Cover
Cover | 12 Months Ended |
Dec. 31, 2020shares | |
Cover [Abstract] | |
Entity Registrant Name | AVINO SILVER & GOLD MINES LTD |
Entity Central Index Key | 0000316888 |
Document Type | 20-F |
Amendment Flag | false |
Entity Voluntary Filers | No |
Current Fiscal Year End Date | --12-31 |
Entity Well Known Seasoned Issuer | No |
Entity Shell Company | false |
Entity Emerging Growth Company | false |
Entity Current Reporting Status | Yes |
Document Period End Date | Dec. 31, 2020 |
Entity Filer Category | Non-accelerated Filer |
Document Fiscal Period Focus | FY |
Document Fiscal Year Focus | 2020 |
Entity Common Stock Shares Outstanding | 89,568,682 |
Document Annual Report | true |
Document Transition Report | false |
Entity Interactive Data Current | Yes |
Document Shell Company Report | false |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets | ||
Cash | $ 11,713 | $ 9,625 |
Amounts receivable | 529 | 1,477 |
Taxes recoverable | 5,044 | 5,483 |
Prepaid expenses and other assets | 757 | 594 |
Inventory | 1,659 | 5,592 |
Total current assets | 19,702 | 22,771 |
Exploration and evaluation assets | 10,052 | 9,827 |
Plant, equipment and mining properties | 34,846 | 35,658 |
Long-term investments | 4,176 | 4,311 |
Other assets | 4 | 4 |
Total assets | 68,780 | 72,571 |
Current liabilities | ||
Accounts payable and accrued liabilities | 2,068 | 4,907 |
Amounts due to related parties | 154 | 156 |
Taxes payable | 7 | 46 |
Current portion of term facility | 2,513 | 3,384 |
Current portion of equipment loans | 72 | 199 |
Current portion of finance lease obligations | 208 | 692 |
Other liabilities | 0 | 178 |
Total current liabilities | 5,022 | 9,562 |
Term facility | 0 | 2,513 |
Equipment loans | 0 | 90 |
Finance lease obligations | 278 | 442 |
Warrant liability | 2,295 | 1,579 |
Reclamation provision | 808 | 1,524 |
Deferred income tax liabilities | 1,369 | 2,938 |
Total liabilities | 9,772 | 18,648 |
EQUITY | ||
Share capital | 108,303 | 96,396 |
Equity reserves | 9,951 | 9,391 |
Treasury shares (14,180 shares, at cost) | (97) | (97) |
Accumulated other comprehensive loss | (4,810) | (4,563) |
Accumulated deficit | (54,339) | (47,204) |
Total equity | 59,008 | 53,923 |
Total liabilities and equity | $ 68,780 | $ 72,571 |
Consolidated Statements of Fi_2
Consolidated Statements of Financial Position (Parenthetical) - shares | Dec. 31, 2020 | Dec. 31, 2019 |
EQUITY | ||
Treasury shares | 14,180 | 14,180 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Consolidated Statements of Operations and Comprehensive Income (Loss) | |||
Revenue from mining operations | $ 16,022 | $ 31,746 | $ 34,116 |
Cost of sales | 15,832 | 32,016 | 27,850 |
Mine operating income (loss) | 190 | (270) | 6,266 |
Operating expenses: | |||
General and administrative expenses | 2,902 | 3,193 | 3,610 |
Share-based payments | 1,857 | 937 | 630 |
Income (loss) before other items | (4,569) | (4,400) | 2,026 |
Other items: | |||
Interest and other income | 332 | 545 | 215 |
Unrealized gain (loss) on long-term investments | (124) | 1,282 | (5) |
Realized loss on exercise of warrants | (2,733) | 0 | 0 |
Fair value adjustment on warrant liability | (650) | 520 | 1,304 |
Unrealized foreign exchange loss | (811) | (663) | (801) |
Finance cost | (211) | (84) | (444) |
Accretion of reclamation provision | (99) | (104) | (122) |
Interest expense | (25) | (64) | (109) |
Income (loss) from continuing operations before income taxes | (8,890) | (2,968) | 2,064 |
Income taxes: | |||
Current income tax expense | (161) | (327) | (1,052) |
Deferred income tax recovery | 1,569 | 960 | 645 |
Income tax recovery (expense) | 1,408 | 633 | (407) |
Net income (loss) from continuing operations | (7,482) | (2,335) | 1,657 |
Loss from discontinued operations and on disposal | (169) | (29,126) | (31) |
Net income (loss) | (7,651) | (31,461) | 1,626 |
Other comprehensive income (loss): | |||
Currency translation differences | (247) | 1,603 | (2,051) |
Reclassification of foreign exchange on translation into net loss on sale of discontinued operations | 0 | (42) | 0 |
Total comprehensive loss | $ (7,898) | $ (29,900) | $ (425) |
Earnings (loss) per share from continuing operations: | |||
Basic | $ (0.09) | $ (0.03) | $ 0.03 |
Diluted | (0.09) | (0.03) | 0.03 |
Earnings (loss) per share | |||
Basic | (0.09) | (0.45) | 0.03 |
Diluted | $ (0.09) | $ (0.45) | $ 0.03 |
Weighted average number of common shares outstanding | |||
Basic | 83,180,069 | 69,980,178 | 56,851,626 |
Diluted | 83,180,069 | 69,980,178 | 60,000,637 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Common Stock | Equity Reserves | Accumulated Other Comprehensive Income (Loss) | Treasury Shares | Accumulated Deficit |
Balance, shares at Dec. 31, 2017 | 52,718,153 | |||||
Balance, amount at Dec. 31, 2017 | $ 69,002 | $ 81,468 | $ 10,581 | $ (4,073) | $ (97) | $ (18,877) |
Statement [Line Items] | ||||||
Brokered public offerings, shares | 10,105,658 | |||||
Brokered public offerings, amount | 6,547 | $ 6,547 | $ 0 | 0 | 0 | |
Less: Issuance costs | (895) | $ (895) | $ 0 | 0 | 0 | |
At the market issuances, shares | 151,800 | |||||
At the market issuances, amount | 136 | $ 136 | $ 0 | 0 | 0 | |
Less: Issuance costs | (4) | $ (4) | ||||
Exercise of stock options, shares | 87,500 | |||||
Exercise of stock options, amount | 112 | $ 112 | ||||
Carrying value of stock options exercised | 84 | $ (84) | ||||
Less: shares issuance costs | (5) | $ (5) | ||||
Carrying value RSUs exercised, shares | 274,658 | |||||
Carrying value RSUs exercised, amount | $ 602 | (602) | ||||
Option cancelled or expired | $ 0 | (746) | 746 | |||
Shares- based payments | 700 | 700 | ||||
Net income for the year | 1,626 | 1,626 | ||||
Currency translations differences | (2,051) | (2,051) | ||||
Balance, shares at Dec. 31, 2018 | 63,337,769 | |||||
Balance, amount at Dec. 31, 2018 | 75,168 | $ 88,045 | $ 9,849 | (6,124) | (97) | (16,505) |
Statement [Line Items] | ||||||
Less: Issuance costs | (162) | $ (162) | $ 0 | 0 | 0 | |
At the market issuances, shares | 4,954,000 | |||||
At the market issuances, amount | 2,924 | $ 2,924 | $ 0 | $ 0 | 0 | 0 |
Carrying value RSUs exercised, shares | 565,259 | |||||
Carrying value RSUs exercised, amount | $ 835 | (835) | ||||
Option cancelled or expired | (762) | 762 | ||||
Shares- based payments | 1,023 | 1,023 | ||||
Net income for the year | (31,461) | (31,461) | ||||
Currency translations differences | 1,561 | $ 1,561 | ||||
Brokered public offerings, amount | 4,877 | $ 4,877 | ||||
Brokered public offerings, shares | 7,735,360 | |||||
Less: Issuance costs | (472) | $ (472) | ||||
Fair value of warrants issued | 116 | 116 | ||||
Share to be issued | 349 | $ 349 | ||||
Balance, shares at Dec. 31, 2019 | 76,592,388 | |||||
Balance, amount at Dec. 31, 2019 | 53,923 | $ 96,396 | 9,391 | $ (4,563) | (97) | (47,204) |
Statement [Line Items] | ||||||
At the market issuances, shares | 6,730,054 | |||||
At the market issuances, amount | 4,940 | $ 4,940 | 0 | $ 0 | 0 | 0 |
Net income for the year | (7,651) | 0 | (7,651) | |||
Currency translations differences | (247) | 0 | $ (247) | |||
Exercise of warrants, shares | 4,659,194 | |||||
Exercise of warrants, amount | 6,412 | $ 6,528 | (116) | $ 0 | 0 | |
Exercise of options, shares | 48,000 | |||||
Exercise of options, amount | 28 | $ 43 | $ (15) | $ 0 | 0 | |
Common shares issued for services, shares | 675,145 | |||||
Common shares issued for services, amount | 0 | $ 0 | $ 0 | $ 0 | 0 | 0 |
Issuance costs | (254) | (254) | 0 | 0 | 0 | |
Options cancelled or expired | 0 | (516) | $ 0 | 0 | 516 | |
Carrying value of RSUs exercised, amount | $ 650 | $ (650) | ||||
Carrying value of RSUs exercised, shares | 863,901 | |||||
Share-based payments | 1,857 | $ 1,857 | $ 0 | 0 | ||
Balance, shares at Dec. 31, 2020 | 89,568,682 | |||||
Balance, amount at Dec. 31, 2020 | $ 59,008 | $ 108,303 | $ 9,951 | $ (4,810) | $ (97) | $ (54,339) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Operating Activities | |||
Net income (loss) | $ (7,651) | $ (31,461) | $ 1,626 |
Adjustments for non-cash items: | |||
Deferred income tax expense (recovery) | (1,569) | (960) | (645) |
Depreciation and depletion | 1,917 | 3,723 | 3,256 |
Inventory net realizable value adjustment | 387 | 0 | |
Accretion of reclamation provision | 99 | 104 | 122 |
Unrealized loss (gain) on investments | 124 | (1,282) | 5 |
Foreign exchange loss | (588) | 1,461 | 270 |
Fair value adjustment on warrant liability | 650 | (520) | (1,304) |
Realized loss on exercise of warrants | 2,733 | 0 | 0 |
Fair value adjustment on modification of term facility | 0 | 0 | 234 |
Unwinding of fair value adjustment of term facility | (51) | (170) | 0 |
Loss from discontinued operations and on disposal | 29,126 | 31 | |
Share-based payments | 1,857 | 937 | 630 |
Cash flows from (used in) operations before changes in working capital | (2,479) | 1,345 | 4,225 |
Net change in non-cash working capital items | 2,551 | 4,162 | 4,999 |
Cash flows from (used in) operations | 72 | 5,507 | 9,224 |
Financing Activities | |||
Shares and units issued for cash, net of issuance costs | 8,393 | 7,283 | 8,466 |
Finance lease payments | (640) | (956) | (1,166) |
Equipment loan payments | (217) | (524) | (1,445) |
Term facility payments | (3,333) | (833) | (2,000) |
Net cash used in financing activities | 4,203 | 4,970 | 3,855 |
Investing Activities | |||
Exploration and evaluation expenditures | (231) | (5,723) | (5,361) |
Additions to plant, equipment and mining properties | (2,014) | (3,276) | (9,416) |
Changes in long-term investments | 78 | 23 | 0 |
Cash proceeds from sale of discontinued operations | 0 | 6,599 | 0 |
Cash disposed of in discontinued operations | 0 | (1,459) | 0 |
Redemption of short-term investments | 0 | 0 | 1,000 |
Redemption of reclamation bonds | 0 | 102 | 548 |
Net cash used in investing activities | (2,167) | (3,734) | (13,229) |
Change in cash | 2,108 | 6,743 | (150) |
Effect of exchange rate changes on cash | (20) | (370) | (18) |
Cash, Beginning | 9,625 | 3,252 | 3,420 |
Cash, Ending | $ 11,713 | $ 9,625 | $ 3,252 |
NATURE OF OPERATIONS
NATURE OF OPERATIONS | 12 Months Ended |
Dec. 31, 2020 | |
Note 1 - NATURE OF OPERATIONS | Avino Silver & Gold Mines Ltd. (the “Company” or “Avino”) was incorporated in 1968 under the laws of the Province of British Columbia, Canada. The Company is engaged in the production and sale of silver, gold, and copper and the acquisition, exploration, and advancement of mineral properties. The Company’s head office and principal place of business is Suite 900, 570 Granville Street, Vancouver, BC, Canada. The Company is a reporting issuer in Canada and the United States, and trades on the Toronto Stock Exchange (“TSX”), the NYSE American, and the Frankfurt and Berlin Stock Exchanges. The Company owns interests in mineral properties located in Durango, Mexico, as well as in British Columbia and the Yukon, Canada. On October 1, 2012, the Company commenced production of silver and gold at levels intended by management at its San Gonzalo Mine, and on July 1, 2015, the Company commenced production of copper, silver, and gold at levels intended by management at its Avino Mine; both mines are located on the historic Avino property in the state of Durango, Mexico. Risks associated with Public Health Crises, including COVID-19 The Company's business, operations and financial condition could be materially adversely affected by the outbreak of epidemics, pandemics or other health crises, such as the outbreak of COVID-19 that was designated as a pandemic by the World Health Organization on March 11, 2020. The international response to the spread of COVID-19 has led to significant restrictions on travel, temporary business closures, quarantines, global stock market volatility and a general reduction in consumer activity. Such public health crises can result in operating, supply chain and project development delays and disruptions, global stock market and financial market volatility, declining trade and market sentiment, reduced movement of people and labour shortages, and travel and shipping disruption and shutdowns, including as a result of government regulation and prevention measures, or a fear of any of the foregoing, all of which could affect commodity prices, interest rates, credit risk and inflation. In addition, the current COVID-19 pandemic, and any future emergence and spread of similar pathogens could have an adverse impact on global economic conditions which may adversely impact the Company's operations, and the operations of suppliers, contractors and service providers, including smelter and refining service providers, and the demand for the Company's production. The Company may experience business interruptions, including suspended (whether government mandated or otherwise) or reduced operations relating to COVID-19 and other such events outside of the Company's control, which could have a material adverse impact on its business, operations and operating results, financial condition and liquidity. As at the date of the consolidated financial statements, the duration of the business disruptions internationally and related financial impact of COVID-19 cannot be reasonably estimated. It is unknown whether and how the Company may be affected if the pandemic persists for an extended period of time. In particular, the region in which we operate may not have sufficient public infrastructure to adequately respond or efficiently and quickly recover from such event, which could have a materially adverse effect on the Company's operations. The Company's exposure to such public health crises also includes risks to employee health and safety. Should an employee, contractor, community member or visitor become infected with a serious illness that has the potential to spread rapidly, this could place the Company's workforce at risk. |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 12 Months Ended |
Dec. 31, 2020 | |
Note 2 - BASIS OF PRESENTATION | Statement of Compliance These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). Basis of Presentation These consolidated financial statements are expressed in US dollars and have been prepared on a historical cost basis except for financial instruments that have been measured at fair value. In addition, these consolidated financial statements have been prepared using the accrual basis of accounting on a going concern basis. The accounting policies set out below have been applied consistently to all periods presented in these consolidated financial statements as if the policies have always been in effect. Foreign Currency Translation Functional & presentation currencies The functional currency of the Company is the Canadian dollar. The functional currency of the Company’s Mexican subsidiaries is the US dollar, which is determined to be the currency of the primary economic environment in which the subsidiaries operate. Foreign currency transactions Transactions in currencies other than the functional currency are recorded at the rates of exchange prevailing on the dates of the transactions. At each financial position reporting date, monetary assets and liabilities that are denominated in foreign currencies are translated at the rates prevailing at the date of the statement of financial position. Non-monetary items that are measured in terms of historical cost in a foreign currency are not re-translated. Foreign operations Subsidiaries that have functional currencies other than the US dollar translate their statement of operations items at the average rate during the year. Assets and liabilities are translated at exchange rates prevailing at the end of each reporting period. Exchange rate variations resulting from the retranslation at the closing rate of the net investment in these subsidiaries, together with differences between their statement of operations items translated at actual and average rates, are recognized in accumulated other comprehensive income (loss). On disposition or partial disposition of a foreign operation, the cumulative amount of related exchange difference is recognized in the statement of operations. Significant Accounting Judgments and Estimates The Company’s management makes judgments in its process of applying the Company’s accounting policies to the preparation of its consolidated financial statements. In addition, the preparation of financial data requires that the Company’s management make assumptions and estimates of the impacts on the carrying amounts of the Company’s assets and liabilities at the end of the reporting period from uncertain future events and on the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates as the estimation process is inherently uncertain. Estimates are reviewed on an ongoing basis based on historical experience and other factors that are considered to be relevant under the circumstances. Revisions to estimates and the resulting impacts on the carrying amounts of the Company’s assets and liabilities are accounted for prospectively. a) Critical judgments exercised by management in applying accounting policies that have the most significant effect on the amounts presented in these consolidated financial statements are as follows: i. Economic recoverability and probability of future economic benefits from exploration and evaluation costs Management has determined that mine and camp, exploratory drilling, and other exploration and evaluation-related costs that were capitalized have future economic benefits and are economically recoverable. Management uses several criteria in its assessments of economic recoverability and probability of future economic benefits including geologic and metallurgic information, scoping studies, accessible facilities, existing permits, and mine plans. ii. Commencement of production at levels intended by management Prior to reaching production levels intended by management, costs incurred are capitalized as part of the costs of related exploration and evaluation assets, and proceeds from concentrate sales are offset against costs capitalized. Depletion of capitalized costs for mining properties and depreciation of plant and equipment begin when operating levels intended by management have been reached. Management considers several factors in determining when a mining property has reached the intended production levels, including production capacity, recoveries, and number of uninterrupted production days. The results of operations of the Company during the periods presented in these consolidated financial statements have been impacted by management’s determination that the San Gonzalo Mine and Avino Mine had achieved production levels intended by management as of October 1, 2012 and July 1, 2015, respectively, and that none of the Company’s exploration and evaluation assets had achieved production levels intended by management as at December 31, 2020. The basis for achievement of production levels intended by management as indicated by technical feasibility and commercial viability is generally established with proven reserves based on a NI 43-101-compliant technical report or a comparable resource statement and feasibility study, combined with pre-production operating statistics and other factors. In cases where the Company does not have a 43-101-compliant reserve report, on which to base a production decision, the technical feasibility and commercial viability of extracting a mineral resource are considered in light of additional factors including but not limited to: · Acquisition and installation of all critical capital components to achieve desired mining and processing results has been completed. Capital components have been acquired directly and are also available on an as-needed basis from the underground mining contractor; · The necessary labour force, including mining contractors, has been secured to mine and process at planned levels of output; · The mill has consistently processed at levels above design capacity and budgeted production levels with consistent recoveries and grades; and, · Establishing sales agreements with respect to the sale of concentrates. When technical feasibility and commercial viability are considered demonstrable according to the above criteria and other factors, the Company performs an impairment assessment and records an impairment loss, if any, before reclassifying exploration and evaluation costs to plant, equipment, and mining properties. iii. Functional currency The functional currency for the Company and its subsidiaries is the currency of the primary economic environment, in which the entity operates. The Company has determined the functional currency of the Company to be the Canadian dollar. The Company has determined the functional currency of its Mexican subsidiaries to be the US dollar. Determination of functional currency may involve certain judgments to determine the primary economic environment. The Company reconsiders the functional currency of its entities, if there is a change in events and conditions, which determine the primary economic environment. b) Significant assumptions about the future and other sources of estimation uncertainty that management has made at the consolidated statement of financial position date that could result in a material adjustment to the carrying amounts of assets and liabilities in the event that actual results differ from assumptions made relate to, but are not limited to, the following: i. Stockpile and concentrate inventory valuations Concentrate and stockpile mineralized material are valued at the lower of average cost or net realizable value. The assumptions used in the valuation of concentrate and stockpile mineralized material include estimates of copper, silver, and gold contained in the stockpiles and finished goods assumptions for the amount of copper, silver, and gold that is expected to be recovered from the concentrate. If these estimates or assumptions prove to be inaccurate, the Company could be required to write down the recorded value of its concentrate and stockpile mineralized material inventory, which would result in an increase in the Company’s expenses and a reduction in its working capital. ii. Estimated reclamation provisions The Company’s provision for reclamation represents management’s best estimate of the present value of the future cash outflows required to settle estimated reclamation and closure costs at the Avino and San Gonzalo properties. The provision reflects estimates of future costs, inflation, foreign exchange rates and assumptions of risks associated with the future cash outflows, and the applicable risk-free interest rates for discounting the future cash outflows. Changes in the above factors could result in a change to the provision recognized by the Company. Changes to reclamation and closure cost obligations are recorded with a corresponding change to the carrying amounts of the related exploration and evaluation assets or mining properties. Adjustments to the carrying amounts of related mining properties result in a change to future depletion expense. iii. Valuation of share-based payments and warrants The Company uses the Black-Scholes Option Pricing Model for valuation of share-based payments and warrants. Option pricing models require the input of subjective assumptions including expected price volatility, interest rate, and forfeiture rate. Changes in the input assumptions can materially affect fair value estimates and the Company’s net income or loss and its equity reserves. Warrant liabilities are accounting for as derivate liabilities (see Note 16). iv. Impairment of plant, equipment and mining properties, and exploration and evaluation assets Management considers both external and internal sources of information in assessing whether there are any indications that the Company’s plant, equipment, and mining properties, and exploration and evaluation assets are impaired. External sources of information management considers include changes in the market, economic and legal environments, in which the Company operates, that are not within its control and that affect the recoverable amount of its plant, equipment, and mining properties. Internal sources of information that management considers include the manner in which mining properties and plant and equipment are being used, or are expected to be used, and indications of economic performance of the assets. In determining the recoverable amounts of the Company’s plant, equipment and mining properties, management makes estimates of the undiscounted future pre-tax cash flows expected to be derived from the Company’s mining properties, and the appropriate discount rate. Reductions in metal price forecasts, increases in estimated future costs of production, increases in estimated future non expansionary capital expenditures, reductions in the amount of recoverable resources and exploration potential, and adverse current economic conditions are examples of factors that could result in a write down of the carrying amounts of the Company’s plant, equipment and mining properties, and exploration and evaluation assets. Impairment Based on the Company’s assessment with respect to possible indicators of impairment of its mineral properties, including the impact of COVID-19 on our operations and the prevailing market metals prices, the Company concluded that as of December 31, 2020, no impairment indicators were identified. v. Depreciation rate for plant and equipment and depletion rate for mining properties Depreciation and depletion expenses are allocated based on estimates for useful lives of assets. Should the asset life, depletion rates, or depreciation rates differ from the initial estimate, the revised life or rate would be reflected prospectively through income or loss. A change in the mineral resource estimate may impact depletion expense on a prospective basis. vi. Recognition and measurement of deferred tax assets and liabilities Actual amounts of income tax expense are not final until tax returns are filed and accepted by the relevant authorities. This occurs subsequent to the issuance of the consolidated financial statements and the final determination of actual amounts may not be completed for a number of years. Therefore, tax assets and liabilities and net income in subsequent periods will be affected by the amount that estimates differ from the final tax return. Estimates of future taxable income are based on forecasted cash flows from operations and the application of existing tax laws in each jurisdiction. Forecasted cash flows from operations are based on projections internally developed and reviewed by management. Weight is attached to tax planning opportunities that are within the Company’s control, and are feasible and implementable without significant obstacles. The likelihood that tax positions taken will be sustained upon examination by applicable tax authorities is assessed based on individual facts and circumstances of the relevant tax position evaluated in light of all available evidence. Where applicable tax laws and regulations are either unclear or subject to ongoing varying interpretations, it is reasonably possible that changes in these estimates can occur that could materially affect the amounts of deferred tax assets and liabilities. Basis of Consolidation The consolidated financial statements include the accounts of the Company and its Mexican subsidiaries as follows: Subsidiary Ownership Interest Jurisdiction Nature of Operations Oniva Silver and Gold Mines S.A. de C.V. 100% Mexico Mexican administration Nueva Vizcaya Mining, S.A. de C.V. 100% Mexico Mexican administration Promotora Avino, S.A. de C.V. (“Promotora”) 79.09% Mexico Holding company Compañía Minera Mexicana de Avino, S.A. de C.V. (“Avino Mexico”) 98.45% direct 1.22% indirect (Promotora) 99.67% effective Mexico Mining and exploration Up until the sale of Bralorne Gold Mines Ltd. (“Bralorne”) on December 13, 2019 (see Note 5), the consolidated financial statements included the 100% ownership interest of Bralorne, a mining and exploration company located in Canada. Intercompany balances and transactions, including unrealized income and expenses arising from intercompany transactions, are eliminated in preparing the consolidated financial statements. Cash Cash in the consolidated statement of financial position comprise cash at banks and on hand and short-term deposits with an original maturity of three months or less, which are readily convertible into a known amount of cash. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2020 | |
Note 3 - SIGNIFICANT ACCOUNTING POLICIES | Exploration and evaluation assets and development costs (i) Exploration and evaluation expenditures The Company capitalizes all costs relating to the acquisition, exploration and evaluation of mineral claims. Expenditures incurred before the Company has obtained the legal rights to explore a specific area are expensed. The Company’s capitalized exploration and evaluation costs are classified as intangible assets. Such costs include, but are not limited to, certain camp costs, geophysical studies, exploratory drilling, geological and sampling expenditures, and depreciation of plant and equipment during the exploration stage. Costs not directly attributable to exploration and evaluation activities, including general administrative overhead costs, are expensed in the period in which they occur. Proceeds from the sale of mineral products or farm outs during the exploration and evaluation stage are deducted from the related capitalized costs. The carrying values of capitalized amounts are reviewed annually, or when indicators of impairment are present. In the case of undeveloped properties, there may be only inferred resources to allow management to form a basis for the impairment review. The review is based on the Company’s intentions for the development of such properties. If a mineral property does not prove to be viable, all unrecoverable costs associated with the property are charged to the consolidated statement of comprehensive income (loss) at the time the determination is made. When the technical feasibility and commercial viability of extracting mineral resources have been demonstrated, exploration and evaluation costs are assessed for impairment, reclassified to mining properties and become subject to depletion. Management considers the technical feasibility and commercial viability of extracting a mineral resource to be demonstrable upon the completion of a positive feasibility study and the establishment of mineral reserves. For certain mineral projects, management may determine the completion of a feasibility study to be cost prohibitive, unnecessary or to present undue risk to the structural integrity of the ore body. Under such circumstances, management considers technical feasibility to be demonstrable when the Company has obtained the necessary environmental and mining permits, land surface and mineral access rights, and the mineral project can be physically constructed and operated in a technically sound manner to produce a saleable mineral product. In assessing whether commercial viability is demonstrable, management considers if its internal economic assessment indicates that the mineral project can be mined to generate a reasonable return on investment for the risk undertaken, and markets or long-term contracts for the product exist. (ii) Development expenditures Mine development costs are capitalized until the mineral property is capable of operating in the manner intended by management. The Company evaluates the following factors in determining whether a mining property is capable of operating in the manner intended by management: · The completion and assessment of a reasonable commissioning period of the mill and mining facilities; · Consistent operating results are achieved during the test period; · Existence of clear indicators that operating levels intended by management will be sustainable for the foreseeable future; · Plant / mill has reached a pre-determined percentage of design capacity; · Adequate funding is available and can be allocated to the operating activities; and, · Long term sales arrangements have been secured. The carrying values of capitalized development costs are reviewed annually, or when indicators are present, for impairment. Plant, equipment and mining properties Upon demonstrating the technical feasibility and commercial viability of extracting mineral resources, all expenditures incurred to that date for the mine are reclassified to mining properties. Expenditures capitalized to mining properties include all costs related to obtaining or expanding access to resources including extensions of the haulage ramp and installation of underground infrastructure, and the estimated reclamation provision. Expenditures incurred with respect to a mining property are capitalized when it is probable that additional future economic benefits will flow to the Company. Otherwise, such expenditures are classified as a cost of sales. Plant and equipment are recorded at historical cost less accumulated depreciation and any accumulated impairment losses. Historical costs include expenditures that are directly attributable to bringing the asset to a location and condition necessary to operate in a manner intended by management. Such costs are accumulated as construction in progress until the asset is available for use, at which point the asset is classified as plant, equipment and mining properties and depreciation commences. After the date that management’s intended production levels have been achieved, mining properties are depleted using the straight-line method over the estimated remaining life of the mine. The Company estimates the remaining life of its producing mineral properties on an annual basis using a combination of quantitative and qualitative factors including historical results, mineral resource estimates, and management’s intent to operate the property. The Company does not have sufficient reserve information to form a basis for the application of the units-of-production method for depreciation and depletion. As at December 31, 2020 and 2019, the Company estimated a remaining mine life for San Gonzalo of Nil. The Company obtained an updated resource estimate which had increased measured and indicated resources, and as a result management completed a review of the mine operations and updated the remaining life of the Avino Mine. Depletion relating to the Avino Mine has been adjusted prospectively, as of October 31, 2020, which was the effective report date. As at December 31, 2020 and 2019, the Company estimated a remaining mine life for the Avino Mine of 20.4 and 8.5 years, respectively. Accumulated mill, machinery, plant facilities, and certain equipment are depreciated using the straight-line method over their estimated useful lives, not to exceed the life of the mine for any assets that are inseparable from the mine. When parts of an item of plant and equipment have different useful lives, they are accounted for as separate items (or components) of plant and equipment. Effective October 1, 2019, and as a result of a review of the remaining life and the pattern of usage of office equipment, furniture and fixtures, computer equipment and mine machinery and transportation equipment, the Company adopted a straight-line method for its plant and equipment, which were previously depreciated using the declining balance method. The change in depreciation has been applied prospectively as a change in estimate. The Company believes that the new method better reflects the pattern of consumption of future economic benefits to be derived from the assets being depreciated. Plant and equipment are depreciated using the following annual rates and methods: Office equipment, furniture, and fixtures 3 years straight line balance Computer equipment 5 years straight line balance Mine machinery and transportation equipment 5 years straight line balance Mill machinery and processing equipment 5 - 20 years straight line Buildings 5 - 20 years straight line Impairment At each financial position reporting date, the carrying amounts of the Company’s assets are reviewed to determine whether there is any indication that those assets are impaired. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment, if any. Where the asset does not generate cash flows that are independent from other assets, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs. An asset’s recoverable amount is the higher of fair value less costs to sell and value in use. Fair value is determined 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. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. If the recoverable amount of an asset or cash generating unit is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount and the impairment loss is recognized in profit or loss for the period. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, provided the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognized for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognized immediately in profit or loss. Leases Leases in which the Company assumes substantially all risks and rewards of ownership are classified as finance leases. Assets held under finance leases are recognized at the lower of the fair value and present value of the minimum lease payments at inception of the lease, less accumulated depreciation and impairment losses. The corresponding liability is recognized as a finance lease obligation. Lease payments are apportioned between finance charges and reduction of the lease obligation to achieve a constant rate of interest on the remaining liability. Finance charges are recorded as a finance expense within profit and loss, unless they are attributable to qualifying assets, in which case they are capitalized. Operating lease payments are recognized on a straight-line basis over the lease term, except where another systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed, in which case that systematic basis is used. Operating lease payments are recorded within profit and loss unless they are attributable to qualifying assets, in which case they are capitalized. Inventory Material extracted from the Company's mine is classified as either process material or waste. Process material represents mineralized material that, at the time of extraction, the Company expects to process into a saleable form and sell at a profit, while waste is considered uneconomic to process and its extraction cost is included in direct mining costs. Raw materials are comprised of process material stockpiles. Process material is accumulated in stockpiles that are subsequently processed into bulk copper, silver, and gold concentrate in a saleable form. The Company has bulk copper, silver, and gold concentrate inventory in saleable form that has not yet been sold. Mine operating supplies represent commodity consumables and other raw materials used in the production process, as well as spare parts and other maintenance supplies that are not classified as capital items. Inventories are valued at the lower of cost and net realizable value (“NRV”). Cost is determined on a weighted average basis and includes all costs incurred, based on normal production capacity, in bringing each product to its present location and condition. Cost of inventories comprises direct labor, materials and contractor expenses, depletion and depreciation on mining properties, plant and equipment, and an allocation of mine site costs. As mineralized material is removed for processing, costs are removed based on the average cost per tonne in the stockpile. Stockpiled process material tonnages are verified by periodic surveys. NRV of mineralized material is determined with reference to relevant market prices less applicable variable selling expenses and costs to bring the inventory into its saleable form. NRV of materials and supplies is generally calculated by reference to salvage or scrap values when it is determined that the supplies are obsolete. NRV provisions are recorded within cost of sales in the consolidated statement of operations, and are reversed to reflect subsequent recoveries where the inventory is still on hand. Revenue from Contracts with Customers Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and the revenue and costs to sell can be reliably measured. Revenue is measured at the fair value of the consideration received, excluding discounts, rebates, and other sales tax or duty. Performance Obligations Based on the criteria outlined in IFRS 15, the Company applied significant judgment in determining that the primary performance obligation relating to its sales contracts is the delivery of concentrates. Shipping and insurance services arranged by the Company for concentrate sales that occur after the transfer of control are also considered performance obligations. Transfer of Control Based on the criteria outlined in IFRS 15, the Company applied significant judgment in determining when the transfer of control occurs. Management based its assessment on a number of indicators of control, which include but are not limited to, whether the Company has the present right of payment and whether the physical possession of the goods, significant risks and rewards, and legal title have been transferred to the customer. Provisional Pricing Based on the criteria outlined in IFRS 15, the Company applied significant judgment in determining variable consideration. The Company identified two provisional pricing components in concentrate sales, represents variable consideration in the form of a) adjustments between original and final assay results relating to the quantity and quality of concentrate shipments, as well as b) pricing adjustments between provisional and final invoicing based on market prices for base and precious metals. Based on the Company’s historical accuracy in the assay process, as evidenced by the negligible historical adjustments relating to assay differences, the Company concluded the variability in consideration caused by the assaying results is negligible. The Company does not expect a significant amount of reversal related to assaying differences. The Company records revenues based on provisional invoices based on quoted market prices of the London Bullion Market Association and the London Metal Exchange during the quotation period outlined in the concentrate sales agreement. The Company applied judgment to determine the amount of variable consideration to be recognized during the period for which the likelihood of significant reversal is low. Financial Instruments Measurement - initial recognition All financial assets and financial liabilities are initially recorded on the Company’s consolidated statement of financial position when the Company becomes a party to the contractual provisions of the instrument. All financial asset and liabilities are initially recorded at fair value, net of attributable transaction costs, except for those classified as fair value through profit or loss (“FVTPL”). Subsequent measurement of financial assets and financial liabilities depends on the classifications of such assets and liabilities. Classification - financial assets Amortized cost: Financial assets that are held within a business model whose objective is to hold financial assets in order to collect contractual cash flows, and that the contractual terms of the financial assets give rise on specified date to cash flows that are solely payments of principal and interest on the principal amount outstanding, are measured subsequent to initial recognition at amortized cost. The amortized cost of a financial asset is the amount at which the financial asset is measured at initial recognition minus the principal repayments, plus the cumulative amortization using the effective interest method of any difference between that initial amount and the maturity amount, adjusted for any loss allowance. Interest income is recognized using the effect interest method, and is recognized in Interest and other income, on the consolidated statements of operations and comprehensive income (loss) The Company financial assets at amortized costs include its cash, amounts receivable not related to sales of concentrate, investments (short-term), and reclamation bonds. Fair value through other comprehensive income (“FVTOCI”) Financial assets that are held within a business model whose objective is to hold financial assets in order to both collect contractual cash flows and selling financial assets, and that the contractual terms of the financial assets give rise on specified date to cash flows that are solely payments of principal and interest on the principal amount outstanding. Upon initial recognition of equity securities, the Company may make an irrevocable election (on an instrument-by-instrument basis) to designate its equity securities that would otherwise be measured at FVTPL to present subsequent changes in fair value in other comprehensive income. Designation at FVTOCI is not permitted if the equity investment is held for trading or if it is contingent consideration recognized by an acquirer in a business combination. Investments in equity instruments at FVTOCI are initially measured at fair value plus transaction costs. Subsequently, they are measured at fair value with gains and losses arising from changes in fair value recognized in other OCI. The cumulative gain or loss is not reclassified to profit or loss on disposal of the instrument; instead, it is transferred to retained earnings. The Company currently has no financial assets designated as FVTOCI. Fair value through profit or loss (“FVTPL”) By default, all other financial assets are measured subsequently at FVTPL, which includes amounts receivable from concentrate sales. Classification - financial liabilities Financial liabilities that are not contingent consideration of an acquirer in a business combination, held for trading or designated as at FVTPL, are measured at amortized cost using the effective interest method. Financial liabilities at amortized cost include accounts payable, amounts due to related parties, term facility, equipment loans, and finance lease obligations. Financial liabilities classified FVTPL include financial liabilities held for trading and financial liabilities designated upon initial recognition as FVTPL. Fair value changes on financial liabilities classified as FVTPL are recognized in the consolidated statements of operations. The Company has classified share purchase warrants with an exercise price in US dollars (see Note 16) as financial liabilities at FVTPL. As these warrants are exercised, the fair value of the recorded warrant liability on date of exercise is included in share capital along with the proceeds from the exercise. If these warrants expire, the related decrease in warrant liability is recognized in the consolidated statements of operations and comprehensive income (loss). The Company has no hedging arrangements and does not apply hedge accounting. Impairment The Company recognizes a loss allowance for expected credit losses on its financial assets when necessary. The amount of expected credit losses is updated at each reporting period to reflect changes in credit risk since initial recognition of the respective financial instruments. Share capital a) Common shares Common shares are classified as equity. Transaction costs directly attributable to the issuance of common shares and equity warrants are recognized as a deduction from equity, net of any tax effects. Transaction costs directly attributable to derivative warrants are charged to operations as a finance cost. b) Repurchase of share capital (treasury shares) When share capital recognized as equity is repurchased, the amount of the consideration paid, which includes directly attributable costs, net of any tax effects, is recognized as a deduction from equity. Repurchased shares are classified as treasury shares and are presented as a deduction from total equity. When treasury shares are sold or reissued subsequently, the amount received is recognized as an increase in equity, and the resulting surplus or deficit on the transaction is transferred to accumulated deficit. Share-based payment transactions The Company’s share option plan and restricted share unit (“RSU”) plan allows directors, officers, employees, and consultants to acquire common shares of the Company. The fair value of options granted is measured at fair value at the grant date based on the market value of the Company’s common shares on that date. The fair value of equity-settled RSUs is measured at the grant date based on the market value of the Company’s common shares on that date, and each tranche is recognized using the graded vesting method over the period during which the RSUs vest. At each financial position reporting date, the amount recognized as an expense is adjusted to reflect the actual number of RSUs that are expected to vest. All options and RSUs are recognized in the consolidated statements of operations and comprehensive income (loss) as an expense or in the consolidated statements of financial position as exploration and evaluation assets over the vesting period with a corresponding increase in equity reserves in the consolidated statements of financial position. Reclamation and other provisions Provisions are recognized where a legal or constructive obligation has been incurred as a result of past events, it is probable that an outflow of resources embodying economic benefit will be required to settle the obligation, and a reliable estimate of the amount of the obligation can be made. If material, provisions are measured at the present value of the expenditures expected to be required to settle the obligation. The increase in any provision due to the passage of time is recognized as accretion expense. The Company records the present value of estimated costs of legal and constructive obligations required to restore properties in the period in which the obligation is incurred. The nature of these restoration activities includes dismantling and removing structures, rehabilitating mines and restoration, reclamation, and re-vegetation of affected areas. The fair value of the liability for a rehabilitation provision is recorded when it is incurred. When the liability is initially recognized, the present value of the estimated cost is capitalized by increasing the carrying amount of the related mining property or exploration and evaluation asset. Over time, the discounted liability is increased for the change in present value based on the discount rates that reflect current market assessments and the risks specific to the liability, which is accreted over time through periodic charges to income or loss. A revision in estimates or new disturbance will result in an adjustment to the provision with an offsetting adjustment to the mineral property or the exploration and evaluation asset. Additional disturbances, changes in costs, or changes in assumptions are recognized as adjustments to the corresponding assets and reclamation liabilities when they occur. Earnings per share The Company presents basic and diluted earnings per share data for its common shares, calculated by dividing the earnings attributable to common shareholders of the Company by the weighted average number of common shares outstanding during the year. Diluted earnings per share is determined by adjusting the earnings attributable to common shareholders and the weighted average number of common shares outstanding for the effects of all potentially dilutive common shares. Income taxes Income taxes in the years presented are comprised of current and deferred tax. Income tax is recognized in profit or loss except to the extent that it relates to items recognized directly in equity, in which case it is recognized as equity. Deferred tax is recognized using the statement of financial position asset and liability method, which provides for temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. The amount of deferred tax recognized is based on the expected manner of realization or settlement of the carrying amount of assets and liabilities, using tax rates enacted or substantively enacted at the consolidated statement of financial position date. A deferred tax asset is recognized only to the extent that it is probable that future taxable profits will be available against which the asset can be utilized. Deferred tax assets and liabilities are not recognized if the temporary differences arise from the initial recognition of goodwill or an asset or liability in a transaction other than a business combination that affects neither accounting profit nor taxable profit. |
RECENT ACCOUNTING PRONOUNCEMENT
RECENT ACCOUNTING PRONOUNCEMENTS | 12 Months Ended |
Dec. 31, 2020 | |
Note 4 - RECENT ACCOUNTING PRONOUNCEMENTS | Application of new and revised accounting standards: IFRS 3 - Definition of a Business In October 2018, the IASB issued amendments to IFRS 3 - Definition of a Business · Clarify that to be considered a business, an acquired set of activities and assets must include, at a minimum, an input and a substantive process that together significantly contribute to the ability to create outputs; · Narrow the definitions of a business and of outputs by focusing on goods and services provided to customers and by removing the reference to an ability to reduce costs; · Add guidance and illustrative examples to help entities assess whether a substantive process has been acquired; · Remove the assessment of whether market participants are capable of replacing any missing inputs or processes and continuing to produce outputs; and · Add an option concentration test that permits a simplified assessment of whether an acquired set of activities and assets is not a business. The amendments are effective for business combinations for which the acquisition date is on or after the beginning of the first annual reporting period beginning on or after January 1, 2020, and to asset acquisitions that occurred on or after the beginning of that period. The Company adopted IFRS 3 with no material impact on the financial statements. |
DISPOSITION OF DISCONTINUED OPE
DISPOSITION OF DISCONTINUED OPERATIONS BRALORNE GOLD MINES LTD | 12 Months Ended |
Dec. 31, 2020 | |
Note 5 - DISPOSITION OF DISCONTINUED OPERATIONS - BRALORNE GOLD MINES LTD. | On December 13, 2019, the Company completed the sale of its 100% wholly-owned subsidiary Bralorne Gold Mines Ltd. (“Bralorne”) to Talisker Resources Ltd. (“Talisker”). The sale was record in the fourth quarter of fiscal 2019 and includes the Bralorne Gold Mine and is part of the Company’s plan to focus on its core mining operations in Mexico. The consideration included: · C$8.7 million (translated to $6,599) in cash · The issuance of 12,580,000 common shares of Talisker, representing 9.9% on a pro-forma basis following the close of the transaction and subsequent financing by Talisker; · The issuance of 6,290,000 share purchase warrants exercisable at C$0.25 per share for a period of three years after the closing, subject to acceleration in the event the closing price of Talisker’s common shares is great than C$0.35 per share for 20 or more consecutive trading days at any time following April 14, 2020; The sale includes the Bralorne claims, as well as nine mineral claims covering approximately 2,114 hectares in the Lillooet Mining Division of British Columbia, known as the BRX Property. The Company also received future consideration of a $2.5 million cash payment, contingent upon the commencement of commercial production at the Bralorne Mine, for which a fair value has been determined to be Nil at this time. The Company recognized a loss on disposition, net of tax, calculated as follows: Cash proceeds $ 6,599 Talisker shares 2,243 Talisker warrants 716 Total proceeds $ 9,558 Net assets sold and derecognized: Cash 1,495 Other current assets 242 Exploration and evaluation assets 45,613 Plant and equipment 1,745 Other long-term assets 19 Current portion of finance lease obligations and equipment loans (175 ) Non-current portion of finance lease obligations and equipment loans (111 ) Site restoration obligation (10,828 ) Foreign currency translation adjustments (42 ) 37,958 Loss on disposition before selling costs (28,400 ) Selling costs (490 ) Loss on disposition, net (28,890 ) As a result of the sale, the comparative net income (loss) for the current period, as well as previous two years, have been reclassified from continuing operations to discontinued operations: 2020 2019 2018 Revenue from mining operations $ - $ - $ - Cost of sales - - - Mine operating income (loss) - - - Operating expenses (income) - 16 (45 ) Accretion of reclamation provision - 217 256 Gain on sale of assets - 2 (175 ) Other items - 1 (5 ) Loss on disposition 169 28,890 - Net loss before income taxes (169 ) (29,126 ) (31 ) Income taxes - - - Net loss from discontinued operations and on disposal $ (169 ) $ (29,126 ) $ (31 ) The results of discontinued operations included in the consolidated statements of cash flows for the years ended December 31, 2020, 2019 and 2018, are as follows: Cash generated by (used in): 2020 2019 2018 Cash flow used in operating activities $ - $ (19 ) $ (7 ) Cash flow used in financing activities - (258 ) (590 ) Cash flow used in investing activities - (5,583 ) (4,178 ) Net cash decrease from discontinued operations $ - $ (5,860 ) $ (4,775 ) |
TAXES RECOVERABLE
TAXES RECOVERABLE | 12 Months Ended |
Dec. 31, 2020 | |
Note 6 - TAXES RECOVERABLE | The Company’s taxes recoverable consist of the Mexican I.V.A. (“VAT”) and income taxes recoverable and Canadian sales taxes (“GST”) recoverable. December 31, 2020 December 31, 2019 VAT recoverable $ 2,328 $ 2,652 GST recoverable 16 42 Income taxes recoverable 2,700 2,789 $ 5,044 $ 5,483 |
INVENTORY
INVENTORY | 12 Months Ended |
Dec. 31, 2020 | |
Note 7 - INVENTORY | December 31, 2020 December 31, 2019 Process material stockpiles $ 373 $ 1,079 Concentrate inventory 64 3,055 Materials and supplies 1,222 1,458 $ 1,659 $ 5,592 The amount of inventory recognized as an expense for the year ended December 31, 2020 totalled $15,832 (2019 - $32,016, 2018 - $27,850). See Note 19 for further details. |
LONGTERM INVESTMENTS
LONGTERM INVESTMENTS | 12 Months Ended |
Dec. 31, 2020 | |
Note 8 - LONG TERM INVESTMENTS | The Company classifies its long-term investments as designated at fair value through profit and loss under IFRS 9. Long-term investments are summarized as follows: Fair Value December 31, Net Additions and(Warrants Movements in foreign Fair value adjustments Fair Value December 31, 2019 Exercised) exchange for the period 2020 Talisker Resources Common Shares $ 3,197 $ 1,184 $ 100 $ (305 ) $ 4,176 Talisker Resources Warrants 1,114 (1,114 ) - - - Other - (1 ) - 1 - $ 4,311 $ 69 $ 100 $ (304 ) $ 4,176 |
EXPLORATION AND EVALUATION ASSE
EXPLORATION AND EVALUATION ASSETS | 12 Months Ended |
Dec. 31, 2020 | |
Note 9 - EXPLORATION AND EVALUATION ASSETS | The Company has accumulated the following acquisition, exploration and evaluation costs which are not subject to depletion: Durango, Mexico British Columbia & Yukon, Canada Tota Balance, January 1, 2019 $ 9,692 $ 37,089 $ 46,781 Costs incurred during 2019: Mine and camp costs - 2,537 2,537 Drilling and exploration 50 2,333 2,383 Depreciation of plant and equipment - 317 317 Interest and other costs - 325 325 Provision for reclamation - 1,338 1,338 Assessments and taxes 90 31 121 Geological and related services - 116 116 Assays - 130 130 Water treatment and tailing storage facility costs - 112 112 Effect of movements in exchange rates (6 ) 1,286 1,280 Disposition of Bralorne Mine (Note 5) - (45,613 ) (45,613 ) Balance, December 31, 2019 $ 9,826 $ 1 $ 9,827 Costs incurred during 2020: Drilling and exploration 146 - 146 Assessments and taxes 83 - 83 Effect of movements in exchange rates (4 ) - (4 ) Balance, December 31, 2020 $ 10,051 $ 1 $ 10,052 Additional information on the Company’s exploration and evaluation properties by region is as follows: (a) Durango, Mexico The Company’s subsidiary Avino Mexico owns 42 mineral claims and leases four mineral claims in the state of Durango, Mexico. The Company’s mineral claims in Mexico are divided into the following four groups: (i) Avino mine area property The Avino mine area property is situated around the towns of Panuco de Coronado and San Jose de Avino and surrounding the historic Avino mine site. There are four exploration concessions covering 154.4 hectares, 24 exploitation concessions covering 1,284.7 hectares, and one leased exploitation concession covering 98.83 hectares. Within the Avino mine site area is the Company’s San Gonzalo Mine, which achieved production at levels intended by management as of October 1, 2012, and on this date accumulated exploration and evaluation costs were transferred to mining properties. (ii) Gomez Palacio/Ana Maria property The Ana Maria property is located near the town of Gomez Palacio, and consists of nine exploration concessions covering 2,549 hectares, and is also known as the Ana Maria property. Option Agreement – Silver Wolf Exploration Ltd. (formerly Gray Rock Resources Ltd.) (“Silver Wolf”) During the year ended December 31, 2020, the Company announced that it has entered into an option agreement to grant Silver Wolf the exclusive right to acquire a 100% interest in the Ana Maria and El Laberinto properties in Mexico (the “Option Agreement”). In exchange, Silver Wolf will issue to Avino share purchase warrants to acquire 300,000 common shares of Silver Wolf at an exercise price of $0.20 per share for a period of 36 months from the date of the TSX Venture Exchange’s final acceptance of the Option Agreement (the “Approval Date”). In order to exercise the option, Silver Wolf will: 1. Issue to Avino a total of $600,000 in cash or common shares of Silver Wolf as follows: a. $50,000 in common shares of Silver Wolf within 30 days of the Approval Date; b. A further $50,000 in cash or shares of Silver Wolf at Avino’s discretion on or before the first anniversary of the Approval Date; c. A further $100,000 in cash or shares of Silver Wolf at Avino’s discretion on or before the second anniversary of the Approval Date; d. A further $200,000 in cash or shares of Silver Wolf at Avino’s discretion on or before the third anniversary of the Approval Date; and e. A further $200,000 in cash or shares of Silver Wolf at Avino’s discretion on or before the fourth anniversary of the Approval Date; and 2. Incur a total of $750,000 in exploration expenditures on the properties, as follows: a. $50,000 on or before the first anniversary of the Approval Date; b. A further $100,000 on or before the second anniversary of the Approval Date; and c. A further $600,000 on or before the fourth anniversary of the Approval Date. Under the Option Agreement, the parties intend that the first two year’s payments ($200,000 in cash or shares), and first $150,000 in exploration work will be firm commitments by Silver Wolf. All share issuances will be based on the average volume weighted trading price of Silver Wolf’s shares on the TSX Venture Exchange for the ten (10) trading days immediately preceding the date of issuance of the shares, and the shares will be subject to resale restrictions under applicable securities legislation for 4 months and a day from their date of issue. The Option Agreement is subject to approval by the TSX Venture Exchange. (iii) Santiago Papasquiaro property The Santiago Papasquiaro property is located near the village of Santiago Papasquiaro, and consists of four exploration concessions covering 2,552.6 hectares and one exploitation concession covering 602.9 hectares. (iv) Unification La Platosa properties The Unification La Platosa properties, consisting of three leased concessions in addition to the leased concession described in note (i) above, are situated within the Avino mine area property near the towns of Panuco de Coronado and San Jose de Avino and surrounding the Avino Mine. In February 2012, the Company’s wholly-owned Mexican subsidiary entered into a new agreement with Minerales de Avino, S.A. de C.V. (“Minerales”) whereby Minerales has indirectly granted to the Company the exclusive right to explore and mine the La Platosa property known as the “ET zone”. The ET zone includes the Avino Mine, where production at levels intended by management was achieved on July 1, 2015. Under the agreement, the Company has obtained the exclusive right to explore and mine the property for an initial period of 15 years, with the option to extend the agreement for another 5 years. In consideration of the granting of these rights, the Company issued 135,189 common shares with a fair value of C$250 during the year ended December 31, 2012. The Company has agreed to pay to Minerales a royalty equal to 3.5% of net smelter returns (“NSR”). In addition, after the start of production, if the minimum monthly processing rate of the mine facilities is less than 15,000 tonnes, then the Company must pay to Minerales a minimum royalty equal to the applicable NSR royalty based on the processing at a monthly rate of 15,000 tonnes. Minerales has also granted to the Company the exclusive right to purchase a 100% interest in the property at any time during the term of the agreement (or any renewal thereof), upon payment of $8 million within 15 days of the Company’s notice of election to acquire the property. The purchase would be subject to a separate purchase agreement for the legal transfer of the property. (b) British Columbia, Canada (i) Minto and Olympic-Kelvin properties The Company’s mineral claims in British Columbia encompass two additional properties, Minto and Olympic-Kelvin, each of which consists of 100% owned Crown-granted mineral claims located in the Lillooet Mining Division. (c) Yukon, Canada The Company has a 100% interest in 14 quartz leases located in the Mayo Mining Division of Yukon, Canada, which collectively comprise the Eagle property. |
NONCONTROLLING INTEREST
NONCONTROLLING INTEREST | 12 Months Ended |
Dec. 31, 2020 | |
Note 10 - NON-CONTROLLING INTEREST | At December 31, 2020, the Company had an effective 99.67% (2019 - 99.67%, 2018 - 99.67%) interest in its subsidiary Avino Mexico and the remaining 0.33% (2019 - 0.33%, 2018 - 0.33%) interest represents a non-controlling interest. The accumulated deficit and current year income attributable to the non-controlling interest are insignificant and accordingly have not been recognized in the consolidated financial statements. |
PLANT EQUIPMENT AND MINING PROP
PLANT EQUIPMENT AND MINING PROPERTIES | 12 Months Ended |
Dec. 31, 2020 | |
Note 11 - PLANT, EQUIPMENT AND MINING PROPERTIES | Mining properties Office equipment, furniture, and fixtures Computer equipment Mine machinery and transportation equipment Mill machinery and processing equipment Buildings and construction in process Total $ $ $ $ $ $ $ COST Balance at January 1, 2019 12,962 149 358 17,257 17,603 6,710 55,039 Additions / Transfers 644 381 (6 ) (648 ) 148 2,770 3,289 Disposals - (6 ) (12 ) (3,723 ) (231 ) (206 ) (4,178 ) Effect of movements in exchange rates 31 - 1 33 34 13 112 Balance at December 31, 2019 13,637 524 341 12,919 17,554 9,287 54,262 Additions / Transfers (493 ) 34 6 36 (71 ) 1,976 1,488 Effect of movements in exchange rates 5 5 - - - - 10 Balance at December 31, 2020 13,149 563 347 12,955 17,483 11,263 55,760 ACCUMULATED DEPLETION AND DEPRECIATION Balance at January 1, 2019 6,102 65 175 6,830 2,416 708 16,296 Additions / Transfers 1,952 22 49 51 1,619 714 4,407 Disposals - (3 ) (11 ) (2,040 ) (27 ) (49 ) (2,130 ) Effect of movements in exchange rates 12 - - 13 5 1 31 Balance at December 31, 2019 8,066 84 213 4,854 4,013 1,374 18,604 Additions / Transfers 577 103 43 53 1,284 250 2,310 Effect of movements in exchange rates - - - - - - - Balance at December 31, 2020 8,643 187 256 4,907 5,297 1,624 20,914 NET BOOK VALUE At December 31, 2020 4,506 376 91 8,048 12,186 9,639 34,846 At December 31, 2019 5,571 440 128 8,065 13,541 7,913 35,658 Included in Buildings above are assets under construction of $5,327 as at December 31, 2020 (December 31, 2019 - $3,746) on which no depreciation was charged in the years then ended. Once the assets are put into service, they are transferred to the appropriate class of plant, equipment and mining properties. |
RELATED PARTY TRANSACTIONS AND
RELATED PARTY TRANSACTIONS AND BALANCES | 12 Months Ended |
Dec. 31, 2020 | |
Note 12 - RELATED PARTY TRANSACTIONS AND BALANCES | All related party transactions are recorded at the exchange amount which is the amount agreed to by the Company and the related party. (a) Key management personnel The Company has identified its directors and certain senior officers as its key management personnel. The compensation costs for key management personnel for the year ended December 31, 2020, 2019 and 2018, were as follows: 2020 2019 2018 Salaries, benefits, and consulting fees $ 757 $ 723 $ 956 Share-based payments 1,468 659 531 $ 2,225 $ 1,382 $ 1,487 (b) Amounts due to/from related parties In the normal course of operations the Company transacts with companies related to Avino’s directors or officers. All amounts payable and receivable are non-interest bearing, unsecured and due on demand. Advances to Oniva International Services Corp. (“Oniva”) of $Nil (December 31, 2019 - $Nil) for expenditures to be incurred on behalf of the Company are included in prepaid expenses and other assets on the consolidated statements of financial position as at December 31, 2020. The following table summarizes the amounts due to related parties: December 31, 2020 December 31, 2019 Oniva International Services Corp. $ 106 $ 105 Directors 48 51 Jasman Yee & Associates, Inc. - - $ 154 $ 156 (c) Other related party transactions The Company has a cost sharing agreement with Oniva for office and administration services. Pursuant to the cost sharing agreement, the Company will reimburse Oniva for the Company’s percentage of overhead and corporate expenses and for out-of-pocket expenses incurred on behalf of the Company. David Wolfin, President & CEO, and a director of the Company, is the sole owner of Oniva. The cost sharing agreement may be terminated with one-month notice by either party without penalty. The transactions with Oniva during the years ended December 31, 2020, 2019 and 2018, are summarized below: 2020 2019 2018 Salaries and benefits $ 636 $ 665 $ 594 Office and miscellaneous 290 322 560 Exploration and evaluation assets - 206 353 $ 926 $ 1,193 $ 1,507 For services provided to the Company as President and Chief Executive Officer, the Company pays Intermark Capital Corporation (“ICC”), a company controlled by David Wolfin, the Company’s president and CEO and also a director, for consulting services. For the years ended December 31, 2020, 2019 and 2018, the Company paid $224, $226 and $232, respectively, to ICC. The Company pays Jasman Yee & Associates, Inc. (“JYAI”) for operational, managerial, metallurgical, engineering and consulting services related to the Company’s activities. JYAI’s managing director is a director of the Company. For the years ended December 31, 2020, 2019 and 2018, the Company paid $31, $33 and $66, respectively, to JYAI. The Company pays Wear Wolfin Designs Ltd. (“WWD”), a company whose director is the brother-in-law of David Wolfin, for financial consulting services related to ongoing consultation with stakeholders and license holders. For the years ended December 31, 2020, 2019 and 2018, the Company paid $Nil, $Nil and $12, respectively, to WWD. |
TERM FACILITY
TERM FACILITY | 12 Months Ended |
Dec. 31, 2020 | |
Note 13 - TERM FACILITY | In July 2015, the Company entered into a ten million dollar term facility with Samsung C&T U.K. Limited (“Samsung”). Interest is charged on the facility at a rate of US dollar LIBOR (3 month) plus 4.75%. The agreement was later amended in 2018 to extend the repayment period and modify the monthly payments. Other material terms of the facility remained unchanged. The Company is currently repaying the remaining balance in monthly instalments of $278 ending September 2021, with 9 remaining payments as at December 31, 2020. The Company is committed to selling Avino Mine concentrate on an exclusive basis to Samsung until December 31, 2024. The facility is secured by the concentrates produced under the agreement and by 33% of the common shares of the Company’s subsidiary Compañía Minera Mexicana de Avino, S.A. de C.V. The facility with Samsung relates to the sale of concentrates produced from the Avino Mine only. The continuity of the term facility with Samsung is as follows: December 31, December 31, 2020 2019 Balance, beginning $ 5,897 $ 6,900 Repayments (3,333 ) (833 ) Unwinding of fair value adjustment (51 ) (170 ) Balance, ending 2,513 5,897 Less: Current portion (2,513 ) (3,384 ) Non-current portion $ - $ 2,513 |
EQUIPMENT LOANS
EQUIPMENT LOANS | 12 Months Ended |
Dec. 31, 2020 | |
Note 14 - EQUIPMENT LOANS | The Company has entered into loans for mining equipment maturing in 2021 with fixed interest rates of 6.29% per annum. The Company’s obligations under the loans are secured by the mining equipment. As at December 31, 2020, plant, equipment, and mining properties includes a net carrying amount of $442 (December 31, 2019 - $559) for this mining equipment. The contractual maturities and interest charges in respect of the Company’s obligations under the equipment loans are as follows: December 31, December 31, 2020 2019 Not later than one year $ 73 $ 228 Later than one year and not later than five years - 73 Less: Future interest charges (1 ) (12 ) Present value of loan payments 72 289 Less: current portion (72 ) (199 ) Non-current portion $ - $ 90 The equipment loan credit facilities are a component of the master credit facilities described in Note 15. |
FINANCE LEASE OBLIGATIONS
FINANCE LEASE OBLIGATIONS | 12 Months Ended |
Dec. 31, 2020 | |
Note 15 - FINANCE LEASE OBLIGATIONS | The Company has entered into office space and mining equipment leases expiring between 2021 and 2025, with interest rates ranging from Nil% to 14.99% per annum. The Company has the option to purchase the mining equipment at the end of the lease term for a nominal amount. The Company’s obligations under finance leases are secured by the lessor’s title to the leased assets. As at December 31, 2020, plant, equipment and mining properties includes a net carrying amount of $1,087 (December 31, 2019 - $2,697) for this leased mining equipment. The contractual maturities and interest charges in respect of the Company’s finance lease obligations are as follows: December 31, December 31, 2020 2019 Not later than one year $ 213 $ 716 Later than one year and not later than five years 301 444 Later than five years - 28 Less: Future interest charges (28 ) (54 ) Present value of lease payments 486 1,134 Less: current portion (208 ) (692 ) Non-current portion $ 278 $ 442 The Company has a master credit facility with an equipment supplier for a total of $5,000. The facility is used to acquire equipment necessary for maintaining operations and exploration activities at the Avino Mine. As of December 31, 2020, the Company had $4,927 in available credit remaining under these facilities. |
WARRANT LIABILITY
WARRANT LIABILITY | 12 Months Ended |
Dec. 31, 2020 | |
Note 16 - WARRANT LIABILITY | The Company’s warrant liability arises as a result of the issuance of warrants exercisable in US dollars. As the denomination is different from the Canadian dollar functional currency of the entity issuing the underlying shares, the Company recognizes a derivative liability for these warrants and re-measures the liability at the end of each reporting period using the Black-Scholes model. Changes in respect of the Company’s warrant liability are as follows: December 31, 2020 December 31, 2019 Balance at beginning of the period $ 1,579 $ 2,009 Fair value adjustment 650 (520 ) Effect of movement in exchange rates 66 90 Balance at end of the period $ 2,295 $ 1,579 Continuity of warrants during the periods is as follows: Underlying Shares Weighted Average Exercise Price Warrants outstanding and exercisable, January 1, 2019 10,778,061 $1.20 Issued 464,122 C$0.85 Expired (3,602,215 ) $1.99 Warrants outstanding and exercisable, December 31, 2019 7,639,968 $0.79 Exercised (4,195,072 ) $0.80 Exercised (464,122 ) C$0.85 Warrants outstanding and exercisable, December 31, 2020 2,980,774 $0.80 All Warrants Outstanding and Exercisable Expiry Date Exercise Price per Share December 31, 2020 December 31, 2019 July 30, 2020 C$ 0.85 - 464,122 September 25, 2023 $ 0.80 2,980,774 7,175,846 2,980,774 7,639,968 As at December 31, 2020, the weighted average remaining contractual life of warrants outstanding was 2.73 years (December 31, 2019 - 3.55 years). Valuation of the warrant liability requires the use of highly subjective estimates and assumptions including the expected stock price volatility. The expected volatility used in valuing warrants is based on volatility observed in historical periods. Changes in the underlying assumptions can materially affect the fair value estimates. The fair value of the warrant liability was calculated using the Black-Scholes model with the following weighted average assumptions and resulting fair values: December 31, 2020 December 31, 2019 Weighted average assumptions: Risk-free interest rate 0.20 % 1.68 % Expected dividend yield 0 % 0 % Expected warrant life (years) 2.73 3.57 Expected stock price volatility 73.93 % 61.61 % Weighted average fair value $ 0.77 $ 0.22 |
RECLAMATION PROVISION
RECLAMATION PROVISION | 12 Months Ended |
Dec. 31, 2020 | |
Note 17 - RECLAMATION PROVISION | Management’s estimate of the reclamation provision at December 31, 2020, is $808 (December 31, 2019 - $1,524), and the undiscounted value of the obligation is $1,275 (December 31, 2019 - $1,985). The present value of the obligation was calculated using a risk-free interest rate of 5.96% (December 31, 2019 - 6.86%) and an inflation rate of 3.15% (December 31, 2019 - 3.54%). Reclamation activities are estimated to begin in 2023 for the San Gonzalo Mine and in 2041 for the Avino Mine. A reconciliation of the changes in the reclamation provision during the years ended December 31, 2020, and 2019, is as follows: December 31, 2020 December 31, 2019 Balance at beginning of the period $ 1,524 $ 10,799 Changes in estimates (737 ) 840 Disposition of Bralorne (Note 5) - (10,828 ) Unwinding of discount related to Bralorne - 217 Unwinding of discount related to continuing operations 99 104 Effect of movements in exchange rates (78 ) 392 Balance at end of the period $ 808 $ 1,524 During the year ended December 31, 2020, the Company recognized a decrease in the asset retirement obligations in connection with the Avino and San Gonzalo Mines due to the changes in estimated timing of reclamation activities, and closure cost estimates. As a result, a reduction of $544 was recognized in relation to the capitalized costs of the Avino Mine (Note 11 - Plant, equipment and mining properties) and an amount of $193 was recognized in the consolidated statement of operations and comprehensive income (loss) in relation to the reduction of the asset retirement obligation of the San Gonzalo Mine. |
SHARE CAPITAL AND SHAREBASED PA
SHARE CAPITAL AND SHAREBASED PAYMENTS | 12 Months Ended |
Dec. 31, 2020 | |
Note 18 - SHARE CAPITAL AND SHARE-BASED PAYMENTS | (a) Authorized: Unlimited common shares without par value. (b) Issued: (i) During the year ended December 31, 2020, the Company issued 6,730,054 common shares in an at-the-market offering under prospectus supplement for gross proceeds of $4,940. The Company paid a 3% cash commission of $148 on gross proceeds, for net proceeds of $4,792, and incurred an additional $106 in issuance costs during the period. During the year ended December 31, 2020, the Company issued 4,195,072 common shares following the exercise of 4,195,072 warrants. As a result, $6,112 was recorded to share capital, representing cash proceeds of $3,356, fair value of the warrants on the date of exercise (see Note 16 for valuation methodology for $US denominated warrants) of $2,733, and movements in foreign exchange of $69. During the year ended December 31, 2020, the Company also issued 464,122 common shares following the exercise of 464,122 broker warrants. As a result, $416 was recorded to share capital, representing cash proceeds of $300 and the amount attributed to the warrants upon issuance in 2019, representing $116. During the year ended December 31, 2020, the Company issued 675,145 common shares as settlement of accrued advisory services provided by Cantor Fitzgerald Canada Corporate (“Cantor”) for the completion of the sale of Bralorne. The value of these shares was accrued at December 31, 2019; however, the shares were not issued until January 2020. During the year ended December 31, 2020, the Company issued 48,000 common shares following the exercise of 48,000 options. As a result, $43 was recorded to share capital, representing cash proceeds of $28 and the fair value upon issuance of $15. During the year ended December 31, 2020, the Company issued 863,901 common shares upon exercise of RSUs. As a result, $650 was recorded to share capital. (ii) During the year ended December 31, 2019, the Company closed a bought-deal financing, issuing 5,411,900 common shares at the price of C$0.85, as well as 2,323,460 flow-through shares at the price of C$0.99 for gross proceeds of $5,240 (C$6,900). The financing was made by way of prospectus supplement in July 2019, so the Company’s existing Canadian short-form base shelf prospectus dated December 21, 2018. Of the $5,240 total aggregate proceeds raised, $116 was attributed to 464,122 warrants issued as commission, leaving a residual amount of $5,124. This amount includes a flow-through premium, which represents the difference between the C$0.85 price in which the common shares were issued, and the offering price of C$0.99 per share. Based on the C$ to US$ exchange rate on the date of the transaction, $247 was recorded as the flow-through premium, for a net share capital allocation of $4,877. This premium is presented in “Other liabilities” on the consolidated statements of financial position as at December 31, 2019. The Company paid a 7% cash commission on the gross proceeds in the amount of $367, and incurred additional legal and professional costs of $115. Costs of $10 were allocated to the fair value of the warrants and have been reflected in the condensed consolidated interim statements of operations as a finance cost, and costs of $472 have been reflected as share issuance costs in the condensed consolidated interim statements of changes in equity. During the year ended December 31, 2019, the Company issued 4,954,000 common shares in an at-the-market offering under prospectus supplement for gross proceeds of $2,924. The Company paid a 3% cash commission of $87 on gross proceeds, for net proceeds of $2,837, and incurred an additional $75 in issuance costs during the period, During the year ended December 31, 2019, the Company issued 565,259 common shares upon exercise of RSUs. As a result, $835 was recorded to share capital. (c) Stock options: The Company has a stock option plan to purchase the Company’s common shares, under which it may grant stock options of up to 10% of the Company’s total number of shares issued and outstanding on a non-diluted basis. The stock option plan provides for the granting of stock options to directors, officers, and employees, and to persons providing investor relations or consulting services, the limits being based on the Company’s total number of issued and outstanding shares per year. The stock options vest on the date of grant, except for those issued to persons providing investor relations services, which vest over a period of one year. The option price must be greater than or equal to the discounted market price on the grant date, and the option term cannot exceed ten years from the grant date. Continuity of stock options is as follows: Underlying Shares Weighted Average Exercise Price (C$) Stock options outstanding, January 1, 2019 2,917,500 $ 2.04 Granted 526,000 $ 0.79 Cancelled / Forfeited (255,000 ) $ 2.09 Expired (550,000 ) $ 1.90 Stock options outstanding, December 31, 2019 2,638,500 $ 1.82 Granted 1,700,000 $ 1.64 Exercised (48,000 ) $ 0.79 Cancelled / Forfeited (807,500 )) $ 1.70 Stock options outstanding, December 31, 2020 3,483,000 $ 1.77 Stock options exercisable, December 31, 2020 2,208,000 $ 1.85 The following table summarizes information about the stock options outstanding and exercisable at December 31, 2020: Outstanding Exercisable Expiry Date Price (C$) Number of Options Weighted Average Remaining Contractual Life (Years) Number of Options Weighted Average Remaining Contractual Life (Years) September 2, 2021 $ 2.95 360,000 0.67 360,000 0.67 September 20, 2022 $ 1.98 880,000 1.72 880,000 1.72 August 28, 2023 $ 1.30 295,000 2.66 295,000 2.66 August 21, 2024 $ 0.79 248,000 3.64 248,000 3.64 August 4, 2025 $ 1.64 1,700,000 4.59 425,000 4.59 3,483,000 3.23 2,208,000 2.44 Option pricing requires the use of highly subjective estimates and assumptions including the expected stock price volatility. The expected volatility used in valuing stock options is based on volatility observed in historical periods. Changes in the underlying assumptions can materially affect the fair value estimates. The fair value of the options granted during the year ended December 31, 2020, was calculated using the Black-Scholes model with the following weighted average assumptions and resulting grant date fair value: 2020 2019 Weighted average assumptions: Risk-free interest rate 0.30 % 1.27 % Expected dividend yield 0 % 0 % Expected option life (years) 5.00 5.00 Expected stock price volatility 66.09 % 59.01 % Weighted average fair value at grant date C$0.89 C$0.40 During the year ended December 31, 2020, the Company charged $777 (December 31, 2019 - $144) to operations as share-based payments and capitalized $Nil (December 31, 2019 - $37) to exploration and evaluation assets for the fair value of stock options vested during the period. (d) Restricted Share Units: On April 19, 2018, the Company’s Restricted Share Unit (“RSU”) Plan was approved by its shareholders. The RSU Plan is administered by the Compensation Committee under the supervision of the Board of Directors as compensation to officers, directors, consultants, and employees. The Compensation Committee determines the terms and conditions upon which a grant is made, including any performance criteria or vesting period. Upon vesting, each RSU entitles the participant to receive one common share, provided that the participant is continuously employed with or providing services to the Company. RSUs track the value of the underlying common shares, but do not entitle the recipient to the underlying common shares until such RSUs vest, nor do they entitle a holder to exercise voting rights or any other rights attached to ownership or control of the common shares, until the RSU vests and the RSU participant receives common shares. Continuity of RSUs is as follows: Underlying Shares Weighted Average Price (C$) RSUs outstanding, January 1, 2019 1,235,300 $ 1.62 Granted 1,730,500 $ 0.79 Exercised (565,259 ) $ 1.96 Cancelled / Forfeited (27,666 ) $ 1.35 RSUs outstanding, December 31, 2019 2,372,875 $ 0.94 Granted 1,481,000 $ 1.64 Exercised (863,901 ) $ 0.99 Cancelled / Forfeited (115,974 ) $ 1.00 RSUs outstanding, December 31, 2020 2,874,000 $ 1.28 The following table summarizes information about the RSUs outstanding at December 31, 2020: Issuance Date Price (C$) Number of RSUs Outstanding August 28, 2018 $ 1.31 288,000 August 21, 2019 $ 0.79 1,105,000 August 4, 2020 $ 1.64 1,481,000 2,874,000 For the RSUs issued during year ended December 31, 2020, the weighted average fair value at the measurement date was C$1.64 (December 31, 2019 - C$0.79), based on the TSX market price of the Company’s shares on the date the RSUs were granted. During the year ended December 31, 2020, the Company charged $1,080 (December 31, 2019 - $793) to operations as share-based payments and capitalized $Nil (December 31, 2019 - $49) to exploration and evaluation assets for the fair value of the RSUs vested. The fair value of the RSUs is recognized over the vesting period with reference to vesting conditions and the estimated RSUs expected to vest. (e) Earnings (loss) per share: The calculations for basic and diluted earnings per share are as follows: 2020 2019 2018 Net income (loss) for the year $ (7,482 ) $ (2,335 ) $ 1,657 Basic weighted average number of shares outstanding 83,180,069 69,980,178 56,851,626 Effect of dilutive share options, warrants, and RSUs - - 3,149,011 Diluted weighted average number of shares outstanding 83,180,069 69,980,178 60,000,637 Basic earnings (loss) per share $ (0.09 ) $ (0.03 ) $ 0.03 Diluted earnings (loss) per share $ (0.09 ) $ (0.03 ) $ 0.03 |
REVENUE AND COST OF SALES
REVENUE AND COST OF SALES | 12 Months Ended |
Dec. 31, 2020 | |
Note 19 - REVENUE AND COST OF SALES | The Company’s revenues for the year ended December 31, 2020 of $16,022 (2019 - $31,746, 2018 - $34,116) are all attributable to Mexico, from shipments of concentrate produced by the Avino Mine, the San Gonzalo Mine, prior to its closure in Q4 2019, and processing of Historical Above Ground Stockpiles. 2020 2019 2018 Concentrate sales $ 15,304 $ 31,417 $ 34,551 Provisional pricing adjustments 718 329 (435 ) $ 16,022 $ 31,746 $ 34,116 Cost of sales consists of changes in inventories, direct costs including personnel costs, mine site costs, energy costs (principally diesel fuel and electricity), maintenance and repair costs, operating supplies, external services, third party transport fees, depreciation and depletion, and other expenses for the periods. Direct costs include the costs of extracting co-products. Stand-by costs consists of care and maintenance costs incurred during the work stoppage at the Avino Mine during the year ended December 31, 2020. Cost of sales is based on the weighted average cost of inventory sold for the periods and consists of the following: 2020 2019 2018 Production costs $ 11,443 $ 27,949 $ 24,619 Stand-by costs 2,394 - - Inventory net realizable adjustment - 387 - Depreciation and depletion 1,995 3,680 3,231 $ 15,832 $ 32,016 $ 27,850 |
GENERAL AND ADMINISTRATIVE EXPE
GENERAL AND ADMINISTRATIVE EXPENSES | 12 Months Ended |
Dec. 31, 2020 | |
Note 20 - GENERAL AND ADMINISTRATIVE EXPENSES | General and administrative expenses on the consolidated statements of operations consist of the following: 2020 2019 2018 Salaries and benefits $ 1,361 $ 1,347 $ 1,244 Office and miscellaneous 117 286 359 Management and consulting fees 406 461 354 Investor relations 166 171 401 Travel and promotion 46 110 226 Professional fees 380 470 529 Directors fees 171 162 161 Regulatory and compliance fees 139 143 311 Depreciation 116 43 25 $ 2,902 $ 3,193 $ 3,610 |
COMMITMENTS
COMMITMENTS | 12 Months Ended |
Dec. 31, 2020 | |
Note 21 - COMMITMENTS | The Company has a cost sharing agreement to reimburse Oniva for a percentage of its overhead expenses, to reimburse 100% of its out-of-pocket expenses incurred on behalf of the Company, and to pay a percentage fee based on Oniva’s total overhead and corporate expenses. The agreement may be terminated with one-month notice by either party. Transactions and balances with Oniva are disclosed in Note 12. The Company and its subsidiaries have various operating lease agreements for their office premises, use of land, and equipment. Commitments in respect of these lease agreements are as follows: December 31, 2020 December 31, 2019 Not later than one year $ 20 $ 1,269 Later than one year and not later than five years 14 20 Later than five years 3 5 $ 37 $ 1,294 Included in the above amount as at December 31, 2020, is the Company’s commitment to incur flow-through eligible expenditures of $Nil (December 31, 2019 - $1,262 (C$1,639)) that must be incurred in Canada. Office lease payments recognized as an expense during the year ended December 31, 2020, totalled $40 (2019 - $72, 2018 - $81). |
SUPPLEMENT CASH FLOW INFORMATIO
SUPPLEMENT CASH FLOW INFORMATION | 12 Months Ended |
Dec. 31, 2020 | |
Note 22 - SUPPLEMENT CASH FOW INFORMATION | 2020 2019 2018 Net change in non-cash working capital items: Deferred revenues $ - $ (573 ) $ 573 Accounts payable and accrued liabilities (2,877 ) (941 ) 2,329 Prepaid expenses and other assets (157 ) 287 981 Amounts receivable 1,211 2,615 543 Taxes payable (39 ) (121 ) (358 ) Amounts due to related parties 1 6 (44 ) Taxes recoverable 440 (193 ) 1,017 Other liabilities (178 ) (100 ) - Inventory 4,150 3,182 (42 ) $ 2,551 $ 4,162 $ 4,999 2020 2019 2018 Interest paid $ 264 $ 618 $ 959 Taxes paid $ 279 $ 2,373 $ 4,991 Equipment acquired under finance leases and equipment loans $ - $ 122 $ 1,771 |
FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2020 | |
Note 23 - FINANCIAL INSTRUMENTS | The fair values of the Company’s amounts due to related parties and accounts payable approximate their carrying values because of the short-term nature of these instruments. Cash, amounts receivable, long-term investments, and warrant liability are recorded at fair value. The carrying amounts of the Company’s term facility, equipment loans, and finance lease obligations are a reasonable approximation of their fair values based on current market rates for similar financial instruments. The Company’s financial instruments are exposed to certain financial risks, including credit risk, liquidity risk, and market risk. (a) Credit Risk Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. The Company has exposure to credit risk through its cash, long-term investments and amounts receivable. The Company manages credit risk, in respect of cash and short-term investments, by maintaining the majority of cash and short-term investments at highly rated financial institutions. The Company is exposed to a significant concentration of credit risk with respect to its trade accounts receivable balance because all of its concentrate sales are with three (December 31, 2019 – six) counterparties (see Note 25). However, the Company has not recorded any allowance against its trade receivables because to-date all balances owed have been settled in full when due (typically within 60 days of submission) and because of the nature of the counterparties. The Company’s maximum exposure to credit risk at the end of any period is equal to the carrying amount of these financial assets as recorded in the consolidated statement of financial position. At December 31, 2020, no amounts were held as collateral. (b) Liquidity Risk Liquidity risk is the risk that the Company will encounter difficulty in satisfying financial obligations as they become due. The Company manages its liquidity risk by forecasting cash flows required by its operating, investing and financing activities. The Company had cash at December 31, 2020, in the amount of $11,713 and working capital of $14,680 in order to meet short-term business requirements. Accounts payable have contractual maturities of approximately 30 to 90 days, or are due on demand and are subject to normal trade terms. The current portions of term facility, equipment loans, and finance lease obligations are due within 12 months of the condensed consolidated interim statement of financial position date. Amounts due to related parties are without stated terms of interest or repayment. The maturity profiles of the Company’s contractual obligations and commitments as at December 31, 2020, are summarized as follows: Total Less Than 1 Year 1-5 years More Than 5 Years Accounts payable and accrued liabilities $ 2,068 $ 2,068 $ - $ - Amounts due to related parties 154 154 - - Minimum rental and lease payments 26 7 16 3 Term facility 2,552 2,552 - - Equipment loans 72 72 - - Finance lease obligations 514 213 301 - Total $ 5,386 $ 5,066 $ 317 $ 3 (c) Market Risk Market risk consists of interest rate risk, foreign currency risk and price risk. These are discussed further below. Interest Rate Risk Interest rate risk consists of two components: (i) To the extent that payments made or received on the Company’s monetary assets and liabilities are affected by changes in the prevailing market interest rates, the Company is exposed to interest rate cash flow risk. (ii) To the extent that changes in prevailing market rates differ from the interest rates on the Company’s monetary assets and liabilities, the Company is exposed to interest rate price risk. In management’s opinion, the Company is exposed to interest rate risk primarily on its outstanding term facility, as the interest rate is subject to floating rates of interest. A 10% change in the interest rate would not a result in a material impact on the Company’s operations. Foreign Currency Risk Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate due to changes in foreign exchange rates. The Company is exposed to foreign currency risk to the extent that the following monetary assets and liabilities are denominated in Mexican pesos and Canadian dollars: December 31, 2020 December 31, 2019 MXN CDN MXN CDN Cash $ 36,896 $ 2,831 $ 2,780 $ 5,902 Long-term investments - 5,317 - 5,599 Reclamation bonds - 6 - 6 Amounts receivable - 20 - 54 Accounts payable and accrued liabilities (22,972 ) (157 ) (51,307 ) (442 ) Due to related parties - (196 ) - (202 ) Finance lease obligations (1,543 ) (448 ) (1,037 ) (522 ) Net exposure 12,381 7,373 (49,564 ) 10,395 US dollar equivalent $ 620 $ 5,791 $ (2,627 ) $ 8,004 Based on the net US dollar denominated asset and liability exposures as at December 31, 2020, a 10% fluctuation in the US/Mexican and Canadian/US exchange rates would impact the Company’s earnings for the year ended December 31, 2020, by approximately $589 (December 31, 2019 - $465). The Company has not entered into any foreign currency contracts to mitigate this risk. Price Risk Price risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate due to changes in market prices, other than those arising from interest rate risk or foreign currency risk. The Company is exposed to price risk with respect to its amounts receivable, as certain trade accounts receivable are recorded based on provisional terms that are subsequently adjusted according to quoted metal prices at the date of final settlement. Quoted metal prices are affected by numerous factors beyond the Company’s control and are subject to volatility, and the Company does not employ hedging strategies to limit its exposure to price risk. At December 31, 2020, based on outstanding accounts receivable that were subject to pricing adjustments, a 10% change in metals prices would have an impact on net income (loss) of approximately $2 (December 31, 2019 - $70). The Company is exposed to price risk with respect to its long-term investments, as these investments are carried at fair value based on quoted market prices. Changes in market prices result in gains or losses being recognized in net income (loss). At December 31, 2020, a 10% change in market prices would have an impact on net earnings (loss) of approximately $418 (December 31, 2019 - $467). The Company’s profitability and ability to raise capital to fund exploration, evaluation and production activities is subject to risks associated with fluctuations in mineral prices. Management closely monitors commodity prices, individual equity movements, and the stock market to determine the appropriate course of action to be taken by the Company. (d) Classification of Financial Instruments IFRS 7 Financial Instruments: Disclosures Level 1 – quoted prices (unadjusted) in active markets for identical assets or liabilities; Level 2 – inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices); and Level 3 – inputs for the asset or liability that are not based on observable market data (unobservable inputs). The following table sets forth the Company’s financial assets and financial liabilities measured at fair value on a recurring basis by level within the fair value hierarchy as at December 31, 2020: Level 1 Level 2 Level 3 Financial assets Cash $ 11,713 $ - $ - Amounts receivable - 529 - Long-term investments 4,176 - - Total financial assets $ 15,889 $ 529 $ - Financial liabilities Warrant liability - - (2,295 ) Total financial liabilities $ - $ - $ (2,295 ) The Company uses Black-Scholes model to measure its Level 3 financial instruments. The warrants of Talisker are measured on acquisition and at December 31, 2019, using the following assumptions: December 31, 2019 December 13, 2019 Weighted average assumptions: Risk-free interest rate 1.71 % 1.67 % Expected dividend yield 0 % 0 % Expected life (years) 2.95 3.00 Expected stock price volatility 106.79 % 108.41 % Weighted average fair value at grant date C$ 0.23 C$ 0.15 During the year ended December 31, 2020, all warrants of Talisker were exercised, and any changes in Level 3 measurements were a result of the Company exercising these warrants (see Note 8 of the consolidated financial statements). As at December 31, 2020, the Company’s Level 3 financial instruments consisted solely of the warrant liability. For the Company’s warrant liability valuation and fair value adjustments during the years ended December 31, 2020 and 2019, see Note 16 of the consolidated financial statements. During the year ended December 31, 2019, changes in Level 3 measurements were comprised of the recognition of the Talisker warrants received in the sale of Bralorne (see Note 5) of $716, and its subsequent fair value increase of $398 for a total fair value of $1,114 at December 31, 2019. |
CAPITAL MANAGEMENT
CAPITAL MANAGEMENT | 12 Months Ended |
Dec. 31, 2020 | |
Note 24 - CAPITAL MANAGEMENT | The Company’s objectives when managing capital are to safeguard the Company’s ability to continue as a going concern in order to pursue the exploration and expansion of its properties and to maintain a flexible capital structure for its projects for the benefit of its stakeholders. In the management of capital, the Company includes equity (comprising of all issued share capital, equity reserves, retained earnings or accumulated deficit, and other comprehensive income (loss)), the term facility, equipment loan obligations, and finance lease, are listed as follows: December 31, December 31, 2020 2019 Equity $ 59,008 $ 53,923 Term Facility 2,513 5,897 Finance Lease Obligations 486 1,134 Equipment Loans 72 289 $ 62,079 $ 61,243 The Company manages its capital structure and makes adjustments to it in light of changes in economic conditions and the risk characteristics of the underlying assets. To maintain or adjust its capital structure, the Company may attempt to incur new debt or issue new shares. Management reviews the Company’s capital structure on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. At December 31, 2020, the Company expects its capital resources and projected future cash flows from operations to support its normal operating requirements on an ongoing basis, and planned development and exploration of its mineral properties and other expansionary plans. At December 31, 2020, there was no externally imposed capital requirement to which the Company was subject and with which the Company did not comply. |
SEGMENTED INFORMATION
SEGMENTED INFORMATION | 12 Months Ended |
Dec. 31, 2020 | |
Note 25 - SEGMENTED INFORMATION | The Company’s revenues for the year ended December 31, 2020 of $16,022 (2019 - $31,746; 2018 - $34,116) are all attributable to Mexico, from shipments of concentrate produced by the Avino Mine, the San Gonzalo Mine and the Avino Historic Above Ground stockpiles. On the consolidated statements of operations, the Company had revenue from the following product mixes: 2020 2019 2018 Silver $ 6,318 $ 14,030 $ 17,259 Copper 4,662 13,953 12,996 Gold 8,517 10,326 9,866 Penalties, treatment costs and refining charges (3,475 ) (6,563 ) (6,005 ) Total revenue from mining operations $ 16,022 $ 31,746 $ 34,116 For the year ended December 31, 2020, the Company had three customers (2019 - six, 2018 - six) that accounted for total revenues as follows: 2020 2019 2018 Customer #1 $ 12,573 $ 21,810 $ 23,314 Customer #2 3,206 4,861 321 Customer #3 (19 ) 3,350 8,071 Customer #4 262 1,246 - Customer #5 - 469 - Customer #6 - 10 519 Customer #7 - - 1,547 Customer #8 - - 344 Total revenue from mining operations $ 16,022 $ 31,746 $ 34,116 Geographical information relating to the Company’s non-current assets (other than financial instruments) is as follows: December 31, 2020 December 31, 2019 Exploration and evaluation assets - Mexico $ 10,051 $ 9,826 Exploration and evaluation assets - Canada 1 1 Total exploration and evaluation assets $ 10,052 $ 9,827 December 31, 2020 December 31, 2019 Plant, equipment, and mining properties - Mexico $ 34,475 $ 35,239 Plant, equipment, and mining properties - Canada 371 419 Total plant, equipment, and mining properties $ 34,846 $ 35,658 On December 13, 2019, the Company sold Bralorne (see Note 5) which held substantially all of the Company’s non-current assets in Canada. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2020 | |
Note 26 - INCOME TAXES | (a) Income tax expense Income tax expense included in the consolidated statements of operations and comprehensive income (loss) is as follows: 2020 2019 2018 Current income tax expense $ 161 $ 327 $ 1,052 Deferred income tax recovery (1,569 ) (960 ) (645 ) Total income tax expense (recovery) $ (1,408 ) $ (633 ) $ 407 The reconciliation of income taxes calculated at the Canadian statutory tax rate to the income tax expense recognized in the year is as follows: 2020 2019 2018 Net income (loss) before income taxes $ (8,890 ) $ (2,968 ) $ 2,064 Net loss from discontinued operations before income taxes (169 ) (29,126 ) (31 ) Net income (loss) before income taxes $ (9,059 ) $ (32,094 ) $ 2,033 Combined statutory tax rate 27.00 % 27.00 % 27.00 % Income tax expense (recovery) at the Canadian statutory rate (2,446 ) (8,665 ) 549 Reconciling items: Effect of difference in foreign tax rates (86 ) (120 ) 48 Non-deductible/non-taxable items 1,467 6,449 (121 ) Change in unrecognized deductible temporary differences 332 1,263 (257 ) Impact of foreign exchange (112 ) 222 915 Special mining duties (185 ) 231 117 Revisions to estimates (297 ) 58 (368 ) Share issue costs (73 ) (174 ) (231 ) Other items (8 ) 103 (245 ) Income tax expense (recovery) recognized in the year $ (1,408 ) $ (633 ) $ 407 The Company recognized a non-cash recovery of $164 for the year ended December 31, 2020 (2019 - expense of $235; 2018 - expense of $379) related to the deferred tax impact of the special mining duty. The Canadian income tax rate increased from 26% to 27% effective January 1, 2018, with a statutory impact prior to year-end. The impact of this change has been reflected in the consolidated financial statements. December 31, December 31, 2020 2019 Deferred income tax assets $ 4,249 $ 2,755 Deferred income tax liabilities (5,618 ) (5,693 ) $ (1,369 ) $ (2,938 ) The approximate tax effects of each type of temporary difference that gives rise to potential deferred income tax assets and liabilities are as follows: December 31, 2020 December 31, 2019 Reclamation provision $ 304 $ 571 Non-capital losses 3,383 1,171 Other deductible temporary differences 562 1,013 Inventory (2 ) (243 ) Exploration and evaluation assets (3,349 ) (3,340 ) Plant, equipment and mining properties (2,267 ) (2,110 ) Net deferred income tax liabilities $ (1,369 ) $ (2,938 ) The net deferred tax liability presented in these consolidated financial statements is due to the difference in the carrying amounts and tax bases of the Mexican plant, equipment and mining properties which were acquired in the purchase of Avino Mexico. The carrying values of the Mexican plant, equipment and mining properties includes an estimated fair value adjustment recorded upon the July 17, 2006, acquisition of control of Avino Mexico that was based on a share exchange, while the tax bases of these assets are historical undeducted tax amounts that were nil on acquisition. The deferred tax liability is attributable to assets in the tax jurisdiction of Mexico. (b) Unrecognized deductible temporary differences: Temporary differences and tax losses arising in Canada have not been recognized as deferred income tax assets due to the fact that management has determined it is not probable that sufficient future taxable profits will be earned in Canada to recover such assets. Unrecognized deductible temporary differences are summarized as follows: December 31, 2020 December 31, 2019 Tax losses carried forward $ 18,974 $ 24,229 Share issue costs 1,144 1,352 Plant, equipment and mining properties 263 170 Exploration and evaluation assets 1,248 1,237 Investments (400 ) (1,273 ) Reclamation provision and other - - Unrecognized deductible temporary differences $ 21,229 $ 25,715 The Company has capital losses of $11,396 carried forward and $7,578 in non-capital tax losses carried forward available to reduce future Canadian taxable income. The capital losses can be carried forward indefinitely until used. The non-capital losses have an expiry date range of 2027 to 2040. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2020 | |
Note 27 - SUBSEQUENT EVENTS | Warrant Exercises - At-The-Market Sales - Option Exercises - |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Exploration and evaluation assets and development costs | (i) Exploration and evaluation expenditures The Company capitalizes all costs relating to the acquisition, exploration and evaluation of mineral claims. Expenditures incurred before the Company has obtained the legal rights to explore a specific area are expensed. The Company’s capitalized exploration and evaluation costs are classified as intangible assets. Such costs include, but are not limited to, certain camp costs, geophysical studies, exploratory drilling, geological and sampling expenditures, and depreciation of plant and equipment during the exploration stage. Costs not directly attributable to exploration and evaluation activities, including general administrative overhead costs, are expensed in the period in which they occur. Proceeds from the sale of mineral products or farm outs during the exploration and evaluation stage are deducted from the related capitalized costs. The carrying values of capitalized amounts are reviewed annually, or when indicators of impairment are present. In the case of undeveloped properties, there may be only inferred resources to allow management to form a basis for the impairment review. The review is based on the Company’s intentions for the development of such properties. If a mineral property does not prove to be viable, all unrecoverable costs associated with the property are charged to the consolidated statement of comprehensive income (loss) at the time the determination is made. When the technical feasibility and commercial viability of extracting mineral resources have been demonstrated, exploration and evaluation costs are assessed for impairment, reclassified to mining properties and become subject to depletion. Management considers the technical feasibility and commercial viability of extracting a mineral resource to be demonstrable upon the completion of a positive feasibility study and the establishment of mineral reserves. For certain mineral projects, management may determine the completion of a feasibility study to be cost prohibitive, unnecessary or to present undue risk to the structural integrity of the ore body. Under such circumstances, management considers technical feasibility to be demonstrable when the Company has obtained the necessary environmental and mining permits, land surface and mineral access rights, and the mineral project can be physically constructed and operated in a technically sound manner to produce a saleable mineral product. In assessing whether commercial viability is demonstrable, management considers if its internal economic assessment indicates that the mineral project can be mined to generate a reasonable return on investment for the risk undertaken, and markets or long-term contracts for the product exist. (ii) Development expenditures Mine development costs are capitalized until the mineral property is capable of operating in the manner intended by management. The Company evaluates the following factors in determining whether a mining property is capable of operating in the manner intended by management: · The completion and assessment of a reasonable commissioning period of the mill and mining facilities; · Consistent operating results are achieved during the test period; · Existence of clear indicators that operating levels intended by management will be sustainable for the foreseeable future; · Plant / mill has reached a pre-determined percentage of design capacity; · Adequate funding is available and can be allocated to the operating activities; and, · Long term sales arrangements have been secured. The carrying values of capitalized development costs are reviewed annually, or when indicators are present, for impairment. |
Plant, equipment, and mining properties | Upon demonstrating the technical feasibility and commercial viability of extracting mineral resources, all expenditures incurred to that date for the mine are reclassified to mining properties. Expenditures capitalized to mining properties include all costs related to obtaining or expanding access to resources including extensions of the haulage ramp and installation of underground infrastructure, and the estimated reclamation provision. Expenditures incurred with respect to a mining property are capitalized when it is probable that additional future economic benefits will flow to the Company. Otherwise, such expenditures are classified as a cost of sales. Plant and equipment are recorded at historical cost less accumulated depreciation and any accumulated impairment losses. Historical costs include expenditures that are directly attributable to bringing the asset to a location and condition necessary to operate in a manner intended by management. Such costs are accumulated as construction in progress until the asset is available for use, at which point the asset is classified as plant, equipment and mining properties and depreciation commences. After the date that management’s intended production levels have been achieved, mining properties are depleted using the straight-line method over the estimated remaining life of the mine. The Company estimates the remaining life of its producing mineral properties on an annual basis using a combination of quantitative and qualitative factors including historical results, mineral resource estimates, and management’s intent to operate the property. The Company does not have sufficient reserve information to form a basis for the application of the units-of-production method for depreciation and depletion. As at December 31, 2020 and 2019, the Company estimated a remaining mine life for San Gonzalo of Nil. The Company obtained an updated resource estimate which had increased measured and indicated resources, and as a result management completed a review of the mine operations and updated the remaining life of the Avino Mine. Depletion relating to the Avino Mine has been adjusted prospectively, as of October 31, 2020, which was the effective report date. As at December 31, 2020 and 2019, the Company estimated a remaining mine life for the Avino Mine of 20.4 and 8.5 years, respectively. Accumulated mill, machinery, plant facilities, and certain equipment are depreciated using the straight-line method over their estimated useful lives, not to exceed the life of the mine for any assets that are inseparable from the mine. When parts of an item of plant and equipment have different useful lives, they are accounted for as separate items (or components) of plant and equipment. Effective October 1, 2019, and as a result of a review of the remaining life and the pattern of usage of office equipment, furniture and fixtures, computer equipment and mine machinery and transportation equipment, the Company adopted a straight-line method for its plant and equipment, which were previously depreciated using the declining balance method. The change in depreciation has been applied prospectively as a change in estimate. The Company believes that the new method better reflects the pattern of consumption of future economic benefits to be derived from the assets being depreciated. Plant and equipment are depreciated using the following annual rates and methods: Office equipment, furniture, and fixtures 3 years straight line balance Computer equipment 5 years straight line balance Mine machinery and transportation equipment 5 years straight line balance Mill machinery and processing equipment 5 - 20 years straight line Buildings 5 - 20 years straight line |
Impairment | At each financial position reporting date, the carrying amounts of the Company’s assets are reviewed to determine whether there is any indication that those assets are impaired. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment, if any. Where the asset does not generate cash flows that are independent from other assets, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs. An asset’s recoverable amount is the higher of fair value less costs to sell and value in use. Fair value is determined 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. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. If the recoverable amount of an asset or cash generating unit is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount and the impairment loss is recognized in profit or loss for the period. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, provided the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognized for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognized immediately in profit or loss. |
Leases | Leases in which the Company assumes substantially all risks and rewards of ownership are classified as finance leases. Assets held under finance leases are recognized at the lower of the fair value and present value of the minimum lease payments at inception of the lease, less accumulated depreciation and impairment losses. The corresponding liability is recognized as a finance lease obligation. Lease payments are apportioned between finance charges and reduction of the lease obligation to achieve a constant rate of interest on the remaining liability. Finance charges are recorded as a finance expense within profit and loss, unless they are attributable to qualifying assets, in which case they are capitalized. Operating lease payments are recognized on a straight-line basis over the lease term, except where another systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed, in which case that systematic basis is used. Operating lease payments are recorded within profit and loss unless they are attributable to qualifying assets, in which case they are capitalized. |
Inventory | Material extracted from the Company's mine is classified as either process material or waste. Process material represents mineralized material that, at the time of extraction, the Company expects to process into a saleable form and sell at a profit, while waste is considered uneconomic to process and its extraction cost is included in direct mining costs. Raw materials are comprised of process material stockpiles. Process material is accumulated in stockpiles that are subsequently processed into bulk copper, silver, and gold concentrate in a saleable form. The Company has bulk copper, silver, and gold concentrate inventory in saleable form that has not yet been sold. Mine operating supplies represent commodity consumables and other raw materials used in the production process, as well as spare parts and other maintenance supplies that are not classified as capital items. Inventories are valued at the lower of cost and net realizable value (“NRV”). Cost is determined on a weighted average basis and includes all costs incurred, based on normal production capacity, in bringing each product to its present location and condition. Cost of inventories comprises direct labor, materials and contractor expenses, depletion and depreciation on mining properties, plant and equipment, and an allocation of mine site costs. As mineralized material is removed for processing, costs are removed based on the average cost per tonne in the stockpile. Stockpiled process material tonnages are verified by periodic surveys. NRV of mineralized material is determined with reference to relevant market prices less applicable variable selling expenses and costs to bring the inventory into its saleable form. NRV of materials and supplies is generally calculated by reference to salvage or scrap values when it is determined that the supplies are obsolete. NRV provisions are recorded within cost of sales in the consolidated statement of operations, and are reversed to reflect subsequent recoveries where the inventory is still on hand. |
Revenue from Contracts with Customers | Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and the revenue and costs to sell can be reliably measured. Revenue is measured at the fair value of the consideration received, excluding discounts, rebates, and other sales tax or duty. |
Performance Obligations | Based on the criteria outlined in IFRS 15, the Company applied significant judgment in determining that the primary performance obligation relating to its sales contracts is the delivery of concentrates. Shipping and insurance services arranged by the Company for concentrate sales that occur after the transfer of control are also considered performance obligations. |
Transfer of Control | Based on the criteria outlined in IFRS 15, the Company applied significant judgment in determining when the transfer of control occurs. Management based its assessment on a number of indicators of control, which include but are not limited to, whether the Company has the present right of payment and whether the physical possession of the goods, significant risks and rewards, and legal title have been transferred to the customer. |
Provisional Pricing | Based on the criteria outlined in IFRS 15, the Company applied significant judgment in determining variable consideration. The Company identified two provisional pricing components in concentrate sales, represents variable consideration in the form of a) adjustments between original and final assay results relating to the quantity and quality of concentrate shipments, as well as b) pricing adjustments between provisional and final invoicing based on market prices for base and precious metals. Based on the Company’s historical accuracy in the assay process, as evidenced by the negligible historical adjustments relating to assay differences, the Company concluded the variability in consideration caused by the assaying results is negligible. The Company does not expect a significant amount of reversal related to assaying differences. The Company records revenues based on provisional invoices based on quoted market prices of the London Bullion Market Association and the London Metal Exchange during the quotation period outlined in the concentrate sales agreement. The Company applied judgment to determine the amount of variable consideration to be recognized during the period for which the likelihood of significant reversal is low. |
Financial Instruments | Measurement - initial recognition All financial assets and financial liabilities are initially recorded on the Company’s consolidated statement of financial position when the Company becomes a party to the contractual provisions of the instrument. All financial asset and liabilities are initially recorded at fair value, net of attributable transaction costs, except for those classified as fair value through profit or loss (“FVTPL”). Subsequent measurement of financial assets and financial liabilities depends on the classifications of such assets and liabilities. Classification - financial assets Amortized cost: Financial assets that are held within a business model whose objective is to hold financial assets in order to collect contractual cash flows, and that the contractual terms of the financial assets give rise on specified date to cash flows that are solely payments of principal and interest on the principal amount outstanding, are measured subsequent to initial recognition at amortized cost. The amortized cost of a financial asset is the amount at which the financial asset is measured at initial recognition minus the principal repayments, plus the cumulative amortization using the effective interest method of any difference between that initial amount and the maturity amount, adjusted for any loss allowance. Interest income is recognized using the effect interest method, and is recognized in Interest and other income, on the consolidated statements of operations and comprehensive income (loss) The Company financial assets at amortized costs include its cash, amounts receivable not related to sales of concentrate, investments (short-term), and reclamation bonds. Fair value through other comprehensive income (“FVTOCI”) Financial assets that are held within a business model whose objective is to hold financial assets in order to both collect contractual cash flows and selling financial assets, and that the contractual terms of the financial assets give rise on specified date to cash flows that are solely payments of principal and interest on the principal amount outstanding. Upon initial recognition of equity securities, the Company may make an irrevocable election (on an instrument-by-instrument basis) to designate its equity securities that would otherwise be measured at FVTPL to present subsequent changes in fair value in other comprehensive income. Designation at FVTOCI is not permitted if the equity investment is held for trading or if it is contingent consideration recognized by an acquirer in a business combination. Investments in equity instruments at FVTOCI are initially measured at fair value plus transaction costs. Subsequently, they are measured at fair value with gains and losses arising from changes in fair value recognized in other OCI. The cumulative gain or loss is not reclassified to profit or loss on disposal of the instrument; instead, it is transferred to retained earnings. The Company currently has no financial assets designated as FVTOCI. Fair value through profit or loss (“FVTPL”) By default, all other financial assets are measured subsequently at FVTPL, which includes amounts receivable from concentrate sales. Classification - financial liabilities Financial liabilities that are not contingent consideration of an acquirer in a business combination, held for trading or designated as at FVTPL, are measured at amortized cost using the effective interest method. Financial liabilities at amortized cost include accounts payable, amounts due to related parties, term facility, equipment loans, and finance lease obligations. Financial liabilities classified FVTPL include financial liabilities held for trading and financial liabilities designated upon initial recognition as FVTPL. Fair value changes on financial liabilities classified as FVTPL are recognized in the consolidated statements of operations. The Company has classified share purchase warrants with an exercise price in US dollars (see Note 16) as financial liabilities at FVTPL. As these warrants are exercised, the fair value of the recorded warrant liability on date of exercise is included in share capital along with the proceeds from the exercise. If these warrants expire, the related decrease in warrant liability is recognized in the consolidated statements of operations and comprehensive income (loss). The Company has no hedging arrangements and does not apply hedge accounting. Impairment The Company recognizes a loss allowance for expected credit losses on its financial assets when necessary. The amount of expected credit losses is updated at each reporting period to reflect changes in credit risk since initial recognition of the respective financial instruments. |
Share capital | a) Common shares Common shares are classified as equity. Transaction costs directly attributable to the issuance of common shares and equity warrants are recognized as a deduction from equity, net of any tax effects. Transaction costs directly attributable to derivative warrants are charged to operations as a finance cost. b) Repurchase of share capital (treasury shares) When share capital recognized as equity is repurchased, the amount of the consideration paid, which includes directly attributable costs, net of any tax effects, is recognized as a deduction from equity. Repurchased shares are classified as treasury shares and are presented as a deduction from total equity. When treasury shares are sold or reissued subsequently, the amount received is recognized as an increase in equity, and the resulting surplus or deficit on the transaction is transferred to accumulated deficit. |
Share-based payment transactions | The Company’s share option plan and restricted share unit (“RSU”) plan allows directors, officers, employees, and consultants to acquire common shares of the Company. The fair value of options granted is measured at fair value at the grant date based on the market value of the Company’s common shares on that date. The fair value of equity-settled RSUs is measured at the grant date based on the market value of the Company’s common shares on that date, and each tranche is recognized using the graded vesting method over the period during which the RSUs vest. At each financial position reporting date, the amount recognized as an expense is adjusted to reflect the actual number of RSUs that are expected to vest. All options and RSUs are recognized in the consolidated statements of operations and comprehensive income (loss) as an expense or in the consolidated statements of financial position as exploration and evaluation assets over the vesting period with a corresponding increase in equity reserves in the consolidated statements of financial position. |
Reclamation and other provisions | Provisions are recognized where a legal or constructive obligation has been incurred as a result of past events, it is probable that an outflow of resources embodying economic benefit will be required to settle the obligation, and a reliable estimate of the amount of the obligation can be made. If material, provisions are measured at the present value of the expenditures expected to be required to settle the obligation. The increase in any provision due to the passage of time is recognized as accretion expense. The Company records the present value of estimated costs of legal and constructive obligations required to restore properties in the period in which the obligation is incurred. The nature of these restoration activities includes dismantling and removing structures, rehabilitating mines and restoration, reclamation, and re-vegetation of affected areas. The fair value of the liability for a rehabilitation provision is recorded when it is incurred. When the liability is initially recognized, the present value of the estimated cost is capitalized by increasing the carrying amount of the related mining property or exploration and evaluation asset. Over time, the discounted liability is increased for the change in present value based on the discount rates that reflect current market assessments and the risks specific to the liability, which is accreted over time through periodic charges to income or loss. A revision in estimates or new disturbance will result in an adjustment to the provision with an offsetting adjustment to the mineral property or the exploration and evaluation asset. Additional disturbances, changes in costs, or changes in assumptions are recognized as adjustments to the corresponding assets and reclamation liabilities when they occur. |
Earnings per share | The Company presents basic and diluted earnings per share data for its common shares, calculated by dividing the earnings attributable to common shareholders of the Company by the weighted average number of common shares outstanding during the year. Diluted earnings per share is determined by adjusting the earnings attributable to common shareholders and the weighted average number of common shares outstanding for the effects of all potentially dilutive common shares. |
Income taxes | Income taxes in the years presented are comprised of current and deferred tax. Income tax is recognized in profit or loss except to the extent that it relates to items recognized directly in equity, in which case it is recognized as equity. Deferred tax is recognized using the statement of financial position asset and liability method, which provides for temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. The amount of deferred tax recognized is based on the expected manner of realization or settlement of the carrying amount of assets and liabilities, using tax rates enacted or substantively enacted at the consolidated statement of financial position date. A deferred tax asset is recognized only to the extent that it is probable that future taxable profits will be available against which the asset can be utilized. Deferred tax assets and liabilities are not recognized if the temporary differences arise from the initial recognition of goodwill or an asset or liability in a transaction other than a business combination that affects neither accounting profit nor taxable profit. |
BASIS OF PRESENTATION (Tables)
BASIS OF PRESENTATION (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of detailed information about the accounts of the Company and its Canadian and Mexican subsidiaries | Subsidiary Ownership Interest Jurisdiction Nature of Operations Oniva Silver and Gold Mines S.A. de C.V. 100% Mexico Mexican administration Nueva Vizcaya Mining, S.A. de C.V. 100% Mexico Mexican administration Promotora Avino, S.A. de C.V. (“Promotora”) 79.09% Mexico Holding company Compañía Minera Mexicana de Avino, S.A. de C.V. (“Avino Mexico”) 98.45% direct 1.22% indirect (Promotora) 99.67% effective Mexico Mining and exploration |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Summary of annual rates of depreciation on plant and equipment | Office equipment, furniture, and fixtures 3 years straight line balance Computer equipment 5 years straight line balance Mine machinery and transportation equipment 5 years straight line balance Mill machinery and processing equipment 5 - 20 years straight line Buildings 5 - 20 years straight line |
DISPOSITION OF DISCONTINUED O_2
DISPOSITION OF DISCONTINUED OPERATIONS BRALORNE GOLD MINES LTD (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of loss on disposition, net of tax | Cash proceeds $ 6,599 Talisker shares 2,243 Talisker warrants 716 Total proceeds $ 9,558 Net assets sold and derecognized: Cash 1,495 Other current assets 242 Exploration and evaluation assets 45,613 Plant and equipment 1,745 Other long-term assets 19 Current portion of finance lease obligations and equipment loans (175 ) Non-current portion of finance lease obligations and equipment loans (111 ) Site restoration obligation (10,828 ) Foreign currency translation adjustments (42 ) 37,958 Loss on disposition before selling costs (28,400 ) Selling costs (490 ) Loss on disposition, net (28,890 ) |
Schedule of comparative net income (loss) | 2020 2019 2018 Revenue from mining operations $ - $ - $ - Cost of sales - - - Mine operating income (loss) - - - Operating expenses (income) - 16 (45 ) Accretion of reclamation provision - 217 256 Gain on sale of assets - 2 (175 ) Other items - 1 (5 ) Loss on disposition 169 28,890 - Net loss before income taxes (169 ) (29,126 ) (31 ) Income taxes - - - Net loss from discontinued operations and on disposal $ (169 ) $ (29,126 ) $ (31 ) |
Schedule of consolidated statements of cash flows | Cash generated by (used in): 2020 2019 2018 Cash flow used in operating activities $ - $ (19 ) $ (7 ) Cash flow used in financing activities - (258 ) (590 ) Cash flow used in investing activities - (5,583 ) (4,178 ) Net cash decrease from discontinued operations $ - $ (5,860 ) $ (4,775 ) |
TAXES RECOVERABLE (Tables)
TAXES RECOVERABLE (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of taxes recoverable | December 31, 2020 December 31, 2019 VAT recoverable $ 2,328 $ 2,652 GST recoverable 16 42 Income taxes recoverable 2,700 2,789 $ 5,044 $ 5,483 |
INVENTORY (Tables)
INVENTORY (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Inventory | December 31, 2020 December 31, 2019 Process material stockpiles $ 373 $ 1,079 Concentrate inventory 64 3,055 Materials and supplies 1,222 1,458 $ 1,659 $ 5,592 |
LONGTERM INVESTMENTS (Tables)
LONGTERM INVESTMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of long-term investments | Fair Value December 31, Net Additions and(Warrants Movements in foreign Fair value adjustments Fair Value December 31, 2019 Exercised) exchange for the period 2020 Talisker Resources Common Shares $ 3,197 $ 1,184 $ 100 $ (305 ) $ 4,176 Talisker Resources Warrants 1,114 (1,114 ) - - - Other - (1 ) - 1 - $ 4,311 $ 69 $ 100 $ (304 ) $ 4,176 |
EXPLORATION AND EVALUATION AS_2
EXPLORATION AND EVALUATION ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Exploration and Evaluation Assets | Durango, Mexico British Columbia & Yukon, Canada Tota Balance, January 1, 2019 $ 9,692 $ 37,089 $ 46,781 Costs incurred during 2019: Mine and camp costs - 2,537 2,537 Drilling and exploration 50 2,333 2,383 Depreciation of plant and equipment - 317 317 Interest and other costs - 325 325 Provision for reclamation - 1,338 1,338 Assessments and taxes 90 31 121 Geological and related services - 116 116 Assays - 130 130 Water treatment and tailing storage facility costs - 112 112 Effect of movements in exchange rates (6 ) 1,286 1,280 Disposition of Bralorne Mine (Note 5) - (45,613 ) (45,613 ) Balance, December 31, 2019 $ 9,826 $ 1 $ 9,827 Costs incurred during 2020: Drilling and exploration 146 - 146 Assessments and taxes 83 - 83 Effect of movements in exchange rates (4 ) - (4 ) Balance, December 31, 2020 $ 10,051 $ 1 $ 10,052 |
PLANT EQUIPMENT AND MINING PR_2
PLANT EQUIPMENT AND MINING PROPERTIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Plant, Equipment and Mining Properties | Mining properties Office equipment, furniture, and fixtures Computer equipment Mine machinery and transportation equipment Mill machinery and processing equipment Buildings and construction in process Total $ $ $ $ $ $ $ COST Balance at January 1, 2019 12,962 149 358 17,257 17,603 6,710 55,039 Additions / Transfers 644 381 (6 ) (648 ) 148 2,770 3,289 Disposals - (6 ) (12 ) (3,723 ) (231 ) (206 ) (4,178 ) Effect of movements in exchange rates 31 - 1 33 34 13 112 Balance at December 31, 2019 13,637 524 341 12,919 17,554 9,287 54,262 Additions / Transfers (493 ) 34 6 36 (71 ) 1,976 1,488 Effect of movements in exchange rates 5 5 - - - - 10 Balance at December 31, 2020 13,149 563 347 12,955 17,483 11,263 55,760 ACCUMULATED DEPLETION AND DEPRECIATION Balance at January 1, 2019 6,102 65 175 6,830 2,416 708 16,296 Additions / Transfers 1,952 22 49 51 1,619 714 4,407 Disposals - (3 ) (11 ) (2,040 ) (27 ) (49 ) (2,130 ) Effect of movements in exchange rates 12 - - 13 5 1 31 Balance at December 31, 2019 8,066 84 213 4,854 4,013 1,374 18,604 Additions / Transfers 577 103 43 53 1,284 250 2,310 Effect of movements in exchange rates - - - - - - - Balance at December 31, 2020 8,643 187 256 4,907 5,297 1,624 20,914 NET BOOK VALUE At December 31, 2020 4,506 376 91 8,048 12,186 9,639 34,846 At December 31, 2019 5,571 440 128 8,065 13,541 7,913 35,658 |
RELATED PARTY TRANSACTIONS AN_2
RELATED PARTY TRANSACTIONS AND BALANCES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Related Party Transactions and Balances | 2020 2019 2018 Salaries, benefits, and consulting fees $ 757 $ 723 $ 956 Share-based payments 1,468 659 531 $ 2,225 $ 1,382 $ 1,487 |
Schedule of Due to Related Parties | December 31, 2020 December 31, 2019 Oniva International Services Corp. $ 106 $ 105 Directors 48 51 Jasman Yee & Associates, Inc. - - $ 154 $ 156 |
Schedule of Related Party Transactions with Oniva | 2020 2019 2018 Salaries and benefits $ 636 $ 665 $ 594 Office and miscellaneous 290 322 560 Exploration and evaluation assets - 206 353 $ 926 $ 1,193 $ 1,507 |
TERM FACILITY (Tables)
TERM FACILITY (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
TERM FACILITY | December 31, December 31, 2020 2019 Balance, beginning $ 5,897 $ 6,900 Repayments (3,333 ) (833 ) Unwinding of fair value adjustment (51 ) (170 ) Balance, ending 2,513 5,897 Less: Current portion (2,513 ) (3,384 ) Non-current portion $ - $ 2,513 |
EQUIPMENT LOANS (Tables)
EQUIPMENT LOANS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Equipment Loans | December 31, December 31, 2020 2019 Not later than one year $ 73 $ 228 Later than one year and not later than five years - 73 Less: Future interest charges (1 ) (12 ) Present value of loan payments 72 289 Less: current portion (72 ) (199 ) Non-current portion $ - $ 90 |
FINANCE LEASE OBLIGATIONS (Tabl
FINANCE LEASE OBLIGATIONS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Finance Lease Obligations | December 31, December 31, 2020 2019 Not later than one year $ 213 $ 716 Later than one year and not later than five years 301 444 Later than five years - 28 Less: Future interest charges (28 ) (54 ) Present value of lease payments 486 1,134 Less: current portion (208 ) (692 ) Non-current portion $ 278 $ 442 |
WARRANT LIABILITY (Tables)
WARRANT LIABILITY (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Change in Warrant Liability | December 31, 2020 December 31, 2019 Balance at beginning of the period $ 1,579 $ 2,009 Fair value adjustment 650 (520 ) Effect of movement in exchange rates 66 90 Balance at end of the period $ 2,295 $ 1,579 |
Schedule of Warrants Outstanding and Exercisable | Underlying Shares Weighted Average Exercise Price Warrants outstanding and exercisable, January 1, 2019 10,778,061 $1.20 Issued 464,122 C$0.85 Expired (3,602,215 ) $1.99 Warrants outstanding and exercisable, December 31, 2019 7,639,968 $0.79 Exercised (4,195,072 ) $0.80 Exercised (464,122 ) C$0.85 Warrants outstanding and exercisable, December 31, 2020 2,980,774 $0.80 All Warrants Outstanding and Exercisable Expiry Date Exercise Price per Share December 31, 2020 December 31, 2019 July 30, 2020 C$ 0.85 - 464,122 September 25, 2023 $ 0.80 2,980,774 7,175,846 2,980,774 7,639,968 |
Schedule of Fair Value of Warrant Liability | December 31, 2020 December 31, 2019 Weighted average assumptions: Risk-free interest rate 0.20 % 1.68 % Expected dividend yield 0 % 0 % Expected warrant life (years) 2.73 3.57 Expected stock price volatility 73.93 % 61.61 % Weighted average fair value $ 0.77 $ 0.22 |
RECLAMATION PROVISION (Tables)
RECLAMATION PROVISION (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Changes in Reclamation Provision | December 31, 2020 December 31, 2019 Balance at beginning of the period $ 1,524 $ 10,799 Changes in estimates (737 ) 840 Disposition of Bralorne (Note 5) - (10,828 ) Unwinding of discount related to Bralorne - 217 Unwinding of discount related to continuing operations 99 104 Effect of movements in exchange rates (78 ) 392 Balance at end of the period $ 808 $ 1,524 |
SHARE CAPITAL AND SHAREBASED _2
SHARE CAPITAL AND SHAREBASED PAYMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Stock Options | Underlying Shares Weighted Average Exercise Price (C$) Stock options outstanding, January 1, 2019 2,917,500 $ 2.04 Granted 526,000 $ 0.79 Cancelled / Forfeited (255,000 ) $ 2.09 Expired (550,000 ) $ 1.90 Stock options outstanding, December 31, 2019 2,638,500 $ 1.82 Granted 1,700,000 $ 1.64 Exercised (48,000 ) $ 0.79 Cancelled / Forfeited (807,500 )) $ 1.70 Stock options outstanding, December 31, 2020 3,483,000 $ 1.77 Stock options exercisable, December 31, 2020 2,208,000 $ 1.85 |
Schedule of Stock Options Outsanding and Exercisable | Outstanding Exercisable Expiry Date Price (C$) Number of Options Weighted Average Remaining Contractual Life (Years) Number of Options Weighted Average Remaining Contractual Life (Years) September 2, 2021 $ 2.95 360,000 0.67 360,000 0.67 September 20, 2022 $ 1.98 880,000 1.72 880,000 1.72 August 28, 2023 $ 1.30 295,000 2.66 295,000 2.66 August 21, 2024 $ 0.79 248,000 3.64 248,000 3.64 August 4, 2025 $ 1.64 1,700,000 4.59 425,000 4.59 3,483,000 3.23 2,208,000 2.44 |
Schedule of RSU Outstanding | Underlying Shares Weighted Average Price (C$) RSUs outstanding, January 1, 2019 1,235,300 $ 1.62 Granted 1,730,500 $ 0.79 Exercised (565,259 ) $ 1.96 Cancelled / Forfeited (27,666 ) $ 1.35 RSUs outstanding, December 31, 2019 2,372,875 $ 0.94 Granted 1,481,000 $ 1.64 Exercised (863,901 ) $ 0.99 Cancelled / Forfeited (115,974 ) $ 1.00 RSUs outstanding, December 31, 2020 2,874,000 $ 1.28 The following table summarizes information about the RSUs outstanding at December 31, 2020: Issuance Date Price (C$) Number of RSUs Outstanding August 28, 2018 $ 1.31 288,000 August 21, 2019 $ 0.79 1,105,000 August 4, 2020 $ 1.64 1,481,000 2,874,000 |
Schedule of fair value of options granted | 2020 2019 Weighted average assumptions: Risk-free interest rate 0.30 % 1.27 % Expected dividend yield 0 % 0 % Expected option life (years) 5.00 5.00 Expected stock price volatility 66.09 % 59.01 % Weighted average fair value at grant date C$0.89 C$0.40 |
Schedule of Basic Earnings Per Share and Diluted Earnings Per Share | 2020 2019 2018 Net income (loss) for the year $ (7,482 ) $ (2,335 ) $ 1,657 Basic weighted average number of shares outstanding 83,180,069 69,980,178 56,851,626 Effect of dilutive share options, warrants, and RSUs - - 3,149,011 Diluted weighted average number of shares outstanding 83,180,069 69,980,178 60,000,637 Basic earnings (loss) per share $ (0.09 ) $ (0.03 ) $ 0.03 Diluted earnings (loss) per share $ (0.09 ) $ (0.03 ) $ 0.03 |
REVENUE AND COST OF SALES (Tabl
REVENUE AND COST OF SALES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Revenue | 2020 2019 2018 Concentrate sales $ 15,304 $ 31,417 $ 34,551 Provisional pricing adjustments 718 329 (435 ) $ 16,022 $ 31,746 $ 34,116 |
Schedule of Cost of Sales | 2020 2019 2018 Production costs $ 11,443 $ 27,949 $ 24,619 Stand-by costs 2,394 - - Inventory net realizable adjustment - 387 - Depreciation and depletion 1,995 3,680 3,231 $ 15,832 $ 32,016 $ 27,850 |
GENERAL AND ADMINISTRATIVE EX_2
GENERAL AND ADMINISTRATIVE EXPENSES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of General and Administrative Expenses | 2020 2019 2018 Salaries and benefits $ 1,361 $ 1,347 $ 1,244 Office and miscellaneous 117 286 359 Management and consulting fees 406 461 354 Investor relations 166 171 401 Travel and promotion 46 110 226 Professional fees 380 470 529 Directors fees 171 162 161 Regulatory and compliance fees 139 143 311 Depreciation 116 43 25 $ 2,902 $ 3,193 $ 3,610 |
COMMITMENTS (Tables)
COMMITMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Commitments | December 31, 2020 December 31, 2019 Not later than one year $ 20 $ 1,269 Later than one year and not later than five years 14 20 Later than five years 3 5 $ 37 $ 1,294 |
SUPPLEMENT CASH FLOW INFORMAT_2
SUPPLEMENT CASH FLOW INFORMATION (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Supplement cash flow information | 2020 2019 2018 Net change in non-cash working capital items: Deferred revenues $ - $ (573 ) $ 573 Accounts payable and accrued liabilities (2,877 ) (941 ) 2,329 Prepaid expenses and other assets (157 ) 287 981 Amounts receivable 1,211 2,615 543 Taxes payable (39 ) (121 ) (358 ) Amounts due to related parties 1 6 (44 ) Taxes recoverable 440 (193 ) 1,017 Other liabilities (178 ) (100 ) - Inventory 4,150 3,182 (42 ) $ 2,551 $ 4,162 $ 4,999 2020 2019 2018 Interest paid $ 264 $ 618 $ 959 Taxes paid $ 279 $ 2,373 $ 4,991 Equipment acquired under finance leases and equipment loans $ - $ 122 $ 1,771 |
FINANCIAL INSTRUMENTS (Tables)
FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Contractual Obligations and Commitments | Total Less Than 1 Year 1-5 years More Than 5 Years Accounts payable and accrued liabilities $ 2,068 $ 2,068 $ - $ - Amounts due to related parties 154 154 - - Minimum rental and lease payments 26 7 16 3 Term facility 2,552 2,552 - - Equipment loans 72 72 - - Finance lease obligations 514 213 301 - Total $ 5,386 $ 5,066 $ 317 $ 3 |
Schedule of Foreign Currency Risk | December 31, 2020 December 31, 2019 MXN CDN MXN CDN Cash $ 36,896 $ 2,831 $ 2,780 $ 5,902 Long-term investments - 5,317 - 5,599 Reclamation bonds - 6 - 6 Amounts receivable - 20 - 54 Accounts payable and accrued liabilities (22,972 ) (157 ) (51,307 ) (442 ) Due to related parties - (196 ) - (202 ) Finance lease obligations (1,543 ) (448 ) (1,037 ) (522 ) Net exposure 12,381 7,373 (49,564 ) 10,395 US dollar equivalent $ 620 $ 5,791 $ (2,627 ) $ 8,004 |
Schedule of Fair Value On Recurring Basis | Level 1 Level 2 Level 3 Financial assets Cash $ 11,713 $ - $ - Amounts receivable - 529 - Long-term investments 4,176 - - Total financial assets $ 15,889 $ 529 $ - Financial liabilities Warrant liability - - (2,295 ) Total financial liabilities $ - $ - $ (2,295 ) |
Schedule of Fair Value Assumption | December 31, 2019 December 13, 2019 Weighted average assumptions: Risk-free interest rate 1.71 % 1.67 % Expected dividend yield 0 % 0 % Expected life (years) 2.95 3.00 Expected stock price volatility 106.79 % 108.41 % Weighted average fair value at grant date C$ 0.23 C$ 0.15 |
CAPITAL MANAGEMENT (Tables)
CAPITAL MANAGEMENT (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of term facility | December 31, December 31, 2020 2019 Equity $ 59,008 $ 53,923 Term Facility 2,513 5,897 Finance Lease Obligations 486 1,134 Equipment Loans 72 289 $ 62,079 $ 61,243 |
SEGMENTED INFORMATION (Tables)
SEGMENTED INFORMATION (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Condensed Consolidated Interim Statements of Operations | 2020 2019 2018 Silver $ 6,318 $ 14,030 $ 17,259 Copper 4,662 13,953 12,996 Gold 8,517 10,326 9,866 Penalties, treatment costs and refining charges (3,475 ) (6,563 ) (6,005 ) Total revenue from mining operations $ 16,022 $ 31,746 $ 34,116 |
Schedule of revenues from customers | 2020 2019 2018 Customer #1 $ 12,573 $ 21,810 $ 23,314 Customer #2 3,206 4,861 321 Customer #3 (19 ) 3,350 8,071 Customer #4 262 1,246 - Customer #5 - 469 - Customer #6 - 10 519 Customer #7 - - 1,547 Customer #8 - - 344 Total revenue from mining operations $ 16,022 $ 31,746 $ 34,116 |
Schedule of Geographical Information of company's non-current assets | December 31, 2020 December 31, 2019 Exploration and evaluation assets - Mexico $ 10,051 $ 9,826 Exploration and evaluation assets - Canada 1 1 Total exploration and evaluation assets $ 10,052 $ 9,827 December 31, 2020 December 31, 2019 Plant, equipment, and mining properties - Mexico $ 34,475 $ 35,239 Plant, equipment, and mining properties - Canada 371 419 Total plant, equipment, and mining properties $ 34,846 $ 35,658 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Schedule of Income tax expense | 2020 2019 2018 Current income tax expense $ 161 $ 327 $ 1,052 Deferred income tax recovery (1,569 ) (960 ) (645 ) Total income tax expense (recovery) $ (1,408 ) $ (633 ) $ 407 |
Schedule of deferred tax | December 31, December 31, 2020 2019 Deferred income tax assets $ 4,249 $ 2,755 Deferred income tax liabilities (5,618 ) (5,693 ) $ (1,369 ) $ (2,938 ) |
Schedule of reconciliation of income taxes | 2020 2019 2018 Net income (loss) before income taxes $ (8,890 ) $ (2,968 ) $ 2,064 Net loss from discontinued operations before income taxes (169 ) (29,126 ) (31 ) Net income (loss) before income taxes $ (9,059 ) $ (32,094 ) $ 2,033 Combined statutory tax rate 27.00 % 27.00 % 27.00 % Income tax expense (recovery) at the Canadian statutory rate (2,446 ) (8,665 ) 549 Reconciling items: Effect of difference in foreign tax rates (86 ) (120 ) 48 Non-deductible/non-taxable items 1,467 6,449 (121 ) Change in unrecognized deductible temporary differences 332 1,263 (257 ) Impact of foreign exchange (112 ) 222 915 Special mining duties (185 ) 231 117 Revisions to estimates (297 ) 58 (368 ) Share issue costs (73 ) (174 ) (231 ) Other items (8 ) 103 (245 ) Income tax expense (recovery) recognized in the year $ (1,408 ) $ (633 ) $ 407 |
Schedule of Deferred income tax assets and liabilities | December 31, 2020 December 31, 2019 Reclamation provision $ 304 $ 571 Non-capital losses 3,383 1,171 Other deductible temporary differences 562 1,013 Inventory (2 ) (243 ) Exploration and evaluation assets (3,349 ) (3,340 ) Plant, equipment and mining properties (2,267 ) (2,110 ) Net deferred income tax liabilities $ (1,369 ) $ (2,938 ) |
Schedule of Unrecognized deductible temporary differences | December 31, 2020 December 31, 2019 Tax losses carried forward $ 18,974 $ 24,229 Share issue costs 1,144 1,352 Plant, equipment and mining properties 263 170 Exploration and evaluation assets 1,248 1,237 Investments (400 ) (1,273 ) Reclamation provision and other - - Unrecognized deductible temporary differences $ 21,229 $ 25,715 |
BASIS OF PRESENTATION (Details)
BASIS OF PRESENTATION (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Oniva Silver and Gold Mines S.A. de C.V (Member) | |
Statement [Line Items] | |
Subsidiary | Oniva Silver and Gold Mines S.A. de C.V. |
Ownership Interest | 100.00% |
Jurisdiction | Mexico |
Nature of Operations | Mexican administration |
Promotora Avino, S.A. de C.V. (Member) | |
Statement [Line Items] | |
Subsidiary | Promotora Avino, S.A. de C.V. ("Promotora") |
Ownership Interest | 79.09% |
Jurisdiction | Mexico |
Nature of Operations | Holding company |
Compania Minera Mexicana de Avino, S.A. de C.V. Direct (Member) | |
Statement [Line Items] | |
Subsidiary | Compania Minera Mexicana de Avino, S.A. de C.V. ("Avino Mexico") |
Ownership Interest | 98.45% |
Jurisdiction | Mexico |
Nature of Operations | Mining and exploration |
Compania Minera Mexicana de Avino, S.A. de C.V. Indirect (Member) | |
Statement [Line Items] | |
Subsidiary | Compania Minera Mexicana de Avino, S.A. de C.V. ("Avino Mexico") |
Ownership Interest | 1.22% |
Jurisdiction | Mexico |
Nature of Operations | Mining and exploration |
Compania Minera Mexicana de Avino, S.A. de C.V. Effective (Member) | |
Statement [Line Items] | |
Subsidiary | Compania Minera Mexicana de Avino, S.A. de C.V. ("Avino Mexico") |
Ownership Interest | 99.67% |
Jurisdiction | Mexico |
Nature of Operations | Mining and exploration |
Nueva Vizcaya Mining, S.A. de C.V. (Member) | |
Statement [Line Items] | |
Subsidiary | Nueva Vizcaya Mining, S.A. de C.V. |
Ownership Interest | 100.00% |
Jurisdiction | Mexico |
Nature of Operations | Mexican administration |
SIGNIFICANT ACCOUNTING POLICI_4
SIGNIFICANT ACCOUNTING POLICIES (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Computer equipment [member] | |
Statement [Line Items] | |
Depreciation rates and methods of plant and equipment | 5 years straight line balance |
Buildings [Member] | Bottom of range [member] | |
Statement [Line Items] | |
Depreciation rates and methods of plant and equipment | 5 years straight line |
Buildings [Member] | Top of range [member] | |
Statement [Line Items] | |
Depreciation rates and methods of plant and equipment | 20 years straight line |
Office equipment, furniture, and fixtures [Member] | |
Statement [Line Items] | |
Depreciation rates and methods of plant and equipment | 3 years straight line balance |
Mine machinery and transportation equipment [Member] | |
Statement [Line Items] | |
Depreciation rates and methods of plant and equipment | 5 years straight line balance |
Mill machinery and processing equipment [Member] | Bottom of range [member] | |
Statement [Line Items] | |
Depreciation rates and methods of plant and equipment | 5 years straight line |
Mill machinery and processing equipment [Member] | Top of range [member] | |
Statement [Line Items] | |
Depreciation rates and methods of plant and equipment | 20 years straight line |
SIGNIFICANT ACCOUNTING POLICI_5
SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Avino Mine [Member] | ||
Statement [Line Items] | ||
Estimated remaining life (in years) | 20 years 4 months 24 days | 8 years 5 months 30 days |
DISPOSITION OF DISCONTINUED O_3
DISPOSITION OF DISCONTINUED OPERATIONS BRALORNE GOLD MINES LTD (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement [Line Items] | |||
Cash | $ 11,713 | $ 9,625 | |
Ploant and equipment | 34,846 | 35,658 | |
Foreign currency translation adjustments | 811 | $ 663 | $ 801 |
Bralorne Gold Mines Ltd [Member] | |||
Statement [Line Items] | |||
Cash proceeds | 6,599 | ||
Talisker shares | 2,243 | ||
Talisker warrants | 716 | ||
Total proceeds | 9,558 | ||
Cash | 1,495 | ||
Other current assets | 242 | ||
Exploration and evaluation assets | 45,613 | ||
Ploant and equipment | 1,745 | ||
Other long-term assets | 19 | ||
Current portion of finance lease obligations and equipment loans | (175) | ||
Non-current portion of finance lease obligations and equipment loans | (111) | ||
Site restoration obligation | (10,828) | ||
Foreign currency translation adjustments | (42) | ||
Total | 37,958 | ||
Loss on disposition before selling costs | (28,400) | ||
Selling costs | (490) | ||
Loss on disposition, net | $ (28,890) |
DISPOSITION OF DISCONTINUED O_4
DISPOSITION OF DISCONTINUED OPERATIONS BRALORNE GOLD MINES LTD (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement [Line Items] | |||
Accretion of reclamation provision | $ 0 | $ 1,338 | |
Other items | (8) | 103 | $ (245) |
Income (loss) from continuing operations before income taxes | (8,890) | (2,968) | 2,064 |
Income taxes | 1,408 | 633 | (407) |
Net income (loss) | (7,651) | (31,461) | 1,626 |
Continuing Operations To Discontinued Operations [Member] | |||
Statement [Line Items] | |||
Operating expenses (income) | 0 | 16 | (45) |
Accretion of reclamation provision | 0 | 217 | 256 |
Gain on sale of assets | 0 | 2 | (175) |
Other items | 0 | 1 | (5) |
Loss on disposition | 169 | 28,890 | 0 |
Income (loss) from continuing operations before income taxes | (169) | (29,126) | (31) |
Income taxes | 0 | 0 | 0 |
Net income (loss) | $ (169) | $ (29,126) | $ (31) |
DISPOSITION OF DISCONTINUED O_5
DISPOSITION OF DISCONTINUED OPERATIONS BRALORNE GOLD MINES LTD (Details 2) - Discontinued Operations [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash generated by (used in): | |||
Cash flow used in operating activities | $ 0 | $ (19) | $ (7) |
Cash flow used in financing activities | 0 | (258) | (590) |
Cash flow used in investing activities | 0 | (5,583) | (4,178) |
Net cash decrease from discontinued operations | $ 0 | $ (5,860) | $ (4,775) |
DISPOSITION OF DISCONTINUED O_6
DISPOSITION OF DISCONTINUED OPERATIONS BRALORNE GOLD MINES LTD (Details Narrative) $ / shares in Units, shares in Thousands, $ in Thousands, $ in Thousands | Dec. 13, 2019CAD ($)$ / sharesshares | Dec. 31, 2020 | Dec. 31, 2019USD ($) |
Bralorne Gold Mines Ltd [Member] | |||
Statement [Line Items] | |||
Ownership Interest | 100.00% | ||
Subsidiary | Bralorne Gold Mines Ltd. | ||
Consideration cash payment | $ | $ 2,500 | ||
Talisker Resources Ltd [Member] | |||
Statement [Line Items] | |||
Total consideration amount | $ | $ 8,700 | ||
Issuance of common shares | shares | 12,580,000 | ||
Percentage of pro-forma basis | 9.90% | ||
Exercise price of warrants | $ / shares | $ 0.25 | ||
Issuance of share purchase warrants | shares | 6,290,000 | ||
Description for closing price of common share | Subject to acceleration in the event the closing price of Talisker’s common shares is great than C$0.35 per share for 20 or more consecutive trading days at any time following April 14, 2020; | ||
Warrant exercisable period | 3 years |
TAXES RECOVERABLE (Details)
TAXES RECOVERABLE (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
VAT recoverable | $ 2,328 | $ 2,652 |
GST recoverable | 16 | 42 |
Income taxes recoverable | 2,700 | 2,789 |
Total taxes recoverable | $ 5,044 | $ 5,483 |
INVENTORY (Details)
INVENTORY (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Process material stockpiles | $ 373 | $ 1,079 |
Concentrate inventory | 64 | 3,055 |
Materials and supplies | 1,222 | 1,458 |
Inventories | $ 1,659 | $ 5,592 |
INVENTORY (Details Narrative)
INVENTORY (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cost of sales | $ 15,832 | $ 32,016 | $ 27,850 |
LONGTERM INVESTMENTS (Details)
LONGTERM INVESTMENTS (Details) - Talisker Resources Ltd [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Statement [Line Items] | |
Fair Value of long term investments, Beginning Balance | $ 4,311 |
Net Additions and (Warrants Exercised) | 69 |
Movements in foreign exchange | 100 |
Fair value adjustments for the period | (304) |
Fair Value of long term investments, Ending Balance | 4,176 |
Common Shares [Member] | |
Statement [Line Items] | |
Fair Value of long term investments, Beginning Balance | 3,197 |
Net Additions and (Warrants Exercised) | 1,184 |
Movements in foreign exchange | 100 |
Fair value adjustments for the period | (305) |
Fair Value of long term investments, Ending Balance | 4,176 |
Warrants [Member] | |
Statement [Line Items] | |
Fair Value of long term investments, Beginning Balance | 1,114 |
Net Additions and (Warrants Exercised) | (1,114) |
Movements in foreign exchange | 0 |
Fair value adjustments for the period | 0 |
Fair Value of long term investments, Ending Balance | 0 |
Other long-term investments [Member] | |
Statement [Line Items] | |
Fair Value of long term investments, Beginning Balance | 0 |
Net Additions and (Warrants Exercised) | (1) |
Movements in foreign exchange | 0 |
Fair value adjustments for the period | 1 |
Fair Value of long term investments, Ending Balance | $ 0 |
EXPLORATION AND EVALUATION AS_3
EXPLORATION AND EVALUATION ASSETS (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Statement [Line Items] | ||
Beginning, balance | $ 9,827 | $ 46,781 |
Mine and camp costs | 2,537 | |
Drilling and exploration | 146 | 2,383 |
Depreciation of plant and equipment | 0 | 317 |
Interest and other costs | 0 | 325 |
Provision for reclamation | 0 | 1,338 |
Assessments and taxes | 83 | 121 |
Geological and related services | 0 | 116 |
Assays | 0 | 130 |
Water treatment and tailing storage facility costs | 0 | 112 |
Effect of movements in exchange rates | (4) | 1,280 |
Disposition of Bralorne Mine | 0 | (45,613) |
Ending, balance | 10,052 | 9,827 |
Durango, Mexico [Member] | ||
Statement [Line Items] | ||
Drilling and exploration | 146 | 50 |
Assessments and taxes | 83 | 90 |
Effect of movements in exchange rates | (4) | (6) |
Beginning balance | 9,826 | 9,692 |
Ending balance | 10,051 | 9,826 |
British Columbia & Yukon, Canada [Member] | ||
Statement [Line Items] | ||
Mine and camp costs | 0 | 2,537 |
Drilling and exploration | 0 | 2,333 |
Depreciation of plant and equipment | 0 | 317 |
Interest and other costs | 0 | 325 |
Provision for reclamation | 0 | 1,338 |
Assessments and taxes | 0 | 31 |
Geological and related services | 0 | 116 |
Assays | 0 | 130 |
Water treatment and tailing storage facility costs | 0 | 112 |
Effect of movements in exchange rates | 0 | 1,286 |
Disposition of Bralorne Mine | 0 | (45,613) |
Beginning balance | 1 | 37,089 |
Ending balance | $ 1 | $ 1 |
EXPLORATION AND EVALUATION AS_4
EXPLORATION AND EVALUATION ASSETS (Details Narrative) $ / shares in Units, shares in Thousands, $ in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020USD ($)ainteger$ / sharesshares | Dec. 31, 2012CAD ($)shares | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Durango, Mexico [Member] | ||||
Statement [Line Items] | ||||
Exploration expenditures properties | $ 10,051 | $ 9,826 | $ 9,692 | |
Number of mineral claims on lease | integer | 4 | |||
Number of mineral claims owned by Avino Mexico | integer | 42 | |||
Durango, Mexico [Member] | 24 Concessions [Member] | Avino Mine Area Property [Member] | ||||
Statement [Line Items] | ||||
Area of exploitation concessions | a | 1,284.7 | |||
Number of exploitation concessions | integer | 24 | |||
Durango, Mexico [Member] | 4 Concessions [Member] | Avino Mine Area Property [Member] | ||||
Statement [Line Items] | ||||
Area of exploitation concessions | a | 154.4 | |||
Number of exploitation concessions | integer | 4 | |||
Durango, Mexico [Member] | 1 Concessions [Member] | Avino Mine Area Property [Member] | ||||
Statement [Line Items] | ||||
Area of exploitation concessions | a | 98.83 | |||
Number of exploitation concessions | integer | 1 | |||
Durango, Mexico [Member] | Santiago Papasquiaro property [Member] | ||||
Statement [Line Items] | ||||
Area of exploitation concessions | a | 2,552.6 | |||
Number of exploitation concessions | integer | 4 | |||
Durango, Mexico [Member] | Santiago Papasquiaro property [Member] | Concessions One [Member] | ||||
Statement [Line Items] | ||||
Area of exploitation concessions | a | 602.9 | |||
Number of exploitation concessions | integer | 1 | |||
Durango, Mexico [Member] | Gomez Palacio property [Member] | 9 Concessions [Member] | ||||
Statement [Line Items] | ||||
Area of exploitation concessions | a | 2,549 | |||
Number of exploitation concessions | integer | 9 | |||
Durango, Mexico [Member] | Unification La Platosa properties [Member] | ||||
Statement [Line Items] | ||||
Description for exploration period | The Company has obtained the exclusive right to explore and mine the property for an initial period of 15 years, with the option to extend the agreement for another 5 years | |||
Exploration and Mining rights acquisition consideration transferred, shares issued | shares | 135,189 | |||
Exploration and Mining rights acquisition consideration transferred shares issued, value | $ 250 | |||
Durango, Mexico [Member] | Unification La Platosa properties [Member] | Minerales [Member] | ||||
Statement [Line Items] | ||||
Description of royalty terms | The Company has agreed to pay to Minerales a royalty equal to 3.5% of net smelter returns (“NSR”). In addition, after the start of production, if the minimum monthly processing rate of the mine facilities is less than 15,000 tonnes, then the Company must pay to Minerales a minimum royalty equal to the applicable NSR royalty based on the processing at a monthly rate of 15,000 tonnes. | |||
Description for exclusive right acquisition under agreement | Minerales has also granted to the Company the exclusive right to purchase a 100% interest in the property at any time during the term of the agreement (or any renewal thereof), upon payment of $8 million within 15 days of the Company’s notice of election to acquire the property. The purchase would be subject to a separate purchase agreement for the legal transfer of the property. | |||
Yukon, Canada [Member] | Mayo Mining Division [Member] | Eagle property option agreement [Member] | ||||
Statement [Line Items] | ||||
Terms of agreement | The Company has a 100% interest in 14 quartz leases located in the Mayo Mining Division of Yukon, Canada, which collectively comprise the Eagle property. | |||
British Columbia, Canada [Member] | Minto and Olympic-Kelvin properties [Member] | Lillooet Mining Division [Member] | ||||
Statement [Line Items] | ||||
Mineral claims property, description | The Company’s mineral claims in British Columbia encompass two additional properties, Minto and Olympic-Kelvin, each of which consists of 100% owned Crown-granted mineral claims located in the Lillooet Mining Division. | |||
Silver Wolf Exploration Ltd. [Member] | ||||
Statement [Line Items] | ||||
Common stock shares issued value | $ 50,000 | |||
Exploration expenditures properties | $ 750,000 | |||
Terms of agreement | Under the Option Agreement, the parties intend that the first two year’s payments ($200,000 in cash or shares), and first $150,000 in exploration work will be firm commitments by Silver Wolf. | |||
Silver Wolf Exploration Ltd. [Member] | Option Agreement [Member] | ||||
Statement [Line Items] | ||||
Common stock shares issued value | $ 600,000 | |||
Warrants acquire shares purchase | shares | 300,000 | |||
Exercise price | $ / shares | $ 0.20 | |||
Ownership percentage | 100.00% | |||
Silver Wolf Exploration Ltd. [Member] | Third Anniversary [Member] | ||||
Statement [Line Items] | ||||
Common stock shares issued value | $ 200,000 | |||
Silver Wolf Exploration Ltd. [Member] | Fourth Anniversary [Member] | ||||
Statement [Line Items] | ||||
Common stock shares issued value | 200,000 | |||
Exploration expenditures properties | 600,000 | |||
Silver Wolf Exploration Ltd. [Member] | Second Anniversary [Member] | ||||
Statement [Line Items] | ||||
Common stock shares issued value | 100,000 | |||
Exploration expenditures properties | 100,000 | |||
Silver Wolf Exploration Ltd. [Member] | First Anniversary [Member] | ||||
Statement [Line Items] | ||||
Common stock shares issued value | 50,000 | |||
Exploration expenditures properties | $ 50,000 |
NONCONTROLLING INTEREST (Detail
NONCONTROLLING INTEREST (Details Narrative) - Avino Mexico [Member] | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement [Line Items] | |||
Ownership percentage | 99.67% | 99.67% | 99.67% |
Non-controlling interest | 0.33% | 0.33% | 0.33% |
PLANT EQUIPMENT AND MINING PR_3
PLANT EQUIPMENT AND MINING PROPERTIES (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
COST | ||
Beginning balance | $ 54,262 | $ 55,039 |
Additions/ Transfers | 1,488 | 3,289 |
Disposals | (4,178) | |
Effect of movements in exchange rates | 10 | 112 |
Ending balance | 55,760 | 54,262 |
ACCUMULATED DEPLETION AND DEPRECIATION, beginning balance | 18,604 | 16,296 |
ACCUMULATED DEPLETION AND DEPRECIATION, Additions / Transfers | 2,310 | 4,407 |
ACCUMULATED DEPLETION AND DEPRECIATION, Disposals | (2,130) | |
ACCUMULATED DEPLETION AND DEPRECIATION, Effect of movements in exchange rates | 31 | |
ACCUMULATED DEPLETION AND DEPRECIATION, Ending balance | 20,914 | 18,604 |
NET BOOK VALUE | ||
Plant, equipment and mining properties | 34,846 | 35,658 |
Office equipment, furniture, and fixtures [Member] | ||
COST | ||
Beginning balance | 524 | 149 |
Disposals | (6) | |
Effect of movements in exchange rates | 5 | |
Ending balance | 563 | 524 |
ACCUMULATED DEPLETION AND DEPRECIATION, beginning balance | 84 | 65 |
ACCUMULATED DEPLETION AND DEPRECIATION, Additions / Transfers | 103 | 22 |
ACCUMULATED DEPLETION AND DEPRECIATION, Disposals | (3) | |
ACCUMULATED DEPLETION AND DEPRECIATION, Effect of movements in exchange rates | 0 | |
ACCUMULATED DEPLETION AND DEPRECIATION, Ending balance | 187 | 84 |
NET BOOK VALUE | ||
Plant, equipment and mining properties | 376 | 440 |
ACCUMULATED DEPLETION AND DEPRECIATION | ||
Additions / Transfers | 34 | 381 |
Mine machinery and transportation equipment [Member] | ||
COST | ||
Beginning balance | 12,919 | 17,257 |
Disposals | (3,723) | |
Ending balance | 12,955 | 12,919 |
ACCUMULATED DEPLETION AND DEPRECIATION, beginning balance | 4,854 | 6,830 |
ACCUMULATED DEPLETION AND DEPRECIATION, Additions / Transfers | 53 | 51 |
ACCUMULATED DEPLETION AND DEPRECIATION, Disposals | (2,040) | |
ACCUMULATED DEPLETION AND DEPRECIATION, Effect of movements in exchange rates | 13 | |
ACCUMULATED DEPLETION AND DEPRECIATION, Ending balance | 4,907 | 4,854 |
NET BOOK VALUE | ||
Plant, equipment and mining properties | 8,048 | 8,065 |
Effect of movements in exchange rates | 33 | |
ACCUMULATED DEPLETION AND DEPRECIATION | ||
Additions / Transfers | 36 | (648) |
Mill machinery and processing equipment [Member] | ||
COST | ||
Disposals | (231) | |
ACCUMULATED DEPLETION AND DEPRECIATION, beginning balance | 4,013 | 2,416 |
ACCUMULATED DEPLETION AND DEPRECIATION, Additions / Transfers | 1,284 | 1,619 |
ACCUMULATED DEPLETION AND DEPRECIATION, Disposals | (27) | |
ACCUMULATED DEPLETION AND DEPRECIATION, Effect of movements in exchange rates | 5 | |
ACCUMULATED DEPLETION AND DEPRECIATION, Ending balance | 5,297 | 4,013 |
NET BOOK VALUE | ||
Plant, equipment and mining properties | 12,186 | 13,541 |
Effect of movements in exchange rates | 34 | |
ACCUMULATED DEPLETION AND DEPRECIATION | ||
Additions / Transfers | (71) | 148 |
Beginning balance | 17,554 | 17,603 |
Ending balance | 17,483 | 17,554 |
Computer equipment [member] | ||
COST | ||
Beginning balance | 341 | 358 |
Disposals | (12) | |
Ending balance | 347 | 341 |
ACCUMULATED DEPLETION AND DEPRECIATION, beginning balance | 213 | 175 |
ACCUMULATED DEPLETION AND DEPRECIATION, Additions / Transfers | 43 | 49 |
ACCUMULATED DEPLETION AND DEPRECIATION, Disposals | (11) | |
ACCUMULATED DEPLETION AND DEPRECIATION, Effect of movements in exchange rates | 0 | |
ACCUMULATED DEPLETION AND DEPRECIATION, Ending balance | 256 | 213 |
NET BOOK VALUE | ||
Plant, equipment and mining properties | 91 | 128 |
Effect of movements in exchange rates | 1 | |
ACCUMULATED DEPLETION AND DEPRECIATION | ||
Additions / Transfers | 6 | (6) |
Mining Property [member] | ||
COST | ||
Beginning balance | 13,637 | 12,962 |
Additions/ Transfers | (493) | 644 |
Ending balance | 13,149 | 13,637 |
ACCUMULATED DEPLETION AND DEPRECIATION, beginning balance | 8,066 | 6,102 |
ACCUMULATED DEPLETION AND DEPRECIATION, Additions / Transfers | 577 | 1,952 |
ACCUMULATED DEPLETION AND DEPRECIATION, Disposals | 0 | |
ACCUMULATED DEPLETION AND DEPRECIATION, Effect of movements in exchange rates | 12 | |
ACCUMULATED DEPLETION AND DEPRECIATION, Ending balance | 8,643 | 8,066 |
NET BOOK VALUE | ||
Plant, equipment and mining properties | 4,506 | 5,571 |
Effect of movements in exchange rates | 5 | 31 |
Buildings [Member] | ||
COST | ||
Disposals | (206) | |
ACCUMULATED DEPLETION AND DEPRECIATION, beginning balance | 1,374 | 708 |
ACCUMULATED DEPLETION AND DEPRECIATION, Additions / Transfers | 250 | 714 |
ACCUMULATED DEPLETION AND DEPRECIATION, Disposals | (49) | |
ACCUMULATED DEPLETION AND DEPRECIATION, Effect of movements in exchange rates | 1 | |
ACCUMULATED DEPLETION AND DEPRECIATION, Ending balance | 1,624 | 1,374 |
NET BOOK VALUE | ||
Plant, equipment and mining properties | 9,639 | 7,913 |
Effect of movements in exchange rates | 13 | |
ACCUMULATED DEPLETION AND DEPRECIATION | ||
Additions / Transfers | 1,976 | 2,770 |
Beginning balance | 9,287 | 6,710 |
Ending balance | $ 11,263 | $ 9,287 |
PLANT EQUIPMENT AND MINING PR_4
PLANT EQUIPMENT AND MINING PROPERTIES (Details Narrative) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
PLANT EQUIPMENT AND MINING PROPERTIES (Details) | ||
Assets under construction | $ 5,327 | $ 3,746 |
RELATED PARTY TRANSACTIONS AN_3
RELATED PARTY TRANSACTIONS AND BALANCES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Salaries, benefits, and consulting fees | $ 757 | $ 723 | $ 956 |
Share-based payments | 1,468 | 659 | 531 |
Total Key management personnel compensation | $ 2,225 | $ 1,382 | $ 1,487 |
RELATED PARTY TRANSACTIONS AN_4
RELATED PARTY TRANSACTIONS AND BALANCES (Details 1) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Statement [Line Items] | ||
Due to related parties | $ 154 | $ 156 |
Oniva International Services Corp. [Member] | ||
Statement [Line Items] | ||
Due to related parties | 106 | 105 |
Directors [Member] | ||
Statement [Line Items] | ||
Due to related parties | 48 | 51 |
Jasman Yee & Associates, Inc. [Member] | ||
Statement [Line Items] | ||
Due to related parties | $ 0 | $ 0 |
RELATED PARTY TRANSACTIONS AN_5
RELATED PARTY TRANSACTIONS AND BALANCES (Details 2) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement [Line Items] | |||
Salaries and benefits | $ 757 | $ 723 | $ 956 |
Office and miscellaneous | 117 | 286 | 359 |
Exploration and evaluation assets | 231 | 5,723 | 5,361 |
Oniva International Services Corp. [Member] | |||
Statement [Line Items] | |||
Salaries and benefits | 636 | 665 | 594 |
Office and miscellaneous | 290 | 322 | 560 |
Exploration and evaluation assets | 0 | 206 | 353 |
Total cost | $ 926 | $ 1,193 | $ 1,507 |
RELATED PARTY TRANSACTIONS AN_6
RELATED PARTY TRANSACTIONS AND BALANCES (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement [Line Items] | |||
Salaries, benefits, and consulting fees | $ 757 | $ 723 | $ 956 |
Oniva International Services Corp. [Member] | |||
Statement [Line Items] | |||
Amounts receivable, related party transactions | 0 | 0 | |
Salaries, benefits, and consulting fees | 636 | 665 | 594 |
ICC [Member] | |||
Statement [Line Items] | |||
Salaries, benefits, and consulting fees | 224 | 226 | 232 |
JYAI [Member] | |||
Statement [Line Items] | |||
Salaries, benefits, and consulting fees | 31 | 33 | 66 |
WWD [Member] | |||
Statement [Line Items] | |||
Salaries, benefits, and consulting fees | $ 0 | $ 0 | $ 12 |
TERM FACILITY (Details)
TERM FACILITY (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Balance at beginning of the period | $ 5,897 | $ 6,900 |
Repayments | (3,333) | (833) |
Unwinding of fair value adjustment | (51) | (170) |
Balance at end of the period | 2,513 | 5,897 |
Less: Current portion | (2,513) | (3,384) |
Non-current portion | $ 0 | $ 2,513 |
TERM FACILITY (Details Narrativ
TERM FACILITY (Details Narrative) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended |
Jul. 31, 2015 | Dec. 31, 2020 | |
Statement [Line Items] | ||
Short-term investments interest rate description | Interest is charged on the facility at a rate of US dollar LIBOR (3 month) plus 4.75%. | |
New Amending Agreement [Member] | ||
Statement [Line Items] | ||
Short-term investments interest rate description | The Company is currently repaying the remaining balance in monthly instalments of $278 ending September 2021, with 9 remaining payments as at December 31, 2020 | |
Repayment of monthly instalments | $ 278 |
EQUIPMENT LOANS (Details)
EQUIPMENT LOANS (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Statement [Line Items] | ||
Less: Future interest charges | $ (1) | $ (12) |
Present value of loan payments | 72 | 289 |
Less: Current portion | (72) | (199) |
Non-current portion | 0 | 90 |
Not later than one year [member] | ||
Statement [Line Items] | ||
Contractual maturities | 73 | 228 |
Later Than One Year And Not Later Than Five Years [Member] | ||
Statement [Line Items] | ||
Non-current portion | 0 | |
Contractual maturities | $ 0 | $ 73 |
EQUIPMENT LOANS (Details Narrat
EQUIPMENT LOANS (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Computer equipment [member] | ||
Statement [Line Items] | ||
Equipment loans expiration description | The Company has entered into loans for mining equipment maturing in 2021 with fixed interest rates of 6.29% per annum | |
Net carrying amount | $ 442 | $ 559 |
Computer equipment [Member] | Top of range [member] | ||
Statement [Line Items] | ||
Fixed interest rate | 6.29% |
FINANCE LEASE OBLIGATIONS (Deta
FINANCE LEASE OBLIGATIONS (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Statement [Line Items] | ||
Less: Future interest charges | $ (28) | $ (54) |
Present value of lease payments | 486 | 1,134 |
Less: current portion | (208) | (692) |
Non-current portion | 278 | 442 |
Not later than one year [member] | ||
Statement [Line Items] | ||
Contractual maturities | 213 | 716 |
Later Than One Year And Not Later Than Five Years [Member] | ||
Statement [Line Items] | ||
Contractual maturities | 301 | 444 |
Later Than Five Years [Member] | ||
Statement [Line Items] | ||
Contractual maturities | $ 0 | $ 28 |
FINANCE LEASE OBLIGATIONS (De_2
FINANCE LEASE OBLIGATIONS (Details Narrative) - Lease [member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Statement [Line Items] | ||
Finance lease expiration description | The Company has entered into office space and mining equipment leases expiring between 2021 and 2025 | |
Net carrying amount | $ 1,087 | $ 2,697 |
Line of credit facilities | 5,000 | |
Remaining line of credit facilities | $ 4,927 | |
Bottom of range [member] | ||
Statement [Line Items] | ||
Interest rate | 0.00% | |
Top of range [member] | ||
Statement [Line Items] | ||
Interest rate | 14.99% |
WARRANT LIABILITY (Details)
WARRANT LIABILITY (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Statement [Line Items] | ||
Balance at beginning of the year | $ 1,579 | |
Balance at end of the year | 2,295 | $ 1,579 |
Warrants [Member] | ||
Statement [Line Items] | ||
Balance at beginning of the year | 1,579 | 2,009 |
Fair value adjustment | 650 | (520) |
Effect of movement in exchange rates | 66 | 90 |
Balance at end of the year | $ 2,295 | $ 1,579 |
WARRANT LIABILITY (Details 1)
WARRANT LIABILITY (Details 1) - Warrants [Member] | 12 Months Ended | |||
Dec. 31, 2020$ / sharesshares | Dec. 31, 2020$ / sharesshares | Dec. 31, 2019$ / sharesshares | Dec. 31, 2019$ / sharesshares | |
Statement [Line Items] | ||||
Outstanding and exercisable underlying shares, Beginning | 7,639,968 | 7,639,968 | 10,778,061 | 10,778,061 |
Warrants Issued, underlying shares | (4,195,072) | (4,195,072) | 464,122 | 464,122 |
Warrants Expired, underlying shares | (464,122) | (464,122) | (3,602,215) | (3,602,215) |
Outstanding and exercisable underlying shares, Ending | 2,980,774 | 2,980,774 | 7,639,968 | 7,639,968 |
Outstanding and exercisable Weighted Average Exercise Price, Beginning | $ / shares | $ 0.79 | $ 1.20 | ||
Warrants Issued, Weighted Average Exercise Price | (per share) | 0.85 | $ 0.85 | ||
Warrants Expired, Weighted Average Exercise Price | (per share) | $ 0.85 | 1.99 | ||
Outstanding and exercisable Weighted Average Exercise Price, Ending | $ / shares | $ 0.80 | $ 0.79 |
WARRANT LIABILITY (Details 2)
WARRANT LIABILITY (Details 2) | 12 Months Ended | ||
Dec. 31, 2020$ / sharesshares | Dec. 31, 2020$ / sharesshares | Dec. 31, 2019shares | |
Statement [Line Items] | |||
Warrants Outstanding and Exercisable | 2,980,774 | 2,980,774 | 7,639,968 |
July 30, 2020 [Member] | |||
Statement [Line Items] | |||
Warrants Outstanding and Exercisable | 464,122 | ||
Exercise Price | $ / shares | $ 0.85 | ||
Expiry Date | Jul. 30, 2020 | Jul. 30, 2020 | |
September 25, 2023 [Member] | |||
Statement [Line Items] | |||
Warrants Outstanding and Exercisable | 2,980,774 | 2,980,774 | 7,175,846 |
Exercise Price | $ / shares | $ 0.80 | ||
Expiry Date | Sep. 25, 2023 | Sep. 25, 2023 |
WARRANT LIABILITY (Details 3)
WARRANT LIABILITY (Details 3) - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Weighted average assumptions: | ||
Risk-free interest rate | 0.20% | 1.68% |
Expected dividend yield | 0.00% | 0.00% |
Expected option life (years) | 2 years 8 months 23 days | 3 years 6 months 26 days |
Expected stock price volatility | 73.93% | 61.61% |
Weighted average fair value | $ 0.77 | $ 0.22 |
WARRANT LIABILITY (Details Narr
WARRANT LIABILITY (Details Narrative) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Weighted average remaining contractual life (years) | 2 years 8 months 23 days | 3 years 6 months 18 days |
RECLAMATION PROVISION (Details)
RECLAMATION PROVISION (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Balance at beginning of the year | $ 1,524 | $ 10,799 |
Changes in estimates | (737) | 840 |
Disposition of Bralorne (Note 5) | 0 | (10,828) |
Unwinding of discount related to Bralorne | 0 | 217 |
Unwinding of discount related to continuing operations | 99 | 104 |
Effect of movements in exchange rates | (78) | 392 |
Balance at end of the year | $ 808 | $ 1,524 |
RECLAMATION PROVISION (Details
RECLAMATION PROVISION (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Avino Mine [Member] | ||
Statement [Line Items] | ||
Capitalized costs | $ 544 | |
San Gonzalo Mine [Member] | ||
Statement [Line Items] | ||
Reduction of asset retirement obligation | 193 | |
Management's Estimate [member] | ||
Statement [Line Items] | ||
Reclamation provision | 808 | $ 1,524 |
Reclamation provision undiscounted value | $ 1,275 | $ 1,985 |
Management's estimate one [member] | ||
Statement [Line Items] | ||
Risk free interest rate | 5.96% | 6.86% |
Inflation rate | 3.15% | 3.54% |
SHARE CAPITAL AND SHAREBASED _3
SHARE CAPITAL AND SHAREBASED PAYMENTS (Details) | 12 Months Ended | ||
Dec. 31, 2020$ / sharesshares | Dec. 31, 2019$ / sharesshares | Dec. 31, 2019$ / sharesshares | |
Statement [Line Items] | |||
Outstanding and exercisable underlying shares, Beginning | 7,639,968 | ||
Stock options [Member] | |||
Statement [Line Items] | |||
Outstanding and exercisable underlying shares, Beginning | 2,638,500 | 2,917,500 | 2,917,500 |
Granted | 1,700,000 | 526,000 | 526,000 |
Cancelled / Forfeited | (807,500) | (255,000) | (255,000) |
Expired | (550,000) | (550,000) | |
Exercised | (48,000) | ||
Stock options outstanding, Ending | 3,483,000 | 2,638,500 | 2,638,500 |
Stock options exercisable | 2,208,000 | ||
Outstanding and exercisable Weighted Average Exercise Price, Beginning | $ / shares | $ 1.82 | $ 2.04 | |
Weighted Average Exercise Price, Granted | $ / shares | 1.64 | 0.79 | |
Weighted Average Exercise Price, Exercised | (per share) | 0.79 | $ 0 | |
Weighted Average Exercise Price, Cancelled / Forfeited | $ / shares | 1.70 | 2.09 | |
Weighted Average Exercise Price, Expired | $ / shares | 1.90 | ||
Stock options outstanding | $ / shares | 1.77 | $ 1.82 | |
Weighted Average Exercise Price, Stock options exercisable | (per share) | $ 1.85 | $ 0 |
SHARE CAPITAL AND SHAREBASED _4
SHARE CAPITAL AND SHAREBASED PAYMENTS (Details 1) - Stock options [Member] | 12 Months Ended |
Dec. 31, 2020$ / sharesshares | |
Statement [Line Items] | |
Stock options exercisable | 2,208,000 |
Stock Options Outstanding | 3,483,000 |
Weighted Average Remaining Contractual Life (Years), stock options outstanding | 3 years 2 months 23 days |
Weighted Average Remaining Contractual Life (Years), stock options exercisable | 2 years 5 months 9 days |
Stock options exercisable | 2,208,000 |
September 2, 2021 [Member] | |
Statement [Line Items] | |
Expiry Date | Sep. 2, 2021 |
Stock options exercisable | 360,000 |
Exercise Price | $ / shares | $ 2.95 |
Stock Options Outstanding | 360,000 |
Weighted Average Remaining Contractual Life (Years), stock options outstanding | 8 months 1 day |
Weighted Average Remaining Contractual Life (Years), stock options exercisable | 8 months 1 day |
September 20, 2022 [Member] | |
Statement [Line Items] | |
Expiry Date | Sep. 20, 2022 |
Stock options exercisable | 880,000 |
Exercise Price | $ / shares | $ 1.98 |
Stock Options Outstanding | 880,000 |
Weighted Average Remaining Contractual Life (Years), stock options outstanding | 1 year 8 months 19 days |
Weighted Average Remaining Contractual Life (Years), stock options exercisable | 1 year 8 months 19 days |
August 28, 2023 [Member] | |
Statement [Line Items] | |
Expiry Date | Aug. 28, 2023 |
Stock options exercisable | 295,000 |
Exercise Price | $ / shares | $ 1.30 |
Stock Options Outstanding | 295,000 |
Weighted Average Remaining Contractual Life (Years), stock options outstanding | 2 years 7 months 28 days |
Weighted Average Remaining Contractual Life (Years), stock options exercisable | 2 years 7 months 28 days |
August 21, 2024 [Member] | |
Statement [Line Items] | |
Expiry Date | Aug. 21, 2024 |
Stock options exercisable | 248,000 |
Exercise Price | $ / shares | $ 0.79 |
Stock Options Outstanding | 248,000 |
Weighted Average Remaining Contractual Life (Years), stock options outstanding | 3 years 7 months 21 days |
Weighted Average Remaining Contractual Life (Years), stock options exercisable | 3 years 7 months 21 days |
August 4, 2025 [Member] | |
Statement [Line Items] | |
Expiry Date | Aug. 4, 2025 |
Stock options exercisable | 425,000 |
Exercise Price | $ / shares | $ 1.64 |
Stock Options Outstanding | 1,700,000 |
Weighted Average Remaining Contractual Life (Years), stock options outstanding | 4 years 7 months 2 days |
Weighted Average Remaining Contractual Life (Years), stock options exercisable | 4 years 7 months 2 days |
SHARE CAPITAL AND SHAREBASED _5
SHARE CAPITAL AND SHAREBASED PAYMENTS (Details 2) - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Statement [Line Items] | ||
Expected option life (years) | 2 years 8 months 23 days | 3 years 6 months 26 days |
Stock options [Member] | ||
Statement [Line Items] | ||
Risk-free interest rate | 0.30% | 1.27% |
Expected dividend yield | 0.00% | 0.00% |
Expected option life (years) | 5 years | 5 years |
Expected stock price volatility | 66.09% | 59.01% |
Weighted average fair value at grant date | $ 0.89 | $ 0.40 |
SHARE CAPITAL AND SHAREBASED _6
SHARE CAPITAL AND SHAREBASED PAYMENTS (Detail 3) - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Statement [Line Items] | ||
Outstanding and exercisable underlying shares, Beginning | 7,639,968 | |
Restricted Share Units [Member] | ||
Statement [Line Items] | ||
Outstanding and exercisable underlying shares, Beginning | 2,372,875 | 1,235,300 |
Granted | 1,481,000 | 1,730,500 |
Exercised | (863,901) | (565,259) |
Cancelled / Forfeited | (115,974) | (27,666) |
Stock options outstanding, Ending | 2,874,000 | 2,372,875 |
Outstanding and exercisable Weighted Average Exercise Price, Beginning | $ 0.94 | $ 1.62 |
Weighted Average Exercise Price, Granted | 1.64 | 0.79 |
Weighted Average Exercise Price, Exercised | 0.99 | 1.96 |
Weighted Average Exercise Price, Cancelled / Forfeited | 1 | 1.35 |
Stock options outstanding | $ 1.28 | $ 0.94 |
SHARE CAPITAL AND SHAREBASED _7
SHARE CAPITAL AND SHAREBASED PAYMENTS (Details 4) | 12 Months Ended |
Dec. 31, 2020$ / sharesshares | |
Statement [Line Items] | |
Total Stock Options Outstanding | 2,874,000 |
Stock options [Member] | |
Statement [Line Items] | |
Stock Options Outstanding | 3,483,000 |
Stock options [Member] | August 28, 2018 [Member] | |
Statement [Line Items] | |
Exercise Price | $ / shares | $ 1.31 |
Stock Options Outstanding | 288,000 |
Issuance Date | Aug. 28, 2018 |
Stock options [Member] | August 21, 2019 [Member] | |
Statement [Line Items] | |
Exercise Price | $ / shares | $ 0.79 |
Stock Options Outstanding | 1,105,000 |
Issuance Date | Aug. 21, 2019 |
Stock options [Member] | August 4, 2020 [Member] | |
Statement [Line Items] | |
Exercise Price | $ / shares | $ 1.64 |
Stock Options Outstanding | 1,481,000 |
Issuance Date | Aug. 4, 2020 |
SHARE CAPITAL AND SHAREBASED _8
SHARE CAPITAL AND SHAREBASED PAYMENTS (Details 5) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement [Line Items] | |||
Basic earnings (loss) per share | $ (0.09) | $ (0.45) | $ 0.03 |
Diluted earnings (loss) per share | $ (0.09) | $ (0.45) | $ 0.03 |
Earning loss Per Share [Member] | |||
Statement [Line Items] | |||
Net income (loss) for the period | $ (7,482) | $ (2,335) | $ 1,657 |
Basic weighted average number of shares outstanding | 83,180,069 | 69,980,178 | 56,851,626 |
Effect of dilutive share options, warrants, and RSUs | 3,149,011 | ||
Diluted weighted average number of shares outstanding | 83,180,069 | 69,980,178 | 60,000,637 |
Basic earnings (loss) per share | $ (0.09) | $ (0.03) | $ 0.03 |
Diluted earnings (loss) per share | $ (0.09) | $ (0.03) | $ 0.03 |
SHARE CAPITAL AND SHAREBASED _9
SHARE CAPITAL AND SHAREBASED PAYMENTS (Details Narrative) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020USD ($)$ / sharesshares | Dec. 31, 2019USD ($)$ / sharesshares | Dec. 31, 2019USD ($)$ / shares$ / sharesshares | Dec. 31, 2018USD ($) | |
Statement [Line Items] | ||||
Net proceeds | $ 4,792 | |||
Gross proceeds on cash commission | $ 148 | $ 367 | ||
Weighted average fair value | $ / shares | $ 1.64 | $ 0.79 | ||
Share issue related cost | $ 8,393 | $ 7,283 | $ 8,466 | |
Realized loss on exercise of warrants | 2,733 | 0 | 0 | |
Share-based payments | $ 1,857 | 937 | $ 630 | |
Cantor Fitzgerald Canada Corporate [Member] | ||||
Statement [Line Items] | ||||
Common shares issued for services | shares | 675,145 | |||
Restricted Share Units [Member] | ||||
Statement [Line Items] | ||||
Share-based payments | $ 835 | |||
Carrying value of RSUs exercised, Shares | shares | 565,259 | |||
Weighted average fair value, per share | $ / shares | $ 1.64 | $ 0.79 | $ 0.79 | |
Warrants [Member] | ||||
Statement [Line Items] | ||||
Equity attributable to common share | $ 5,124 | $ 5,124 | ||
Share Capital [Member] | ||||
Statement [Line Items] | ||||
Net proceeds | 2,837 | |||
Gross proceeds on cash commission | $ 3,356 | $ 87 | ||
Common shares issued | shares | 4,195,072 | 4,954,000 | 4,954,000 | |
Exercise of warrants | shares | 4,195,072 | |||
Cash commission, percent | 3.00% | |||
Share issue related cost | $ 75 | |||
Realized loss on exercise of warrants | $ 2,733 | |||
Foreign exchange | $ 69 | |||
Warrants issued during the period | $ 464,122 | |||
Common shares issued units | shares | 5,411,900 | |||
Common shares issued per unit | $ / shares | $ 0.85 | |||
Common shares, flow through shares | shares | 2,323,460 | |||
Common shares, flow through share price | $ / shares | $ 0.99 | |||
Common shares, flow through premium | $ 247 | |||
Common shares, share capital allocation | 4,877 | |||
Gross proceeds | 2,924 | |||
Common shares, aggregate proceeds | 5,240 | |||
Market offering under prospectus supplements, shares | shares | 6,730,054 | |||
Market offering under prospectus supplements, amount | $ 4,940 | |||
Offering price per share | $ / shares | $ 0.99 | |||
Additional share issuance cost | 106 | |||
Legal and professional costs | 115 | |||
Reflected as share issuance costs | 472 | |||
Fair value of warrants | 10 | |||
Share-based payments | $ 6,112 | |||
Share Capital Three [Member] | ||||
Statement [Line Items] | ||||
Common shares issued | shares | 863,901 | |||
Share capital, amount | $ 650 | |||
Share Capital And Share-Based Payment [Member] | ||||
Statement [Line Items] | ||||
Capitalized to exploration and evaluation assets | 0 | 37 | $ 37 | |
Share Capital One [member] | ||||
Statement [Line Items] | ||||
Gross proceeds on cash commission | $ 300 | |||
Common shares issued | shares | 464,122 | |||
Exercise of warrants | shares | 464,122 | |||
Realized loss on exercise of warrants | $ 116 | 0 | ||
Share-based payments | 777 | 149 | ||
Capitalized to exploration and evaluation assets | 0 | 37 | $ 37 | |
Company charged expenses | 1,080 | 793 | ||
Share Capital Two [member] | ||||
Statement [Line Items] | ||||
Gross proceeds on cash commission | $ 28 | |||
Common shares issued | shares | 48,000 | |||
Exercise of warrants | shares | 48,000 | |||
Share-based payments | $ 0 | $ 49 | ||
Fair value upon issuance of warrants | $ 15 |
REVENUE AND COST OF SALES (Deta
REVENUE AND COST OF SALES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Concentrate sales | $ 15,304 | $ 31,417 | $ 34,551 |
Provisional pricing adjustments | 718 | 329 | (435) |
Total Revenue | $ 16,022 | $ 31,746 | $ 34,116 |
REVENUE AND COST OF SALES (De_2
REVENUE AND COST OF SALES (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Production costs | $ 11,443 | $ 27,949 | $ 24,619 |
Stand-by costs | 2,394 | ||
Inventory net realizable adjustment | 387 | 0 | |
Depreciation and depletion | 1,995 | 3,680 | 3,231 |
Cost of sales | $ 15,832 | $ 32,016 | $ 27,850 |
REVENUE AND COST OF SALES (De_3
REVENUE AND COST OF SALES (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue from mining operations | $ 16,022 | $ 31,746 | $ 34,116 |
GENERAL AND ADMINISTRATIVE EX_3
GENERAL AND ADMINISTRATIVE EXPENSES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Salaries and benefits | $ 1,361 | $ 1,347 | $ 1,244 |
Office and miscellaneous | 117 | 286 | 359 |
Management and consulting fees | 406 | 461 | 354 |
Investor relations | 166 | 171 | 401 |
Travel and promotion | 46 | 110 | 226 |
Professional fees | 380 | 470 | 529 |
Directors fees | 171 | 162 | 161 |
Regulatory and compliance fees | 139 | 143 | 311 |
Depreciation | 116 | 43 | 25 |
General and administrative expenses | $ 2,902 | $ 3,193 | $ 3,610 |
COMMITMENTS (Details)
COMMITMENTS (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Statement [Line Items] | ||
Minimum rental and lease payments | $ 37 | $ 1,294 |
Not later than one year [member] | ||
Statement [Line Items] | ||
Minimum rental and lease payments | 20 | 1,269 |
Later Than One Year And Not Later Than Five Years [Member] | ||
Statement [Line Items] | ||
Minimum rental and lease payments | 14 | 20 |
Later Than Five Years [Member] | ||
Statement [Line Items] | ||
Minimum rental and lease payments | $ 3 | $ 5 |
COMMITMENTS (Details Narrative)
COMMITMENTS (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Office lease payments recognized as expense | $ 40 | $ 72 | $ 81 |
Commitments expenditures | $ 0 | $ 1,262 |
SUPPLEMENTARY CASH FLOW INFORMA
SUPPLEMENTARY CASH FLOW INFORMATION (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Net change in non-cash working capital items: | |||
Deferred revenues | $ 0 | $ (573) | $ 573 |
Accounts payable and accrued liabilities | (2,877) | (941) | 2,329 |
Prepaid expenses and other assets | (157) | 287 | 981 |
Amounts receivable | 1,211 | 2,615 | 543 |
Taxes payable | (39) | (121) | (358) |
Amounts due to related parties | 1 | 6 | (44) |
Taxes recoverable | 440 | (193) | 1,017 |
Other liabilities | (178) | (100) | 0 |
Inventory | 4,150 | 3,182 | (42) |
Net change in non-cash working capital items | $ 2,551 | $ 4,162 | $ 4,999 |
SUPPLEMENTARY CASH FLOW INFOR_2
SUPPLEMENTARY CASH FLOW INFORMATION (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Interest paid | $ 264 | $ 618 | $ 959 |
Taxes paid | 279 | 2,373 | 4,991 |
Equipment acquired under finance leases and equipment loans | $ 0 | $ 122 | $ 1,771 |
FINANCIAL INSTRUMENTS (Details)
FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Statement [Line Items] | ||
Accounts payable and accrued liabilities | $ 2,068 | $ 4,907 |
Amounts due to related parties | 154 | 156 |
Equipment loans | 0 | 90 |
Total | 486 | $ 1,134 |
Financial Instruments [Member] | ||
Statement [Line Items] | ||
Accounts payable and accrued liabilities | 2,068 | |
Amounts due to related parties | 154 | |
Minimum rental and lease payments | 26 | |
Term facility | 2,552 | |
Equipment loans | 72 | |
Finance lease obligations | 514 | |
Total | 5,386 | |
Later Than One Year And Not Later Than Five Years [Member] | ||
Statement [Line Items] | ||
Accounts payable and accrued liabilities | 0 | |
Amounts due to related parties | 0 | |
Minimum rental and lease payments | 16 | |
Term facility | 0 | |
Equipment loans | 0 | |
Finance lease obligations | 301 | |
Total | 317 | |
Later Than Five Years [Member] | ||
Statement [Line Items] | ||
Accounts payable and accrued liabilities | 0 | |
Amounts due to related parties | 0 | |
Minimum rental and lease payments | 3 | |
Term facility | 0 | |
Equipment loans | 0 | |
Finance lease obligations | 0 | |
Total | 3 | |
Less Than One Year [Member] | ||
Statement [Line Items] | ||
Accounts payable and accrued liabilities | 2,068 | |
Amounts due to related parties | 154 | |
Minimum rental and lease payments | 7 | |
Term facility | 2,552 | |
Equipment loans | 72 | |
Finance lease obligations | 213 | |
Total | $ 5,066 |
FINANCIAL INSTRUMENTS (Details
FINANCIAL INSTRUMENTS (Details 1) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Statement [Line Items] | ||
Cash | $ 11,713 | $ 9,625 |
Long-term investments | 4,176 | 4,311 |
Amounts receivable | 529 | 1,477 |
Accounts payable and accrued liabilities | 2,068 | 4,907 |
Due to related parties | 154 | 156 |
MXN [Member] | ||
Statement [Line Items] | ||
Cash | 36,896 | 2,780 |
Long-term investments | 0 | 0 |
Reclamation bonds | 0 | 0 |
Amounts receivable | 0 | 0 |
Accounts payable and accrued liabilities | (22,972) | (51,307) |
Due to related parties | 0 | 0 |
Finance lease obligations | (1,543) | (1,037) |
Net exposure | 12,381 | (49,564) |
US dollar equivalent | 620 | (2,627) |
CDN [Member] | ||
Statement [Line Items] | ||
Cash | 2,831 | 5,902 |
Long-term investments | 5,317 | 5,599 |
Reclamation bonds | 6 | 6 |
Amounts receivable | 20 | 54 |
Accounts payable and accrued liabilities | (157) | (442) |
Due to related parties | (196) | (202) |
Finance lease obligations | (448) | (522) |
Net exposure | 7,373 | 10,395 |
US dollar equivalent | $ 5,791 | $ 8,004 |
FINANCIAL INSTRUMENTS (Detail_2
FINANCIAL INSTRUMENTS (Details 2) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Statement [Line Items] | ||
Cash | $ 11,713 | $ 9,625 |
Amounts receivable | 529 | 1,477 |
Long-term investments | 4,176 | 4,311 |
Warrant liability | 2,295 | $ 1,579 |
Level 1 of fair value hierarchy [Member] | ||
Statement [Line Items] | ||
Cash | 11,713 | |
Amounts receivable | 0 | |
Long-term investments | 4,176 | |
Total financial assets | 15,889 | |
Warrant liability | 0 | |
Total financial liabilities | 0 | |
Level 2 of fair value hierarchy [Member] | ||
Statement [Line Items] | ||
Cash | 0 | |
Amounts receivable | 529 | |
Long-term investments | 0 | |
Total financial assets | 529 | |
Warrant liability | 0 | |
Total financial liabilities | 0 | |
Level 3 of fair value hierarchy [Member] | ||
Statement [Line Items] | ||
Cash | 0 | |
Amounts receivable | 0 | |
Long-term investments | 0 | |
Total financial assets | 0 | |
Warrant liability | (2,295) | |
Total financial liabilities | $ (2,295) |
FINANCIAL INSTRUMENTS (Detail_3
FINANCIAL INSTRUMENTS (Details 3) - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Statement [Line Items] | ||
Expected option life (years) | 2 years 8 months 23 days | 3 years 6 months 26 days |
Expected stock price volatility | 73.93% | 61.61% |
Financial instruments [Member] | ||
Statement [Line Items] | ||
Risk-free interest rate | 1.71% | 1.67% |
Expected dividend yield | 0.00% | 0.00% |
Expected option life (years) | 2 years 11 months 12 days | 3 years |
Expected stock price volatility | 106.79% | 108.41% |
Weighted average fair value at grant date | $ 0.23 | $ 0.15 |
FINANCIAL INSTRUMENTS (Detail_4
FINANCIAL INSTRUMENTS (Details Narrative) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)integer | Dec. 31, 2019USD ($)integer | |
Statement [Line Items] | ||
Cash | $ 11,713 | $ 9,625 |
Credit Risk [Member] | ||
Statement [Line Items] | ||
Concentration of credit risk, counterparties accounted for trade accounts receivable | integer | 3 | 6 |
Long-term investments [Member] | ||
Statement [Line Items] | ||
Total fair value | $ 1,114 | |
Fair value of warrants | 398 | |
Warrant received | 716 | |
Liquidity Risk [Member] | ||
Statement [Line Items] | ||
Cash | $ 11,713 | |
Working capital | $ 14,680 | |
Foreign Currency Risk [Member] | ||
Statement [Line Items] | ||
Asset and liability exposure, description | A 10% fluctuation in the US/Mexican and Canadian/US exchange rates would impact the Company’s earnings (loss) for the year ended December 31, 2019, by approximately $589 (December 31, 2019 - $465). | |
Impact on net earning (loss) | $ 589 | 465 |
Price Risk [Member] | ||
Statement [Line Items] | ||
Asset and liability exposure, description | Based on outstanding accounts receivable that were subject to pricing adjustments, a 10% change in metals prices would have an impact on net earnings (loss) of approximately $2 (December 31, 2019 - $70). | |
Impact on net earning (loss) | $ 2 | 70 |
Price Risk [Member] | Long-term investments [Member] | ||
Statement [Line Items] | ||
Asset and liability exposure, description | A 10% change in market prices would not have a material impact on the Company’s operations. | |
Price Risk [Member] | Long-term investments One [Member] | ||
Statement [Line Items] | ||
Asset and liability exposure, description | A 10% change in market prices would have an impact on net earnings (loss) of approximately $418 (2019 - $467). | |
Impact on net earning (loss) | $ 418 | $ 467 |
CAPITAL MANAGEMENT (Details)
CAPITAL MANAGEMENT (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Total equity | $ 59,008 | $ 53,923 | $ 75,168 | $ 69,002 |
Term Facility | 2,513 | 5,897 | ||
Finance Lease Obligations | 486 | 1,134 | ||
Equipment Loans | 72 | 289 | ||
Total capital | $ 62,079 | $ 61,243 |
SEGMENTED INFORMATION (Details)
SEGMENTED INFORMATION (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Silver | $ 6,318 | $ 14,030 | $ 17,259 |
Copper | 4,662 | 13,953 | 12,996 |
Gold | 8,517 | 10,326 | 9,866 |
Penalties, treatment costs and refining charges | (3,475) | (6,563) | (6,005) |
Revenue from mining operations | $ 16,022 | $ 31,746 | $ 34,116 |
SEGMENTED INFORMATION (Details
SEGMENTED INFORMATION (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Customer 1 | $ 12,573 | $ 21,810 | $ 23,314 |
Customer 2 | 3,206 | 4,861 | 321 |
Customer 3 | (19) | 3,350 | 8,071 |
Customer 4 | 262 | 1,246 | 0 |
Customer 5 | 0 | 469 | 0 |
Customer 6 | 0 | 10 | 519 |
Customer 7 | 0 | 0 | 1,547 |
Customer 8 | 0 | 0 | 344 |
Revenue from mining operations | $ 16,022 | $ 31,746 | $ 34,116 |
SEGMENTED INFORMATION (Detail_2
SEGMENTED INFORMATION (Details 2) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Exploration and evaluation assets - Mexico | $ 10,051 | $ 9,826 |
Exploration and evaluation assets - Canada | 1 | 1 |
Total exploration and evaluation assets | $ 10,052 | $ 9,827 |
SEGMENTED INFORMATION (Detail_3
SEGMENTED INFORMATION (Details 3) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Plant, equipment and mining properties - Mexico | $ 34,475 | $ 35,239 |
Plant, equipment and mining properties - Canada | 371 | 419 |
Total plant, equipment and mining properties | $ 34,846 | $ 35,658 |
SEGMENTED INFORMATION (Detail_4
SEGMENTED INFORMATION (Details Narrative) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)integer | Dec. 31, 2019USD ($)integer | Dec. 31, 2018USD ($)integer | |
Revenue from mining operations | $ | $ 16,022 | $ 31,746 | $ 34,116 |
Number of customers accounted for total revenues | integer | 3 | 6 | 6 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement [Line Items] | |||
Deferred income tax expense (recovery) | $ (1,569) | $ (960) | $ (645) |
Income Tax Expense [Member] | |||
Statement [Line Items] | |||
Current income tax expense | 161 | 327 | 1,052 |
Deferred income tax expense (recovery) | (1,569) | (960) | (645) |
Total income tax expense (recovery) | $ (1,408) | $ (633) | $ 407 |
INCOME TAXES (Details 1)
INCOME TAXES (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Net income before income taxes | $ (8,890) | $ (2,968) | $ 2,064 |
Net loss from discontinued operations before income taxes | (169) | (29,126) | (31) |
Net income (loss) before income taxes | $ (9,059) | $ (32,094) | $ 2,033 |
Combined statutory tax rate | 27.00% | 27.00% | 27.00% |
Income tax expense (recovery) at the Canadian statutory rate | $ (2,446) | $ (8,665) | $ 549 |
Reconciling items: | |||
Effect of difference in foreign tax rates | (86) | (120) | 48 |
Non-deductible/non-taxable items | 1,467 | 6,449 | (121) |
Change in unrecognized deductible temporary differences | 332 | 1,263 | (257) |
Impact of foreign exchange | (112) | 222 | 915 |
Special mining duties | (185) | 231 | 117 |
Revisions to estimates | (297) | 58 | (368) |
Share issue costs | (73) | (174) | (231) |
Other items | (8) | 103 | (245) |
Income tax expense recognized in the year | $ (1,408) | $ (633) | $ 407 |
INCOME TAXES (Details 2)
INCOME TAXES (Details 2) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred income tax assets | $ 4,249 | $ 2,755 |
Deferred income tax liabilities | (5,618) | (5,693) |
Total deferred income tax assets and liabilities | $ (1,369) | $ (2,938) |
INCOME TAXES (Details 3)
INCOME TAXES (Details 3) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Statement [Line Items] | ||
Inventory | $ 1,659 | $ 5,592 |
Net deferred income tax liabilities | (1,369) | (2,938) |
Deferred income tax assets and liabilities [Member] | ||
Statement [Line Items] | ||
Reclamation provision | 304 | 571 |
Non-capital losses | 3,383 | 1,171 |
Other deductible temporary differences | 562 | 1,013 |
Inventory | (2) | (243) |
Capitalized to exploration and evaluation assets | (3,349) | (3,340) |
Plant, equipment and mining properties | (2,267) | (2,110) |
Net deferred income tax liabilities | $ (1,369) | $ (2,938) |
INCOME TAXES (Details 4)
INCOME TAXES (Details 4) - Unrecognized deductible temporary differences [Member] - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Statement [Line Items] | ||
Tax losses carried forward | $ 18,974 | $ 24,229 |
Share issue costs | 1,144 | 1,352 |
Plant, equipment and mining properties | 263 | 170 |
Capitalized to exploration and evaluation assets | 1,248 | 1,237 |
Investments | (400) | (1,273) |
Reclamation provision | 0 | 0 |
Unrecognized deductible temporary differences | $ 21,229 | $ 25,715 |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Non-cash expense | $ 164 | $ 235 | $ 379 |
Income tax rate | 27.00% | ||
Capital losses carried forward | $ 11,396 | ||
Non-capital tax losses carried forward | $ 7,578 | ||
Non-capital losses expiry date range | 2027 to 2040 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) $ / shares in Units, $ / shares in Units, $ in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)$ / sharesshares | Dec. 31, 2020CAD ($)$ / sharesshares | Dec. 31, 2019USD ($) | |
Statement [Line Items] | |||
Commission paid | $ 148 | $ 367 | |
Subsequent event [Member] | |||
Statement [Line Items] | |||
Proceeds from common share issuance | $ 17,732 | ||
Common stock issued | shares | 9,050,000 | 9,050,000 | |
Commission rate | 2.75% | 2.75% | |
Commission paid | $ 488 | ||
Net proceeds from share issuance | $ 17,244 | ||
Subsequent event [Member] | Option [Member] | |||
Statement [Line Items] | |||
Proceeds from common share issuance | $ 305 | ||
Common stock, average price | $ / shares | $ 1.16 | ||
Share purchase option exercised | shares | 264,000 | 264,000 | |
Subsequent event [Member] | Warrants [Member] | |||
Statement [Line Items] | |||
Share purchase warrants exercised | shares | 896,562 | 896,562 | |
Proceeds from common share issuance | $ 717 | ||
Common stock, average price | $ / shares | $ 0.80 |