Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2018shares | |
Document And Entity Information | |
Entity Registrant Name | POLYMET MINING CORP |
Entity Central Index Key | 0000866028 |
Document Type | 40-F |
Document Period End Date | Dec. 31, 2018 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Is Entity's Reporting Status Current? | Yes |
Entity Common Stock, Shares Outstanding | 321,190,069 |
Document Fiscal Period Focus | FY |
Document Fiscal Year Focus | 2018 |
Entity Emerging Growth Company | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Current | ||
Cash | $ 13,857 | $ 6,931 |
Amounts receivable | 796 | 432 |
Prepaid expenses | 1,161 | 811 |
Total current assets | 15,814 | 8,174 |
Non-Current | ||
Restricted cash deposits | 10,286 | |
Amounts receivable | 1,796 | 2,533 |
Mineral Property, Plant and Equipment | 433,548 | 395,205 |
Intangible | 24,185 | 3,130 |
Total assets | 485,629 | 409,042 |
Current | ||
Accounts payable and accruals | 4,013 | 3,630 |
Convertible debt | 56,984 | 49,067 |
Non-convertible debt | 178,483 | 92,268 |
Environmental rehabilitation provision | 1,693 | 1,266 |
Total Current Liabilities | 241,173 | 146,231 |
Non-Current | ||
Environmental rehabilitation provision | 59,414 | 64,136 |
Total Liabilities | 300,587 | 210,367 |
SHAREHOLDERS' EQUITY | ||
Share Capital | 271,269 | 269,516 |
Share Premium | 1,151 | 1,151 |
Equity Reserves | 62,111 | 60,505 |
Deficit | (149,489) | (132,497) |
Total Shareholders' Equity | 185,042 | 198,675 |
Total Liabilities and Shareholders' Equity | $ 485,629 | $ 409,042 |
Consolidated Statements of Loss
Consolidated Statements of Loss and Comprehensive Loss - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017 | Dec. 31, 2018 | |
General and Administrative Expenses | ||
Salaries, directors' fees and related benefits | $ 2,209 | $ 2,547 |
Share-based compensation | 1,318 | 1,742 |
Professional fees | 784 | 634 |
Regulatory fees | 137 | 197 |
Investor and public relations | 1,036 | 1,174 |
Office and administration | 637 | 646 |
Depreciation | 4 | 130 |
Total General and Administration Expenses | 6,125 | 7,070 |
Other Expenses (Income) | ||
Finance costs - net | 2,233 | 2,381 |
(Gain) / loss on foreign exchange | 6 | (3) |
Loss on modification of debentures | 4,109 | |
Loss on land exchange | 553 | |
Gain on disposal of financial instrument | (36) | |
Loss on disposal of intangible | 1,324 | |
Loss on disposal of lands | 469 | |
Loss on financial instrument fair value | 971 | |
Other income | (23) | (38) |
Total Other Expenses | 3,973 | 7,973 |
Loss for the Period | 10,098 | 15,043 |
Other Comprehensive Loss | ||
Reclass on disposal of financial instrument | 36 | |
Items that may be subsequently reclassified to profit or loss: | ||
Unrealized loss on financial instrument | 166 | |
Other Comprehensive Loss for the Period | 202 | |
Total Comprehensive Loss for the Period - Net of Tax | $ 10,300 | $ 15,043 |
Basic and Diluted Loss per Share | $ (0.03) | $ (0.05) |
Weighted Average Number of Shares - basis and diluted | 318,891,961 | 320,495,981 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders Equity - USD ($) $ in Thousands | Shares Capital [Member] | Share Premium [Member] | Contributed Surplus [Member] | Accumulated Other Comp Inc / (Loss) [Member] | Equity Reserves [Member] | Deficit [Member] | Total |
Balance at Jan. 31, 2017 | $ 268,895 | $ 1,151 | $ 59,270 | $ 412 | $ 59,682 | $ (122,399) | $ 207,329 |
Balance share at Jan. 31, 2017 | 318,545,519 | ||||||
Statement Line Items [Line Items] | |||||||
Total comprehensive loss for the period | (202) | (202) | (10,098) | 10,300 | |||
Payment of land purchase options | $ 256 | $ 256 | |||||
Payment of land purchase options, shares | 396,616 | ||||||
Exercise of share options, shares | |||||||
Vesting of restricted shares and RSU's | $ 365 | (365) | (365) | ||||
Vesting of restricted shares and RSU's, shares | 360,963 | ||||||
Share-based compensation | 1,111 | 1,111 | 1,111 | ||||
Bonus share cost amortization (forfeiture) | 279 | 279 | 279 | ||||
Balance at Dec. 31, 2017 | $ 269,516 | 1,151 | 60,295 | 210 | 60,505 | (132,497) | 198,675 |
Balance share at Dec. 31, 2017 | 319,303,098 | ||||||
Statement Line Items [Line Items] | |||||||
Total comprehensive loss for the period | (15,043) | 15,043 | |||||
Debenture refinancing warrants | 2,331 | 2,331 | 2,331 | ||||
Payment of land purchase options | $ 123 | 123 | |||||
Payment of land purchase options, shares | 128,750 | ||||||
Exercise of share options | $ 218 | (67) | (67) | $ 151 | |||
Exercise of share options, shares | 225,000 | 815,500 | |||||
Exercise of warrants | $ 683 | (92) | (92) | $ 591 | |||
Exercise of warrants, shares | 590,500 | ||||||
Vesting of restricted shares and RSU's | $ 624 | (624) | (624) | ||||
Vesting of restricted shares and RSU's, shares | 843,413 | ||||||
Share-based compensation | $ 105 | 1,787 | 1,787 | 1,892 | |||
Share-based compensation, shares | 99,308 | ||||||
Bonus share cost amortization (forfeiture) | (1,519) | (1,519) | (1,519) | ||||
Balance at Dec. 31, 2018 | $ 271,269 | $ 1,151 | $ 62,111 | $ 62,111 | $ (149,489) | $ 185,042 | |
Balance share at Dec. 31, 2018 | 321,190,069 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017 | Dec. 31, 2018 | |
Operating Activities | ||
Loss for the period | $ (10,098) | $ (15,043) |
Items not involving cash: | ||
Depreciation | 4 | 130 |
Environmental rehabilitation provision accretion | 1,776 | 1,796 |
Share-based compensation | 1,318 | 1,742 |
Unrealized loss on foreign exchange | 1 | 7 |
Loss on modification of debentures | 4,109 | |
Loss on land exchange | 553 | |
Loss on disposal of intangible | 1,324 | |
Loss on disposal of lands | 469 | |
Gain on disposal of financial instrument | (36) | |
Loss on financial instrument fair value | 971 | |
Changes in non-cash working capital: | ||
Amounts receivable | 23 | (384) |
Prepaid expenses | 2 | (350) |
Accounts payable and accruals | 227 | 667 |
Net cash used in operating activities | (4,990) | (5,802) |
Financing Activities | ||
Share issuance proceeds, net of costs | 742 | |
Debenture funding, net of costs | 14,917 | 69,723 |
RSU's settled for cash | (377) | |
Net cash provided by financing activities | 14,917 | 70,088 |
Investing Activities | ||
Property, plant and equipment purchases | (21,030) | (26,437) |
Intangible purchases | (810) | (21,055) |
Financial instrument disposal proceeds | 171 | |
Land disposal proceeds | 425 | |
Restricted cash deposits | (10,286) | |
Net cash used in investing activities | (21,669) | (57,353) |
Net Increase (Decrease) in Cash | (11,742) | 6,933 |
Effect of foreign exchange on Cash | (1) | (7) |
Cash - Beginning of period | 18,674 | 6,931 |
Cash - End of period | 6,931 | 13,857 |
Supplemental information - non-cash investing and financing | ||
Accounts payable and accruals | (60) | (390) |
Transfer from PP&E to Intangible | 2,320 | |
Debt accretion and capitalized interest | 18,512 | 20,560 |
Share-based compensation | 232 | 460 |
Bonus share amortization and forfeiture | 279 | (1,519) |
Fair value of shares issued for land options | $ 256 | $ 123 |
Nature of Business and Liquidit
Nature of Business and Liquidity | 12 Months Ended |
Dec. 31, 2018 | |
Nature of Business and Liquidity [Abstract] | |
Nature of Business and Liquidity | 1. Nature of Business and Liquidity PolyMet Mining Corp. was incorporated in British Columbia, Canada on March 4, 1981 under the name Fleck Resources Ltd. and changed its name to PolyMet Mining Corp. on June 10, 1998. Through its 100%-owned subsidiary, Poly Met Mining, Inc. (“PolyMet US” and, together with PolyMet Mining Corp., “PolyMet” or the “Company”), the Company is engaged in the exploration and development of natural resource properties. The Company’s primary mineral property is the NorthMet Project (“NorthMet” or “Project”), a polymetallic project in northeastern Minnesota, United States of America, which comprises the NorthMet copper-nickel-precious metals ore body and the Erie Plant, a processing facility located approximately six miles from the ore body. The realization of the Company’s investment in NorthMet and other assets is dependent upon various factors, including the existence of economically recoverable mineral reserves, the ability to obtain and maintain permits necessary to construct and operate NorthMet, the ability to obtain financing necessary to complete the development of NorthMet, and generate future profitable operations or alternatively, disposal of the investment on an advantageous basis. The corporate address and records office of the Company are located at 100 King Street West, Suite 5700, Toronto, Ontario, Canada M5X 1C7, and 700 West Georgia, 25 th 444 Cedar Street, Suite 2060, St. Paul, Minnesota, United States of America, 55101 On December 7, 2017, the Board of Directors approved a resolution to change the year-end from January 31 to December 31. Accordingly, the comparative period in these consolidated financial statements is at and for the eleven months ended December 31, 2017. The consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the settlement of liabilities in the normal course of operations. Liquidity risk is the risk the Company will not be able to meet its financial obligations as they become due and arises through the excess of financial obligations over financial assets due at any point in time. As at December 31, 2018, the Company had cash of $13.857 million and a working capital deficiency of $225.359 million primarily due to $56.984 million secured convertible debt and $178.483 million secured non-convertible debt owed to Glencore AG, a wholly owned subsidiary of Glencore plc (together “Glencore”) being classified as a current liability. Subsequent to year end, the Company entered into an agreement with Glencore to extend the maturity date of the secured convertible and non-convertible debt to provide the Company time to prepare for and complete a rights offering by June 30, 2019, fully backstopped by Glencore, to raise sufficient funds to repay all outstanding debt (see Note 16). Management believes, based upon the underlying value of the NorthMet Project, the receipt of all permits necessary to construct and operate potential financiers to allow |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2018 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | 2. Basis of Presentation a) Statement of Compliance The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). The financial statements were approved by the Board of Directors on March 28, 2019. b) Basis of Consolidation and Presentation The consolidated financial statements include the accounts of the Company and its wholly‑owned subsidiary. Intercompany balances and transactions have been eliminated on consolidation. The consolidated financial statements have been prepared under the historical cost convention. All dollar amounts presented are in United States (“U.S.”) dollars unless otherwise specified. c) Change in Accounting Policies On January 1, 2018, the Company adopted the following new accounting standards that were previously issued by the IASB. Certain other new standards and interpretations have been issued and were effective as of January 1, 2018 but did not have a material impact on the Company’s financial statements and are therefore not discussed below. The accounting policies discussed below reflect the Company’s adoption of IFRS 9 - Financial Instruments, effective January 1, 2018, and IFRS 16 - Leases, which had an effective date of January 1, 2019 but for which the company early adopted as of January 1, 2018. For the eleven months ended December 31, 2017, the Company applied policies based on IAS 39 and IAS 17 and the effects of the transition from IAS 39 to IFRS 9 and from IAS 17 to IFRS 16 are described below. IFRS 9 – Financial Instruments IFRS 9 addresses the classification, measurement and recognition of financial assets and financial liabilities. This standard replaces parts of IAS 39 - Financial Instruments: Recognition and Measurement. The Company adopted IFRS 9 effective January 1, 2018 on a retrospective basis without restating prior period comparatives. IFRS 9 requires financial assets to be classified into the following measurement categories: fair value through profit and loss, fair value through other comprehensive income, and those measured at amortized cost. The determination is made at initial recognition. On transition, the EIP receivable (see Note 5) previously classified as available-for-sale and measured at fair value through other comprehensive income was re-classified as fair value through profit or loss with changes in fair value recognized in the statement of loss instead of through other comprehensive loss. Adoption resulted in re-classification of $0.210 million to the opening deficit from accumulated other comprehensive loss for cumulative gains on the EIP receivable. The following table shows the original measurement categories under IAS 39 and the new measurement categories under IFRS 9 for the Company’s financial assets as at January 1, 2018: Financial assets 2017 classification under IAS 39 2018 classification under IFRS 9 Cash Loans and receivable Amortized cost Amounts receivable Loans and receivable Amortized cost Amounts receivable Available-for-sale Fair value through profit or loss IFRS 16 – Leases IFRS 16 replaces IAS 17 – Leases. The new standard requires capitalization of certain leases by the leasee and results in accounting treatment similar to finance leases under IAS 17 - Leases. Exemptions for leases of very low value or short duration leases are applicable. The new standard results in an increase in lease assets and liabilities for the lessee. Under the new standard the treatment of all lease expenses is aligned in the statement of earnings with depreciation, and an interest expense component recognized for each lease, in line with finance lease accounting under IAS 17 - Leases. The Company early adopted IFRS 16 effective January 1, 2018 on a modified retrospective basis without restating prior period comparatives. As a result, the Company recorded a $0.211 million lease asset and corresponding lease liability for the one qualifying office lease that has been recognized over the remaining term. The Company’s other leases (see Note 3) are leases to explore mining rights, which are excluded from IFRS 16’s scope. The following table summarizes the impact of adopting IFRS 9 - Financial Instruments and IFRS 16 - Leases: Consolidated Balance Sheet Impact Dec 31, 2017 IFRS 9 IFRS 16 Jan 1, 2018 Mineral Property, Plant and Equipment $ 395,205 $ - $ 211 $ 395,416 Accounts Payable and Accruals 3,630 - 211 3,841 Convertible Debt 49,067 1,346 - 50,413 Non-Convertible Debt 92,268 813 - 93,081 Equity Reserves 60,505 (210 ) - 60,295 Deficit $ (132,497 ) $ (1,949 ) $ - $ (134,446 ) d) Critical Accounting Estimates The preparation of consolidated financial statements in conformity with IFRS requires the use of certain critical accounting estimates. These critical accounting estimates require management to make estimates that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as at the date of the financial statements. Critical accounting estimates used in the preparation of the consolidated financial statements are as follows: Determination of mineral reserves Reserves are estimates of the amount of product that can be economically and legally extracted from the Company’s property. In order to estimate reserves, estimates are required about a range of geological, technical and economic factors, including quantities, production techniques, production costs, capital costs, transport costs, demand, prices and exchange rates. Estimating the quantity of reserves requires the size, shape and depth of deposits to be determined by analyzing geological data. This process may require complex and difficult geological judgments to interpret the data. In addition, management will form a view of forecast sales prices, based on current and long-term historical average price trends. Changes in the proven and probable reserves estimates may impact the carrying value of property, plant and equipment, rehabilitation provisions, recognition of deferred tax amounts and depreciation, depletion and amortization. Provision for Environmental Rehabilitation Costs Provisions for environmental rehabilitation costs associated with mineral property, plant and equipment, are recognized when the Company has a present legal or constructive obligation that can be estimated reliably, and it is probable an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows at a pre-tax risk-free rate that reflects current market assessments of the time value of money. The Company’s estimates of its ultimate environmental rehabilitation liabilities could be affected by changes in regulations, changes in the extent of environmental rehabilitation required, changes in the means of rehabilitation, changes in the extent of responsibility for the financial liability, changes in operating plans, or changes in cost estimates. The operations of the Company may in the future be affected from time to time in varying degrees by changes in environmental regulations, including those for future removal and site restoration costs. Both the likelihood of new regulations and their overall effect upon the Company may vary greatly and are not predictable. The Company’s provision for environmental rehabilitation cost obligations represents management’s best estimate of the present value of the future cash outflows required to settle the liability. See additional discussion in Note 6. e) Critical Accounting Judgments The preparation of consolidated financial statements in conformity with IFRS requires the use of certain critical accounting judgments. These critical accounting judgments require management to make judgments that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as at the date of the financial statements. Critical accounting judgments used in the preparation of the consolidated financial statements are as follows: Impairment of non-financial assets The carrying amounts of the Company’s non-financial assets, including mineral property, plant and equipment, and intangible are reviewed at each reporting date or when events or changes in circumstances occur that indicate the asset may not be recoverable to determine whether there is any indication of impairment. If any such indication exists, the asset’s recoverable amount is estimated at the greater of its value in use and its fair value less costs of disposal. 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. An impairment loss is recognized if the carrying amount of an asset exceeds its estimated recoverable amount. An impairment loss previously recorded is reversed if there has been a change in the estimates used to determine the recoverable amount resulting in an increase in the estimated service potential of an asset. The Company considers both external and internal sources of information in assessing whether there are any indications of impairment. External sources of information the Company considers include changes in the market, economic, and legal environment in which the Company operates that are not within its control and affect the recoverable amount. Internal sources of information the Company considers include indications of economic performance of the asset. The carrying value of mineral property, plant, and equipment, and intangible at the balance sheet date are described in Notes 4 and 5, respectively. No impairment indicators were identified on the mineral property, plant and equipment or intangible for the twelve months ended December 31, 2018 or eleven months ended December 31, 2017. Going concern assumptions The Company must assess its ability to continue as a going concern and prepare financial statements on a going concern basis unless it either intends to liquidate or cease trading or has no realistic alternative but to do so. In assessing whether the going concern assumption is appropriate, the Company takes into account all available information about the future, which is at least, but is not limited to, twelve months from the end of the reporting period. f) Summary of Significant Accounting Policies Cash and Cash Equivalents and Restricted Cash Deposits The Company considers cash and cash equivalents to include amounts held in banks and highly liquid investments with original maturities of three months or less. Restricted Cash Deposits are held in a trust account and invested in highly liquid investments with a major financial institution as security and collateral for reclamation activities. Financial Assets All financial assets are initially recorded at fair value and designated upon inception as one of the following categories: amortized cost or fair value through profit or loss (“FVTPL”). Financial assets classified as FVTPL are measured at fair value with gains and losses recognized through profit and loss. Financial assets classified as amortized cost are measured at amortized cost using the effective interest method less any allowance for impairment. The effective interest method is a method of calculating the amortized cost of a financial asset and of allocating interest income over the relevant period. The effective interest rate is the rate that discounts estimated future cash receipts through the expected life of the financial asset, or, where appropriate, a shorter period. The Company recognizes loss allowances for Expected Credit Losses (“ECL”) for amounts receivable not measured at FVTPL. Loss allowances for amounts receivable are measured at an amount equal to lifetime ECL. ECL is a probability-weighted estimate and measured as at the present value of all cash shortfalls including the impact of forward looking information. The loss allowance is presented as a deduction to amounts receivable. Transaction costs associated with FVTPL financial assets are expensed as incurred, while transaction costs associated with amortized cost financial assets are included in the initial carrying amount of the asset. See additional discussion in Note 15. Mineral Property Exploration and evaluation costs incurred prior to a Definitive Feasibility Study (“DFS”) are expensed as incurred. Development costs incurred subsequent to a DFS and mineral property acquisition costs are capitalized until the property is placed into production, sold, allowed to lapse or abandoned. As a result of the DFS, NorthMet entered the development stage effective October 1, 2006. The Company has capitalized development expenditures related to NorthMet from that date. Upon commencement of production, related property acquisition and development costs are amortized on a unit of production basis over the estimated proven and probable mineral reserves not to exceed the assets’ useful lives. Plant and Equipment Plant and equipment are recorded at historical cost less accumulated depreciation and if applicable, accumulated impairment losses. Subsequent costs are included in the asset’s carrying amount or recognized as a separate asset, as appropriate, if it is probable that the future economic benefits of the expenditure will flow to the Company and its cost can be measured reliably. The carrying amount of a replaced part is derecognized. All other repairs and maintenance are charged to the statement of loss and comprehensive loss during the period in which they are incurred. Depreciation of plant and equipment is calculated using the cost of the asset, less its residual value, over the estimated useful life of the asset on a unit of production or straight-line basis, as appropriate. Leases The Company recognizes a right-of-use asset and a lease liability at the lease commencement date. The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease liability, plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located, less any lease incentives received. The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term. The lease liability is initially measured at the present value of the lease payments, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Company’s incremental borrowing rate. Generally, the Company uses its incremental borrowing rate as the discount rate. Intangible Intangible costs and related acquisition costs are capitalized until the wetland credits are used, sold, or abandoned. Wetland credits are used to offset and mitigate wetlands disturbed during construction and operation of NorthMet. As such, costs will be transferred to Mineral Property, Plant and Equipment once placed into service and amortized on a unit of production basis over the estimated proven and probable mineral reserves not to exceed the assets’ useful lives. See additional discussion in Note 5. Financial Liabilities All financial liabilities are initially recorded at fair value and designated upon inception as FVTPL or other financial liabilities. Financial liabilities classified as FVTPL are initially recognized at fair value with directly attributable transaction costs expensed as incurred. At the end of each reporting period, financial liabilities at FVTPL are measured at fair value, with changes in fair value recognized directly in profit or loss in the period in which they arise. Financial liabilities classified as other financial liabilities are initially recognized at fair value less directly attributable transaction costs and subsequently measured at amortized cost using the effective interest method which calculates the amortized cost of a financial liability and allocates interest expense over the expected life of the financial liability. Exchanges of instruments and modifications to debt are assessed using quantitative and qualitative factors to consider whether the exchange or modification constitutes an extinguishment of the original financial liability and establishment of a new financial liability. In the case of extinguishment, any fees or costs incurred are recognized in profit or loss in the period in which they arise. Where the terms in an exchange or modification are not assessed to be substantially different, a modification gain or loss is recognized at an amount equal to the difference between the modified cash flows discounted at the original effective interest rate and the carrying value of the debt. The carrying value of the debt is adjusted for this modification gain or loss, directly attributable transaction costs, and any cash paid to or received from the debt holder. See additional discussion in Note 15. Borrowing costs Borrowing costs directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as part of the cost of that asset until such time as the asset is substantially complete and ready for its intended use or sale. Where funds have been borrowed specifically to finance an asset, the amount capitalized is the actual borrowing costs incurred. Where the funds used to finance an asset form part of general borrowings, the amount capitalized is calculated using a weighted average of rates applicable to relevant borrowings of the Company during the period. Other borrowing costs not directly attributable to a qualifying asset are expensed in the year incurred. Classification in the cash flow statement is in accordance with the classification of the underlying asset to which those payments were capitalized. Share‑Based Compensation All share-based compensation awards made to directors, employees and non-employees are measured and recognized using a fair value based method. For directors and employees, or those providing services similar to employees, the fair value of options is determined using the Black-Scholes pricing model. The fair value of the bonus shares, restricted shares, and restricted share units expected to be settled in shares are calculated using the intrinsic value of the shares at issuance and is amortised over the vesting period. For awards expected to be settled in cash, the change in market value and corresponding liability is adjusted to fair value at each reporting period. The award is accrued and charged over the vesting period either to operations or mineral property plant and equipment, with the offsetting credit to equity reserves for equity settled awards or liabilities for cash settled awards. If and when share options are ultimately exercised or bonus shares, restricted shares, and restricted share units vest, the applicable amounts are transferred to share capital or removed from liabilities. Certain awards vest upon achievement of non-market performance conditions. On a quarterly basis, management assesses the probability of achieving those performance conditions using the best available information and estimates the appropriate vesting period. When the Company amends the terms of share options, the incremental change in the fair value of the options due to the amendment, as determined using the Black-Scholes pricing model, is recognized over the vesting period in the statement of loss or capitalized as appropriate. Share Purchase Warrants The Company issues share purchase warrants in connection with certain financing transactions. The fair value of the warrants, as determined using the Black-Scholes pricing model or fair value of goods or services received, is credited to equity reserves. The recorded value of share purchase warrants is transferred to share capital upon exercise. Foreign Currency Translation The U.S. dollar is the functional currency of the Company and its wholly-owned subsidiary. Amounts in the consolidated financial statements are expressed in U.S. dollars unless otherwise stated. Transactions in foreign currencies are translated into the functional currency at the exchange rates at the date of the transactions. Monetary assets and liabilities of the Company’s operations denominated in a currency other than the U.S. dollar are translated using exchange rates prevailing at the balance sheet date. Revenue and expense items are translated at the exchange rates in effect at the date of the underlying transaction. Exchange differences are recognized in net loss in the year in which they arise. Loss Per Share Loss per share is computed by dividing the loss for the year by the weighted average number of common shares outstanding during the year. Basic and diluted loss per share for each year presented are the same due to the effect of potential issuances of shares under warrant or share option agreements being, in total, anti-dilutive. Income Taxes and Deferred Taxes The income tax expense or benefit for the year consists of two components: current and deferred. Current tax is the expected tax payable or receivable on the taxable profit or loss for the year. Current tax is calculated using tax rates and laws that were enacted or substantively enacted at the balance sheet date in each of the jurisdictions and include any adjustments for taxes payable or recovery in respect of prior periods. Taxable profit or loss differs from profit or loss as reported in the Consolidated Statements of Loss and Comprehensive Loss because of items of income or expense that are taxable or deductible in other years, and items that are never taxable or deductible. Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax basis used in the computation of taxable profit. Deferred tax liabilities are generally recognized for all taxable temporary differences not eligible for offset. Deferred tax assets are generally recognized for all deductible temporary differences, loss carry forwards and tax credit carry forwards to the extent that it is probable that taxable profits will be available against which they can be utilized. To the extent that the Company does not consider it to be probable that taxable profits will be available against which deductible temporary differences, loss carry forwards, and tax credit carry forwards can be utilized, a deferred tax asset is not recognized. |
Mineral Property Agreements
Mineral Property Agreements | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of mineral property agreements [Abstract] | |
Mineral Property Agreements | 3. Mineral Property Agreements NorthMet, Minnesota, U.S.A. Pursuant to an agreement dated January 4, 1989, subsequently amended and assigned, the Company leases certain mineral property rights in St. Louis County, Minnesota from RGGS Land & Minerals Ltd., L.P. Provided the Company continues to make annual lease payments, the lease period continues until June 12, 2048 with an option to extend the lease for up to five additional ten-year periods on the same terms and further extend as long as there are commercial mining operations. All lease payments have been paid to date with the next annual payment of $0.175 million due in January 2020. Pursuant to an agreement dated December 1, 2008, the Company leases certain mineral property rights in St. Louis County, Minnesota from LMC Minerals. Provided the Company continues to make annual lease payments, the lease period continues until December 1, 2028 with an option to extend the lease for up to four additional five-year periods on the same terms. All lease payments have been paid to date with the next annual payment of $0.030 million due in November 2019. The lease payments are considered advance royalty payments and will be deducted from future production royalties payable to the lessor, which range from 3% to 5% based on the net smelter return per ton received by the Company. The Company’s recovery of $3.000 million in advance royalty payments to RGGS Land & Minerals Ltd., L.P. is subject to the lessor receiving an amount not less than the amount of the annual lease payment due for that year. The Company’s recovery of $0.219 million in advance royalty payments to LMC Minerals is subject to the lessor receiving an amount not less than the amount of the annual lease payment due for that year. |
Mineral Property, Plant and Equ
Mineral Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Mineral Property, Plant and Equipment | 4. Mineral Property, Plant and Equipment Details of the Mineral Property, Plant, and Equipment are as follows: Net Book Value NorthMet Other fixed assets Total Balance at January 31, 2017 $ 364,793 $ 120 $ 364,913 Additions 39,474 32 39,506 Disposals (Note 5) (2,789 ) - (2,789 ) Changes to rehabilitation provision (Note 6) (6,363 ) - (6,363 ) Amortization - (62 ) (62 ) Balance at December 31, 2017 395,115 90 395,205 Adoption of IFRS 16 (Note 2) - 211 211 Balance at January 1, 2018 395,115 301 395,416 Additions 41,710 87 41,797 Changes to environmental rehabilitation provision (Note 6) (3,478 ) - (3,478 ) Amortization and Depreciation - (187 ) (187 ) Balance at December 31, 2018 $ 433,347 $ 201 $ 433,548 NorthMet December 31, 2018 December 31, 2017 Mineral property acquisition and interest costs $ 112,002 $ 86,863 Mine plan and development 48,383 50,250 Environmental 133,638 122,396 Consulting and wages 55,076 52,965 Reclamation and remediation (Note 6) 56,811 60,289 Site activities 26,488 21,403 Mine equipment 949 949 Total $ 433,347 $ 395,115 Erie Plant, Minnesota, U.S.A. In November 2005, the Company acquired from Cliffs Erie LLC, a subsidiary of Cleveland Cliffs Inc. (together “Cliffs”) large parts of the Erie Plant, a processing facility located approximately six miles from the ore body. In December 2006, the Company acquired from Cliffs additional property and associated rights sufficient to provide it with a railroad connection linking the mine development site and the Erie Plant. The transaction also included a railcar fleet, locomotive fueling and maintenance facilities, water rights and pipelines, administrative offices on site and an additional 6,000 acres of land to the east and west of the existing tailings storage facilities. The consideration paid for the Erie Plant and associated infrastructure was $18.9 million in cash and 9,200,547 shares at a fair market value of $13.953 million. As part of the consideration, the Company indemnified Cliffs for reclamation and remediation obligations of the acquired property (see Note 6). During the twelve months ended December 31, 2018, the Company capitalized 100% of the borrowing costs on the convertible debt (see Note 8) and non-convertible debt (see Note 9) in the amount of $20.560 million (eleven months ended December 31, 2017 - $18.512 million) as part of the cost of NorthMet assets. Costs to acquire the surface rights over the mineral rights were reclassed from mine plan and development to mineral property acquisition following the land exchange closing in June 2018 which resulted in cash proceeds of $0.425 million and a non-cash loss of $0.553 million based on independent valuation appraisals of the lands exchanged. As NorthMet assets are not in use or capable of operating in a manner intended by management, no depreciation or amortization of these assets has been recorded to December 31, 2018. |
Intangible and EIP Receivable
Intangible and EIP Receivable | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of detailed information about intangible assets [abstract] | |
Intangible and EIP Receivable | 5. Intangible and EIP Receivable Details of the Intangible are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Intangible – beginning of period $ 3,130 $ 1,888 Purchases 21,055 810 Other Additions - 2,320 Disposals - (1,888 ) Intangible – end of period $ 24,185 $ 3,130 Details of the EIP receivable are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 EIP Receivable – beginning of period $ 2,883 $ 2,656 Initial recognition - 564 Collections - (171 ) Loss on re-measurement (971 ) (166 ) EIP Receivable – end of period 1,912 2,883 Less current portion (116 ) (350 ) Non-current portion $ 1,796 $ 2,533 In April 2015, the Company entered into an agreement with EIP Minnesota, LLC (“EIP”) whereby EIP will seek to sell wetland credits the Company is unable to use for the NorthMet Project to third parties and, over time, reimburse the Company for its costs. In February 2017, additional wetland credits the Company is unable to use were added to the receivable under the same terms as the April 2015 agreement. The timing of EIP’s sale to third parties and reimbursement of the Company is uncertain and volatile. The Company initially recognized the February 2017 receivable at fair value calculated using a 9.75% discount rate and 15-year term resulting in a receivable of $0.564 million and a non-cash loss of $1.324 million. The EIP receivable is recorded at fair value at each reporting period, based on management’s best estimate of cash flows expected from future sales by EIP. Fair value changes were accounted for through other comprehensive income or loss prior to adoption of IFRS 9 after which changes are accounted for through income or loss. In October 2017, the Company entered into an agreement with EIP Credit Co., LLC to reserve wetland bank credits the Company can use for the NorthMet Project for a minimum of five years in exchange for an initial down payment applicable to the purchase price, contractual transfer of certain lands, and annual option payments not applicable to the purchase price. The initial consideration paid was $0.810 million in cash and $2.320 million in lands valued using Level 3 measurements (see Note 15) and resulted in a non-cash charge of $0.469 million. Annual option payments of $0.250 million are expensed as incurred whereas option exercise payments will be recorded to Intangible and transferred to Mineral Property, Plant and Equipment once placed into service. During the twelve months ended December 31, 2018, the Company exercised part of its rights and purchased wetland bank credits, which resulted in a $21.055 million addition to Intangible. |
Environmental Rehabilitation Pr
Environmental Rehabilitation Provision | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Environmental Rehabilitation Provision [Abstract] | |
Environmental Rehabilitation Provision | 6. Environmental Rehabilitation Provision Details of the Environmental Rehabilitation Provision are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Environmental Rehabilitation Provision – beginning of period $ 65,402 $ 70,626 Change in estimate (3,478 ) (6,363 ) Liabilities discharged (2,613 ) (637 ) Accretion expense 1,796 1,776 Environmental Rehabilitation Provision – end of period 61,107 65,402 Less current portion (1,693 ) (1,266 ) Non-current portion $ 59,414 $ 64,136 Federal, state and local laws and regulations concerning environmental protection affect the Company’s assets. As part of the consideration for the asset acquisitions from Cliffs (see Note 4), the Company indemnified Cliffs for reclamation and remediation obligations of the acquired property. The Company’s provisions are based upon existing laws and regulations. It is not currently possible to estimate the impact on operating results, if any, of future legislative or regulatory developments. In April 2010, Cliffs entered into a consent decree with the Minnesota Pollution Control Agency (“MPCA”) relating to alleged violations on the Cliffs Erie Property. This consent decree required both short-term and long-term mitigation. Field studies were completed in 2010 and 2011 and short-term mitigations approved by the MPCA were initiated in 2011. In April 2012, long-term mitigation plans were submitted to the MPCA and, in October 2012, the MPCA approved plans for pilot tests of various treatment options to determine the best course of action. Although there is substantial uncertainty related to applicable water quality standards and engineering scope, the October 2012 response from the MPCA, subsequent communications amongst the MPCA, Cliffs and the Company, and closure plans reflected in the Permit to Mine support the long-term mitigation plans included in the Company’s environmental rehabilitation provision. The Company’s best estimate of the environmental rehabilitation provision as at December 31, 2018 was $61.107 million (December 31, 2017 - $65.402 million) based on estimated cash flows required to settle this obligation in present day costs of $71.146 million (December 31, 2017 - $73.301 million), a projected inflation rate of 2.00% (December 31, 2017 – 2.00%), a market risk-free interest rate of 3.13% (December 31, 2017 – 2.58%) and expenditures expected to occur over a period of approximately 30 years. The decrease during the twelve months ended December 31, 2018 was primarily due to revisions to estimated cash flows as a result of changes in the market risk-free interest rate and liabilities discharged for rehabilitation work completed in the processing plant. The decrease during the eleven months ended December 31, 2017 was primarily due to revisions to estimated cash flows as a result of closure plans reflected in the Permit to Mine application. On November 1, 2018, the Company received the Permit to Mine for NorthMet and certain other permits , including cash primarily Financial assurance obligations reviewed annually based on Company’s planned reclamation activities, with total assurance related financial instruments adjusted accordingly if the underlying estimated reclamation costs are revised. The Company terminate these financial instruments only upon meeting site reclamation requirements and securing approval from . cash the first year of mining operations until the eighth year after which annual contributions will be prorated based on the expected reclamation obligation at the end of mining |
Glencore Financing
Glencore Financing | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Glencore Financing [Abstract] | |
Glencore Financing | 7. Glencore Financing Since October 2008, the Company and Glencore have entered into a series of financing agreements comprising: ● Equity – five separate agreements comprising $25.0 million placement of PolyMet common shares in calendar 2009 in two tranches; a $30.0 million placement of PolyMet common shares in calendar 2010 in three tranches; a $20.0 million placement of PolyMet common shares in calendar 2011 in one tranche; a $20.960 million purchase of PolyMet common shares in the 2013 Rights Offering; and a $10.583 million purchase of PolyMet common shares in the 2016 Private Placement; ● Convertible debt (“Glencore Convertible Debt”) – agreement comprising $25.0 million initial principal secured convertible debentures drawn in four tranches (see Notes 8 and 16); and ● Non-convertible debt (“Glencore Non-Convertible Debt”) – five separate agreements comprising $30.0 million initial principal secured debentures in calendar 2015 drawn in four tranches; an $11.0 million initial principal secured debenture in calendar 2016 drawn in one tranche; $14.0 million initial principal secured debentures in calendar 2016 drawn in four tranches; $20.0 million initial principal secured debentures in calendar 2017 drawn in two tranches; and $80.0 million initial principal secured debenture in calendar 2018 drawn in four tranches with the fifth tranche in the amount of $15.0 million cancelled subsequent to year end (see Notes 9 and 16). As a result of these financing transactions and the purchase by Glencore of PolyMet common shares previously owned by Cliffs, Glencore's ownership and ownership rights of PolyMet as at December 31, 2018 comprises: ● 92,836,072 shares representing 28.9% of PolyMet's issued shares (December 31, 2017 - 92,836,072 shares); ● Glencore Convertible Debt exchangeable through the exercise of an exchange warrant (“Exchange Warrant”) at $1.2696 per share into 44,303,743 common shares of PolyMet (including capitalized and accrued interest as at December 31, 2018), and where the exercise price and the number of shares issuable are subject to conventional anti-dilution provisions (see Notes 8 and 16); ● Warrants to purchase 6,458,001 common shares at $0.8231 per share at any time until March 31, 2019, subject to mandatory exercise if the 20-day volume weighted average price (“VWAP”) of PolyMet common shares is equal to or greater than 150% of the exercise price and PolyMet has received permits and construction finance is available (“Exercise Triggering Event”), and where the exercise price and the number of warrants are subject to conventional anti-dilution provisions. See 2018 Agreement below for additional details; ● Warrants to purchase 7,055,626 common shares at $1.00 per share at any time until October 28, 2021, subject to acceleration at the Company’s option provided all permits necessary to construct NorthMet have been received (“Acceleration Triggering Event”), and where the exercise price and the number of warrants are subject to conventional anti-dilution provisions; and ● Warrants to purchase 625,000 common shares at $0.7797 per share at any time until October 28, 2021, and where the exercise price and the number of warrants are subject to conventional anti-dilution provisions. If Glencore were to exercise all of its rights and obligations under these agreements, it would own 151,278,442 common shares of PolyMet, representing 39.8% on a partially diluted basis, that is, if no other options or warrants were exercised or 36.1% on a fully diluted basis, if all other options and warrants were exercised as at December 31, 2018. 2017 Agreements In September 2017, the Company agreed to issue to Glencore secured debentures with a total principal amount of $20.0 million. The debentures bear interest at twelve month US dollar LIBOR plus 15.0% and are due on the earlier of (i) March 31, 2018 or (ii) the availability of at least $100 million of debt or equity financing or (iii) when it is prudent for PolyMet to repay the debt, on which date all principal and interest accrued to such date will be due and payable. The Tranche N Debenture in the amount of $15.0 million was issued on September 18, 2017. The Tranche O Debenture in the amount of $5.0 million was issued on January 18, 2018. Transaction costs for the financing were $0.083 million. The maturity date of these debentures was extended to March 31, 2019 as noted below. 2018 Agreement On March 23, 2018, the Company amended its financing arrangement with Glencore. The maturity date of the Convertible Debt and the Non-Convertible Debt was extended to the earlier of (i) March 31, 2019 or (ii) the availability of at least $100 million of debt or equity financing or (iii) when the Company elects to repay the debt early and demonstrates that such repayment is prudent. The interest rate was reduced from twelve month US dollar LIBOR plus 15.0% to twelve month US dollar LIBOR plus 10.0% effective April 1, 2018. The convertibility of the Convertible Debt was extended to March 31, 2019 and 6,458,001 purchase warrants were reissued with an expiration date of March 31, 2019 and an exercise price of $0.8231 per share, both of which were approved by the NYSE American and TSX. All other terms of both the debentures and the warrants described above remain unchanged. In addition, the Company agreed to issue to Glencore secured debentures with a total principal amount of up to $80 million at the Company’s option. The debentures bear interest at twelve month US dollar LIBOR plus 10.0% and if issued, are due on the earlier of (i) March 31, 2019 or (ii) the availability of at least $100 million of debt or equity financing or (iii) when the Company elects to repay the debt early and demonstrates that such repayment is prudent, on which date all principal and interest accrued to such date will be due and payable. The Tranche P Debenture in the amount of $20.0 million was issued on May 7, 2018. The Tranche Q Debenture in the amount of $15.0 million and Tranche T Debenture in the amount of $10 million were issued on October 25, 2018. The Tranche S Debenture in the amount of $20.0 million was issued on December 18, 2018. Under the extension agreement and repayment plan agreed to subsequent to December 31, 2018, the commitment to issue Tranche R in the amount of $15.0 million was cancelled. See additional discussion in Note 16. The transaction has been accounted for as a modification of the existing debentures with a $4.109 million modification loss recognized during the twelve month period ending December 31, 2018, consisting of the following: ● $3.142 million to increase the convertible debt carrying value to the revised cash flows discounted using the original effective interest rate of 6.7%; ● $1.452 million to reduce the non-convertible debt carrying value to the revised cash flows discounted using the original effective interest rate of 14.9%; ● $2.331 million to recognize fair value of the purchase warrants issued; and ● $0.088 million to recognize transaction costs which were allocated on a pro rata basis to the Glencore Non-Convertible Debt and Glencore Convertible Debt. |
Convertible Debt
Convertible Debt | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Convertible Debt [Abstract] | |
Convertible Debt | 8. Convertible Debt Details of the Convertible Debt are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Convertible Debt – beginning of period $ 49,067 $ 42,154 Transition to IFRS 9 (Note 2) 1,346 - Convertible Debt – adjusted beginning of period 50,413 42,154 Change due to modification (Note 7) 3,142 - Accretion and capitalized interest 3,429 6,913 Convertible Debt – end of period 56,984 49,067 Less current portion (56,984 ) (49,067 ) Non-current portion $ - $ - Since October 2008, the Company has issued $25.0 million of secured convertible debentures to Glencore. The Company has provided security on these debentures covering all of the assets of PolyMet. These debentures bear interest at twelve month U.S. dollar LIBOR plus 4.0% through July 31, 2015, twelve month U.S. dollar LIBOR plus 8.0% through December 31, 2015, twelve month U.S. dollar LIBOR plus 15.0% beginning January 1, 2016, and twelve month U.S. dollar LIBOR plus 10.0% beginning April 1, 2018. Interest is compounded quarterly and payable in cash or by increasing the principal amount of the debentures, at Glencore’s option. Since inception, $31.248 million of interest has been capitalized to the principal amount of the debenture. All borrowing costs were eligible for capitalization and 100% of these costs were capitalized during the twelve months ended December 31, 2018. The due date of these debentures was the earlier of (i) March 31, 2019 or (ii) the availability of at least $100 million of debt or equity financing or (iii) when the Company elects to repay the debt early and demonstrates that such repayment is prudent, on which date all principal and interest accrued to such date will be due and payable. Upon receipt of ten days notice of PolyMet’s intention to repay the debentures, Glencore can exercise the Exchange Warrant and exchange the initial principal and capitalized interest into common shares of PolyMet at $1.2696 per share. Glencore has the right to exchange some or all of the debentures at any time under the same conversion terms. The Company has the right to require exchange of all of the debentures upon receipt of permits required to commence construction of NorthMet and construction finance acceptable to Glencore under the same conversion terms. Subsequent to December 31, 2018, PolyMet and Glencore agreed to extend the maturity date of the secured convertible debt to provide the Company time to prepare for and complete a rights offering by June 30, 2019, fully backstopped by Glencore, to raise sufficient funds to repay the secured convertible debt. See additional discussion in Note 16. |
Non-Convertible Debt
Non-Convertible Debt | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Non-Convertible Debt [Abstract] | |
Non-Convertible Debt | 9. Non-Convertible Debt Details of the Non-Convertible Debt are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Non-Convertible Debt – beginning of period $ 92,268 $ 65,752 Transition to IFRS 9 (Note 2) 813 - Non-Convertible Debt – adjusted beginning of period 93,081 65,752 Change due to modification (Note 7) (1,452 ) - Accretion and capitalized interest 17,131 11,599 Funding, net of costs 69,723 14,917 Total Non-Convertible Debt 178,483 92,268 Less current portion (178,483 ) (92,268 ) Non-current portion $ - $ - Since January 2015, the Company has issued $140.0 million of secured non-convertible debentures to Glencore, including $70.0 million during the twelve months ended December 31, 2018. The Company has provided security on these debentures covering all of the assets of PolyMet. These debentures bear interest at twelve month U.S. dollar LIBOR plus 8.0% through December 31, 2015, twelve month U.S. dollar LIBOR plus 15.0% beginning January 1, 2016, and twelve month U.S. dollar LIBOR plus 10.0% beginning April 1, 2018. Interest is compounded quarterly and payable in cash or by increasing the principal amount of the debentures, at Glencore’s option. Since inception, $38.882 million of interest has been capitalized to the principal amount of the debenture. All borrowing costs were eligible for capitalization and 100% of these costs were capitalized during the twelve months ended December 31, 2018. The due date of these debentures was the earlier of (i) March 31, 2019 or (ii) the availability of at least $100 million of debt or equity financing or (iii) when the Company elects to repay the debt early and demonstrates that such repayment is prudent, on which date all principal and interest accrued to such date will be due and payable. Subsequent to December 31, 2018, PolyMet and Glencore agreed to extend the maturity date of the secured non-convertible debt to provide the Company time to prepare for and complete a rights offering by June 30, 2019, fully backstopped by Glencore, to raise sufficient funds to repay the secured non-convertible debt. See additional discussion in Note 16. |
Share Capital
Share Capital | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of classes of share capital [abstract] | |
Share Capital | 10. Share Capital a) Issuances for Cash and Land Acquisition During the twelve months ended December 31, 2018 the Company issued 815,500 shares (December 31, 2017 – nil) pursuant to the exercise of share options and warrants for proceeds of $0.742 million (December 31, 2017 - $nil). During the twelve months ended December 31, 2018 the Company issued 128,750 shares (December 31, 2017 – 396,616 shares) to maintain land purchase options with the shares valued at $0.123 million (December 31, 2017 - $0.256 million). b) Share-Based Compensation The Omnibus Share Compensation Plan (“Omnibus Plan”) was created to align the interests of the Company’s employees, directors, officers and consultants with those of shareholders. Effective May 25, 2007, the Company adopted the Omnibus Plan, which was approved by the Company’s shareholders on June 27, 2007, modified and further ratified and reconfirmed by the Company’s shareholders most recently on June 27, 2018. The Omnibus Plan restricts the award of share options, restricted shares, restricted share units, and other share-based awards to 10% of the common shares issued and outstanding on the grant date, excluding 2,500,000 common shares underlying options pursuant to an exemption approved by the Toronto Stock Exchange. During the twelve months ended December 31, 2018, the Company recorded $2.202 million for share-based compensation (December 31, 2017 - $1.550 million) with $1.742 million expensed to share-based compensation (December 31, 2017 - $1.318 million) and $0.460 million capitalized to mineral property, plant and equipment (December 31, 2017 - $0.232 million). The offsetting entries were to equity reserves for $1.787 million (December 31, 2017 - $1.111 million), share capital for $0.105 million (December 31, 2017 - $nil) and payables for $0.310 million (December 31, 2017 - $0.439). Total share-based compensation for the twelve months ended December 31, 2018 comprised $0.803 million for share options (December 31, 2017 - $0.368 million), $1.294 million for restricted shares and restricted share units (December 31, 2017 - $1.182 million), and $0.105 million for issuance of unrestricted shares (December 31, 2017 - $nil). Exercise of share options and warrants and vesting of restricted share units during the twelve months ended December 31, 2018 resulted in $0.783 million being transferred from equity reserves to share capital (December 31, 2017 - $0.365 million). c) Share Options Share options granted may not exceed a term of ten years and are forfeited if the grantee ceases to be an eligible person under the Omnibus Plan. Details of the share options are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Number of Options Weighted Average Exercise Price Number of Options Weighted Average Exercise Price Outstanding – beginning of period 21,659,002 $ 0.98 20,962,002 $ 1.10 Granted 2,503,000 0.91 2,142,000 0.62 Exercised (225,000 ) 0.67 - - Expired (1,245,000 ) 2.06 (1,445,000 ) 2.19 Outstanding – end of period 22,692,002 $ 0.91 21,659,002 $ 0.98 The weighted average share price when share options were exercised during the twelve months ended December 31, 2018 was $1.00. The fair value of share options granted was estimated at the date of grant using the Black-Scholes pricing model with the following weighted average assumptions: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Risk-free interest rate 2.33% to 2.58% 1.42% to 1.82% Expected dividend yield - - Expected forfeiture rate - - Expected volatility 56.07% to 61.80% 53.91% to 57.06% Expected life in years 2.50 to 5.00 2.50 to 5.00 Weighted average fair value of each option $ 0.34 to $0.61 $ 0.22 to $0.32 The expected volatility reflects the Company’s expectation that historical volatility over a period similar to the life of the option is indicative of future trends, which may or may not necessarily be the actual outcome. Details of the share options outstanding as at December 31, 2018 are as follows: Range of Exercise Prices Number of options outstanding Number of options exercisable Weighted Average Exercise Price Weighted Average Remaining Life 0.61 to 0.80 11,529,000 10,095,667 $ 0.73 3.16 0.80 to 1.00 6,092,000 5,343,000 0.93 4.91 1.00 to 1.50 3,846,002 3,846,002 1.11 2.77 1.50 to 2.00 1,050,000 1,050,000 1.80 2.41 2.00 to 3.07 175,000 115,000 2.57 1.12 22,692,002 20,449,669 $ 0.91 3.51 As at December 31, 2018 all outstanding share options had vested and were exercisable, with the exception of 2,242,333, which were scheduled to vest upon completion of specific targets (Permits – 883,333; Production – 699,000; Other – 60,000) or dates (June 2019 – 300,000; June 2020 – 300,000). The outstanding share options have expiry periods between 0.08 and 9.18 years and are expected to be settled in shares upon exercise. d) Restricted Shares and Restricted Share Units Restricted shares and restricted share units granted are forfeited if the grantee ceases to be an eligible person under the Omnibus Plan. Details of the restricted shares and restricted share units are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Outstanding - beginning of period 3,281,030 2,618,020 Issued 1,227,004 1,077,869 Forfeited - (8,896 ) Vested (1,160,127 ) (405,963 ) Outstanding - end of period 3,347,907 3,281,030 During the twelve months ended December 31, 2018, the Company issued 1,227,004 restricted share units, which had a fair value of $1.135 million to be expensed and capitalized over the vesting periods. During the twelve months ended December 31, 2018, there were 316,714 restricted share units settled upon vesting with $0.377 million in cash. As at December 31, 2018, outstanding restricted shares and restricted share units were scheduled to vest upon completion of specific targets (Permits – 134,891; Construction Finance – 750,000; Production – 410,701) or dates (1,529,093 between January 2019 and June 2020). The remaining 523,222 outstanding restricted shares and restricted share units have vested but share delivery is deferred until retirement, termination, or death. The Company expects 721,961 outstanding restricted share units will be settled in cash and the remainder will be settled in shares as allowed under the Omnibus Plan. e) Bonus Shares The bonus share incentive plan was established for the Company’s directors and key employees and was approved by the disinterested shareholders at the Company’s shareholders’ meeting held in May 2004. The Company has authorized 3,640,000 bonus shares for the achievement of Milestone 4 representing commencement of commercial production at NorthMet at a time when the Company has not less than 50% ownership interest in NorthMet. At the Company’s Annual General Meeting of shareholders held in June 2008, the disinterested shareholders approved issuance of these shares upon achievement of Milestone 4. Regulatory approval is also required prior to issuance of these shares. Details of the bonus shares are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Allocated Authorized & Unissued Allocated Authorized & Unissued Outstanding – beginning of period 3,150,000 3,640,000 3,150,000 3,640,000 Forfeited (450,000 ) - Outstanding – end of period 2,700,000 3,640,000 3,150,000 3,640,000 The fair value of these unissued bonus shares was being amortized until the estimated date of issuance and was fully amortized during 2018. During the twelve months ended December 31, 2018, the Company recorded $0.025 million for amortization related to Milestone 4 bonus shares (eleven months ended December 31, 2017 – $0.279 million) which was capitalized to Mineral Property, Plant and Equipment. During the twelve months ended December 31, 2018, the Company also reversed $1.544 million of previously capitalized fair value related to the forfeiture of 450,000 bonus shares by a former director of the Company. f) Share Purchase Warrants Details of the share purchase warrants are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Number of Purchase Warrants Weighted Average Exercise Price Number of Purchase Warrants Weighted Average Exercise Price Outstanding – beginning of period 21,322,212 $ 0.99 27,780,213 $ 0.95 Issued 6,458,001 - - - Exercised (590,500 ) 1.00 - - Expiration - - (6,458,001 ) (0.82 ) Outstanding – end of period 27,189,713 $ 0.95 21,322,212 $ 0.99 The outstanding share purchase warrants have expiry periods between 0.25 years and 2.83 years, subject to acceleration in certain circumstances. Expirations during the eleven months ended December 31, 2017 and issuances during the twelve months ended December 31, 2018 relate to Glencore financing (see Note 7). The weighted average share price when warrants were exercised during the twelve months ended December 31, 2018 was $0.99. The fair value of share purchase warrants granted were estimated at the date of grant using the Black-Scholes pricing model with the following weighted average assumptions: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Risk-free interest rate 2.05 % - Expected dividend yield - - Expected forfeiture rate - - Expected volatility 54.54 % - Expected life in years 1.02 - Weighted average fair value of each warrant (1) $ 0.36 - The expected volatility reflects the Company’s expectation that historical volatility over a period similar to the life of the warrant is indicative of future trends, which may or may not necessarily be the actual outcome. |
Finance Costs - Net
Finance Costs - Net | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Finance Costs - Net [Abstract] | |
Finance Costs - Net | 11. Finance Costs - Net Details of net finance costs are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Debt accretion and capitalized interest: Convertible debt (Note 8) $ 3,429 $ 6,913 Non-convertible debt (Note 9) 17,131 11,599 Environmental rehabilitation accretion (Note 6) 1,796 1,776 Other finance costs 858 562 Less: amounts capitalized on qualifying assets (20,560 ) (18,512 ) Finance costs 2,654 2,338 Interest income: Bank deposits (273 ) (105 ) Finance income (273 ) (105 ) Finance costs - net $ 2,381 $ 2,233 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Related party transactions [abstract] | |
Related Party Transactions | 12. Related Party Transactions The Company conducted transactions with senior management, directors and persons or companies related to these individuals, and paid or accrued amounts, as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Salaries and other short-term benefits $ 1,956 $ 1,898 Other long-term benefits 44 42 Share-based payment (1) 1,680 836 Total $ 3,680 $ 2,776 (1) Share-based payment represents the amount capitalized or expensed during the period (see Note 10). There are agreements with key employees, including the President and Chief Executive Officer, containing severance provisions for termination without cause or in the event of a change in control. No other PolyMet director has an agreement providing for benefits upon termination. As a result of Glencore’s ownership of 28.9% it is also a related party. In addition to the transactions described in Notes 7, 8, 9 and 16, the Company has entered into a Technical Services Agreement with Glencore whereby the Company reimburses Glencore for NorthMet technical support costs requested under an agreed scope of work, primarily in detailed project design and mineral processing. During the twelve months ended December 31, 2018, the Company recorded $0.070 million (eleven months ended December 31, 2017 - $nil) for services under this agreement. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Major components of tax expense (income) [abstract] | |
Income Taxes | 13. Income Taxes a) Effective tax rate The effective tax rate differs from the cumulative Canadian federal and provincial income tax rate due to the following: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Loss for the year before taxes $ (15,043 ) $ (10,098 ) Canadian statutory tax rate 27.0 % 27.0 % Expected tax recovery (4,062 ) (2,726 ) Difference in foreign tax rates (91 ) (84 ) Non-deductible items 1,538 356 Change in tax rate - 5,025 Change in unrecognized deferred tax and other items 2,615 (2,571 ) Income Tax Expense / (Recovery) $ - $ - In December 2017 tax reform was enacted in the United States. The significant changes include a reduction to corporate income tax rates from 35% to 21% effective January 1, 2018, which resulted in a decrease in the Company’s deferred income tax asset by $5.025 million in the prior year period. b) Deferred income tax assets and liabilities Deferred income tax assets and liabilities have been recognized in respect of the following items: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Non-capital loss carry forward assets $ 29,353 $ 27,799 Mineral property acquisition, exploration and development costs (29,353 ) (27,799 ) Net deferred income tax liabilities $ - $ - Deferred income tax assets have not yet been recognized in respect of the following items: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Non-capital loss carry forward assets $ 25,437 $ 22,786 Capital loss carry forward assets 360 360 Intercompany receivable assets 2,109 2,109 Other assets 1,125 1,159 Unrecognized deferred income tax assets $ 29,031 $ 26,414 As of December 31, 2018, the Company has Canadian non-capital loss carry forwards of approximately $47.6 million (December 31, 2017 - $42.8 million) and US non-capital loss carry forwards of approximately $146.7 million (December 31, 2017 - $136.4 million). The non-capital loss carry forwards are available to reduce future income for tax purposes and expire between 2019 and 2038, except for US state non-capital loss carry forwards which expire between 2019 and 2033. The Company is not recognizing these deferred tax assets because they relate to entities with a history of losses and there is not convincing evidence that future taxable income will enable timely offset. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | 14. Commitments and Contingencies In addition to items described elsewhere in these financial statements, as at December 31, 2018, the Company had firm commitments related to financial assurance obligations (see Note 6), compliance, land options, and rent of approximately $16.4 million with approximately $0.4 million due over the next year and the majority due a period of three to ten years. The following table lists the known contractual obligations as at December 31, 2018: Contractual Obligations Carrying Value Contractual Cash flows Less than 1 year 1 – 3 years 3 – 5 years More than 5 years Accounts payable and accruals $ 4,013 $ 4,013 $ 4,013 $ - $ - $ - Convertible debt (Note 8) 56,984 58,077 58,077 - - - Non-convertible debt (Note 9) 178,483 184,698 184,698 - - - Firm commitments - 16,413 388 25 4,000 12,000 Total $ 239,480 $ 263,201 $ 247,176 $ 25 $ 4,000 $ 12,000 |
Financial Instruments and Risk
Financial Instruments and Risk Management | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of detailed information about financial instruments [abstract] | |
Financial Instruments and Risk Management | 15. Financial Instruments and Risk Management The carrying values of each classification of financial instrument as at December 31, 2018 are: Amortized Cost Fair value through profit or loss Total carrying value Financial assets Cash and Restricted Cash Deposits $ 24,143 $ - $ 24,143 Amounts receivable 680 1,912 2,592 Total financial assets 24,823 1,912 26,735 Financial liabilities Accounts payable and accruals 3,642 371 4,013 Convertible debt 56,984 - 56,984 Non-convertible debt 178,483 - 178,483 Total financial liabilities $ 239,109 $ 371 $ 239,480 The carrying values of each classification of financial instrument as at December 31, 2017 are: Loans and receivables Available for sale Other financial liabilities Total carrying value Financial assets Cash $ 6,931 $ - $ - $ 6,931 Amounts receivable 82 2,883 - 2,965 Total financial assets 7,013 2,883 - 9,896 Financial liabilities Accounts payable and accruals - - 3,630 3,630 Convertible debt - - 49,067 49,067 Non-convertible debt - - 92,268 92,268 Total financial liabilities $ - $ - $ 144,965 $ 144,965 Fair Value Measurements The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: Level 1 – 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 or indirectly. Level 3 – Inputs for the asset or liability that are not based on observable market data. The only financial instruments measured at fair value subsequent to recognition is the EIP receivable (see Note 5) which is measured at fair value through profit or loss using Level 3 inputs resulting in a carrying value of $1.912 million (December 31, 2017 - $2.883 million) and an amount classified within accounts payable and accruals representing expected payments to settle restricted share units measured at fair value through profit or loss using Level 2 inputs resulting in a carrying value of $0.371 million (December 31, 2017 - $0.439 million). The fair values of cash and restricted cash deposits, other current amounts receivable, and accounts payable and accruals Risks Arising from Financial Instruments and Risk Management The Company’s activities expose it to a variety of financial risks: market risk (including currency and interest rate), credit risk, and liquidity risk. Reflecting the current stage of development of the Company’s NorthMet Project, the overall risk management program focuses on facilitating the Company’s ability to continue as a going concern and seeks to minimize potential adverse effects on the Company’s ability to execute its business plan. Risk management is the responsibility of executive management. Material risks are identified and monitored and are discussed with the Audit Committee and the Board of Directors. Currency Risk The Company incurs expenditures in Canada and the United States. The functional and reporting currency of the Company and its subsidiary is the U.S. dollar. Foreign exchange risk arises because the amount of Canadian dollar cash, amounts receivable, or accounts payable and accruals will vary in U.S. dollar terms due to changes in exchange rates. As the majority of the Company’s expenditures are in U.S. dollars, the Company has kept a significant portion of its cash in U.S. dollars. The Company has not hedged its exposure to currency fluctuations as the exposure to currency risk is currently insignificant. Interest Rate Risk Interest rate risk arises from interest paid on floating rate debt and interest received on cash and liquid short-term deposits. The Company has not hedged any of its interest rate risk. The Company currently capitalizes to qualifying assets the majority of interest charges, and therefore the risk exposure is primarily on cash interest payable and net earnings in relation to the subsequent depreciation of capitalized interest charges. The Company was exposed to interest rate risk through the following assets and liabilities: December 31, 2018 December 31, 2017 Cash and restricted cash deposits $ 24,143 $ 6,931 Convertible debt 56,984 49,067 Non-convertible debt $ 178,483 $ 92,268 Based on the above net exposures, as at December 31, 2018, a 1% change interest rates would have impacted the Company’s loss by approximately $0.241 million and carrying value of convertible and non-convertible debt by approximately $2.355 million. Credit Risk Credit risk arises on cash and restricted cash deposits held with banks and financial institutions, as well as credit exposure on outstanding amounts receivable. The maximum exposure to credit risk is equal to the carrying value of the financial assets of $26.735 million. The Company’s cash and restricted cash deposits are primarily held through large Canadian and United States financial institutions. Liquidity Risk Liquidity risk is the risk the Company will not be able to meet its financial obligations as they become due and arises through the excess of financial obligations over available financial assets due at any point in time. The Company’s objective in managing liquidity risk is to maintain sufficient readily available reserves in order to meet its liquidity requirements at any point in time and is achieved by maintaining sufficient cash and managing convertible and non-convertible debt. See additional discussion in Note 1. Capital Management The Company’s capital management objective is to safeguard the Company’s ability to continue as a going concern in order to pursue the development of its mineral property. In the management of capital, the Company includes the components of shareholders’ equity, convertible debt and non-convertible debt. The Company manages the capital structure and makes adjustments to it depending on economic conditions and the rate of anticipated expenditures. To maintain or adjust the capital structure, the Company may attempt to issue new shares, issue new debt, acquire or dispose of assets. The Company has no externally imposed capital requirements. Although the Company expects to have the necessary resources to carry out its plans and operations through December 31, 2019, it does not currently have sufficient capital to complete the development of NorthMet and generate future profitable operations and is in discussions to arrange sufficient capital to meet these requirements. During the upcoming fiscal year, the Company’s objective is to identify the source or sources from which it will obtain the capital required to complete the Project. See additional discussion in Note 1. |
Subsequent Event
Subsequent Event | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of non-adjusting events after reporting period [abstract] | |
Subsequent Event | 16. Subsequent Events On March 21, 2019, the United States Army Corps of Engineers issued its Record of Decision and Section 404 wetlands permit for the NorthMet Project. Along with recently issued state permits, PolyMet now holds all necessary permits to construct and operate the NorthMet Project. On March 22, 2019, the Company entered into an extension agreement with Glencore with respect to the secured convertible and non-convertible debt set to mature on March 31, 2019. initially to May 10, 2019 launch Provided the Company has achieved certain milestones in respect of the rights offering by that date, Glencore will further extend the maturity date of the debt to June 30, 2019 to provide the Company with additional time to complete and close the offering. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Basis of Presentation [Abstract] | |
Statement of Compliance | a) Statement of Compliance The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). The financial statements were approved by the Board of Directors on March 28, 2019. |
Basis of Consolidation and Presentation | b) Basis of Consolidation and Presentation The consolidated financial statements include the accounts of the Company and its wholly‑owned subsidiary. Intercompany balances and transactions have been eliminated on consolidation. The consolidated financial statements have been prepared under the historical cost convention. All dollar amounts presented are in United States (“U.S.”) dollars unless otherwise specified. |
Change in Accounting Policies | c) Change in Accounting Policies On January 1, 2018, the Company adopted the following new accounting standards that were previously issued by the IASB. Certain other new standards and interpretations have been issued and were effective as of January 1, 2018 but did not have a material impact on the Company’s financial statements and are therefore not discussed below. The accounting policies discussed below reflect the Company’s adoption of IFRS 9 - Financial Instruments, effective January 1, 2018, and IFRS 16 - Leases, which had an effective date of January 1, 2019 but for which the company early adopted as of January 1, 2018. For the eleven months ended December 31, 2017, the Company applied policies based on IAS 39 and IAS 17 and the effects of the transition from IAS 39 to IFRS 9 and from IAS 17 to IFRS 16 are described below. IFRS 9 – Financial Instruments IFRS 9 addresses the classification, measurement and recognition of financial assets and financial liabilities. This standard replaces parts of IAS 39 - Financial Instruments: Recognition and Measurement. The Company adopted IFRS 9 effective January 1, 2018 on a retrospective basis without restating prior period comparatives. IFRS 9 requires financial assets to be classified into the following measurement categories: fair value through profit and loss, fair value through other comprehensive income, and those measured at amortized cost. The determination is made at initial recognition. On transition, the EIP receivable (see Note 5) previously classified as available-for-sale and measured at fair value through other comprehensive income was re-classified as fair value through profit or loss with changes in fair value recognized in the statement of loss instead of through other comprehensive loss. Adoption resulted in re-classification of $0.210 million to the opening deficit from accumulated other comprehensive loss for cumulative gains on the EIP receivable. The following table shows the original measurement categories under IAS 39 and the new measurement categories under IFRS 9 for the Company’s financial assets as at January 1, 2018: Financial assets 2017 classification under IAS 39 2018 classification under IFRS 9 Cash Loans and receivable Amortized cost Amounts receivable Loans and receivable Amortized cost Amounts receivable Available-for-sale Fair value through profit or loss IFRS 16 – Leases IFRS 16 replaces IAS 17 – Leases. The new standard requires capitalization of certain leases by the leasee and results in accounting treatment similar to finance leases under IAS 17 - Leases. Exemptions for leases of very low value or short duration leases are applicable. The new standard results in an increase in lease assets and liabilities for the lessee. Under the new standard the treatment of all lease expenses is aligned in the statement of earnings with depreciation, and an interest expense component recognized for each lease, in line with finance lease accounting under IAS 17 - Leases. The Company early adopted IFRS 16 effective January 1, 2018 on a modified retrospective basis without restating prior period comparatives. As a result, the Company recorded a $0.211 million lease asset and corresponding lease liability for the one qualifying office lease that has been recognized over the remaining term. The Company’s other leases (see Note 3) are leases to explore mining rights, which are excluded from IFRS 16’s scope. The following table summarizes the impact of adopting IFRS 9 - Financial Instruments and IFRS 16 - Leases: Consolidated Balance Sheet Impact Dec 31, 2017 IFRS 9 IFRS 16 Jan 1, 2018 Mineral Property, Plant and Equipment $ 395,205 $ - $ 211 $ 395,416 Accounts Payable and Accruals 3,630 - 211 3,841 Convertible Debt 49,067 1,346 - 50,413 Non-Convertible Debt 92,268 813 - 93,081 Equity Reserves 60,505 (210 ) - 60,295 Deficit $ (132,497 ) $ (1,949 ) $ - $ (134,446 ) |
Critical Accounting Estimates | d) Critical Accounting Estimates The preparation of consolidated financial statements in conformity with IFRS requires the use of certain critical accounting estimates. These critical accounting estimates require management to make estimates that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as at the date of the financial statements. Critical accounting estimates used in the preparation of the consolidated financial statements are as follows: Determination of mineral reserves Reserves are estimates of the amount of product that can be economically and legally extracted from the Company’s property. In order to estimate reserves, estimates are required about a range of geological, technical and economic factors, including quantities, production techniques, production costs, capital costs, transport costs, demand, prices and exchange rates. Estimating the quantity of reserves requires the size, shape and depth of deposits to be determined by analyzing geological data. This process may require complex and difficult geological judgments to interpret the data. In addition, management will form a view of forecast sales prices, based on current and long-term historical average price trends. Changes in the proven and probable reserves estimates may impact the carrying value of property, plant and equipment, rehabilitation provisions, recognition of deferred tax amounts and depreciation, depletion and amortization. Provision for Environmental Rehabilitation Costs Provisions for environmental rehabilitation costs associated with mineral property, plant and equipment, are recognized when the Company has a present legal or constructive obligation that can be estimated reliably, and it is probable an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows at a pre-tax risk-free rate that reflects current market assessments of the time value of money. The Company’s estimates of its ultimate environmental rehabilitation liabilities could be affected by changes in regulations, changes in the extent of environmental rehabilitation required, changes in the means of rehabilitation, changes in the extent of responsibility for the financial liability, changes in operating plans, or changes in cost estimates. The operations of the Company may in the future be affected from time to time in varying degrees by changes in environmental regulations, including those for future removal and site restoration costs. Both the likelihood of new regulations and their overall effect upon the Company may vary greatly and are not predictable. The Company’s provision for environmental rehabilitation cost obligations represents management’s best estimate of the present value of the future cash outflows required to settle the liability. See additional discussion in Note 6. |
Critical Accounting Judgments | e) Critical Accounting Judgments The preparation of consolidated financial statements in conformity with IFRS requires the use of certain critical accounting judgments. These critical accounting judgments require management to make judgments that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as at the date of the financial statements. Critical accounting judgments used in the preparation of the consolidated financial statements are as follows: Impairment of non-financial assets The carrying amounts of the Company’s non-financial assets, including mineral property, plant and equipment, and intangible are reviewed at each reporting date or when events or changes in circumstances occur that indicate the asset may not be recoverable to determine whether there is any indication of impairment. If any such indication exists, the asset’s recoverable amount is estimated at the greater of its value in use and its fair value less costs of disposal. 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. An impairment loss is recognized if the carrying amount of an asset exceeds its estimated recoverable amount. An impairment loss previously recorded is reversed if there has been a change in the estimates used to determine the recoverable amount resulting in an increase in the estimated service potential of an asset. The Company considers both external and internal sources of information in assessing whether there are any indications of impairment. External sources of information the Company considers include changes in the market, economic, and legal environment in which the Company operates that are not within its control and affect the recoverable amount. Internal sources of information the Company considers include indications of economic performance of the asset. The carrying value of mineral property, plant, and equipment, and intangible at the balance sheet date are described in Notes 4 and 5, respectively. No impairment indicators were identified on the mineral property, plant and equipment or intangible for the twelve months ended December 31, 2018 or eleven months ended December 31, 2017. Going concern assumptions The Company must assess its ability to continue as a going concern and prepare financial statements on a going concern basis unless it either intends to liquidate or cease trading or has no realistic alternative but to do so. In assessing whether the going concern assumption is appropriate, the Company takes into account all available information about the future, which is at least, but is not limited to, twelve months from the end of the reporting period. |
Cash and Cash Equivalents and Restricted Cash Deposits | f) Summary of Significant Accounting Policies Cash and Cash Equivalents and Restricted Cash Deposits The Company considers cash and cash equivalents to include amounts held in banks and highly liquid investments with original maturities of three months or less. Restricted Cash Deposits are held in a trust account and invested in highly liquid investments with a major financial institution as security and collateral for reclamation activities. |
Financial Assets | Financial Assets All financial assets are initially recorded at fair value and designated upon inception as one of the following categories: amortized cost or fair value through profit or loss (“FVTPL”). Financial assets classified as FVTPL are measured at fair value with gains and losses recognized through profit and loss. Financial assets classified as amortized cost are measured at amortized cost using the effective interest method less any allowance for impairment. The effective interest method is a method of calculating the amortized cost of a financial asset and of allocating interest income over the relevant period. The effective interest rate is the rate that discounts estimated future cash receipts through the expected life of the financial asset, or, where appropriate, a shorter period. The Company recognizes loss allowances for Expected Credit Losses (“ECL”) for amounts receivable not measured at FVTPL. Loss allowances for amounts receivable are measured at an amount equal to lifetime ECL. ECL is a probability-weighted estimate and measured as at the present value of all cash shortfalls including the impact of forward looking information. The loss allowance is presented as a deduction to amounts receivable. Transaction costs associated with FVTPL financial assets are expensed as incurred, while transaction costs associated with amortized cost financial assets are included in the initial carrying amount of the asset. See additional discussion in Note 15. |
Mineral Property | Mineral Property Exploration and evaluation costs incurred prior to a Definitive Feasibility Study (“DFS”) are expensed as incurred. Development costs incurred subsequent to a DFS and mineral property acquisition costs are capitalized until the property is placed into production, sold, allowed to lapse or abandoned. As a result of the DFS, NorthMet entered the development stage effective October 1, 2006. The Company has capitalized development expenditures related to NorthMet from that date. Upon commencement of production, related property acquisition and development costs are amortized on a unit of production basis over the estimated proven and probable mineral reserves not to exceed the assets’ useful lives. |
Plant and Equipment | Plant and Equipment Plant and equipment are recorded at historical cost less accumulated depreciation and if applicable, accumulated impairment losses. Subsequent costs are included in the asset’s carrying amount or recognized as a separate asset, as appropriate, if it is probable that the future economic benefits of the expenditure will flow to the Company and its cost can be measured reliably. The carrying amount of a replaced part is derecognized. All other repairs and maintenance are charged to the statement of loss and comprehensive loss during the period in which they are incurred. Depreciation of plant and equipment is calculated using the cost of the asset, less its residual value, over the estimated useful life of the asset on a unit of production or straight-line basis, as appropriate. |
Leases | Leases The Company recognizes a right-of-use asset and a lease liability at the lease commencement date. The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease liability, plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located, less any lease incentives received. The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term. The lease liability is initially measured at the present value of the lease payments, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Company’s incremental borrowing rate. Generally, the Company uses its incremental borrowing rate as the discount rate. |
Intangible | Intangible Intangible costs and related acquisition costs are capitalized until the wetland credits are used, sold, or abandoned. Wetland credits are used to offset and mitigate wetlands disturbed during construction and operation of NorthMet. As such, costs will be transferred to Mineral Property, Plant and Equipment once placed into service and amortized on a unit of production basis over the estimated proven and probable mineral reserves not to exceed the assets’ useful lives. See additional discussion in Note 5. |
Financial Liabilities | Financial Liabilities All financial liabilities are initially recorded at fair value and designated upon inception as FVTPL or other financial liabilities. Financial liabilities classified as FVTPL are initially recognized at fair value with directly attributable transaction costs expensed as incurred. At the end of each reporting period, financial liabilities at FVTPL are measured at fair value, with changes in fair value recognized directly in profit or loss in the period in which they arise. Financial liabilities classified as other financial liabilities are initially recognized at fair value less directly attributable transaction costs and subsequently measured at amortized cost using the effective interest method which calculates the amortized cost of a financial liability and allocates interest expense over the expected life of the financial liability. Exchanges of instruments and modifications to debt are assessed using quantitative and qualitative factors to consider whether the exchange or modification constitutes an extinguishment of the original financial liability and establishment of a new financial liability. In the case of extinguishment, any fees or costs incurred are recognized in profit or loss in the period in which they arise. Where the terms in an exchange or modification are not assessed to be substantially different, a modification gain or loss is recognized at an amount equal to the difference between the modified cash flows discounted at the original effective interest rate and the carrying value of the debt. The carrying value of the debt is adjusted for this modification gain or loss, directly attributable transaction costs, and any cash paid to or received from the debt holder. See additional discussion in Note 15. |
Borrowing costs | Borrowing costs Borrowing costs directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as part of the cost of that asset until such time as the asset is substantially complete and ready for its intended use or sale. Where funds have been borrowed specifically to finance an asset, the amount capitalized is the actual borrowing costs incurred. Where the funds used to finance an asset form part of general borrowings, the amount capitalized is calculated using a weighted average of rates applicable to relevant borrowings of the Company during the period. Other borrowing costs not directly attributable to a qualifying asset are expensed in the year incurred. Classification in the cash flow statement is in accordance with the classification of the underlying asset to which those payments were capitalized. |
Share-Based Compensation | Share‑Based Compensation All share-based compensation awards made to directors, employees and non-employees are measured and recognized using a fair value based method. For directors and employees, or those providing services similar to employees, the fair value of options is determined using the Black-Scholes pricing model. The fair value of the bonus shares, restricted shares, and restricted share units expected to be settled in shares are calculated using the intrinsic value of the shares at issuance and is amortised over the vesting period. For awards expected to be settled in cash, the change in market value and corresponding liability is adjusted to fair value at each reporting period. The award is accrued and charged over the vesting period either to operations or mineral property plant and equipment, with the offsetting credit to equity reserves for equity settled awards or liabilities for cash settled awards. If and when share options are ultimately exercised or bonus shares, restricted shares, and restricted share units vest, the applicable amounts are transferred to share capital or removed from liabilities. Certain awards vest upon achievement of non-market performance conditions. On a quarterly basis, management assesses the probability of achieving those performance conditions using the best available information and estimates the appropriate vesting period. When the Company amends the terms of share options, the incremental change in the fair value of the options due to the amendment, as determined using the Black-Scholes pricing model, is recognized over the vesting period in the statement of loss or capitalized as appropriate. |
Share Purchase Warrants | Share Purchase Warrants The Company issues share purchase warrants in connection with certain financing transactions. The fair value of the warrants, as determined using the Black-Scholes pricing model or fair value of goods or services received, is credited to equity reserves. The recorded value of share purchase warrants is transferred to share capital upon exercise. |
Foreign Currency Translation | Foreign Currency Translation The U.S. dollar is the functional currency of the Company and its wholly-owned subsidiary. Amounts in the consolidated financial statements are expressed in U.S. dollars unless otherwise stated. Transactions in foreign currencies are translated into the functional currency at the exchange rates at the date of the transactions. Monetary assets and liabilities of the Company’s operations denominated in a currency other than the U.S. dollar are translated using exchange rates prevailing at the balance sheet date. Revenue and expense items are translated at the exchange rates in effect at the date of the underlying transaction. Exchange differences are recognized in net loss in the year in which they arise. |
Loss Per Share | Loss Per Share Loss per share is computed by dividing the loss for the year by the weighted average number of common shares outstanding during the year. Basic and diluted loss per share for each year presented are the same due to the effect of potential issuances of shares under warrant or share option agreements being, in total, anti-dilutive. |
Income Taxes and Deferred Taxes | Income Taxes and Deferred Taxes The income tax expense or benefit for the year consists of two components: current and deferred. Current tax is the expected tax payable or receivable on the taxable profit or loss for the year. Current tax is calculated using tax rates and laws that were enacted or substantively enacted at the balance sheet date in each of the jurisdictions and include any adjustments for taxes payable or recovery in respect of prior periods. Taxable profit or loss differs from profit or loss as reported in the Consolidated Statements of Loss and Comprehensive Loss because of items of income or expense that are taxable or deductible in other years, and items that are never taxable or deductible. Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax basis used in the computation of taxable profit. Deferred tax liabilities are generally recognized for all taxable temporary differences not eligible for offset. Deferred tax assets are generally recognized for all deductible temporary differences, loss carry forwards and tax credit carry forwards to the extent that it is probable that taxable profits will be available against which they can be utilized. To the extent that the Company does not consider it to be probable that taxable profits will be available against which deductible temporary differences, loss carry forwards, and tax credit carry forwards can be utilized, a deferred tax asset is not recognized. |
Basis of Presentation (Tables)
Basis of Presentation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Basis of Presentation [Abstract] | |
Schedule of Impact of Adopting Financial Instruments | The following table summarizes the impact of adopting IFRS 9 - Financial Instruments and IFRS 16 - Leases: Consolidated Balance Sheet Impact Dec 31, 2017 IFRS 9 IFRS 16 Jan 1, 2018 Mineral Property, Plant and Equipment $ 395,205 $ - $ 211 $ 395,416 Accounts Payable and Accruals 3,630 - 211 3,841 Convertible Debt 49,067 1,346 - 50,413 Non-Convertible Debt 92,268 813 - 93,081 Equity Reserves 60,505 (210 ) - 60,295 Deficit $ (132,497 ) $ (1,949 ) $ - $ (134,446 ) |
Mineral Property, Plant and E_2
Mineral Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of detailed information about property, plant and equipment [abstract] | |
Schedule of Mineral Property, Plant, and Equipment | Details of the Mineral Property, Plant, and Equipment are as follows: Net Book Value NorthMet Other fixed assets Total Balance at January 31, 2017 $ 364,793 $ 120 $ 364,913 Additions 39,474 32 39,506 Disposals (Note 5) (2,789 ) - (2,789 ) Changes to rehabilitation provision (Note 6) (6,363 ) - (6,363 ) Amortization - (62 ) (62 ) Balance at December 31, 2017 395,115 90 395,205 Adoption of IFRS 16 (Note 2) - 211 211 Balance at January 1, 2018 395,115 301 395,416 Additions 41,710 87 41,797 Changes to environmental rehabilitation provision (Note 6) (3,478 ) - (3,478 ) Amortization and Depreciation - (187 ) (187 ) Balance at December 31, 2018 $ 433,347 $ 201 $ 433,548 NorthMet December 31, 2018 December 31, 2017 Mineral property acquisition and interest costs $ 112,002 $ 86,863 Mine plan and development 48,383 50,250 Environmental 133,638 122,396 Consulting and wages 55,076 52,965 Reclamation and remediation (Note 6) 56,811 60,289 Site activities 26,488 21,403 Mine equipment 949 949 Total $ 433,347 $ 395,115 |
Intangible and EIP Receivable (
Intangible and EIP Receivable (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of detailed information about intangible assets [abstract] | |
Schedule of Intangible Assets | Details of the Intangible are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Intangible – beginning of period $ 3,130 $ 1,888 Purchases 21,055 810 Other Additions - 2,320 Disposals - (1,888 ) Intangible – end of period $ 24,185 $ 3,130 Details of the EIP receivable are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 EIP Receivable – beginning of period $ 2,883 $ 2,656 Initial recognition - 564 Collections - (171 ) Loss on re-measurement (971 ) (166 ) EIP Receivable – end of period 1,912 2,883 Less current portion (116 ) (350 ) Non-current portion $ 1,796 $ 2,533 |
Environmental Rehabilitation _2
Environmental Rehabilitation Provision (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Environmental Rehabilitation Provision [Abstract] | |
Schedule of Environmental Rehabilitation Provision | Details of the Environmental Rehabilitation Provision are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Environmental Rehabilitation Provision – beginning of period $ 65,402 $ 70,626 Change in estimate (3,478 ) (6,363 ) Liabilities discharged (2,613 ) (637 ) Accretion expense 1,796 1,776 Environmental Rehabilitation Provision – end of period 61,107 65,402 Less current portion (1,693 ) (1,266 ) Non-current portion $ 59,414 $ 64,136 |
Convertible Debt (Tables)
Convertible Debt (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Convertible Debt [Abstract] | |
Schedule of Convertible Debt | Details of the Convertible Debt are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Convertible Debt – beginning of period $ 49,067 $ 42,154 Transition to IFRS 9 (Note 2) 1,346 - Convertible Debt – adjusted beginning of period 50,413 42,154 Change due to modification (Note 7) 3,142 - Accretion and capitalized interest 3,429 6,913 Convertible Debt – end of period 56,984 49,067 Less current portion (56,984 ) (49,067 ) Non-current portion $ - $ - |
Non Convertible Debt (Tables)
Non Convertible Debt (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Non-Convertible Debt [Abstract] | |
Schedule of Non Convertible Debt | Details of the Non-Convertible Debt are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Non-Convertible Debt – beginning of period $ 92,268 $ 65,752 Transition to IFRS 9 (Note 2) 813 - Non-Convertible Debt – adjusted beginning of period 93,081 65,752 Change due to modification (Note 7) (1,452 ) - Accretion and capitalized interest 17,131 11,599 Funding, net of costs 69,723 14,917 Total Non-Convertible Debt 178,483 92,268 Less current portion (178,483 ) (92,268 ) Non-current portion $ - $ - |
Share Capital (Tables)
Share Capital (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of classes of share capital [line items] | |
Schedule of Stock Options Activities | Details of the share options are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Number of Options Weighted Average Exercise Price Number of Options Weighted Average Exercise Price Outstanding – beginning of period 21,659,002 $ 0.98 20,962,002 $ 1.10 Granted 2,503,000 0.91 2,142,000 0.62 Exercised (225,000 ) 0.67 - - Expired (1,245,000 ) 2.06 (1,445,000 ) 2.19 Outstanding – end of period 22,692,002 $ 0.91 21,659,002 $ 0.98 |
Schedule of Fair Value of Options Granted Using Black-scholes Option Pricing Model | The fair value of share options granted was estimated at the date of grant using the Black-Scholes pricing model with the following weighted average assumptions: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Risk-free interest rate 2.33% to 2.58% 1.42% to 1.82% Expected dividend yield - - Expected forfeiture rate - - Expected volatility 56.07% to 61.80% 53.91% to 57.06% Expected life in years 2.50 to 5.00 2.50 to 5.00 Weighted average fair value of each option $ 0.34 to $0.61 $ 0.22 to $0.32 |
Schedule of Stock Options Outstanding and Exercisable | Details of the share options outstanding as at December 31, 2018 are as follows: Range of Exercise Prices Number of options outstanding Number of options exercisable Weighted Average Exercise Price Weighted Average Remaining Life 0.61 to 0.80 11,529,000 10,095,667 $ 0.73 3.16 0.80 to 1.00 6,092,000 5,343,000 0.93 4.91 1.00 to 1.50 3,846,002 3,846,002 1.11 2.77 1.50 to 2.00 1,050,000 1,050,000 1.80 2.41 2.00 to 3.07 175,000 115,000 2.57 1.12 22,692,002 20,449,669 $ 0.91 3.51 |
Schedule of Bonus Share | Details of the bonus shares are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Allocated Authorized & Unissued Allocated Authorized & Unissued Outstanding – beginning of period 3,150,000 3,640,000 3,150,000 3,640,000 Forfeited (450,000 ) - Outstanding – end of period 2,700,000 3,640,000 3,150,000 3,640,000 |
Warrant [Member] | |
Disclosure of classes of share capital [line items] | |
Schedule of Stock Options Activities | Details of the share purchase warrants are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Number of Purchase Warrants Weighted Average Exercise Price Number of Purchase Warrants Weighted Average Exercise Price Outstanding – beginning of period 21,322,212 $ 0.99 27,780,213 $ 0.95 Issued 6,458,001 - - - Exercised (590,500 ) 1.00 - - Expiration - - (6,458,001 ) (0.82 ) Outstanding – end of period 27,189,713 $ 0.95 21,322,212 $ 0.99 |
Schedule of Fair Value of Options Granted Using Black-scholes Option Pricing Model | The fair value of share purchase warrants granted were estimated at the date of grant using the Black-Scholes pricing model with the following weighted average assumptions: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Risk-free interest rate 2.05 % - Expected dividend yield - - Expected forfeiture rate - - Expected volatility 54.54 % - Expected life in years 1.02 - Weighted average fair value of each warrant (1) $ 0.36 - |
RestrictedShareUnit (RSU) [Member] | |
Disclosure of classes of share capital [line items] | |
Schedule of Stock Options Activities | Details of the restricted shares and restricted share units are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Outstanding - beginning of period 3,281,030 2,618,020 Issued 1,227,004 1,077,869 Forfeited - (8,896 ) Vested (1,160,127 ) (405,963 ) Outstanding - end of period 3,347,907 3,281,030 |
Finance Costs - Net (Tables)
Finance Costs - Net (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Finance Costs - Net [Abstract] | |
Schedule of Finance Costs Net | Details of net finance costs are as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Debt accretion and capitalized interest: Convertible debt (Note 8) $ 3,429 $ 6,913 Non-convertible debt (Note 9) 17,131 11,599 Environmental rehabilitation accretion (Note 6) 1,796 1,776 Other finance costs 858 562 Less: amounts capitalized on qualifying assets (20,560 ) (18,512 ) Finance costs 2,654 2,338 Interest income: Bank deposits (273 ) (105 ) Finance income (273 ) (105 ) Finance costs - net $ 2,381 $ 2,233 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Related party transactions [abstract] | |
Schedule of Key Management Personnel Compensation | The Company conducted transactions with senior management, directors and persons or companies related to these individuals, and paid or accrued amounts, as follows: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Salaries and other short-term benefits $ 1,956 $ 1,898 Other long-term benefits 44 42 Share-based payment (1) 1,680 836 Total $ 3,680 $ 2,776 (1) Share-based payment represents the amount capitalized or expensed during the period (see Note 10). |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Major components of tax expense (income) [abstract] | |
Schedule of Reconciliation of Effective Income Tax Rate | The effective tax rate differs from the cumulative Canadian federal and provincial income tax rate due to the following: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Loss for the year before taxes $ (15,043 ) $ (10,098 ) Canadian statutory tax rate 27.0 % 27.0 % Expected tax recovery (4,062 ) (2,726 ) Difference in foreign tax rates (91 ) (84 ) Non-deductible items 1,538 356 Change in tax rate - 5,025 Change in unrecognized deferred tax and other items 2,615 (2,571 ) Income Tax Expense / (Recovery) $ - $ - |
Schedule of Components of Deferred Tax Assets | Deferred income tax assets and liabilities have been recognized in respect of the following items: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Non-capital loss carry forward assets $ 29,353 $ 27,799 Mineral property acquisition, exploration and development costs (29,353 ) (27,799 ) Net deferred income tax liabilities $ - $ - |
Schedule of Unrecognized Deductible Temporary Differences and Unused Tax Losses | Deferred income tax assets have not yet been recognized in respect of the following items: Twelve months ended December 31, 2018 Eleven months ended December 31, 2017 Non-capital loss carry forward assets $ 25,437 $ 22,786 Capital loss carry forward assets 360 360 Intercompany receivable assets 2,109 2,109 Other assets 1,125 1,159 Unrecognized deferred income tax assets $ 29,031 $ 26,414 |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Commitments and Contingencies [Abstract] | |
Schedule of Contractual Obligations | The following table lists the known contractual obligations as at December 31, 2018: Contractual Obligations Carrying Value Contractual Cash flows Less than 1 year 1 – 3 years 3 – 5 years More than 5 years Accounts payable and accruals $ 4,013 $ 4,013 $ 4,013 $ - $ - $ - Convertible debt (Note 8) 56,984 58,077 58,077 - - - Non-convertible debt (Note 9) 178,483 184,698 184,698 - - - Firm commitments - 16,413 388 25 4,000 12,000 Total $ 239,480 $ 263,201 $ 247,176 $ 25 $ 4,000 $ 12,000 |
Financial Instruments and Ris_2
Financial Instruments and Risk Management (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of detailed information about financial instruments [abstract] | |
Schedule of Financial Instrument | The carrying values of each classification of financial instrument as at December 31, 2018 are: Amortized Cost Fair value through profit or loss Total carrying value Financial assets Cash and Restricted Cash Deposits $ 24,143 $ - $ 24,143 Amounts receivable 680 1,912 2,592 Total financial assets 24,823 1,912 26,735 Financial liabilities Accounts payable and accruals 3,642 371 4,013 Convertible debt 56,984 - 56,984 Non-convertible debt 178,483 - 178,483 Total financial liabilities $ 239,109 $ 371 $ 239,480 The carrying values of each classification of financial instrument as at December 31, 2017 are: Loans and receivables Available for sale Other financial liabilities Total carrying value Financial assets Cash $ 6,931 $ - $ - $ 6,931 Amounts receivable 82 2,883 - 2,965 Total financial assets 7,013 2,883 - 9,896 Financial liabilities Accounts payable and accruals - - 3,630 3,630 Convertible debt - - 49,067 49,067 Non-convertible debt - - 92,268 92,268 Total financial liabilities $ - $ - $ 144,965 $ 144,965 |
Schedule of Interest Rate Risk | The Company was exposed to interest rate risk through the following assets and liabilities: December 31, 2018 December 31, 2017 Cash and restricted cash deposits $ 24,143 $ 6,931 Convertible debt 56,984 49,067 Non-convertible debt $ 178,483 $ 92,268 |
Nature of Business and Liquid_2
Nature of Business and Liquidity (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 31, 2017 |
Disclosure of detailed information about borrowings [line items] | |||
Cash | $ 13,857 | $ 6,931 | |
Secured convertible debt | 56,984 | 49,067 | $ 42,154 |
Secured non-convertible debt | 178,483 | $ 92,268 | |
Glencore [Member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Cash | 13,857 | ||
Working capital deficiency | 225,359 | ||
Secured convertible debt | 56,984 | ||
Secured non-convertible debt | $ 178,483 |
Basis of Presentation (Narrativ
Basis of Presentation (Narrative) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Basis of Presentation [Abstract] | |
Re-classification deficit from accumlated other comprehensive loss | $ 210 |
Increase opening deficit and increase carrying value of convertible and non-convertible debt | 2,159 |
Adjustment in lease assests | $ 211 |
Basis of Presentation (Schedule
Basis of Presentation (Schedule of Impact of Adopting Financial Instruments) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Jan. 02, 2018 | Dec. 31, 2017 | Jan. 31, 2017 |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | ||||
Mineral Property, Plant and Equipment | $ 433,548 | $ 395,416 | $ 395,205 | $ 364,913 |
Accounts Payable and Accruals | 3,841 | 3,630 | ||
Convertible Debt | 56,984 | 50,413 | 49,067 | |
Non-Convertible Debt | 178,483 | 93,081 | 92,268 | |
Equity Reserves | 62,111 | 60,295 | 60,505 | |
Deficit | $ (149,489) | $ (134,446) | (132,497) | |
IFRS 9 [Member] | ||||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | ||||
Mineral Property, Plant and Equipment | ||||
Accounts Payable and Accruals | ||||
Convertible Debt | 1,346 | |||
Non-Convertible Debt | 813 | |||
Equity Reserves | (210) | |||
Deficit | (1,949) | |||
IFRS 16 [Member] | ||||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | ||||
Mineral Property, Plant and Equipment | 211 | |||
Accounts Payable and Accruals | 211 | |||
Convertible Debt | ||||
Non-Convertible Debt | ||||
Equity Reserves | ||||
Deficit |
Mineral Property Agreements (Na
Mineral Property Agreements (Narrative) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
LMC Minerals Year 5+ [Member] | |
Disclosure of acquired receivables [line items] | |
Minimum annual lease payments | $ 30 |
RGGS Land & Minerals Ltd., L.P. [Member] | |
Disclosure of acquired receivables [line items] | |
Annual lease payments | $ 175 |
Paid Through | Jan. 31, 2020 |
Recovery of advance royalty payments | $ 3,000 |
LMC Minerals [Member] | |
Disclosure of acquired receivables [line items] | |
Recovery of advance royalty payments | $ 219 |
Bottom of range [Member] | |
Disclosure of acquired receivables [line items] | |
Percentage of future production royalties payable | 3.00% |
Top of range [Member] | |
Disclosure of acquired receivables [line items] | |
Percentage of future production royalties payable | 5.00% |
Mineral Property, Plant and E_3
Mineral Property, Plant and Equipment (Narrative) (Details) - Erie Plant [Member] - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017 | Dec. 31, 2018 | |
Statement Line Items [Line Items] | ||
Amount paid for acquisition in associated infrastructure | $ 18,900 | |
Fair market value shares | $ 13,953 | |
Shares issued for acquisition | 9,200,547 | |
Borrowing costs | $ 18,512 | $ 20,560 |
Proceeds from property sale | 425 | |
Non cash loss | $ 553 |
Mineral Property, Plant and E_4
Mineral Property, Plant and Equipment (Schedule of Mineral Property, Plant, and Equipment) (Details) - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017 | Dec. 31, 2018 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning Balance | $ 364,913 | $ 395,205 |
Additions | 39,506 | 41,797 |
Disposals (Note 5) | (2,789) | |
Changes to environmental rehabilitation provision (Note 6) | (6,363) | (3,478) |
Amortization and Depreciation | (62) | (187) |
Ending Balance | 395,205 | |
Adoption of IFRS 16 (Note 2) | 211 | |
Ending Balance | 395,205 | 433,548 |
NorthMet [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning Balance | 364,793 | 395,115 |
Additions | 39,474 | 41,710 |
Disposals (Note 5) | (2,789) | |
Changes to environmental rehabilitation provision (Note 6) | (6,363) | (3,478) |
Amortization and Depreciation | ||
Ending Balance | 395,115 | |
Adoption of IFRS 16 (Note 2) | ||
Ending Balance | 395,115 | 433,347 |
Other Fixed Assets [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning Balance | 120 | 301 |
Additions | 32 | 87 |
Disposals (Note 5) | ||
Changes to environmental rehabilitation provision (Note 6) | ||
Amortization and Depreciation | (62) | (187) |
Ending Balance | 90 | |
Adoption of IFRS 16 (Note 2) | 211 | |
Ending Balance | $ 301 | $ 201 |
Mineral Property, Plant and E_5
Mineral Property, Plant and Equipment (Schedule of Mineral Property, Plant, and Equipment NorthMet) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Jan. 02, 2018 | Dec. 31, 2017 | Jan. 31, 2017 |
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Total | $ 433,548 | $ 395,416 | $ 395,205 | $ 364,913 |
NorthMet [Member] | ||||
Disclosure of detailed information about property, plant and equipment [line items] | ||||
Mineral property acquisition and interest costs | 112,002 | 86,863 | ||
Mine plan and development | 48,383 | 50,250 | ||
Environmental | 133,638 | 122,396 | ||
Consulting and wages | 55,076 | 52,965 | ||
Reclamation and remediation (Note 6) | 56,811 | 60,289 | ||
Site activities | 26,488 | 21,403 | ||
Mine equipment | 949 | 949 | ||
Total | $ 433,347 | $ 395,115 | $ 364,793 |
Intangible and EIP Receivable_2
Intangible and EIP Receivable (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended |
Apr. 30, 2015 | Dec. 31, 2017 | Dec. 31, 2018 | |
EIP Option on Intangible [Member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Loss incurred | $ 469 | ||
Annual option payments | 250 | ||
Increase in intangible | $ 21,055 | ||
EIP Option on Intangible [Member] | Land [Member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Initial recognition | 2,320 | ||
EIP Option on Intangible [Member] | Cash [Member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Initial recognition | $ 810 | ||
EIP Minnesota Option on Intangible [Member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Maturity date | Feb. 28, 2017 | ||
EIP Receivable Discount Rate | 9.75% | ||
EIP Receivable Recovery Period | 15 years | ||
EIP Receivable Initial Recognition | $ 564 | ||
Loss incurred | $ 1,324 |
Intangible and EIP Receivable_3
Intangible and EIP Receivable (Schedule of Intangible Assets) (Details) - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017 | Dec. 31, 2018 | |
Disclosure of detailed information about intangible assets [line items] | ||
Balance at beginning year | $ 1,888 | $ 3,130 |
Purchases | 810 | 21,055 |
Other Additions | 2,320 | |
Disposals | (1,888) | |
Balance at end of year | 3,130 | 24,185 |
EIP Receivable [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Balance at beginning year | 2,656 | 2,883 |
Initial recognition | 564 | |
Collections | (171) | |
Loss on re-measurement | (166) | (971) |
Balance at end of year | 2,883 | 1,912 |
Less current portion | (350) | (116) |
Non-current portion | $ 2,533 | $ 1,796 |
Environmental Rehabilitation _3
Environmental Rehabilitation Provision (Narrative) (Details) - USD ($) $ in Thousands | Nov. 01, 2018 | Dec. 31, 2017 | Dec. 31, 2018 |
Statement Line Items [Line Items] | |||
Estimated environmental rehabilitation provision | $ 65,402 | $ 61,107 | |
Estimated cash flows at present day cost | $ 73,301 | $ 71,146 | |
Projected inflation rate | 2.00% | 2.00% | |
Market risk-free interest rate | 2.58% | 3.13% | |
Restricted cash deposits | $ 10,000 | $ 24,143 | |
Letter of credit | 65,000 | ||
Acquisition Agreement [Member] | |||
Statement Line Items [Line Items] | |||
Letter of credit | 13,400 | ||
Future contribution to trust fund through 1 to 8 mine year | $ 2,000 |
Environmental Rehabilitation _4
Environmental Rehabilitation Provision (Schedule of Environmental Rehabilitation Provision) (Details) - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017 | Dec. 31, 2018 | |
Disclosure of Environmental Rehabilitation Provision [Abstract] | ||
Environmental Rehabilitation Provision - beginning of period | $ 70,626 | $ 65,402 |
Change in estimate | (6,363) | (3,478) |
Liabilities discharged | (637) | (2,613) |
Accretion expense | 1,776 | 1,796 |
Environmental Rehabilitation Provision - end of period | 65,402 | 61,107 |
Less current portion | (1,266) | (1,693) |
Non-current portion | $ 64,136 | $ 59,414 |
Glencore Financing (Details)
Glencore Financing (Details) - USD ($) $ / shares in Units, $ in Thousands | May 07, 2018 | Apr. 01, 2018 | Apr. 01, 2018 | Mar. 23, 2018 | Jan. 18, 2018 | Sep. 18, 2017 | Jan. 02, 2016 | Mar. 31, 2019 | Dec. 18, 2018 | Oct. 25, 2018 | Sep. 30, 2017 | Dec. 31, 2015 | Jul. 31, 2015 | Dec. 31, 2018 | Mar. 22, 2019 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 |
Statement Line Items [Line Items] | |||||||||||||||||||||
Common share issued | 128,750 | 396,616 | |||||||||||||||||||
Principal secured debentures amount | $ 20,000 | ||||||||||||||||||||
Common stock called by warrant | 625,000 | ||||||||||||||||||||
Interest rate basis | LIBOR plus 10.0% | LIBOR plus 15.0% | |||||||||||||||||||
Availability of debt or equity financing | $ 100,000 | $ 100,000 | |||||||||||||||||||
Fair value of warrants | $ 4,109 | ||||||||||||||||||||
Price per share | $ 0.7797 | $ 0.7797 | |||||||||||||||||||
Transaction costs for financing | $ 83 | $ 88 | |||||||||||||||||||
Events after reporting period [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | $ 80,000 | ||||||||||||||||||||
Warrant exercise price | $ 0.8231 | ||||||||||||||||||||
Exercise of warrants | 6,458,001 | ||||||||||||||||||||
Interest rate basis | LIBOR plus 10.0% | ||||||||||||||||||||
Availability of debt or equity financing | $ 100,000 | ||||||||||||||||||||
Glencore Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | 25,000 | ||||||||||||||||||||
Interest rate basis | LIBOR plus 10.0% | LIBOR plus 15.0% | LIBOR plus 8.0% | LIBOR plus 4.0% | |||||||||||||||||
Availability of debt or equity financing | 100,000 | ||||||||||||||||||||
Glencore Non-Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Interest rate basis | LIBOR plus 10.0% | LIBOR plus 15.0% | LIBOR plus 8.0% | ||||||||||||||||||
Availability of debt or equity financing | $ 100,000 | ||||||||||||||||||||
Glencore [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Common shares own by Glencore of Polymet if it exercise all right and obligations | 151,278,442 | ||||||||||||||||||||
Percentage of shares partially diluted basis | 39.80% | ||||||||||||||||||||
Percentage of shares fully diluted basis if options and warrants were exercised | 36.10% | ||||||||||||||||||||
Glencore [Member] | Events after reporting period [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Common stock called by warrant | 6,458,001 | ||||||||||||||||||||
PolyMet [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Common share issued | 92,836,072 | 92,836,072 | |||||||||||||||||||
Minority interest percentage | 28.90% | ||||||||||||||||||||
Exercise of warrants | 44,303,743 | ||||||||||||||||||||
Price per share | $ 1.2696 | ||||||||||||||||||||
PolyMet [Member] | Events after reporting period [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | |||||||||||||||||||||
Tranche One [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Fair value of warrants | $ 2,331 | ||||||||||||||||||||
Convertible debt carrying value | $ 3,142 | ||||||||||||||||||||
Interest rate | 6.70% | ||||||||||||||||||||
Tranche One [Member] | Glencore Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | $ 25,000 | ||||||||||||||||||||
Tranche One [Member] | Glencore Non-Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | $ 30,000 | $ 80,000 | 20,000 | $ 11,000 | |||||||||||||||||
Tranche One [Member] | PolyMet [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Investments in associates | $ 20,000 | $ 30,000 | $ 25,000 | ||||||||||||||||||
Tranche One [Member] | NorthMet [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Common stock called by warrant | 6,458,001 | ||||||||||||||||||||
Price per share | $ 0.8231 | ||||||||||||||||||||
Tranche Two [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Convertible debt carrying value | $ 1,452 | ||||||||||||||||||||
Interest rate | 14.90% | ||||||||||||||||||||
Tranche Two [Member] | Glencore Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | 25,000 | ||||||||||||||||||||
Tranche Two [Member] | Glencore Non-Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | 30,000 | $ 80,000 | 20,000 | 14,000 | |||||||||||||||||
Tranche Two [Member] | PolyMet [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Investments in associates | 30,000 | $ 25,000 | |||||||||||||||||||
Tranche Two [Member] | NorthMet [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Common stock called by warrant | 7,055,626 | ||||||||||||||||||||
Price per share | $ 1 | ||||||||||||||||||||
Tranche Three [Member] | Glencore Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | 25,000 | ||||||||||||||||||||
Tranche Three [Member] | Glencore Non-Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | 30,000 | $ 80,000 | 14,000 | ||||||||||||||||||
Tranche Three [Member] | PolyMet [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Investments in associates | $ 30,000 | ||||||||||||||||||||
Rights Offering [Member] | PolyMet [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Investments in associates | $ 20,960 | ||||||||||||||||||||
Private Placement [Member] | PolyMet [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Investments in associates | 10,583 | ||||||||||||||||||||
Tranche Four [Member] | Glencore Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | $ 25,000 | ||||||||||||||||||||
Tranche Four [Member] | Glencore Non-Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | 30,000 | 80,000 | 14,000 | ||||||||||||||||||
Tranche Five [Member] | Glencore Non-Convertible Debt [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Principal secured debentures amount | $ 30,000 | 15,000 | $ 14,000 | ||||||||||||||||||
Tranche N Debenture [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Proceeds from debentures | $ 15,000 | ||||||||||||||||||||
Tranche O Debenture [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Proceeds from debentures | $ 5,000 | ||||||||||||||||||||
Tranche P Debenture [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Proceeds from debentures | $ 20,000 | ||||||||||||||||||||
Tranche Q Debenture [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Proceeds from debentures | $ 15,000 | ||||||||||||||||||||
Tranche T Debenture [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Proceeds from debentures | $ 10,000 | ||||||||||||||||||||
Tranche S Debenture [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Proceeds from debentures | $ 20,000 | ||||||||||||||||||||
Tranche R Debenture [Member] | |||||||||||||||||||||
Statement Line Items [Line Items] | |||||||||||||||||||||
Proceeds from debentures | $ 15,000 |
Convertible Debt (Narrative) (D
Convertible Debt (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | Apr. 01, 2018 | Apr. 01, 2018 | Mar. 23, 2018 | Jan. 02, 2016 | Sep. 30, 2017 | Dec. 31, 2015 | Jul. 31, 2015 | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of detailed information about borrowings [line items] | |||||||||
Principal secured debentures amount | $ 20,000 | ||||||||
Interest rate basis | LIBOR plus 10.0% | LIBOR plus 15.0% | |||||||
Availability of debt or equity financing | $ 100,000 | $ 100,000 | |||||||
Price per share | $ 0.7797 | $ 0.7797 | |||||||
Glencore Convertible Debt [Member] | |||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||
Principal secured debentures amount | $ 25,000 | ||||||||
Interest rate basis | LIBOR plus 10.0% | LIBOR plus 15.0% | LIBOR plus 8.0% | LIBOR plus 4.0% | |||||
Percentage of borrowing costs capitalization | 100.00% | ||||||||
Availability of debt or equity financing | $ 100,000 | ||||||||
Interest costs capitalized | $ 31,248 | ||||||||
PolyMet [Member] | |||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||
Price per share | $ 1.2696 |
Convertible Debt (Schedule of C
Convertible Debt (Schedule of Convertible Debt) (Details) - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2018 | Jan. 02, 2018 | |
Disclosure of Convertible Debt [Abstract] | |||
Convertible Debt - beginning of period | $ 42,154 | $ 49,067 | |
Transition to IFRS 9 | 1,346 | ||
Convertible Debt - adjusted beginning of period | 42,154 | 50,413 | |
Change due to modification (Note 7) | 3,142 | ||
Accretion and capitalized interest | 6,913 | 3,429 | |
Convertible Debt - end of period | 49,067 | 56,984 | |
Less current portion | (49,067) | (56,984) | $ (50,413) |
Non-current portion |
Non-Convertible Debt (Narrative
Non-Convertible Debt (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | Apr. 01, 2018 | Apr. 01, 2018 | Mar. 23, 2018 | Jan. 02, 2016 | Mar. 31, 2019 | Sep. 30, 2017 | Dec. 31, 2015 | Dec. 31, 2018 |
Disclosure of detailed information about borrowings [line items] | ||||||||
Common stock called by warrant | 625,000 | |||||||
Principal secured debentures amount | $ 20,000 | |||||||
Interest rate basis | LIBOR plus 10.0% | LIBOR plus 15.0% | ||||||
Availability of debt or equity financing | $ 100,000 | $ 100,000 | ||||||
Events after reporting period [Member] | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Warrant exercise price | $ 0.8231 | |||||||
Exercise of warrants | 6,458,001 | |||||||
Principal secured debentures amount | $ 80,000 | |||||||
Interest rate basis | LIBOR plus 10.0% | |||||||
Availability of debt or equity financing | $ 100,000 | |||||||
PolyMet [Member] | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Exercise of warrants | 44,303,743 | |||||||
PolyMet [Member] | Events after reporting period [Member] | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Principal secured debentures amount | ||||||||
Glencore [Member] | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Principal secured debentures amount | $ 140,000 | $ 70,000 | ||||||
Glencore Non-Convertible Debt [Member] | ||||||||
Disclosure of detailed information about borrowings [line items] | ||||||||
Percentage of borrowing costs capitalization | 100.00% | |||||||
Interest rate basis | LIBOR plus 10.0% | LIBOR plus 15.0% | LIBOR plus 8.0% | |||||
Interest costs capitalized | $ 38,882 | |||||||
Availability of debt or equity financing | $ 100,000 |
Non-Convertible Debt (Schedule
Non-Convertible Debt (Schedule of Non Convertible Debt) (Details) - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2018 | Jan. 02, 2018 | |
Disclosure of detailed information about borrowings [line items] | |||
Accretion and capitalized interest | $ 6,913 | $ 3,429 | |
Total Non-Convertible Debt | 92,268 | 178,483 | |
Less current portion | (92,268) | (178,483) | $ (93,081) |
Non-current portion | |||
Glencore [Member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Non Convertible Debt - beginning of period | 65,752 | 92,268 | |
Transition to IFRS 9 | 813 | ||
Non-Convertible Debt - adjusted beginning of period | 65,752 | 93,081 | |
Change due to modification | (1,452) | ||
Accretion and capitalized interest | 11,599 | 17,131 | |
Funding, net of costs | $ 14,917 | 69,723 | |
Total Non-Convertible Debt | $ 178,483 |
Share Capital (Narrative) (Deta
Share Capital (Narrative) (Details) | 11 Months Ended | 12 Months Ended | ||
Dec. 31, 2017USD ($)shares$ / shares | Dec. 31, 2018USD ($)sharesyr$ / shares | Jan. 31, 2017shares | Jun. 27, 2007shares | |
Disclosure of classes of share capital [line items] | ||||
Common share issued | 396,616 | 128,750 | ||
Common stock called by warrant | 625,000 | |||
Price per share | $ / shares | $ 0.7797 | $ 0.7797 | ||
Share-based compensation | $ | $ 1,318,000 | $ 1,742,000 | ||
Capital reserve | $ | $ 1,544,000 | |||
Number of outstanding share options vested and exercisable | 2,242,333 | |||
Number of options outstanding | 21,659,002 | 22,692,002 | 20,962,002 | |
Share capital | $ | $ 269,516,000 | $ 271,269,000 | ||
Weighted average share price | $ | $ 1 | |||
Exercise of share options | 815,500 | |||
Warrant [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Common share issued | 742,000 | |||
Common stock called by warrant | 6,458,001 | |||
Price per share | $ / shares | $ 0.8231 | |||
Number of options outstanding | 21,322,212 | 27,189,713 | 27,780,213 | |
Weighted average share price | $ | $ 0.99 | |||
Warrant [Member] | Bottom of range [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Outstanding share options expire period | yr | 0.25 | |||
Warrant [Member] | Top of range [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Outstanding share options expire period | yr | 2.83 | |||
Land Purchase Options [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Proceeds from common share | $ | $ 256,000 | $ 123,000 | ||
Omnibus Plan [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Common share issued | 2,500,000 | |||
Share-based compensation | $ | 1,550,000 | 2,202,000 | ||
Capital amount to property | $ | 232,000 | 460,000 | ||
Capital reserve | $ | 1,111,000 | 1,787,000 | ||
Additional paid-in capital | $ | 439,000 | 310,000 | ||
Share capital | $ | 105,000 | |||
Share Options [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Share-based compensation | $ | 368,000 | $ 803,000 | ||
Share Options [Member] | Bottom of range [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Outstanding share options expire period | yr | 0.08 | |||
Share Options [Member] | Top of range [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Outstanding share options expire period | yr | 9.18 | |||
Restricted Stock Unit [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Proceeds from common share | $ | 1,182,000 | $ 1,294,000 | ||
Share-based compensation | $ | 105,000 | |||
Vesting of restricted share units | $ | $ 365,000 | $ 783,000 | ||
Number of share units settled upon vesting options | 316,714 | |||
Proceeds cash from vesting options | $ | $ 377,000 | |||
Permits [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Number of outstanding share options vested and exercisable | 883,333 | |||
Number of options outstanding | 134,891 | |||
Production [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Number of outstanding share options vested and exercisable | 699,000 | |||
Number of options outstanding | 410,701 | |||
Other [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Number of outstanding share options vested and exercisable | 60,000 | |||
June 2019 [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Number of outstanding share options vested and exercisable | 300,000 | |||
June 2020 [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Number of outstanding share options vested and exercisable | 300,000 | |||
RestrictedShareUnit (RSU) [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Number of outstanding share options vested and exercisable | 523,222 | |||
Number of options outstanding | 3,281,030 | 3,347,907 | 2,618,020 | |
Fair value of option | $ | $ 1,135,000 | |||
Number of share units settled upon vesting options | 721,961 | |||
Construction Finance [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Number of options outstanding | 750,000 | |||
January 2019 and June 2020 [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Number of options outstanding | 1,529,093 | |||
Milestone 4 Bonus Shares [Member] | ||||
Disclosure of classes of share capital [line items] | ||||
Fair value of option | $ | $ 279,000 | $ 25,000 |
Share Capital (Schedule of Stoc
Share Capital (Schedule of Stock Options Activities) (Details) | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017USD ($)shares | Dec. 31, 2018USD ($)shares | |
Disclosure of classes of share capital [abstract] | ||
Outstanding - beginning of period | shares | 20,962,002 | 21,659,002 |
Granted | shares | 2,142,000 | 2,503,000 |
Exercised | shares | (225,000) | |
Expired | shares | (1,445,000) | (1,245,000) |
Outstanding - end of period | shares | 21,659,002 | 22,692,002 |
Weighted average exercise price outstanding at December 31, 2018 | $ | $ 1.1 | $ 0.98 |
Granted | $ | 0.62 | 0.91 |
Exercised | $ | 0.67 | |
Expired | $ | 2.19 | 2.06 |
Weighted average exercise price outstanding at December 31, 2018 | $ | $ 0.98 | $ 0.91 |
Share Capital (Schedule of Fair
Share Capital (Schedule of Fair Value of Options Granted Using Black-Scholes Option Pricing Model) (Details) | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017USD ($)yr | Dec. 31, 2018USD ($)yr | |
Statement Line Items [Line Items] | ||
Expected dividend yield | ||
Expected forfeiture rate | ||
Warrant [Member] | ||
Statement Line Items [Line Items] | ||
Risk-free interest rate | 2.05% | |
Expected dividend yield | ||
Expected forfeiture rate | ||
Expected volatility | 54.54% | |
Expected life in years | yr | 0 | 1.02 |
Weighted average fair value of each option | $ | $ 0 | $ 0.36 |
Bottom of range [Member] | ||
Statement Line Items [Line Items] | ||
Risk-free interest rate | 1.42% | 2.33% |
Expected volatility | 53.91% | 56.07% |
Expected life in years | yr | 2.50 | 2.50 |
Weighted average fair value of each option | $ | $ 0.22 | $ 0.34 |
Top of range [Member] | ||
Statement Line Items [Line Items] | ||
Risk-free interest rate | 1.82% | 2.58% |
Expected volatility | 57.06% | 61.80% |
Expected life in years | yr | 5 | 5 |
Weighted average fair value of each option | $ | $ 0.32 | $ 0.61 |
Share Capital (Schedule of St_2
Share Capital (Schedule of Stock Options Outstanding and Exercisable) (Details) | 12 Months Ended | ||
Dec. 31, 2018USD ($)sharesyr | Dec. 31, 2017shares | Jan. 31, 2017shares | |
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Number of options outstanding | 22,692,002 | 21,659,002 | 20,962,002 |
Number of options Exercisable | 20,449,669 | ||
Weighted Average Exercise Price | $ | $ 0.91 | ||
Weighted Average Remaining Life | yr | 3.51 | ||
0.61 to 0.80 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Number of options outstanding | 11,529,000 | ||
Number of options Exercisable | 10,095,667 | ||
Weighted Average Exercise Price | $ | $ 0.73 | ||
Weighted Average Remaining Life | yr | 3.16 | ||
0.80 to 1.00 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Number of options outstanding | 6,092,000 | ||
Number of options Exercisable | 5,343,000 | ||
Weighted Average Exercise Price | $ | $ 0.93 | ||
Weighted Average Remaining Life | yr | 4.91 | ||
1.00 to 1.50 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Number of options outstanding | 3,846,002 | ||
Number of options Exercisable | 3,846,002 | ||
Weighted Average Exercise Price | $ | $ 1.11 | ||
Weighted Average Remaining Life | yr | 2.77 | ||
1.50 to 2.00 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Number of options outstanding | 1,050,000 | ||
Number of options Exercisable | 1,050,000 | ||
Weighted Average Exercise Price | $ | $ 1.8 | ||
Weighted Average Remaining Life | yr | 2.41 | ||
2.00 to 3.07 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Number of options outstanding | 175,000 | ||
Number of options Exercisable | 115,000 | ||
Weighted Average Exercise Price | $ | $ 2.57 | ||
Weighted Average Remaining Life | yr | 1.12 |
Share Capital (Schedule of Rest
Share Capital (Schedule of Restricted Shares And Share Purchase Warrant Activities) (Details) | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017USD ($)shares | Dec. 31, 2018USD ($)shares | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Outstanding - beginning of period | 20,962,002 | 21,659,002 |
Exercised | (225,000) | |
Expired | (1,445,000) | (1,245,000) |
Outstanding - end of period | 21,659,002 | 22,692,002 |
Weighted average exercise price outstanding at December 31, 2018 | $ | $ 1.1 | $ 0.98 |
Excercised | $ | 0.67 | |
Expired | $ | 2.19 | 2.06 |
Weighted average exercise price outstanding at December 31, 2018 | $ | $ 0.98 | $ 0.91 |
RestrictedShareUnit (RSU) [Member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Outstanding - beginning of period | 2,618,020 | 3,281,030 |
Issued | 1,077,869 | 1,227,004 |
Forfeited | (8,896) | |
Vested | (405,963) | (1,160,127) |
Outstanding - end of period | 3,281,030 | 3,347,907 |
Warrant [Member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Outstanding - beginning of period | 27,780,213 | 21,322,212 |
Issued | 6,458,001 | |
Exercised | (590,500) | |
Expired | (6,458,001) | |
Outstanding - end of period | 21,322,212 | 27,189,713 |
Weighted average exercise price outstanding at December 31, 2018 | $ | $ 0.95 | $ 0.99 |
Issued | $ | ||
Excercised | $ | 1 | |
Expired | $ | (0.82) | |
Weighted average exercise price outstanding at December 31, 2018 | $ | $ 0.99 | $ 0.95 |
Share Capital (Schedule of Bonu
Share Capital (Schedule of Bonus Share) (Details) | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017shares | Dec. 31, 2018shares | |
Allocated Bonus Shares [Member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Outstanding share authorized | 3,150,000 | 3,150,000 |
Forfeited | (450,000) | |
Outstanding share authorized | 3,150,000 | 3,150,000 |
Unissued Bonus Shares [Member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Outstanding share authorized | 3,640,000 | 3,640,000 |
Forfeited | ||
Outstanding share authorized | 3,640,000 | 3,640,000 |
Finance Costs - Net (Schedule o
Finance Costs - Net (Schedule of Finance Costs Net) (Details) - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017 | Dec. 31, 2018 | |
Debt accretion and capitalized interest: | ||
Convertible debt (Notes 8) | $ 6,913 | $ 3,429 |
Non-convertible debt (Notes 9) | 11,599 | 17,131 |
Environmental rehabilitation provision accretion (Note 6) | 1,776 | 1,796 |
Other finance costs | 562 | 858 |
Less: amounts capitalized on qualifying assets | (18,512) | (20,560) |
Finance costs | 2,338 | 2,654 |
Interest income: | ||
Bank deposits | (105) | (273) |
Finance income | (105) | (273) |
Finance costs - net | $ 2,233 | $ 2,381 |
Related Party Transactions (Nar
Related Party Transactions (Narriative) (Details) - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017 | Dec. 31, 2018 | |
Technical Services Agreement [Member] | ||
Disclosure of transactions between related parties [line items] | ||
Services received | $ 70 |
Related Party Transactions (Sch
Related Party Transactions (Schedule of Key Management Personnel Compensation) (Details) - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2018 | ||
Related party transactions [abstract] | |||
Salaries and other short-term benefits | $ 1,898 | $ 1,956 | |
Other long-term benefits | 42 | 44 | |
Share-based payment | [1] | 836 | 1,680 |
Total | $ 2,776 | $ 3,680 | |
[1] | Share-based payment represents the amount capitalized or expensed during the period (see Note 10). |
Income Taxes (Schedule of Recon
Income Taxes (Schedule of Reconciliation of Effective Income Tax Rate) (Details) - USD ($) $ in Thousands | 11 Months Ended | 12 Months Ended |
Dec. 31, 2017 | Dec. 31, 2018 | |
Major components of tax expense (income) [abstract] | ||
Loss for the year before taxes | $ (10,098) | $ (15,043) |
Canadian statutory tax rate | 27.00% | 27.00% |
Expected tax recovery | $ (2,726) | $ (4,062) |
Difference in foreign tax rates | (84) | (91) |
Non-deductible items | 356 | 1,538 |
Change in tax rate | 5,025 | |
Change in unrecognized deferred tax and other items | (2,571) | 2,615 |
Income Tax Expense / (Recovery) |
Income Taxes (Schedule of Compo
Income Taxes (Schedule of Components of Deferred Tax Assets And Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Net deferred income tax liabilities | ||
Non-capital loss [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Net deferred income tax liabilities | 29,353 | 27,799 |
Property and equipment [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Net deferred income tax liabilities | $ (29,353) | $ (27,799) |
Income Taxes (Schedule of Unrec
Income Taxes (Schedule of Unrecognized Deferred Income Tax Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Unrecognized deferred income tax assets | $ 29,031 | $ 26,414 |
Expiry date | 2019 and 2033 | |
Loss carry forward | $ 146,700 | 136,400 |
Non-capital loss [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Unrecognized deferred income tax assets | $ 25,437 | 22,786 |
Expiry date | 2019 and 2038 | |
Loss carry forward | $ 47,600 | 42,800 |
Capital loss [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Unrecognized deferred income tax assets | 360 | 360 |
Intercompany Receivable Assets [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Unrecognized deferred income tax assets | 2,109 | 2,109 |
Other Assets [Member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Unrecognized deferred income tax assets | $ 1,125 | $ 1,159 |
Commitments and Contingencies (
Commitments and Contingencies (Schedule of Contractual Obligations) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Jan. 02, 2018 | Dec. 31, 2017 |
Disclosure of finance lease and operating lease by lessee [line items] | |||
Accounts payable and accruals | $ 4,013 | $ 3,630 | |
Convertible debt (Note 8) | 56,984 | $ 50,413 | 49,067 |
Non-convertible debt (Note 9) | 178,483 | $ 93,081 | 92,268 |
Total | 239,480 | $ 144,965 | |
Less than 1 year [Member] | |||
Disclosure of finance lease and operating lease by lessee [line items] | |||
Accounts payable and accruals | 4,013 | ||
Convertible debt (Note 8) | 58,077 | ||
Non-convertible debt (Note 9) | 184,698 | ||
Firm commitments | 388 | ||
Total | 247,176 | ||
1 - 3 years [Member] | |||
Disclosure of finance lease and operating lease by lessee [line items] | |||
Accounts payable and accruals | |||
Convertible debt (Note 8) | |||
Non-convertible debt (Note 9) | |||
Firm commitments | 25 | ||
Total | 25 | ||
3 - 5 year [Member] | |||
Disclosure of finance lease and operating lease by lessee [line items] | |||
Accounts payable and accruals | |||
Convertible debt (Note 8) | |||
Non-convertible debt (Note 9) | |||
Firm commitments | 4,000 | ||
Total | 4,000 | ||
LMC Minerals Year 5+ [Member] | |||
Disclosure of finance lease and operating lease by lessee [line items] | |||
Accounts payable and accruals | |||
Convertible debt (Note 8) | |||
Non-convertible debt (Note 9) | |||
Firm commitments | 12,000 | ||
Total | 12,000 | ||
Carrying Value [Member] | |||
Disclosure of finance lease and operating lease by lessee [line items] | |||
Accounts payable and accruals | 4,013 | ||
Convertible debt (Note 8) | 56,984 | ||
Non-convertible debt (Note 9) | 178,483 | ||
Firm commitments | |||
Total | 239,480 | ||
Contractual Cash Flow [Member] | |||
Disclosure of finance lease and operating lease by lessee [line items] | |||
Accounts payable and accruals | 4,013 | ||
Convertible debt (Note 8) | 58,077 | ||
Non-convertible debt (Note 9) | 184,698 | ||
Firm commitments | 16,413 | ||
Total | $ 263,201 |
Financial Instruments and Ris_3
Financial Instruments and Risk Management (Schedule of Financial Instrument) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Nov. 01, 2018 | Dec. 31, 2017 |
Financial assets | |||
Cash | $ 13,857 | $ 6,931 | |
Cash and Restricted Cash Deposits | 24,143 | $ 10,000 | |
Amounts receivable | 2,592 | 2,965 | |
Total financial assets | 26,735 | 9,896 | |
Financial liabilities | |||
Accounts payable and accruals | 4,013 | 3,630 | |
Convertible debt | 56,984 | 49,067 | |
Non-convertible debt | 178,483 | 92,268 | |
Total financial liabilities | 239,480 | 144,965 | |
Loans and Receivables [Member] | |||
Financial assets | |||
Cash | 6,931 | ||
Cash and Restricted Cash Deposits | 24,143 | ||
Amounts receivable | 680 | 82 | |
Total financial assets | 24,823 | 7,013 | |
Financial liabilities | |||
Accounts payable and accruals | 3,642 | ||
Convertible debt | 56,984 | ||
Non-convertible debt | 178,483 | ||
Total financial liabilities | 239,109 | ||
Available For Sale [Member] | |||
Financial assets | |||
Cash | |||
Cash and Restricted Cash Deposits | |||
Amounts receivable | 1,912 | 2,883 | |
Total financial assets | 1,912 | 2,883 | |
Financial liabilities | |||
Accounts payable and accruals | 371 | ||
Convertible debt | |||
Non-convertible debt | |||
Total financial liabilities | $ 371 | ||
Other Financial Liabilities [Member] | |||
Financial assets | |||
Cash | |||
Amounts receivable | |||
Total financial assets | |||
Financial liabilities | |||
Accounts payable and accruals | 3,630 | ||
Convertible debt | 49,067 | ||
Non-convertible debt | 92,268 | ||
Total financial liabilities | $ 144,965 |
Financial Instruments and Ris_4
Financial Instruments and Risk Management (Schedule of Interest Rate Risk) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Nov. 01, 2018 | Dec. 31, 2017 | |
Disclosure of risk management strategy related to hedge accounting [line items] | |||
Cash and restricted cash deposits | $ 24,143 | $ 10,000 | |
Convertible debt | 56,984 | $ 49,067 | |
Non-convertible debt | 178,483 | 92,268 | |
Maximum exposure to credit risk | 26,735 | ||
Interest rate risk [Member] | |||
Disclosure of risk management strategy related to hedge accounting [line items] | |||
Cash and restricted cash deposits | 24,143 | 6,931 | |
Convertible debt | 56,984 | 49,067 | |
Non-convertible debt | 178,483 | $ 92,268 | |
Net carrying value of debt | 2,355 | ||
Foreign currency net monetary asset position | $ 241 |
Subsequent Event (Details)
Subsequent Event (Details) - shares | Mar. 22, 2019 | Dec. 31, 2018 |
Disclosure of non-adjusting events after reporting period [line items] | ||
Common stock called by warrant | 625,000 | |
Events after reporting period [Member] | Glencore [Member] | ||
Disclosure of non-adjusting events after reporting period [line items] | ||
Common stock called by warrant | 6,458,001 |