 million and $3.1 million; capitalized $0.1 million and $2.7 million, respectively; and expensed $1.2 million and $0.6 million, respectively, of the interest and debt issuance costs associated with the tMEDS. | |
For purposes of the fair market value disclosed in Note 7, the carrying value of the tMEDS as of December 31, 2014 was higher than the fair value of approximately $0.4 million. TCM determined the fair value of the debt component of tMEDS using a discounted cash flow model by obtaining yields for comparably-rated issuers trading in the market, considering the market yield of existing TCM debt and the credit rating of TCM. |
Asset_Retirement_Obligations
Asset Retirement Obligations | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Asset Retirement Obligation Disclosure [Abstract] | |||||||||||||||||||||
Asset Retirement Obligations | Asset Retirement Obligations | ||||||||||||||||||||
Asset retirement obligations arise from the acquisition, development, construction and normal operation of mining property, plant, equipment and development due to government controls and regulations that protect the environment on the closure and reclamation of mining properties. The exact nature of environmental issues and costs, if any, which TCM may encounter in the future are subject to change, primarily because of the changing character of environmental requirements that may be enacted by governmental agencies. | |||||||||||||||||||||
The following table details items affecting asset retirement obligations for future mine closure and reclamation costs in connection with TCM's Mount Milligan Mine, TC Mine, Endako Mine (reflecting 75% ownership) and its now-terminated interest in the Davidson property: | |||||||||||||||||||||
Mt. Milligan | Thompson | Endako | Davidson | Total | |||||||||||||||||
Creek Mine | Mine | Property | |||||||||||||||||||
At January 1, 2012 | $ | 1.3 | $ | 23.1 | $ | 8.1 | $ | 0.3 | $ | 32.8 | |||||||||||
Additions/Revisions | 2.8 | (3.1 | ) | 1.7 | — | 1.4 | |||||||||||||||
Accretion | 0.2 | 1.5 | 0.6 | — | 2.3 | ||||||||||||||||
Foreign exchange | — | — | 0.1 | — | 0.1 | ||||||||||||||||
At December 31, 2012 | $ | 4.3 | $ | 21.5 | $ | 10.5 | $ | 0.3 | $ | 36.6 | |||||||||||
Additions/Revisions | (1.2 | ) | (1.3 | ) | 8.2 | — | 5.7 | ||||||||||||||
Accretion | 0.2 | 1.3 | 0.9 | — | 2.4 | ||||||||||||||||
Foreign exchange | (0.2 | ) | — | (0.7 | ) | — | (0.9 | ) | |||||||||||||
At December 31, 2013 | $ | 3.1 | $ | 21.5 | $ | 18.9 | $ | 0.3 | $ | 43.8 | |||||||||||
Additions/Revisions (1) | (0.7 | ) | (9.2 | ) | (0.3 | ) | — | (10.2 | ) | ||||||||||||
Accretion | 0.4 | 1.5 | 1.7 | — | 3.6 | ||||||||||||||||
Foreign exchange | (0.3 | ) | — | (1.6 | ) | — | (1.9 | ) | |||||||||||||
At December 31, 2014 | $ | 2.5 | $ | 13.8 | $ | 18.7 | $ | 0.3 | $ | 35.3 | |||||||||||
(1) At December 31, 2014 the downward revision to the asset retirement obligation at TC Mine resulted in a $6.2 million decrease to depreciation, depletion and amortization in the Consolidated Statements of Operations and Comprehensive Income (Loss). | |||||||||||||||||||||
TCM is required by US federal and state laws and Canadian provincial laws to provide financial assurance sufficient to allow a third party to implement approved closure and reclamation plans if TCM is unable to do so. These laws are complex and vary from jurisdiction to jurisdiction. The laws govern the determination of the scope, cost of the closure, reclamation obligation and the amount and forms of financial assurance. As of December 31, 2014 and 2013, TCM has provided the appropriate regulatory authorities in the US and Canada with $78.6 million and $81.8 million, respectively, in non-cash reclamation financial assurance for mine closure obligations which are secured by $10.3 million and $7.4 million in cash deposits as of December 31, 2014 and 2013, respectively. | |||||||||||||||||||||
In connection with the development of Mount Milligan Mine, the Province of British Columbia has required us to provide a reclamation deposit in the amount of $25.9 million and $28.2 million as of December 31, 2014 and 2013, respectively. The estimated future reclamation costs for Mount Milligan Mine have been discounted using rates from 11.0% to 13.9%. As of December 31, 2014, TCM anticipates that these costs will be incurred beginning in the year 2037. The total inflated and undiscounted estimated reclamation costs for Mount Milligan Mine were $43.1 million and $45.6 million as of December 31, 2014 and 2013, respectively. | |||||||||||||||||||||
The current reclamation bonding for TC Mine is $42.4 million as of December 31, 2014. TCM has provided surety bonds to satisfy these obligations. The estimated future reclamation costs for TC Mine have been discounted using rates from 6.7% to 12.0%. As of December 31, 2014, TCM anticipates that these costs will be incurred from 2031 to 2045. The total inflated and undiscounted estimated reclamation costs for TC Mine were $44.6 million and $43.7 million as of December 31, 2014 and 2013, respectively. | |||||||||||||||||||||
For Endako Mine, the British Columbia Ministry of Energy, Mines and Petroleum Resources has required TCM to provide a reclamation deposit in the amount of $13.2 million and $14.4 million as of December 31, 2014 and 2013, respectively. TCM's proportionate share is $9.9 million and $10.8 million as of December 31, 2014 and 2013, respectively. TCM's share of total inflated and undiscounted estimated reclamation costs for Endako Mine were $35.6 million and $32.7 million as of December 31, 2014 and 2013, respectively. As of December 31, 2014, TCM estimates its proportionate share of these costs will be incurred from 2015 to 2031. The estimated future reclamation costs for Endako Mine have been discounted using rates from 2.94% to 13.86%. | |||||||||||||||||||||
As of December 31, 2014, TCM's reclamation deposits related to Mount Milligan Mine and Endako Mine were in the form of letters of credit secured by a guarantee and cash collateral. Under the arrangements, the ACE Group, a surety company, provided a guarantee to Export Development Canada ("EDC"), who provided a guarantee to Royal Bank of Canada ("RBC"), who issued letters of credit to the British Columbia Ministry of Energy and Mines. In exchange for the surety company's guarantee, TCM has provided $7.1 million of cash collateral and will pay total annual fees of approximately 1.7% of the total reclamation bond guarantee to the surety company, EDC and RBC. On December 18, 2014 TCM received a refund of the entire $7.1 million of the cash collateral previously provided to the surety company. | |||||||||||||||||||||
TCM's Berg property was acquired in the 2010 acquisition of Terrane. The Province of British Columbia has required TCM to provide a reclamation deposit in the amount of $0.1 million as of December 31, 2014 for the Berg property. | |||||||||||||||||||||
In October 2013, TCM relinquished the option to develop the Davidson exploration property located in British Columbia, Canada that TCM had held since 2005. TCM believes that all reclamation obligations have been met that arose during TCM's option period, and TCM has asked the British Columbia Ministry of Energy and Mines to release the reclamation bond of $0.3 million. The funds and TCM's obligation were not released as of December 31, 2014; however, discussions are on-going with the Ministry. |
Employee_Benefits
Employee Benefits | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||
Employee Benefits | Employee Benefits | ||||||||
Retention and Severance | |||||||||
In 2012, TCM terminated a retention and severance arrangement under which certain of its employees were participants. The retention and severance arrangement was put into place in 2004. Under the terms of the severance portion of the arrangement, the participants accrued severance benefits based on years of service that were to be paid upon termination of the employees by TCM without cause and under certain other circumstances. In connection with termination of the plan that occurred on September 30, 2012, TCM agreed to pay the participants severance amounts that had accrued to such individuals as of September 30, 2012 on the earlier of October 15, 2013 or the applicable participant's separation of service with the Company. On June 30, 2012, the retention portion of the arrangement was terminated, and TCM agreed to make additional payments to the participants of 100% of current eligible retention amounts on June 30, 2013 for the period of July 1, 2012 to June 30, 2013 and 100% of current eligible retention amounts on June 30, 2014 for the period of July 1, 2013 to June 30, 2014. During 2014 and 2013, TCM paid $2.9 million and $13.5 million, respectively in severance and retention payments and had severance and retention liability amounts of nil and $1.0 million, as of December 31, 2014 and 2013, respectively related to this program. No further severance or retention payments were made under the arrangement after June 30, 2014. | |||||||||
In 2012, TCM entered into retention arrangements with certain eligible employees of TC Mine in anticipation of the deferral of Phase 8 stripping activities and the placement of TC Mine on care and maintenance when the mining and processing of Phase 7 ore was completed, which occurred in the fourth quarter of 2014. Pursuant to these arrangements, eligible employees would be paid a certain amount if they stayed at TC Mine until the completion of Phase 7, with such payment to be made within 60 days of the end of Phase 7, as determined by the Company. TCM's liability at December 31, 2014 with respect to such severance arrangements amounted to $0.2 million and TCM paid $3.6 million in such bonus payments during 2014. | |||||||||
As of December 31, 2014 and 2013, TCM's total liability amounted to $1.5 million and $5.4 million, respectively, related to retention and severance arrangements. For the years ended December 31, 2014, 2013 and 2012, TCM recognized an expense of $7.2 million, $6.0 million and $7.0 million, respectively, for retention and severance arrangements. | |||||||||
Defined Contribution Pension Plans | |||||||||
TCM, through its subsidiaries, maintains defined contribution pension plans available to certain employees. TCM's Thompson Creek Metals Company Thrift Plan (the "Plan") is a defined contribution pension plan and covers all eligible employees employed in the US. The Plan is subject to the provisions of the US Employee Retirement Income Security Act of 1974, as amended, and Section 401(k) of the US Internal Revenue Code. The assets of the Plan are held and the related investment transactions are executed by the Plan's trustee. Administrative fees, including accounting and attorney fees, are paid by TCM on behalf of the Plan. TCM contributed approximately $1.7 million, $1.8 million and $2.0 million, respectively, to the Plan for the years ended December 31, 2014, 2013 and 2012. TCM may make additional contributions to the Plan at its sole discretion; however, TCM has no further obligation relating to benefits under this Plan. | |||||||||
TCM has formed the Thompson Creek Metals Company Inc. Registered Pension Plan (the "Pension Plan") covering all Canadian employees. The assets of the Pension Plan are held and the related investment transactions are executed by the Pension Plan's trustee. Administrative fees, including any accounting and legal fees, are paid by TCM on behalf of the Pension Plan. All participating locations of the Pension Plan contributed C$2.7 million, C$2.4 million and C$1.7 million to the Pension Plan for the years ended December 31, 2014, 2013 and 2012, respectively. TCM has recorded its proportionate 75.0% share related to Endako Mine contributions. TCM has no further obligation relating to pension benefits under this Pension Plan. | |||||||||
Postretirement Benefits | |||||||||
Under the union agreement at the Langeloth Facility, TCM is required to provide postretirement medical benefits for certain retired former employees and their dependents by making the monthly medical insurance premium payments on their behalf. Substantially all of TCM's current unionized employees may become eligible for this benefit if certain age and service requirements are met at the time of retirement, as specified in the union agreement. The benefit ceases when the eligible retired employee reaches 65 years of age. TCM does not have any obligation related to eligible retired unionized employees beyond the monthly medical insurance premiums. TCM follows current accounting guidance related to postretirement benefits for this plan. Prior service costs, actuarial gains and losses and transition obligations are amortized over the average life expectancy of the plan's participants. | |||||||||
The following table sets forth the actuarial present value of postretirement medical benefit obligations and amounts recognized in TCM's consolidated financial statements: | |||||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
Change in benefit obligations: | |||||||||
Net benefit obligation at beginning of year | $ | 3.2 | $ | 3.3 | |||||
(Gain) loss | 0.6 | (0.5 | ) | ||||||
Service cost | 0.3 | 0.4 | |||||||
Interest cost | 0.1 | 0.1 | |||||||
Benefits paid | (0.2 | ) | (0.1 | ) | |||||
$ | 4 | $ | 3.2 | ||||||
The liability of $4.0 million and $3.2 million was included in other liabilities on TCM's Consolidated Balance Sheets as of December 31, 2014 and 2013, respectively. | |||||||||
The assumptions used to determine the benefit obligations as of December 31, 2014 included a measurement date of December 31, 2014 and a discount rate of 3.8%. The yield curve matching TCM's benefit obligation was derived using a cash flow analysis under the Citigroup pension liability index. The Citigroup pension discount curve shows the relationship between interest rates and the duration for hypothetical zero coupon investments. This yield curve was used in determining the discount rate for TCM's postretirement benefit obligation. | |||||||||
The components of net periodic benefit costs for the year ended December 31, 2014 included $0.3 million of service cost and $0.1 million of interest cost for a total net periodic benefit cost of $0.4 million. | |||||||||
The health care cost trend assumed that average cost of coverage was 7.0% for 2014, reduced by 0.25% annually through 2020 and from there being reduced by 0.5% to an ultimate trend of 4.5% in 2023 and beyond. The assumed health care cost trend rates can have a significant effect on the amounts reported for postretirement medical benefits. The effect of a one percent change in the health care cost trend rate used to calculate periodic postretirement medical costs and the related benefit obligation would be insignificant to this benefit obligation. | |||||||||
The expected postretirement medical benefits provided below were based on actuarial assumptions. | |||||||||
December 31, | |||||||||
Expected benefit payments: | |||||||||
2015 | $ | 0.1 | |||||||
2016 | $ | 0.1 | |||||||
2017 | $ | 0.2 | |||||||
2018 | $ | 0.2 | |||||||
2019 | $ | 0.3 | |||||||
2020-2024 | $ | 1.7 | |||||||
Employee Stock Purchase Plan | |||||||||
The ESPP, which was initially approved by TCM's shareholders in May 2010, provides an opportunity for TCM's employees to purchase its common shares at 85% of the closing price at the beginning of the offering period or at the end of the offering period, whichever is lower. The ESPP was suspended effective July 1, 2013 pending approval of an amended plan by TCM's shareholders. Effective May 13, 2014, TCM's shareholders approved the Amended and Restated Thompson Creek Metals Company Inc. 2010 Employee Stock Purchase Plan (as amended and restated, the "ESPP"), which (i) makes an additional 2,000,000 shares of the Company's common stock available for issuance; (ii) changes the frequency of offering periods to four consecutive three-month offering periods per year; (iii) allows the Compensation Committee to establish sub-plans or special rules designed to achieve desired tax or other objectives for employees outside of the U.S.; (iv) allows the Compensation Committee to exclude from any sub-plan the limit on an employee's right to accrue common stock pursuant to the ESPP at a rate that exceeds $25,000 in market value of common stock per calendar year; (v) allows the Compensation Committee to change the frequency and/or duration of offering periods with respect to future offerings; (vi) caps the number of shares that any employee may purchase in any offering period and in any calendar year at 5,000 and 20,000 shares, respectively; (vii) allows for participation in the ESPP by any employee employed as of an enrollment date; and (viii) permits participants in the ESPP to change their contribution rates during offering periods, subject to limitations imposed by the Compensation Committee. | |||||||||
As of December 31, 2014 there are 2,054,117 shares authorized for purchase by TCM's employees under the ESPP. Compensation expense is measured based on the fair value using a Black-Scholes model of the employees' option to purchase shares of common stock at the grant date. Compensation expense is recognized over the future periods in which the related employee service is rendered. TCM estimated a fair value of employee options to purchase shares under the ESPP of $0.75 for the first two three-month offering periods of 2014. TCM recorded $0.2 million, $0.2 million and $0.4 million of expense related to the ESPP plan for the years ended December 31, 2014, 2013 and 2012, respectively. For the year ended December 31, 2014, TCM issued 160,952 shares of common stock under the ESPP. No tax benefit is realized for ESPPs unless there is a disqualifying disposition. |
Shareholders_Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2014 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | Shareholders' Equity |
The authorized share capital of TCM is comprised of an unlimited number of common shares and an unlimited number of preferred shares, issuable in series with terms determinable upon issuance. As of December 31, 2014, TCM has not issued any preferred shares. | |
As of December 31, 2014 and 2013, TCM issued 42,129,828 and 2,109,330 shares of common stock, respectively in settlement of certain prepaid common stock purchase contracts for a total of 44,239,158 common shares. These prepaid common stock purchase contracts were issued as part of the 2012 issuance of 8.8 million units of tMEDS, which were recorded as a $177.7 million increase to additional paid-in-capital, net of issuance costs. No purchase contracts were settled and no shares of common stock were issued related to the tMEDS during 2012. The remaining unsettled units will automatically settle on May 15, 2015 and delivery of outstanding shares of common stock will be required based on the applicable market value. See Note 11 for further discussion. |
StockBased_Compensation
Stock-Based Compensation | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||
Stock-Based Compensation | Stock-Based Compensation | ||||||||||||
On May 13, 2014, TCM's shareholders approved the Amended and Restated 2010 Long-Term Incentive Plan (the "LTIP"). The LTIP allows TCM to grant stock options, share appreciation rights, restricted shares, RSUs, PSUs or shares granted as bonus compensation. As of December 31, 2014, the number of common shares authorized for awards under the LTIP plan is 11.0 million. Effective November 21, 2013, Mr. Perron, TCM's Chief Executive Officer, was granted a one-time inducement award comprised of stock options to purchase 400,000 shares of TCM's common stock and 300,000 RSUs, each vesting in three equal annual installments beginning on the first anniversary of the date of grant. The stock options will be exercisable for five years from the date of grant. These grants were made as an employment inducement award outside of the LTIP. | |||||||||||||
TCM does not realize a tax benefit for stock-based awards granted to Canadian employees under the current Canadian tax law. As of December 31, 2014, TCM has granted stock options, PSUs and RSUs, as discussed below. | |||||||||||||
Stock Options | |||||||||||||
The expiration date and vesting provisions of stock options granted are established at the time an award is made. Stock options vest over 3 years and are exercisable over a period of time not to exceed 10 years from the grant date but generally expire 5 years from the grant date. When an option is exercised, TCM issues the requisite shares from authorized but unissued common stock. The exercise price of options granted prior to March 1, 2011 is equal to the greater of: (i) the volume weighted-average trading price of the underlying shares on the Toronto Stock Exchange over the five consecutive trading days immediately before the grant date and (ii) if the award date occurs in a trading black-out period, the weighted-average trading price over the five consecutive trading days immediately after the black-out period has been lifted. The exercise price of options granted after March 1, 2011 is equal to the volume weighted-average trading price of the underlying shares over the five consecutive trading days immediately before the grant date. | |||||||||||||
The following table summarizes stock option activity during the years ended December 31, 2012, 2013 and 2014: | |||||||||||||
Options | Weighted-Average | Aggregate | |||||||||||
Exercise Price | Intrinsic Value | ||||||||||||
(000's) | -1 | -1 | |||||||||||
Stock options outstanding at January 1, 2012 | 2,989 | $ | 12.29 | $ | 1 | ||||||||
Granted | 254 | $ | 4.5 | — | |||||||||
Exercised | (35 | ) | $ | 6.02 | — | ||||||||
Canceled/expired | (749 | ) | $ | 12.52 | — | ||||||||
Stock options outstanding at December 31, 2012 | 2,459 | $ | 11.5 | $ | 0.2 | ||||||||
Granted | 779 | $ | 3.13 | — | |||||||||
Canceled/expired/forfeited | (658 | ) | $ | 11.95 | — | ||||||||
Stock options outstanding at December 31, 2013 | 2,580 | $ | 8.86 | $ | 0.2 | ||||||||
Granted | 423 | $ | 2.64 | — | |||||||||
Exercised | (11 | ) | $ | 2.7 | — | ||||||||
Canceled/expired/forfeited | (1,606 | ) | $ | 11.44 | — | ||||||||
Stock options outstanding at December 31, 2014 | 1,386 | $ | 4.04 | $ | — | ||||||||
_______________________________________________________________________________ | |||||||||||||
(1) | The weighted-average exercise price of options outstanding is shown in US dollars as the majority of the options granted starting in 2011 have a strike price denominated in US dollars. Options with a Canadian dollar strike price have been converted to US dollars for disclosure purposes using the exchange rates on the respective date of grant. | ||||||||||||
The following table summarizes information about stock options outstanding and exercisable as of December 31, 2014: | |||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||
Range of Exercise Prices | Number | Weighted-Average | Weighted-Average | Number | Weighted-Average | Weighted-Average | |||||||
Outstanding | Exercise Price | Remaining | Outstanding | Exercise Price | Remaining | ||||||||
Contractual Life | Contractual Life | ||||||||||||
(000's) | (1) | (000's) | (1) | ||||||||||
1.42 - 5.83 | 1,216 | $3.13 | 3.8 | 474 | $3.63 | 3.3 | |||||||
6.02 - 10.64 | 86 | $9.01 | 1.1 | 86 | $9.01 | 1.1 | |||||||
11.88 - 14.04 | 84 | $12.14 | 0.6 | 84 | $12.14 | 0.6 | |||||||
_______________________________________________________________________________ | |||||||||||||
(1) | The weighted-average exercise price of options outstanding is shown in US dollars as the majority of the options granted starting in 2011 have a strike price denominated in US dollars. Options with a Canadian dollar strike price have been converted to US dollars for disclosure purposes using the exchange rates on the respective date of grant. | ||||||||||||
For the years ended December 31, 2014, 2013 and 2012, TCM recorded compensation expense related to stock options of $0.4 million, $0.6 million and $1.0 million, respectively. As of December 31, 2014, approximately 0.7 million outstanding options had not vested and were not exercisable. The total unrecognized compensation cost related to these options was $0.6 million as of December 31, 2014 and is expected to be recognized over a weighted-average period of 2.2 years. | |||||||||||||
As of December 31, 2014, approximately 0.6 million options had vested and were exercisable. The aggregate intrinsic value of these exercisable awards was nil as of December 31, 2014. | |||||||||||||
The weighted-average fair value of stock options on the date of grant, and the assumptions used to estimate the fair value of the stock options using a Black-Scholes option valuation model were as follows: | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Weighted-average fair value of options granted (1) | $ | 1.48 | $ | 1.02 | $ | 1.63 | |||||||
Expected volatility | 53.5 | % | 52.5 | % | 50.9 | % | |||||||
Expected life (years) | 2.7 | 2.7 | 2.8 | ||||||||||
Risk-free interest rate | 0.7 | % | 0.4 | % | 0.4 | % | |||||||
Expected dividend yield | — | % | — | % | — | % | |||||||
_________________________________________________________________________ | |||||||||||||
(1) The weighted-average exercise price of options granted is shown in US dollars as the majority of the options granted starting in 2011 have a strike price denominated in US dollars. Options with a Canadian dollar strike price have been converted to US dollars for disclosure purposes using the exchange rates on the respective date of grant. | |||||||||||||
Performance Share Units | |||||||||||||
As of December 31, 2014, TCM had issued a total of 3,305,345 PSUs under the LTIP, which have been granted to eligible employees. The vesting of the PSUs granted prior to January 1, 2012 is contingent upon employee service and the performance of TCM's share price relative to the established award price. At each anniversary date during the vesting period, if the per share closing price of TCM's common stock on such date is at or higher than the award price, then the awards will vest one-third on each anniversary date, and the requisite shares will be issued from authorized but unissued common stock. If the closing price is less than the award price, and therefore, the market condition is not achieved, then those PSUs do not vest and are carried forward to the following anniversary date. Any PSUs not vested at the end of the three-year vesting period will expire. | |||||||||||||
The vesting of the PSUs granted subsequent to January 1, 2012 and prior to January 1, 2014 is contingent upon two performance metrics: 1) TCM's Total Shareholder Return (TSR) relative to the Russell 2000 Index during the three-year performance period and 2) the proven and probable mine reserves replaced by TCM during the three-year performance period as measured by the replacement reserves percentage determined by the plan administrator. The PSUs cliff vest three years from the date of issuance upon achievement of the above metrics. Any PSUs not vested at such time will expire. | |||||||||||||
The vesting of the PSUs granted subsequent to January 1, 2014 is contingent upon two performance metrics: 1) TCM's Total Shareholder Return (TSR) relative to the S&P TSX Global Base Metals Index during the three-year performance period and 2) cash flow from operations, defined as TCM's aggregate "cash generated by (used in) operating activities" less aggregate "capital expenditures" as reported for the calendar years 2014, 2015 and 2016 in the Statements of Cash Flows in the Company's Annual Report on Form 10-K. The PSUs cliff vest approximately three years from the date of issuance, or on the date in the first quarter of 2017 that the plan administrator determines and certifies the achievement of the above metrics. Any PSUs not vested at such time will expire. | |||||||||||||
All PSUs granted are accounted for at fair value using a Monte Carlo simulation valuation model on the date of grant. The Monte Carlo model is based on random projections of stock price paths. Expected volatility is calculated using a weighted average of historical daily volatilities and implied volatility and represents the extent to which TCM's stock price performance is expected to fluctuate during each of the three calendar-year periods of the award's anticipated term. | |||||||||||||
For the years ended December 31, 2014, 2013 and 2012, TCM recorded compensation expense related to the PSUs of $2.7 million, $2.3 million and $2.5 million, respectively. At December 31, 2014, unrecognized compensation expense related to PSUs totaled $4.2 million that will be recognized on a straight-line basis over a weighted-average period of 2.2 years. | |||||||||||||
The following table summarizes PSU activity during the years ended December 31, 2012, 2013 and 2014: | |||||||||||||
Units | Weighted-Average | ||||||||||||
Fair Value | |||||||||||||
(000's) | |||||||||||||
Outstanding at January 1, 2012 | 495 | $ | 11.91 | ||||||||||
PSUs granted | 381 | $ | 12.01 | ||||||||||
Canceled/expired/forfeited | (31 | ) | $ | 12.01 | |||||||||
Outstanding at December 31, 2012 | 845 | $ | 11.95 | ||||||||||
PSUs granted | 948 | $ | 4.21 | ||||||||||
Canceled/expired/forfeited | (568 | ) | $ | 7.69 | |||||||||
Outstanding at December 31, 2013 | 1,225 | $ | 7.88 | ||||||||||
PSUs granted | 1,426 | $ | 3.37 | ||||||||||
Canceled/expired/forfeited | (731 | ) | $ | 7.98 | |||||||||
Outstanding at December 31, 2014 | 1,920 | $ | 4.59 | ||||||||||
Restricted Stock Units | |||||||||||||
As of December 31, 2014, TCM had issued 3,021,973 RSUs under the LTIP and under the employment inducement award, which have been granted to certain eligible employees and directors. | |||||||||||||
TCM accounts for RSUs at fair value, which is based on the market value of TCM's common shares on the day of grant and recognized over the vesting period of 3 years. Upon vesting, TCM will issue the requisite shares from authorized but unissued common stock. TCM recorded $2.4 million, $2.5 million and $2.4 million of compensation expense related to its RSUs for the years ended December 31, 2014, 2013 and 2012, respectively. At December 31, 2014, unrecognized compensation expense related to restricted stock units totaled $2.8 million that will be recognized on a straight-line basis over a weighted-average period of 1.9 years. | |||||||||||||
The following table summarizes RSU activity during the years ended December 31, 2012, 2013 and 2014: | |||||||||||||
Units | Weighted-Average | ||||||||||||
Fair Value | |||||||||||||
(000's) | |||||||||||||
Outstanding at January 1, 2012 | 306 | $ | 10.33 | ||||||||||
RSUs granted | 413 | $ | 8.82 | ||||||||||
RSUs vested and common shares issued | (72 | ) | $ | 10.12 | |||||||||
Canceled/expired/forfeited | (113 | ) | $ | 9.62 | |||||||||
Outstanding at December 31, 2012 | 534 | $ | 9.3 | ||||||||||
RSUs granted | 1,266 | $ | 2.52 | ||||||||||
RSUs vested and common shares issued | (201 | ) | $ | 9.41 | |||||||||
Canceled/expired/forfeited | (253 | ) | $ | 5.58 | |||||||||
Outstanding at December 31, 2013 | 1,346 | $ | 4.23 | ||||||||||
RSUs granted | 935 | $ | 2.76 | ||||||||||
RSUs vested and common shares issued | (551 | ) | $ | 4.65 | |||||||||
Canceled/expired/forfeited | (275 | ) | $ | 3.84 | |||||||||
Outstanding at December 31, 2014 | 1,455 | $ | 3.2 | ||||||||||
Stock-based compensation cost charged against earnings for all of TCM's stock-based awards is shown below for the years ended December 31, 2014, 2013 and 2012: | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Total stock-based compensation | $ | 5.8 | $ | 5.6 | $ | 6.3 | |||||||
Amount capitalized to product inventory | (0.1 | ) | 0.1 | (0.1 | ) | ||||||||
Amount capitalized to Mount Milligan Mine | (0.3 | ) | (0.3 | ) | (0.5 | ) | |||||||
Stock-based compensation expense | 5.4 | 5.4 | 5.7 | ||||||||||
US tax benefit | (1.7 | ) | (1.5 | ) | (1.5 | ) | |||||||
Impact on net income (loss) | $ | 3.7 | $ | 3.9 | $ | 4.2 | |||||||
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies |
Legal Matters | |
TCM is from time to time involved in or subject to legal proceedings related to its business. While it is not feasible to predict or determine the outcome of these proceedings, it is the opinion of management that the resolution of such proceedings is not expected to have a material adverse effect on TCM's consolidated financial position results of operations or cash flows. | |
Concentrate Sales Agreements | |
As of December 31, 2014, TCM is party to three multi-year concentrate sales agreements for the sale of concentrate produced at Mount Milligan Mine. Pursuant to these agreements, TCM has agreed to sell an aggregate of the copper and gold concentrate produced at Mount Milligan Mine of approximately 120,000 tonnes in 2015 and 120,000 tonnes in 2016. During February 2015, TCM entered into a fourth multi-year concentrate sales agreement, pursuant to which TCM agreed to sell to the counterparty approximately 20,000 tonnes of concentrate in each of calendar years 2015 and 2016 and 40,000 tonnes of concentrate in 2017 and 2018. Pricing under these concentrate sales agreements will be determined by reference to specified published reference prices during the applicable quotation periods. Payment for the concentrate will be based on the price for the agreed copper and gold content of the parcels delivered, less smelting and refining charges and certain other deductions, if applicable. The copper smelting and refining charges will be negotiated in good faith and agreed by the parties for each contract year based on terms generally acknowledged as industry benchmark terms. The gold refining charges are as specified in the agreements. Remaining concentrate produced at Mount Milligan Mine will be sold under short-term contracts or on a spot basis. | |
Molybdenum Purchases | |
In the normal course of operations, TCM enters into agreements for the purchase of molybdenum. As of December 31, 2014, TCM had commitments to purchase approximately 14.8 million pounds of molybdenum as unroasted molybdenum concentrate from 2015 to 2017 primarily priced at the time of purchase at a set discount to the market price for roasted molybdenum concentrate. | |
Molybdenum Sales | |
In the normal course of operations, TCM enters into certain molybdenum sales contracts pursuant to which it sells future production at fixed prices. As of December 31, 2014, TCM had commitments to sell approximately 600 thousand pounds of molybdenum oxide in 2015 at an average price of $12.05 per pound. | |
Capital Purchase Commitments | |
As of December 31, 2014, TCM had open capital purchase commitments of $0.5 million related to the Mount Milligan Mine. |
Exploration
Exploration | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Extractive Industries [Abstract] | |||||||||||||
Exploration | Exploration | ||||||||||||
The following table summarizes TCM's exploration expenses by project or property: | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Berg Property | $ | 0.2 | $ | 0.6 | $ | 1.1 | |||||||
TC Mine | 0.1 | 0.1 | 0.2 | ||||||||||
Endako Mine | — | — | 0.3 | ||||||||||
Mount Milligan Mine | 0.3 | 0.1 | 0.1 | ||||||||||
Davidson Property | — | 0.6 | 0.5 | ||||||||||
Maze Lake | 0.3 | — | — | ||||||||||
$ | 0.9 | $ | 1.4 | $ | 2.2 | ||||||||
Income_and_Mining_Tax_Expense_
Income and Mining Tax Expense (Benefit) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Income and Mining Tax Expense (Benefit) | Income and Mining Tax Expense (Benefit) | ||||||||||||
(Loss) income from continuing operations before income taxes consisted of the following for the periods presented: | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Canada | $ | (248.3 | ) | $ | (249.0 | ) | $ | (630.7 | ) | ||||
United States | 102.4 | (29.4 | ) | (26.7 | ) | ||||||||
$ | (145.9 | ) | $ | (278.4 | ) | $ | (657.4 | ) | |||||
Below is a tabular disclosure of tax expense by jurisdiction for the three years ended December 31, 2014, 2013 and 2012: | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Current | |||||||||||||
Canada | $ | 3.2 | $ | 0.6 | $ | (6.4 | ) | ||||||
United States | 12.2 | 13.3 | 1 | ||||||||||
$ | 15.4 | $ | 13.9 | $ | (5.4 | ) | |||||||
Deferred | |||||||||||||
Canada | $ | (36.0 | ) | $ | (32.7 | ) | $ | (99.0 | ) | ||||
United States | (1.1 | ) | (44.6 | ) | (6.7 | ) | |||||||
(37.1 | ) | (77.3 | ) | (105.7 | ) | ||||||||
Total tax (benefit) expense | $ | (21.7 | ) | $ | (63.4 | ) | $ | (111.1 | ) | ||||
Income and mining taxes differ from the amount that would result from applying the Canadian federal and provincial income tax rates to earnings before income taxes. The differences resulted from the following items: | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(Loss) income before income and mining taxes | $ | (145.9 | ) | $ | (278.4 | ) | $ | (657.4 | ) | ||||
Combined Canadian federal and provincial income tax rates | 26 | % | 25.8 | % | 25 | % | |||||||
Income taxes based on above rates | (37.9 | ) | (71.8 | ) | (164.4 | ) | |||||||
Increase (decrease) to income taxes due to: | |||||||||||||
Unrealized (gain) loss on warrants | — | — | (0.4 | ) | |||||||||
Difference in foreign statutory tax rates | 10.5 | (3.2 | ) | (3.2 | ) | ||||||||
Provincial and state mining and franchise taxes | (0.5 | ) | (5.6 | ) | (20.6 | ) | |||||||
Change in tax positions | (7.4 | ) | — | — | |||||||||
Non-deductible expenses | 4.8 | 3.9 | 1.6 | ||||||||||
Non-taxable income | (6.4 | ) | (4.6 | ) | (0.2 | ) | |||||||
Asset impairments and other charges | — | — | 16.7 | ||||||||||
Tax credits | — | 0.3 | (0.5 | ) | |||||||||
Foreign tax differences | (10.2 | ) | (10.2 | ) | (10.3 | ) | |||||||
Depletion allowance | (16.1 | ) | (19.1 | ) | (9.4 | ) | |||||||
Domestic production allowance | (1.2 | ) | (0.1 | ) | — | ||||||||
Unrealized foreign exchange gain on translation of investments | 3.3 | 2.4 | (0.8 | ) | |||||||||
Change in valuation allowance | 39 | 40.8 | 84.1 | ||||||||||
Impact of change in tax on future income and mining taxes | — | 2.1 | (0.8 | ) | |||||||||
Foreign exchange on deferred remeasurement | (1.1 | ) | 0.5 | — | |||||||||
Out-of-period adjustment | — | — | (1.8 | ) | |||||||||
Equity based compensation | 1.2 | 1.3 | — | ||||||||||
Other | 0.3 | (0.1 | ) | (1.1 | ) | ||||||||
Income and mining tax (benefit) expense | $ | (21.7 | ) | $ | (63.4 | ) | $ | (111.1 | ) | ||||
Net Deferred Tax Assets (Liabilities) | |||||||||||||
Deferred tax assets and liabilities arise from temporary differences in the recognition of income and expenses for financial reporting and tax purposes. The significant components of deferred income tax assets and liabilities as of December 31, 2014 and 2013 were as follows: | |||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Deferred tax assets: | |||||||||||||
Working capital | $ | 5.4 | $ | 2.4 | |||||||||
Tax losses and credits carried forward | 157.5 | 192.7 | |||||||||||
Property, plant, equipment and development | 288.2 | 255.5 | |||||||||||
Asset retirement obligations | 4 | 3.5 | |||||||||||
Deferred compensation | 1.8 | 3.1 | |||||||||||
Gold Stream deferred revenue | 37.4 | 12.3 | |||||||||||
Unrealized foreign exchange losses | 25.6 | 11.7 | |||||||||||
Other deductible temporary differences | 4.1 | 7 | |||||||||||
Deferred tax assets | 524 | 488.2 | |||||||||||
Valuation allowances | (279.4 | ) | (246.5 | ) | |||||||||
Net deferred tax assets, net of valuation allowance | $ | 244.6 | $ | 241.7 | |||||||||
Deferred tax liabilities: | |||||||||||||
Inventory | $ | (16.6 | ) | $ | (17.1 | ) | |||||||
Other taxable temporary differences-current | (0.7 | ) | (1.0 | ) | |||||||||
Property, plant, equipment and development | (204.5 | ) | (233.9 | ) | |||||||||
Unrealized foreign exchange gains | (11.4 | ) | (3.0 | ) | |||||||||
Other taxable temporary differences-non-current | (0.2 | ) | (0.3 | ) | |||||||||
Total deferred tax liabilities | (233.4 | ) | (255.3 | ) | |||||||||
Net deferred tax assets (liabilities) | $ | 11.2 | $ | (13.6 | ) | ||||||||
In connection with the preparation of TCM’s consolidated financial statements for the year ended December 31, 2014, TCM determined a change in the presentation of certain deferred income tax liabilities was necessary to conform to the guidance outlined in ASC 740. This guidance states that for balance sheet presentation, net deferred income tax assets and liabilities, current and long term, should be reported as a single amount for each tax-paying component of TCM and within a particular tax jurisdiction. In the prior year, TCM netted assets and liabilities across multiple jurisdictions. The revised change in presentation to appropriately net these balances for 2013 is detailed below and relates primarily to the construction of Mount Milligan Mine. Due to balances in the current year, the prior period balances were reclassified on the Consolidated Balance Sheet for comparability. | |||||||||||||
(US$ in millions) | As Previously Reported | Adjustment | As Revised | ||||||||||
Year Ended December 31, 2013 | |||||||||||||
Assets | |||||||||||||
Deferred income tax assets | $ | — | $ | 2.8 | $ | 2.8 | |||||||
Current Assets | $ | 496 | $ | 2.8 | $ | 498.8 | |||||||
Deferred income tax assets | $ | 14.2 | $ | 120.4 | $ | 134.6 | |||||||
Total Assets | $ | 3,085.50 | $ | 123.2 | $ | 3,208.70 | |||||||
Liabilities | |||||||||||||
Deferred income tax liabilities | $ | 14.4 | $ | 2.8 | $ | 17.2 | |||||||
Current liabilities | $ | 180.6 | $ | 2.8 | $ | 183.4 | |||||||
Deferred income tax liabilities | $ | 13.4 | $ | 120.4 | $ | 133.8 | |||||||
Total liabilities | $ | 1,979.30 | $ | 123.2 | $ | 2,102.50 | |||||||
Total liabilities and equity | $ | 3,085.50 | $ | 123.2 | $ | 3,208.70 | |||||||
At December 31, 2014, TCM had $232.1 million in loss and $101.8 million in credit carry-forwards available for tax purposes. The loss and credit carry-forwards per the income tax returns filed, due to uncertain tax benefits, are larger than the carry-forward benefits for which a deferred tax asset is recognized for financial statement purposes. While an insignificant portion of TCM's losses expire beyond 2015, substantially all of the carry-forwards expire beyond 2025. | |||||||||||||
A valuation allowance is recorded on some of the benefits associated with tax losses, credits and unrealized foreign exchange losses. Some of TCM's capital expenditures, primarily at Endako Mine and TC Mine, have a recorded valuation allowance as it is not more likely than not that the benefit related to the specific deferred tax assets will be realized based on the available sources of taxable income. | |||||||||||||
TCM intends to indefinitely reinvest earnings from certain foreign operations. Accordingly, US and non-US income and withholding taxes for which deferred taxes might otherwise be required have not been provided on a cumulative amount of temporary differences (including, for this purpose, any difference between the tax basis in the stock of a consolidated subsidiary and the amount of the subsidiary's net equity determined for financial reporting purposes) related to investments in foreign subsidiaries of approximately $1,233.5 million and $1,232.4 million as of December 31, 2014 and 2013, respectively. The additional US and non-US income and withholding tax that would arise on reversal of the temporary differences could be offset, in part, by tax credits. Because the determination of the amount of available tax credits and the limitations imposed on the annual utilization of such credits are subject to a highly complex series of calculations and expense allocations, it is impractical to estimate the amount of net income and withholding tax that might be payable if a reversal of temporary differences occurred. | |||||||||||||
Income Tax Uncertainties | |||||||||||||
A summary of the activities associated with TCM's uncertainty in income taxes reserve for unrecognized tax benefits | |||||||||||||
were as follows: | |||||||||||||
Unrecognized Tax Benefits | |||||||||||||
Balance as of January 1, 2014 | $ | — | |||||||||||
Additions for tax positions of prior years | 3.1 | ||||||||||||
Reductions for tax positions of prior years: | |||||||||||||
Settlements | — | ||||||||||||
Lapse of statute of limitations | — | ||||||||||||
Balance as of December 31, 2014 | $ | 3.1 | |||||||||||
Included in the balanced of unrecognized tax benefits at December 31, 2014 are potential benefits of $2.0 million that, if recognized, would affect the effective tax rate on income from continuing operations. | |||||||||||||
TCM recognizes interest and penalties related to unrecognized tax benefits in operating expenses. During the years ended December 31, 2014 and 2013, TCM did not recognize any interest and penalties related to uncertain tax positions. | |||||||||||||
TCM or one of its subsidiaries files income tax returns in the Canadian federal jurisdiction, US federal jurisdiction and various state and provincial jurisdictions. The tax years for TCM and its significant subsidiaries that remain subject to examination were as follows: | |||||||||||||
Jurisdiction | Years Under | Additional | |||||||||||
Examination | Open Years | ||||||||||||
US Federal | 2011 | 2012-2013 | |||||||||||
Canada Federal | 2011-2012 | 2007-2010, 2013 | |||||||||||
British Columbia | 2007-2009 | 2010-2013 | |||||||||||
Colorado | — | 2009-2013 | |||||||||||
Idaho | — | 2011-2013 | |||||||||||
Pennsylvania | — | 2011-2013 | |||||||||||
Utah | — | 2011-2013 |
Net_Income_Loss_per_Share
Net Income (Loss) per Share | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Net Income (Loss) per Share | Net Income (Loss) per Share | ||||||||||||
The following is a reconciliation of net income (loss) and weighted-average common shares outstanding for purposes of calculating diluted net income (loss) per share for the three year period ended December 31, 2014: | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Net income (loss) | $ | (124.2 | ) | $ | (215.0 | ) | $ | (546.3 | ) | ||||
Basic weighted-average number of shares outstanding | 193.7 | 171.1 | 168.4 | ||||||||||
Effect of dilutive securities | |||||||||||||
Common stock purchase warrants | — | — | — | ||||||||||
Share-based awards | — | — | — | ||||||||||
tMEDS | — | — | — | ||||||||||
Diluted weighted-average number of shares outstanding | 193.7 | 171.1 | 168.4 | ||||||||||
Net income (loss) per share | |||||||||||||
Basic | $ | (0.64 | ) | $ | (1.26 | ) | $ | (3.24 | ) | ||||
Diluted | $ | (0.64 | ) | $ | (1.26 | ) | $ | (3.24 | ) | ||||
For the year ended December 31, 2014, approximately 1.3 million stock options were excluded from the computation of diluted weighted-average shares as the exercise prices exceeded the price of the common stock. For the year ended December 31, 2014, 1.9 million PSUs were excluded from the computation of diluted weighted-average shares because the underlying market and performance metrics had not been met. For the year ended December 31, 2014, 1.5 million RSUs were excluded from the computation of diluted weighted-average shares as the effect would have been anti-dilutive under the treasury stock method. For the year ended December 31, 2014, the assumed issuance of 26.3 million shares upon the conversion of the stock purchase contract component of the remaining outstanding tMEDS units was considered in the calculation of diluted weighted-average shares; however due to the net loss position of TCM for the year ended December 31, 2014, such assumed issuance has not been reflected above as the effect would be anti-dilutive. | |||||||||||||
For the year ended December 31, 2013, TCM was in a net loss position, and approximately 2.1 million stock options, 1.2 million PSUs, 1.3 million RSUs and 44.9 million shares for the settlement of the tMEDS purchase contracts were excluded from the computation of diluted weighted-average shares. | |||||||||||||
For the year ended December 31, 2012, TCM was in a net loss position, and approximately 2.3 million stock options, 0.5 million RSUs and 47.4 million shares for the settlement of tMEDS purchase contracts were excluded from the computation of diluted weighted-average shares. |
Transactions_with_our_Endako_M
Transactions with our Endako Mine Joint Venture Partner | 12 Months Ended |
Dec. 31, 2014 | |
Related Party Transactions [Abstract] | |
Transactions with our Endako Mine Joint Venture Partner | Transactions with our Endako Mine Joint Venture Partner |
Total sales by TCM to Sojitz, TCM's Endako Mine joint venture partner, were $107.2 million, $80.3 million and $90.9 million for the years ended December 31, 2014, 2013 and 2012, respectively. This represented 13.3%, 18.5% and 22.6% of TCM's total revenues for these respective years. | |
For the years ended December 31, 2014, 2013 and 2012, TCM recorded management fee income of $0.4 million, $0.3 million and $0.3 million, and selling and marketing costs of $0.8 million, $0.5 million and $0.6 million, respectively, from Sojitz. | |
At December 31, 2014 and 2013, TCM's related accounts receivable owing from Sojitz were $4.1 million and $6.3 million, respectively. |
Supplementary_Cash_Flow_Inform
Supplementary Cash Flow Information | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Supplemental Cash Flow Elements [Abstract] | ||||||||||||
Supplementary Cash Flow Information | Supplementary Cash Flow Information | |||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Change in current assets and current liabilities: | ||||||||||||
Accounts receivable | $ | 11 | $ | 4.8 | $ | 20.5 | ||||||
Product inventory | (3.8 | ) | (54.5 | ) | (77.8 | ) | ||||||
Materials and supplies inventory | 0.6 | (27.4 | ) | (11.6 | ) | |||||||
Prepaid expenses and other current assets | 6.5 | (6.1 | ) | (2.2 | ) | |||||||
Income and mining taxes receivable | 3.8 | 11.2 | (6.7 | ) | ||||||||
Accounts payable and accrued liabilities | (4.6 | ) | 30.6 | 2.5 | ||||||||
Income and mining taxes payable | (2.6 | ) | (1.2 | ) | — | |||||||
$ | 10.9 | $ | (42.6 | ) | $ | (75.3 | ) | |||||
Cash interest paid (1) | $ | 91.3 | $ | 81.8 | $ | 41.3 | ||||||
Income and mining taxes paid, net of refunds (2) | $ | 10.4 | $ | 2.5 | $ | 2.9 | ||||||
(1) For the years ended December 31, 2014, 2013 and 2012, cash interest paid of $9.1 million, $74.7 million, and $40.7 million, respectively, had been previously capitalized related to TCM's debt, as described in Note 9. | ||||||||||||
(2) For the years ended December 31, 2014, 2013 and 2012, TCM received $4.1 million, $7.5 million and $9.0 million, respectively, in refunds of US and Canadian income taxes related to prior year tax returns. | ||||||||||||
Non-cash Investing and Financing Activities | ||||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Investing activities | ||||||||||||
Other investing adjustments (1) | $ | — | $ | 6.5 | $ | 4.8 | ||||||
Acquisition of property, plant and equipment under the Equipment Facility (see Note 8) (2) | $ | — | $ | 3.9 | $ | 23.7 | ||||||
Financing activities | ||||||||||||
Settlement of tMEDS | $ | (9.3 | ) | $ | — | $ | — | |||||
Capitalized debt costs (3) | $ | — | $ | 0.6 | $ | 5.1 | ||||||
Long-term lease obligations (2) | $ | — | $ | (3.5 | ) | $ | (20.4 | ) | ||||
(1) Included capitalized depreciation. | ||||||||||||
(2) Excluded sale-leaseback capital leases. | ||||||||||||
(3) Included capitalized interest not paid in cash, amortization of deferred financing costs and debt discounts. |
Concentration_of_Credit_Risk
Concentration of Credit Risk | 12 Months Ended |
Dec. 31, 2014 | |
Risks and Uncertainties [Abstract] | |
Concentration of Credit Risk | Concentration of Credit Risk |
TCM is exposed to counterparty risk from its cash and cash equivalent balances and its reclamation deposits held by financial institutions and governmental entities. TCM monitors its positions with, and the credit quality of, the financial institutions and companies in which it invests its cash, cash equivalents and that hold its reclamation deposits. Counterparties to cash balances and its reclamation deposits, other than balances maintained in various bank operating accounts, are US and Canadian institutions and the US and Canadian governments. | |
TCM manages its credit risk from its accounts receivable through its collection activities. As of December 31, 2014, TCM had five customers who owed TCM more than $3.0 million and accounted for approximately 52.6% of total accounts and other receivables outstanding. Another five customers had balances greater than $1.0 million but less than $3.0 million that accounted for approximately 20.1% of total accounts and other receivables. As of December 31, 2014, all of these customers were compliant with credit terms and scheduled payment dates. | |
TCM's maximum counterparty and credit risk exposure is the carrying value of its cash and cash equivalents and accounts receivable. The carrying amounts of accounts receivable, accounts payable, accrued liabilities and fixed-rate debt, excluding the 2017 Notes, 2018 Notes, 2019 Notes and tMEDS, as discussed in Note 7, approximate fair value as of December 31, 2014. |
Segment_Information
Segment Information | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||
Segment Information | Segment Information | ||||||||||||||||||||
TCM has three reportable segments, based on products and geography: Copper-Gold, US Operations Molybdenum and Canadian Operations Molybdenum. The Copper-Gold segment includes all expenditures, including all mining, milling, mine site administration, transportation, shipping, concentrate selling and refining costs, and sale of concentrate from Mount Milligan Mine. The US Operations Molybdenum segment includes all mining, milling, mine site administration, transportation, roasting (at the Langeloth Facility) and sale of molybdenum products from TC Mine, as well as all roasting and sales of third-party purchased material from the Langeloth Facility. The Canadian Operations Molybdenum segment includes all mining, milling, mine site administration, transportation, roasting (at the Langeloth Facility) and sale of molybdenum products from the 75% owned Endako Mine. The Inter-segment represents the elimination of management fee income, revenue and cost of sales of product transported from the Canadian Operations to the US Operations for processing. | |||||||||||||||||||||
TCM's chief operating decision makers (President and CEO) evaluates segment performance based on segment revenue less costs and expenses. TCM attributes other income and expenses to the reporting segments if the income or expense is directly related to segment operations, as described above. TCM does not allocate corporate expenditures such as general and administrative, exploration and interest income and expense items to its reporting segments, unless such expenditures are directly related to segment operations. Gains and losses on foreign exchange are calculated on transactions denominated in a different currency than the segment's functional currency; the Copper-Gold segment's unrealized foreign exchange balance is primarily comprised of its intercompany notes. | |||||||||||||||||||||
Segment information for the three years ended December 31, 2014, 2013 and 2012 was as follows: | |||||||||||||||||||||
For the year ended December 31, 2014: | |||||||||||||||||||||
Copper-Gold | US Operations Molybdenum | Canadian Operations Molybdenum | Inter-segment/Corporate | Total | |||||||||||||||||
Revenues | |||||||||||||||||||||
Copper sales | $ | 178.4 | $ | — | $ | — | $ | — | $ | 178.4 | |||||||||||
Gold sales | 172.3 | — | — | — | 172.3 | ||||||||||||||||
Molybdenum sales | — | 327.4 | 119 | (5.2 | ) | 441.2 | |||||||||||||||
Tolling, calcining and other | — | 20.1 | — | (5.3 | ) | 14.8 | |||||||||||||||
350.7 | 347.5 | 119 | (10.5 | ) | 806.7 | ||||||||||||||||
Cost and expenses | |||||||||||||||||||||
Operating expenses | 201.3 | 218.9 | 114 | (10.4 | ) | 523.8 | |||||||||||||||
Depreciation, depletion and amortization | 69.6 | 12.9 | 15.5 | — | 98 | ||||||||||||||||
Cost of sales | 270.9 | 231.8 | 129.5 | (10.4 | ) | 621.8 | |||||||||||||||
Selling and marketing | 6.1 | 6.1 | 3.4 | (1.5 | ) | 14.1 | |||||||||||||||
Accretion expense | 0.3 | 1.5 | 1.8 | — | 3.6 | ||||||||||||||||
Asset impairments | — | 3.3 | 76.2 | — | 79.5 | ||||||||||||||||
277.3 | 242.7 | 210.9 | (11.9 | ) | 719 | ||||||||||||||||
Segment revenues less costs and expenses | 73.4 | 104.8 | (91.9 | ) | 1.4 | 87.7 | |||||||||||||||
Other segment expenses (income) | |||||||||||||||||||||
(Gain) loss on foreign exchange | 15.6 | — | (2.1 | ) | — | 13.5 | |||||||||||||||
Segment income (loss) before income and mining taxes | $ | 57.8 | $ | 104.8 | $ | (89.8 | ) | $ | 1.4 | $ | 74.2 | ||||||||||
For the year ended December 31, 2013: | |||||||||||||||||||||
Copper-Gold | US Operations Molybdenum | Canadian Operations Molybdenum | Inter-segment/Corporate | Total | |||||||||||||||||
Revenues | |||||||||||||||||||||
Copper sales | $ | 8.7 | $ | — | $ | — | $ | — | $ | 8.7 | |||||||||||
Gold sales | 5.6 | — | — | — | 5.6 | ||||||||||||||||
Molybdenum sales | — | 319.4 | 81.9 | (0.5 | ) | 400.8 | |||||||||||||||
Tolling, calcining and other | — | 23.6 | — | (4.3 | ) | 19.3 | |||||||||||||||
14.3 | 343 | 81.9 | (4.8 | ) | 434.4 | ||||||||||||||||
Cost and expenses | |||||||||||||||||||||
Operating expenses (1) | 43.6 | 198.8 | 90.5 | (4.7 | ) | 328.2 | |||||||||||||||
Depreciation, depletion and amortization (1) | 0.1 | 33.8 | 16.6 | — | 50.5 | ||||||||||||||||
Cost of sales | 43.7 | 232.6 | 107.1 | (4.7 | ) | 378.7 | |||||||||||||||
Selling and marketing | 0.8 | 7 | 2.7 | (1.2 | ) | 9.3 | |||||||||||||||
Accretion expense | 0.3 | 1.2 | 0.9 | — | 2.4 | ||||||||||||||||
Asset impairments | — | 129.4 | 64.7 | — | 194.1 | ||||||||||||||||
44.8 | 370.2 | 175.4 | (5.9 | ) | 584.5 | ||||||||||||||||
Segment revenues less costs and expenses | (30.5 | ) | (27.2 | ) | (93.5 | ) | 1.1 | (150.1 | ) | ||||||||||||
Other segment expenses (income) | |||||||||||||||||||||
Start-up costs | 10.2 | — | 0.1 | — | 10.3 | ||||||||||||||||
(Gain) loss on foreign exchange | 12.7 | 0.4 | 0.3 | — | 13.4 | ||||||||||||||||
Segment income (loss) before income and mining taxes | $ | (53.4 | ) | $ | (27.6 | ) | $ | (93.9 | ) | $ | 1.1 | $ | (173.8 | ) | |||||||
(1) Certain prior year reclassifications were made to conform with current year presentation. This resulted in an increase in operating expenses and a decrease in depreciation, depletion and amortization of $9.3 million. | |||||||||||||||||||||
For the year ended December 31, 2012: | |||||||||||||||||||||
Copper-Gold (Development) | US Operations Molybdenum | Canadian Operations Molybdenum | Inter-segment/Corporate | Total | |||||||||||||||||
Revenues | |||||||||||||||||||||
Molybdenum sales | $ | — | $ | 302 | $ | 86.5 | $ | (1.7 | ) | $ | 386.8 | ||||||||||
Tolling, calcining and other | — | 14.7 | (0.1 | ) | — | 14.6 | |||||||||||||||
— | 316.7 | 86.4 | (1.7 | ) | 401.4 | ||||||||||||||||
Cost and expenses | |||||||||||||||||||||
Operating expenses | — | 273.1 | 103.1 | (1.7 | ) | 374.5 | |||||||||||||||
Depreciation, depletion and amortization | — | 19.7 | 42.6 | — | 62.3 | ||||||||||||||||
Cost of sales | — | 292.8 | 145.7 | (1.7 | ) | 436.8 | |||||||||||||||
Selling and marketing | — | 6.2 | 3 | (1.2 | ) | 8 | |||||||||||||||
Accretion expense | 0.2 | 1.5 | 0.6 | — | 2.3 | ||||||||||||||||
Asset impairments | — | — | 530.5 | — | 530.5 | ||||||||||||||||
0.2 | 300.5 | 679.8 | (2.9 | ) | 977.6 | ||||||||||||||||
Segment revenues less costs and expenses | (0.2 | ) | 16.2 | (593.4 | ) | 1.2 | (576.2 | ) | |||||||||||||
Other segment expenses (income) | |||||||||||||||||||||
Goodwill impairment | — | 47 | — | — | 47 | ||||||||||||||||
Start-up costs | — | — | 5.5 | — | 5.5 | ||||||||||||||||
(Gain) loss on foreign exchange | (3.1 | ) | (0.8 | ) | (1.7 | ) | — | (5.6 | ) | ||||||||||||
Segment income (loss) before income and mining taxes | $ | 2.9 | $ | (30.0 | ) | $ | (597.2 | ) | $ | 1.2 | $ | (623.1 | ) | ||||||||
Reconciliation of Segment Income to Net Income (Loss) | |||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||
Segment income (loss) | $ | 74.2 | $ | (173.8 | ) | $ | (623.1 | ) | |||||||||||||
Other (income) expense | |||||||||||||||||||||
Exploration properties impairment | 25.3 | — | — | ||||||||||||||||||
Land write down | — | 0.8 | — | ||||||||||||||||||
Change in fair value of common stock purchase warrants | — | — | (1.8 | ) | |||||||||||||||||
General and administrative | 23.5 | 21.6 | 27.6 | ||||||||||||||||||
Exploration | 0.9 | 1.4 | 2.2 | ||||||||||||||||||
Interest expense (income), net | 91.9 | 23.1 | 11.7 | ||||||||||||||||||
(Gain) loss on foreign exchange | 86.3 | 57.4 | (6.6 | ) | |||||||||||||||||
Corporate depreciation | 1.9 | 1.4 | 1.7 | ||||||||||||||||||
(Gain) loss from debt extinguishment | (1.6 | ) | — | — | |||||||||||||||||
Other | (8.1 | ) | (1.1 | ) | (0.5 | ) | |||||||||||||||
Income (loss) before income and mining taxes | (145.9 | ) | (278.4 | ) | (657.4 | ) | |||||||||||||||
Income and mining tax (benefit) expense | (21.7 | ) | (63.4 | ) | (111.1 | ) | |||||||||||||||
Net income (loss) | $ | (124.2 | ) | $ | (215.0 | ) | $ | (546.3 | ) | ||||||||||||
Other segment information regarding capital expenditures, assets and liabilities, including the assets and liabilities attributed to corporate operations, was as follows: | |||||||||||||||||||||
As of December 31, 2014 | Copper-Gold | US Operations Molybdenum | Canadian Operations Molybdenum | Inter-segment/Corporate | Total | ||||||||||||||||
Capital expenditures (1) | $ | 77 | $ | 4 | $ | 1.1 | $ | — | $ | 82.1 | |||||||||||
Property, plant, equipment and development (3) | $ | 2,075.30 | $ | 114.4 | $ | 27.5 | $ | 1.1 | $ | 2,218.30 | |||||||||||
Assets | $ | 2,304.10 | $ | 444.3 | $ | 77.6 | $ | 20.3 | $ | 2,846.30 | |||||||||||
Liabilities | $ | 912 | $ | 33.8 | $ | 30.5 | $ | 982.5 | $ | 1,958.80 | |||||||||||
As of December 31, 2013 | Copper-Gold | US Operations Molybdenum | Canadian Operations Molybdenum | Inter-segment/Corporate | Total | ||||||||||||||||
Capital expenditures (2) | $ | 419.1 | $ | 5.3 | $ | 4.3 | $ | 0.2 | $ | 428.9 | |||||||||||
Property, plant, equipment and development (3) | $ | 2,290.40 | $ | 129.2 | $ | 115.6 | $ | 2.8 | $ | 2,538.00 | |||||||||||
Assets | $ | 2,526.10 | $ | 395.1 | $ | 170.9 | $ | 116.6 | $ | 3,208.70 | |||||||||||
Liabilities | $ | 975 | $ | 49.5 | $ | 30.9 | $ | 1,047.10 | $ | 2,102.50 | |||||||||||
(1) Capital expenditures were for the year ended December 31, 2014. Copper-Gold capital expenditures included $29.8 million in permanent operations residence capital expenditure, $30.9 million in operations capital expenditure and $16.3 million in project capital expenditure at Mount Milligan Mine. Total cash capital expenditures during 2014 included $21.0 million in payments of amounts accrued at December 31, 2013. | |||||||||||||||||||||
(2) Capital expenditures were for the year ended December 31, 2013. Copper-Gold capital expenditures included $18.1 million in permanent operations residence capital expenditure and $12.0 million in operations capital expenditure at Mount Milligan Mine. Excluded $2.3 million of deposits made to one vendor, which occurred in the first quarter of 2013. | |||||||||||||||||||||
(3) Included exploration properties. | |||||||||||||||||||||
Revenues by geographic region are as follows: | |||||||||||||||||||||
For the Years Ended December 31, | |||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||
$ | % | $ | % | $ | % | ||||||||||||||||
North America | $ | 260.3 | 32.3 | % | $ | 231.9 | 53.4 | % | $ | 212.6 | 53 | % | |||||||||
Japan | 131.9 | 16.4 | % | 66.7 | 15.4 | % | 79.1 | 19.7 | % | ||||||||||||
Europe | 48.2 | 6 | % | 69.8 | 16.1 | % | 54.5 | 13.6 | % | ||||||||||||
India | 13.9 | 1.7 | % | 27.1 | 6.2 | % | 19.5 | 4.9 | % | ||||||||||||
Korea | 290.1 | 36 | % | 10.9 | 2.5 | % | 11.4 | 2.8 | % | ||||||||||||
Brazil | 12.6 | 1.6 | % | 15.6 | 3.6 | % | 10.5 | 2.6 | % | ||||||||||||
Philippines | 28.8 | 3.6 | % | — | — | % | — | — | % | ||||||||||||
China | 1.1 | 0.1 | % | — | — | % | — | — | % | ||||||||||||
Other | 19.8 | 2.3 | % | 12.4 | 2.8 | % | 13.8 | 3.4 | % | ||||||||||||
Total revenues | $ | 806.7 | 100 | % | $ | 434.4 | 100 | % | $ | 401.4 | 100 | % | |||||||||
Revenues for geographic areas are classified based on the customer location. |
Summary_of_Quarterly_Financial
Summary of Quarterly Financial Data (Unaudited) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||
Summary of Quarterly Financial Data (Unaudited) | Summary of Quarterly Financial Data (Unaudited) | |||||||||||||||
The following table sets forth a summary of the quarterly results of operations for the years ended December 31, 2014, 2013 and 2012: | ||||||||||||||||
For the Year December 31, 2014 | First | Second | Third | Fourth | ||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
Revenues | $ | 161 | $ | 248.4 | $ | 229.3 | $ | 168 | ||||||||
Net income (loss) | $ | (39.1 | ) | $ | 61.6 | $ | (11.1 | ) | $ | (135.6 | ) | |||||
Basic net income (loss) per share | $ | (0.23 | ) | $ | 0.35 | $ | (0.05 | ) | $ | (0.63 | ) | |||||
Diluted net income (loss) per share | $ | (0.23 | ) | $ | 0.28 | $ | (0.05 | ) | $ | (0.63 | ) | |||||
For the Year December 31, 2013 | First | Second | Third | Fourth | ||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
Revenues | $ | 108.7 | $ | 117.8 | $ | 90.8 | $ | 117.1 | ||||||||
Net income (loss) | $ | 0.9 | $ | (19.2 | ) | $ | 13.8 | $ | (210.5 | ) | ||||||
Basic net income (loss) per share | $ | 0.01 | $ | (0.11 | ) | $ | 0.08 | $ | (1.24 | ) | ||||||
Diluted net income (loss) per share | $ | — | $ | (0.11 | ) | $ | 0.06 | $ | (1.24 | ) | ||||||
For the Year December 31, 2012 | First | Second | Third | Fourth | ||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
Revenues | $ | 113.6 | $ | 113.5 | $ | 74.9 | $ | 99.4 | ||||||||
Net income (loss) | $ | 1.1 | $ | (14.8 | ) | $ | (48.2 | ) | $ | (484.4 | ) | |||||
Basic net income (loss) per share | $ | 0.01 | $ | (0.09 | ) | $ | (0.29 | ) | $ | (2.87 | ) | |||||
Diluted net income (loss) per share | $ | 0.01 | $ | (0.09 | ) | $ | (0.29 | ) | $ | (2.87 | ) | |||||
Guarantor_Financial_Informatio
Guarantor Financial Information | 12 Months Ended |
Dec. 31, 2014 | |
Product Warranties Disclosures [Abstract] | |
Guarantor Financial Information | Guarantor Financial Information |
TCM has not presented separate combined financial statements of subsidiary guarantors that guarantee the 2017 Notes, 2018 Notes and 2019 Notes, because (1) each of the subsidiary guarantors is wholly owned by TCM; (2) the guarantees are full and unconditional; (3) the guarantees are joint and several and (4) TCM has no independent assets and operations, and all subsidiaries of TCM other than the subsidiary guarantors are immaterial. | |
Pursuant to the indentures governing the 2017 Notes, 2018 Notes and 2019 Notes, a guarantor may be released from its guarantee obligations only under certain customary circumstances specified in the indentures, namely upon (1) the sale or other disposition (including by way of merger, amalgamation or consolidation) of such guarantor, (2) the designation of such guarantor as an unrestricted subsidiary in accordance with the terms of the indentures, (3) upon a legal defeasance or covenant defeasance or (4) upon the full satisfaction of TCM's obligations under the respective indenture. |
Subsequent_Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2014 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events |
During February 2015, TCM entered into a fourth multi-year concentrate sales agreement, pursuant to which TCM agreed to sell to the counterparty approximately 20,000 tonnes of concentrate in each of calendar years 2015 and 2016 and 40,000 tonnes of concentrate in 2017 and 2018. |
Significant_Accounting_Policie1
Significant Accounting Policies (Policies) | 12 Months Ended | ||
Dec. 31, 2014 | |||
Accounting Policies [Abstract] | |||
Basis of Preparation and Principles of Consolidation | Basis of Preparation and Principles of Consolidation | ||
The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States ("US GAAP"). The consolidated financial statements include the accounts of TCM and its subsidiaries, and intercompany accounts and transactions have been eliminated in consolidation. TCM also consolidates its 75% proportionate interest in the accounts of the unincorporated Endako Mine joint venture. | |||
Certain prior year amounts in the financial statements have been reclassified to conform to the current year presentation. Intercompany accounts and transactions have been eliminated in consolidation. Financial amounts are presented in United States (“US”) dollars unless otherwise stated. References to C$ are Canadian dollars. | |||
Use of Estimates | Use of Estimates | ||
The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities as of the date of the financial statements and the reported amounts of revenues and expenditures during the reporting period. As the estimation process is inherently uncertain, actual future outcomes could differ from current estimates and assumptions, potentially having material effects on future financial statements. The more significant areas requiring the use of management estimates include mineral reserve estimation; useful asset lives for depreciation, depletion and amortization; reclamation and closure costs; environmental obligations; deferred taxes and valuation allowances; asset fair values in evaluating asset impairments and estimates of recoverable copper, gold and other minerals. | |||
Currency Translation | Currency Translation | ||
The functional currency of TCM and its US operations is the US dollar. Monetary assets and liabilities denominated in foreign currencies are translated into US dollars at exchange rates in effect at the balance sheet date, with resulting gains or losses reported in (gain) loss on foreign exchange in the computation of net income (loss). Other non-monetary assets and liabilities are translated at historic rates. Revenues, expenses and cash flows in foreign currencies are translated into US dollars at average exchange rates. | |||
The functional currency of TCM's Canadian operations is the Canadian dollar. The assets and liabilities for those subsidiaries with a Canadian dollar functional currency are translated at exchange rates in effect at the balance sheet date, and revenues and expenditures are translated at average exchange rates. Differences arising from these foreign currency translations are recorded in the Consolidated Balance Sheets as accumulated other comprehensive income (loss) within Shareholders' equity. | |||
Change in Estimate | Change in Estimate | ||
On January 1, 2014, the Life of Mine Plan ("LOM") for the Endako Mine was revised to reflect long term molybdenum pricing expectations. As a result, Endako Mine's estimated mine life was reduced to approximately 3.5 years from 15 years. During the second quarter of 2014, in light of the reduced mine life and to better reflect the economic utilization of property, plant and equipment assets at the Endako Mine, TCM reduced the depreciable lives of Endako Mine's property, plant and equipment assets using the straight line and declining balance depreciation convention (the depreciable lives of assets using the units-of-production depreciation convention had been reduced in the first quarter of 2014) and began considering the salvage values of these assets when recognizing its share of depreciation, depletion and amortization expense. This change in estimate, effective as of April 1, 2014, was accounted for prospectively in accordance with ASC 205, Accounting Changes and Error Corrections. This change lowered depreciation expense and increased net income by $2.3 million, or approximately $0.01 per diluted share, and $7.4 million, or approximately $0.04 per diluted share, respectively, for the three months and year ended December 31, 2014. | |||
Fair Value Measurement | Fair Value Measurement | ||
US GAAP accounting standards define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The standards establish a fair value hierarchy that distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity's own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below: | |||
Level 1 | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | ||
Level 2 | Quoted prices in markets that are not active or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability. | ||
Level 3 | Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). | ||
Cash and Cash Equivalents and Restricted Cash | Cash and Cash Equivalents and Restricted Cash | ||
Cash is comprised of cash deposits held at banks. Cash equivalents are financial instruments issued or guaranteed by major financial institutions and governments that have an original maturity date of less than 90 days. Cash equivalents are stated at cost, which approximates market value. Restricted cash is primarily comprised of amounts withheld related to certain construction contracts and amounts to fund TCM's deferred compensation program. | |||
Accounts Receivable | Accounts Receivable | ||
Accounts receivable are carried at their estimated collectible amounts. | |||
Product Inventories | Product Inventories | ||
Product inventories are carried at the lower of cost or market and assessed monthly to determine if a write down is required; through the first quarter of 2012, the assessment was performed quarterly. Cost is comprised of production costs for copper-gold concentrate ("concentrate") and molybdenum concentrate ("molybdenum") produced and processed from TCM's mines, as well as amounts paid for molybdenum concentrate purchased from third parties. Production costs include the direct mining, milling and on-site general and administrative costs; costs of processing and roasting; transportation, shipping, freight and insurance costs; refining and treatment costs; warehouse costs; stock-based compensation and depreciation, depletion and amortization. Stripping costs (i.e., the costs of removing overburden and waste material to access mineral deposits) incurred during the production phase of a mine are considered variable production costs and are included as a component of inventory produced during the period in which stripping costs are incurred. For concentrate, TCM uses the weighted-average cost method for production and sales of product inventory. For molybdenum, TCM uses the first-in, first-out cost method for production and sales of product inventory. For both the copper-gold operations and molybdenum operations, the weighted-average cost method is used for stockpiled ore. | |||
Obsolescence | Obsolescence | ||
TCM routinely evaluates materials and supplies inventory for obsolescence. When necessary, obsolete and surplus materials and supplies are written down in a manner that reduces the inventory value to an amount that does not exceed its net realizable value, which may be considered salvage value, with the difference charged to current period expenses. | |||
Property, Plant, Equipment and Development | Property, Plant, Equipment and Development | ||
Mineral Properties | |||
TCM capitalizes the costs to acquire mineral properties. On acquisition of a mineral property, TCM estimates the fair value of proven and probable mineral reserves, as well as the value beyond proven and probable mineral reserves, and records any costs incurred as assets at the date of acquisition. The costs assigned to mineral properties in production are amortized over the life of the mine using the units-of-production method based on the volume of mineral produced in relation to the total estimated proven and probable mineral reserves. The cost assigned to the value beyond proven and probable mineral reserves is not amortized. However, as new information is obtained or economic conditions change, mineralized material may be converted into proven and probable mineral reserves at which time the capitalized costs associated with mineralized material are reclassified as costs subject to amortization. | |||
Mine Development | |||
Capitalization of mine development costs that meet the definition of an asset begins once all operating permits have been secured, mineralization is classified as proven and probable reserves and a final feasibility study has been completed. Mine development costs include engineering and metallurgical studies, drilling and other related costs to delineate an ore body and the removal of overburden to initially expose an ore body at open pit surface mines. Costs incurred before mineral resources are classified as proven and probable reserves are expensed and classified as exploration expense, unless it can be substantiated prior to the commencement of a drilling program that the drilling costs will result in the conversion of a mineral resource into proven and probable reserves. All capitalized costs are amortized using the units-of-production method over the estimated life of the ore body based on recoverable quantities to be produced from estimated proven and probable mineral reserves. Interest expense allocable to the cost of developing mining properties and to construct new facilities is capitalized until assets are ready for their intended use. Gains or losses from sales or retirements of assets are included in costs and expenses on the Consolidated Statements of Operations and Comprehensive Income (Loss). Tax credits, which will be used to offset future taxable income, generated from qualifying new mine development costs are included as reductions to property, plant, equipment and development and increases to deferred tax assets on the Consolidated Balance Sheets. The benefit from these tax incentives will be reflected in net income over the estimated life of the ore body, along with the capitalized mine development costs which generated the credits. | |||
Facilities and Equipment | |||
Mining facilities and equipment are recorded at cost. Expenditures for facilities and equipment relating to new assets or improvements are capitalized if they extend useful lives or extend functionality. Fixed plant and machinery are amortized using the units-of-production method over the lesser of the estimated life of the equipment or the ore body based on recoverable quantities to be produced from estimated proven and probable mineral reserves. Facilities, mobile and other equipment are depreciated on either a declining-balance or straight-line basis over the shorter of their estimated useful life or the life of the mine. The declining-balance percentages range from 10% to 50%, and the estimated useful lives range from 3 years to life-of-mine. Processing facilities are depreciated on a straight-line basis over the estimated useful lives ranging from 2 to 20 years. Tax allowances, which will be used to offset future taxable income, generated from qualifying new mine facilities and equipment expenditures are included as reductions to property, plant, equipment and development and increases to deferred tax assets on the Consolidated Balance Sheets. The benefit from these tax incentives will be reflected in net income over estimated life of the facilities and equipment, along with the associated expenditures which generated the allowances. | |||
Repairs and maintenance costs are charged to expense as incurred, except when these repairs extend the life or functionality of the asset. In these instances, expenditures are capitalized and amortized over the period benefited. | |||
Depreciation, depletion and amortization is allocated to product inventory cost and then included in depreciation, depletion and amortization as inventory is sold. | |||
Additionally, interest expense and financing fees allocable to the cost of developing mining properties and to constructing new facilities is capitalized until assets are ready for their intended use. | |||
Exploration | Exploration | ||
Exploration includes geological and geophysical work on areas without identified reserves, together with drilling and other related costs. These costs are expensed as incurred. | |||
Asset Impairments | Asset Impairments | ||
TCM reviews and evaluates its long-lived assets for impairment using a two-step approach when events and changes in circumstances indicate that the related carrying amounts of its assets may not be recoverable. If total estimated future cash flows on an undiscounted basis are less than the carrying amount of the assets (step 1), TCM performs an evaluation of the estimated fair value of the asset or asset group (step 2). An impairment loss is measured and recorded based on the difference between book value and the estimated fair value of the asset or asset group. Fair value is estimated using discounted estimated future cash flows, or the application of an expected fair value technique in the absence of an observable market price. Future cash flows include estimates of recoverable quantities to be produced from estimated proven and probable mineral reserves, commodity prices (considering current and historical prices, price trends and related factors), production quantities and capital expenditures, all based on life-of-mine plans and projections. In estimating future cash flows, assets are grouped at the lowest level for which identifiable cash flows exist that are largely independent of cash flows from other asset groups. Generally, in estimating future cash flows, all assets are grouped at a particular mine for which there are identifiable cash flows. The assumptions underlying future cash flow estimates are subject to significant risks and uncertainties. Any differences between TCM's assumptions and market conditions and/or TCM's operating performance could have a material effect on the determination of ore reserves or the ability to recover the carrying amounts of TCM's long-lived assets, thus resulting in impairment charges. | |||
During 2014, 2013 and 2012, TCM experienced triggering events that caused management to update its impairment evaluation. As a result of this evaluation, in 2014 TCM further impaired the value of the remaining materials and supplies inventory at TC Mine and TCM's share of the property, plant and equipment assets and materials and supplies inventory at Endako Mine. Additionally in 2014, TCM also wrote down the value of the TCM exploration properties. In 2013 TCM wrote down to the assets’ fair value the property, plant and equipment assets and materials and supplies inventory at TC Mine and TCM's share of those assets at Endako Mine. In 2012 TCM wrote down TCM's share of the assets at Endako Mine. | |||
Goodwill | Goodwill | ||
During 2012, TCM suspended waste stripping activity associated with the next phase of production at TC Mine, which, coupled with declines in molybdenum prices, represented significant changes in TCM's business, thereby requiring TCM to evaluate goodwill for impairment on an enterprise-wide basis. As a result of this evaluation, the then-remaining balance of goodwill was impaired during 2012. | |||
Legal Fees | Legal Fees | ||
TCM generally recognizes legal expenses as incurred; when it is determined that a contingency meets the criteria for recognition as a liability on the balance sheet, TCM also accrues for the related incurred legal fees associated with that probable contingency. | |||
Debt Issuance Costs | Debt Issuance Costs | ||
Included in other long-term assets are costs associated with the issuance of TCM's secured and unsecured senior notes and tangible equity units ("tMEDS"). The remaining unamortized issuance costs at December 31, 2014 and 2013 totaled $15.3 million and $21.3 million, respectively, and are being amortized over the life of the senior notes or the tMEDS, as applicable. Amortization costs for the secured and unsecured senior notes and tMEDS were capitalized to Mount Milligan Mine until the underlying assets became ready for their intended use. | |||
Equipment Financings | Equipment Financings | ||
TCM is the lessee of equipment under the Equipment Facility with Caterpillar (see Note 8). In 2013, TCM entered into an equipment financing transaction with Caterpillar with respect to certain Endako Mine equipment. In 2013 and 2012, TCM also entered into equipment financing transactions with Caterpillar with respect to certain equipment at Mount Milligan Mine pursuant to the Equipment Facility. On January 15, 2015 TCM entered into an amendment with Caterpillar which extends its ability to finance additional equipment under the Equipment Facility through December 2015. The assets and liabilities under these capital leases are recorded at the lower of the present value of the minimum lease payments or the fair value of the asset. Once ready for their intended use, the assets are depreciated over the lower of their related lease terms or their estimated productive lives. Beginning in September 2013, in conjunction with the start-up phase of Mount Milligan Mine, TCM ceased capitalizing the interest and debt issuance costs associated with the leases under the Equipment Facility for Mt. Milligan Mine as the related assets were placed in service. | |||
Financial Instruments | Financial Instruments | ||
From time to time, TCM enters into various arrangements, such as forward commodity contracts, foreign currency forward contracts and fixed- and provisionally-priced purchase and sale contracts. TCM does not account for any of these arrangements using hedge accounting. | |||
Financial and derivative instruments (including embedded derivatives) and any outstanding common stock purchase warrants are recorded at fair value on the Consolidated Balance Sheets. Changes in the fair value of derivatives are recorded each period in the Consolidated Statements of Operations and Comprehensive Income (Loss). All of TCM's once-outstanding common stock purchase warrants were exercised or expired as of December 31, 2012. | |||
Provision for Income and Mining Taxes | Provision for Income and Mining Taxes | ||
TCM computes income taxes using the asset and liability approach that results in the recognition of deferred tax assets and liabilities for the expected future tax consequences or benefits of temporary differences between the financial reporting basis and the tax basis of assets and liabilities, as well as operating loss and tax credit carry-forwards, using enacted tax rates in effect in the years in which the differences are expected to reverse. | |||
In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of its deferred tax assets will not be realized. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income, carryback of losses and tax planning strategies in making this assessment. A valuation allowance is provided for the portion of TCM's net deferred tax assets for which it is not more likely than not that they will be realized. | |||
Asset Retirement Obligations | Asset Retirement Obligations | ||
Future obligations to retire an asset, including site closure, dismantling, remediation and ongoing treatment and monitoring, are recorded as a liability at fair value at the time of construction or development. The fair value determination is based on estimated future cash flows, the current credit-adjusted risk-free discount rate and an estimated inflation factor. The value of asset retirement obligations is evaluated on an annual basis or as new information becomes available on the expected amounts and timing of cash flows required to discharge the liability. The fair value of the liability is added to the carrying amount of the associated asset, and this additional carrying amount is depreciated or amortized over the estimated life of the asset. An accretion cost, representing the increase over time in the present value of the liability, is recorded each period as accretion expense. As reclamation work is performed or liabilities are otherwise settled, the recorded amount of the liability is reduced. | |||
Revenue Recognition | Revenue Recognition | ||
TCM sells its products pursuant to sales contracts entered into with its customers. For concentrate sales, revenue is recognized when title and risk of loss pass and when collectability is reasonably assured. For concentrate, this is when a provisional payment is received. The passing of title and risk of loss are based on terms of the sales contract, generally upon shipment or delivery of product. Revenues from TCM’s concentrate sales are recorded based on a provisional sales price, with adjustments made for a final sales price calculated in accordance with the terms specified in the relevant sales contract, including the price to be received under the Gold Stream Arrangement, as well as any potential losses from TCM's commitment under the Gold Stream Arrangement. Revenues from concentrate sales are recorded net of treatment and all refining charges and the impact of derivative contracts. Treatment and refining charges represent payments or price adjustments that are contractually negotiated, as is typical in the industry. Moreover, because a portion of the metals contained in concentrate is unrecoverable as a result of the smelting process, TCM's revenues from concentrate sales are also recorded net of allowances based on the quantity and value of these unrecoverable metals. | |||
Under the long-established structure of sales agreements prevalent in the industry, metals contained in concentrate are generally provisionally priced at the time of shipment. The provisional prices are finalized in a specified future month (generally one to four months from the shipment date) based on quoted monthly average spot gold prices on the London Metal Exchange ("LME") or spot copper prices on the London Bullion Market Association ("LBMA"). TCM receives market prices based on prices in the specified future month, which results in mark-to-market price fluctuations recorded to revenues until the date of settlement. To the extent final prices are higher or lower than what was recorded on a provisional basis, an increase or decrease to revenues is recorded each reporting period until the date of final pricing. | |||
To satisfy its obligations under the Gold Stream Arrangement, TCM purchases unallocated refined gold and arranges for delivery to Royal Gold's designated account. TCM recognizes revenue for sales of refined gold when title and risk of loss passes and when collectability is reasonably assured. Revenue from and costs for unallocated refined gold delivered under the Gold Stream Arrangement and gains and losses related to TCM's forward commodity gold contracts to hedge the Company's exposure under the Gold Stream Arrangement are netted and recorded to gold sales. | |||
TCM recognizes revenue from molybdenum sales when persuasive evidence of an arrangement exists, the price is fixed and determinable, the product has been delivered, title has transferred and collection is reasonably assured. TCM's sales contracts specify the point in the delivery process at which title transfers to the customer (shipping point or destination). Shipping and handling fees are accounted for on a gross basis under the terms of the contract. TCM recognizes tolling and calcining revenue under contractual arrangements as the services are performed on a per-unit basis. | |||
TCM enters into provisionally-priced molybdenum, copper and gold sales contracts, whereby the contracts settle at prices to be determined at a future date based upon quoted prices. The future pricing mechanism of these agreements constitutes an embedded derivative, which is bifurcated and separately marked to an estimated fair value at the end of each period. Changes to the fair value of embedded derivatives related to molybdenum sales agreements are included in molybdenum sales revenue in the determination of net income (loss). | |||
Stock-Based Compensation | Stock-Based Compensation | ||
Stock Options | |||
TCM measures compensation related to stock options based on the fair value of instruments issued. The fair value of stock options at grant date is estimated using a Black-Scholes option pricing model. Compensation expense is recognized on a straight-line basis over the stock option vesting period and included in the specific income statement categories that include the costs and benefits of the employees granted the stock-based award. Proceeds arising from the exercise of stock options are credited to common stock. | |||
Performance Share Units | |||
Performance share units ("PSUs") are accounted for at fair value using a Monte Carlo simulation valuation model on the date of grant. The Monte Carlo model is based on random projections of stock price paths. Expected volatility is calculated using a weighted average of historical daily volatilities and represents the extent to which TCM's stock price performance is expected to fluctuate during each of the calendar periods of the award's anticipated term. The fair value is recognized as an expense on a straight-line basis over the requisite service period (usually the vesting period) and included in the specific income statement categories that include the costs and benefits of the employees granted PSUs. Upon vesting, common shares are issued to the employee from authorized but unissued common stock. According to the provisions of ASC 718, Compensation—Stock Compensation, stock based compensation expense is reversed for unvested and forfeited PSUs. | |||
Restricted Stock Units | |||
Restricted stock units ("RSUs") are accounted for at fair value, which is based on the market value of TCM's common shares on the day of grant. The total fair value is recognized as an expense on a straight-line basis over the vesting period and included in the specific income statement categories that include the costs and benefits of the employee and directors granted RSUs. Upon vesting, common shares are issued to the employee or director from authorized but unissued common stock. According to the provisions of ASC 718, Compensation—Stock Compensation, stock based compensation expense is reversed for unvested and forfeited RSUs. | |||
Employee Stock Purchase Plan | |||
TCM's employee stock purchase plan ("ESPP") provides an opportunity for TCM's employees to purchase its common shares at 85% of the closing price at the beginning of the offering period or at the end of the offering period, whichever is lower. The ESPP was suspended effective July 1, 2013 pending approval of an amended plan by the TCM shareholders. Effective May 13, 2014, TCM shareholders approved the Amended and Restated Thompson Creek Metals Company Inc. 2010 Employee Stock Purchase Plan that makes additional shares of TCM's common stock available for issuance. | |||
Earnings per Share | Earnings per Share | ||
Earnings per share calculations are based on the weighted-average number of common shares issued and outstanding during the year. Diluted earnings per share are calculated using the treasury stock method, which assumes that outstanding stock options and warrants with an average exercise price less than the average market price of TCM's common shares are exercised, and the proceeds are used to repurchase common shares at the average market price of the common shares for the period. In years in which a loss is incurred, the effect of potential issuances of shares under the exercise of options, warrants and RSUs would be anti-dilutive, and therefore, are excluded from diluted earnings per share calculations. |
Significant_Accounting_Policie2
Significant Accounting Policies (Tables) | 12 Months Ended | ||
Dec. 31, 2014 | |||
Accounting Policies [Abstract] | |||
Fair Value Hierarchy | The three levels of the fair value hierarchy are described below: | ||
Level 1 | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | ||
Level 2 | Quoted prices in markets that are not active or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability. | ||
Level 3 | Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). | ||
The three levels of the fair value hierarchy are described below: | |||
Level 1 | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | ||
Level 2 | Quoted prices in markets that are not active or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability. | ||
Level 3 | Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). |
Inventory_Tables
Inventory (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Inventory Disclosure [Abstract] | ||||||||||||
Schedule of carrying value of product inventory | The carrying value of product inventory was as follows: | |||||||||||
December 31, | December 31, | |||||||||||
2014 | 2013 | |||||||||||
Copper and Gold Inventory: | ||||||||||||
Concentrate | $ | 29.4 | $ | 39.8 | ||||||||
Stockpiled ore | 8.3 | 4.8 | ||||||||||
$ | 37.7 | $ | 44.6 | |||||||||
Molybdenum Inventory: | ||||||||||||
Finished product | $ | 45 | $ | 27.5 | ||||||||
Work-in-process | 13.5 | 28 | ||||||||||
Stockpiled ore | 0.4 | 22 | ||||||||||
$ | 58.9 | $ | 77.5 | |||||||||
$ | 96.6 | $ | 122.1 | |||||||||
Inventory write downs | The following table sets forth the inventory write downs in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss) for the years presented: | |||||||||||
Years Ended | ||||||||||||
December 31, | December 31, | December 31, | ||||||||||
2014 | 2013 | 2012 | ||||||||||
Copper-Gold | ||||||||||||
Operating expense | $ | — | $ | 20.2 | $ | — | ||||||
Depreciation, depletion and amortization | — | 2.1 | — | |||||||||
Start-up costs | — | 7.3 | — | |||||||||
US Operations Molybdenum | ||||||||||||
Operating expense | 2.1 | — | 14.4 | |||||||||
Depreciation, depletion and amortization | 0.2 | — | 1.2 | |||||||||
Canadian Operations Molybdenum | ||||||||||||
Operating expense | 20.4 | 24.1 | 38.2 | |||||||||
Depreciation, depletion and amortization | 2.8 | 4.1 | 20 | |||||||||
$ | 25.5 | $ | 57.8 | $ | 73.8 | |||||||
Property_Plant_Equipment_and_D1
Property, Plant, Equipment and Development, Net (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Schedule of property, plant, equipment and development | Property, plant, equipment and development, net, was comprised of the following: | ||||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
Mining properties and mineral reserves | $ | 703.7 | $ | 768.6 | |||||
Mining and milling equipment and facilities | 1,523.40 | 1,661.20 | |||||||
Processing facilities | 171.1 | 168.5 | |||||||
Construction-in-progress | 23.1 | 42.7 | |||||||
Other | 6.5 | 18.3 | |||||||
2,427.80 | 2,659.30 | ||||||||
Less: Accumulated depreciation, depletion and amortization | (209.5 | ) | (121.3 | ) | |||||
$ | 2,218.30 | $ | 2,538.00 | ||||||
Asset_Impairments_Tables
Asset Impairments (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||
Schedule of Impaired Intangible Assets | The following table sets forth the write downs of property, plant, and equipment and development assets, mineral reserves, materials and supplies inventory and goodwill in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss) for the years presented: | |||||||||||
Years Ended | ||||||||||||
December 31, | December 31, | December 31, | ||||||||||
2014 | 2013 | 2012 | ||||||||||
US Operations Molybdenum | ||||||||||||
Property, plant, and equipment | $ | — | $ | 127.8 | $ | — | ||||||
Materials and supplies | 3.3 | 1.6 | — | |||||||||
Canadian Operations Molybdenum | ||||||||||||
Property, plant, and equipment and development assets (1) | 66.7 | 59.4 | 530.5 | |||||||||
Materials and supplies | 9.5 | 5.3 | — | |||||||||
Exploration Properties and Other | ||||||||||||
Mineral reserves | 25.3 | — | — | |||||||||
Land | — | 0.8 | — | |||||||||
Goodwill | — | — | 47 | |||||||||
$ | 104.8 | $ | 194.9 | $ | 577.5 | |||||||
Financial_Instruments_Tables
Financial Instruments (Tables) | 12 Months Ended | ||||||||||||||
Dec. 31, 2014 | |||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||
Schedule of location and fair value amounts of all derivative financial instruments in the consolidated balance sheets | The following table provides details about the fair values of TCM's derivative assets and liabilities: | ||||||||||||||
Fair Value as of December 31, | |||||||||||||||
2014 | 2013 | ||||||||||||||
Assets (1) | |||||||||||||||
Commodity contracts | $ | 1.8 | $ | 0.2 | |||||||||||
Liabilities (1) | |||||||||||||||
Forward currency contracts | $ | 0.3 | $ | — | |||||||||||
(1)TCM's derivative assets are included in prepaid expenses and other current assets, and derivative liabilities are included in other current liabilities. TCM is exposed to credit risk when counterparties with which it has entered into derivative transactions are unable to satisfy their obligations. To reduce counterparty credit exposure, TCM deals primarily with large, credit-worthy financial institutions and companies and limits credit exposure to each. TCM believes the counterparties to the contracts to be credit-worthy entities and, therefore, TCM believes credit risk of counterparty non-performance is relatively low, and as such, the fair value of the derivatives has not been adjusted. | |||||||||||||||
Schedule of gains (losses) on derivative instruments | The following table sets forth the gains (losses) on derivative instruments for the years presented: | ||||||||||||||
Years Ended | |||||||||||||||
Derivative Type and Activity | Statement of Operations Classification | December 31, | December 31, | December 31, | |||||||||||
2014 | 2013 | 2012 | |||||||||||||
Gold hedges related to Gold Stream Arrangement | Gold sales | $ | (1.3 | ) | $ | — | $ | — | |||||||
Copper and Gold hedges; other commodity contracts | Other | $ | 4.8 | $ | 1.6 | $ | (2.5 | ) | |||||||
Molybdenum hedges | Molybdenum sales | $ | — | $ | (0.1 | ) | $ | (0.4 | ) | ||||||
Forward currency contracts | Gain (loss) on foreign exchange, net | $ | (0.2 | ) | $ | — | $ | (1.8 | ) | ||||||
Common stock purchase warrant derivatives | Change in fair value of common stock purchase warrants | $ | — | $ | — | $ | 1.8 | ||||||||
Schedule of commodity contracts | The following table provides details of TCM's commodity contracts as of December 31, 2014: | ||||||||||||||
Quantity | Sell Price | Buy Price | Maturities Through | ||||||||||||
Gold Hedge Sales related to Gold Stream Arrangement (oz) | 6,461 | $1,192-$1,213 | TBD | Jan-15 | |||||||||||
Gold Hedge Purchases related to Gold Stream Arrangement (oz) | 31,060 | TBD | TBD | January 2015-April 2015 | |||||||||||
Forward Gold Sales (oz) | 3,300 | $1,230 | TBD | Jan-15 | |||||||||||
Forward Copper Sales (lb) | 7,716,100 | $3.05-$3.19 | TBD | January 2015-May 2015 | |||||||||||
Quantity | Put Price | Call Price | Maturities Through | ||||||||||||
Gold Collars (oz) | 22,000 | $1,150-$1,175 | $1,237 - $1,267 | January 2015-December 2015 | |||||||||||
Schedule of outstanding provisionally-priced contracts | The following table sets forth TCM's outstanding provisionally-priced contracts as of December 31, 2014: | ||||||||||||||
Average Price Per Unit | |||||||||||||||
Open Positions | Contract | Market | Maturities Through | ||||||||||||
Embedded derivatives in provisional sales contracts: | |||||||||||||||
Molybdenum (thousands of pounds) | 68.6 | $9.38 | $8.88 | Jan-15 | |||||||||||
Copper (millions of pounds) | 21.2 | TBD | TBD | Apr-15 | |||||||||||
Gold (ounces) | 11,356 | TBD | TBD | Jan-15 | |||||||||||
Embedded derivatives in provisional purchase contracts: | |||||||||||||||
Molybdenum (thousands of pounds) | 380 | $7.80 | $8.96 | Feb-15 | |||||||||||
Schedule of outstanding provisionally-priced contracts | The following table provides details of TCM's forward currency contracts as of December 31, 2014: | ||||||||||||||
Notional Amount | Buy Price | Maturities Through | |||||||||||||
Forward currency contracts | $25,000,000 | $1USD/C$1.14-C$1.16 | January 2015 - March 2015 | ||||||||||||
Schedule of outstanding fixed-priced molybdenum sales contracts | The following table sets forth TCM's outstanding molybdenum fixed-priced sales contracts as of December 31, 2014: | ||||||||||||||
Quantity (000's lb) | Sell Price | Maturities Through | |||||||||||||
Molybdenum fixed price sales | 599.7 | $12.05 | Nov-15 |
Fair_Value_Measurement_Tables
Fair Value Measurement (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Fair Value Hierarchy | The three levels of the fair value hierarchy are described below: | ||||||||||||||||
Level 1 | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | ||||||||||||||||
Level 2 | Quoted prices in markets that are not active or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability. | ||||||||||||||||
Level 3 | Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). | ||||||||||||||||
The three levels of the fair value hierarchy are described below: | |||||||||||||||||
Level 1 | Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | ||||||||||||||||
Level 2 | Quoted prices in markets that are not active or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability. | ||||||||||||||||
Level 3 | Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). | ||||||||||||||||
Schedule of liabilities measured at fair value on a recurring basis | The following table sets forth TCM's financial liabilities measured at fair value by level within the fair value hierarchy. As required, liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement, as discussed in Note 2. | ||||||||||||||||
Fair Value at December 31, 2014 | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Liabilities: | |||||||||||||||||
Senior secured notes | $ | 393.2 | $ | — | $ | 393.2 | $ | — | |||||||||
Senior unsecured notes | 453.3 | — | 453.3 | — | |||||||||||||
tMEDS | 0.4 | — | — | 0.4 | |||||||||||||
$ | 846.9 | $ | — | $ | 846.5 | $ | 0.4 | ||||||||||
Fair Value at December 31, 2013 | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Liabilities: | |||||||||||||||||
Senior secured notes | $ | 397.2 | $ | — | $ | 397.2 | $ | — | |||||||||
Senior unsecured notes | 492.4 | — | 492.4 | — | |||||||||||||
tMEDS | 12.7 | — | — | 12.7 | |||||||||||||
$ | 902.3 | $ | — | $ | 889.6 | $ | 12.7 | ||||||||||
Schedule of reconciliation of the fair value of Level 3 financial assets and liabilities | The following table sets forth a reconciliation of activity related to Level 3 financial liabilities for the years ended December 31, 2014 and 2013: | ||||||||||||||||
Total | Debt | ||||||||||||||||
Balance at January 1, 2013 | $ | 27.8 | $ | 27.8 | |||||||||||||
Settlement and revaluation of tMEDS | (15.1 | ) | (15.1 | ) | |||||||||||||
Balance at December 31, 2013 | 12.7 | 12.7 | |||||||||||||||
Settlement and revaluation of tMEDS | (12.3 | ) | (12.3 | ) | |||||||||||||
Balance at December 31, 2014 | $ | 0.4 | $ | 0.4 | |||||||||||||
Leases_Tables
Leases (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Leases, Capital [Abstract] | |||||||||||||
Schedule of future lease payments under capital leases | TCM's total capital lease obligations consisted of the following: | ||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||
Equipment Facility capital leases | $ | 20.3 | $ | 27.2 | |||||||||
Equipment Facility sale leaseback | 45.9 | 59.8 | |||||||||||
Endako Mine sale leaseback | 2.3 | 3.5 | |||||||||||
Total lease obligations | 68.5 | 90.5 | |||||||||||
Less: Current portion | (22.8 | ) | (21.8 | ) | |||||||||
Total long-term lease obligations | $ | 45.7 | $ | 68.7 | |||||||||
Future lease payments under capital leases as of December 31, 2014 for each of the next five years and in the aggregate were: | |||||||||||||
Total | |||||||||||||
(in millions) | |||||||||||||
2015 | $ | 22.8 | |||||||||||
2016 | 24.1 | ||||||||||||
2017 | 18.9 | ||||||||||||
2018 | 2.7 | ||||||||||||
2019 | — | ||||||||||||
Total future capital lease payments | $ | 68.5 | |||||||||||
Schedule of Interest Costs Incurred | Interest and debt issuance costs on the equipment financings, as described above, consisted of the following: | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Interest paid | $ | 4.6 | $ | 4.7 | $ | 1 | |||||||
Interest and debt issuance costs capitalized | $ | — | $ | 3.7 | $ | 1.9 | |||||||
Interest and debt issuance costs expensed | $ | 5 | $ | 1.9 | $ | — | |||||||
Interest paid, capitalized and expensed was as follows: | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Interest paid | $ | 86.7 | $ | 77.1 | $ | 40.3 | |||||||
Interest capitalized | $ | 4.1 | $ | 71.5 | $ | 50.4 | |||||||
Interest expensed | $ | 87.3 | $ | 22.2 | $ | 12.8 | |||||||
Schedule of future lease payments under operating leases | Future lease payments under operating leases as of December 31, 2014 for each of the next five years and in the aggregate were: | ||||||||||||
Total | |||||||||||||
(in millions) | |||||||||||||
2015 | $ | 2.9 | |||||||||||
2016 | 2.5 | ||||||||||||
2017 | 1.6 | ||||||||||||
2018 | 0.4 | ||||||||||||
2019 | 0.2 | ||||||||||||
Thereafter | — | ||||||||||||
Total future operating lease payments | $ | 7.6 | |||||||||||
Debt_Tables
Debt (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Debt Disclosure [Abstract] | |||||||||||||
Schedule of long-term debt | TCM's secured and unsecured notes, tMEDS, equipment loans and other credit facilities consisted of the following: | ||||||||||||
December 31, | December 31, | ||||||||||||
2014 | 2013 | ||||||||||||
9.75% Senior secured notes due 2017, net of discount | $ | 347.9 | $ | 347.3 | |||||||||
7.375% Senior unsecured notes due 2018 | 335.8 | 350 | |||||||||||
12.5% Senior unsecured notes due 2019 | 188.5 | 200 | |||||||||||
tMEDS | 1.2 | 19.4 | |||||||||||
Equipment loans | 2.8 | 5.4 | |||||||||||
Other | — | 0.2 | |||||||||||
Total debt | 876.2 | 922.3 | |||||||||||
Less: Current portion | (3.9 | ) | (15.4 | ) | |||||||||
Total long-term debt | $ | 872.3 | $ | 906.9 | |||||||||
Schedule of Interest Costs Incurred | Interest and debt issuance costs on the equipment financings, as described above, consisted of the following: | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Interest paid | $ | 4.6 | $ | 4.7 | $ | 1 | |||||||
Interest and debt issuance costs capitalized | $ | — | $ | 3.7 | $ | 1.9 | |||||||
Interest and debt issuance costs expensed | $ | 5 | $ | 1.9 | $ | — | |||||||
Interest paid, capitalized and expensed was as follows: | |||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Interest paid | $ | 86.7 | $ | 77.1 | $ | 40.3 | |||||||
Interest capitalized | $ | 4.1 | $ | 71.5 | $ | 50.4 | |||||||
Interest expensed | $ | 87.3 | $ | 22.2 | $ | 12.8 | |||||||
Schedule of aggregate maturities of outstanding borrowings | Aggregate maturities, net of discount amortization on the 2018 Notes, of the outstanding borrowings at December 31, 2014 were as follows: | ||||||||||||
Years | Principal Due | ||||||||||||
(in millions) | |||||||||||||
2015 | $ | 3.9 | |||||||||||
2016 | — | ||||||||||||
2017 | 350 | ||||||||||||
2018 | 335.8 | ||||||||||||
2019 | 188.6 | ||||||||||||
Thereafter | — | ||||||||||||
Total maturities | 878.3 | ||||||||||||
Discount amortization on 2017 Notes | (2.1 | ) | |||||||||||
Total debt | $ | 876.2 | |||||||||||
Gold_Stream_Arrangement_Tables
Gold Stream Arrangement (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | ||||||||
Revenue Recognition Gold Stream Arrangement | The following table presents the revenue under the Gold Stream Arrangement for the years ended December 31, 2014 and 2013, respectively in the form of (i) cash receipts based on gold sales during the applicable period, and (ii) deferred revenue for gold ounces delivered and deferred revenue to be recognized upon final settlement during the applicable period: | |||||||
Years Ended | ||||||||
(US$ in millions) | December 31, 2014 | December 31, 2013 | ||||||
Gold sales related to cash portion of Gold Stream Arrangement (1) | $ | 39 | $ | 1.3 | ||||
Gold sales related to deferred portion of Gold Stream Arrangement (1) (2) | 31.2 | 1 | ||||||
Total gold sales under Gold Stream Arrangement (1) (2) | $ | 70.2 | $ | 2.3 | ||||
_____________________________________________________________________________ | ||||||||
(1) Recognized revenue and related gold ounces based on provisional sales may be subject to adjustment upon final settlement. | ||||||||
(2) Consists of $19.2 million and $0.8 million of revenue which was previously deferred, for the years ended December 31, 2014 and 2013, respectively. Revenue ultimately to be recognized upon delivery of gold is $12.0 million and $0.7 million for the years ended December 31, 2014 and 2013, respectively. |
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Asset Retirement Obligation Disclosure [Abstract] | |||||||||||||||||||||
Schedule of asset retirement obligations for future mine closure and reclamation costs in connection with mines | The following table details items affecting asset retirement obligations for future mine closure and reclamation costs in connection with TCM's Mount Milligan Mine, TC Mine, Endako Mine (reflecting 75% ownership) and its now-terminated interest in the Davidson property: | ||||||||||||||||||||
Mt. Milligan | Thompson | Endako | Davidson | Total | |||||||||||||||||
Creek Mine | Mine | Property | |||||||||||||||||||
At January 1, 2012 | $ | 1.3 | $ | 23.1 | $ | 8.1 | $ | 0.3 | $ | 32.8 | |||||||||||
Additions/Revisions | 2.8 | (3.1 | ) | 1.7 | — | 1.4 | |||||||||||||||
Accretion | 0.2 | 1.5 | 0.6 | — | 2.3 | ||||||||||||||||
Foreign exchange | — | — | 0.1 | — | 0.1 | ||||||||||||||||
At December 31, 2012 | $ | 4.3 | $ | 21.5 | $ | 10.5 | $ | 0.3 | $ | 36.6 | |||||||||||
Additions/Revisions | (1.2 | ) | (1.3 | ) | 8.2 | — | 5.7 | ||||||||||||||
Accretion | 0.2 | 1.3 | 0.9 | — | 2.4 | ||||||||||||||||
Foreign exchange | (0.2 | ) | — | (0.7 | ) | — | (0.9 | ) | |||||||||||||
At December 31, 2013 | $ | 3.1 | $ | 21.5 | $ | 18.9 | $ | 0.3 | $ | 43.8 | |||||||||||
Additions/Revisions (1) | (0.7 | ) | (9.2 | ) | (0.3 | ) | — | (10.2 | ) | ||||||||||||
Accretion | 0.4 | 1.5 | 1.7 | — | 3.6 | ||||||||||||||||
Foreign exchange | (0.3 | ) | — | (1.6 | ) | — | (1.9 | ) | |||||||||||||
At December 31, 2014 | $ | 2.5 | $ | 13.8 | $ | 18.7 | $ | 0.3 | $ | 35.3 | |||||||||||
(1) At December 31, 2014 the downward revision to the asset retirement obligation at TC Mine resulted in a $6.2 million decrease to depreciation, depletion and amortization in the Consolidated Statements of Operations and Comprehensive Income (Loss). |
Employee_Benefits_Tables
Employee Benefits (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||
Schedule of changes in projected benefit obligations | The following table sets forth the actuarial present value of postretirement medical benefit obligations and amounts recognized in TCM's consolidated financial statements: | ||||||||
December 31, | December 31, | ||||||||
2014 | 2013 | ||||||||
Change in benefit obligations: | |||||||||
Net benefit obligation at beginning of year | $ | 3.2 | $ | 3.3 | |||||
(Gain) loss | 0.6 | (0.5 | ) | ||||||
Service cost | 0.3 | 0.4 | |||||||
Interest cost | 0.1 | 0.1 | |||||||
Benefits paid | (0.2 | ) | (0.1 | ) | |||||
$ | 4 | $ | 3.2 | ||||||
Expected postretirement medical benefits | The expected postretirement medical benefits provided below were based on actuarial assumptions. | ||||||||
December 31, | |||||||||
Expected benefit payments: | |||||||||
2015 | $ | 0.1 | |||||||
2016 | $ | 0.1 | |||||||
2017 | $ | 0.2 | |||||||
2018 | $ | 0.2 | |||||||
2019 | $ | 0.3 | |||||||
2020-2024 | $ | 1.7 | |||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||
Summary of stock option activity | The following table summarizes stock option activity during the years ended December 31, 2012, 2013 and 2014: | ||||||||||||
Options | Weighted-Average | Aggregate | |||||||||||
Exercise Price | Intrinsic Value | ||||||||||||
(000's) | -1 | -1 | |||||||||||
Stock options outstanding at January 1, 2012 | 2,989 | $ | 12.29 | $ | 1 | ||||||||
Granted | 254 | $ | 4.5 | — | |||||||||
Exercised | (35 | ) | $ | 6.02 | — | ||||||||
Canceled/expired | (749 | ) | $ | 12.52 | — | ||||||||
Stock options outstanding at December 31, 2012 | 2,459 | $ | 11.5 | $ | 0.2 | ||||||||
Granted | 779 | $ | 3.13 | — | |||||||||
Canceled/expired/forfeited | (658 | ) | $ | 11.95 | — | ||||||||
Stock options outstanding at December 31, 2013 | 2,580 | $ | 8.86 | $ | 0.2 | ||||||||
Granted | 423 | $ | 2.64 | — | |||||||||
Exercised | (11 | ) | $ | 2.7 | — | ||||||||
Canceled/expired/forfeited | (1,606 | ) | $ | 11.44 | — | ||||||||
Stock options outstanding at December 31, 2014 | 1,386 | $ | 4.04 | $ | — | ||||||||
_______________________________________________________________________________ | |||||||||||||
(1) | The weighted-average exercise price of options outstanding is shown in US dollars as the majority of the options granted starting in 2011 have a strike price denominated in US dollars. Options with a Canadian dollar strike price have been converted to US dollars for disclosure purposes using the exchange rates on the respective date of grant. | ||||||||||||
Schedule of information about stock options outstanding and exercisable | The following table summarizes information about stock options outstanding and exercisable as of December 31, 2014: | ||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||
Range of Exercise Prices | Number | Weighted-Average | Weighted-Average | Number | Weighted-Average | Weighted-Average | |||||||
Outstanding | Exercise Price | Remaining | Outstanding | Exercise Price | Remaining | ||||||||
Contractual Life | Contractual Life | ||||||||||||
(000's) | (1) | (000's) | (1) | ||||||||||
1.42 - 5.83 | 1,216 | $3.13 | 3.8 | 474 | $3.63 | 3.3 | |||||||
6.02 - 10.64 | 86 | $9.01 | 1.1 | 86 | $9.01 | 1.1 | |||||||
11.88 - 14.04 | 84 | $12.14 | 0.6 | 84 | $12.14 | 0.6 | |||||||
_______________________________________________________________________________ | |||||||||||||
(1) | The weighted-average exercise price of options outstanding is shown in US dollars as the majority of the options granted starting in 2011 have a strike price denominated in US dollars. Options with a Canadian dollar strike price have been converted to US dollars for disclosure purposes using the exchange rates on the respective date of grant. | ||||||||||||
Schedule of weighted-average fair value of stock options on the date of grant, and the assumptions used to estimate the fair value of the stock options using Black-Scholes option valuation model | The weighted-average fair value of stock options on the date of grant, and the assumptions used to estimate the fair value of the stock options using a Black-Scholes option valuation model were as follows: | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Weighted-average fair value of options granted (1) | $ | 1.48 | $ | 1.02 | $ | 1.63 | |||||||
Expected volatility | 53.5 | % | 52.5 | % | 50.9 | % | |||||||
Expected life (years) | 2.7 | 2.7 | 2.8 | ||||||||||
Risk-free interest rate | 0.7 | % | 0.4 | % | 0.4 | % | |||||||
Expected dividend yield | — | % | — | % | — | % | |||||||
_________________________________________________________________________ | |||||||||||||
(1) The weighted-average exercise price of options granted is shown in US dollars as the majority of the options granted starting in 2011 have a strike price denominated in US dollars. Options with a Canadian dollar strike price have been converted to US dollars for disclosure purposes using the exchange rates on the respective date of grant. | |||||||||||||
Summary of performance share unit (PSU) activity | The following table summarizes PSU activity during the years ended December 31, 2012, 2013 and 2014: | ||||||||||||
Units | Weighted-Average | ||||||||||||
Fair Value | |||||||||||||
(000's) | |||||||||||||
Outstanding at January 1, 2012 | 495 | $ | 11.91 | ||||||||||
PSUs granted | 381 | $ | 12.01 | ||||||||||
Canceled/expired/forfeited | (31 | ) | $ | 12.01 | |||||||||
Outstanding at December 31, 2012 | 845 | $ | 11.95 | ||||||||||
PSUs granted | 948 | $ | 4.21 | ||||||||||
Canceled/expired/forfeited | (568 | ) | $ | 7.69 | |||||||||
Outstanding at December 31, 2013 | 1,225 | $ | 7.88 | ||||||||||
PSUs granted | 1,426 | $ | 3.37 | ||||||||||
Canceled/expired/forfeited | (731 | ) | $ | 7.98 | |||||||||
Outstanding at December 31, 2014 | 1,920 | $ | 4.59 | ||||||||||
Summary of restricted stock unit (RSU) activity | The following table summarizes RSU activity during the years ended December 31, 2012, 2013 and 2014: | ||||||||||||
Units | Weighted-Average | ||||||||||||
Fair Value | |||||||||||||
(000's) | |||||||||||||
Outstanding at January 1, 2012 | 306 | $ | 10.33 | ||||||||||
RSUs granted | 413 | $ | 8.82 | ||||||||||
RSUs vested and common shares issued | (72 | ) | $ | 10.12 | |||||||||
Canceled/expired/forfeited | (113 | ) | $ | 9.62 | |||||||||
Outstanding at December 31, 2012 | 534 | $ | 9.3 | ||||||||||
RSUs granted | 1,266 | $ | 2.52 | ||||||||||
RSUs vested and common shares issued | (201 | ) | $ | 9.41 | |||||||||
Canceled/expired/forfeited | (253 | ) | $ | 5.58 | |||||||||
Outstanding at December 31, 2013 | 1,346 | $ | 4.23 | ||||||||||
RSUs granted | 935 | $ | 2.76 | ||||||||||
RSUs vested and common shares issued | (551 | ) | $ | 4.65 | |||||||||
Canceled/expired/forfeited | (275 | ) | $ | 3.84 | |||||||||
Outstanding at December 31, 2014 | 1,455 | $ | 3.2 | ||||||||||
Schedule of stock-based compensation cost charged against earnings | Stock-based compensation cost charged against earnings for all of TCM's stock-based awards is shown below for the years ended December 31, 2014, 2013 and 2012: | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Total stock-based compensation | $ | 5.8 | $ | 5.6 | $ | 6.3 | |||||||
Amount capitalized to product inventory | (0.1 | ) | 0.1 | (0.1 | ) | ||||||||
Amount capitalized to Mount Milligan Mine | (0.3 | ) | (0.3 | ) | (0.5 | ) | |||||||
Stock-based compensation expense | 5.4 | 5.4 | 5.7 | ||||||||||
US tax benefit | (1.7 | ) | (1.5 | ) | (1.5 | ) | |||||||
Impact on net income (loss) | $ | 3.7 | $ | 3.9 | $ | 4.2 | |||||||
Exploration_Tables
Exploration (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Extractive Industries [Abstract] | |||||||||||||
Schedule of exploration expenses | The following table summarizes TCM's exploration expenses by project or property: | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Berg Property | $ | 0.2 | $ | 0.6 | $ | 1.1 | |||||||
TC Mine | 0.1 | 0.1 | 0.2 | ||||||||||
Endako Mine | — | — | 0.3 | ||||||||||
Mount Milligan Mine | 0.3 | 0.1 | 0.1 | ||||||||||
Davidson Property | — | 0.6 | 0.5 | ||||||||||
Maze Lake | 0.3 | — | — | ||||||||||
$ | 0.9 | $ | 1.4 | $ | 2.2 | ||||||||
Income_and_Mining_Tax_Expense_1
Income and Mining Tax Expense (Benefit) (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Schedule of income (loss) from continuing operations before income taxes | (Loss) income from continuing operations before income taxes consisted of the following for the periods presented: | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Canada | $ | (248.3 | ) | $ | (249.0 | ) | $ | (630.7 | ) | ||||
United States | 102.4 | (29.4 | ) | (26.7 | ) | ||||||||
$ | (145.9 | ) | $ | (278.4 | ) | $ | (657.4 | ) | |||||
Tabular disclosure of tax expense by jurisdiction | Below is a tabular disclosure of tax expense by jurisdiction for the three years ended December 31, 2014, 2013 and 2012: | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Current | |||||||||||||
Canada | $ | 3.2 | $ | 0.6 | $ | (6.4 | ) | ||||||
United States | 12.2 | 13.3 | 1 | ||||||||||
$ | 15.4 | $ | 13.9 | $ | (5.4 | ) | |||||||
Deferred | |||||||||||||
Canada | $ | (36.0 | ) | $ | (32.7 | ) | $ | (99.0 | ) | ||||
United States | (1.1 | ) | (44.6 | ) | (6.7 | ) | |||||||
(37.1 | ) | (77.3 | ) | (105.7 | ) | ||||||||
Total tax (benefit) expense | $ | (21.7 | ) | $ | (63.4 | ) | $ | (111.1 | ) | ||||
Schedule of income and mining taxes which differ from the amount that would result from applying the Canadian federal and provincial income tax rates to earnings before income taxes | Income and mining taxes differ from the amount that would result from applying the Canadian federal and provincial income tax rates to earnings before income taxes. The differences resulted from the following items: | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(Loss) income before income and mining taxes | $ | (145.9 | ) | $ | (278.4 | ) | $ | (657.4 | ) | ||||
Combined Canadian federal and provincial income tax rates | 26 | % | 25.8 | % | 25 | % | |||||||
Income taxes based on above rates | (37.9 | ) | (71.8 | ) | (164.4 | ) | |||||||
Increase (decrease) to income taxes due to: | |||||||||||||
Unrealized (gain) loss on warrants | — | — | (0.4 | ) | |||||||||
Difference in foreign statutory tax rates | 10.5 | (3.2 | ) | (3.2 | ) | ||||||||
Provincial and state mining and franchise taxes | (0.5 | ) | (5.6 | ) | (20.6 | ) | |||||||
Change in tax positions | (7.4 | ) | — | — | |||||||||
Non-deductible expenses | 4.8 | 3.9 | 1.6 | ||||||||||
Non-taxable income | (6.4 | ) | (4.6 | ) | (0.2 | ) | |||||||
Asset impairments and other charges | — | — | 16.7 | ||||||||||
Tax credits | — | 0.3 | (0.5 | ) | |||||||||
Foreign tax differences | (10.2 | ) | (10.2 | ) | (10.3 | ) | |||||||
Depletion allowance | (16.1 | ) | (19.1 | ) | (9.4 | ) | |||||||
Domestic production allowance | (1.2 | ) | (0.1 | ) | — | ||||||||
Unrealized foreign exchange gain on translation of investments | 3.3 | 2.4 | (0.8 | ) | |||||||||
Change in valuation allowance | 39 | 40.8 | 84.1 | ||||||||||
Impact of change in tax on future income and mining taxes | — | 2.1 | (0.8 | ) | |||||||||
Foreign exchange on deferred remeasurement | (1.1 | ) | 0.5 | — | |||||||||
Out-of-period adjustment | — | — | (1.8 | ) | |||||||||
Equity based compensation | 1.2 | 1.3 | — | ||||||||||
Other | 0.3 | (0.1 | ) | (1.1 | ) | ||||||||
Income and mining tax (benefit) expense | $ | (21.7 | ) | $ | (63.4 | ) | $ | (111.1 | ) | ||||
Schedule of significant components of future income and mining tax assets and liabilities | The significant components of deferred income tax assets and liabilities as of December 31, 2014 and 2013 were as follows: | ||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Deferred tax assets: | |||||||||||||
Working capital | $ | 5.4 | $ | 2.4 | |||||||||
Tax losses and credits carried forward | 157.5 | 192.7 | |||||||||||
Property, plant, equipment and development | 288.2 | 255.5 | |||||||||||
Asset retirement obligations | 4 | 3.5 | |||||||||||
Deferred compensation | 1.8 | 3.1 | |||||||||||
Gold Stream deferred revenue | 37.4 | 12.3 | |||||||||||
Unrealized foreign exchange losses | 25.6 | 11.7 | |||||||||||
Other deductible temporary differences | 4.1 | 7 | |||||||||||
Deferred tax assets | 524 | 488.2 | |||||||||||
Valuation allowances | (279.4 | ) | (246.5 | ) | |||||||||
Net deferred tax assets, net of valuation allowance | $ | 244.6 | $ | 241.7 | |||||||||
Deferred tax liabilities: | |||||||||||||
Inventory | $ | (16.6 | ) | $ | (17.1 | ) | |||||||
Other taxable temporary differences-current | (0.7 | ) | (1.0 | ) | |||||||||
Property, plant, equipment and development | (204.5 | ) | (233.9 | ) | |||||||||
Unrealized foreign exchange gains | (11.4 | ) | (3.0 | ) | |||||||||
Other taxable temporary differences-non-current | (0.2 | ) | (0.3 | ) | |||||||||
Total deferred tax liabilities | (233.4 | ) | (255.3 | ) | |||||||||
Net deferred tax assets (liabilities) | $ | 11.2 | $ | (13.6 | ) | ||||||||
Tabular disclosure of tax years subject to examination by jurisdiction | The tax years for TCM and its significant subsidiaries that remain subject to examination were as follows: | ||||||||||||
Jurisdiction | Years Under | Additional | |||||||||||
Examination | Open Years | ||||||||||||
US Federal | 2011 | 2012-2013 | |||||||||||
Canada Federal | 2011-2012 | 2007-2010, 2013 | |||||||||||
British Columbia | 2007-2009 | 2010-2013 | |||||||||||
Colorado | — | 2009-2013 | |||||||||||
Idaho | — | 2011-2013 | |||||||||||
Pennsylvania | — | 2011-2013 | |||||||||||
Utah | — | 2011-2013 | |||||||||||
Schedule of Error Corrections and Prior Period Adjustments | The revised change in presentation to appropriately net these balances for 2013 is detailed below and relates primarily to the construction of Mount Milligan Mine. Due to balances in the current year, the prior period balances were reclassified on the Consolidated Balance Sheet for comparability. | ||||||||||||
(US$ in millions) | As Previously Reported | Adjustment | As Revised | ||||||||||
Year Ended December 31, 2013 | |||||||||||||
Assets | |||||||||||||
Deferred income tax assets | $ | — | $ | 2.8 | $ | 2.8 | |||||||
Current Assets | $ | 496 | $ | 2.8 | $ | 498.8 | |||||||
Deferred income tax assets | $ | 14.2 | $ | 120.4 | $ | 134.6 | |||||||
Total Assets | $ | 3,085.50 | $ | 123.2 | $ | 3,208.70 | |||||||
Liabilities | |||||||||||||
Deferred income tax liabilities | $ | 14.4 | $ | 2.8 | $ | 17.2 | |||||||
Current liabilities | $ | 180.6 | $ | 2.8 | $ | 183.4 | |||||||
Deferred income tax liabilities | $ | 13.4 | $ | 120.4 | $ | 133.8 | |||||||
Total liabilities | $ | 1,979.30 | $ | 123.2 | $ | 2,102.50 | |||||||
Total liabilities and equity | $ | 3,085.50 | $ | 123.2 | $ | 3,208.70 | |||||||
Summary of Income Tax Uncertainties | A summary of the activities associated with TCM's uncertainty in income taxes reserve for unrecognized tax benefits | ||||||||||||
were as follows: | |||||||||||||
Unrecognized Tax Benefits | |||||||||||||
Balance as of January 1, 2014 | $ | — | |||||||||||
Additions for tax positions of prior years | 3.1 | ||||||||||||
Reductions for tax positions of prior years: | |||||||||||||
Settlements | — | ||||||||||||
Lapse of statute of limitations | — | ||||||||||||
Balance as of December 31, 2014 | $ | 3.1 | |||||||||||
Net_Income_Loss_per_Share_Tabl
Net Income (Loss) per Share (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Schedule of reconciliation of net income and weighted-average common shares outstanding for purposes of calculating diluted net income per share | The following is a reconciliation of net income (loss) and weighted-average common shares outstanding for purposes of calculating diluted net income (loss) per share for the three year period ended December 31, 2014: | ||||||||||||
Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Net income (loss) | $ | (124.2 | ) | $ | (215.0 | ) | $ | (546.3 | ) | ||||
Basic weighted-average number of shares outstanding | 193.7 | 171.1 | 168.4 | ||||||||||
Effect of dilutive securities | |||||||||||||
Common stock purchase warrants | — | — | — | ||||||||||
Share-based awards | — | — | — | ||||||||||
tMEDS | — | — | — | ||||||||||
Diluted weighted-average number of shares outstanding | 193.7 | 171.1 | 168.4 | ||||||||||
Net income (loss) per share | |||||||||||||
Basic | $ | (0.64 | ) | $ | (1.26 | ) | $ | (3.24 | ) | ||||
Diluted | $ | (0.64 | ) | $ | (1.26 | ) | $ | (3.24 | ) |
Supplementary_Cash_Flow_Inform1
Supplementary Cash Flow Information (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Supplemental Cash Flow Elements [Abstract] | ||||||||||||
Schedule of supplementary cash flow information | ||||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Change in current assets and current liabilities: | ||||||||||||
Accounts receivable | $ | 11 | $ | 4.8 | $ | 20.5 | ||||||
Product inventory | (3.8 | ) | (54.5 | ) | (77.8 | ) | ||||||
Materials and supplies inventory | 0.6 | (27.4 | ) | (11.6 | ) | |||||||
Prepaid expenses and other current assets | 6.5 | (6.1 | ) | (2.2 | ) | |||||||
Income and mining taxes receivable | 3.8 | 11.2 | (6.7 | ) | ||||||||
Accounts payable and accrued liabilities | (4.6 | ) | 30.6 | 2.5 | ||||||||
Income and mining taxes payable | (2.6 | ) | (1.2 | ) | — | |||||||
$ | 10.9 | $ | (42.6 | ) | $ | (75.3 | ) | |||||
Cash interest paid (1) | $ | 91.3 | $ | 81.8 | $ | 41.3 | ||||||
Income and mining taxes paid, net of refunds (2) | $ | 10.4 | $ | 2.5 | $ | 2.9 | ||||||
(1) For the years ended December 31, 2014, 2013 and 2012, cash interest paid of $9.1 million, $74.7 million, and $40.7 million, respectively, had been previously capitalized related to TCM's debt, as described in Note 9. | ||||||||||||
(2) For the years ended December 31, 2014, 2013 and 2012, TCM received $4.1 million, $7.5 million and $9.0 million, respectively, in refunds of US and Canadian income taxes related to prior year tax returns. | ||||||||||||
Schedule of non-cash investing and financing activities | Non-cash Investing and Financing Activities | |||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Investing activities | ||||||||||||
Other investing adjustments (1) | $ | — | $ | 6.5 | $ | 4.8 | ||||||
Acquisition of property, plant and equipment under the Equipment Facility (see Note 8) (2) | $ | — | $ | 3.9 | $ | 23.7 | ||||||
Financing activities | ||||||||||||
Settlement of tMEDS | $ | (9.3 | ) | $ | — | $ | — | |||||
Capitalized debt costs (3) | $ | — | $ | 0.6 | $ | 5.1 | ||||||
Long-term lease obligations (2) | $ | — | $ | (3.5 | ) | $ | (20.4 | ) | ||||
(1) Included capitalized depreciation. | ||||||||||||
(2) Excluded sale-leaseback capital leases. | ||||||||||||
(3) Included capitalized interest not paid in cash, amortization of deferred financing costs and debt discounts |
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||
Schedule of segment information | Segment information for the three years ended December 31, 2014, 2013 and 2012 was as follows: | ||||||||||||||||||||
For the year ended December 31, 2014: | |||||||||||||||||||||
Copper-Gold | US Operations Molybdenum | Canadian Operations Molybdenum | Inter-segment/Corporate | Total | |||||||||||||||||
Revenues | |||||||||||||||||||||
Copper sales | $ | 178.4 | $ | — | $ | — | $ | — | $ | 178.4 | |||||||||||
Gold sales | 172.3 | — | — | — | 172.3 | ||||||||||||||||
Molybdenum sales | — | 327.4 | 119 | (5.2 | ) | 441.2 | |||||||||||||||
Tolling, calcining and other | — | 20.1 | — | (5.3 | ) | 14.8 | |||||||||||||||
350.7 | 347.5 | 119 | (10.5 | ) | 806.7 | ||||||||||||||||
Cost and expenses | |||||||||||||||||||||
Operating expenses | 201.3 | 218.9 | 114 | (10.4 | ) | 523.8 | |||||||||||||||
Depreciation, depletion and amortization | 69.6 | 12.9 | 15.5 | — | 98 | ||||||||||||||||
Cost of sales | 270.9 | 231.8 | 129.5 | (10.4 | ) | 621.8 | |||||||||||||||
Selling and marketing | 6.1 | 6.1 | 3.4 | (1.5 | ) | 14.1 | |||||||||||||||
Accretion expense | 0.3 | 1.5 | 1.8 | — | 3.6 | ||||||||||||||||
Asset impairments | — | 3.3 | 76.2 | — | 79.5 | ||||||||||||||||
277.3 | 242.7 | 210.9 | (11.9 | ) | 719 | ||||||||||||||||
Segment revenues less costs and expenses | 73.4 | 104.8 | (91.9 | ) | 1.4 | 87.7 | |||||||||||||||
Other segment expenses (income) | |||||||||||||||||||||
(Gain) loss on foreign exchange | 15.6 | — | (2.1 | ) | — | 13.5 | |||||||||||||||
Segment income (loss) before income and mining taxes | $ | 57.8 | $ | 104.8 | $ | (89.8 | ) | $ | 1.4 | $ | 74.2 | ||||||||||
For the year ended December 31, 2013: | |||||||||||||||||||||
Copper-Gold | US Operations Molybdenum | Canadian Operations Molybdenum | Inter-segment/Corporate | Total | |||||||||||||||||
Revenues | |||||||||||||||||||||
Copper sales | $ | 8.7 | $ | — | $ | — | $ | — | $ | 8.7 | |||||||||||
Gold sales | 5.6 | — | — | — | 5.6 | ||||||||||||||||
Molybdenum sales | — | 319.4 | 81.9 | (0.5 | ) | 400.8 | |||||||||||||||
Tolling, calcining and other | — | 23.6 | — | (4.3 | ) | 19.3 | |||||||||||||||
14.3 | 343 | 81.9 | (4.8 | ) | 434.4 | ||||||||||||||||
Cost and expenses | |||||||||||||||||||||
Operating expenses (1) | 43.6 | 198.8 | 90.5 | (4.7 | ) | 328.2 | |||||||||||||||
Depreciation, depletion and amortization (1) | 0.1 | 33.8 | 16.6 | — | 50.5 | ||||||||||||||||
Cost of sales | 43.7 | 232.6 | 107.1 | (4.7 | ) | 378.7 | |||||||||||||||
Selling and marketing | 0.8 | 7 | 2.7 | (1.2 | ) | 9.3 | |||||||||||||||
Accretion expense | 0.3 | 1.2 | 0.9 | — | 2.4 | ||||||||||||||||
Asset impairments | — | 129.4 | 64.7 | — | 194.1 | ||||||||||||||||
44.8 | 370.2 | 175.4 | (5.9 | ) | 584.5 | ||||||||||||||||
Segment revenues less costs and expenses | (30.5 | ) | (27.2 | ) | (93.5 | ) | 1.1 | (150.1 | ) | ||||||||||||
Other segment expenses (income) | |||||||||||||||||||||
Start-up costs | 10.2 | — | 0.1 | — | 10.3 | ||||||||||||||||
(Gain) loss on foreign exchange | 12.7 | 0.4 | 0.3 | — | 13.4 | ||||||||||||||||
Segment income (loss) before income and mining taxes | $ | (53.4 | ) | $ | (27.6 | ) | $ | (93.9 | ) | $ | 1.1 | $ | (173.8 | ) | |||||||
(1) Certain prior year reclassifications were made to conform with current year presentation. This resulted in an increase in operating expenses and a decrease in depreciation, depletion and amortization of $9.3 million. | |||||||||||||||||||||
For the year ended December 31, 2012: | |||||||||||||||||||||
Copper-Gold (Development) | US Operations Molybdenum | Canadian Operations Molybdenum | Inter-segment/Corporate | Total | |||||||||||||||||
Revenues | |||||||||||||||||||||
Molybdenum sales | $ | — | $ | 302 | $ | 86.5 | $ | (1.7 | ) | $ | 386.8 | ||||||||||
Tolling, calcining and other | — | 14.7 | (0.1 | ) | — | 14.6 | |||||||||||||||
— | 316.7 | 86.4 | (1.7 | ) | 401.4 | ||||||||||||||||
Cost and expenses | |||||||||||||||||||||
Operating expenses | — | 273.1 | 103.1 | (1.7 | ) | 374.5 | |||||||||||||||
Depreciation, depletion and amortization | — | 19.7 | 42.6 | — | 62.3 | ||||||||||||||||
Cost of sales | — | 292.8 | 145.7 | (1.7 | ) | 436.8 | |||||||||||||||
Selling and marketing | — | 6.2 | 3 | (1.2 | ) | 8 | |||||||||||||||
Accretion expense | 0.2 | 1.5 | 0.6 | — | 2.3 | ||||||||||||||||
Asset impairments | — | — | 530.5 | — | 530.5 | ||||||||||||||||
0.2 | 300.5 | 679.8 | (2.9 | ) | 977.6 | ||||||||||||||||
Segment revenues less costs and expenses | (0.2 | ) | 16.2 | (593.4 | ) | 1.2 | (576.2 | ) | |||||||||||||
Other segment expenses (income) | |||||||||||||||||||||
Goodwill impairment | — | 47 | — | — | 47 | ||||||||||||||||
Start-up costs | — | — | 5.5 | — | 5.5 | ||||||||||||||||
(Gain) loss on foreign exchange | (3.1 | ) | (0.8 | ) | (1.7 | ) | — | (5.6 | ) | ||||||||||||
Segment income (loss) before income and mining taxes | $ | 2.9 | $ | (30.0 | ) | $ | (597.2 | ) | $ | 1.2 | $ | (623.1 | ) | ||||||||
Schedule of reconciliation of segment income to net income | Reconciliation of Segment Income to Net Income (Loss) | ||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||
Segment income (loss) | $ | 74.2 | $ | (173.8 | ) | $ | (623.1 | ) | |||||||||||||
Other (income) expense | |||||||||||||||||||||
Exploration properties impairment | 25.3 | — | — | ||||||||||||||||||
Land write down | — | 0.8 | — | ||||||||||||||||||
Change in fair value of common stock purchase warrants | — | — | (1.8 | ) | |||||||||||||||||
General and administrative | 23.5 | 21.6 | 27.6 | ||||||||||||||||||
Exploration | 0.9 | 1.4 | 2.2 | ||||||||||||||||||
Interest expense (income), net | 91.9 | 23.1 | 11.7 | ||||||||||||||||||
(Gain) loss on foreign exchange | 86.3 | 57.4 | (6.6 | ) | |||||||||||||||||
Corporate depreciation | 1.9 | 1.4 | 1.7 | ||||||||||||||||||
(Gain) loss from debt extinguishment | (1.6 | ) | — | — | |||||||||||||||||
Other | (8.1 | ) | (1.1 | ) | (0.5 | ) | |||||||||||||||
Income (loss) before income and mining taxes | (145.9 | ) | (278.4 | ) | (657.4 | ) | |||||||||||||||
Income and mining tax (benefit) expense | (21.7 | ) | (63.4 | ) | (111.1 | ) | |||||||||||||||
Net income (loss) | $ | (124.2 | ) | $ | (215.0 | ) | $ | (546.3 | ) | ||||||||||||
Schedule of other segment information regarding capital expenditures, assets and liabilities, including the assets and liabilities attributed to corporate operations | Other segment information regarding capital expenditures, assets and liabilities, including the assets and liabilities attributed to corporate operations, was as follows: | ||||||||||||||||||||
As of December 31, 2014 | Copper-Gold | US Operations Molybdenum | Canadian Operations Molybdenum | Inter-segment/Corporate | Total | ||||||||||||||||
Capital expenditures (1) | $ | 77 | $ | 4 | $ | 1.1 | $ | — | $ | 82.1 | |||||||||||
Property, plant, equipment and development (3) | $ | 2,075.30 | $ | 114.4 | $ | 27.5 | $ | 1.1 | $ | 2,218.30 | |||||||||||
Assets | $ | 2,304.10 | $ | 444.3 | $ | 77.6 | $ | 20.3 | $ | 2,846.30 | |||||||||||
Liabilities | $ | 912 | $ | 33.8 | $ | 30.5 | $ | 982.5 | $ | 1,958.80 | |||||||||||
As of December 31, 2013 | Copper-Gold | US Operations Molybdenum | Canadian Operations Molybdenum | Inter-segment/Corporate | Total | ||||||||||||||||
Capital expenditures (2) | $ | 419.1 | $ | 5.3 | $ | 4.3 | $ | 0.2 | $ | 428.9 | |||||||||||
Property, plant, equipment and development (3) | $ | 2,290.40 | $ | 129.2 | $ | 115.6 | $ | 2.8 | $ | 2,538.00 | |||||||||||
Assets | $ | 2,526.10 | $ | 395.1 | $ | 170.9 | $ | 116.6 | $ | 3,208.70 | |||||||||||
Liabilities | $ | 975 | $ | 49.5 | $ | 30.9 | $ | 1,047.10 | $ | 2,102.50 | |||||||||||
(1) Capital expenditures were for the year ended December 31, 2014. Copper-Gold capital expenditures included $29.8 million in permanent operations residence capital expenditure, $30.9 million in operations capital expenditure and $16.3 million in project capital expenditure at Mount Milligan Mine. Total cash capital expenditures during 2014 included $21.0 million in payments of amounts accrued at December 31, 2013. | |||||||||||||||||||||
(2) Capital expenditures were for the year ended December 31, 2013. Copper-Gold capital expenditures included $18.1 million in permanent operations residence capital expenditure and $12.0 million in operations capital expenditure at Mount Milligan Mine. Excluded $2.3 million of deposits made to one vendor, which occurred in the first quarter of 2013. | |||||||||||||||||||||
(3) Included exploration properties. | |||||||||||||||||||||
Schedule of revenue from external customers attributed to foreign countries by geographic area | Revenues by geographic region are as follows: | ||||||||||||||||||||
For the Years Ended December 31, | |||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||
$ | % | $ | % | $ | % | ||||||||||||||||
North America | $ | 260.3 | 32.3 | % | $ | 231.9 | 53.4 | % | $ | 212.6 | 53 | % | |||||||||
Japan | 131.9 | 16.4 | % | 66.7 | 15.4 | % | 79.1 | 19.7 | % | ||||||||||||
Europe | 48.2 | 6 | % | 69.8 | 16.1 | % | 54.5 | 13.6 | % | ||||||||||||
India | 13.9 | 1.7 | % | 27.1 | 6.2 | % | 19.5 | 4.9 | % | ||||||||||||
Korea | 290.1 | 36 | % | 10.9 | 2.5 | % | 11.4 | 2.8 | % | ||||||||||||
Brazil | 12.6 | 1.6 | % | 15.6 | 3.6 | % | 10.5 | 2.6 | % | ||||||||||||
Philippines | 28.8 | 3.6 | % | — | — | % | — | — | % | ||||||||||||
China | 1.1 | 0.1 | % | — | — | % | — | — | % | ||||||||||||
Other | 19.8 | 2.3 | % | 12.4 | 2.8 | % | 13.8 | 3.4 | % | ||||||||||||
Total revenues | $ | 806.7 | 100 | % | $ | 434.4 | 100 | % | $ | 401.4 | 100 | % | |||||||||
Summary_of_Quarterly_Financial1
Summary of Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||
Schedule of quarterly results of operations | The following table sets forth a summary of the quarterly results of operations for the years ended December 31, 2014, 2013 and 2012: | |||||||||||||||
For the Year December 31, 2014 | First | Second | Third | Fourth | ||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
Revenues | $ | 161 | $ | 248.4 | $ | 229.3 | $ | 168 | ||||||||
Net income (loss) | $ | (39.1 | ) | $ | 61.6 | $ | (11.1 | ) | $ | (135.6 | ) | |||||
Basic net income (loss) per share | $ | (0.23 | ) | $ | 0.35 | $ | (0.05 | ) | $ | (0.63 | ) | |||||
Diluted net income (loss) per share | $ | (0.23 | ) | $ | 0.28 | $ | (0.05 | ) | $ | (0.63 | ) | |||||
For the Year December 31, 2013 | First | Second | Third | Fourth | ||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
Revenues | $ | 108.7 | $ | 117.8 | $ | 90.8 | $ | 117.1 | ||||||||
Net income (loss) | $ | 0.9 | $ | (19.2 | ) | $ | 13.8 | $ | (210.5 | ) | ||||||
Basic net income (loss) per share | $ | 0.01 | $ | (0.11 | ) | $ | 0.08 | $ | (1.24 | ) | ||||||
Diluted net income (loss) per share | $ | — | $ | (0.11 | ) | $ | 0.06 | $ | (1.24 | ) | ||||||
For the Year December 31, 2012 | First | Second | Third | Fourth | ||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
Revenues | $ | 113.6 | $ | 113.5 | $ | 74.9 | $ | 99.4 | ||||||||
Net income (loss) | $ | 1.1 | $ | (14.8 | ) | $ | (48.2 | ) | $ | (484.4 | ) | |||||
Basic net income (loss) per share | $ | 0.01 | $ | (0.09 | ) | $ | (0.29 | ) | $ | (2.87 | ) | |||||
Diluted net income (loss) per share | $ | 0.01 | $ | (0.09 | ) | $ | (0.29 | ) | $ | (2.87 | ) | |||||
Description_of_Business_Detail
Description of Business (Details) | 12 Months Ended |
Dec. 31, 2014 | |
Description of Business | |
Percentage of ownership interest in project | 75.00% |
Endako Mine | |
Description of Business | |
Percentage of ownership interest in project | 75.00% |
Berg Property | |
Description of Business | |
Percentage of interest in mineral properties | 100.00% |
Maze Lake | |
Description of Business | |
Percentage of interest in mineral properties | 100.00% |
Howards Pass Property | |
Description of Business | |
Percentage of interest in mineral properties | 10.20% |
Net smelter return royalty percent | 0.51% |
Significant_Accounting_Policie3
Significant Accounting Policies (Details) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jan. 01, 2014 |
Basis of Preparation and Principles of Consolidation | |||||
Percentage of ownership interest in project | 75.00% | 75.00% | |||
Increase to net income | $2.30 | $7.40 | |||
Increase to diluted earnings per share | $0.01 | $0.04 | |||
Accounts Receivable | |||||
Accounts receivable | 42 | 42 | 47.8 | ||
Obsolescence | |||||
Write-down for obsolete materials and supplies inventory | 2.8 | 2.4 | 0.2 | ||
Capitalized interest expense and financing fees | 4.1 | 75.2 | 52.3 | ||
Capitalized interest payments | -9.1 | -74.7 | -40.7 | ||
Debt Issuance Costs | |||||
Remaining unamortized issuance costs | 15.3 | 15.3 | 21.3 | ||
Employee Stock Purchase Plan | |||||
Debt Issuance Costs | |||||
Percentage of closing price at which common shares can be purchased | 85.00% | ||||
Trade accounts receivable | |||||
Accounts Receivable | |||||
Accounts receivable | 45.1 | 45.1 | 41.6 | ||
Other receivables | |||||
Accounts Receivable | |||||
Accounts receivable | 1 | 1 | 6.2 | ||
Canadian Harmonized Sales Tax | |||||
Accounts Receivable | |||||
Accounts receivable | 2 | 2 | 3.3 | ||
Langeloth Facility Receivables | |||||
Accounts Receivable | |||||
Accounts receivable | 0.9 | 0.9 | |||
Third Party Molybdenum | |||||
Accounts Receivable | |||||
Accounts receivable | 0.3 | 0.3 | |||
Hedge Funds | |||||
Accounts Receivable | |||||
Accounts receivable | 1.3 | 1.3 | |||
Mark-To-Market Adjustments | |||||
Accounts Receivable | |||||
Accounts receivable | ($3.50) | ($3.50) | $0.30 | ||
Facilities, mobile and other equipment | |||||
Basis of Preparation and Principles of Consolidation | |||||
Estimated useful lives (in years) | 3 years | ||||
Minimum | Mining properties and mineral reserves | |||||
Basis of Preparation and Principles of Consolidation | |||||
Estimated useful lives (in years) | 3 years 6 months | ||||
Minimum | Facilities, mobile and other equipment | |||||
Obsolescence | |||||
Declining-balance percentages used to depreciate property, plant and equipment | 10.00% | ||||
Minimum | Processing facilities | |||||
Basis of Preparation and Principles of Consolidation | |||||
Estimated useful lives (in years) | 2 years | ||||
Maximum | Mining properties and mineral reserves | |||||
Basis of Preparation and Principles of Consolidation | |||||
Estimated useful lives (in years) | 15 years | ||||
Maximum | Facilities, mobile and other equipment | |||||
Obsolescence | |||||
Declining-balance percentages used to depreciate property, plant and equipment | 50.00% | ||||
Maximum | Processing facilities | |||||
Basis of Preparation and Principles of Consolidation | |||||
Estimated useful lives (in years) | 20 years | ||||
Endako Mine | |||||
Basis of Preparation and Principles of Consolidation | |||||
Percentage of ownership interest in project | 75.00% | 75.00% |
Inventory_Details
Inventory (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Inventory [Line Items] | |||
Concentrate | $29.40 | $39.80 | |
Stockpiled ore | 8.3 | 4.8 | |
Copper and Gold Inventory | 37.7 | 44.6 | |
Finished product | 45 | 27.5 | |
Work-in-process | 13.5 | 28 | |
Stockpiled ore | 0.4 | 22 | |
Molybdenum Inventory | 58.9 | 77.5 | |
Product inventory | 96.6 | 122.1 | |
Product inventory write-downs | 25.5 | 57.8 | 73.8 |
Copper-Gold | Operating expense | |||
Inventory [Line Items] | |||
Product inventory write-downs | 0 | 20.2 | 0 |
Copper-Gold | Depreciation, depletion and amortization | |||
Inventory [Line Items] | |||
Product inventory write-downs | 0 | 2.1 | 0 |
Copper-Gold | Start-up costs | |||
Inventory [Line Items] | |||
Product inventory write-downs | 0 | 7.3 | 0 |
US Operations Molybdenum | Operating expense | |||
Inventory [Line Items] | |||
Product inventory write-downs | 2.1 | 0 | 14.4 |
US Operations Molybdenum | Depreciation, depletion and amortization | |||
Inventory [Line Items] | |||
Product inventory write-downs | 0.2 | 0 | 1.2 |
Canadian Operations Molybdenum | Operating expense | |||
Inventory [Line Items] | |||
Product inventory write-downs | 20.4 | 24.1 | 38.2 |
Canadian Operations Molybdenum | Depreciation, depletion and amortization | |||
Inventory [Line Items] | |||
Product inventory write-downs | $2.80 | $4.10 | $20 |
Property_Plant_Equipment_and_D2
Property, Plant, Equipment and Development, Net (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Property, plant and equipment | |||
Property, plant and equipment, gross | $2,427.80 | $2,659.30 | |
Less: Accumulated depreciation, depletion and amortization | -209.5 | -121.3 | |
Property, plant and equipment, net | 2,218.30 | 2,538 | |
Asset impairment related to the write down of property, plant, and equipment | 92 | 188 | 530.5 |
Mining properties and mineral reserves | |||
Property, plant and equipment | |||
Property, plant and equipment, gross | 703.7 | 768.6 | |
Mining and milling equipment and facilities | |||
Property, plant and equipment | |||
Property, plant and equipment, gross | 1,523.40 | 1,661.20 | |
Processing facilities | |||
Property, plant and equipment | |||
Property, plant and equipment, gross | 171.1 | 168.5 | |
Construction-in-progress | |||
Property, plant and equipment | |||
Property, plant and equipment, gross | 23.1 | 42.7 | |
Construction-in-progress | Mount Milligan Mine | |||
Property, plant and equipment | |||
Property, plant and equipment, gross | 19.2 | 33.2 | |
Construction-in-progress | Mt Milligan Phase Two Tailings Facility System [Member] | |||
Property, plant and equipment | |||
Property, plant and equipment, gross | 11.7 | ||
Construction-in-progress | Mt Milligan Other Items | |||
Property, plant and equipment | |||
Property, plant and equipment, gross | 7.5 | ||
Other | |||
Property, plant and equipment | |||
Property, plant and equipment, gross | $6.50 | $18.30 |
Asset_Impairments_Details
Asset Impairments (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Goodwill [Line Items] | |||
Asset impairments | $104.80 | $194.90 | $530.50 |
Impairment of Long-Lived Assets Held-for-use, Excluding Materials and Supplies Impairment | 92 | 188 | 530.5 |
Goodwill | 0 | 0 | 47 |
Asset Impairment Charges | 104.8 | 194.9 | 577.5 |
Endako Mine | |||
Goodwill [Line Items] | |||
Molybdenum, price per pound | 10 | 12 | |
US Operations Molybdenum | Property, plant, and equipment and development assets | |||
Goodwill [Line Items] | |||
Asset impairments | 0 | 127.8 | 0 |
US Operations Molybdenum | Materials and supplies | |||
Goodwill [Line Items] | |||
Asset impairments | 3.3 | 1.6 | 0 |
Canadian Operations Molybdenum | Property, plant, and equipment and development assets | |||
Goodwill [Line Items] | |||
Asset impairments | 66.7 | 59.4 | |
Canadian Operations Molybdenum | Materials and supplies | |||
Goodwill [Line Items] | |||
Asset impairments | 9.5 | 5.3 | 0 |
Exploration Properties and Other | |||
Goodwill [Line Items] | |||
Asset impairments | 25.3 | 0 | 0 |
Land | $0 | $0.80 | $0 |
Financial_Instruments_Location
Financial Instruments (Location and Fair Value of All Derivative Instruments) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Commodity contracts | ||||
Derivative fair value | ||||
Derivative assets | $1.80 | [1] | $0.20 | [1] |
Forward currency contracts | ||||
Derivative fair value | ||||
Derivative liabilities | $0.30 | [1] | $0 | [1] |
[1] | TCM's derivative assets are included in prepaid expenses and other current assets, and derivative liabilities are included in other current liabilities. TCM is exposed to credit risk when counterparties with which it has entered into derivative transactions are unable to satisfy their obligations. To reduce counterparty credit exposure, TCM deals primarily with large, credit-worthy financial institutions and companies and limits credit exposure to each. TCM believes the counterparties to the contracts to be credit-worthy entities and, therefore, TCM believes credit risk of counterparty non-performance is relatively low, and as such, the fair value of the derivatives has not been adjusted. |
Financial_Instruments_Derivati
Financial Instruments (Derivative Instruments for The Years) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Commodity contracts | Gold Hedge Sales related to Gold Stream Arrangement | |||
Derivative instruments, gain (loss) | |||
Gain (losses) on derivative instrument | ($1.30) | $0 | $0 |
Commodity contracts | Other | |||
Derivative instruments, gain (loss) | |||
Gain (losses) on derivative instrument | 4.8 | 1.6 | -2.5 |
Molybdenum hedges | Molybdenum sales | |||
Derivative instruments, gain (loss) | |||
Gain (losses) on derivative instrument | 0 | -0.1 | -0.4 |
Forward currency contracts | Gain (loss) on foreign exchange, net | |||
Derivative instruments, gain (loss) | |||
Gain (losses) on derivative instrument | -0.2 | 0 | -1.8 |
Common stock purchase warrant derivatives | Change in fair value of common stock purchase warrants | |||
Derivative instruments, gain (loss) | |||
Gain (losses) on derivative instrument | $0 | $0 | $1.80 |
Financial_Instruments_Forward_
Financial Instruments (Forward Commodity Contracts) (Details) (Commodity contracts) | 12 Months Ended |
Dec. 31, 2014 | |
oz | |
Gold Hedge Sales related to Gold Stream Arrangement | |
Derivative [Line Items] | |
Quantity (mass) | 6,461 |
Gold Hedge Sales related to Gold Stream Arrangement | Minimum | |
Derivative [Line Items] | |
Price ($/mass) | 1,192 |
Gold Hedge Sales related to Gold Stream Arrangement | Maximum | |
Derivative [Line Items] | |
Price ($/mass) | 1,213 |
Gold Hedge Purchases related to Gold Stream Arrangement | |
Derivative [Line Items] | |
Quantity (mass) | 31,060 |
Forward Gold Sales | |
Derivative [Line Items] | |
Quantity (mass) | 3,300 |
Price ($/mass) | 1,230 |
Forward Copper Sales | |
Derivative [Line Items] | |
Quantity (mass) | 7,716,100 |
Forward Copper Sales | Minimum | |
Derivative [Line Items] | |
Price ($/mass) | 3.05 |
Forward Copper Sales | Maximum | |
Derivative [Line Items] | |
Price ($/mass) | 3.19 |
Gold Collars | |
Derivative [Line Items] | |
Quantity (mass) | 22,000 |
Gold Collars | Minimum | |
Derivative [Line Items] | |
Price ($/mass) | 1,368 |
Put Price ($/mass) | 1,200 |
Gold Collars | Maximum | |
Derivative [Line Items] | |
Price ($/mass) | 1,368 |
Put Price ($/mass) | 1,225 |
Financial_Instruments_Provisio
Financial Instruments (Provisional, Fixed, Forwards Contracts, and Warrant Derivatives) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
shipment | contract | contract | |
Derivative [Line Items] | |||
Shipments of Cooper and Gold Concentrate | 12 | ||
Forward currency contracts | |||
Derivative [Line Items] | |||
Open foreign currency option contracts | 8 | 0 | 0 |
Notional Amount | 25,000,000 | ||
Buy Price | 1 | ||
Fixed-priced contracts-current | Supply Commitment | |||
Derivative [Line Items] | |||
Market price ($/lb) | 12.05 | ||
Quantity (000's lb) | 599,700 | ||
Minimum | Forward currency contracts | |||
Derivative [Line Items] | |||
Buy Price | 1.14 | ||
Maximum | Forward currency contracts | |||
Derivative [Line Items] | |||
Buy Price | 1.16 | ||
Short [Member] | Molybdenum | |||
Derivative [Line Items] | |||
Open Positions Pounds to be Sold/Purchased (lbs) | 68,600 | ||
Contract price ($/lb) | 9.38 | ||
Market price ($/lb) | 8.88 | ||
Short [Member] | Copper | |||
Derivative [Line Items] | |||
Open Positions Pounds to be Sold/Purchased (lbs) | 21,200,000 | ||
Short [Member] | Gold | |||
Derivative [Line Items] | |||
Open Positions Pounds to be Sold/Purchased (lbs) | 11,356 | ||
Long [Member] | Molybdenum | |||
Derivative [Line Items] | |||
Open Positions Pounds to be Sold/Purchased (lbs) | 380,000 | ||
Contract price ($/lb) | 7.8 | ||
Market price ($/lb) | 8.96 |
Fair_Value_Measurement_Details
Fair Value Measurement (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Fair value | ||
Financial liabilities | $846.90 | $902.30 |
Senior secured notes | ||
Fair value | ||
Financial liabilities | 393.2 | 397.2 |
Senior unsecured notes | ||
Fair value | ||
Financial liabilities | 453.3 | 492.4 |
tMEDS | ||
Fair value | ||
Financial liabilities | 0.4 | 12.7 |
Level 1 | ||
Fair value | ||
Financial liabilities | 0 | 0 |
Level 1 | Senior secured notes | ||
Fair value | ||
Financial liabilities | 0 | 0 |
Level 1 | Senior unsecured notes | ||
Fair value | ||
Financial liabilities | 0 | 0 |
Level 1 | tMEDS | ||
Fair value | ||
Financial liabilities | 0 | 0 |
Level 2 | ||
Fair value | ||
Financial liabilities | 846.5 | 889.6 |
Level 2 | Senior secured notes | ||
Fair value | ||
Financial liabilities | 393.2 | 397.2 |
Level 2 | Senior unsecured notes | ||
Fair value | ||
Financial liabilities | 453.3 | 492.4 |
Level 2 | tMEDS | ||
Fair value | ||
Financial liabilities | 0 | 0 |
Level 3 | ||
Fair value | ||
Financial liabilities | 0.4 | 12.7 |
Level 3 | Senior secured notes | ||
Fair value | ||
Financial liabilities | 0 | 0 |
Level 3 | Senior unsecured notes | ||
Fair value | ||
Financial liabilities | $0 | $0 |
Fair_Value_Measurement_Narrati
Fair Value Measurement (Narrative) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | 20-May-11 |
In Millions, unless otherwise specified | |||
9.75% Senior secured notes | |||
Fair value | |||
Interest rate stated percentage | 9.75% | 9.75% | |
Fair value of debt | $393.20 | $397.20 | |
7.375% Senior Unsecured Notes | |||
Fair value | |||
Interest rate stated percentage | 7.38% | 7.38% | 7.38% |
Fair value of debt | 273 | 297.7 | |
12.5% Senior unsecured notes | |||
Fair value | |||
Interest rate stated percentage | 12.50% | 12.50% | |
Fair value of debt | 180.3 | 194.7 | |
tMEDS | |||
Fair value | |||
Fair value of debt | $0.40 | $12.70 |
Fair_Value_Measurement_Details1
Fair Value Measurement (Details 1) (Level 3, USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Changes in fair value of Level 3 financial assets | ||
Balance at the beginning of the period | $12.70 | $27.80 |
Settlement and revaluation of tMEDS | -12.3 | -15.1 |
Balance at the end of the period | 0.4 | 12.7 |
Debt | ||
Changes in fair value of Level 3 financial assets | ||
Balance at the beginning of the period | 12.7 | 27.8 |
Settlement and revaluation of tMEDS | -12.3 | -15.1 |
Balance at the end of the period | $0.40 | $12.70 |
Leases_Details
Leases (Details) (USD $) | 12 Months Ended | ||||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 30, 2011 | |||
Debt Instrument [Line Items] | |||||||
Total long-term lease obligations | $45.70 | $68.70 | |||||
Total long-term lease obligations | 0 | [1] | 3.5 | [1] | 20.4 | [1] | |
Mount Milligan Mine | |||||||
Debt Instrument [Line Items] | |||||||
Cash received from sale of equipment | 37.8 | ||||||
Upfront payments | 4.6 | ||||||
Total long-term lease obligations | 33.2 | ||||||
Endako Mine | |||||||
Debt Instrument [Line Items] | |||||||
Cash received from sale of equipment | 5.3 | ||||||
Upfront payments | 1.4 | ||||||
Equipment Facility | |||||||
Debt Instrument [Line Items] | |||||||
Sale leaseback | 45.9 | 59.8 | |||||
Total lease obligations | 68.5 | 90.5 | |||||
Less: Current portion | -22.8 | -21.8 | |||||
Total long-term lease obligations | 45.7 | 68.7 | |||||
Total long-term lease obligations | 66.2 | 87 | |||||
Equipment Facility | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Term of borrowing under facility (in months) | 48 months | ||||||
Equipment Facility | Maximum | |||||||
Debt Instrument [Line Items] | |||||||
Term of borrowing under facility (in months) | 60 months | ||||||
Equipment Facility | Mount Milligan Mine | |||||||
Debt Instrument [Line Items] | |||||||
Total lease obligations | 20.3 | 27.2 | |||||
Maximum underwriting available under facility | 132 | ||||||
Equipment Facility | Endako Mine | |||||||
Debt Instrument [Line Items] | |||||||
Total lease obligations | $2.30 | $3.50 | |||||
Interest rate stated percentage | 5.85% | ||||||
Equipment Facility | Caterpillar | |||||||
Debt Instrument [Line Items] | |||||||
Number of leases | 3 | ||||||
Interest rate stated percentage | 5.50% | ||||||
Equipment Facility | Caterpillar | Sale Leaseback Transaction | |||||||
Debt Instrument [Line Items] | |||||||
Number of leases | 2 | ||||||
[1] | Excluded sale-leaseback capital leases. |
Leases_Interest_and_Debt_Issua
Leases (Interest and Debt Issuance Costs) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Debt Instrument [Line Items] | |||
Interest paid | $86.70 | $77.10 | $40.30 |
Interest and debt issuance costs capitalized | 4.1 | 71.5 | 50.4 |
Interest and debt issuance costs expensed | 87.3 | 22.2 | 12.8 |
Equipment loans | |||
Debt Instrument [Line Items] | |||
Interest paid | 4.6 | 4.7 | 1 |
Interest and debt issuance costs capitalized | 0 | 3.7 | 1.9 |
Interest and debt issuance costs expensed | $5 | $1.90 | $0 |
Leases_Lease_Payments_Details
Leases (Lease Payments) (Details) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
Leases [Abstract] | |
2015 | $22.80 |
2016 | 24.1 |
2017 | 18.9 |
2018 | 2.7 |
2019 | 0 |
Total future capital lease payments | $68.50 |
Leases_Operating_Leases_Detail
Leases (Operating Leases) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Leases [Abstract] | |||
2015 | $2.90 | ||
2016 | 2.5 | ||
2017 | 1.6 | ||
2018 | 0.4 | ||
2019 | 0.2 | ||
Thereafter | 0 | ||
Total future operating lease payments | 7.6 | ||
Rent expense | $0.50 | $0.70 | $0.60 |
Debt_Details
Debt (Details) (USD $) | 0 Months Ended | 12 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | ||||
Jun. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Nov. 27, 2012 | 20-May-11 | Dec. 31, 2014 | 11-May-12 | Dec. 08, 2010 | |
unit | |||||||||
Debt Instrument [Line Items] | |||||||||
Total debt | $876,200,000 | $922,300,000 | $876,200,000 | ||||||
Less: Current portion | -3,900,000 | -15,400,000 | -3,900,000 | ||||||
Total long-term debt | 872,300,000 | 906,900,000 | 872,300,000 | ||||||
Interest paid | 86,700,000 | 77,100,000 | 40,300,000 | ||||||
Interest capitalized | 4,100,000 | 71,500,000 | 50,400,000 | ||||||
Interest expensed | 87,300,000 | 22,200,000 | 12,800,000 | ||||||
Financing fees for issuance of debt | 0 | 0 | 22,000,000 | ||||||
Amortization of finance fees | 5,000,000 | 1,300,000 | 9,600,000 | ||||||
Gains (losses) on debt extinguishment | 2,200,000 | 0 | 0 | ||||||
Write off of deferred debt issuance cost | -300,000 | ||||||||
Aggregate maturities of outstanding borrowings | |||||||||
2015 | 3,900,000 | 3,900,000 | |||||||
2016 | 0 | 0 | |||||||
2017 | 350,000,000 | 350,000,000 | |||||||
2018 | 335,800,000 | 335,800,000 | |||||||
2019 | 188,600,000 | 188,600,000 | |||||||
Thereafter | 0 | 0 | |||||||
Total maturities | 878,300,000 | 878,300,000 | |||||||
Discount amortization on 2017 Notes | -2,100,000 | ||||||||
Total debt | 876,200,000 | 922,300,000 | 876,200,000 | ||||||
9.75% Senior Secured Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Total debt | 347,900,000 | 347,300,000 | 347,900,000 | ||||||
Interest rate stated percentage | 9.75% | 9.75% | 9.75% | ||||||
Principal amount | 350,000,000 | ||||||||
Proceeds received from issuance of debt | 336,800,000 | ||||||||
Financing fees for issuance of debt | 10,000,000 | ||||||||
Amortization of finance fees | 3,200,000 | ||||||||
Redemption price as percentage of principal amount of notes (as a percent) | 100.00% | ||||||||
Maximum percentage of the aggregate principal amount of notes redeemable with net proceeds of certain equity offerings (as a percent) | 35.00% | ||||||||
Redemption price as a percentage of principal amount with the net proceeds of equity offerings prior to a specified date (as a percent) | 109.75% | ||||||||
Default percentage required to payable | 25.00% | 25.00% | |||||||
Aggregate maturities of outstanding borrowings | |||||||||
Total debt | 347,900,000 | 347,300,000 | 347,900,000 | ||||||
7.375% Senior Unsecured Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Total debt | 335,800,000 | 350,000,000 | 335,800,000 | ||||||
Interest rate stated percentage | 7.38% | 7.38% | 7.38% | 7.38% | |||||
Principal amount | 350,000,000 | ||||||||
Proceeds received from issuance of debt | 339,900,000 | ||||||||
Financing fees for issuance of debt | 10,100,000 | ||||||||
Redemption price as percentage of principal amount of notes (as a percent) | 100.00% | ||||||||
Default percentage required to payable | 25.00% | 25.00% | |||||||
Debt repurchase | 14,200,000 | 14,200,000 | |||||||
Gains (losses) on debt extinguishment | 2,300,000 | ||||||||
Write off of deferred debt issuance cost | -300,000 | ||||||||
Aggregate maturities of outstanding borrowings | |||||||||
Total debt | 335,800,000 | 350,000,000 | 335,800,000 | ||||||
12.5% Senior Unsecured Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Total debt | 188,500,000 | 200,000,000 | 188,500,000 | ||||||
Interest rate stated percentage | 12.50% | 12.50% | 12.50% | ||||||
Principal amount | 200,000,000 | ||||||||
Proceeds received from issuance of debt | 193,100,000 | ||||||||
Financing fees for issuance of debt | 6,900,000 | ||||||||
Redemption price as percentage of principal amount of notes (as a percent) | 100.00% | ||||||||
Maximum percentage of the aggregate principal amount of notes redeemable with net proceeds of certain equity offerings (as a percent) | 35.00% | ||||||||
Redemption price as a percentage of principal amount with the net proceeds of equity offerings prior to a specified date (as a percent) | 112.50% | ||||||||
Default percentage required to payable | 25.00% | 25.00% | |||||||
Debt repurchase | 11,500,000 | 11,500,000 | |||||||
Gains (losses) on debt extinguishment | -200,000 | ||||||||
Write off of deferred debt issuance cost | -200,000 | ||||||||
Aggregate maturities of outstanding borrowings | |||||||||
Total debt | 188,500,000 | 200,000,000 | 188,500,000 | ||||||
tMEDS | |||||||||
Debt Instrument [Line Items] | |||||||||
Total debt | 1,200,000 | 19,400,000 | 1,200,000 | ||||||
Aggregate maturities of outstanding borrowings | |||||||||
Total debt | 1,200,000 | 19,400,000 | 1,200,000 | ||||||
Equipment loans | |||||||||
Debt Instrument [Line Items] | |||||||||
Total debt | 2,800,000 | 5,400,000 | 2,800,000 | ||||||
Interest paid | 4,600,000 | 4,700,000 | 1,000,000 | ||||||
Interest capitalized | 0 | 3,700,000 | 1,900,000 | ||||||
Interest expensed | 5,000,000 | 1,900,000 | 0 | ||||||
Aggregate maturities of outstanding borrowings | |||||||||
Total debt | 2,800,000 | 5,400,000 | 2,800,000 | ||||||
Other | |||||||||
Debt Instrument [Line Items] | |||||||||
Total debt | 0 | 200,000 | 0 | ||||||
Aggregate maturities of outstanding borrowings | |||||||||
Total debt | 0 | 200,000 | 0 | ||||||
Mobile mining equipment loans | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate stated percentage | 3.60% | 3.60% | |||||||
Principal amount | 12,800,000 | ||||||||
Number of units of mobile mining equipment purchased | 6 | ||||||||
Outstanding payable amount | $2,800,000 | $2,800,000 |
Gold_Stream_Arrangement_Detail
Gold Stream Arrangement (Details) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 12 Months Ended | ||||||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2011 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 11, 2014 | Aug. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | ||
shipment | oz | ||||||||||||||||||||
Arrangement disclosures | |||||||||||||||||||||
Proceeds from Gold | $0 | $111.90 | $305 | ||||||||||||||||||
Shipments of Cooper and Gold Concentrate | 12 | ||||||||||||||||||||
Gold sales | 172.3 | 5.6 | 0 | ||||||||||||||||||
Revenues | 168 | 229.3 | 248.4 | 161 | 117.1 | 90.8 | 117.8 | 108.7 | 99.4 | 74.9 | 113.5 | 113.6 | 806.7 | 434.4 | 401.4 | ||||||
Gold Stream deferred revenue | 721.1 | 759.4 | 721.1 | 759.4 | |||||||||||||||||
Gold Stream Amended and Restated Agreements | |||||||||||||||||||||
Arrangement disclosures | |||||||||||||||||||||
Gold sales | 31.2 | [1],[2] | 1 | [1],[2] | |||||||||||||||||
Revenues | 70.2 | [1],[2] | 2.3 | [1],[2] | |||||||||||||||||
Gold Stream Amended and Restated Agreements | Up-front Payment Arrangement | |||||||||||||||||||||
Arrangement disclosures | |||||||||||||||||||||
Gold sales | 39 | [2] | 1.3 | [2] | |||||||||||||||||
Gold Stream Amended and Restated Agreements | Gold Hedge Sales related to Gold Stream Arrangement | |||||||||||||||||||||
Arrangement disclosures | |||||||||||||||||||||
Deferred revenue recognized | 12 | 0.7 | |||||||||||||||||||
Gold Stream Amended and Restated Agreements | Gold Hedge Sales related to Gold Stream Arrangement | Up-front Payment Arrangement | |||||||||||||||||||||
Arrangement disclosures | |||||||||||||||||||||
Deferred revenue recognized | 19.2 | 0.8 | |||||||||||||||||||
Gold Stream Amended and Restated Agreements | Mount Milligan Mine | |||||||||||||||||||||
Arrangement disclosures | |||||||||||||||||||||
Percentage of payable gold to be sold per arrangement (as a percent) | 97.00% | 52.25% | |||||||||||||||||||
Aggregate Cash Deposits to be Received | 781.5 | ||||||||||||||||||||
Specified purchase price per ounce (in dollars per ounce) | 435 | ||||||||||||||||||||
Period for which cash deposit can be used for price differential | 50 years | ||||||||||||||||||||
Proceeds from Gold | 111.9 | 305 | 138.1 | 226.5 | |||||||||||||||||
Amendment restriction, ability to exceed assets secured | 350 | ||||||||||||||||||||
Refined gold sold (ounces) | 425,000 | ||||||||||||||||||||
Difference in excess of gold, actual price paid and market price | 280 | ||||||||||||||||||||
Conditional amendment restriction, ability to exceed assets secured | 50 | 25 | |||||||||||||||||||
Shipments of Cooper and Gold Concentrate | 12 | ||||||||||||||||||||
Period for gold delivery after provisional payment | 2 days | ||||||||||||||||||||
Gold Stream deferred revenue | $734.40 | $734.40 | |||||||||||||||||||
[1] | Consists of $19.2 million and $0.8 million of revenue which was previously deferred, for the years ended DecemberB 31, 2014 and 2013, respectively. Revenue ultimately to be recognized upon delivery of gold is $12.0 million and $0.7 million for the years ended DecemberB 31, 2014 and 2013, respectively. | ||||||||||||||||||||
[2] | Recognized revenue and related gold ounces based on provisional sales may be subject to adjustment upon final settlement. |
Tangible_Equity_Units_tMEDS_De
Tangible Equity Units ("tMEDS") (Details) (USD $) | 0 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | |||||||
In Millions, except Share data, unless otherwise specified | Jul. 18, 2014 | Jun. 30, 2014 | Jun. 20, 2014 | Jun. 24, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Nov. 11, 2012 | Nov. 09, 2012 | 21-May-14 | 11-May-12 |
Tangible Equity Units (tMEDS) | |||||||||||
tMEDS outstanding | 1,133,138 | 8,340,000 | |||||||||
Shares of common stock | 5.3879 | ||||||||||
tMEDS, common shares, exchange offer, per share amount | $1.25 | ||||||||||
Daily volume-weighted average price of common stock | $2.73 | ||||||||||
tMEDS exchanged | 7,206,862 | ||||||||||
tMEDS exchanged, percentage | 86.40% | ||||||||||
Delisting period | 10 days | ||||||||||
Settlements of tMEDS | $10.90 | ||||||||||
Principal payment | 1.2 | ||||||||||
(Gain) loss from debt extinguishment | -0.5 | 1.6 | 0 | 0 | |||||||
Write off of deferred debt issuance cost | 0.3 | ||||||||||
Fair value disclosure | 846.9 | 902.3 | |||||||||
Interest paid | 86.7 | 77.1 | 40.3 | ||||||||
Interest and debt issuance costs capitalized | 4.1 | 71.5 | 50.4 | ||||||||
Interest expensed | 92.3 | 24.1 | 12.8 | ||||||||
Common Stock | |||||||||||
Tangible Equity Units (tMEDS) | |||||||||||
Settlement of tMEDS exchange offer | 145.5 | ||||||||||
Additional Paid-in Capital | |||||||||||
Tangible Equity Units (tMEDS) | |||||||||||
Settlement of tMEDS exchange offer | -145.5 | ||||||||||
Tangible Equity Units | |||||||||||
Tangible Equity Units (tMEDS) | |||||||||||
Units issued | 8,800,000 | 8,800,000 | |||||||||
Unit price (in dollars per share) | $25 | ||||||||||
Write off of deferred debt issuance cost | 1.2 | ||||||||||
Fair value disclosure | 0.4 | ||||||||||
Unamortized deferred financing costs | 0 | 0.6 | |||||||||
Interest paid | 1.3 | 3.1 | |||||||||
Interest and debt issuance costs capitalized | 0.1 | 2.7 | |||||||||
Interest expensed | 1.2 | 0.6 | |||||||||
Tangible Equity Units | Common Stock | |||||||||||
Tangible Equity Units (tMEDS) | |||||||||||
Settlement of tangible equity units (in shares) | 42,130,000 | 2,109,000 | |||||||||
Tangible Equity Units | Additional Paid-in Capital | |||||||||||
Tangible Equity Units (tMEDS) | |||||||||||
Settlement of tMEDS exchange offer | $0.20 | ||||||||||
Equity Component | |||||||||||
Tangible Equity Units (tMEDS) | |||||||||||
Settlement rate (in shares) | 4.5855 | 4.3562 | |||||||||
Percentage of minimum settlement rate | 95.00% | ||||||||||
Issuance of tangible equity units (in shares) | 9,300,000 | 42,129,829 | 2,109,330 | ||||||||
Settlement of tangible equity units (in shares) | 460,000 |
Asset_Retirement_Obligations_D
Asset Retirement Obligations (Details) (USD $) | 12 Months Ended | 0 Months Ended | ||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 18, 2014 | Dec. 31, 2011 | |
Changes in Asset Retirement Obligations | ||||||
At | $43.80 | $36.60 | $32.80 | |||
Additions/Revisions | -10.2 | [1] | 5.7 | 1.4 | ||
Accretion | -3.6 | -2.4 | -2.3 | |||
Foreign exchange | -1.9 | -0.9 | 0.1 | |||
At | 35.3 | 43.8 | 36.6 | |||
Reclamation financial assurance for mine closure obligations | 78.6 | 81.8 | ||||
Reclamation cash deposits | 10.3 | 7.4 | ||||
Cash collateral previously provided to ACE | 7.1 | 28.1 | 0 | |||
Mt. Milligan Mine | ||||||
Asset Retirement Obligations | ||||||
Joint venture ownership interest percentage | 75.00% | |||||
Changes in Asset Retirement Obligations | ||||||
At | 3.1 | 4.3 | 1.3 | |||
Additions/Revisions | -0.7 | [1] | -1.2 | 2.8 | ||
Accretion | -0.4 | -0.2 | -0.2 | |||
Foreign exchange | -0.3 | -0.2 | 0 | |||
At | 2.5 | 3.1 | 4.3 | |||
Security deposit required by British Columbia Ministry of Energy Mines and Petroleum Resources for the entire project | 25.9 | 28.2 | ||||
Aggregate inflated and undiscounted reclamation costs for the entire project | 43.1 | 45.6 | ||||
Mt. Milligan Mine | Minimum | ||||||
Changes in Asset Retirement Obligations | ||||||
Estimated future reclamation costs discounted rate (as a percent) | 11.00% | |||||
Mt. Milligan Mine | Maximum | ||||||
Changes in Asset Retirement Obligations | ||||||
Estimated future reclamation costs discounted rate (as a percent) | 13.90% | |||||
Thompson Creek Mine | ||||||
Asset Retirement Obligations | ||||||
Joint venture ownership interest percentage | 0.00% | |||||
Changes in Asset Retirement Obligations | ||||||
At | 21.5 | 21.5 | 23.1 | |||
Additions/Revisions | -9.2 | [1] | -1.3 | -3.1 | ||
Accretion | -1.5 | -1.3 | -1.5 | |||
Foreign exchange | 0 | |||||
At | 13.8 | 21.5 | 21.5 | |||
Reclamation financial assurance for mine closure obligations | 42.4 | |||||
Aggregate inflated and undiscounted reclamation costs for the entire project | 44.6 | 43.7 | ||||
Thompson Creek Mine | Minimum | ||||||
Changes in Asset Retirement Obligations | ||||||
Estimated future reclamation costs discounted rate (as a percent) | 6.70% | |||||
Thompson Creek Mine | Maximum | ||||||
Changes in Asset Retirement Obligations | ||||||
Estimated future reclamation costs discounted rate (as a percent) | 12.00% | |||||
Endako Mine | ||||||
Asset Retirement Obligations | ||||||
Joint venture ownership interest percentage | 75.00% | |||||
Changes in Asset Retirement Obligations | ||||||
At | 18.9 | 10.5 | 8.1 | |||
Additions/Revisions | -0.3 | [1] | 8.2 | 1.7 | ||
Accretion | -1.7 | -0.9 | -0.6 | |||
Foreign exchange | -1.6 | -0.7 | 0.1 | |||
At | 18.7 | 18.9 | 10.5 | |||
Security deposit required by British Columbia Ministry of Energy Mines and Petroleum Resources for the entire project | 13.2 | 14.4 | ||||
Security deposit required by British Columbia Ministry of Energy Mines and Petroleum Resources - reporting entity's proportionate share | 9.9 | 10.8 | ||||
Aggregate inflated and undiscounted reclamation costs - reporting entity's share | 35.6 | 32.7 | ||||
Endako Mine | Minimum | ||||||
Changes in Asset Retirement Obligations | ||||||
Estimated future reclamation costs discounted rate (as a percent) | 2.94% | |||||
Endako Mine | Maximum | ||||||
Changes in Asset Retirement Obligations | ||||||
Estimated future reclamation costs discounted rate (as a percent) | 13.86% | |||||
Davidson Property | ||||||
Asset Retirement Obligations | ||||||
Joint venture ownership interest percentage | 0.00% | |||||
Changes in Asset Retirement Obligations | ||||||
At | 0.3 | 0.3 | 0.3 | |||
Additions/Revisions | 0 | [1] | ||||
Accretion | 0 | |||||
Foreign exchange | 0 | |||||
At | 0.3 | 0.3 | 0.3 | |||
Aggregate inflated and undiscounted reclamation costs for the entire project | 0.3 | 0 | ||||
Aggregate inflated and undiscounted reclamation costs - reporting entity's share | 0 | |||||
ACE Group | ||||||
Changes in Asset Retirement Obligations | ||||||
Cash collateral paid | 7.1 | |||||
Percent of total annual fees of the total reclamation bond guarantee | 1.70% | |||||
Cash collateral previously provided to ACE | 7.1 | |||||
Berg Property | ||||||
Changes in Asset Retirement Obligations | ||||||
Security deposit required by British Columbia Ministry of Energy Mines and Petroleum Resources for the entire project | 0.1 | |||||
Depreciation, depletion and amortization | ||||||
Changes in Asset Retirement Obligations | ||||||
Revision to asset retirement obligation | $6.20 | [1] | ||||
[1] | At December 31, 2014 the downward revision to the asset retirement obligation at TC Mine resulted in a $6.2 million decrease to depreciation, depletion and amortization in the Consolidated Statements of Operations and Comprehensive Income (Loss). |
Employee_Benefits_Deferred_Com
Employee Benefits (Deferred Compensation) (Details) (USD $) | 12 Months Ended | ||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2014 | Jun. 30, 2013 |
Deferred compensation | |||||
Deferred Compensation Arrangement, Retention Benefits Paid | $2.90 | $13.50 | $3.60 | ||
Deferred compensation arrangement, current eligible retention, percent | 100.00% | 100.00% | |||
Deferred compensation arrangement, severance and retention, recorded liability | 0 | 1 | |||
Liability related to deferred compensation program included in other liabilities | 1.5 | 5.4 | |||
Expense | 7.2 | 6 | 7 | ||
Thompson Creek Mine | |||||
Deferred compensation | |||||
Deferred compensation arrangement with Individual, recorded liability | $0.20 |
Employee_Benefits_Defined_Cont
Employee Benefits (Defined Contribution Pension Plans) (Details) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
401(k) Savings Plan | 401(k) Savings Plan | 401(k) Savings Plan | Endako Plan | Endako Plan | Endako Plan | |
USD ($) | USD ($) | USD ($) | CAD | CAD | CAD | |
Defined Contribution Pension Plans | ||||||
Company contributions | $1.70 | $1.80 | $2 | 2.7 | 2.4 | 1.7 |
Proportionate share of contributions recorded by the company (as a percent) | 75.00% |
Employee_Benefits_Postretireme
Employee Benefits (Postretirement Benefits) (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Postretirement Benefits | ||
Age of eligible retired employee at which benefit ceases (in years) | 65 years | |
Change in benefit obligations: | ||
Net benefit obligation at beginning of year | $3.20 | $3.30 |
(Gain) loss | 0.6 | -0.5 |
Service cost | 0.3 | 0.4 |
Interest cost | 0.1 | 0.1 |
Benefits paid | -0.2 | -0.1 |
Net benefit obligation at the end of the year | 4 | 3.2 |
Components of net periodic benefit costs | ||
Assumptions used to determine the benefit obligations, discount rate (as a percent) | 3.80% | |
Net periodic benefit costs | $0.40 | |
Health care cost trend assumed (as a percent) | 7.00% | |
Annual health care cost trend rate, reduction (as a percent) | 0.25% | |
Health care cost trend rate, reduction (as a percent) | 0.50% | |
Ultimate health care cost trend rate (as a percent) | 4.50% |
Employee_Benefits_Expected_Pos
Employee Benefits (Expected Postretirement Medical Benefits) (Details) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
Compensation and Retirement Disclosure [Abstract] | |
2015 | $0.10 |
2016 | 0.1 |
2017 | 0.2 |
2018 | 0.2 |
2019 | 0.3 |
2020-2024 | $1.70 |
Employee_Benefits_Employee_Sto
Employee Benefits (Employee Stock Purchase Plan) (Details) (USD $) | 0 Months Ended | 6 Months Ended | 12 Months Ended | |||
13-May-14 | Jun. 30, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | 13-May-14 | |
offering_period | ||||||
Stock-based compensation cost charged against earnings | ||||||
Stock-based compensation expense | $5,800,000 | $5,400,000 | $6,300,000 | |||
Employee Stock Purchase Plan | ||||||
Stock-based compensation cost charged against earnings | ||||||
Percentage of closing price at which common shares can be purchased | 85.00% | |||||
Shares available for issuance | 2,000,000 | |||||
Number of offering periods | 4 | |||||
Length of offering period | 3 years | |||||
Limit on employee, maximum accrued common stock amount | 25,000 | 25,000 | ||||
Maximum number of shares per employee | 5,000 | |||||
Maximum number of shares per employee per year | 20,000 | |||||
Number of shares available for purchases | 2,054,117 | |||||
Estimated fair value of employee options offer to purchase (in dollars per share) | $0.75 | |||||
Stock-based compensation expense | $200,000 | $200,000 | $400,000 | |||
Number of shares issued under the Employee Stock Purchase Plan (ESPP) | 160,952 |
Shareholders_Equity_Details
Shareholders' Equity (Details) (USD $) | 12 Months Ended | 24 Months Ended | |||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | 11-May-12 |
Additional Paid-in Capital | |||||
Shareholders' Equity | |||||
Net proceeds from equity offering | $177.70 | ||||
tMEDS | |||||
Shareholders' Equity | |||||
Units issued | 8,800,000 | 8,800,000 | |||
Net proceeds from equity offering | 177.7 | ||||
tMEDS | Additional Paid-in Capital | |||||
Shareholders' Equity | |||||
Net proceeds from equity offering | $177.70 | ||||
Terrane | |||||
Shareholders' Equity | |||||
Number of shares issued | 42,129,828 | 2,109,330 | 44,239,158 |
StockBased_Compensation_Detail
Stock-Based Compensation (Details) (USD $) | 12 Months Ended | 1 Months Ended | |||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Nov. 21, 2013 | |||
Share-based compensation disclosures | |||||||
Stock-based compensation expense | $5.80 | $5.40 | $6.30 | ||||
Options not vested and not exercisable (in shares) | 700,000 | ||||||
Total compensation cost related to these non-vested awards not yet recognized (in dollars) | 0.6 | ||||||
Weighted average period over which compensation cost related to non-vested awards is expected to be recognized (in years) | 2 years 2 months 12 days | ||||||
Number of awards vested and exercisable (in shares) | 600,000 | ||||||
Aggregate intrinsic value of exercisable awards | 0 | ||||||
LTIP | |||||||
Share-based compensation disclosures | |||||||
Number of common shares available for awards | 11,000,000 | ||||||
Stock Options | |||||||
Share-based compensation disclosures | |||||||
Vesting period | 3 years | ||||||
Expiration period | 5 years | ||||||
Stock-based compensation expense | 0.4 | 0.6 | 1 | ||||
Stock options activity | |||||||
Stock options outstanding at (in shares) | 2,580,000 | 2,459,000 | 2,989,000 | ||||
Granted (in shares) | 423,000 | 779,000 | 254,000 | ||||
Exercised (in shares) | -11,000 | -35,000 | |||||
Canceled/expired/surrendered (in shares) | -1,606,000 | -658,000 | -749,000 | ||||
Stock options outstanding at (in shares) | 1,386,000 | 2,580,000 | 2,459,000 | ||||
Weighted-Average Exercise Price | |||||||
Stock options outstanding at the beginning of period (in US dollars per share) | $8.86 | [1] | $11.50 | [1] | $12.29 | [1] | |
Granted (in US dollars per share) | $2.64 | [1] | $3.13 | [1] | $4.50 | [1] | |
Exercised (in US dollars per share) | $2.70 | [1] | $6.02 | [1] | |||
Canceled/expired/surrendered (in US dollars per share) | $11.44 | [1] | $11.95 | [1] | $12.52 | [1] | |
Stock options outstanding at (in US dollars per share) | $4.04 | [1] | $8.86 | [1] | $11.50 | [1] | |
Aggregate Intrinsic value | |||||||
Stock options outstanding at (in US dollars) | 0.2 | [1] | 0.2 | [1] | 1 | [1] | |
Stock options outstanding at (in US dollars) | 0 | [1] | 0.2 | [1] | 0.2 | [1] | |
Weighted-average fair value of stock options on the date of grant, and the assumptions used to estimate the fair value of the stock options using the Black-Scholes option valuation model | |||||||
Weighted-average fair value of options granted | $1.48 | [2] | $1.02 | [2] | $1.63 | [2] | |
Expected volatility | 53.50% | 52.50% | 50.90% | ||||
Expected life (years) | 2 years 8 months 23 days | 2 years 8 months 23 days | 2 years 9 months 18 days | ||||
Risk-free interest rate | 0.70% | 0.40% | 0.40% | ||||
Expected dividend yield | 0.00% | 0.00% | 0.00% | ||||
Stock Options | Maximum | |||||||
Share-based compensation disclosures | |||||||
Exercisable period | 10 years | ||||||
Stock Options | Chief Executive Officer | |||||||
Share-based compensation disclosures | |||||||
Expiration period | 5 years | ||||||
Stock options activity | |||||||
Granted (in shares) | 400,000 | ||||||
Performance Share Units | |||||||
Share-based compensation disclosures | |||||||
Maximum number of shares that may be issued under the previous stock option plan | 3,305,345 | ||||||
Vesting period | 3 years | ||||||
Expiration period | 3 years | ||||||
Number of performance metrics for vesting to occur | 2 | ||||||
Performance period | 3 years | ||||||
Stock-based compensation expense | 2.7 | 2.3 | 2.5 | ||||
Total compensation cost related to these non-vested awards not yet recognized (in dollars) | 4.2 | ||||||
Weighted average period over which compensation cost related to non-vested awards is expected to be recognized (in years) | 2 years 2 months 12 days | ||||||
Stock units activity | |||||||
Outstanding at (in shares) | 1,225,000 | 845,000 | 495,000 | ||||
Granted (in shares) | 1,426,000 | 948,000 | 381,000 | ||||
Cancelled/expired/forfeited | -731,000 | -568,000 | -31,000 | ||||
Outstanding at (in shares) | 1,920,000 | 1,225,000 | 845,000 | ||||
Weighted-Average Award Price | |||||||
Outstanding at (in dollars per share) | $7.88 | $11.95 | $11.91 | ||||
Granted (in dollars per share) | $3.37 | $4.21 | $12.01 | ||||
Cancelled/expired/forfeited (in dollars per share) | $7.98 | $7.69 | $12.01 | ||||
Outstanding at (in dollars per share) | $4.59 | $7.88 | $11.95 | ||||
Restricted Stock Units | |||||||
Share-based compensation disclosures | |||||||
Maximum number of shares that may be issued under the previous stock option plan | 3,021,973 | ||||||
Vesting period | 3 years | ||||||
Stock-based compensation expense | 2.4 | 2.5 | 2.4 | ||||
Total compensation cost related to these non-vested awards not yet recognized (in dollars) | $2.80 | ||||||
Weighted average period over which compensation cost related to non-vested awards is expected to be recognized (in years) | 1 year 10 months 24 days | ||||||
Stock units activity | |||||||
Outstanding at (in shares) | 1,346,000 | 534,000 | 306,000 | ||||
Granted (in shares) | 935,000 | 1,266,000 | 413,000 | ||||
Vested and common shares issued (in shares) | -551,000 | -201,000 | -72,000 | ||||
Cancelled/expired/forfeited | -275,000 | -253,000 | -113,000 | ||||
Outstanding at (in shares) | 1,455,000 | 1,346,000 | 534,000 | ||||
Weighted-Average Award Price | |||||||
Outstanding at (in dollars per share) | $4.23 | $9.30 | $10.33 | ||||
Granted (in dollars per share) | $2.76 | $2.52 | $8.82 | ||||
Vested and common shares issued (in dollars per share) | $4.65 | $9.41 | $10.12 | ||||
Cancelled/expired/forfeited (in dollars per share) | $3.84 | $5.58 | $9.62 | ||||
Outstanding at (in dollars per share) | $3.20 | $4.23 | $9.30 | ||||
Restricted Stock Units | Chief Executive Officer | |||||||
Share-based compensation disclosures | |||||||
Maximum number of shares that may be issued under the previous stock option plan | 300,000 | ||||||
[1] | The weighted-average exercise price of options outstanding is shown in US dollars as the majority of the options granted starting in 2011 have a strike price denominated in US dollars. Options with a Canadian dollar strike price have been converted to US dollars for disclosure purposes using the exchange rates on the respective date of grant. | ||||||
[2] | The weighted-average exercise price of options granted is shown in US dollars as the majority of the options granted starting in 2011 have a strike price denominated in US dollars. Options with a Canadian dollar strike price have been converted to US dollars for disclosure purposes using the exchange rates on the respective date of grant. |
StockBased_Compensation_Stock_
Stock-Based Compensation (Stock Options Outstanding and Exercisable) (Details) (USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | |
1.42 - 5.83 | ||
Information about stock options outstanding and exercisable | ||
Exercise price, low end of range (in US dollars per share) | $1.42 | |
Exercise price, high end of range (in US dollars per share) | $5.83 | |
Options Outstanding | ||
Number Outstanding (in shares) | 1,216 | |
Weighted Average Exercise Price (in US dollars per share) | $3.13 | [1] |
Weighted Average Remaining Contractual Life (in years) | 3 years 9 months 18 days | |
Options Exercisable | ||
Number Outstanding (in shares) | 474 | |
Weighted Average Exercise Price (in US dollars per share) | $3.63 | [1] |
Weighted Average Remaining Contractual Life (in years) | 3 years 3 months 18 days | |
6.02 - 10.64 | ||
Information about stock options outstanding and exercisable | ||
Exercise price, low end of range (in US dollars per share) | $6.02 | |
Exercise price, high end of range (in US dollars per share) | $10.64 | |
Options Outstanding | ||
Number Outstanding (in shares) | 86 | |
Weighted Average Exercise Price (in US dollars per share) | $9.01 | [1] |
Weighted Average Remaining Contractual Life (in years) | 1 year 1 month 6 days | |
Options Exercisable | ||
Number Outstanding (in shares) | 86 | |
Weighted Average Exercise Price (in US dollars per share) | $9.01 | [1] |
Weighted Average Remaining Contractual Life (in years) | 1 year 1 month 6 days | |
11.88 - 14.04 | ||
Information about stock options outstanding and exercisable | ||
Exercise price, low end of range (in US dollars per share) | $11.88 | |
Exercise price, high end of range (in US dollars per share) | $14.04 | |
Options Outstanding | ||
Number Outstanding (in shares) | 84 | |
Weighted Average Exercise Price (in US dollars per share) | $12.14 | [1] |
Weighted Average Remaining Contractual Life (in years) | 7 months 6 days | |
Options Exercisable | ||
Number Outstanding (in shares) | 84 | |
Weighted Average Exercise Price (in US dollars per share) | $12.14 | [1] |
Weighted Average Remaining Contractual Life (in years) | 7 months 6 days | |
[1] | The weighted-average exercise price of options outstanding is shown in US dollars as the majority of the options granted starting in 2011 have a strike price denominated in US dollars. Options with a Canadian dollar strike price have been converted to US dollars for disclosure purposes using the exchange rates on the respective date of grant. |
StockBased_Compensation_Charge
Stock-Based Compensation (Charged Against Earnings) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Stock-based compensation cost charged against earnings | |||
Total stock-based compensation | $5.80 | $5.60 | $6.30 |
Stock-based compensation expense | 5.4 | 5.4 | 5.7 |
US tax benefit | -1.7 | -1.5 | -1.5 |
Impact on net income (loss) | 3.7 | 3.9 | 4.2 |
Product Inventory | |||
Stock-based compensation cost charged against earnings | |||
Amount capitalized | -0.1 | 0.1 | -0.1 |
Mount Milligan Mine | |||
Stock-based compensation cost charged against earnings | |||
Amount capitalized | ($0.30) | ($0.30) | ($0.50) |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (USD $) | 12 Months Ended | 1 Months Ended | ||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2018 | Dec. 31, 2017 | Feb. 28, 2015 |
agreements | T | T | T | T | agreements | |
Commitments and Contingencies | ||||||
Number of concentrate sales agreements | 3 | |||||
Mount Milligan Mine | ||||||
Commitments and Contingencies | ||||||
Open purchase orders, contracts and capital purchase commitments | 0.5 | |||||
Molybdenum purchases | ||||||
Commitments and Contingencies | ||||||
Purchase commitment from 2015 to 2017 | 14,800,000 | |||||
Fixed-Priced Contracts | Molybdenum sales | ||||||
Commitments and Contingencies | ||||||
Sale commitment during 2015 | 599,700 | |||||
Sale commitment average price | 12.05 | |||||
Scenario, Forecast | Three Copper Concentrate Sales Contracts | ||||||
Commitments and Contingencies | ||||||
Number of dry metric tons agreed to sell | 120,000 | 120,000 | ||||
Scenario, Forecast | One Copper Concentrate Sales Contract | ||||||
Commitments and Contingencies | ||||||
Number of dry metric tons agreed to sell | 40,000 | |||||
Scenario, Forecast | Fourth Concentrate Sales Agreement | ||||||
Commitments and Contingencies | ||||||
Number of dry metric tons agreed to sell | 20,000 | 20,000 | 40,000 | 40,000 | ||
Subsequent Event | ||||||
Commitments and Contingencies | ||||||
Number of concentrate sales agreements | 4 |
Exploration_Details
Exploration (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Exploration | |||
Exploration expenses | $0.90 | $1.40 | $2.20 |
Berg Property | |||
Exploration | |||
Exploration expenses | 0.2 | 0.6 | 1.1 |
TC Mine | |||
Exploration | |||
Exploration expenses | 0.1 | 0.1 | 0.2 |
Endako Mine | |||
Exploration | |||
Exploration expenses | 0 | 0 | 0.3 |
Mount Milligan Mine | |||
Exploration | |||
Exploration expenses | 0.3 | 0.1 | 0.1 |
Davidson Property | |||
Exploration | |||
Exploration expenses | 0 | 0.6 | 0.5 |
Maze Lake | |||
Exploration | |||
Exploration expenses | $0.30 | $0 | $0 |
Income_and_Mining_Tax_Expense_2
Income and Mining Tax Expense (Benefit) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income (loss) from continuing operations before income taxes | |||
Canada | ($248.30) | ($249) | ($630.70) |
United States | 102.4 | -29.4 | -26.7 |
Income (loss) before income and mining taxes | -145.9 | -278.4 | -657.4 |
Current | |||
Canada | 3.2 | 0.6 | -6.4 |
United States | 12.2 | 13.3 | 1 |
Total current income tax expenses | 15.4 | 13.9 | -5.4 |
Deferred | |||
Canada | -36 | -32.7 | -99 |
United States | -1.1 | -44.6 | -6.7 |
Total deferred income tax expenses | -37.1 | -77.3 | -105.7 |
Total income and mining tax expense (benefit) | -21.7 | -63.4 | -111.1 |
Reconciliation of income and mining taxes to the amount that would result from applying the Canadian federal and provincial income tax rates to earnings before income taxes | |||
(Loss) income before income and mining taxes | -145.9 | -278.4 | -657.4 |
Combined Canadian federal and provincial income tax rates | 26.00% | 25.80% | 25.00% |
Income taxes based on above rates | -37.9 | -71.8 | -164.4 |
Increase (decrease) to income taxes due to: | |||
Unrealized (gain) loss on warrants | 0 | 0 | -0.4 |
Difference in foreign statutory tax rates | 10.5 | -3.2 | -3.2 |
Provincial and state mining and franchise taxes | -0.5 | -5.6 | -20.6 |
Change in tax positions | -7.4 | 0 | 0 |
Non-deductible expenses | 4.8 | 3.9 | 1.6 |
Non-taxable income | -6.4 | -4.6 | -0.2 |
Asset impairments and other charges | 0 | 0 | 16.7 |
Tax credits | 0 | 0.3 | -0.5 |
Foreign tax differences | -10.2 | -10.2 | -10.3 |
Depletion allowance | -16.1 | -19.1 | -9.4 |
Domestic production allowance | -1.2 | -0.1 | 0 |
Unrealized foreign exchange gain on translation of investments | 3.3 | 2.4 | -0.8 |
Change in valuation allowance | 39 | 40.8 | 84.1 |
Impact of change in tax on future income and mining taxes | 0 | 2.1 | -0.8 |
Foreign exchange on deferred remeasurement | -1.1 | 0.5 | 0 |
Out-of-period adjustment | 0 | 0 | -1.8 |
Equity based compensation | 1.2 | 1.3 | 0 |
Other | 0.3 | -0.1 | -1.1 |
Total income and mining tax expense (benefit) | -21.7 | -63.4 | -111.1 |
Income and mining tax (benefit) expense | 21.7 | 63.4 | 111.1 |
Deferred tax assets: | |||
Working capital | 5.4 | 2.4 | |
Tax losses and credits carried forward | 157.5 | 192.7 | |
Property, plant, equipment and development | 288.2 | 255.5 | |
Asset retirement obligations | 4 | 3.5 | |
Deferred compensation | 1.8 | 3.1 | |
Gold Stream deferred revenue | 37.4 | 12.3 | |
Unrealized foreign exchange losses | 25.6 | 11.7 | |
Other deductible temporary differences | 4.1 | 7 | |
Deferred tax assets | 524 | 488.2 | |
Valuation allowances | -279.4 | -246.5 | |
Net deferred tax assets, net of valuation allowance | 244.6 | 241.7 | |
Deferred tax liabilities: | |||
Inventory | -16.6 | -17.1 | |
Other taxable temporary differences-current | -0.7 | -1 | |
Property, plant, equipment and development | -204.5 | -233.9 | |
Other taxable temporary differences-non-current | -0.2 | -0.3 | |
Total deferred tax liabilities | -233.4 | -255.3 | |
Net deferred tax assets (liabilities) | 11.2 | -13.6 | |
ASSETS | |||
Deferred income tax assets (Note 18) | 0.1 | 2.8 | |
Current Assets | 448.6 | 498.8 | |
Deferred income tax assets | 128 | 134.6 | |
Assets | 2,846.30 | 3,208.70 | |
Liabilities | |||
Deferred income tax liabilities | 14.1 | 17.2 | |
Current liabilities | 176.4 | 183.4 | |
Deferred income tax liabilities | 102.8 | 133.8 | |
Liabilities | 1,958.80 | 2,102.50 | |
Total liabilities and equity | 2,846.30 | 3,208.70 | |
Unrecognized Tax Benefits | |||
Balance as of | 0 | ||
Additions for tax positions of prior years | 3.1 | ||
Settlements | 0 | ||
Lapse of statute of limitations | 0 | ||
Balance as of | 3.1 | 0 | |
Unrecognized tax benefits that would affect the effective tax rate on income from continuing operations | 2 | ||
Loss carry forwards available for tax purposes | 232.1 | ||
Credit carry forwards available for tax purposes | 101.8 | ||
Investments in foreign subsidiaries for which deferred taxes have not been provided | 1,233.50 | 1,232.40 | |
Deferred Tax Liabilities, Unrealized Currency Transaction Gains | -11.4 | -3 | |
As Previously Reported | |||
ASSETS | |||
Deferred income tax assets (Note 18) | 0 | ||
Current Assets | 496 | ||
Deferred income tax assets | 14.2 | ||
Assets | 3,085.50 | ||
Liabilities | |||
Deferred income tax liabilities | 14.4 | ||
Current liabilities | 180.6 | ||
Deferred income tax liabilities | 13.4 | ||
Liabilities | 1,979.30 | ||
Total liabilities and equity | 3,085.50 | ||
Adjustment | |||
ASSETS | |||
Deferred income tax assets (Note 18) | 2.8 | ||
Current Assets | 2.8 | ||
Deferred income tax assets | 120.4 | ||
Assets | 123.2 | ||
Liabilities | |||
Deferred income tax liabilities | 2.8 | ||
Current liabilities | 2.8 | ||
Deferred income tax liabilities | 120.4 | ||
Liabilities | 123.2 | ||
Total liabilities and equity | 123.2 | ||
As Revised | |||
ASSETS | |||
Deferred income tax assets (Note 18) | 2.8 | ||
Current Assets | 498.8 | ||
Deferred income tax assets | 134.6 | ||
Assets | 3,208.70 | ||
Liabilities | |||
Deferred income tax liabilities | 17.2 | ||
Current liabilities | 183.4 | ||
Deferred income tax liabilities | 133.8 | ||
Liabilities | 2,102.50 | ||
Total liabilities and equity | $3,208.70 |
Net_Income_Loss_per_Share_Deta
Net Income (Loss) per Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2011 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Reconciliation of Net (Loss) Income and Weighted-Average Common Shares Outstanding: | |||||||||||||||
Net income (loss) | ($135.60) | ($11.10) | $61.60 | ($39.10) | ($210.50) | $13.80 | ($19.20) | $0.90 | ($484.40) | ($48.20) | ($14.80) | $1.10 | ($124.20) | ($215) | ($546.30) |
Basic weighted-average number of shares outstanding | 193.7 | 171.1 | 168.4 | ||||||||||||
Effect of dilutive securities | |||||||||||||||
Common stock warrants (in shares) | 0 | 0 | 0 | ||||||||||||
Share based awards (in shares) | 0 | 0 | 0 | ||||||||||||
tMEDS (in shares) | 0 | 0 | 0 | ||||||||||||
Diluted weighted-average number of shares outstanding (in shares) | 193.7 | 171.1 | 168.4 | ||||||||||||
Net income (loss) per share | |||||||||||||||
Basic (in dollars per share) | ($0.63) | ($0.05) | $0.35 | ($0.23) | ($1.24) | $0.08 | ($0.11) | $0.01 | ($2.87) | ($0.29) | ($0.09) | $0.01 | ($0.64) | ($1.26) | ($3.24) |
Diluted (in dollars per share) | ($0.63) | ($0.05) | $0.28 | ($0.23) | ($1.24) | $0.06 | ($0.11) | $0 | ($2.87) | ($0.29) | ($0.09) | $0.01 | ($0.64) | ($1.26) | ($3.24) |
tMEDS | |||||||||||||||
Net income (loss) per share | |||||||||||||||
Shares excluded from calculation of diluted earnings per share (in shares) | 26.3 | 44.9 | 47.4 | ||||||||||||
Stock Options | |||||||||||||||
Net income (loss) per share | |||||||||||||||
Shares excluded from calculation of diluted earnings per share (in shares) | 1.3 | 2.1 | 2.3 | ||||||||||||
Performance Shares | |||||||||||||||
Net income (loss) per share | |||||||||||||||
Shares excluded from calculation of diluted earnings per share (in shares) | 1.9 | 1.2 | |||||||||||||
Restricted Stock Units | |||||||||||||||
Net income (loss) per share | |||||||||||||||
Shares excluded from calculation of diluted earnings per share (in shares) | 1.5 | 1.3 | 0.5 |
Transactions_with_our_Endako_M1
Transactions with our Endako Mine Joint Venture Partner (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Related party transactions | |||
Accounts receivable | $4.10 | $6.30 | |
Endako Mine | |||
Related party transactions | |||
Sales to related party | 107.2 | 80.3 | 90.9 |
Percentage of sales to related party out of total revenue (as a percent) | 13.30% | 18.50% | 22.60% |
Management fee income | 0.4 | 0.3 | 0.3 |
Selling and marketing expenses | 0.8 | 0.5 | 0.6 |
Accounts receivable | $4.10 | $6.30 |
Supplementary_Cash_Flow_Inform2
Supplementary Cash Flow Information (Details) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Change in current assets and current liabilities: | ||||||
Accounts receivable | $11 | $4.80 | $20.50 | |||
Product inventory | -3.8 | -54.5 | -77.8 | |||
Materials and supplies inventory | 0.6 | -27.4 | -11.6 | |||
Prepaid expenses and other current assets | 6.5 | -6.1 | -2.2 | |||
Income and mining taxes receivable | 3.8 | 11.2 | -6.7 | |||
Accounts payable and accrued liabilities | -4.6 | 30.6 | 2.5 | |||
Income and mining taxes payable | -2.6 | -1.2 | 0 | |||
Change in working capital accounts, total | 10.9 | -42.6 | -75.3 | |||
Cash interest paid | 91.3 | [1] | 81.8 | [1] | 41.3 | [1] |
Income and mining taxes paid, net of refunds | 10.4 | [2] | 2.5 | [2] | 2.9 | [2] |
Cash interest paid | 9.1 | 74.7 | 40.7 | |||
Refund offset by a tax payment | 4.1 | 7.5 | 9 | |||
Investing activities | ||||||
Other investing adjustments | 0 | [3] | 6.5 | [3] | 4.8 | [3] |
Acquisition of property, plant and equipment under the Equipment Facility (see Note 8) | 0 | [4] | 3.9 | [4] | 23.7 | [4] |
Financing activities | ||||||
Settlement of tMEDS | -9.3 | 0 | 0 | |||
Capitalized debt costs | 0 | [5] | 0.6 | [5] | 5.1 | [5] |
Capital leases | $0 | [4] | ($3.50) | [4] | ($20.40) | [4] |
[1] | For the years ended DecemberB 31, 2014, 2013 and 2012, cash interest paid of $9.1 million, $74.7 million, and $40.7 million, respectively, had been previously capitalized related to TCM's debt, as described in NoteB 9. | |||||
[2] | For the years ended DecemberB 31, 2014, 2013 and 2012, TCM received $4.1 million, $7.5 million and $9.0 million, respectively, in refunds of US and Canadian income taxes related to prior year tax returns. | |||||
[3] | Included capitalized depreciation. | |||||
[4] | Excluded sale-leaseback capital leases. | |||||
[5] | Included capitalized interest not paid in cash, amortization of deferred financing costs and debt discounts |
Concentration_of_Credit_Risk_D
Concentration of Credit Risk (Details) (Accounts receivable, USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
customer | |
Customer group one | |
Concentration of credit risk | |
Number of customers considered for concentration risk | 5 |
Concentration risk receivable, minimum | $3 |
Concentration risk (as a percent) | 52.60% |
Customer group two | |
Concentration of credit risk | |
Number of customers considered for concentration risk | 5 |
Concentration risk receivable, minimum | 1 |
Concentration risk receivable, high end of range | $3 |
Concentration risk (as a percent) | 20.10% |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2011 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
segment | ||||||||||||||||
Segment Reporting [Abstract] | ||||||||||||||||
Number of reportable segments | 3 | |||||||||||||||
Percentage of ownership interest in project | 75.00% | 75.00% | ||||||||||||||
Revenues | ||||||||||||||||
Copper sales | $178.40 | $8.70 | $0 | |||||||||||||
Gold sales | 172.3 | 5.6 | 0 | |||||||||||||
Molybdenum sales | 441.2 | 400.8 | 386.8 | |||||||||||||
Tolling, calcining and other | 14.8 | 19.3 | 14.6 | |||||||||||||
Revenues | 168 | 229.3 | 248.4 | 161 | 117.1 | 90.8 | 117.8 | 108.7 | 99.4 | 74.9 | 113.5 | 113.6 | 806.7 | 434.4 | 401.4 | |
Cost and expenses | ||||||||||||||||
Operating expenses | 523.8 | 328.2 | 374.5 | |||||||||||||
Depreciation, depletion and amortization | 99.9 | 51.9 | 64 | |||||||||||||
Cost of sales | 623.7 | 380.1 | 438.5 | |||||||||||||
Selling and marketing | 14.1 | 9.3 | 8 | |||||||||||||
Accretion expense | 3.6 | 2.4 | 2.3 | |||||||||||||
Asset impairments | 104.8 | 194.9 | 530.5 | |||||||||||||
Costs and Expenses | 770.6 | 609.7 | 1,009.10 | |||||||||||||
Segment revenues less costs and expenses | 36.1 | -175.3 | -607.7 | |||||||||||||
Goodwill impairment | 0 | 0 | 47 | |||||||||||||
Start-up costs | 0 | 10.3 | 5.5 | |||||||||||||
(Gain) loss on foreign exchange | 99.8 | 70.8 | -12.2 | |||||||||||||
Prior Period Reclassification Adjustment | 9.3 | |||||||||||||||
Total | ||||||||||||||||
Revenues | ||||||||||||||||
Copper sales | 178.4 | 8.7 | ||||||||||||||
Gold sales | 172.3 | 5.6 | ||||||||||||||
Molybdenum sales | 441.2 | 400.8 | 386.8 | |||||||||||||
Tolling, calcining and other | 14.8 | 19.3 | 14.6 | |||||||||||||
Revenues | 806.7 | 434.4 | 401.4 | |||||||||||||
Cost and expenses | ||||||||||||||||
Operating expenses | 523.8 | 328.2 | [1] | 374.5 | ||||||||||||
Depreciation, depletion and amortization | 98 | 50.5 | [1] | 62.3 | ||||||||||||
Cost of sales | 621.8 | 378.7 | 436.8 | |||||||||||||
Selling and marketing | 14.1 | 9.3 | 8 | |||||||||||||
Accretion expense | 3.6 | 2.4 | 2.3 | |||||||||||||
Asset impairments | 79.5 | 194.1 | 530.5 | |||||||||||||
Costs and Expenses | 719 | 584.5 | 977.6 | |||||||||||||
Segment revenues less costs and expenses | 87.7 | -150.1 | -576.2 | |||||||||||||
Goodwill impairment | 47 | |||||||||||||||
Start-up costs | 10.3 | 5.5 | ||||||||||||||
(Gain) loss on foreign exchange | 13.5 | 13.4 | -5.6 | |||||||||||||
Segment income (loss) before income and mining taxes | 74.2 | -173.8 | -623.1 | |||||||||||||
Operating Segments | Copper-Gold | ||||||||||||||||
Revenues | ||||||||||||||||
Copper sales | 178.4 | 8.7 | ||||||||||||||
Gold sales | 172.3 | 5.6 | ||||||||||||||
Molybdenum sales | 0 | 0 | 0 | |||||||||||||
Tolling, calcining and other | 0 | 0 | 0 | |||||||||||||
Revenues | 350.7 | 14.3 | 0 | |||||||||||||
Cost and expenses | ||||||||||||||||
Operating expenses | 201.3 | 43.6 | [1] | 0 | ||||||||||||
Depreciation, depletion and amortization | 69.6 | 0.1 | [1] | 0 | ||||||||||||
Cost of sales | 270.9 | 43.7 | 0 | |||||||||||||
Selling and marketing | 6.1 | 0.8 | 0 | |||||||||||||
Accretion expense | 0.3 | 0.3 | 0.2 | |||||||||||||
Asset impairments | 0 | 0 | 0 | |||||||||||||
Costs and Expenses | 277.3 | 44.8 | 0.2 | |||||||||||||
Segment revenues less costs and expenses | 73.4 | -30.5 | -0.2 | |||||||||||||
Goodwill impairment | 0 | |||||||||||||||
Start-up costs | 10.2 | 0 | ||||||||||||||
(Gain) loss on foreign exchange | 15.6 | 12.7 | -3.1 | |||||||||||||
Segment income (loss) before income and mining taxes | 57.8 | -53.4 | 2.9 | |||||||||||||
Operating Segments | US Operations Molybdenum | ||||||||||||||||
Revenues | ||||||||||||||||
Copper sales | 0 | 0 | ||||||||||||||
Gold sales | 0 | 0 | ||||||||||||||
Molybdenum sales | 327.4 | 319.4 | 302 | |||||||||||||
Tolling, calcining and other | 20.1 | 23.6 | 14.7 | |||||||||||||
Revenues | 347.5 | 343 | 316.7 | |||||||||||||
Cost and expenses | ||||||||||||||||
Operating expenses | 218.9 | 198.8 | [1] | 273.1 | ||||||||||||
Depreciation, depletion and amortization | 12.9 | 33.8 | [1] | 19.7 | ||||||||||||
Cost of sales | 231.8 | 232.6 | 292.8 | |||||||||||||
Selling and marketing | 6.1 | 7 | 6.2 | |||||||||||||
Accretion expense | 1.5 | 1.2 | 1.5 | |||||||||||||
Asset impairments | 3.3 | 129.4 | 0 | |||||||||||||
Costs and Expenses | 242.7 | 370.2 | 300.5 | |||||||||||||
Segment revenues less costs and expenses | 104.8 | -27.2 | 16.2 | |||||||||||||
Goodwill impairment | 47 | |||||||||||||||
Start-up costs | 0 | 0 | ||||||||||||||
(Gain) loss on foreign exchange | 0 | 0.4 | -0.8 | |||||||||||||
Segment income (loss) before income and mining taxes | 104.8 | -27.6 | -30 | |||||||||||||
Operating Segments | Canadian Operations Molybdenum | ||||||||||||||||
Revenues | ||||||||||||||||
Copper sales | 0 | 0 | ||||||||||||||
Gold sales | 0 | 0 | ||||||||||||||
Molybdenum sales | 119 | 81.9 | 86.5 | |||||||||||||
Tolling, calcining and other | 0 | 0 | -0.1 | |||||||||||||
Revenues | 119 | 81.9 | 86.4 | |||||||||||||
Cost and expenses | ||||||||||||||||
Operating expenses | 114 | 90.5 | [1] | 103.1 | ||||||||||||
Depreciation, depletion and amortization | 15.5 | 16.6 | [1] | 42.6 | ||||||||||||
Cost of sales | 129.5 | 107.1 | 145.7 | |||||||||||||
Selling and marketing | 3.4 | 2.7 | 3 | |||||||||||||
Accretion expense | 1.8 | 0.9 | 0.6 | |||||||||||||
Asset impairments | 76.2 | 64.7 | 530.5 | |||||||||||||
Costs and Expenses | 210.9 | 175.4 | 679.8 | |||||||||||||
Segment revenues less costs and expenses | -91.9 | -93.5 | -593.4 | |||||||||||||
Goodwill impairment | 0 | |||||||||||||||
Start-up costs | 0.1 | 5.5 | ||||||||||||||
(Gain) loss on foreign exchange | -2.1 | 0.3 | -1.7 | |||||||||||||
Segment income (loss) before income and mining taxes | -89.8 | -93.9 | -597.2 | |||||||||||||
Intersegment Eliminations | ||||||||||||||||
Revenues | ||||||||||||||||
Copper sales | 0 | 0 | ||||||||||||||
Gold sales | 0 | 0 | ||||||||||||||
Molybdenum sales | -5.2 | -0.5 | -1.7 | |||||||||||||
Tolling, calcining and other | -5.3 | -4.3 | 0 | |||||||||||||
Revenues | -10.5 | -4.8 | -1.7 | |||||||||||||
Cost and expenses | ||||||||||||||||
Operating expenses | -10.4 | -4.7 | [1] | -1.7 | ||||||||||||
Depreciation, depletion and amortization | 0 | 0 | [1] | 0 | ||||||||||||
Cost of sales | -10.4 | -4.7 | -1.7 | |||||||||||||
Selling and marketing | -1.5 | -1.2 | -1.2 | |||||||||||||
Accretion expense | 0 | 0 | 0 | |||||||||||||
Asset impairments | 0 | 0 | 0 | |||||||||||||
Costs and Expenses | -11.9 | -5.9 | -2.9 | |||||||||||||
Segment revenues less costs and expenses | 1.4 | 1.1 | 1.2 | |||||||||||||
Goodwill impairment | 0 | |||||||||||||||
Start-up costs | 0 | 0 | ||||||||||||||
(Gain) loss on foreign exchange | 0 | 0 | 0 | |||||||||||||
Segment income (loss) before income and mining taxes | $1.40 | $1.10 | $1.20 | |||||||||||||
[1] | Certain prior year reclassifications were made to conform with current year presentation. This resulted in an increase in operating expenses and a decrease in depreciation, depletion and amortization of $9.3 million. |
Segment_Information_Reconcilia
Segment Information (Reconciliation of Segment Income) (Details) (USD $) | 0 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Other (income) expense | ||||
Change in fair value of common stock purchase warrants | $0 | $0 | ($1.80) | |
General and administrative | 23.5 | 21.6 | 27.6 | |
Exploration | 0.9 | 1.4 | 2.2 | |
Interest expense (income), net | 92.3 | 24.1 | 12.8 | |
(Gain) loss on foreign exchange | 99.8 | 70.8 | -12.2 | |
(Gain) loss from debt extinguishment | 0.5 | -1.6 | 0 | 0 |
Other | -8.1 | -1.1 | -0.5 | |
Income (loss) before income and mining taxes | -145.9 | -278.4 | -657.4 | |
Income and mining tax (benefit) expense | -21.7 | -63.4 | -111.1 | |
NET INCOME (LOSS) | -124.2 | -215 | -546.3 | |
Unallocated amount to segment | ||||
Reconciliation of segment income to net income | ||||
Segment income (loss) | 74.2 | -173.8 | -623.1 | |
Other (income) expense | ||||
Exploration properties impairment | 25.3 | 0 | 0 | |
Land write down | 0 | 0.8 | 0 | |
Change in fair value of common stock purchase warrants | 0 | 0 | -1.8 | |
General and administrative | 23.5 | 21.6 | 27.6 | |
Exploration | 0.9 | 1.4 | 2.2 | |
Interest expense (income), net | 91.9 | 23.1 | 11.7 | |
(Gain) loss on foreign exchange | 86.3 | 57.4 | -6.6 | |
Corporate depreciation | 1.9 | 1.4 | 1.7 | |
(Gain) loss from debt extinguishment | -1.6 | 0 | 0 | |
Other | -8.1 | -1.1 | -0.5 | |
Income (loss) before income and mining taxes | -145.9 | -278.4 | -657.4 | |
Income and mining tax (benefit) expense | -21.7 | -63.4 | -111.1 | |
NET INCOME (LOSS) | ($124.20) | ($215) | ($546.30) |
Segment_Information_Other_Segm
Segment Information (Other Segment Information) (Details) (USD $) | 12 Months Ended | 3 Months Ended | ||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2013 | ||
Other segment information regarding capital expenditures, assets and liabilities | ||||||
Assets | $2,846.30 | $3,208.70 | ||||
Liabilities | 1,958.80 | 2,102.50 | ||||
Capital expenditures paid | 82.1 | 428.9 | 771.5 | |||
Total | ||||||
Other segment information regarding capital expenditures, assets and liabilities | ||||||
Capital expenditures | 82.1 | [1] | 428.9 | [2] | ||
Property, plant, equipment and development (3) | 2,218.30 | [3] | 2,538 | [3] | ||
Assets | 2,846.30 | 3,208.70 | ||||
Liabilities | 1,958.80 | 2,102.50 | ||||
Operating Segments | ||||||
Other segment information regarding capital expenditures, assets and liabilities | ||||||
Capital expenditures paid | 21 | |||||
Operating Segments | Copper-Gold | ||||||
Other segment information regarding capital expenditures, assets and liabilities | ||||||
Capital expenditures | 77 | [1] | 419.1 | [2] | 2.3 | |
Property, plant, equipment and development (3) | 2,075.30 | [3] | 2,290.40 | [3] | ||
Assets | 2,304.10 | 2,526.10 | ||||
Liabilities | 912 | 975 | ||||
Operating Segments | Permanent Operations Residence | ||||||
Other segment information regarding capital expenditures, assets and liabilities | ||||||
Capital expenditures | 29.8 | 18.1 | ||||
Operating Segments | US Operations Molybdenum | ||||||
Other segment information regarding capital expenditures, assets and liabilities | ||||||
Capital expenditures | 4 | [1] | 5.3 | [2] | ||
Property, plant, equipment and development (3) | 114.4 | [3] | 129.2 | [3] | ||
Assets | 444.3 | 395.1 | ||||
Liabilities | 33.8 | 49.5 | ||||
Operating Segments | Canadian Operations Molybdenum | ||||||
Other segment information regarding capital expenditures, assets and liabilities | ||||||
Capital expenditures | 1.1 | [1] | 4.3 | [2] | ||
Property, plant, equipment and development (3) | 27.5 | [3] | 115.6 | [3] | ||
Assets | 77.6 | 170.9 | ||||
Liabilities | 30.5 | 30.9 | ||||
Operating Segments | Mt. Milligan Mine | ||||||
Other segment information regarding capital expenditures, assets and liabilities | ||||||
Capital expenditures | 30.9 | 12 | ||||
Operating Segments | Project Capital | ||||||
Other segment information regarding capital expenditures, assets and liabilities | ||||||
Capital expenditures | 16.3 | |||||
Intersegment Eliminations | ||||||
Other segment information regarding capital expenditures, assets and liabilities | ||||||
Capital expenditures | 0 | [1] | 0.2 | [2] | ||
Property, plant, equipment and development (3) | 1.1 | [3] | 2.8 | [3] | ||
Assets | 20.3 | 116.6 | ||||
Liabilities | $982.50 | $1,047.10 | ||||
[1] | Capital expenditures were for the year ended December 31, 2014. Copper-Gold capital expenditures included $29.8 million in permanent operations residence capital expenditure, $30.9 million in operations capital expenditure and $16.3 million in project capital expenditure at Mount Milligan Mine. Total cash capital expenditures during 2014 included $21.0 million in payments of amounts accrued at December 31, 2013. | |||||
[2] | Capital expenditures were for the year ended December 31, 2013. Copper-Gold capital expenditures included $18.1 million in permanent operations residence capital expenditure and $12.0 million in operations capital expenditure at Mount Milligan Mine. Excluded $2.3 million of deposits made to one vendor, which occurred in the first quarter of 2013. | |||||
[3] | Included exploration properties. |
Segment_Information_Revenues_G
Segment Information (Revenues Geographical Regions) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2011 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information | |||||||||||||||
Revenues | $168 | $229.30 | $248.40 | $161 | $117.10 | $90.80 | $117.80 | $108.70 | $99.40 | $74.90 | $113.50 | $113.60 | $806.70 | $434.40 | $401.40 |
Revenues, Percent | 100.00% | 100.00% | 100.00% | ||||||||||||
North America | |||||||||||||||
Segment Reporting Information | |||||||||||||||
Revenues | 260.3 | 231.9 | 212.6 | ||||||||||||
Revenues, Percent | 32.30% | 53.40% | 53.00% | ||||||||||||
Japan | |||||||||||||||
Segment Reporting Information | |||||||||||||||
Revenues | 131.9 | 66.7 | 79.1 | ||||||||||||
Revenues, Percent | 16.40% | 15.40% | 19.70% | ||||||||||||
Europe | |||||||||||||||
Segment Reporting Information | |||||||||||||||
Revenues | 48.2 | 69.8 | 54.5 | ||||||||||||
Revenues, Percent | 6.00% | 16.10% | 13.60% | ||||||||||||
India | |||||||||||||||
Segment Reporting Information | |||||||||||||||
Revenues | 13.9 | 27.1 | 19.5 | ||||||||||||
Revenues, Percent | 1.70% | 6.20% | 4.90% | ||||||||||||
Korea | |||||||||||||||
Segment Reporting Information | |||||||||||||||
Revenues | 290.1 | 10.9 | 11.4 | ||||||||||||
Revenues, Percent | 36.00% | 2.50% | 2.80% | ||||||||||||
Brazil | |||||||||||||||
Segment Reporting Information | |||||||||||||||
Revenues | 12.6 | 15.6 | 10.5 | ||||||||||||
Revenues, Percent | 1.60% | 3.60% | 2.60% | ||||||||||||
Philippines | |||||||||||||||
Segment Reporting Information | |||||||||||||||
Revenues | 28.8 | 0 | 0 | ||||||||||||
Revenues, Percent | 3.60% | 0.00% | 0.00% | ||||||||||||
China | |||||||||||||||
Segment Reporting Information | |||||||||||||||
Revenues | 1.1 | 0 | 0 | ||||||||||||
Revenues, Percent | 0.10% | 0.00% | 0.00% | ||||||||||||
Other | |||||||||||||||
Segment Reporting Information | |||||||||||||||
Revenues | $19.80 | $12.40 | $13.80 | ||||||||||||
Revenues, Percent | 2.30% | 2.80% | 3.40% |
Summary_of_Quarterly_Financial2
Summary of Quarterly Financial Data (Unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2011 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||
Revenues | $168 | $229.30 | $248.40 | $161 | $117.10 | $90.80 | $117.80 | $108.70 | $99.40 | $74.90 | $113.50 | $113.60 | $806.70 | $434.40 | $401.40 |
Net income (loss) | ($135.60) | ($11.10) | $61.60 | ($39.10) | ($210.50) | $13.80 | ($19.20) | $0.90 | ($484.40) | ($48.20) | ($14.80) | $1.10 | ($124.20) | ($215) | ($546.30) |
Basic net income (loss) per share | ($0.63) | ($0.05) | $0.35 | ($0.23) | ($1.24) | $0.08 | ($0.11) | $0.01 | ($2.87) | ($0.29) | ($0.09) | $0.01 | ($0.64) | ($1.26) | ($3.24) |
Diluted net income (loss) per share | ($0.63) | ($0.05) | $0.28 | ($0.23) | ($1.24) | $0.06 | ($0.11) | $0 | ($2.87) | ($0.29) | ($0.09) | $0.01 | ($0.64) | ($1.26) | ($3.24) |
Subsequent_Events_Details
Subsequent Events (Details) | 12 Months Ended | 1 Months Ended | 12 Months Ended | |||
Dec. 31, 2014 | Feb. 28, 2015 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
agreements | agreements | T | T | T | T | |
Subsequent Event [Line Items] | ||||||
Number of concentrate sales agreements | 3 | |||||
Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Number of concentrate sales agreements | 4 | |||||
Fourth Concentrate Sales Agreement | Scenario, Forecast | ||||||
Subsequent Event [Line Items] | ||||||
Number of dry metric tons agreed to sell | 40,000 | 40,000 | 20,000 | 20,000 |