March 31,
|
December 31,
| |||||||
As at
|
2023
|
2022
| ||||||
Assets
| ||||||||
Current assets
| ||||||||
Cash and cash equivalents
|
$
|
3,393
|
$
|
1,964
| ||||
Trade and other receivables (Note 5)
|
9,656
|
11,552
| ||||||
Inventories (Note 6)
|
9,727
|
8,835
| ||||||
Prepaid expenses
|
2,529
|
3,030
| ||||||
$
|
25,305
|
$
|
25,381
| |||||
Non-current assets
| ||||||||
Restricted cash
|
4,190
|
4,139
| ||||||
Property, plant and equipment (Note 7)
|
162,497
|
161,299
| ||||||
Total assets
|
$
|
191,992
|
$
|
190,819
| ||||
Liabilities
| ||||||||
Current liabilities
| ||||||||
Trade and other payables
|
$
|
27,711
|
$
|
27,060
| ||||
Metals contract liability (Note 8)
|
12,236
|
11,324
| ||||||
Derivative instruments (Note 9)
|
868
|
991
| ||||||
Shares pending issuance from retraction (Note 9)
|
502
|
-
| ||||||
Pre-payment facility (Note 10)
|
2,250
|
-
| ||||||
Promissory note (Note 11)
|
1,250
|
2,500
| ||||||
Government loan
|
222
|
222
| ||||||
45,039
|
42,097
| |||||||
Non-current liabilities
| ||||||||
Other long-term liabilities
|
1,765
|
1,815
| ||||||
Metals contract liability (Note 8)
|
21,887
|
19,665
| ||||||
RoyCap convertible debenture (Note 9)
|
9,852
|
9,621
| ||||||
Promissory note (Note 11)
|
1,250
|
-
| ||||||
Post-employment benefit obligations
|
7,487
|
6,969
| ||||||
Decommissioning provision
|
12,407
|
11,715
| ||||||
Deferred tax liabilities (Note 18)
|
371
|
348
| ||||||
Total liabilities
|
100,058
|
92,230
| ||||||
Equity
| ||||||||
Share capital (Note 12)
|
451,692
|
449,374
| ||||||
Equity reserve
|
51,710
|
50,905
| ||||||
Foreign currency translation reserve
|
9,652
|
9,797
| ||||||
Deficit
|
(438,841
|
)
|
(428,849
|
)
| ||||
Attributable to shareholders of the Company
|
74,213
|
81,227
| ||||||
Non-controlling interests (Note 14)
|
17,721
|
17,362
| ||||||
Total equity
|
$
|
91,934
|
$
|
98,589
| ||||
Total liabilities and equity
|
$
|
191,992
|
$
|
190,819
|
For the three-month period ended
| ||||||||
March 31,
|
March 31,
| |||||||
2023
|
2022
| |||||||
Revenue (Note 15)
|
$
|
22,093
|
$
|
26,436
| ||||
Cost of sales (Note 16)
|
(17,784
|
)
|
(16,619
|
)
| ||||
Depletion and amortization (Note 7)
|
(5,117
|
)
|
(5,760
|
)
| ||||
Care and maintenance costs
|
(1,136
|
)
|
(1,323
|
)
| ||||
Corporate general and administrative (Note 17)
|
(2,351
|
)
|
(2,649
|
)
| ||||
Exploration costs
|
(655
|
)
|
(1,086
|
)
| ||||
Accretion on decommissioning provision
|
(141
|
)
|
(84
|
)
| ||||
Interest and financing expense
|
(2,330
|
)
|
(1,027
|
)
| ||||
Foreign exchange gain (loss)
|
(451
|
)
|
710
| |||||
Loss on metals contract liability (Note 8)
|
(2,554
|
)
|
(2,752
|
)
| ||||
Other gain on derivatives (Note 9)
|
92
|
22
| ||||||
Gain on government loan forgiveness
|
-
|
4,277
| ||||||
Income (loss) before income taxes
|
(10,334
|
)
|
145
| |||||
Income tax expense (Note 18)
|
(190
|
)
|
(441
|
)
| ||||
Net loss
|
$
|
(10,524
|
)
|
$
|
(296
|
)
| ||
Attributable to:
| ||||||||
Shareholders of the Company
|
$
|
(9,738
|
)
|
$
|
(1,412
|
)
| ||
Non-controlling interests (Note 14)
|
(786
|
)
|
1,116
| |||||
Net loss
|
$
|
(10,524
|
)
|
$
|
(296
|
)
| ||
Other comprehensive income (loss)
| ||||||||
Items that will not be reclassified to net loss
| ||||||||
Remeasurement of post-employment benefit obligations
|
$
|
(424
|
)
|
$
|
2,998
| |||
Items that may be reclassified subsequently to net loss
| ||||||||
Foreign currency translation reserve
|
(145
|
)
|
145
| |||||
Other comprehensive income (loss)
|
(569
|
)
|
3,143
| |||||
Comprehensive income (loss)
|
$
|
(11,093
|
)
|
$
|
2,847
| |||
Attributable to:
| ||||||||
Shareholders of the Company
|
$
|
(10,137
|
)
|
$
|
532
| |||
Non-controlling interests (Note 14)
|
(956
|
)
|
2,315
| |||||
Comprehensive income (loss)
|
$
|
(11,093
|
)
|
$
|
2,847
| |||
Loss per share attributable to shareholders of the Company
| ||||||||
Basic and diluted
|
(0.05
|
)
|
(0.01
|
)
| ||||
Weighted average number of common shares
| ||||||||
outstanding
| ||||||||
Basic and diluted (Note 13)
|
206,204,961
|
172,903,384
|
Foreign
| ||||||||||||||||||||||||||||||||
Share capital
|
currency
|
Attributable
|
Non-
| |||||||||||||||||||||||||||||
Common
|
Equity
|
translation
|
to shareholders
|
controlling
|
Total
| |||||||||||||||||||||||||||
Shares
|
Amount
|
reserve
|
reserve
|
Deficit
|
of the Company
|
interests
|
equity
| |||||||||||||||||||||||||
Balance at January 1, 2023
|
204,456
|
$
|
449,374
|
$
|
50,905
|
$
|
9,797
|
$
|
(428,849
|
)
|
$
|
81,227
|
$
|
17,362
|
$
|
98,589
| ||||||||||||||||
Net loss for the period
|
-
|
-
|
-
|
-
|
(9,738
|
)
|
(9,738
|
)
|
(786
|
)
|
(10,524
|
)
| ||||||||||||||||||||
Other comprehensive loss for the period
|
-
|
-
|
-
|
(145
|
)
|
(254
|
)
|
(399
|
)
|
(170
|
)
|
(569
|
)
| |||||||||||||||||||
Contribution from non-controlling interests
|
-
|
-
|
-
|
-
|
-
|
-
|
1,315
|
1,315
| ||||||||||||||||||||||||
At-the-market offering
|
4,548
|
2,318
|
-
|
-
|
-
|
2,318
|
-
|
2,318
| ||||||||||||||||||||||||
Retraction of RoyCap convertible debenture
|
-
|
-
|
(66
|
)
|
-
|
-
|
(66
|
)
|
-
|
(66
|
)
| |||||||||||||||||||||
Share-based payments
|
-
|
-
|
871
|
-
|
-
|
871
|
-
|
871
| ||||||||||||||||||||||||
Balance at March 31, 2023
|
209,004
|
$
|
451,692
|
$
|
51,710
|
$
|
9,652
|
$
|
(438,841
|
)
|
$
|
74,213
|
$
|
17,721
|
$
|
91,934
| ||||||||||||||||
Balance at January 1, 2022
|
165,145
|
$
|
423,098
|
$
|
51,088
|
$
|
6,833
|
$
|
(387,949
|
)
|
$
|
93,070
|
$
|
10,765
|
$
|
103,835
| ||||||||||||||||
Net income (loss) for the period
|
-
|
-
|
-
|
-
|
(1,412
|
)
|
(1,412
|
)
|
1,116
|
(296
|
)
| |||||||||||||||||||||
Other comprehensive income for the period
|
-
|
-
|
-
|
145
|
1,799
|
1,944
|
1,199
|
3,143
| ||||||||||||||||||||||||
Contribution from non-controlling interests
|
-
|
-
|
-
|
-
|
-
|
-
|
974
|
974
| ||||||||||||||||||||||||
At-the-market offering
|
12,213
|
10,184
|
-
|
-
|
-
|
10,184
|
-
|
10,184
| ||||||||||||||||||||||||
Sandstorm private placement
|
2,120
|
2,476
|
-
|
-
|
-
|
2,476
|
-
|
2,476
| ||||||||||||||||||||||||
Retraction of RoyCap convertible debenture
|
1,065
|
932
|
(191
|
)
|
-
|
-
|
741
|
-
|
741
| |||||||||||||||||||||||
Share-based payments
|
-
|
-
|
1,054
|
-
|
-
|
1,054
|
-
|
1,054
| ||||||||||||||||||||||||
Balance at March 31, 2022
|
180,543
|
$
|
436,690
|
$
|
51,951
|
$
|
6,978
|
$
|
(387,562
|
)
|
$
|
108,057
|
$
|
14,054
|
$
|
122,111
|
March 31,
|
March 31,
| |||||||
2023
|
2022
| |||||||
Cash flow generated from (used in)
| ||||||||
Operating activities
| ||||||||
Net loss for the period
|
$
|
(10,524
|
)
|
$
|
(296
|
)
| ||
Adjustments for the following items:
| ||||||||
Depletion and amortization
|
5,117
|
5,760
| ||||||
Income tax expense
|
190
|
441
| ||||||
Accretion and decommissioning costs
|
141
|
84
| ||||||
Share-based payments
|
871
|
1,054
| ||||||
Provision on other long-term liabilities
|
33
|
14
| ||||||
Interest and financing expense
|
1,202
|
684
| ||||||
Net charges on post-employment benefit obligations
|
94
|
217
| ||||||
Inventory write-downs
|
322
|
38
| ||||||
Loss on metals contract liability
|
2,554
|
2,752
| ||||||
Other gain on derivatives
|
(92
|
)
|
(22
|
)
| ||||
Gain on government loan forgiveness
|
-
|
(4,277
|
)
| |||||
Changes in non-cash working capital items:
| ||||||||
Trade and other receivables
|
1,896
|
(3,202
|
)
| |||||
Inventories
|
(1,675
|
)
|
346
| |||||
Prepaid expenses
|
501
|
258
| ||||||
Trade and other payables
|
1,030
|
(5,674
|
)
| |||||
Net cash generated from (used in) operating activities
|
1,660
|
(1,823
|
)
| |||||
Investing activities
| ||||||||
Expenditures on property, plant and equipment
|
(5,764
|
)
|
(3,480
|
)
| ||||
Net cash used in investing activities
|
(5,764
|
)
|
(3,480
|
)
| ||||
Financing activities
| ||||||||
Glencore pre-payment facility
|
-
| |||||||
Pre-payment facilities
|
2,250
|
(1,451
|
)
| |||||
Lease payments
|
(629
|
)
|
(841
|
)
| ||||
At-the-market offerings
|
2,318
|
10,184
| ||||||
Sandstorm private placement
|
-
|
2,476
| ||||||
Metals contract liability
|
389
|
(1,980
|
)
| |||||
Contribution from non-controlling interests
|
1,315
|
974
| ||||||
Net cash generated from financing activities
|
5,643
|
9,362
| ||||||
Effect of foreign exchange rate changes on cash
|
(110
|
)
|
185
| |||||
Increase in cash and cash equivalents
|
1,429
|
4,244
| ||||||
Cash and cash equivalents, beginning of period
|
1,964
|
2,900
| ||||||
Cash and cash equivalents, end of period
|
$
|
3,393
|
$
|
7,144
| ||||
Cash and cash equivalents consist of:
| ||||||||
Cash
|
$
|
3,393
|
$
|
7,144
| ||||
Interest paid during the period
|
$
|
475
|
$
|
492
|
March 31,
|
December 31,
| |||||||
2023
|
2022
| |||||||
Trade receivables
|
$
|
5,882
|
$
|
5,624
| ||||
Value added taxes receivable
|
208
|
-
| ||||||
Other receivables
|
3,566
|
5,928
| ||||||
$
|
9,656
|
$
|
11,552
|
March 31,
|
December 31,
| |||||||
2023
|
2022
| |||||||
Concentrates
|
$
|
1,912
|
$
|
1,694
| ||||
Finished goods
|
123
|
368
| ||||||
In-circuit work in progress
|
329
|
205
| ||||||
Ore stockpiles
|
1,571
|
898
| ||||||
Spare parts and supplies
|
5,792
|
5,670
| ||||||
$
|
9,727
|
$
|
8,835
|
Corporate
| ||||||||||||||||||||||||
Mining
|
Non-producing
|
Plant and
|
Right-of-use
|
office
| ||||||||||||||||||||
interests
|
properties
|
equipment
|
lease assets
|
equipment
|
Total
| |||||||||||||||||||
Cost
| ||||||||||||||||||||||||
Balance at January 1, 2022
|
$
|
208,266
|
$
|
12,469
|
$
|
110,273
|
$
|
11,373
|
$
|
240
|
$
|
342,621
| ||||||||||||
Asset additions
|
9,302
|
-
|
10,304
|
720
|
(4
|
)
|
20,322
| |||||||||||||||||
Change in decommissioning provision
|
(2,156
|
)
|
-
|
-
|
-
|
-
|
(2,156
|
)
| ||||||||||||||||
Balance at December 31, 2022
|
215,412
|
12,469
|
120,577
|
12,093
|
236
|
360,787
| ||||||||||||||||||
Asset additions
|
2,328
|
-
|
3,436
|
-
|
-
|
5,764
| ||||||||||||||||||
Change in decommissioning provision
|
551
|
-
|
-
|
-
|
-
|
551
| ||||||||||||||||||
Balance at March 31, 2023
|
$
|
218,291
|
$
|
12,469
|
$
|
124,013
|
$
|
12,093
|
$
|
236
|
$
|
367,102
| ||||||||||||
Accumulated depreciation
| ||||||||||||||||||||||||
and depletion
| ||||||||||||||||||||||||
Balance at January 1, 2022
|
$
|
(101,091
|
)
|
$
|
-
|
$
|
(57,755
|
)
|
$
|
(5,732
|
)
|
$
|
(130
|
)
|
$
|
(164,708
|
)
| |||||||
Depreciation/depletion for the year
|
(9,918
|
)
|
-
|
(10,077
|
)
|
(1,306
|
)
|
(39
|
)
|
(21,340
|
)
| |||||||||||||
Impairment for the year
|
(3,539
|
)
|
-
|
(9,901
|
)
|
-
|
-
|
(13,440
|
)
| |||||||||||||||
Balance at December 31, 2022
|
(114,548
|
)
|
-
|
(77,733
|
)
|
(7,038
|
)
|
(169
|
)
|
(199,488
|
)
| |||||||||||||
Depreciation/depletion for the period
|
(2,796
|
)
|
-
|
(1,980
|
)
|
(332
|
)
|
(9
|
)
|
(5,117
|
)
| |||||||||||||
Balance at March 31, 2023
|
$
|
(117,344
|
)
|
$
|
-
|
$
|
(79,713
|
)
|
$
|
(7,370
|
)
|
$
|
(178
|
)
|
$
|
(204,605
|
)
| |||||||
Carrying value
| ||||||||||||||||||||||||
at December 31, 2022
|
$
|
100,864
|
$
|
12,469
|
$
|
42,844
|
$
|
5,055
|
$
|
67
|
$
|
161,299
| ||||||||||||
at March 31, 2023
|
$
|
100,947
|
$
|
12,469
|
$
|
44,300
|
$
|
4,723
|
$
|
58
|
$
|
162,497
|
Three-month
|
Year
| |||||||
period ended
|
ended
| |||||||
March 31,
|
December 31,
| |||||||
2023
|
2022
| |||||||
Net metals contract liability, beginning of period
|
$
|
30,989
|
$
|
40,905
| ||||
Advance increase (net of financing expense)
|
3,372
|
-
| ||||||
Delivery of metals produced
|
(461
|
)
|
(3,278
|
)
| ||||
Delivery of metals purchased
|
(2,361
|
)
|
(7,436
|
)
| ||||
Revaluation of metals contract liability
|
2,584
|
798
| ||||||
Net metals contract liability, end of period
|
$
|
34,123
|
$
|
30,989
| ||||
Current portion
|
$
|
12,236
|
$
|
11,324
| ||||
Non-current portion
|
21,887
|
19,665
| ||||||
$
|
34,123
|
$
|
30,989
|
March 31,
|
December 31,
| |||||||
2023
|
2022
| |||||||
Issued
| ||||||||
209,004,009 (2022: 204,455,721) common shares
|
$
|
451,692
|
$
|
449,374
| ||||
Nil (2022: Nil) preferred shares
|
-
|
-
| ||||||
$
|
451,692
|
$
|
449,374
|
Three-month
|
Year
| |||||||||||||||
period ended
|
ended
| |||||||||||||||
March 31,
|
December 31,
| |||||||||||||||
2023
|
2022
| |||||||||||||||
Weighted
|
Weighted
| |||||||||||||||
average
|
average
| |||||||||||||||
exercise
|
exercise
| |||||||||||||||
Number
|
price
|
Number
|
price
| |||||||||||||
(thousands)
|
CAD
|
(thousands)
|
CAD
| |||||||||||||
Balance, beginning of period
|
12,367
|
$
|
2.40
|
12,579
|
$
|
2.81
| ||||||||||
Granted
|
4,275
|
0.90
|
3,750
|
1.20
| ||||||||||||
Expired
|
(372
|
)
|
3.10
|
(3,962
|
)
|
2.56
| ||||||||||
Balance, end of period
|
16,270
|
$
|
1.99
|
12,367
|
$
|
2.40
|
Weighted
| ||||||||||||||||||||
average
|
Weighted
|
Weighted
| ||||||||||||||||||
remaining
|
average
|
average
| ||||||||||||||||||
Exercise
|
contractual
|
exercise
|
exercise
| |||||||||||||||||
price
|
life
|
Outstanding
|
price
|
Exercisable
|
price
| |||||||||||||||
CAD
|
(years)
|
(thousands)
|
CAD
|
(thousands)
|
CAD
| |||||||||||||||
$0.01 to $1.00
|
2.77
|
4,575
|
$
|
0.89
|
1,525
|
$
|
0.89
| |||||||||||||
$1.01 to $2.00
|
1.61
|
6,785
|
1.47
|
4,523
|
1.47
| |||||||||||||||
$3.01 to $4.00
|
1.13
|
4,910
|
3.74
|
4,910
|
3.74
| |||||||||||||||
16,270
|
$
|
1.99
|
10,958
|
$
|
2.40
|
Three-month
|
Three-month
| |||||||
period ended
|
period ended
| |||||||
March 31,
|
March 31,
| |||||||
2023
|
2022
| |||||||
Expected stock price volatility (1) |
68
|
%
|
68
|
%
| ||||
Risk free interest rate
|
3.48
|
%
|
1.64
|
%
| ||||
Expected life
|
3 years
|
3 years
| ||||||
Expected forfeiture rate
|
3.85
|
%
|
3.48
|
%
| ||||
Expected dividend yield
|
0
|
%
|
0
|
%
| ||||
Share-based payments included in cost of sales
|
$
|
-
|
$
|
-
| ||||
Share-based payments included in general and
| ||||||||
administrative expenses
|
806
|
993
| ||||||
Total share-based payments
|
$
|
806
|
$
|
993
|
Number of
|
Exercise
|
Issuance
|
Expiry
| |||
warrants
|
price (CAD)
|
date
|
date
| |||
1,074,999
|
3.12
|
Oct 2018
|
Oct 1, 2023
| |||
200,793
|
0.94
|
Nov 2021
|
Nov 22, 2023
| |||
1,275,792
|
Three-month
|
Three-month
| ||||||
period ended
|
period ended
| ||||||
March 31,
|
March 31,
| ||||||
2023
|
2022
| ||||||
Basic weighted average number of shares
|
206,204,961
|
172,903,384
| |||||
Effect of dilutive stock options and warrants
|
-
|
-
| |||||
Diluted weighted average number of shares
|
206,204,961
|
172,903,384
|
March 31,
|
March 31,
| |||||||
2023
|
2022
| |||||||
Silver
| ||||||||
Sales revenue
|
$
|
14,406
|
$
|
10,279
| ||||
Derivative pricing adjustments
|
257
|
769
| ||||||
14,663
|
11,048
| |||||||
Zinc
| ||||||||
Sales revenue
|
$
|
9,955
|
$
|
15,600
| ||||
Derivative pricing adjustments
|
(44
|
)
|
1,648.00
| |||||
9,911
|
17,248
| |||||||
Lead
| ||||||||
Sales revenue
|
$
|
6,997
|
$
|
8,666
| ||||
Derivative pricing adjustments
|
(121
|
)
|
76
| |||||
6,876
|
8,742
| |||||||
Other by-products
| ||||||||
Sales revenue
|
$
|
322
|
$
|
189
| ||||
Derivative pricing adjustments
|
36
|
82
| ||||||
358
|
271
| |||||||
Total sales revenue
|
$
|
31,680
|
$
|
34,734
| ||||
Total derivative pricing adjustments
|
128
|
2,575
| ||||||
Gross revenue
|
$
|
31,808
|
$
|
37,309
| ||||
Treatment and selling costs
|
(9,715
|
)
|
(10,873
|
)
| ||||
$
|
22,093
|
$
|
26,436
|
March 31,
|
March 31,
| |||||||
2023
|
2022
| |||||||
Salaries and employee benefits
|
$
|
8,405
|
$
|
6,825
| ||||
Contract services on site
|
3
|
3
| ||||||
Raw materials and consumables
|
8,159
|
6,276
| ||||||
Utilities
|
1,061
|
1,002
| ||||||
Other costs
|
1,509
|
2,129
| ||||||
Changes in inventories
|
(1,675
|
)
|
346
| |||||
Inventory write-downs
|
322
|
38
| ||||||
$
|
17,784
|
$
|
16,619
|
March 31,
|
March 31,
| |||||||
2023
|
2022
| |||||||
Salaries and employee benefits
|
$
|
549
|
$
|
554
| ||||
Directors' fees
|
86
|
97
| ||||||
Share-based payments
|
806
|
993
| ||||||
Professional fees
|
340
|
606
| ||||||
Office and general
|
570
|
399
| ||||||
$
|
2,351
|
$
|
2,649
|
March 31,
|
December 31,
| |||||||
2023
|
2022
| |||||||
Property, plant and equipment
|
$
|
808
|
$
|
815
| ||||
Other
|
380
|
333
| ||||||
Total deferred tax liabilities
|
1,188
|
1,148
| ||||||
Provisions and reserves
|
(817
|
)
|
(800
|
)
| ||||
Net deferred tax liabilities
|
$
|
371
|
$
|
348
|
March 31, 2023
| ||||||||||||||||||||
Less than
|
Over 5
| |||||||||||||||||||
Total
|
1 year
|
2-3 years
|
4-5 years
|
years
| ||||||||||||||||
Trade and other payables
|
$
|
27,711
|
$
|
27,711
|
$
|
-
|
$
|
-
|
$
|
-
| ||||||||||
Pre-payment facility
|
2,250
|
2,250
|
-
|
-
|
-
| |||||||||||||||
Promissory note
|
2,500
|
1,250
|
1,250
|
-
|
-
| |||||||||||||||
Interest on promissory note
|
184
|
147
|
37
|
-
|
-
| |||||||||||||||
RoyCap convertible debenture
|
12,636
|
-
|
12,636
|
-
|
-
| |||||||||||||||
Interest on RoyCap convertible debenture
|
1,302
|
1,204
|
98
|
-
|
-
| |||||||||||||||
Government loan
|
222
|
222
|
-
|
-
|
-
| |||||||||||||||
Metals contract liability
|
34,123
|
12,236
|
21,887
|
-
|
-
| |||||||||||||||
Projected pension contributions
|
5,196
|
930
|
1,709
|
1,836
|
721
| |||||||||||||||
Decommissioning provision
|
20,155
|
-
|
-
|
-
|
20,155
| |||||||||||||||
Other long-term liabilities
|
1,765
|
-
|
741
|
456
|
568
| |||||||||||||||
$
|
108,044
|
$
|
45,950
|
$
|
38,358
|
$
|
2,292
|
$
|
21,444
|
March 31, 2023
| ||||||||||||||||||||
Less than
|
Over 5
| |||||||||||||||||||
Total
|
1 year
|
2-3 years
|
4-5 years
|
years
| ||||||||||||||||
Trade and other payables
|
$
|
1,945
|
$
|
1,945
|
$
|
-
|
$
|
-
|
$
|
-
| ||||||||||
Other long-term liabilities
|
1,197
|
-
|
741
|
456
|
-
| |||||||||||||||
$
|
3,142
|
$
|
1,945
|
$
|
741
|
$
|
456
|
$
|
-
|
Three-month
|
Year
| |||||||
period ended
|
ended
| |||||||
March 31,
|
December 31,
| |||||||
2023
|
2022
| |||||||
Lease liabilities, beginning of period
|
$
|
3,142
|
$
|
4,774
| ||||
Additions
|
-
|
720
| ||||||
Lease principal payments
|
(581
|
)
|
(2,352
|
)
| ||||
Lease interest payments
|
(48
|
)
|
(1,040
|
)
| ||||
Accretion on lease liabilities
|
629
|
1,040
| ||||||
Lease liabilities, end of period
|
$
|
3,142
|
$
|
3,142
|
(1)
|
Interest rate risk
|
(2)
|
Currency risk
|
As at March 31, 2023
| ||||||||
CAD
|
MXN
| |||||||
Cash and cash equivalents
|
$
|
27
|
$
|
1,347
| ||||
Trade and other receivables
|
45
|
1,954
| ||||||
Trade and other payables
|
2,318
|
13,832
|
CAD/USD
|
MXN/USD
| |||||||
Exchange rate
|
Exchange rate
| |||||||
+/- 10%
|
+/- 10%
| |||||||
Approximate impact on:
| ||||||||
Net loss
|
$
|
393
|
$
|
789
| ||||
Other comprehensive loss
|
27
|
(12
|
)
|
(3)
|
Price risk
|
•
|
Cash and cash equivalents: The fair value of cash equivalents is valued using quoted market prices in active markets. The Company's cash equivalents consist of money market accounts held at financial institutions which have original maturities of less than 90 days.
|
•
|
Trade and other receivables: The fair value of trade receivables from silver sales contracts that contain provisional pricing terms is determined using the appropriate quoted forward price from the exchange that is the principal active market for the particular metal. As such, there is an embedded derivative feature within trade receivables.
|
•
|
Metals contract liability: Fixed and variable deliveries of precious metals are classified and measured as financial liabilities at fair value through profit or loss determined using forward commodity pricing curves at end of the reporting period.
|
•
|
Convertible debenture and promissory note: The principal portion of the convertible debenture and promissory note are initially measured at fair value and subsequently carried at amortized cost.
|
•
|
Embedded derivatives: Revenues from the sale of metals produced from silver sales contracts since the commencement of commercial production are based on provisional prices at the time of shipment. Variations between the price recorded at the time of sale and the actual final price received from the customer are caused by changes in market prices for metals sold and result in an embedded derivative in revenues and accounts receivable.
|
•
|
Derivatives: The Company uses derivative and non-derivative instruments to manage financial risks, including commodity, interest rate, and foreign exchange risks. The use of derivative contracts is governed by documented risk management policies and approved limits. The Company does not use derivatives for speculative purposes. The fair value of the Company's derivative instruments is based on quoted market prices for similar instruments and at market prices at the valuation date.
|
•
|
Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities.
|
•
|
Level 2 inputs are quoted prices in markets that are not active, quoted prices for similar assets or liabilities in active markets, inputs other than quoted prices that are observable for the asset or liability (for example, interest rate and yield curves observable at commonly quoted intervals, forward pricing curves used to value currency and commodity contracts and volatility measurements used to value option contracts), or inputs that are derived principally from or corroborated by observable market data or other means.
|
•
|
Level 3 inputs are unobservable (supported by little or no market activity).
|
March 31,
|
December 31,
| |||||||
2023
|
2022
| |||||||
Level 1
| ||||||||
Cash and cash equivalents
|
$
|
3,393
|
$
|
1,964
| ||||
Restricted cash
|
4,190
|
4,139
| ||||||
Level 2
| ||||||||
Trade and other receivables
|
9,656
|
11,552
| ||||||
Derivative instruments
|
868
|
991
| ||||||
Metals contract liability
|
34,123
|
30,989
| ||||||
Amortized cost
| ||||||||
Pre-payment facility
|
2,250
|
-
| ||||||
Promissory note
|
2,500
|
2,500
| ||||||
Government loan
|
222
|
222
| ||||||
RoyCap convertible debenture
|
9,852
|
9,621
|
As at March 31, 2023
|
As at December 31, 2022
| |||||||||||||||||||||||||||||||||||||||
Cosalá
Operations
|
Galena
Complex
|
Relief
Canyon
|
Corporate
and Other
|
Total
|
Cosalá
Operations
|
Galena
Complex
|
Relief
Canyon
|
Corporate
and Other
|
Total
| |||||||||||||||||||||||||||||||
Cash and cash equivalents
|
$
|
1,752
|
$
|
984
|
$
|
475
|
$
|
182
|
$
|
3,393
|
$
|
317
|
$
|
204
|
$
|
717
|
$
|
726
|
$
|
1,964
| ||||||||||||||||||||
Trade and other receivables
|
5,916
|
3,694
|
1
|
45
|
9,656
|
3,921
|
7,593
|
-
|
38
|
11,552
| ||||||||||||||||||||||||||||||
Inventories
|
6,364
|
2,771
|
592
|
-
|
9,727
|
5,390
|
2,727
|
718
|
-
|
8,835
| ||||||||||||||||||||||||||||||
Prepaid expenses
|
744
|
690
|
746
|
349
|
2,529
|
745
|
1,232
|
452
|
601
|
3,030
| ||||||||||||||||||||||||||||||
Restricted cash
|
151
|
53
|
3,986
|
-
|
4,190
|
141
|
53
|
3,945
|
-
|
4,139
| ||||||||||||||||||||||||||||||
Property, plant and equipment
|
51,525
|
73,194
|
37,064
|
714
|
162,497
|
52,141
|
70,479
|
37,927
|
752
|
161,299
| ||||||||||||||||||||||||||||||
Total assets
|
$
|
66,452
|
$
|
81,386
|
$
|
42,864
|
$
|
1,290
|
$
|
191,992
|
$
|
62,655
|
$
|
82,288
|
$
|
43,759
|
$
|
2,117
|
$
|
190,819
| ||||||||||||||||||||
Trade and other payables
|
$
|
14,869
|
$
|
6,445
|
$
|
3,224
|
$
|
3,173
|
$
|
27,711
|
$
|
12,861
|
$
|
8,029
|
$
|
2,658
|
$
|
3,512
|
$
|
27,060
| ||||||||||||||||||||
Derivative instruments
|
-
|
-
|
-
|
868
|
868
|
-
|
-
|
-
|
991
|
991
| ||||||||||||||||||||||||||||||
Shares pending issuance from retraction
|
-
|
-
|
-
|
502
|
502
|
-
|
-
|
-
|
-
|
-
| ||||||||||||||||||||||||||||||
Pre-payment facility
|
-
|
2,250
|
-
|
-
|
2,250
|
-
|
-
|
-
|
-
|
-
| ||||||||||||||||||||||||||||||
Other long-term liabilities
|
-
|
1,173
|
-
|
592
|
1,765
|
-
|
1,192
|
-
|
623
|
1,815
| ||||||||||||||||||||||||||||||
Metals contract liability
|
-
|
-
|
-
|
34,123
|
34,123
|
-
|
-
|
-
|
30,989
|
30,989
| ||||||||||||||||||||||||||||||
RoyCap convertible debenture
|
-
|
-
|
-
|
9,852
|
9,852
|
-
|
-
|
-
|
9,621
|
9,621
| ||||||||||||||||||||||||||||||
Promissory note
|
-
|
-
|
-
|
2,500
|
2,500
|
-
|
-
|
-
|
2,500
|
2,500
| ||||||||||||||||||||||||||||||
Government loan
|
-
|
222
|
-
|
-
|
222
|
-
|
222
|
-
|
-
|
222
| ||||||||||||||||||||||||||||||
Post-employment benefit obligations
|
-
|
7,487
|
-
|
-
|
7,487
|
-
|
6,969
|
-
|
-
|
6,969
| ||||||||||||||||||||||||||||||
Decommissioning provision
|
2,276
|
5,941
|
4,190
|
-
|
12,407
|
2,070
|
5,603
|
4,042
|
-
|
11,715
| ||||||||||||||||||||||||||||||
Deferred tax liabilities
|
371
|
-
|
-
|
-
|
371
|
348
|
-
|
-
|
-
|
348
| ||||||||||||||||||||||||||||||
Total liabilities
|
$
|
17,516
|
$
|
23,518
|
$
|
7,414
|
$
|
51,610
|
$
|
100,058
|
$
|
15,279
|
$
|
22,015
|
$
|
6,700
|
$
|
48,236
|
$
|
92,230
|
Three-month period ended March 31, 2023
|
Three-month period ended March 31, 2022
| |||||||||||||||||||||||||||||||||||||||
Cosalá
Operations
|
Galena
Complex
|
Relief
Canyon
|
Corporate
and Other
|
Total
|
Cosalá
Operations
|
Galena Complex |
Relief
Canyon
|
Corporate
and Other
|
Total
| |||||||||||||||||||||||||||||||
Revenue
|
$
|
11,012
|
$
|
11,009
|
$
|
72
|
$
|
-
|
$
|
22,093
|
$
|
16,111
|
$
|
10,297
|
$
|
28
|
$
|
-
|
$
|
26,436
| ||||||||||||||||||||
Cost of sales
|
(7,582
|
)
|
(9,897
|
)
|
(305
|
)
|
-
|
(17,784
|
)
|
(7,859
|
)
|
(8,695
|
)
|
(65
|
)
|
-
|
(16,619
|
)
| ||||||||||||||||||||||
Depletion and amortization
|
(1,955
|
)
|
(2,150
|
)
|
(973
|
)
|
(39
|
)
|
(5,117
|
)
|
(1,763
|
)
|
(2,144
|
)
|
(1,814
|
)
|
(39
|
)
|
(5,760
|
)
| ||||||||||||||||||||
Care and maintenance costs
|
-
|
(111
|
)
|
(1,025
|
)
|
-
|
(1,136
|
)
|
-
|
(188
|
)
|
(1,135
|
)
|
-
|
(1,323
|
)
| ||||||||||||||||||||||||
Corporate general and administrative
|
-
|
-
|
-
|
(2,351
|
)
|
(2,351
|
)
|
-
|
-
|
-
|
(2,649
|
)
|
(2,649
|
)
| ||||||||||||||||||||||||||
Exploration costs
|
(119
|
)
|
(514
|
)
|
(22
|
)
|
-
|
(655
|
)
|
(434
|
)
|
(571
|
)
|
(81
|
)
|
-
|
(1,086
|
)
| ||||||||||||||||||||||
Accretion on decommissioning provision
|
(49
|
)
|
(53
|
)
|
(39
|
)
|
-
|
(141
|
)
|
(38
|
)
|
(29
|
)
|
(17
|
)
|
-
|
(84
|
)
| ||||||||||||||||||||||
Interest and financing expense
|
(65
|
)
|
(64
|
)
|
(620
|
)
|
(1,581
|
)
|
(2,330
|
)
|
(27
|
)
|
(14
|
)
|
(159
|
)
|
(827
|
)
|
(1,027
|
)
| ||||||||||||||||||||
Foreign exchange gain (loss)
|
(493
|
)
|
-
|
-
|
42
|
(451
|
)
|
62
|
-
|
-
|
648
|
710
| ||||||||||||||||||||||||||||
Loss on metals contract liability
|
-
|
-
|
-
|
(2,554
|
)
|
(2,554
|
)
|
-
|
-
|
-
|
(2,752
|
)
|
(2,752
|
)
| ||||||||||||||||||||||||||
Other gain on derivatives
|
-
|
-
|
-
|
92
|
92
|
-
|
-
|
-
|
22
|
22
| ||||||||||||||||||||||||||||||
Gain on government loan forgiveness
|
-
|
-
|
-
|
-
|
-
|
-
|
4,277
|
-
|
-
|
4,277
| ||||||||||||||||||||||||||||||
Income (loss) before income taxes
|
749
|
(1,780
|
)
|
(2,912
|
)
|
(6,391
|
)
|
(10,334
|
)
|
6,052
|
2,933
|
(3,243
|
)
|
(5,597
|
)
|
145
| ||||||||||||||||||||||||
Income tax expense
|
(190
|
)
|
-
|
-
|
-
|
(190
|
)
|
(441
|
)
|
-
|
-
|
-
|
(441
|
)
| ||||||||||||||||||||||||||
Net income (loss) for the period
|
$
|
559
|
$
|
(1,780
|
)
|
$
|
(2,912
|
)
|
$
|
(6,391
|
)
|
$
|
(10,524
|
)
|
$
|
5,611
|
$
|
2,933
|
$
|
(3,243
|
)
|
$
|
(5,597
|
)
|
$
|
(296
|
)
|
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Disclaimer
Americas Gold and Silver Corporation published this content on 15 May 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 15 May 2023 11:04:03 UTC.