McEwen Mining (MUX) 10-Q 2 Nov 17 2017 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2017	Nov. 02, 2017
Document and Entity Information
Entity Registrant Name	McEwen Mining Inc.
Entity Central Index Key	314,203
Document Type	10-Q
Document Period End Date	Sep. 30, 2017
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		332,976,861
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017USD ($)$ / sharesshares	Sep. 30, 2016USD ($)$ / sharesshares	Sep. 30, 2017USD ($)$ / sharesshares	Sep. 30, 2016USD ($)$ / sharesshares
REVENUE:
Gold and silver sales	$ 13,430	$ 13,423	$ 43,373	$ 49,226
Total Revenue	13,430	13,423	43,373	49,226
COSTS AND EXPENSES:
Production costs applicable to sales	8,649	6,409	24,193	21,239
Mine development costs	1,382	934	3,217	2,948
Exploration costs	2,356	2,166	13,886	5,595
Property holding costs	1,979	1,892	3,590	3,297
General and administrative	4,734	3,233	13,105	8,601
Depreciation	316	312	1,125	809
Revision of estimates and accretion of asset reclamation obligations (note 6)	320	125	541	382
Loss (income) from investment in Minera Santa Cruz S.A., net of amortization (note 5)	462	(4,693)	535	(13,789)
Total costs and expenses	20,198	10,378	60,192	29,082
Operating (loss) income	(6,768)	3,045	(16,819)	20,144
OTHER (EXPENSE) INCOME:
Interest and other (expense) income:	(303)	599	(478)	754
Gain on sale of assets		24	11	24
Gain on sale of marketable equity securities (note 2)			840	22
Other-than-temporary impairment on marketable equity securities (note 2)	(356)		(356)	(882)
Unrealized (loss) gain on derivatives (note 2)	(933)	(197)	136	1,522
Foreign currency (loss) gain	(276)	130	799	632
Total other (expense) income	(1,868)	556	952	2,072
(Loss) Income before income taxes	(8,636)	3,601	(15,867)	22,216
Income tax recovery (note 7)	(564)	(607)	(3,067)	(3,330)
Net (loss) income	(8,072)	4,208	(12,800)	25,546
OTHER COMPREHENSIVE (LOSS) INCOME:
Reclassification of unrealized gain on marketable securities disposed of during the period, net of taxes (note 2)			(840)
Other-than-temporary impairment on marketable equity securities (note 2)	356		356	882
Unrealized (loss) gain on available-for-sale securities, net of taxes	(1,573)	290	2,066	1,790
Comprehensive (loss) income	$ (9,289)	$ 4,498	$ (11,218)	$ 28,218
Net (loss) income per share (note 10):
Basic (in dollars per share) | $ / shares	$ (0.03)	$ 0.01	$ (0.04)	$ 0.09
Diluted (in dollars per share) | $ / shares	$ (0.03)	$ 0.01	$ (0.04)	$ 0.09
Weighted average common shares outstanding (thousands) (note 10):
Basic (in shares) | shares	314,077	298,510	307,445	298,330
Diluted (in shares) | shares	314,077	301,045	307,445	299,995
Return of capital distribution declared per common share (note 8) | $ / shares	0.005	0.005	0.010	0.005

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 68,962	$ 37,440
Investments (note 2)	9,225	8,543
Value added taxes receivable	7,913	4,304
Inventories (note 3)	19,560	26,620
Other current assets	2,790	1,667
Total current assets	108,450	78,574
Mineral property interests (note 4)	282,721	242,640
Investment in Minera Santa Cruz S.A. (note 5)	154,590	162,320
Property and equipment, net	14,049	14,252
Other assets (note 3, 14)	11,227	532
TOTAL ASSETS	571,037	498,318
Current liabilities:
Accounts payable and accrued liabilities	25,082	20,044
Current portion of asset retirement obligation (note 6)	689	537
Total current liabilities	25,771	20,581
Asset retirement obligation, less current portion (note 6)	9,995	9,306
Deferred income tax liability (note 7)	23,363	23,665
Other liabilities	657	1,727
Total liabilities	59,786	55,279
Shareholders' equity:
Common stock, no par value, 500,000 shares authorized (in thousands); 332,977 as of September 30, 2017 and 299,570 as of December 31, 2016 issued and outstanding (in thousands)	1,435,953	1,360,345
Warrants (note 8)	3,822
Accumulated deficit	(931,772)	(918,972)
Accumulated other comprehensive income	3,248	1,666
Total shareholders' equity	511,251	443,039
TOTAL LIABILITIES & SHAREHOLDERS' EQUITY	$ 571,037	$ 498,318

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares shares in Thousands	Sep. 30, 2017	Dec. 31, 2016
CONSOLIDATED BALANCE SHEETS
Common stock, par value	$ 0	$ 0
Common stock, shares authorized	500,000	500,000
Common, shares issued	332,977	299,570
Common, shares outstanding	332,977	299,570

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock	Warrants	Accumulated Other Comprehensive (Loss) Income	Accumulated Deficit	Total
Balance at Dec. 31, 2015	$ 1,359,144		$ (825)	$ (940,027)	$ 418,292
Balance (in shares) at Dec. 31, 2015	298,634,000
Increase (Decrease) in Shareholders' Equity
Stock-based compensation (note 9)	$ 770				770
Return of capital distribution (note 8)	(2,986)				(2,986)
Exercise of stock options (note 8)	$ 3,500				$ 3,500
Exercise of stock options (note 8) (in shares)	1,377,000				1,377,085
Share repurchase	$ (582)				$ (582)
Share repurchase (in shares)	(558,000)
Unrealized gain on available-for-sale securities, net of taxes (note 2)			2,672		2,672
Other comprehensive income (note 2)					1,800
Net income				25,546	25,546
Balance at Sep. 30, 2016	$ 1,359,846		1,847	(914,481)	447,212
Balance (in shares) at Sep. 30, 2016	299,453,000
Balance at Dec. 31, 2016	$ 1,360,345		1,666	(918,972)	443,039
Balance (in shares) at Dec. 31, 2016	299,570,000
Increase (Decrease) in Shareholders' Equity
Stock-based compensation (note 9)	$ 1,082				1,082
Return of capital distribution (note 8)	(3,059)				(3,059)
Shares issued in connection with the acquisition of Lexam VG Gold (note 15)	$ 38,141				38,141
Shares issued in connection with the acquisition of Lexam VG Gold (note 15) (in shares)	12,687,000
Exercise of stock options (note 8)	$ 47				47
Exercise of stock options (note 8) (in shares)	20,000
Shares issued in connection with the equity issuance (note 8)	$ 39,397				39,397
Shares issued in connection with the equity issuance (note 8) (in shares)	20,700,000
Other comprehensive income (note 2)			1,582		1,582
Net income				(12,800)	(12,800)
Balance at Sep. 30, 2017	$ 1,435,953	$ 3,822	$ 3,248	$ (931,772)	511,251
Balance (in shares) at Sep. 30, 2017	332,977,000
Increase (Decrease) in Shareholders' Equity
Warrants issued in connection with the equity issuance (note 8)		$ 3,822			$ 3,822

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Cash flows from operating activities:
Cash paid to suppliers and employees	$ (59,903)	$ (37,436)
Cash received from gold and silver sales	43,373	48,355
Dividends received from Minera Santa Cruz S.A. (note 5)	7,195	13,270
Interest received	112	222
Cash (used in) provided by operating activities	(9,223)	24,411
Cash flows from investing activities:
Acquisition of mineral property interests		(5,950)
Additions to property and equipment	(944)	(1,086)
Proceeds from sale of investments (note 2)	2,155	470
Acquisition costs of Lexam VG Gold, net of cash and cash equivalents acquired (note 15)	(840)
Proceeds from disposal of property and equipment	33	994
Acquisition of investments		(2,518)
Cash provided by (used in) investing activities	404	(8,090)
Cash flows from financing activities:
Proceeds from equity issuance (note 8)	42,453
Proceeds from warrants issuance (note 8)	4,122
Share and warrant issuance costs (note 8)	(3,353)
Repayment of short-term bank indebtedness		(3,395)
Return of capital distribution (note 8)	(3,059)	(2,986)
Share repurchase		(582)
Proceeds from the exercise of stock options	47	3,500
Cash provided by (used) in financing activities	40,210	(3,463)
Effect of exchange rate change on cash and cash equivalents	131	80
Increase in cash and cash equivalents	31,522	12,938
Cash and cash equivalents, beginning of period	37,440	25,874
Cash and cash equivalents, end of period	68,962	38,812
Reconciliation of net (loss) income to cash provided by (used in) operating activities:
Net (loss) income	(12,800)	25,546
Adjustments to reconcile net (loss) income from operating activities:
Loss (income) from investment in Minera Santa Cruz S.A., net of amortization (note 5)	535	(13,789)
Other-than-temporary impairment on marketable equity securities (note 2)	356	882
Gain (loss) on disposal of fixed assets	(11)	517
Recovery of deferred income taxes (note 7)	(3,067)	(3,330)
Gain on sale of marketable securities (note 2)	(840)	(22)
Stock-based compensation (note 9)	1,082	770
Depreciation	1,125	809
Revision of estimates and accretion of asset reclamation obligations (note 6)	541	382
Amortization of mineral property interests and asset retirement obligations	1,513	1,845
Foreign exchange gain	(131)	(80)
Unrealized gain on derivative investments (note 2)	(136)	(1,522)
Change in non-cash working capital items:
(Increase) decrease in VAT taxes receivable, net of collection of $1,610 (2016 - $9,523)	(3,609)	6,759
Increase (decrease) in other assets related to operations	(4,361)	(8,156)
Increase in liabilities related to operations	3,385	530
Dividends received from Minera Santa Cruz S.A. (note 5)	7,195	13,270
Cash (used in) provided by operating activities	$ (9,223)	$ 24,411

CONSOLIDATED STATEMENTS OF CAS7

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
CONSOLIDATED STATEMENTS OF CASH FLOWS
Collection of VAT taxes receivable	$ 1,610	$ 9,523

NATURE OF OPERATIONS AND SUMMAR

NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2017
NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 1 NATURE OF OPERATIONS Nature of Operations and Basis of Presentation McEwen Mining Inc. (the “Company”) was organized under the laws of the State of Colorado on July 24, 1979. The Company is engaged in the exploration for, development of, production and sale of gold and silver, and with the acquisition of the Los Azules project in 2012, exploration for copper. On January 24, 2012, the Company changed its name from U.S. Gold Corporation to McEwen Mining Inc. after the completion of the acquisition of Minera Andes Inc. by way of a statutory plan of arrangement under the laws of the Province of Alberta, Canada. The Company operates in Argentina, Mexico, Canada and the United States. It owns a 49% interest in Minera Santa Cruz S.A. (“MSC”), owner of the producing San José silver-gold mine in Santa Cruz, Argentina, which is operated by the joint venture majority owner, Hochschild Mining plc. It also owns and operates the El Gallo 1 mine in Sinaloa, Mexico. Finally, the Company owns the Los Azules copper deposit in San Juan, Argentina, the El Gallo 2 project in Sinaloa, Mexico, the Gold Bar project in Nevada in the United States, and a portfolio of exploration properties in Argentina, Mexico, Nevada, and Timmins, Ontario in Canada. The interim consolidated financial statements included herein have been prepared by the Company, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures included are adequate to make the information presented not misleading. In management’s opinion, the unaudited Consolidated Statements of Operations and Comprehensive (Loss) Income for the three and nine months ended September 30, 2017 and 2016, the Consolidated Balance Sheets as at September 30, 2017 (unaudited) and December 31, 2016, the unaudited Consolidated Statement of Changes in Shareholders’ Equity for the nine months ended September 30, 2017 and 2016, and the unaudited Consolidated Statements of Cash Flows for the nine months ended September 30, 2017 and 2016, contained herein, reflect all adjustments, consisting solely of normal recurring items, which are necessary for the fair presentation of the Company’s financial position, results of operations and cash flows on a basis consistent with that of the Company’s prior audited consolidated financial statements. However, the results of operations for the interim periods may not be indicative of results to be expected for the full fiscal year. Therefore, these financial statements should be read in conjunction with the audited financial statements and notes thereto and summary of significant accounting policies included in the Company’s annual report on Form 10-K for the year ended December 31, 2016. Except as noted below, there have been no material changes in the footnotes from those accompanying the audited consolidated financial statements contained in the Company’s Form 10-K for the year ended December 31, 2016. The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. Inter-company accounts and transactions have been eliminated. Recently Adopted Accounting Pronouncements Compensation – Stock Compensation – Improvements to Employee Share-Based Payment Accounting : In March 2016, the FASB issued ASU No. 2016-09, which changes how companies account for certain aspects of share-based payment awards to employees, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements, as well as classification in the statement of cash flows. The update to the standard is effective for the Company for fiscal years beginning after December 5, 2016, with early adoption permitted. Adoption of this guidance by the Company, effective January 1, 2017, had no impact on the consolidated financial statements or disclosures. Recently Issued Accounting Pronouncements Compensation – Stock Compensation – Scope of Modification Accounting : In July 2017, the FASB issued ASU No. 2017-11 which addresses narrow issues identified as a result of the complexity associated with applying generally accepted accounting principles (GAAP) for certain financial instruments with characteristics of liabilities and equity. The update to the standard is effective for the Company for fiscal years beginning after December 15, 2018, with early application permitted. The Company is currently evaluating the effect of this amendment and the impact it may have on the Company’s consolidated financial statements. In May 2017, the FASB issued ASU No. 2017-09 which provides clarity and reduces diversity in practice with respect to the modification of terms or conditions of a share-based payment award. The update to the standard is effective for the Company for fiscal years beginning after December 15, 2017, with early application permitted. The Company is currently evaluating the effect of this amendment and the impact it may have on the Company’s consolidated financial statements. Business Combinations: Definition of a business: In January 2017, the FASB issued ASU No. 2017-01 which changes the definition of a business to assist entities in evaluating when a set of transferred assets and activities is a business. The update to the standard is effective for the Company beginning after December 15, 2017, with early application permitted. The Company is currently evaluating the effect of this amendment and the impact it may have on the Company’s consolidated financial statements. Income Taxes - Intra-Entity Transfers of Assets Other Than Inventory: In October 2016, the FASB issued ASU No. 2016-16, to modify the current exception to income tax accounting that required companies to defer the income tax effect of certain intercompany transactions. ASU No. 2016-16 only allows companies to defer the income tax effect of intercompany inventory transactions under an exception to the guidance on income taxes that currently applies to intercompany sales and transfers of all assets. The update to the standard is effective for the Company beginning after December 5, 2017, with early application permitted as of the beginning of an annual period. The Company is currently evaluating the effect of this amendment and the impact it may have on the Company’s consolidated financial statements. Revenue from Contracts with Customers : In 2016, the FASB issued four separate accounting standard updates regarding Topic 606: ASU 2016-08, ASU 2016-10, ASU 2016-12 and ASU 2017-13. These ASUs outline amendments to Topic 606 which is not yet effective, including reporting revenue gross versus net, identifying performance obligations and licensing and narrow-scope improvements and practical expedients. The effective date and transition requirements for the amendments listed in these updates are the same as the effective date and transition requirements for Topic 606 (and any other Topic amended by Update 2014-09) which is January 1, 2018, with earlier application permitted. The Company will not be early adopting Topic 606. The new guidance permits two methods of adoption: (i) the full retrospective method, under which comparative periods would be restated, and the cumulative impact of applying the standard would be recognized as at January 1, 2017, the earliest period presented; and (ii) the modified retrospective method, under which comparative periods would not be restated and the cumulative impact of applying the standard would be recognized at the date of initial adoption, January 1, 2018. The Company expects to use the modified retrospective approach; however, it continues to monitor industry developments. Any significant industry developments could change the Company’s expected method of adoption. As of September 30, 2017, the Company performed a comprehensive analysis of most sales contracts, including those contracts of MSC, to determine the effect of this amendment and the impact it will have on the Company’s consolidated financial statements. In the case of revenue recognized by the Company in its consolidated financial statements, some of the items subject to the evaluation included timing of revenue recognition, insurance and shipping services arranged by the Company on behalf of its customers, and refining and treatment costs classification. In the case of revenue recognized by MSC, additional items included variable consideration on concentrate sales and take-or-pay contract considerations. On October 6, 2017, the Company announced the completion of the acquisition of Black Fox Complex (“Black Fox”) certain assets and liabilities from Primero Mining Corporation (“Primero”). The Company is still in the process of reviewing the contracts acquired in connection with this recent acquisition of and completing the assessment of the impact. Based on the analysis of most of the contracts completed thus far, the Company does not expect that the adoption of the standard will materially affect the timing of recognition of revenue in the Company’s consolidated financial statements at the transition date or prospectively, and the overall impact will be limited to increased disclosure requirements. The Company will continue monitoring industry developments and assessing the new revenue recognition policy and any related impact on its internal controls with an expectation of having an update to the impact of the standard in the fourth quarter of 2017. Leases – Amendments: In February 2016, the FASB issued ASU 2016-02 which core principle is that a lessee should recognize the assets and the liabilities that arise from leases, including operating leases. Under the new requirements, a lessee will recognize in the statement of financial position a liability to make lease payments (the lease liability) and the right-of-use asset representing the right to the underlying asset for the lease term. For leases with a term of twelve months or less, the lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. The recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee have not significantly changed from the previous GAAP. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within such fiscal year, with early adoption permitted. The ASU requires a modified retrospective transition method with the option to elect a package of practical expedients. The Company is evaluating the effect of this amendment and the impact it may have on the Company’s consolidated financial statements. Financial Instruments - Recognition and Measurement of Financial Assets and Financial Liabilities: In January 2016, the FASB issued ASU No. 2016-01, which updates certain aspects of recognition, measurement, presentation and disclosure of financial instruments. ASU 2016-01 is effective for the Company beginning after December 15, 2017, including interim periods within such fiscal years. The Company is currently evaluating the effect of this amendment and the impact it may have on the Company’s consolidated financial statements.

INVESTMENTS

INVESTMENTS	9 Months Ended
	Sep. 30, 2017
INVESTMENTS
INVESTMENTS	NOTE 2 INVESTMENTS The Company’s investment portfolio consists of marketable equity securities and warrants of certain publicly-traded companies. The Company classifies marketable equity securities as available-for-sale securities and warrants on equity interests in publicly-traded securities as held for trading securities. Marketable equity securities are recorded at fair value based upon quoted market prices, and warrants are recorded at fair value using the Black-Scholes option pricing model. The following is a summary of the balances of investments as of September 30, 2017, and December 31, 2016: Other Statement of Opening Additions Disposals Comprehensive Operations Fair Value balance during during Income (Loss) (Loss) end of the As of September 30, 2017 (January 1) period period (pre-tax) Income period Marketable equity securities $ 6,749 $ — $ (2,155) $ 2,217 $ 484 $ 7,295 Warrants 1,794 — — — 136 1,930 Investments $ 8,543 $ — $ (2,155) $ 2,217 $ 620 $ 9,225 Other Statement of Opening Additions Disposals Comprehensive Operations Fair Value balance during during Income (Loss) (Loss) end of the As of December 31, 2016 (January 1) year year (pre-tax) Income year Marketable equity securities $ 1,032 $ 4,004 $ (470) $ 3,043 $ (860) $ 6,749 Warrants — 415 — — 1,379 1,794 Investments $ 1,032 $ 4,419 $ (470) $ 3,043 $ 519 $ 8,543 As of September 30, 2017, the cost of the marketable equity securities, net of impairment charges, and warrants was approximately $3.3 million (December 31, 2016 - $4.9 million). The Company maintains a portfolio of warrants on equity interests in publicly-traded securities for investment purposes which are not used in any hedging activities. As the warrants meet the definition of derivative instruments, unrealized gains or losses arising from their revaluation are recorded in the Consolidated Statement of Operations and Comprehensive (Loss) Income. During the three and nine months ended September 30, 2017, the Company recorded an unrealized loss of $0.9 million and an unrealized gain of $0.1 million respectively, compared to an unrealized loss of $0.2 million and unrealized gain of $1.5 million for the three and nine months ended September 30, 2016. In addition, during the nine months ended September 30, 2017, the Company sold marketable equity securities for proceeds of $2.2 million. The Company realized a gain of $0.8 million, which is included in the Consolidated Statement of Operations and Comprehensive (Loss) Income. In the comparative nine months ended September 30, 2016, the Company realized a gain of $0.1 million on marketable equity securities sold. Unrealized gains and losses for available-for-sale securities are included in other comprehensive income and not reported in Net (Loss) Income unless the securities are sold or if there is an other-than- temporary decline in fair value below cost. During the nine months ended September 30, 2017, the Company reviewed its investment portfolio to determine if any security was other-than-temporarily impaired (“OTTI”). An OTTI security would require the Company to record an impairment charge in the Consolidated Statement of Operations and Comprehensive (Loss) Income in the period if such determination is made. In making this judgment, the Company evaluated, among other things, the duration and extent, if any, to which the fair value of a security was less than its cost; the financial condition of the issuer and any changes thereto; and the Company’s intent to sell, or whether it will more likely than not be required to sell, the security before recovery of its amortized cost basis. From this assessment, the Company concluded that the fair value of certain marketable equity securities exhibited a prolonged decline in share price due to deterioration of the issuer’s results; therefore, the decline in these marketable equity securities was considered OTTI. Accordingly, the Company recognized an OTTI impairment loss of $0.4 million on the Consolidated Statement of Operations and Comprehensive (Loss) Income, for the three and nine months ended September 30, 2017. In the comparative period, the Company recorded an OTTI impairment loss of $nil and $0.9 million for the three and nine months ended September 30, 2016, respectively. For the remaining marketable equity securities, the Company recorded an unrealized loss, net of tax, of $1.6 million and unrealized gain, net of tax, of $2.1 million for the three and nine months ended September 30, 2017, respectively. During the three and nine months ended September 30, 2016, the Company recognized unrealized gain of $0.3 million and $1.8 million, respectively, net of taxes.

INVENTORIES

INVENTORIES	9 Months Ended
	Sep. 30, 2017
INVENTORIES
INVENTORIES	NOTE 3 INVENTORIES September 30, 2017 December 31, 2016 Material on leach pads $ 10,412 $ 14,267 In-process inventory 3,376 4,953 Stockpiles 1,960 1,102 Precious metals 2,328 5,035 Materials and supplies 1,484 1,263 Current Inventories $ 19,560 $ 26,620 A portion of leach pad inventories in the amount of $10.9 million (December 31, 2016 – $nil) expected to be recovered after twelve months is included in the Other assets.

MINERAL PROPERTY INTEREST

MINERAL PROPERTY INTEREST	9 Months Ended
	Sep. 30, 2017
MINERAL PROPERTY INTEREST
MINERAL PROPERTY INTEREST	NOTE 4 MINERAL PROPERTY INTERESTS The Company’s Mineral Property Interests include the El Gallo 1 mine in Mexico, the Gold Bar project in Nevada, the Los Azules project in Argentina, properties in Timmins, Canada, and other properties located in Mexico and Nevada. The Company conducts a review of potential triggering events for impairment for all its mineral property interests on a quarterly basis. When events or changes in circumstances indicate that the related carrying amounts may not be recoverable, the Company carries out a review and evaluation of its long-lived assets for impairment, in accordance with its accounting policy. During the nine months ended September 30, 2017, the Company did not identify events or changes in circumstances affecting the carrying values of its long-lived assets. The definition of proven and probable reserves is set forth in the SEC Industry Guide 7. If proven and probable reserves exist at the Company’s properties, the relevant capitalized mineral property interests and asset retirement costs are charged to expense based on the units of production method upon commencement of production. Since the Company has not completed feasibility or other studies sufficient to characterize the mineralized material at the El Gallo 1 mine as proven or probable reserves, the amortization of the capitalized mineral property interests and asset retirement costs are charged to expense based on the most appropriate amortization method which includes straight-line method or units-of-production method over the estimated useful life of the mine. For the three and nine months ended September 30, 2017, the Company recorded $0.4 million and $1.5 million, respectively (September 30, 2016 - $0.7 million and $1.8 million, respectively), of amortization expense related to the El Gallo 1 mine, which is included in Production Costs Applicable to Sales in the Consolidated Statement of Operations and Comprehensive (Loss) Income.

INVESTMENT IN MINERA SANTA CRUZ

INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE	9 Months Ended
	Sep. 30, 2017
INVESTMENT IN MINERA SANTA CRUZ S.A. (“MSC”) - SAN JOSE MINE
INVESTMENT IN MINERA SANTA CRUZ S.A. (“MSC”) - SAN JOSE MINE	NOTE 5 INVESTMENT IN MINERA SANTA CRUZ S.A. (“MSC”) – SAN JOSÉ MINE The Company accounts for investments over which it exerts significant influence but does not control through majority ownership using the equity method of accounting. In applying the equity method of accounting to the Company’s investment in MSC, MSC’s financial statements, which are originally prepared by MSC in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board, are translated into U.S. GAAP by MSC’s management. As such, the summarized financial data under this heading is presented in accordance with U.S. GAAP. The Company’s 49% attributable share of results of operations from its investment in MSC was a loss of $0.5 million for the three and nine months ended September 30, 2017 (September 30, 2016 – income of $4.7 million and $13.8 million, respectively). These amounts include the amortization of the fair value increments arising from the purchase price allocation and related income tax recovery associated with the investment in MSC recorded as part of the acquisition of Minera Andes. During the three and nine months ended September 30, 2017, the Company received $2.3 million and $7.2 million in dividends from MSC, respectively. This compares to $7.9 million and $13.3 million received during the three and nine months ended September 30, 2016, respectively. Changes in the Company’s investment in MSC for the nine months ended September 30, 2017 and year ended December 31, 2016 are as follows: September 30, 2017 December 31, 2016 Investment in MSC, beginning of the period $ 162,320 $ 167,107 Attributable net income from MSC 1,941 15,961 Amortization of fair value increments (6,967) (12,274) Income tax recovery 4,491 9,264 Dividend distribution received (7,195) (17,738) Investment in MSC, end of the period $ 154,590 $ 162,320 A summary of the operating results from MSC for the three and nine months ended September 30, 2017 and 2016 is as follows: Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Minera Santa Cruz S.A. (100%) Net Sales $ 52,722 $ 72,116 $ 161,900 $ 182,769 Production costs applicable to sales (43,596) (49,345) (132,710) (125,904) Net income 707 12,072 3,962 31,293 Portion attributable to McEwen Mining Inc. (49%) Net (loss) income $ 346 $ 5,916 $ 1,941 $ 15,334 Amortization of fair value increments (2,469) (2,914) (6,967) (9,370) Income tax recovery 1,661 1,691 4,491 7,825 (Loss) income from investment in MSC, net of amortization $ (462) $ 4,693 $ (535) $ 13,789 As of September 30, 2017, MSC had current assets of $99.1 million, total assets of $419.1 million, current liabilities of $35.0 million and total liabilities of $103.7 million on an unaudited basis. These balances include the adjustments to fair value and amortization of the fair value increments arising from the purchase price allocation, net of impairment charges. Excluding the fair value increments from the purchase price allocation and other adjustments, MSC had current assets of $98.5 million, total assets of $255.3 million, current liabilities of $40.2 million, and total liabilities of $65.6 million as at September 30, 2017.

RECLAMATION OBLIGATIONS

RECLAMATION OBLIGATIONS	9 Months Ended
	Sep. 30, 2017
RECLAMATION OBLIGATIONS
RECLAMATION OBLIGATIONS	NOTE 6 RECLAMATION OBLIGATIONS The Company is responsible for the reclamation of certain past and future disturbances at its properties. The most significant properties subject to these obligations are the Tonkin property in the state of Nevada, the El Gallo 1 mine in Mexico, and the Timmins properties in the province of Ontario which were acquired through the transaction with Lexam VG Gold (“Lexam”) in April 2017. A reconciliation of the Company’s asset retirement obligations for the nine months ended September 30, 2017 and for the year ended December 31, 2016 is as follows: September 30, 2017 December 31, 2016 Asset retirement obligation liability, beginning of the period $ 9,843 $ 7,784 Settlements (97) (66) Accretion of liability 337 506 Current year additions 570 — Adjustment reflecting updated estimates (17) 1,619 Foreign exchange revaluation 48 — Asset retirement obligation liability, ending balance $ 10,684 $ 9,843 Current portion (689) (537) Non-current portion $ 9,995 $ 9,306

INCOME TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2017
INCOME TAXES.
INCOME TAXES	NOTE 7 INCOME TAXES The Company’s income tax expense differs from the amount computed by applying the U.S. federal and state statutory corporate income tax rate of 35% to income before taxes primarily as a result of valuation allowances being applied to losses, changes in the deferred tax asset associated with marketable securities and changes in the deferred tax liabilities associated with mineral property interests acquired in the Minera Andes and Lexam acquisitions. The deferred tax liability is primarily impacted by fluctuations in the foreign exchange rate between the Argentine peso and the U.S. dollar. For the three and nine months ended September 30, 2017, the Company recorded a deferred income tax recovery of $0.6 million and $3.1 million, respectively. The deferred income tax recovery is a combined result of fluctuations in tax benefits related to exploration spending at Los Azules, the Argentine peso devaluation and the unrealized gains in the value of our investments recorded through Other Comprehensive (Loss) Income during the period. In comparison, for the three and nine months ended September 30, 2016, the Company recorded an income tax recovery of $0.6 million, and $3.3 million respectively, primarily resulting from the Argentine peso devaluation.

SHAREHOLDERS' EQUITY

SHAREHOLDERS' EQUITY	9 Months Ended
	Sep. 30, 2017
SHAREHOLDERS' EQUITY
SHAREHOLDERS' EQUITY	NOTE 8 SHAREHOLDERS’ EQUITY During the nine months ended September 30, 2017, 20,000 shares of common stock were issued upon the exercise of stock options under the Company’s Equity Incentive Plan, at the weighted average exercise price of $2.34 per share for proceeds of $0.1 million. This compares to 1,377,085 shares of common stock issued upon exercise of stock options during the same period of 2016, at a weighted average exercise price of $2.56 per share for proceeds of $3.5 million. During the nine months ended September 30, 2017, the Company paid two semi-annual returns of capital distributions totaling $0.01 (September 30, 2016 - $0.01) per share of common stock, for a total distribution of $3.1 million (September 30, 2016 - $3.0 million). The Company issued 12,687,035 shares of common stock as part of the Lexam acquisition completed on April 26, 2017. See Note 15 Acquisition of Lexam. Equity Offering On September 22, 2017, the Company issued 20,700,000 common shares and 10,350,000 warrants for net proceeds of $43.2 million, after deducting issuance costs of $3.4 million. Each common share subscribed for, entitled the holder to receive half a warrant, and each whole warrant entitles the holder to purchase one common share at a price of $2.70. Warrants are exercisable at any time prior to September 28, 2018, after which the warrants will expire and be of no value. The Company concluded that both common shares and warrants are equity-linked financial instruments and should be accounted for permanently in the Shareholder’s Equity section in the Consolidated Balance Sheet, with no requirement to subsequently revalue any of the instruments. Based on the relative fair values, the Company allocated $39.4 million to common shares and $3.8 million to warrants, net of issuance costs. The Company used the Black-Scholes pricing model to determine the fair value of warrants using the following assumptions: Risk-free interest rate % Dividend yield % Volatility factor of the expected market price of common stock % Weighted-average expected life 53 weeks Weighted-average grant date fair value 0.40 All 10,350,000 warrants remained outstanding and unexercised as of September 30, 2017.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	9 Months Ended
	Sep. 30, 2017
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION	NOTE 9 STOCK-BASED COMPENSATION During the nine months ended September 30, 2017, 0.4 million stock options were granted to certain employees at a weighted average exercise price of $2.78 per share, which includes 0.1 million options issued as part of exchange of each option to purchase a common share of Lexam for a replacement option entitling the holder to acquire 0.056 share of the Company’s common stock. See Note 15 Acquisition of Lexam . In comparison, during the nine months ended September 30, 2016, 0.6 million stock options were granted to certain employees at a weighted average exercise price of $3.99 per share. The options vest equally over a three-year period (subject to acceleration of vesting in certain events) if the individual remains affiliated with the Company and are exercisable for a period of 5 years from the date of issue. The principal assumptions used in applying the Black-Scholes option pricing model for these awards were as follows: Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Risk-free interest rate % 1.15 % % 1.15 % Dividend yield % 0.25 % % 0.25 % Volatility factor of the expected market price of common stock % 74 % % 74 % Weighted-average expected life of option 3.5 years 5 years 3.5 years 5 years Weighted-average grant date fair value 1.40 2.36 1.52 2.36 During the three and nine months ended September 30, 2017, the Company recorded stock option expense of $0.3 million and $1.1 million respectively. This compares to $0.3 million and $0.8 million for the three and nine months ended September 30, 2016.

(LOSS) INCOME PER SHARE

(LOSS) INCOME PER SHARE	9 Months Ended
	Sep. 30, 2017
(LOSS) INCOME PER SHARE
(LOSS) INCOME PER SHARE	NOTE 10 (LOSS) INCOME PER SHARE Basic net income (loss) per share is computed by dividing the net (loss) income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted net (loss) income per share is computed similarly except that the weighted average number of common shares is increased to reflect all dilutive instruments. Below is a reconciliation of the basic and diluted weighted average number of common shares and exchangeable shares outstanding and the computations for basic and diluted net (loss) income per share for the three and nine months ended September 30, 2017 and 2016: Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 (amounts in thousands, except net income per share) Net (loss) income $ (8,072) $ 4,208 $ (12,800) $ 25,546 Weighted average common shares outstanding: 314,077 298,510 307,445 298,330 Effect of employee stock-based awards — 2,535 — 1,665 Diluted shares outstanding: 314,077 301,045 307,445 299,995 Net (loss) income per share: Basic $ (0.03) $ 0.01 $ (0.04) $ 0.09 Diluted $ (0.03) $ 0.01 $ (0.04) $ 0.09 For the three and nine months ended September 30, 2017, as the Company was in a loss position, all potentially dilutive instruments were anti-dilutive and therefore not included in the calculation of diluted net loss per share. For the three months ended September 30, 2016, options to purchase 1.3 million shares of common stock outstanding at an average exercise price of $5.18 per share were not included in the computation of diluted weighted average shares because the exercise price exceeded the average price of the Company’s common stock during that period. For the nine months ended September 30, 2016, options to purchase 2.4 million shares of common stock outstanding at an average exercise price of $4.14 per share were not included in the computation of diluted weighted average shares because the exercise price exceeded the average price of the Company’s common stock during the nine months ended September 30, 2016.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	9 Months Ended
	Sep. 30, 2017
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	NOTE 11 RELATED PARTY TRANSACTIONS The Company recorded the following expense (income) in respect to the related parties outlined below: Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Lexam L.P. $ — $ 82 $ $ 153 Lexam VG Gold — 17 (33) 57 Noblegen Inc. 40 — — REVlaw 86 38 92 The Company has the following outstanding accounts payable balance in respect to the related parties outlined below: September 30, December 31, 2017 2016 Lexam VG Gold — 27 Noblegen Inc. 45 — REVlaw 35 148 An aircraft owned by Lexam L.P. (which is controlled by Robert R. McEwen, limited partner and beneficiary of Lexam L.P. and the Company’s Chairman and Chief Executive Officer) has been made available to the Company in order to expedite business travel. In his role as Chairman and Chief Executive Officer of the Company, Mr. McEwen must travel extensively and frequently on short notice. Mr. McEwen is able to charter the aircraft from Lexam L.P. at a preferential rate approved by the Company’s independent board members under a policy whereby only the variable expenses of operating this aircraft for business related travel are eligible for reimbursement by the Company. On April 26, 2017, the Company completed the acquisition of 100% of the issued and outstanding securities of Lexam and Lexam became a wholly-owned subsidiary of the Company. See Note 15 Acquisition of Lexam . Prior to the acquisition, Robert R. McEwen was the Non-Executive Chairman of Lexam and held a 27% ownership in Lexam and the Company shared services with Lexam including rent, personnel, office expenses and other administrative services. Historically, these transactions were in the normal course of business. Robert R. McEwen is also a significant shareholder of Noblegen Inc., a company that develops processes to commercially cultivate microorganisms with applications in different industries. The metallurgical services provided by Noblegen Inc. are in the normal course of business and have been recorded at their exchange amount. REVlaw is a company owned by Ms. Carmen Diges, General Counsel of the Company. The legal services of Ms. Diges as General Counsel and one other member of the legal department are provided by REVlaw in the normal course of business and have been recorded at their exchange amount.

OPERATING SEGMENT REPORTING

OPERATING SEGMENT REPORTING	9 Months Ended
	Sep. 30, 2017
OPERATING SEGMENT REPORTING
OPERATING SEGMENT REPORTING	NOTE 12 OPERATING SEGMENT REPORTING McEwen Mining is a mining and minerals exploration company focused on precious metals in Argentina, Mexico, Canada and the United States. The Company’s chief operating decision maker (“CODM”) reviews the operating results, assesses performance and makes decisions about allocation of resources to these segments at the geographic region level or major mine/project level where the economic characteristics of the individual mines or projects are not alike. As a result, these operating segments also represent the Company’s reportable segments. The Company’s business activities that are not considered operating segments and not provided to the CODM for review are included in Corporate and other and are provided in this note for reconciliation purposes. The CODM reviews segment (loss) income, defined as gold and silver sales less production costs applicable to sales, mine development costs, exploration costs, property holding costs and general and administrative expenses for all segments except for the MSC segment which is evaluated based on the attributable equity income or loss. Gold and silver sales and production costs applicable to sales for the reportable segments are reported net of intercompany transactions. In the second quarter of 2017, the Company completed the acquisition of Lexam which included a portfolio of exploration projects located in Timmins, Ontario. The performance and allocation of resources to these assets is done separately by the CODM. As a result, for the three and nine months ended September 2017, the Company separately reported segment (loss) income attributable to Timmins. The updated composition of segments reflects the distinct economic characteristic of each mine/project. Significant information relating to the Company’s reportable operating segments is summarized in the tables below. Total Segment Three months ended September 30, 2017 Mexico MSC Los Azules USA Timmins Income (Loss) Gold and silver sales $ 13,430 $ — $ — $ — $ — $ 13,430 Production costs applicable to sales (8,649) — — — — (8,649) Mine development costs (273) — — (1,109) — (1,382) Exploration costs (1,149) — (365) (556) (137) (2,207) Property holding costs (1,044) — — (935) — (1,979) General and administrative expenses (715) — (320) (441) (32) (1,508) Loss from investment in Minera Santa Cruz S.A. (net of amortization) — (462) — — — (462) Segment income (loss) $ 1,600 $ (462) $ (685) $ (3,041) $ (169) $ (2,757) Corporate and other Other exploration $ (149) General and administrative expenses (3,226) Depreciation (316) Revision of estimates and accretion of reclamation obligations (320) Interest and other expense (303) Other-than-temporary impairment on marketable equity securities (356) Unrealized gain on derivatives (933) Foreign currency gain (276) Net loss before income taxes $ (8,636) Total Segment Nine months ended September 30, 2017 Mexico MSC Los Azules USA Timmins Income (Loss) Gold and silver sales $ 43,373 $ — $ — $ — $ — $ 43,373 Production costs applicable to sales (24,193) — — — — (24,193) Mine development costs (605) — — (2,612) — (3,217) Exploration costs (4,201) — (7,507) (1,487) (267) (13,462) Property holding costs (2,089) — (48) (1,453) — (3,590) General and administrative expenses (2,594) — (949) (1,226) (58) (4,827) Loss from investment in Minera Santa Cruz S.A. (net of amortization) — (535) — — — (535) Segment income (loss) $ 9,691 $ (535) $ (8,504) $ (6,778) $ (325) $ (6,451) Corporate and other Other exploration $ (424) General and administrative expenses (8,278) Depreciation (1,125) Revision of estimates and accretion of reclamation obligations (541) Interest and other expense (478) Gain on sale of assets 11 Gain on sale of marketable equity securities 840 Other-than-temporary impairment on marketable equity securities (356) Unrealized gain on derivatives 136 Foreign currency gain 799 Net loss before income taxes $ (15,867) Total Segment Three months ended September 30, 2016 Mexico MSC Los Azules USA Timmins Income (Loss) Gold and silver sales $ 13,423 $ — $ — $ — $ — $ 13,423 Production costs applicable to sales (6,409) — — — — (6,409) Mine development costs (341) — — (593) — (934) Exploration costs (1,094) — (543) (506) — (2,143) Property holding costs (812) — (192) (888) — (1,892) General and administrative expenses (474) — (234) (69) — (777) Income from investment in Minera Santa Cruz S.A. (net of amortization) — 4,693 — — — 4,693 Segment income (loss) $ 4,293 $ 4,693 $ (969) $ (2,056) $ — $ 5,961 Corporate and other Other exploration $ (23) General and administrative expenses (2,456) Depreciation (312) Revision of estimates and accretion of reclamation obligations (125) Interest and other expense 599 Gain on sale of assets 24 Unrealized gain on derivatives (197) Foreign currency gain 130 Net income before income taxes $ 3,601 Total Segment Nine months ended September 30, 2016 Mexico MSC Los Azules USA Timmins Income (Loss) Gold and silver sales $ 49,226 $ — $ — $ — $ — $ 49,226 Production costs applicable to sales (21,239) — — — — (21,239) Mine development costs (1,038) — — (1,910) — (2,948) Exploration costs (2,739) — (1,046) (1,692) — (5,477) Property holding costs (1,642) — (367) (1,288) — (3,297) General and administrative expenses (1,963) — (419) (176) — (2,558) Income from investment in Minera Santa Cruz S.A. (net of amortization) — 13,789 — — — 13,789 Segment income (loss) $ 20,605 $ 13,789 $ (1,832) $ (5,066) $ — $ 27,496 Corporate and other Other exploration $ (118) General and administrative expenses (6,043) Depreciation (809) Revision of estimates and accretion of reclamation obligations (382) Interest and other income 754 Other-than-temporary impairment on marketable equity securities (882) Gain on sale of assets 24 Gain on sale of marketable securities 22 Unrealized gain on derivatives 1,522 Foreign currency gain 632 Net income before income taxes $ 22,216 Geographic information Revenue (1) Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Mexico $ 13,430 $ 13,423 $ 43,373 $ 49,226 Total consolidated $ 13,430 $ 13,423 $ 43,373 $ 49,226 Long-lived Assets as at September 30, December 31, 2017 2016 Canada $ 42,555 $ 663 Mexico 36,879 27,582 USA 37,071 37,620 Argentina (2) 346,082 353,879 Total consolidated $ 462,587 $ 419,744 (1) Presented based on the location from which the product originated. (2) Includes Investment in MSC of $154.6 million as of September 30, 2017 (December 31, 2016 - $162.3 million).

FAIR VALUE ACCOUNTING

FAIR VALUE ACCOUNTING	9 Months Ended
	Sep. 30, 2017
FAIR VALUE ACCOUNTING
FAIR VALUE ACCOUNTING	NOTE 13 FAIR VALUE ACCOUNTING Fair value accounting establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value of certain assets and liabilities. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets and liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: Level 1 Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2 Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and Level 3 Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). Assets and liabilities measured at fair value on a recurring basis The following table identifies the fair value of the Company’s financial assets and liabilities as reported in the Consolidated Balance Sheets at September 30, 2017 and December 31, 2016 by level within the fair value hierarchy. As required by accounting guidance, assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Fair Value as at September 30, 2017 Total Level 1 Level 2 Level 3 Assets: Investments $ 9,225 $ 7,295 $ 1,930 $ — Total $ 9,225 $ 7,295 $ 1,930 $ — Fair Value as at December 31 2016 Total Level 1 Level 2 Level 3 Assets: Investments $ 8,543 $ 6,749 $ 1,794 $ — Total $ 8,543 $ 6,749 $ 1,794 $ — The Company's investments mainly consist of marketable equity securities which are exchange-traded, and which are valued using quoted market prices in active markets and are classified within Level 1 of the fair value hierarchy. The fair value of the investments is calculated as the quoted market price of the marketable equity security multiplied by the number of shares held by the Company. Further, as noted in Note 2, Investments, the Company’s investments also include warrants on equity interests in publicly-traded securities. Since these warrants are not traded on an active market, they are valued using the Black-Scholes option pricing model, and classified within Level 2 of the fair value hierarchy. The fair value of other financial assets and liabilities approximate their carrying values due to their short-term nature and historically negligible credit losses.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2017
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	NOTE 14 COMMITMENTS AND CONTINGENCIES Reclamation Bonds As part of its ongoing business and operations, the Company is required to provide bonding for its environmental reclamation obligations in the United States. Pursuant to the requirements imposed by Bureau of Land Management (“BLM”), the Company has Nevada bonding obligations of $19.9 million which primarily pertains to the Tonkin property and the Gold Bar property reclamation requirements. Under current Mexican regulations, bonding of projected reclamation costs is not required. Under Canadian regulations, the Company was required to deposit approximately $0.1 million with respect to its properties in Timmins. The $0.1 million is recorded as restricted cash in Other assets. Surety Bonds The Company satisfies its Nevada bonding obligations through the use of surety bonds. These surety bonds are available for draw down by the BLM in the event the Company does not perform its reclamation obligations. When the specific reclamation requirements are met, the BLM will cancel and/or return the instrument to the issuing entity. The Company believes it is in compliance with all applicable bonding obligations and will be able to satisfy future bonding requirements, through existing or alternative means, as they arise. On June 23, 2017, the Company replaced its previous surety facility by entering into a new $20.0 million surety facility, carrying an annual financing fee of 2%, with no requirement for an initial deposit and the financing fee payable only on draw down amounts. The $0.5 million deposit associated with the previous facility and recorded in Other assets was received by the Company in July 2017. On August 25, 2017, the BLM in Nevada accepted the Company’s bond in the amount of $15.0 million to provide reclamation coverage for operations on the Gold Bar property. On August 25, 2017, the Company drew down $15.0 million on the existing surety to satisfy the bonding requirements for the Gold Bar project. As of September 30, 2017, the Company had a total of $19.9 million of surety bonds outstanding which primarily pertain to the Gold Bar property and the Tonkin property reclamation requirements. Pursuant to the Black Fox acquisition, which closed subsequent to quarter end, as described in Note 16 Subsequent Events, the Company extended its existing $20.0 million surety facility to include the necessary bonding to satisfy the Black Fox closure plan. The terms of the credit facility remain the same, with no requirement for an initial deposit and an annual financing fee of 2% due on draw down. Black Fox has bonding requirements of $16.5 million (C$20.6 million). On September 15, 2017, the Company issued surety bond letters to the Ministry of Mines and Northern Development (“MNDM”) in Ontario to assume these liabilities effective October 2, 2017. On September 27, 2017, the Company received notification from the MNDM that the surety bonds had been accepted.

ACQUISITION OF LEXAM

ACQUISITION OF LEXAM	9 Months Ended
	Sep. 30, 2017
ACQUISITION OF LEXAM
ACQUISITION OF LEXAM	NOTE 15 ACQUISITION OF LEXAM On April 26, 2017, the Company completed the acquisition of 100% of the issued and outstanding common shares of Lexam by the way of the Arrangement Agreement dated February 13, 2017 and related Plan of Arrangement (the “Arrangement”). Pursuant to the Arrangement, each common share of Lexam was exchanged for 0.056 of a common share of the Company and each option to purchase a common share of Lexam was exchanged for a replacement option entitling the holder to acquire 0.056 share of the Company’s common stock. The Company’s total purchase price of $39.2 million was comprised of 12,687,035 common shares issued from treasury valued at $3.00 per share, share replacement awards of $0.1 million and transaction costs totaling $1.0 million. The Lexam acquisition was accounted for as an asset acquisition and transaction costs associated with the acquisition were capitalized to the Mineral Property Interests acquired, consistent with the Company’s Mineral Property Interests accounting policy. The following table sets out the allocation of the purchase price to assets acquired and liabilities assumed, based on management’s estimates of relative fair value: Total purchase price: Common shares issued for acquisition $ 38,141 Transaction fees incurred 1,017 $ 39,158 Fair value of assets acquired and liabilities assumed: Mineral property interests $ 41,595 Cash and cash equivalents 177 Other current assets 86 Other assets 312 Accounts payable and accrued liabilities (288) Reclamation obligations (570) Deferred income tax liabilities (2,154) $ 39,158 The Mineral property interests acquired include a 100% interest in the Buffalo Ankerite, Fuller and Davidson Tisdale deposits and a 61% interest in the Paymaster deposit all located in Timmins, Ontario. The remaining 39% interest in the Paymaster property is held by Goldcorp Inc., a joint venture partner. Certain properties are also subject to a net profit interest (“NPI”) in the 10-20% range, payable to an unrelated third party.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Sep. 30, 2017
SUBSEQUENT EVENTS.
SUBSEQUENT EVENTS	NOTE 16 SUBSEQUENT EVENTS Acquisition of Black Fox On October 6, 2017, the Company announced the completion of the acquisition of certain assets and liabilities from Primero by the way of the Asset Purchase Agreement (“Agreement”) dated August 25, 2017. The assets primarily include the Black Fox mine site, mill, property, plant and equipment and adjacent exploration properties located in Township of Black River ‐ Matheson, Ontario, Canada. The liabilities primarily include reclamation obligations and certain assumed contracts related to the acquired assets. Pursuant to the Agreement, the Company acquired these assets and liabilities in exchange for cash consideration of $27.5 million. The Company concluded that the acquired assets and assumed liabilities constitute a “business” under U.S. GAAP and accordingly, the acquisition will be accounted for as a business combination rather than an asset acquisition. Due to the timing of the acquisition being completed subsequent to the period end, the determination of the fair values of the assets acquired and the liabilities assumed had not been finalized, so the allocation of the purchase price among those assets and liabilities could not be determined.

INVESTMENTS (Tables)

INVESTMENTS (Tables)	9 Months Ended
	Sep. 30, 2017
INVESTMENTS
Summary of investment portfolio	Other Statement of Opening Additions Disposals Comprehensive Operations Fair Value balance during during Income (Loss) (Loss) end of the As of September 30, 2017 (January 1) period period (pre-tax) Income period Marketable equity securities $ 6,749 $ — $ (2,155) $ 2,217 $ 484 $ 7,295 Warrants 1,794 — — — 136 1,930 Investments $ 8,543 $ — $ (2,155) $ 2,217 $ 620 $ 9,225 Other Statement of Opening Additions Disposals Comprehensive Operations Fair Value balance during during Income (Loss) (Loss) end of the As of December 31, 2016 (January 1) year year (pre-tax) Income year Marketable equity securities $ 1,032 $ 4,004 $ (470) $ 3,043 $ (860) $ 6,749 Warrants — 415 — — 1,379 1,794 Investments $ 1,032 $ 4,419 $ (470) $ 3,043 $ 519 $ 8,543

INVENTORIES (Tables)

INVENTORIES (Tables)	9 Months Ended
	Sep. 30, 2017
INVENTORIES
Schedule of inventories	September 30, 2017 December 31, 2016 Material on leach pads $ 10,412 $ 14,267 In-process inventory 3,376 4,953 Stockpiles 1,960 1,102 Precious metals 2,328 5,035 Materials and supplies 1,484 1,263 Current Inventories $ 19,560 $ 26,620

INVESTMENT IN MINERA SANTA CR26

INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE (Tables)	9 Months Ended
	Sep. 30, 2017
INVESTMENT IN MINERA SANTA CRUZ S.A. (“MSC”) - SAN JOSE MINE
Schedule of change in the entity's investment in MSC	September 30, 2017 December 31, 2016 Investment in MSC, beginning of the period $ 162,320 $ 167,107 Attributable net income from MSC 1,941 15,961 Amortization of fair value increments (6,967) (12,274) Income tax recovery 4,491 9,264 Dividend distribution received (7,195) (17,738) Investment in MSC, end of the period $ 154,590 $ 162,320
Summary of MSC's financial information from operations	Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Minera Santa Cruz S.A. (100%) Net Sales $ 52,722 $ 72,116 $ 161,900 $ 182,769 Production costs applicable to sales (43,596) (49,345) (132,710) (125,904) Net income 707 12,072 3,962 31,293 Portion attributable to McEwen Mining Inc. (49%) Net (loss) income $ 346 $ 5,916 $ 1,941 $ 15,334 Amortization of fair value increments (2,469) (2,914) (6,967) (9,370) Income tax recovery 1,661 1,691 4,491 7,825 (Loss) income from investment in MSC, net of amortization $ (462) $ 4,693 $ (535) $ 13,789

RECLAMATION OBLIGATIONS (Tables

RECLAMATION OBLIGATIONS (Tables)	9 Months Ended
	Sep. 30, 2017
RECLAMATION OBLIGATIONS
Schedule of reconciliation of asset retirement obligations	September 30, 2017 December 31, 2016 Asset retirement obligation liability, beginning of the period $ 9,843 $ 7,784 Settlements (97) (66) Accretion of liability 337 506 Current year additions 570 — Adjustment reflecting updated estimates (17) 1,619 Foreign exchange revaluation 48 — Asset retirement obligation liability, ending balance $ 10,684 $ 9,843 Current portion (689) (537) Non-current portion $ 9,995 $ 9,306

SHAREHOLDERS' EQUITY (Tables)

SHAREHOLDERS' EQUITY (Tables)	9 Months Ended
	Sep. 30, 2017
SHAREHOLDERS' EQUITY
Schedule of Black-Scholes pricing model to determine the fair value of warrants	Risk-free interest rate % Dividend yield % Volatility factor of the expected market price of common stock % Weighted-average expected life 53 weeks Weighted-average grant date fair value 0.40

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2017
STOCK-BASED COMPENSATION
Schedule of weighted-average assumptions used for estimation of the fair value of the options granted under the Plan at the date of grant, using the Black-Scholes Option Valuation Model	Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Risk-free interest rate % 1.15 % % 1.15 % Dividend yield % 0.25 % % 0.25 % Volatility factor of the expected market price of common stock % 74 % % 74 % Weighted-average expected life of option 3.5 years 5 years 3.5 years 5 years Weighted-average grant date fair value 1.40 2.36 1.52 2.36

(LOSS) INCOME PER SHARE (Tables

(LOSS) INCOME PER SHARE (Tables)	9 Months Ended
	Sep. 30, 2017
(LOSS) INCOME PER SHARE
Schedule of reconciliation of the basic weighted average number of common shares and the computations for basic loss per share	Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 (amounts in thousands, except net income per share) Net (loss) income $ (8,072) $ 4,208 $ (12,800) $ 25,546 Weighted average common shares outstanding: 314,077 298,510 307,445 298,330 Effect of employee stock-based awards — 2,535 — 1,665 Diluted shares outstanding: 314,077 301,045 307,445 299,995 Net (loss) income per share: Basic $ (0.03) $ 0.01 $ (0.04) $ 0.09 Diluted $ (0.03) $ 0.01 $ (0.04) $ 0.09

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	9 Months Ended
	Sep. 30, 2017
RELATED PARTY TRANSACTIONS
Schedule of related party expense (income) and outstanding accounts payable (receivable)	Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Lexam L.P. $ — $ 82 $ $ 153 Lexam VG Gold — 17 (33) 57 Noblegen Inc. 40 — — REVlaw 86 38 92 The Company has the following outstanding accounts payable balance in respect to the related parties outlined below: September 30, December 31, 2017 2016 Lexam VG Gold — 27 Noblegen Inc. 45 — REVlaw 35 148

OPERATING SEGMENT REPORTING (Ta

OPERATING SEGMENT REPORTING (Tables)	9 Months Ended
	Sep. 30, 2017
OPERATING SEGMENT REPORTING
Schedule of the financial information relating to the Company's segments	Total Segment Three months ended September 30, 2017 Mexico MSC Los Azules USA Timmins Income (Loss) Gold and silver sales $ 13,430 $ — $ — $ — $ — $ 13,430 Production costs applicable to sales (8,649) — — — — (8,649) Mine development costs (273) — — (1,109) — (1,382) Exploration costs (1,149) — (365) (556) (137) (2,207) Property holding costs (1,044) — — (935) — (1,979) General and administrative expenses (715) — (320) (441) (32) (1,508) Loss from investment in Minera Santa Cruz S.A. (net of amortization) — (462) — — — (462) Segment income (loss) $ 1,600 $ (462) $ (685) $ (3,041) $ (169) $ (2,757) Corporate and other Other exploration $ (149) General and administrative expenses (3,226) Depreciation (316) Revision of estimates and accretion of reclamation obligations (320) Interest and other expense (303) Other-than-temporary impairment on marketable equity securities (356) Unrealized gain on derivatives (933) Foreign currency gain (276) Net loss before income taxes $ (8,636) Total Segment Nine months ended September 30, 2017 Mexico MSC Los Azules USA Timmins Income (Loss) Gold and silver sales $ 43,373 $ — $ — $ — $ — $ 43,373 Production costs applicable to sales (24,193) — — — — (24,193) Mine development costs (605) — — (2,612) — (3,217) Exploration costs (4,201) — (7,507) (1,487) (267) (13,462) Property holding costs (2,089) — (48) (1,453) — (3,590) General and administrative expenses (2,594) — (949) (1,226) (58) (4,827) Loss from investment in Minera Santa Cruz S.A. (net of amortization) — (535) — — — (535) Segment income (loss) $ 9,691 $ (535) $ (8,504) $ (6,778) $ (325) $ (6,451) Corporate and other Other exploration $ (424) General and administrative expenses (8,278) Depreciation (1,125) Revision of estimates and accretion of reclamation obligations (541) Interest and other expense (478) Gain on sale of assets 11 Gain on sale of marketable equity securities 840 Other-than-temporary impairment on marketable equity securities (356) Unrealized gain on derivatives 136 Foreign currency gain 799 Net loss before income taxes $ (15,867) Total Segment Three months ended September 30, 2016 Mexico MSC Los Azules USA Timmins Income (Loss) Gold and silver sales $ 13,423 $ — $ — $ — $ — $ 13,423 Production costs applicable to sales (6,409) — — — — (6,409) Mine development costs (341) — — (593) — (934) Exploration costs (1,094) — (543) (506) — (2,143) Property holding costs (812) — (192) (888) — (1,892) General and administrative expenses (474) — (234) (69) — (777) Income from investment in Minera Santa Cruz S.A. (net of amortization) — 4,693 — — — 4,693 Segment income (loss) $ 4,293 $ 4,693 $ (969) $ (2,056) $ — $ 5,961 Corporate and other Other exploration $ (23) General and administrative expenses (2,456) Depreciation (312) Revision of estimates and accretion of reclamation obligations (125) Interest and other expense 599 Gain on sale of assets 24 Unrealized gain on derivatives (197) Foreign currency gain 130 Net income before income taxes $ 3,601 Total Segment Nine months ended September 30, 2016 Mexico MSC Los Azules USA Timmins Income (Loss) Gold and silver sales $ 49,226 $ — $ — $ — $ — $ 49,226 Production costs applicable to sales (21,239) — — — — (21,239) Mine development costs (1,038) — — (1,910) — (2,948) Exploration costs (2,739) — (1,046) (1,692) — (5,477) Property holding costs (1,642) — (367) (1,288) — (3,297) General and administrative expenses (1,963) — (419) (176) — (2,558) Income from investment in Minera Santa Cruz S.A. (net of amortization) — 13,789 — — — 13,789 Segment income (loss) $ 20,605 $ 13,789 $ (1,832) $ (5,066) $ — $ 27,496 Corporate and other Other exploration $ (118) General and administrative expenses (6,043) Depreciation (809) Revision of estimates and accretion of reclamation obligations (382) Interest and other income 754 Other-than-temporary impairment on marketable equity securities (882) Gain on sale of assets 24 Gain on sale of marketable securities 22 Unrealized gain on derivatives 1,522 Foreign currency gain 632 Net income before income taxes $ 22,216
Schedule Of Geographic Information	Geographic information Revenue (1) Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Mexico $ 13,430 $ 13,423 $ 43,373 $ 49,226 Total consolidated $ 13,430 $ 13,423 $ 43,373 $ 49,226 Long-lived Assets as at September 30, December 31, 2017 2016 Canada $ 42,555 $ 663 Mexico 36,879 27,582 USA 37,071 37,620 Argentina (2) 346,082 353,879 Total consolidated $ 462,587 $ 419,744 (1) Presented based on the location from which the product originated. (2)

FAIR VALUE ACCOUNTING (Tables)

FAIR VALUE ACCOUNTING (Tables)	9 Months Ended
	Sep. 30, 2017
FAIR VALUE ACCOUNTING
Schedule of assets and liabilities measured at fair value on a recurring basis by level within the fair value hierarchy	Fair Value as at September 30, 2017 Total Level 1 Level 2 Level 3 Assets: Investments $ 9,225 $ 7,295 $ 1,930 $ — Total $ 9,225 $ 7,295 $ 1,930 $ — Fair Value as at December 31 2016 Total Level 1 Level 2 Level 3 Assets: Investments $ 8,543 $ 6,749 $ 1,794 $ — Total $ 8,543 $ 6,749 $ 1,794 $ —

ACQUISITION OF LEXAM (Tables)

ACQUISITION OF LEXAM (Tables)	9 Months Ended
	Sep. 30, 2017
ACQUISITION OF LEXAM
Schedule of purchase price allocation	Total purchase price: Common shares issued for acquisition $ 38,141 Transaction fees incurred 1,017 $ 39,158 Fair value of assets acquired and liabilities assumed: Mineral property interests $ 41,595 Cash and cash equivalents 177 Other current assets 86 Other assets 312 Accounts payable and accrued liabilities (288) Reclamation obligations (570) Deferred income tax liabilities (2,154) $ 39,158

NATURE OF OPERATIONS AND SUMM35

NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	Sep. 30, 2017	Sep. 30, 2016
MSC
Ownership interest (as a percent)	49.00%	49.00%

INVESTMENTS (Details)

INVESTMENTS (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Fair value Available for Sale
Opening balance			$ 8,543	$ 1,032	$ 1,032
Additions during the period				2,518	4,419
Disposals during the period			(2,155)	(470)	(470)
Other Comprehensive Income (Loss) (pre -tax)			2,217		3,043
Statement of Operations (Loss) Income			620		519
Fair Value end of the period	$ 9,225		9,225		8,543
Cost of purchase of marketable equity securities			3,300		4,900
Unrealized (loss) gain on derivatives (note 2)	(933)	$ (197)	136	1,522
Gain on available-for-sale securities, pre-tax	800		800	100
Other-than-temporary impairment on marketable equity securities (note 2)	(356)		(356)	(882)
Sale of marketable securities	2,200		2,200
Other-than-temporary impairment on marketable equity securities	356		356	882
Other comprehensive loss, net of tax		$ 300	1,582	1,800
Marketable equity securities
Fair value Available for Sale
Opening balance			6,749	$ 1,032	1,032
Additions during the period					4,004
Disposals during the period			(2,155)		(470)
Other Comprehensive Income (Loss) (pre -tax)			2,217		3,043
Statement of Operations (Loss) Income			484		(860)
Fair Value end of the period	7,295		7,295		6,749
Warrants
Fair value Available for Sale
Opening balance			1,794
Additions during the period					415
Statement of Operations (Loss) Income			136		1,379
Fair Value end of the period	$ 1,930		$ 1,930		$ 1,794

INVENTORIES (Details)

INVENTORIES (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Dec. 31, 2016
Inventories
Material on leach pads	$ 10,412	$ 14,267
In-process inventory	3,376	4,953
Stockpiles	1,960	1,102
Precious metals	2,328	5,035
Materials and supplies	1,484	1,263
Current Inventories	19,560	$ 26,620
Other assets
Inventories
Non-current portion of ore on leach pads	$ 10,900

MINERAL PROPERTY INTEREST - Min

MINERAL PROPERTY INTEREST - Mineral Property Interests (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Mineral Property Interests
Mineral property interests	$ 282,721		$ 282,721		$ 242,640
Amortization of mineral property interests and asset retirement obligations			1,513	$ 1,845
El Gallo 1 mine
Mineral Property Interests
Amortization of mineral property interests	$ 400	$ 700	$ 1,500	$ 1,800

INVESTMENT IN MINERA SANTA CR39

INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE - Equity Method Investments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE
Dividends received from Minera Santa Cruz S.A. (note 5)			$ 7,195	$ 13,270
Corporate Venture
INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE
Ownership interest (as a percent)	100.00%		100.00%
MSC
INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE
Ownership interest (as a percent)	49.00%	49.00%	49.00%	49.00%
Results of operations	$ 500	$ 4,700		$ 13,800
Dividends received from Minera Santa Cruz S.A. (note 5)	$ 2,300	$ 7,900	$ 7,200	$ 13,300

INVESTMENT IN MINERA SANTA CR40

INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE - Changes in Company's Investment in MSC (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Change in the investment in MSC
Investment in MSC, beginning balance			$ 162,320
Income tax recovery	$ (564)	$ (607)	(3,067)	$ (3,330)
Investment in MSC, ending balance	154,590		154,590		$ 162,320
MSC
Change in the investment in MSC
Investment in MSC, beginning balance			162,320	167,107	167,107
Attributable net income from MSC	346	5,916	1,941	15,334	15,961
Amortization of fair value increments	2,469	2,914	6,967	9,370	12,274
Income tax recovery	(1,661)	$ (1,691)	(4,491)	$ (7,825)	(9,264)
Dividends received			(7,195)		(17,738)
Investment in MSC, ending balance	$ 154,590		$ 154,590		$ 162,320

INVESTMENT IN MINERA SANTA CR41

INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE - Summary of Operating Results from MSC (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE
Income taxes recovery	$ 564	$ 607	$ 3,067	$ 3,330
Loss income from investment in MSC, net of amortization	(462)	4,693	(535)	13,789
MSC
INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE
Net sales	52,722	72,116	161,900	182,769
Production costs applicable to sales	(43,596)	(49,345)	(132,710)	(125,904)
Net income (loss)	$ 707	$ 12,072	$ 3,962	$ 31,293
Ownership interest (as a percent)	49.00%	49.00%	49.00%	49.00%
Net income (loss)	$ 346	$ 5,916	$ 1,941	$ 15,334	$ 15,961
Amortization of fair value increments	(2,469)	(2,914)	(6,967)	(9,370)	(12,274)
Income taxes recovery	1,661	1,691	4,491	7,825	$ 9,264
Loss income from investment in MSC, net of amortization	$ (462)	$ 4,693	$ (535)	$ 13,789

INVESTMENT IN MINERA SANTA CR42

INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE - Assets and Liabilities Associated with MSC (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE
Current assets	$ 108,450	$ 78,574
Total assets	571,037	498,318
Current liabilities	25,771	20,581
Total liabilities	59,786	$ 55,279
MSC
INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE
Current assets	99,100
Total assets	419,100
Current liabilities	35,000
Total liabilities	103,700
MSC | Current Period Values Excluding Fair Value Increments And Impairment Charge
INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE
Current assets	98,500
Total assets	255,300
Current liabilities	40,200
Total liabilities	$ 65,600

RECLAMATION OBLIGATIONS (Detail

RECLAMATION OBLIGATIONS (Details) $ in Thousands, CAD in Millions	Sep. 30, 2017CAD	Sep. 30, 2017USD ($)	Sep. 30, 2017USD ($)	Dec. 31, 2016USD ($)
RECLAMATION OBLIGATIONS
Surety bonding obligation	CAD 20.6	$ 16,500
Changes in the asset retirement obligations
Asset retirement obligation liability, beginning balance			$ 9,843	$ 7,784
Settlements			(97)	(66)
Accretion of liability			337	506
Current year additions			570
Adjustment reflecting updated estimates			(17)	1,619
Foreign exchange revaluation			48
Asset retirement obligation liability, ending balance		10,684	10,684	9,843
Current portion		(689)	(689)	(537)
Non-current portion		$ 9,995	$ 9,995	$ 9,306

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
INCOME TAXES.
Statutory tax rate (as a percent)			35.00%
Deferred income tax expense due to increased explorations and deferred income tax recovery due to currency devaluation	$ (0.6)		$ 3.1
Deferred income tax recovery due to currency devaluation		$ 0.6		$ 3.3

SHAREHOLDERS' EQUITY (Details)

SHAREHOLDERS' EQUITY (Details)	Sep. 22, 2017USD ($)item$ / sharesshares	Sep. 30, 2017$ / sharesshares	Sep. 30, 2016$ / shares	Sep. 30, 2017USD ($)$ / sharesshares	Sep. 30, 2016USD ($)$ / sharesshares	Jun. 30, 2017shares	Apr. 26, 2017$ / shares	Dec. 31, 2016shares
Common stock issued		332,977,000		332,977,000				299,570,000
Shares of common stock issued upon exercise of stock options					1,377,085
Exercise of stock options | $				$ 47,000	$ 3,500,000
Return of capital distribution | $				3,059,000	$ 2,986,000
Semi-annual return of capital paid (in dollars per share) | $				0.01
Number of units issued	20,700,000
Number of warrants issued | item	10,350,000
Net proceeds | $	$ 43,200,000			39,397,000
Issuance costs | $	$ 3,400,000			$ 3,353,000
Principal assumptions used in applying the Black-Scholes option pricing model for the awards
Risk-free interest rate (as a percent)		1.46%	1.15%	1.49%	1.15%
Dividend yield (as a percent)		0.36%	0.25%	0.34%	0.25%
Volatility factor of the expected market price of common stock (as a percent)		72.00%	74.00%	73.00%	74.00%
Weighted-average expected life of option		3 years 6 months	5 years	3 years 6 months	5 years
Weighted-average grant date fair value (in dollars per share) | $ / shares		$ 1.40	$ 2.36	$ 1.52	$ 2.36
Common Stock
Shares of common stock issued upon exercise of stock options				20,000	1,377,000
Weighted average exercise price of stock options (in dollars per share) | $ / shares				$ 2.34	$ 2.56
Exercise of stock options | $				$ 47,000	$ 3,500,000
Return of capital distribution | $				$ 3,059,000	$ 2,986,000
Share repurchase program (in shares)					558,000
Number of units issued				20,700,000
Net proceeds | $				$ 39,397,000
Warrants
Number of common share per warrant		1		1
Price per common share for each warrant | $ / shares		$ 2.70		$ 2.70
Number of units allocated to common stock		10,350,000		10,350,000
Number of warrants remained outstanding and unexercised		10,350,000		10,350,000
Principal assumptions used in applying the Black-Scholes option pricing model for the awards
Risk-free interest rate (as a percent)	1.56%
Dividend yield (as a percent)	0.36%
Volatility factor of the expected market price of common stock (as a percent)	71.00%
Weighted-average expected life of option				1 year
Weighted-average grant date fair value (in dollars per share) | $ / shares	$ 0.40
Lexam
Price per unit | $ / shares							$ 3
Lexam | Common Stock
Common stock issued						12,687,035

STOCK-BASED COMPENSATION - Stoc

STOCK-BASED COMPENSATION - Stock Option Activity (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	Apr. 26, 2017	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
STOCK BASED COMPENSATION
Stock option expense		$ 0.3	$ 0.3	$ 1.1	$ 0.8
Certain employees and directors
STOCK BASED COMPENSATION
Stock options granted (in shares)				0.4	0.6
Weighted average exercise price				$ 2.78	$ 3.99
Vesting period of options				3 years	3 years
Exercisable period of options				5 years	5 years
Lexam
STOCK BASED COMPENSATION
Share replacement awards	$ 0.1			$ 0.1
Ratio of Company's share for acquired company's share	0.056%			0.056%

STOCK-BASED COMPENSATION - Summ

STOCK-BASED COMPENSATION - Summary of Assumptions (Details) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Principal assumptions used in applying the Black-Scholes option pricing model for the awards
Risk-free interest rate (as a percent)	1.46%	1.15%	1.49%	1.15%
Dividend yield (as a percent)	0.36%	0.25%	0.34%	0.25%
Volatility factor of the expected market price of common stock (as a percent)	72.00%	74.00%	73.00%	74.00%
Weighted-average expected life of option	3 years 6 months	5 years	3 years 6 months	5 years
Weighted-average grant date fair value (in dollars per share)	$ 1.40	$ 2.36	$ 1.52	$ 2.36

(LOSS) INCOME PER SHARE (Detail

(LOSS) INCOME PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Antidilutive Securities Excluded from Computation of Earnings Per Share
Net (loss) income	$ (8,072)	$ 4,208	$ (12,800)	$ 25,546
Weighted average number of common shares	314,077	298,510	307,445	298,330
Effect of employee stock-based awards		2,535		1,665
Diluted shares outstanding	314,077	301,045	307,445	299,995
Net income (loss) per share:
Basic (in dollars per share)	$ (0.03)	$ 0.01	$ (0.04)	$ 0.09
Diluted (in dollars per share)	$ (0.03)	$ 0.01	$ (0.04)	$ 0.09
Options
Antidilutive Securities Excluded from Computation of Earnings Per Share
Options outstanding not included in the computation of diluted weighted average shares because their effect would have been anti-dilutive (in shares)	1,300		2,400
Average exercise price of options outstanding (in dollars per share)	$ 5.18		$ 4.14

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Apr. 26, 2017	Dec. 31, 2016
RELATED PARTY TRANSACTIONS
Accounts payable	$ 25,082		$ 25,082			$ 20,044
Noblegen Inc.
RELATED PARTY TRANSACTIONS
Accounts payable	45		45
Entity Affiliated With Related Party | Lexam L.P.
RELATED PARTY TRANSACTIONS
Expense (income)		$ 82	90	$ 153
Ownership percentage of individual					27.00%
Entity Affiliated With Related Party | Lexam VG Gold
RELATED PARTY TRANSACTIONS
Expense (income)		17	(33)	57
Accounts payable						27
Entity Affiliated With Related Party | REVlaw
RELATED PARTY TRANSACTIONS
Expense (income)	86	$ 38	169	$ 92
Accounts payable	35		35			$ 148
Entity Affiliated With Related Party | Noblegen Inc.
RELATED PARTY TRANSACTIONS
Expense (income)	$ 40		$ 40
Lexam
RELATED PARTY TRANSACTIONS
Accounts payable					$ 288
Interest acquired (as a percent)					100.00%

OPERATING SEGMENT REPORTING (De

OPERATING SEGMENT REPORTING (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016	Dec. 31, 2015
Operating Segment Reporting
Gold and silver sales	$ 13,430	$ 13,423	$ 43,373	$ 49,226
Production costs applicable to sales	(8,649)	(6,409)	(24,193)	(21,239)
Mine development costs	(1,382)	(934)	(3,217)	(2,948)
Exploration costs	(2,356)	(2,166)	(13,886)	(5,595)
Property holding costs	(1,979)	(1,892)	(3,590)	(3,297)
General and administrative expenses	(4,734)	(3,233)	(13,105)	(8,601)
Income (loss) on investment in Minera Santa Cruz S.A. (net of amortization)	(462)	4,693	(535)	13,789
Depreciation	316	312	1,125	809
Reclamation and Remediation			337		$ 506
Revision of estimates and accretion of reclamation obligations	(320)	(125)	(541)	(382)
Gain on sale of assets		24	11	24
Gain on sale of marketable securities			(840)	(22)
Other-than-temporary impairment on marketable equity securities	(356)		(356)	(882)
Unrealized gain on derivative instrument	(933)	(197)	136	1,522
Foreign currency (loss) gain	(276)	130	799	632
Net Income before income taxes	(8,636)	3,601	(15,867)	22,216
Revenues	13,430	13,423	43,373	49,226
Long-Lived Assets	462,587		462,587		419,744
Investment in MSC	154,590		154,590		162,320
Mexico
Operating Segment Reporting
Gold and silver sales	13,430	13,423	43,373	49,226
Production costs applicable to sales	(8,649)	(6,409)	(24,193)	(21,239)
Mine development costs	(273)	(341)	(605)	(1,038)
Exploration costs	(1,149)	(1,094)	(4,201)	(2,739)
Property holding costs	(1,044)	(812)	(2,089)	(1,642)
General and administrative expenses	(715)	(474)	(2,594)	(1,963)
Segment income (loss)	1,600	4,293	9,691	20,605
MSC
Operating Segment Reporting
Income (loss) on investment in Minera Santa Cruz S.A. (net of amortization)	(462)	4,693	(535)	13,789
Segment income (loss)	(462)	4,693	(535)	13,789
Los Azules
Operating Segment Reporting
Exploration costs	(365)	(543)	(7,507)	(1,046)
Property holding costs		(192)	(48)	(367)
General and administrative expenses	(320)	(234)	(949)	(419)
Segment income (loss)	(685)	(969)	(8,504)	(1,832)
Nevada
Operating Segment Reporting
Mine development costs	(1,109)	(593)	(2,612)	(1,910)
Exploration costs	(556)	(506)	(1,487)	(1,692)
Property holding costs	(935)	(888)	(1,453)	(1,288)
General and administrative expenses	(441)	(69)	(1,226)	(176)
Segment income (loss)	(3,041)	(2,056)	(6,778)	(5,066)
Timmins
Operating Segment Reporting
Exploration costs	(137)		(267)
General and administrative expenses	(32)		(58)
Segment income (loss)	(169)		(325)
Total Segment
Operating Segment Reporting
Gold and silver sales	13,430	13,423	43,373	49,226
Production costs applicable to sales	(8,649)	(6,409)	(24,193)	(21,239)
Mine development costs	(1,382)	(934)	(3,217)	(2,948)
Exploration costs	(2,207)	(2,143)	(13,462)	(5,477)
Property holding costs	(1,979)		(3,590)
General and administrative expenses	(1,508)	(777)	(4,827)	(2,558)
Income (loss) on investment in Minera Santa Cruz S.A. (net of amortization)	(462)	4,693	(535)	13,789
Segment income (loss)	(2,757)	5,961	(6,451)	27,496
Corporate & Other
Operating Segment Reporting
Exploration costs	(149)	(23)	(424)	(118)
General and administrative expenses	(3,226)	(2,456)	(8,278)	(6,043)
Depreciation	(316)	(312)	(1,125)	(809)
Revision of estimates and accretion of reclamation obligations	(320)	(125)	(541)	(382)
Interest income and other income	(303)	599	(478)	754
Gain on sale of assets			11
Gain on sale of marketable securities			840	22
Other-than-temporary impairment on marketable equity securities				882
Unrealized gain on derivative instrument	(933)	(197)	136	1,522
Foreign currency (loss) gain	(276)	130	799	632
Net Income before income taxes	(8,636)	3,601	(15,867)	22,216
MSC
Operating Segment Reporting
Income (loss) on investment in Minera Santa Cruz S.A. (net of amortization)	(462)	4,693	(535)	13,789
Investment in MSC	154,590		154,590		162,320	$ 167,107
Canada
Operating Segment Reporting
Long-Lived Assets	42,555		42,555		663
Mexico
Operating Segment Reporting
Revenues	13,430	$ 13,423	43,373	$ 49,226
Long-Lived Assets	36,879		36,879		27,582
United States
Operating Segment Reporting
Long-Lived Assets	37,071		37,071		37,620
Argentina
Operating Segment Reporting
Long-Lived Assets	$ 346,082		$ 346,082		$ 353,879

FAIR VALUE ACCOUNTING (Details)

FAIR VALUE ACCOUNTING (Details) - Recurring - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Assets:
Investments	$ 9,225	$ 8,543
Assets	9,225	8,543
Level 1
Assets:
Investments	7,295	6,749
Assets	7,295	6,749
Level 2
Assets:
Investments	1,930	1,794
Assets	$ 1,930	$ 1,794

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - Reclamation Bonds (Details) $ in Thousands, CAD in Millions	Sep. 30, 2017CAD	Sep. 30, 2017USD ($)	Aug. 25, 2017USD ($)	Jun. 30, 2017USD ($)	Jun. 23, 2017USD ($)	Sep. 30, 2017USD ($)	Dec. 31, 2016USD ($)
Reclamation Bonds
Other assets		$ 11,227				$ 11,227	$ 532
Percentage of annual fees on surety bonds	2.00%	2.00%
Surety bonds upfront deposit amount		$ 0				500
Surety bonding obligation	CAD 20.6	16,500
Outstanding surety bonds		20,000				20,000
Reclamation Bonds
Reclamation Bonds
Face amount					$ 20,000
Percentage of annual fees on surety bonds					2.00%
Surety bonds upfront deposit amount			$ 15,000		$ 0
Outstanding surety bonds		19,900				19,900
Drew down			$ 15,000
Timmins
Reclamation Bonds
Surety bonds upfront deposit amount				$ 100
Other assets | Timmins
Reclamation Bonds
Other assets		$ 100				$ 100

ACQUISITION OF LEXAM (Details)

ACQUISITION OF LEXAM (Details) - USD ($) $ / shares in Units, $ in Thousands	Apr. 26, 2017	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
ACQUISITION OF LEXAM
Common shares issued for acquisition		$ 38,141
Transaction fees incurred			$ 5,950
Fair value of assets acquired and liabilities assumed:
Mineral property interests		282,721		$ 242,640
Other current assets		2,790		1,667
Other non-current assets		11,227		532
Accounts payable and accrued liabilities		(25,082)		(20,044)
Reclamation obligations		(689)		(537)
Deferred income tax liabilities		(23,363)		$ (23,665)
Lexam
ACQUISITION OF LEXAM
Common shares issued (in shares)	12,687,035
Share price	$ 3
Share replacement awards	$ 100	$ 100
Common shares issued for acquisition	38,141
Transaction fees incurred	1,017
Purchase price	39,158
Fair value of assets acquired and liabilities assumed:
Mineral property interests	41,595
Cash and cash equivalents	177
Other current assets	86
Other non-current assets	312
Accounts payable and accrued liabilities	(288)
Reclamation obligations	(570)
Deferred income tax liabilities	(2,154)
Total fair value of assets acquired and liabilities assumed	$ 39,158
Common Stock Exchange Ratio For Acquisition	0.056%	0.056%
Lexam | Maximum
Fair value of assets acquired and liabilities assumed:
Net profit interest	20.00%
Lexam | Minimum
Fair value of assets acquired and liabilities assumed:
Net profit interest	10.00%
Buffalo Ankerite, Fuller and Davidson Tisdale | Lexam
Fair value of assets acquired and liabilities assumed:
Percentage of interest in the deposit	100.00%
Timmins Ontario | Lexam
Fair value of assets acquired and liabilities assumed:
Percentage of interest in the deposit	61.00%
Goldcorp Inc | Lexam
Fair value of assets acquired and liabilities assumed:
Percentage of interest in the deposit	39.00%

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) $ in Millions	Oct. 06, 2017USD ($)
Subsequent Event | Black Fox
Subsequent Event
Cash consideration	$ 27.5