Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2022 | May 09, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2022 | |
Document Transition Report | false | |
Entity File Number | 1-13627 | |
Entity Registrant Name | Golden Minerals Co | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 26-4413382 | |
Entity Address, Address Line One | 350 INDIANA STREET, SUITE 650 | |
Entity Address, City or Town | GOLDEN | |
Entity Address, State or Province | CO | |
Entity Address, Postal Zip Code | 80401 | |
City Area Code | 303 | |
Local Phone Number | 839-5060 | |
Title of 12(b) Security | Common Stock, $0.01 par value | |
Trading Symbol | AUMN | |
Security Exchange Name | NYSEAMER | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 163,927,992 | |
Entity Central Index Key | 0001011509 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Current assets | ||
Cash and cash equivalents (Note 4) | $ 11,730 | $ 12,229 |
Short-term investments (Note 4) | 91 | 67 |
Inventories, net (Note 6) | 1,963 | 1,608 |
Value added tax receivable, net (Note 7) | 1,475 | 1,290 |
Prepaid expenses and other assets (Note 5) | 1,122 | 1,145 |
Total current assets | 16,381 | 16,339 |
Property, plant and equipment, net (Note 8) | 6,563 | 6,627 |
Other long-term assets (Note 9) | 693 | 747 |
Total assets | 23,637 | 23,713 |
Current liabilities | ||
Accounts payable and other accrued liabilities (Note 10) | 4,337 | 3,509 |
Deferred revenue (Note 8) | 1,094 | 1,469 |
Other current liabilities (Note 11) | 625 | 721 |
Total current liabilities | 6,056 | 5,699 |
Asset retirement and reclamation liabilities (Note 12) | 3,639 | 3,569 |
Other long-term liabilities (Note 11) | 246 | 353 |
Total liabilities | 9,941 | 9,621 |
Commitments and contingencies (Note 19) | ||
Equity (Note 15) | ||
Common stock, $.01 par value, 350,000,000 shares authorized; 163,927,992 and 162,804,612 shares issued and outstanding respectively | 1,639 | 1,628 |
Additional paid in capital | 540,427 | 540,518 |
Accumulated deficit | (528,370) | (528,054) |
Shareholders' equity | 13,696 | 14,092 |
Total liabilities and equity | $ 23,637 | $ 23,713 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2022 | Dec. 31, 2021 |
CONDENSED CONSOLIDATED BALANCE SHEETS | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 350,000,000 | 350,000,000 |
Common stock, shares issued | 163,927,992 | 162,804,612 |
Common stock, shares outstanding | 163,927,992 | 162,804,612 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenue: | ||
Sale of metals (Note 16) | $ 7,506,000 | $ 1,778,000 |
Total revenue | 7,506,000 | 1,778,000 |
Costs and expenses: | ||
Cost of metals sold (exclusive of depreciation shown below) (Note 16) | (4,322,000) | (1,536,000) |
Exploration expense | (1,666,000) | (781,000) |
El Quevar project expense | (117,000) | (106,000) |
Velardea care and maintenance costs | (536,000) | (199,000) |
Administrative expense | (1,272,000) | (1,548,000) |
Stock based compensation | (150,000) | (429,000) |
Reclamation expense | (69,000) | (66,000) |
Other operating income (expense), net | 388,000 | 199,000 |
Depreciation and amortization | (65,000) | (155,000) |
Total costs and expenses | (7,809,000) | (4,621,000) |
Loss from operations | (303,000) | (2,843,000) |
Other income (expense): | ||
Interest and other expense, net (Note 17) | (3,000) | (360,000) |
Gain (loss) on foreign currency transactions | 50,000 | (79,000) |
Total other income (loss) | 72,000 | (387,000) |
Other income | 25,000 | 52,000 |
Loss from operations before income taxes | (231,000) | (3,230,000) |
Income taxes (Note 14) | (85,000) | 52,000 |
Net Loss | $ (316,000) | $ (3,178,000) |
Net income (loss) per common share - basic | ||
Loss | $ 0 | $ (0.02) |
Weighted average Common Stock outstanding - basic (1) | 162,511,278 | 160,442,137 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) - shares | 3 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Dec. 31, 2021 | |
Employee Stock Option | ||
Dilutive shares | 8,603,372 | 8,039,040 |
Warrant | ||
Dilutive shares | 12,803,846 | 14,303,846 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Cash flows from operating activities: | ||
Net cash from (used in) operating activities (Note 18) | $ (475) | $ (3,914) |
Cash flows from investing activities: | ||
Proceeds from sale of assets | 17 | |
Acquisitions of property, plant and equipment | (24) | (546) |
Net cash used in investing activities | (24) | (529) |
Cash flows from financing activities: | ||
Proceeds from issuance of common stock, net of issuance costs | 2,714 | |
Net cash from financing activities | 2,714 | |
Net decrease in cash and cash equivalents | (499) | (1,729) |
Cash and cash equivalents, beginning of period | 12,229 | 9,704 |
Cash and cash equivalents, end of period | $ 11,730 | $ 7,975 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Thousands | Scenario, Previously Reported [Member]Common Stock [Member] | Scenario, Previously Reported [Member]Additional Paid-in Capital [Member] | Scenario, Previously Reported [Member]Accumulated Deficit [Member] | Scenario, Previously Reported [Member] | Revision of Prior Period Error Correction AdjustmentAccumulated Deficit [Member] | Revision of Prior Period Error Correction Adjustment | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Total |
Balance at Dec. 31, 2020 | $ 1,575 | $ 536,263 | $ (525,866) | $ 11,972 | ||||||
Balance (in shares) at Dec. 31, 2020 | 157,512,652 | |||||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||
Stock compensation accrued (Note 15) | 429 | 429 | ||||||||
Shares issued under the at-the-market offering agreement, net (Note 15) | $ 19 | 1,681 | 1,700 | |||||||
Shares issued under the at-the-market offering agreement, net (Note 15) (in shares) | 1,856,960 | |||||||||
Warrants exercised | $ 31 | 984 | 1,015 | |||||||
Warrants exercised (in shares) | 3,100,000 | |||||||||
Net loss | (3,178) | (3,178) | ||||||||
Balance at Mar. 31, 2021 | $ 1,625 | 539,357 | (529,044) | 11,938 | ||||||
Balance (in shares) at Mar. 31, 2021 | 162,469,612 | |||||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||
Adjustment related to correction of immaterial error (Note 3) | $ (93) | $ (93) | ||||||||
Balance at Dec. 31, 2021 | $ 1,628 | $ 540,518 | $ (527,961) | $ 14,185 | $ 1,628 | 540,518 | (528,054) | 14,092 | ||
Balance (in shares) at Dec. 31, 2021 | 162,804,612 | 162,804,612 | ||||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||
Stock compensation accrued (Note 15) | 149 | 149 | ||||||||
KELTIP shares issued net of shares relinquished to cover withholding taxes (Note 15) | $ 11 | (240) | (229) | |||||||
KELTIP shares issued net of shares relinquished to cover withholding taxes (Note 15) (in shares) | 1,123,380 | |||||||||
Net loss | (316) | (316) | ||||||||
Balance at Mar. 31, 2022 | $ 1,639 | $ 540,427 | $ (528,370) | $ 13,696 | ||||||
Balance (in shares) at Mar. 31, 2022 | 163,927,992 |
Basis of Preparation of Financi
Basis of Preparation of Financial Statements and Nature of Operations | 3 Months Ended |
Mar. 31, 2022 | |
Basis of Preparation of Financial Statements and Nature of Operations | |
Basis of Preparation of Financial Statements and Nature of Operations | 1. Basis of Preparation of Financial Statements and Nature of Operations Golden Minerals Company (the “Company”), a Delaware corporation, has prepared these unaudited interim condensed consolidated financial statements in accordance with accounting principles generally accepted in the United States (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (“SEC”). The interim condensed consolidated financial statements do not include all disclosures required by GAAP for annual financial statements, but in the opinion of management, include all adjustments necessary for a fair presentation. Certain prior period amounts may have been reclassified to conform to current classifications. Interim results are not necessarily indicative of results for a full year; accordingly, these interim financial statements should be read in conjunction with the annual financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2021 and filed with the SEC on March 23, 2022. The Company is a mining company, holding a 100% interest in the Rodeo property in Durango State, Mexico (the “Rodeo Property”), a 100% interest in the Velardeña and Chicago precious metals mining properties and associated oxide and sulfide processing plants in the state of Durango, Mexico (the “Velardeña Properties”), a 100% interest in the El Quevar advanced exploration silver property in the province of Salta, Argentina, which is subject to the terms of the April 9, 2020 earn-in agreement (the “Earn-in Agreement”) pursuant to which Barrick Gold Corporation (“Barrick”) has the option to earn a 70% interest in the El Quevar project (see Note 8), and a diversified portfolio of precious metals and other mineral exploration properties located primarily in or near historical precious metals producing regions of Mexico, Argentina and Nevada. The Rodeo Property, Velardeña Properties and the El Quevar advanced exploration property are the Company’s only material properties. The Company is primarily focused on mining operations at the Rodeo Property as well as further studies of a restart plan for the Velardeña mine, including use of bio-oxidation to improve the payable gold recovery. The Company is also focused on (i) advancing the El Quevar exploration property in Argentina through the Earn-in Agreement with Barrick and (ii) continuing to evaluate and search for mining opportunities in North America (including Mexico) with near-term prospects of mining, and particularly for properties within reasonable haulage distances of our processing plants at the Velardeña Properties. The Company is also reviewing strategic opportunities, focusing primarily on development or operating properties in North America, including Mexico. The Company began mining activities at the Rodeo Property during December 2020 and began processing mined material from Rodeo at the Velardeña plant in January 2021. The employees at the Rodeo and Velardeña Properties, in addition to those who operate the plant that processes the Rodeo mined material, include an operations group, an administrative group and an exploration group to continue to advance the Company’s plans in Mexico and to provide oversight for corporate compliance activities as well as maintaining and safeguarding the longer-term value of the Velardeña Properties assets. The Company is considered an exploration stage issuer under the criteria set forth by the SEC under Regulation SK subpart 1300 (“S-K 1300”) as the Company has not yet demonstrated the existence of mineral reserves at any of the Company’s properties. As a result, and in accordance with GAAP for exploration stage companies, all expenditures for exploration and evaluation of the Company’s properties are expensed as incurred. As such, the Company’s financial statements may not be comparable to the financial statements of mining companies that do have proven and probable mineral reserves. Such companies would typically capitalize certain development costs including infrastructure development and mining activities to access the ore. The capitalized costs would be amortized on a units-of-production basis as reserves are mined. The amortized costs are typically allocated to inventory and eventually to cost of sales as the inventories are sold. As the Company does not have proven and probable mineral reserves, substantially all expenditures at the Company’s Rodeo property and the Velardeña Properties for mine construction activity, as well as operating costs associated with the mill facilities, and for items that do not have a readily identifiable market value apart from the mineralized material, have been expensed as incurred. Such costs are charged to cost of metals sold or project expense during the period depending on the nature of the costs. Certain of the costs may be reflected in inventories prior to the sale of the product. The Company cannot be certain that any deposits at any of its properties will ever be confirmed or converted into S-K 1300 compliant “reserves”. |
New Accounting Pronouncements
New Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2022 | |
New Accounting Pronouncements | |
New Accounting Pronouncements | 2. New Accounting Pronouncements There were no new accounting pronouncements issued during 2022 that would affect the Company or have a material impact on its consolidated financial position or results of operations. |
Correction of Immaterial Error
Correction of Immaterial Error | 3 Months Ended |
Mar. 31, 2022 | |
Correction of Immaterial Error - Income Taxes | |
Correction of Immaterial Error | 3. Correction of Immaterial Error In the first quarter 2022, the Company became aware that at December 31, 2021, it had failed to properly record a royalty tax payable in Mexico related to its Rodeo operations. The effect of correcting this error was to reduce beginning retained earnings by $93,000 at January 1, 2022, as reflected in the accompanying Condensed Consolidated Statements of Changes in Equity. The Company evaluated the materiality of the error described above from a qualitative and quantitative perspective. Based on such evaluation, the Company concluded that while the accumulation of the error was significant to the three months ended March 31, 2022, the correction would not be material to results of operations for the period ended December 31, 2021, nor did it have an effect on the trend of financial results, taking into account the requirements of the SEC Staff Accounting Bulletin No. 108, Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements (“SAB 108”). Accordingly, we are correcting the error for the December 31, 2021, Condensed Consolidated Balance Sheets included in this Form 10-Q. |
Cash and Cash Equivalents and S
Cash and Cash Equivalents and Short-Term Investments | 3 Months Ended |
Mar. 31, 2022 | |
Cash and Cash Equivalents and Short-Term Investments | |
Cash and Cash Equivalents and Short-Term Investments | 4. Cash and Cash Equivalents and Short-term Investments Of the $11.7 million reported as “Cash and cash equivalents” on the Condensed Consolidated Balance Sheets at March 31, 2022, the Company had approximately $153,000 that was unavailable for use due to a court order freezing the bank accounts of one of the Company’s subsidiaries in Mexico related to a lawsuit, as further described in Note 19. The restrictions imposed on the subsidiary’s bank accounts do not impact the Company’s ability to operate the Rodeo mine, which is held through a different Mexico subsidiary, or to continue with the Company’s evaluation plans for a potential Velardeña mine restart or move forward with any of the Company’s other exploration programs in Mexico. The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. Short-term investments include investments with maturities greater than three months, but not exceeding 12 months, or highly liquid investments with maturities greater than 12 months that the Company intends to liquidate during the next 12 months for working capital needs. The following tables summarize the Company's short-term investments at March 31, 2022 and December 31, 2021: Estimated Carrying March 31, 2022 Cost Fair Value Value (in Investments: Short-term: Trading securities $ 59 $ 91 $ 91 Total trading securities 59 91 91 Total short term $ 59 $ 91 $ 91 December 31, 2021 Investments: Short-term: Trading securities $ 59 $ 67 $ 67 Total trading securities 59 67 67 Total short term $ 59 $ 67 $ 67 Credit Risk The Company invests substantially all of its excess cash with high credit-quality financial institutions or in U.S. government or debt securities. Credit risk is the risk that a third party might fail to fulfill its performance obligations under the terms of a financial instrument. For cash and equivalents and investments, credit risk represents the carrying amount on the balance sheet. The Company mitigates credit risk for cash and equivalents and investments by placing its funds and investments with high credit-quality financial institutions, limiting the amount of exposure to each of the financial institutions, monitoring the financial condition of the financial institutions and investing only in government and corporate securities rated “investment grade” or better. The Company invests with financial institutions that maintain a net worth of not less than $1 billion and are members in good standing with the Securities Investor Protection Corporation. |
Prepaid Expenses and Other Asse
Prepaid Expenses and Other Assets | 3 Months Ended |
Mar. 31, 2022 | |
Prepaid Expenses and Other Assets | |
Prepaid Expenses and Other Assets | 5. Prepaid Expenses and Other Assets Prepaid expenses and other current assets at March 31, 2022 and December 31, 2021 consist of the following: March 31, December 31, 2022 2021 (in thousands) Prepaid insurance $ 571 $ 575 Recoupable deposits and other 551 570 $ 1,122 $ 1,145 The March 31, 2022 recoupable deposits and other includes a receivable from Barrick for reimbursement of costs of approximately $0.3 million related to the Earn-in Agreement (see Note 8). |
Inventories, net
Inventories, net | 3 Months Ended |
Mar. 31, 2022 | |
Inventories, net | |
Inventories, net | 6. Inventories, net Inventories at the Rodeo operation at March 31, 2022 and December 31, 2021 consist of the following: March 31, December 31, 2022 2021 (in thousands) Doré inventory $ 506 $ 481 In-process inventory 815 668 Material and supplies 642 459 $ 1,963 $ 1,608 Doré and in-process inventories, recorded at book value, include $24,000 of capitalized depreciation and amortization. Doré inventory at March 31, 2022 consists of 375 payable ounces of gold and 1,379 payable ounces of silver. Doré inventory at December 31, 2021 consists of 626 payable ounces of gold and 1,958 payable ounces of silver and includes approximately $21,000 of capitalized depreciation and amortization. The materials and supplies inventories at March 31, 2022 and December 31, 2021 are primarily related to the Rodeo operation and are reduced by a $0.3 million obsolescence reserve. |
Value added tax receivable, net
Value added tax receivable, net | 3 Months Ended |
Mar. 31, 2022 | |
Value added tax receivable, net | |
Value added tax receivable, net | 7. Value added tax receivable, net At March 31, 2022, the Company recorded a net value added tax (“VAT”) paid in Mexico of $1.5 million, related to the Velardeña Properties and the Rodeo operation, as a recoverable asset, which appears in “ Value added tax receivable, net” The Company has also paid VAT in Mexico as well as other countries, primarily related to exploration projects, which has been charged to expense as incurred because of the uncertainty of recoverability. |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 3 Months Ended |
Mar. 31, 2022 | |
Property, Plant and Equipment, Net | |
Property, Plant and Equipment, Net | 8. Property, Plant and Equipment, Net March 31, December 31, 2022 2021 (in thousands) Mineral properties $ 9,353 $ 9,353 Exploration properties 2,418 2,418 Royalty properties 200 200 Buildings 3,806 3,806 Mining equipment and machinery 17,499 17,477 Other furniture and equipment 1,331 1,328 Asset retirement cost 1,057 1,057 35,664 35,639 Less: Accumulated depreciation and amortization (29,101) (29,012) $ 6,563 $ 6,627 El Quevar Earn-In Agreement At March 31, 2022 Barrick has continued with exploration activities, per the terms of the Earn-in Agreement, at the Company’s El Quevar project located in the Salta Province of Argentina. As of March 31, 2022, Barrick had met the $1 million in work expenditures that would allow them to withdraw from the Earn-in Agreement. Sale of Santa Maria Property The Company recorded a $1.5 million payment it received from Fabled in December 2021, to Deferred revenue on the accompanying Condensed Consolidated Balance Sheets and is amortizing the amount to income over a one-year period. Upon receipt of each cash payment, the agreement imposes a performance obligation on the Company to provide Fabled an exclusive right to the Santa Maria Properties to conduct exploration and mining activities during the period from receipt of the payment until the due date of the next required payment. Accordingly, the Company has determined that its performance obligation for each option payment received is satisfied over time. At March 31, 2022, there is a remaining unamortized balance of approximately $1.1 million. |
Other Long-Term Assets
Other Long-Term Assets | 3 Months Ended |
Mar. 31, 2022 | |
Other Long-Term Assets | |
Other Long-Term Assets | 9. Other Long-Term Assets Other long-term assets at March 31, 2022 and December 31, 2021 consist of the following: March 31, December 31, 2022 2021 (in thousands) Deferred offering costs $ 70 $ 70 Right of use assets 623 677 $ 693 $ 747 The deferred offering costs at March 31, 2022 and December 31, 2021 are associated with the ATM Agreement (see Note 15). The right of use assets at March 31, 2022 include approximately $0.4 million related to certain office leases and $0.2 million related to a mining equipment lease at our Rodeo Property. The right of use assets at December 31, 2021 include approximately $0.4 million related to certain office leases and $0.3 million related to a mining equipment lease at our Rodeo Property. The Company took possession of new office space and began a new long-term lease for its principal headquarters office with an effective commencement date of June 1, 2019. The new office lease will expire five years and eight The Company also has long-term office leases in Mexico and Argentina that expired in 2019 and recorded a combined lease liability of approximately $45,000 and combined right of use asset of approximately $45,000 relating to both of those leases at January 1, 2019. In November 2019, the Company renewed its Mexican office lease for four years and recorded a right of use asset and lease liability lease liability lease liability The lease liabilities noted above have been included in “ Other liabilities |
Accounts Payable and Other Accr
Accounts Payable and Other Accrued Liabilities | 3 Months Ended |
Mar. 31, 2022 | |
Accounts Payable and Other Accrued Liabilities | |
Accounts Payable and Other Accrued Liabilities | 10. Accounts Payable and Other Accrued Liabilities The Company’s accounts payable and other accrued liabilities consist of the following: March 31, December 31, 2022 2021 (in thousands) Accounts payable and accruals $ 2,449 $ 1,079 Accrued employee compensation and benefits 1,803 2,009 Income taxes payable 85 421 $ 4,337 $ 3,509 March 31, 2022 Accounts payable and accruals at March 31, 2022 are primarily related to amounts due to contractors and suppliers, denominated in US dollars, in the amounts of $1.8 million related to the Company’s Velardeña Properties and Rodeo operation and $0.6 million related to exploration and corporate administrative activities. Accrued employee compensation and benefits at March 31, 2022 consist of $0.4 million of accrued vacation payable and $1.4 million related to withholding taxes and benefits payable. Included in the $1.8 million of accrued employee compensation and benefits is $1.3 million related to activities at the Velardeña Properties and Rodeo operation. December 31, 2021 The income taxes payable are related to operations at the Company’s Mexican subsidiaries (see Note 14). |
Other Liabilities
Other Liabilities | 3 Months Ended |
Mar. 31, 2022 | |
Other Liabilities | |
Other Liabilities | 11. Other Liabilities Other Current Liabilities March 31, December 31, 2022 2021 (in thousands) Premium financing $ 248 $ 394 Office lease liability 171 120 Mining equipment lease liability 206 207 $ 625 $ 721 The premium financing consists of the remaining balance, plus accrued interest, related to premiums payable for the Company’s directors and officers insurance. In November 2021 the Company financed approximately $0.4 million of its premium for directors and officers’ insurance. The premium is payable in eight equal payments at an interest rate of 4.0% per annum. The office lease liability is related to lease liabilities for office space at the Company’s principal headquarters in Golden, Colorado and in Mexico and Argentina. The mining equipment lease liability is related to equipment used by the contract miner at our Rodeo property (see Note 9). Other Long-Term Liabilities Other long-term liabilities of $0.2 million for the period ended March 31, 2022, is all related to lease liabilities for office space at the Company’s principal headquarters in Golden Colorado and in Mexico and Argentina (see Note 9). Other long-term liabilities of $0.4 million for the period ended December 31, 2021, are primarily related to lease liabilities for office space at the Company’s principal headquarters in Golden, Colorado and in Mexico and Argentina (see Note 9). Also included in other long-term liabilities is approximately $19,000 of deferred income taxes payable (see Note 14). |
Asset Retirement Obligation and
Asset Retirement Obligation and Reclamation Liabilities | 3 Months Ended |
Mar. 31, 2022 | |
Asset Retirement Obligation and Reclamation Liabilities | |
Asset Retirement and Reclamation Liabilities | 12. Asset Retirement Obligation and Reclamation Liabilities The Company retained the services of a mining engineering firm to prepare a detailed closure plan for the Velardeña Properties. The plan was completed during the second quarter 2012 and indicated that the Company had an ARO and offsetting ARC of approximately $1.9 million at that time. In the fourth quarter of 2021, due to the current operating success at Rodeo and the potential of a restart of operations at the Velardeña mine based on recent technical studies and an updated PEA that would further delay the start of any reclamation activity, the Company retained the services of an environmental consultant to review the closure plan to determine the appropriateness of the scope and cost estimates used in the calculation of the ARO. The consultant confirmed the adequacy of the scope of the closure plan and provided certain adjustments to cost estimates. In addition, the timing for the incurrence of reclamation activity was extended approximately 7 years to take into account the likelihood of a restart of operations at the Velardeña mine that would further delay the start of any reclamation activity. The Company will continue to accrue additional estimated ARO amounts based on an asset retirement plan as activities requiring future reclamation and remediation occur. During the first three months of 2022, the Company recognized approximately $69,000 of accretion expense. The following table summarizes activity in the Velardeña Properties ARO: Quarter Ended March 31, 2022 2021 (in thousands) Beginning balance $ 3,561 $ 3,156 Changes in estimates, and other — (86) Accretion expense 70 66 Ending balance $ 3,631 $ 3,136 The change in estimates of the ARO recorded during 2021 is primarily the result of changes in assumptions related to inflation factors used in the determination of future cash flows. The asset retirement obligation and reclamation liability set forth on the accompanying Condensed Consolidated Balance Sheets at March 31, 2022 and December 31, 2021 also includes a nominal amount of reclamation liability related to activities at the El Quevar project in Argentina. Environmental costs at the Rodeo Property will be expensed as incurred. There were no environmental costs incurred at the Rodeo Property for the three months ended March 31, 2022 or March 31, 2021. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Measurements | |
Fair Value Measurements | 13. Fair Value Measurements Financial assets and liabilities and nonfinancial assets and liabilities are measured at fair value under a framework of a fair value hierarchy which prioritizes the inputs into valuation techniques used to measure fair value into three broad levels. This hierarchy gives the highest priority to quoted prices (unadjusted) in active markets and the lowest priority to unobservable inputs. Further, financial assets and liabilities should be classified by level in their entirety based upon the lowest level of input that was significant to the fair value measurement. The three levels of the fair value hierarchy per ASC 820 are as follows: Level 1 Level 2 Level 3 The following table summarizes the Company’s financial assets and liabilities at fair value on a recurring basis at March 31, 2022 and December 31, 2021, by respective level of the fair value hierarchy: Level 1 Level 2 Level 3 Total (in thousands) At March 31, 2022 Assets: Cash and cash equivalents $ 11,730 $ — $ — $ 11,730 Short-term investments 91 — — 91 $ 11,821 $ — $ — $ 11,821 At December 31, 2021 Assets: Cash and cash equivalents $ 12,229 $ — $ — $ 12,229 Short-term investments 67 — — 67 $ 12,296 $ — $ — $ 12,296 The Company’s short-term investments consist of the common stock in Fabled and are classified within Level 1 of the fair value hierarchy (see Note 4). At March 31, 2022 and December 31, 2021, the Company did not have any financial assets or liabilities classified within Level 2 or Level 3 of the fair value hierarchy. Non-recurring Fair Value Measurements There were no non-recurring fair value measurements at March 31, 2022 or December 31, 2021. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2022 | |
Income Taxes | |
Income Taxes | 14. Income Taxes The Company accounts for income taxes in accordance with the provisions of ASC 740, “Income Taxes” (“ASC 740”), on a tax jurisdictional basis. In accordance with ASC 740, the interim provision for taxes was calculated by using the estimated annual effective tax rate applied to the year-to-date income or losses on a jurisdictional basis. Although the Company has generated ordinary losses on a year-to-date basis, the Company has projected taxable income by year end in certain tax jurisdictions, for which an annual effective tax rate has been calculated. For the three months ended March 31, 2022, the Company recognized $85,000 of income tax expense, of which $68,000 represented a current tax expense and $17,000 was a deferred tax expense. In accordance with ASC 740, the Company presents deferred tax assets net of its deferred tax liabilities on a tax jurisdictional basis on its Condensed Consolidated Balance Sheets. As of March 31, 2022, the Company had no net deferred tax assets and a net deferred tax liability of $36,000 on the Condensed Consolidated Balance Sheets, primarily related to the 7.5% special mining tax in Mexico. As of December 31, 2021, the Company had no net deferred tax assets and a net deferred tax liability of $19,000, primarily related to the 7.5% special mining tax in Mexico. The Company, a Delaware corporation, and its subsidiaries file tax returns in the United States and in various foreign jurisdictions. The tax rules and regulations in these countries are highly complex and subject to interpretation. The Company’s income tax returns are subject to examination by the relevant taxing authorities and in connection with such examinations, disputes can arise with the taxing authorities over the interpretation or application of certain tax rules within the country involved. In accordance with ASC 740, the Company identifies and evaluates uncertain tax positions, and recognizes the impact of uncertain tax positions for which there is less than a more-likely-than-not probability of the position being upheld upon review by the relevant taxing authority. Such positions are deemed to be “unrecognized tax benefits” which require additional disclosure and recognition of a liability within the financial statements. The Company had no unrecognized tax benefits at March 31, 2022 or December 31, 2021. |
Equity
Equity | 3 Months Ended |
Mar. 31, 2022 | |
Equity | |
Equity | 15. Equity Commitment purchase agreement On May 9, 2018, the Company entered into a commitment purchase agreement (the “Commitment Purchase Agreement”) with Lincoln Park Capital (“LPC”), pursuant to which the Company, at its sole discretion, had the right to sell up to $10.0 million of the Company’s common stock to LPC, subject to certain limitations and conditions contained in the Commitment Purchase Agreement (the “LPC Program”). The Company closed on the Commitment Purchase Agreement in July 2018. Under the terms of the agreement, the LPC Program expired as of June 30, 2021. In anticipation of the June 2021 expiration of the agreement, the Company wrote off the remaining balance of $353,000 of deferred LPC Program costs to “ Interest and Other Expense At the Market Offering Agreement In December 2016, the Company entered into an at-the-market offering agreement (as amended from time to time, the “ATM Agreement”) with H. C. Wainwright & Co., LLC (“Wainwright”), under which the Company may, from time to time, issue and sell shares of the Company’s common stock through Wainwright as sales manager in an at-the-market offering under a prospectus supplement for aggregate sales proceeds of up to $5.0 million (the “ATM Program”) or a maximum of 10 million shares. On November 23, 2018, the Company entered into a second amendment of the ATM Agreement, extending the agreement until the earlier of December 20, 2020, or the date that the ATM Agreement is terminated in accordance with the terms therein. On December 11, 2020 the Company entered into a third amendment of the ATM Agreement further extending the agreement so that it will remain in full force and effect until such time as the ATM Agreement is terminated in accordance with certain other terms therein or upon mutual agreement by the parties, and to reflect a new registration statement on Form S-3 (No. 333-249218). The common stock will be distributed at the market prices prevailing at the time of sale. As a result, prices of the common stock sold under the ATM Program may vary as between purchasers and during the period of distribution. The ATM Agreement provides that Wainwright will be entitled to compensation for its services at a commission rate of 2.0% of the gross sales price per share of common stock sold. During the first three months of 2022, the Company did not sell shares of common stock under the ATM Program. At March 31, 2022, there was a remaining balance of $70,000 of deferred ATM Program costs, recorded in “ Prepaid expenses and other assets During the first three months of 2021, the Company sold an aggregate of 1,856,960 shares of common stock under the ATM Program at an average price of $0.97 per share of common stock for net proceeds of approximately $1.8 million. Also, during the first three months of 2021, approximately $57,000 of deferred ATM Program costs were amortized. The Company has not sold any shares of common stock under the ATM after March 31, 2021. There is currently approximately $2.2 million remaining available for issuance under the ATM Program based on a prospectus supplement filed with SEC on December 11, 2020. Equity Incentive Plans Under the Company’s Amended and Restated 2009 Equity Incentive Plan (the “Equity Plan”), awards of the Company’s common stock may be made to officers, directors, employees, consultants and agents of the Company and its subsidiaries. The Company recognizes stock-based compensation costs using a graded vesting attribution method whereby costs are recognized over the requisite service period for each separately vesting portion of the award. The following table summarizes the status of the Company’s restricted stock grants issued under the Equity Plan at March 31, 2022 and the changes during the three months then ended: Weighted Average Grant Date Fair Number of Value Per Restricted Stock Grants Shares Share Outstanding at beginning of period 293,334 $ 0.61 Granted during the period — — Restrictions lifted during the period — — Forfeited during the period — — Outstanding at end of period 293,334 $ 0.61 For the three months ended March 31, 2022, the Company recognized approximately $26,000 of stock compensation expense related to the restricted stock grants. The Company expects to recognize additional stock compensation expense related to these awards of approximately $66,000 over the next 18 months. Also, pursuant to the Equity Plan, the Company’s Board of Directors adopted the Non-Employee Director’s Deferred Compensation and Equity Award Plan (the “Deferred Compensation Plan”). Pursuant to the Deferred Compensation Plan, non-employee directors receive a portion of their compensation in the form of Restricted Stock Units (“RSUs”) issued under the Equity Plan. The RSUs generally vest on the first anniversary of the grant and each vested RSU entitles the director to receive one unrestricted share of common stock upon termination of the director’s board service. The following table summarizes the status of the RSU grants issued to Directors of the Company under the Deferred Compensation Plan at March 31, 2022 and the changes during the three months then ended: Weighted Average Grant Date Fair Number of Value Per Restricted Stock Units Shares Share Outstanding at December 31, 2021 4,010,038 $ 0.69 Granted during the period — — Restrictions lifted during the period — — Forfeited during the period — — Outstanding March 31, 2022 4,010,038 $ 0.69 For the three months ended March 31, 2022, the Company recognized approximately $56,000 of stock compensation expense related to the RSU grants. The Company expects to recognize additional stock compensation expense related to the RSU grants of approximately $32,000 over the next 9 months. Key Employee Long-Term Incentive Plan The Company’s 2013 Key Employee Long-Term Incentive Plan (the “KELTIP”) provides for the grant of units (“KELTIP Units”) to certain officers and key employees of the Company, which units will, once vested, entitle such officers and employees to receive an amount, in cash or in Company common stock (such method of settlement at the sole discretion of the Board of Directors) issued pursuant to the Company’s Equity Plan, measured generally by the price of the Company’s common stock on the settlement date. KELTIP Units are not an actual equity interest in the Company and are solely unfunded and unsecured obligations of the Company that are not transferable and do not provide the holder with any stockholder rights. Payment of the settlement amount of vested KELTIP Units is deferred generally until the earlier of a change of control of the Company or the date the grantee ceases to serve as an officer or employee of the Company. The Company intends to settle all the KELTIP Units in common stock of the Company, an option that the Board of Directors holds in its sole discretion so long as sufficient shares remain available under the Equity Plan. As a result, all outstanding KELTIP Units are recorded in equity at March 31, 2022 and December 31, 2021. During the three months ended March 31, 2022, the Company granted 450,000 KELTIP Units to a new officer of the Company. One third of the KELTIP Units granted vested on the grant date with the remaining KELTIP Units vesting one third on each of the first and second anniversaries of the grant. For the three months ended March 31, 2022, the Company recognized approximately $69,000 of stock compensation expense related to the grant and expects to recognize approximately $102,000 of additional expense over the next nine months. Also, during the three months ended March 31, 2022, an officer of the Company retired and was issued 1,123,380 shares of the Company’s common stock net of 456,620 shares relinquished to cover withholding taxes. The shares issued were in settlement of previously granted KELTIP Units. During the three months ended March 31, 2021, the Company granted 480,000 KELTIP Units to two officers of the Company and recognized approximately $0.4 million of stock compensation expense related to the grants. There were 4,200,000 and 5,330,000 KELTIP Units outstanding at March 31, 2022 and December 31, 2021, respectively. Common stock warrants The following table summarizes the status of the Company’s common stock warrants at December 31, 2021 and March 31, 2022, and the changes during the three months then ended: Weighted Number of Average Exercise Underlying Price Per Common Stock Warrants Shares Share Outstanding at December 31, 2021 12,803,846 0.34 Granted during the period — Exercised during period — Expired during period — Outstanding March 31, 2022 12,803,846 $ 0.34 The warrants relate to prior registered offerings and private placements of the Company’s stock. All outstanding warrants are recorded in equity at March 31, 2022 and December 31, 2021 following the guidance established by ASC Topic 815-40. The Company’s warrants allow for the potential settlement in cash if certain extraordinary events are effected by the Company, including a 50% or greater change of control in the Company’s common stock. Since those events have been deemed to be within the Company’s control, the Company continues to apply equity treatment for these warrants. |
Sale of Metals and Related Cost
Sale of Metals and Related Costs | 3 Months Ended |
Mar. 31, 2022 | |
Sale of Metals and Related Costs | |
Sale of Metals and Related Costs | 16. Sale of Metals and Related Costs During the three months ended March 31, 2022, the Company sold gold and silver contained in doré bars related to the Rodeo operation and recorded revenue of approximately $7.5 million and related costs of approximately $4.3 million. The gold and silver contained in the doré bars were sold to one customer, a metals refinery located in the United States. Under the terms of the Company’s agreement with its customer, title passes and revenue is recognized by the Company when the contractual performance obligations of the parties are completed, generally at the time a provisional or final payment is made. A provisional payment for approximately 95% of the contained gold and silver is made generally within 10 During the three months ended March 31, 2021, the Company sold gold and silver contained in doré bars related to the Rodeo operation and recorded revenue of approximately $1.8 million and related costs of approximately $1.5 million. Costs related to the sale of metals products include direct and indirect costs incurred to mine, process and market the products. |
Interest and Other Expense, Net
Interest and Other Expense, Net | 3 Months Ended |
Mar. 31, 2022 | |
Interest and Other Expense, Net | |
Interest and Other Expense, Net | 17. Interest and Other Expense, Net For the three months ended March 31, 2022, the Company recognized a nominal amount of Interest and Other Expense For the three months ended March 31, 2021, the Company recognized approximately $0.4 million of Interest and Other Expense |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 3 Months Ended |
Mar. 31, 2022 | |
Supplemental Cash Flow Information | |
Supplemental Cash Flow Information | 18. Supplemental Cash Flow Information The following table reconciles net loss for the period to cash used in operations: Quarter Ended March 31, 2022 2021 (in thousands) Cash flows from operating activities: Net loss $ (316) $ (3,178) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation and amortization 65 155 Accretion of asset retirement obligation 69 66 Gain on trading securities (25) (52) Write off of deferred financing costs — 352 Asset write off — 54 Gain on sale of assets — (17) Stock compensation 150 429 Changes in operating assets and liabilities from continuing operations: Decrease in lease receivable — 72 Decrease (increase) in prepaid expenses and other assets 23 (478) Increase in inventories (331) (1,500) Increase in value added tax recoverable, net (185) — Decrease in other long-term assets 54 — Decrease in reclamation liability — (87) Increase in accounts payable and accrued liabilities 599 669 Decrease in other current liabilities (96) (124) Decrease in deferred revenue (374) (140) Decrease in other long-term liabilities (108) (135) Net cash used in operating activities $ (475) $ (3,914) The following table sets forth supplemental cash flow information and non-cash transactions: Quarter Ended March 31, 2022 2021 (in thousands) Supplemental disclosure: Interest paid $ — $ 5 Income taxes paid $ 310 $ — Supplemental disclosure of non-cash transactions: Deferred equity offering costs amortized $ — $ 57 Deferred equity offering costs written off $ — $ 352 Shares withheld for accrued tax withholding $ 229 $ — |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies | |
Commitments and Contingencies | 19. Commitments and Contingencies During April 2021, the Company became aware of a lawsuit in Mexico against one of the Company’s Mexican subsidiaries, Minera William, S.A. de C.V. (“Minera William”). The plaintiff in the matter is Unifin Financiera, S.A.B de C.V. (“Unifin”). The lawsuit was assigned to the Fifth Specialized Commercial District Court. Although the Company has knowledge of the existence and content of the lawsuit filed by Unifin, the Court has not officially served Minera William with the complaint as of the date of this report. Unifin is alleging that a representative of Minera William signed certain documents in July 2011 purporting to bind Minera William as a guarantor of payment obligations owed by a third party to Unifin in connection with that third party’s acquisition of certain drilling equipment. At the time the documentation was allegedly signed, Minera Williams was a subsidiary of ECU Silver Mining prior to the Company’s acquisition of ECU in September 2011. As a preemptive measure, Unifin has obtained a preliminary court order freezing Minera William’s bank accounts in Mexico, which has limited the Company’s and Minera William’s ability to access approximately US$153,000 according to current currency exchange rates. Notwithstanding this action, the restrictions imposed on Minera Williams’ bank accounts do not impact the Company’s ability to operate the Rodeo mine, which is held through a different Mexico subsidiary, or continue with the Company’s evaluation plans for a potential Velardeña mine restart or move forward with any of the Company’s other exploration programs in Mexico. Unifin is seeking recovery for as much as US$12.5 million. The Company believes there is no basis for this claim and will defend itself if and when the Company is formally served with notice of the lawsuit. As such, the Company has not accrued an amount for this matter in its Condensed Consolidated Balance Sheets or Statements of Operations as of March 31, 2022. At December 31, 2021, the Company had no gain |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2022 | |
Segment Information | |
Segment Information | 20. Segment Information The Company’s sole activity is the mining, construction and exploration of mineral properties containing precious metals. The Company’s reportable segments are based upon the Company’s revenue producing activities and cash consuming activities. The Company reports two segments, one for its revenue producing activities in Mexico, which includes both the Velardeña Properties and the Rodeo Property, and the other comprised of non-revenue producing activities, including exploration, construction and general and administrative activities. Intercompany revenue and expense amounts have been eliminated within each segment in order to report on the basis that management uses internally for evaluating segment performance. The financial information relating to the Company’s segments is as follows: Exploration, El Costs Depreciation, Quevar, Velardeña Three Months Ended Applicable Depletion and and Administrative Pre-Tax (gain) Capital March 31, 2022 Revenue to Sales Amortization Expense loss Total Assets Expenditures Mexico Operations $ 7,506 $ 4,322 $ 53 $ 1,819 $ (1,683) $ 9,405 $ 23 Corporate, Exploration and Other — — 12 1,772 1,914 14,232 1 $ 7,506 $ 4,322 $ 65 $ 3,591 $ 231 $ 23,637 $ 24 Three Months Ended March 31, 2021 Mexico Operations $ 1,778 $ 1,536 $ 109 $ 659 $ 452 $ 7,917 $ 541 Corporate, Exploration and Other — — 46 1,975 2,778 10,908 5 $ 1,778 $ 1,536 $ 155 $ 2,634 $ 3,230 $ 18,825 $ 546 |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2022 | |
Related Party Transactions | |
Related Party Transactions | 21. Related Party Transactions The following sets forth information regarding transactions between the Company (and its subsidiaries) and its officers, directors and significant stockholders. Administrative Services, Lease of Equipment: Beginning in August 2016, the Company began providing limited accounting and other administrative services to Minera Indé, an indirect subsidiary of Sentient. At March 31, 2022, Sentient, through the Sentient executive funds, holds approximately 23% of the Company’s 162.8 million shares of issued and outstanding Exploration expense |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2022 | |
Subsequent Events | |
Subsequent Events | 22. Subsequent Events Subsequent to March 31, 2021, in May, 2022, the Company granted 500,000 KELTIP units to a new officer and will recognize approximately $30,000 of stock compensation expense in the second quarter 2022. |
New Accounting Pronouncements (
New Accounting Pronouncements (Policies) | 3 Months Ended |
Mar. 31, 2022 | |
New Accounting Pronouncements | |
New Accounting Pronouncements | There were no new accounting pronouncements issued during 2022 that would affect the Company or have a material impact on its consolidated financial position or results of operations. |
Cash and Cash Equivalents and_2
Cash and Cash Equivalents and Short-Term Investments (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Cash and Cash Equivalents and Short-Term Investments | |
Schedule of short term-investments | Estimated Carrying March 31, 2022 Cost Fair Value Value (in Investments: Short-term: Trading securities $ 59 $ 91 $ 91 Total trading securities 59 91 91 Total short term $ 59 $ 91 $ 91 December 31, 2021 Investments: Short-term: Trading securities $ 59 $ 67 $ 67 Total trading securities 59 67 67 Total short term $ 59 $ 67 $ 67 |
Prepaid Expenses and Other As_2
Prepaid Expenses and Other Assets (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Prepaid Expenses and Other Assets | |
Schedule of prepaid expenses and other current assets | March 31, December 31, 2022 2021 (in thousands) Prepaid insurance $ 571 $ 575 Recoupable deposits and other 551 570 $ 1,122 $ 1,145 |
Inventories, net (Tables)
Inventories, net (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Inventories, net | |
Schedule of inventories at the Rodeo operation | March 31, December 31, 2022 2021 (in thousands) Doré inventory $ 506 $ 481 In-process inventory 815 668 Material and supplies 642 459 $ 1,963 $ 1,608 |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Property, Plant and Equipment, Net | |
Schedule of components of property, plant and equipment | March 31, December 31, 2022 2021 (in thousands) Mineral properties $ 9,353 $ 9,353 Exploration properties 2,418 2,418 Royalty properties 200 200 Buildings 3,806 3,806 Mining equipment and machinery 17,499 17,477 Other furniture and equipment 1,331 1,328 Asset retirement cost 1,057 1,057 35,664 35,639 Less: Accumulated depreciation and amortization (29,101) (29,012) $ 6,563 $ 6,627 |
Other Long-Term Assets (Tables)
Other Long-Term Assets (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Other Long-Term Assets | |
Schedule of Other long-term assets | March 31, December 31, 2022 2021 (in thousands) Deferred offering costs $ 70 $ 70 Right of use assets 623 677 $ 693 $ 747 |
Accounts Payable and Other Ac_2
Accounts Payable and Other Accrued Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Accounts Payable and Other Accrued Liabilities | |
Schedule of accounts payable and other accrued liabilities | March 31, December 31, 2022 2021 (in thousands) Accounts payable and accruals $ 2,449 $ 1,079 Accrued employee compensation and benefits 1,803 2,009 Income taxes payable 85 421 $ 4,337 $ 3,509 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Other Liabilities, Current | |
Schedule of other current liabilities | March 31, December 31, 2022 2021 (in thousands) Premium financing $ 248 $ 394 Office lease liability 171 120 Mining equipment lease liability 206 207 $ 625 $ 721 |
Asset Retirement Obligation a_2
Asset Retirement Obligation and Reclamation Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Asset Retirement Obligation and Reclamation Liabilities | |
Summary of activity in the Velardena Properties ARO | Quarter Ended March 31, 2022 2021 (in thousands) Beginning balance $ 3,561 $ 3,156 Changes in estimates, and other — (86) Accretion expense 70 66 Ending balance $ 3,631 $ 3,136 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Measurements | |
Schedule of financial assets and liabilities at fair value | Level 1 Level 2 Level 3 Total (in thousands) At March 31, 2022 Assets: Cash and cash equivalents $ 11,730 $ — $ — $ 11,730 Short-term investments 91 — — 91 $ 11,821 $ — $ — $ 11,821 At December 31, 2021 Assets: Cash and cash equivalents $ 12,229 $ — $ — $ 12,229 Short-term investments 67 — — 67 $ 12,296 $ — $ — $ 12,296 |
Equity (Tables)
Equity (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Equity | |
Schedule of status of the restricted stock grants issued under the Equity Plan | Weighted Average Grant Date Fair Number of Value Per Restricted Stock Grants Shares Share Outstanding at beginning of period 293,334 $ 0.61 Granted during the period — — Restrictions lifted during the period — — Forfeited during the period — — Outstanding at end of period 293,334 $ 0.61 |
Schedule of restricted stock units | Weighted Average Grant Date Fair Number of Value Per Restricted Stock Units Shares Share Outstanding at December 31, 2021 4,010,038 $ 0.69 Granted during the period — — Restrictions lifted during the period — — Forfeited during the period — — Outstanding March 31, 2022 4,010,038 $ 0.69 |
Summary of the status of the Company's common stock warrants | Weighted Number of Average Exercise Underlying Price Per Common Stock Warrants Shares Share Outstanding at December 31, 2021 12,803,846 0.34 Granted during the period — Exercised during period — Expired during period — Outstanding March 31, 2022 12,803,846 $ 0.34 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Supplemental Cash Flow Information | |
Schedule of reconciliation of net loss for the period to cash used in operations | Quarter Ended March 31, 2022 2021 (in thousands) Cash flows from operating activities: Net loss $ (316) $ (3,178) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation and amortization 65 155 Accretion of asset retirement obligation 69 66 Gain on trading securities (25) (52) Write off of deferred financing costs — 352 Asset write off — 54 Gain on sale of assets — (17) Stock compensation 150 429 Changes in operating assets and liabilities from continuing operations: Decrease in lease receivable — 72 Decrease (increase) in prepaid expenses and other assets 23 (478) Increase in inventories (331) (1,500) Increase in value added tax recoverable, net (185) — Decrease in other long-term assets 54 — Decrease in reclamation liability — (87) Increase in accounts payable and accrued liabilities 599 669 Decrease in other current liabilities (96) (124) Decrease in deferred revenue (374) (140) Decrease in other long-term liabilities (108) (135) Net cash used in operating activities $ (475) $ (3,914) Quarter Ended March 31, 2022 2021 (in thousands) Supplemental disclosure: Interest paid $ — $ 5 Income taxes paid $ 310 $ — Supplemental disclosure of non-cash transactions: Deferred equity offering costs amortized $ — $ 57 Deferred equity offering costs written off $ — $ 352 Shares withheld for accrued tax withholding $ 229 $ — |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Segment Information | |
Schedule of financial information relating to discontinued operations and continuing operations | Exploration, El Costs Depreciation, Quevar, Velardeña Three Months Ended Applicable Depletion and and Administrative Pre-Tax (gain) Capital March 31, 2022 Revenue to Sales Amortization Expense loss Total Assets Expenditures Mexico Operations $ 7,506 $ 4,322 $ 53 $ 1,819 $ (1,683) $ 9,405 $ 23 Corporate, Exploration and Other — — 12 1,772 1,914 14,232 1 $ 7,506 $ 4,322 $ 65 $ 3,591 $ 231 $ 23,637 $ 24 Three Months Ended March 31, 2021 Mexico Operations $ 1,778 $ 1,536 $ 109 $ 659 $ 452 $ 7,917 $ 541 Corporate, Exploration and Other — — 46 1,975 2,778 10,908 5 $ 1,778 $ 1,536 $ 155 $ 2,634 $ 3,230 $ 18,825 $ 546 |
Basis of Preparation of Finan_2
Basis of Preparation of Financial Statements and Nature of Operations (Details) | Mar. 31, 2022 | Apr. 09, 2020 |
Rodeo Property | ||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||
Investment ownership percentage | 100.00% | |
El Quevar Project [Member] | ||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||
Investment ownership percentage | 100.00% | |
Velardena Properties [Member] | ||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||
Investment ownership percentage | 100.00% | |
Barrick Earn-In Agreement | El Quevar Project [Member] | ||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||
Investment ownership percentage | 70.00% |
Correction of Immaterial Error
Correction of Immaterial Error (Details) - USD ($) | Mar. 31, 2022 | Jan. 01, 2022 | Dec. 31, 2021 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Accumulated deficit | $ (528,370,000) | $ (528,054,000) | |
Revision of Prior Period Error Correction Adjustment | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Accumulated deficit | $ 93,000 |
Cash and Cash Equivalents and_3
Cash and Cash Equivalents and Short-term Investments (Details) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Dec. 31, 2021 | |
Cash and Cash Equivalents, at Carrying Value | $ 11,730,000 | $ 12,229,000 |
Financial institutions minimum net worth | 1,000,000,000 | |
Trading securities, cost | 59,000 | 59,000 |
Total short term, cost | 59,000 | 59,000 |
Total short term | 91,000 | 67,000 |
Cash and cash equivalent, frozen bank balance | 153,000 | |
Trading securities | ||
Trading securities, cost | $ 59,000 | $ 59,000 |
Sale of Santa Maria Property | Options Agreement | Fabled Copper Corp. | ||
Consideration Received in Shares | shares | 1,000,000 | |
Percentage of interest claims | 100.00% | |
Sale of Santa Maria Property | Options Agreement | Fabled Silver Gold Corp. | ||
Consideration Received in Shares | shares | 200,000 | |
Estimate of Fair Value Measurement [Member] | ||
Trading securities | $ 91,000 | $ 67,000 |
Total short term | 91,000 | 67,000 |
Estimate of Fair Value Measurement [Member] | Trading securities | ||
Trading securities | 91,000 | 67,000 |
Reported Value Measurement [Member] | ||
Trading securities | 91,000 | 67,000 |
Total short term | 91,000 | 67,000 |
Reported Value Measurement [Member] | Trading securities | ||
Trading securities | $ 91,000 | $ 67,000 |
Prepaid Expenses and Other As_3
Prepaid Expenses and Other Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Prepaid Expenses and Other Assets | ||
Prepaid insurance | $ 571 | $ 575 |
Recoupable deposits and other | 551 | 570 |
Prepaid expenses and other assets | 1,122 | $ 1,145 |
Receivables for Reimbursement of Costs | $ 300 |
Inventories, net (Details)
Inventories, net (Details) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2022USD ($)oz | Dec. 31, 2021USD ($)oz | |
Inventories, net | $ 1,963,000 | $ 1,608,000 |
Rodeo Project | ||
Dore inventory | 506,000 | 481,000 |
In-process inventory | 815,000 | 668,000 |
Material and supplies | 642,000 | 459,000 |
Inventories, net | 1,963,000 | 1,608,000 |
Capitalized depreciation and amortization | 24,000 | 21,000 |
Obsolescence allowance | $ 300,000 | $ 300,000 |
Dore inventory gold | oz | 375 | 626 |
Dore inventory silver | oz | 1,379 | 1,958 |
Value added tax receivable, n_2
Value added tax receivable, net (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Value added tax receivable, net (Note 7) | $ 1,475 | $ 1,290 |
Gross VAT tax receivable | $ 1,300 | |
MEXICO | ||
Value added tax receivable, net (Note 7) | 1,500 | |
VAT receivables offset against VAT payable | $ 500 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Property, plant and equipment | ||
Property, plant and equipment, gross | $ 35,664 | $ 35,639 |
Less: Accumulated depreciation and amortization | (29,101) | (29,012) |
Property, plant and equipment, net | 6,563 | 6,627 |
Mining Properties and Mineral Rights [Member] | ||
Property, plant and equipment | ||
Property, plant and equipment, gross | 9,353 | 9,353 |
Exploration Properties [Member] | ||
Property, plant and equipment | ||
Property, plant and equipment, gross | 2,418 | 2,418 |
Royalty Properties [Member] | ||
Property, plant and equipment | ||
Property, plant and equipment, gross | 200 | 200 |
Building [Member] | ||
Property, plant and equipment | ||
Property, plant and equipment, gross | 3,806 | 3,806 |
Machinery and Equipment [Member] | ||
Property, plant and equipment | ||
Property, plant and equipment, gross | 17,499 | 17,477 |
Office Equipment [Member] | ||
Property, plant and equipment | ||
Property, plant and equipment, gross | 1,331 | 1,328 |
Asset Retirement Obligation Costs [Member] | ||
Property, plant and equipment | ||
Property, plant and equipment, gross | $ 1,057 | $ 1,057 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net - Disposals (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment, Net | ||
Minimum work expenditures spend to withdraw agreement | $ 1,000 | |
Contract with Customer, Liability, Current | $ 1,094 | $ 1,469 |
Other Long-Term Assets - Schedu
Other Long-Term Assets - Schedule of other long term assets (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Other Long-Term Assets | ||
Deferred offering costs | $ 70 | $ 70 |
Right of use assets | 623 | 677 |
Other long-term assets | $ 693 | $ 747 |
Other Long- Term Assets (Detail
Other Long- Term Assets (Details) - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Nov. 30, 2019 | Jun. 30, 2019 | Jun. 01, 2019 |
Change in Accounting Principle | |||||||
Operating lease liability statement of financial position (Extensible list) | Other long term liabilities | Other long term liabilities | |||||
LPC Program | |||||||
Change in Accounting Principle | |||||||
Unamortized deferred cost | $ 353,000 | ||||||
Office Leases | |||||||
Change in Accounting Principle | |||||||
Right of use assets | 400,000 | $ 400,000 | |||||
Mining Equipment Lease Property | |||||||
Change in Accounting Principle | |||||||
Right of use assets | $ 200,000 | $ 300,000 | |||||
Rodeo Property | |||||||
Change in Accounting Principle | |||||||
Term of operating lease | 27 months | ||||||
Right of use assets | $ 420,000 | ||||||
Lease liability | $ 420,000 | ||||||
Future lease payments discount rate | 7.00% | ||||||
COLORADO | |||||||
Change in Accounting Principle | |||||||
Term of operating lease | 5 years 8 months | ||||||
Right of use assets | $ 465,000 | ||||||
Lease liability | $ 450,000 | ||||||
Future lease payments discount rate | 9.50% | ||||||
Mexico and Argentina | |||||||
Change in Accounting Principle | |||||||
Right of use assets | $ 45,000 | ||||||
Lease liability | $ 45,000 | ||||||
MEXICO | |||||||
Change in Accounting Principle | |||||||
Term of operating lease | 4 years | ||||||
Right of use assets | $ 174,000 | ||||||
Lease liability | $ 174,000 | ||||||
Argentina | |||||||
Change in Accounting Principle | |||||||
Term of operating lease | 3 years | ||||||
Right of use assets | $ 27,000 | ||||||
Lease liability | $ 27,000 |
Accounts Payable and Other Ac_3
Accounts Payable and Other Accrued Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Accounts payable and accruals | $ 2,449 | $ 1,079 |
Accrued employee compensation and benefits | 1,803 | 2,009 |
Income taxes payable | 85 | 421 |
Accounts payable and other accrued liabilities | 4,337 | 3,509 |
Accrued vacation | 400 | 200 |
Withholding taxes and benefits payable | 1,400 | 1,800 |
Velardena Properties [Member] | ||
Accounts payable and accruals | 700 | |
Accrued employee compensation and benefits | 1,300 | 1,300 |
Corporate and Other [Member] | ||
Accounts payable and accruals | 600 | $ 200 |
Velardena Properties [Member] | ||
Accounts payable and accruals | $ 1,800 |
Other Liabilities (Details)
Other Liabilities (Details) | 1 Months Ended | ||
Nov. 30, 2021USD ($)installment | Mar. 31, 2022USD ($) | Dec. 31, 2021USD ($) | |
Other Current Liabilities | |||
Premium financing | $ 248,000 | $ 394,000 | |
Other current liabilities | 625,000 | 721,000 | |
Other long term liabilities | 246,000 | 353,000 | |
Directors and Officers Liability Insurance | |||
Other Current Liabilities | |||
Number of payment | installment | 8 | ||
Premium interest rate | 4.00% | ||
Insurance premium payable | $ 400,000 | ||
Office Leases | |||
Other Current Liabilities | |||
Office lease liability | 171,000 | 120,000 | |
Deferred liability | 19,000 | ||
Mining Equipment Lease Property | |||
Other Current Liabilities | |||
Office lease liability | $ 206,000 | $ 207,000 |
Asset Retirement Obligation a_3
Asset Retirement Obligation and Reclamation Liabilities (Details) - USD ($) | 3 Months Ended | |||
Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Jun. 30, 2012 | |
Asset retirement and reclamation liabilities | $ 3,639,000 | $ 3,569,000 | ||
Reclamation activity extension term | 7 years | |||
Summary of activity in the Velardena Operations ARO | ||||
ARO, Beginning balance | 3,569,000 | |||
Accretion expense | 69,000 | $ 66,000 | ||
ARO, Ending balance | 3,639,000 | $ 3,569,000 | ||
Velardena Properties [Member] | ||||
Asset retirement and reclamation liabilities | 3,631,000 | 3,561,000 | 3,136,000 | $ 1,900,000 |
Summary of activity in the Velardena Operations ARO | ||||
ARO, Beginning balance | 3,561,000 | 3,156,000 | ||
Changes in estimates, and other | (86,000) | |||
Accretion expense | 70,000 | 66,000 | ||
ARO, Ending balance | 3,631,000 | $ 3,561,000 | 3,136,000 | |
Rodeo Project | ||||
Environmental costs | $ 0 | $ 0 |
Fair value measurements (Detail
Fair value measurements (Details) - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Level 2 | ||
Fair value measurements | ||
Assets | $ 0 | $ 0 |
Liabilities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair value measurements | ||
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | ||
Fair value measurements | ||
Cash and cash equivalents | 11,730,000 | 12,229,000 |
Short-term investments | 91,000 | 67,000 |
Assets | 11,821,000 | 12,296,000 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair value measurements | ||
Cash and cash equivalents | 11,730,000 | 12,229,000 |
Short-term investments | 91,000 | 67,000 |
Assets | 11,821,000 | 12,296,000 |
Fair Value, Measurements, Nonrecurring [Member] | ||
Fair value Assumptions | ||
Fair value measurements | $ 0 | $ 0 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Income Taxes | |||
Income tax benefit | $ 85,000 | $ (52,000) | |
Current tax expense | 68,000 | ||
Deferred tax expense | 17,000 | ||
Net deferred tax assets | 0 | $ 0 | |
Net deferred tax liabilities | $ 36,000 | $ 19,000 | |
Income tax on special mining percentage | 7.50% | 7.50% | |
Unrecognized tax benefits | $ 0 | $ 0 |
Equity - Issue and Conversion (
Equity - Issue and Conversion (Details) - USD ($) | 1 Months Ended | 3 Months Ended | ||
Dec. 31, 2016 | Mar. 31, 2021 | Mar. 31, 2022 | May 09, 2018 | |
Proceeds from issuance of common stock, net of issuance costs | $ 2,714,000 | |||
ATM Agreement | ||||
Proceeds from issuance of common stock, net of issuance costs | $ 1,800,000 | |||
Stock Issued During period Shares New Issues (in shares) | 1,856,960 | |||
Aggregate value of securities allowed under agreement | $ 5,000,000 | |||
Sale price (in dollars per shares) | $ 0.97 | |||
Amortization of deferred cost | $ 57,000 | |||
Unamortized deferred cost | $ 70,000 | |||
Aggregate securities allowed under agreement (in shares) | 10,000,000 | |||
Commission rate (as a percent) | 2.00% | |||
common shares available for issuance | 2,200,000 | |||
LPC Program | ||||
Unamortized deferred cost | $ 353,000 | |||
Commitment purchase agreement | ||||
Aggregate value of securities allowed under agreement | $ 10,000,000 |
Equity - Non-Option Incentive (
Equity - Non-Option Incentive (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Number of Shares - Non-option | ||
Allocated Share-based Compensation Expense | $ 150,000 | $ 429,000 |
Additional compensation expense expected to be recognized | $ 102,000 | |
Number of shares issued upon retirement of an officer | 1,123,380 | |
Number of shares relinquished to cover withholding taxes | 456,620 | |
Weighted Average Grant Date Fair Value Per Share - Non-option | ||
Compensation expense | $ 150,000 | $ 429,000 |
Additional compensation expense expected to be recognized | $ 102,000 | |
Stock Issued During Period, Shares, Share-based Compensation, Net of Forfeitures | 1,123,380 | |
Restricted Stock [Member] | ||
Number of Shares - Non-option | ||
Outstanding at beginning of year (in shares) | 293,334 | |
Granted during the year (in shares) | ||
Restrictions lifted during the year (in shares) | ||
Forfeited during the year (in shares) | ||
Outstanding at end of year (in shares) | 293,334 | |
Weighted Average Grant Date Fair Value Per Share - Non-option | ||
Outstanding at beginning of year (in dollars per share) | $ 0.61 | |
Granted during the year (in dollars per share) | ||
Restrictions lifted during the year (in dollars per share) | ||
Forfeited during the year (in dollars per share) | ||
Outstanding at end of year (in dollars per share) | $ 0.61 | |
Units [Member] | ||
Number of Shares - Non-option | ||
Outstanding at beginning of year (in shares) | 5,330,000 | |
Granted during the year (in shares) | 480,000 | |
Allocated Share-based Compensation Expense | $ 400,000 | |
Outstanding at end of year (in shares) | 4,200,000 | |
Weighted Average Grant Date Fair Value Per Share - Non-option | ||
Compensation expense | $ 400,000 | |
Equity Incentive Plan [Member] | Restricted Stock [Member] | ||
Number of Shares - Non-option | ||
Allocated Share-based Compensation Expense | $ 26,000 | |
Additional compensation expense expected to be recognized | 66,000 | |
Weighted Average Grant Date Fair Value Per Share - Non-option | ||
Compensation expense | 26,000 | |
Additional compensation expense expected to be recognized | $ 66,000 | |
Period for future recognition of additional compensation expense | 18 months | |
Non Employee Directors Deferred Compensation and Equity Award Plan [Member] | Restricted Stock Units (RSUs) [Member] | ||
Number of Shares - Non-option | ||
Outstanding at beginning of year (in shares) | 4,010,038 | |
Granted during the year (in shares) | ||
Restrictions lifted during the year (in shares) | ||
Forfeited during the year (in shares) | ||
Allocated Share-based Compensation Expense | $ 56,000 | |
Outstanding at end of year (in shares) | 4,010,038 | |
Additional compensation expense expected to be recognized | $ 32,000 | |
Weighted Average Grant Date Fair Value Per Share - Non-option | ||
Outstanding at beginning of year (in dollars per share) | $ 0.69 | |
Granted during the year (in dollars per share) | ||
Restrictions lifted during the year (in dollars per share) | ||
Forfeited during the year (in dollars per share) | ||
Outstanding at end of year (in dollars per share) | $ 0.69 | |
Compensation expense | $ 56,000 | |
Additional compensation expense expected to be recognized | $ 32,000 | |
Period for future recognition of additional compensation expense | 9 months | |
Number of unrestricted shares Director to receive for vested RSU upon termination from board | 1 | |
Key Employee Long Term Incentive Plan [Member] | ||
Number of Shares - Non-option | ||
Granted during the year (in shares) | 450,000 | |
Allocated Share-based Compensation Expense | $ 69,000 | |
Weighted Average Grant Date Fair Value Per Share - Non-option | ||
Compensation expense | $ 69,000 | |
Vesting immediately | ||
Number of Shares - Non-option | ||
Percentage of awards which will vest on each of the first, second and third anniversaries of the grant date | 1.00% | |
Weighted Average Grant Date Fair Value Per Share - Non-option | ||
Percentage of awards which will vest on each of the first, second and third anniversaries of the grant date | 1.00% |
Equity - Warrants (Details)
Equity - Warrants (Details) - Warrant | Mar. 31, 2022$ / sharesshares |
Number of Underlying Shares | |
Outstanding, beginning balance (in shares) | shares | 12,803,846 |
Outstanding, end balance (in shares) | shares | 12,803,846 |
Weighted Average Exercise Price Per Share | |
Outstanding, beginning balance (in dollars per share) | $ / shares | $ 0.34 |
Outstanding, end balance (in dollars per share) | $ / shares | $ 0.34 |
Sale of Metals and Related Co_2
Sale of Metals and Related Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 7,506 | $ 1,778 |
Costs Applicable to Sales | $ 4,322 | 1,536 |
Percentage of provisional payment for gold and silver | 95.00% | |
Term of final payment within shipment date | 30 days | |
Dore [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,800 | |
Costs Applicable to Sales | $ 1,500 | |
Minimum [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Provisional payment term of gold and silver | 10 years | |
Maximum [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Provisional payment term of gold and silver | 12 days |
Interest and Other Expense, N_2
Interest and Other Expense, Net (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Golden Tag | LPC Program | |
Interest and Other Income [Line Items] | |
Interest and other expense | $ 0.4 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Cash flows from operating activities: | ||
Net loss | $ (316,000) | $ (3,178,000) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 65,000 | 155,000 |
Accretion of asset retirement obligation | 69,000 | 66,000 |
Gain on trading securities | (25,000) | (52,000) |
Write off of deferred financing costs | 352,000 | |
Asset write off | 54,000 | |
Gain on sale of assets | (17,000) | |
Stock compensation | 150,000 | 429,000 |
Changes in operating assets and liabilities from continuing operations: | ||
Decrease in lease receivable | 72,000 | |
Decrease (increase) in prepaid expenses and other assets | 23,000 | (478,000) |
Increase in inventories | (331,000) | (1,500,000) |
Increase in value added tax recoverable, net | (185,000) | |
Decrease in other long-term assets | 54,000 | |
Decrease in reclamation liability | (87,000) | |
Increase in accounts payable and accrued liabilities | 599,000 | 669,000 |
Decrease in other current liabilities | (96,000) | (124,000) |
Decrease in deferred revenue | (374,000) | (140,000) |
Decrease in other long-term liabilities | (108,000) | (135,000) |
Net cash used in operating activities | $ (475,000) | $ (3,914,000) |
Supplemental Cash Flow Inform_4
Supplemental Cash Flow Information - Supplemental and Non-cash transactions (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Supplemental Cash Flow Information | ||
Interest paid | $ 5 | |
Income taxes paid | $ 310 | |
Deferred equity offering costs amortized | 57 | |
Deferred equity offering costs written off | $ 352 | |
Shares withheld for accrued tax withholding | $ 229 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Frozen Bank Account Estimated Value | $ 153,000 | |
Accounts payable and other accrued liabilities (Note 10) | 4,337,000 | $ 3,509,000 |
Contingencies | ||
Loss contingency | 0 | |
Gain on contingencies | $ 0 | |
Potential Lawsuit From Unifin Financiera [Member] | Threatened Litigation [Member] | ||
Frozen Bank Account Estimated Value | 153,000 | |
Loss Contingency, Damages Sought, Value | $ 12,500,000 |
Segment Information (Details)
Segment Information (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022USD ($)segment | Mar. 31, 2021USD ($) | Dec. 31, 2021USD ($) | |
Segment Information | |||
Number of reportable segments | segment | 2 | ||
Revenue | $ 7,506 | $ 1,778 | |
Costs Applicable to Sales | 4,322 | 1,536 | |
Depreciation, Depletion and Amortization | 65 | 155 | |
Exploration, El Quevar, Velardena and Administrative Expense | 3,591 | 2,634 | |
Pre-Tax (gain) loss | 231 | 3,230 | |
Total Assets | 23,637 | 18,825 | $ 23,713 |
Capital Expenditures | $ 24 | 546 | |
Mexico Operations | |||
Segment Information | |||
Number of reportable segments | segment | 1 | ||
Revenue | $ 7,506 | 1,778 | |
Costs Applicable to Sales | 4,322 | 1,536 | |
Depreciation, Depletion and Amortization | 53 | 109 | |
Exploration, El Quevar, Velardena and Administrative Expense | 1,819 | 659 | |
Pre-Tax (gain) loss | (1,683) | 452 | |
Total Assets | 9,405 | 7,917 | |
Capital Expenditures | 23 | 541 | |
Corporate and Other [Member] | |||
Segment Information | |||
Depreciation, Depletion and Amortization | 12 | 46 | |
Exploration, El Quevar, Velardena and Administrative Expense | 1,772 | 1,975 | |
Pre-Tax (gain) loss | 1,914 | 2,778 | |
Total Assets | 14,232 | 10,908 | |
Capital Expenditures | $ 1 | $ 5 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) shares in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Minera Inde | ||
Related Party Transaction | ||
Shares issued | 162.8 | |
Shares outstanding | 162.8 | |
Monthly charges received | $ 15,000 | |
Received amount | $ 45,000 | $ 45,000 |
Sentient Loan | The Sentient Group [Member] | ||
Related Party Transaction | ||
Ownership (as a percent) | 23.00% |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | May 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Mar. 31, 2021 |
Subsequent Event | ||||
Stock compensation expense | $ 150,000 | $ 429,000 | ||
Key Employee Long Term Incentive Plan [Member] | ||||
Subsequent Event | ||||
Granted during the year (in shares) | 450,000 | |||
Stock compensation expense | $ 69,000 | |||
Subsequent Event [Member] | Key Employee Long Term Incentive Plan [Member] | ||||
Subsequent Event | ||||
Granted during the year (in shares) | 500,000 | |||
Stock compensation expense | $ 30,000 |