Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2019shares | |
Document and Entity Information [Abstract] | |
Document Type | 20-F |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2019 |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | FY |
Entity Registrant Name | BUENAVENTURA MINING CO INC |
Entity Central Index Key | 0001013131 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | Yes |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 274,889,924 |
Entity Shell Company | false |
Entity Emerging Growth Company | false |
Entity Interactive Data Current | Yes |
Consolidated statements of fina
Consolidated statements of financial position - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Current assets | ||
Cash and cash equivalents | $ 210,046 | $ 369,200 |
Other accounts receivable, net | 287,712 | 211,715 |
Inventories, net | 97,973 | 135,919 |
Prepaid income tax | 31,919 | 24,396 |
Prepayments | 20,969 | 17,145 |
Hedge derivative financial instruments | 0 | 2,759 |
Total current assets | 648,619 | 761,134 |
Non-current assets | ||
Trade and other receivables, net | 88,515 | 40,593 |
Inventories, net | 394 | 3,812 |
Income tax credit | 0 | 319 |
Investments in associates and joint ventures | 1,488,247 | 1,473,382 |
Property, plant and equipment, net | 1,754,372 | 1,847,615 |
Investment properties, net | 204 | 222 |
Deferred income tax asset, net | 74,556 | 38,305 |
Prepaid expenses | 25,692 | 26,578 |
Other assets, net | 26,675 | 25,261 |
Total non-current assets | 3,458,655 | 3,456,087 |
Total assets | 4,107,274 | 4,217,221 |
Current liabilities | ||
Bank loans | 55,000 | 95,000 |
Trade and other payables | 166,244 | 188,084 |
Provisions, contingent liabilities and other liabilities | 72,771 | 68,172 |
Income tax payable | 5,650 | 1,760 |
Financial obligations | 265,692 | 46,166 |
Total current liabilities | 565,357 | 399,182 |
Non-current liabilities | ||
Trade and other payables | 616 | 639 |
Provisions, contingent liabilities and other liabilities | 221,736 | 199,762 |
Financial obligations | 305,996 | 540,896 |
Contingent consideration liability | 16,410 | 15,755 |
Deferred income tax liabilities, net | 28,959 | 31,422 |
Total non-current liabilities | 573,717 | 788,474 |
Total liabilities | 1,139,074 | 1,187,656 |
Shareholders' equity, net | ||
Capital stock | 750,497 | 750,497 |
Investment shares | 791 | 791 |
Additional paid-in capital | 218,450 | 218,450 |
Legal reserve | 163,168 | 163,115 |
Retained earnings | 1,639,658 | 1,675,909 |
Other reserves | 269 | 269 |
Other reserves of equity | (1,311) | (703) |
Shareholders' equity, net attributable to owners of the parent | 2,771,522 | 2,808,328 |
Non-controlling interest | 196,678 | 221,237 |
Total shareholders' equity, net | 2,968,200 | 3,029,565 |
Total liabilities and shareholders' equity, net | 4,107,274 | 4,217,221 |
Minera Yanacocha SRL and subsidiary [Member] | ||
Current assets | ||
Cash and cash equivalents | 818,503 | 723,208 |
Other accounts receivable, net | 18,962 | 32,610 |
Inventories, net | 54,245 | 54,527 |
Prepaid income tax | 0 | 19,239 |
Value added tax credit | 32,831 | 29,828 |
Prepayments | 991 | 753 |
Stockpiles and ore on leach pads, net | 134,923 | 100,593 |
Total current assets | 1,060,455 | 960,758 |
Non-current assets | ||
Restricted cash | 48,617 | 48,127 |
Trade and other receivables, net | 23,648 | 23,290 |
Financial instruments at fair value | 24,417 | 22,610 |
Stockpiles and ore on leach pads, net | 105,023 | 138,778 |
Property, plant and equipment, net | 1,038,294 | 840,454 |
Deferred income tax asset, net | 1,071 | 1,071 |
Intangible assets, net | 10,547 | 12,384 |
Total non-current assets | 1,251,617 | 1,086,714 |
Total assets | 2,312,072 | 2,047,472 |
Current liabilities | ||
Trade and other payables | 76,484 | 83,464 |
Provisions, contingent liabilities and other liabilities | 90,940 | 41,154 |
Income tax payable | 23,153 | 3,552 |
Total current liabilities | 190,577 | 128,170 |
Non-current liabilities | ||
Debt instruments | 43,927 | 42,430 |
Non-current provisions, other accruals and liabilities | 1,587,856 | 1,293,149 |
Total non-current liabilities | 1,631,783 | 1,335,579 |
Total liabilities | 1,822,360 | 1,463,749 |
Shareholders' equity, net | ||
Capital stock | 378,505 | 378,505 |
Additional paid-in capital | (21,758) | (21,758) |
Retained earnings | 133,315 | 228,572 |
Other reserves | (350) | (1,596) |
Total shareholders' equity, net | 489,712 | 583,723 |
Total liabilities and shareholders' equity, net | 2,312,072 | 2,047,472 |
Sociedads Minera Cerro Verde Saa [Member] | ||
Current assets | ||
Cash and cash equivalents | 481,491 | 501,182 |
Trade accounts receivable, net | 1,887 | 1,715 |
Other accounts receivable, net | 6,529 | 5,765 |
Trade accounts receivable - Related parties | 453,070 | 413,351 |
Inventories, net | 552,197 | 457,074 |
Prepayments | 14,074 | 18,418 |
Other non-financial assets | 105,680 | 57,575 |
Total current assets | 1,614,928 | 1,455,080 |
Non-current assets | ||
Inventories, net | 255,123 | 286,375 |
Property, plant and equipment, net | 5,690,851 | 5,602,902 |
Intangible assets, net | 9,337 | 10,289 |
Other non-financial assets | 239,185 | 200,066 |
Total non-current assets | 6,194,496 | 6,099,632 |
Total assets | 7,809,424 | 7,554,712 |
Current liabilities | ||
Provisions, contingent liabilities and other liabilities | 35,863 | 15,357 |
Income tax payable | 13,505 | 12,424 |
Other financial liabilities | 8,855 | 0 |
Trade accounts payable | 224,920 | 231,136 |
Provision related to benefits to employees | 34,249 | 42,569 |
Other accounts payable | 99,380 | 101,254 |
Accounts payable - Related parties | 4,014 | 6,014 |
Total current liabilities | 420,786 | 408,754 |
Non-current liabilities | ||
Other financial liabilities | 902,820 | 1,022,810 |
Accounts payable - Related parties | 10,074 | 8,860 |
Other accounts payable | 362,464 | 215,070 |
Provision related to benefits to employees | 32,509 | 32,509 |
Non-current provisions, other accruals and liabilities | 278,419 | 342,331 |
Deferred income tax liabilities, net | 369,789 | 228,248 |
Current income tax liabilities | 83,314 | 187,258 |
Total non-current liabilities | 2,039,389 | 2,037,086 |
Total liabilities | 2,460,175 | 2,445,840 |
Shareholders' equity, net | ||
Capital stock | 990,659 | 990,659 |
Retained earnings | 4,160,458 | 3,920,081 |
Other reserves | 198,132 | 198,132 |
Total shareholders' equity, net | 5,349,249 | 5,108,872 |
Total liabilities and shareholders' equity, net | $ 7,809,424 | $ 7,554,712 |
Consolidated statements of prof
Consolidated statements of profit or loss - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Operating income: | |||
Revenue | $ 821,930,000 | $ 1,106,329,000 | $ 1,187,206,000 |
Sales of services | 23,661,000 | 24,001,000 | 29,697,000 |
Royalty income | 22,297,000 | 20,385,000 | 20,739,000 |
Total operating income | 867,888,000 | 1,150,715,000 | 1,237,642,000 |
Operating costs | |||
Cost of sales of goods, excluding depreciation and amortization | (512,874,000) | (613,381,000) | (604,650,000) |
Cost of sales of services, excluding depreciation and amortization | (3,378,000) | (4,318,000) | (12,954,000) |
Depreciation and amortization | (226,335,000) | (238,879,000) | (210,154,000) |
Exploration in operating units | (44,163,000) | (89,730,000) | (89,311,000) |
Mining royalties | (12,832,000) | (21,388,000) | (30,884,000) |
Total operating costs | (799,582,000) | (967,696,000) | (947,953,000) |
Gross profit (loss) | 68,306,000 | 183,019,000 | 289,689,000 |
Operating expenses, net | |||
Administrative expenses | (76,297,000) | (77,099,000) | (80,666,000) |
Selling expenses | (24,313,000) | (26,948,000) | (23,043,000) |
Exploration in non-operating areas | (11,879,000) | (36,307,000) | (18,262,000) |
Impairment recovery (loss) of long-lived assets | (2,083,000) | 5,693,000 | (21,620,000) |
Reversal (provision) of contingent and others | 2,968,000 | 11,248,000 | (13,740,000) |
Write - off of stripping activity asset | 0 | 0 | (13,573,000) |
Other, net | (14,715,000) | (1,308,000) | (13,230,000) |
Total operating expenses, net | (126,319,000) | (124,721,000) | (184,134,000) |
Operating profit (loss) | (58,013,000) | 58,298,000 | 105,555,000 |
Other income (expense), net | |||
Share in the results of associates and joint ventures | 47,710,000 | (1,144,000) | 13,207,000 |
Finance income | 9,675,000 | 9,685,000 | 5,517,000 |
Finance costs | (42,173,000) | (38,422,000) | (34,551,000) |
Net gain (loss) from currency exchange difference | (734,000) | (1,384,000) | 2,939,000 |
Total other income (expenses), net | 14,478,000 | (31,265,000) | (12,888,000) |
Profit (loss) before income tax | (43,535,000) | 27,033,000 | 92,667,000 |
Income tax | |||
Current income tax | (11,911,000) | (16,882,000) | (23,713,000) |
Deferred income tax | 37,501,000 | (9,997,000) | 5,825,000 |
Profit (loss) from continuing operations | (17,945,000) | 154,000 | 74,779,000 |
Income tax expense | (25,590,000) | 26,879,000 | 17,888,000 |
Discontinued operations | |||
Net loss from discontinued operations attributable to equity holders of the parent | (10,514,000) | (11,808,000) | (10,344,000) |
Profit (loss) for the year | (28,459,000) | (11,654,000) | 64,435,000 |
Attributable to: | |||
Equity holders of the parent | (12,208,000) | (13,445,000) | 60,823,000 |
Non-controlling interest | (16,251,000) | 1,791,000 | 3,612,000 |
Net loss from continued operations | $ (28,459,000) | $ (11,654,000) | $ 64,435,000 |
Basic and diluted profit (loss) per share attributable to equity holders of the parent, stated in U.S. dollars | $ (0.05) | $ (0.05) | $ 0.24 |
Profit (loss) for continuing operations, basic and diluted per share attributable to equity holders of the parent, expressed in US dollars | $ (0.01) | $ (0.02) | $ 0.28 |
Minera Yanacocha SRL and subsidiary [Member] | |||
Operating income: | |||
Revenue | $ 734,526,000 | $ 658,653,000 | $ 670,905,000 |
Other operating income | 4,776,000 | 21,965,000 | 21,870,000 |
Total operating income | 739,302,000 | 680,618,000 | 692,775,000 |
Operating costs | |||
Cost of sales of goods, excluding depreciation and amortization | (692,721,000) | (619,424,000) | (772,647,000) |
Other operating costs | (1,160,000) | (2,217,000) | (2,062,000) |
Total operating costs | (693,881,000) | (621,641,000) | (774,709,000) |
Gross profit (loss) | 45,421,000 | 58,977,000 | (81,934,000) |
Operating expenses, net | |||
Administrative expenses | (1,744,000) | (2,783,000) | (4,760,000) |
Selling expenses | (1,722,000) | (2,627,000) | (3,921,000) |
Other, net | (35,987,000) | (76,155,000) | (63,514,000) |
Total operating expenses, net | (39,453,000) | (81,565,000) | (72,195,000) |
Operating profit (loss) | 5,968,000 | (22,588,000) | (154,129,000) |
Other income (expense), net | |||
Finance income | 18,430,000 | 11,448,000 | 5,831,000 |
Finance costs | (57,629,000) | (39,024,000) | (23,766,000) |
Net gain (loss) from currency exchange difference | 2,902,000 | (2,056,000) | 3,636,000 |
Profit (loss) before income tax | (30,329,000) | (52,220,000) | (168,428,000) |
Income tax | |||
Current income tax | (64,928,000) | (30,368,000) | (7,026,000) |
Deferred income tax | 0 | 1,071,000 | 0 |
Income tax expense | (64,928,000) | (29,297,000) | (7,026,000) |
Discontinued operations | |||
Profit (loss) for the year | (95,257,000) | (81,517,000) | (175,454,000) |
Attributable to: | |||
Net loss from continued operations | (95,257,000) | (81,517,000) | (175,454,000) |
Sociedads Minera Cerro Verde Saa [Member] | |||
Operating income: | |||
Revenue | 2,890,066,000 | 3,054,026,000 | 3,202,931,000 |
Total operating income | 2,890,066,000 | 3,054,026,000 | 3,202,931,000 |
Operating costs | |||
Cost of sales of goods, excluding depreciation and amortization | (1,954,749,000) | (2,010,972,000) | (1,768,238,000) |
Gross profit (loss) | 935,317,000 | 1,043,054,000 | 1,434,693,000 |
Operating expenses, net | |||
Selling expenses | (109,483,000) | (137,008,000) | (141,669,000) |
Other operating expenses | 38,116,000 | 68,683,000 | 258,826,000 |
Other operating income | 680,000 | 0 | 0 |
Total operating expenses, net | (146,919,000) | (205,691,000) | (400,495,000) |
Operating profit (loss) | 788,398,000 | 837,363,000 | 1,034,198,000 |
Other income (expense), net | |||
Finance income | 10,356,000 | 28,089,000 | 5,350,000 |
Finance costs | (115,877,000) | (426,733,000) | (216,912,000) |
Net gain (loss) from currency exchange difference | 5,574,000 | 6,161,000 | 13,288,000 |
Total other income (expenses), net | (99,947,000) | (392,483,000) | (198,274,000) |
Profit (loss) before income tax | 688,451,000 | 444,880,000 | 835,924,000 |
Income tax | |||
Income tax expense | 298,074,000 | 325,170,000 | 486,043,000 |
Discontinued operations | |||
Profit (loss) for the year | 390,377,000 | 119,710,000 | 349,881,000 |
Attributable to: | |||
Net loss from continued operations | $ 390,377,000 | $ 119,710,000 | $ 349,881,000 |
Basic and diluted profit (loss) per share attributable to equity holders of the parent, stated in U.S. dollars | $ 1.115 | $ 0.342 | $ 1 |
Consolidated statements of othe
Consolidated statements of other comprehensive income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of comprehensive income [Line Items] | |||
Net profit (loss) | $ (28,459) | $ (11,654) | $ 64,435 |
Other comprehensive income (loss) to be reclassified to profit or loss in subsequent periods | |||
Net change in unrealized gain (loss) on cash flow hedges, note 32 | (2,759) | 31,464 | (26,822) |
Income tax effect | 813 | (9,916) | 7,963 |
Unrealized gain on investments, net of income tax effect | (291) | 1,053 | (427) |
Other comprehensive profit (loss) | (2,237) | 22,601 | (19,286) |
Total other comprehensive profit (loss), net of income tax | (30,696) | 10,947 | 45,149 |
Attributable to: | |||
Equity holders of the parent | (12,816) | (260) | 48,718 |
Non-controlling interests | (17,880) | 11,207 | (3,569) |
Total other comprehensive loss | (30,696) | 10,947 | 45,149 |
Minera Yanacocha SRL and subsidiary [Member] | |||
Statement of comprehensive income [Line Items] | |||
Net profit (loss) | (95,257) | (81,517) | (175,454) |
Other comprehensive income (loss) to be reclassified to profit or loss in subsequent periods | |||
Other comprehensive profit (loss) | 1,246 | (91) | (3,244) |
Total other comprehensive profit (loss), net of income tax | (94,011) | (81,608) | (178,698) |
Attributable to: | |||
Total other comprehensive loss | (94,011) | (81,608) | (178,698) |
Sociedads Minera Cerro Verde Saa [Member] | |||
Statement of comprehensive income [Line Items] | |||
Net profit (loss) | $ 390,377 | $ 119,710 | $ 349,881 |
Consolidated statements of chan
Consolidated statements of changes in equity - USD ($) $ in Thousands | Capital stock, net of treasury shares [member]Minera Yanacocha SRL and subsidiary [Member] | Capital stock, net of treasury shares [member]Sociedad Minera Cerro Verde Saa [Member] | Capital stock, net of treasury shares [member] | Other reserves of equity [member]Minera Yanacocha SRL and subsidiary [Member] | Other reserves of equity [member] | Retained Earnings [Member]Minera Yanacocha SRL and subsidiary [Member] | Retained Earnings [Member]Sociedad Minera Cerro Verde Saa [Member] | Retained Earnings [Member] | Equity attributable to owners of parent [member] | Non-controlling interests [member] | Additional Paid-in Capital [Member]Minera Yanacocha SRL and subsidiary [Member] | Additional Paid-in Capital [Member] | Legal reserve [member] | Miscellaneous other reserves [member]Sociedad Minera Cerro Verde Saa [Member] | Miscellaneous other reserves [member] | Investment Share [Member] | Minera Yanacocha SRL and subsidiary [Member] | Sociedad Minera Cerro Verde Saa [Member] | Total |
Balance at Dec. 31, 2016 | $ 398,216 | $ 990,659 | $ 750,497 | $ 1,739 | $ (1,783) | $ 485,543 | $ 3,650,490 | $ 1,690,123 | $ 2,821,091 | $ 226,122 | $ 226 | $ 218,450 | $ 162,744 | $ 198,132 | $ 269 | $ 791 | $ 885,724 | $ 4,839,281 | $ 3,047,213 |
Balance (in shares) at Dec. 31, 2016 | 253,715,190 | ||||||||||||||||||
Net profit (loss) | 0 | 0 | $ 0 | 0 | 0 | (175,454) | 349,881 | 60,823 | 60,823 | 3,612 | 0 | 0 | 0 | 0 | 0 | 0 | (175,454) | 349,881 | 64,435 |
Other comprehensive profit (loss) | 0 | 0 | (3,244) | (12,105) | 0 | 0 | (12,105) | (7,181) | 0 | 0 | 0 | 0 | 0 | (3,244) | (19,286) | ||||
Total other comprehensive income (loss) | 0 | 0 | (3,244) | (12,105) | (175,454) | 60,823 | 48,718 | (3,569) | 0 | 0 | 0 | 0 | 0 | (178,698) | 45,149 | ||||
Treasury shares reduction, note 14(a) | 0 | 0 | 0 | (47,911) | (47,911) | ||||||||||||||
Dividends declared and paid, note 17(d) | 0 | 0 | (22,099) | (22,099) | (6,036) | 0 | 0 | 0 | 0 | (28,135) | |||||||||
Expired dividends, note 17(c) | 0 | 0 | 0 | 327 | 0 | 0 | 327 | 0 | 0 | 327 | |||||||||
Change in non-controlling interest, note 18(a) | 0 | 0 | 0 | 0 | (927) | 0 | 0 | 0 | 0 | (927) | |||||||||
Balance at Dec. 31, 2017 | 398,216 | 990,659 | $ 750,497 | (1,505) | (13,888) | 310,089 | 4,000,371 | 1,728,847 | 2,848,037 | 215,590 | (47,685) | 218,450 | 163,071 | 198,132 | 269 | 791 | 659,115 | 5,189,162 | 3,063,627 |
Balance (in shares) at Dec. 31, 2017 | 253,715,190 | ||||||||||||||||||
Net profit (loss) | 0 | 0 | $ 0 | 0 | 0 | (81,517) | 119,710 | (13,445) | (13,445) | 1,791 | 0 | 0 | 0 | 0 | 0 | 0 | (81,517) | 119,710 | (11,654) |
Other comprehensive profit (loss) | 0 | 0 | (91) | 13,185 | 0 | 0 | 13,185 | 9,416 | 0 | 0 | 0 | 0 | 0 | (91) | 22,601 | ||||
Total other comprehensive income (loss) | 0 | 0 | (91) | 13,185 | (81,517) | (13,445) | (260) | 11,207 | 0 | 0 | 0 | 0 | 0 | (81,608) | 10,947 | ||||
Proceeds from sale of shares, note 13 | 19,471 | 0 | 0 | 28,440 | 47,911 | ||||||||||||||
Treasury shares reduction, note 14(a) | (19,711) | 0 | 0 | 19,711 | 0 | ||||||||||||||
Dividends declared and paid, note 17(d) | 0 | 0 | 0 | (200,000) | (22,860) | (22,860) | (5,560) | 0 | 0 | 0 | 0 | 0 | (200,000) | (28,420) | |||||
Change in investments, note 10(b) | 0 | 0 | (16,633) | (16,633) | 0 | 0 | 0 | 0 | 0 | (16,633) | |||||||||
Expired dividends, note 17(c) | 0 | 0 | 0 | 44 | 0 | 0 | 44 | 0 | 0 | 44 | |||||||||
Acquisition of debt instruments, note 13 | (19,471) | 0 | 0 | (22,224) | (41,695) | ||||||||||||||
Balance at Dec. 31, 2018 | 378,505 | 990,659 | $ 750,497 | (1,596) | (703) | 228,572 | 3,920,081 | 1,675,909 | 2,808,328 | 221,237 | (21,758) | 218,450 | 163,115 | 198,132 | 269 | 791 | 583,723 | 5,108,872 | 3,029,565 |
Balance (in shares) at Dec. 31, 2018 | 253,715,190 | ||||||||||||||||||
Effect of new standards, note 2.3 | $ 0 | 0 | (1,160) | (1,160) | (179) | 0 | 0 | 0 | 0 | (1,339) | |||||||||
As of January 1, 2019 | 750,497 | (703) | 1,674,749 | 2,807,168 | 221,058 | 218,450 | 163,115 | 269 | 791 | 3,028,226 | |||||||||
Net profit (loss) | 0 | 0 | 0 | 0 | 0 | (95,257) | 390,377 | (12,208) | (12,208) | (16,251) | 0 | 0 | 0 | 0 | 0 | 0 | (95,257) | 390,377 | (28,459) |
Other comprehensive profit (loss) | 0 | 0 | 1,246 | (608) | 0 | 0 | (608) | (1,629) | 0 | 0 | 0 | 0 | 0 | 1,246 | (2,237) | ||||
Total other comprehensive income (loss) | 0 | 0 | 1,246 | (608) | (95,257) | (12,208) | (12,816) | (17,880) | 0 | 0 | 0 | 0 | 0 | (94,011) | (30,696) | ||||
Dividends declared and paid, note 17(d) | 0 | 0 | 0 | (150,000) | (22,098) | (22,098) | (6,500) | 0 | 0 | 0 | 0 | 0 | (150,000) | (28,598) | |||||
Change in investments, note 10(b) | 0 | 0 | (785) | (785) | 0 | 0 | 0 | 0 | 0 | (785) | |||||||||
Expired dividends, note 17(c) | 0 | 0 | 0 | 53 | 0 | 0 | 53 | 0 | 0 | 53 | |||||||||
Balance at Dec. 31, 2019 | $ 378,505 | $ 990,659 | $ 750,497 | $ (350) | $ (1,311) | $ 133,315 | $ 4,160,458 | $ 1,639,658 | $ 2,771,522 | $ 196,678 | $ (21,758) | $ 218,450 | $ 163,168 | $ 198,132 | $ 269 | $ 791 | $ 489,712 | $ 5,349,249 | $ 2,968,200 |
Balance (in shares) at Dec. 31, 2019 | 253,715,190 | 350,056,012 |
Consolidated statements of cash
Consolidated statements of cash flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Operating activities | |||
Net profit (loss) for the year | $ (28,459) | $ (11,654) | $ 64,435 |
Proceeds from sales | 783,000 | 1,216,294 | 1,197,523 |
Recovery from value added and other taxes | 45,712 | 106,656 | 102,548 |
Dividends received | 33,388 | 46,792 | 9,823 |
Royalty received | 23,001 | 20,013 | 21,565 |
Interest received | 4,265 | 2,383 | 3,169 |
Proceeds from insurance claim | 0 | 38,793 | 0 |
Payments to suppliers and third parties | (610,737) | (861,282) | (872,467) |
Payments to employees | (137,300) | (151,602) | (160,891) |
Payments for tax litigation | (36,322) | 0 | 0 |
Interest paid | (28,266) | (27,699) | (30,402) |
Income tax paid | (24,935) | (30,898) | (38,121) |
Payments of mining royalties | (4,741) | (13,190) | (20,165) |
Net (increase) decrease in operating liabilities: | |||
Net cash and cash equivalents provided by operating activities | 47,065 | 346,260 | 212,582 |
Investing activities | |||
Proceeds from sale of concessions, development costs, property, plant and equipment to third parties | 726 | 2,240 | 1,962 |
Additions to mining concessions, development costs, property, plant and equipment | (102,627) | (111,270) | (259,507) |
Payments for acquisition of other assets | (3,700) | (8,529) | (5,405) |
Proceeds from collection of loan to an associate | 0 | 0 | 124,800 |
Net cash and cash equivalents used in investing activities | (105,601) | (117,559) | (138,150) |
Financing activities | |||
Proceeds from bank loans | 55,000 | 95,000 | 341,215 |
Payments of bank loans | (95,000) | (95,000) | (300,000) |
Proceeds from financial obligations | 161,894 | 0 | 80,000 |
Payments of financial obligations | (186,152) | (45,222) | (32,599) |
Short-term lease payments | (7,596) | 0 | 0 |
Dividends paid to controlling shareholders | (22,098) | (22,860) | (22,099) |
Dividends paid to non-controlling shareholders | (6,500) | (5,560) | (6,036) |
Increase of restricted bank accounts | (166) | (410) | (285) |
Acquisition of non-controlling interest | 0 | 0 | (621) |
Net cash and cash equivalents provided by (used in) financing activities | (100,618) | (74,052) | 59,575 |
Increase (decrease) in cash and cash equivalents for the year, net | (159,154) | 154,649 | 134,007 |
Cash and cash equivalents at beginning of year | 369,200 | 214,551 | 80,544 |
Cash and cash equivalents at year-end | 210,046 | 369,200 | 214,551 |
Financing and investing activities not affecting cash flows: | |||
Changes in mine closures plans | 26,722 | 42,874 | 10,594 |
Accounts receivable from sale of assets | 21,648 | 2,715 | 5,371 |
Fair value for contingent consideration liability | (655) | 1,815 | 1,773 |
Transactions with no effects in cash flows: | |||
Increase of right-of-use assets | 3,700 | ||
Minera Yanacocha Srl And Subsidiaries [Member] | |||
Operating activities | |||
Net profit (loss) for the year | (95,257) | (81,517) | (175,454) |
Income tax paid | (12,600) | (8,863) | (27,911) |
Adjustments to reconcile profit after income tax to net cash flows from operating activities: | |||
Depreciation and amortization | 144,862 | 156,212 | 87,783 |
Provision of closure mines | 142,129 | 16,285 | 124,214 |
Deferred income tax | 0 | (1,071) | 0 |
Unwinding of discount of the provision for closure mines | 36,709 | 36,015 | 21,769 |
Unwinding of discount of debt instruments | 1,497 | 735 | 0 |
Write-off of fixed assets | 1,204 | 0 | 1,368 |
Loss (gain) for fixed asset sales | (5,996) | 624 | (603) |
Write-down of ore on leach pads to realizable value | 33,464 | 90,365 | 77,385 |
Reversal of the write-down of on ore inventories to realizable value | (74,666) | (63,778) | (99,219) |
Allowance for obsolescence of materials and supplies | (1,417) | 439 | 1,804 |
Net (increase) decrease in operating assets: | |||
Trade and other receivables | 13,290 | (7,580) | (7,345) |
Income tax collected(paid) | 19,239 | 14,160 | 5,400 |
Value added tax credit | (3,003) | 13,856 | 29,543 |
Inventories and Stockpiles and ore on leach pads | 42,326 | 7,120 | 103,334 |
Prepaid expenses | (238) | (345) | (71) |
Financial assets at fair value | (561) | 299 | (5,000) |
Net (increase) decrease in operating liabilities: | |||
Trade and other payables | (6,980) | 1,708 | 17,800 |
Income tax payable | 32,201 | 8,897 | 8,287 |
Provisions, other accruals and liabilities | 30,082 | (2,494) | (46,918) |
Closure of mining units paid | (23,889) | (19,842) | (21,376) |
Cash flows from (used in) operations | 284,996 | 170,088 | 122,701 |
Net cash and cash equivalents provided by operating activities | 272,396 | 161,225 | 94,790 |
Investing activities | |||
Proceeds from sale of concessions, development costs, property, plant and equipment to third parties | 8,088 | 4,821 | 2,235 |
Additions to mining concessions, development costs, property, plant and equipment | (184,403) | (117,636) | (51,624) |
Restricted cash | (490) | (48,127) | 0 |
Net cash and cash equivalents used in investing activities | (176,805) | (160,942) | (49,389) |
Financing activities | |||
Short-term lease payments | (296) | 0 | 0 |
Payments for treasury shares | 0 | 0 | (47,911) |
Proceeds from sale of shares | 0 | 47,911 | 0 |
Net cash and cash equivalents provided by (used in) financing activities | (296) | 47,911 | (47,911) |
Increase (decrease) in cash and cash equivalents for the year, net | 95,295 | 48,194 | (2,510) |
Cash and cash equivalents at beginning of year | 723,208 | 675,014 | 677,524 |
Cash and cash equivalents at year-end | 818,503 | 723,208 | 675,014 |
Transactions with no effects in cash flows: | |||
Addition of asset retirement and mine closure | 158,967 | 27,275 | 97,326 |
Increase of right-of-use assets | 1,045 | 0 | 0 |
Sociedads Minera Cerro Verde Saa [Member] | |||
Operating activities | |||
Net profit (loss) for the year | 390,377 | 119,710 | 349,881 |
Income tax | (216,369) | (430,810) | (282,273) |
Adjustments to reconcile profit after income tax to net cash flows from operating activities: | |||
Income tax expense | 317,205 | 366,998 | 486,043 |
Depreciation and amortization | 535,000 | 512,298 | 456,467 |
Accretion on remediation and mine closure provision | 4,049 | 4,322 | 4,595 |
Net loss on sale of Property, Plant and Equipment | 279 | 964 | 185 |
Mining royalty dispute - charges | 66,122 | 379,282 | 348,560 |
Mining royalty dispute - payments | (186,953) | (56,186) | (52,787) |
Net (increase) decrease in operating assets: | |||
Trade and other receivables | (39,300) | 67,475 | (38,922) |
Other accounts receivable | 3,535 | 1,954 | (5,776) |
Inventories and Stockpiles and ore on leach pads | (63,871) | (49,371) | 32,101 |
Other non-financial assets | (38,741) | (76,186) | 226,969 |
Net (increase) decrease in operating liabilities: | |||
Trade and other payables | 4,503 | 29,419 | (13,663) |
Other accounts payable | 37,150 | 48,130 | 49,915 |
Provisions related to benefits to employees | (8,276) | (50,440) | 33,258 |
Other provisions | 52,559 | (11,561) | 70,648 |
Interest paid (not included in the financing activities) | 37,226 | 47,442 | 50,510 |
Net cash and cash equivalents provided by operating activities | 820,042 | 808,556 | 1,614,691 |
Investing activities | |||
Proceeds from sale of concessions, development costs, property, plant and equipment to third parties | 1,243 | 109 | 37 |
Additions to mining concessions, development costs, property, plant and equipment | (283,459) | (280,183) | (152,769) |
Stripping activity asset | (197,038) | (177,327) | (153,623) |
Net cash and cash equivalents used in investing activities | (479,254) | (457,401) | (306,355) |
Financing activities | |||
Proceeds from bank loans | 0 | 0 | 233,333 |
Payments of bank loans | (200,000) | (250,000) | (353,333) |
Short-term lease payments | (10,479) | 0 | (161) |
Payments of shareholders loans | 0 | 0 | (606,014) |
Debt issuance costs | 0 | 0 | (12,085) |
Dividends declared and paid | (150,000) | (200,000) | 0 |
Net cash and cash equivalents provided by (used in) financing activities | (360,479) | (450,000) | (738,260) |
Increase (decrease) in cash and cash equivalents for the year, net | (19,691) | (98,845) | 570,076 |
Cash and cash equivalents at beginning of year | 501,182 | 600,027 | 29,951 |
Cash and cash equivalents at year-end | 481,491 | 501,182 | 600,027 |
Non cash transactions | |||
Provision for remediation and mine closure | $ 41,130 | $ (32,017) | $ (3,710) |
Identification and business act
Identification and business activity | 12 Months Ended |
Dec. 31, 2019 | |
Identification and business activity | |
Identification and business activity | 1. Identification and business activity (a) Identification - Compañía de Minas Buenaventura S.A.A. (hereafter “the Company” or “Buenaventura”) is a publicly traded corporation incorporated in 1953. The Company stock is traded on the Lima and New York Stock Exchanges through American Depositary Receipts (ADRs), which represent the Company’s shares deposited in the Bank of New York. The Company’s legal domicile is at Las Begonias Street N°415, San Isidro, Lima, Peru. (b) Business activity - The Company and its subsidiaries (hereinafter “the Group") are principally engaged in the exploration, mining, concentration, smelting and marketing of polymetallic ores and metals. The Company operates directly four operating mining units in Peru (Uchucchacua, Orcopampa, Julcani and Tambomayo), three discontinued mining units (Mallay, Poracota and Shila-Paula), and one mining unit under development stage (San Gabriel). In addition, the Company has a controlling interest in Sociedad Minera El Brocal S.A.A. (hereinafter “El Brocal”), which operates the Colquijirca mining unit; in Minera La Zanja S.R.L. (hereinafter “La Zanja”), which operates La Zanja mining unit; in El Molle Verde S.A.C. (hereinafter “Molle Verde”) which operates Trapiche, a mining unit at the development stage; and in other entities dedicated to energy generation and transmission services, and other activities. All these activities are carried out in Peru. (c) Approval of consolidated financial statements - The consolidated financial statements as of December 31, 2019 were approved and authorized for issue by the Board of Directors on April 9, 2020 and subsequent events have been considered through that date. They will then be presented for approval by the Company's shareholders meeting. Those shareholders have the authority to approve and or otherwise modify the consolidated financial statements. (d) The consolidated financial statements include the financial statements of the following subsidiaries: Country of incorporation Ownership as of December 31, and business 2019 2018 Direct Indirect Direct Indirect % % % % Mining activities: Compañía Minera Condesa S.A. Peru 100.00 — 100.00 — Compañía Minera Colquirrumi S.A. Peru 100.00 — 100.00 — Sociedad Minera El Brocal S.A.A. (*) Peru 3.19 58.24 3.19 58.24 Inversiones Colquijirca S.A. (*) Peru 89.76 10.24 89.76 10.24 S.M.R.L. Chaupiloma Dos de Cajamarca Peru 20.00 40.00 20.00 40.00 Minera La Zanja S.R.L. Peru 53.06 — 53.06 — Minera Julcani S.A. de C.V. Mexico 99.80 0.20 99.80 0.20 Compañía de Minas Buenaventura Chile Ltda. Chile 90.00 10.00 90.00 10.00 El Molle Verde S.A.C. Peru 99.98 0.02 99.98 0.02 Apu Coropuna S.R.L. Peru 70.00 — 70.00 — Cerro Hablador S.A.C. Peru 99.00 1.00 99.00 1.00 Minera Azola S.A.C. Peru 99.00 1.00 99.00 1.00 Compañía Minera Nueva Italia S.A. Peru — 93.36 — 93.36 Energy generation and transmission services: Consorcio Energético de Huancavelica S.A. Peru 100.00 — 100.00 — Empresa de Generación Huanza S.A. Peru — 100.00 — 100.00 Insurance brokerage: Contacto Corredores de Seguros S.A. Peru 99.98 0.02 99.98 0.02 Contacto Risk Consulting S.A. Peru — 98.00 — 98.00 Industrial activities: Procesadora Industrial Río Seco S.A. Peru 100.00 — 100.00 — (*) As of December 31, 2019 and 2018, the participation of the Company in the voting rights of El Brocal is 61.43 percent. Inversiones Colquijirca S.A. (hereafter “Colquijirca”), a Group’s subsidiary (99.99 percent as of December 31, 2019 and 2018), has an interest in El Brocal’s capital stock, through which the Company holds an indirect participation in El Brocal of 58.24 percent as of December 31, 2019 and 2018. (e) Discontinued operations During 2019, the Group decided to classify its Mallay mining unit as discontinued. According to IFRS 5 "Non-current Assets Held for Sale and Discontinued Operations", the Group reclassified revenues and expenses related to this mining unit for the years 2018 and 2017 to the "Net loss from discontinued operations attributable to equity holders of the parent" caption. During 2017, the Group sold the Breapampa and Recuperada mining units for US$2.0 million and US$0.6 million, respectively. As a result of such sales, the Group recorded reversals of the provision of impairment loss of long-lived assets and costs for sales of assets and supplies, which originated a net loss of US$4.0 million. During 2017, as a result of the sales in 2017 and 2016, the Company received the confirmation from the Ministry of Energy and Mines of the transfer of its obligation for closure of mining units, which generated a reversal of US$11.8 million. The net cash flows used by the mining units with discontinued operations are presented below: 2019 2018 2017 US$(000) US$(000) US$(000) Operating activities (2) 1,800 1,732 Investing activities — (1,817) (1,796) Decrease in cash and cash equivalents for the year (2) (17) (64) The results of the discontinued operations mining units for the years 2019, 2018 and 2017 are presented below: 2019 2018 2017 US$(000) US$(000) US$(000) Net sales 97 16,666 36,736 Cost of sales (2) (15,261) (32,301) Gross profit 95 1,405 4,435 Operating income (expenses), net Administrative expenses (8,048) (1,661) (3,872) Changes in provision for closure of mining units, note 15(b) (1,912) (6,013) (12,701) Reversal (provision) for impairment of inventories, note 8(c) (320) — 1,345 Reversal (provision) for contingencies (134) (9) (562) Derecognition of long-lived assets (44) (5,100) — Net loss in sale of mining units — — (18,550) Reversal of Impairment loss of long-lived assets, note 11(b) — 2,837 17,197 Reversal of provision for closure of mining units for sale of mining units — — 11,700 Others, net 117 (3,162) (8,438) Total operating expenses, net (10,341) (13,108) (13,881) Operating loss (10,246) (11,703) (9,446) Other income (expense), net Finance costs, note 15(b) (266) (88) (766) Net gain (loss) from currency exchange difference (2) 30 (10) Total other expenses, net (268) (58) (776) Loss before income tax (10,514) (11,761) (10,222) Income tax — (47) (122) Loss from discontinued operations (10,514) (11,808) (10,344) Loss from the discontinued operations, per basic and diluted share, express in U. S. dollars (0.04) (0.03) (0.04) |
Minera Yanacocha SRL and subsidiary [Member] | |
Identification and business activity | |
Identification and business activity | 1. Identification and business activities of the Company (a) Minera Yanacocha S.R.L. hereinafter “the Company” or “Yanacocha”, was incorporated in Peru on January 14, 1992 and commenced operations in 1993. The Company is currently engaged in the production, exploration and development of gold under the mining concessions it owns or that are owned by S.M.R.L. Chaupiloma Dos de Cajamarca ("Chaupiloma"). Future projects could include the production, exploration and development of copper as well. The Company is 51.35% owned by Newmont Second Capital Corporation, a 100% indirectly owned subsidiary of Newmont Mining Corporation ("Newmont", the ultimate Parent company), 43.65% owned by Compañia Minera Condesa S.A., which is 100% owned by Compañia de Minas Buenaventura S.A.A. (“Buenaventura”) and 5% owned by Summit Global Management II VB, a wholly-owned subsidiary of Sumitomo Corporation, see note 13. The controlling Partners of the Company (or their affiliates) also own the controlling interest in Chaupiloma. In accordance with a mining lease agreement, amended and effective on January 1, 1994, the Company pays Chaupiloma a 3% royalty based on quarterly production sold at current market prices, after deducting refinery and transportation costs. The royalty agreement expires in 2032. The Company's legal domicile is at La Paz avenue No. 1049 office 401, Miraflores, Lima Peru. (b) In order to perform its activities, the Company is required to obtain mining concessions or provisional permits for exploration and processing concessions for the treatment of mining ores from the Peruvian Ministry of Energy and Mines ("MEM"). Under Peru's current legal and regulatory regime, these mining and processing rights are maintained by meeting a minimum annual level of production or investment and by the annual payment of a concession fee. A fine is payable for the years in which minimum production or investment requirements are not met. The Company holds mining concessions which exploration and processing rights do not expires as long as the Company comply with the legal requirements. To date the Company has complied with all the applicable legal requirements related to its concession rights. The Company’s operations are located approximately 375 miles (604 kilometers) north of Lima and 30 miles (48 kilometers) north of the city of Cajamarca and are primarily accessible by paved roads. The Yanacocha property began production in 1993 and consists of the following open pit mines: the La Quinua Complex, the Yanacocha Complex, the Carachugo Complex and Maqui Maqui. In addition, The Company has four leach pads (La Quinua, Yanacocha, Carachugo and Maqui Maqui), three gold processing plants (Pampa Larga, Yanacocha Norte and La Quinua), one limestone processing facility (China Linda) and one mill (Yanacocha Gold Mill). The La Quinua Complex is currently mining material from the La Quinua Sur and the Tapado Oeste Layback and is scheduled to finish mining operations in 2020. The Yanacocha Complex mines material from the Yanacocha Layback and Yanacocha Pinos, which are scheduled to finish mining operations in 2020, respectively. The Yanacocha Complex began operations in 1997 and has had limited mining operations in recent years. The Carachugo Complex and Maqui Maqui mined material from multiple mines that are no longer in operation. In addition, the Carachugo Complex processes material from the Quecher Main project, which is a new open pit within the existing footprint of Yanacocha. This project will add oxide production at Yanacocha and will extend the life of the Yanacocha operation to 2027. Yanacocha’s gold processing plants are located adjacent to the solution storage ponds and are used to process gold-bearing solutions from Yanacocha’s leach pads through a network of solution-pumping facilities and the Yanacocha Gold Mill processes high-grade gold ore to produce a gold-bearing solution for treatment at the La Quinua processing plant, followed by Merrill - Crowe zinc precipitation and smelting where a final dore product is poured. The dore is then shipped offsite for refining and is sold on the worldwide gold markets. Gold mining requires the use of specialized facilities and technology. The Company relies heavily on such facilities and technology to maintain production levels. Also, the cash flows and profitability of the Company’s operations are significantly affected by the market price of gold. Gold prices can fluctuate widely and are affected by numerous factors beyond the Company’s control. During 2019, 2018 and 2017 the Company produced 527,000, 515,000 and 660,000 ounces of gold, respectively. Brownfield exploration and development for new reserves is ongoing, including the development of the Quecher Main project within the existing footprint of Yanacocha. In addition, we continue to evaluate the potential for mining sulfide gold and copper mineralization. Quecher Main project This project is expected to add oxide production at Yanacocha, leverage existing infrastructure and enable potential future growth at Yanacocha. First production was achieved in late 2018 with commercial production started on October of 2019. The Quecher Main extends the life of the Yanacocha operation to 2027 with average annual gold production of about 200,000 ounces unaudited per year (on a consolidated basis) between 2020 and 2025. Development capital costs (excluding capitalized interest) since approval were US$193 million (US$96.8 million for the year 2019). Conga project The Conga Project consists of two gold-copper porphyry deposits located northeast of the Yanacocha operating area in the provinces of Celendin, Cajamarca and Hualgayoc. There is no exploration and (or) development of new reserves, the reserve balances reported for Conga in 2014 were reclassified to mineralized material in 2015. Construction activities on the Conga project were suspended on November 30, 2011, at the request of Peru’s central government following increasing protests in Cajamarca by anti-mining activists led by the regional president. At the request of the Peruvian central government, the environmental impact assessment prepared in connection with the project, which was previously approved by the central government in October 2010, was reviewed by independent experts in an effort to resolve allegations around the environmental viability of Conga. This review concluded that the environmental impact assessment complied with international standards and provided some recommendations to improve water management. Yanacocha has focused on the construction of water reservoirs prior to the development of other project facilities. However, development of Conga is contingent upon generating acceptable project returns and getting local community and government support. Under the current social and political environment, the Company does not anticipate being able to develop Conga for at least the next five years. Due to the uncertainty surrounding the project’s development, the Company has allocated its exploration and development capital to other projects in recent years, and the Conga project is currently in care and maintenance. Should the Company be unable to develop the Conga project, the Company may have to consider other alternatives for the project, which may result in a future impairment charge. The total assets at Conga as of December 31, 2019 and 2018 were US$458.2 million and US$484.5 million, respectively. Sulfides project This project represents a stream of sulfide resources development that will be achieved by processing high-grade metal dominant sulfide ores from Yanacocha Verde Phase 1 and Chaquicocha underground deposits within Yanacocha’s operational footprint, through an integrated process flow sheet that includes the addition of new flotation, pressure oxidation, neutralization, solvent extraction and electrowinning facilities. The Sulfides project is in the development stage, and the Company expects to begin with the construction of the project in the first quarter of the year 2021. (c) The consolidated financial statements as of December 31, 2019 were approved by the Company’s Management on April 8, 2020, and subsequent events have been considered through that date. They will then be presented for approval by the Company’s shareholders in the first half of 2020. Those shareholders have the authority to approve and or otherwise modify the consolidated financial statements. |
Sociedad Minera Cerro Verde Saa [Member] | |
Identification and business activity | |
Identification and business activity | 1. Identification and business activity (a) Sociedad Minera Cerro Verde S.A.A. (the Company) was incorporated in Peru on August 20, 1993, as a result of the privatization process of certain mining units carried out by the Peruvian State in that year. The Company’s shares began being listed on the Lima Stock Exchange on November 14, 2000. Through its subsidiary Cyprus Climax Metals Company, Freeport Minerals Corporation (FMC), a wholly owned subsidiary of Freeport-McMoRan Inc. (Freeport), owns 53.56% of the voting shares of the Company. SMM Cerro Verde Netherlands B.V. (SMM Cerro Verde), a subsidiary of Sumitomo Metal Mining Company Ltd. (Sumitomo), owns 21.00%, Compañía de Minas Buenaventura S.A.A. (Buenaventura) owns 19.58%, and other stakeholders own the remaining 5.86%. The Company’s legal address is Jacinto Ibañez Street N°315 - Parque Industrial, Arequipa in the city of Arequipa and the ore deposit is located 20 miles southwest of that city (Asiento Minero Cerro Verde S/N Uchumayo – Arequipa). (b) The Company’s activities are regulated by the Peruvian General Mining Law and comprise the extraction, production and sale of copper cathodes, copper concentrate and molybdenum concentrate. Cerro Verde’s operation consists of an open-pit copper mine, with a processing capacity of 548,500 metric ton-per-day that includes (i) concentrator facilities with a 409,500 metric ton-per-day capacity (361,500 metric ton-per-day before the expansion approved by the Ministry of Energy and Mines during 2018), (ii) solution extraction and electrowinning (SX/EW) leaching facilities with leach copper production derived from a 39,000 metric ton-per-day crushed leach facility and (iii) a run-of-mine (ROM) leach system with a capacity of 100,000 metric ton-per-day. This SX/EW leaching operation has a production capacity of approximately 200 million pounds of copper per year. The leaching and flotation process carried out at these plants are part of the benefit concession “Planta de Beneficio Cerro Verde.” (c) The financial statements for the year ended December 31, 2019, were approved by Company’s Management on April 9, 2020 and the subsequent events have been considered through those dates. |
Basis for preparation, consolid
Basis for preparation, consolidation and accounting policies | 12 Months Ended |
Dec. 31, 2019 | |
Basis for preparation, consolidation and accounting policies | |
Basis for preparation, consolidation and accounting policies | 2. Basis for preparation, consolidation and accounting policies 2.1. Basis of preparation - The consolidated financial statements of the Company have been prepared in accordance with International Financial Reporting Standards (IFRS), as issued by the International Accounting Standards Board (IASB). The consolidated financial statements have been prepared on a historical cost basis, based on the records of the Company, except for the derivative financial instruments and financial assets and liabilities that have been measured at fair value and discontinued operations that have been valued at the lower of (i) their carrying amount and (ii) its fair value less cost to sell. The consolidated financial statements are presented in U.S. dollars and all values are rounded to the nearest thousands, except when otherwise indicated. The preparation of consolidated financial statements requires that Management use judgments, estimates and assumptions, as detailed on the following note 3. These consolidated financial statements provide comparative information in respect of prior periods. 2.2. Basis of consolidation - The consolidated financial statements comprise the financial statements of the Company and its subsidiaries to the date of the consolidated statements of financial position. Control is achieved when the Group is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Specifically, the Group controls an investee if, and only if, the Group has: - - - Generally, there is a presumption that a majority of voting rights result in control. To support this presumption and when the Group has less than a majority of the voting or similar rights of an investee, the Group considers all relevant facts and circumstances in assessing whether it has power over an investee, including: - - - The Group re-assesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control. Consolidation of a subsidiary begins when the Group obtains control over the subsidiary and ceases when the Group loses control of the subsidiary. Assets, liabilities, income and expenses of a subsidiary acquired or disposed of during the year are included in the consolidated financial statements from the date the Group gains control until the date the Group ceases to control the subsidiary. Profit or loss and each component of other comprehensive income are attributed to the equity holders of the parent of the Group and to the non-controlling interests, even if this results in the non-controlling interests having a deficit balance. When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with the Group’s accounting policies. All intra-group assets and liabilities, equity, income, expenses and cash flows relating to transactions between members of the Group are eliminated in full on consolidation. A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. If the Group loses control over a subsidiary, it derecognizes the related assets (including goodwill), liabilities, non-controlling interest and other components of equity, while any resultant gain or loss is recognized in profit or loss. Any investment retained is recognized at fair value. 2.3. Changes in accounting policies and disclosures - The Group applied the following standards and amendments for the first time for their annual reporting period commencing January 1, 2019: - - - The Group had to change its accounting policies as a result of adopting IFRS 16. The other amendments listed above did not have any impact on the amounts recognized in prior periods. Several other amendments and interpretations apply for the first time in 2019; but do not have an impact on the consolidated financial statements of the Group and therefore, have not been disclosed. The Group has not early adopted any standards, interpretations or amendments that have been issued but are not yet effective. IFRS 16 Leases - The Group adopted IFRS 16 Leases from January 1, 2019, but has not restated comparatives for the 2018 reporting period, as permitted under the specific transition provisions in the standard. The reclassifications and the adjustments arising from the new leasing rules are therefore recognized in the opening statement of financial position as of January 1, 2019. On adoption of IFRS 16, the Group recognized lease liabilities in relation to leases that had previously been classified as ‘operating leases’ under the principles of IAS 17 Leases. These liabilities were measured at the present value of the remaining lease payments, discounted using the lessee’s incremental borrowing rate as of January 1, 2019 (the weighted average incremental borrowing rate at transition was 5% per annum). The effect of adopting IFRS 16 is as follows: Impact on the consolidated statement of financial position (increase / (decrease)) – As of As of December 31, January 1, 2019 2019 US$(000) US$(000) Assets Mining concessions, development costs, right-of-use asset, property, plant and equipment, net 6,185 18,528 Deferred income tax asset, net 390 400 Total assets 6,575 18,928 Liabilities Financial obligations 7,503 19,885 Total liabilities 7,503 19,885 Shareholders’ equity, net Retained earnings (928) (957) Total shareholders’ equity, net (928) (957) Impact on the consolidated statement of profit or loss (income / (expense)) – As of December 31, 2019 US$(000) Operating costs Cost of sales of goods, excluding depreciation and amortization Depreciation and amortization (6,751) Total operating costs (760) Operating profit Administrative expenses 272 Others, net 155 Total operating profit 427 Other income (expense), net Finance costs 379 Profit (loss) before income tax 46 Impact on the consolidated statement of cash flows (increase / (decrease)) – 2019 US$(000) Short-term and low-value lease payments (24,175) Net cash flows used in operating activities (24,175) Short-term lease payments (7,596) Net cash flows used in financial activities (7,596) Practical expedients applied – In applying IFRS 16 for the first time, the Group used the following practical expedients permitted by the standard: i) applying a single discount rate to a portfolio of leases with reasonably similar characteristics, ii) accounting for operating leases with a remaining lease term of less than 12 months as at January 1, 2019 as short-term leases, iii) using hindsight in determining the lease term where the contract contains options to extend or terminate the lease. The Group also elected the transition practical expedient to not to reassess whether a contract is, or contains a lease at the date of initial application. Instead, for contracts entered into before the transition date the Group relied on its assessment made applying IAS 17 and IFRIC 4. Below is a reconciliation between the balance of assets and liabilities as of January 1, 2019 under IFRS 16 compared with operating leases under IAS 17 as of December 31, 2018: US$(000) Operating lease commitments disclosed as of December 31, 2018 7,330 New operating leases commitments under IFRS 16 16,221 Exceptions: - Short-term leases not recognized as a liability (547) - Low-value leases not recognized as a liability (3,119) Additional lease liability recognized as of January 1, 2019 19,885 Plus: Lease liability already recognized as of December 31, 2018 241,653 Lease liability as of January 1, 2019 261,538 Lessor accounting under IFRS 16 is substantially unchanged from IAS 17, therefore the Group did not need to adjust the accounting for assets held as lessor under operating leases, as a result of the adoption of IFRS 16. Interpretation 23 Uncertainty over Income Tax Treatments The Interpretation addresses the accounting for income taxes when tax treatments involve uncertainty that affects the application of IAS 12 Income Taxes. It does not apply to taxes or levies outside the scope of IAS 12, nor does it specifically include requirements relating to interest and penalties associated with uncertain tax treatments. The Interpretation specifically addresses the following: - - - - The Group determines whether to consider each uncertain tax treatment separately or together with one or more other uncertain tax treatments and uses the approach that better predicts the resolution of the uncertainty. The Group applies significant judgement in identifying uncertainties over income tax treatments. The Group assessed whether the Interpretation had an impact on its consolidated financial statements. Upon adoption of the Interpretation, the Group considered whether it has any uncertain tax positions and concluded that it is probable that the taxation authorities will accept its tax treatments. The effect of adopting IFRIC 23 is a follow: Impact on the consolidated statement of financial position (increase / (decrease)) – As of As of December 31, January 1, 2019 2019 US$(000) US$(000) Liabilities Income tax payable 382 382 Total liabilities 382 382 Shareholders’ equity, net Retained earnings (382) (382) Total shareholders’ equity, net (382) (382) Annual Improvements to IFRS Standards 2015 – 2017 Cycle - The amendments clarify that, when an entity obtains control of a business that is a joint operation, it applies the requirements for a business combination achieved in stages, including remeasuring previously held interests in the assets and liabilities of the joint operation at fair value. In doing so, the acquirer remeasures its entire previously held interest in the joint operation to fair value. An entity applies those amendments to business combinations for which the acquisition date is on or after the beginning of the first annual reporting period beginning on or after January 1, 2019, with early application permitted. These amendments did not have an impact on the consolidated financial statements of the Group, as there was no transaction in the year where joint control was obtained. - An entity that participates in, but does not have joint control of, a joint operation might obtain joint control of the joint operation in which the activity of the joint operation constitutes a business as defined in IFRS 3. The amendments clarify that the previously held interests in that joint operation are not remeasured. An entity applies those amendments to transactions in which the entity obtains joint control on or after the beginning of the first annual reporting period beginning on or after January 1, 2019 with early application permitted. These amendments did not have an impact on the consolidated financial statements of the Group, as there was no transaction in the year where joint control was obtained in relation of an arrangement the Group previously participated in. - The amendments clarify that the income tax consequences of dividends are linked more directly to past transactions or events that generated distributable profits than to distributions to owners. Therefore, an entity recognizes the income tax consequences of dividends in profit or loss, other comprehensive income or equity according to where it originally recognized those past transactions or events. An entity applies the amendments for annual reporting periods beginning on or after January 1, 2019, with early application permitted. When the entity first applies those amendments, it applies them to the income tax consequences of dividends recognized on or after the beginning of the earliest comparative period. Since the Group’s current practice is in line with these amendments, they had no impact on the consolidated financial statements of the Group. - The amendments clarify that an entity treats, as part of general borrowings, any borrowing originally made to develop a qualifying asset when substantially all of the activities necessary to prepare that asset for its intended use or sale are complete. The entity applies the amendments to borrowing costs incurred on or after the beginning of the annual reporting period in which it first applies those amendments. The entity applies those amendments for annual reporting periods beginning on or after January 1, 2019, with early application permitted. Since the Group’s current practice is in line with the amendments, they had no impact on the consolidated financial statements of the Group. 2.4. Summary of significant accounting policies – (a) The Group’s consolidated financial statements are presented in US dollars, which is also the parent company’s functional currency. For each entity, the Group determines the functional currency and the items included in the financial statements of each entity are measured using that functional currency. For consolidation purposes, each entity presents its financial statements in US dollars. Transactions and balances Transactions in foreign currency are initially recorded by the Group at the exchange rates prevailing at the dates of the transactions, published by the Superintendence of Banking and Insurance and Pension Fund Administrators (AFP for its acronym in Spanish). Monetary assets and liabilities denominated in foreign currencies are translated at the functional currency spot rates of exchange at the reporting date. Differences arising from the settlement or translation of monetary items are recognized in profit or loss with the exception of monetary items that are designated as part of a hedge. These are recognized in other comprehensive income (OCI) until the hedge items is disposed of, at which time, the cumulative amount is reclassified to profit or loss. Tax charges and credits attributable to exchange differences on those monetary items are also recognized in OCI. Non-monetary assets and liabilities recognized in terms of historical cost are translated using the exchange rates prevailing at the dates of the initial transactions. (b) A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity. (i) Initial recognition and measurement - Financial assets are classified, at initial recognition, as subsequently measured at amortized cost, fair value through OCI, and fair value through profit or loss. The classification of financial assets at initial recognition depends on the financial asset’s contractual cash flow characteristics and the Group’s business model for managing them. With the exception of trade receivables that do not contain a significant financing component, the Group initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs. In order for a financial asset to be classified and measured at amortized cost or fair value through OCI, it needs to give rise to cash flows that are “solely payments of principal and interest (SPPI) ¨ on the principal amount outstanding. This assessment is performed at an instrument level. The Group’s business model for managing financial assets refers to how it manages its financial assets in order to generate cash flows. The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial assets, or both. Purchases or sales of financial assets that require delivery of assets within a period established by regulation or convention in the market place (regular way trades) are recognized on the trade date. Subsequent measurement - For purposes of subsequent measurement, financial assets are classified in the following categories: - - - Financial assets at amortized cost - The Group measures financial assets at amortized cost if both of the following conditions are met: - - Financial assets at amortized cost are subsequently measured using the effective interest (EIR) method and are subject to impairment. Gains and losses are recognized in profit or loss when the asset is derecognized, modified or impaired. This category generally applies to other receivables included in the “Trade and other receivables, net” caption. Financial assets at fair value through OCI - Financial assets are classified and measured at fair value through OCI if they are held in a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets. This category generally applies to the “Hedge derivative financial instruments” caption. Financial assets at fair value through profit or loss - Financial assets at fair value through profit or loss include financial assets held for trading and financial assets designated upon initial recognition at fair value through profit or loss or financial assets mandatorily required to be measured at fair value. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term. Derivatives, including separated embedded derivatives, are also classified as held for trading unless they are designated as effective hedging instruments. Financial assets with cash flows that are not solely payments of principal and interest are classified and measured at fair value through profit or loss, irrespective of the business model. Notwithstanding the criteria for debt instruments to be classified at amortized cost or at fair value through OCI, as described above, debt instruments may be designated at fair value through profit or loss on initial recognition if doing so eliminates, or significantly reduces, an accounting mismatch. Financial assets at fair value through profit or loss are carried in the consolidated statements of financial position at fair value with net changes in fair value recognized in the consolidated statements of profit or loss. This category generally applies to the trade receivables included in the “Trade and other receivables, net” caption. Derecognition - A financial asset (or, where applicable a part of a financial asset or part of a group of similar financial assets) is primarily derecognized when: - - When the Group has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, it evaluates to what extent, it has retained the risk and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the Group continues to recognize the transferred asset to the extent of the Group´s continuing involvement. In that case, the Group also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Group has retained. Impairment of financial assets - The Group recognizes an allowance for expected credit losses (ECLs) for all debt instruments not held at fair value through profit or loss. ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Group expects to receive, discounted at an approximation of the original effective interest rate. The expected cash flows will include cash flows from the sale of collateral held or other credit enhancements that are integral to the contractual terms. ECLs are recognized in two stages. For credit exposures for which there has not been a significant increase in credit risk since initial recognition, ECLs are provided for credit losses that result from default events that are possible within the next 12‑months (a 12‑month ECL). For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (a lifetime ECL). For trade receivables and contract assets, the Group applies a simplified approach in calculating ECLs. Therefore, the Group does not track changes in credit risk, but instead recognizes a loss allowance based on lifetime ECLs at each reporting date. The Group has established a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment. The Group considers a financial asset in default when contractual payments are past due according to each contract. However, in certain cases, the Group may also consider a financial asset to be in default when internal or external information indicates that the Group is unlikely to receive the outstanding contractual amounts in full before taking into account any credit enhancements held by the Group. A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows. (ii) Initial recognition and measurement - Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings, payables, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. All financial liabilities are recognized initially at fair value and, in the case of loans , borrowings and payables, net of directly attributable transaction costs. The Group’s financial liabilities include trade and other payables, financial obligations, bank loans, financial liabilities for contingent consideration liability and Hedge derivative financial instruments. Subsequent measurement - The measurement of financial liabilities depends on their classification, as described below: Financial liabilities at fair value through profit or loss - Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial liabilities designated upon initial recognition as at fair value through profit or loss. Financial liabilities are classified as held for trading if they are incurred for repurchasing in the near term. This category also includes derivative financial instruments entered into by the Group that are not designated as hedging instruments in hedge relationships as defined by IFRS 9. Separated embedded derivatives are also classified as held for trading unless they are designated as effective hedging instruments. Gains or losses on liabilities held for trading are recognized in the consolidated statements of profit or loss. Financial liabilities designated upon initial recognition at fair value through profit or loss are designated at the initial date of recognition, and only if the criteria in IFRS 9 are satisfied. The Group has designated financial liabilities for contingent consideration liability as at fair value through profit or loss. Financial liabilities at amortized cost (loans and borrowings) - After initial recognition, interest-bearing loans and borrowing are subsequently measured at amortized cost using the effective interest rate method (EIR). Gains and losses are recognized in the profit or loss when the liabilities are derecognized as well as through the EIR amortization process. Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. EIR amortization is included in the “Financial costs” caption in the consolidated statements of profit or loss. This category generally applies to interest-bearing loans and borrowings. Derecognition - A financial liability is derecognized when the obligation under the liability is discharged or cancelled, or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognized in the consolidated statements of profit or loss. (iii) Financial assets and financial liabilities are offset and the net amount is reported in the consolidated statements of financial position if there is a currently enforceable legal right to offset the recognized amounts and there is an intention to settle on a net basis, to realize the assets and settle the liabilities simultaneously. (c) “Cash and cash equivalents” caption presented in the consolidated statements of financial position comprise cash at banks and on hand, and short-term highly liquid deposits with a maturity of three months or less, that are readily convertible to known amount of cash and subject to an insignificant risk of changes in value. For the purpose of the consolidated statements of cash flows, cash and cash equivalents consist of cash and short-term deposits as defined above, net of outstanding bank overdrafts as they are considered an integral part of the Group’s cash management. (d) Inventories are valued at the lower of cost or net realizable value. Cost is determined using the average method. In the case of finished goods and work in progress, cost includes the cost of materials and direct labor and a portion of indirect manufacturing expenses, excluding borrowing costs. The current portion of the inventories is determined based on the expected amounts to be processed within the next twelve months. Inventories not expected to be processed within the next twelve months are classified as non-current. Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs to make the sale. Provision (or reversal) for losses on the net realizable value are calculated based on a specific analysis conducted annually by the Management and is charged to profit or loss in the period in which it determines the need for the provision (or reversal). Any provision for obsolescence of spare parts and supplies is determined by reference to specific items of stock based on inventory turnover level. A regular review is undertaken to determine the extent of any provision for obsolescence. (e) Business combinations are accounted for using the acquisition method. The cost of an acquisition is measured as the aggregate of the consideration transferred measured at acquisition date fair value and the amount of any non-controlling interest in the acquiree. For each business combination, the Group elects whether to measure the non-controlling interests in the acquiree at fair value or at the proportionate share of the acquiree’s identifiable net assets. Acquisition-related costs are expensed as incurred and included in “Administrative expenses” caption. When the Group acquires a business, it assesses the financial assets and liabilities assumed for appropriate classification and designation in accordance with the contractual terms, economic circumstances and pertinent conditions as at the acquisition date. This include the separation of embedded derivatives in host contracts by the acquire. Any contingent consideration to be transferred by the acquirer will be recognized at fair value at the acquisition date. Contingent consideration classified as an asset or liability that is a financial instrument and within the scope of IFRS 9 Financial Instruments, is measured at fair value, with changes in fair value recognized in either profit or loss or as a change to other comprehensive income. If the contingent consideration is not within the scope of IFRS 9, it is measured under the fair value at the reporting date with changes in the fair value recorded in the consolidated statement of profit or loss. Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognized for non-controlling interests, and any previous interests held, over the net identifiable assets acquired and liabilities assumed. If the fair value of the net assets acquired is in excess of the aggregate consideration transferred, the Group re-assesses whether it has correctly identified again all of the assets acquired and all of the liabilities assumed and reviews the procedures used to measure the amounts to be recognized at the acquisition date. If the re-assessment still results in an excess of the fair value of net assets acquired over the aggregate consideration transferred, then the gain is recognized in the consolidated statements of profit or loss. After initial recognition, goodwill is measured at cost less any accumulated impairment losses. For the purpose of impairment testing, this difference is allocated to each of the Group’s cash-generating units that are expected to benefit from the combination, irrespective of whether other assets or liabilities, of the acquiree, are assigned to those units. Where goodwill has been allocated to a cash-generating unit and part of the operation within that unit is disposed of, the goodwill associated with the disposed operation is included in the carrying amount of the operation when determining the gain or loss on disposal. Goodwill disposed of in these circumstances is measured based on the relative values of the disposed operation and the portion of the cash-generating unit retained. (f) An associate is an entity over which the Group has significant influence. Significant influence is the power to participate in the financial and operating policy decisions of the investee, but is not control over those policies. A joint venture is a type of joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the joint venture. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control. The considerations made in determining significant influence or joint control are similar to those necessary to determine control over subsidiaries. The Group’s investments in associates and joint ventures are accounted for using the equity method. Under this method, the investment in an associate or joint venture is initially recognized at cost. The carrying amount of the investment is adjusted to recognize changes in the Group’s share of net assets of the associate and joint ventures since the acquisition date. Goodwill relating to the associate is included in the carrying amount of the investment and is not tested for impairment individually. The consolidated statement of profit or loss reflects the Group’s share of the results of operations of the associates and joint ventures. Any change in OCI of those investees is presented, as part of the Group’s other comprehensive income. In addition, when there has been a change recognized directly in the equity of the associate and joint ventures, the Group recognizes its share of any changes, when applicable, in the consolidated statements of changes in shareholders’ equity. Unrealized gains and losses resulting from transactions between the Group and the associate or joint venture are eliminated to the extent of the interest in the associate or joint venture. The aggregate of the Group´s share of profit or loss of an associate and joint ventures is shown on the face of the consolidated statements of profit or loss outside operating profit and represents profit or loss after tax in the associates and joint ventures. The financial statements of the associates and joint ventures are prepared for the same reporting period as the Group. When necessary, adjustments are made to bring the accounting policies in line with those of the Group. After the application of the equity method, the Group determines whether it is necessary to recognize an impairment loss of its investment in associates and joint ventures. At each reporting date, the Group determines whether there is objective evidence that the investments in the associates and joint ventures are impaired. If there is such evidence, the Group calculates the amount of impairment as the difference between the recoverable amount of the associate and its carrying value, and then recognizes the loss in the consolidated statements of profit or loss. Upon loss of significant influence over the associate and joint ventures, the Group measures and recognizes any retained investment at its fair value. Any difference between the carrying amount of the associate and joint ventures upon loss of significant influence and the fair value of the retained investment and proceeds from disposal is recognized in consolidated statements of profit or loss. (g) Non-monetary assets, which r |
Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Basis for preparation, consolidation and accounting policies | 2. Basis for preparation, consolidation and accounting policies 2.1. Basis of preparation - The consolidated financial statements of the Company have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standard Board (“IASB”). The consolidated financial statements have been prepared under the historical cost basis, except for accounts receivables and financial assets which are measured at their fair value. The consolidated financial statements are presented in U.S. dollars and all values are rounded to the nearest thousands, except when otherwise indicated. The preparation of consolidated financial statements requires that Management use judgments, estimates and assumptions, as detailed in note 3. The Company adopted IFRS 16, Leases on January 1, 2019, using the modified retrospective approach, and accordingly, no comparative information is included on the prior periods. See note 2.3. Besides the comparative information arising from the application of IFRS 16 mentioned in the previous paragraph, these consolidated financial statements provide comparative information in respect of the prior periods. 2.2. Basis of consolidation - The consolidated financial statements comprise the financial statements of the Company and its subsidiary (San Jose Reservoir Trust, a separate Peruvian legal entity created to ensure the continuity of the Company’s operations in the San Jose Reservoir after the end of operations at Yanacocha). Control is achieved when the Company is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Specifically, the Company controls an investee if, and only if, the Company has: - Power over the investee (i.e., existing rights that give it the current ability to direct the relevant activities of the investee). - Exposure, or rights, to variable returns from its involvement with the investee. - The ability to use its power over the investee to affect its returns. Generally, there is a presumption that a majority of voting rights result in control. To support this presumption and when the Company has less than a majority of the voting or similar rights of an investee, the Company considers all relevant facts and circumstances in assessing whether it has power over an investee, including: - The contractual arrangement with the other vote holders of the investee. - Rights arising from other contractual arrangements. - The Company’s voting rights and potential voting rights or a combination of rights. The Company re-assesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control. Consolidation of a subsidiary begins when the Company obtains control over the subsidiary and ceases when the Company loses control of the subsidiary. Assets, liabilities, income and expenses of a subsidiary acquired or disposed of during the year are included in the consolidated financial statements from the date the Company gains control until the date the Company ceases to control the subsidiary. When necessary, adjustments are made to the financial statements of the subsidiary to bring its accounting policies into line with the Company’s accounting policies. All intra-group assets and liabilities, equity, income, expenses and cash flows are eliminated in full on consolidation. A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. 2.3. Changes in accounting policies and disclosures - The Company applied IFRS 16 Leases and IFRIC 23 Uncertainty over Income Tax Treatment for the first time. The nature and effect of the changes as a result of adoption of this new accounting standards is described below. Several other amendments and interpretations apply for the first time in 2019, but do not have an impact on the consolidated financial statements of the Company. The Company has not early adopted any standards, interpretations or amendments that have been issued but are not yet effective. IFRS 16 Leases IFRS 16 supersedes IAS 17 Leases, IFRIC 4 Determining whether an Arrangement contains a Lease, SIC-15 Operating Leases-Incentives and SIC-27 Evaluating the Substance of Transactions Involving the Legal Form of a Lease. The standard sets out the principles for the recognition, measurement, presentation and disclosure of leases and requires lessees to recognize most leases on the balance sheet. Lessor accounting under IFRS 16 is substantially unchanged from IAS 17. Lessors will continue to classify leases as either operating or finance leases using similar principles as in IAS 17. Therefore, IFRS 16 does not have an impact for leases where the Company is the lessor. The Company adopted IFRS 16 using the modified retrospective approach with accumulative-effect adjustment recorded at beginning of the period of adoption (January 1, 2019). Therefore, upon adoption, the Company recognize and measure leases without revising comparative period information or disclosure. The Company also elected to use the recognition exemptions for lease contracts that, at the commencement date, have a lease term of 12 months or less and do not contain a purchase option (short-term leases), and lease contracts for which the underlying asset is of low value (low-value assets). The effect of adopting IFRS 16 is, as follows: Impact on the consolidated statement of financial position 31 December 1 January 2019 2019 US$(000) US$(000) Assets Right-of-use assets Total Liabilities Provisions and other accruals Total Impact on the consolidated statement of profit or loss 31 December 2019 US$(000) Cost of sales (depreciation) (270) Operating profit (270) Finance costs (36) Profit or loss for the period (306) Impact on the consolidated statement of cash flows 31 December 2019 US$(000) Lease payments (270) Interest paid (26) Net cash flows (296) There is no impact on other comprehensive income. The lease liabilities were determined using an incremental borrow rate of 5.23%. In addition, the reconciliation between the balance of assets and liabilities as of January 1, 2019 under IFRS 16 compared with operating leases under IAS 17 as of December 31, 2018 is as follows: US$(000) Operating lease commitments disclosed as of December 31, 2018 450 Exceptions: - Short-term leases not recognized as a liability (88) Additional lease liability recognized as of January 1, 2019 362 Plus: Lease liability already recognized as of December 31, 2018 — Lease liability as of January 1, 2019 362 IFRIC Interpretation 23 Uncertainty over Income Tax Treatment The Interpretation addresses the accounting for income taxes when tax treatments involve uncertainty that affects the application of IAS 12 Income Taxes. It does not apply to taxes or levies outside the scope of IAS 12, nor does it specifically include requirements relating to interest and penalties associated with uncertain tax treatments. The Interpretation specifically addresses the following: - Whether an entity considers uncertain tax treatments separately. - The assumptions an entity makes about the examination of tax treatments by taxation authorities. - How an entity determines taxable profit (tax loss), tax bases, unused tax losses, unused tax credits and tax rates. - How an entity considers changes in facts and circumstances. The Company applies significant judgement in identifying uncertainties over income tax treatments. Therefore, it assessed whether the Interpretation had an impact on its consolidated financial statements. Upon adoption of the Interpretation, the Company considered whether it has any uncertain tax positions, particularly those relating to deductible expenses. The Company’s tax filings include deductions related to deductible expenses and the taxation authorities may challenge those tax treatments. The Company determined, based on its tax compliance that it is probable that its tax treatments will be accepted by the taxation authorities. The Interpretation did not have an impact on the consolidated financial statements of the Company. 2.4. Summary of significant accounting policies and practices - (a) The consolidated financial statements are presented in U.S. dollars, which is also the Company’s functional currency. Transactions and balance Transactions in foreign currency (a currency other than functional currency) are initially recorded by the Company at the exchange rates prevailing at the time of the transactions published by the Superintendence of Banking and Insurance and Pension Fund Administrators (AFP for its acronym in Spanish). Monetary assets and liabilities denominated in other currencies are translated into the U.S. dollar at exchange rates prevailing at the statements of financial position dates. Gains or losses from exchange differences arising from the settlement or translation of monetary assets and liabilities are recognized in the consolidated statements of comprehensive income. Non-monetary assets and liabilities recognized in terms of historical cost are translated using the exchange rates prevailing at the dates of the initial transactions. Transactions in Soles (S/) Transactions in Soles are completed using exchange rates published by the AFP. As of December 31, 2019, the exchange rates for U.S. dollars published by this Institution were US$0.3020 for buying and US$0.3015 for selling (US$0.2968 for buying and US$0.2959 for selling as of December 31, 2018), and have been applied by the Company for the assets and liabilities accounts, respectively. As of December 31, 2019 and 2018, the Company presents the following assets and liabilities originally denominated in Soles by its equivalent in U.S. dollars: 2019 2018 US$(000) US$(000) Assets Cash and cash equivalents 5,140 7,563 Trade and other receivables 27,990 27,335 Prepaid income tax — 19,239 Value added tax credit 32,831 29,828 Total assets 65,961 83,965 Liabilities Trade and other payables 13,085 9,586 Income tax payable 23,153 3,552 Provisions, other accruals and liabilities 29,633 3,970 Total liabilities 65,871 17,108 Net asset position 90 66,857 For the year ended December 31, 2019, the Company recognized a net gain from currency exchange difference for US$2,902 (net loss for US$2,056 and gain for US$3,636 as of December 31, 2018 and 2017; respectively) in the caption “Net gain (loss) from currency exchange difference” of the consolidated statements of comprehensive income. (b) A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity. (i) Financial assets - Initial recognition and measurement Financial assets are classified, at initial recognition, and subsequently measured at amortized cost, fair value through other comprehensive income (OCI), and fair value through profit or loss. The classification of financial assets at initial recognition depends on the financial asset’s contractual cash flow characteristics and the Company’s business model for managing them. With the exception of trade receivables that do not contain a significant financing component or for which the Company has applied the practical expedient, the Company initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs. Trade receivables that do not contain a significant financing component or for which the Company has applied the practical expedient are measured at the transaction price as disclosed in section (n) Revenue from contracts with customers. In order for a financial asset to be classified and measured at amortized cost or fair value through OCI, it needs to give rise to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding. This assessment is referred to as the SPPI test and is performed at an instrument level. The Company’s business model for managing financial assets refers to how it manages its financial assets in order to generate cash flows. The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial assets, or both. Purchases or sales of financial assets that require delivery of assets within a time frame established by regulation or convention in the market place (regular way trades) are recognized on the trade date. Financial assets of the Company comprise cash and cash equivalents, trade and other receivables, net and financial assets at fair value through OCI with recycling of cumulative gains and losses and financial assets at fair value through profit or loss. Subsequent measurement - For purposes of subsequent measurement, financial assets are classified in four categories: - Financial assets at amortized cost (debt instruments). - Financial assets at fair value through OCI with recycling of cumulative gains and losses (debt instruments). - Financial assets designated at fair value through OCI with no recycling of cumulative gains and losses upon derecognition (equity instruments). - Financial assets at fair value through profit or loss. Financial assets at amortized cost (debt instruments) - Financial assets at amortized cost are subsequently measured using the effective interest (EIR) method and are subject to impairment. Gains and losses are recognized in profit or loss when the asset is derecognized, modified or impaired. The Company's financial assets at amortized cost includes other receivables, net. See note 6 for more information on accounts receivables. Financial assets at fair value through OCI with recycling of cumulative gains and losses (debt instruments) - For debt instruments at fair value through OCI, interest income, foreign exchange revaluation and impairment losses or reversals are recognized in the consolidated statements of comprehensive income and computed in the same manner as for financial assets measured at amortized cost. The remaining fair value changes are recognized in OCI. Upon derecognition, the cumulative fair value change recognized in OCI is recycled to profit or loss. The Company’s investments in the San Jose Reservoir Trust are classified as financial assets at fair value through OCI as of December 31, 2019 and 2018. Financial assets designated at fair value through OCI with no recycling of cumulative gains and losses upon derecognition (equity instruments) - Debt instruments at fair value through OCI includes investments in quoted debt instruments included under other non-current financial assets. Gains and losses on these financial assets are never recycled to profit or loss. Dividends are recognized as other income in the statements of comprehensive income when the right of payment has been established, except when the Company benefits from such proceeds as a recovery of part of the cost of the financial asset, in which case, such gains are recorded in OCI. Equity instruments designated at fair value through OCI are not subject to impairment assessment. The Company does not have financial assets classified in this category. Financial assets at fair value through profit or loss - Financial assets at fair value through profit or loss are carried in the consolidated statement of financial position at fair value with net changes in fair value recognized in the consolidated statements of comprehensive income. This category includes derivative instruments and listed equity investments which the Company had not irrevocably elected to classify at fair value through OCI. Dividends on listed equity investments are recognized as other income in the consolidated statements of comprehensive income when the right of payment has been established. As of December 31, 2019, the Company has nominal investments related to the San Jose Reservoir Trust as financial assets at fair value through profit or loss. A derivative embedded in a hybrid contract, with a financial liability or non-financial host, is separated from the host and accounted for as a separate derivative if: the economic characteristics and risks are not closely related to the host; a separate instrument with the same terms as the embedded derivative would meet the definition of a derivative; and the hybrid contract is not measured at fair value through profit or loss. Embedded derivatives are measured at fair value with changes in fair value recognized in profit or loss. Reassessment only occurs if there is either a change in the terms of the contract that significantly modifies the cash flows that would otherwise be required or a reclassification of a financial asset out of the fair value through profit or loss category. This category also applies to financial assets that are intended to be held for an indefinite period of time and may be sold in response to needs for liquidity, or in response to changes in the market conditions (Note 9). Derecognition - A financial asset (or, where applicable a part of a financial asset or part of a group of similar financial assets) is primarily derecognized when: - The rights to receive cash flows from the asset have expired; or - The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a pass-through arrangement; and either (a) the Company has transferred substantially all the risks and rewards of the asset or, (b) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset. When the Company has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, it evaluates if and to what extent, it has retained the risk and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the Company continues to recognize the transferred asset to the extent of the Company’s continuing involvement. In that case, the Company also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Company has retained. Impairment of financial assets - The Company recognizes an allowance for expected credit losses (ECLs) for all debt instruments not held at fair value through profit or loss. ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Company expects to receive, discounted at an approximation of the original effective interest rate. The expected cash flows will include cash flows from the sale of collateral held or other credit enhancements that are integral to the contractual terms. ECLs are recognized in two stages. For credit exposures for which there has not been a significant increase in credit risk since initial recognition, ECLs are provided for credit losses that result from default events that are possible within the next 12‑months (a 12‑month ECL). For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (a lifetime ECL). For trade receivables and contract assets, the Company applies a simplified approach in calculating ECLs. Therefore, the Company does not track changes in credit risk, but instead recognizes a loss allowance based on lifetime ECLs at each reporting date. The Company has established a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment. The Company considers a financial asset in default when contractual payments are 90 days past due. However, in certain cases, the Company may also consider a financial asset to be in default when internal or external information indicates that the Company is unlikely to receive the outstanding contractual amounts in full before taking into account any credit enhancements held by the Company. A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows. (ii) Financial liabilities - Initial recognition and measurement - Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings, payables, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs. The Company’s financial liabilities include trade and other payables. Subsequent measurement - The measurement of financial liabilities depends on their classification, as described below: Financial liabilities at fair value through profit or loss - Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial liabilities designated upon initial recognition as at fair value through profit or loss. Financial liabilities are classified as held for trading if they are incurred for the purpose of repurchasing in the near term. This category also includes derivative financial instruments entered into by the Company that are not designated as hedging instruments in hedge relationships as defined by IFRS 9. Separated embedded derivatives are also classified as held for trading unless they are designated as effective hedging instruments. Gains or losses on liabilities held for trading are recognized in the consolidated statements of comprehensive income. Financial liabilities designated upon initial recognition at fair value through profit or loss are designated at the initial date of recognition, and only if the criteria in IFRS 9 are satisfied. The Company has not designated any financial liability as at fair value through profit or loss. Loans and borrowings - After initial recognition, interest-bearing loans and borrowing are subsequently measured at amortized cost using the effective interest rate method. Gains and losses are recognized in the consolidated statements of profit and cost when the liabilities are derecognized as well as through the amortization process. Amortized cost is calculated taking into account any discount or premium on acquisition and fees or costs that are an integral part of the effective interest rate. Amortization under the effective interest rate method is included as financial costs in the consolidated statements of profit or loss. This category generally applies to interest-bearing loans and borrowings. Trade and other payables are subsequently measured at amortized cost. Derecognition - A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognized in the consolidated statements of comprehensive income. (iii) Offsetting of financial instruments - Financial assets and financial liabilities are offset and the net amount is reported in the consolidated statements of financial position if there is a currently enforceable legal right to offset the recognized amounts and there is an intention to settle on a net basis, to realize the assets and settle the liabilities simultaneously. (c) The Company presents assets and liabilities in the consolidated statements of financial position based on current or non-current classification. An asset is classified as current when it is: - Expected to be realized or intended to be sold or consumed in the normal operating cycle; - Held primarily for the purpose of trading; - Expected to be realized within twelve months after the reporting period, or - Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period. All other assets are classified as non-current. A liability is current when it is: - Expected to be settled in the normal operating cycle; - Held primarily for the purpose of trading; - Due to be settled within twelve months after the reporting period, or - There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period. The Company classifies all other liabilities as non-current. Deferred tax assets and liabilities are classified as non-current assets and liabilities. (d) Cash and cash equivalents include cash in hand, deposits held at call with banks and other short-term highly liquid investments with original maturities of three months or less. Restricted cash includes guarantee deposits in escrow accounts related to Sumitomo's shares acquisition (see note 13) and is excluded from cash and cash equivalents being included in other current assets or long-term assets depending on restrictions. (e) Costs that are incurred in or benefit the productive process are accumulated as stockpiles, ore on leach pads and inventories. Stockpiles, ore on leach pads and inventories are carried at the lower of weighted average cost or net realizable value. Net realizable value represents the estimated future sales price of the product based on current and long-term metals prices, less the estimated costs to complete production and bring the product to sale. Write-downs of stockpiles, ore on leach pads and inventories to net realizable value are reported as a component of costs applicable to sales. The current portion of stockpiles, ore on leach pads and inventories is determined based on the expected amounts to be processed within the next twelve months. Stockpiles, ore on leach pads and inventories not expected to be processed within the next twelve months are classified as non-current. The major classifications are as follows: (i) Stockpiles represent ore that has been extracted from the mine and is available for further processing. Stockpiles are measured by estimating the number of tons added and removed from the stockpile, the number of contained ounces (based on assay data) and the estimated metallurgical recovery rates (based on the expected processing method). Stockpile ore tonnages are verified by periodic surveys. Costs are allocated to stockpiles based on relative values of material stockpiled and processed using current mining costs incurred up to the point of stockpiling the ore, including applicable overhead and depreciation and amortization relating to mining operations, and removed at each stockpile’s weighted average cost per recoverable unit as material is processed. (ii) The recovery of gold from certain gold oxide ores is achieved through the heap leaching process. Under this method, oxide ore is placed on leach pads where it is treated with a chemical solution, which dissolves the gold contained in the ore. The resulting gold-bearing solution is later processed in a plant where the gold is recovered. Costs are added to ore on leach pads based on current mining costs, including applicable overhead and depreciation and amortization relating to mining operations, as well as leaching costs incurred in the leaching process. Costs are removed from ore on leach pads as ounces are recovered based on the weighted average cost per estimated recoverable ounce of gold on the leach pad. The estimates of recoverable gold on the leach pads are calculated from the quantities of ore placed on the pads (measured tons added to the leach pads), the grade of ore placed on the leach pads (based on assay data) and a recovery percentage (based on ore type). In general, the leach pads recover between 50% and 95% of the ultimate recoverable ounces in the first year of leaching, declining each year thereafter until the leaching process is complete. Although the quantities of recoverable gold placed on the leach pads are reconciled by comparing the grades of ore placed on the pads to the quantities of gold actually recovered (metallurgical balancing), the nature of the leaching process inherently limits the ability to precisely monitor inventory levels. As a result, the metallurgical balancing process is constantly monitored and estimates are refined based on actual results over time. The Company’s operating results typically are not materially impacted by variations between the estimated and actual recoverable quantities of gold on its leach pads in the ordinary course of business. Variations between actual and estimated quantities resulting from changes in assumptions and estimates that do not result in write-downs to net realizable value are accounted on a prospective basis. (iii) - process inventory - In-process inventories represent materials that are currently in the process of being converted to a saleable product. Conversion processes vary depending on the nature of the ore and the specific processing facility, and include mill in-circuit and leach in-circuit. In-process material is measured based on assays of the material fed into the process and the projected recoveries of the respective plants. In-process inventories are valued at the weighted average cost of the material fed into the process attributable to the source material coming from the mines, stockpiles and (or) leach pads plus the in- process conversion costs, including applicable amortization relating to the process facilities incurred to that point in the process. (iv) Precious metals include gold dore and (or) gold bullion. Precious metals that result from the Company’s mining, processing activities are valued at the weighted average cost of the respective in-process inventories incurred prior to the refining process, plus applicable refining costs. (v) Materials and supplies are valued at the lower of weighted average cost or replacement value. Cost includes applicable taxes and freight. (f) Property, plant and equipment is stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. The cost of an element of property, plant and equipment comprises the following: the acquisition price or manufacturing cost, including non-reimbursable customs and taxes and any cost necessary to place the asset in operating condition, as anticipated by Management; the estimate of the rehabilitation obligation and, in the case of qualified assets, the financing costs. The purchase price or construction cost corresponds to the total amount paid and fair value of any other consideration provided to acquire the asset. Subsequent costs attributable to property, plant and equipment are capitalized only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably, otherwise the cost is charged to production or expense. Maintenance and repair expenses are charged to the production cost or expense, as necessary, in the period when incurred. Disbursements incurred to replace a component of an item or element of property, plant and equipment are capitalized separately, writing-off the carrying amount of the component being replaced. In the event the component replaced has not been considered as a separate component of the asset item, the replacement value of the new component is used to estimate the carrying amount of the assets being replaced. Assets in the construction stage are capitalized on a separate caption of property plant and equipment. At their completion, the cost is transferred to the appropriate category. Assets under construction are not depreciated. Depreciation Land is not depreciated. Other than land, depreciation of property, plant and equipment is calculated using the straight-line method to allocate their cost less their residual value over their estimated useful lives and in the case of assets assigned to the production process of Yanacocha, under the lower of (i) that determined under the units of production method or (ii) the useful life of the mine. The useful lives as follows: Land improvements Between 2 and 4 years Buildings and constructions Between 5 and 10 years Machinery and |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Basis for preparation, consolidation and accounting policies | 2. Significant accounting principles and policies The significant accounting policies applied in the preparation of the financial statements are summarized below: (a) Basis of presentation - The financial statements of the Company have been prepared in accordance with International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB). IFRS includes International Accounting Standards (IAS) and pronouncements of the Interpretations Committees (SIC and IFRIC). The financial statements have been prepared based on historical cost, except for accounts receivable and/or payable related to embedded derivatives, which have been measured at fair value (see Note 2(d)). The financial statements are presented in United States dollars (US$) and include the years ended December 31, 2019, 2018 and 2017. Unless otherwise indicated, all values have been rounded to the nearest thousand. (b) Use of judgments, estimates and assumptions - The preparation of financial statements in conformity with IFRS requires management to make judgments, estimates and assumptions in order to determine the amounts of the assets and liabilities, and the disclosure of contingent assets and liabilities as of December 31, 2019 and 2018, and the amounts of reported revenues and expenses for the years ended December 31, 2019, 2018 and 2017. Information about significant judgments, estimates and assumptions made by Management in the preparation of the financial statements follows: (b.1) Judgments - (i) By their nature, contingencies will be resolved only when one or more uncertain future events occur or fail to occur. The assessment of the existence and potential amount of contingencies inherently involves the exercise of significant judgment and the use of estimates regarding the outcome of future events. (ii) The Company incurs waste removal costs (stripping costs) during the development and production phases of its surface mining operations. Production stripping costs can be incurred both in relation to the production of inventory in that period and the creation of improved access and mining flexibility in relation to ore to be mined in the future. The former are included as part of the costs of inventory, while the latter are capitalized as a stripping activity asset, as part of the “Property, plant and equipment” caption, where certain criteria are met. Once the Company has identified its production stripping for its surface mining operation, it identifies the separate components of the ore body. An identifiable component is a specific volume of the ore body that is made more accessible by the stripping activity. Significant judgment is required to identify and define these components, and to determine the expected volumes (e.g., in tons) of waste to be stripped and ore to be mined in each of these components. (b.2) Estimates and assumptions - (i) Mineral reserves are the part of a mineral deposit that can be economically and legally extracted from the mine concessions. The Company estimates its mineral reserves based on information compiled by individuals qualified in reference to geological data about the size, depth and form of the ore body, and requires geological judgments in order to interpret the data. The estimation of recoverable reserves involves numerous uncertainties with respect to the ultimate geology of the ore body, including quantities, grades and recovery rates. Estimating the quantity and grade of mineral reserves requires the Company to determine the size, shape and depth of the ore body by analyzing geological data. In addition to the geology, assumptions are required to determine the economic feasibility of mining the reserves, including estimates of future commodity prices and demand, future requirements of capital and production costs, and estimated exchange rates. Revisions in reserve or resource estimates have an impact on the value of mining properties, property, plant and equipment, provisions for cost of mine closure, recognition of assets for deferred taxes and depreciation and amortization of assets. (ii) Estimated mineral reserves are used in determining the depreciation and/or amortization of mine-specific assets. This results in a depreciation/amortization charge proportional to the depletion of the anticipated remaining life-of-mine production. The life of each item, which is assessed at least annually, is impacted by both its physical life limitations and present assessments of economically recoverable reserves of the mine property at which the asset is located. These calculations require the use of estimates and assumptions, including the amount of recoverable reserves. (iii) The Company assesses its provision for remediation and mine closure quarterly. It is necessary to make estimates and assumptions in determining this provision, including cost estimates of activities that are necessary for the rehabilitation of the site, technological and regulatory changes, interest rates and inflation rates. As discussed in note 2(j), estimated changes in the fair value of the provision for remediation and mine closure or the useful life of the related assets are recognized as an increase or decrease in the book value of the provision and related asset retirement cost (ARC) in accordance with IAS 16, “Property, Plant and Equipment.” According to the Company’s accounting policies, the provision for remediation and mine closure represents the present value of the costs that are expected to be incurred in the closure period of the operating activities of the Company. Closure budgets are reviewed regularly to take into account any significant change in the studies conducted. Nevertheless, the closure costs of mining units will depend on the market prices for the closure work required, which would reflect future economic conditions. Also, the timing of disbursements depends on the useful life of the mine, which are based on estimates of future commodity prices. If any change in the estimate results in an increase to the provision for remediation and mine closure and related ARC, the Company shall consider whether or not this is an indicator of impairment of the assets and will apply impairment tests in accordance with IAS 36, “Impairments of Assets.” (iv) Net realizable value tests are performed at least annually and represent the estimated future sales price of the product based on prevailing spot metals prices, less estimated costs to complete production and bring the inventory to sale. Additionally, in calculating the net realizable value of the Company’s long-term stockpiles, Management also considers the time value of money. Mill and leach stockpiles generally contain lower grade ores that have been extracted from the ore body and are available for copper recovery. Mill stockpiles contain sulfide ores and recovery of metal is through milling and concentrating. Leach stockpiles contain oxide ores and certain secondary sulfide ores and recovery of metal is through exposure to acidic solutions that dissolve contained copper and deliver it in solution to extraction processing facilities. Because it is generally impracticable to determine copper contained in mill and leach stockpiles by physical count, reasonable estimation methods are employed. The quantity of material delivered to mill and leach stockpiles is based on surveyed volumes of mined material and daily production records. Sampling and assaying of blast hole cuttings determine the estimated copper grades of material delivered to mill and leach stockpiles. Expected copper recovery rates for mill stockpiles are determined by metallurgical testing. The recoverable copper in mill stockpiles, once entered into the production process, can be produced into copper concentrate almost immediately. Expected copper recovery rates for leach stockpiles are determined using small-scale laboratory tests, historical trends and other factors, including mineralogy of the ore and rock type. Total copper recovery in leach stockpiles can vary significantly depending on several variables, including type of copper recovery, mineralogy and the size of the rock. For newly placed material of active stockpiles, as much as 80 percent of total copper recovery may be extracted during the first year, and the remaining copper may be recovered over many years. Processes and recovery rates are monitored continuously, and recovery rate estimates are adjusted periodically as additional information becomes available and as related technology changes. (v) Management has determined that the Company’s operations consist of one cash generating unit. The Company’s operations are evaluated at least annually in order to determine if there are impairment indicators. If any such indication exists, the Company makes an estimate of the recoverable amount, which is the higher of: (i) the fair value less costs of disposal or (ii) the value in use. These assessments require the use of estimates and assumptions, including long-term commodity prices, discount rates, operating costs, and others. Fair value is defined as the amount that would be obtained from the sale of the asset in an arm’s length transaction between willing and knowledgeable parties. The fair value of assets is generally determined as the current value of future cash flows derived from the continuous use of the asset, which includes estimates, such as the cost of future expansion plans and eventual disposal, while applying assumptions that an independent market participant may take into account. The cash flows are discounted by applying a discount rate that reflects the current market, the time value of money and the risks specific to the asset. (c) Currency - The financial statements are presented in United States (US) dollars, which is also the Company’s functional currency. Foreign currency transactions are those carried out in a currency other than the functional currency. Foreign currency transactions are translated into the functional currency by applying the exchange rate in force on the date the transaction takes place. Monetary assets and liabilities denominated in foreign currencies are converted using the functional currency spot rate in force at the reporting date. Gains and losses as a result of the difference in the exchange rate when currency items are liquidated or when converting currency items at exchange rates that are different from those used for their initial recognition are recognized in the statement of comprehensive income of the period. The Company uses Peruvian Sol (S/) exchange rates published by the Superintendent of Banks, Insurance and Pension Fund Administrators. The published exchange rates were S/3.311 for US$1 for buying and S/3.317 for US$1 for selling as of December 31, 2019, and S/3.369 for US$1 buying and S/3.379 for US$1 for selling as of December 31, 2018. These rates have been applied to the appropriate asset and liability accounts. (d) Financial assets – Initial recognition and measurement - At initial recognition, financial assets are classified and measured at either amortized cost, or fair value through profit or loss. The classification of financial assets at initial recognition depends on the financial asset’s contractual cash flow characteristics and the Company´s business model for managing them. With the exception of trade receivables that do not contain a significant financing component, the Company initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs. Trade receivables that do not contain a significant financing component are measured at the transaction price determined under IFRS 15, “Revenue from Contracts with Costumers.” The Company’s business model for managing financial assets refers to how it manages its financial assets in order to generate cash flows. The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial assets or both. Purchases or sales of financial assets that require delivery of assets within a time frame established by regulation or convention in the market place (regular way trades) are recognized on the trade date. Cash and cash equivalents - Cash and cash equivalents are financial assets that may be liquidated immediately, such as bank checking accounts, and other liquid investments with original maturities of three months or less. Accounts Receivables - The Company’s receivables include current and long-term trade and other accounts receivable. These receivables are stated at their transaction value, net of an allowance for expected credit lose. Trade accounts receivable are generated primarily from the Company’s concentrate and cathode sales, are denominated in US dollars, have current maturities, do not bear interest and have no specific guarantees. Receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. Subsequent measurement - For purposes of subsequent measurement, financial assets are classified in two categories: - Financial assets at amortized cost (debt instruments). - Financial assets at fair value through profit or loss. Financial assets at amortized cost (debt instruments) - This category is the most relevant to the Company. The Company measures financial assets at amortized cost if both of the following conditions are met: - The financial asset is held within a business model with the objective to collect contractual cash flows, and - The contractual terms of the financial asset give rise, on specified dates, to cash flows that are solely payments of principal and interest on the principal amount outstanding. Financial assets at amortized cost are subsequently measured using the effective interest rate method and are subject to impairment. Gains and losses are recognized in the statements of comprehensive income when the asset is derecognized, modified or impaired. This category generally applies to trade and other receivables, net. Financial assets at fair value through profit or loss - Financial assets at fair value through profit or loss include financial assets held for trading, financial assets designated upon initial recognition at fair value through profit or loss or financial assets mandatorily required to be measured at fair value. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term. Derivatives, including separated embedded derivatives, are also classified as held for trading unless they are designated as effective hedging instruments. Financial assets with cash flows that are not solely payments of principal and interest are classified and measured at fair value through profit or loss, irrespective of the business model. Financial assets at fair value through profit or loss are carried in the statements of financial position at fair value with net changes in fair value recognized in the statements of comprehensive income. Embedded derivatives - Copper Sales - The Company’s copper sales are provisionally priced at the time of shipment. The provisional prices are finalized in a specified future month based on quoted London Metal Exchange (LME) monthly average prices. The Company receives market prices based on prices in the specified future month, which results in price fluctuations recorded through revenues until the date of settlement. The Company records revenues and invoices customers at the time of shipment based on then-current LME prices, which results in an embedded derivative that is required to be separated from the main contract. The Company’s embedded derivatives from sales are measured at fair value (based on LME spot copper prices) and presented as gains/losses on provisionally priced trade receivables. Molybdenum Sales - The Company’s molybdenum sales are also provisionally priced at the time of shipment. The Company records revenues and invoices customers at the time of shipment based on the arithmetic mean of the high and low Metals Week Dealer Oxide (MWDO) price. The provisional prices are finalized in a future month, according to the period of quotation, which results in price fluctuations recorded through revenues until the date of settlement, which also results in an embedded derivative that is required to be separated from the main contract. Derecognition - A financial asset (or, where applicable a part of a financial asset or part of a group of similar financial assets) is primarily derecognized when: - The rights to receive cash flows from the asset have expired; or - The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a pass-through arrangement; and either (a) the Company has transferred substantially all the risks and rewards of the asset or, (b) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset. When the Company has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, it evaluates if and to what extent, it has retained the risk and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the Company continues to recognize the transferred asset to the extent of the Company´s continuing involvement. In that case, the Company also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Company has retained. Impairment of financial assets - The Company recognizes an allowance for expected credit losses for all debt instruments not held at fair value through profit or loss. Expected credit losses are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Company expects to receive, discounted at an approximation of the original effective interest rate. The expected cash flows will include cash flows from the sale of collateral held or other credit enhancements that are integral to the contractual terms. Expected credit losses are recognized in two stages. For credit exposures for which there has not been a significant increase in credit risk since initial recognition, expected credit losses are provided for credit losses that result from default events that are possible within the next 12‑months (12‑month expected credit losses). For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (lifetime expected credit losses). For trade receivables and contract assets, the Company applies a simplified approach in calculating expected credit losses. Therefore, the Company does not track changes in credit risk, but instead recognizes a loss allowance based on the financial asset’s lifetime expected credit losses at each reporting date. The Company considers a financial asset in default when contractual payments are 180 days past due. However, in certain cases, the Company may also consider a financial asset to be in default when internal or external information indicates that the Company is unlikely to receive the outstanding contractual amounts in full before taking into account any credit enhancements held by the Company. A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows. (e) Financial liabilities - All financial liabilities are recognized initially at fair value and in the case of accounts payable and other financial liabilities, net of directly attributable transaction costs. The Company´s financial liabilities include loans, trade and other accounts payables and other financial liabilities. Loans - Loans are initially recognized at their fair value, net of directly attributable transaction costs. After initial recognition, loans are subsequently measured at amortized cost using the effective interest rate method. Gains and losses are recognized in the statements of comprehensive income when the liabilities are derecognized as well as through the amortization process. Amortized cost is calculated taking into account any discount or premium on acquisition and fees or costs that are an integral part of the effective interest rate. Amortization under the effective interest rate method is included as financial costs in the statements of comprehensive income. Derecognition - A financial liability is derecognized when the associated obligation is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts are recognized in the statements of comprehensive income. (f) Inventories - Inventories are stated at the lower of cost or net realizable value. Inventory of materials and supplies, as well as saleable products and in-process inventory are determined using the weighted-average cost method. The cost of finished goods and in-process inventory (i.e., stockpiles) includes labor and benefits, supplies, energy and other costs related to the mining and processing of minerals. Net realizable value is determined based on the estimated future sales price using on forward metal prices (for the period they are expected to be processed in), less estimated costs to complete production and bring the inventory to sale. The current portion of work-in-process is determined based on the amount the Company expects to process in the next twelve months. Inventories that are not expected to be processed in the next twelve months are classified as long-term inventories. No adjustments to inventories were required for the years ended December 31,2019, 2018 and 2017. Provision for obsolescence - Obsolescence allowances are established based on an item-by-item analysis by management. Any amount of obsolescence identified is charged to the statements of comprehensive income in the period it is deemed to have occurred. (g) Property, plant and equipment - Property, plant and equipment are valued at historical cost, including costs that are directly attributed to the construction or acquisition of the asset, net of accumulated depreciation, amortization and impairment. The initial cost of an asset comprises its purchase price or construction cost, any costs directly attributable to bringing the asset into operation, the initial estimate of the obligation for mine closing and borrowing costs for qualifying assets. Repairs and/or improvements that increase the economic life of an asset and for which it is probable that there will be future economic benefit to the Company, are recorded as assets. All other maintenance costs are charged to expense as incurred. Land is not depreciated. Depreciation of assets directly related to the useful life of the mine is calculated using the units-of-production (UOP) method based on the mine’s proven and probable copper reserves. Other assets are depreciated using the straight-line method based on the following estimated useful lives: Years Buildings and other constructions Between 5 and 35 Machinery and equipment Between 2 and 30 Transportation units Between 5 and 7 Furniture and fixtures Between 7 and 10 Other equipment Between 3 and 25 Critical spare parts and other parts which are directly identified with machinery or equipment are included in property, plant and equipment, and the economic life assigned corresponds to the main asset with which they are identified. An item of property, plant and equipment is retired at the time of its disposal or when no future economic benefits are expected from its use or subsequent disposition. Any gain or loss arising at the time of retirement is calculated as the difference between the proceeds from the sale and the book value of the asset and is included in the statements of comprehensive income in the period the asset is retired. The residual value and useful economic lives of the Company’s property, plant and equipment are reviewed, and adjusted if appropriate, at each year end. Impairment - At each reporting date, the Company evaluates if there is any indication that an asset could be impaired. If such an indication exists, the Company estimates the recoverable amount of the asset. The recoverable amount of an asset is the greater of (i) its fair value less costs to sell or (ii) its value in use and is determined for the assets of the mine as a whole, since there are no assets that generate cash revenues independently. When the book value of an asset exceeds its recoverable amount, the asset is considered impaired and is reduced to its recoverable amount. When evaluating the value in use, the future estimated cash flows are discounted to their present value using an after-tax discount rate that reflects current market evaluations of the time value of money and the specific risks to the asset. Losses resulting from the impairment of assets are recognized in the statements of comprehensive income under the categories of expenses consistent with the function of the impaired asset. A previously recognized impairment loss is reversed only if there has been a change in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognized. The revised valuation cannot exceed the book value that would have been determined, net of depreciation, if an impairment loss for the asset had not been recognized in a previous period. Such a reversal is recognized in the statements of comprehensive income. The Company did not identify any indicators of impairment for the years ended December 31, 2019, and 2018. (h) Intangible Assets - Intangible assets are recorded at cost less accumulated amortization. After the initial recognition, the intangible assets are recorded at its cost less accumulated amortization and any accumulated loss for impairment of use, if applicable. (i) Exploration, development and stripping costs - Exploration costs - Mineral exploration costs, as well as drilling and other costs incurred for the purpose of converting mineral resources to proven and probable reserves, or identifying new mineral resources at development or production stage properties, are charged to the statements of comprehensive income as incurred. Development costs - Development costs are capitalized when the economic and technological feasibility of the project is confirmed, which is generally when the development or project has reached a milestone in accordance with a model established by management. Stripping cost - In accordance with IFRIC 20, “Stripping Cost in the Production Phase of a Surface Mine,” stripping costs incurred in the production phase are capitalized as a component of property, plant and equipment (see Note 7) if the stripping activity improves access to the ore body or enhances an existing asset. The stripping activity asset is subsequently amortized using the UOP method over the component of the ore body benefitted. (j) Provisions - General - A provision is recognized when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that resources of the Company will be required to settle the obligation, and an estimate of the amount of the obligation can be calculated. The expense relating to any provision is presented in the statements of comprehensive income, net of any reimbursement, in the period the provision is established. If the effect of the time value of money is significant, provisions are discounted by applying a discount rate that reflects, where applicable, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognized as a financial expense in the statements of comprehensive income. Mine closure provision - The Company records a mine closure provision when a contractually or legally enforceable obligation arises. The Company estimates the present value of its future obligation for mine closure and increases the carrying amount of the related asset retirement cost (ARC), which is included in property, plant and equipment in the statements of financial position. Subsequently, the mine closure provision is accreted to full value over time and recognized as an interest cost considered in the initial fair value estimate. The related ARC is depreciated using the UOP method over the life of the mine. The Company evaluates its mine closure provision on a quarterly basis and makes adjustments to estimates and assumptions, including scope, future costs and discount rates, as applicable. Changes in the fair value of the mine closure provision or the useful life of the related asset are recognized as an increase or decrease in the book value of the provision and the related ARC in accordance with IAS 16, “Property, Plant and Equipment.” Any decrease in the mine closure provision and related ARC cannot exceed the current book value of the asset; amounts over the current book value will be recorded in the statements of comprehensive income. (k) Revenue recognition - The Company primarily sells copper concentrate and copper cathode in accordance with sales contracts entered into with its customers. Revenues from contracts with customers comprise the fair value of the sale of goods, net of related general sales taxes. Revenue from contracts with customers is recognized when control of goods or services are transferred to the customer at an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods. As such, the Company is the principal in its revenue contracts. The Company considers whether there are other promises in the contract that are separate performance obligations to which a portion of the transaction price needs to be allocated. The Company consider that the only performance obligation is the delivery of the goods. In determining the transaction price for the sale of copper concentrates and copper cathode, the Company considers the effect of variable consideration and the existence of significant financing components. Variable consideration - If the consideration in the contract includes a variable amount, the Company estimates the amount of consideration to which it will be entitled in exchange for transferring the goods to the customer. The variable consideration is estimated at contract inception and constrained until it is highly probable that a significant revenue reversal in the amount of cumulative revenue recognized will not occur when the associated uncertainty with the variable consideration is subsequently resolved. Sales of concentrates and metals at provisional prices include a gain (loss) to be received at the end of the quotation period. Revenue is recognized at the amount the entity expects to be entitled – being the estimate of the price expected to be received at the end of the quotation period using the most recently determined estimate of metal in concentrate (based on initial assay results) and the estimated forward price. The requirements in IFRS 15 on constraint estimates of variable consideration are also applied to determine the amount of variable consideration that can be included in the transaction price. Significant financing components - The Company receives short-term advances from its customers. Using the practical expedient in IFRS 15, the Company does not adjust the promised amount of consideration for the effects of a significant financing component if it expects, at contract inception, that the period between the transfer of the promised good to the customer and when customer pays for that good will be one year or less. The Company’s revenues are subject to OSINERGMIN (Organismo Supervisor de la Inversión en Energía y Minería) and OEFA (Organismo de Evaluación y Fiscalización Ambiental) royalties. The calculation for the OSINERGMIN royalty contribution is 0.13% of invoiced sales for the year 2019 (0.14% for the year 2018 and 0.15% for the year 2017), and the calculation for the |
Significant judgments, estimate
Significant judgments, estimates and assumptions | 12 Months Ended |
Dec. 31, 2019 | |
Significant judgments, estimates and assumptions | |
Significant judgments, estimates and assumptions | 3. Significant judgments, estimates and assumptions The preparation of the Group’s consolidated financial statements requires Management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the accompanying disclosures, and the disclosure of contingent liabilities. The estimates and assumptions are continuously evaluated and based on Management´s experience and other facts, including the expectations about future events, which are reasonable under current situation. Uncertainty about these estimates and assumptions could result in outcomes that require material adjustment to the carrying amount of assets and liabilities affected in future periods. Further information on each of these areas and how they affect the various accounting policies are described below and also in the relevant notes to the consolidated financial statements. 3.1. Judgments In the process of applying the Group’s accounting policies, Management has made the following judgments, which have the most significant effect on the amounts recognized in the consolidated financial statements: (a) By their nature, contingencies will be resolved only when one or more uncertain future events occur or fail to occur. The assessment of the existence and potential quantum of contingencies inherently involves the exercise of significant judgment and the use of estimates regarding the outcome of future events. (b) The Group assesses the status of each exploration project of its mining units to determine when the development phase begins. One of the criteria used to evaluate the development start date is when the Group determines that the property can be economically developed. (c) The Group assesses the stage of each mine under development to determine when a mine moves into the production phase. The criteria used to assess the start date are determined based on the unique nature of each mining project, such as the complexity of the project and its location. The Group considers various relevant criteria to assess when the production phase is considered to have commenced. Some of the criteria used to identify the production start date include, but are not limited to: - - - - When a mine development /construction project moves into the production phase, the capitalization of certain mine development costs cease and costs are either regarded as forming part of the cost of inventory or expensed, except for costs that qualify for capitalization relating to mining asset additions or improvements. It is also at this point that depreciation or amortization commences. (d) Depreciation is calculated under the straight-line method of accounting considering the lower of estimated useful lives of the assets or estimated reserves of the mining unit. See Note 2.4(h) for useful lives. (e) The Group applied the judgement for determining the timing of satisfaction of services of revenue from contracts with customers. The Group concluded that revenue related to services such as energy generation and transmission, industrial services, and other services is to be recognized over time because the customer simultaneously receives and consumes the benefits provided by the Group. The Group determined that the output method is the best method in measuring progress of the services mentioned above due to the Group has the right to invoice an amount that corresponds directly to the performance completed to date. 3.2. Estimates and assumptions The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are described below. The Group based its assumptions and estimates on parameters available when the consolidated financial statements were prepared. Existing circumstances and assumptions about future developments, however, may change due to market change or circumstances arising beyond the control of the Group. Such changes are reflected in the assumptions when they occur. (a) Recoverable proven and probable reserves are the part of a mineral deposit than can be economically and legally extracted or produced at the time of the reserve determination. The determination of reserves involves numerous uncertainties with respect to the ultimate geology of the ore bodies, including quantities, grades and recovery rates. Estimating the quantity and grade of reserves requires the Group to determine the size, shape and depth of its ore bodies by analyzing geological data, such as sampling of drill holes, tunnes and other underground workings. In addition to the geology of the Group’s mines, assumptions are required to determine the economic feasibility of mining these reserves, including estimates of future commodity prices and demand, the mining methods used and the related cost incurred to develop and mine its reserves. The process to estimate proven and probable ore reserves is audited by an independent consultant each year. All estimated reserves and resources represent estimated quantities of mineral proven and probable that under current conditions can be economically and legally processed. Reviews could occur on reserve and resources estimates due to, among others, revisions to the data or geological assumptions, changes in prices, production costs and results of exploration activities. Changes in estimated reserves and resources could affect mainly the depreciation of fixed assets related directly to mining activity, the provision for mine closure, the assessment of the deferred asset’s recoverability and the amortization period for development costs. (b) Reserves and resources are used in determining the depreciation and amortization of mine-specific assets. This results in a depreciation or amortization charge proportional to the depletion of the anticipated remaining life of mine production. Each mine’s life is assessed annually to evaluate: (i) physical life limitations and (ii) present assessments of economically recoverable reserves of the mine property. These calculations require the use of estimates and assumptions, including the amount of recoverable reserves. Changes are recorded prospectively. (c) The Group assesses its provision for closure of mining units at each reporting date using a discounted future cash flow method. In determining the amount of the provision, it is necessary to make significant assumptions and estimates, because exist many factors that can affect the final amount of this provision. These factors include estimates of the extent and costs of closure activities, technological changes, regulatory changes, cost increases as compared to the inflation rates, and changes in discount rates and periods where are expected that such costs will be incurred. These uncertainties may result in future actual expenditure differing from the amounts currently provided. The provision at the reporting date represents Management’s best estimate of the present value of the future closure costs required. (d) Inventories are classified as current or non-current depending on the length of time that Management estimates will be needed to reach the production state of concentrate extraction for each mining unit. Net realizable value tests are performed at each reporting date and represent the estimated future sales price of the product the entity expects to realize when the product is processed and sold, less estimated costs to complete production and bring the product to sale. Additionally, Management considers the time value of money in calculating the net realizable value of its non-current inventories. Classified minerals, which are materials with metal content that were removed from the pit of the Colquijirca mining unit for treatment at the expansion operation plant, contain lower grade ore than the average of treated minerals and are available to continue in the process of recovery of mineral and concentrates. Because it is generally impracticable to determine the mineral contained in the classified mineral located in the deposit field near Tajo Norte by physical count, reasonable estimation methods are employed. The quantity of minerals delivered to classified mineral is based on surveyed volumes of mined material and daily production records. Sampling and assaying of blasthole cuttings determine the estimated copper, lead and zinc grades of material delivered to classified minerals. For minerals outside leach platform inventories, finished and in-progress goods are measured by estimating the number of tons added and removed. The number of contained gold ounces is based on assay data, and the estimated recovery percentage is based on the expected processing method. Tonnages and ounces of mineral are verified by periodic surveys. For minerals inside leach platform inventories, reasonable estimation methods are employed because it is generally impracticable to determine the mineral contained in leach platforms by physical count. The quantity of material delivered to leach platforms are based on surveyed volumes of mined material and daily production records. Sampling and assaying of blasthole cuttings determine the estimated ore grades of material delivered to leach platforms. (e) The Group assesses each asset or cash generating unit in each reporting period to determine whether any indication of impairment exists. Where an indicator of impairment exists, a formal estimate of the recoverable amount is made, which is considered the higher of (i) the fair value less costs of disposal and (ii) value in use. The assessments require the use of estimates and assumptions such as long-term commodity prices, discount rates, operating costs, among others. These estimates and assumptions are subject to risk and uncertainty. The fair value of mining assets is generally calculated by the present value of future cash flows arising from the continued use of the asset, which include some estimates, such as the cost of future expansion plans, using assumptions that a third party might consider. The future cash flows are discounted to their present value using a discount rate that reflects current market assessment of the value of money over time, as well as specific risks of the asset or cash-generating unit under evaluation. The Group has determined the operations of each mining unit as a single cash generating unit. (f) Deferred tax assets are recognized for unused tax losses to the extent that it is probable that taxable profit will be available against which the losses can be utilized. Significant Management judgment is required to determine the amount of deferred tax assets that can be recognized, based upon the likely timing and the level of future taxable profits together with future tax planning strategies. (g) The contingent consideration arising from a business combination is measured at fair value at the date of acquisition, as part of the business combination. If the contingent consideration is eligible to be recognized as a financial liability, the fair value is subsequently re-measured at each date of the consolidated financial statements. Determining the fair value of the contingent consideration is based on a model of discounted future cash flows. The key assumptions take into account the likelihood of achieving each goal of financial performance as well as the discount factor. |
Minera Yanacocha SRL and subsidiary [Member] | |
Significant judgments, estimates and assumptions | |
Significant judgments, estimates and assumptions | 3. Significant judgments, estimates and assumptions The preparation of the Company’s consolidated financial statements requires Management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the accompanying disclosures, and the disclosure of contingent liabilities. The estimates and assumptions are continuously evaluated and based on Management’s experience and other facts, including the expectations about future events which are reasonable under the current situation. Uncertainty about these estimates and assumptions could result in outcomes that require material adjustment to the carrying amount of assets and liabilities affected in future periods. Further information on each of these areas and how they impact the various accounting policies are described below and also in the relevant notes to the consolidated financial statements. 3.1. Judgments In the process of applying the Company’s accounting policies, Management has made the following judgments, which have the most significant effect on the amounts recognized in the consolidated financial statements: (a) Contingencies - By their nature, contingencies will be resolved only when one or more uncertain future events occur or fail to occur. The assessment of the existence and potential quantum of contingencies inherently involves the exercise of significant judgment and the use of estimates regarding the outcome of future events. (b) Development start date - The Company assesses the status of each exploration project to determine when the development phase begins. One of the criteria used to evaluate the development start date is when the Company determines that the property can be economically developed based on the results of feasibility studies. (c) Production start date - The Company assesses the stage of each mine under development to determine when a mine moves into the production phase. The determination of the start date is based on the unique nature of each mining project; such as the complexity of the project and its location. The Company considers various relevant criteria to assess when the production phase is considered to have commenced. Some of the criteria used to identify the production start date include, but are not limited to: - Completion of a reasonable period of testing of the mine plant and equipment. - Ability to produce metal in saleable form (within specifications). - Ability to sustain ongoing production of metal. When a mine development /construction project moves into the production phase, the capitalization of certain mine development costs ceases and the cost of mining waste ore are either regarded as forming part of the cost of inventory or expensed, except for costs that qualify for capitalization relating to mining asset additions or improvements. It is also at this point that depreciation or amortization commences. (d) Useful life of property, plant and equipment - Depreciation is calculated under the straight-line method of accounting considering the lower of estimated useful lives of the assets or estimated reserves of the mining unit. See Note 2.4 (f) for useful lives. (e) Revenue from contracts with customers - The Company applied the judgement for determining the timing of satisfaction of services of revenue from contracts with customers. The Company concluded that the performance obligation is completed once the shipment confirmation is issued when the refinery receives the Dore, allowing the fully payment in cash according the contracts. As a result, all risk of loss and damage of the gold dore pass to refiner upon reception. The Company determined that the only performance obligation is the sale of gold dore. 3.2. Estimates and assumptions - The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are described below. The Company based its assumptions and estimates on parameters available when the consolidated financial statements were prepared. Existing circumstances and assumptions about future developments, however, may change due to market change or circumstances arising beyond the control of the Company. Such changes are reflected in the assumptions when they occur. (a) Determination of mineral reserves and resources - The Company calculates its reserves using methods generally applied by mining and industry according to SEC guidance. All estimated reserves represent estimated quantities of mineral proven and probable that under current conditions can be economically and legally processed. The process of estimating quantities of reserves is complex and requires making subjective decisions when evaluating all geological, geophysical, engineering and economic information available. Reviews could occur on reserve estimates due to, among others, revisions to the data or geological assumptions, changes in prices, production costs and results of exploration activities. Changes in estimated reserves could affect the carrying value of mining concessions, development costs and property, plant and equipment, the charges in result for depreciation and amortization, and the carrying amount of the provision for closure of mining units. (b) Units of production depreciation - Estimated economically recoverable reserves are used in determining the depreciation and (or) amortization of mine-specific assets. This results in a depreciation/amortization charge proportional to the depletion of the anticipated remaining life-of-mine production. Each mine’s life is assessed at least annually to evaluate (i) physical life limitations and (ii) present assessments of economically recoverable reserves of the mine property. These calculations require the use of estimates and assumptions, including the amount of recoverable reserves. Changes in estimates are accounted for prospectively. (c) Provision for closure mining units - The Company assesses its provision for closure of mining units at each reporting date. The ultimate rehabilitation costs are uncertain, and cost estimates can vary in response to many factors, including estimates of the extent and costs of closure activities, technological changes, regulatory changes, cost increases as compared to the inflation rates, and changes in discount rates. These uncertainties may result in future actual expenditure differing from the amounts currently provided. The provision at reporting date represents Management’s best estimate of the present value of the future closure costs required. (d) Inventories - Inventories are classified as current or non-current depending on the length of time that Management estimates will be used in the production or extraction for each mining unit. Inventories are measured at the lower of its weighted average cost or its net realizable value. Net realizable value tests are performed at each reporting date and represent the estimated future sales price of the product the entity expects to realize when the product is processed and sold, less estimated costs to complete production and bring the product to sale. Stockpiles and ore on leach pads are measured by estimating the number of tons added and removed from the stockpile and leach pads, the number of contained gold ounces, assay data, and the estimated recovery percentage based on the expected processing method. Stockpile and ore on leach pad tonnages are verified by periodic surveys. For minerals inside leach platform inventories, reasonable estimation methods are employed because it is generally impracticable to determine the mineral contained in leach platforms by physical count. The quantity of material delivered to leach platforms are based on surveyed volumes of mined material and daily production records. Sampling and assaying determine the estimated ore grades of material delivered to leach platforms. (e) Impairment of non-financial assets - The Company assesses each asset or cash generating unit in each reporting period to determine whether any indication of impairment exists (e.g. fluctuation of gold prices, community relations and social license to operate). Where an indicator of impairment exists, a formal estimate of the recoverable amount is made, which is considered to be the higher of (i) the fair value less costs of disposal and (ii) value in use. The assessments require the use of estimates and assumptions such as long-term commodity prices, discount rates and operating costs, among others. These estimates and assumptions are subject to risk and uncertainty. The fair value of mining assets is calculated by the present value of future cash flows arising from the continued use of the asset, which include some estimates, such as the cost of future expansion plans, using assumptions that a third party might consider. The future cash flows are discounted to their present value using a discount rate that reflects current market assessment of the value of money over time, as well as specific risks of the asset or cash-generating unit under evaluation. The Company has determined the operations of its mining units Yanacocha and Conga as the cash generating units. |
Standards issued but not effect
Standards issued but not effective | 12 Months Ended |
Dec. 31, 2019 | |
Standards issued but not effective | |
Standards issued but not effective | 4. Standards issued but not effective Certain new accounting standards and interpretations have been published that are not mandatory for December 31, 2019 reporting periods and have not been early adopted by the Group. These standards are not expected to have a material impact on the Group in the current or future reporting periods and on foreseeable future transactions. Amendments to IFRS 3: Definition of a Business - In October 2018, the IASB issued amendments to the definition of a business in IFRS 3 Business Combinations to help entities determine whether an acquired set of activities and assets is a business or not. They clarify the minimum requirements for a business, remove the assessment of whether market participants are capable of replacing any missing elements, and add guidance to help entities assess whether an acquired process is substantive, narrow the definitions of a business and of outputs, and introduce an optional fair value concentration test. New illustrative examples were provided along with the amendments. Since the amendments apply prospectively to transactions or other events that occur on or after the date of first application, the Group will not be affected by these amendments on the date of transition. Amendments to IAS 1 and IAS 8: Definition of Material - In October 2018, the IASB issued amendments to IAS 1 Presentation of Financial Statements and IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors to align the definition of ‘material’ across the standards and to clarify certain aspects of the definition. The new definition states that, “Information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements, which provide financial information about a specific reporting entity”. The amendments to the definition of material is not expected to have a significant impact on the Group’s consolidated financial statements. |
Minera Yanacocha SRL and subsidiary [Member] | |
Standards issued but not effective | |
Standards issued but not effective | 4. Standards issued but not effective The new and amended standards and interpretations that are issued, but not yet effective, up to the date of issuance of the Company’s consolidated financial statements are disclosed below. The Company intends to adopt these new and amended standards and interpretations, if applicable, when they become effective. Amendments to IAS 1 and IAS 8: Definition of Material In October 2018, the IASB issued amendments to IAS 1 Presentation of Financial Statements and IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors to align the definition of ‘material’ across the standards and to clarify certain aspects of the definition. The new definition states that, ’Information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general-purpose financial statements make on the basis of those financial statements, which provide financial information about a specific reporting entity. The amendments to the definition of material is not expected to have a significant impact on the Company’s consolidated financial statements. |
Transactions in soles
Transactions in soles | 12 Months Ended |
Dec. 31, 2019 | |
Transactions in soles | |
Transactions in soles | 5. Transactions in soles Transactions in soles are completed using exchange rates published by the Superintendent of Banks, Insurance and A.F.P. As of December 31, 2019, the exchange rates for U.S. dollars published by this Institution were US$0.3020 for buying and US$0.3015 for selling (US$0.2968 for buying and US$0.2959 for selling as of December 31, 2018), and have been applied by the Group for the assets and liabilities accounts, respectively. As of December 31, 2019 and 2018, the Group presents the following assets and liabilities originally denominated in soles by its equivalent in U.S. dollars: 2019 2018 US$(000) US$(000) Assets Cash and cash equivalents 6,796 11,526 Trade and other receivables 139,624 88,513 Income tax credit 31,960 24,277 178,380 124,316 Liabilities Trade and other payables (60,311) (53,962) Income tax payable (5,692) (2,080) Provisions, contingent liabilities and other liabilities (41,515) (31,282) (107,518) (87,324) Net asset position 70,862 36,992 |
Cash and cash equivalents
Cash and cash equivalents | 12 Months Ended |
Dec. 31, 2019 | |
Cash and cash equivalents | |
Cash and cash equivalents | 6. Cash and cash equivalents (a) 2019 2018 US$(000) US$(000) Cash 304 347 Bank accounts (b) 37,836 57,078 Time deposits (c) 171,906 311,775 210,046 369,200 (b) (c) |
Minera Yanacocha SRL and subsidiary [Member] | |
Cash and cash equivalents | |
Cash and cash equivalents | 5. Cash and cash equivalents (a) 2019 2018 US$(000) US$(000) Petty cash 22 33 Bank accounts 56,822 111,319 Term deposits (b) 761,659 611,856 818,503 723,208 (b) 2019 2018 US$(000) US$(000) JP Morgan 501,916 401,495 Citibank 214,282 210,361 BNP Paribas 45,461 — 761,659 611,856 The bank accounts and term deposits yield interest at market rates. The carrying amounts approximate the fair value due to the short maturity of these balances, which are less than 90 days. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Cash and cash equivalents | |
Cash and cash equivalents | 3. Cash and cash equivalents This item is made up as follows: December 31, December 31, 2019 2018 US$(000) US$(000) Cash in banks 10,119 3,679 Cash equivalents (a) 471,372 497,503 481,491 501,182 (a) |
Related parties
Related parties | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of transactions between related parties [line items] | |
Related parties | 4. Related parties Accounts receivable from related parties and accounts payable to related parties are made up as follows: December 31, 2019 December 31, 2018 US$(000) US$(000) Accounts receivable from related parties Parent Company FMC (a) 401,211 409,688 Other related parties Sumitomo (b) 10,760 12,918 Climax Molybdenum Marketing Corporation (c) 5,022 10,038 Embedded derivatives Embedded derivatives (d) 36,077 (19,293) Total accounts receivable from related parties 453,070 413,351 Classification by measurement Accounts receivables from related parties (not subject to provisional pricing) 121,995 67,050 Accounts receivables from related parties (subject to provisional pricing) 294,998 365,594 Embedded derivatives (d) 36,077 (19,293) 453,070 413,351 December 31, 2019 December 31, 2018 US$(000) US$(000) Accounts payable to related parties Parent Company FMC (e) 10,441 8,860 Other related parties Freeport-McMoRan Sales Company Inc. 3,086 3,192 Minera Freeport-McMoRan South America Ltda 521 PT Freeport Indonesia — 2,301 Total accounts payable to related parties 14,088 14,874 Less: accounts payable to related parties, long term (10,074) (8,860) Total accounts payable, short term 4,014 6,014 (a) (b) (c) (d) (e) Short-term and long-term employee benefits are recognized as expenses during the period earned. Benefits received by key management personnel represent 0.42% of total revenues for the year 2019 (0.38% for the year 2018). For the years 2019, 2018 and 2017, Freeport had granted stock option and/or restricted stock unit benefits to certain key management personnel, the amounts of which are not significant at those dates. As of December 31, 2019 and 2018, the Company does not have any other long-term benefits. Terms and transactions with related parties - Transactions with related parties are made at normal market prices. Outstanding balances are unsecured, interest free and settlement occurs in cash. There have been no guarantees provided or received for any accounts receivables from related parties. For the years ended December 31, 2019, 2018 and 2017, the Company had not recorded any impairment of accounts receivable from related parties. |
Trade and other receivables, ne
Trade and other receivables, net | 12 Months Ended |
Dec. 31, 2019 | |
Trade and other receivables, net | |
Trade and other receivables, net | 7. Trade and other receivables, net (a) 2019 2018 US$(000) US$(000) Trade receivables, net (b) Domestic clients 141,005 105,225 Foreign clients 78,860 56,312 Related entities, note 30(b) 6,247 7,177 226,112 168,714 Allowance for expected credit losses (f) (22,016) (22,013) 204,096 146,701 Other receivables Value added tax credit 53,754 49,332 Tax claims (g) 42,602 2,573 Accounts receivables to third parties 31,478 24,625 Due from for sales of assets (h) 21,648 2,715 Advances to suppliers 9,275 7,542 Tax deposits (d) 6,644 4,769 Refund applications of value added tax (c) 3,643 6,574 Interest receivable 3,244 3,000 Related entities, note 30(b) 2,967 3,705 Restricted bank accounts (e) 2,510 2,782 Dividends receivable 2,501 — Loans to personnel 1,128 1,392 Account receivables from hedges derivatives — 3,949 Other minor 743 2,738 Allowance for expected credit losses (f) (10,006) (10,089) 172,131 105,607 Total trade and other receivables, net 376,227 252,308 Classification by maturity: Current portion 287,712 211,715 Non-current portion 88,515 40,593 Total trade and other receivables, net 376,227 252,308 Classification by nature: Financial receivables 318,830 196,402 Non-financial receivables 57,397 55,906 Total trade and other receivables, net 376,227 252,308 Classification by measurement : Trade receivables (without provisional prices) 38,550 39,152 Trade receivables (with provisional prices) 165,546 107,549 Other accounts receivables 172,131 105,607 Total trade and other receivables, net 376,227 252,308 (b) (c) (d) (e) 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 2,782 2,372 2,087 Increase 166 410 285 Decrease (438) — — Final balance 2,510 2,782 2,372 (f) 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 32,102 32,184 31,607 Provision for other receivable, note 26 25 1,334 — Provision for trade receivables, note 24 — 18 676 Provision of the period 25 1,352 676 Write off of the period (162) (410) — Exchange difference 57 (173) — Reversals of the period, note 26 — (45) (99) Other minor — (806) — Final balance 32,022 32,102 32,184 Trade receivables 22,016 22,013 22,823 Other receivables 10,006 10,089 9,361 32,022 32,102 32,184 The allowance for expected credit losses of other receivables is related to provisions of accounts receivables to third parties. In the opinion of the Group’s Management, the balance of the allowance for expected credit losses is sufficient to cover adequately the risks of failure to date of the consolidated statement of financial position. (g) (h) |
Minera Yanacocha SRL and subsidiary [Member] | |
Trade and other receivables, net | |
Trade and other receivables, net | 6. Trade and other receivables, net (a) 2019 2018 US$(000) US$(000) Trade receivables, net Foreign clients 683 7,389 Other receivables Advances to suppliers 9,872 16,897 Tax claims 3,946 3,532 Credit of tax on net assets 23,648 23,290 Related entities, note 22(c) 598 794 Other 5,247 5,382 43,311 49,895 Allowance for expected credit losses (b) (1,384) (1,384) 41,927 48,511 Total trade and other receivables, net 42,610 55,900 By maturity: Current 18,962 32,610 Non current 23,648 23,290 Total 42,610 55,900 Classification by nature: Financial receivables 15,016 29,078 Non-financial receivables 27,594 26,822 42,610 55,900 The trade receivables are related to concentrate sold (copper and silver by-products). At December 31, 2019 and 2018 there were no material collectability issues that required an allowance for expected credit losses on the trade receivable balance. Trade receivables (not subject to provisional pricing) are non-interest bearing and are generally negotiated on terms of 30 days. (b) 2019 2018 2017 US$(000) US$(000) US$(000) Opening balance 1,384 1,384 1,407 Deductions — — (23) Ending balance 1,384 1,384 1,384 |
Inventories, net
Inventories, net | 12 Months Ended |
Dec. 31, 2019 | |
Inventory, net | |
Inventories, net | 8. Inventories, net (a) 2019 2018 US$(000) US$(000) Finished goods 2,084 7,715 Products in process (b) 47,652 73,796 Spare parts and supplies 74,033 81,383 123,769 162,894 Provision for impairment of value of inventory (c) (25,402) (23,163) 98,367 139,731 Classification by use: Current portion 97,973 135,919 Non-current portion 394 3,812 98,367 139,731 (b) (c) 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 23,163 11,603 8,386 Continuing operations: Provision for impairment of finished and in progress goods, note 21(a) 7,329 4,640 2,118 Reversal for impairment of finished and in progress goods, note 21(a) (9,472) (119) — Provision for impairment of spare parts and supplies, note 26(a) 15,703 11,704 4,814 Reversal for impairment of spare parts and supplies, note 26(a) (11,641) (4,665) (2,370) Discontinued operations, note 1(e): Provision for impairment of spare parts and supplies 843 — — Reversal for impairment of spare parts and supplies (523) — (1,345) Final balance 25,402 23,163 11,603 In the opinion of Group’s Management, the provision for impairment of value of inventory adequately covers this risk as of the date of the consolidated statements of financial position. |
Minera Yanacocha SRL and subsidiary [Member] | |
Inventory, net | |
Inventories, net | 7. Inventories, net (a) 2019 2018 US$(000) US$(000) Precious metals 8,021 6,878 Leach in-circuit 5,158 1,835 Mill in-circuit 1,332 4,002 Materials and supplies 45,832 49,327 60,343 62,042 Allowance for obsolescence of materials and supplies (b) (6,098) (7,515) 54,245 54,527 (b) 2019 2018 2017 US$(000) US$(000) US$(000) Opening balance 7,515 7,076 5,272 Provision for impairment of materials and supplies 1,898 1,887 2,896 Reversal of provision for impairment of materials and supplies (3,315) (1,448) (1,092) Ending balance 6,098 7,515 7,076 Reversals of impaired materials are due to disposals of impaired materials that offset the accumulative provision in each period. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Inventory, net | |
Inventories, net | 5. Inventories, net This item is made up as follows: December 31, 2019 December 31, 2018 US$(000) US$(000) Current Materials and supplies 348,035 308,378 Work-in-process (WIP) (a) 173,190 119,518 Finished goods: Copper concentrate 23,890 17,949 Copper cathode 6,321 8,035 Molybdenum concentrate 1,268 3,205 Less: Provision for obsolescence of materials and supplies (507) (11) 552,197 457,074 Non-current Work-in-process (WIP) (a) 255,123 286,375 Total inventories 807,320 743,449 (a) In fourth-quarter 2019, the Company changed its method of estimating the current portion of its leach and mill stockpiles and revised its December 31, 2018, balances to conform to the new methodology resulting in a US$30.5 million decrease in the current balance and increase in the long-term balance. |
Other non-financial assets
Other non-financial assets | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of other non financial assets [Line Items] | |
Other non-financial assets | 6. Other non-financial assets This item is made up as follows: December 31, 2019 December 31, 2018 US$(000) US$(000) Current Income tax prepayments (a) 26,794 Value added tax (VAT) credit 27,414 28,081 Other taxes to be recovered 2,745 2,700 105,680 57,575 Non-current Other receivables (b) 186,626 183,208 Income tax prepayments (a) 52,559 16,858 239,185 200,066 Total other non-financial assets 344,865 257,641 (a) Represents disbursements made by the Company for the prepayment of income tax, which the Company expects to use to offset future tax obligations or will be refunded to the Company by SUNAT (Superintendencia Nacional de Administración Tributaria) (see Note 13(b)). The balance at December 31, 2019, also includes income tax benefits from the years 2013 to 2018 as part of the adoption of IFRIC 23 (see Note 2(q)). (b) Represents disbursement made by the Company in connection with disputed tax assessments related to reviews by SUNAT from years 2003 to 2012 (see Note 13(c) and 13(e)). According to current tax procedures and the timeframe for resolving these types of claims, management and its legal advisors expect resolution of this matter will be favorable to the Company and amounts will be recoverable. |
Stockpiles and ore on leach pad
Stockpiles and ore on leach pads, net | 12 Months Ended |
Dec. 31, 2019 | |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of stockpiles and ore on leach pads [Line Items] | |
Stockpiles and ore on leach pads, net | 8. Stockpiles and ore on leach pads, net (a) 2019 2018 US$(000) US$(000) Current portion - Stockpiles 23,769 35,065 Ore on leach pads 139,991 106,931 Net realizable value adjustment (b) (28,837) (41,403) 134,923 100,593 Non-current portion - Stockpiles 35,888 41,814 Ore on leach pads 88,223 144,688 Net realizable value adjustment (b) (19,088) (47,724) 105,023 138,778 (b) 2019 2018 2017 US$(000) US$(000) US$(000) Opening balance, note 17 89,127 62,540 84,374 Provision 33,464 90,365 77,385 Reversal of provision (74,666) (63,778) (99,219) Ending balance, note 17 47,925 89,127 62,540 Provision reversals correspond to improvements of the overall long-term market conditions that reduced the gap between stockpiles and leach pads' cost and their net realizable value. |
Prepaid expenses
Prepaid expenses | 12 Months Ended |
Dec. 31, 2019 | |
Prepaid expenses | |
Prepaid expenses | 9. Prepaid expenses (a) 2019 2018 US$(000) US$(000) Prepaid energy services(b) 26,582 27,464 Prepaid insurances 13,568 12,486 Deferred costs of works for taxes 4,138 2,407 Other prepaid expenses 2,373 1,366 46,661 43,723 Classification by maturity: Current portion 20,969 17,145 Non-current portion 25,692 26,578 46,661 43,723 (b) |
Financial Instrument at fair va
Financial Instrument at fair value | 12 Months Ended |
Dec. 31, 2019 | |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure for available-for-sale financial assets [Line Items] | |
Financial instruments at fair value | 9. Financial instruments at fair value In November 2008, the Company funded the San Jose Reservoir Trust an amount of US$13 million to ensure the continuity of the Company’s operations in the San Jose Reservoir after 2018. Such trust is irrevocable and is a separate legal entity of the Company. The grantor is the Company, the trustee is the Banco de Crédito del Perú and the beneficiary is the Company; therefore, the Company consolidates the trust. As of December 31, 2019 and 2018, the assets in the trust amount to US$24,417 and US$22,610, respectively and are represented by financial instruments at fair value. During the years ended December 31, 2019, 2018 and 2017, an increase in fair value of the debt instruments was recognized in other comprehensive income for the amount of US$1,246, and a decrease of US$91 and US$3,244 during 2018 and 2017. During the years ended December 31, 2019 and 2018 the change in fair value of the investments in marketable stocks for US$821 and (US$10), respectively, were recognized as Finance income and Finance costs in the consolidated statements of comprehensive income. |
Investments in associates and j
Investments in associates and joint ventures | 12 Months Ended |
Dec. 31, 2019 | |
Investments in associates and joint ventures | |
Investments in associates and joint ventures | 10. Investments in associates and joint ventures (a) Share in equity 2019 2018 2019 2018 % % US$(000) US$(000) Associates Sociedad Minera Cerro Verde S.A.A. 19.58 19.58 1,155,359 1,108,284 Minera Yanacocha S.R.L. 43.65 43.65 230,000 271,036 Compañía Minera Coimolache S.A. 40.10 40.10 98,426 89,554 1,483,785 1,468,874 Joint venture (c) 2,627 2,673 Other minor investments 1,835 1,835 1,488,247 1,473,382 (b) 2019 2018 2017 US$(000) US$(000) US$(000) Minera Yanacocha S.R.L. (41,580) (35,582) (76,585) Sociedad Minera Cerro Verde S.A.A. 76,451 23,444 68,521 Compañía Minera Coimolache S.A. 12,883 10,994 21,271 Other minor (44) — — 47,710 (1,144) 13,207 Investments held by the Group in its associates Minera Yanacocha S.R.L. (through its subsidiary Compañía Minera Condesa S.A.) and Sociedad Minera Cerro Verde S.A.A., represent the most significant investments of the Group. Its operations are strategic to the Group’s activities and participation in their results has been significant in relation to profits (losses) of the Group in the years 2019, 2018 and 2017. The following relevant information on these investments is as follows: Investment in Minera Yanacocha S.R.L.- The Group, through its subsidiary Compañía Minera Condesa S.A., has an interest of 43.65 percent of Minera Yanacocha S.R.L. (hereinafter “Yanacocha”). Yanacocha is engaged in gold production and exploration and development of gold and copper in their own concessions or owned by S.R.M.L. Chaupiloma Dos de Cajamarca (subsidiary of the Group), with which signed a contract of use of mineral rights. The Quecher Main project of Yanacocha, an oxide deposit, is currently in its Execution Phase. This project extends the life of the Yanacocha operation until 2027, with average annual gold production of 200,000 ounces per year expected between 2020 and 2025. The Yanacocha Sulfides project is currently in its Definitive Feasibility Stage. In March of 2019, the Environmental Impact Assessment study was approved. In addition, Yanacocha owns the Conga project which consists in two deposits of gold and porphyry of copper located at northeast of Yanacocha operating area in the provinces of Celendín, Cajamarca and Hualgayoc (Peru). Because of local communities and political protests for potential water impacts of the project development activities and construction, the projects are suspended since November 2011. To date, Yanacocha’s management has been making only water support activities recommended by independent experts, mainly the construction of water reservoirs, before carrying out any development project. In December 2017, Yanacocha acquired 63.92 million of shares (share of 5%) held by International Finance Corporation (IFC) in Yanacocha, for an amount of US$47.9 million. In June 2018, Sumitomo Corporation (Sumitomo) paid US$48 million for the five percent stake in the ownership interest in Yanacocha for the proportion held prior to the repurchase of the IFC’s ownership stake in December. As a result of that acquisition, the Company recognized a lower value with respect to Yanacocha’s equity participation. On February 6, 2020, the Supreme Court resolution was published, whereby Yanacocha received notification of an unfavorable result in the Tax Dispute related to the amortization of contractual rights (see note 29(e)) for which Yanacocha recorded a liability in term of tax payable for US$8.1 million and recorded interests and penalties for US$21.0 million in its financial statements as of December 31, 2019. The table below presents key financial data from the financial statements of Yanacocha under IFRS: 2019 2018 US$(000) US$(000) Statements of financial position as of December 31: Current assets 1,060,455 960,758 Non-current assets 1,251,617 1,086,714 Current liabilities (190,577) (128,170) Non-current liabilities (1,631,783) (1,335,579) Equity 489,712 583,723 Groups’ interest 213,759 254,795 Goodwill 16,241 16,241 230,000 271,036 2019 2018 2017 US$(000) US$(000) US$(000) Statements of profit or loss for the years ended December 31: Revenue 739,302 657,358 667,046 Loss for the year (95,257) (81,517) (175,454) Share in results (41,580) (35,582) (76,585) During the Yanacocha’s Management identified as an impairment indicator the significant increase of the asset retirement and mine closure, as a result Yanacocha determined the recoverable amount for its CGU Yanacocha. Regarding to CGU Conga, Yanacocha did not identify any important indicator. As a result of this analysis Yanacocha concluded that no additional impairment loss on CGU Yanacocha was required to be recorded as the recoverable amount exceeded the carrying amount of the CGU’s assets. During 2018, the Yanacocha´s Management evaluated and concluded that there are no indicators of impairment of its long-lived assets. In addition, the Group’s management determined that there was no objective evidence that its investment in Yanacocha is impaired as of December 31, 2019 and 2018. Investment in Sociedad Minera Cerro Verde S.A.A. (Cerro Verde) - Cerro Verde is engaged in the extraction, production and marketing of cathodes and copper concentrate from its mining unit that is located in Uchumayo, Arequipa, Peru. The table below presents the key financial data from the financial statements of Cerro Verde under IFRS: 2019 2018 US$(000) US$(000) Statements of financial position as of December 31: Current assets 1,614,928 1,455,080 Non-current assets 6,194,496 6,099,632 Current liabilities (420,786) (408,754) Non-current liabilities (2,039,389) (2,037,086) Equity 5,349,249 5,108,872 Group’s interest 1,047,596 1,000,521 Goodwill 107,763 107,763 1,155,359 1,108,284 2019 2018 2017 US$(000) US$(000) US$(000) Statements of comprehensive income December 31: Sales 2,890,066 3,054,026 3,202,931 Net profit for the year 390,377 119,710 349,881 Share in results 76,451 23,444 68,521 Market capitalization: As of December 31, 2019 and 2018, total market capitalization of shares maintained by the Group in Cerro Verde was US$1,323 million and US$1,426 million, respectively (market capitalization value by each share of US$19.30 and US$20.80, respectively). Investment in Compañía Minera Coimolache S.A. (Coimolache) - Coimolache is involved in the production and the sales of gold and silver from its open-pit mining unit located in Cajamarca, Peru. The table below presents the key financial data from the financial statements of Coimolache under IFRS: 2019 2018 US$(000) US$(000) Statements of financial position as of December 31: Current assets 145,692 99,887 Non-current assets 234,223 261,782 Current liabilities (34,028) (39,204) Non-current liabilities (91,069) (86,103) Equity 254,818 236,362 Adjustments to conform to the accounting policies of the Group (9,330) (13,003) Equity, adjusted 245,488 223,359 Group’s interest 98,426 89,554 2019 2018 2017 US$(000) US$(000) US$(000) Statements of profit or loss for the years ended December 31: Net sales 241,173 225,447 203,790 Net income from continued operations 28,459 25,584 50,787 Adjustments to conform to the accounting policies 3,674 1,837 2,265 Net income, adjusted 32,133 27,421 53,052 Share in results 12,883 10,994 21,271 (c) The table below presents the key financial data from the joint venture under IFRS: 2019 2018 US$(000) US$(000) Current assets 11,090 17,653 Non-current assets 100,106 107,175 Liabilities 88,608 101,575 Shareholders’ equity, reported 22,588 23,253 Net loss from continued operations (665) (1,814) |
Mining concessions, development
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net | 12 Months Ended |
Dec. 31, 2019 | |
Mining concessions, development costs, property, plant and equipment, net | |
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net | 11. Mining concessions, development costs, right-of-use asset, property, plant and equipment, net (a) Balance as of Balance as of Balance as of January 1, Reclassifications December 31, Reclassifications Implementation December 31, 2018 Additions Disposals Sales and transfers 2018 Additions Disposals Sales and transfers IFRS 16 2019 US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Cost: Lands 22,690 783 (462) — (1,250) 21,761 630 — (135) (4,739) — 17,517 Mining concessions (f) 151,873 — — — — 151,873 — — — — — 151,873 Development costs 712,051 32,059 (2,656) — 1,805 743,259 46,047 (443) — (819) — 788,044 Buildings, constructions and other 1,279,251 — (2,837) — 66,207 1,342,621 39 (3,559) (5,380) 26,120 — 1,359,841 Machinery and equipment 929,023 — (182) (9,205) 38,830 958,466 12 (30,235) (38,322) 22,783 — 912,704 Transportation units 9,946 42 (138) (510) 1,545 10,885 33 (540) (1,856) 370 — 8,892 Furniture and fixtures 13,902 — — (193) (403) 13,306 2 (1,310) (1) 13 — 12,010 Units in transit 4,749 11 — — (2,078) 2,682 — (1) — 1,073 — 3,754 Work in progress 101,122 67,096 (3,450) — (108,106) 56,662 44,319 (1,168) (78) (49,370) — 50,365 Stripping activity asset 130,447 11,279 — — — 141,726 11,545 — — 819 — 154,090 Right-of-use asset (e) — — — — — — 3,721 (10,897) — — 18,528 11,352 Mine closure costs 241,288 61,239 — — (18,365) 284,162 26,722 — — — — 310,884 3,596,342 172,509 (9,725) (9,908) (21,815) 3,727,403 133,070 (48,153) (45,772) (3,750) 18,528 3,781,326 Accumulated depreciation and amortization: Lands 1,249 — — — (1,249) — — — — — — — Mining concessions (f) 40,239 10 — — — 40,249 10 — — — — 40,259 Development costs 263,122 35,433 — — (2) 298,553 29,964 — — — — 328,517 Buildings, construction and other 506,837 84,244 — — 562 591,643 83,274 (3,391) (3,569) (638) — 667,319 Machinery and equipment 582,449 93,722 (177) (8,659) (1,978) 665,357 66,020 (28,619) (35,459) 638 — 667,937 Transportation units 8,390 745 (85) (436) (15) 8,599 744 (538) (1,779) — — 7,026 Furniture and fixtures 9,880 644 — (187) (214) 10,123 653 (1,172) — — — 9,604 Stripping activity asset 41,695 28,820 — — 3 70,518 18,405 — — — — 88,923 Right-of-use asset (e) — — — — — — 7,778 (2,611) — — — 5,167 Mine closure costs 158,121 10,350 — — — 168,471 15,373 — — — — 183,844 1,611,982 253,968 (262) (9,282) (2,893) 1,853,513 222,221 (36,331) (40,807) — — 1,998,596 Provision for impairment of long-lived assets: Mine closure costs 20,121 — (5,693) — (1,221) 13,207 2,083 — — — — 15,290 Development costs 10,153 — — — — 10,153 — — — — — 10,153 Property, plant and other 4,531 — (2,837) — 1,221 2,915 — — — — — 2,915 34,805 — (8,530) — — 26,275 2,083 — — — — 28,358 Net cost 1,949,555 1,847,615 1,754,372 (b) In accordance with its accounting policies and processes, each asset or CGU is evaluated annually at year-end, to determine whether there are any indications of impairment. If any such indications of impairment exist, a formal estimate of the recoverable amount is performed. In assessing whether impairment is required, the carrying value of the asset or CGU is compared with its recoverable amount. The recoverable amount is the higher of the CGU’s fair value less costs of disposal (FVLCD) and value in use (VIU). Given the nature of the Group’s activities, information on the fair value of an asset is usually difficult to obtain unless negotiations with potential purchasers or similar transactions are taking place. Consequently, the recoverable amount for each CGU is estimated based on discounted future estimated cash flows expected to be generated from the continued use of the CGUs using market based commodity price and exchange assumptions, estimated quantities of recoverable minerals, production levels, operating costs and capital requirements, and its eventual disposal, based on the latest life of mine (LOM) plans. These cash flows were discounted using a real post-tax discount rate that reflected current market assessments of the time value of money and the risks specific to the CGU. The estimates of quantities of recoverable minerals, production levels, operating costs and capital requirements are obtained from the planning process, including the LOM plans, one-year budgets and CGU-specific studies. During 2019, Buenaventura recorded a provision for US$2.1 million as a result of the analysis of the recoverable amount of its Julcani mining unit. The main factors considered in the impairment analysis were reserves and mining useful lives. As a result of the analysis of the recoverable amount as of December 31, 2019, La Zanja has not recognized a provision or recovery for impairment of long-lived assets. During 2018, as a result of derecognition of assets in Shila mining unit, Buenaventura recorded a reversal in the provision for impairment for US$2.8 million previously recorded in 2016. In addition, La Zanja recorded a reversal for the impairment provision for US$5.7 million (during 2017, La Zanja recorded a provision for US$21.6 million) as a result of the analysis of the recoverable amount. The main factors considered in the impairment analysis were reserves and mining useful lives. The recoverable amounts of La Zanja are based in Managements estimations of the value in use. During 2017, as a result of the sale of the mining units of Breapampa and Recuperada, as well as the sale of the assets of the Shila Paula mining unit, the Group recorded a reversal of impairment losses by US$7.4 million, US$7.1 million and US$2.7 million, respectively, see note 1(e). Key assumptions The determination of value in use is most sensitive to the following key assumptions: Production volumes Commodity prices Discount rate Costs Production volumes: Estimated production volumes are based on detailed life-of-mine plans and take into account development plans for the mines agreed by management as part of planning process. Production volumes are dependent on a number of variables, such as: the recoverable quantities; the production profile; the cost of the development of the infrastructure necessary to extract the reserves; the production costs; the contractual duration of mining rights; and the selling price of the commodities extracted. As each producing mining unit has specific reserve characteristics and economic circumstances, the cash flows of the mines are computed using appropriate individual economic models and key assumptions established by management. The production profiles used were consistent with the reserves and resource volumes approved as part of the Group’s process for the estimation of proved and probable reserves and resource estimates. Commodity prices: Forecast commodity prices are based on management’s estimates and are derived from forward price curves and long-term views of global supply and demand, building on experience of the industry and consistent with external sources. These prices were adjusted to arrive at appropriate consistent price assumptions for the different qualities and type of commodities, or, where appropriate, contracted prices were applied. These prices are reviewed at least annually. Estimates prices for the current and long-term periods that have been used to estimate future cash flows are as follows: 2020 2021-2025 US$ US$ Gold 1,500/Oz 1,500/Oz Silver 17.00/Oz 18.40/Oz Copper 6,000/MT 6,600/MT Lead 1,950/MT 2,100/MT Zinc 2,250/MT 2,300/MT Discount rate: In calculating the value in use, a discount rate after tax of 4.88%, 7.02% and 5.15% (equivalent to pre-tax rate of 6.92%, 9.95% and 7.31%) were applied to the post-tax cash flows of Buenaventura, El Brocal and La Zanja, respectively . These discount rates are derived from the Group’s post-tax weighted average cost of capital (WACC), with appropriate adjustments made to reflect the risks specific to the CGU. The WACC takes into account both debt and equity. The cost of equity is derived from the expected return on investment by the Group’s investors. The cost of debt is based on its interest bearing borrowings the Group is obliged to service. The Beta factors are evaluated annually based on publicly available market data. (c) (d) (e) The net assets for right in use maintained by the Group correspond: 2019 US$(000) Right in use assets Buildings 4,602 Transportation units 1,112 Machinery and equipment 471 6,185 During 2019, the additions to the right-of-use assets were US$3.7 million and the disposals were US$10.9 million. (f) (g) |
Minera Yanacocha SRL and subsidiary [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net | 10. Property, plant and equipment, net (a) Opening Transfer/Other Final balance Additions Sales and disposals changes balances US$(000) US$(000) US$(000) US$(000) US$(000) Year 2019 Cost- Land 9,459 — — 7,594 17,053 Land improvements 36,454 — (7,472) — 28,982 Building and constructions 298,328 — (26,556) (218) 271,554 Machinery and equipment 244,560 — (46,286) 18,598 216,872 Leach pads 1,723,270 — — 93,956 1,817,226 Vehicles 9,921 — (1,043) 524 9,402 Furniture and fixtures 2,556 — — — 2,556 Other equipment 58,924 — (3,712) 4,050 59,262 Work in progress 444,688 184,403 — (192,392) 436,699 Mining rights 37,521 — — — 37,521 Right of use asset — 1,045 — — 1,045 Asset retirement and mine closure 534,398 158,967 — — 693,365 Stripping activity asset 148,487 — — 3,007 151,494 Mine development 760,647 — — 63,509 824,156 4,309,213 344,415 (85,069) (1,372) 4,567,187 Accumulated depreciation and amortization Land improvements 35,583 101 (7,369) — 28,315 Building and constructions 247,979 5,702 (26,579) (973) 226,129 Machinery and equipment 204,255 21,780 (42,978) 973 184,030 Leach pads 1,656,002 38,286 — — 1,694,288 Vehicles 9,855 16 (1,043) — 8,828 Furniture and fixtures 2,556 — — — 2,556 Other equipment 56,522 1,326 (3,712) — 54,136 Mining rights 29,457 — — — 29,457 Right of use asset — 461 — — 461 Asset retirement and mine closure 424,008 54,818 — — 478,826 Stripping activity asset 146,058 1,667 — — 147,725 Mine development 656,484 17,658 — — 674,142 3,468,759 141,815 (81,681) — 3,528,893 Net cost 840,454 1,038,294 Opening Transfer/Other Final balance Additions Sales and disposals changes balances US$(000) US$(000) US$(000) US$(000) US$(000) Year 2018 Cost- Land 9,459 — — — 9,459 Land improvements 36,454 — — — 36,454 Building and constructions 297,798 — — 530 298,328 Machinery and equipment 286,865 — (72,442) 30,137 244,560 Leach pads 1,722,786 — — 484 1,723,270 Vehicles 11,024 — (1,171) 68 9,921 Furniture and fixtures 2,556 — — — 2,556 Other equipment 57,773 — (265) 1,416 58,924 Work in progress 400,410 117,636 — (73,358) 444,688 Mining rights 37,521 — — — 37,521 Asset retirement and mine closure 507,123 27,275 — — 534,398 Stripping activity asset 148,487 — — — 148,487 Mine development 722,355 — — 38,292 760,647 4,240,611 144,911 (73,878) (2,431) 4,309,213 Accumulated depreciation and amortization Land improvements 35,143 440 — — 35,583 Building and constructions 240,348 7,631 — — 247,979 Machinery and equipment 249,975 20,887 (66,607) — 204,255 Leach pads 1,621,266 34,736 — — 1,656,002 Vehicles 11,024 2 (1,171) — 9,855 Furniture and fixtures 2,556 — — — 2,556 Other equipment 55,914 828 (220) — 56,522 Mining rights 29,457 — — — 29,457 Asset retirement and mine closure 356,345 67,663 — — 424,008 Stripping activity asset 143,252 2,806 — — 146,058 Mine development 639,450 17,034 — — 656,484 3,384,730 152,027 (67,998) — 3,468,759 Net cost 855,881 840,454 Additions to work in progress in 2018 and 2019 are primarily related to the Quecher Main project. As of December 31, 2019, the Company does not have material commitments related to this project. The depreciation and amortization expense for the year ended December 31, 2019 and 2018 was recorded in the "Cost applicable to sales" caption in the consolidated statement of comprehensive income. (b) In accordance with the accounting policies and processes, each asset or Cash Generating Unit “CGU” is evaluated annually at year end, to determine whether there are any indications of impairment. If any such indications of impairment exist, a formal estimate of the recoverable amount is performed. The Company has two CGU’s: Yanacocha mine and Conga project. In December 2017 and 2018, the Company performed a formal evaluation of its cash generating units and concluded that there were no impairment indicators at December 31, 2018 and 2017, respectively. In this assessment the Management considered that the Company had been complying with the estimated results for each year included in the last impairment calculation. During 2019, the Company’s Management identified as an impairment indicator the significant increase of the asset retirement and mine closure, as a result the Company had to determinate the recoverable amount for its CGU Yanacocha. Regarding to CGU Conga the Management did not identify any important indicator. As a result of this analysis the Company concluded that no additional impairment loss on CGU Yanacocha was required to be recorded as the recoverable amount exceeded the carrying amount of the CGU’s assets. In assessing whether impairment was required, the carrying value of the asset or CGU was compared with its recoverable amount. The recoverable amount is the higher of the CGU’s fair value less costs to sell (FVLCS) and value in use (VIU). Given the nature of the Company’s activities, information on the fair value of an asset is usually difficult to obtain unless negotiations with potential purchasers or similar transactions are taking place. Consequently, the recoverable amount for each CGU was estimated based on estimated discounted future estimated cash flows expected to be generated from the continued use of the CGUs using market based commodity price and exchange assumptions, estimated quantities of recoverable minerals, production levels, operating costs and capital requirements, and its eventual disposal, based on the latest life of mine (LOM) plans. These cash flows were discounted using a real pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the CGU. Estimates included quantities of recoverable minerals, production levels, operating costs and capital requirements and sourced from the planning process, including the life of mine (LOM) plans, one-year budgets and CGU-specific studies. Key assumptions used for the impairment testing as of December 31, 2019: The determination of fair value less cost to sell was most sensitive to the following key assumptions: - Production volumes. - Commodity prices. - Discount rate. - Cost / EBIT Production volumes: Estimated production volumes are based on detailed life-of-mine plans and take into account development plans for the mines agreed by management as part of planning process. Production volumes are dependent on a number of variables, such as: the recoverable quantities; the production profile; the cost of the development of the infrastructure necessary to extract the reserves; the production costs; the contractual duration of mining rights; and the selling price of the commodities extracted. As each producing mining unit has specific reserve characteristics and economic circumstances, the cash flows of the mines were computed using appropriate individual economic models and key assumptions established by management. The production profiles used were consistent with the reserves and resource volumes approved as part of the Company’s process for the estimation of proved and probable reserves and resource estimates. Commodity prices: Forecasted commodity prices were based on management’s estimates and were derived from forward price curves and long-term views of global supply and demand, building on past experience of the industry and consistent with external sources. These prices were adjusted to arrive at appropriate consistent price assumptions for the different qualities and type of commodities, or, where appropriate, contracted prices were applied. Estimated prices for the current and long-term periods that have were used to estimate future revenues were as follows: Current Long-term US$ US$ Gold (per ounce) 1,481 1,300 Copper (per pound) 3.0 3.0 Discount rate: In calculating the fair value less cost to sell, a pre-tax discount rate of 7.1% was applied to the pre-tax cash flows. This discount rate was derived from the Company’s pre-tax weighted average cost of capital (WACC), with appropriate adjustments made to reflect the risks specific to the CGU. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net | 7. Property, plant and equipment, net Property, plant and equipment consist of owned and leased assets (right-of-use assets), and cost and accumulated depreciation accounts as of December 31, 2019 and 2018 are shown below: January 1, December 31, December 31, 2018 Additions Adjustments Disposals Transfers 2018 IFRS 16 adoption Additions Adjustments Disposals Transfers 2019 US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Cost Land 24,467 — — — 196 24,663 — — — (80) 322 24,905 Buildings and other constructions 2,370,042 — 41,089 (9,644) 48,090 2,449,577 — — 544 (4,769) 102,772 2,548,124 Machinery and equipment 4,553,508 — (41,089) (19,426) 201,057 4,694,050 — — (544) (30,482) 191,589 4,854,613 Transportation units 20,557 — — (32) 2,726 23,251 — — — (32) 3,146 26,365 Furniture and fixtures 949 — — — — 949 — — — — — 949 Other equipment 24,977 — — (11) 525 25,491 — — — (594) 203 25,100 Construction in progress and in-transit units 149,661 288,861 — — (252,594) 185,928 — 271,364 (a) (1,192) — (298,032) 158,068 Stripping activity asset (see Note 2(i)) 478,382 177,327 — — — 655,709 — 197,038 — — — 852,747 Asset retirement costs (see Note 11(c)) 136,327 2,724 (32,017) — — 107,034 — 18,834 41,130 — — 166,998 Right-of-use assets (b) — — — — — — 95,728 1,342 (700) (929) — 95,441 7,758,870 468,912 (32,017) (29,113) — 8,166,652 95,728 488,578 39,238 (36,886) — 8,753,310 Accumulated depreciation Buildings and other constructions 229,627 96,623 5,184 (9,514) — 321,920 — 76,199 513 (4,722) — 393,910 Machinery and equipment 1,517,337 292,656 (5,184) (18,483) — 1,786,326 — 284,097 (513) (29,091) — 2,040,819 Transportation units 12,221 1,784 — (33) — 13,972 — 1,928 — (28) — 15,872 Furniture and fixtures 834 24 — — — 858 — 23 — — — 881 Other equipment 16,400 2,406 — (10) — 18,796 — 1,543 — (594) — 19,745 Stripping activity asset 285,327 112,875 — — — 398,202 — 155,530 — — — 553,732 Asset retirement costs 18,700 4,976 — — — 23,676 — 3,239 — — — 26,915 Right-of-use assets (b) — — — — — — — 11,488 — (903) — 10,585 2,080,446 511,344 — (28,040) — 2,563,750 — 534,047 — (35,338) — 3,062,459 Net cost 5,678,424 5,602,902 5,690,851 (a) (b) The Company also has certain leases of machinery with lease terms of 12 months or less and leases of low-value office equipment. The Company has elected and applies the IFRS 16 exemptions for short-term leases and leases of low-value assets for these leases. Set out below are the carrying amounts of right-of-use assets recognized and the movements during the period: January 1, December 2019 Additions Adjustments Disposals 31, 2019 US$(000) US$(000) US$(000) US$(000) US$(000) Cost Land 11,008 — (700) (457) 9,851 Buildings and other constructions 55,114 1,192 — (370) 55,936 Machinery and equipment 29,606 150 — (102) 29,654 95,728 1,342 (700) (929) 95,441 Accumulated depreciation Land — 1,712 — (457) 1,255 Buildings and other constructions — 6,613 — (344) 6,269 Machinery and equipment — 3,163 — (102) 3,061 — 11,488 — (903) 10,585 Net cost 95,728 84,856 |
Other assets, net
Other assets, net | 12 Months Ended |
Dec. 31, 2019 | |
Other assets, net | |
Other assets, net | 12. Other assets, net (a) Balance as of Balance as of Balance as of January 1, December 31, December 31, 2018 Additions Transfers 2018 Additions Disposals 2019 US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Cost: Patents and industrial property (b) 13,680 2,642 (4,599) 11,723 2,139 — 13,862 Rights-of-use of lands right of way 7,853 4,439 — 12,292 1,319 — 13,611 Software licenses 8,816 1,448 (96) 10,168 242 (92) 10,318 30,349 8,529 (4,695) 34,183 3,700 (92) 37,791 Accumulated amortization: Rights-of-use 5,210 738 — 5,948 1,486 — 7,434 Software licenses 2,378 596 — 2,974 820 (112) 3,682 7,588 1,334 — 8,922 2,306 (112) 11,116 Cost net 22,761 25,261 26,675 (b) |
Bank loans
Bank loans | 12 Months Ended |
Dec. 31, 2019 | |
Bank loans | |
Bank loans | 13. Bank loans The movement is presented below: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 95,000 96,215 55,000 New loans 55,000 95,000 341,215 Disbursements (95,000) (95,000) (300,000) Sale of subsidiary — (1,215) — Final balance 55,000 95,000 96,215 As of December 31, 2019 and 2018, bank loans were obtained for working capital purposes, have current maturity and accrue interest at market annual rates ranging from 2% to 2.95% as of December 31, 2019 (2.00% to 3.13% as of December 31, 2018). |
Trade and other payables
Trade and other payables | 12 Months Ended |
Dec. 31, 2019 | |
Trade and other payables | |
Trade and other payables | 14. Trade and other payables (a) 2019 2018 US$(000) US$(000) Trade payables (b) Domestic suppliers 131,278 154,998 Related entities, note 30(b) 29 36 131,307 155,034 Other payables Taxes payable 12,043 9,102 Remuneration and similar benefits payable 11,522 10,531 Interest payable 5,318 7,464 Royalties payable to the Peruvian State 2,132 2,171 Dividends payable (c) 604 663 Related entities, note 30(b) 51 20 Other liabilities 3,883 3,738 35,553 33,689 Total trade and other payables 166,860 188,723 Classification by maturity: Current portion 166,244 188,084 Non-current portion 616 639 Total trade and other payables 166,860 188,723 Classification by nature: Financial payables 152,686 177,450 Non-financial payables 14,174 11,273 Total trade and other payables 166,860 188,723 (b) (c) 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 663 730 1,018 Declared dividends to controlling shareholders, note 17(d) 22,098 22,860 22,099 Dividends paid to controlling shareholders (22,098) (22,860) (22,099) Declared dividends to non-controlling shareholders 6,500 5,560 6,036 Dividends paid to non-controlling shareholders (6,500) (5,560) (6,036) Expired dividends (53) (44) (327) Other minor (6) (23) 39 Final balance 604 663 730 |
Minera Yanacocha SRL and subsidiary [Member] | |
Trade and other payables | |
Trade and other payables | 11. Trade and other payables (a) 2019 2018 US$(000) US$(000) Trade payables (b) Domestic suppliers 45,671 48,847 Related entities, note 22(c) 11,426 10,846 57,097 59,693 Other payables Remuneration and similar benefits payable 11,365 22,907 Other taxes payable 5,326 728 Royalties payable to the Peruvian State 2,696 136 19,387 23,771 76,484 83,464 (b) |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Trade and other payables | |
Trade and other payables | 8. Trade accounts payable Trade accounts payable are primarily originated by the acquisition of materials, supplies, services and spare parts. These obligations are primarily denominated in US dollars, have current maturities and do not accrue interest. No guarantees have been granted. As of December 31, 2019, trade accounts payable includes US$30.3 million related to capital projects (US$42.4 million as of December 31, 2018). |
Other accounts payable
Other accounts payable | 12 Months Ended |
Dec. 31, 2019 | |
Sociedads Minera Cerro Verde Saa [Member] | |
Disclosure of associates [line items] | |
Other accounts payable | 9. Other accounts payable This item is made up as follows: December 31, 2019 December 31, 2018 US$(000) US$(000) Current Royalties and mining taxes (a) 95,120 97,263 Other 4,260 3,991 Total current 99,380 101,254 Non-current Royalties and mining taxes (b) 362,464 215,070 Total other accounts payable 461,844 316,324 (a) As of December 31, 2019, represents the current portion of the monthly payments of the installment programs for disputed mining royalties for the year 2013 and special mining tax for the period October 2011 through December 2013, for which payments will start in the first quarter of 2020 (US$50.1 million, including interest, deferred interest and penalties of US$29.1 million) and the remaining monthly payments of the installment programs for disputed mining royalties for the period January 2009 through September 2011 and for the year 2012 (US$45.0 million, including interest and penalties of US$26.5 million) (see Note 13(d)). As of December 31, 2018, represents the current portion of the monthly payments of the new installment programs approved by SUNAT which the Company will start paying in second-quarter 2019, related to disputed mining royalties for the period January 2009 through September 2011 of US$23.8 million and interest, deferral interest and penalties of US$41.4 million. The current amount also includes the remaining monthly payments of the installment program approved by SUNAT related to disputed mining royalties for the years 2006 to 2008 of US$13.2 million and interest and penalties of US$18.9 million. (a) As of December 31, 2019, represents the non-current portion of the monthly payments of the installment programs of disputed mining royalties for the period January 2009 through September 2011 and for the years 2012 and 2013 (US$273.8 million, including interest and penalties of US$157.5 million) and special mining tax for the period October 2011 through December 2013 (US$88.7 million (see Note 13(d)). As of December 31, 2018, represents the non-current portion of the monthly payments of the new installment programs related to disputed mining royalties for the period January 2009 through September 2011 of US$85.5 million and interest and penalties of US$129.6 million. |
Other Financial Liabilities (de
Other Financial Liabilities (debt) | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure Of Other Financial Liabilities debt [Line Items] | |
Other financial liabilities (debt) | 10. Other financial liabilities (debt) This item is made up as follows: December 31, 2019 December 31, 2018 US$(000) US$(000) Current debt: Lease liabilities (a) 8,855 — Non-current debt: Senior unsecured credit facility (b) 830,000 1,030,000 Lease liabilities (a) 76,944 — Less : Debt issuance cost (4,124) (7,190) Total non-current debt 1,022,810 Total other financial liabilities 911,675 1,022,810 (a) The lease liability consists of leased land, buildings and other constructions, and machinery and equipment which are used in mine operations. Set out below are the carrying amounts of lease liabilities and the movements during the period: 2019 US$(000) Balance at beginning of the year: 95,728 Additions 550 Interest expense on lease liabilities 5,242 Payments (10,479) Payments of Interest (5,242) Balance at end of the year 85,799 The following are the amounts recognized in profit or loss: 2019 US$(000) Depreciation charge of right-of-use assets, see Note 15 11,488 Interest expense on lease liabilities, see Note 18 5,242 Expense relating to variable lease payments, low-value and short-term leases, see Note 15 7,069 23,799 The Company has certain lease contracts for machinery and equipment used in mine operations that contain variable payments based on the number of hours that machinery or equipment is used in operations. (b) In March 2014, the Company entered into a five-year, US$1.8 billion senior unsecured credit facility with several banks led by Citibank N.A. as the administrative agent. The disbursements were mainly used to finance a portion of the Company’s expansion project. In June 2017, the Company entered into an amendment to the senior unsecured credit facility, which extends the maturity and increased the outstanding amount by US$225 million. After the amendment, the balance of the total credit facility was US$1.5 billion. As of December 31, 2019, the Company had repaid US$670 million (US$470 million as of December 31, 2018). The credit facility calls for amortization in four installments, with 15% of the total facility due on December 31, 2020 (fully repaid as of December 31, 2019), 15% due on June 30, 2021 (fully repaid as of December 31, 2019), 35% due on December 31, 2021 (US$305 million after the March 2019 repayment) and 35% due on June 19, 2022 (US$525 million). Interest on the credit facility is based on the London Interbank Offered Rate (LIBOR) plus a spread (currently 1.9%) based on the Company´s total net debt to earnings before interest, taxes, depreciation and amortization (EBITDA) ratio, as defined in the agreement. During the year 2019, the Company recognized charges of US$1.3 million (US$1.9 million during the year 2018 and US$ 2.0 million during the year 2017) for issuance costs related to debt prepayment caused by the early March 2019 in the statements of comprehensive income (see Note 18). No letters of credit were issued and there are no guarantees provided for the credit facility as of December 31, 2019. Restrictive Covenants - The senior unsecured credit facility contains certain financial ratios that the Company must comply with on a quarterly basis, including a total net debt to EBITDA ratio and an interest coverage ratio, which are defined by the agreement. As of December 31, 2019, the Company was in compliance with all of its covenants. (d) Following is the movement of the changes derived from the financing activities for the year ended December 31, 2019 and 2018: January 01, December 31, December 31, 2018 Additions Payments Others 2018 IFRS 16 adoption Additions Payments Others 2019 US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Current: Leases, see Note 10 (a) — — — — — 8,119 464 (10,479) 10,751 8,855 Non-current: Senior unsecured credit facility 1,280,000 — (250,000) — 1,030,000 — — (200,000) — 830,000 Debt issuance cost (11,512) — — 4,322 (7,190) — — — 3,066 (4,124) Leases, see Note 10 (a) — — — — — 87,609 86 — (10,751) 76,944 Total liabilities from financing activities 1,268,488 — (250,000) 4,322 1,022,810 95,728 550 (210,479) 3,066 911,675 |
Provisions, contingent liabilit
Provisions, contingent liabilities and other liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Provisions and contingent liabilities | |
Provisions and contingent liabilities | 15. Provisions, contingent liabilities and other liabilities (a) As of Changes As of January 1, (additions and Accretion December 31, 2019 deductions) expense Disbursements 2019 US$(000) US$(000) US$(000) US$(000) US$(000) Closure of mining units and exploration projects (b) 225,877 32,654 10,656 (16,882) 252,305 Bonus to employees and officers 18,620 15,855 — (15,249) 19,226 Environmental liabilities 3,768 3,944 — (1,407) 6,305 Safety contingencies 4,877 1,270 — (942) 5,205 Labor contingencies 4,042 (258) — (7) 3,777 Obligations with communities 5,878 1,306 — (3,675) 3,509 Board of Directors’ participation 2,108 1,736 — (2,250) 1,594 Environmental contingencies 234 1,343 — (77) 1,500 Workers’ profit sharing payable 1,772 (7) — (1,696) 69 Other provisions 758 259 — — 1,017 267,934 58,102 10,656 (42,185) 294,507 Classification by maturity: Current portion 68,172 72,771 Non-current portion 199,762 221,736 267,934 294,507 (b) The table below presents the movement of the provision for closure of mining units and exploration projects: 2019 2018 US$(000) US$(000) Beginning balance 225,877 200,183 Changes (additions and deductions) in estimates Continuing mining units, note 11(a) 26,722 42,874 Discontinued mining units, note 1(e) 1,912 6,013 Exploration projects, note 26(a) 4,020 (2,433) Accretion expense Continuing mining units, note 27(a) 10,266 4,911 Discontinued mining units, note 1(e) 266 88 Exploration projects, note 26(a) 124 71 Disbursements (16,882) (25,830) Final balance 252,305 225,877 Classification by maturity: Current portion 35,280 30,524 Non-current portion 217,025 195,353 252,305 225,877 The provision for closure of mining units and exploration projects represents the present value of the closure costs that are expected to be incurred between the years 2020 and 2041. The Group recognizes the provision of closure of mining units and explorations projects based on estimates of studies and activities that meet the environmental regulations in effect and that will be approved by the Ministry of Energy and Mines. The provision of continued operations are prepared by independent advisors and provisions related to discontinue operations are prepared by internal advisors. The provision for closure of mining units and exploration projects corresponds mostly to activities that must be carried out for restoring the mining units and areas affected by operation and production activities. The principal works to be performed correspond to earthworks, re-vegetation efforts and dismantling of the plants. Closure budgets are reviewed regularly to take into account any significant change in the studies conducted. Nevertheless, the closure costs of mining units will depend on the market prices for the closure works required, which would reflect future economic conditions. Also, the time when the disbursements will be made depends on the useful life of the mine, which will be based on future metals prices. As of December 31, 2019, the future value of the provision for closure of mining units and exploration projects was US$296.2 million, which has been discounted using annual risk-free rates from minimums of 1.79 to 3.12 percent, in periods of 1 to 22 years (as of December 31, 2018, the provision was US$280.3 million, which has been discounted using annual risk-free rates from minimums of 1.98 and 4.74 to a maximum percent in periods of 1 to 23 years). The Group believes that this liability is sufficient to meet the current environmental protection laws approved by the Ministry of Energy and Mines. As of December 31, 2019, the Group has constituted letters of credit in favor of the Ministry of Energy and Mines for US$121.4 million (US$119.7 million as of December 31, 2018) to secure current mine closure plans of its mining units and exploration projects up to date. |
Minera Yanacocha SRL and subsidiary [Member] | |
Provisions and contingent liabilities | |
Provisions and contingent liabilities | 12. Provisions, other accruals and liabilities (a) 2019 2018 US$(000) US$(000) Provisions Provision for closure of mining units and exploration projects (b) 1,608,380 1,294,464 Provision of social responsibility (c) 18,326 18,010 Other provisions 2,484 2,785 1,629,190 1,315,259 Other accruals and liabilities Interests payable, see note 24 16,840 — Workers’ profit sharing payable (e) 12,793 3,920 Accrual of operating costs (d) 11,238 11,442 Accrual of capital expenditure 8,139 3,682 Right of use liability 596 — 49,606 19,044 Total provisions, other accruals and liabilities 1,678,796 1,334,303 Classification by maturity: Current portion 90,940 41,154 Non-current portion 1,587,856 1,293,149 1,678,796 1,334,303 (b) The Company’s mining and exploration activities are subject to various laws and regulations governing the protection of the environment. These laws and regulations are continually changing and are generally becoming more restrictive. The Company conducts its operations so as to protect the public health and environment and believes its operations are in compliance with all applicable laws and regulations in all material respects. The Company has made, and expects to make in the future, expenditures to comply with such laws and regulations, but cannot predict the amount of such future expenditures. Estimated future reclamation costs are based principally on legal and regulatory requirements. The provision for closure of mining units comprises activities to be carried out by the Company in the restoration of mines and adjacent areas in the completion stage of the gold extraction process. Such activities include the restoration of mining locations, water treatment plant operations, as well as reforestation and land treatments. The movement of the provision for closure of mining units for 2019, 2018 and 2017 is broken down as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Opening balance 1,294,464 1,234,731 1,012,888 Additional provisions 301,096 43,560 221,450 Payments (23,889) (19,842) (21,376) Unwinding of discount, note 20 36,709 36,015 21,769 Ending balance 1,608,380 1,294,464 1,234,731 Classification by maturity Current portion 39,156 19,325 19,455 Non-current portion 1,569,224 1,275,139 1,215,276 1,608,380 1,294,464 1,234,731 The provision for closure of mining units and exploration projects represents the present value of the closure costs that are expected to be incurred between the years 2020 and 2069. There were minimal changes to the updated closure plan in 2017 prior to submitting to Peruvian regulators in September 2017. The regulators completed their review and approved the updated closure plan in November 2017. During the years ended December 31, 2019, 2018 and 2017, the Company recorded an increase to the reclamation liability of US$301 million, US$44 million and US$206 million, respectively. The increase to the reclamation obligation resulted in an increase to the recorded asset retirement cost asset of US$ 159 million (US$27.2 million and US$97 million in 2018 and 2017, respectively) related to the producing portions of the mine (see note 10) and a non-cash charge to reclamation expense for the year ended December 31, 2019 of US$142 million (US$16.3 million and US$124.1 million as December 31, 2018 and 2017, respectively) related to the areas of Carachugo, Yanacocha, Maqui Maqui and Cerro Negro operations no longer in production (see note 17). The increase of the 2019 reclamation obligation is mainly due to higher water treatment costs, whereas in 2018 the increase was mainly due to new disturbance costs from the Quecher Main project and changes in the labor cost estimate. The discount rates used in the calculation of the provision as December 31, 2019, 2018 and 2017 were between 0.2% and 0.3%. (c) The provision of social responsibility relates to community commitments to develop projects near the mine site, including training and support for other activities such as building infrastructure and donations. The movement of the provision for social responsibility for 2019, 2018 and 2017 is broken down as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Opening balance 18,010 21,689 24,335 Additional provisions 888 — — Payments (572) (3,679) (2,646) Ending balance 18,326 18,010 21,689 Classification by maturity Current portion 761 8,351 — Non-current portion 17,565 9,659 21,689 18,326 18,010 21,689 (d) The accrual of operating cost relates to the accruals of services received by the Company as part of its operations that were pending to be invoiced such as power, maintenance, contractors and others. (e) In accordance with Peruvian legislation, the Company maintains an employee profit sharing plan equal to 8% of annual taxable income. Distributions to employees under the plan are based 50% on the number of days that each employee worked during the preceding year and 50% on proportionate annual salary levels. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Provisions and contingent liabilities | |
Provisions and contingent liabilities | 11. Provisions This item is made up as follows: December 31, December 31, 2019 2018 US$(000) US$(000) Current: Services and freight not invoiced (a) 27,945 11,823 Provision for social commitments (b) 7,677 1,815 Provision for remediation and mine closure (c) 241 — Provision for legal contingencies — 1,719 Total current 35,863 15,357 Non–current: Provision for remediation and mine closure (c) 195,659 131,888 Royalties and mining tax (d) 62,797 191,299 Provision for legal contingencies (e) 4,800 — Provision for social commitments (b) 3,046 8,111 Other long-term liabilities (e) 12,117 11,033 Total non-current 278,419 342,331 (a) As of December 31, 2019, primarily represents the provision for services and freights not invoiced (US$20.9 million) and penalties related to land rights with INGEMMET (Instituto Geológico Minero y Metalúrgico), (US$7.0 million). (b) The provision for social commitments as of December 31, 2019, is associated with repaving Alata-Congata Road (US$6.3 million) and an irrigation project in La Joya (US$4.4 million). (c) The Company’s mineral exploitation activities are subject to environmental protection standards. In order to comply with these standards, the Company has obtained the approval for the Environment Adequacy Program (PAMA) and for the Environmental Impact Studies (EIA), required for the operation of Cerro Verde’s production unit. On October 14, 2003, Law N° 28090 was enacted, which regulates the commitments and procedures that entities involved in mining activities must follow in order to prepare, file and implement a mine site closing plan, as well as the respective environmental guarantees that assure compliance with the plan in accordance with protection, conservation and restoration of the environment. On August 15, 2005, the regulations regarding this law were approved. During 2006, in compliance with the mentioned law, the Company completed the closure plans for its mine site, and presented it to the Ministry of Energy and Mines. The closure plans for its mine site was approved by Resolution No 302‑2009 MEM-AAM and its modifications were approved by Resolution No 207‑2012 MEM-AAM, Resolution No 186‑2014 MEM-DGAAM and its last modification, Resolution No 032‑2018 MEM-DGAAM. As of December 31, 2019, pursuant to legal requirements, the Company has issued a letter of credit to the Ministry of Energy and Mines totaling US$51.0 million to secure mine closure plans. The provision for remediation and mine closure costs is based on studies prepared by independent consultants and based on current environmental regulations. This provision corresponds mainly to the activities to be performed in order to restore the areas affected by mining activities. The main tasks to be performed include ground removal, soil recovery, and dismantling of plant and equipment. The table below presents the changes in the provision for remediation and mine closure: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 131,888 156,859 153,313 Accretion expense 4,048 4,322 4,595 Changes in estimates, Note 7 41,130 (32,017) (3,710) Additions, Note 7 18,834 2,724 2,661 Final balance 195,900 131,888 156,859 As of December 31, 2019, the Company’s provision for remediation and mine closure was US$195.9 million (reflecting the future value of the provision for remediation and mine closure of US$374.4 million, discounted using an annual risk-free rate of 2.28%). As of December 31, 2018, the Company’s provision for remediation and mine closure was US$131.9 million (reflecting the future value of the provision for remediation and mine closure of US$374.4 million, discounted using an annual risk-free rate of 2.99%). As of December 31, 2017, the Company’s provision for remediation and mine closure was US $156.9 million (reflecting the future value of the provision for remediation and mine closure of US $374.4 million, discounted using an annual risk-free rate of 2.73%) The Company considers this liability sufficient to meet the current environmental protection laws approved by the Ministry of Energy and Mines (MEM). As of December 31, 2019, changes in estimates (US$41.1 million) are mainly due to changes in the escalation ratio. (d) As of December 31, 2018, represents the non-current portion of net assets tax (ITAN) for the years 2010, 2011 and 2013 of US$19.6 million and interest and penalties of (i) disputed mining royalties for the period October 2011 through December 2013 of US$70.0 million, (ii) special mining tax for the year 2011 through the year 2013 of US$50.8 million, (iii) income tax related to disputed mining royalties for the year 2010 of US$41.1 million and (iv) ITAN for the years 2010, 2011 and 2013 of US$9.8 million. (e) |
Debt instruments
Debt instruments | 12 Months Ended |
Dec. 31, 2019 | |
Minera Yanacocha SRL and subsidiary [Member] | |
Debt instruments | 13. Debt instruments On June 14, 2018, the Company approved the sale of 63,922,565 shares of Minera Yanacocha, S.R.L. to Summit Global Management II BV, a wholly-owned subsidiary of Sumitomo Corporation (“Sumitomo”) for a consideration of US$47,911. The transaction resulted in Sumitomo owning 5% of Minera Yanacocha, S.R.L. with Newmont Second Capital Corporation and Buenaventura’s ownership percentages decreasing to 51.35% and 43.65%, respectively. Under the terms of the transaction, Sumitomo has the option to require the Company to repurchase the 5% interest in Minera Yanacocha, S.R.L. if the Yanacocha Sulfides project does not adequately progress by June 2022 or if the project is approved with an incremental rate of return below a contractually agreed upon rate. Under the terms of the sales agreement, the cash paid by Sumitomo at closing has been placed in an escrow for repayment in the event the option is exercised. As of December 31, 2019 and December 31, 2018, the Company holds US$48,617 and US$48,127, respectively in an escrow account with Citibank New York and generates interest at a market rate. This balance is included in the caption Restricted Cash in the consolidated statement of financial position. The restricted cash is not available to finance the Company's day-to-day operations and, therefore, has been excluded from cash and cash equivalents for the purposes of the consolidated statement of cash flows. It has been disclosed as a non-current asset. The shares held by Sumitomo meet the definition of a compound instrument and is classified as a liability (with a portion recorded to equity) in the consolidated financial statements of the Company. The difference between the present value of the compound instrument at the date of the transaction for an amount of US$41,695 and the gross redemption amount of US$47,911 was recorded as additional paid-in-capital in equity for an amount of US$6,216 at the date of the transaction. The value of the compound instrument as of December 31, 2019 and December 31, 2018 amounts to US$43,927 and US$42,430, respectively. For the years ended December 31, 2019 and December 31, 2018 the unwinding of the discount was recognized in the caption “Finance costs” in the consolidated statement of comprehensive income for an amount of US$1,497 and US$735, respectively, see note 20. |
Financial obligations
Financial obligations | 12 Months Ended |
Dec. 31, 2019 | |
Financial obligations | |
Financial obligations | 16. Financial obligations (a) 2019 2018 US$(000) US$(000) Compañía de Minas Buenaventura S.A.A.(b) BBVA Banco Continental 61,667 61,667 Banco de Crédito del Perú 61,667 61,667 CorpBanca New York Branch 61,666 61,666 Banco Internacional del Perú 30,000 30,000 ICBC Perú Bank 25,000 25,000 Banco Latinoamericano de Comercio Exterior S.A. 20,000 20,000 Banco de Sabadell, Miami Branch 15,000 15,000 275,000 275,000 Debt issuance costs (2,504) (3,618) 272,496 271,382 Sociedad Minera El Brocal S.A.A. Banco de Crédito del Perú – New financial obligation (c) 161,894 — Debt issuance costs (709) — 161,185 — Banco de Crédito del Perú – Finance leaseback — 94,490 Debt issuance costs (c) — (976) — 93,514 Banco de Crédito del Perú - Mid-term financial obligation (c) — 75,000 161,185 168,514 Empresa de Generación Huanza S.A. Banco de Crédito del Perú – Finance lease (d) 130,504 147,166 Obligations for leases, note 2.3 and (g) 7,503 — Total financial obligations 571,688 587,062 Classification by maturity: Current portion 265,692 46,166 Non-current portion (e) 305,996 540,896 Total financial obligations 571,688 587,062 (b) - - - - - - As part of the commitments, the Group must meet certain consolidated financial ratios. The main ratios are the following: (i) (ii) (iii) For the calculation of (i) and (ii), the financial obligations and Earnings Before - Interest Depreciation and Amortization (EBITDA) of Huanza are excluded. Additionally, there is a requirement related to the distribution of dividends (until December 31, 2018: up to 20% of the available net income for the previous period; since January 1, 2019: up to the total of net income for the previous period), according to the execution of the dividend policy of the Buenaventura. On March 28, 2018, Buenaventura restructured its financial obligation by modifying some of the clauses as follows: - - - The Buenaventura´s Management oversees the compliance of the terms described above. As of December 31, 2019 and 2018, Buenaventura complies with the above financial ratios. (c) - - - - - - According to the lease contract mentioned above, El Brocal is required to maintain the following financial ratios: (i) Debt service coverage ratio: Higher than 1.3. (ii) Leverage Ratio: Less than 1.0 times. (iii) Indebtedness ratio: Less than 2.25 times. This new financial obligation is guaranteed by a security guarantee contract on assets; guarantee contract on credit rights, flows and account balances; land mortgage contract; and mortgage contract on mining concessions. The El Brocal´s Management oversees the compliance of the terms described above. As of December 31, 2019 and 2018, Buenaventura complies with the above financial ratios. The compliance with the financial ratios is monitored by El Brocal's management, which it managed and obtained from Banco de Crédito del Perú a waiver for any possible breach of the financial ratios that occured for the last quarter of 2019 and for the year 2020. (d) - - - - - On June 30, 2014, Banco de Credito del Perú extended the finance lease contract above mentioned, through the addition of a new tranche. In 2017, Huanza negotiate a reduction of the fixed rate of interest and agreed a modification of the following terms and conditions: - - - - - In addition, Huanza have granted a security interest for 100 percent of shares. According to the lease contract mentioned above, Huanza is required to maintain the following financial ratios: - - On December 2, 2009, Huanza signed a “Guarantee Trust Agreement” (hereinafter “the contract”), related to the financial lease agreement described above. In said contract, Huanza and Buenaventura are the trustors, the Bank is the trustee and La Fiduciaria S.A. is the fiduciary. The objective of the contract is the constitution of a trust equity with irrevocable character, which serves entirely as a guarantee of the total payment of the guaranteed obligations, which are based on the agreements, renewals, extensions or modifications established in the financial lease documents. Under this contract, Huanza promised to grant the following: - As of December 31, 2019 and 2018, Huanza complied with these assumed commitments, including that related to the channeling of all the cash flows received for commercial income through a collection account. (e) 2019 2018 US$(000) US$(000) Between 1 and 2 years 133,091 278,397 Between 2 and 5 years 127,463 266,625 More than 5 years 48,566 — 309,120 545,022 Debt issuance costs (3,124) (4,126) 305,996 540,896 (f) 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 587,062 633,083 592,342 New obligations 161,894 — 80,000 New lease obligations, note 2.3 19,885 — — Payments of financial obligations (186,152) (45,222) (32,599) Payments of obligations for leases (7,596) — — Increase of debt issuance costs (728) — (480) Movement of lease obligations (4,786) — — Accrual of debt issuance costs in results, note 27(a) 2,109 1,024 909 Exchange difference — 384 (165) Increase in interest for debt restructuring — (2,207) — Accrual of debt issuance costs capitalized — — 272 Sale of asset under lease agreement — — (7,196) Final balance 571,688 587,062 633,083 (g) 2019 US$(000) Buildings 5,296 Transportation units 1,429 Machinery and equipment 778 7,503 Classification by maturity: Current portion 3,692 Non-current portion 3,811 7,503 Buildings – Lease liabilities related to buildings mainly correspond to a lease contract entered by Buenaventura on its administrative offices in Lima located in Las Begonias Street N°415, San Isidro, Lima, Peru, with a lease term of 10 years since the year 2013 and fixed payments. The Group has the option to lease the assets for two additional term of 5 years each. Future minimum rentals payable as of December 31 are the following: 2019 2018 US$(000) US$(000) Within one year 1,470 1,543 After one year but not more than five years 3,697 5,787 5,167 7,330 Transportation units - The Group has lease contracts for various items of mining vehicles used in its operations. Leases of mining vehicles generally have lease terms between one and three years. The Group’s obligations under its leases are secured by the lessor’s title to the leased assets. Generally, the Group is restricted from assigning and subleasing the leased assets. No contracts require the Group to maintain certain financial ratios nor includes variable lease payments. The Group also has certain leases of assets with lease terms of 12 months or less and leases of office equipment with low value. The Group applies the short-term lease and lease of low-value assets recognition exemptions for these leases. |
Shareholders' equity, net
Shareholders' equity, net | 12 Months Ended |
Dec. 31, 2019 | |
Shareholders' equity, net | |
Shareholders' equity, net | 17. Shareholders’ equity, net (a) The Group’s share capital is stated in soles and consisted of common shares with voting rights, with a nominal amount of S/10.00 per share. The table below presents the composition of the capital stock as of December 31, 2019 and 2018: Number of Capital Capital shares stock stock S/(000) US$(000) Common shares 274,889,924 2,748,899 813,162 Treasury shares (21,174,734) (211,747) (62,665) 253,715,190 2,537,152 750,497 The market value of the common shares amounted to S/47.77 per share as of December 31, 2019 (S/53.60 per share as of December 31, 2018). These shares present trading frequencies of 25 and 35 percent in the years 2019 and 2018, respectively. (b) Investment shares have a nominal value of S/10.00 per share. Holders of investment shares are neither entitled neither to exercise voting rights nor to participate in shareholders’ meetings; however, they confer upon the holders thereof the right to participate in the dividends distribution. The table below presents the composition of the investment shares as of December 31, 2019 and 2018: Number of Investment Investment shares shares shares S/(000) US$(000) Investment shares 744,640 7,447 2,161 Treasury investment shares (472,963) (4,730) (1,370) 271,677 2,717 791 The market value of the investment shares amounted to S/16.00 per share as of December 31, 2019 (S/19.60 per share as of December 31, 2018). These shares did not present a trading frequency in 2019 and 2018. (c) The Peruvian Corporations Law requires that a minimum of 10 percent of the distributable earnings for each period, after deducting the income tax, be transferred to a legal reserve until the latter is equal to 20 percent of the capital stock. This legal reserve can be used to offset losses or may be capitalized, with the obligation, in both cases, to replenish it. Although, the balance of the legal reserve exceeded the limit mentioned above, the Group increased its legal reserve by US$53,000 in the year 2019 (US$44,000 and US$327,000 in the years 2018 and 2017 respectively) as a result of the expired dividends. According to the General Corporate Law, dividends expire ten years after the payment due. (d) The table below presents the dividends declared and paid in 2019, 2018 and 2017: Dividends declared and Dividend Meetings Date paid per share US$(000) US$ 2019 Dividends Mandatory Annual Shareholders’ Meeting March 25 16,538 0.06 Less - Dividends of treasury shares (1,298) 15,240 Board of Directors’ Meeting October 29 7,442 0.03 Less - Dividends of treasury shares (584) 6,858 22,098 2018 Dividends Mandatory Annual Shareholders’ Meeting March 27 8,269 0.03 Less - Dividends of treasury shares (648) 7,621 Board of Directors’ Meeting October 25 16,538 0.06 Less - Dividends of treasury shares (1,299) 15,239 22,860 2017 Dividends Mandatory Annual Shareholders’ Meeting March 28 15,711 0.06 Less - Dividends of treasury shares (1,232) 14,479 Board of Directors’ Meeting October 27 8,269 0.03 Less - Dividends of treasury shares (649) 7,620 22,099 According to the current Law, there are no restrictions for the remittance of dividends or repatriation of capital by foreign investors. Dividends declared by S.M.R.L. Chaupiloma Dos de Cajamarca corresponding to non-controlling interest were US$6,500,000, US$5,560,000 and US$6,036,000 for the years 2019, 2018 and 2017, respectively. (e) Profit (loss) per share is calculated by dividing net profit (loss) for the period by the weighted average number of shares outstanding during the year. The calculation of profit (loss) per share attributable to the equity holders of the parent is presented below: 2019 2018 2017 Profit (loss) net (numerator) - US$ (12,208,000) (13,445,000) 60,823,000 Total common and investment shares (denominator) 253,986,867 253,986,867 253,986,867 Profit (loss) net per basic share and diluted - US$ (0.05) (0.05) 0.24 The calculation of profit (loss) per share from continuing operations attributable to the equity holders of the Parent is presented below: 2019 2018 2017 Profit (loss) net (numerator) - US$ (1,694,000) (1,637,000) 71,167,000 Total common and investment shares (denominator) 253,986,867 253,986,867 253,986,867 Profit (loss) net per basic share and diluted - US$ (0.01) (0.02) 0.28 The common and investment shares outstanding at the close of 2019, 2018 and 2017 were 253,986,867. A tax of 5 percent of the income tax is established to the dividends or any other form of distribution of profits. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Shareholders' equity, net | |
Shareholders' equity, net | 12. Shareholders’ equity, net (a) Capital stock - As of December 31, 2019, the authorized, subscribed and paid-up capital in accordance with the Company’s by-laws and its related modifications was 350,056,012 common shares. According to the July 11, 2003, Shareholders Agreement, the nominal value of the shares was denominated in US dollars in an amount of US$0.54 per share. As a consequence of the capitalization of restricted earnings associated with tax benefits (reinvestment credits), in December 2009, the nominal value of the shares was increased to US$2.83 per share. The quoted price of these shares was US$19.3 per share as of December 31, 2019 (US$20.80 per share as of December 31, 2018). As of December 31, 2019, the Company’s capital stock structure is as follows: Percentage of individual interest in capital Number of shareholders Total percentage interest Up to 1.00 2,829 4.38 From 1.01 to 20.00 2 21.06 From 20.01 to 30.00 1 21.00 From 30.01 to 60.00 1 53.56 2,833 100.00 (b) Other capital reserves - Other capital reserves includes the Company’s legal reserve, which is in accordance with the Peruvian Companies Act, and is created through the transfer of 10% of the earnings for the year up to a maximum of 20% of the paid-in capital. The legal reserve must be used to compensate for losses in the absence of non-distributed earnings or non-restricted reserves, and transfers made to compensate for losses must be replaced with future earnings. This legal reserve may also be used to increase capital stock but the balance must be restored from future earnings. (c) Dividend Distribution - Dividends paid to shareholders, other than domiciled legal entities, are subject to retention of income tax. On December 10, 2016, Legislative Decree 1261 was enacted reducing the withholding tax rate to 5.0% beginning January 1, 2017. At the annual mandatory shareholders meeting held on March 29, 2019, shareholders approved a US$150 million dividend payment (US$0.428503 per common share). The total amount of these dividends was applied against retained earnings. This dividend was paid on April 30, 2019, and complied with the withholding tax rules (4.1)%. At the annual mandatory shareholders meeting held on March 23, 2018, shareholders approved a US$200 million dividend payment (US$0.571337 per common share). The total amount of these dividends was applied against retained earnings. This dividend was paid on April 24, 2018, and complied with the withholding tax rules (4.1%). |
Minera Yanacocha SRL and subsidiary [Member] | |
Shareholders' equity, net | |
Shareholders' equity, net | 14. Partners’ equity (a) As of December 31, 2019 and December 31, 2018, Partners’ contributions comprise 1,214,528,739 common partnership interests at par value of one Peruvian Sol each, fully subscribed and paid-in (equivalent to US$398,216 at the historical exchange rate). Such partnership interest includes 656,484,745 common partnership interests that are owned by foreign investors. On December 21, 2017, Minera Yanacocha purchased back 63,922,565 partnership interests owned by International Finance Corporation (“IFC”) for US$47,911, which represented 5% of the capital stock of the Company. On February 19, 2018, the Board of the partners approved the reduction of 63,922,565 of the common partnership interests equivalent to US$19,711. On June 14, 2018, the Board of the partners approved the sale of 63,922,565 partnership units to Summit Global Management II BV, see note 13. Under current Peruvian regulations, there is no restriction on the remittance of dividends or repatriation of foreign investment, except as discussed in sections below. The legal structure of the Company is that of a Peruvian limited liability partnership. Major features of such legal structure are: (i) the number of Partners cannot exceed 20, (ii) capital comprises the partnership interests, and (iii) there is no obligation to create a legal reserve. (b) Distribution of earnings to Partners other than legal entities domiciled in Peru is subject to a withholding income tax charged to the partners. Until December 31, 2017, by Law No. 30296 published on December 31, 2014, for individuals and non-resident legal entities, the applicable tax rate was 6.8% for dividend distributions in cash or non-monetary assets for fiscal year 2017. Pursuant to Legislative Decree No. 1261, published on December 10, 2016 and effective as of January 1, 2017, the applicable tax rate to the distribution of cash dividends and non-monetary assets for the year 2017 onwards is 5%. (c) On February 15, 2016, the Executive Committee unanimously agreed to distribute dividends in the amount of US$300 million, in proportion to its shareholding, which corresponds to a portion of the accumulated results as of December 31, 2014, which were generated in 2011. |
Subsidiaries with material non-
Subsidiaries with material non-controlling interest | 12 Months Ended |
Dec. 31, 2019 | |
Subsidiaries with material non-controlling interest | |
Subsidiaries with material non-controlling interest | 18. Subsidiaries with material non-controlling interest (a) Country of incorporation 2019, 2018 and operation and 2017 % Equity interest held by non-controlling interests: Sociedad Minera El Brocal S.A.A. Peru 38.57 S.M.R.L. Chaupiloma Dos de Cajamarca Peru 40.00 Minera La Zanja S.R.L. Peru 46.94 Apu Coropuna S.R.L. Peru 30.00 2019 2018 2017 US$(000) US$(000) US$(000) Accumulated balances of material non-controlling interest: Sociedad Minera El Brocal S.A.A. 161,917 176,978 165,032 Minera La Zanja S.R.L. 33,026 42,295 48,642 S.M.R.L. Chaupiloma Dos de Cajamarca 1,587 1,800 1,693 Apu Coropuna S.R.L. 148 164 223 196,678 221,237 215,590 Profit (loss) allocated to material non-controlling interest: Sociedad Minera El Brocal S.A.A. (13,432) 2,880 4,246 Minera La Zanja S.R.L. (9,090) (6,346) (6,006) S.M.R.L. Chaupiloma Dos de Cajamarca 6,286 5,667 5,827 Apu Coropuna S.R.L. (14) (410) (454) Other minor (1) — (1) (16,251) 1,791 3,612 During 2017, purchases of shares in the subsidiary Sociedad Minera El Brocal S.A.A. were made for US$621,000, which resulted in an increase in its shares and a dilution of non-controlling shareholders of 0.09%. (b) Statements of financial position as of December 31, 2019: Sociedad S.M.R.L. Minera El Minera Chaupiloma Apu Brocal La Zanja Dos de Coropuna S.A.A. S.R.L. Cajamarca S.R.L. US$(000) US$(000) US$(000) US$(000) Current assets 149,945 112,420 6,252 2,141 Non-current assets 576,028 26,038 — 185 Current liabilities (118,965) (20,170) (2,286) (1,094) Non-current liabilities (210,904) (47,930) — (740) Shareholders’ equity, net 396,104 70,358 3,966 492 Attributable to: Shareholders of the Group 234,187 37,332 2,379 344 Non-controlling interests 161,917 33,026 1,587 148 396,104 70,358 3,966 492 Statements of financial position as of December 31, 2018: Sociedad S.M.R.L. Minera El Minera Chaupiloma Apu Brocal La Zanja Dos de Coropuna S.A.A. S.R.L. Cajamarca S.R.L. US$(000) US$(000) US$(000) US$(000) Current assets 170,274 126,878 7,154 2,263 Non-current assets 603,280 31,841 — 182 Current liabilities (123,052) (25,834) (2,653) (1,165) Non-current liabilities (217,683) (42,781) — (739) Shareholders’ equity, net 432,819 90,104 4,501 541 Attributable to: Shareholders of the Group 255,841 47,809 2,701 377 Non-controlling interests 176,978 42,295 1,800 164 432,819 90,104 4,501 541 Statements of profit or loss for the years 2019, 2018 and 2017: Sociedad S.M.R.L. Minera El Minera Chaupiloma Apu Brocal La Zanja Dos de Coropuna Other S.A.A. S.R.L. Cajamarca S.R.L. minor US$(000) US$(000) US$(000) US$(000) US$(000) Year 2019 - Revenues 299,252 43,520 22,297 — — Net profit (loss) (32,855) (19,364) 15,715 (48) (17) Attributable to non-controlling interests (13,432) (9,090) 6,286 (14) (1) Year 2018 - Revenues 332,298 96,611 20,385 — — Net profit (loss) 6,305 (13,519) 14,168 (1,369) — Attributable to non-controlling interests 2,880 (6,346) 5,667 (410) — Year 2017 - Revenues 322,653 165,319 20,739 — — Net profit (loss) 10,386 (12,795) 14,568 (1,515) 386 Attributable to non-controlling interests 4,246 (6,006) 5,827 (454) (1) Statements of cash flow for the years 2019, 2018 and 2017: Sociedad S.M.R.L. Minera El Minera Chaupiloma Apu Brocal La Zanja Dos de Coropuna S.A.A. S.R.L. Cajamarca S.R.L. US$(000) US$(000) US$(000) US$(000) Year 2019 - Operating activities 1,545 (908) 16,040 — Investing activities (28,259) (1,629) — — Financing activities (405) (763) (16,250) 1,032 (27,119) (3,300) (210) 1,032 Year 2018 - Operating activities 74,985 10,323 14,066 (572) Investing activities (29,546) (13,160) — — Financing activities (29,974) — (13,900) — 15,465 (2,837) 166 (572) Year 2017 - Operating activities 60,525 139,155 15,093 (185) Investing activities (64,343) (17,326) — — Financing activities 18,096 (32,077) (15,090) 1,477 14,278 89,752 3 1,292 |
Tax situation
Tax situation | 12 Months Ended |
Dec. 31, 2019 | |
Tax situation | |
Tax situation | 19. Tax situation (a) The Company and its Peruvian subsidiaries are subject to the Peruvian tax regime. By means of Law N° 1261 enacted on December 10, 2016, the Peruvian government introduced certain amendments to the Income Tax Law, effective January 1, 2017. The most relevant are listed below: - - - In July 2018, Law No. 30823 was published. Under this Law, the Congress delegated to the Executive Power the power to legislate on various issues, including tax and financial matters. In this sense, the main tax regulations issued are the following: (i) (ii) (iii) (iv) (b) During the four years following the year of filing the tax return, the tax authorities have the power to review and, as applicable, correct the income tax computed by the Group. The Income Tax and Value Added Tax (VAT) returns for the following years are open to review by the Tax Authorities: Years open to review by the Entity Tax Authorities Compañía de Minas Buenaventura S.A.A. 2015-2019 Compañía Minera Condesa S.A. 2015-2019 Compañía Minera Colquirrumi S.A. 2015-2019 Consorcio Energético de Huancavelica S.A. 2016-2019 Contacto Corredores de Seguros S.A. 2014-2019 El Molle Verde S.A.C. 2015-2019 Empresa de Generación Huanza S.A. 2015-2019 Inversiones Colquijirca S.A. 2015-2019 Minera La Zanja S.R.L. 2016-2019 Sociedad Minera El Brocal S.A.A. 2014, 2016-2019 S.M.R.L. Chaupiloma Dos de Cajamarca 2015-2019 Procesadora Industrial Río Seco S. A. 2015-2019 Apu Coropuna S.R.L. 2015-2019 Cerro Hablador S. A. C. 2015-2019 Minera Azola S. R. L. 2015-2019 Due to the possible interpretations that the Tax Authorities may give to legislation in effect, it is not possible to determine whether any of the tax audits will result in increased liabilities for the Group. For that reason, any tax or surcharge that could arise from future tax audits would be applied to the income of the period in which it is determined. In management’s opinion and its legal advisors, any possible additional payment of taxes in the entities mentioned before would not have a material effect on the consolidated financial statements as of December 31, 2019 and 2018. The open tax process of the Group and its associates are presented in note 29(e). (c) As of December 2019 and 2018, the tax-loss carryforward determined by the Group amounts to approximately S/1,950,896,000 and S/1,550,156,000, respectively (equivalent to US$588,151,000 and US$458,762,000 respectively). As permitted by the Income Tax Law, the Group has chosen a system that permits to offset these losses with an annual cap equivalent to 50 percent of net future taxable income. The Group recognized a deferred income tax asset related to the tax-loss carryforward of those companies where is probable that a carryforward can be used to compensate future taxable profits. (d) |
Minera Yanacocha SRL and subsidiary [Member] | |
Tax situation | |
Tax situation | 15. Tax Situation (a) The Company and its subsidiary are subject to the Peruvian tax regime. The main tax regulations issued during 2018 were the following: - - In July 2018, Law No. 30823 was published. Under this Law, the Congress delegated to the Executive Power the power to legislate on various issues, including tax and financial matters. In this sense, the main tax regulations issued are the following: (i) (ii) (b) The Company has entered into the following tax stability agreements, each with a term of 15 years: Date of the Tax Mine Effective Agreement Tax Regimes in Force Cerro Yanacocha January 1, 2000 September 16, 1998 May 22, 1997 La Quinua January 1, 2004 August 25, 2003 August 25, 2003 The Cerro Yanacocha tax stabilization agreement expired on January 1, 2015 and La Quinua tax stabilization agreement expired on January 1, 2019. The La Quinua tax stabilization guaranteed the Company’s use of the tax regime shown in the table above and permitted maintenance of its accounting records in U.S. dollars for tax purposes. The Company determines taxable income based on its understanding and that of its legal advisors, of applicable tax legislation. Taxable income differs from pre-tax income disclosed within these consolidated financial statements by those items that the applicable tax legislation deems to be non-taxable or non-deductible. On December 31, 2014, the Peruvian Government enacted modifications to Income Tax regulations, applicable beginning in 2015. Among the modifications, a progressive income tax rate reduction was approved as follows: 28% for fiscal year 2016; 27% for fiscal years 2017 and 2018; and 26% from 2019, onward. Pursuant to Legislative Decree No. 1261, published on December 10, 2016 and effective as of January 1, 2017, the applicable tax rate on the taxable income is 29.5%. The income tax for La Quinua, until January 1, 2019, was 29% according to the tax stabilization agreement entered into with the Peruvian government. (c) During the four years following the year of filing the tax return, the tax authorities have the power to review and, as applicable, correct the income tax computed by the Company. In that regard, the tax returns of the years 2015 to 2019 are open to assessment. The fiscal year 2014 is under examination by the Tax Authority (SUNAT). (d) For purposes of determining the Income Tax, the transfer prices for transactions with related companies and companies domiciled in territories with little or no taxation must be supported with documentation and information on the valuation methods used and the criteria considered for their determination. Tax Administration can request this information based on analysis of the Company's operations. (e) (i) On September 28, 2011, the Peruvian Government enacted new legislation to comprise a new mining tax payable to the Peruvian Government for extracting metallic and non-metallic mineral resources from its mining concessions. Pursuant to this legislation, the mining royalty is payable quarterly based on sales and operating profit determined in accordance with IFRS. The royalty amount due is 1% of revenue. An additional mining tax due is calculated based on the level of operating profit up to a maximum applicable rate of 12%. This component of the new mining tax only applies to those projects that are not covered by a tax stabilization agreement. During 2019, 2018, and 2017, the amounts included in cost of production related to mining royalties were US$7,360, US$1,273 and US$3,140, respectively. During 2019 the amount included in mining tax expense related to mining royalties were US$1,563 and during 2018 and 2017 there were no amounts included in mining tax expense. (ii) The Special Mining Tax ("IEM") applies to mines not covered by a tax stabilization agreement. The IEM is payable on a quarterly basis with rates ranging from 2% to 8.4% of operating profit determined, in accordance with IFRS. The rate varies depending on the level of operating profit. During the years ended December 31, 2019, 2018 and 2017 the amounts included in income and mining tax expense were US$9,702, US$592, and US$1,418, respectively. (iii) The Special Mining Burden ("GEM") applies to mines covered by a tax stabilization agreement. The GEM is payable on a quarterly basis with rates ranging from 4% to 13.12% of operating profit, determined in accordance with IFRS. The rate varies depending on the level of operating profit margin. The GEM applied to operations at La Quinua in 2018 and 2017. This resulted in US$8,230 and US$3,526, respectively, of additional Income and mining tax expense. (iv) The Supplementary Fund for retirement of mining applies to metallurgical and steel workers, affiliated to the National Pension System (“SNP”) and the Private Pension System (“PPS”); and is applicable since May 11, 2012. This Fund is formed by employee and employer contributions which are distributed according to the following detail: - Employers will contribute 0.5% of the annual income before taxes. - Employees will contribute 0.5% of their monthly gross salary. - The employer’s contributions are paid before tax; therefore these amounts are deductible expenses for the year. The new pension fund tax is calculated based on annual income and is payable quarterly. During the years ended December 31, 2019, 2018 and 2017 the amounts included in Income and mining tax expense amounted to US$728, US$39 and US$29, respectively. (f) The Company’s income tax provision consisted of the following: 2019 2018 2017 US$(000) US$(000) US$(000) Current Peruvian income tax 42,978 12,525 3,877 Royalties and mining taxes 11,444 8,822 4,944 Income tax from prior years 8,459 8,900 (2,006) Fines from previous years, note 24 4,056 — — Other taxes 993 121 211 Income tax prior years refunds (*) (3,002) — — Current income tax expense 64,928 30,368 7,026 Deferred income tax expenses (benefit) — (1,071) — Income tax expense 64,928 29,297 7,026 (*) (g) As of December 31, 2019 and 2018, the Company maintains a deferred income tax asset for US$1,071 recorded in year 2018. The recognized deferred income tax asset corresponds entirely to additional tax credits that can be recovered by reducing the income tax paid of open periods subject to review of the tax authority. (h) Below is a reconciliation of tax expense and the accounts profit multiplied by the statutory tax rate for the years 2019, 2018 and 2017: 2019 2018 2017 US$(000) US$(000) US$(000) Loss before income tax (30,329) (52,220) (168,428) Peruvian statutory tax rate 29.5 % 29.5 % 29.5 % Income tax income (8,947) (15,405) (49,686) Valuation allowance on deferred tax asset 46,473 23,771 50,960 Effect of change in translation to US dollars (4,217) — — Mining taxes 8,068 6,260 3,530 Non-deductible expenses 13,045 6,962 4,204 Difference in income tax rate applicable to La Quinua at 29% — (176) (124) Income tax prior years (refunds) / payments 6,450 7,885 (1,858) Fines from prior years, note 24 4,056 — — Total income tax expense 64,928 29,297 7,026 (i) The main tax regulations issued during 2019 are as follows – (i) (ii) (iii) The GAAR is intended to prevent taxpayers from entering into transactions that would allow them to minimize their tax liabilities. The Tax authority will be entitled to apply the GAAR in ordinary tax audits since July 19, 2012; however, the tax authority will have to obtain the approval from a committee before applying the GAAR. Other rules regarding the GAAR are: (a) Jointly Liability of Legal Representatives – the legal representatives will be jointly liable for the tax debt as a result of the application of the GAAR by the Tax Authority. (b) (j) As of December 31, 2019, the Company determined a current income tax payable of US$20,276 (Prepaid income tax credit of US$19,239 as December 31, 2018) and mining taxes payable for US$2,877 (US$3,552 as December 31, 2018). The current income tax payable of year 2019 includes the current income tax offset by the credits of the period, and the income tax contingencies, see note 24, for US$7,913 and US$12,363; respectively. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Tax situation | |
Tax situation | 13. Tax situation (a) On February 13, 1998, the Company signed an Agreement of Guarantees and Measures to Promote Investments with the Government of Peru, under the Peruvian General Mining Law (the 1998 Stability Agreement). Upon approval of the 1998 Stability Agreement, the Company was subject to the tax, administrative and exchange regulations in force at May 6, 1996, for a period of 15 years, beginning January 1, 1999, and ending December 31, 2013. On July 17, 2012, the Company signed a new Agreement of Guarantees and Measures to Promote Investments with the Government of Peru, under the Peruvian General Mining Law. Upon approval of this stability agreement, the Company became subject to the tax, administrative and exchange regulations in force at July 17, 2012, for a period of 15 years, beginning January 1, 2014, and ending December 31, 2028. (b) Under its current 15‑year tax stability agreement, the Peruvian income tax rate applicable to the Company is 32%. As of December 31, 2019, prepayments of income tax, which the Company expects to be used to offset future income tax provisions or will be refunded by SUNAT, totaled US$128.1 million (see Note 6). For the year ended December 31 , 2019, the Company recognized current income tax expense of US$156.5 million (including US$28.4 million of mining royalties, US$18.6 million of special mining tax and US$1.8 million for the SRF), and a deferred income tax expense of US$141.6 million, resulting in total income tax expense of US$298.1 million that has been included in the statements of comprehensive income. For the year ended December 31, 2018, the Company recognized current income tax expense of US$263.0 million (including US$34.9 million of mining royalties and US$1.5 million for the SRF partially offset by a credit of US$(28.2) million of special mining tax), and a deferred income tax expense of US$62.2 million, resulting in total income tax expense of US$325.2 million that has been included in the statements of comprehensive income. For the year ended December 31, 2017, the Company recognized current income tax expense of US$655.1 million (including US$102.6 million of special mining tax, US$110.7 million of mining royalties and US$10.9 million for the SRF), and a deferred income tax credit of US$(169.1) million, resulting in total income tax expense of US$486.0 million that has been included in the statements of comprehensive. (c) SUNAT has the right to examine, and if necessary, amend the Company’s income tax return for the last four years. The Company’s income tax for the years 2013 through 2018 are open to examination by the tax authorities. To date, SUNAT has concluded its review of the Company’s income tax and VAT exams through the year 2012, and the Company is in the claim and/or appeal process for the years 2003 through 2012. Due to the many possible interpretations of current legislation, it is not possible to determine whether or not future reviews (including reviews of years pending examination) will result in additional tax liabilities for the Company. If management determines it is more likely than not that additional taxes are payable, these amounts, including any related interest and penalties, will be charged to expense in that period. In management’s and its legal advisors’ opinions, any possible tax settlement is not expected to be material to the financial statements. (d) Royalties and special mining taxes – On June 23, 2004, Law 28528 was approved, which requires the holder of a mineral concession to pay a royalty in return for the exploitation of metallic and non-metallic minerals. The royalty is calculated using rates ranging from 1% to 3% of the value of concentrate or its equivalent according to the international price of the commodity published by the Ministry of Energy and Mines. As described in Note 13(a), prior to January 1, 2014, the Company determined that these royalties were not applicable because it operated under the 1998 Stability Agreement with the Peruvian government. However, beginning January 1, 2014, the Company began paying royalties calculated on operating income with rates between 1% to 12% and a new special mining tax for its entire production basis under its current 15‑year stability agreement, which became effective January 1, 2014. See Note 13(b) for a summary of amounts recognized by the Company for special mining tax and mining royalties for the years ended December 31, 2019, 2018 and 2017. SUNAT assessed mining royalties on materials processed by the Company´s concentrator, which commenced operations in late 2006. These assessments cover the period December 2006 to December 2013. The Company contested each of these assessments because it believes that its 1998 stability agreement exempts from royalties all minerals extracted from its mining concession, irrespective of the method used for processing such minerals. No assessments can be issued for years after 2013, as the Company began paying royalties on all of its production in January 2014 under its new 15‑year stability agreement. On October 29, 2019, the Company completed the payments of disputed assessments related to mining royalties for the period December 2006 to December 2008 that were under an installment program since 2014, Under that installment program, the Company made payments totaling S/711.1 million (US$221.9 million based on the date of payment exchange rate and US$214.4 million based on the December 31, 2019, exchange rate). With respect to the judiciary appeal related to disputed royalty assessments for the year 2006‑2007, o n August 9, 2017, the Company filed a cassation appeal before the Supreme Court against the resolution issued by the Seventh Contentious Administrative Court, which was admitted in December 2017. The oral hearing before the Supreme Court took place on November 20, 2018 and their decision is pending. In September 2018, the Peruvian Tax Tribunal confirmed SUNAT’s resolution that ordered the payment of royalties and denied the Company’s request to waive penalties and interest for the period January 2009 through September 2011. The Company elected not to appeal the Tax Tribunal’s decision to the Peruvian Judiciary and in early 2020, the Company initiated international arbitration. In October 2018, SUNAT notified the Company demands for payments based on the Tax Tribunal’s decisions for the period January 2009 to September 2011. The Company requested, and was granted two installment payment programs, including a six-month deferral and 66 equal monthly payments for each one, for the period January 2009 through September 2011. Total debt as of December 31, 2019 is S/1.0 billion (approximately US$314.1 million based on the December 31, 2019, exchange rate, including deferred interest, interest and penalties of US$202.8 million). As of December 31, 2019, the Company has made payments totaling S/315.1 million (US$94.7 million based on the date of payment exchange rate and US$95.0 million based on the December 31, 2019, exchange rate). On January 18, 2018, the Company received assessments from SUNAT related to mining royalties for the fourth quarter of 2011, on February 15, 2018, the Company appealed these assessments and SUNAT issued resolutions denying this appeal. On November 21, 2018, the Company appealed SUNAT’s resolution to the Tax Court. On December 4, 2019, the Company received a resolution denying the appeal of assessments for the fourth quarter of 2011. On December 18, 2019, SUNAT notified the Company of its demands for payment and on December 26, 2019, the Company paid the total debt of S/57.6 million (US$17.3 million based on the date of payment exchange rate and US$17.4 million based on the December 31, 2019, exchange rate). Also, on January 18, 2018, the Company received assessments from SUNAT related to special mining tax from the fourth quarter of 2011 to the fourth quarter of 2012. The Company appealed these assessments and SUNAT issued resolutions denying this appeal. Consequently, the Company appealed these assessments to the Tax Court which was also denied the appeal in July 2019. The Company then requested, and was granted an installment payment program, including a six-month deferral and 66 equal monthly payments, for the fourth quarter of 2011 through the fourth quarter of 2012. Total debt as of December 31, 2019, is S/255.8 million (approximately US$77.1 million based on the December 31, 2019, exchange rate, including deferred interest, interest and penalties of US$40.5 million). Payments for this installment program will start in the first quarter of 2020. On April 18, 2018, the Company received assessments from SUNAT related to mining royalties for the year 2012. On May 17, 2018, the Company appealed these assessments. On January 23, 2019, the Company received a resolution issued by SUNAT denying the appeal of assessments for the year 2012. The Company decided not to appeal these resolutions. The Company requested, and was granted an installment payment program, including a six-month deferral and 66 equal monthly payments, for the year 2012. Total debt as of December 31, 2019, is S/266.1 million (approximately US$80.2 million based on the December 31, 2019, exchange rate, including deferred interest, interest and penalties of US$45.7 million). The Company has made payments totaling S/65.7 million (US$19.5 million based on the date of payment exchange rate and US$19.8 million based on the December 31, 2019, exchange rate). On October 10, 2018, the Company received assessments from SUNAT related to mining royalties and special mining tax for the year 2013. On November 7, 2018, the Company appealed these assessments. On May 28, 2019, the Company received resolutions issued by SUNAT denying the appeal of these assessments for the year 2013. The Company decided not to appeal these resolutions. The Company requested, and was granted two installment payment programs, including a six-month deferral and 66 equal monthly payments for each one, for the year 2013. As of December 31, 2019, the amount of these assessments, including interest and penalties for mining royalties for the year 2013 is S/183.9 million (approximately US$55.4 million based on the December 31, 2019, exchange rate including interest and penalties of US$29.5 million) and for the special mining tax for the year 2013 is S/151.0 million (approximately US$45.5 million based on the December 31, 2019, exchange rate including interest and penalties of US$22.1 million). Payments for these installment programs will start in the first quarter of 2020. In December 2017, as a result of the unfavorable Supreme Court decision on the 2008 royalty matter, the Company requested the return of the amounts that would have been in excess for FONAVI (National Housing Fund) (December 2012 to December 2013 ), GEM (fourth quarter 2011 until the fourth quarter 2012) and customs duties (2013). (e) Other assessments received from SUNAT - The Company has also received assessments from SUNAT for additional taxes (other than the mining royalty and special mining tax explained in 13(d) above), including penalties and interest. The Company has filed objections to the assessments because it believes it has properly determined and paid its taxes. A summary of these assessments follows: Year Taxes Penalty and interest Total US$(000) US$(000) US$(000) 2003 – 2005 8,857 39,196 48,053 2006 10,990 51,943 62,933 2007 12,376 17,845 30,221 2008 20,797 12,968 33,765 2009 56,388 51,219 107,607 2010 62,581 107,324 169,905 2011 49,055 65,189 114,244 2012 51,981 11,257 63,238 2014 –2019 38,975 — 38,975 312,000 356,941 668,941 As of December 31, 2019, the Company has paid US$396.5 million of which US$186.6 million is included in “other non-financial assets, non-current” (see Note 6) in the statements of financial position for these disputed tax assessments. (f) As of December 31, 2019 and 2018, the Company has issued letters of credit to secure tax obligations amounting to S/1,643.9 million (equivalent to US$495.6 million) and S/1,137.4 million (equivalent to US$336.6 million), respectively, which are primarily related to royalty matter. (g) The Company recognizes the effect of temporary differences between the accounting base for financial reporting purposes and the tax base. The composition of this item is made up as follows: December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Deferred income tax Asset Royalty accrual 84,546 109,505 127,475 Provision for remediation and mine closure 17,309 15,131 12,083 Embedded derivatives for price adjustment of copper concentrate and cathode (10,742) 6,050 — Unpaid vacations 6,618 5,937 5,293 Provision for mining taxes 3,737 4,120 8,742 SUNAT Assessments — 4,055 4,077 Cost of net asset for the construction of the tailing dam 1,191 2,638 2,007 Development costs 72 122 183 Leases net assets (2,454) — — Other provisions 10,276 10,450 4,240 110,553 158,008 164,100 Liability Property, plant and equipment depreciation 429,466 337,642 261,434 Stripping activity asset 33,660 27,464 22,014 Difference in valuation of inventories 14,885 16,605 16,264 Debt issuance costs 933 1,894 2,663 Lease liabilities (2,860) — — Price adjustment of copper concentrate and cathode — — 25,840 476,084 383,605 328,215 Deferred liabilities, net 365,531 225,597 164,115 Supplementary retirement fund Deferred liability 4,258 2,651 1,890 Total deferred income tax liability, net 369,789 228,248 166,005 Reconciliation of the income tax rate - For the years ended December 31, 2019, 2018 and 2017, the income tax expense recorded differs from the result of applying the legal rate to the Company’s profit before income tax, as detailed below: 2019 2018 2017 US$(000) US$(000) US$(000) Profit before income tax 688,451 444,880 835,924 Income tax rate 32 % 32 % 32 % Expected income tax expense 220,304 142,362 267,496 Non - deductible expenses 28,181 25,352 25,217 Royalty case — 143,728 (12,029) Uncertain tax positions - IFRIC 23 20,767 — — Special mining tax and mining royalties (15,660) (25,165) (21,704) Special mining burden (GEM) — (22,334) — Income tax rate change effect on deferred taxes for change in Peruvian tax law once the current Stability Contract expires (from 32% to 31.18%) (2,746) (1,958) (1,632) Income tax true – ups (10,255) (10,312) 10,210 Others 7,620 4,896 (4,125) Current and deferred income tax charges to results 248,211 256,569 263,433 Mining taxes charged to results 48,036 65,055 213,280 Supplementary retirement fund charged to results 1,827 3,546 9,330 298,074 325,170 486,043 Effective income tax 43.30 % 73.09 % 58.14 % Income tax - The income tax expense (benefit) for the years ended December 31, 2019, 2018 and 2017 is shown below: 2019 2018 2017 US$(000) US$(000) US$(000) Income tax Current 107,666 254,767 430,974 Deferred 139,934 61,483 (167,541) 247,600 316,250 263,433 Mining taxes Current mining royalty and special mining tax 47,032 6,661 213,280 Supplementary retirement fund Current 1,835 1,499 10,897 Deferred 1,607 760 (1,567) 3,442 2,259 9,330 Income tax expense reported in the statements of comprehensive income 298,074 325,170 486,043 |
Net sales
Net sales | 12 Months Ended |
Dec. 31, 2019 | |
Sale of goods [Line Items] | |
Net sales | 20. Net sales (a) 2019 2018 2017 US$(000) US$(000) US$(000) Revenues by geographic region: Metal and concentrates sales - Peru 476,978 521,017 516,054 America - other than Peru 171,769 370,624 471,863 Asia 105,645 120,519 120,719 Europe 60,475 100,792 79,837 814,867 1,112,952 1,188,473 Services - Peru 23,501 23,712 14,903 America - other than Peru 130 289 14,794 Europe 30 — — 23,661 24,001 29,697 Royalties - Peru 22,297 20,385 20,739 860,825 1,157,338 1,238,909 2019 2018 2017 US$(000) US$(000) US$(000) Revenues by type of good or services: Sales by metal - Silver 298,171 362,122 393,257 Gold 254,194 411,877 510,982 Copper 238,304 274,761 268,527 Zinc 149,317 164,666 170,518 Lead 89,141 85,555 85,957 Manganese sulfate 6,046 6,655 6,317 Indium — — 66 1,035,173 1,305,636 1,435,624 Commercial deductions (220,306) (192,684) (247,151) 814,867 1,112,952 1,188,473 Sales by services - 23,661 24,001 29,697 Royalties income - 22,297 20,385 20,739 Total revenue from contracts with customers 860,825 1,157,338 1,238,909 Revenues by type of recognition: Goods transferred at a point in time 814,867 1,112,952 1,188,473 Services transferred over time 23,661 24,001 29,697 Royalties at a point of time 22,297 20,385 20,739 860,825 1,157,338 1,238,909 (b) 2019 2018 2017 US$(000) US$(000) US$(000) Contracts with customers for sale of goods 814,867 1,112,952 1,188,473 Hedge operations 4,322 (1,398) (10,921) Fair value of accounts receivables 2,347 (6,013) 8,417 Adjustments to prior period liquidations 394 788 1,237 Net sale of goods 821,930 1,106,329 1,187,206 Net sale of services 23,661 24,001 29,697 Royalty income 22,297 20,385 20,739 867,888 1,150,715 1,237,642 (c) The performance obligation of the sale of goods is satisfied upon delivery of the goods and payment is generally due within 30 to 90 days from delivery. Performance obligation of services is satisfied over-time and payment is generally due upon completion and acceptance of service. (d) In 2019, the three customers with sales of more than 10 percent of total net sales represented 25, 16 and 11 percent from the total net sales of the Group (three customers by 32 , 13 and 11 percent during 2018 and three customers by 28, 15 and 10 percent during 2017). As of December 31, 2019, 84 percent of the accounts receivable correspond to these customers (43 percent as of December 31, 2018). These customers are related to the mining business. The Group’s sales of gold and concentrates are delivered to investment banks and national and international well-known companies. Some of these clients have long-term sales contracts with the Group that guarantee supplying them the production from the Group’s mines. (e) Sales expenses represent 3%, 2% and 2% of the total operating income for the years 2019, 2018 and 2017, respectively. Sales expenses corresponds mainly to transportation services and services and shipping costs. Transportation services represent 58% of the caption for the years 2019, 2018 and 2017. Shipping services and expenses represent 22%, 21% and 8% of the caption for the years 2019, 2018 and 2017. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Sale of goods [Line Items] | |
Net sales | 14. Sales of goods (a) For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 Pounds (000) US$(000) Pounds (000) US$(000) Pounds (000) US$(000) Copper in concentrate 912,974 2,294,249 962,113 2,458,088 979,243 2,702,508 Copper cathode 88,875 244,277 86,346 251,908 84,679 241,725 Other (primarily silver and molybdenum concentrate) 358,368 351,934 267,033 Subtotal Sales 2,896,894 3,061,930 3,211,266 Less: Royalty contributions (see Note 2(k)) (6,828) (7,904) (8,335) Total net sales 2,890,066 3,054,026 3,202,931 Sales to related parties totaled US$2.7 billion for the year ended December 31, 2019 (US$2.9 billion for the year ended December 31, 2018 and US$3.0 billion for the year ended December 31, 2017). As described in Note 2(d), the Company’s copper sales are provisionally priced at shipment. Adjustments to the provisional prices are recognized as gains and losses in sales of goods through the month of settlement. Adjustments to provisional priced copper and molybdenum sales resulted in an increase to net sales of goods totaling US$56.8 million for the year ended December 31, 2019, and a decrease of US$88.8 million for the year ended December 31, 2018. (b) For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Asia 2,374,350 2,404,530 2,416,826 North America 265,599 295,448 287,174 South America (primarily Peru) 168,077 136,400 193,174 Europe 77,716 209,894 314,092 Central America 11,152 15,658 — 2,896,894 3,061,930 3,211,266 Less: Royalty contributions (see Note 2(k)) (6,828) (7,904) (8,335) Total net sales 2,890,066 3,054,026 3,202,931 (c) For the year ended December 31, 2019 92% of the Company’s sales were to related entities (FMC, Sumitomo Metal Mining Company and Climax Molybdenum). For the years ended December 31, 2018 and 2017 94% of the Company’s sales were to these related entities, respectively. |
Minera Yanacocha SRL and subsidiary [Member] | |
Sale of goods [Line Items] | |
Net sales | 16. Revenue from contracts with customers (a) 2019 2018 2017 US$(000) US$(000) US$(000) Sales and services by geographic region: Metal sales Europe (Switzerland) 734,526 518,664 491,887 America — 139,989 179,018 734,526 658,653 670,905 (b) 2019 2018 2017 US$(000) US$(000) US$(000) Copper and silver in concentrate 4,098 20,442 17,509 Others 678 1,523 4,361 4,776 21,965 21,870 For the year ended December 31, 2019, 2018 and 2017, the amount of the subsequent changes in fair value of the trade receivable were US $176, US $15 and US $346, respectively and are presented as part of the caption “Copper and silver in concentrate”. (c) – In 2019, the 100% of Dore sales was performed to Royal Bank of Canada consigned to Argor Hereaus (Switzerland) and no copper concentrate sales performed during the period. As of December 31, 2018, 79% to Switzerland (Scotia Mocatta consigned to Valcambi 52% and Royal Bank of Canada consigned to Argor Hereaus 27%) and 21% to United States of America (Dore across Scotia Mocatta consigned by Asahi 20% and Copper Concentrate to MCC Non Ferrous Trading 0.1%). Related to Copper Concentrate as of December 31, 2019 and 2018, 100% of accounts receivables are related to MCC Non Ferrous Trading. The Company's sales of gold and concentrates are delivered to investment banks and national and international well-known companies. Some of these clients have long-term sales contracts with the Company for the supply of the production from the Company’s mines. |
Cost of sales, without consider
Cost of sales, without considering depreciation and amortization | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of cost of sales [Line Items] | |
Cost of sales, without considering depreciation and amortization | 21. Cost of sales, without considering depreciation and amortization (a) 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance of finished goods and products in process, net of depreciation and amortization 49,206 37,640 58,633 Cost of production Services provided by third parties 196,895 243,410 254,821 Consumption of materials and supplies 96,351 133,961 129,294 Direct labor 79,076 93,122 82,930 Electricity and water 44,583 50,215 42,877 Transport 20,784 23,539 25,406 Maintenance and repair 19,729 24,415 22,062 Short-term and low-value lease 16,341 30,819 15,498 Insurances 12,235 11,311 5,870 Provision (reversal) for impairment of finished goods and product in progress, note 8(c) (2,143) 4,521 2,118 Other minor 11,755 9,634 10,179 Total cost of production of the period 495,606 624,947 591,055 Final balance of products in process and finished goods, net of depreciation and amortization (31,938) (49,206) (45,038) Cost of sales of goods, without considering depreciation and amortization 512,874 613,381 604,650 (b) 2019 2018 2017 US$(000) US$(000) US$(000) Direct labor 1,231 2,128 7,398 Electricity and water 589 249 586 Consumption of materials and supplies 497 675 1,026 Services provided by third parties 331 382 1,782 Maintenance and repair 186 543 946 Insurances 163 86 246 Transport 148 50 98 Short-term and low-value lease 89 92 423 Other minor 144 113 449 3,378 4,318 12,954 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of cost of sales [Line Items] | |
Cost of sales, without considering depreciation and amortization | 15. Cost of sales This item is made up as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Materials and supplies 693,292 693,316 556,022 Depreciation and amortization 523,512 512,298 456,467 Labor (a) 285,081 357,692 286,058 Energy 228,853 254,243 229,272 Third parties services 181,215 159,514 144,829 Depreciation for right-of-use assets (see Note 7 and 10(a)) 11,488 — — Variable lease payments, low-value and short-term leases (see Note 10(a)) 7,069 — — Management Fees 2,923 2,743 2,867 Change in work in process inventory (23,427) (8,513) 51,412 Change in finished goods inventory (2,290) (5,723) 2,060 Other costs 47,033 45,402 39,251 1,954,749 2,010,972 1,768,238 (a) In compliance with corporate policies, the Company recognizes administrative costs directly to cost of production (approximately U$32 million for the year ended December 31, 2019, US$30.7 million for the year ended December 31, 2018 and US$34.4 million for the year ended December 31, 2017). The effect of this policy is immaterial to the financial statements as a whole. |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of cost of sales [Line Items] | |
Cost of sales, without considering depreciation and amortization | 17. Costs applicable to sales This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance of finished goods and in-process 341,213 345,489 446,503 Beginning balance of provision for net realizable value, note 8(b) (89,127) (62,540) (84,374) Royalties to related parties, note 1(a) and note 22 22,297 20,385 20,739 Mining royalties to the government 9,255 2,875 4,990 Consumption of supplies 200,036 215,863 240,881 Personnel expenses 72,325 82,645 99,702 Other services 41,120 43,671 66,408 Maintenance 26,645 22,585 24,033 Power 23,619 24,203 23,565 Depreciation and amortization 144,862 156,212 87,783 Workers' profit sharing 12,804 3,837 1,242 Provision of closure mines, note 12(b) 142,129 16,285 124,124 Ending balance of provision for net realizable value, note 8(b) 47,925 89,127 62,540 Ending balance of finished goods and in-process (302,382) (341,213) (345,489) 692,721 619,424 772,647 For the years ended December 31, 2019, 2018 and 2017, the cost of inventories recognized in cost of sales was US$326,790, US$327,459 and US$456,647, respectively. |
Operating expenses, net
Operating expenses, net | 12 Months Ended |
Dec. 31, 2019 | |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of associates [line items] | |
Operating expenses, net | 18. Operating expenses, net This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Exploration and advanced projects 33,669 62,643 51,694 Severance program 2,210 8,678 9,419 Cost of sales from the sale of fixed assets 2,092 5,445 1,632 Tax fine 2,019 3,954 — Write-off of fixed assets 1,204 — 1,368 Revenue from sale of fixed assets (8,088) (4,821) (2,235) Others, net 2,881 256 1,636 35,987 76,155 63,514 |
Exploration in operating units
Exploration in operating units | 12 Months Ended |
Dec. 31, 2019 | |
Exploration in operating units | |
Exploration in operating units | 22. Exploration in operating units This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance of finished goods and products in process, net of depreciation and amortization 2,837 5,157 5,309 Exploration in operating units Services provided by third parties 33,591 71,513 75,743 Consumption of materials and supplies 3,712 8,594 7,673 Direct labor 1,747 2,349 2,142 Short-term and low-value lease 1,186 2,065 1,405 Electricity and water 905 1,337 820 Transport 71 192 543 Maintenance and repair 10 450 98 Other minor 548 910 56 Total exploration in operating units 41,770 87,410 88,480 Final balance of products in process and finished goods, net of depreciation and amortization (444) (2,837) (4,478) Exploration in operating units 44,163 89,730 89,311 As of December 31, 2019, 2018 and 2017, disbursements of exploration in operating amount to US$44.2 million, US$89.7 million and US$89.3 million, respectively, which are presented in the “Payments to suppliers and third parties” caption of the consolidated statements of cash flows. |
Mining royalties
Mining royalties | 12 Months Ended |
Dec. 31, 2019 | |
Mining royalties | |
Mining royalties | 23. Mining royalties This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Royalties paid to the Peruvian State 8,091 9,266 10,719 Sindicato minero de Orcopampa S.A., note 29(b) 4,741 12,122 20,165 12,832 21,388 30,884 |
Administrative expenses
Administrative expenses | 12 Months Ended |
Dec. 31, 2019 | |
Administrative expenses [Line Items] | |
Administrative expenses | 24. Administrative expenses This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Personnel expenses 38,566 34,656 36,265 Professional fees 13,924 15,324 12,663 Sundry charges 7,489 3,965 4,921 Depreciation and amortization 3,825 1,295 1,146 Board of Directors’ compensation 2,202 3,252 1,422 Software licenses 1,706 1,824 2,523 Subscriptions and quotes 1,492 1,938 1,428 Communications 1,296 1,512 1,376 Donations 1,030 1,617 3,006 Short-term and low-value lease 1,011 5,818 5,412 Maintenance and repairs 953 2,732 2,657 Transport 878 1,212 989 Insurance 720 645 3,911 Consumption of materials and supplies 422 436 616 Canons and tributes 410 388 602 Travel and mobility 373 467 1,053 Allowance for expected credit losses, note 7(f) — 18 676 76,297 77,099 80,666 |
Minera Yanacocha SRL and subsidiary [Member] | |
Administrative expenses [Line Items] | |
Administrative expenses | 19. Administrative expenses This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Management expenses 1,341 1,317 3,395 Other 403 1,466 1,365 1,744 2,783 4,760 |
Exploration in non-operating ar
Exploration in non-operating areas | 12 Months Ended |
Dec. 31, 2019 | |
Exploration in non-operating areas | |
Exploration in non-operating areas | 25. Exploration in non-operating areas This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Personnel expenses 3,632 4,830 4,064 Services provided by third parties 3,611 22,764 5,401 Lands 1,528 1,867 1,781 Short-term and low-value lease 415 1,524 1,171 Consumption of materials and supplies 328 1,420 582 Other minor 2,365 3,902 5,263 11,879 36,307 18,262 During 2019, disbursements of exploration in non-operating areas amount to US$11.9 million mainly focused in Yumpag and Marcapunta (US$36.3 million during 2018 mainly focused in Yumpag, Marcapunta and Emperatriz and US$18.3 million during 2017 mainly focused in Tambomayo, Yumpag, Marcapunta and Emperatriz exploration projects), which are presented in the “Payments to suppliers and third parties” caption of the consolidated statements of cash flows. |
Other, net
Other, net | 12 Months Ended |
Dec. 31, 2019 | |
Other, net | |
Other, net | 26. Other, net (a) 2019 2018 2017 US$(000) US$(000) US$(000) Other income Sale of supplies and merchandise to third parties 32,228 46,128 54,496 Sale of assets to third parties 19,405 3,863 369 Reversal for impairment of spare parts and supplies, note 8(c) 11,641 4,665 2,370 Sale of services to third parties 6,415 3,512 2,552 Revenue from commercial claims 2,098 — — Income from previous years 1,311 1,504 2,680 Sale of supplies to related parties, note 30(a) 1,259 27 4 Sale of assets to related parties, note 30(a) 11 30 336 Insurance claim recovery (c) — 33,735 1,190 Sale of investment in subsidiary — 7,097 — Changes in provisions for exploration projects, note 15(b) — 2,433 — Recovery of expenses from previous years — 81 68 Income from rental of investment properties — 45 235 Expiration of allowance for expected credit losses, note 7(f) — 45 99 Sale of investment properties (b) — — 11,250 Other minor 2,632 (566) 11,881 77,000 102,599 87,530 Other expenses Disposal cost of sale of supplies and merchandise to third parties (33,664) (57,897) (60,239) Direct expenses (15,992) (9,867) (5,721) Provision for impairment of spare parts and supplies, note 8(c) (15,703) (11,704) (4,814) Net cost of property, machinery and equipment to third parties, note 11(a) (4,965) (626) — Changes in provisions for exploration projects, note 15(b) (4,020) — (891) Disposal cost of sale of supplies and merchandise to related parties (2,944) (257) (40) Expenses from previous years (2,240) (1,831) (603) Withdrawals and disposals of property, machinery and equipment, note 11(a) (2,926) (6,626) (15,013) Allowance for expected credit losses, note 7(f) (25) (1,334) — Net cost of transfer of investments, note 1(d) — (11,178) (1,706) Net cost of investment properties (b) — — (9,575) Other minor (9,236) (2,587) (2,158) (91,715) (103,907) (100,760) (14,715) (1,308) (13,230) (b) (c) |
Finance costs and finance incom
Finance costs and finance income | 12 Months Ended |
Dec. 31, 2019 | |
Finance costs and revenues [Line Items] | |
Finance costs and finance income | 27. Finance costs and finance income (a) 2019 2018 2017 US$(000) US$(000) US$(000) Finance income: Interest on time deposits 4,971 5,176 1,050 Dividends income 3,625 — — Interests on third parties loans 460 561 813 Interests on loans to related parties, note 30(a) 86 92 1,685 Interests on tax claims 16 1,701 153 Other minor 517 340 43 9,675 7,870 3,744 Unrealized variation of the fair value related to contingent consideration liability (b) — 1,815 1,773 Total finance revenues 9,675 9,685 5,517 Finance costs: Interest on borrowings 28,418 31,538 28,019 Tax on financial transactions 166 173 180 Interest on loans 1 2 1,053 Other minor 55 703 72 28,640 32,416 29,324 Accretion expense for mine closure, note 15(b) 10,390 4,982 4,318 Accrual of debt issuance costs, note 16(f) 2,109 1,024 909 Unrealized variation of the fair value related to contingent consideration liability (b) 655 — — Accretion expense of leases liability — — Total finance costs 42,173 38,422 34,551 (b) On August 18, 2014, Buenaventura acquired from Minera Gold Fields Peru S.A. (“Gold Fields”) 51 percent of the voting shares of Canteras del Hallazgo S.A.C., which represent the whole interest of Gold Fields in the equity of such entity. Through the fusion with Canteras del Hallazgo S.A.C, the Group is the owner of the Chucapaca project, which is located in the Ichuña district, in the General Sanchez Cerro province, in the Moquegua department, Peru. According to previously performed studies, there is evidence of the existence of gold, silver, copper and antimony in the area, specifically in the Canahuire deposit. The purchase and sale agreement considered a contingent consideration of US$23,026,000, which corresponds to the present value of the future royalty payments equivalent to 1.5 percent over the future sales of the minerals arising from the mining properties acquired. The fair value of the future royalty payments was determined using the income approach. Significant increase (decrease) in the future sales of mineral would result in higher (lower) fair value of the contingent consideration liability, while significant increase (decrease) in the discount rate would result in lower (higher) fair value of the liability. Changes in the fair value of this contingent consideration have been recognized through profit or loss in the consolidated statement of profit or loss. As of December 31, 2019, it is highly probable that the Group reaches the projected future sales. The fair value of the contingent consideration determined as of December 31, 2019 reflects this assumption and changes in metal prices. A reconciliation of fair value measurement of the contingent consideration liability is provided below: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 15,755 17,570 19,343 Variation of the fair value in results 655 (1,815) (1,773) Final balance 16,410 15,755 17,570 Significant unobservable valuation inputs are provided below: 2019 2018 Annual average of future sales of mineral (US$000) 190,815 193,906 Useful life of mining properties 14 13 Pre-tax discount rate (%) 10 10 The Group has the preferential right of acquisition of the royalty in case Gold Fields decides to sell it. |
Minera Yanacocha SRL and subsidiary [Member] | |
Finance costs and revenues [Line Items] | |
Finance costs and finance income | 20. Finance costs This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Unwinding of the discount of the provision for mining closure, note 12(b) 36,709 36,015 21,769 Interests on tax contingency and others, see note 24 16,938 161 128 Commissions of guarantee letters 2,485 2,113 1,869 Unwinding of debt instruments, note 13 1,497 735 — 57,629 39,024 23,766 |
Deferred income tax
Deferred income tax | 12 Months Ended |
Dec. 31, 2019 | |
Deferred income tax | |
Deferred income tax | 28. Deferred income tax (a) Credit (debit) to Credit (debit) to Credit (debit) to consolidated Credit (debit) to consolidated As of consolidated statements of other As of consolidated statements of other As of January 1, statement of profit comprehensive Others December 31, statement of profit comprehensive Others December 31, 2018 or loss income movements 2018 or loss income movements 2019 US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Deferred asset for income tax Tax - loss carryforward 94,939 10,919 — (396) 105,462 25,866 — — 131,328 Difference in depreciation and amortization rates 47,482 1,088 — — 48,570 37 — — 48,607 Provision for closure of mining units, net 19,793 7,423 — — 27,216 3,684 — — 30,900 Impairment loss of long-lived assets 9,920 (2,448) — — 7,472 576 — — 8,048 Other minor 15,459 5,369 — (147) 20,681 422 — 400 21,503 187,593 22,351 — (543) 209,401 30,585 — 400 240,386 Derivative financial instruments 9,103 — (9,103) — — — — — — 196,696 22,351 (9,103) (543) 209,401 30,585 — 400 240,386 Deferred assets for mining royalties and special mining tax (87) — — 36 (6) — — 30 Total deferred asset 196,819 22,264 (9,103) (543) 209,437 30,579 — 400 240,416 Deferred liability for income tax Differences in amortization rates for development costs (45,693) (20,295) — — (65,988) (3,357) — — (69,345) Effect of translation into U.S. dollars (46,023) (15,248) — — (61,271) 14,995 — — (46,276) Other minors (77,603) 3,123 — — (74,480) (4,550) — — (79,030) (169,319) (32,420) — — (201,739) 7,088 — — (194,651) Derivative financial instruments — — (813) — (813) — 813 — — — — (813) — (813) — 813 — — Deferred liability for mining royalties and special mining tax (161) 159 — — (2) (166) — — (168) Total deferred liability (169,480) (32,261) (813) — (202,554) 6,922 813 — (194,819) Deferred income tax asset, net 27,339 (9,997) (9,916) (543) 6,883 37,501 813 400 45,597 (b) 2019 2018 US$(000) US$(000) Deferred income tax asset, net 74,556 38,305 Deferred income tax liability, net (28,959) (31,422) 45,597 6,883 (c) 2019 2018 2017 US$(000) US$(000) US$(000) Income tax expense Current (11,851) (12,433) (18,780) Deferred 37,617 (10,029) 5,984 25,766 (22,462) (12,796) Mining Royalties and Special Mining Tax Current (60) (4,449) (4,933) Deferred (116) 32 (159) (176) (4,417) (5,092) Total income tax 25,590 (26,879) (17,888) (d) 2019 2018 2017 US$(000) US$(000) US$(000) Profit (loss) before income tax (43,535) 27,033 92,667 Loss for discontinued operations (10,514) (11,808) (10,344) Profit (loss) before income tax (54,049) 15,225 82,323 Theoretical loss (gain) for income tax 15,944 (4,491) (24,285) Permanent items and others: Effect of translation into U.S. dollars 14,995 (15,248) 24,502 Share in the results of associates and joint ventures 14,074 (337) 3,896 Permanent items (9,958) (3,466) (16,549) Unrecognized deferred tax asset (9,265) (2,038) (1,898) Mining royalties and special mining tax (24) 3,118 1,538 Income tax expense 25,766 (22,462) (12,796) Mining Royalties and Special Mining Tax (176) (4,417) (5,092) Total income tax 25,590 (26,879) (17,888) (e) (f) Total deferred Unrecognized Net deferred tax asset deferred tax tax asset US$(000) US$(000) US$(000) As of December 31, 2019 Tax - loss carryforward 139,614 (8,152) 131,462 Difference in depreciation and amortization rates 68,151 (19,544) 48,607 Provision for closure of mining units, net 53,418 (22,518) 30,900 Impairment loss of long-lived assets 8,048 — 8,048 Other minor 21,369 — 21,369 Total income tax 290,600 (50,214) 240,386 As of December 31, 2018 Tax - loss carryforward (761) Difference in depreciation and amortization rates (19,544) Provision for closure of mining units, net (20,643) Impairment loss of long-lived assets — Other minor — Total income tax (40,948) |
Commitments and contingencies
Commitments and contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and contingencies [Line Items] | |
Commitments and contingencies | 29. Commitments and contingencies Commitments (a) The Group’s exploration and exploitation activities are subject to environmental protection standards. Law No. 28090 regulates the obligations and procedures that must be met by the holders of mining activities for the preparation, filing and implementation of Mine Closure Plans, as well as the establishment of the corresponding environmental guarantees to secure fulfillment of the investments, subject to the principles of protection, preservation and recovery of the environment. Law No. 28271 regulates environmental liabilities in mining activities. This Law has the objective of ruling the identification of mining activity’s environmental liabilities and financing the remediation of the affected areas. According to this law, environmental liabilities refer to the impact caused to the environment by abandoned or inactive mining operations. The Group considers that the recorded liability is sufficient to meet the current regulatory environment in Peru. (b) The Group pays 10 percent on the valued production of mineral obtained from the concessions leased by Sindicato Minero Orcopampa S.A. This concession is in force until the year 2043. The payments are included as royalties, see note 23. (c) Group as a lessee - The Group has lease contracts for several of assets used in its operations. Leases of plant and machinery generally have lease terms between 1 and 3 years. The Group also has certain leases of machinery with lease terms of 12 months or less and leases of office equipment with low value. The Group applies the ‘short-term lease’ and ‘lease of low-value assets’ recognition exemptions for these leases. The carrying amounts of the right-of-use assets and liabilities recognized and the movements during the period are presented in note 11 and note 16, respectively. Contingencies (d) Buenaventura - The Group is a party in legal procedures that have arisen in the normal course of its activities. Nevertheless, in the opinion of Buenaventura’s Management, none of these procedures, individually or as a whole, could result in material contingencies for the consolidated financial statements. The possible contingencies amount to US$3.0 million and US$2.9 million as of December 31, 2019 and 2018, respectively. Yanacocha - Conga project Constitutional claim - On October 18, 2012, Marco Antonio Arana Zegarra filed a constitutional claim against the Ministry of Energy and Mines and Yanacocha requesting the Court to order the suspension of the Conga project as well as to declare not applicable the October 27, 2010 directorial resolution approving the Conga Project Environmental Impact Assessment (“EIA”). On October 23, 2012, a Cajamarca judge dismissed the claims based on formal grounds finding that: (i) plaintiffs had not exhausted previous administrative proceedings; (ii) the directorial resolution approving the Conga EIA is valid, and was not challenged when issued in the administrative proceedings; (iii) there was inadequate evidence to conclude that the Conga project is a threat to the constitutional right of living in an adequate environment and; (iv) the directorial resolution approving the Conga project EIA does not guarantee that the Conga project will proceed, so there was no imminent threat to be addressed by the Court. The plaintiffs appealed the dismissal of the case. The Civil Court of the Superior Court of Cajamarca confirmed the above mentioned resolution and the plaintiff presented an appeal. On March 13, 2015, the Constitutional Court published its ruling stating that the case should be sent back to the first court with an order to formally admit the case and start the judicial process in order to review the claim and the proofs presented by the plaintiff. Yanacocha has answered the claim. Yanacocha cannot reasonably predict the outcome of this litigation. The Group has not established a provision in the accompanying financial statements for a loss arising from this contingency, which it does not consider probable. Environmental contingences - The Peruvian government agency responsible for environmental evaluation and inspection, “Organismo Evaluacion y Fiscalizacion Ambiental” (“OEFA”), conducts periodic reviews of the Yanacocha site. From 2011 to 2019, OEFA issued notices of alleged violations of OEFA standards to the Company relating to past inspections. OEFA has resolved with minimal or no findings. In 2015 and 2016, the Autoridad Nacional del Agua of Cajamarca issued notices of alleged regulatory violations, and resolved some allegations in 2017 with no findings. The experience with OEFA and the Autoridad Nacional del Agua is that in the case of a finding of violation, remedial action is often the outcome rather than a significant fine. The alleged OEFA violations currently range from zero to 17,642 tax units and the Autoridad Nacional del Agua alleged violations range from zero to 10 tax units, being each tax unit equivalent to approximately US$1,260 based on current exchange rates. Yanacocha is responding to all notices of alleged violations, but cannot reasonably predict the outcome of the agency allegations with potential fine for pending matters of US$0 to US$22.2, which it does not consider probable. (e) Buenaventura – - In November 2018, the Tax Court resolved the appeal proceedings not recognizing the contracts of physical deliveries and the contractual obligation and considers that the payments correspond to an advance financial settlement of Contracts of Derivative Financial Instruments and that the Company would not have accredited the purpose of hedge and the risks covered. The Company’s Management with the support of its legal advisers initiated various administrative and judicial actions to present their arguments and defend their rights. These disputes would be resolved in judicial instances in the Judicial Power. As of December 31, 2019, the total possible contingencies related to these audits amount to S/1,514 million (equivalent to US$456 million). - In December 2018, the Tax Court resolved the appeal files confirming reparations for S/70,277,000 (equivalent to US$21,187,000) basically related to the provision for collection of doubtful debts as an expense and unfounded income unduly deducted. To date, the Company’s Management, with the support of its legal advisors, has initiated administrative and judicial actions to present its arguments and make its rights prevail. These disputes would be resolved in judicial instances in the Judicial Power. As of December 31, 2019, the total possible contingencies related to these audits amount to S/515 million (equivalent to US$155 million). In December 2019, Tax Administration initiated actions of forced collection of interest and fines for the reliquidation that it has made of prepayments from January to December 2009 and January to February 2010. These are based on the 2007 and 2008 annual tax fiscal years, which were recalculated by SUNAT with the objections mentioned in the first and second paragraphs and which are questioned in the judicial process. On December 20, 2019, SUNAT executed the forced collection of debt amounting to S/120,262,000 (equivalent to US$36,322,000). In opinion of the legal advisors of the Company, favorable results should be obtained in the judicial process that has been initiated, therefore an account receivable have been registered in the heading "Trade and other accounts receivable, net", see note 7(g). - - - The Company's Management and its legal advisors are of the opinion that the results of the procedures in the various instances will be favorable to the Company, which is why they consider that it is not necessary to recognize any provision for these contingencies. Subsidiaries – Sociedad Minera El Brocal S.A.A. – - - - - As a result of the resolution, the Tax Administration has notified compliance resolutions by relieving income tax and the effects on payments on account for the years 2011, 2012 and 2013. The Brocal has filed an appeal to the Tax Court. On August 9, 2019, El Brocal filed an administrative contentious lawsuit against the decision of the Tax Court since El Brocal had credited with reliable documentation the basis for the observations on the loss in derivative financial instruments and mining royalties. As of December 31, 2019, the possible contingencies held by El Brocal amount to S/7,014,000 (equivalent to US$2,114,000). El Brocal’s legal advisors believe that the outcome of these proceedings will be favorable and therefore, it is not necessary to recognize a provision for these contingencies. During the year 2019, the Tax Administration has reviewed the income tax stament for the year 2015. As a result of this review, SUNAT has verified on December 31, 2019 the determination and fine resolutions where it questions the depreciation rate of two tailings and the deduction of the development costs of Smelter Project for a total S/13,930,000 (equivalent to US$4,200,000) determining a debt of S /3,412,000 (equivalent to US$1,029,000). The Management of El Brocal and its legal advisors considered that the reparations are not supported by what they have started the claim process. On January 27, 2020, El Brocal has canceled the fine resolution with the resolution to benefit from the reduction of the fine. The amount disbursed of S/1,456,000 (equivalent to US$439,000) has been recorded as an account receivable in the financial statements of El Brocal. Minera La Zanja S.R.L. - During the years 2016, 2017 and 2018, SUNAT audited the income tax for the years 2013 and 2015; as a result, SUNAT does not recognize deductions declared for La Zanja. The main challenge is related to the deduction of development costs incurred for S/2,952,000 (equivalent to US$890,000) as of December 31, 2019 (S/2,692,000 equivalent to US$797,000 as of December 31, 2018). In Management´s opinion and its legal advisors, this interpretation is not supported and the subsidiary would obtain a favorable result in the claim process that has started. Empresa de Generación Huanza S.A. - During 2015, SUNAT audited the 2014 income tax of the subsidiary Huanza. As a result, a portion of the depreciation of its fixed assets is not recognized for S/27,532,000 (equivalent to US$8,300,000). The possible contingency amounts to S/6,999,000 (equivalent to US$2,110,000) as of December 31, 2019 (S/6,396,000 equivalent to US$1,893,000 as of December 31, 2018). In the opinion of Huanza´ Management and its legal advisors, this interpretation has no basis and therefore, Huanza would obtain a favorable result in the appeal process that has begun. Río Seco S.A.- The Customs Division of the SUNAT has determined an alleged omission in the payment of the General Sales Tax of S/1,815,000 (equivalent to US$547,000) in an import made in 2012 of certain equipment for the construction of The Industrial Plant. SUNAT supported its position that Rio Seco should have included the amount of the consideration paid by Río Seco for the engineering services provided by its suppliers abroad in the customs value. In the opinion of Management and its legal advisors, this observation is not substantiated and a favorable ruling should be obtained in the complaint and appeal process. On March 13, 2019, the Tax Court notified Resolution No. 0844-A-2019 that confirmed the observation of the Tax Administration. On May 17, 2019, the Tax Administration initiated the coercive collection actions of the tax debt. Río Seco initiated several administrative and judicial actions to suspend the collection, without favorable results. During July to September 2019, Tax Administration has executed the forced collection of the tax debt amounting to S/11,153,000 (equivalent to US$3,368,000), see note 7(g). In the opinion of the legal advisors of Río Seco, a favorable result should be obtained in the judicial process that has been initiated, so that said collection has been recorded in the heading “Trade and other receivables, net”. On June 13, 2019, Rio Seco has filed an administrative contentious lawsuit against the Tax Court’s Resolution so that the Judicial Power declares its nullity and ignore the Tax Administration's objection. Other subsidiaries - In addition, SUNAT has issued tax assessments as a result of the audit of income taxes of other subsidiaries for S/4,654,000 (equivalent to US$1,403,000). In the opinion of the Management and its legal advisors, the assessments are of possible occurrence; however, the subsidiaries expect to obtain a favorable outcome in the appeal processes initiated. Associates - Cerro Verde - Mining Royalties On June 23, 2004, Law 28528 was approved, which requires the holder of a mineral concession to pay a royalty in return for the exploitation of metallic and non-metallic minerals. The royalty is calculated using rates ranging from 1% and 3% of the value of concentrate or its equivalent according to the international price of the commodity published by the Ministry of Energy and Mines. Prior to January 1, 2014, Cerro Verde determined that these royalties were not applicable because it operated under the 1998 Stability Agreement with the Peruvian government. However, beginning January 1, 2014, Cerro Verde began paying royalties calculated on operating income with rates between 1% and 12% and a new special mining tax for its entire production basis under its current 15-year stability agreement, which became effective January 1, 2014. SUNAT has assessed mining royalties on materials processed by Cerro Verde´s concentrator, which commenced operations in late 2006. These assessments cover the period December 2006 to December 2013. Cerro Verde contested each of these assessments because it believes that its 1998 stability agreement exempts from royalties all minerals extracted from its mining concession, irrespective of the method used for processing such minerals. No assessments can be issued for years after 2013, as Cerro Verde began paying royalties on all of its production in January 2014 under its new 15‑year stability agreement. On October 29, 2019, Cerro Verde completed payments of the disputed assessments related to mining royalties for the period December 2006 to December 2008 that were under an installment program since 2014. Under this installment program, Cerro Verde made payments totaling S/711.1 million (US$221.9 million based on the date of payment exchange rate and US$214.4 based on the December 31, 2019, exchange rate). With respect to the judiciary appeal related to disputed royalty assessments for the year 2006-2007, on August 9, 2017, the Cerro Verde filed a cassation appeal before the Supreme Court against the resolution issued by the Seventh Contentious Administrative Court, which was admitted in December 2017. The oral hearing before the Supreme Court took place on November 20, 2018 and their decision is pending. In September 2018, the Peruvian Tax Tribunal confirmed SUNAT’s resolution that ordered the payment of royalties and denied Cerro Verde’s request to waive penalties and interest for the period January 2009 through September 2011. Cerro Verde elected not to appeal the Peruvian Tax Tribunal’s decision to the Peruvian Judiciary and in early 2020, Cerro Verde initiated international arbitration. On October 2018, SUNAT notified Cerro Verde demands for payments based on the Tax Tribunal’s decisions for the period January 2009 to September 2011. Cerro Verde requested, and was granted two installment payment programs, including a six-month deferral and 66 equal monthly payments for each one, for the period January 2009 through September 2011. Total debt as of December 31, 2019 is S/1.0 billion (approximately US$314.1 million based on the December 31, 2019, exchange rate, including deferred interest, interest and penalties of US$202.8 million). As of December 31, 2019 Cerro Verde has made payments totaling S/315.1 million (US$94.7 million based on the date of payment exchange rate and US$95.0 million based on the December 31, 2019, exchange rate). On January 18, 2018, Cerro Verde received assessments from SUNAT related to mining royalties for the fourth quarter of 2011, on February 15, 2018, Cerro Verde appealed these assessments and SUNAT issued resolutions denying this appeal. On November 21, 2018, Cerro Verde appealed SUNAT’s resolution to the Tax Court. On December 4, 2019, Cerro Verde received a resolution denying the appeal of assessments for the fourth quarter of 2011. On December 18, 2019, SUNAT notified Cerro Verde of its demands for payment and on December 26, 2019, Cerro Verde paid the total debt of S/57.6 million (US$17.3 million based on the date of payment exchange rate and US$17.4 million based on the December 31, 2019, exchange rate). Also, on January 18, 2018, Cerro Verde received assessments from SUNAT related to special mining tax from the fourth quarter of 2011 to the fourth quarter of 2012. Cerro Verde appealed these assessments and SUNAT issued resolutions denying this appeal. Consequently, Cerro Verde appealed these assessments to the Tax Court which was also denied the appeal in July 2019. Cerro Verde then requested, and was granted installment an installment payment program, including a six-month deferral and 66 equal monthly payments, for the fourth quarter of 2011 through the fourth quarter of 2012. Total debt as of December 31, 2019, is S/255.8 million (approximately US$77.1 million based on the December 31, 2019, exchange rate, including deferred interest, interest and penalties of US$40.5 million). Payments for this installment program will start in the first quarter of 2020. On April 18, 2018, Cerro Verde received assessments from SUNAT related to mining royalties for the year 2012. On May 17, 2018, Cerro Verde appealed these assessments. On January 23, 2019, Cerro Verde received a resolution issued by SUNAT denying the appeal of assessments for the year 2012. Cerro Verde decided not to appeal these resolutions. Cerro Verde requested, and was granted an installment payment program, including a six-month deferral and 66 equal monthly payments, for the year 2012. Total debt as of December 31, 2019, is S/266.1 million (approximately US$80.2 million based on the December 31, 2019, exchange rate, including deferred interest, interest and penalties of US$45.7 million). Cerro Verde has made payments totaling S/65.7 million (US$19.5 million based on the date of payment exchange rate and US$19.8 million based on the December 31, 2019, exchange rate). On October 10, 2018, Cerro Verde received assessments from SUNAT related to mining royalties and special mining tax for the year 2013. On November 7, 2018, Cerro Verde appealed these assessments. On May 28, 2019, Cerro Verde received resolutions issued by SUNAT denying the appeal of these assessments for the year 2013. Cerro Verde decided not to appeal these resolutions. Cerro Verde requested, and was granted two installment payment programs, including a six-month deferral and 66 equal monthly payments for each one, for the year 2013. As of December 31, 2019, the amount of these assessments, including interest and penalties for mining royalties for the year 2013 is S/183.9 million (approximately US$55.4 million based on the December 31, 2019, exchange rate including interest and penalties of US$29.5 million) and for special mining tax for the year 2013 is S/151.0 million (approximately US$45.5 million based on the December 31, 2019, exchange rate including interest and penalties of US$22.1 million). Payments for these installment programs will start in the first quarter of 2020. In December of 2017, as a result of the unfavorable Supreme Court decision on the 2008 royalty matter, Cerro Verde requested the return of the amounts that would have been in excess for FONAVI (National Housing Fund) (December 2012 to December 2013), GEM (fourth quarter 2011 until the fourth quarter 2012) and customs duties (2013). Other assessments received from SUNAT Cerro Verde has also received assessments from SUNAT for additional taxes (other than the mining royalty), including penalties and interest. Cerro Verde has filed or will file objections to the assessments because it believes it has properly determined and paid its taxes. A summary of these assessments follows: Penalty and Year Taxes interest Total US$(000) US$(000) US$(000) 2003 – 2005 8,857 39,196 48,053 2006 10,990 51,943 62,933 2007 12,376 17,845 30,221 2008 20,797 12,968 33,765 2009 56,388 51,219 107,607 2010 62,581 107,324 169,905 2011 49,055 65,189 114,244 2012 51,981 11,257 63,238 2014 - 2019 38,975 — 38,975 312,000 356,941 668,941 As of December 31, 2019, Cerro Verde has paid US$396.5 million from which US$186.6 million Cerro Verde considers will be recovered. Yanacocha - The Tax Administration challenged the withholding tax rate applied on the technical assistance services provided by a non-resident supplier in the years 2002 and 2003. The services were executed in Peru and also abroad; however, Yanacocha was not able to prove that during the tax audit. Based on that, the Tax Administration considers that the services were wholly executed in Peru; therefore, the withholding tax rate should be 30% instead of 12%. Currently there is no contingency in this regard. The tax liability has been paid by Yanacocha. In 2000, Yanacocha paid a total of US $29 million to assume their respective contractual positions in mining concession agreements with Chaupiloma Dos de Cajamarca S.M.R.L. The contractual rights allowed Yanacocha the opportunity to conduct exploration on the concessions, but not a purchase of the concessions. The tax authority alleges that the payments were acquisitions of mining concessions requiring the amortization of the amounts under the Peru Mining Law over the life of the mine. Yanacocha expensed the amounts at issue in the initial year since the payments were not for the acquisition of a concession but rather these expenses represent the payment of an intangible and therefore, amortizable in a single year or proportionally for up to ten years according to Income Tax Law. In 2010, the Tax Court in Peru ruled in favor of Yanacocha and the tax authority appealed the issue to the judiciary. The first appellate court confirmed the ruling of the Tax Court in favor of Yanacocha. However, in November, 2015, a Superior Court in Peru made an appellate decision overturning the two prior findings in favor of Yanacocha. Yanacocha has appealed the Superior Court ruling to the Peru Supreme Court. On January 18, 2019, the Peru Supreme Court issued notice that three judges support the position of the tax authority and two judges support the position of Yanacocha. Because four votes are required for a final decision, an additional judge was selected to issue a decision and the parties conducted oral arguments in April 2019. In early February 2020, the additional judge ruled in favor of the tax authority, finalizing a decision of the Peru Supreme Court against Yanacocha. Yanacocha will file an action objecting to the fines and interest associated with the underlying decision of the Peru Supreme Court. The potential liability in this matter is in the form of fines and interest in an amount up to US$61 million. It is not possible to fully predict the outcome of this litigation. (f) The Group determines whether to consider each uncertain tax treatment separately or together with one or more other uncertain tax treatments and uses the approach that better predicts the resolution of the uncertainty. The Group determined, based on its tax compliance and transfer pricing study that it is probable that its tax treatments (including those for the subsidiaries) will be accepted by the taxation authorities. Letters of credit (g) The Group maintains letters of credit with regional governmets and others for US$361,000. (h) As of December 31, 2019, the Group maintains letters of credit solidarity in favor of the Ministry of Energy and Mines for amount of US$557,000 and US$23,696,000, a favor from its subsidiary Compañía Minera Colquirrumi S.A. and its associate Compañía Minera Coimolache S.A., respectively. |
Minera Yanacocha SRL and subsidiary [Member] | |
Commitments and contingencies [Line Items] | |
Commitments and contingencies | 21. Commitments and contingencies Unitization of properties - In December 2000, as a result of the unitization plan carried out by the Partners, the Company signed several asset transfer and mining lease agreements with related entities. The main conditions are: - The Company must pay to Chaupiloma, 3% of the quarterly net sales, according to the lease agreement. The mining rights subject to this 3% royalty are those identified in the lease agreement as part of the “Area of Influence of Chaupiloma”. Some of these mining rights are in exploitation and the rest of them in exploration. - The Company must pay to Los Tapados S.A., 3% of the quarterly net sales proceeds of mineral extracted from the transferred and leased concessions of Los Tapados S.A. The transferred and leased concessions of Los Tapados S.A. are also subject to a previously existing royalty on the minerals. These mining rights are in exploitation and others inactive. Legal proceedings - Conga project Constitutional claim - On October 18, 2012, Marco Antonio Arana Zegarra filed a constitutional claim against the Ministry of Energy and Mines and Yanacocha requesting the Court to order the suspension of the Conga project as well as to declare not applicable the October 27, 2010, directorial resolution approving the Conga project Environmental Impact Assessment (“EIA”). On October 23, 2012, a Cajamarca judge dismissed the claims based on formal grounds finding that: (i) plaintiffs had not exhausted previous administrative proceedings; (ii) the directorial resolution approving the Conga EIA is valid, and was not challenged when issued in the administrative proceedings; (iii) there was inadequate evidence to conclude that the Conga project is a threat to the constitutional right of living in an adequate environment and; (iv) the directorial resolution approving the Conga project EIA does not guarantee that the Conga project will proceed, so there was no imminent threat to be addressed by the Court. The plaintiffs appealed the dismissal of the case. The Civil Court of the Superior Court of Cajamarca confirmed the above mentioned resolution and the plaintiff presented an appeal. On March 13, 2015, the Constitutional Court published its ruling stating that the case should be sent back to the first court with an order to formally admit the case and start the judicial process in order to review the claim and the proofs presented by the plaintiff. Yanacocha has answered the claim. Neither the Company nor Yanacocha can reasonably predict the outcome of this litigation. The Company has not established a provision in the accompanying financial statements for a loss arising from this contingency, which it does not consider probable. Environmental - The Peruvian government agency responsible for environmental evaluation and inspection, Organismo Evaluacion y Fiscalizacion Ambiental (“OEFA”), conducts periodic reviews of the Yanacocha site. In 2011 to 2019, OEFA issued notices of alleged violations of OEFA standards to Yanacocha and Conga relating to past inspections. OEFA has resolved some alleged violations with minimal or no findings. In 2015 and 2016, the water authority of Cajamarca issued notices of alleged regulatory violations, and resolved some allegations in 2017 with no findings. The experience with OEFA and the water authority is that in the case of a finding of violation, remedial action is often the outcome rather than a significant fine. The alleged OEFA violations currently range from zero to 17,642 units and the water authority alleged violations range from zero to 10 units, with each unit having a potential fine equivalent to approximately 1,260 dollars based on current exchange rates with a total potential fine amount for outstanding matters of (US$0 to US$22,200). Yanacocha and Conga are responding to all notices of alleged violations, but cannot reasonably predict the outcome of the agency allegations. The Company has not established a provision in the accompanying financial statements for a loss arising from this contingency, which it does not consider probable. Open tax procedures - The Tax Authority has the right to examine, and, if necessary, amend the Company’s income tax provision for the last four years. The Company’s income tax filings for the years 2014 through 2017 are open to examination by the tax authorities. For value added tax, the periods open for examination are the years 2015 through 2018. To date, National Tax Supervisor “SUNAT” has concluded its review of the Company’s tax exams through the year 2013. For years 2003 and 2009, the Company is in the claim and appeal process. In the Company Management’s and legal advisors’ opinion, there are sound legal grounds to sustain the Company’s tax positions; as a result, Management expects to obtain favorable results on these processes and any additional tax assessment would not be significant to the consolidated financial statements. For the periods pending of examination, due to the many possible interpretations of current legislation, it is not possible to determine whether or not future reviews will result in tax liabilities for the Company. In the event that additional taxes are payable, including interest and surcharges, as a result of the Tax Authority reviews, they will be charged to expense in the period assessed. However, in Management’s and legal advisors’ opinion, any additional tax assessment would not be significant to the consolidated financial statements. Tax contingencies - Withholding income tax for fiscal years 2002 and 2003 - The Tax Administration challenged the withholding tax rate applied on the technical assistance services provided by a non-resident supplier. The services were executed in Peru and also abroad; however, the Company was not able to prove that during the tax audit. Based on that, the Tax Administration considers that the services were wholly executed in Peru; therefore, the withholding tax rate should be 30% instead of 12%. Currently there is no contingency in this regard. The tax liability has been paid by the Company. Tax Dispute related to the amortization of the contractual rights - In 2000, Yanacocha paid Buenaventura and Minas Conga S.R.L. a total of US$29 million to assume their respective contractual positions in mining concession agreements with Chaupiloma Dos de Cajamarca S.M.R.L. The contractual rights allowed Yanacocha the opportunity to conduct exploration on the concessions, but not a purchase of the concessions. The tax authority alleges that the payments to Buenaventura and Minas Conga S.R.L. were acquisitions of mining concessions requiring the amortization of the amounts under the Peru Mining Law over the life of the mine. Yanacocha expensed the amounts at issue in the initial year since the payments were not for the acquisition of a concession but rather these expenses represent the payment of an intangible and therefore, amortizable in a single year or proportionally for up to ten years according to Income Tax Law. In 2010, the tax court in Peru ruled in favor of Yanacocha and the tax authority appealed the issue to the judiciary. The first appellate court confirmed the ruling of the tax court in favor of Yanacocha. However, in November, 2015, a Superior Court in Peru made an appellate decision overturning the two prior findings in favor of Yanacocha. Yanacocha has appealed the Superior Court ruling to the Peru Supreme Court. On January 18, 2019, the Peru Supreme Court issued notice that three judges support the position of the tax authority and two judges support the position of Yanacocha. Because four votes are required for a final decision, an additional judge was selected to issue a decision and the parties conducted oral arguments in April 2019. In early February 2020, the additional judge ruled in favor of the tax authority, finalizing a decision of the Peru Supreme Court against Yanacocha, see note 24. Yanacocha will file an action objecting to the fines and interest associated with the underlying decision of the Peru Supreme Court. The potential outstanding liability in this matter amounts up to US$61 million. It is not possible to fully predict the outcome of this litigation. Letters of Guarantee - The Company has signed Letters of Guarantee with various financial institutions in accordance with the Mine Closure Regulation approved by Supreme Decree No.033‑2005 of the Ministry of Energy and Mines. The table below sets out the outstanding signed commitments at year ends by financial institution. 2019 2018 2017 US$(000) US$(000) US$(000) Scotiabank 253,317 235,000 190,000 Pacífico Surich 200,000 — — La Positiva 70,000 — — Rimac (Travelers) 60,000 — — Banco de Credito del Peru (a) — 114,251 123,729 BBVA Continental — 190,000 190,000 583,317 539,251 503,729 (a) Letters of guarantee shall come into force if the Company fails to execute in whole or in part the mine closure plan. |
Transactions with related compa
Transactions with related companies | 12 Months Ended |
Dec. 31, 2019 | |
Hierarchy and fair value of financial instruments [Line Items] | |
Transactions with related companies | 30. Transactions with related companies (a) 2019 2018 2017 US$(000) US$(000) US$(000) Associates - Revenues from: Royalties 22,297 20,385 20,739 Energy 3,181 3,002 2,137 Supplies 1,259 27 4 Mineral 683 1,321 1,414 Mining concessions, property, plant and equipment 11 30 336 Purchase of: Supplies 9 44 27 Services rendered to: Services of energy transmission 287 393 559 Operation and maintenance services related to energy transmission 287 290 593 Administrative and Management services 359 214 149 Engineering services — 348 1,119 Constructions services 4 — 1,332 Dividends received and collected from: Sociedad Minera Cerro Verde S.A.A. 29,377 39,169 — Compañía Minera Coimolache S.A. 4,011 7,623 9,823 Loans collected from: Sociedad Minera Cerro Verde S.A.A. — — 124,800 Interest income: Sociedad Minera Cerro Verde S.A.A. — — 1,685 Joint Venture - Interest income: Transportadora Callao S.A. 86 92 — Non-controlling shareholders - Dividends paid to: Newmont Peru Limited - Sucursal del Perú 6,500 5,560 6,036 Terms and conditions of transactions with related parties Purchase transactions and services with related parties are made at market prices. Outstanding balances at year-end are unsecured and interest free and settlement occurs in cash. There have been no guarantees provided or received for any related party receivables or payables. (b) 2019 2018 US$(000) US$(000) Trade and other receivables, note 7(a) Minera Yanacocha S.R.L. 5,920 6,791 Compañía Minera Coimolache S.A. 327 386 6,247 7,177 Other receivables, note 7(a) Transportadora Callao S.A. 1,951 2,471 Compañía Minera Coimolache S.A. 1,016 1,234 2,967 3,705 9,214 10,882 Trade and other payables, note 14(a) Compañía Minera Coimolache S.A. 27 36 Sociedad Minera Cerro Verde S.A.A. 2 — Other payables, note 14(a) Other minor 51 20 80 56 As of December 31, 2019 and 2018, there is no allowance for expected credit losses related to related parties accounts. (c) In accordance with mining lease, amended and effective on January 1, 1994, Minera Yanacocha S.R.L. pays the Group a 3% royalty based on quarterly production sold at current market prices, after deducting refinery and transportation costs. The royalty agreement expires in 2032. (d) As of December 31, 2019 and 2018, loans to employees, directors and key personnel amounts to US $31,000 and US $19,000, respectively, are paid monthly and earn interest at market rates. There are no loans to the Group’s directors and key personnel guaranteed with Buenaventura or any of its Subsidiaries’ shares. The Group’s key executives’ compensation (including the related income taxes assumed by the Group) for the years 2019 and 2018 are presented below: 2019 2018 US$(000) US$(000) Accounts payable: Directors’ remuneration 1,746 2,628 Salaries 1,020 1,057 Provision for bonus to officers 6,205 6,345 Total 8,971 10,030 Disbursements: Salaries 12,690 12,908 Directors’ compensations 1,746 2,628 Total 14,436 15,536 (e) |
Minera Yanacocha SRL and subsidiary [Member] | |
Hierarchy and fair value of financial instruments [Line Items] | |
Transactions with related companies | 22. Transactions with related parties (a) 2019 2018 2017 US$(000) US$(000) US$(000) Royalties accrued: Affiliates: S.M.R.L. Chaupiloma Dos de Cajamarca, note 17 and 1(a) 22,297 20,385 20,739 Services rendered by: Affiliates: Newmont Peru S.R.L. (management services) (b) 10,729 12,837 8,985 Newmont International Services 10,822 5,181 281 Newmont USA Limited 4,118 5,381 5,607 (b) (c) 2019 2018 US$(000) US$(000) Balance receivable from related parties, note 6 Newmont International Services Limited 168 194 Newmont USA Limited 144 207 Suriname Gold Company 135 — NVL, USA Limited, Delaware 102 321 Newmont Peru S.R.L. 26 22 Newmont Global Employment Limited 20 22 Suriname Gold Company LLC — 18 Newmont USA Limited – Carlin — 10 Others 3 — 598 794 Balance payable for related parties, note 11 S.M.R Chaupiloma Dos de Cajamarca 4,863 5,461 Newmont International Service Limited 3,297 2,059 Newmont Peru S.R.L. 1,101 1,460 Newmont Technologies Limited. 1,042 634 Newmont USA Limited. 1,034 1,067 Newmont US Carlin Limited 3 163 Others 86 2 11,426 10,846 All the balances above are of current maturity, have no specific guarantees and are not interest bearing. For the years ended December 31, 2019, 2018 and 2017, there is no allowance for expected credit losses related to related parties accounts. |
Disclosure of information on se
Disclosure of information on segments | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of information on segments | |
Disclosure of information on segments | 31. Disclosure of information on segments Management has determined its operating segments based on reports that the Group’s Chief Operating Decision Maker (CODM) uses for making decisions. The Group is organized into business units based on its products and services, activities and geographic locations. The broad categories of the Group’s business units are: - - - - - - - The accounting policies used by the Group in reporting segments internally are the same as those contained in the notes of the consolidated financial statements. The CODM monitors the operating results of the business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on operating profit or loss and is measured consistently with operating profit or loss in the Group’s consolidated financial statements. In addition, the Group’s financing and income taxes are managed at the corporate level and are not allocated to the operating segments, except for those entities,which are managed independently. Corporate information mainly includes the following: In segment information of profit or loss - - - - - In the segment information of assets and liabilities - - - Adjustments and eliminations mainly include the following: In segment information of consolidated statements of profit or loss – - - - In the segment information of assets and liabilities – - - - Refer to Note 20(a) to the consolidated financial statements where the Group reports revenues from external customers for each product and service, and revenues from external customers attributed to Peru and foreign countries. The revenue information is based on the locations of customers. Refer to Note 20(d) to the consolidated financial statements for information about major customers (clients representing more than 10 percent of the Group’s revenues). All non-current assets are located in Peru. Equity accounted investees Exploration and Compañía development Energy Rental of Holding of Minera Sociedad Minera Total Adjustments Uchucchacua Orcopampa Julcani Tambomayo Colquijirca La Zanja mining generation and Insurance mining investment Industrial Yanacocha Minera Cerro Coimolache operating and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) projects transmission brokerage concessions in shares activities Corporate S.R.L. Verde S.A.A S.A. segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2019 Results: Continuing operations Operating income: Net sale of goods 186,016 58,902 40,082 188,175 299,252 43,520 — — — — — 6,046 — 734,526 2,890,066 241,173 4,687,758 (3,865,828) 821,930 Net sale of services — — — — — — — 59,690 15,687 — 615 19,557 — 4,776 — — 100,325 (76,664) 23,661 Royalty income — — — — — — — — — 22,297 — — — — — — 22,297 — 22,297 Total operating income 186,016 58,902 40,082 188,175 299,252 43,520 — 59,690 15,687 22,297 615 25,603 — 739,302 2,890,066 241,173 4,810,380 (3,942,492) 867,888 Operating costs Cost of sales of goods, excluding depreciation and amortization (128,523) (54,739) (26,586) (76,827) (223,998) (39,693) — — — — — (8,517) — (692,721) (2,101,668) (187,156) (3,540,428) 3,027,554 (512,874) Cost of services, excluding depreciation and amortization — — — — — — — (22,209) — — — (6,167) — (1,160) — — (29,536) 26,158 (3,378) Depreciation and amortization (21,053) (7,563) (9,178) (83,657) (74,335) (9,103) — (10,075) — — — (11,979) — — — — (226,943) 608 (226,335) Exploration in operating units (8,917) (9,040) (5,864) (11,613) (8,727) (2) — — — — — — — — — — (44,163) — (44,163) Mining royalties (1,955) (5,220) (418) (1,857) (2,953) (429) — — — — — — — — — — (12,832) — (12,832) Total operating costs (160,448) (76,562) (42,046) (173,954) (310,013) (49,227) — (32,284) — — — (26,663) — (693,881) (2,101,668) (187,156) (3,853,902) 3,054,320 (799,582) Gross profit (loss) 25,568 (17,660) (1,964) 14,221 (10,761) (5,707) — 27,406 15,687 22,297 615 (1,060) — 45,421 788,398 54,017 956,478 (888,172) 68,306 Operating expenses, net Administrative expenses (16,115) (5,209) (3,561) (16,512) (8,865) (2,223) (2,416) (4,073) (11,607) (188) (363) (1,310) (4,894) (1,744) — (4,638) (83,718) 7,421 (76,297) Selling expenses (6,876) (258) (403) (3,940) (10,856) (321) — (1,115) — — — (1,324) − (1,722) — (1,163) (27,978) 3,665 (24,313) Exploration in non-operating areas (2,534) — — — (2,011) (2,784) (90) — — — — — (4,492) — — — (11,911) 32 (11,879) Impairment recovery (loss) of long-lived assets — — (2,083) — — — — — — — — — — — — — (2,083) — (2,083) Reversal (provision) of contingent and others (183) 1 (148) 127 2,079 (98) (40) 166 — — — — 1,067 — — — 2,971 (3) 2,968 Other, net (4,147) (8,104) (776) (3,767) (6,568) (1,119) (419) 13,813 — 135 79 341 (2,686) (35,987) — (5,667) (54,872) 40,157 (14,715) Total operating expenses, net (29,855) (13,570) (6,971) (24,092) (26,221) (6,545) (2,965) 8,791 (11,607) (53) (284) (2,293) (11,005) (39,453) — (11,468) (177,591) 51,272 (126,319) Operating profit (loss) (4,287) (31,230) (8,935) (9,871) (36,982) (12,252) (2,965) 36,197 4,080 22,244 331 (3,353) (11,005) 5,968 788,398 42,549 778,887 (836,900) (58,013) Other income (expense),net Share in the results of associates and joint ventures — — — — (44) — — 10,374 — — (53,143) — 45,778 — — — 2,965 44,745 47,710 Finance income — — — — 417 2,006 14 263 15 30 10 277 7,751 18,859 10,356 549 40,547 (30,872) 9,675 Finance costs (532) (733) (1,002) (505) (11,440) (3,715) (561) (7,483) (89) (4) (6) (990) (16,249) (58,059) (115,877) (3,598) (220,843) 178,670 (42,173) Net gain (loss) from currency exchange difference (124) 76 3 (12) (191) 14 (156) 62 (119) (9) (9) 208 (481) 2,902 5,574 277 8,015 (8,749) (734) Total other income (expenses), net (656) (657) (999) (517) (11,258) (1,695) (703) 3,216 (193) 17 (53,148) (505) 36,799 (36,298) (99,947) (2,772) (169,316) 183,794 14,478 Profit (loss) before income tax (4,943) (31,887) (9,934) (10,388) (48,240) (13,947) (3,668) 39,413 3,887 22,261 (52,817) (3,858) 25,794 (30,330) 688,451 39,777 609,571 (653,106) (43,535) Current income tax — — — — (25) (35) — (4,044) (1,223) (6,546) (39) — − (64,927) (298,074) (26,335) (401,248) 389,337 (11,911) Deferred income tax — — — — 15,410 (5,382) — (5,515) 91 — — 1,554 31,344 — — 15,017 52,519 (15,018) 37,501 Profit (loss) from continuing operations (4,943) (31,887) (9,934) (10,388) (32,855) (19,364) (3,668) 29,854 2,755 15,715 (52,856) (2,304) 57,138 (95,257) 390,377 28,459 260,842 (278,787) (17,945) Loss from discontinued operations (10,514) Loss for the year (28,459) Total assets 146,486 46,750 41,858 425,297 725,973 138,458 398,838 382,481 13,822 6,252 458,212 104,335 2,371,464 2,327,714 7,809,424 379,915 15,777,279 (11,670,005) 4,107,274 Total liabilities 42,265 36,945 35,045 34,142 329,869 68,100 23,223 183,426 6,007 2,286 101 20,918 407,153 1,838,002 2,460,175 125,097 5,612,754 (4,473,680) 1,139,074 Other segment information Investment in associates and joint ventures — — — — — — — 89,786 — — 232,154 — 2,073,745 — — — 2,395,685 (907,438) 1,488,247 Capital Expenditures 31,479 1,323 1,559 9,641 28,298 1,629 26,494 223 85 — — 1,443 453 — — — 102,627 — 102,627 Changes in estimates of mine closures plans 176 10,493 2,430 2,277 5,122 5,021 — — — — — — 1,203 — — — 26,722 — 26,722 Fair value for contingent consideration liability — — — — — — — — — — — — (655) — — — (655) — (655) Accounts receivable from sale of assets — — — — — — — 21,023 — — — — 625 — — — 21,648 — 21,648 Equity accounted investees Exploration and Compañía development Energy Rental of Holding of Minera Sociedad Minera Total Adjustments Uchucchacua Orcopampa Julcani Tambomayo Colquijirca La Zanja mining generation and Insurance mining investment Industrial Yanacocha Minera Cerro Coimolache operating and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) projects transmission brokerage concessions in shares activities Corporate S.R.L. Verde S.A.A S.A. segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2018 Results: Continuing operations Operating income: Net sale of goods 257,282 153,003 34,104 225,281 333,560 96,611 — — — — — 6,655 — 635,393 3,054,026 225,447 5,021,362 (3,915,033) 1,106,329 Net sale of services — — — — — — — 62,962 14,986 — 615 19,908 — 21,965 — — 120,436 (96,435) 24,001 Royalty income — — — — — — — — — 20,385 — — — — — — 20,385 — 20,385 Total operating income 257,282 153,003 34,104 225,281 333,560 96,611 — 62,962 14,986 20,385 615 26,563 — 657,358 3,054,026 225,447 5,162,183 (4,011,468) 1,150,715 Operating costs Cost of sales of goods, excluding depreciation and amortization (151,817) (97,006) (26,558) (92,829) (216,560) (68,993) — — — — — (6,280) — (596,164) (2,216,663) (170,866) (3,643,736) 3,030,355 (613,381) Cost of services, excluding depreciation and amortization — — — — — — — (25,499) — — — (8,966) — (2,217) — — (36,682) 32,364 (4,318) Depreciation and amortization (26,181) (8,802) (3,353) (77,029) (67,666) (34,088) — (10,248) — — — (11,483) — — — — (238,850) (29) (238,879) Exploration in operating units (20,898) (29,563) (8,646) (20,553) (9,996) (74) — — — — — — — — — — (89,730) — (89,730) Mining royalties (2,243) (13,669) (237) (1,936) (2,345) (957) — — — — — — — — — — (21,387) (1) (21,388) Total operating costs (201,139) (149,040) (38,794) (192,347) (296,567) (104,112) — (35,747) — — — (26,729) — (598,381) (2,216,663) (170,866) (4,030,385) 3,062,689 (967,696) Gross profit (loss) 56,143 3,963 (4,690) 32,934 36,993 (7,501) — 27,215 14,986 20,385 615 (166) — 58,977 837,363 54,581 1,131,798 (948,779) 183,019 Operating expenses, net Administrative expenses (24,119) (15,100) (2,524) (17,822) (9,906) (3,435) (3,143) (3,972) (11,900) (220) (512) (1,627) 2,377 (2,783) — (5,644) (100,330) 23,231 (77,099) Selling expenses (8,213) (775) (356) (3,046) (12,201) (784) — (1,173) — — — (924) — (2,627) — (1,135) (31,234) 4,286 (26,948) Exploration in non-operating areas (18,339) — — — (7,199) (5,002) (2,883) — — — — — (4,091) — — — (37,514) 1,207 (36,307) Reversal (provision) of contingent and others 6,784 (121) 947 1,263 (3,711) (57) 6,130 (56) — — — 2 (111) — — — 11,070 178 11,248 Impairment recovery (loss) of long-lived assets — — — — — 5,693 — — — — — — — — — — 5,693 — 5,693 Other, net (5,953) (3,386) (1,050) (5,599) 32,565 (669) 138 562 — — 2,773 194 (2,235) (76,155) — (325) (59,140) 57,832 (1,308) Total operating expenses, net (49,840) (19,382) (2,983) (25,204) (452) (4,254) 242 (4,639) (11,900) (220) 2,261 (2,355) (4,060) (81,565) — (7,104) (211,455) 86,734 (124,721) Operating profit (loss) 6,303 (15,419) (7,673) 7,730 36,541 (11,755) 242 22,576 3,086 20,165 2,876 (2,521) (4,060) (22,588) 837,363 47,477 920,343 (862,045) 58,298 Other income (expense),net Share in the results of associates and joint ventures — — — — — — — 8,589 — — (25,517) — 15,081 — — — (1,847) 703 (1,144) Finance income — — — — 418 1,649 — 179 — 21 8 127 9,293 11,448 28,089 357 51,589 (41,904) 9,685 Finance costs (308) (395) (95) (262) (10,365) (1,946) (222) (7,576) (2) (11) (25) (932) (17,194) (39,024) (426,733) (2,935) (508,025) 469,603 (38,422) Net gain (loss) from currency exchange difference 196 168 8 209 108 (224) (846) (346) 19 18 2 (482) (206) (2,056) 6,161 (852) 1,877 (3,261) (1,384) Total other income (expenses), net (112) (227) (87) (53) (9,839) (521) (1,068) 846 17 28 (25,532) (1,287) 6,974 (29,632) (392,483) (3,430) (456,406) 425,141 (31,265) Profit (loss) before income tax 6,191 (15,646) (7,760) 7,677 26,702 (12,276) (826) 23,422 3,103 20,193 (22,656) (3,808) 2,914 (52,220) 444,880 44,047 463,937 (436,904) 27,033 Current income tax (768) (559) (72) (656) (8,332) (24) — — — (6,025) (444) (2) — (30,368) (325,170) (23,405) (395,825) 378,943 (16,882) Deferred income tax — — — — (10,803) (1,220) — (7,584) — — — 106 9,514 1,071 — 4,942 (3,974) (6,023) (9,997) Profit (loss) from continuing operations 5,423 (16,205) (7,832) 7,021 7,567 (13,520) (826) 15,838 3,103 14,168 (23,100) (3,704) 12,428 (81,517) 119,710 25,584 64,138 (63,984) 154 Loss from discontinued operations (11,808) Loss for the year (11,654) Total assets 126,374 39,725 39,537 461,335 773,554 158,718 372,344 366,354 12,154 7,154 520,484 106,391 2,421,547 2,047,472 7,554,712 361,669 15,369,524 (11,152,303) 4,217,221 Total liabilities 45,227 30,749 29,469 28,502 340,735 68,615 18,986 197,152 4,597 2,653 603 20,671 425,893 1,463,749 2,445,840 125,307 5,248,748 (4,061,092) 1,187,656 Other segment information Investment in associates and joint ventures — — — — — — — — — — — — 1,473,382 — — — 1,473,382 — 1,473,382 Capital Expenditures 18,429 6,225 2,984 18,858 29,572 13,159 17,141 118 — — — 1,816 2,968 — — — 111,270 — 111,270 Changes in estimates of mine closures plans 4,101 1,003 16,484 (447) 19,926 (6,915) 9,063 — — — — — (341) — — — 42,874 — 42,874 Fair value for contingent consideration liability — — — — — — 1,815 — — — — — — — — — 1,815 — 1,815 Accounts receivable from sale of assets — — — — — — — — — — 1,622 — 1,093 — — — 2,715 — 2,715 Equity accounted investees Exploration and Compañía development Construction Energy Rental of Holding of Minera Sociedad Minera Total Adjustments Uchucchacua Orcopampa Julcani Tambomayo Colquijirca La Zanja mining and generation and Insurance mining investment Industrial Yanacocha Minera Cerro Coimolache operating and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) projects engineering transmission brokerage concessions in shares activities Corporate S.R.L. Verde S.A.A S.A. segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2017 Results: Continuing operations Operating income: Net sale of goods 272,334 256,960 42,785 118,966 322,653 165,319 — — — — — — 6,317 34,650 645,176 3,202,931 203,790 5,271,881 (4,084,675) 1,187,206 Net sale of services — — — — — — — 10,603 60,639 14,377 — 615 19,658 — 21,870 — — 127,762 (98,065) 29,697 Royalty income — — — — — — — — — — 20,739 — — — — — — 20,739 — 20,739 Total operating income 272,334 256,960 42,785 118,966 322,653 165,319 — 10,603 60,639 14,377 20,739 615 25,975 34,650 667,046 3,202,931 203,790 5,420,382 (4,182,740) 1,237,642 Operating costs Cost of sales of goods, excluding depreciation and amortization (143,288) (115,574) (31,190) (53,555) (193,874) (102,474) — — — — — — (6,043) (34,029) (746,918) (1,768,238) (121,021) (3,316,204) 2,711,554 (604,650) Cost of services, excluding depreciation and amortization — — — — — — — (9,393) (25,556) — — — (9,354) — (2,062) — — (46,365) 33,411 (12,954) Depreciation and amortization (23,899) (8,846) (8,122) (42,789) (57,199) (48,385) — (129) (9,651) — — — (11,134) — — — — (210,154) — (210,154) Exploration in operating units (27,068) (38,820) (13,009) (9,543) — (871) — — — — — — — — — — — (89,311) — (89,311) Mining royalties (2,280) (22,436) (354) (998) (3,317) (1,499) — — — — — — — — — — — (30,884) — (30,884) Total operating costs (196,535) (185,676) (52,675) (106,885) (254,390) (153,229) — (9,522) (35,207) — — — (26,531) (34,029) (748,980) (1,768,238) (121,021) (3,692,918) 2,744,965 (947,953) Gross profit (loss) 75,799 71,284 (9,890) 12,081 68,263 12,090 — 1,081 25,432 14,377 20,739 615 (556) 621 (81,934) 1,434,693 82,769 1,727,464 (1,437,775) 289,689 Operating expenses, net Administrative expenses (19,473) (18,281) (2,878) (9,139) (13,061) (2,814) (1,604) (3,606) (2,423) (12,288) (90) (413) (1,203) 443 (4,760) — (3,829) (95,419) 14,753 (80,666) Selling expenses (6,078) (1,016) (605) (1,387) (10,914) (881) — — (1,264) — — — (775) (167) (3,922) (141,669) (946) (169,624) 146,581 (23,043) Exploration in non-operating areas (2,676) — — (3,214) (1,976) (2,870) (2,771) — — — — — — (5,052) — — — (18,559) 297 (18,262) Reversal (provision) of contingent and others (7,040) (1) (460) (1,002) — (1,370) (4,657) 100 312 — — — — 378 — — — (13,740) — (13,740) Impairment recovery (loss) of long-lived assets — — — — — (21,620) — — — — — — — — — — — (21,620) — (21,620) Write –off of stripping activity asset — — — — (13,573) — — — — — — — — — — — — (13,573) — (13,573) Other, net (1,799) (715) (1,403) (175) (2,922) (970) (94) 1,129 (94) (4) (1) — 216 (2,012) (63,512) (258,826) (587) (331,769) 318,539 (13,230) Total operating expenses, net (37,066) (20,013) (5,346) (14,917) (42,446) (30,525) (9,126) (2,377) (3,469) (12,292) (91) (413) (1,762) (6,410) (72,194) (400,495) (5,362) (664,304) 480,170 (184,134) Operating profit (loss) 38,733 51,271 (15,236) (2,836) 25,817 (18,435) (9,126) (1,296) 21,963 2,085 20,648 202 (2,318) (5,789) (154,128) 1,034,198 77,407 1,063,160 (957,605) 105,555 Other income (expense),net Share in the results of associates and joint ventures — — — — — — — — 8,573 — — (66,187) — 21,194 — — — (36,420) 49,627 13,207 Finance income — — — — 179 670 — — 139 1 7 1 79 5,614 5,831 5,350 220 18,091 (12,574) 5,517 Finance costs (285) (354) (106) (372) (12,017) (1,919) (131) (370) (10,354) (6) (2) (2) (941) (8,980) (23,766) (216,912) (3,304) (279,821) 245,270 (34,551) Net gain (loss) from currency exchange difference 31 (63) (75) 10 310 48 537 105 294 (75) (41) (4) 497 1,365 3,636 13,288 (174) 19,689 (16,750) 2,939 Total other income (expense), net (254) (417) (181) (362) (11,528) (1,201) 406 (265) (1,348) (80) (36) (66,192) (365) 19,193 (14,299) (198,274) (3,258) (278,461) 265,573 (12,888) Profit (loss) before income tax 38,479 50,854 (15,417) (3,198) 14,289 (19,636) (8,720) (1,561) 20,615 2,005 20,612 (65,990) (2,683) 13,404 (168,427) 835,924 74,149 784,699 (692,032) 92,667 Income tax (1,101) (1,085) (153) (538) (3,903) 6,841 — (400) (3,491) (742) (6,044) (38) 1,818 (9,052) (7,026) (486,043) (23,362) (534,319) 516,431 (17,888) Profit (loss) from continued operations 37,378 49,769 (15,570) (3,736) 10,386 (12,795) (8,720) (1,961) 17,124 1,263 14,568 (66,028) (865) 4,352 (175,453) 349,881 50,787 250,380 (175,601) 74,779 Loss from discontinued operations (10,344) Net profit 64,435 Total assets 146,464 54,114 20,922 538,057 792,594 190,310 342,759 14,004 360,610 9,004 6,611 988,841 109,669 1,950,147 2,019,332 7,691,007 380,534 15,614,979 (11,282,166) 4,332,813 Total liabilities 49,723 42,242 18,099 32,501 388,899 87,008 14,527 5,153 205,247 4,616 2,378 414 20,245 431,505 1,360,217 2,501,845 150,743 5,315,362 (4,046,176) 1,269,186 Other segment information Investment in associates and joint ventures — — — — — — — — — — — — — 1,536,887 — — — 1,536,887 — 1,536,887 Capital Expenditures 18,127 12,674 1,951 131,119 61,060 17,326 13,733 3 852 14 — — 459 2,189 — — — 259,507 — 259,507 Changes in estimates of mine closures plans 1,380 3,710 (761) 404 5,326 462 67 — — — — — — 6 — — — 10,594 — 10,594 Fair value for contingent consideration liability — — — — — — — — — — — — — 1,773 — — — 1,773 — 1,773 Accounts receivable from sale of assets — — — — — — — 4,053 — — — — — 1,318 — — — 5,371 — 5,371 Reconciliation of segment profit (loss) The reconciliation of segment profit (loss) to the consolidated profit (loss) from continued operations follows: 2019 2018 2017 US$(000) US$(000) US$(000) Segments profit (loss) 260,842 64,138 250,380 Elimination of profit of equity accounted investees, not consolidated (owned by third parties) (323,578) (63,777) (225,215) Elimination of intercompany sales (71,951) (74,637) (108,973) Elimination of cost of sales and operating expenses intercompany 71,697 76,780 106,726 Elimination of share in the results of subsidiaries and associates 44,745 1,582 49,627 Others 300 (3,932) 2,234 Consolidated profit (loss) from continued operations (17,945) 154 74,779 Reconciliation of segment assets The reconciliation of segment assets to the consolidated assets follows: 2019 2018 2017 US$(000) US$(000) US$(000) Segments assets 15,777,279 15,369,524 15,614,979 Elimination of assets of equity accounted investees, not consolidated (owned by third parties) (10,517,053) (9,963,853) (10,090,873) Elimination of the subsidiaries and associates of the Parent company (1,111,454) (1,184,240) (1,186,783) Elimination of intercompany receivables (64,708) (32,444) (32,769) Others 23,210 28,234 28,259 Consolidated assets 4,107,274 4,217,221 4,332,813 Reconciliation of segment liabilities The reconciliation of segment liabilities to the consolidated liabilities follows: 2019 2018 2017 US$(000) US$(000) US$(000) Segments liabilities 5,612,754 5,248,748 5,315,362 Elimination of liabilities of equity accounted investees, not consolidated (4,423,274) (4,034,896) (4,012,805) Elimination of intercompany payables (50,395) (27,822) (32,769) Others (11) 1,626 (602) Consolidated liabilities 1,139,074 1,187,656 1,269,186 Disaggregated revenue information Set out below is the disaggregation of the Group’s revenue from contracts with customers: Rental of Holding of Total Adjustments Ucchuchacua Tambomayo Orcopampa Julcani Colquijirca La Zanja Energy generation Insurance mining investment Industrial operation and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) and transmission brokerage concessions in shares activities Corporate segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2019 Revenues by type of customers: Sales by customers - External 184,982 186,668 58,796 39,639 294,842 43,894 — — — — 6,046 — 814,867 — 814,867 Inter-segment — — — — 62 — — — — — — — 62 (62) — 184,982 186,668 58,796 39,639 294,904 43,894 — — — — 6,046 — 814,929 (62) 814,867 Services - External — — — — — — 7,974 15,687 — — — — 23,661 — 23,661 Inter-segment — — — — — — 51,716 — — 615 19,557 — 71,888 (71,888) — — — — — — — 59,690 15,687 — 615 19,557 — 95,549 (71,888) 23,661 Royalties - External — — — — — — — — 22,297 — — — 22,297 — 22,297 184,982 186,668 58,796 39,639 294,904 43,894 59,690 15,687 22,297 615 25,603 — 932,775 (71,950) 860,825 Revenues by geographic region: Metal and concentrates sales - Peru 143,512 79,631 4,833 10,451 236,844 683 — — — — 1,086 — 477,040 (62) 476,978 America other than Peru — 79,537 53,963 — — 37,326 — — — — 943 — 171,769 — 171,769 Asia 13,622 27,365 — 6,598 58,060 — — — — — — — 105,645 — 105,645 Europe 27,848 135 — 22,590 — 5,885 — — — — 4,017 — 60,475 — 60,475 184,982 186,668 58,796 39,639 294,904 43,894 — — — — 6,046 — 814,929 (62) 814,867 Services - Peru — — — — — — 59,690 15,527 — 615 19,557 — 95,389 (71,888) 23,501 America other than Peru — — — — — — — 130 — — — — 130 — 130 Europe — — — — — — — 30 — — — — 30 — 30 — — — — — — 59,690 15,687 — 615 19,557 — 95,549 (71,888) 23,661 Royalties - Peru — — — — — — — — 22,297 — — — 22,297 — 22,297 184,982 186,668 58,796 39,639 294,904 43,894 59,690 15,687 22,297 615 25,603 — 932,775 (71,950) 860,825 Revenues by type of good or services: Sales by metal - Gold — 134,387 58,737 278 18,104 42,698 — — — — — — 254,204 (10) 254,194 Silver 159,713 38,112 263 40,889 57,903 1,300 — — — — — — 298,180 (9) 298,171 Copper — — — 79 238,327 — — — — — — — 238,406 (102) 238,304 Zinc 38,143 19,867 — — 91,307 — — — — — — — 149,317 — 149,317 Lead 29,735 14,016 — 1,627 43,763 — — — — — — — 89,141 — 89,141 Manganese sulfate — — — — — — — — — — 6,046 — 6,046 — 6,046 227,591 206,382 59,000 42,873 449,404 43,998 — — — — 6,046 — 1,035,294 (121) 1,035,173 Commercial deductions (42,609) (19,714) (204) (3,234) (154,500) (104) — — — — — — (220,365) 59 (220,306) 184,982 186,668 58,796 39,639 294,904 43,894 — — — — 6,046 — 814,929 (62) 814,867 Sales by services - — — — — — — 59,690 15,687 — 615 19,557 — 95,549 (71,888) 23,661 Royalties income - — — — — — — — — 22,297 — — — 22,297 — 22,297 184,982 186,668 58,796 39,639 294,904 43,894 59,690 15,687 22,297 615 25,603 — 932,775 (71,950) 860,825 Rental of Holding of Total Adjustments Ucchuchacua Tambomayo Orcopampa Julcani Colquijirca La Zanja Energy generation Insurance mining investment Industrial operating and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) and transmission brokerage concessions in shares activities Corporate segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2018 Revenues by type of customers: Sales by customers - External 257,840 225,339 153,240 33,864 339,414 96,600 — — — — 6,655 — 1,112,952 — 1,112,952 Inter-segment — — — — 167 — — — — — — — 167 (167) — 257,840 225,339 153,240 33,864 339,581 96,600 — — — — 6,655 — 1,113,119 (167) 1,112,952 Services - External — — — — — — 9,015 14,986 — — — — 24,001 — 24,001 Inter-segment — — — — — — 53,947 — — 615 19,909 — 74,471 (74,471) — — — — — — — 62,962 14,986 — 615 19,909 — 98,472 (74,471) 24,001 Royalties - External — — — — — — — — 20,385 — — — 20,385 — 20,385 257,840 225,339 153,240 33,864 339,581 96,600 62,962 14,986 20,385 615 26,564 — 1,231,976 (74,638) 1,157,338 Revenues by geographic region: Metal and concentrates sales - Peru 170,986 63,049 10,808 15,261 257,559 2,770 — — — — 751 — 521,184 (167) 521,017 America - other than Peru — 159,530 142,432 — — 67,756 — — — — 906 — 370,624 — 370,624 Asia 29,382 — — 9,115 82,022 — — — — — — — 120,519 — 120,519 Europe 57,472 2,760 — 9,488 — 26,074 — — — — 4,998 — 100,792 — 100,792 257,840 225,339 153,240 33,864 339,581 96,600 — — — — 6,655 — 1,113,119 (167) 1,112,952 Services - Peru — — — — — — 62,962 14,787 — 615 19,909 — 98,273 (74,561) 23,712 America - other than Peru — — — — — — — 199 — — — — 199 90 289 — — — — — — 62,962 14,986 — 615 19,909 — 98,472 (74,471) 24,001 Royalties - Peru — — — — — — — — 20,385 — — — 20,385 — 20,385 257,840 225,339 153,240 33,864 339,581 96,600 62,962 14,986 20,385 615 26,564 — 1,231,976 (74,638) 1,157,338 Revenues by type of good or services: Sales by metal - Gold 11 150,939 149,092 28 18,463 93,358 — — — — — — 411,891 (14) 411,877 Silver 217,843 54,109 5,243 35,307 46,060 3,583 — — — — — — 362,145 (23) 362,122 Copper — — (221) 129 275,119 — — — — — — — 275,027 (266) 274,761 Zinc 45,194 18,197 — — 101,275 — — — — — — — 164,666 — 164,666 Lead 36,238 6,703 — 1,996 40,618 — — — — — — — 85,555 — 85,555 Manganese sulfate — — — — — — — — — — 6,655 — 6,655 — 6,655 299,286 229,948 154,114 37,460 481,535 96,941 — — — — 6,655 — 1,305,939 (303) 1,305,636 Commercial deductions (41,446) (4,609) (874) (3,596) (141,954) (341) — — — — — — (192,820) 136 (192,684) 257,840 225,339 153,240 33,864 339,581 96,600 — — — — 6,655 — 1,113,119 (167) 1,112,952 Sales by services - — — — — — — 62,962 14,986 — 615 19,909 — 98,472 (74,471) 24,001 Royalties income - — — — — — — — — 20,385 — — — 20,385 — 20,385 257,840 225,339 153,240 33,864 339,581 96,600 62,962 14,986 20,385 615 26,564 — 1,231,976 (74,638) 1,157,338 Construction Energy Rental of Holding of Adjustments Uchucchacua Orcopampa Julcani Tambomayo Colquijirca La Zanja and generation and Insurance mining investment Industrial Total operating and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) engineering transmission brokerage concessions in shares activities Corporate segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2017 Revenues by type of customers: Sales by customers - External 266,482 256,957 41,120 118,376 333,097 132,108 — — — — — 6,317 34,016 1,188,473 — 1,188,473 Inter-segment — — — — — 31,887 — — — — — — — 31,887 (31,887) — 266,482 256,957 41,120 118,376 333,097 163,995 — — — — — 6,317 34,016 1,220,360 (31,887) 1,188,473 Services - External — — — — — — 5,908 9,412 14,377 — — — — 29,697 — 29,697 Inter-segment — — — — — — 4,695 51,227 — — 615 19,658 — 76,195 (76,195) — — — — — — — 10,603 60,639 14,377 — 615 19,658 — 105,892 (76,195) 29,697 Royalties - External — — — — — — — — — 20,739 — — — 20,739 — 20,739 266,482 256,957 41,120 118,376 333,097 163,995 10,603 60,639 14,377 20,739 615 25,975 34,016 1,346,991 (108,082) 1,238,909 Revenues by geographic region: Metal and concentrates sales - Peru 209,300 17,774 13,049 34,337 239,317 32,607 — — — — — 852 705 547,941 (31,887) 516,054 America - other than Peru — 239,183 — 84,039 459 125,875 — — — — — 3,776 18,531 471,863 — 471,863 Asia 19,078 — 12,140 — 89,501 — — — — — — — — 120,719 — 120,719 Europe 38,104 — 15,931 — 3,820 5,513 — — — — — 1,689 14,780 79,837 — 79,837 266,482 256,957 41,120 118,376 333,097 163,995 — — — — — 6,317 34,016 1,220,360 (31,887) 1,188,473 Services - Peru — — — — — — 10,014 60,639 14,205 — 615 19,658 — 105,131 (90,228) 14,903 America - other than Peru — — — — — — 589 — 172 — — — — 761 14,033 14,794 — — — — — — 10,603 60,639 14,377 — 615 19,658 — 105,892 (76,195) 29,697 Royalties - Peru — — — — — — — — — 20,739 — — — 20,739 — 20,739 266,482 256,957 41,120 118,376 333,097 163,995 10,603 60,639 14,377 20,739 615 25,975 34,016 1,346,991 (108,082) 1,238,909 Revenues by type of good or services: Sales by metal - Gold 345 247,909 — 80,796 20,301 160,489 — — — — — — 32,875 542,715 (31,733) 510,982 Silver 256,608 9,595 40,384 27,285 54,629 4,434 — — — — — — 1,257 394,192 (935) 393,257 Copper — 598 192 — 267,737 — — — — — — — — 268,527 — 268,527 Zinc 31,814 — — 7,914 130,790 — — — — — — — — 170,518 — 170,518 Lead 32,244 — 4,660 4,735 44,318 — — — — — — — — 85,957 — 85,957 Manganese sulfate — — — — — — — — — — — 6,317 — 6,317 — 6,317 Indium — — — — 66 — — — — — — — — 66 — 66 321,011 258,102 45,236 120,730 517,841 164,923 — — — — — 6,317 34,132 1,468,292 (32,668) 1,435,624 Commercial deductions (54,529) (1,145) (4,116) (2,354) (184,744) (928) — — — — — — (116) (247,932) 781 (247,151) 266,482 256,957 41,120 118,376 333,097 163,995 — — — — — 6,317 34,016 1,220,360 (31,887) 1,188,473 Sales by services - — — — — — — 10,603 60,639 14,377 — 615 19,658 — 105,892 (76,195) 29,697 Royalties income - — — — — — — — — — 20,739 — — — 20,739 — 20,739 266,482 256,957 41,120 118,376 333,097 163,995 10,603 60,639 14,377 20,739 615 25,975 34,016 1,346,991 (108,082) 1,238,909 |
Derivative financial instrument
Derivative financial instruments | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Embedded derivatives [Line Items] | |
Derivative financial instruments | 32. Derivative financial instruments Hedge derivative financial instruments - (a) The volatility of copper prices during the last years has caused the Management of the subsidiary El Brocal to enter into future contracts. These contracts are intended to reduce the volatility of the cash flows attributable to the fluctuations in the copper and zinc price in accordance with existing copper concentrate sales commitments, which are related to 50 percent of the annual production of copper and 25 percent of the production of two years of zinc, according to the risk strategy approved by the Board of Directors. There is an economic relationship between the hedged items and the hedging instruments as the terms of the foreign exchange and commodity forward contracts match the terms of the expected highly probable forecast transactions. The Group has established a hedge ratio of 1:1 for the hedging relationships as the underlying risk of the commodity forward contracts are identical to the hedged risk components. To test the hedge effectiveness, the Group uses the hypothetical derivative method and compares the changes in the fair value of the hedging instruments against the changes in fair value of the hedged items attributable to the hedged risks. The hedge ineffectiveness can arise from: - - - - For the years 2019,2018 and 2017, no hedge ineffectiveness was recorded. As of December 31, 2019, there are not any hedge contract. As of December 31, 2018, the fair value of the hedge contracts amounts to an assets of US$2.8 million. The counterparty in ORI as of December 31, 2018, net of deferred income tax, amounts to a positive balance of US$1,946,000, and it is show in the equity account of “Other reserves of equity”. During 2019, 2018 and 2017, the effect in profit or loss was a gain of US$4.3 million, loss of US$1.4 million and loss of US$10.9 million, respectively, and it is show in the “Net sales of goods” caption, see note 20(b). The table below presents the composition of open transactions included in the hedge derivative financial instruments as of December 31, 2018: Quotations Quotation period Metric Ton Fixed Futures Fair value US$(000) January 2019 1,000 7,345 5,961 1,381 February 2019 1,000 7,352 5,968 1,378 2,000 2,759 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure Of Embedded derivatives [Line Items] | |
Derivative financial instruments | 22. Embedded derivatives As discussed in Note 2(d), the Company’s sales create exposure to changes in the market prices of copper and molybdenum which are considered embedded derivatives. As of December 31, 2019 and 2018, information about the Company’s embedded derivatives is as follows: As of December 31, 2019 Pounds payable Maturity Provisional pricing Forward pricing Fair value provision (000) US$/Pound US$/Pound US$(000) Copper Concentrate 246,441 January 2020 to May 2020 Between 2.567 and 2.774 Between 2.793 and 2.804 39,727 Copper Cathode 4,410 January 2020 2.791 2.793 9 Molybdenum 5,370 January 2020 to February 2020 Between 7.857 and 9.724 8.025 (3,031) 36,705 (a) As of December 31, 2018 Pounds payable Maturity Provisional pricing Forward pricing Fair value provision (000) US$/Pound US$/Pound US$(000) Copper Concentrate 261,530 January 2019 to May 2019 Between 2.675 and 2.834 Between 2.704 and 2.708 (18,848) Copper Cathode 7,711 January 2019 2.810 2.704 (824) Molybdenum 3,545 January 2019 to February 2019 Between 10.787 and 10.810 10.675 (441) (20,113) (a) (a) Embedded derivative adjustments are recorded on the statement of financial position in “Trade account receivable – related parties” (US$36.1 million as of December 31, 2019, and US$(19.3) million as of December 31, 2018) and “Trade accounts receivable (net)” (US$0.6 million as of December 31, 2019, and US$(0.8) million as of December 31, 2018). |
Financial - risk management obj
Financial - risk management objectives and policies | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of financial risk management objectives and policies [Line Items] | |
Financial - risk management objectives and policies | 90 days
Total
US$(000)
US$(000)
US$(000)
US$(000)
US$(000)
As of December 31, 2019 -
Trade receivables
204,096
—
—
22,016
226,112
Other receivables
125,409
42,390
4,332
10,006
182,137
Expected credit loss
—
—
—
(32,022)
(32,022)
Total
329,505
42,390
4,332
—
376,227
As of December 31, 2018 -
Trade receivables
146,701
—
—
22,013
168,714
Other receivables
58,584
44,773
2,250
10,089
115,696
Expected credit loss
—
—
—
(32,102)
(32,102)
Total
205,285
44,773
2,250
—
252,308
(c)
Prudent management of liquidity risk implies maintaining sufficient cash and cash equivalents and the possibility of committing or having financing committed through an adequate number of credit sources. The Group believes that maintains suitable levels of cash and cash equivalents and has sufficient credit capacity to get access to lines of credit in leading financial entities.
The Group continually monitors its liquidity risk based on cash flow projections.
An analysis of the Group’s financial liabilities classified according to their aging is presented below, based on undiscounted contractual payments:
Less than
Between 1
Between 2
More than 5
1 year
and 2 years
and 5 years
years
Total
US$(000)
US$(000)
US$(000)
US$(000)
US$(000)
As of December 31, 2019-
Bank loans
55,486
—
—
—
55,486
Trade and other payables
152,070
616
—
—
152,686
Financial obligation - capital
262,088
131,588
125,154
48,568
567,398
Financial obligation - interest
22,597
11,225
11,880
1,449
47,151
Lease - capital
3,692
1,514
2,297
—
7,503
Lease - interest
73
143
404
—
620
Contingent consideration liability
—
—
4,905
35,166
40,071
Total
496,006
145,086
144,640
85,183
870,915
As of December 31, 2018 -
Bank loans
95,613
—
—
—
95,613
Trade and other payables
176,811
639
—
—
177,450
Financial obligation - capital
46,166
346,401
195,463
—
588,030
Financial obligation - interest
31,017
28,359
6,024
—
65,400
Contingent consideration liability
—
—
5,904
32,472
38,376
Total
349,607
375,399
207,391
32,472
964,869
(d)
For purposes of the Group’s capital management, capital is based on all equity accounts. The objective of capital management is to maximize shareholder value.
The Group manages its capital structure and makes adjustments to meet the changing economic market conditions. The Group’s policy is to fund all projects of short and long term with their own operating resources. To maintain or adjust the capital structure, the Group may change the policy of paying dividends to shareholders, return capital to shareholders or issue new shares." id="sjs-B4">33. Financial - risk management objectives and policies The Group’s principal financial liabilities, other than derivatives, comprise of trade accounts and other payables, and financial obligations. The main purpose of these financial instruments is to finance the Group’s operations. The Group’s principal financial assets include cash and cash equivalents and trade and other receivables that derive directly from its operations. The Group is exposed to market risk, credit risk and liquidity risk. The Group’s Management oversees the management of these risks. A committee that advises on financial risks supports it. This committee provides assurance to management that the Group’s financial risk activities are governed by appropriate policies and procedures and that financial risks are identified, measured and managed in accordance with the Group’s policies and risk objectives. All derivative activities for risk management purpose are carried out by internal specialists that have the appropriate skills, experience and supervision. There were no changes in the objectives, policies or processes during the years ended December 31, 2019, 2018 and 2017. The Board of Directors reviews and agrees policies for managing each of these risks, which are described below: (a) Market risk is the risk that the fair value of the future cash flows from financial instruments will fluctuate because of changes in market prices. Market risks that apply to the Group comprise four types of risk: exchange rate risk, commodity risk, interest rate risk and other risk of price, such as the risk of the stock price. Financial instruments affected by market risks include time deposits, financial obligations, embedded derivatives and derivative financial instruments. The sensitivity analyses in this section relate to the positions as of December 31, 2019 and 2018 and have been prepared considering that the proportion of financial instruments in foreign currency are constant. (a.1) Exchange rate risk The exchange rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The Group’s exposure to the risk of changes in foreign exchange relates primarily to the Group´s operating activities in soles. The Group mitigates the effect of exposure to exchange-rate risk by carrying out almost all of its transactions in its functional currency. Excluding loans in soles, Management maintains smaller amounts in soles in order to cover its needs in this currency (primarily taxes). A table showing the effect on results of a reasonable change in foreign-currency exchange rates is presented below, with all other variables kept constant: Exchange-rate Effect on profit (loss) increase/decrease before income tax US$(000) 2019 Exchange rate 10 % 4,053 Exchange rate (10) % (3,545) 2018 Exchange rate 10 % 1,695 Exchange rate (10) % (1,681) 2017 Exchange rate 10 % 2,474 Exchange rate (10) % (2,459) (a.2) Commodity price risk The Group is affected by the price volatility of the commodities. The price of mineral sold by the Group has fluctuated historically and affected by numerous factors beyond its control. The Group manages its commodity price risk primarily using sales commitments in customer contracts and hedge contracts for the metals sold by the subsidiary El Brocal. The subsidiary El Brocal entered into derivative contracts that qualified as cash flow hedges, with the intention of covering the risk resulting from the fall in the prices of the metals. These derivative contracts are recorded as assets or liabilities in the statements of financial position and are stated at fair value. To the extent that these hedges were effective in offsetting future cash flows from the sale of the related production, changes in fair value are deferred in an equity account under "Other reserves of equity". The deferred amounts were reclassified to the appropriate sales when production was sold. (a.3) Interest rate risk - Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Group’s exposure to the risk of changes’ in market interest rates relates to the Groups’ long-term financial obligations with floating interest rates. A table showing the effect in profit or loss of the variations of interest rates: Effect on profit Increase/decrease of (loss) before LIBOR income tax (percentage rates) US$(000) 2019 Interest rate 10 (306) Interest rate (10) 306 2018 Interest rate 10 (277) Interest rate (10) 277 2017 Interest rate 10 (677) Interest rate (10) 677 (b) Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Group is exposed to credit risk from its operating activities (primarily trade receivable) and from its financing activities, including deposits with banks and other financial instruments. The Group invests the excess cash in financial leading institutions, sets conservative credit policies and constantly evaluates the market conditions in which it operates. Trade accounts receivable are denominated in U.S. dollars. The Group’s sales are made to domestic and foreign customers. See concentration of spot sales in note 20(b). An impairment analysis is performed on an individual basis. Credit risk is limited to the carrying amount of the financial assets to the date of consolidated statements of financial position, which is composed, by cash and cash equivalents, trade and other receivables and derivative financial instruments. Set out below is the information about the credit risk exposure on the Group's trade and other receivables: Days past due Current < 30 days 30 – 90 days > 90 days Total US$(000) US$(000) US$(000) US$(000) US$(000) As of December 31, 2019 - Trade receivables 204,096 — — 22,016 226,112 Other receivables 125,409 42,390 4,332 10,006 182,137 Expected credit loss — — — (32,022) (32,022) Total 329,505 42,390 4,332 — 376,227 As of December 31, 2018 - Trade receivables 146,701 — — 22,013 168,714 Other receivables 58,584 44,773 2,250 10,089 115,696 Expected credit loss — — — (32,102) (32,102) Total 205,285 44,773 2,250 — 252,308 (c) Prudent management of liquidity risk implies maintaining sufficient cash and cash equivalents and the possibility of committing or having financing committed through an adequate number of credit sources. The Group believes that maintains suitable levels of cash and cash equivalents and has sufficient credit capacity to get access to lines of credit in leading financial entities. The Group continually monitors its liquidity risk based on cash flow projections. An analysis of the Group’s financial liabilities classified according to their aging is presented below, based on undiscounted contractual payments: Less than Between 1 Between 2 More than 5 1 year and 2 years and 5 years years Total US$(000) US$(000) US$(000) US$(000) US$(000) As of December 31, 2019- Bank loans 55,486 — — — 55,486 Trade and other payables 152,070 616 — — 152,686 Financial obligation - capital 262,088 131,588 125,154 48,568 567,398 Financial obligation - interest 22,597 11,225 11,880 1,449 47,151 Lease - capital 3,692 1,514 2,297 — 7,503 Lease - interest 73 143 404 — 620 Contingent consideration liability — — 4,905 35,166 40,071 Total 496,006 145,086 144,640 85,183 870,915 As of December 31, 2018 - Bank loans 95,613 — — — 95,613 Trade and other payables 176,811 639 — — 177,450 Financial obligation - capital 46,166 346,401 195,463 — 588,030 Financial obligation - interest 31,017 28,359 6,024 — 65,400 Contingent consideration liability — — 5,904 32,472 38,376 Total 349,607 375,399 207,391 32,472 964,869 (d) For purposes of the Group’s capital management, capital is based on all equity accounts. The objective of capital management is to maximize shareholder value. The Group manages its capital structure and makes adjustments to meet the changing economic market conditions. The Group’s policy is to fund all projects of short and long term with their own operating resources. To maintain or adjust the capital structure, the Group may change the policy of paying dividends to shareholders, return capital to shareholders or issue new shares. |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of financial risk management objectives and policies [Line Items] | |
Financial - risk management objectives and policies | 90 days
Total
US$(000)
US$(000)
US$(000)
US$(000)
US$(000)
As of December 31, 2019
Trade receivables
—
5,047
7,976
1,993
15,016
Total
—
5,047
7,976
1,993
15,016
As of December 31, 2018
Trade receivables
3,870
564
81
24,563
29,078
Total
3,870
564
81
24,563
29,078
(c)
Management administrates its exposure to liquidity risk through financing from internal operations, Company’s partners and maintaining good relationships with local and foreign banks in order to maintain adequate levels of credit available. The Company currently has no existing bank lines of credit.
The following table represents the analysis of the Company’s financial liabilities, considering the remaining period to reach such maturity as of the consolidated statement of financial position date (see notes 11 and 12):
2019
2018
Less than 1 year
Less than 1 year
US$(000)
US$(000)
Trade accounts payable
45,671
48,847
Accounts payable to related parties
11,426
10,846
Lease liabilities
290
—
57,387
59,693
(d)
The Company’s objectives for managing capital are to safeguard the Company’s ability to continue as a going concern in order to provide expected returns for partners and benefits for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital.
The Company manages its capital structure and makes adjustments to meet the changing economic market conditions. The Company's policy is to fund all projects of short and long term with their own operating resources. To maintain or adjust the capital structure, the Company may change the policy of paying dividends to shareholders, return capital to shareholders or issue new shares. No formal dividend policy exists.
(e)
Fair value accounting establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements).
As required by accounting guidance, assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assets that are measured at fair value on a recurring basis (at least annually) correspond to the San José Reservoir Trust assets and the accounts receivable from the sales of copper and silver concentrate subject to provisional pricing.
The Company’s San José Reservoir Trust assets are made up of marketable equity and debt securities that are valued using quoted market prices in active markets and as such are classified within Level 1 of the fair value hierarchy. The fair value of the marketable equity securities is calculated as the quoted market price of the marketable equity security multiplied by the quantity of shares held by the Company.
There were no transfers between Level 1and Level 2 during 2019.
The Company’s impairment loss is valued using valuation techniques to determine the WACC rate. These valuation techniques maximize the use of observable market data where it is available and rely as little as possible on entity specific estimates as such is classified within Level 2 of the fair value hierarchy.
Carrying value versus fair value
Set out below is a comparison of the carrying amount and fair value of the Company’s financial instruments, other than those which carrying amounts are reasonable approximation of fair value:
Carrying amount
Fair value
2019
2018
2019
2018
US$(000)
US$(000)
US$(000)
US$(000)
Financial assets:
Cash and cash equivalents
818,503
723,208
818,503
723,208
Trade and other receivables, net
15,016
29,078
15,016
29,078
Restricted cash
48,617
48,127
50,353
48,601
Financial assets at fair value
23,648
23,290
23,648
23,290
905,784
823,703
907,520
824,177
Carrying amount
Fair value
2019
2018
2019
2018
US$(000)
US$(000)
US$(000)
US$(000)
Financial liabilities:
Trade and other payables
76,484
83,464
76,484
83,464
Provisions and other accruals
596
—
596
—
Debt instrument
43,927
42,430
43,927
42,430
121,007
125,894
121,007
125,894
Management assessed that the fair values of cash and short-term deposits, trade receivables, trade payables and other current liabilities approximate their carrying amounts largely due to short-term maturities of these instruments. Trade receivables subject to provisional pricing are already carried at fair value." id="sjs-B7">23. Financial - risk management objectives and policies The Company’s operations are exposed to certain financial risks: some market risks (foreign exchange risk, interest rate risk and price risk, credit risk and liquidity risk). The Company’s overall risk management program focuses on the unpredictability of financial markets and seeks to minimize potential adverse effects on the Company’s financial performance. The most important aspects in risk management are the following: (a) (i) Foreign exchange risk exposure arises from exchange rate fluctuations of balances denominated in different currencies than the U.S. dollar. Since transactions and balances denominated in foreign currency are not significant, the current exchange rate risk exposure is limited. Management has decided to assume the exchange risk exposure with the results of the Company’s operations; therefore it has not engaged in hedging activities. (ii) The Company does not maintain significant interest-bearing assets or liabilities; therefore, net income (loss) and cash flows of the Company are substantially independent from the changes in market interest rates. (iv) The Company's financial instruments exposed to price risk are limited to its trade accounts receivable (exposed to gold price) and its available-for-sale financial assets, none of which show a material balance at the end of year, therefore no significant impact on the consolidated financial statements has arisen due to changes in their price that would need to be disclosed. (b) The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers are located in Canada and operate in largely independent markets. The Company's products (refined golddore) are negotiated in international markets being subject to the global demand, as a result it does not concentrate risks related to limited number of clients. The Company counts with counterparties with high credit-rating, and have not had any significant default event arising from risk concentration. Credit risk is managed on a group basis by Newmont according to its policies. Financial instruments exposed to credit risk are cash and cash equivalents, investments in debt and equity instruments, trade accounts receivable and other accounts receivable. For banks and financial institutions, only independently rated parties with a minimum "A" rating are accepted. Regarding trade accounts receivable, according to the practice in the latest years, collections have generally been in full. A credit review of the portfolio is performed quarterly to determine any deterioration in credit quality. The Company does not foresee any significant losses that may arise from this risk. Set out below is the information about the credit risk exposure on the Company’s trade and other receivables: Days past due Current < 30 days 30 – 90 days > 90 days Total US$(000) US$(000) US$(000) US$(000) US$(000) As of December 31, 2019 Trade receivables — 5,047 7,976 1,993 15,016 Total — 5,047 7,976 1,993 15,016 As of December 31, 2018 Trade receivables 3,870 564 81 24,563 29,078 Total 3,870 564 81 24,563 29,078 (c) Management administrates its exposure to liquidity risk through financing from internal operations, Company’s partners and maintaining good relationships with local and foreign banks in order to maintain adequate levels of credit available. The Company currently has no existing bank lines of credit. The following table represents the analysis of the Company’s financial liabilities, considering the remaining period to reach such maturity as of the consolidated statement of financial position date (see notes 11 and 12): 2019 2018 Less than 1 year Less than 1 year US$(000) US$(000) Trade accounts payable 45,671 48,847 Accounts payable to related parties 11,426 10,846 Lease liabilities 290 — 57,387 59,693 (d) The Company’s objectives for managing capital are to safeguard the Company’s ability to continue as a going concern in order to provide expected returns for partners and benefits for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital. The Company manages its capital structure and makes adjustments to meet the changing economic market conditions. The Company's policy is to fund all projects of short and long term with their own operating resources. To maintain or adjust the capital structure, the Company may change the policy of paying dividends to shareholders, return capital to shareholders or issue new shares. No formal dividend policy exists. (e) Fair value accounting establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). As required by accounting guidance, assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assets that are measured at fair value on a recurring basis (at least annually) correspond to the San José Reservoir Trust assets and the accounts receivable from the sales of copper and silver concentrate subject to provisional pricing. The Company’s San José Reservoir Trust assets are made up of marketable equity and debt securities that are valued using quoted market prices in active markets and as such are classified within Level 1 of the fair value hierarchy. The fair value of the marketable equity securities is calculated as the quoted market price of the marketable equity security multiplied by the quantity of shares held by the Company. There were no transfers between Level 1and Level 2 during 2019. The Company’s impairment loss is valued using valuation techniques to determine the WACC rate. These valuation techniques maximize the use of observable market data where it is available and rely as little as possible on entity specific estimates as such is classified within Level 2 of the fair value hierarchy. Carrying value versus fair value Set out below is a comparison of the carrying amount and fair value of the Company’s financial instruments, other than those which carrying amounts are reasonable approximation of fair value: Carrying amount Fair value 2019 2018 2019 2018 US$(000) US$(000) US$(000) US$(000) Financial assets: Cash and cash equivalents 818,503 723,208 818,503 723,208 Trade and other receivables, net 15,016 29,078 15,016 29,078 Restricted cash 48,617 48,127 50,353 48,601 Financial assets at fair value 23,648 23,290 23,648 23,290 905,784 823,703 907,520 824,177 Carrying amount Fair value 2019 2018 2019 2018 US$(000) US$(000) US$(000) US$(000) Financial liabilities: Trade and other payables 76,484 83,464 76,484 83,464 Provisions and other accruals 596 — 596 — Debt instrument 43,927 42,430 43,927 42,430 121,007 125,894 121,007 125,894 Management assessed that the fair values of cash and short-term deposits, trade receivables, trade payables and other current liabilities approximate their carrying amounts largely due to short-term maturities of these instruments. Trade receivables subject to provisional pricing are already carried at fair value. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of financial risk management objectives and policies [Line Items] | |
Financial - risk management objectives and policies | 21. Financial risk management The Company’s activities are exposed to different financial risks. The main risks that could adversely affect the Company’s financial assets and liabilities or future cash flows are: the risk arising from changes in market prices of minerals, interest rate risk, credit risk and capital risk. The Company’s financial risk management program focuses on mitigating potential adverse effects on its financial performance. Management knows the conditions prevailing in the market and based on its knowledge and experience, manages the risks that are summarized below. The Company’s Board of Directors reviews and approves the policies to manage each of these risks: (a) Commodity price risk - The international price of copper has a significant impact on the Company’s operating results. The price of copper has fluctuated historically and is affected by numerous factors beyond the Company’s control. The Company does not hedge its exposure to price fluctuation. As described in Note 2(d), the Company has price risk through its provisionally priced sales contracts, which provide final pricing in a specified future month (generally three months from the shipment date) based primarily on quoted LME monthly average prices. The Company records revenues and invoices customers at the time of shipment based on then-current LME prices, which results in an embedded derivative on the provisionally priced contract that is adjusted to fair value through revenues each period, using the period-end forward prices, until the date of final pricing. To the extent that final prices are higher or lower than what was recorded on a provisional basis, an increase or decrease to revenues is recorded each reporting period until the date of final pricing (see Note 22). The table below summarizes the estimated impact on the Company’s profit before income tax for the year 2019, 2018 and 2017 based on a 10% increase or decrease in future copper price while all other variables are held constant. The 10% increase is based on copper prices ranging from US$/pound 2.865 to US$/pound 3.085 (US$/pound 2.974 to US$/pound 2.979 for the year 2018 and US$/pound 3.602 to US$/pound 3.627 for the year 2017), and the 10% decrease is based on copper prices ranging from US$/pound 2.344 to US$/pound 2.524 (US$/pound 2.433 to US$/pound 2.437 for the year 2018 and US$/pound 2.947 to US$/pound 2.967 for the year 2017)). Effect on profit before income tax US$(000) December 31, 2019 10% increase in future copper prices 99,219 10% decrease in future copper prices (99,219) Effect on profit before income tax US$(000) December 31, 2018 10% increase in future copper prices 72,847 10% decrease in future copper prices (72,847) Effect on profit before income tax US$(000) December 31, 2017 10% increase in future copper prices 83,955 10% decrease in future copper prices (83,955) Exchange rate risk - As described in Note 2(c), the Company’s financial statements are presented in US dollars, which is the functional and presentation currency of the Company. The Company’s exchange-rate risk arises mainly from balances related to tax payments, deposits and other accounts payable in currencies other than the US dollar, principally soles. The Company mitigates its exposure to exchange-rate risk by carrying out almost all of its transactions in its functional currency and management maintains only small amounts in soles to cover its immediate needs (i.e., taxes and compensation) in this currency. (b) Liquidity risk arises from situations in which cash might not be available to pay obligations at their maturity date and at a reasonable cost. The Company maintains adequate liquidity by properly managing the maturities of assets and liabilities in such a way that allows the Company to maintain a structural liquidity position (cash available) enabling it to meet liquidity requirements. Additionally, the Company has the ability to obtain funds from financial institutions and shareholders to meet its contractual obligations. The following tables show the expected aging of maturity of the Company’s obligations, excluding taxes and accruals, as of December 31, 2019 and 2018: On demand Less than 3 months 3 to 12 months 1 to 5 years More than 5 years Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) As of December 31, 2019 Trade accounts payable — 224,675 245 — — 224,920 Accounts payable - related parties — 4,014 — 10,074 — 14,088 Other financial liabilities — 3 8,852 825,877 76,943 911,675 Other accounts payable — 40,357 59,023 72,759 289,705 461,844 Total — 269,049 68,120 908,710 366,648 1,612,527 As of December 31, 2018 Trade accounts payable — 231,080 56 — — 231,136 Accounts payable - related parties — 6,014 — 8,860 14,874 Other financial liabilities — — — 1,022,810 1,022,810 Other accounts payable — 7,472 93,782 183,824 31,246 316,324 Total — 244,566 93,838 1,215,494 31,246 1,585,144 (c) The Company’s exposure to credit risk arises from a customer’s inability to pay amounts in full when they are due and the failure of third parties in cash and cash equivalent transactions. The risk is limited to balances deposited in banks and financial institutions and for trade accounts receivable at the date of the statements of financial position (the Company sells copper concentrate and cathode and molybdenum concentrate to companies widely recognized in the worldwide mining sector and collections are made within 30 days after the fulfilment of the contractual terms). To manage this risk, the Company has established a treasury policy, which only allows the deposit of surplus funds in highly rated institutions, by establishing conservative credit policies and through a constant evaluation of market conditions. Consequently, the Company does not expect to incur losses on accounts involving potential credit risk. (d) The objective is to safeguard the Company’s ability to continue as a going concern in order to provide returns for shareholders, benefits for stakeholders and maintain an optimal structure that would reduce the cost of capital. The Company manages its capital structure, and makes adjustments to it, in light of changes in economic conditions. To maintain or adjust the capital structure, the Company controls dividend payments to shareholders, the return of capital to shareholders and the issuance of new shares. No changes were made to the objectives, policies or processes during the year ended December 31, 2019. |
Selling Expenses
Selling Expenses | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of Selling Expenses [Line Items] | |
Selling Expenses | 16. Selling Expenses This item is made up of as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Concentrate freight 98,933 126,670 131,528 Commissions 5,588 6,048 6,029 Cathode freight 1,890 1,831 1,665 Other 3,072 2,459 2,447 109,483 137,008 141,669 |
Other operating expenses
Other operating expenses | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure Other operational expenses [Line Items] | |
Other operating expenses | 17. Other operating expenses This item is made up as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Optimization and prefeasibility/feasibility studies (a) — Fines and penalties (b) — — Tax contingencies (c) — Royalties, ITAN and penalties (d) — 55,088 243,798 Other expenses 2,895 2,434 15,028 38,116 68,683 258,826 (a) For the year ended December 31, 2019, represents charges related to projects for the optimization of the Company's operating processes. (b) Primarily represents land rights penalties with INGEMMET (US$6.8 million), SUNAT penalties related to 2012 income tax audit (US$4.7 million) and OSINERGMIN fines (US$2.7 million). (c) Primarily represents non-income tax contingencies related to SUNAT assessments for prior years. (d) Primarily represents penalties for income tax related to disputed mining royalties for the year 2006 through the year 2011 of US$33.8 million, penalties on disputed mining royalties for the period January 2009 through December 2013 of US$17.7 million and profit sharing adjustments related to GEM refund of US$3.6 million. For the year ended December 31, 2017, represents disputed royalties for the period December 2006 through September 2011 of US$174.8 million, ITAN for the years 2009 to 2013 of US$33.6 million, profit sharing adjustments related to mining royalties of US$29.2 million and penalties on disputed royalties for the period December 2006 through the year 2008 of US$6.2 million. Disputed royalties and special mining taxes for the period October 2011 through the year 2013 were recognized in “income tax expense” in the statements of comprehensive income. |
Financial expenses
Financial expenses | 12 Months Ended |
Dec. 31, 2019 | |
Financial expenses | |
Financial expenses | 18. Financial expenses This item is made up as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Interest on mining royalties (a) 68,107 370,159 144,815 Interest on senior unsecured credit facility (see Note 10(b)) 39,083 49,551 44,678 Interest for leases (see Note 10(a)) 5,242 — — Amortization debt issuance cost 1,768 2,419 4,479 Extinguishment debt - debt issuance cost (see Note 10(b)) 1,299 1,902 6,266 Interest on shareholder loans — — 7,992 Capitalized Interest (4,504) (3,790) (2,252) Other financial expenses 4,882 6,492 10,934 115,877 426,733 216,912 (a) For the year ended December 31, 2019, primarily represents charges of interest related to the installment payment programs for SMT for the period October 2011 through December 2013 and disputed mining royalties for the period December 2006 through September 2011 and for the years 2012 and 2013 of US$53.6 million. Amount also includes interest associated with (i) ITAN for the years 2010, 2011 and 2013 of US$10.4 million, (ii) other taxes related to disputed mining royalty of US$2.9 million and (iii) disputed mining royalties for the period October 2011 through December 2011 of US$1.2 million. For the year ended December 31, 2018, represents (i) interest and interest on penalties associated to disputed mining royalties for the year 2009 through the year 2013 of US$218.7 million, (ii) income tax related to disputed mining royalties for the year 2006 through the year 2011 of US$75.7 million, (iii) SMT for the year 2011 through the year 2013 of US$51.0 million, (iv) ITAN for the years 2009, 2010, 2011 and 2013 of US$12.1 million, (v) interest paid on the royalty installment payment program for the year 2006 through the year 2008 of US$6.1 million, (vi) deferral interest related to the new royalty installment payment programs for the period January 2009 through the period September 2011 of US$5.3 million and (vii) interest of amended tax return for the year 2013 for GEM refund of US$1.3 million. For the year ended December 31, 2017, represents financial expenses related to interest on royalties, interest paid on the royalty installment payment program and interest on royalty penalties for the period December 2006 through the year 2008 of US$141.7 million and interest on ITAN 2012 of US$3.1 million. |
Financial Income
Financial Income | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Financial Income | 19. Financial Income This item is made up as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Special Mining Burden (GEM) (a) — 18,574 — Other financial income 10,356 9,515 5,350 10,356 28,089 5,350 (a) Represents interest related to the GEM refund from the period October 2012 through December 2013. |
Earnings per share
Earnings per share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings per share | |
Earnings per share | 20. Earnings per share Basic and diluted earnings per share are calculated by dividing earnings by the weighted-average number of outstanding shares during the period. Basic and diluted earnings per common share have been determined as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$ US$ US$ Profit for the period (US$) 390,377,000 119,710,000 349,881,000 Weighted average number of share outstanding (Note 12(a)) 350,056,012 350,056,012 350,056,012 Basic and diluted earnings per share (US$) 1.115 0.342 1.000 |
Summary of significant differen
Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles | 12 Months Ended |
Dec. 31, 2019 | |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles [Line Items] | |
Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles | 24. Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles The Company’s financial statements have been prepared in accordance with International Financial Reporting Standards which differs in certain respects from U.S. GAAP. The effects of these differences are reflected in note 25 and are principally related to the items discussed in the following paragraphs: (a) Under IFRS, the Company estimates the recoverable amount of an asset whenever there is an indication that the asset may be impaired. The recoverable amount is the higher of the fair value less costs of disposal and its value in use. Value in use is the present value of the future cash flows expected to be derived from an asset or cash-generating unit. Impairment loss previously recorded is reversible in subsequent periods under certain conditions. Under IFRS, the Company recorded in 2013 and 2016 an impairment loss related to its Conga and Yanacocha CGU for US$1,126 million and US$1,342 million, respectively. In 2019, 2018 and 2017, the Company did not recognize any impairment loss. Under US GAAP, the Company used undiscounted cash flows to perform an impairment evaluation. In 2019, 2018 and 2017, no impairment indicators were identified for its Yanacocha and Conga CGU. In 2016, the Company recorded an impairment loss related to its Yanacocha CGU for US$933.2 million. For reconciling the net income/loss and net equity from US GAAP to IFRS, the Company eliminates the higher depreciation recorded under US GAAP corresponding to the impaired assets under IFRS. (b) Under IFRS, the stripping costs in the production phase of a surface mine are accounted according to the accounting principles disclosed in note 2, consequently the stripping activity asset is capitalized as stripping activity asset and has an impact in the depreciation expense. Under U.S. GAAP, the costs of clearing removal (stripping cost of production) incurred during the production stage are recorded as part of the production cost of inventories, accordingly, such costs are recorded on the income statement at an earlier time than IFRS. (c) Under IFRS, the liability is measured in accordance with IAS 37 and IFRIC 1. Upward and downward revisions in the amount of undiscounted estimated cash flows are discounted using the current market-based discount rate (this includes changes in the time value of money and the risks specific to the liability), see note 2.4(k). Under IFRS, the Company updates the discount rate used to discount its liability at the closing date, this change in the discount rate has an impact (increase/decrease) in the asset retirement cost and reclamation liability. Under US GAAP, upward revisions in the amount of undiscounted estimated cash flows are discounted using the current credit-adjusted risk-free rate. Downward revisions in the amount of undiscounted estimated cash flows are discounted using the credit-adjusted risk-free rate that existed when the original liability was recognized. Under US GAAP, there are no requirements of update the discount rate. (d) Under IFRS, the cost of inventory mainly includes a lower depreciation as a result of the reduced value of property, plant and equipment due to the impairments recorded in prior years, the impact of the stripping activity asset and workers' profit sharing. Under US GAAP, the cost of inventory is affected by a different depreciation since the impairment recognized under US GAAP is different than the one recognized under IFRS. According to US GAAP, the workers' profit sharing is excluded of the inventory costing. (e) Under IFRS, a provision is recognized when: An entity has a present obligation (legal or constructive) as a result of a past event. It is probable that an outflow of resources will be required to settle the obligation. A reliable estimate of the obligation can be made. For the purposes of IAS 37, “probable” is defined as more likely than not and refers to a probability of greater than 50%. Under US GAAP, a loss contingency is recognized if both of the following conditions are met: It is probable (likely to occur) that an asset had been impaired or a liability has been incurred. The amount of loss can be reasonably estimated. The meaning of “probable” under ASC 450 is “the future event or events are likely to occur” (generally interpreted as between 70%‑80%). (f) Under IFRS, the shares held by Sumitomo (see note 13) meet the definition of a compound instrument according to IAS 32. As a result, it is classified as a liability (with a portion recorded to equity) until the option expires, in which case it will be required to be classified it as equity. There is no gain or loss on conversion at maturity. In the case the option is executed, both the liability and the equity would be reversed with a credit to cash. Under USGAAP, the shares held by Sumitomo are classified as temporary equity – contingently redeemable non-controlling interest (“CRNCI”) according ASC 480‑10‑S99‑3A; as a long as the option is not expired or it is exercised the CRNCI is recorded at fair value of inception which was determined to be equal to the purchase price. (g) Under IFRS, the settlement after the reporting period of a court case that confirms that the entity had a present obligation at the end of the reporting period is an adjusting event after the reporting period. During 2019, the Company recognized a liability in tax payable, interest and fines for US$29 million related to a court case in accordance with IAS 37 Provisions, Contingent Liabilities and Contingent Assets, including the amount of the income tax to pay and the additional penalties and interests. See Note 21. Under USGAAP, a change in facts after the reporting date but before the financial statements are issued or are available in relation to a tax position which is effectively settled through litigat ion shall be recognized in the period in which the change in facts occurs, therefore the Company recognized the tax claim in the first quarter of 2020. (h) The differences between US GAAP and IFRS are re-measurements that lead to different temporary differences. The Company has to account for such differences. As the Company does not recognize deferred income tax assets, there is no differences to reconcile. (i) Deferred workers' profit sharing - Under IFRS, the worker's profit sharing is calculated based on the Company's taxable income and is recorded as an employee benefit (cost of production or administrative expenses, depending on the function of the workers). Under US GAAP, the workers' profit sharing is treated in a similar way as income tax since both are calculated based on the Company's taxable income. Therefore, the Company calculates a deferred workers' profit sharing resulting from the taxable and deductible and deductible temporary differences. As the Company does not recognize deferred workers' profit sharing assets in USGAAP, there is no differences to reconcile. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles [Line Items] | |
Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles | 24. Summary of significant differences between accounting principles followed by the Company and U.S. generally accepted accounting principles The Company’s financial statements have been prepared in accordance with International Financial Reporting Standards which differs in certain respects from U.S. GAAP. The effects of these differences are reflected in note 25 and are principally related to the items discussed in the following paragraphs: (a) Stripping Cost – IFRIC 20 Under IFRS, the stripping cost of production that is necessary to produce the inventory is recorded as cost of production, while the one that allows access to additional amounts of reserves to be exploited in future periods are capitalized and amortized based on proved and probable reserves of each ore body (component) identified in the open pit. Under U.S. GAAP, the costs of clearing removal (stripping cost of production) incurred during the production stage are recorded as part of the production cost of inventories. (b) Inventories Under IFRS, the cost inventory includes: the amortization of production-stripping costs and the inventories are determined using the weighted average method. Under U.S. GAAP, the cost inventory excludes the amortization of production-stripping cost and the inventories are determined using the LIFO method. (c) Deferred workers’ profit sharing Under IFRS, the workers’ profit sharing is calculated based on the Company’s taxable income and is recorded as an employee benefit (cost of production or administrative expense, depending on the function of the workers). Under US GAAP, the workers’ profit sharing is treated in a similar way as income tax since both are calculated based on the Company’s taxable income. Therefore, the Company calculates a deferred workers’ profit sharing resulting from the taxable and deductible temporary differences. (d) Deferred income tax – The differences between US GAAP and IFRS are re-measurements that lead to different temporary differences. According to the accounting policies in Note 2 (l), the Company has to account for such differences. |
Reconciliation between net inco
Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |
Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP | 25. Reconciliation between net income and shareholders' equity determined under IFRS and U.S. GAAP The following is a summary of the main adjustments to net income for the years ended December 31, 2019, 2018 and 2017 and to shareholders' equity as of December 31, 2019, 2018 and 2017 that would be required if U.S. GAAP had been applied instead of IFRS in the financial statements: 2019 2018 2017 US$(000) US$(000) US$(000) Net profit under IFRS Items increasing (decreasing) reported net profit: Stripping activity asset, net of amortization Inventories valuation Asset retirement obligation Deferred workers´ profit sharing Deferred income tax Other ________ ________ ________ Net income under U.S. GAAP ________ ________ ________ 2019 2018 2017 US$(000) US$(000) US$(000) Shareholders’ equity under IFRS Items increasing (decreasing) reported shareholder’s equity: Stripping activity asset, net of amortization Inventories valuation Asset retirement obligation Deferred workers´ profit sharing Deferred income tax Other __________ __________ __________ Shareholders’ equity under U.S. GAAP __________ __________ __________ |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |
Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP | 25. Reconciliation between net income and Partners’ Equity determined under IFRS and U.S. GAAP The following is a summary of the adjustment to net income for the years ended December 31, 2019, 2018 and 2017, and to partners’ equity as of December 31, 2019, 2018 and 2017 that would be required if U.S. GAAP had been applied instead of IFRS in the consolidated financial statements: 2019 2018 2017 US$(000) US$(000) US$(000) Income (loss) under U.S. GAAP 3,316 (69,068) (131,243) Items increasing (decreasing) reported net profit: Reversal of depreciation of assets impaired under IFRS, note 24(a) 205,653 320,424 294,454 Reversal of depreciation of assets impaired under USGAAP, note 24(a) (204,276) (254,006) (237,906) Stripping activity asset, note 24(b) (7,533) (18,227) (6,360) Reclamation and mine closure, note 24(c) (54,873) 20,537 (76,963) Asset retirement costs, note 24(c) (14,504) (89,280) (35,911) Inventories, note 24(d) 7,740 10,217 17,169 Contingencies, note 24(e) — (1,228) — Debt instrument interest, note 24(f) (1,497) (735) — Recognition of account receivable to tax authority — — 2,405 Interest regarding tax claim, note 24(g) (16,839) — — Income tax payable, including fines, note 24(g) (12,168) — — Others (276) (151) (1,099) (98,573) (12,449) (44,211) Loss under IFRS (95,257) (81,517) (175,454) 2019 2018 2017 (i) US$(000) US$(000) US$(000) Partners' equity under U.S. GAAP 1,666,382 1,661,800 1,683,047 Items increasing (decreasing) reported Partners' equity: Impairment loss for IFRS, note 24(a) (2,469,188) (2,469,188) (2,469,188) Reversal of depreciation of assets impaired under IFRS, note 24(a) 1,200,337 994,684 674,260 Elimination of impairment loss recorded under U.S. GAAP, note 24(a) 933,200 933,200 933,200 Reversal of depreciation of assets impaired under U.S. GAAP note 24(a) (696,188) (491,912) (237,906) Stripping activity asset, note 24(b) 8,240 15,773 34,000 Asset retirement cost, note 24(c) 59,160 1,026 84,671 Reclamation and mine closure, note 24(c) (139,834) (12,323) (27,225) Inventories, note 24(d) 4,837 (2,903) (13,120) Debt instruments, note 24(f) (43,927) (42,430) — Contingencies, note 24(e) (1,228) (1,228) — Income tax payable contingency, including fines note 24(g) (12,168) — — Interest regarding tax claim, note 24(g) (16,839) — — Others (3,072) (2,776) (2,624) (1,176,679) (1,078,077) (1,023,932) Partners' equity under IFRS 489,712 583,723 659,115 |
New U.S. GAAP Accounting Pronou
New U.S. GAAP Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2019 | |
Minera Yanacocha SRL and subsidiary [Member] | |
New U.S. GAAP Accounting Pronouncements [Line Items] | |
New USGAAP Accounting Pronouncements | 26. New USGAAP Accounting Pronouncements Recently Issued Accounting Pronouncements - Leases – In February 2016, Accounting Standard Update - “ASU” No. 2016‑02 was issued related to leases. This new guidance modifies the classification criteria and requires leases to recognize the assets and liabilities arising from most leases on the balance sheet. This update is effective in fiscal years, including interim periods, beginning after December 15, 2018 and early adoption is permitted. The Company adopted this standard on 1 January 2019, no differences were noted to IFRS. In June 2016, Financial Accounting Standards Board- “FASB” issued an ASU that changes the impairment model for most financial assets and certain other instruments, and will also require expanded disclosures. Under the expected credit loss (CECL) model, entities will be required to recognize an estimate of credit losses expected to occur over the remaining life of the financial assets, including estimating future economic conditions and the effect those conditions have on expected credit losses. For public entities, this ASU is effective for interim and annual reporting periods beginning after December 15, 2019, with early adoption permitted. The provisions of the ASU must be applied as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. The Company is currently evaluating the impact this ASU will have on its financial statements. In August 2018, FASB issued an ASU that aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with those for capitalizing implementation costs incurred to develop or obtain internal use software. For public entities, this ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years, with early adoption permitted. This ASU must be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company is currently evaluating the impact this ASU will have on its financial statements. In August 2018, FASB issued an ASU makes minor changes to the disclosure requirements for employers that sponsor defined benefit pension and/or other postretirement benefit plans. For public entities, this ASU is effective for fiscal years ending after December 15, 2020, with early adoption permitted. This ASU must be applied on a retrospective basis to all periods presented. The Company is currently evaluating the impact this ASU will have on its financial statements. In December 2019, FASB issued an ASU that simplifies the accounting for income taxes by eliminating certain exceptions related to the approach for intra-period tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. For public entities, this ASU is effective for fiscal years ending after December 15, 2020, and interim periods within those fiscal years, with early adoption permitted, including adoption in an interim period. This ASU must be applied on a retrospective basis to all periods presented. The Company is currently evaluating the impact this ASU will have on its financial statements. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
New U.S. GAAP Accounting Pronouncements [Line Items] | |
New USGAAP Accounting Pronouncements | 26. New U.S. GAAP Accounting Pronouncements In June 2016, FASB issued an ASU that changes the impairment model for most financial assets and certain other instruments, and will also require expanded disclosures. Under the expected credit loss (CECL) model, entities will be required to recognize an estimate of credit losses expected to occur over the remaining life of the financial assets, including estimating future economic conditions and the effect those conditions have on expected credit losses. For public entities, this ASU is effective for interim and annual reporting periods beginning after December 15, 2019, with early adoption permitted. The provisions of the ASU must be applied as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. The Company is currently evaluating the impact this ASU will have on its financial statements. In August 2018, FASB issued an ASU that aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with those for capitalizing implementation costs incurred to develop or obtain internal use software. For public entities, this ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years, with early adoption permitted. This ASU must be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company is currently evaluating the impact this ASU will have on its financial statements. In August 2018, FASB issued an ASU makes minor changes to the disclosure requirements for employers that sponsor defined benefit pension and/or other postretirement benefit plans. For public entities, this ASU is effective for fiscal years ending after December 15, 2020, with early adoption permitted. This ASU must be applied on a retrospective basis to all periods presented. The Company is currently evaluating the impact this ASU will have on its financial statements. In December 2019, FASB issued an ASU that simplifies the accounting for income taxes by eliminating certain exceptions related to the approach for intra-period tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. For public entities, this ASU is effective for fiscal years ending after December 15, 2020, and interim periods within those fiscal years, with early adoption permitted, including adoption in an interim period. This ASU must be applied on a retrospective basis to all periods presented. The Company is currently evaluating the impact this ASU will have on its financial statements. |
Fair value measurement
Fair value measurement | 12 Months Ended |
Dec. 31, 2019 | |
Hierarchy and fair value of financial instruments [Line Items] | |
Fair value measurement | 34. Fair value measurement Fair value disclosure of assets and liabilities according to its hierarchy - The following table provides the fair value measurement hierarchy of the Group’s assets and liabilities: Fair value measurement using: Quoted prices in active Observable Unobservable markets inputs inputs Total (Level 1) (Level 2) (Level 3) US$(000) US$(000) US$(000) US$(000) As of December 31, 2019- Assets and liabilities measured at fair value: Fair value of account receivable 165,546 — 165,546 — Contingent consideration liability 16,410 — — 16,410 Hedge instruments — — — — As of December 31, 2018 - Assets and liabilities measured at fair value: Fair value of account receivable 107,549 — 107,549 — Contingent consideration liability 15,755 — — 15,755 Hedge instruments 2,759 — 2,759 — Financial instruments whose fair value is similar to their book value – For financial assets and liabilities such as cash and cash equivalents, trade and other receivables, trade and other payables that are liquid or have short-term maturities (less than three months), it is estimated that their book value is similar to their fair value. The derivatives are also recorded at the fair value so that differences do not need to be reported. The fair value of account receivable is determined using valuation techniques with information directly observable in the market (future metal quotations). Financial instruments at fixed and variable rates - The fair value of financial assets and liabilities at fixed and variable rates at amortized cost is determined by comparing the market interest rates at the time of their initial recognition to the current market rates with regard to similar financial instruments. The estimated fair value of deposits that accrue interest is determined by means of cash flows discounted using the prevailing market interest rates in the currency with similar maturities and credit risks. Based on the foregoing, there are no important existing difference between the value in books and the fair value of the assets and financial liabilities as of December 31, 2019 and 2018. There were no transfers between Level 1and Level 2 during 2019. During 2019 and 2018, the fair value of the investment property amounted to US$544,000. There is not an independent valuation for investment property. |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Hierarchy and fair value of financial instruments [Line Items] | |
Fair value measurement | 23. Hierarchy and fair value of financial instruments Hierarchy: As of December 31, 2019 and 2018, the only financial assets carried at fair value are embedded derivatives, included in trade accounts receivable and related parties, which are generated by the sale of copper and molybdenum and measured at fair value based on commodity prices. The net value of this embedded derivative as of December 31, 2019, was an asset of US$36.7 million (liability of US$20.1 million as of December 31, 2018). Embedded derivatives are categorized within Level 2 of the hierarchy. The fair value of embedded derivatives is determined using valuation techniques using information directly observable in the market (forward prices of metals). Fair value: Financial instruments whose fair value is similar to their book value - For financial assets and liabilities which are liquid or have short-term maturity (less than three months), such as cash and cash equivalent, accounts receivable, other accounts receivable, accounts payable, other accounts payable, and other current liabilities, it is estimated that their book value is similar to their fair value. Financial instruments at fixed and variable rates - Financial assets and liabilities with fixed or variable rates are recorded at amortized cost and fair value is determined by comparing the market interest rates at the time of their initial recognition to the current market rates with regard to similar financial instruments. Based on the foregoing, there are no significant differences between book value and fair value of financial instruments (assets and liabilities) as of December 31, 2019 and 2018. |
Events after the reporting peri
Events after the reporting period | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of Subsequent Event [Line Items] | |
Events after the reporting period | 35. Events after the reporting period COVID-19 (Corona Virus Disease 2019) Our operations are subject to risks related to outbreaks of infectious diseases. For example, the recent outbreak of coronavirus COVID-19, a virus causing potentially deadly respiratory tract infections originating in China, has already and will continue to negatively cause further volatility in prices of precious metals. Additionally, a severe market disruption will likely entail decreased demand for our products and otherwise impact our operations and the operations of our customers, suppliers and other stakeholders. The Peruvian Government has issued a series of executive decrees declaring a national emergency and significantly restricting general circulation throughout the country. In accordance with these restrictions and within the framework of the Company’s pandemic response plan, we have limited our operations to those which are strictly necessary to ensure that our mine pumping systems, water treatment plants, energy supply, hydroelectric substations, health services and overall minimum safety conditions remain in place. Other than in respect of these minimum back-up operations, as of the date of this annual report, our mining processing facilities are completely halted. The company intends to immediately resume operations once it receives notice from the authorities that restrictions have been lifted. The ultimate severity of the Coronavirus outbreak is uncertain at this time and therefore we cannot predict the impact it may have on the world, the Peruvian economy, international financial markets, or ultimately on our financial condition, results of operations, production, sales, margins and cash flow from operations, our access to debt markets, covenants compliance, asset impairments, among others. Syndicated Term Loan On April 2, 2020, we entered into a second amendment to the Syndicated Term Loan, pursuant to which, as of the date of this annual report, borrowings under the Syndicated Term Loan bear interest at a rate per annum equal to LIBOR plus 1.90%. Principal under the Syndicated Term Loan shall be payable in five consecutive and semi-annual installments of US$41,250,000 beginning in October 2022 and one final payment of US$68,750,000 in April 2025 (on which date all amounts outstanding shall be payable). |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of Subsequent Event [Line Items] | |
Events after the reporting period | 27. Subsequent Event Subsequent to December 31, 2019, the COVID-19 outbreak has had a material impact on the global economy, the scale and duration of which remain uncertain. Depending on the length of time and extent, this could materially impact the Company results of operations, cash flows and financial condition. |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of Subsequent Event [Line Items] | |
Events after the reporting period | 27. Subsequent Event In early February 2020, the Peru Supreme Court issued its conclusion, whereby the Company received notification of an unfavorable result in the Tax Dispute related to the amortization of contractual rights, see note 21 Tax Contingencies, “Tax Dispute related to the amortization of contractual rights” for which it recorded a liability in tax payable for US$8 million and in addition recorded interest and fines for US$16.8 and US$4 million; respectively, in the consolidated financial statements as of December 31, 2019, see notes 15(f) and note 20. Subsequent to December 31, 2019, the COVID-19 outbreak has had a material impact on the global economy, the scale and duration of which remain uncertain. Depending on the length of time and extent of the impact which could include potential mine closures, gold price volatility or supply chain disruption, this could materially impact the Company results of operations, cash flows and financial condition. |
Basis for preparation, consol_2
Basis for preparation, consolidation and accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Basis for preparation, consolidation and accounting policies | |
Basis of consolidation | 2.2. Basis of consolidation - The consolidated financial statements comprise the financial statements of the Company and its subsidiaries to the date of the consolidated statements of financial position. Control is achieved when the Group is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Specifically, the Group controls an investee if, and only if, the Group has: - - - Generally, there is a presumption that a majority of voting rights result in control. To support this presumption and when the Group has less than a majority of the voting or similar rights of an investee, the Group considers all relevant facts and circumstances in assessing whether it has power over an investee, including: - - - The Group re-assesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control. Consolidation of a subsidiary begins when the Group obtains control over the subsidiary and ceases when the Group loses control of the subsidiary. Assets, liabilities, income and expenses of a subsidiary acquired or disposed of during the year are included in the consolidated financial statements from the date the Group gains control until the date the Group ceases to control the subsidiary. Profit or loss and each component of other comprehensive income are attributed to the equity holders of the parent of the Group and to the non-controlling interests, even if this results in the non-controlling interests having a deficit balance. When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with the Group’s accounting policies. All intra-group assets and liabilities, equity, income, expenses and cash flows relating to transactions between members of the Group are eliminated in full on consolidation. A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. If the Group loses control over a subsidiary, it derecognizes the related assets (including goodwill), liabilities, non-controlling interest and other components of equity, while any resultant gain or loss is recognized in profit or loss. Any investment retained is recognized at fair value. |
Changes in accounting policies and disclosures | 2.3. Changes in accounting policies and disclosures - The Group applied the following standards and amendments for the first time for their annual reporting period commencing January 1, 2019: - - - The Group had to change its accounting policies as a result of adopting IFRS 16. The other amendments listed above did not have any impact on the amounts recognized in prior periods. Several other amendments and interpretations apply for the first time in 2019; but do not have an impact on the consolidated financial statements of the Group and therefore, have not been disclosed. The Group has not early adopted any standards, interpretations or amendments that have been issued but are not yet effective. IFRS 16 Leases - The Group adopted IFRS 16 Leases from January 1, 2019, but has not restated comparatives for the 2018 reporting period, as permitted under the specific transition provisions in the standard. The reclassifications and the adjustments arising from the new leasing rules are therefore recognized in the opening statement of financial position as of January 1, 2019. On adoption of IFRS 16, the Group recognized lease liabilities in relation to leases that had previously been classified as ‘operating leases’ under the principles of IAS 17 Leases. These liabilities were measured at the present value of the remaining lease payments, discounted using the lessee’s incremental borrowing rate as of January 1, 2019 (the weighted average incremental borrowing rate at transition was 5% per annum). The effect of adopting IFRS 16 is as follows: Impact on the consolidated statement of financial position (increase / (decrease)) – As of As of December 31, January 1, 2019 2019 US$(000) US$(000) Assets Mining concessions, development costs, right-of-use asset, property, plant and equipment, net 6,185 18,528 Deferred income tax asset, net 390 400 Total assets 6,575 18,928 Liabilities Financial obligations 7,503 19,885 Total liabilities 7,503 19,885 Shareholders’ equity, net Retained earnings (928) (957) Total shareholders’ equity, net (928) (957) Impact on the consolidated statement of profit or loss (income / (expense)) – As of December 31, 2019 US$(000) Operating costs Cost of sales of goods, excluding depreciation and amortization Depreciation and amortization (6,751) Total operating costs (760) Operating profit Administrative expenses 272 Others, net 155 Total operating profit 427 Other income (expense), net Finance costs 379 Profit (loss) before income tax 46 Impact on the consolidated statement of cash flows (increase / (decrease)) – 2019 US$(000) Short-term and low-value lease payments (24,175) Net cash flows used in operating activities (24,175) Short-term lease payments (7,596) Net cash flows used in financial activities (7,596) Practical expedients applied – In applying IFRS 16 for the first time, the Group used the following practical expedients permitted by the standard: i) applying a single discount rate to a portfolio of leases with reasonably similar characteristics, ii) accounting for operating leases with a remaining lease term of less than 12 months as at January 1, 2019 as short-term leases, iii) using hindsight in determining the lease term where the contract contains options to extend or terminate the lease. The Group also elected the transition practical expedient to not to reassess whether a contract is, or contains a lease at the date of initial application. Instead, for contracts entered into before the transition date the Group relied on its assessment made applying IAS 17 and IFRIC 4. Below is a reconciliation between the balance of assets and liabilities as of January 1, 2019 under IFRS 16 compared with operating leases under IAS 17 as of December 31, 2018: US$(000) Operating lease commitments disclosed as of December 31, 2018 7,330 New operating leases commitments under IFRS 16 16,221 Exceptions: - Short-term leases not recognized as a liability (547) - Low-value leases not recognized as a liability (3,119) Additional lease liability recognized as of January 1, 2019 19,885 Plus: Lease liability already recognized as of December 31, 2018 241,653 Lease liability as of January 1, 2019 261,538 Lessor accounting under IFRS 16 is substantially unchanged from IAS 17, therefore the Group did not need to adjust the accounting for assets held as lessor under operating leases, as a result of the adoption of IFRS 16. Interpretation 23 Uncertainty over Income Tax Treatments The Interpretation addresses the accounting for income taxes when tax treatments involve uncertainty that affects the application of IAS 12 Income Taxes. It does not apply to taxes or levies outside the scope of IAS 12, nor does it specifically include requirements relating to interest and penalties associated with uncertain tax treatments. The Interpretation specifically addresses the following: - - - - The Group determines whether to consider each uncertain tax treatment separately or together with one or more other uncertain tax treatments and uses the approach that better predicts the resolution of the uncertainty. The Group applies significant judgement in identifying uncertainties over income tax treatments. The Group assessed whether the Interpretation had an impact on its consolidated financial statements. Upon adoption of the Interpretation, the Group considered whether it has any uncertain tax positions and concluded that it is probable that the taxation authorities will accept its tax treatments. The effect of adopting IFRIC 23 is a follow: Impact on the consolidated statement of financial position (increase / (decrease)) – As of As of December 31, January 1, 2019 2019 US$(000) US$(000) Liabilities Income tax payable 382 382 Total liabilities 382 382 Shareholders’ equity, net Retained earnings (382) (382) Total shareholders’ equity, net (382) (382) Annual Improvements to IFRS Standards 2015 – 2017 Cycle - The amendments clarify that, when an entity obtains control of a business that is a joint operation, it applies the requirements for a business combination achieved in stages, including remeasuring previously held interests in the assets and liabilities of the joint operation at fair value. In doing so, the acquirer remeasures its entire previously held interest in the joint operation to fair value. An entity applies those amendments to business combinations for which the acquisition date is on or after the beginning of the first annual reporting period beginning on or after January 1, 2019, with early application permitted. These amendments did not have an impact on the consolidated financial statements of the Group, as there was no transaction in the year where joint control was obtained. - An entity that participates in, but does not have joint control of, a joint operation might obtain joint control of the joint operation in which the activity of the joint operation constitutes a business as defined in IFRS 3. The amendments clarify that the previously held interests in that joint operation are not remeasured. An entity applies those amendments to transactions in which the entity obtains joint control on or after the beginning of the first annual reporting period beginning on or after January 1, 2019 with early application permitted. These amendments did not have an impact on the consolidated financial statements of the Group, as there was no transaction in the year where joint control was obtained in relation of an arrangement the Group previously participated in. - The amendments clarify that the income tax consequences of dividends are linked more directly to past transactions or events that generated distributable profits than to distributions to owners. Therefore, an entity recognizes the income tax consequences of dividends in profit or loss, other comprehensive income or equity according to where it originally recognized those past transactions or events. An entity applies the amendments for annual reporting periods beginning on or after January 1, 2019, with early application permitted. When the entity first applies those amendments, it applies them to the income tax consequences of dividends recognized on or after the beginning of the earliest comparative period. Since the Group’s current practice is in line with these amendments, they had no impact on the consolidated financial statements of the Group. - The amendments clarify that an entity treats, as part of general borrowings, any borrowing originally made to develop a qualifying asset when substantially all of the activities necessary to prepare that asset for its intended use or sale are complete. The entity applies the amendments to borrowing costs incurred on or after the beginning of the annual reporting period in which it first applies those amendments. The entity applies those amendments for annual reporting periods beginning on or after January 1, 2019, with early application permitted. Since the Group’s current practice is in line with the amendments, they had no impact on the consolidated financial statements of the Group. |
Foreign currencies | (a) The Group’s consolidated financial statements are presented in US dollars, which is also the parent company’s functional currency. For each entity, the Group determines the functional currency and the items included in the financial statements of each entity are measured using that functional currency. For consolidation purposes, each entity presents its financial statements in US dollars. Transactions and balances Transactions in foreign currency are initially recorded by the Group at the exchange rates prevailing at the dates of the transactions, published by the Superintendence of Banking and Insurance and Pension Fund Administrators (AFP for its acronym in Spanish). Monetary assets and liabilities denominated in foreign currencies are translated at the functional currency spot rates of exchange at the reporting date. Differences arising from the settlement or translation of monetary items are recognized in profit or loss with the exception of monetary items that are designated as part of a hedge. These are recognized in other comprehensive income (OCI) until the hedge items is disposed of, at which time, the cumulative amount is reclassified to profit or loss. Tax charges and credits attributable to exchange differences on those monetary items are also recognized in OCI. Non-monetary assets and liabilities recognized in terms of historical cost are translated using the exchange rates prevailing at the dates of the initial transactions. |
Financial instruments - Initial recognition and subsequent measurement | (b) A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity. (i) Initial recognition and measurement - Financial assets are classified, at initial recognition, as subsequently measured at amortized cost, fair value through OCI, and fair value through profit or loss. The classification of financial assets at initial recognition depends on the financial asset’s contractual cash flow characteristics and the Group’s business model for managing them. With the exception of trade receivables that do not contain a significant financing component, the Group initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs. In order for a financial asset to be classified and measured at amortized cost or fair value through OCI, it needs to give rise to cash flows that are “solely payments of principal and interest (SPPI) ¨ on the principal amount outstanding. This assessment is performed at an instrument level. The Group’s business model for managing financial assets refers to how it manages its financial assets in order to generate cash flows. The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial assets, or both. Purchases or sales of financial assets that require delivery of assets within a period established by regulation or convention in the market place (regular way trades) are recognized on the trade date. Subsequent measurement - For purposes of subsequent measurement, financial assets are classified in the following categories: - - - Financial assets at amortized cost - The Group measures financial assets at amortized cost if both of the following conditions are met: - - Financial assets at amortized cost are subsequently measured using the effective interest (EIR) method and are subject to impairment. Gains and losses are recognized in profit or loss when the asset is derecognized, modified or impaired. This category generally applies to other receivables included in the “Trade and other receivables, net” caption. Financial assets at fair value through OCI - Financial assets are classified and measured at fair value through OCI if they are held in a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets. This category generally applies to the “Hedge derivative financial instruments” caption. Financial assets at fair value through profit or loss - Financial assets at fair value through profit or loss include financial assets held for trading and financial assets designated upon initial recognition at fair value through profit or loss or financial assets mandatorily required to be measured at fair value. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term. Derivatives, including separated embedded derivatives, are also classified as held for trading unless they are designated as effective hedging instruments. Financial assets with cash flows that are not solely payments of principal and interest are classified and measured at fair value through profit or loss, irrespective of the business model. Notwithstanding the criteria for debt instruments to be classified at amortized cost or at fair value through OCI, as described above, debt instruments may be designated at fair value through profit or loss on initial recognition if doing so eliminates, or significantly reduces, an accounting mismatch. Financial assets at fair value through profit or loss are carried in the consolidated statements of financial position at fair value with net changes in fair value recognized in the consolidated statements of profit or loss. This category generally applies to the trade receivables included in the “Trade and other receivables, net” caption. Derecognition - A financial asset (or, where applicable a part of a financial asset or part of a group of similar financial assets) is primarily derecognized when: - - When the Group has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, it evaluates to what extent, it has retained the risk and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the Group continues to recognize the transferred asset to the extent of the Group´s continuing involvement. In that case, the Group also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Group has retained. Impairment of financial assets - The Group recognizes an allowance for expected credit losses (ECLs) for all debt instruments not held at fair value through profit or loss. ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Group expects to receive, discounted at an approximation of the original effective interest rate. The expected cash flows will include cash flows from the sale of collateral held or other credit enhancements that are integral to the contractual terms. ECLs are recognized in two stages. For credit exposures for which there has not been a significant increase in credit risk since initial recognition, ECLs are provided for credit losses that result from default events that are possible within the next 12‑months (a 12‑month ECL). For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (a lifetime ECL). For trade receivables and contract assets, the Group applies a simplified approach in calculating ECLs. Therefore, the Group does not track changes in credit risk, but instead recognizes a loss allowance based on lifetime ECLs at each reporting date. The Group has established a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment. The Group considers a financial asset in default when contractual payments are past due according to each contract. However, in certain cases, the Group may also consider a financial asset to be in default when internal or external information indicates that the Group is unlikely to receive the outstanding contractual amounts in full before taking into account any credit enhancements held by the Group. A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows. (ii) Initial recognition and measurement - Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings, payables, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. All financial liabilities are recognized initially at fair value and, in the case of loans , borrowings and payables, net of directly attributable transaction costs. The Group’s financial liabilities include trade and other payables, financial obligations, bank loans, financial liabilities for contingent consideration liability and Hedge derivative financial instruments. Subsequent measurement - The measurement of financial liabilities depends on their classification, as described below: Financial liabilities at fair value through profit or loss - Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial liabilities designated upon initial recognition as at fair value through profit or loss. Financial liabilities are classified as held for trading if they are incurred for repurchasing in the near term. This category also includes derivative financial instruments entered into by the Group that are not designated as hedging instruments in hedge relationships as defined by IFRS 9. Separated embedded derivatives are also classified as held for trading unless they are designated as effective hedging instruments. Gains or losses on liabilities held for trading are recognized in the consolidated statements of profit or loss. Financial liabilities designated upon initial recognition at fair value through profit or loss are designated at the initial date of recognition, and only if the criteria in IFRS 9 are satisfied. The Group has designated financial liabilities for contingent consideration liability as at fair value through profit or loss. Financial liabilities at amortized cost (loans and borrowings) - After initial recognition, interest-bearing loans and borrowing are subsequently measured at amortized cost using the effective interest rate method (EIR). Gains and losses are recognized in the profit or loss when the liabilities are derecognized as well as through the EIR amortization process. Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. EIR amortization is included in the “Financial costs” caption in the consolidated statements of profit or loss. This category generally applies to interest-bearing loans and borrowings. Derecognition - A financial liability is derecognized when the obligation under the liability is discharged or cancelled, or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognized in the consolidated statements of profit or loss. (iii) Financial assets and financial liabilities are offset and the net amount is reported in the consolidated statements of financial position if there is a currently enforceable legal right to offset the recognized amounts and there is an intention to settle on a net basis, to realize the assets and settle the liabilities simultaneously. |
Cash and cash equivalents | (c) “Cash and cash equivalents” caption presented in the consolidated statements of financial position comprise cash at banks and on hand, and short-term highly liquid deposits with a maturity of three months or less, that are readily convertible to known amount of cash and subject to an insignificant risk of changes in value. For the purpose of the consolidated statements of cash flows, cash and cash equivalents consist of cash and short-term deposits as defined above, net of outstanding bank overdrafts as they are considered an integral part of the Group’s cash management. |
Inventories | (d) Inventories are valued at the lower of cost or net realizable value. Cost is determined using the average method. In the case of finished goods and work in progress, cost includes the cost of materials and direct labor and a portion of indirect manufacturing expenses, excluding borrowing costs. The current portion of the inventories is determined based on the expected amounts to be processed within the next twelve months. Inventories not expected to be processed within the next twelve months are classified as non-current. Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs to make the sale. Provision (or reversal) for losses on the net realizable value are calculated based on a specific analysis conducted annually by the Management and is charged to profit or loss in the period in which it determines the need for the provision (or reversal). Any provision for obsolescence of spare parts and supplies is determined by reference to specific items of stock based on inventory turnover level. A regular review is undertaken to determine the extent of any provision for obsolescence. |
Business combinations and goodwill | (e) Business combinations are accounted for using the acquisition method. The cost of an acquisition is measured as the aggregate of the consideration transferred measured at acquisition date fair value and the amount of any non-controlling interest in the acquiree. For each business combination, the Group elects whether to measure the non-controlling interests in the acquiree at fair value or at the proportionate share of the acquiree’s identifiable net assets. Acquisition-related costs are expensed as incurred and included in “Administrative expenses” caption. When the Group acquires a business, it assesses the financial assets and liabilities assumed for appropriate classification and designation in accordance with the contractual terms, economic circumstances and pertinent conditions as at the acquisition date. This include the separation of embedded derivatives in host contracts by the acquire. Any contingent consideration to be transferred by the acquirer will be recognized at fair value at the acquisition date. Contingent consideration classified as an asset or liability that is a financial instrument and within the scope of IFRS 9 Financial Instruments, is measured at fair value, with changes in fair value recognized in either profit or loss or as a change to other comprehensive income. If the contingent consideration is not within the scope of IFRS 9, it is measured under the fair value at the reporting date with changes in the fair value recorded in the consolidated statement of profit or loss. Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognized for non-controlling interests, and any previous interests held, over the net identifiable assets acquired and liabilities assumed. If the fair value of the net assets acquired is in excess of the aggregate consideration transferred, the Group re-assesses whether it has correctly identified again all of the assets acquired and all of the liabilities assumed and reviews the procedures used to measure the amounts to be recognized at the acquisition date. If the re-assessment still results in an excess of the fair value of net assets acquired over the aggregate consideration transferred, then the gain is recognized in the consolidated statements of profit or loss. After initial recognition, goodwill is measured at cost less any accumulated impairment losses. For the purpose of impairment testing, this difference is allocated to each of the Group’s cash-generating units that are expected to benefit from the combination, irrespective of whether other assets or liabilities, of the acquiree, are assigned to those units. Where goodwill has been allocated to a cash-generating unit and part of the operation within that unit is disposed of, the goodwill associated with the disposed operation is included in the carrying amount of the operation when determining the gain or loss on disposal. Goodwill disposed of in these circumstances is measured based on the relative values of the disposed operation and the portion of the cash-generating unit retained. |
Investments in associates and joint ventures | (f) An associate is an entity over which the Group has significant influence. Significant influence is the power to participate in the financial and operating policy decisions of the investee, but is not control over those policies. A joint venture is a type of joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the joint venture. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control. The considerations made in determining significant influence or joint control are similar to those necessary to determine control over subsidiaries. The Group’s investments in associates and joint ventures are accounted for using the equity method. Under this method, the investment in an associate or joint venture is initially recognized at cost. The carrying amount of the investment is adjusted to recognize changes in the Group’s share of net assets of the associate and joint ventures since the acquisition date. Goodwill relating to the associate is included in the carrying amount of the investment and is not tested for impairment individually. The consolidated statement of profit or loss reflects the Group’s share of the results of operations of the associates and joint ventures. Any change in OCI of those investees is presented, as part of the Group’s other comprehensive income. In addition, when there has been a change recognized directly in the equity of the associate and joint ventures, the Group recognizes its share of any changes, when applicable, in the consolidated statements of changes in shareholders’ equity. Unrealized gains and losses resulting from transactions between the Group and the associate or joint venture are eliminated to the extent of the interest in the associate or joint venture. The aggregate of the Group´s share of profit or loss of an associate and joint ventures is shown on the face of the consolidated statements of profit or loss outside operating profit and represents profit or loss after tax in the associates and joint ventures. The financial statements of the associates and joint ventures are prepared for the same reporting period as the Group. When necessary, adjustments are made to bring the accounting policies in line with those of the Group. After the application of the equity method, the Group determines whether it is necessary to recognize an impairment loss of its investment in associates and joint ventures. At each reporting date, the Group determines whether there is objective evidence that the investments in the associates and joint ventures are impaired. If there is such evidence, the Group calculates the amount of impairment as the difference between the recoverable amount of the associate and its carrying value, and then recognizes the loss in the consolidated statements of profit or loss. Upon loss of significant influence over the associate and joint ventures, the Group measures and recognizes any retained investment at its fair value. Any difference between the carrying amount of the associate and joint ventures upon loss of significant influence and the fair value of the retained investment and proceeds from disposal is recognized in consolidated statements of profit or loss. |
Prepaid expenses | (g) Non-monetary assets, which represent an entity’s right to receive goods or services, are presented as prepaid expenses. The asset is subsequently derecognized when the goods are received and the services are rendered. |
Property, plant and equipment | (h) Property, plant and equipment is stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. The initial cost of an asset comprises its purchase price or construction cost, any costs directly attributable to bringing the asset into operation, the initial estimate of the obligation for mine closing and, borrowing costs for qualifying assets. When significant parts of property, plant and equipment are required to be replaced at intervals, the Group depreciates them separately based on their specific useful lives. In addition, when a major inspection is performed, its cost is recognized in the carrying amount of plant and equipment as a replacement if the recognition criteria are satisfied. All other maintenance and repair costs are recognized in the consolidated statement of profit or loss as incurred. Depreciation - Unit-of-production method: In mining units with long useful lives, depreciation of assets directly related to the operation of the mine is calculated using the units-of-production method, which is based on economically recoverable reserves of the mining unit. Other assets related to these mining units are depreciated using the straight-line method with the lives detailed in the next paragraph. Straight-line method: Depreciation of assets in mining units with short useful lives or used for administrative purposes is calculated using the straight-line method of accounting. The useful lives are the following: Years Buildings, construction and other 6 to 20 Machinery and equipment 5 to 10 Transportation units 5 Furniture and fixtures 10 Computer equipment 4 The residual values, useful lives and methods of depreciation of property, plant and equipment are reviewed at each financial year-end, and adjusted prospectively, if appropriate. Disposal of assets - An item of property, plant and equipment and any significant part initially recognized is derecognized upon disposal, or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the consolidated statements of profit or loss when the asset is derecognized. |
Leases | (i) The Group assesses at contract inception whether a contract is, or contains, a lease. That is, if the contract conveys the right to control the use of an identified asset for a period in exchange for consideration. Group as a lessee - The Group applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-value assets. The Group recognizes lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying assets. i) The Group recognizes right-of-use assets at the commencement date of the lease. Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any remeasurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognized, initial direct costs incurred, and lease payments made at or before the commencement date less any lease incentives received. Right-of-use assets are depreciated on a straight-line basis over the shorter of the lease term and the estimated useful lives of the related assets. If ownership of the leased asset transfers to the Group at the end of the lease term or the cost reflects the exercise of a purchase option, depreciation is calculated using the estimated useful life of the asset. ii) At the commencement date of the lease, the Group recognizes lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payments include fixed payments (including in substance fixed payments) less any lease incentives receivable, variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease payments also include the exercise price of a purchase option reasonably certain to be exercised by the Group and payments of penalties for terminating the lease, if the lease term reflects the Group exercising the option to terminate. Variable lease payments that do not depend on an index or a rate are recognized as expenses (unless they are incurred to produce inventories) in the period in which the event or condition that triggers the payment occurs. The Group do not have variable lease payments that do depend on an index or a rate. In calculating the present value of lease payments, the Group uses its incremental borrowing rate at the lease commencement date because the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term, a change in the lease payments or a change in the assessment of an option to purchase the underlying asset. The Group’s lease liabilities are included “Financial obligation” caption. iii) The Group applies the short-term lease recognition exemption to its short-term leases of machinery and equipment without renew option. It also applies the lease of low-value assets recognition exemption to leases of office equipment, which are considered low value. Lease payments on short-term leases and leases of low value assets are recognized as expense on a straight-line basis over the lease term. Group as a lessor - Leases in which the Group does not transfer substantially all the risks and rewards incidental to ownership of an asset are classified as operating leases. Rental income arising is accounted for on a straight-line basis over the lease terms and is included in “Other, net” in the statement of profit or loss due to its operating nature. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognized over the lease term on the same basis as rental income. Contingent rents are recognized as revenue in the period in which they are earned. |
Mining concessions | (j) Mining concessions represent ownership of the right of exploration and exploitation to the Group on mining properties that contains ore reserves acquired. Mining concessions are irrevocable, provided the holder of a mining concession complies with the obligations set forth in the General Mining Law. Such concessions have an indefinite term, subject to payment of an annual concession fee per hectare granted and achievement of minimum annual production for each hectare. Mining concessions are stated at cost and are amortized on units of production method, using as the basis proven and probable reserves. If the Group leaves these concessions, the costs associated are written off in the consolidated statements of profit or loss. Cost includes the fair value attributable to mineral reserves and the portion of mineral resources considered probable of economic extraction at the time of a business combination. At year-end, the Group evaluates if there is any indicator of impairment. If any indicator exists, the Group estimates the mining concession’s recoverable amount. Mining concessions are presented in the caption of “Mining concessions, development costs, right-of-use asset, property, plant and equipment, net”. |
Exploration and mine development costs | (k) Exploration costs - Exploration costs are expensed as incurred. These costs primarily include materials and fuels used, surveying costs, drilling costs and payments made to the contractors. Exploration and evaluation activity includes: - - - - - - Development costs – When the Group’s Management approves the feasibility of the conceptual study of a project, the costs incurred to develop such property, including additional costs to delineate the ore body and remove impurities it contains, are capitalized as development costs under the “Mining concessions, development costs, right-of-use asset, property, plant and equipment, net” caption. These costs are amortized when production begins, on the units-of-production basis over the proven and probable reserves. The development costs include: - - - Development costs necessary to maintain production are expensed as incurred. |
Stripping (waste removal) costs | (l) As part of its mining operations, the Group incurs waste removal costs (stripping costs) during the development and production phases of its mining operations. Stripping costs incurred in the development phase of a mine, before the production phase commences (development stripping), are capitalized as part of the cost of constructing the mine and subsequently amortized over its useful life using units of production method. The capitalization of development stripping costs ceases when the mine starts production. Stripping costs incurred during the production phase (production stripping costs) are generally considered to create two benefits, being either the production of inventory or improved access to the ore to be mined in the future. Where the benefits are realized in the form of inventory produced in the period, the production stripping costs are accounted for as part of the cost of producing those inventories. Where the benefits are realized in the form of improved access to ore to be mined in the future, the costs are recognized as a non-current asset, referred to as a stripping activity asset, if the following criteria are met: - - - To identify components of mineral deposit, the Group works closely with the operating personnel to analyze the mine plans. Mostly, an ore body can have several components. The mine plans, and therefore, the identification of components, will vary among mines for a number of reasons. The stripping activity asset is initially measured at cost, which is the accumulation of costs directly incurred to perform the stripping activity directly incurred during the stripping activity. The production stripping cost is presented within “Mining concessions, development costs, right-of-use asset, property, plant and equipment, net” caption in the consolidated statements of financial position. The production stripping cost is subsequently depreciated using the units of production method over the expected useful life of the component identified of the ore body that has been made more accessible by the activity. This cost is stated at cost, less accumulated depreciation and accumulated impairment losses, if any. |
Investment properties | (m) Investment properties are measured at cost, net of accumulated depreciation and impairment loss, if any. Depreciation of the investment properties is determined using the straight-line method with useful life of 20 years. Investment properties are derecognized when either they have been disposed of or when they are permanently withdrawn from use and no future economic benefit is expected from their disposal. The difference between the net disposal proceeds and the carrying amount of the asset is recognized in profit or loss in the period of derecognition. The amount of consideration to be included in the gain or loss arising from derecognition of investment property is determined in accordance with the requirements for determining the transaction price in IFRS 15. Transfers are made to (or from) investment property only when there is a change in use. For a transfer from investment property to an item of property, plant and equipment, the deemed cost for subsequent accounting is the fair value at the date of change in use. If an item of property, plant and equipment becomes an investment property, the Group accounts for such property in accordance with the policy stated under property, plant and equipment up to the date of change in use. |
Impairment of non-financial assets | (n) The Group assesses, at each reporting date, whether there is an indication that an asset may be impaired. If any indication exists, or when annual impairment testing for an asset is required, the Group estimates the asset’s recoverable amount. An asset’s recoverable amount is the higher of (i) an asset’s or cash-generating unit' (CGU) fair value less costs of disposal and (ii) its value in use. The recoverable amount is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets. When the carrying amount of an asset or CGU exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount. In assessing value in use, the estimated future cash flows are discounted to their present value using a post-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less cost of disposal, recent market transactions are taken into account. If no such transactions can be identified, an appropriate valuation model is used. The Group bases its impairment calculation on detailed budgets and forecast calculations, which are prepared separately for each of the Group’s CGUs to which the individual assets are allocated. These budgets and forecast calculations generally cover a period of five years. A long-term growth rate is calculated and applied to project future cash flows limited to the live of the mine. Impairment losses of continuing operations, including impairment of inventories, are recognized in the consolidated statements of profit or loss in expense categories consistent with the function of the impaired asset. For non-financial assets in general, an assessment is made at each reporting date to determine whether there is an indication that previously recognized impairment losses may no longer exist or have decreased. If such indication exists, the Group estimates the asset’s or CGU’s recoverable amount. A previously recognized impairment loss is reversed only if there has been a change in the assumptions used to determine the asset or CGU’s recoverable amount since the last impairment loss was recognized. The reversal is limited so that the carrying amount of the asset does not exceed its recoverable amount, nor exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognized for the asset in prior years. Such reversal is recognized in the consolidated statements of profit or loss. |
Provisions | (o) General - Provisions are recognized when the Group has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognized as a finance cost. Provision for closure of mining units - The Group records a provision for closure of mining units when a legally enforceable obligation arises, which is independent of the full depletion of the mine reserves. The Group recognizes a provision for closure of mining units once the obligation has been properly measured. The liability is initially recognized at the present value of the estimated costs and is capitalized as part of the carrying amount of the related mining assets (property, plant and equipment). The discounted liability is increased for the change in present value based on discounted rates that reflects current market assessments and the risks specify to the liability. In addition, the capitalized cost is depreciated and/or amortized based on the useful life of the asset. Any gain or loss resulting from the settlement of the obligation is recorded in the current results. Changes in the estimated timing of closure or changes to the estimated future costs are dealt with prospectively by recognizing an adjustment to the provision for closure and a corresponding adjustment to the related mining asset. Any reduction in the provision for closure and, therefore, any deduction from the mining asset to which it relates, may not exceed the carrying amount of the mining asset. If it does, any excess over the carrying amount is taken immediately to the consolidated statements of profit or loss. If the change in estimate results in an increase in the provision for closure and, therefore, an addition to the carrying value of the mining asset, the Group considers whether this is an indication of impairment of the asset as a whole, and if so, the Group performs an impairment test. For closed mines, changes to estimated costs are immediately recognized in the consolidated statements of profit or loss. |
Treasury shares | (p) The Group´s own equity instruments that are reacquired (treasury shares) are recognized at cost and deducted from equity. No gain or loss is recognized in profit or loss on the purchase, sale, issue or cancellation of the Group’s own equity instruments. Any difference between the carrying amount and the consideration, if reissued, is recognized as additional capital in equity. The voting rights related to treasury shares are cancelled for the Group and no dividends on such shares are allocated. |
Revenue recognition | (q) Revenue from contracts with customers is recognized when control of goods or services are transferred to the customer at an amount that reflects the consideration to which the Group expects to be entitled in exchange for those goods and services. The Group has concluded that it is the principal in its revenue contracts because it typically controls the goods before transferring them to the customer. The disclosures of significant accounting judgements, estimates and assumptions relating to revenue from contracts with customers are provided in Note 3. Net sales of goods (concentrates and metals) - Revenue from sale of concentrates and metals is recognized at the point in time when control of the asset is transferred to the customer, on delivery of the goods, including transportation. The normal credit term is 30 to 90 days upon delivery. The Group considers whether there are other promises in the contract that are separate performance obligations, to which a portion of the transaction price needs to be allocated. The Group considers that the only performance obligation is the delivery of the goods. In determining the transaction price for the sale of concentrates and metals, the Group considers the effect of variable consideration and the existence of significant financing components. Variable consideration - If the consideration in the contract includes a variable amount, the Group estimates the amount of consideration to which it will be entitled in exchange for transferring the goods to the customer. The variable consideration is estimated at contract inception and constrained until it is highly probable that a significant revenue reversal for revenue recognized will not occur when the associated uncertainty with the variable consideration is subsequently resolved. The Group´s sales of concentrates and metal allow for price adjustments based on the market price at the end of the relevant quotation period (QP) stipulated in the contract. These are referred as to provisional pricing arrangements and are such that the selling price for metal in concentrate is based on prevailing spot prices on a specified future date after shipment to the customer. Adjustments to the sales price occur based on movements in quoted market prices up to the end of the QP. Sales of concentrates and metals at provisionally prices include a gain (loss) to be received at the end of QP; this is considered a variable consideration. Changes in the price during the quotation period are recognized in the “Net sales of goods” caption as fair value of accounts receivables. For provisional pricing arrangements, any future change that occur over the QP are embedded within the provisionally price trade receivables and are, therefore, within the scope of IFRS 9 and not within the scope of IFRS 15. Given the exposure to the commodity price, these provisionally priced trade receivables will fail the cashflow characteristics test within IFRS 9 and will be required to be measured at fair value through profit or loss from initial recognition and until the date of settlement. The subsequent changes in fair value are recognized in the consolidated statements of profit or loss each period and presented separately from revenue from contracts with customer as part of “fair value gain/losses on provisionally priced trade receivables”. Changes in fair value over, and until the end of, the QP, are estimated by reference to updated forward market prices for gold and copper as well as taking into account relevant other fair value considerations set out in IFRS 13, including interest rate and credit risk adjustments. Revenue is recognized at the amount the Group expects to be entitled. The estimate of the price expected to be received at the end of the QP is generally the month of, the month before, or the month following the scheduled month of shipment or delivery according to the terms of the contracts, using the most recently determined estimate of metal in concentrate (based on initial assay results) and the estimated forward price. The requirements in IFRS 15 on constraint estimates of variable consideration are also applied to determine the amount of variable consideration that can be included in the transaction price. Sales of services – Services are recognized over time because the customer simultaneously receives and consumes the benefits provided by the Group. For measuring progress of the services, the Group used the output method in measuring progress of the services due to the Group has the right to invoice an amount that corresponds directly to the performance completed to date. Significant financing components The Group receives short-term advances from its customers. Using the practical expedient in IFRS 15, the Group does not adjust the promised amount of consideration for the effects of a significant financing component if it expects, at contract inception, that the period between the transfer of the promised good to the customer and when customer pays for that good will be one year or less. Contract Balances - Contract assets A contract asset is the right to consideration in exchange for goods or services transferred to the customer. If the Group performs by transferring goods or services to a customer before the customer pays consideration or before payment is due, a contract asset is recognized for the earned consideration that is conditional. Trade receivables A receivable represents the Group´s right to an amount of consideration that is unconditional. Contract liabilities A contract liability is the obligation to transfer goods or services to a customer for which the Group has received consideration (or an amount of consideration is due) from the customer. If customer pays consideration before the Group transfer goods or services to the customer, a contract liability is recognized when the payment is made or the payment is due (whichever is earlier). Contract liabilities are recognized as revenue when the Group performs under the contract. Cost to obtain a contract The Group pays sales commissions as part of the sales of services in the insurance brokerage segment. The Group has elected to apply the optional practical expedient for cost to obtain a contract which allows the Group to immediately expense sales commissions because the amortization period of the assets that the Group otherwise would have used is one year or less. Interest income - For all financial instruments measured at amortized cost, interest income is recorded using the effective interest rate (EIR). EIR is the rate that exactly discounts the estimated future cash payments or receipts over the expected life of the financial instrument or a shorter period, where appropriate, to the net carrying amount of the financial asset or liability. Interest income is included in finance income in the consolidated statements of profit or loss. Royalty income - The royalty income is recognized when the later of the following events occurs: the subsequent sales occur or the performance obligation is satisfied (or partially satisfied). Dividends - Revenue is recognized when the Group's right to receive the payment is established, which is generally, when shareholders approve the dividend. Rental income - Rental income arising from operating leases on investment properties is accounted for on a straight-line basis over the lease term and is included in “Other, net” in the consolidated statement of profit or loss due to its operating nature. |
Benefits to employees | (r) Salaries and wages, bonuses and vacations are calculated in accordance with IAS 19 "Employee Benefits" and are calculated in accordance with current Peruvian legislation based on the accrual basis. Workers’ profit sharing - The Group recognizes workers’ profit sharing in accordance with IAS 19 “Employees Benefits". Workers' profit sharing is calculated in accordance with the Peruvian law (Legislative Decree No. 892), and the applicable rate is 8% over the taxable net base of current year. According to Peruvian law, the limit in the workers' profit sharing that an employee can receive is equivalent to 18 months of wages, and any excess above such limit has be transferred to the Regional Government and “National Fund for Employment’s Promotion and Training” (“FONDOEMPLEO”). |
Borrowing costs | (s) Costs directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as finance part of the cost of an asset. The Group defines a qualifying asset as one which value is greater than US$5 million and requires a longer period to 12 months to get ready for its intended use. All other borrowing costs are expensed in the period in which they occur. Borrowing costs consist of interest and other costs that the Group incurs in connection with the borrowing of funds. |
Taxes | (t) Current income tax - Current income tax assets and liabilities are measured at the amount expected to be recovered from or paid or the tax authority. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted, at the reporting period. Current income tax relating to items recognized directly in equity is recognized in equity and not in the consolidated statements of profit or loss. Management periodically evaluates positions taken in the tax returns with respect to situations in which applicable tax regulations are subject to interpretation and establishes provisions where appropriate. Deferred income tax - Deferred income tax is provided using the liability method on temporary differences between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes at the reporting date. Deferred income tax liabilities are recognized for all taxable temporary differences, except for taxable temporary differences associated with investments in associates, when the timing of the reversal of the temporary differences can be controlled and it is probable that the temporary differences will not reverse in the near future. Deferred income tax assets are recognized for all deductible temporary differences, the carry forward of unused tax credits and any unused tax losses. Deferred tax assets are recognized to the extent that is probable that taxable profit will be available against which the deductible temporary differences, and the carry forward of unused tax credits and unused tax losses can be utilized. The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilized. Unrecognized deferred tax assets are re-assessed at each reporting date and are recognized to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered. Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted at the reporting date. Deferred tax items are recognized in correlation to the underlying transaction either in profit and loss, OCI or directly in equity. Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right to compensate current tax assets against current income tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority. Peruvian mining royalties and special mining tax - In accordance with Law No.28258, as amended by Law No. 29788, mining royalties are either payable as the higher of as a specified percentage of operating profit or 1% of revenues. If the mining royalty is calculated as a percentage of operating profit, marginal rates ranging from 1% to 12% that increase progressively for companies with higher operating margins will apply. Mining royalties and special mining tax are accounted for in accordance with IAS 12 “Income Tax” because they have the characteristics of an income tax. This is considered to be the case when they are imposed under government authority and the amount payable is based on taxable income-rather than physical quantities produced or as a percentage of revenue-after adjustment for temporary differences. Legal rules and rates used to calculate the amounts payable are those in effect on the date of the consolidated statements of financial position. Therefore, obligations arising from Mining Royalties and Special Mining Tax are recognized as income tax under the scope of IAS 12. Both, Mining Royalties and Special Mining Tax generated deferred tax assets and liabilities, which must be measured using the average rates expected to apply to operating profit in the quarter in which the Group expects to reverse temporary differences. Sales tax - Expenses and assets are recognized net of the amount of sales tax, except: (i) (ii) The net amount of sales tax recoverable from, or payable to, the taxation authority is included as part of receivables or payables in the consolidated statements of financial position. |
Fair value measurement | (u) The Group measures its financial instruments at fair value at the date of the consolidated statements of financial position. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either: - - The Group uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the consolidated financial statements are categorized within the fair value hierarchy, described, as follows, based on the lowest level input that is significant to the fair value measurement as a whole: - - - For assets and liabilities that are recognized in the consolidated financial statements on a recurring basis, the Group determines whether transfers have occurred between levels in the hierarchy by reassessing categorization (based on the lowest-level input that is significant to the fair value measurement as a whole) at the end of each reporting period. The Group's Management determines the policies and procedures for both recurring fair value measurement and non-recurring measurement. At each reporting date, the Group's Management analyzes the movements in the values of assets and liabilities, which are required to be re-measured or re-assessed as per the Group’s accounting policies. For the purpose of fair value disclosures, the Group has determined classes of assets and liabilities based on the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above. |
Derivative financial instruments and hedge accounting | (v) Initial recognition and subsequent measurement - The Group uses derivative instruments to hedge its commodity price risk (forward commodity contracts). Such derivative financial instruments are initially recognized at fair value on the date on which a derivative contract is entered into and are subsequently re-measured at fair value. Derivatives are carried as financial assets when the fair value is positive and as financial liabilities when the fair value is negative. At the inception of the hedge relationship, the Group formally designates and documents the hedge relationship to which it wishes to apply hedge accounting and the risk management objective and strategy for undertaking the hedge. The documentation includes identification of the hedging instrument, the hedged item, the nature of the risk being hedged and how the Group will assess whether the hedging relationship meets the hedge effectiveness requirements (including the analysis of sources of hedge ineffectiveness and how the hedge ratio is determined). A hedging relationship qualifies for hedge accounting if it meets all of the following effectiveness requirements: - - - The Group’s hedge is classified as cash flow hedge. The effective portion of gain or loss on the hedging instrument is initially recognized in the consolidated statements of changes in equity, under the “Other equity reserves” caption, while the ineffective portion is recognized immediately in the consolidated statements of profit or loss in the “Finance costs” caption. |
Discontinued operations | (w) Discontinued operations are excluded from the results of continuing operations and are presented as a single amount as profit or loss after tax from discontinued operations in the consolidated statement of profit or loss. Additional disclosures are provided in note 1(e). All other notes to the consolidated financial statements include amounts for continuing operations, unless otherwise mentioned. |
Other assets | (x) Other assets represent patents and industrial property, right-of-use related to rights of way, and software licenses. Patents and industrial property and right-of-use are amortized over their useful economic lives. Software licenses are amortized over the straight-line method, using useful lives from 1 to 10 years. The useful lives of intangible assets are assessed as either finite or indefinite. Intangible assets with finite live are amortized over their useful economic lives and assessed for impairment whenever there is an indication that the intangible asset may be impaired. The amortization period and the amortization method for an intangible asset with a finite useful life are reviewed at least at the end of each reporting period. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered to modify the amortization period or method, as appropriate, and are treated as changes in accounting estimates. The amortization expense on intangible assets with finite lives is recognized in the statement of profit or loss in the expense category that is consistent with the function of the intangible assets. Internally generated intangibles, excluding capitalized development costs, are not capitalized. Instead, the related expenditure is recognized in the consolidated statement of profit or loss in the period in which the expenditure is incurred. Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognized in the consolidated statement of profit or loss when the asset is derecognized. |
Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Basis of presentation | Basis of preparation - The consolidated financial statements of the Company have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standard Board (“IASB”). The consolidated financial statements have been prepared under the historical cost basis, except for accounts receivables and financial assets which are measured at their fair value. The consolidated financial statements are presented in U.S. dollars and all values are rounded to the nearest thousands, except when otherwise indicated. The preparation of consolidated financial statements requires that Management use judgments, estimates and assumptions, as detailed in note 3. The Company adopted IFRS 16, Leases on January 1, 2019, using the modified retrospective approach, and accordingly, no comparative information is included on the prior periods. See note 2.3. Besides the comparative information arising from the application of IFRS 16 mentioned in the previous paragraph, these consolidated financial statements provide comparative information in respect of the prior periods. |
Basis of consolidation | Basis of consolidation - The consolidated financial statements comprise the financial statements of the Company and its subsidiary (San Jose Reservoir Trust, a separate Peruvian legal entity created to ensure the continuity of the Company’s operations in the San Jose Reservoir after the end of operations at Yanacocha). Control is achieved when the Company is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Specifically, the Company controls an investee if, and only if, the Company has: - Power over the investee (i.e., existing rights that give it the current ability to direct the relevant activities of the investee). - Exposure, or rights, to variable returns from its involvement with the investee. - The ability to use its power over the investee to affect its returns. Generally, there is a presumption that a majority of voting rights result in control. To support this presumption and when the Company has less than a majority of the voting or similar rights of an investee, the Company considers all relevant facts and circumstances in assessing whether it has power over an investee, including: - The contractual arrangement with the other vote holders of the investee. - Rights arising from other contractual arrangements. - The Company’s voting rights and potential voting rights or a combination of rights. The Company re-assesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control. Consolidation of a subsidiary begins when the Company obtains control over the subsidiary and ceases when the Company loses control of the subsidiary. Assets, liabilities, income and expenses of a subsidiary acquired or disposed of during the year are included in the consolidated financial statements from the date the Company gains control until the date the Company ceases to control the subsidiary. When necessary, adjustments are made to the financial statements of the subsidiary to bring its accounting policies into line with the Company’s accounting policies. All intra-group assets and liabilities, equity, income, expenses and cash flows are eliminated in full on consolidation. A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. |
Changes in accounting policies and disclosures | Changes in accounting policies and disclosures - The Company applied IFRS 16 Leases and IFRIC 23 Uncertainty over Income Tax Treatment for the first time. The nature and effect of the changes as a result of adoption of this new accounting standards is described below. Several other amendments and interpretations apply for the first time in 2019, but do not have an impact on the consolidated financial statements of the Company. The Company has not early adopted any standards, interpretations or amendments that have been issued but are not yet effective. IFRS 16 Leases IFRS 16 supersedes IAS 17 Leases, IFRIC 4 Determining whether an Arrangement contains a Lease, SIC-15 Operating Leases-Incentives and SIC-27 Evaluating the Substance of Transactions Involving the Legal Form of a Lease. The standard sets out the principles for the recognition, measurement, presentation and disclosure of leases and requires lessees to recognize most leases on the balance sheet. Lessor accounting under IFRS 16 is substantially unchanged from IAS 17. Lessors will continue to classify leases as either operating or finance leases using similar principles as in IAS 17. Therefore, IFRS 16 does not have an impact for leases where the Company is the lessor. The Company adopted IFRS 16 using the modified retrospective approach with accumulative-effect adjustment recorded at beginning of the period of adoption (January 1, 2019). Therefore, upon adoption, the Company recognize and measure leases without revising comparative period information or disclosure. The Company also elected to use the recognition exemptions for lease contracts that, at the commencement date, have a lease term of 12 months or less and do not contain a purchase option (short-term leases), and lease contracts for which the underlying asset is of low value (low-value assets). The effect of adopting IFRS 16 is, as follows: Impact on the consolidated statement of financial position 31 December 1 January 2019 2019 US$(000) US$(000) Assets Right-of-use assets Total Liabilities Provisions and other accruals Total Impact on the consolidated statement of profit or loss 31 December 2019 US$(000) Cost of sales (depreciation) (270) Operating profit (270) Finance costs (36) Profit or loss for the period (306) Impact on the consolidated statement of cash flows 31 December 2019 US$(000) Lease payments (270) Interest paid (26) Net cash flows (296) There is no impact on other comprehensive income. The lease liabilities were determined using an incremental borrow rate of 5.23%. In addition, the reconciliation between the balance of assets and liabilities as of January 1, 2019 under IFRS 16 compared with operating leases under IAS 17 as of December 31, 2018 is as follows: US$(000) Operating lease commitments disclosed as of December 31, 2018 450 Exceptions: - Short-term leases not recognized as a liability (88) Additional lease liability recognized as of January 1, 2019 362 Plus: Lease liability already recognized as of December 31, 2018 — Lease liability as of January 1, 2019 362 IFRIC Interpretation 23 Uncertainty over Income Tax Treatment The Interpretation addresses the accounting for income taxes when tax treatments involve uncertainty that affects the application of IAS 12 Income Taxes. It does not apply to taxes or levies outside the scope of IAS 12, nor does it specifically include requirements relating to interest and penalties associated with uncertain tax treatments. The Interpretation specifically addresses the following: - Whether an entity considers uncertain tax treatments separately. - The assumptions an entity makes about the examination of tax treatments by taxation authorities. - How an entity determines taxable profit (tax loss), tax bases, unused tax losses, unused tax credits and tax rates. - How an entity considers changes in facts and circumstances. The Company applies significant judgement in identifying uncertainties over income tax treatments. Therefore, it assessed whether the Interpretation had an impact on its consolidated financial statements. Upon adoption of the Interpretation, the Company considered whether it has any uncertain tax positions, particularly those relating to deductible expenses. The Company’s tax filings include deductions related to deductible expenses and the taxation authorities may challenge those tax treatments. The Company determined, based on its tax compliance that it is probable that its tax treatments will be accepted by the taxation authorities. The Interpretation did not have an impact on the consolidated financial statements of the Company. |
Foreign currencies | (a) The consolidated financial statements are presented in U.S. dollars, which is also the Company’s functional currency. Transactions and balance Transactions in foreign currency (a currency other than functional currency) are initially recorded by the Company at the exchange rates prevailing at the time of the transactions published by the Superintendence of Banking and Insurance and Pension Fund Administrators (AFP for its acronym in Spanish). Monetary assets and liabilities denominated in other currencies are translated into the U.S. dollar at exchange rates prevailing at the statements of financial position dates. Gains or losses from exchange differences arising from the settlement or translation of monetary assets and liabilities are recognized in the consolidated statements of comprehensive income. Non-monetary assets and liabilities recognized in terms of historical cost are translated using the exchange rates prevailing at the dates of the initial transactions. Transactions in Soles (S/) Transactions in Soles are completed using exchange rates published by the AFP. As of December 31, 2019, the exchange rates for U.S. dollars published by this Institution were US$0.3020 for buying and US$0.3015 for selling (US$0.2968 for buying and US$0.2959 for selling as of December 31, 2018), and have been applied by the Company for the assets and liabilities accounts, respectively. As of December 31, 2019 and 2018, the Company presents the following assets and liabilities originally denominated in Soles by its equivalent in U.S. dollars: 2019 2018 US$(000) US$(000) Assets Cash and cash equivalents 5,140 7,563 Trade and other receivables 27,990 27,335 Prepaid income tax — 19,239 Value added tax credit 32,831 29,828 Total assets 65,961 83,965 Liabilities Trade and other payables 13,085 9,586 Income tax payable 23,153 3,552 Provisions, other accruals and liabilities 29,633 3,970 Total liabilities 65,871 17,108 Net asset position 90 66,857 For the year ended December 31, 2019, the Company recognized a net gain from currency exchange difference for US$2,902 (net loss for US$2,056 and gain for US$3,636 as of December 31, 2018 and 2017; respectively) in the caption “Net gain (loss) from currency exchange difference” of the consolidated statements of comprehensive income. |
Financial instruments - Initial recognition and subsequent measurement | (b) A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity. (i) Financial assets - Initial recognition and measurement Financial assets are classified, at initial recognition, and subsequently measured at amortized cost, fair value through other comprehensive income (OCI), and fair value through profit or loss. The classification of financial assets at initial recognition depends on the financial asset’s contractual cash flow characteristics and the Company’s business model for managing them. With the exception of trade receivables that do not contain a significant financing component or for which the Company has applied the practical expedient, the Company initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs. Trade receivables that do not contain a significant financing component or for which the Company has applied the practical expedient are measured at the transaction price as disclosed in section (n) Revenue from contracts with customers. In order for a financial asset to be classified and measured at amortized cost or fair value through OCI, it needs to give rise to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding. This assessment is referred to as the SPPI test and is performed at an instrument level. The Company’s business model for managing financial assets refers to how it manages its financial assets in order to generate cash flows. The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial assets, or both. Purchases or sales of financial assets that require delivery of assets within a time frame established by regulation or convention in the market place (regular way trades) are recognized on the trade date. Financial assets of the Company comprise cash and cash equivalents, trade and other receivables, net and financial assets at fair value through OCI with recycling of cumulative gains and losses and financial assets at fair value through profit or loss. Subsequent measurement - For purposes of subsequent measurement, financial assets are classified in four categories: - Financial assets at amortized cost (debt instruments). - Financial assets at fair value through OCI with recycling of cumulative gains and losses (debt instruments). - Financial assets designated at fair value through OCI with no recycling of cumulative gains and losses upon derecognition (equity instruments). - Financial assets at fair value through profit or loss. Financial assets at amortized cost (debt instruments) - Financial assets at amortized cost are subsequently measured using the effective interest (EIR) method and are subject to impairment. Gains and losses are recognized in profit or loss when the asset is derecognized, modified or impaired. The Company's financial assets at amortized cost includes other receivables, net. See note 6 for more information on accounts receivables. Financial assets at fair value through OCI with recycling of cumulative gains and losses (debt instruments) - For debt instruments at fair value through OCI, interest income, foreign exchange revaluation and impairment losses or reversals are recognized in the consolidated statements of comprehensive income and computed in the same manner as for financial assets measured at amortized cost. The remaining fair value changes are recognized in OCI. Upon derecognition, the cumulative fair value change recognized in OCI is recycled to profit or loss. The Company’s investments in the San Jose Reservoir Trust are classified as financial assets at fair value through OCI as of December 31, 2019 and 2018. Financial assets designated at fair value through OCI with no recycling of cumulative gains and losses upon derecognition (equity instruments) - Debt instruments at fair value through OCI includes investments in quoted debt instruments included under other non-current financial assets. Gains and losses on these financial assets are never recycled to profit or loss. Dividends are recognized as other income in the statements of comprehensive income when the right of payment has been established, except when the Company benefits from such proceeds as a recovery of part of the cost of the financial asset, in which case, such gains are recorded in OCI. Equity instruments designated at fair value through OCI are not subject to impairment assessment. The Company does not have financial assets classified in this category. Financial assets at fair value through profit or loss - Financial assets at fair value through profit or loss are carried in the consolidated statement of financial position at fair value with net changes in fair value recognized in the consolidated statements of comprehensive income. This category includes derivative instruments and listed equity investments which the Company had not irrevocably elected to classify at fair value through OCI. Dividends on listed equity investments are recognized as other income in the consolidated statements of comprehensive income when the right of payment has been established. As of December 31, 2019, the Company has nominal investments related to the San Jose Reservoir Trust as financial assets at fair value through profit or loss. A derivative embedded in a hybrid contract, with a financial liability or non-financial host, is separated from the host and accounted for as a separate derivative if: the economic characteristics and risks are not closely related to the host; a separate instrument with the same terms as the embedded derivative would meet the definition of a derivative; and the hybrid contract is not measured at fair value through profit or loss. Embedded derivatives are measured at fair value with changes in fair value recognized in profit or loss. Reassessment only occurs if there is either a change in the terms of the contract that significantly modifies the cash flows that would otherwise be required or a reclassification of a financial asset out of the fair value through profit or loss category. This category also applies to financial assets that are intended to be held for an indefinite period of time and may be sold in response to needs for liquidity, or in response to changes in the market conditions (Note 9). Derecognition - A financial asset (or, where applicable a part of a financial asset or part of a group of similar financial assets) is primarily derecognized when: - The rights to receive cash flows from the asset have expired; or - The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a pass-through arrangement; and either (a) the Company has transferred substantially all the risks and rewards of the asset or, (b) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset. When the Company has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, it evaluates if and to what extent, it has retained the risk and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the Company continues to recognize the transferred asset to the extent of the Company’s continuing involvement. In that case, the Company also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Company has retained. Impairment of financial assets - The Company recognizes an allowance for expected credit losses (ECLs) for all debt instruments not held at fair value through profit or loss. ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Company expects to receive, discounted at an approximation of the original effective interest rate. The expected cash flows will include cash flows from the sale of collateral held or other credit enhancements that are integral to the contractual terms. ECLs are recognized in two stages. For credit exposures for which there has not been a significant increase in credit risk since initial recognition, ECLs are provided for credit losses that result from default events that are possible within the next 12‑months (a 12‑month ECL). For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (a lifetime ECL). For trade receivables and contract assets, the Company applies a simplified approach in calculating ECLs. Therefore, the Company does not track changes in credit risk, but instead recognizes a loss allowance based on lifetime ECLs at each reporting date. The Company has established a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment. The Company considers a financial asset in default when contractual payments are 90 days past due. However, in certain cases, the Company may also consider a financial asset to be in default when internal or external information indicates that the Company is unlikely to receive the outstanding contractual amounts in full before taking into account any credit enhancements held by the Company. A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows. (ii) Financial liabilities - Initial recognition and measurement - Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings, payables, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs. The Company’s financial liabilities include trade and other payables. Subsequent measurement - The measurement of financial liabilities depends on their classification, as described below: Financial liabilities at fair value through profit or loss - Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial liabilities designated upon initial recognition as at fair value through profit or loss. Financial liabilities are classified as held for trading if they are incurred for the purpose of repurchasing in the near term. This category also includes derivative financial instruments entered into by the Company that are not designated as hedging instruments in hedge relationships as defined by IFRS 9. Separated embedded derivatives are also classified as held for trading unless they are designated as effective hedging instruments. Gains or losses on liabilities held for trading are recognized in the consolidated statements of comprehensive income. Financial liabilities designated upon initial recognition at fair value through profit or loss are designated at the initial date of recognition, and only if the criteria in IFRS 9 are satisfied. The Company has not designated any financial liability as at fair value through profit or loss. Loans and borrowings - After initial recognition, interest-bearing loans and borrowing are subsequently measured at amortized cost using the effective interest rate method. Gains and losses are recognized in the consolidated statements of profit and cost when the liabilities are derecognized as well as through the amortization process. Amortized cost is calculated taking into account any discount or premium on acquisition and fees or costs that are an integral part of the effective interest rate. Amortization under the effective interest rate method is included as financial costs in the consolidated statements of profit or loss. This category generally applies to interest-bearing loans and borrowings. Trade and other payables are subsequently measured at amortized cost. Derecognition - A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognized in the consolidated statements of comprehensive income. (iii) Offsetting of financial instruments - Financial assets and financial liabilities are offset and the net amount is reported in the consolidated statements of financial position if there is a currently enforceable legal right to offset the recognized amounts and there is an intention to settle on a net basis, to realize the assets and settle the liabilities simultaneously. |
Current versus non-current classification | (c) The Company presents assets and liabilities in the consolidated statements of financial position based on current or non-current classification. An asset is classified as current when it is: - Expected to be realized or intended to be sold or consumed in the normal operating cycle; - Held primarily for the purpose of trading; - Expected to be realized within twelve months after the reporting period, or - Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period. All other assets are classified as non-current. A liability is current when it is: - Expected to be settled in the normal operating cycle; - Held primarily for the purpose of trading; - Due to be settled within twelve months after the reporting period, or - There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period. The Company classifies all other liabilities as non-current. Deferred tax assets and liabilities are classified as non-current assets and liabilities. |
Cash and cash equivalents | (d) Cash and cash equivalents include cash in hand, deposits held at call with banks and other short-term highly liquid investments with original maturities of three months or less. Restricted cash includes guarantee deposits in escrow accounts related to Sumitomo's shares acquisition (see note 13) and is excluded from cash and cash equivalents being included in other current assets or long-term assets depending on restrictions. |
Stockpiles, ore on leach pads and inventories | (e) Costs that are incurred in or benefit the productive process are accumulated as stockpiles, ore on leach pads and inventories. Stockpiles, ore on leach pads and inventories are carried at the lower of weighted average cost or net realizable value. Net realizable value represents the estimated future sales price of the product based on current and long-term metals prices, less the estimated costs to complete production and bring the product to sale. Write-downs of stockpiles, ore on leach pads and inventories to net realizable value are reported as a component of costs applicable to sales. The current portion of stockpiles, ore on leach pads and inventories is determined based on the expected amounts to be processed within the next twelve months. Stockpiles, ore on leach pads and inventories not expected to be processed within the next twelve months are classified as non-current. The major classifications are as follows: (i) Stockpiles represent ore that has been extracted from the mine and is available for further processing. Stockpiles are measured by estimating the number of tons added and removed from the stockpile, the number of contained ounces (based on assay data) and the estimated metallurgical recovery rates (based on the expected processing method). Stockpile ore tonnages are verified by periodic surveys. Costs are allocated to stockpiles based on relative values of material stockpiled and processed using current mining costs incurred up to the point of stockpiling the ore, including applicable overhead and depreciation and amortization relating to mining operations, and removed at each stockpile’s weighted average cost per recoverable unit as material is processed. (ii) The recovery of gold from certain gold oxide ores is achieved through the heap leaching process. Under this method, oxide ore is placed on leach pads where it is treated with a chemical solution, which dissolves the gold contained in the ore. The resulting gold-bearing solution is later processed in a plant where the gold is recovered. Costs are added to ore on leach pads based on current mining costs, including applicable overhead and depreciation and amortization relating to mining operations, as well as leaching costs incurred in the leaching process. Costs are removed from ore on leach pads as ounces are recovered based on the weighted average cost per estimated recoverable ounce of gold on the leach pad. The estimates of recoverable gold on the leach pads are calculated from the quantities of ore placed on the pads (measured tons added to the leach pads), the grade of ore placed on the leach pads (based on assay data) and a recovery percentage (based on ore type). In general, the leach pads recover between 50% and 95% of the ultimate recoverable ounces in the first year of leaching, declining each year thereafter until the leaching process is complete. Although the quantities of recoverable gold placed on the leach pads are reconciled by comparing the grades of ore placed on the pads to the quantities of gold actually recovered (metallurgical balancing), the nature of the leaching process inherently limits the ability to precisely monitor inventory levels. As a result, the metallurgical balancing process is constantly monitored and estimates are refined based on actual results over time. The Company’s operating results typically are not materially impacted by variations between the estimated and actual recoverable quantities of gold on its leach pads in the ordinary course of business. Variations between actual and estimated quantities resulting from changes in assumptions and estimates that do not result in write-downs to net realizable value are accounted on a prospective basis. (iii) - process inventory - In-process inventories represent materials that are currently in the process of being converted to a saleable product. Conversion processes vary depending on the nature of the ore and the specific processing facility, and include mill in-circuit and leach in-circuit. In-process material is measured based on assays of the material fed into the process and the projected recoveries of the respective plants. In-process inventories are valued at the weighted average cost of the material fed into the process attributable to the source material coming from the mines, stockpiles and (or) leach pads plus the in- process conversion costs, including applicable amortization relating to the process facilities incurred to that point in the process. (iv) Precious metals include gold dore and (or) gold bullion. Precious metals that result from the Company’s mining, processing activities are valued at the weighted average cost of the respective in-process inventories incurred prior to the refining process, plus applicable refining costs. (v) Materials and supplies are valued at the lower of weighted average cost or replacement value. Cost includes applicable taxes and freight. |
Property, plant and equipment | (f) Property, plant and equipment is stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. The cost of an element of property, plant and equipment comprises the following: the acquisition price or manufacturing cost, including non-reimbursable customs and taxes and any cost necessary to place the asset in operating condition, as anticipated by Management; the estimate of the rehabilitation obligation and, in the case of qualified assets, the financing costs. The purchase price or construction cost corresponds to the total amount paid and fair value of any other consideration provided to acquire the asset. Subsequent costs attributable to property, plant and equipment are capitalized only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably, otherwise the cost is charged to production or expense. Maintenance and repair expenses are charged to the production cost or expense, as necessary, in the period when incurred. Disbursements incurred to replace a component of an item or element of property, plant and equipment are capitalized separately, writing-off the carrying amount of the component being replaced. In the event the component replaced has not been considered as a separate component of the asset item, the replacement value of the new component is used to estimate the carrying amount of the assets being replaced. Assets in the construction stage are capitalized on a separate caption of property plant and equipment. At their completion, the cost is transferred to the appropriate category. Assets under construction are not depreciated. Depreciation Land is not depreciated. Other than land, depreciation of property, plant and equipment is calculated using the straight-line method to allocate their cost less their residual value over their estimated useful lives and in the case of assets assigned to the production process of Yanacocha, under the lower of (i) that determined under the units of production method or (ii) the useful life of the mine. The useful lives as follows: Land improvements Between 2 and 4 years Buildings and constructions Between 5 and 10 years Machinery and equipment Between 3 and 10 years Vehicles Between 3 and 4 years Furniture and fixtures Between 3 and 4 years Other equipment Between 3 and 4 years Computer equipment Between 3 and 4 years Leach pads and assets retirement and mine closure Useful life of the mine and (or) process facilities The assets’ useful lives and residual values are reviewed, and adjusted if appropriate, at each date of the consolidated statement of financial position. Any changes in these estimates are prospectively adjusted. Disposal of assets Property, plant and equipment items are written-off at the date they are sold or when no economic benefits are expected from their further use or sale. Gains and losses on disposals of assets are determined by comparing the proceeds with their carrying amounts. These gains or losses are included in the consolidated statements of comprehensive income. |
Leases | (s) Leases - The Company assesses at contract inception whether a contract is, or contains, a lease. That is, if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. Company as a lessee The Company applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-value assets. The Company recognizes lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying assets. (i) Right-of-use assets - The Company recognizes right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any remeasurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognized, initial direct costs incurred, and lease payments made at or before the commencement date less any lease incentives received. Right-of-use assets are depreciated on a straight-line basis over the shorter of the lease term and the estimated useful lives of the assets, as follows: - Buildings 5 to 10 years - Plant and equipment 3 to 10 years If ownership of the leased asset transfers to the Company at the end of the lease term or the cost reflects the exercise of a purchase option, depreciation is calculated using the estimated useful life of the asset. The right-of-use assets are also subject to impairment. Refer to the accounting policies in section (j) Impairment of non-financial assets. (ii) Lease liabilities - At the commencement date of the lease, the Company recognizes lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payments include fixed payments (including in-substance fixed payments) less any lease incentives receivable, variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease payments also include the exercise price of a purchase option reasonably certain to be exercised by the Company and payments of penalties for terminating the lease, if the lease term reflects the Company exercising the option to terminate. Variable lease payments that do not depend on an index or a rate are recognized as expenses (unless they are incurred to produce inventories) in the period in which the event or condition that triggers the payment occurs. In calculating the present value of lease payments, the Company uses its incremental borrowing rate at the lease commencement date because the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term, a change in the lease payments (e.g., changes to future payments resulting from a change in an index or rate used to determine such lease payments) or a change in the assessment of an option to purchase the underlying asset. The Company’s lease liabilities are included in other accounts payable. (iii) Short-term leases and leases of low-value assets - The Company applies the short-term lease recognition exemption to its short-term leases of machinery and equipment (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption to leases of office equipment that are considered to be low value. Lease payments on short-term leases and leases of low value assets are recognized as expense on a straight-line basis over the lease term. |
Exploration and mine development costs | (g) Mining rights include acquired interests in production, development and exploration stage properties. The mineral interests are capitalized at their fair value at the acquisition date. The value of such assets is primarily driven by the nature and amount of mineralized material believed to be contained in such properties. Production stage mining rights represent interests in operating properties that contain proven and probable reserves. Development stage mineral interests represent interests in properties under development that contain proven and probable reserves. Exploration stage mineral interests represent interests in properties that are believed to potentially contain mineralized material consisting of (i) mineralized material such as inferred material within pits; mineralized material with insufficient drill spacing to qualify as proven and probable reserves; and mineralized material in close proximity to proven and probable reserves; (ii) around-mine exploration potential not immediately adjacent to existing reserves and mineralization, but located within the immediate mine area; (iii) other mine-related exploration potential that is not part of current mineralized material and is comprised mainly of material outside of the immediate mine area; (iv) greenfield exploration potential that is not associated with any other production, development or exploration stage property, as described above; or (v) any acquired right to explore or extract a potential mineral deposit. Exploration costs are capitalized when reserves at the location are established and reported in the Reserves and Resource information published annually by Newmont in its Form 10‑K. At this point, exploration costs are capitalized as mine development or as a component of property, plant and equipment, as appropriate. The Company’s mining rights generally are enforceable regardless of whether proven and probable reserves have been established. The Company has the ability and intent to renew mineral interests where the existing term is not sufficient to recover all identified and valued proven and probable reserves and (or) undeveloped mineralized material. Mining rights are presented in the caption of property, plant and equipment, net. |
Mine development | (h) Mine development costs include engineering and metallurgical studies, drilling and other related costs to delineate an ore body, and the removal of overburden to initially expose an ore body at open pit surface mines. Costs incurred before mineralization are classified as proven and probable reserves are expensed as “exploration and advanced projects” as part of the “Operating expenses” caption in the consolidated statements of comprehensive income. The capitalization of mine development project costs, that meet the definition of an asset, begins once mineralization is classified as proven and probable reserves. Drilling and related costs are capitalized for an ore body where proven and probable reserves exist; and the activities are directed at obtaining additional information on the ore body or converting mineralized material to proven and probable reserves. AII other drilling and related costs are expensed as incurred. Drilling costs incurred during the production phase for operational ore control are allocated to inventory costs and then included as a component of the “Costs applicable to sales” caption in the consolidated statements of comprehensive income. The cost of removing overburden and waste materials to access the ore body at an open-pit mine prior to the production phase are referred to as "pre-stripping costs." Pre-stripping costs are capitalized during the development of an open-pit mine. Where multiple open pits exist at a mining complex utilizing common processing facilities, pre-stripping costs are capitalized at each pit. The removal and production of the minimum saleable materials may occur during development and related revenue is recorded as “Other operating revenue”, net of incremental mining and processing costs. See Note 2.4(i) below. If any of the criteria are not met, the production stripping costs are charged to profit or loss as part of the “costs applicable to sales” caption in the consolidated statements of comprehensive income as they are incurred. Mine development costs are amortized using the units-of production ("UOP") method based on estimated recoverable ounces in proven and probable reserves. To the extent that these costs benefit an entire ore body, they are amortized over the estimated life of the ore body. Costs incurred to access specific ore blocks or areas that only provide benefit over the life of that area are amortized over the estimated life of that specific ore block or area. Mine development costs are presented in the caption of Property, plant and equipment, net. |
Stripping (waste removal) costs | (i) Stripping activity asset - The Company accounts for stripping costs incurred during the production phase of a surface mining in accordance with IFRIC 20 "Stripping costs in the production phase of as surface mine" whereby a stripping asset is recognized if, and only if, all of the following are met: - It is probable that the future economic benefit (improved access to the ore body) associated with the stripping activity will flow to the Company; - The Company can identify the component of the ore body for which access has been improved; and - The costs relating to the stripping activity associated with that component can be measured reliably. The primary components of the ore body on a pit by pit basis as well as within major pits are identified. Based on these components, stripping activities are analyzed and costs are assigned based on whether they pertained to current inventory production or improved access to future ore bodies (or components of an ore body). Based on this analysis, the Company allocates the costs associated with improved access as a “stripping activity asset”. This allocation is based on the volume of waste and ore extracted in the period compared to expected volume life-of-mine per component of ore body. Costs allocated to the production stripping activity asset are subsequently depreciated. Depreciation of the production stripping asset was calculated on a systematic basis ("waste-to-ore tons ratio") method over the expected useful life of the identified component of the ore body that becomes more accessible as a result of the stripping costs. This depreciation is a production cost. |
Impairment of non-financial assets | (j) Impairment of non-financial assets - The carrying amounts of non-financial assets are reviewed for impairment whenever events or changes in circumstances indicate the carrying value may not be recoverable. If there are indicators of impairment, a review is undertaken to determine whether the carrying values are in excess of the recoverable amount. The recoverable amount is determined as the higher of (i) an asset’s fair value, less costs of disposal, and (ii) its value in use. Such review is undertaken on an asset by asset basis, except where such assets do not generate cash flows independently from other assets, in which case the review is undertaken at the cash generating unit level. The Company identified two separate cash generating units: Yanacocha and Conga. Future cash flows are estimated based on quantities of recoverable minerals, expected gold and other commodity prices (considering current and historical prices, trends and related factors), production levels, operating costs, capital requirements and reclamation costs, all based on life-of-mine plans and the appropriate discount rate. These estimates, used in the determination of future cash flows, are based on numerous assumptions and it is possible that actual future cash flows will be significantly different than the estimates, as actual future quantities of recoverable minerals, gold and other commodity prices, production levels, costs and capital and interest rates are each subject to significant risks and uncertainties. If the carrying amount of an asset exceeds its recoverable amount, an impairment loss is recorded in the consolidated statement of comprehensive income to reflect the asset at the lower amount. In assessing the recoverable amount for assets, the relevant future cash flows expected to arise from the fair value less costs of disposal have been discounted to their present value. An impairment loss is reversed in the consolidated statement of comprehensive income if there is a change in estimate used to determine recoverable amount since the prior impairment loss was recognized. The carrying amount of an asset is increased to the recoverable amount but not beyond the carrying amount net of depreciation or amortization which would have arisen if the prior impairment loss had not been recognized. After such a reversal the depreciation charge is adjusted in future periods to allocate the asset’s revised carrying amount, less any residual value, on a systematic basis over its remaining useful life. |
Provisions | (l) Provisions - General - Provisions are recognized when the Company has a present legal or constructive obligation as a result of past events, it is probable that an outflow of resources will be required to settle the obligation, and the amount has been reliably estimated. If the time value of money is significant, provisions are discounted using pre-tax rates, which reflect, when appropriate, the liabilities’ specific risks. The reversal of the discount due to the passage of time originates the increase of the obligation which is recognized with a charge to the consolidated statements of comprehensive income as a finance cost. Provisions are reviewed periodically and are adjusted to reflect the best estimate available as of the date of the consolidation statements of financial position. The expenses related to other provisions are presented in the consolidated statements of comprehensive income. Disclosure of contingent obligations is provided when their existence will only be confirmed by future events or their amount cannot be reliably measured. Contingent assets are not recognized and are disclosed only if it is probable that the Company will generate future economic benefits. Provision for closure of mining units - The Company records a provision for mine closure when a legally enforceable obligation arises, which is independent of the full depletion of the mine reserves. Provisions for closure of mining units or “reclamation obligations” are recognized when incurred and recorded as liabilities at the best estimate of the expenditure required to settle the obligation. The Company recognizes a liability for closure of mining units once the obligation has been properly measured. The liability is initially recognized at the present value of the estimated costs. The liability is accreted over time for the change in present value based on discounted rates that reflects current market assessments and the risk specify to the liability through periodic charges to earnings. In addition, the asset retirement cost is capitalized as part of the asset's carrying value and amortized over the life of the related asset as “asset retirement and mine closure” or “reclamation costs” as part of the property, plant and equipment caption. Reclamation costs are periodically adjusted to reflect changes in the estimated present value resulting from the passage of time and revisions to the estimates of either the timing or amount of the reclamation costs. The estimated reclamation obligation is based on when spending for an existing disturbance is expected to occur. The Company reviews, on an annual basis, unless otherwise deemed necessary, the reclamation obligation at each mine site. Changes in the estimated timing of closure or changes to the estimated future costs are dealt with prospectively by recognizing an adjustment to the provision for closure liability and a corresponding adjustment to the related mining asset. Any reduction in the provision for closure and, therefore, any deduction from the mining asset to which it relates, may not exceed the carrying amount of the mining asset. If it does, any excess over the carrying amount is taken immediately to the consolidated statements of comprehensive income. If the change in estimate results in an increase in the provision for closure and, therefore, an addition to the carrying value of the mining asset, the Company considers whether this is an indication of impairment of the asset as a whole, and if so, the Company performs an impairment test. Reclamation costs related to an inactive mine site are immediately recognized as expenses in the consolidated statements of comprehensive income. |
Treasury shares | (m) Treasury shares – The Company’s own equity instruments that are reacquired (treasury shares) are recognized at cost and deducted from equity. No gain or loss is recognized in profit or loss on the purchase, sale, issue or cancellation of the Company’s own equity instruments. Any difference between the carrying amount and the consideration, if reissued, is recognized as additional paid-in-capital in equity. The voting rights related to treasury shares are cancelled for the Company and no dividends on such shares are allocated. |
Revenue recognition | (n) Revenue from contracts with customers - The Company is principally engaged in the business of producing gold and concentrated copper/silver. Revenue from contracts with customers is recognized when control of the goods is transferred to the customer at an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods. The Company has concluded that it is the principal in its revenue contracts because it typically controls the goods before transferring them to the customer. Trade receivables (not subject to provisional pricing) are non-interest bearing and are generally on terms of 30 days. The disclosures of significant accounting judgements, estimates and assumptions relating to revenue from contracts with customers are provided in note 3. (i) Contract balances - Contract assets A contract asset is the right to consideration in exchange for goods or services transferred to the customer. If the Company performs by transferring goods or services to a customer before the customer pays consideration or before payment is due, a contract asset is recognised for the earned consideration that is conditional. The Company does not have any contract assets as performance and a right to consideration occurs within a short period of time and all rights to consideration are unconditional. Trade receivables A receivable represents the Company’s right to an amount of consideration that is unconditional. Contract liabilities A contract liability is the obligation to transfer goods or services to a customer for which the Company has received consideration (or an amount of consideration is due) from the customer. If a customer pays consideration before the Company transfers goods or services to the customer, a contract liability is recognized when the payment is made or the payment is due (whichever is earlier). Contract liabilities are recognised as revenue when the Company performs under the contract. There are not contract liabilities. Cost to obtain a contract The Company’s contracts do not involve any sales commissions because its contracts are globally negotiated by its Corporate. Therefore, the Company does not recognize any costs to obtain a contract. (ii) Sales of gold - Gold sales relate to unrefined gold dore that is sold under spot sales contracts to banks (customer). The Company initially negotiate with the banks the quantity of gold bullion to be required which is delivered in terms of unrefined gold dore to a selected refiner (the refiner is not the customer). The performance obligation is satisfied once the shipment confirmation is issued at the time the refinery receives the dore, allowing payment from the banks to the Company in full in cash in accordance to contracts with the banks. All risk of loss and damage of the gold dore passes to the refiner upon reception; however, control of the product does not pass to the refiner, it is simply providing processing services to the Company. The Company has identified only one performance obligation related to the sale of gold dore. Revenue is recognized at a point in time when control passes to the bank, which is when the payment is ensured at the same time when the refinery’s shipment confirmation is issued to the bank. This generally occurs after the dore’s refinery shipments are confirmed, not being required to physically delivered the gold dore to the banks but resides in the mint. However, the bank has title, is required to pay for the gold bullion and is able to direct the use of the gold bullion by instructing the refiner to transfer metal credits to or from its metal account, and is exposed to the risks and rewards of the gold bullion. The date of shipment’s confirmation and delivery might be different arising differences between the prices used. Therefore, these sales are subject to subsequent adjustments due the variation of assays. All these matters are resolved according a settlement process specified in the contract which result in the issue of debit/credit notes according to the assays results. With these arrangements, there are no advance payments received from the banks, no conditional rights to consideration, so no contract assets are recognised. A trade receivable is recognised at the date of sale and it is usually paid on cash once delivery confirmation is issued. The contract is entered into and the transaction price is determined at outturn by virtue of the shipment confirmation being subject to further price adjustments when difference between delivery and shipment dates arises. Also, given each spot sale represents the enforceable contract and all performance obligations are satisfied at that time, there are no remaining performance obligations (unsatisfied or partially unsatisfied) requiring disclosure. (iii) Sales of copper and silver concentrate - Copper and silver in concentrate are sold under Free on Board (FOB) Incoterms and this represents the enforceable contract. The performance obligation is the delivery of the concentrate at the point where control passes to the customer. The majority of the Company’s sales of copper and silver in concentrate allow for price adjustments based on the market price at the end of the relevant quotation period (QP) stipulated in the contract. These are referred to as provisional pricing arrangements and are such that the selling price for metal in concentrate is based on prevailing spot prices on a specified future date after shipment to the customer. Adjustments to the sales price occur based on movements in quoted market prices up to the end of the QP. The period between provisional invoicing and the end of the QP can be between one and three months. Revenue is recognized when control passes to the customer, which occurs at a point in time when the copper, silver in concentrate is physically transferred onto a vessel, train, conveyor or other delivery mechanism. The revenue is measured at the amount to which the Company expects to be entitled, being the estimate of the price expected to be received at the end of the QP, i.e., the forward price, and a corresponding trade receivable is recognized. For these provisional pricing arrangements, any future changes that occur over the QP are embedded within the provisionally priced trade receivables and are, therefore, within the scope of IFRS 9 and not within the scope of IFRS 15. Given the exposure to the commodity price, these provisionally priced trade receivables will fail the cash flow characteristics test within IFRS 9 and will be required to be measured at fair value through profit or loss up from initial recognition and until the date of settlement. These subsequent changes in fair value are recognized in the consolidated statements of comprehensive income and other comprehensive income each period and presented in “Other operating revenue”. Changes in fair value over, and until the end of, the QP, are estimated by reference to updated forward market prices for gold and copper as well as taking into account relevant other fair value considerations as set out in IFRS 13, including interest rate and credit risk adjustments. Sales for copper, silver and the subsequent changes in fair value of the trade receivable are presented in the caption “Other operating revenue”. (iv) Interest income - For all financial instruments measured at amortized cost, interest income is recorded using the effective interest rate (EIR). EIR is the rate that exactly discounts the estimated future cash payments or receipts over the expected life of the financial instrument or a shorter period, where appropriate, to the net carrying amount of the financial asset or liability. Interest income is included in finance income in the consolidated statements of comprehensive income. As of December 31, 2019, 2018 and 2017 this caption mainly includes interest from short-term money market funds and interest from current bank accounts for an amount of US$18,430, US$11,448 and US$5,831, respectively. |
Benefits to employees | (o) Benefits to employees - In accordance to Peruvian laws, employees are entitled to receive one month paid vacation per year and one-month salary bonus paid in July and December. In addition, employees are entitled to receive one -month salary per year (approximately) as severance indemnity which are deposited in advance with a bank elected by the employee. If employees are dismissed without cause, they are entitled to a mandatory severance pay that is set at 1.5 monthly salaries for each year of service. The maximum severance payment is twelve salaries. Salaries and wages, bonuses, post-employment benefits and vacations are calculated in accordance with IAS 19, "Employee Benefits" and are calculated in accordance with current Peruvian legislation based on the accrual basis. |
Worker's profit sharing | (p) Workers’ profit sharing - The Company recognizes workers’ profit sharing in accordance with IAS 19, “Employees Benefits". Workers' profit sharing is calculated in accordance with the Peruvian law (Legislative Decree No. 892), and the applicable rate is 8% over the taxable net base of current year. According to Peruvian law, the limit in the workers' profit sharing that an employee can receive is equivalent to 18 months of wages, and any excess above such limit has be transferred to the Regional Government and “National Fund for Employment’s Promotion and Training” (“FONDOEMPLEO”). The workers’ profit sharing is recorded as part of cost applicable to sales, see note 17. |
Taxes | q) Taxes - Current income tax - Current income tax assets and liabilities for the current and prior periods are measured at the amount expected to be recovered from, or paid to, the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted at the reporting date in Peru. Current income tax relating to items recognized directly in other comprehensive income or equity is recognized in other comprehensive income or equity and not in profit or loss. Management periodically evaluates positions taken in the tax returns with respect to situations where applicable tax regulations are subject to interpretation and establishes provisions where appropriate. Deferred income tax - The Company accounts for income and mining taxes using the liability method, recognizing certain temporary differences between the financial reporting basis of the Company’s liabilities and assets and the related income tax basis for such liabilities and assets. This method generates a net deferred income tax liability or net deferred income tax asset for the Company, as measured by the statutory tax rates that have been enacted or substantively enacted by the end of the reporting period. The Company derives its deferred income tax charge or benefit by recording the change in the net deferred income tax liability or net deferred income tax asset balance for the year, based on Peruvian income and mining tax laws. Deferred income tax assets are recognized only to the extent that it is probable that future taxable profit will be available against which the temporary differences, and the carry-forward of unused tax credits can be utilized. Deferred tax related to items recognized in other comprehensive income or equity is recognized in other comprehensive income or equity and not in profit or loss. Deferred income tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when the deferred income tax assets and liabilities relate to income taxes levied by the same taxation authority on either the same taxable entity or different taxable entities where there is an intention to settle the balances on a net basis. Peruvian mining royalties and special mining tax – In accordance with Law No. 28258, as amended by Law No. 29788, mining royalties are payable as the higher of either as a specified percentage of operating profit or 1% of revenues. If the mining royalty is calculated as a percentage of operating profit, marginal rates ranging from 1% to 12% that increase progressively for companies with higher operating margins will apply. Mining royalties and special mining tax are accounted for in accordance with IAS 12 "Income Tax" because they have the characteristics of an income tax. This is considered to be the case when they are imposed under government authority and the amount payable is based on taxable income-rather than physical quantities produced or as a percentage of revenue-after adjustment for temporary differences. Legal rules and rates used to calculate the amounts payable are those in effect on the date of the consolidated statements of financial position. Therefore, obligations arising from Mining Royalties and Special Mining Tax are recognized as income tax under the scope of IAS 12. Both, Mining Royalties and Special Mining Tax generated deferred tax assets and liabilities which must be measured using the average rates expected to apply to operating profit in the quarter in which the Company expects to reverse temporary differences. Value added tax - Expenses and assets are recognized net of the amount of sales tax, except: (i) (ii) |
Fair value measurement | (r) Fair value measurement - The Company measures its financial instruments, such as, derivatives and embedded derivatives, at fair value as of the date of the consolidated statements of financial position. Fair value is the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either: - In the principal market for the asset or liability, or - In the absence of a principal market, in the most advantageous market for the asset or liability. The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the consolidated financial statements are categorized within the fair value hierarchy, described, as follows, based on the lowest level input that is significant to the fair value measurement as a whole: - Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities. - Level 2 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable. - Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable. For assets and liabilities that are recognized in the consolidated statements of financial position on a recurring basis, the Company determines whether transfers have occurred between levels in the hierarchy by reassessing categorization (based on the lowest-level input that is significant to the fair value measurement as a whole) at the end of each reporting period. The Company’s Management determines the policies and procedures for both recurring fair value measurement and non-recurring measurement. At each reporting date, the Company’s Management analyzes the movements in the values of assets and liabilities which are required to be re-measured or re-assessed as per the Company’s accounting policies. For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities based on the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above. |
Intangible assets including computer software | (k) Intangible assets including computer software - Intangible assets acquired separately are measured on initial recognition at cost. The cost of intangible assets acquired in a business combination is their fair value at the date of acquisition. Following initial recognition, intangible assets are carried at cost less any accumulated amortization (calculated on a straight-line basis over their useful lives). The useful lives of intangible assets are assessed as either finite or indefinite. Intangible assets with finite live are amortized over their useful economic lives and assessed for impairment whenever there is an indication that the intangible asset may be impaired. The amortization period and the amortization method for an intangible asset with a finite useful life are reviewed at least at the end of each reporting period. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered to modify the amortization period or method, as appropriate, and are treated as changes in accounting estimates. The amortization expense on intangible assets with finite lives is recognized in the consolidated statements of comprehensive income in the expense category that is consistent with the function of the intangible assets. All intangible assets of the Company have finite lives. Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognized in the statements of comprehensive income when the asset is derecognized. |
Reclassifications of comparative information | (t) Reclassifications of comparative information – Royalties expenses The Company reclassified royalties expenses for US$23 million and US$26 million in years 2018 and 2017; respectively. Such royalties were presented reducing revenues from the “Revenue from sales” caption and now are presented as part of the “cost applicable to sales” caption. 2018 2018 As previously reported Reclassifications Modified US$(000) US$(000) US$(000) Consolidated Statements of comprehensive income Sales 635,393 23,260 658,653 Cost applicable to sales (596,164) (23,260) (619,424) 2017 2017 As previously reported Reclassifications Modified US$(000) US$(000) US$(000) Consolidated Statements of comprehensive income Sales 645,176 25,729 670,905 Cost applicable to sales (746,918) (25,729) (772,647) Income tax payable The Company reclassified the amount of US$3.5 million related to mining taxes payable. Such taxes were presented in the “Trade and other payables” caption and now are presented as part of the “Income tax payable” caption. 2018 2018 As previously reported Reclassifications Modified US$(000) US$(000) US$(000) Consolidated Statements of financial position Trade and other payables 87,016 (3,552) 83,464 Income tax payable — 3,552 3,552 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Basis of presentation | (a) Basis of presentation - The financial statements of the Company have been prepared in accordance with International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB). IFRS includes International Accounting Standards (IAS) and pronouncements of the Interpretations Committees (SIC and IFRIC). The financial statements have been prepared based on historical cost, except for accounts receivable and/or payable related to embedded derivatives, which have been measured at fair value (see Note 2(d)). The financial statements are presented in United States dollars (US$) and include the years ended December 31, 2019, 2018 and 2017. Unless otherwise indicated, all values have been rounded to the nearest thousand. |
Changes in accounting policies and disclosures | (a) Changes in accounting policies and disclosures – IFRS 16, “Leases” - IFRS 16 introduced a single, on-balance sheet accounting model for lessees and the Company adopted IFRS 16 on January 1, 2019. As a result, the Company, as a lessee, has recognized right-of-use assets representing its rights to use the underlying assets and lease liabilities representing its obligation to make lease payments. The Company has applied IFRS 16 using the modified retrospective approach, under which the comparative information presented for 2018 has not been restated and it is presented, as previously reported, under IAS 17, “Leases,” and related interpretation. Definition of a lease - Previously, the Company determined at contract inception whether a contract was or contained a lease under IFRIC 4, “Determining Whether an Arrangement Contains a Lease.” The Company now assesses whether a contract is, or contains, a lease based on the new definition of a lease. Under IFRS 16, a contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. On transition to IFRS 16, the Company elected to apply the practical expedient to grandfather the assessment of which arrangements are leases. It applied IFRS 16 only to contracts that were previously identified as leases. Contract that were not identified as leases under IAS 17 and IFRIC 4 were not reassessed. Therefore, the definition of a lease under IFRS 16 has been applied only to contracts entered into or changed on or after January 1, 2019. At inception or on reassessment of a contract that contains a lease component, the Company allocates the considerations in the contract to each lease and non-lease component on the basis of their relative stand-alone prices. As a lessee - As a lessee, the Company previously classified leases as either operating and finance leases based on its assessments of whether a lease transferred substantially all of the risks and rewards of ownership. Under IFRS 16, all leases are classified as finance leases. The Company has elected the exemption for leases of low-value assets as well as the short-term lease exemption for all asset classes and does not report a lease liability or right-of-use asset for leases of low-value assets or leases with a term of 12 months or less. The Company presents right-of-use assets in “property, plant and equipment,” the same line item as it presents underlying assets of the same nature that it owns. Leased right-of-use assets are presented in Note 7(b). The Company recognizes a right-of-use asset and a lease liability at the lease commencement date. Right-of-use asset - The right-of use asset is initially measured at cost, and subsequently at cost less any accumulated depreciation and impairments losses, and adjusted for certain re-measurements of the lease liability. The right-of-use asset is depreciated using the straight-line method from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term. The estimated useful lives of right-of-use assets are determined on the same basis as those of property, plant and equipment. Lease liability - The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Company’s incremental borrowing rate. The Company does not have any lease contracts in which the implicit rate is readily determinable and as such used its incremental borrowing rate in all lease calculations. The incremental borrowing rates were determined for each lease taking into consideration factors such as the lease term, the nature of the asset, credit risk and economic environment in which the asset was located. The weighted average incremental borrowing rate at transition was 4.704% per annum. The lease liability is subsequently increased by the interest cost on the lease liability and decreased by lease payments made. It is re-measured when there is a change in future lease payments arising from a change in an index rate, if there is a change in the estimate of the amount expected to be payable under a residual value guarantee, or as appropriate, changes in the assessment of whether a purchase option, termination option or extension option is reasonably certain to be exercised. The lease liabilities as of January 1, 2019 can be reconciled to the operating lease commitments as of December 31, 2018: US$(000) Operating lease commitments as of December 31, 2018 (undiscounted) 152,866 Exclude / deduct Contracts that do not meet the revised definition of a lease (25,851) Committed leases not commenced at 1 January 2019 — Effect of discounting (31,287) Discounted recognized lease liabilities as of January 1, 2019 95,728 Lease liabilities are presented in “other financial liabilities” (Note 10). Lease term - The Company has applied judgement to determine the lease term for some lease contracts in which it is a lessee and that include renewal options. The assessment of whether the Company is reasonably certain to exercise such options impacts the lease term, which significantly affects the amount of the lease liabilities and right-of-use assets recognized. Also in relation to those leases under IFRS 16, the Company has recognized depreciation and interest costs which are presented in “cost of sales” (Note 15) and “financial expenses” (Note 18). IFRIC Interpretation 23, “Uncertainty over Income Tax Treatment”- The Interpretation addresses the accounting for income taxes when tax treatments involve uncertainty that affects the application of IAS 12, “Income Taxes.” It does not apply to taxes or levies outside the scope of IAS 12, nor does it specifically include requirements relating to interest and penalties associated with uncertain tax treatments. The Interpretation specifically addresses the following: · Whether an entity considers uncertain tax treatments separately. · The assumptions an entity makes about the examination of tax treatments by taxation authorities. · How an entity determines taxable profit or loss, tax bases, unused tax losses, unused tax credits and tax rates. · How an entity considers changes in facts and circumstances. The Company determines whether to consider each uncertain tax treatment separately or together with one or more other uncertain tax treatments and uses the approach that better predicts the resolution of the uncertainty. The Company applies significant judgement in identifying uncertainties over income tax treatments. The Company adopted IFRIC 23 on January 1, 2019, at that date the Company did not record any impact by IFRIC 23. A summary of the impact from the uncertain tax treatments recognized during 2019, is showed below: 2019 US$(000) Increase in current tax assets 35,701 Increase in current tax liabilities 21,920 Increase in deferred tax liabilities 20,767 Increase in income taxes expense 6,986 During 2019, the Company recognized uncertain tax positions, particularly those relating to depreciation of fixed assets out of the scope of feasibility study, sales commissions with non-related companies and miscellaneous information technology services, based on new information obtained and assed since January 1, 2019. Several other amendments and interpretations applied for the first time in 2019, but did not have an impact on the financial statements of the Company and, hence have not been disclosed. The Company has not early any standards, interpretations or amendments that have been issued but not yet effective. |
Use of judgments, estimates and assumptions | (a) Use of judgments, estimates and assumptions - The preparation of financial statements in conformity with IFRS requires management to make judgments, estimates and assumptions in order to determine the amounts of the assets and liabilities, and the disclosure of contingent assets and liabilities as of December 31, 2019 and 2018, and the amounts of reported revenues and expenses for the years ended December 31, 2019, 2018 and 2017. Information about significant judgments, estimates and assumptions made by Management in the preparation of the financial statements follows: (b.1) Judgments - (i) By their nature, contingencies will be resolved only when one or more uncertain future events occur or fail to occur. The assessment of the existence and potential amount of contingencies inherently involves the exercise of significant judgment and the use of estimates regarding the outcome of future events. (ii) The Company incurs waste removal costs (stripping costs) during the development and production phases of its surface mining operations. Production stripping costs can be incurred both in relation to the production of inventory in that period and the creation of improved access and mining flexibility in relation to ore to be mined in the future. The former are included as part of the costs of inventory, while the latter are capitalized as a stripping activity asset, as part of the “Property, plant and equipment” caption, where certain criteria are met. Once the Company has identified its production stripping for its surface mining operation, it identifies the separate components of the ore body. An identifiable component is a specific volume of the ore body that is made more accessible by the stripping activity. Significant judgment is required to identify and define these components, and to determine the expected volumes (e.g., in tons) of waste to be stripped and ore to be mined in each of these components. (b.2) Estimates and assumptions - (i) Mineral reserves are the part of a mineral deposit that can be economically and legally extracted from the mine concessions. The Company estimates its mineral reserves based on information compiled by individuals qualified in reference to geological data about the size, depth and form of the ore body, and requires geological judgments in order to interpret the data. The estimation of recoverable reserves involves numerous uncertainties with respect to the ultimate geology of the ore body, including quantities, grades and recovery rates. Estimating the quantity and grade of mineral reserves requires the Company to determine the size, shape and depth of the ore body by analyzing geological data. In addition to the geology, assumptions are required to determine the economic feasibility of mining the reserves, including estimates of future commodity prices and demand, future requirements of capital and production costs, and estimated exchange rates. Revisions in reserve or resource estimates have an impact on the value of mining properties, property, plant and equipment, provisions for cost of mine closure, recognition of assets for deferred taxes and depreciation and amortization of assets. (ii) Estimated mineral reserves are used in determining the depreciation and/or amortization of mine-specific assets. This results in a depreciation/amortization charge proportional to the depletion of the anticipated remaining life-of-mine production. The life of each item, which is assessed at least annually, is impacted by both its physical life limitations and present assessments of economically recoverable reserves of the mine property at which the asset is located. These calculations require the use of estimates and assumptions, including the amount of recoverable reserves. (iii) The Company assesses its provision for remediation and mine closure quarterly. It is necessary to make estimates and assumptions in determining this provision, including cost estimates of activities that are necessary for the rehabilitation of the site, technological and regulatory changes, interest rates and inflation rates. As discussed in note 2(j), estimated changes in the fair value of the provision for remediation and mine closure or the useful life of the related assets are recognized as an increase or decrease in the book value of the provision and related asset retirement cost (ARC) in accordance with IAS 16, “Property, Plant and Equipment.” According to the Company’s accounting policies, the provision for remediation and mine closure represents the present value of the costs that are expected to be incurred in the closure period of the operating activities of the Company. Closure budgets are reviewed regularly to take into account any significant change in the studies conducted. Nevertheless, the closure costs of mining units will depend on the market prices for the closure work required, which would reflect future economic conditions. Also, the timing of disbursements depends on the useful life of the mine, which are based on estimates of future commodity prices. If any change in the estimate results in an increase to the provision for remediation and mine closure and related ARC, the Company shall consider whether or not this is an indicator of impairment of the assets and will apply impairment tests in accordance with IAS 36, “Impairments of Assets.” (iv) Net realizable value tests are performed at least annually and represent the estimated future sales price of the product based on prevailing spot metals prices, less estimated costs to complete production and bring the inventory to sale. Additionally, in calculating the net realizable value of the Company’s long-term stockpiles, Management also considers the time value of money. Mill and leach stockpiles generally contain lower grade ores that have been extracted from the ore body and are available for copper recovery. Mill stockpiles contain sulfide ores and recovery of metal is through milling and concentrating. Leach stockpiles contain oxide ores and certain secondary sulfide ores and recovery of metal is through exposure to acidic solutions that dissolve contained copper and deliver it in solution to extraction processing facilities. Because it is generally impracticable to determine copper contained in mill and leach stockpiles by physical count, reasonable estimation methods are employed. The quantity of material delivered to mill and leach stockpiles is based on surveyed volumes of mined material and daily production records. Sampling and assaying of blast hole cuttings determine the estimated copper grades of material delivered to mill and leach stockpiles. Expected copper recovery rates for mill stockpiles are determined by metallurgical testing. The recoverable copper in mill stockpiles, once entered into the production process, can be produced into copper concentrate almost immediately. Expected copper recovery rates for leach stockpiles are determined using small-scale laboratory tests, historical trends and other factors, including mineralogy of the ore and rock type. Total copper recovery in leach stockpiles can vary significantly depending on several variables, including type of copper recovery, mineralogy and the size of the rock. For newly placed material of active stockpiles, as much as 80 percent of total copper recovery may be extracted during the first year, and the remaining copper may be recovered over many years. Processes and recovery rates are monitored continuously, and recovery rate estimates are adjusted periodically as additional information becomes available and as related technology changes. (v) Management has determined that the Company’s operations consist of one cash generating unit. The Company’s operations are evaluated at least annually in order to determine if there are impairment indicators. If any such indication exists, the Company makes an estimate of the recoverable amount, which is the higher of: (i) the fair value less costs of disposal or (ii) the value in use. These assessments require the use of estimates and assumptions, including long-term commodity prices, discount rates, operating costs, and others. Fair value is defined as the amount that would be obtained from the sale of the asset in an arm’s length transaction between willing and knowledgeable parties. The fair value of assets is generally determined as the current value of future cash flows derived from the continuous use of the asset, which includes estimates, such as the cost of future expansion plans and eventual disposal, while applying assumptions that an independent market participant may take into account. The cash flows are discounted by applying a discount rate that reflects the current market, the time value of money and the risks specific to the asset. |
Financial assets | (a) Financial assets – Initial recognition and measurement - At initial recognition, financial assets are classified and measured at either amortized cost, or fair value through profit or loss. The classification of financial assets at initial recognition depends on the financial asset’s contractual cash flow characteristics and the Company´s business model for managing them. With the exception of trade receivables that do not contain a significant financing component, the Company initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs. Trade receivables that do not contain a significant financing component are measured at the transaction price determined under IFRS 15, “Revenue from Contracts with Costumers.” The Company’s business model for managing financial assets refers to how it manages its financial assets in order to generate cash flows. The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial assets or both. Purchases or sales of financial assets that require delivery of assets within a time frame established by regulation or convention in the market place (regular way trades) are recognized on the trade date. Cash and cash equivalents - Cash and cash equivalents are financial assets that may be liquidated immediately, such as bank checking accounts, and other liquid investments with original maturities of three months or less. Accounts Receivables - The Company’s receivables include current and long-term trade and other accounts receivable. These receivables are stated at their transaction value, net of an allowance for expected credit lose. Trade accounts receivable are generated primarily from the Company’s concentrate and cathode sales, are denominated in US dollars, have current maturities, do not bear interest and have no specific guarantees. Receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. Subsequent measurement - For purposes of subsequent measurement, financial assets are classified in two categories: - Financial assets at amortized cost (debt instruments). - Financial assets at fair value through profit or loss. Financial assets at amortized cost (debt instruments) - This category is the most relevant to the Company. The Company measures financial assets at amortized cost if both of the following conditions are met: - The financial asset is held within a business model with the objective to collect contractual cash flows, and - The contractual terms of the financial asset give rise, on specified dates, to cash flows that are solely payments of principal and interest on the principal amount outstanding. Financial assets at amortized cost are subsequently measured using the effective interest rate method and are subject to impairment. Gains and losses are recognized in the statements of comprehensive income when the asset is derecognized, modified or impaired. This category generally applies to trade and other receivables, net. Financial assets at fair value through profit or loss - Financial assets at fair value through profit or loss include financial assets held for trading, financial assets designated upon initial recognition at fair value through profit or loss or financial assets mandatorily required to be measured at fair value. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term. Derivatives, including separated embedded derivatives, are also classified as held for trading unless they are designated as effective hedging instruments. Financial assets with cash flows that are not solely payments of principal and interest are classified and measured at fair value through profit or loss, irrespective of the business model. Financial assets at fair value through profit or loss are carried in the statements of financial position at fair value with net changes in fair value recognized in the statements of comprehensive income. Embedded derivatives - Copper Sales - The Company’s copper sales are provisionally priced at the time of shipment. The provisional prices are finalized in a specified future month based on quoted London Metal Exchange (LME) monthly average prices. The Company receives market prices based on prices in the specified future month, which results in price fluctuations recorded through revenues until the date of settlement. The Company records revenues and invoices customers at the time of shipment based on then-current LME prices, which results in an embedded derivative that is required to be separated from the main contract. The Company’s embedded derivatives from sales are measured at fair value (based on LME spot copper prices) and presented as gains/losses on provisionally priced trade receivables. Molybdenum Sales - The Company’s molybdenum sales are also provisionally priced at the time of shipment. The Company records revenues and invoices customers at the time of shipment based on the arithmetic mean of the high and low Metals Week Dealer Oxide (MWDO) price. The provisional prices are finalized in a future month, according to the period of quotation, which results in price fluctuations recorded through revenues until the date of settlement, which also results in an embedded derivative that is required to be separated from the main contract. Derecognition - A financial asset (or, where applicable a part of a financial asset or part of a group of similar financial assets) is primarily derecognized when: - The rights to receive cash flows from the asset have expired; or - The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a pass-through arrangement; and either (a) the Company has transferred substantially all the risks and rewards of the asset or, (b) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset. When the Company has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, it evaluates if and to what extent, it has retained the risk and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the Company continues to recognize the transferred asset to the extent of the Company´s continuing involvement. In that case, the Company also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Company has retained. Impairment of financial assets - The Company recognizes an allowance for expected credit losses for all debt instruments not held at fair value through profit or loss. Expected credit losses are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Company expects to receive, discounted at an approximation of the original effective interest rate. The expected cash flows will include cash flows from the sale of collateral held or other credit enhancements that are integral to the contractual terms. Expected credit losses are recognized in two stages. For credit exposures for which there has not been a significant increase in credit risk since initial recognition, expected credit losses are provided for credit losses that result from default events that are possible within the next 12‑months (12‑month expected credit losses). For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (lifetime expected credit losses). For trade receivables and contract assets, the Company applies a simplified approach in calculating expected credit losses. Therefore, the Company does not track changes in credit risk, but instead recognizes a loss allowance based on the financial asset’s lifetime expected credit losses at each reporting date. The Company considers a financial asset in default when contractual payments are 180 days past due. However, in certain cases, the Company may also consider a financial asset to be in default when internal or external information indicates that the Company is unlikely to receive the outstanding contractual amounts in full before taking into account any credit enhancements held by the Company. A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows. |
Inventories | (a) Inventories - Inventories are stated at the lower of cost or net realizable value. Inventory of materials and supplies, as well as saleable products and in-process inventory are determined using the weighted-average cost method. The cost of finished goods and in-process inventory (i.e., stockpiles) includes labor and benefits, supplies, energy and other costs related to the mining and processing of minerals. Net realizable value is determined based on the estimated future sales price using on forward metal prices (for the period they are expected to be processed in), less estimated costs to complete production and bring the inventory to sale. The current portion of work-in-process is determined based on the amount the Company expects to process in the next twelve months. Inventories that are not expected to be processed in the next twelve months are classified as long-term inventories. No adjustments to inventories were required for the years ended December 31,2019, 2018 and 2017. Provision for obsolescence - Obsolescence allowances are established based on an item-by-item analysis by management. Any amount of obsolescence identified is charged to the statements of comprehensive income in the period it is deemed to have occurred. |
Property, plant and equipment | (a) Property, plant and equipment - Property, plant and equipment are valued at historical cost, including costs that are directly attributed to the construction or acquisition of the asset, net of accumulated depreciation, amortization and impairment. The initial cost of an asset comprises its purchase price or construction cost, any costs directly attributable to bringing the asset into operation, the initial estimate of the obligation for mine closing and borrowing costs for qualifying assets. Repairs and/or improvements that increase the economic life of an asset and for which it is probable that there will be future economic benefit to the Company, are recorded as assets. All other maintenance costs are charged to expense as incurred. Land is not depreciated. Depreciation of assets directly related to the useful life of the mine is calculated using the units-of-production (UOP) method based on the mine’s proven and probable copper reserves. Other assets are depreciated using the straight-line method based on the following estimated useful lives: Years Buildings and other constructions Between 5 and 35 Machinery and equipment Between 2 and 30 Transportation units Between 5 and 7 Furniture and fixtures Between 7 and 10 Other equipment Between 3 and 25 Critical spare parts and other parts which are directly identified with machinery or equipment are included in property, plant and equipment, and the economic life assigned corresponds to the main asset with which they are identified. An item of property, plant and equipment is retired at the time of its disposal or when no future economic benefits are expected from its use or subsequent disposition. Any gain or loss arising at the time of retirement is calculated as the difference between the proceeds from the sale and the book value of the asset and is included in the statements of comprehensive income in the period the asset is retired. The residual value and useful economic lives of the Company’s property, plant and equipment are reviewed, and adjusted if appropriate, at each year end. Impairment - At each reporting date, the Company evaluates if there is any indication that an asset could be impaired. If such an indication exists, the Company estimates the recoverable amount of the asset. The recoverable amount of an asset is the greater of (i) its fair value less costs to sell or (ii) its value in use and is determined for the assets of the mine as a whole, since there are no assets that generate cash revenues independently. When the book value of an asset exceeds its recoverable amount, the asset is considered impaired and is reduced to its recoverable amount. When evaluating the value in use, the future estimated cash flows are discounted to their present value using an after-tax discount rate that reflects current market evaluations of the time value of money and the specific risks to the asset. Losses resulting from the impairment of assets are recognized in the statements of comprehensive income under the categories of expenses consistent with the function of the impaired asset. A previously recognized impairment loss is reversed only if there has been a change in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognized. The revised valuation cannot exceed the book value that would have been determined, net of depreciation, if an impairment loss for the asset had not been recognized in a previous period. Such a reversal is recognized in the statements of comprehensive income. The Company did not identify any indicators of impairment for the years ended December 31, 2019, and 2018. |
Exploration and mine development costs | (a) Exploration, development and stripping costs - Exploration costs - Mineral exploration costs, as well as drilling and other costs incurred for the purpose of converting mineral resources to proven and probable reserves, or identifying new mineral resources at development or production stage properties, are charged to the statements of comprehensive income as incurred. Development costs - Development costs are capitalized when the economic and technological feasibility of the project is confirmed, which is generally when the development or project has reached a milestone in accordance with a model established by management. Stripping cost - In accordance with IFRIC 20, “Stripping Cost in the Production Phase of a Surface Mine,” stripping costs incurred in the production phase are capitalized as a component of property, plant and equipment (see Note 7) if the stripping activity improves access to the ore body or enhances an existing asset. The stripping activity asset is subsequently amortized using the UOP method over the component of the ore body benefitted. |
Provisions | (a) Provisions - General - A provision is recognized when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that resources of the Company will be required to settle the obligation, and an estimate of the amount of the obligation can be calculated. The expense relating to any provision is presented in the statements of comprehensive income, net of any reimbursement, in the period the provision is established. If the effect of the time value of money is significant, provisions are discounted by applying a discount rate that reflects, where applicable, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognized as a financial expense in the statements of comprehensive income. Mine closure provision - The Company records a mine closure provision when a contractually or legally enforceable obligation arises. The Company estimates the present value of its future obligation for mine closure and increases the carrying amount of the related asset retirement cost (ARC), which is included in property, plant and equipment in the statements of financial position. Subsequently, the mine closure provision is accreted to full value over time and recognized as an interest cost considered in the initial fair value estimate. The related ARC is depreciated using the UOP method over the life of the mine. The Company evaluates its mine closure provision on a quarterly basis and makes adjustments to estimates and assumptions, including scope, future costs and discount rates, as applicable. Changes in the fair value of the mine closure provision or the useful life of the related asset are recognized as an increase or decrease in the book value of the provision and the related ARC in accordance with IAS 16, “Property, Plant and Equipment.” Any decrease in the mine closure provision and related ARC cannot exceed the current book value of the asset; amounts over the current book value will be recorded in the statements of comprehensive income. |
Revenue recognition | (a) Revenue recognition - The Company primarily sells copper concentrate and copper cathode in accordance with sales contracts entered into with its customers. Revenues from contracts with customers comprise the fair value of the sale of goods, net of related general sales taxes. Revenue from contracts with customers is recognized when control of goods or services are transferred to the customer at an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods. As such, the Company is the principal in its revenue contracts. The Company considers whether there are other promises in the contract that are separate performance obligations to which a portion of the transaction price needs to be allocated. The Company consider that the only performance obligation is the delivery of the goods. In determining the transaction price for the sale of copper concentrates and copper cathode, the Company considers the effect of variable consideration and the existence of significant financing components. Variable consideration - If the consideration in the contract includes a variable amount, the Company estimates the amount of consideration to which it will be entitled in exchange for transferring the goods to the customer. The variable consideration is estimated at contract inception and constrained until it is highly probable that a significant revenue reversal in the amount of cumulative revenue recognized will not occur when the associated uncertainty with the variable consideration is subsequently resolved. Sales of concentrates and metals at provisional prices include a gain (loss) to be received at the end of the quotation period. Revenue is recognized at the amount the entity expects to be entitled – being the estimate of the price expected to be received at the end of the quotation period using the most recently determined estimate of metal in concentrate (based on initial assay results) and the estimated forward price. The requirements in IFRS 15 on constraint estimates of variable consideration are also applied to determine the amount of variable consideration that can be included in the transaction price. Significant financing components - The Company receives short-term advances from its customers. Using the practical expedient in IFRS 15, the Company does not adjust the promised amount of consideration for the effects of a significant financing component if it expects, at contract inception, that the period between the transfer of the promised good to the customer and when customer pays for that good will be one year or less. The Company’s revenues are subject to OSINERGMIN (Organismo Supervisor de la Inversión en Energía y Minería) and OEFA (Organismo de Evaluación y Fiscalización Ambiental) royalties. The calculation for the OSINERGMIN royalty contribution is 0.13% of invoiced sales for the year 2019 (0.14% for the year 2018 and 0.15% for the year 2017), and the calculation for the OEFA contribution is 0.11% of invoiced sales for the year 2019 (0.11% for the year 2018 and 0.11% for the year 2017). Such royalties contributions are presented as a reduction of revenues (see Note 14). |
Benefits to employees | (a) Benefits to employees - Salaries and wages, bonuses and vacations are calculated in accordance with IAS 19, "Employee Benefits" and current Peruvian legislation. Worker’s profit sharing - The Company recognizes worker’s profit sharing in accordance with IAS 19. Worker’s profit sharing is calculated in accordance with Peruvian laws (Legislative Decree No. 892), and the Company’s worker’s profit sharing rate is 8% over the net taxable base of the current year. According to Peruvian law, the limit in the worker’s profit sharing that an employee can receive is equivalent to 18 months of wages, and any excess above such limit is transferred to the Regional Government and the National Fund for Employment’s Promotion and Training ("FONDOEMPLEO"). The Company’s worker’s profit share is recognized as a liability in the statements of financial position and as an operating expense in the statements of comprehensive income. |
Borrowing costs | (a) Borrowing cost - Borrowing costs directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as finance costs as part of the asset. A qualifying asset is one whose value is greater than US$ 1 million and requires at least 12 months to be ready for its intended use. All other borrowing costs are expensed in the period in which they occur. Borrowing costs consist of interest and other costs that the Company incurs in connection with the borrowing of funds. |
Taxes | (a) Income taxes, deferred taxes and other taxes - Income taxes - Income tax assets and liabilities are measured at the amounts expected to be paid to or recovered from the tax authorities. The amount of current tax payable or receivable is the best estimate of the tax amount to be paid or received that reflects uncertainty related to income taxes, if any. The tax rates and tax laws that are applied to compute the amounts are those that are enacted or substantially enacted at the end of the reporting period. The Company calculates the provision for income tax in accordance with the Peruvian tax legislation in force. For the years 2019, 2018 and 2017, the Company was subject to an income tax rate of 32% (see Note 13(b)). Deferred Taxes - Deferred taxes are presented using the liability method for differences between the tax basis of assets and liabilities and their book value for financial reporting purposes. Deferred tax liabilities are recognized for all taxable differences. Deferred tax assets are recorded for all deductible differences when there is a probability that there could be taxable earnings against which the deductible difference could be applied. The book value of deferred tax assets is reviewed at the end of each period and reduced to an amount that is more likely than not to be realized against taxable earnings. Deferred tax assets that are not recognized are reassessed each period and are recognized when it is more likely than not that those future taxable earnings will allow the deferred tax asset to be recovered. Deferred tax assets and liabilities are measured at tax rates that are expected to be applicable during the year when the assets are realized or the liabilities are liquidated, based on the tax rates (and tax laws) that have been enacted or substantively enacted at the end of the period, and reflects uncertainty related to income taxes, if any. Deferred tax assets and liabilities are offset if there is a legally enforceable right to offset tax assets against tax liabilities and the deferred tax is related to the same entity and the same tax authority. Mining Taxes - On September 29, 2011, Law 29788 (which amended Law 28528) was enacted creating a new mining tax and royalty regime in Peru. Under the new regime, companies that did not have stability agreements were subject to the payment of royalties and a special mining tax. Cerro Verde believes its 1998 Stability Agreement exempts from royalties all minerals extracted from its mining concession, irrespective of the method used for processing those materials, and therefore, was not subject to the payment of royalties and a special mining tax until the 1998 Stability Agreement expired on December 31, 2013. See Note 13(d) for further discussion of developments resulting in the recognition of provisions for these disputed royalties and special mining taxes for prior years. Because the Company believes it was not subject to the payment of royalties and a special mining tax, Cerro Verde was subject to special mining burden (GEM) until the expiration of its 1998 Stability Agreement on December 31, 2013. Under the terms of its current 15‑year stability agreement (see Note 13(a)), which became effective January 1, 2014, the Company is subject to mining royalties and a special mining tax for all of its mining production. Supplementary Retirement Fund - On July 9, 2011, Law 29741 was enacted and established a Mining, Metallurgical and Steel Supplementary Retirement Fund (SRF), which is a social security retirement fund for mining, metals and steel industry workers. Under the terms of its current 15‑year stability agreement, the Company is subject to SRF, which is calculated as 0.5% of net taxable income. |
Fair value measurement | (a) Fair value measurement - The Company measures its embedded derivatives, at fair value, at each date presented in the statement of financial position. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data is available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair value hierarchy, described, as follows, based on the lowest level input that is significant to the fair value measurement as a whole: - Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities. - Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable. - Level 3 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable. For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities based on the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above . |
Currency | (a) Currency - The financial statements are presented in United States (US) dollars, which is also the Company’s functional currency. Foreign currency transactions are those carried out in a currency other than the functional currency. Foreign currency transactions are translated into the functional currency by applying the exchange rate in force on the date the transaction takes place. Monetary assets and liabilities denominated in foreign currencies are converted using the functional currency spot rate in force at the reporting date. Gains and losses as a result of the difference in the exchange rate when currency items are liquidated or when converting currency items at exchange rates that are different from those used for their initial recognition are recognized in the statement of comprehensive income of the period. The Company uses Peruvian Sol (S/) exchange rates published by the Superintendent of Banks, Insurance and Pension Fund Administrators. The published exchange rates were S/3.311 for US$1 for buying and S/3.317 for US$1 for selling as of December 31, 2019, and S/3.369 for US$1 buying and S/3.379 for US$1 for selling as of December 31, 2018. These rates have been applied to the appropriate asset and liability accounts. |
Financial liabilities | (a) Financial liabilities - All financial liabilities are recognized initially at fair value and in the case of accounts payable and other financial liabilities, net of directly attributable transaction costs. The Company´s financial liabilities include loans, trade and other accounts payables and other financial liabilities. Loans - Loans are initially recognized at their fair value, net of directly attributable transaction costs. After initial recognition, loans are subsequently measured at amortized cost using the effective interest rate method. Gains and losses are recognized in the statements of comprehensive income when the liabilities are derecognized as well as through the amortization process. Amortized cost is calculated taking into account any discount or premium on acquisition and fees or costs that are an integral part of the effective interest rate. Amortization under the effective interest rate method is included as financial costs in the statements of comprehensive income. Derecognition - A financial liability is derecognized when the associated obligation is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts are recognized in the statements of comprehensive income. |
Intangible assets including computer software | (a) Intangible Assets - Intangible assets are recorded at cost less accumulated amortization. After the initial recognition, the intangible assets are recorded at its cost less accumulated amortization and any accumulated loss for impairment of use, if applicable. |
Earnings per share | (a) Basic and diluted earnings per share - Basic and diluted earnings per share have been calculated based on the weighted average number of common shares outstanding during the period. When the number of shares is modified because of capitalization of retained earnings, the net income per basic and diluted shares is adjusted retroactively for all of the periods reported. For the years 2019, 2018 and 2017, the Company did not have any financial instruments with dilutive effects; as a result, the basic and diluted shares are the same in all periods presented. |
Standards issued but not effective | (a) Standards issued but not effective – Following is a summary of improvements and amendments to IFRS that are not yet effective but will be applicable to the Company: - Amendments to IAS 1 and IAS 8: Definition of Material - In October 2018, the IASB issued amendments to IAS 1, “Presentation of Financial Statements” and IAS 8, “Accounting Policies, Changes in Accounting Estimates and Errors” to align the definition of “material” across the standards and to clarify certain aspects of the definition. The new definition states that, “Information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements, which provide financial information about a specific reporting entity.” The amendments to the definition of material is not expected to have a significant impact on the Company’s financial statements. |
Identification and business a_2
Identification and business activity (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Identification and business activity | |
Schedule of significant investments in subsidiaries | The consolidated financial statements include the financial statements of the following subsidiaries: Country of incorporation Ownership as of December 31, and business 2019 2018 Direct Indirect Direct Indirect % % % % Mining activities: Compañía Minera Condesa S.A. Peru 100.00 — 100.00 — Compañía Minera Colquirrumi S.A. Peru 100.00 — 100.00 — Sociedad Minera El Brocal S.A.A. (*) Peru 3.19 58.24 3.19 58.24 Inversiones Colquijirca S.A. (*) Peru 89.76 10.24 89.76 10.24 S.M.R.L. Chaupiloma Dos de Cajamarca Peru 20.00 40.00 20.00 40.00 Minera La Zanja S.R.L. Peru 53.06 — 53.06 — Minera Julcani S.A. de C.V. Mexico 99.80 0.20 99.80 0.20 Compañía de Minas Buenaventura Chile Ltda. Chile 90.00 10.00 90.00 10.00 El Molle Verde S.A.C. Peru 99.98 0.02 99.98 0.02 Apu Coropuna S.R.L. Peru 70.00 — 70.00 — Cerro Hablador S.A.C. Peru 99.00 1.00 99.00 1.00 Minera Azola S.A.C. Peru 99.00 1.00 99.00 1.00 Compañía Minera Nueva Italia S.A. Peru — 93.36 — 93.36 Energy generation and transmission services: Consorcio Energético de Huancavelica S.A. Peru 100.00 — 100.00 — Empresa de Generación Huanza S.A. Peru — 100.00 — 100.00 Insurance brokerage: Contacto Corredores de Seguros S.A. Peru 99.98 0.02 99.98 0.02 Contacto Risk Consulting S.A. Peru — 98.00 — 98.00 Industrial activities: Procesadora Industrial Río Seco S.A. Peru 100.00 — 100.00 — (*) As of December 31, 2019 and 2018, the participation of the Company in the voting rights of El Brocal is 61.43 percent. Inversiones Colquijirca S.A. (hereafter “Colquijirca”), a Group’s subsidiary (99.99 percent as of December 31, 2019 and 2018), has an interest in El Brocal’s capital stock, through which the Company holds an indirect participation in El Brocal of 58.24 percent as of December 31, 2019 and 2018. |
Schedule of net cash flows used by the mining units with discontinued operations | The net cash flows used by the mining units with discontinued operations are presented below: 2019 2018 2017 US$(000) US$(000) US$(000) Operating activities (2) 1,800 1,732 Investing activities — (1,817) (1,796) Decrease in cash and cash equivalents for the year (2) (17) (64) |
Schedule of results of the discontinued operations mining units | The results of the discontinued operations mining units for the years 2019, 2018 and 2017 are presented below: 2019 2018 2017 US$(000) US$(000) US$(000) Net sales 97 16,666 36,736 Cost of sales (2) (15,261) (32,301) Gross profit 95 1,405 4,435 Operating income (expenses), net Administrative expenses (8,048) (1,661) (3,872) Changes in provision for closure of mining units, note 15(b) (1,912) (6,013) (12,701) Reversal (provision) for impairment of inventories, note 8(c) (320) — 1,345 Reversal (provision) for contingencies (134) (9) (562) Derecognition of long-lived assets (44) (5,100) — Net loss in sale of mining units — — (18,550) Reversal of Impairment loss of long-lived assets, note 11(b) — 2,837 17,197 Reversal of provision for closure of mining units for sale of mining units — — 11,700 Others, net 117 (3,162) (8,438) Total operating expenses, net (10,341) (13,108) (13,881) Operating loss (10,246) (11,703) (9,446) Other income (expense), net Finance costs, note 15(b) (266) (88) (766) Net gain (loss) from currency exchange difference (2) 30 (10) Total other expenses, net (268) (58) (776) Loss before income tax (10,514) (11,761) (10,222) Income tax — (47) (122) Loss from discontinued operations (10,514) (11,808) (10,344) Loss from the discontinued operations, per basic and diluted share, express in U. S. dollars (0.04) (0.03) (0.04) |
Basis for preparation, consol_3
Basis for preparation, consolidation and accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Basis for preparation, consolidation and accounting policies | |
Schedule of impact of adoption of IFRS 16 on financial statements | Impact on the consolidated statement of financial position (increase / (decrease)) – As of As of December 31, January 1, 2019 2019 US$(000) US$(000) Assets Mining concessions, development costs, right-of-use asset, property, plant and equipment, net 6,185 18,528 Deferred income tax asset, net 390 400 Total assets 6,575 18,928 Liabilities Financial obligations 7,503 19,885 Total liabilities 7,503 19,885 Shareholders’ equity, net Retained earnings (928) (957) Total shareholders’ equity, net (928) (957) Impact on the consolidated statement of profit or loss (income / (expense)) – As of December 31, 2019 US$(000) Operating costs Cost of sales of goods, excluding depreciation and amortization Depreciation and amortization (6,751) Total operating costs (760) Operating profit Administrative expenses 272 Others, net 155 Total operating profit 427 Other income (expense), net Finance costs 379 Profit (loss) before income tax 46 Impact on the consolidated statement of cash flows (increase / (decrease)) – 2019 US$(000) Short-term and low-value lease payments (24,175) Net cash flows used in operating activities (24,175) Short-term lease payments (7,596) Net cash flows used in financial activities (7,596) |
Schedule of reconciliation between the balance of assets and liabilities | Below is a reconciliation between the balance of assets and liabilities as of January 1, 2019 under IFRS 16 compared with operating leases under IAS 17 as of December 31, 2018: US$(000) Operating lease commitments disclosed as of December 31, 2018 7,330 New operating leases commitments under IFRS 16 16,221 Exceptions: - Short-term leases not recognized as a liability (547) - Low-value leases not recognized as a liability (3,119) Additional lease liability recognized as of January 1, 2019 19,885 Plus: Lease liability already recognized as of December 31, 2018 241,653 Lease liability as of January 1, 2019 261,538 |
Schedule of impact of adoption of IFRIC 23 | Impact on the consolidated statement of financial position (increase / (decrease)) – As of As of December 31, January 1, 2019 2019 US$(000) US$(000) Liabilities Income tax payable 382 382 Total liabilities 382 382 Shareholders’ equity, net Retained earnings (382) (382) Total shareholders’ equity, net (382) (382) |
Schedule of useful lives of assets | Depreciation of assets in mining units with short useful lives or used for administrative purposes is calculated using the straight-line method of accounting. The useful lives are the following: Years Buildings, construction and other 6 to 20 Machinery and equipment 5 to 10 Transportation units 5 Furniture and fixtures 10 Computer equipment 4 |
Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Schedule of impact of adoption of IFRS 16 on financial statements | The effect of adopting IFRS 16 is, as follows: Impact on the consolidated statement of financial position 31 December 1 January 2019 2019 US$(000) US$(000) Assets Right-of-use assets Total Liabilities Provisions and other accruals Total Impact on the consolidated statement of profit or loss 31 December 2019 US$(000) Cost of sales (depreciation) (270) Operating profit (270) Finance costs (36) Profit or loss for the period (306) Impact on the consolidated statement of cash flows 31 December 2019 US$(000) Lease payments (270) Interest paid (26) Net cash flows (296) |
Schedule of reconciliation between the balance of assets and liabilities | The lease liabilities were determined using an incremental borrow rate of 5.23%. In addition, the reconciliation between the balance of assets and liabilities as of January 1, 2019 under IFRS 16 compared with operating leases under IAS 17 as of December 31, 2018 is as follows: US$(000) Operating lease commitments disclosed as of December 31, 2018 450 Exceptions: - Short-term leases not recognized as a liability (88) Additional lease liability recognized as of January 1, 2019 362 Plus: Lease liability already recognized as of December 31, 2018 — Lease liability as of January 1, 2019 362 |
Schedule of assets and liabilities originally denominated in Soles | As of December 31, 2019 and 2018, the Company presents the following assets and liabilities originally denominated in Soles by its equivalent in U.S. dollars: 2019 2018 US$(000) US$(000) Assets Cash and cash equivalents 5,140 7,563 Trade and other receivables 27,990 27,335 Prepaid income tax — 19,239 Value added tax credit 32,831 29,828 Total assets 65,961 83,965 Liabilities Trade and other payables 13,085 9,586 Income tax payable 23,153 3,552 Provisions, other accruals and liabilities 29,633 3,970 Total liabilities 65,871 17,108 Net asset position 90 66,857 |
Schedule of useful lives of assets | The useful lives as follows: Land improvements Between 2 and 4 years Buildings and constructions Between 5 and 10 years Machinery and equipment Between 3 and 10 years Vehicles Between 3 and 4 years Furniture and fixtures Between 3 and 4 years Other equipment Between 3 and 4 years Computer equipment Between 3 and 4 years Leach pads and assets retirement and mine closure Useful life of the mine and (or) process facilities |
Schedule of royalty expenses | The Company reclassified royalties expenses for US$23 million and US$26 million in years 2018 and 2017; respectively. Such royalties were presented reducing revenues from the “Revenue from sales” caption and now are presented as part of the “cost applicable to sales” caption. 2018 2018 As previously reported Reclassifications Modified US$(000) US$(000) US$(000) Consolidated Statements of comprehensive income Sales 635,393 23,260 658,653 Cost applicable to sales (596,164) (23,260) (619,424) 2017 2017 As previously reported Reclassifications Modified US$(000) US$(000) US$(000) Consolidated Statements of comprehensive income Sales 645,176 25,729 670,905 Cost applicable to sales (746,918) (25,729) (772,647) |
Schedule of income tax payable | The Company reclassified the amount of US$3.5 million related to mining taxes payable. Such taxes were presented in the “Trade and other payables” caption and now are presented as part of the “Income tax payable” caption. 2018 2018 As previously reported Reclassifications Modified US$(000) US$(000) US$(000) Consolidated Statements of financial position Trade and other payables 87,016 (3,552) 83,464 Income tax payable — 3,552 3,552 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Schedule of assets and liabilities originally denominated in Soles | US$(000) Operating lease commitments as of December 31, 2018 (undiscounted) 152,866 Exclude / deduct Contracts that do not meet the revised definition of a lease (25,851) Committed leases not commenced at 1 January 2019 — Effect of discounting (31,287) Discounted recognized lease liabilities as of January 1, 2019 95,728 |
Schedule of useful lives of assets | Years Buildings and other constructions Between 5 and 35 Machinery and equipment Between 2 and 30 Transportation units Between 5 and 7 Furniture and fixtures Between 7 and 10 Other equipment Between 3 and 25 |
Schedule of uncertain tax treatments | 2019 US$(000) Increase in current tax assets 35,701 Increase in current tax liabilities 21,920 Increase in deferred tax liabilities 20,767 Increase in income taxes expense 6,986 |
Transactions in soles (Tables)
Transactions in soles (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Transactions in soles | |
Schedule of assets and liabilities originally denominated | As of December 31, 2019 and 2018, the Group presents the following assets and liabilities originally denominated in soles by its equivalent in U.S. dollars: 2019 2018 US$(000) US$(000) Assets Cash and cash equivalents 6,796 11,526 Trade and other receivables 139,624 88,513 Income tax credit 31,960 24,277 178,380 124,316 Liabilities Trade and other payables (60,311) (53,962) Income tax payable (5,692) (2,080) Provisions, contingent liabilities and other liabilities (41,515) (31,282) (107,518) (87,324) Net asset position 70,862 36,992 |
Cash and cash equivalents (Tabl
Cash and cash equivalents (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Cash and cash equivalents | |
Schedule of cash and cash equivalents | (a) 2019 2018 US$(000) US$(000) Cash 304 347 Bank accounts (b) 37,836 57,078 Time deposits (c) 171,906 311,775 210,046 369,200 (b) (c) |
Minera Yanacocha SRL and subsidiary [Member] | |
Cash and cash equivalents | |
Schedule of detailed information about cash and cash equivalents | (a) 2019 2018 US$(000) US$(000) Petty cash 22 33 Bank accounts 56,822 111,319 Term deposits (b) 761,659 611,856 818,503 723,208 |
Schedule of detailed information about term deposits balance | (b) 2019 2018 US$(000) US$(000) JP Morgan 501,916 401,495 Citibank 214,282 210,361 BNP Paribas 45,461 — 761,659 611,856 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Cash and cash equivalents | |
Schedule of detailed information about cash and cash equivalents | This item is made up as follows: December 31, December 31, 2019 2018 US$(000) US$(000) Cash in banks 10,119 3,679 Cash equivalents (a) 471,372 497,503 481,491 501,182 (a) |
Related parties (Tables)
Related parties (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure Of Related Parties [Line Items] | |
Schedule of accounts receivable from related parties and accounts payable to related parties | Accounts receivable from related parties and accounts payable to related parties are made up as follows: December 31, 2019 December 31, 2018 US$(000) US$(000) Accounts receivable from related parties Parent Company FMC (a) 401,211 409,688 Other related parties Sumitomo (b) 10,760 12,918 Climax Molybdenum Marketing Corporation (c) 5,022 10,038 Embedded derivatives Embedded derivatives (d) 36,077 (19,293) Total accounts receivable from related parties 453,070 413,351 Classification by measurement Accounts receivables from related parties (not subject to provisional pricing) 121,995 67,050 Accounts receivables from related parties (subject to provisional pricing) 294,998 365,594 Embedded derivatives (d) 36,077 (19,293) 453,070 413,351 December 31, 2019 December 31, 2018 US$(000) US$(000) Accounts payable to related parties Parent Company FMC (e) 10,441 8,860 Other related parties Freeport-McMoRan Sales Company Inc. 3,086 3,192 Minera Freeport-McMoRan South America Ltda 521 PT Freeport Indonesia — 2,301 Total accounts payable to related parties 14,088 14,874 Less: accounts payable to related parties, long term (10,074) (8,860) Total accounts payable, short term 4,014 6,014 (a) (b) (c) (d) (e) |
Trade and other receivables, _2
Trade and other receivables, net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Trade and other receivables, net | |
Schedule of trade and other receivables, net | This caption is made up as follows: 2019 2018 US$(000) US$(000) Trade receivables, net (b) Domestic clients 141,005 105,225 Foreign clients 78,860 56,312 Related entities, note 30(b) 6,247 7,177 226,112 168,714 Allowance for expected credit losses (f) (22,016) (22,013) 204,096 146,701 Other receivables Value added tax credit 53,754 49,332 Tax claims (g) 42,602 2,573 Accounts receivables to third parties 31,478 24,625 Due from for sales of assets (h) 21,648 2,715 Advances to suppliers 9,275 7,542 Tax deposits (d) 6,644 4,769 Refund applications of value added tax (c) 3,643 6,574 Interest receivable 3,244 3,000 Related entities, note 30(b) 2,967 3,705 Restricted bank accounts (e) 2,510 2,782 Dividends receivable 2,501 — Loans to personnel 1,128 1,392 Account receivables from hedges derivatives — 3,949 Other minor 743 2,738 Allowance for expected credit losses (f) (10,006) (10,089) 172,131 105,607 Total trade and other receivables, net 376,227 252,308 Classification by maturity: Current portion 287,712 211,715 Non-current portion 88,515 40,593 Total trade and other receivables, net 376,227 252,308 Classification by nature: Financial receivables 318,830 196,402 Non-financial receivables 57,397 55,906 Total trade and other receivables, net 376,227 252,308 Classification by measurement : Trade receivables (without provisional prices) 38,550 39,152 Trade receivables (with provisional prices) 165,546 107,549 Other accounts receivables 172,131 105,607 Total trade and other receivables, net 376,227 252,308 (b) (c) (d) (e) |
Schedule of allowance for doubtful accounts | Below is presented the movement in the allowance for expected credit losses: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 32,102 32,184 31,607 Provision for other receivable, note 26 25 1,334 — Provision for trade receivables, note 24 — 18 676 Provision of the period 25 1,352 676 Write off of the period (162) (410) — Exchange difference 57 (173) — Reversals of the period, note 26 — (45) (99) Other minor — (806) — Final balance 32,022 32,102 32,184 Trade receivables 22,016 22,013 22,823 Other receivables 10,006 10,089 9,361 32,022 32,102 32,184 |
Schedule of restricted bank accounts for payments of financial obligation explanatory | Below is presented the movement: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 2,782 2,372 2,087 Increase 166 410 285 Decrease (438) — — Final balance 2,510 2,782 2,372 |
Minera Yanacocha SRL and subsidiary [Member] | |
Trade and other receivables, net | |
Schedule of trade and other receivables | (a) 2019 2018 US$(000) US$(000) Trade receivables, net Foreign clients 683 7,389 Other receivables Advances to suppliers 9,872 16,897 Tax claims 3,946 3,532 Credit of tax on net assets 23,648 23,290 Related entities, note 22(c) 598 794 Other 5,247 5,382 43,311 49,895 Allowance for expected credit losses (b) (1,384) (1,384) 41,927 48,511 Total trade and other receivables, net 42,610 55,900 By maturity: Current 18,962 32,610 Non current 23,648 23,290 Total 42,610 55,900 Classification by nature: Financial receivables 15,016 29,078 Non-financial receivables 27,594 26,822 42,610 55,900 |
Schedule of allowance for doubtful accounts | (b) 2019 2018 2017 US$(000) US$(000) US$(000) Opening balance 1,384 1,384 1,407 Deductions — — (23) Ending balance 1,384 1,384 1,384 |
Inventory, net (Tables)
Inventory, net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Inventory, net | |
Schedule of detailed information of inventories | This caption is made up as follows: 2019 2018 US$(000) US$(000) Finished goods 2,084 7,715 Products in process (b) 47,652 73,796 Spare parts and supplies 74,033 81,383 123,769 162,894 Provision for impairment of value of inventory (c) (25,402) (23,163) 98,367 139,731 Classification by use: Current portion 97,973 135,919 Non-current portion 394 3,812 98,367 139,731 (b) (c) |
Schedule of impairment of assets | The provision for impairment of value of inventory had the following movement during the years 2019, 2018 and 2017: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 23,163 11,603 8,386 Continuing operations: Provision for impairment of finished and in progress goods, note 21(a) 7,329 4,640 2,118 Reversal for impairment of finished and in progress goods, note 21(a) (9,472) (119) — Provision for impairment of spare parts and supplies, note 26(a) 15,703 11,704 4,814 Reversal for impairment of spare parts and supplies, note 26(a) (11,641) (4,665) (2,370) Discontinued operations, note 1(e): Provision for impairment of spare parts and supplies 843 — — Reversal for impairment of spare parts and supplies (523) — (1,345) Final balance 25,402 23,163 11,603 |
Minera Yanacocha SRL and subsidiary [Member] | |
Inventory, net | |
Schedule of detailed information of inventories | (a) 2019 2018 US$(000) US$(000) Precious metals 8,021 6,878 Leach in-circuit 5,158 1,835 Mill in-circuit 1,332 4,002 Materials and supplies 45,832 49,327 60,343 62,042 Allowance for obsolescence of materials and supplies (b) (6,098) (7,515) 54,245 54,527 |
Schedule Of Detailed Information About Mineral Deposits Inventory | The allowance for obsolescence of material and supplies had the following movement during the years 2019, 2018 and 2017: 2019 2018 2017 US$(000) US$(000) US$(000) Opening balance 7,515 7,076 5,272 Provision for impairment of materials and supplies 1,898 1,887 2,896 Reversal of provision for impairment of materials and supplies (3,315) (1,448) (1,092) Ending balance 6,098 7,515 7,076 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Inventory, net | |
Schedule of detailed information of inventories | This item is made up as follows: December 31, 2019 December 31, 2018 US$(000) US$(000) Current Materials and supplies 348,035 308,378 Work-in-process (WIP) (a) 173,190 119,518 Finished goods: Copper concentrate 23,890 17,949 Copper cathode 6,321 8,035 Molybdenum concentrate 1,268 3,205 Less: Provision for obsolescence of materials and supplies (507) (11) 552,197 457,074 Non-current Work-in-process (WIP) (a) 255,123 286,375 Total inventories 807,320 743,449 (a) |
Other non-financial assets (Tab
Other non-financial assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of other non financial assets [Line Items] | |
Schedule of other non-financial assets | This item is made up as follows: December 31, 2019 December 31, 2018 US$(000) US$(000) Current Income tax prepayments (a) 26,794 Value added tax (VAT) credit 27,414 28,081 Other taxes to be recovered 2,745 2,700 105,680 57,575 Non-current Other receivables (b) 186,626 183,208 Income tax prepayments (a) 52,559 16,858 239,185 200,066 Total other non-financial assets 344,865 257,641 (a) Represents disbursements made by the Company for the prepayment of income tax, which the Company expects to use to offset future tax obligations or will be refunded to the Company by SUNAT (Superintendencia Nacional de Administración Tributaria) (see Note 13(b)). The balance at December 31, 2019, also includes income tax benefits from the years 2013 to 2018 as part of the adoption of IFRIC 23 (see Note 2(q)). (b) Represents disbursement made by the Company in connection with disputed tax assessments related to reviews by SUNAT from years 2003 to 2012 (see Note 13(c) and 13(e)). According to current tax procedures and the timeframe for resolving these types of claims, management and its legal advisors expect resolution of this matter will be favorable to the Company and amounts will be recoverable. |
Stockpiles and ore on leach p_2
Stockpiles and ore on leach pads, net (Tables) - Minera Yanacocha SRL and subsidiary [Member] | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of stockpiles and ore on leach pads [Line Items] | |
Schedule of stockpiles and ore on leach pads, net | (a) 2019 2018 US$(000) US$(000) Current portion - Stockpiles 23,769 35,065 Ore on leach pads 139,991 106,931 Net realizable value adjustment (b) (28,837) (41,403) 134,923 100,593 Non-current portion - Stockpiles 35,888 41,814 Ore on leach pads 88,223 144,688 Net realizable value adjustment (b) (19,088) (47,724) 105,023 138,778 |
Schedule of provision for net realizable value | (b) 2019 2018 2017 US$(000) US$(000) US$(000) Opening balance, note 17 89,127 62,540 84,374 Provision 33,464 90,365 77,385 Reversal of provision (74,666) (63,778) (99,219) Ending balance, note 17 47,925 89,127 62,540 |
Prepaid expenses (Tables)
Prepaid expenses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Prepaid expenses | |
Schedule of prepaid expenses | (a) 2019 2018 US$(000) US$(000) Prepaid energy services(b) 26,582 27,464 Prepaid insurances 13,568 12,486 Deferred costs of works for taxes 4,138 2,407 Other prepaid expenses 2,373 1,366 46,661 43,723 Classification by maturity: Current portion 20,969 17,145 Non-current portion 25,692 26,578 46,661 43,723 (b) |
Investments in associates and_2
Investments in associates and joint ventures (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments in associates and joint ventures | |
Schedule of interests in associates and joint ventures | (a) Share in equity 2019 2018 2019 2018 % % US$(000) US$(000) Associates Sociedad Minera Cerro Verde S.A.A. 19.58 19.58 1,155,359 1,108,284 Minera Yanacocha S.R.L. 43.65 43.65 230,000 271,036 Compañía Minera Coimolache S.A. 40.10 40.10 98,426 89,554 1,483,785 1,468,874 Joint venture (c) 2,627 2,673 Other minor investments 1,835 1,835 1,488,247 1,473,382 |
Schedule of net share in profit (loss) of investments | (b) 2019 2018 2017 US$(000) US$(000) US$(000) Minera Yanacocha S.R.L. (41,580) (35,582) (76,585) Sociedad Minera Cerro Verde S.A.A. 76,451 23,444 68,521 Compañía Minera Coimolache S.A. 12,883 10,994 21,271 Other minor (44) — — 47,710 (1,144) 13,207 |
Schedule of financial position of associate under equity method | The table below presents the key financial data from the joint venture under IFRS: 2019 2018 US$(000) US$(000) Current assets 11,090 17,653 Non-current assets 100,106 107,175 Liabilities 88,608 101,575 Shareholders’ equity, reported 22,588 23,253 Net loss from continued operations (665) (1,814) |
Minera Yanacocha S.R.L. [Member] | |
Investments in associates and joint ventures | |
Schedule of financial position of associate under equity method | The table below presents key financial data from the financial statements of Yanacocha under IFRS: 2019 2018 US$(000) US$(000) Statements of financial position as of December 31: Current assets 1,060,455 960,758 Non-current assets 1,251,617 1,086,714 Current liabilities (190,577) (128,170) Non-current liabilities (1,631,783) (1,335,579) Equity 489,712 583,723 Groups’ interest 213,759 254,795 Goodwill 16,241 16,241 230,000 271,036 |
Schedule of statements of profit or loss | 2019 2018 2017 US$(000) US$(000) US$(000) Statements of profit or loss for the years ended December 31: Revenue 739,302 657,358 667,046 Loss for the year (95,257) (81,517) (175,454) Share in results (41,580) (35,582) (76,585) |
Sociedad Minera Cerro Verde Saa [Member] | |
Investments in associates and joint ventures | |
Schedule of net share in profit (loss) of investments | 2019 2018 2017 US$(000) US$(000) US$(000) Statements of comprehensive income December 31: Sales 2,890,066 3,054,026 3,202,931 Net profit for the year 390,377 119,710 349,881 Share in results 76,451 23,444 68,521 |
Schedule of financial position of associate under equity method | The table below presents the key financial data from the financial statements of Cerro Verde under IFRS: 2019 2018 US$(000) US$(000) Statements of financial position as of December 31: Current assets 1,614,928 1,455,080 Non-current assets 6,194,496 6,099,632 Current liabilities (420,786) (408,754) Non-current liabilities (2,039,389) (2,037,086) Equity 5,349,249 5,108,872 Group’s interest 1,047,596 1,000,521 Goodwill 107,763 107,763 1,155,359 1,108,284 |
Compania Minera Coimolache S.A. [Member] | |
Investments in associates and joint ventures | |
Schedule of net share in profit (loss) of investments | 2019 2018 2017 US$(000) US$(000) US$(000) Statements of profit or loss for the years ended December 31: Net sales 241,173 225,447 203,790 Net income from continued operations 28,459 25,584 50,787 Adjustments to conform to the accounting policies 3,674 1,837 2,265 Net income, adjusted 32,133 27,421 53,052 Share in results 12,883 10,994 21,271 |
Schedule of financial position of associate under equity method | The table below presents the key financial data from the financial statements of Coimolache under IFRS: 2019 2018 US$(000) US$(000) Statements of financial position as of December 31: Current assets 145,692 99,887 Non-current assets 234,223 261,782 Current liabilities (34,028) (39,204) Non-current liabilities (91,069) (86,103) Equity 254,818 236,362 Adjustments to conform to the accounting policies of the Group (9,330) (13,003) Equity, adjusted 245,488 223,359 Group’s interest 98,426 89,554 |
Mining concessions, developme_2
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Schedule of property, plant and equipment, net | (a) Balance as of Balance as of Balance as of January 1, Reclassifications December 31, Reclassifications Implementation December 31, 2018 Additions Disposals Sales and transfers 2018 Additions Disposals Sales and transfers IFRS 16 2019 US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Cost: Lands 22,690 783 (462) — (1,250) 21,761 630 — (135) (4,739) — 17,517 Mining concessions (f) 151,873 — — — — 151,873 — — — — — 151,873 Development costs 712,051 32,059 (2,656) — 1,805 743,259 46,047 (443) — (819) — 788,044 Buildings, constructions and other 1,279,251 — (2,837) — 66,207 1,342,621 39 (3,559) (5,380) 26,120 — 1,359,841 Machinery and equipment 929,023 — (182) (9,205) 38,830 958,466 12 (30,235) (38,322) 22,783 — 912,704 Transportation units 9,946 42 (138) (510) 1,545 10,885 33 (540) (1,856) 370 — 8,892 Furniture and fixtures 13,902 — — (193) (403) 13,306 2 (1,310) (1) 13 — 12,010 Units in transit 4,749 11 — — (2,078) 2,682 — (1) — 1,073 — 3,754 Work in progress 101,122 67,096 (3,450) — (108,106) 56,662 44,319 (1,168) (78) (49,370) — 50,365 Stripping activity asset 130,447 11,279 — — — 141,726 11,545 — — 819 — 154,090 Right-of-use asset (e) — — — — — — 3,721 (10,897) — — 18,528 11,352 Mine closure costs 241,288 61,239 — — (18,365) 284,162 26,722 — — — — 310,884 3,596,342 172,509 (9,725) (9,908) (21,815) 3,727,403 133,070 (48,153) (45,772) (3,750) 18,528 3,781,326 Accumulated depreciation and amortization: Lands 1,249 — — — (1,249) — — — — — — — Mining concessions (f) 40,239 10 — — — 40,249 10 — — — — 40,259 Development costs 263,122 35,433 — — (2) 298,553 29,964 — — — — 328,517 Buildings, construction and other 506,837 84,244 — — 562 591,643 83,274 (3,391) (3,569) (638) — 667,319 Machinery and equipment 582,449 93,722 (177) (8,659) (1,978) 665,357 66,020 (28,619) (35,459) 638 — 667,937 Transportation units 8,390 745 (85) (436) (15) 8,599 744 (538) (1,779) — — 7,026 Furniture and fixtures 9,880 644 — (187) (214) 10,123 653 (1,172) — — — 9,604 Stripping activity asset 41,695 28,820 — — 3 70,518 18,405 — — — — 88,923 Right-of-use asset (e) — — — — — — 7,778 (2,611) — — — 5,167 Mine closure costs 158,121 10,350 — — — 168,471 15,373 — — — — 183,844 1,611,982 253,968 (262) (9,282) (2,893) 1,853,513 222,221 (36,331) (40,807) — — 1,998,596 Provision for impairment of long-lived assets: Mine closure costs 20,121 — (5,693) — (1,221) 13,207 2,083 — — — — 15,290 Development costs 10,153 — — — — 10,153 — — — — — 10,153 Property, plant and other 4,531 — (2,837) — 1,221 2,915 — — — — — 2,915 34,805 — (8,530) — — 26,275 2,083 — — — — 28,358 Net cost 1,949,555 1,847,615 1,754,372 |
Schedule of estimates prices for the current and long-term periods | Estimates prices for the current and long-term periods that have been used to estimate future cash flows are as follows: 2020 2021-2025 US$ US$ Gold 1,500/Oz 1,500/Oz Silver 17.00/Oz 18.40/Oz Copper 6,000/MT 6,600/MT Lead 1,950/MT 2,100/MT Zinc 2,250/MT 2,300/MT |
Schedule of net assets for right in use | The net assets for right in use maintained by the Group correspond: 2019 US$(000) Right in use assets Buildings 4,602 Transportation units 1,112 Machinery and equipment 471 6,185 |
Minera Yanacocha S.R.L. [Member] | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Schedule of property, plant and equipment, net | (a) Opening Transfer/Other Final balance Additions Sales and disposals changes balances US$(000) US$(000) US$(000) US$(000) US$(000) Year 2019 Cost- Land 9,459 — — 7,594 17,053 Land improvements 36,454 — (7,472) — 28,982 Building and constructions 298,328 — (26,556) (218) 271,554 Machinery and equipment 244,560 — (46,286) 18,598 216,872 Leach pads 1,723,270 — — 93,956 1,817,226 Vehicles 9,921 — (1,043) 524 9,402 Furniture and fixtures 2,556 — — — 2,556 Other equipment 58,924 — (3,712) 4,050 59,262 Work in progress 444,688 184,403 — (192,392) 436,699 Mining rights 37,521 — — — 37,521 Right of use asset — 1,045 — — 1,045 Asset retirement and mine closure 534,398 158,967 — — 693,365 Stripping activity asset 148,487 — — 3,007 151,494 Mine development 760,647 — — 63,509 824,156 4,309,213 344,415 (85,069) (1,372) 4,567,187 Accumulated depreciation and amortization Land improvements 35,583 101 (7,369) — 28,315 Building and constructions 247,979 5,702 (26,579) (973) 226,129 Machinery and equipment 204,255 21,780 (42,978) 973 184,030 Leach pads 1,656,002 38,286 — — 1,694,288 Vehicles 9,855 16 (1,043) — 8,828 Furniture and fixtures 2,556 — — — 2,556 Other equipment 56,522 1,326 (3,712) — 54,136 Mining rights 29,457 — — — 29,457 Right of use asset — 461 — — 461 Asset retirement and mine closure 424,008 54,818 — — 478,826 Stripping activity asset 146,058 1,667 — — 147,725 Mine development 656,484 17,658 — — 674,142 3,468,759 141,815 (81,681) — 3,528,893 Net cost 840,454 1,038,294 Opening Transfer/Other Final balance Additions Sales and disposals changes balances US$(000) US$(000) US$(000) US$(000) US$(000) Year 2018 Cost- Land 9,459 — — — 9,459 Land improvements 36,454 — — — 36,454 Building and constructions 297,798 — — 530 298,328 Machinery and equipment 286,865 — (72,442) 30,137 244,560 Leach pads 1,722,786 — — 484 1,723,270 Vehicles 11,024 — (1,171) 68 9,921 Furniture and fixtures 2,556 — — — 2,556 Other equipment 57,773 — (265) 1,416 58,924 Work in progress 400,410 117,636 — (73,358) 444,688 Mining rights 37,521 — — — 37,521 Asset retirement and mine closure 507,123 27,275 — — 534,398 Stripping activity asset 148,487 — — — 148,487 Mine development 722,355 — — 38,292 760,647 4,240,611 144,911 (73,878) (2,431) 4,309,213 Accumulated depreciation and amortization Land improvements 35,143 440 — — 35,583 Building and constructions 240,348 7,631 — — 247,979 Machinery and equipment 249,975 20,887 (66,607) — 204,255 Leach pads 1,621,266 34,736 — — 1,656,002 Vehicles 11,024 2 (1,171) — 9,855 Furniture and fixtures 2,556 — — — 2,556 Other equipment 55,914 828 (220) — 56,522 Mining rights 29,457 — — — 29,457 Asset retirement and mine closure 356,345 67,663 — — 424,008 Stripping activity asset 143,252 2,806 — — 146,058 Mine development 639,450 17,034 — — 656,484 3,384,730 152,027 (67,998) — 3,468,759 Net cost 855,881 840,454 |
Schedule of estimates prices for the current and long-term periods | Estimated prices for the current and long-term periods that have were used to estimate future revenues were as follows: Current Long-term US$ US$ Gold (per ounce) 1,481 1,300 Copper (per pound) 3.0 3.0 |
Sociedad Minera Cerro Verde Saa [Member] | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Schedule of property, plant and equipment, net | Property, plant and equipment consist of owned and leased assets (right-of-use assets), and cost and accumulated depreciation accounts as of December 31, 2019 and 2018 are shown below: January 1, December 31, December 31, 2018 Additions Adjustments Disposals Transfers 2018 IFRS 16 adoption Additions Adjustments Disposals Transfers 2019 US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Cost Land 24,467 — — — 196 24,663 — — — (80) 322 24,905 Buildings and other constructions 2,370,042 — 41,089 (9,644) 48,090 2,449,577 — — 544 (4,769) 102,772 2,548,124 Machinery and equipment 4,553,508 — (41,089) (19,426) 201,057 4,694,050 — — (544) (30,482) 191,589 4,854,613 Transportation units 20,557 — — (32) 2,726 23,251 — — — (32) 3,146 26,365 Furniture and fixtures 949 — — — — 949 — — — — — 949 Other equipment 24,977 — — (11) 525 25,491 — — — (594) 203 25,100 Construction in progress and in-transit units 149,661 288,861 — — (252,594) 185,928 — 271,364 (a) (1,192) — (298,032) 158,068 Stripping activity asset (see Note 2(i)) 478,382 177,327 — — — 655,709 — 197,038 — — — 852,747 Asset retirement costs (see Note 11(c)) 136,327 2,724 (32,017) — — 107,034 — 18,834 41,130 — — 166,998 Right-of-use assets (b) — — — — — — 95,728 1,342 (700) (929) — 95,441 7,758,870 468,912 (32,017) (29,113) — 8,166,652 95,728 488,578 39,238 (36,886) — 8,753,310 Accumulated depreciation Buildings and other constructions 229,627 96,623 5,184 (9,514) — 321,920 — 76,199 513 (4,722) — 393,910 Machinery and equipment 1,517,337 292,656 (5,184) (18,483) — 1,786,326 — 284,097 (513) (29,091) — 2,040,819 Transportation units 12,221 1,784 — (33) — 13,972 — 1,928 — (28) — 15,872 Furniture and fixtures 834 24 — — — 858 — 23 — — — 881 Other equipment 16,400 2,406 — (10) — 18,796 — 1,543 — (594) — 19,745 Stripping activity asset 285,327 112,875 — — — 398,202 — 155,530 — — — 553,732 Asset retirement costs 18,700 4,976 — — — 23,676 — 3,239 — — — 26,915 Right-of-use assets (b) — — — — — — — 11,488 — (903) — 10,585 2,080,446 511,344 — (28,040) — 2,563,750 — 534,047 — (35,338) — 3,062,459 Net cost 5,678,424 5,602,902 5,690,851 (a) |
Schedule of net assets for right in use | Set out below are the carrying amounts of right-of-use assets recognized and the movements during the period: January 1, December 2019 Additions Adjustments Disposals 31, 2019 US$(000) US$(000) US$(000) US$(000) US$(000) Cost Land 11,008 — (700) (457) 9,851 Buildings and other constructions 55,114 1,192 — (370) 55,936 Machinery and equipment 29,606 150 — (102) 29,654 95,728 1,342 (700) (929) 95,441 Accumulated depreciation Land — 1,712 — (457) 1,255 Buildings and other constructions — 6,613 — (344) 6,269 Machinery and equipment — 3,163 — (102) 3,061 — 11,488 — (903) 10,585 Net cost 95,728 84,856 |
Other assets, net (Tables)
Other assets, net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other assets, net | |
Schedule of other assets, net | (a) Balance as of Balance as of Balance as of January 1, December 31, December 31, 2018 Additions Transfers 2018 Additions Disposals 2019 US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Cost: Patents and industrial property (b) 13,680 2,642 (4,599) 11,723 2,139 — 13,862 Rights-of-use of lands right of way 7,853 4,439 — 12,292 1,319 — 13,611 Software licenses 8,816 1,448 (96) 10,168 242 (92) 10,318 30,349 8,529 (4,695) 34,183 3,700 (92) 37,791 Accumulated amortization: Rights-of-use 5,210 738 — 5,948 1,486 — 7,434 Software licenses 2,378 596 — 2,974 820 (112) 3,682 7,588 1,334 — 8,922 2,306 (112) 11,116 Cost net 22,761 25,261 26,675 |
Bank loans (Tables)
Bank loans (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Bank loans | |
Schedule of bank loans | The movement is presented below: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 95,000 96,215 55,000 New loans 55,000 95,000 341,215 Disbursements (95,000) (95,000) (300,000) Sale of subsidiary — (1,215) — Final balance 55,000 95,000 96,215 |
Trade and other payables (Table
Trade and other payables (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Trade and other payables | |
Schedule of trade and other payables | (a) 2019 2018 US$(000) US$(000) Trade payables (b) Domestic suppliers 131,278 154,998 Related entities, note 30(b) 29 36 131,307 155,034 Other payables Taxes payable 12,043 9,102 Remuneration and similar benefits payable 11,522 10,531 Interest payable 5,318 7,464 Royalties payable to the Peruvian State 2,132 2,171 Dividends payable (c) 604 663 Related entities, note 30(b) 51 20 Other liabilities 3,883 3,738 35,553 33,689 Total trade and other payables 166,860 188,723 Classification by maturity: Current portion 166,244 188,084 Non-current portion 616 639 Total trade and other payables 166,860 188,723 Classification by nature: Financial payables 152,686 177,450 Non-financial payables 14,174 11,273 Total trade and other payables 166,860 188,723 (b) |
Schedule of dividends payable | (c) 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 663 730 1,018 Declared dividends to controlling shareholders, note 17(d) 22,098 22,860 22,099 Dividends paid to controlling shareholders (22,098) (22,860) (22,099) Declared dividends to non-controlling shareholders 6,500 5,560 6,036 Dividends paid to non-controlling shareholders (6,500) (5,560) (6,036) Expired dividends (53) (44) (327) Other minor (6) (23) 39 Final balance 604 663 730 |
Minera Yanacocha SRL and subsidiary [Member] | |
Trade and other payables | |
Schedule of trade and other payables | (a) 2019 2018 US$(000) US$(000) Trade payables (b) Domestic suppliers 45,671 48,847 Related entities, note 22(c) 11,426 10,846 57,097 59,693 Other payables Remuneration and similar benefits payable 11,365 22,907 Other taxes payable 5,326 728 Royalties payable to the Peruvian State 2,696 136 19,387 23,771 76,484 83,464 (b) |
Other accounts payable (Tables)
Other accounts payable (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other accounts payable | |
Schedule of other accounts payable | This item is made up as follows: December 31, 2019 December 31, 2018 US$(000) US$(000) Current Royalties and mining taxes (a) 95,120 97,263 Other 4,260 3,991 Total current 99,380 101,254 Non-current Royalties and mining taxes (b) 362,464 215,070 Total other accounts payable 461,844 316,324 (a) As of December 31, 2019, represents the current portion of the monthly payments of the installment programs for disputed mining royalties for the year 2013 and special mining tax for the period October 2011 through December 2013, for which payments will start in the first quarter of 2020 (US$50.1 million, including interest, deferred interest and penalties of US$29.1 million) and the remaining monthly payments of the installment programs for disputed mining royalties for the period January 2009 through September 2011 and for the year 2012 (US$45.0 million, including interest and penalties of US$26.5 million) (see Note 13(d)). As of December 31, 2018, represents the current portion of the monthly payments of the new installment programs approved by SUNAT which the Company will start paying in second-quarter 2019, related to disputed mining royalties for the period January 2009 through September 2011 of US$23.8 million and interest, deferral interest and penalties of US$41.4 million. The current amount also includes the remaining monthly payments of the installment program approved by SUNAT related to disputed mining royalties for the years 2006 to 2008 of US$13.2 million and interest and penalties of US$18.9 million. (a) As of December 31, 2019, represents the non-current portion of the monthly payments of the installment programs of disputed mining royalties for the period January 2009 through September 2011 and for the years 2012 and 2013 (US$273.8 million, including interest and penalties of US$157.5 million) and special mining tax for the period October 2011 through December 2013 (US$88.7 million (see Note 13(d)). As of December 31, 2018, represents the non-current portion of the monthly payments of the new installment programs related to disputed mining royalties for the period January 2009 through September 2011 of US$85.5 million and interest and penalties of US$129.6 million. |
Other Financial Liabilities (_2
Other Financial Liabilities (debt) (Tables) - Sociedad Minera El Brocal S.A.A. [Member] | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Other Financial Liabilities debt [Line Items] | |
Schedule of other financial liabilities | This item is made up as follows: December 31, 2019 December 31, 2018 US$(000) US$(000) Current debt: Lease liabilities (a) 8,855 — Non-current debt: Senior unsecured credit facility (b) 830,000 1,030,000 Lease liabilities (a) 76,944 — Less : Debt issuance cost (4,124) (7,190) Total non-current debt 1,022,810 Total other financial liabilities 911,675 1,022,810 |
Schedule of lease liabilities and the movements | (a) operations. Set out below are the carrying amounts of lease liabilities and the movements during the period: 2019 US$(000) Balance at beginning of the year: 95,728 Additions 550 Interest expense on lease liabilities 5,242 Payments (10,479) Payments of Interest (5,242) Balance at end of the year 85,799 The following are the amounts recognized in profit or loss: 2019 US$(000) Depreciation charge of right-of-use assets, see Note 15 11,488 Interest expense on lease liabilities, see Note 18 5,242 Expense relating to variable lease payments, low-value and short-term leases, see Note 15 7,069 23,799 |
Schedule of movement of the changes derived from the financing activities | Following is the movement of the changes derived from the financing activities for the year ended December 31, 2019 and 2018: January 01, December 31, December 31, 2018 Additions Payments Others 2018 IFRS 16 adoption Additions Payments Others 2019 US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Current: Leases, see Note 10 (a) — — — — — 8,119 464 (10,479) 10,751 8,855 Non-current: Senior unsecured credit facility 1,280,000 — (250,000) — 1,030,000 — — (200,000) — 830,000 Debt issuance cost (11,512) — — 4,322 (7,190) — — — 3,066 (4,124) Leases, see Note 10 (a) — — — — — 87,609 86 — (10,751) 76,944 Total liabilities from financing activities 1,268,488 — (250,000) 4,322 1,022,810 95,728 550 (210,479) 3,066 911,675 |
Provisions, contingent liabil_2
Provisions, contingent liabilities and other liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Provisions and contingent liabilities | |
Schedule of detailed information about provisions | (a) As of Changes As of January 1, (additions and Accretion December 31, 2019 deductions) expense Disbursements 2019 US$(000) US$(000) US$(000) US$(000) US$(000) Closure of mining units and exploration projects (b) 225,877 32,654 10,656 (16,882) 252,305 Bonus to employees and officers 18,620 15,855 — (15,249) 19,226 Environmental liabilities 3,768 3,944 — (1,407) 6,305 Safety contingencies 4,877 1,270 — (942) 5,205 Labor contingencies 4,042 (258) — (7) 3,777 Obligations with communities 5,878 1,306 — (3,675) 3,509 Board of Directors’ participation 2,108 1,736 — (2,250) 1,594 Environmental contingencies 234 1,343 — (77) 1,500 Workers’ profit sharing payable 1,772 (7) — (1,696) 69 Other provisions 758 259 — — 1,017 267,934 58,102 10,656 (42,185) 294,507 Classification by maturity: Current portion 68,172 72,771 Non-current portion 199,762 221,736 267,934 294,507 |
Closure Of Mining Units And Exploration Projects [Member] | |
Provisions and contingent liabilities | |
Schedule of detailed information about provisions | (b) The table below presents the movement of the provision for closure of mining units and exploration projects: 2019 2018 US$(000) US$(000) Beginning balance 225,877 200,183 Changes (additions and deductions) in estimates Continuing mining units, note 11(a) 26,722 42,874 Discontinued mining units, note 1(e) 1,912 6,013 Exploration projects, note 26(a) 4,020 (2,433) Accretion expense Continuing mining units, note 27(a) 10,266 4,911 Discontinued mining units, note 1(e) 266 88 Exploration projects, note 26(a) 124 71 Disbursements (16,882) (25,830) Final balance 252,305 225,877 Classification by maturity: Current portion 35,280 30,524 Non-current portion 217,025 195,353 252,305 225,877 |
Minera Yanacocha SRL and subsidiary [Member] | |
Provisions and contingent liabilities | |
Schedule of detailed information about provisions | (a) 2019 2018 US$(000) US$(000) Provisions Provision for closure of mining units and exploration projects (b) 1,608,380 1,294,464 Provision of social responsibility (c) 18,326 18,010 Other provisions 2,484 2,785 1,629,190 1,315,259 Other accruals and liabilities Interests payable, see note 24 16,840 — Workers’ profit sharing payable (e) 12,793 3,920 Accrual of operating costs (d) 11,238 11,442 Accrual of capital expenditure 8,139 3,682 Right of use liability 596 — 49,606 19,044 Total provisions, other accruals and liabilities 1,678,796 1,334,303 Classification by maturity: Current portion 90,940 41,154 Non-current portion 1,587,856 1,293,149 1,678,796 1,334,303 |
Schedule of detailed information about provision for social responsibility | The movement of the provision for social responsibility for 2019, 2018 and 2017 is broken down as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Opening balance 18,010 21,689 24,335 Additional provisions 888 — — Payments (572) (3,679) (2,646) Ending balance 18,326 18,010 21,689 Classification by maturity Current portion 761 8,351 — Non-current portion 17,565 9,659 21,689 18,326 18,010 21,689 |
Minera Yanacocha SRL and subsidiary [Member] | Closure Of Mining Units And Exploration Projects [Member] | |
Provisions and contingent liabilities | |
Schedule of detailed information about provision for closure of mining units and exploration projects | The movement of the provision for closure of mining units for 2019, 2018 and 2017 is broken down as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Opening balance 1,294,464 1,234,731 1,012,888 Additional provisions 301,096 43,560 221,450 Payments (23,889) (19,842) (21,376) Unwinding of discount, note 20 36,709 36,015 21,769 Ending balance 1,608,380 1,294,464 1,234,731 Classification by maturity Current portion 39,156 19,325 19,455 Non-current portion 1,569,224 1,275,139 1,215,276 1,608,380 1,294,464 1,234,731 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Provisions and contingent liabilities | |
Schedule of detailed information about provisions | December 31, December 31, 2019 2018 US$(000) US$(000) Current: Services and freight not invoiced (a) 27,945 11,823 Provision for social commitments (b) 7,677 1,815 Provision for remediation and mine closure (c) 241 — Provision for legal contingencies — 1,719 Total current 35,863 15,357 Non–current: Provision for remediation and mine closure (c) 195,659 131,888 Royalties and mining tax (d) 62,797 191,299 Provision for legal contingencies (e) 4,800 — Provision for social commitments (b) 3,046 8,111 Other long-term liabilities (e) 12,117 11,033 Total non-current 278,419 342,331 (a) As of December 31, 2019, primarily represents the provision for services and freights not invoiced (US$20.9 million) and penalties related to land rights with INGEMMET (Instituto Geológico Minero y Metalúrgico), (US$7.0 million). (b) The provision for social commitments as of December 31, 2019, is associated with repaving Alata-Congata Road (US$6.3 million) and an irrigation project in La Joya (US$4.4 million). (c) The Company’s mineral exploitation activities are subject to environmental protection standards. In order to comply with these standards, the Company has obtained the approval for the Environment Adequacy Program (PAMA) and for the Environmental Impact Studies (EIA), required for the operation of Cerro Verde’s production unit. On October 14, 2003, Law N° 28090 was enacted, which regulates the commitments and procedures that entities involved in mining activities must follow in order to prepare, file and implement a mine site closing plan, as well as the respective environmental guarantees that assure compliance with the plan in accordance with protection, conservation and restoration of the environment. On August 15, 2005, the regulations regarding this law were approved. During 2006, in compliance with the mentioned law, the Company completed the closure plans for its mine site, and presented it to the Ministry of Energy and Mines. The closure plans for its mine site was approved by Resolution No 302‑2009 MEM-AAM and its modifications were approved by Resolution No 207‑2012 MEM-AAM, Resolution No 186‑2014 MEM-DGAAM and its last modification, Resolution No 032‑2018 MEM-DGAAM. As of December 31, 2019, pursuant to legal requirements, the Company has issued a letter of credit to the Ministry of Energy and Mines totaling US$51.0 million to secure mine closure plans. The provision for remediation and mine closure costs is based on studies prepared by independent consultants and based on current environmental regulations. This provision corresponds mainly to the activities to be performed in order to restore the areas affected by mining activities. The main tasks to be performed include ground removal, soil recovery, and dismantling of plant and equipment. |
Schedule of detailed information about provision for closure of mining units and exploration projects | The table below presents the changes in the provision for remediation and mine closure: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 131,888 156,859 153,313 Accretion expense 4,048 4,322 4,595 Changes in estimates, Note 7 41,130 (32,017) (3,710) Additions, Note 7 18,834 2,724 2,661 Final balance 195,900 131,888 156,859 |
Financial obligations (Tables)
Financial obligations (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of Financial obligations [Line Items] | |
Disclosure Of Detailed Information About Financial Obligation Explanatory [Text Block] | (a) 2019 2018 US$(000) US$(000) Compañía de Minas Buenaventura S.A.A.(b) BBVA Banco Continental 61,667 61,667 Banco de Crédito del Perú 61,667 61,667 CorpBanca New York Branch 61,666 61,666 Banco Internacional del Perú 30,000 30,000 ICBC Perú Bank 25,000 25,000 Banco Latinoamericano de Comercio Exterior S.A. 20,000 20,000 Banco de Sabadell, Miami Branch 15,000 15,000 275,000 275,000 Debt issuance costs (2,504) (3,618) 272,496 271,382 Sociedad Minera El Brocal S.A.A. Banco de Crédito del Perú – New financial obligation (c) 161,894 — Debt issuance costs (709) — 161,185 — Banco de Crédito del Perú – Finance leaseback — 94,490 Debt issuance costs (c) — (976) — 93,514 Banco de Crédito del Perú - Mid-term financial obligation (c) — 75,000 161,185 168,514 Empresa de Generación Huanza S.A. Banco de Crédito del Perú – Finance lease (d) 130,504 147,166 Obligations for leases, note 2.3 and (g) 7,503 — Total financial obligations 571,688 587,062 Classification by maturity: Current portion 265,692 46,166 Non-current portion (e) 305,996 540,896 Total financial obligations 571,688 587,062 |
Disclosure of maturity analysis for non-derivative financial liabilities [text block] | (e) 2019 2018 US$(000) US$(000) Between 1 and 2 years 133,091 278,397 Between 2 and 5 years 127,463 266,625 More than 5 years 48,566 — 309,120 545,022 Debt issuance costs (3,124) (4,126) 305,996 540,896 |
Disclosure of reconciliation of liabilities arising from financing activities [text block] | (f) 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 587,062 633,083 592,342 New obligations 161,894 — 80,000 New lease obligations, note 2.3 19,885 — — Payments of financial obligations (186,152) (45,222) (32,599) Payments of obligations for leases (7,596) — — Increase of debt issuance costs (728) — (480) Movement of lease obligations (4,786) — — Accrual of debt issuance costs in results, note 27(a) 2,109 1,024 909 Exchange difference — 384 (165) Increase in interest for debt restructuring — (2,207) — Accrual of debt issuance costs capitalized — — 272 Sale of asset under lease agreement — — (7,196) Final balance 571,688 587,062 633,083 |
Schedule of lease liabilities | Lease liabilities related to the right in use are: 2019 US$(000) Buildings 5,296 Transportation units 1,429 Machinery and equipment 778 7,503 Classification by maturity: Current portion 3,692 Non-current portion 3,811 7,503 |
Schedule of Future minimum rentals payable | Future minimum rentals payable as of December 31 are the following: 2019 2018 US$(000) US$(000) Within one year 1,470 1,543 After one year but not more than five years 3,697 5,787 5,167 7,330 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of Financial obligations [Line Items] | |
Disclosure of maturity analysis for non-derivative financial liabilities [text block] | The following tables show the expected aging of maturity of the Company’s obligations, excluding taxes and accruals, as of December 31, 2019 and 2018: On demand Less than 3 months 3 to 12 months 1 to 5 years More than 5 years Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) As of December 31, 2019 Trade accounts payable — 224,675 245 — — 224,920 Accounts payable - related parties — 4,014 — 10,074 — 14,088 Other financial liabilities — 3 8,852 825,877 76,943 911,675 Other accounts payable — 40,357 59,023 72,759 289,705 461,844 Total — 269,049 68,120 908,710 366,648 1,612,527 As of December 31, 2018 Trade accounts payable — 231,080 56 — — 231,136 Accounts payable - related parties — 6,014 — 8,860 14,874 Other financial liabilities — — — 1,022,810 1,022,810 Other accounts payable — 7,472 93,782 183,824 31,246 316,324 Total — 244,566 93,838 1,215,494 31,246 1,585,144 |
Shareholders' equity, net (Tabl
Shareholders' equity, net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of Shareholders' equity, net [Line Items] | |
Schedule of dividends declared and paid | The table below presents the dividends declared and paid in 2019, 2018 and 2017: Dividends declared and Dividend Meetings Date paid per share US$(000) US$ 2019 Dividends Mandatory Annual Shareholders’ Meeting March 25 16,538 0.06 Less - Dividends of treasury shares (1,298) 15,240 Board of Directors’ Meeting October 29 7,442 0.03 Less - Dividends of treasury shares (584) 6,858 22,098 2018 Dividends Mandatory Annual Shareholders’ Meeting March 27 8,269 0.03 Less - Dividends of treasury shares (648) 7,621 Board of Directors’ Meeting October 25 16,538 0.06 Less - Dividends of treasury shares (1,299) 15,239 22,860 2017 Dividends Mandatory Annual Shareholders’ Meeting March 28 15,711 0.06 Less - Dividends of treasury shares (1,232) 14,479 Board of Directors’ Meeting October 27 8,269 0.03 Less - Dividends of treasury shares (649) 7,620 22,099 |
Schedule Of Earning Per Share | The calculation of profit (loss) per share attributable to the equity holders of the parent is presented below: 2019 2018 2017 Profit (loss) net (numerator) - US$ (12,208,000) (13,445,000) 60,823,000 Total common and investment shares (denominator) 253,986,867 253,986,867 253,986,867 Profit (loss) net per basic share and diluted - US$ (0.05) (0.05) 0.24 The calculation of profit (loss) per share from continuing operations attributable to the equity holders of the Parent is presented below: 2019 2018 2017 Profit (loss) net (numerator) - US$ (1,694,000) (1,637,000) 71,167,000 Total common and investment shares (denominator) 253,986,867 253,986,867 253,986,867 Profit (loss) net per basic share and diluted - US$ (0.01) (0.02) 0.28 |
Sociedad Minera El Brocal S.A.A. [Member] | |
Disclosure of Shareholders' equity, net [Line Items] | |
Schedule of capital stock structure | As of December 31, 2019, the Company’s capital stock structure is as follows: Percentage of individual interest in capital Number of shareholders Total percentage interest Up to 1.00 2,829 4.38 From 1.01 to 20.00 2 21.06 From 20.01 to 30.00 1 21.00 From 30.01 to 60.00 1 53.56 2,833 100.00 |
capital stock [Member] | |
Disclosure of Shareholders' equity, net [Line Items] | |
Schedule of classes of share capital | The Group’s share capital is stated in soles and consisted of common shares with voting rights, with a nominal amount of S/10.00 per share. The table below presents the composition of the capital stock as of December 31, 2019 and 2018: Number of Capital Capital shares stock stock S/(000) US$(000) Common shares 274,889,924 2,748,899 813,162 Treasury shares (21,174,734) (211,747) (62,665) 253,715,190 2,537,152 750,497 |
investment shares [Member] | |
Disclosure of Shareholders' equity, net [Line Items] | |
Schedule of classes of share capital | The table below presents the composition of the investment shares as of December 31, 2019 and 2018: Number of Investment Investment shares shares shares S/(000) US$(000) Investment shares 744,640 7,447 2,161 Treasury investment shares (472,963) (4,730) (1,370) 271,677 2,717 791 |
Subsidiaries with material no_2
Subsidiaries with material non-controlling interest (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Subsidiaries with material non-controlling interest | |
Schedule of non-controlling interests | Financial information of main subsidiaries that have material non-controlling interest are provided below: Country of incorporation 2019, 2018 and operation and 2017 % Equity interest held by non-controlling interests: Sociedad Minera El Brocal S.A.A. Peru 38.57 S.M.R.L. Chaupiloma Dos de Cajamarca Peru 40.00 Minera La Zanja S.R.L. Peru 46.94 Apu Coropuna S.R.L. Peru 30.00 2019 2018 2017 US$(000) US$(000) US$(000) Accumulated balances of material non-controlling interest: Sociedad Minera El Brocal S.A.A. 161,917 176,978 165,032 Minera La Zanja S.R.L. 33,026 42,295 48,642 S.M.R.L. Chaupiloma Dos de Cajamarca 1,587 1,800 1,693 Apu Coropuna S.R.L. 148 164 223 196,678 221,237 215,590 Profit (loss) allocated to material non-controlling interest: Sociedad Minera El Brocal S.A.A. (13,432) 2,880 4,246 Minera La Zanja S.R.L. (9,090) (6,346) (6,006) S.M.R.L. Chaupiloma Dos de Cajamarca 6,286 5,667 5,827 Apu Coropuna S.R.L. (14) (410) (454) Other minor (1) — (1) (16,251) 1,791 3,612 |
Schedule of financial position of subsidiaries | The summarized financial information of these subsidiaries, before inter-company eliminations, is presented below: Statements of financial position as of December 31, 2019: Sociedad S.M.R.L. Minera El Minera Chaupiloma Apu Brocal La Zanja Dos de Coropuna S.A.A. S.R.L. Cajamarca S.R.L. US$(000) US$(000) US$(000) US$(000) Current assets 149,945 112,420 6,252 2,141 Non-current assets 576,028 26,038 — 185 Current liabilities (118,965) (20,170) (2,286) (1,094) Non-current liabilities (210,904) (47,930) — (740) Shareholders’ equity, net 396,104 70,358 3,966 492 Attributable to: Shareholders of the Group 234,187 37,332 2,379 344 Non-controlling interests 161,917 33,026 1,587 148 396,104 70,358 3,966 492 Statements of financial position as of December 31, 2018: Sociedad S.M.R.L. Minera El Minera Chaupiloma Apu Brocal La Zanja Dos de Coropuna S.A.A. S.R.L. Cajamarca S.R.L. US$(000) US$(000) US$(000) US$(000) Current assets 170,274 126,878 7,154 2,263 Non-current assets 603,280 31,841 — 182 Current liabilities (123,052) (25,834) (2,653) (1,165) Non-current liabilities (217,683) (42,781) — (739) Shareholders’ equity, net 432,819 90,104 4,501 541 Attributable to: Shareholders of the Group 255,841 47,809 2,701 377 Non-controlling interests 176,978 42,295 1,800 164 432,819 90,104 4,501 541 |
Schedule of statement of profit or loss of subsidiaries | Statements of profit or loss for the years 2019, 2018 and 2017: Sociedad S.M.R.L. Minera El Minera Chaupiloma Apu Brocal La Zanja Dos de Coropuna Other S.A.A. S.R.L. Cajamarca S.R.L. minor US$(000) US$(000) US$(000) US$(000) US$(000) Year 2019 - Revenues 299,252 43,520 22,297 — — Net profit (loss) (32,855) (19,364) 15,715 (48) (17) Attributable to non-controlling interests (13,432) (9,090) 6,286 (14) (1) Year 2018 - Revenues 332,298 96,611 20,385 — — Net profit (loss) 6,305 (13,519) 14,168 (1,369) — Attributable to non-controlling interests 2,880 (6,346) 5,667 (410) — Year 2017 - Revenues 322,653 165,319 20,739 — — Net profit (loss) 10,386 (12,795) 14,568 (1,515) 386 Attributable to non-controlling interests 4,246 (6,006) 5,827 (454) (1) |
Schedule of cash flow statement | Statements of cash flow for the years 2019, 2018 and 2017: Sociedad S.M.R.L. Minera El Minera Chaupiloma Apu Brocal La Zanja Dos de Coropuna S.A.A. S.R.L. Cajamarca S.R.L. US$(000) US$(000) US$(000) US$(000) Year 2019 - Operating activities 1,545 (908) 16,040 — Investing activities (28,259) (1,629) — — Financing activities (405) (763) (16,250) 1,032 (27,119) (3,300) (210) 1,032 Year 2018 - Operating activities 74,985 10,323 14,066 (572) Investing activities (29,546) (13,160) — — Financing activities (29,974) — (13,900) — 15,465 (2,837) 166 (572) Year 2017 - Operating activities 60,525 139,155 15,093 (185) Investing activities (64,343) (17,326) — — Financing activities 18,096 (32,077) (15,090) 1,477 14,278 89,752 3 1,292 |
Tax situation (Tables)
Tax situation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Tax situation | |
Schedule of income tax years for review by tax authorities | The Income Tax and Value Added Tax (VAT) returns for the following years are open to review by the Tax Authorities: Years open to review by the Entity Tax Authorities Compañía de Minas Buenaventura S.A.A. 2015-2019 Compañía Minera Condesa S.A. 2015-2019 Compañía Minera Colquirrumi S.A. 2015-2019 Consorcio Energético de Huancavelica S.A. 2016-2019 Contacto Corredores de Seguros S.A. 2014-2019 El Molle Verde S.A.C. 2015-2019 Empresa de Generación Huanza S.A. 2015-2019 Inversiones Colquijirca S.A. 2015-2019 Minera La Zanja S.R.L. 2016-2019 Sociedad Minera El Brocal S.A.A. 2014, 2016-2019 S.M.R.L. Chaupiloma Dos de Cajamarca 2015-2019 Procesadora Industrial Río Seco S. A. 2015-2019 Apu Coropuna S.R.L. 2015-2019 Cerro Hablador S. A. C. 2015-2019 Minera Azola S. R. L. 2015-2019 |
Schedule of other assessments | A summary of these assessments follows: Penalty and Year Taxes interest Total US$(000) US$(000) US$(000) 2003 – 2005 8,857 39,196 48,053 2006 10,990 51,943 62,933 2007 12,376 17,845 30,221 2008 20,797 12,968 33,765 2009 56,388 51,219 107,607 2010 62,581 107,324 169,905 2011 49,055 65,189 114,244 2012 51,981 11,257 63,238 2014 - 2019 38,975 — 38,975 312,000 356,941 668,941 |
Minera Yanacocha SRL and subsidiary [Member] | |
Tax situation | |
Schedule of income tax years for review by tax authorities | The Company has entered into the following tax stability agreements, each with a term of 15 years: Date of the Tax Mine Effective Agreement Tax Regimes in Force Cerro Yanacocha January 1, 2000 September 16, 1998 May 22, 1997 La Quinua January 1, 2004 August 25, 2003 August 25, 2003 |
Schedule of income tax provision | The Company’s income tax provision consisted of the following: 2019 2018 2017 US$(000) US$(000) US$(000) Current Peruvian income tax 42,978 12,525 3,877 Royalties and mining taxes 11,444 8,822 4,944 Income tax from prior years 8,459 8,900 (2,006) Fines from previous years, note 24 4,056 — — Other taxes 993 121 211 Income tax prior years refunds (*) (3,002) — — Current income tax expense 64,928 30,368 7,026 Deferred income tax expenses (benefit) — (1,071) — Income tax expense 64,928 29,297 7,026 |
Schedule of reconciliation of tax expense and the accounts profit | Below is a reconciliation of tax expense and the accounts profit multiplied by the statutory tax rate for the years 2019, 2018 and 2017: 2019 2018 2017 US$(000) US$(000) US$(000) Loss before income tax (30,329) (52,220) (168,428) Peruvian statutory tax rate 29.5 % 29.5 % 29.5 % Income tax income (8,947) (15,405) (49,686) Valuation allowance on deferred tax asset 46,473 23,771 50,960 Effect of change in translation to US dollars (4,217) — — Mining taxes 8,068 6,260 3,530 Non-deductible expenses 13,045 6,962 4,204 Difference in income tax rate applicable to La Quinua at 29% — (176) (124) Income tax prior years (refunds) / payments 6,450 7,885 (1,858) Fines from prior years, note 24 4,056 — — Total income tax expense 64,928 29,297 7,026 |
Sociedad Minera El Brocal S.A.A. [Member] | |
Tax situation | |
Schedule of income tax provision | The income tax expense (benefit) for the years ended December 31, 2019, 2018 and 2017 is shown below: 2019 2018 2017 US$(000) US$(000) US$(000) Income tax Current 107,666 254,767 430,974 Deferred 139,934 61,483 (167,541) 247,600 316,250 263,433 Mining taxes Current mining royalty and special mining tax 47,032 6,661 213,280 Supplementary retirement fund Current 1,835 1,499 10,897 Deferred 1,607 760 (1,567) 3,442 2,259 9,330 Income tax expense reported in the statements of comprehensive income 298,074 325,170 486,043 |
Schedule of deferred taxes | December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Deferred income tax Asset Royalty accrual 84,546 109,505 127,475 Provision for remediation and mine closure 17,309 15,131 12,083 Embedded derivatives for price adjustment of copper concentrate and cathode (10,742) 6,050 — Unpaid vacations 6,618 5,937 5,293 Provision for mining taxes 3,737 4,120 8,742 SUNAT Assessments — 4,055 4,077 Cost of net asset for the construction of the tailing dam 1,191 2,638 2,007 Development costs 72 122 183 Leases net assets (2,454) — — Other provisions 10,276 10,450 4,240 110,553 158,008 164,100 Liability Property, plant and equipment depreciation 429,466 337,642 261,434 Stripping activity asset 33,660 27,464 22,014 Difference in valuation of inventories 14,885 16,605 16,264 Debt issuance costs 933 1,894 2,663 Lease liabilities (2,860) — — Price adjustment of copper concentrate and cathode — — 25,840 476,084 383,605 328,215 Deferred liabilities, net 365,531 225,597 164,115 Supplementary retirement fund Deferred liability 4,258 2,651 1,890 Total deferred income tax liability, net 369,789 228,248 166,005 |
Schedule of other assessments | Year Taxes Penalty and interest Total US$(000) US$(000) US$(000) 2003 – 2005 8,857 39,196 48,053 2006 10,990 51,943 62,933 2007 12,376 17,845 30,221 2008 20,797 12,968 33,765 2009 56,388 51,219 107,607 2010 62,581 107,324 169,905 2011 49,055 65,189 114,244 2012 51,981 11,257 63,238 2014 –2019 38,975 — 38,975 312,000 356,941 668,941 |
Schedule of types of temporary differences, unused tax losses and unused tax credits. | (g) The Company recognizes the effect of temporary differences between the accounting base for financial reporting purposes and the tax base. The composition of this item is made up as follows: December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Deferred income tax Asset Royalty accrual 84,546 109,505 127,475 Provision for remediation and mine closure 17,309 15,131 12,083 Embedded derivatives for price adjustment of copper concentrate and cathode (10,742) 6,050 — Unpaid vacations 6,618 5,937 5,293 Provision for mining taxes 3,737 4,120 8,742 SUNAT Assessments — 4,055 4,077 Cost of net asset for the construction of the tailing dam 1,191 2,638 2,007 Development costs 72 122 183 Leases net assets (2,454) — — Other provisions 10,276 10,450 4,240 110,553 158,008 164,100 Liability Property, plant and equipment depreciation 429,466 337,642 261,434 Stripping activity asset 33,660 27,464 22,014 Difference in valuation of inventories 14,885 16,605 16,264 Debt issuance costs 933 1,894 2,663 Lease liabilities (2,860) — — Price adjustment of copper concentrate and cathode — — 25,840 476,084 383,605 328,215 Deferred liabilities, net 365,531 225,597 164,115 Supplementary retirement fund Deferred liability 4,258 2,651 1,890 Total deferred income tax liability, net 369,789 228,248 166,005 |
Schedule of reconciliation of income tax rate. | For the years ended December 31, 2019, 2018 and 2017, the income tax expense recorded differs from the result of applying the legal rate to the Company’s profit before income tax, as detailed below: 2019 2018 2017 US$(000) US$(000) US$(000) Profit before income tax 688,451 444,880 835,924 Income tax rate 32 % 32 % 32 % Expected income tax expense 220,304 142,362 267,496 Non - deductible expenses 28,181 25,352 25,217 Royalty case — 143,728 (12,029) Uncertain tax positions - IFRIC 23 20,767 — — Special mining tax and mining royalties (15,660) (25,165) (21,704) Special mining burden (GEM) — (22,334) — Income tax rate change effect on deferred taxes for change in Peruvian tax law once the current Stability Contract expires (from 32% to 31.18%) (2,746) (1,958) (1,632) Income tax true – ups (10,255) (10,312) 10,210 Others 7,620 4,896 (4,125) Current and deferred income tax charges to results 248,211 256,569 263,433 Mining taxes charged to results 48,036 65,055 213,280 Supplementary retirement fund charged to results 1,827 3,546 9,330 298,074 325,170 486,043 Effective income tax 43.30 % 73.09 % 58.14 % |
Net sales (Tables)
Net sales (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of associates [line items] | |
Schedule of net sales to customers by geographical areas | (a) 2019 2018 2017 US$(000) US$(000) US$(000) Revenues by geographic region: Metal and concentrates sales - Peru 476,978 521,017 516,054 America - other than Peru 171,769 370,624 471,863 Asia 105,645 120,519 120,719 Europe 60,475 100,792 79,837 814,867 1,112,952 1,188,473 Services - Peru 23,501 23,712 14,903 America - other than Peru 130 289 14,794 Europe 30 — — 23,661 24,001 29,697 Royalties - Peru 22,297 20,385 20,739 860,825 1,157,338 1,238,909 2019 2018 2017 US$(000) US$(000) US$(000) Revenues by type of good or services: Sales by metal - Silver 298,171 362,122 393,257 Gold 254,194 411,877 510,982 Copper 238,304 274,761 268,527 Zinc 149,317 164,666 170,518 Lead 89,141 85,555 85,957 Manganese sulfate 6,046 6,655 6,317 Indium — — 66 1,035,173 1,305,636 1,435,624 Commercial deductions (220,306) (192,684) (247,151) 814,867 1,112,952 1,188,473 Sales by services - 23,661 24,001 29,697 Royalties income - 22,297 20,385 20,739 Total revenue from contracts with customers 860,825 1,157,338 1,238,909 Revenues by type of recognition: Goods transferred at a point in time 814,867 1,112,952 1,188,473 Services transferred over time 23,661 24,001 29,697 Royalties at a point of time 22,297 20,385 20,739 860,825 1,157,338 1,238,909 (b) 2019 2018 2017 US$(000) US$(000) US$(000) Contracts with customers for sale of goods 814,867 1,112,952 1,188,473 Hedge operations 4,322 (1,398) (10,921) Fair value of accounts receivables 2,347 (6,013) 8,417 Adjustments to prior period liquidations 394 788 1,237 Net sale of goods 821,930 1,106,329 1,187,206 Net sale of services 23,661 24,001 29,697 Royalty income 22,297 20,385 20,739 867,888 1,150,715 1,237,642 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of associates [line items] | |
Schedule of net sales by geographic region | (b) For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Asia 2,374,350 2,404,530 2,416,826 North America 265,599 295,448 287,174 South America (primarily Peru) 168,077 136,400 193,174 Europe 77,716 209,894 314,092 Central America 11,152 15,658 — 2,896,894 3,061,930 3,211,266 Less: Royalty contributions (see Note 2(k)) (6,828) (7,904) (8,335) Total net sales 2,890,066 3,054,026 3,202,931 |
Schedule of revenue by type of products | (a) For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 Pounds (000) US$(000) Pounds (000) US$(000) Pounds (000) US$(000) Copper in concentrate 912,974 2,294,249 962,113 2,458,088 979,243 2,702,508 Copper cathode 88,875 244,277 86,346 251,908 84,679 241,725 Other (primarily silver and molybdenum concentrate) 358,368 351,934 267,033 Subtotal Sales 2,896,894 3,061,930 3,211,266 Less: Royalty contributions (see Note 2(k)) (6,828) (7,904) (8,335) Total net sales 2,890,066 3,054,026 3,202,931 |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of associates [line items] | |
Schedule of net sales to customers by geographical areas | (a) 2019 2018 2017 US$(000) US$(000) US$(000) Sales and services by geographic region: Metal sales Europe (Switzerland) 734,526 518,664 491,887 America — 139,989 179,018 734,526 658,653 670,905 |
Schedule of other operating revenue | (b) 2019 2018 2017 US$(000) US$(000) US$(000) Copper and silver in concentrate 4,098 20,442 17,509 Others 678 1,523 4,361 4,776 21,965 21,870 |
Cost of sales, without consid_2
Cost of sales, without considering depreciation and amortization (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of continuing involvement in derecognised financial assets [line items] | |
Schedule of detailed information of cost of sale of goods and services | (a) 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance of finished goods and products in process, net of depreciation and amortization 49,206 37,640 58,633 Cost of production Services provided by third parties 196,895 243,410 254,821 Consumption of materials and supplies 96,351 133,961 129,294 Direct labor 79,076 93,122 82,930 Electricity and water 44,583 50,215 42,877 Transport 20,784 23,539 25,406 Maintenance and repair 19,729 24,415 22,062 Short-term and low-value lease 16,341 30,819 15,498 Insurances 12,235 11,311 5,870 Provision (reversal) for impairment of finished goods and product in progress, note 8(c) (2,143) 4,521 2,118 Other minor 11,755 9,634 10,179 Total cost of production of the period 495,606 624,947 591,055 Final balance of products in process and finished goods, net of depreciation and amortization (31,938) (49,206) (45,038) Cost of sales of goods, without considering depreciation and amortization 512,874 613,381 604,650 (b) 2019 2018 2017 US$(000) US$(000) US$(000) Direct labor 1,231 2,128 7,398 Electricity and water 589 249 586 Consumption of materials and supplies 497 675 1,026 Services provided by third parties 331 382 1,782 Maintenance and repair 186 543 946 Insurances 163 86 246 Transport 148 50 98 Short-term and low-value lease 89 92 423 Other minor 144 113 449 3,378 4,318 12,954 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of continuing involvement in derecognised financial assets [line items] | |
Schedule of detailed information about cost of sales | This item is made up as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Materials and supplies 693,292 693,316 556,022 Depreciation and amortization 523,512 512,298 456,467 Labor (a) 285,081 357,692 286,058 Energy 228,853 254,243 229,272 Third parties services 181,215 159,514 144,829 Depreciation for right-of-use assets (see Note 7 and 10(a)) 11,488 — — Variable lease payments, low-value and short-term leases (see Note 10(a)) 7,069 — — Management Fees 2,923 2,743 2,867 Change in work in process inventory (23,427) (8,513) 51,412 Change in finished goods inventory (2,290) (5,723) 2,060 Other costs 47,033 45,402 39,251 1,954,749 2,010,972 1,768,238 (a) |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of continuing involvement in derecognised financial assets [line items] | |
Schedule of detailed information about cost of sales | This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance of finished goods and in-process 341,213 345,489 446,503 Beginning balance of provision for net realizable value, note 8(b) (89,127) (62,540) (84,374) Royalties to related parties, note 1(a) and note 22 22,297 20,385 20,739 Mining royalties to the government 9,255 2,875 4,990 Consumption of supplies 200,036 215,863 240,881 Personnel expenses 72,325 82,645 99,702 Other services 41,120 43,671 66,408 Maintenance 26,645 22,585 24,033 Power 23,619 24,203 23,565 Depreciation and amortization 144,862 156,212 87,783 Workers' profit sharing 12,804 3,837 1,242 Provision of closure mines, note 12(b) 142,129 16,285 124,124 Ending balance of provision for net realizable value, note 8(b) 47,925 89,127 62,540 Ending balance of finished goods and in-process (302,382) (341,213) (345,489) 692,721 619,424 772,647 |
Operating expenses, net (Tables
Operating expenses, net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of Operating Expenses [line items] | |
Schedule of detailed information about operating expenses,net | This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Exploration and advanced projects 33,669 62,643 51,694 Severance program 2,210 8,678 9,419 Cost of sales from the sale of fixed assets 2,092 5,445 1,632 Tax fine 2,019 3,954 — Write-off of fixed assets 1,204 — 1,368 Revenue from sale of fixed assets (8,088) (4,821) (2,235) Others, net 2,881 256 1,636 35,987 76,155 63,514 |
Exploration in operating units
Exploration in operating units (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Exploration in operating units | |
Schedule of detailed information about exploration and evaluation assets | This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance of finished goods and products in process, net of depreciation and amortization 2,837 5,157 5,309 Exploration in operating units Services provided by third parties 33,591 71,513 75,743 Consumption of materials and supplies 3,712 8,594 7,673 Direct labor 1,747 2,349 2,142 Short-term and low-value lease 1,186 2,065 1,405 Electricity and water 905 1,337 820 Transport 71 192 543 Maintenance and repair 10 450 98 Other minor 548 910 56 Total exploration in operating units 41,770 87,410 88,480 Final balance of products in process and finished goods, net of depreciation and amortization (444) (2,837) (4,478) Exploration in operating units 44,163 89,730 89,311 |
Mining royalties (Tables)
Mining royalties (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Mining royalties | |
Schedule of detailed information about mining royalties | This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Royalties paid to the Peruvian State 8,091 9,266 10,719 Sindicato minero de Orcopampa S.A., note 29(b) 4,741 12,122 20,165 12,832 21,388 30,884 |
Administrative expenses (Tables
Administrative expenses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of administrative expense [Line Items] | |
Schedule of detailed information of Administrative expenses | This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Personnel expenses 38,566 34,656 36,265 Professional fees 13,924 15,324 12,663 Sundry charges 7,489 3,965 4,921 Depreciation and amortization 3,825 1,295 1,146 Board of Directors’ compensation 2,202 3,252 1,422 Software licenses 1,706 1,824 2,523 Subscriptions and quotes 1,492 1,938 1,428 Communications 1,296 1,512 1,376 Donations 1,030 1,617 3,006 Short-term and low-value lease 1,011 5,818 5,412 Maintenance and repairs 953 2,732 2,657 Transport 878 1,212 989 Insurance 720 645 3,911 Consumption of materials and supplies 422 436 616 Canons and tributes 410 388 602 Travel and mobility 373 467 1,053 Allowance for expected credit losses, note 7(f) — 18 676 76,297 77,099 80,666 |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of administrative expense [Line Items] | |
Schedule of detailed information of Administrative expenses | This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Management expenses 1,341 1,317 3,395 Other 403 1,466 1,365 1,744 2,783 4,760 |
Exploration in non-operating _2
Exploration in non-operating areas (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Exploration in non-operating areas | |
Schedule of detailed information about exploration in non-operating units | This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Personnel expenses 3,632 4,830 4,064 Services provided by third parties 3,611 22,764 5,401 Lands 1,528 1,867 1,781 Short-term and low-value lease 415 1,524 1,171 Consumption of materials and supplies 328 1,420 582 Other minor 2,365 3,902 5,263 11,879 36,307 18,262 |
Other, net (Tables)
Other, net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other, net | |
Schedule of details about components of other income expense | 2019 2018 2017 US$(000) US$(000) US$(000) Other income Sale of supplies and merchandise to third parties 32,228 46,128 54,496 Sale of assets to third parties 19,405 3,863 369 Reversal for impairment of spare parts and supplies, note 8(c) 11,641 4,665 2,370 Sale of services to third parties 6,415 3,512 2,552 Revenue from commercial claims 2,098 — — Income from previous years 1,311 1,504 2,680 Sale of supplies to related parties, note 30(a) 1,259 27 4 Sale of assets to related parties, note 30(a) 11 30 336 Insurance claim recovery (c) — 33,735 1,190 Sale of investment in subsidiary — 7,097 — Changes in provisions for exploration projects, note 15(b) — 2,433 — Recovery of expenses from previous years — 81 68 Income from rental of investment properties — 45 235 Expiration of allowance for expected credit losses, note 7(f) — 45 99 Sale of investment properties (b) — — 11,250 Other minor 2,632 (566) 11,881 77,000 102,599 87,530 Other expenses Disposal cost of sale of supplies and merchandise to third parties (33,664) (57,897) (60,239) Direct expenses (15,992) (9,867) (5,721) Provision for impairment of spare parts and supplies, note 8(c) (15,703) (11,704) (4,814) Net cost of property, machinery and equipment to third parties, note 11(a) (4,965) (626) — Changes in provisions for exploration projects, note 15(b) (4,020) — (891) Disposal cost of sale of supplies and merchandise to related parties (2,944) (257) (40) Expenses from previous years (2,240) (1,831) (603) Withdrawals and disposals of property, machinery and equipment, note 11(a) (2,926) (6,626) (15,013) Allowance for expected credit losses, note 7(f) (25) (1,334) — Net cost of transfer of investments, note 1(d) — (11,178) (1,706) Net cost of investment properties (b) — — (9,575) Other minor (9,236) (2,587) (2,158) (91,715) (103,907) (100,760) (14,715) (1,308) (13,230) (b) |
Finance costs and finance inc_2
Finance costs and finance income (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Finance costs and revenues [Line Items] | |
Schedule of significant unobservable valuation input | Significant unobservable valuation inputs are provided below: 2019 2018 Annual average of future sales of mineral (US$000) 190,815 193,906 Useful life of mining properties 14 13 Pre-tax discount rate (%) 10 10 |
Schedule of contingent liabilities in business combination | A reconciliation of fair value measurement of the contingent consideration liability is provided below: 2019 2018 2017 US$(000) US$(000) US$(000) Beginning balance 15,755 17,570 19,343 Variation of the fair value in results 655 (1,815) (1,773) Final balance 16,410 15,755 17,570 |
Disclosure Of Detailed Information About Finance Cost And Finance Revenues [Text Block] | Finance costs and finance income (a) 2019 2018 2017 US$(000) US$(000) US$(000) Finance income: Interest on time deposits 4,971 5,176 1,050 Dividends income 3,625 — — Interests on third parties loans 460 561 813 Interests on loans to related parties, note 30(a) 86 92 1,685 Interests on tax claims 16 1,701 153 Other minor 517 340 43 9,675 7,870 3,744 Unrealized variation of the fair value related to contingent consideration liability (b) — 1,815 1,773 Total finance revenues 9,675 9,685 5,517 Finance costs: Interest on borrowings 28,418 31,538 28,019 Tax on financial transactions 166 173 180 Interest on loans 1 2 1,053 Other minor 55 703 72 28,640 32,416 29,324 Accretion expense for mine closure, note 15(b) 10,390 4,982 4,318 Accrual of debt issuance costs, note 16(f) 2,109 1,024 909 Unrealized variation of the fair value related to contingent consideration liability (b) 655 — — Accretion expense of leases liability — — Total finance costs 42,173 38,422 34,551 |
Minera Yanacocha SRL and subsidiary [Member] | |
Finance costs and revenues [Line Items] | |
Schedule of Finance cost | This caption is made up as follows: 2019 2018 2017 US$(000) US$(000) US$(000) Unwinding of the discount of the provision for mining closure, note 12(b) 36,709 36,015 21,769 Interests on tax contingency and others, see note 24 16,938 161 128 Commissions of guarantee letters 2,485 2,113 1,869 Unwinding of debt instruments, note 13 1,497 735 — 57,629 39,024 23,766 |
Deferred income tax (Tables)
Deferred income tax (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Deferred income tax | |
Schedule of temporary difference, unused tax losses and unused tax credits | (a) Credit (debit) to Credit (debit) to Credit (debit) to consolidated Credit (debit) to consolidated As of consolidated statements of other As of consolidated statements of other As of January 1, statement of profit comprehensive Others December 31, statement of profit comprehensive Others December 31, 2018 or loss income movements 2018 or loss income movements 2019 US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Deferred asset for income tax Tax - loss carryforward 94,939 10,919 — (396) 105,462 25,866 — — 131,328 Difference in depreciation and amortization rates 47,482 1,088 — — 48,570 37 — — 48,607 Provision for closure of mining units, net 19,793 7,423 — — 27,216 3,684 — — 30,900 Impairment loss of long-lived assets 9,920 (2,448) — — 7,472 576 — — 8,048 Other minor 15,459 5,369 — (147) 20,681 422 — 400 21,503 187,593 22,351 — (543) 209,401 30,585 — 400 240,386 Derivative financial instruments 9,103 — (9,103) — — — — — — 196,696 22,351 (9,103) (543) 209,401 30,585 — 400 240,386 Deferred assets for mining royalties and special mining tax (87) — — 36 (6) — — 30 Total deferred asset 196,819 22,264 (9,103) (543) 209,437 30,579 — 400 240,416 Deferred liability for income tax Differences in amortization rates for development costs (45,693) (20,295) — — (65,988) (3,357) — — (69,345) Effect of translation into U.S. dollars (46,023) (15,248) — — (61,271) 14,995 — — (46,276) Other minors (77,603) 3,123 — — (74,480) (4,550) — — (79,030) (169,319) (32,420) — — (201,739) 7,088 — — (194,651) Derivative financial instruments — — (813) — (813) — 813 — — — — (813) — (813) — 813 — — Deferred liability for mining royalties and special mining tax (161) 159 — — (2) (166) — — (168) Total deferred liability (169,480) (32,261) (813) — (202,554) 6,922 813 — (194,819) Deferred income tax asset, net 27,339 (9,997) (9,916) (543) 6,883 37,501 813 400 45,597 |
Schedule of detailed information about net deferred tax asset | (b) 2019 2018 US$(000) US$(000) Deferred income tax asset, net 74,556 38,305 Deferred income tax liability, net (28,959) (31,422) 45,597 6,883 |
Schedule of detailed information about provision for income taxes | (c) 2019 2018 2017 US$(000) US$(000) US$(000) Income tax expense Current (11,851) (12,433) (18,780) Deferred 37,617 (10,029) 5,984 25,766 (22,462) (12,796) Mining Royalties and Special Mining Tax Current (60) (4,449) (4,933) Deferred (116) 32 (159) (176) (4,417) (5,092) Total income tax 25,590 (26,879) (17,888) |
Schedule of reconciliation of accounting profit multiplied by applicable tax rates | (d) 2019 2018 2017 US$(000) US$(000) US$(000) Profit (loss) before income tax (43,535) 27,033 92,667 Loss for discontinued operations (10,514) (11,808) (10,344) Profit (loss) before income tax (54,049) 15,225 82,323 Theoretical loss (gain) for income tax 15,944 (4,491) (24,285) Permanent items and others: Effect of translation into U.S. dollars 14,995 (15,248) 24,502 Share in the results of associates and joint ventures 14,074 (337) 3,896 Permanent items (9,958) (3,466) (16,549) Unrecognized deferred tax asset (9,265) (2,038) (1,898) Mining royalties and special mining tax (24) 3,118 1,538 Income tax expense 25,766 (22,462) (12,796) Mining Royalties and Special Mining Tax (176) (4,417) (5,092) Total income tax 25,590 (26,879) (17,888) |
Schedule of components of deferred tax asset | Deferred income tax asset is presented net of the portion unrecognized that the Group estimates will not be probable that taxable profits will be available against which the deferred tax asset can be utilized: Total deferred Unrecognized Net deferred tax asset deferred tax tax asset US$(000) US$(000) US$(000) As of December 31, 2019 Tax - loss carryforward 139,614 (8,152) 131,462 Difference in depreciation and amortization rates 68,151 (19,544) 48,607 Provision for closure of mining units, net 53,418 (22,518) 30,900 Impairment loss of long-lived assets 8,048 — 8,048 Other minor 21,369 — 21,369 Total income tax 290,600 (50,214) 240,386 As of December 31, 2018 Tax - loss carryforward (761) Difference in depreciation and amortization rates (19,544) Provision for closure of mining units, net (20,643) Impairment loss of long-lived assets — Other minor — Total income tax (40,948) |
Commitments and contingencies (
Commitments and contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of Commitments and contingencies [Line Items] | |
Schedule of outstanding signed commitments | The table below sets out the outstanding signed commitments at year ends by financial institution. 2019 2018 2017 US$(000) US$(000) US$(000) Scotiabank 253,317 235,000 190,000 Pacífico Surich 200,000 — — La Positiva 70,000 — — Rimac (Travelers) 60,000 — — Banco de Credito del Peru (a) — 114,251 123,729 BBVA Continental — 190,000 190,000 583,317 539,251 503,729 (a) |
Transactions with associates co
Transactions with associates companies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of acquired receivables [line items] | |
Schedule of transactions with associates companies. | (a) 2019 2018 2017 US$(000) US$(000) US$(000) Associates - Revenues from: Royalties 22,297 20,385 20,739 Energy 3,181 3,002 2,137 Supplies 1,259 27 4 Mineral 683 1,321 1,414 Mining concessions, property, plant and equipment 11 30 336 Purchase of: Supplies 9 44 27 Services rendered to: Services of energy transmission 287 393 559 Operation and maintenance services related to energy transmission 287 290 593 Administrative and Management services 359 214 149 Engineering services — 348 1,119 Constructions services 4 — 1,332 Dividends received and collected from: Sociedad Minera Cerro Verde S.A.A. 29,377 39,169 — Compañía Minera Coimolache S.A. 4,011 7,623 9,823 Loans collected from: Sociedad Minera Cerro Verde S.A.A. — — 124,800 Interest income: Sociedad Minera Cerro Verde S.A.A. — — 1,685 Joint Venture - Interest income: Transportadora Callao S.A. 86 92 — Non-controlling shareholders - Dividends paid to: Newmont Peru Limited - Sucursal del Perú 6,500 5,560 6,036 |
accounts receivable and payable from/to associates | (b) 2019 2018 US$(000) US$(000) Trade and other receivables, note 7(a) Minera Yanacocha S.R.L. 5,920 6,791 Compañía Minera Coimolache S.A. 327 386 6,247 7,177 Other receivables, note 7(a) Transportadora Callao S.A. 1,951 2,471 Compañía Minera Coimolache S.A. 1,016 1,234 2,967 3,705 9,214 10,882 Trade and other payables, note 14(a) Compañía Minera Coimolache S.A. 27 36 Sociedad Minera Cerro Verde S.A.A. 2 — Other payables, note 14(a) Other minor 51 20 80 56 |
Schedule of Group's Key executives compensation | The Group’s key executives’ compensation (including the related income taxes assumed by the Group) for the years 2019 and 2018 are presented below: 2019 2018 US$(000) US$(000) Accounts payable: Directors’ remuneration 1,746 2,628 Salaries 1,020 1,057 Provision for bonus to officers 6,205 6,345 Total 8,971 10,030 Disbursements: Salaries 12,690 12,908 Directors’ compensations 1,746 2,628 Total 14,436 15,536 |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of acquired receivables [line items] | |
Schedule of transactions carried out by the company with its related parties | (a) 2019 2018 2017 US$(000) US$(000) US$(000) Royalties accrued: Affiliates: S.M.R.L. Chaupiloma Dos de Cajamarca, note 17 and 1(a) 22,297 20,385 20,739 Services rendered by: Affiliates: Newmont Peru S.R.L. (management services) (b) 10,729 12,837 8,985 Newmont International Services 10,822 5,181 281 Newmont USA Limited 4,118 5,381 5,607 (b) |
Schedule of outstanding balances with related party transactions | (c) 2019 2018 US$(000) US$(000) Balance receivable from related parties, note 6 Newmont International Services Limited 168 194 Newmont USA Limited 144 207 Suriname Gold Company 135 — NVL, USA Limited, Delaware 102 321 Newmont Peru S.R.L. 26 22 Newmont Global Employment Limited 20 22 Suriname Gold Company LLC — 18 Newmont USA Limited – Carlin — 10 Others 3 — 598 794 Balance payable for related parties, note 11 S.M.R Chaupiloma Dos de Cajamarca 4,863 5,461 Newmont International Service Limited 3,297 2,059 Newmont Peru S.R.L. 1,101 1,460 Newmont Technologies Limited. 1,042 634 Newmont USA Limited. 1,034 1,067 Newmont US Carlin Limited 3 163 Others 86 2 11,426 10,846 |
Disclosure of information on _2
Disclosure of information on segments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of information on segments | |
Schedule of reportable segments details | Equity accounted investees Exploration and Compañía development Energy Rental of Holding of Minera Sociedad Minera Total Adjustments Uchucchacua Orcopampa Julcani Tambomayo Colquijirca La Zanja mining generation and Insurance mining investment Industrial Yanacocha Minera Cerro Coimolache operating and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) projects transmission brokerage concessions in shares activities Corporate S.R.L. Verde S.A.A S.A. segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2019 Results: Continuing operations Operating income: Net sale of goods 186,016 58,902 40,082 188,175 299,252 43,520 — — — — — 6,046 — 734,526 2,890,066 241,173 4,687,758 (3,865,828) 821,930 Net sale of services — — — — — — — 59,690 15,687 — 615 19,557 — 4,776 — — 100,325 (76,664) 23,661 Royalty income — — — — — — — — — 22,297 — — — — — — 22,297 — 22,297 Total operating income 186,016 58,902 40,082 188,175 299,252 43,520 — 59,690 15,687 22,297 615 25,603 — 739,302 2,890,066 241,173 4,810,380 (3,942,492) 867,888 Operating costs Cost of sales of goods, excluding depreciation and amortization (128,523) (54,739) (26,586) (76,827) (223,998) (39,693) — — — — — (8,517) — (692,721) (2,101,668) (187,156) (3,540,428) 3,027,554 (512,874) Cost of services, excluding depreciation and amortization — — — — — — — (22,209) — — — (6,167) — (1,160) — — (29,536) 26,158 (3,378) Depreciation and amortization (21,053) (7,563) (9,178) (83,657) (74,335) (9,103) — (10,075) — — — (11,979) — — — — (226,943) 608 (226,335) Exploration in operating units (8,917) (9,040) (5,864) (11,613) (8,727) (2) — — — — — — — — — — (44,163) — (44,163) Mining royalties (1,955) (5,220) (418) (1,857) (2,953) (429) — — — — — — — — — — (12,832) — (12,832) Total operating costs (160,448) (76,562) (42,046) (173,954) (310,013) (49,227) — (32,284) — — — (26,663) — (693,881) (2,101,668) (187,156) (3,853,902) 3,054,320 (799,582) Gross profit (loss) 25,568 (17,660) (1,964) 14,221 (10,761) (5,707) — 27,406 15,687 22,297 615 (1,060) — 45,421 788,398 54,017 956,478 (888,172) 68,306 Operating expenses, net Administrative expenses (16,115) (5,209) (3,561) (16,512) (8,865) (2,223) (2,416) (4,073) (11,607) (188) (363) (1,310) (4,894) (1,744) — (4,638) (83,718) 7,421 (76,297) Selling expenses (6,876) (258) (403) (3,940) (10,856) (321) — (1,115) — — — (1,324) − (1,722) — (1,163) (27,978) 3,665 (24,313) Exploration in non-operating areas (2,534) — — — (2,011) (2,784) (90) — — — — — (4,492) — — — (11,911) 32 (11,879) Impairment recovery (loss) of long-lived assets — — (2,083) — — — — — — — — — — — — — (2,083) — (2,083) Reversal (provision) of contingent and others (183) 1 (148) 127 2,079 (98) (40) 166 — — — — 1,067 — — — 2,971 (3) 2,968 Other, net (4,147) (8,104) (776) (3,767) (6,568) (1,119) (419) 13,813 — 135 79 341 (2,686) (35,987) — (5,667) (54,872) 40,157 (14,715) Total operating expenses, net (29,855) (13,570) (6,971) (24,092) (26,221) (6,545) (2,965) 8,791 (11,607) (53) (284) (2,293) (11,005) (39,453) — (11,468) (177,591) 51,272 (126,319) Operating profit (loss) (4,287) (31,230) (8,935) (9,871) (36,982) (12,252) (2,965) 36,197 4,080 22,244 331 (3,353) (11,005) 5,968 788,398 42,549 778,887 (836,900) (58,013) Other income (expense),net Share in the results of associates and joint ventures — — — — (44) — — 10,374 — — (53,143) — 45,778 — — — 2,965 44,745 47,710 Finance income — — — — 417 2,006 14 263 15 30 10 277 7,751 18,859 10,356 549 40,547 (30,872) 9,675 Finance costs (532) (733) (1,002) (505) (11,440) (3,715) (561) (7,483) (89) (4) (6) (990) (16,249) (58,059) (115,877) (3,598) (220,843) 178,670 (42,173) Net gain (loss) from currency exchange difference (124) 76 3 (12) (191) 14 (156) 62 (119) (9) (9) 208 (481) 2,902 5,574 277 8,015 (8,749) (734) Total other income (expenses), net (656) (657) (999) (517) (11,258) (1,695) (703) 3,216 (193) 17 (53,148) (505) 36,799 (36,298) (99,947) (2,772) (169,316) 183,794 14,478 Profit (loss) before income tax (4,943) (31,887) (9,934) (10,388) (48,240) (13,947) (3,668) 39,413 3,887 22,261 (52,817) (3,858) 25,794 (30,330) 688,451 39,777 609,571 (653,106) (43,535) Current income tax — — — — (25) (35) — (4,044) (1,223) (6,546) (39) — − (64,927) (298,074) (26,335) (401,248) 389,337 (11,911) Deferred income tax — — — — 15,410 (5,382) — (5,515) 91 — — 1,554 31,344 — — 15,017 52,519 (15,018) 37,501 Profit (loss) from continuing operations (4,943) (31,887) (9,934) (10,388) (32,855) (19,364) (3,668) 29,854 2,755 15,715 (52,856) (2,304) 57,138 (95,257) 390,377 28,459 260,842 (278,787) (17,945) Loss from discontinued operations (10,514) Loss for the year (28,459) Total assets 146,486 46,750 41,858 425,297 725,973 138,458 398,838 382,481 13,822 6,252 458,212 104,335 2,371,464 2,327,714 7,809,424 379,915 15,777,279 (11,670,005) 4,107,274 Total liabilities 42,265 36,945 35,045 34,142 329,869 68,100 23,223 183,426 6,007 2,286 101 20,918 407,153 1,838,002 2,460,175 125,097 5,612,754 (4,473,680) 1,139,074 Other segment information Investment in associates and joint ventures — — — — — — — 89,786 — — 232,154 — 2,073,745 — — — 2,395,685 (907,438) 1,488,247 Capital Expenditures 31,479 1,323 1,559 9,641 28,298 1,629 26,494 223 85 — — 1,443 453 — — — 102,627 — 102,627 Changes in estimates of mine closures plans 176 10,493 2,430 2,277 5,122 5,021 — — — — — — 1,203 — — — 26,722 — 26,722 Fair value for contingent consideration liability — — — — — — — — — — — — (655) — — — (655) — (655) Accounts receivable from sale of assets — — — — — — — 21,023 — — — — 625 — — — 21,648 — 21,648 Equity accounted investees Exploration and Compañía development Energy Rental of Holding of Minera Sociedad Minera Total Adjustments Uchucchacua Orcopampa Julcani Tambomayo Colquijirca La Zanja mining generation and Insurance mining investment Industrial Yanacocha Minera Cerro Coimolache operating and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) projects transmission brokerage concessions in shares activities Corporate S.R.L. Verde S.A.A S.A. segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2018 Results: Continuing operations Operating income: Net sale of goods 257,282 153,003 34,104 225,281 333,560 96,611 — — — — — 6,655 — 635,393 3,054,026 225,447 5,021,362 (3,915,033) 1,106,329 Net sale of services — — — — — — — 62,962 14,986 — 615 19,908 — 21,965 — — 120,436 (96,435) 24,001 Royalty income — — — — — — — — — 20,385 — — — — — — 20,385 — 20,385 Total operating income 257,282 153,003 34,104 225,281 333,560 96,611 — 62,962 14,986 20,385 615 26,563 — 657,358 3,054,026 225,447 5,162,183 (4,011,468) 1,150,715 Operating costs Cost of sales of goods, excluding depreciation and amortization (151,817) (97,006) (26,558) (92,829) (216,560) (68,993) — — — — — (6,280) — (596,164) (2,216,663) (170,866) (3,643,736) 3,030,355 (613,381) Cost of services, excluding depreciation and amortization — — — — — — — (25,499) — — — (8,966) — (2,217) — — (36,682) 32,364 (4,318) Depreciation and amortization (26,181) (8,802) (3,353) (77,029) (67,666) (34,088) — (10,248) — — — (11,483) — — — — (238,850) (29) (238,879) Exploration in operating units (20,898) (29,563) (8,646) (20,553) (9,996) (74) — — — — — — — — — — (89,730) — (89,730) Mining royalties (2,243) (13,669) (237) (1,936) (2,345) (957) — — — — — — — — — — (21,387) (1) (21,388) Total operating costs (201,139) (149,040) (38,794) (192,347) (296,567) (104,112) — (35,747) — — — (26,729) — (598,381) (2,216,663) (170,866) (4,030,385) 3,062,689 (967,696) Gross profit (loss) 56,143 3,963 (4,690) 32,934 36,993 (7,501) — 27,215 14,986 20,385 615 (166) — 58,977 837,363 54,581 1,131,798 (948,779) 183,019 Operating expenses, net Administrative expenses (24,119) (15,100) (2,524) (17,822) (9,906) (3,435) (3,143) (3,972) (11,900) (220) (512) (1,627) 2,377 (2,783) — (5,644) (100,330) 23,231 (77,099) Selling expenses (8,213) (775) (356) (3,046) (12,201) (784) — (1,173) — — — (924) — (2,627) — (1,135) (31,234) 4,286 (26,948) Exploration in non-operating areas (18,339) — — — (7,199) (5,002) (2,883) — — — — — (4,091) — — — (37,514) 1,207 (36,307) Reversal (provision) of contingent and others 6,784 (121) 947 1,263 (3,711) (57) 6,130 (56) — — — 2 (111) — — — 11,070 178 11,248 Impairment recovery (loss) of long-lived assets — — — — — 5,693 — — — — — — — — — — 5,693 — 5,693 Other, net (5,953) (3,386) (1,050) (5,599) 32,565 (669) 138 562 — — 2,773 194 (2,235) (76,155) — (325) (59,140) 57,832 (1,308) Total operating expenses, net (49,840) (19,382) (2,983) (25,204) (452) (4,254) 242 (4,639) (11,900) (220) 2,261 (2,355) (4,060) (81,565) — (7,104) (211,455) 86,734 (124,721) Operating profit (loss) 6,303 (15,419) (7,673) 7,730 36,541 (11,755) 242 22,576 3,086 20,165 2,876 (2,521) (4,060) (22,588) 837,363 47,477 920,343 (862,045) 58,298 Other income (expense),net Share in the results of associates and joint ventures — — — — — — — 8,589 — — (25,517) — 15,081 — — — (1,847) 703 (1,144) Finance income — — — — 418 1,649 — 179 — 21 8 127 9,293 11,448 28,089 357 51,589 (41,904) 9,685 Finance costs (308) (395) (95) (262) (10,365) (1,946) (222) (7,576) (2) (11) (25) (932) (17,194) (39,024) (426,733) (2,935) (508,025) 469,603 (38,422) Net gain (loss) from currency exchange difference 196 168 8 209 108 (224) (846) (346) 19 18 2 (482) (206) (2,056) 6,161 (852) 1,877 (3,261) (1,384) Total other income (expenses), net (112) (227) (87) (53) (9,839) (521) (1,068) 846 17 28 (25,532) (1,287) 6,974 (29,632) (392,483) (3,430) (456,406) 425,141 (31,265) Profit (loss) before income tax 6,191 (15,646) (7,760) 7,677 26,702 (12,276) (826) 23,422 3,103 20,193 (22,656) (3,808) 2,914 (52,220) 444,880 44,047 463,937 (436,904) 27,033 Current income tax (768) (559) (72) (656) (8,332) (24) — — — (6,025) (444) (2) — (30,368) (325,170) (23,405) (395,825) 378,943 (16,882) Deferred income tax — — — — (10,803) (1,220) — (7,584) — — — 106 9,514 1,071 — 4,942 (3,974) (6,023) (9,997) Profit (loss) from continuing operations 5,423 (16,205) (7,832) 7,021 7,567 (13,520) (826) 15,838 3,103 14,168 (23,100) (3,704) 12,428 (81,517) 119,710 25,584 64,138 (63,984) 154 Loss from discontinued operations (11,808) Loss for the year (11,654) Total assets 126,374 39,725 39,537 461,335 773,554 158,718 372,344 366,354 12,154 7,154 520,484 106,391 2,421,547 2,047,472 7,554,712 361,669 15,369,524 (11,152,303) 4,217,221 Total liabilities 45,227 30,749 29,469 28,502 340,735 68,615 18,986 197,152 4,597 2,653 603 20,671 425,893 1,463,749 2,445,840 125,307 5,248,748 (4,061,092) 1,187,656 Other segment information Investment in associates and joint ventures — — — — — — — — — — — — 1,473,382 — — — 1,473,382 — 1,473,382 Capital Expenditures 18,429 6,225 2,984 18,858 29,572 13,159 17,141 118 — — — 1,816 2,968 — — — 111,270 — 111,270 Changes in estimates of mine closures plans 4,101 1,003 16,484 (447) 19,926 (6,915) 9,063 — — — — — (341) — — — 42,874 — 42,874 Fair value for contingent consideration liability — — — — — — 1,815 — — — — — — — — — 1,815 — 1,815 Accounts receivable from sale of assets — — — — — — — — — — 1,622 — 1,093 — — — 2,715 — 2,715 Equity accounted investees Exploration and Compañía development Construction Energy Rental of Holding of Minera Sociedad Minera Total Adjustments Uchucchacua Orcopampa Julcani Tambomayo Colquijirca La Zanja mining and generation and Insurance mining investment Industrial Yanacocha Minera Cerro Coimolache operating and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) projects engineering transmission brokerage concessions in shares activities Corporate S.R.L. Verde S.A.A S.A. segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2017 Results: Continuing operations Operating income: Net sale of goods 272,334 256,960 42,785 118,966 322,653 165,319 — — — — — — 6,317 34,650 645,176 3,202,931 203,790 5,271,881 (4,084,675) 1,187,206 Net sale of services — — — — — — — 10,603 60,639 14,377 — 615 19,658 — 21,870 — — 127,762 (98,065) 29,697 Royalty income — — — — — — — — — — 20,739 — — — — — — 20,739 — 20,739 Total operating income 272,334 256,960 42,785 118,966 322,653 165,319 — 10,603 60,639 14,377 20,739 615 25,975 34,650 667,046 3,202,931 203,790 5,420,382 (4,182,740) 1,237,642 Operating costs Cost of sales of goods, excluding depreciation and amortization (143,288) (115,574) (31,190) (53,555) (193,874) (102,474) — — — — — — (6,043) (34,029) (746,918) (1,768,238) (121,021) (3,316,204) 2,711,554 (604,650) Cost of services, excluding depreciation and amortization — — — — — — — (9,393) (25,556) — — — (9,354) — (2,062) — — (46,365) 33,411 (12,954) Depreciation and amortization (23,899) (8,846) (8,122) (42,789) (57,199) (48,385) — (129) (9,651) — — — (11,134) — — — — (210,154) — (210,154) Exploration in operating units (27,068) (38,820) (13,009) (9,543) — (871) — — — — — — — — — — — (89,311) — (89,311) Mining royalties (2,280) (22,436) (354) (998) (3,317) (1,499) — — — — — — — — — — — (30,884) — (30,884) Total operating costs (196,535) (185,676) (52,675) (106,885) (254,390) (153,229) — (9,522) (35,207) — — — (26,531) (34,029) (748,980) (1,768,238) (121,021) (3,692,918) 2,744,965 (947,953) Gross profit (loss) 75,799 71,284 (9,890) 12,081 68,263 12,090 — 1,081 25,432 14,377 20,739 615 (556) 621 (81,934) 1,434,693 82,769 1,727,464 (1,437,775) 289,689 Operating expenses, net Administrative expenses (19,473) (18,281) (2,878) (9,139) (13,061) (2,814) (1,604) (3,606) (2,423) (12,288) (90) (413) (1,203) 443 (4,760) — (3,829) (95,419) 14,753 (80,666) Selling expenses (6,078) (1,016) (605) (1,387) (10,914) (881) — — (1,264) — — — (775) (167) (3,922) (141,669) (946) (169,624) 146,581 (23,043) Exploration in non-operating areas (2,676) — — (3,214) (1,976) (2,870) (2,771) — — — — — — (5,052) — — — (18,559) 297 (18,262) Reversal (provision) of contingent and others (7,040) (1) (460) (1,002) — (1,370) (4,657) 100 312 — — — — 378 — — — (13,740) — (13,740) Impairment recovery (loss) of long-lived assets — — — — — (21,620) — — — — — — — — — — — (21,620) — (21,620) Write –off of stripping activity asset — — — — (13,573) — — — — — — — — — — — — (13,573) — (13,573) Other, net (1,799) (715) (1,403) (175) (2,922) (970) (94) 1,129 (94) (4) (1) — 216 (2,012) (63,512) (258,826) (587) (331,769) 318,539 (13,230) Total operating expenses, net (37,066) (20,013) (5,346) (14,917) (42,446) (30,525) (9,126) (2,377) (3,469) (12,292) (91) (413) (1,762) (6,410) (72,194) (400,495) (5,362) (664,304) 480,170 (184,134) Operating profit (loss) 38,733 51,271 (15,236) (2,836) 25,817 (18,435) (9,126) (1,296) 21,963 2,085 20,648 202 (2,318) (5,789) (154,128) 1,034,198 77,407 1,063,160 (957,605) 105,555 Other income (expense),net Share in the results of associates and joint ventures — — — — — — — — 8,573 — — (66,187) — 21,194 — — — (36,420) 49,627 13,207 Finance income — — — — 179 670 — — 139 1 7 1 79 5,614 5,831 5,350 220 18,091 (12,574) 5,517 Finance costs (285) (354) (106) (372) (12,017) (1,919) (131) (370) (10,354) (6) (2) (2) (941) (8,980) (23,766) (216,912) (3,304) (279,821) 245,270 (34,551) Net gain (loss) from currency exchange difference 31 (63) (75) 10 310 48 537 105 294 (75) (41) (4) 497 1,365 3,636 13,288 (174) 19,689 (16,750) 2,939 Total other income (expense), net (254) (417) (181) (362) (11,528) (1,201) 406 (265) (1,348) (80) (36) (66,192) (365) 19,193 (14,299) (198,274) (3,258) (278,461) 265,573 (12,888) Profit (loss) before income tax 38,479 50,854 (15,417) (3,198) 14,289 (19,636) (8,720) (1,561) 20,615 2,005 20,612 (65,990) (2,683) 13,404 (168,427) 835,924 74,149 784,699 (692,032) 92,667 Income tax (1,101) (1,085) (153) (538) (3,903) 6,841 — (400) (3,491) (742) (6,044) (38) 1,818 (9,052) (7,026) (486,043) (23,362) (534,319) 516,431 (17,888) Profit (loss) from continued operations 37,378 49,769 (15,570) (3,736) 10,386 (12,795) (8,720) (1,961) 17,124 1,263 14,568 (66,028) (865) 4,352 (175,453) 349,881 50,787 250,380 (175,601) 74,779 Loss from discontinued operations (10,344) Net profit 64,435 Total assets 146,464 54,114 20,922 538,057 792,594 190,310 342,759 14,004 360,610 9,004 6,611 988,841 109,669 1,950,147 2,019,332 7,691,007 380,534 15,614,979 (11,282,166) 4,332,813 Total liabilities 49,723 42,242 18,099 32,501 388,899 87,008 14,527 5,153 205,247 4,616 2,378 414 20,245 431,505 1,360,217 2,501,845 150,743 5,315,362 (4,046,176) 1,269,186 Other segment information Investment in associates and joint ventures — — — — — — — — — — — — — 1,536,887 — — — 1,536,887 — 1,536,887 Capital Expenditures 18,127 12,674 1,951 131,119 61,060 17,326 13,733 3 852 14 — — 459 2,189 — — — 259,507 — 259,507 Changes in estimates of mine closures plans 1,380 3,710 (761) 404 5,326 462 67 — — — — — — 6 — — — 10,594 — 10,594 Fair value for contingent consideration liability — — — — — — — — — — — — — 1,773 — — — 1,773 — 1,773 Accounts receivable from sale of assets — — — — — — — 4,053 — — — — — 1,318 — — — 5,371 — 5,371 |
Schedule of reconciliation segment profit (loss) to the consolidated profit (loss) from continued operations | The reconciliation of segment profit (loss) to the consolidated profit (loss) from continued operations follows: 2019 2018 2017 US$(000) US$(000) US$(000) Segments profit (loss) 260,842 64,138 250,380 Elimination of profit of equity accounted investees, not consolidated (owned by third parties) (323,578) (63,777) (225,215) Elimination of intercompany sales (71,951) (74,637) (108,973) Elimination of cost of sales and operating expenses intercompany 71,697 76,780 106,726 Elimination of share in the results of subsidiaries and associates 44,745 1,582 49,627 Others 300 (3,932) 2,234 Consolidated profit (loss) from continued operations (17,945) 154 74,779 |
Schedule of econciliation segment assets to the consolidated assets | The reconciliation of segment assets to the consolidated assets follows: 2019 2018 2017 US$(000) US$(000) US$(000) Segments assets 15,777,279 15,369,524 15,614,979 Elimination of assets of equity accounted investees, not consolidated (owned by third parties) (10,517,053) (9,963,853) (10,090,873) Elimination of the subsidiaries and associates of the Parent company (1,111,454) (1,184,240) (1,186,783) Elimination of intercompany receivables (64,708) (32,444) (32,769) Others 23,210 28,234 28,259 Consolidated assets 4,107,274 4,217,221 4,332,813 |
Schedule of reconciliation segment liabilities to the consolidated liabilities | The reconciliation of segment liabilities to the consolidated liabilities follows: 2019 2018 2017 US$(000) US$(000) US$(000) Segments liabilities 5,612,754 5,248,748 5,315,362 Elimination of liabilities of equity accounted investees, not consolidated (4,423,274) (4,034,896) (4,012,805) Elimination of intercompany payables (50,395) (27,822) (32,769) Others (11) 1,626 (602) Consolidated liabilities 1,139,074 1,187,656 1,269,186 |
Schedule of revenue from contract with customers | Rental of Holding of Total Adjustments Ucchuchacua Tambomayo Orcopampa Julcani Colquijirca La Zanja Energy generation Insurance mining investment Industrial operation and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) and transmission brokerage concessions in shares activities Corporate segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2019 Revenues by type of customers: Sales by customers - External 184,982 186,668 58,796 39,639 294,842 43,894 — — — — 6,046 — 814,867 — 814,867 Inter-segment — — — — 62 — — — — — — — 62 (62) — 184,982 186,668 58,796 39,639 294,904 43,894 — — — — 6,046 — 814,929 (62) 814,867 Services - External — — — — — — 7,974 15,687 — — — — 23,661 — 23,661 Inter-segment — — — — — — 51,716 — — 615 19,557 — 71,888 (71,888) — — — — — — — 59,690 15,687 — 615 19,557 — 95,549 (71,888) 23,661 Royalties - External — — — — — — — — 22,297 — — — 22,297 — 22,297 184,982 186,668 58,796 39,639 294,904 43,894 59,690 15,687 22,297 615 25,603 — 932,775 (71,950) 860,825 Revenues by geographic region: Metal and concentrates sales - Peru 143,512 79,631 4,833 10,451 236,844 683 — — — — 1,086 — 477,040 (62) 476,978 America other than Peru — 79,537 53,963 — — 37,326 — — — — 943 — 171,769 — 171,769 Asia 13,622 27,365 — 6,598 58,060 — — — — — — — 105,645 — 105,645 Europe 27,848 135 — 22,590 — 5,885 — — — — 4,017 — 60,475 — 60,475 184,982 186,668 58,796 39,639 294,904 43,894 — — — — 6,046 — 814,929 (62) 814,867 Services - Peru — — — — — — 59,690 15,527 — 615 19,557 — 95,389 (71,888) 23,501 America other than Peru — — — — — — — 130 — — — — 130 — 130 Europe — — — — — — — 30 — — — — 30 — 30 — — — — — — 59,690 15,687 — 615 19,557 — 95,549 (71,888) 23,661 Royalties - Peru — — — — — — — — 22,297 — — — 22,297 — 22,297 184,982 186,668 58,796 39,639 294,904 43,894 59,690 15,687 22,297 615 25,603 — 932,775 (71,950) 860,825 Revenues by type of good or services: Sales by metal - Gold — 134,387 58,737 278 18,104 42,698 — — — — — — 254,204 (10) 254,194 Silver 159,713 38,112 263 40,889 57,903 1,300 — — — — — — 298,180 (9) 298,171 Copper — — — 79 238,327 — — — — — — — 238,406 (102) 238,304 Zinc 38,143 19,867 — — 91,307 — — — — — — — 149,317 — 149,317 Lead 29,735 14,016 — 1,627 43,763 — — — — — — — 89,141 — 89,141 Manganese sulfate — — — — — — — — — — 6,046 — 6,046 — 6,046 227,591 206,382 59,000 42,873 449,404 43,998 — — — — 6,046 — 1,035,294 (121) 1,035,173 Commercial deductions (42,609) (19,714) (204) (3,234) (154,500) (104) — — — — — — (220,365) 59 (220,306) 184,982 186,668 58,796 39,639 294,904 43,894 — — — — 6,046 — 814,929 (62) 814,867 Sales by services - — — — — — — 59,690 15,687 — 615 19,557 — 95,549 (71,888) 23,661 Royalties income - — — — — — — — — 22,297 — — — 22,297 — 22,297 184,982 186,668 58,796 39,639 294,904 43,894 59,690 15,687 22,297 615 25,603 — 932,775 (71,950) 860,825 Rental of Holding of Total Adjustments Ucchuchacua Tambomayo Orcopampa Julcani Colquijirca La Zanja Energy generation Insurance mining investment Industrial operating and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) and transmission brokerage concessions in shares activities Corporate segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2018 Revenues by type of customers: Sales by customers - External 257,840 225,339 153,240 33,864 339,414 96,600 — — — — 6,655 — 1,112,952 — 1,112,952 Inter-segment — — — — 167 — — — — — — — 167 (167) — 257,840 225,339 153,240 33,864 339,581 96,600 — — — — 6,655 — 1,113,119 (167) 1,112,952 Services - External — — — — — — 9,015 14,986 — — — — 24,001 — 24,001 Inter-segment — — — — — — 53,947 — — 615 19,909 — 74,471 (74,471) — — — — — — — 62,962 14,986 — 615 19,909 — 98,472 (74,471) 24,001 Royalties - External — — — — — — — — 20,385 — — — 20,385 — 20,385 257,840 225,339 153,240 33,864 339,581 96,600 62,962 14,986 20,385 615 26,564 — 1,231,976 (74,638) 1,157,338 Revenues by geographic region: Metal and concentrates sales - Peru 170,986 63,049 10,808 15,261 257,559 2,770 — — — — 751 — 521,184 (167) 521,017 America - other than Peru — 159,530 142,432 — — 67,756 — — — — 906 — 370,624 — 370,624 Asia 29,382 — — 9,115 82,022 — — — — — — — 120,519 — 120,519 Europe 57,472 2,760 — 9,488 — 26,074 — — — — 4,998 — 100,792 — 100,792 257,840 225,339 153,240 33,864 339,581 96,600 — — — — 6,655 — 1,113,119 (167) 1,112,952 Services - Peru — — — — — — 62,962 14,787 — 615 19,909 — 98,273 (74,561) 23,712 America - other than Peru — — — — — — — 199 — — — — 199 90 289 — — — — — — 62,962 14,986 — 615 19,909 — 98,472 (74,471) 24,001 Royalties - Peru — — — — — — — — 20,385 — — — 20,385 — 20,385 257,840 225,339 153,240 33,864 339,581 96,600 62,962 14,986 20,385 615 26,564 — 1,231,976 (74,638) 1,157,338 Revenues by type of good or services: Sales by metal - Gold 11 150,939 149,092 28 18,463 93,358 — — — — — — 411,891 (14) 411,877 Silver 217,843 54,109 5,243 35,307 46,060 3,583 — — — — — — 362,145 (23) 362,122 Copper — — (221) 129 275,119 — — — — — — — 275,027 (266) 274,761 Zinc 45,194 18,197 — — 101,275 — — — — — — — 164,666 — 164,666 Lead 36,238 6,703 — 1,996 40,618 — — — — — — — 85,555 — 85,555 Manganese sulfate — — — — — — — — — — 6,655 — 6,655 — 6,655 299,286 229,948 154,114 37,460 481,535 96,941 — — — — 6,655 — 1,305,939 (303) 1,305,636 Commercial deductions (41,446) (4,609) (874) (3,596) (141,954) (341) — — — — — — (192,820) 136 (192,684) 257,840 225,339 153,240 33,864 339,581 96,600 — — — — 6,655 — 1,113,119 (167) 1,112,952 Sales by services - — — — — — — 62,962 14,986 — 615 19,909 — 98,472 (74,471) 24,001 Royalties income - — — — — — — — — 20,385 — — — 20,385 — 20,385 257,840 225,339 153,240 33,864 339,581 96,600 62,962 14,986 20,385 615 26,564 — 1,231,976 (74,638) 1,157,338 Construction Energy Rental of Holding of Adjustments Uchucchacua Orcopampa Julcani Tambomayo Colquijirca La Zanja and generation and Insurance mining investment Industrial Total operating and (Operation) (Operation) (Operation) (Operation) (Operation) (Operation) engineering transmission brokerage concessions in shares activities Corporate segments eliminations Total US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) US$(000) Year 2017 Revenues by type of customers: Sales by customers - External 266,482 256,957 41,120 118,376 333,097 132,108 — — — — — 6,317 34,016 1,188,473 — 1,188,473 Inter-segment — — — — — 31,887 — — — — — — — 31,887 (31,887) — 266,482 256,957 41,120 118,376 333,097 163,995 — — — — — 6,317 34,016 1,220,360 (31,887) 1,188,473 Services - External — — — — — — 5,908 9,412 14,377 — — — — 29,697 — 29,697 Inter-segment — — — — — — 4,695 51,227 — — 615 19,658 — 76,195 (76,195) — — — — — — — 10,603 60,639 14,377 — 615 19,658 — 105,892 (76,195) 29,697 Royalties - External — — — — — — — — — 20,739 — — — 20,739 — 20,739 266,482 256,957 41,120 118,376 333,097 163,995 10,603 60,639 14,377 20,739 615 25,975 34,016 1,346,991 (108,082) 1,238,909 Revenues by geographic region: Metal and concentrates sales - Peru 209,300 17,774 13,049 34,337 239,317 32,607 — — — — — 852 705 547,941 (31,887) 516,054 America - other than Peru — 239,183 — 84,039 459 125,875 — — — — — 3,776 18,531 471,863 — 471,863 Asia 19,078 — 12,140 — 89,501 — — — — — — — — 120,719 — 120,719 Europe 38,104 — 15,931 — 3,820 5,513 — — — — — 1,689 14,780 79,837 — 79,837 266,482 256,957 41,120 118,376 333,097 163,995 — — — — — 6,317 34,016 1,220,360 (31,887) 1,188,473 Services - Peru — — — — — — 10,014 60,639 14,205 — 615 19,658 — 105,131 (90,228) 14,903 America - other than Peru — — — — — — 589 — 172 — — — — 761 14,033 14,794 — — — — — — 10,603 60,639 14,377 — 615 19,658 — 105,892 (76,195) 29,697 Royalties - Peru — — — — — — — — — 20,739 — — — 20,739 — 20,739 266,482 256,957 41,120 118,376 333,097 163,995 10,603 60,639 14,377 20,739 615 25,975 34,016 1,346,991 (108,082) 1,238,909 Revenues by type of good or services: Sales by metal - Gold 345 247,909 — 80,796 20,301 160,489 — — — — — — 32,875 542,715 (31,733) 510,982 Silver 256,608 9,595 40,384 27,285 54,629 4,434 — — — — — — 1,257 394,192 (935) 393,257 Copper — 598 192 — 267,737 — — — — — — — — 268,527 — 268,527 Zinc 31,814 — — 7,914 130,790 — — — — — — — — 170,518 — 170,518 Lead 32,244 — 4,660 4,735 44,318 — — — — — — — — 85,957 — 85,957 Manganese sulfate — — — — — — — — — — — 6,317 — 6,317 — 6,317 Indium — — — — 66 — — — — — — — — 66 — 66 321,011 258,102 45,236 120,730 517,841 164,923 — — — — — 6,317 34,132 1,468,292 (32,668) 1,435,624 Commercial deductions (54,529) (1,145) (4,116) (2,354) (184,744) (928) — — — — — — (116) (247,932) 781 (247,151) 266,482 256,957 41,120 118,376 333,097 163,995 — — — — — 6,317 34,016 1,220,360 (31,887) 1,188,473 Sales by services - — — — — — — 10,603 60,639 14,377 — 615 19,658 — 105,892 (76,195) 29,697 Royalties income - — — — — — — — — — 20,739 — — — 20,739 — 20,739 266,482 256,957 41,120 118,376 333,097 163,995 10,603 60,639 14,377 20,739 615 25,975 34,016 1,346,991 (108,082) 1,238,909 |
Derivative financial instrume_2
Derivative financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of derivative financial instruments [Line Items] | |
Schedule of detailed information about hedge derivatives financial instruments | The table below presents the composition of open transactions included in the hedge derivative financial instruments as of December 31, 2018: Quotations Quotation period Metric Ton Fixed Futures Fair value US$(000) January 2019 1,000 7,345 5,961 1,381 February 2019 1,000 7,352 5,968 1,378 2,000 2,759 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of derivative financial instruments [Line Items] | |
Schedule of embedded derivatives | As discussed in Note 2(d), the Company’s sales create exposure to changes in the market prices of copper and molybdenum which are considered embedded derivatives. As of December 31, 2019 and 2018, information about the Company’s embedded derivatives is as follows: As of December 31, 2019 Pounds payable Maturity Provisional pricing Forward pricing Fair value provision (000) US$/Pound US$/Pound US$(000) Copper Concentrate 246,441 January 2020 to May 2020 Between 2.567 and 2.774 Between 2.793 and 2.804 39,727 Copper Cathode 4,410 January 2020 2.791 2.793 9 Molybdenum 5,370 January 2020 to February 2020 Between 7.857 and 9.724 8.025 (3,031) 36,705 (a) As of December 31, 2018 Pounds payable Maturity Provisional pricing Forward pricing Fair value provision (000) US$/Pound US$/Pound US$(000) Copper Concentrate 261,530 January 2019 to May 2019 Between 2.675 and 2.834 Between 2.704 and 2.708 (18,848) Copper Cathode 7,711 January 2019 2.810 2.704 (824) Molybdenum 3,545 January 2019 to February 2019 Between 10.787 and 10.810 10.675 (441) (20,113) (a) (a) Embedded derivative adjustments are recorded on the statement of financial position in “Trade account receivable – related parties” (US$36.1 million as of December 31, 2019, and US$(19.3) million as of December 31, 2018) and “Trade accounts receivable (net)” (US$0.6 million as of December 31, 2019, and US$(0.8) million as of December 31, 2018). |
Financial - risk management o_2
Financial - risk management objectives and policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of financial risk management objectives and policies [Line Items] | |
Schedule of foreign-currency exchange rates risk | A table showing the effect on results of a reasonable change in foreign-currency exchange rates is presented below, with all other variables kept constant: Exchange-rate Effect on profit (loss) increase/decrease before income tax US$(000) 2019 Exchange rate 10 % 4,053 Exchange rate (10) % (3,545) 2018 Exchange rate 10 % 1,695 Exchange rate (10) % (1,681) 2017 Exchange rate 10 % 2,474 Exchange rate (10) % (2,459) |
Schedule of interest rates risk | A table showing the effect in profit or loss of the variations of interest rates: Effect on profit Increase/decrease of (loss) before LIBOR income tax (percentage rates) US$(000) 2019 Interest rate 10 (306) Interest rate (10) 306 2018 Interest rate 10 (277) Interest rate (10) 277 2017 Interest rate 10 (677) Interest rate (10) 677 |
Schedule of financial liabilities by remaining maturity | An analysis of the Group’s financial liabilities classified according to their aging is presented below, based on undiscounted contractual payments: Less than Between 1 Between 2 More than 5 1 year and 2 years and 5 years years Total US$(000) US$(000) US$(000) US$(000) US$(000) As of December 31, 2019- Bank loans 55,486 — — — 55,486 Trade and other payables 152,070 616 — — 152,686 Financial obligation - capital 262,088 131,588 125,154 48,568 567,398 Financial obligation - interest 22,597 11,225 11,880 1,449 47,151 Lease - capital 3,692 1,514 2,297 — 7,503 Lease - interest 73 143 404 — 620 Contingent consideration liability — — 4,905 35,166 40,071 Total 496,006 145,086 144,640 85,183 870,915 As of December 31, 2018 - Bank loans 95,613 — — — 95,613 Trade and other payables 176,811 639 — — 177,450 Financial obligation - capital 46,166 346,401 195,463 — 588,030 Financial obligation - interest 31,017 28,359 6,024 — 65,400 Contingent consideration liability — — 5,904 32,472 38,376 Total 349,607 375,399 207,391 32,472 964,869 |
Schedule of information about the credit risk exposure | Set out below is the information about the credit risk exposure on the Group's trade and other receivables: Days past due Current < 30 days 30 – 90 days > 90 days Total US$(000) US$(000) US$(000) US$(000) US$(000) As of December 31, 2019 - Trade receivables 204,096 — — 22,016 226,112 Other receivables 125,409 42,390 4,332 10,006 182,137 Expected credit loss — — — (32,022) (32,022) Total 329,505 42,390 4,332 — 376,227 As of December 31, 2018 - Trade receivables 146,701 — — 22,013 168,714 Other receivables 58,584 44,773 2,250 10,089 115,696 Expected credit loss — — — (32,102) (32,102) Total 205,285 44,773 2,250 — 252,308 |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure of financial risk management objectives and policies [Line Items] | |
Schedule of foreign-currency exchange rates risk | Carrying amount Fair value 2019 2018 2019 2018 US$(000) US$(000) US$(000) US$(000) Financial assets: Cash and cash equivalents 818,503 723,208 818,503 723,208 Trade and other receivables, net 15,016 29,078 15,016 29,078 Restricted cash 48,617 48,127 50,353 48,601 Financial assets at fair value 23,648 23,290 23,648 23,290 905,784 823,703 907,520 824,177 Carrying amount Fair value 2019 2018 2019 2018 US$(000) US$(000) US$(000) US$(000) Financial liabilities: Trade and other payables 76,484 83,464 76,484 83,464 Provisions and other accruals 596 — 596 — Debt instrument 43,927 42,430 43,927 42,430 121,007 125,894 121,007 125,894 |
Schedule of current financial liabilities | The following table represents the analysis of the Company’s financial liabilities, considering the remaining period to reach such maturity as of the consolidated statement of financial position date (see notes 11 and 12): 2019 2018 Less than 1 year Less than 1 year US$(000) US$(000) Trade accounts payable 45,671 48,847 Accounts payable to related parties 11,426 10,846 Lease liabilities 290 — 57,387 59,693 |
Schedule of information about the credit risk exposure | Set out below is the information about the credit risk exposure on the Company’s trade and other receivables: Days past due Current < 30 days 30 – 90 days > 90 days Total US$(000) US$(000) US$(000) US$(000) US$(000) As of December 31, 2019 Trade receivables — 5,047 7,976 1,993 15,016 Total — 5,047 7,976 1,993 15,016 As of December 31, 2018 Trade receivables 3,870 564 81 24,563 29,078 Total 3,870 564 81 24,563 29,078 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of financial risk management objectives and policies [Line Items] | |
Schedule of foreign-currency exchange rates risk | Effect on profit before income tax US$(000) December 31, 2019 10% increase in future copper prices 99,219 10% decrease in future copper prices (99,219) Effect on profit before income tax US$(000) December 31, 2018 10% increase in future copper prices 72,847 10% decrease in future copper prices (72,847) Effect on profit before income tax US$(000) December 31, 2017 10% increase in future copper prices 83,955 10% decrease in future copper prices (83,955) |
Selling Expenses (Tables)
Selling Expenses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of Selling Expenses [Line Items] | |
Schedule of selling expenses | This item is made up of as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Concentrate freight 98,933 126,670 131,528 Commissions 5,588 6,048 6,029 Cathode freight 1,890 1,831 1,665 Other 3,072 2,459 2,447 109,483 137,008 141,669 |
Other operating expenses (Table
Other operating expenses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure Other operational expenses [Line Items] | |
Schedule of other operating expenses | This item is made up as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Optimization and prefeasibility/feasibility studies (a) — Fines and penalties (b) — — Tax contingencies (c) — Royalties, ITAN and penalties (d) — 55,088 243,798 Other expenses 2,895 2,434 15,028 38,116 68,683 258,826 (a) For the year ended December 31, 2019, represents charges related to projects for the optimization of the Company's operating processes. (b) Primarily represents land rights penalties with INGEMMET (US$6.8 million), SUNAT penalties related to 2012 income tax audit (US$4.7 million) and OSINERGMIN fines (US$2.7 million). (c) Primarily represents non-income tax contingencies related to SUNAT assessments for prior years. (d) Primarily represents penalties for income tax related to disputed mining royalties for the year 2006 through the year 2011 of US$33.8 million, penalties on disputed mining royalties for the period January 2009 through December 2013 of US$17.7 million and profit sharing adjustments related to GEM refund of US$3.6 million. For the year ended December 31, 2017, represents disputed royalties for the period December 2006 through September 2011 of US$174.8 million, ITAN for the years 2009 to 2013 of US$33.6 million, profit sharing adjustments related to mining royalties of US$29.2 million and penalties on disputed royalties for the period December 2006 through the year 2008 of US$6.2 million. Disputed royalties and special mining taxes for the period October 2011 through the year 2013 were recognized in “income tax expense” in the statements of comprehensive income. |
Financial expenses (Tables)
Financial expenses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure Of Financial Expenses [Line Items] | |
Schedule of finance expenses | This item is made up as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Interest on mining royalties (a) 68,107 370,159 144,815 Interest on senior unsecured credit facility (see Note 10(b)) 39,083 49,551 44,678 Interest for leases (see Note 10(a)) 5,242 — — Amortization debt issuance cost 1,768 2,419 4,479 Extinguishment debt - debt issuance cost (see Note 10(b)) 1,299 1,902 6,266 Interest on shareholder loans — — 7,992 Capitalized Interest (4,504) (3,790) (2,252) Other financial expenses 4,882 6,492 10,934 115,877 426,733 216,912 |
Financial Income (Tables)
Financial Income (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Financial Income | |
Schedule of finance income | This item is made up as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$(000) US$(000) US$(000) Special Mining Burden (GEM) (a) — 18,574 — Other financial income 10,356 9,515 5,350 10,356 28,089 5,350 (a) Represents interest related to the GEM refund from the period October 2012 through December 2013. |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure Of Earnings per share [Line Items] | |
Schedule of basic and diluted earnings per common share | Basic and diluted earnings per share are calculated by dividing earnings by the weighted-average number of outstanding shares during the period. Basic and diluted earnings per common share have been determined as follows: For the year ended For the year ended For the year ended December 31, 2019 December 31, 2018 December 31, 2017 US$ US$ US$ Profit for the period (US$) 390,377,000 119,710,000 349,881,000 Weighted average number of share outstanding (Note 12(a)) 350,056,012 350,056,012 350,056,012 Basic and diluted earnings per share (US$) 1.115 0.342 1.000 |
Reconciliation between net in_2
Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Minera Yanacocha SRL and subsidiary [Member] | |
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |
Disclosure of detailed information about adjustments for reconciliation of financial position and financial performance between IFRS and US GAAP | The following is a summary of the adjustment to net income for the years ended December 31, 2019, 2018 and 2017, and to partners’ equity as of December 31, 2019, 2018 and 2017 that would be required if U.S. GAAP had been applied instead of IFRS in the consolidated financial statements: 2019 2018 2017 US$(000) US$(000) US$(000) Income (loss) under U.S. GAAP 3,316 (69,068) (131,243) Items increasing (decreasing) reported net profit: Reversal of depreciation of assets impaired under IFRS, note 24(a) 205,653 320,424 294,454 Reversal of depreciation of assets impaired under USGAAP, note 24(a) (204,276) (254,006) (237,906) Stripping activity asset, note 24(b) (7,533) (18,227) (6,360) Reclamation and mine closure, note 24(c) (54,873) 20,537 (76,963) Asset retirement costs, note 24(c) (14,504) (89,280) (35,911) Inventories, note 24(d) 7,740 10,217 17,169 Contingencies, note 24(e) — (1,228) — Debt instrument interest, note 24(f) (1,497) (735) — Recognition of account receivable to tax authority — — 2,405 Interest regarding tax claim, note 24(g) (16,839) — — Income tax payable, including fines, note 24(g) (12,168) — — Others (276) (151) (1,099) (98,573) (12,449) (44,211) Loss under IFRS (95,257) (81,517) (175,454) 2019 2018 2017 (i) US$(000) US$(000) US$(000) Partners' equity under U.S. GAAP 1,666,382 1,661,800 1,683,047 Items increasing (decreasing) reported Partners' equity: Impairment loss for IFRS, note 24(a) (2,469,188) (2,469,188) (2,469,188) Reversal of depreciation of assets impaired under IFRS, note 24(a) 1,200,337 994,684 674,260 Elimination of impairment loss recorded under U.S. GAAP, note 24(a) 933,200 933,200 933,200 Reversal of depreciation of assets impaired under U.S. GAAP note 24(a) (696,188) (491,912) (237,906) Stripping activity asset, note 24(b) 8,240 15,773 34,000 Asset retirement cost, note 24(c) 59,160 1,026 84,671 Reclamation and mine closure, note 24(c) (139,834) (12,323) (27,225) Inventories, note 24(d) 4,837 (2,903) (13,120) Debt instruments, note 24(f) (43,927) (42,430) — Contingencies, note 24(e) (1,228) (1,228) — Income tax payable contingency, including fines note 24(g) (12,168) — — Interest regarding tax claim, note 24(g) (16,839) — — Others (3,072) (2,776) (2,624) (1,176,679) (1,078,077) (1,023,932) Partners' equity under IFRS 489,712 583,723 659,115 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |
Disclosure of detailed information about adjustments for reconciliation of financial position and financial performance between IFRS and US GAAP | The following is a summary of the main adjustments to net income for the years ended December 31, 2019, 2018 and 2017 and to shareholders' equity as of December 31, 2019, 2018 and 2017 that would be required if U.S. GAAP had been applied instead of IFRS in the financial statements: 2019 2018 2017 US$(000) US$(000) US$(000) Net profit under IFRS Items increasing (decreasing) reported net profit: Stripping activity asset, net of amortization Inventories valuation Asset retirement obligation Deferred workers´ profit sharing Deferred income tax Other ________ ________ ________ Net income under U.S. GAAP ________ ________ ________ 2019 2018 2017 US$(000) US$(000) US$(000) Shareholders’ equity under IFRS Items increasing (decreasing) reported shareholder’s equity: Stripping activity asset, net of amortization Inventories valuation Asset retirement obligation Deferred workers´ profit sharing Deferred income tax Other __________ __________ __________ Shareholders’ equity under U.S. GAAP __________ __________ __________ |
Fair value measurement (Tables)
Fair value measurement (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair value measurement | |
Schedule of fair value measurement of liabilities | The following table provides the fair value measurement hierarchy of the Group’s assets and liabilities: Fair value measurement using: Quoted prices in active Observable Unobservable markets inputs inputs Total (Level 1) (Level 2) (Level 3) US$(000) US$(000) US$(000) US$(000) As of December 31, 2019- Assets and liabilities measured at fair value: Fair value of account receivable 165,546 — 165,546 — Contingent consideration liability 16,410 — — 16,410 Hedge instruments — — — — As of December 31, 2018 - Assets and liabilities measured at fair value: Fair value of account receivable 107,549 — 107,549 — Contingent consideration liability 15,755 — — 15,755 Hedge instruments 2,759 — 2,759 — |
Identification and business a_3
Identification and business activity - Subsidiaries (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | ||
Compania Minera Condesa S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Compania Minera Colquirrumi S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Sociedad Minera El Brocal S.A.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | [1] | Peru | |
Inversiones Colquijirca S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | [1] | Peru | |
S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Minera La Zanja S.R.L. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Minera Julcani S.A. de C.V. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Mexico | ||
Compania de Minas Buenaventura Chile Ltda. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Chile | ||
El Molle Verde S.A.C. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Apu Coropuna S.R.L. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Cerro Hablador S.A.C. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Minera Azola S.A.C. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Compania Minera Nueva Italia S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Consorcio Energetico de Huancavelica S.A. [Member] | Energy generation and transmission services [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Empresa de Generacion Huanza S.A. [Member] | Energy generation and transmission services [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Contacto Corredores de Seguros S.A. [Member] | Construction, engineering services and insurance brokerage [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Contacto Risk Consulting S.A. [Member] | Construction, engineering services and insurance brokerage [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Procesadora Industrial Rio Seco S.A. [Member] | Industrial activities [Member] | |||
Identification and business activity | |||
Country of incorporation of subsidiary | Peru | ||
Direct [Member] | Compania Minera Condesa S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 100.00% | 100.00% | |
Direct [Member] | Compania Minera Colquirrumi S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 100.00% | 100.00% | |
Direct [Member] | Sociedad Minera El Brocal S.A.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | [1] | 3.19% | 3.19% |
Direct [Member] | Inversiones Colquijirca S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | [1] | 89.76% | 89.76% |
Direct [Member] | S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 20.00% | 20.00% | |
Direct [Member] | Minera La Zanja S.R.L. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 53.06% | 53.06% | |
Direct [Member] | Minera Julcani S.A. de C.V. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 99.80% | 99.80% | |
Direct [Member] | Compania de Minas Buenaventura Chile Ltda. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 90.00% | 90.00% | |
Direct [Member] | El Molle Verde S.A.C. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 99.98% | 99.98% | |
Direct [Member] | Apu Coropuna S.R.L. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 70.00% | 70.00% | |
Direct [Member] | Cerro Hablador S.A.C. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 99.00% | 99.00% | |
Direct [Member] | Minera Azola S.A.C. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 99.00% | 99.00% | |
Direct [Member] | Compania Minera Nueva Italia S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.00% | 0.00% | |
Direct [Member] | Consorcio Energetico de Huancavelica S.A. [Member] | Energy generation and transmission services [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 100.00% | 100.00% | |
Direct [Member] | Empresa de Generacion Huanza S.A. [Member] | Energy generation and transmission services [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.00% | 0.00% | |
Direct [Member] | Contacto Corredores de Seguros S.A. [Member] | Construction, engineering services and insurance brokerage [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 99.98% | 99.98% | |
Direct [Member] | Contacto Risk Consulting S.A. [Member] | Construction, engineering services and insurance brokerage [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.00% | 0.00% | |
Direct [Member] | Procesadora Industrial Rio Seco S.A. [Member] | Industrial activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 100.00% | 100.00% | |
Indirect [Member] | Compania Minera Condesa S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.00% | 0.00% | |
Indirect [Member] | Compania Minera Colquirrumi S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.00% | 0.00% | |
Indirect [Member] | Sociedad Minera El Brocal S.A.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | [1] | 58.24% | 58.24% |
Indirect [Member] | Inversiones Colquijirca S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | [1] | 10.24% | 10.24% |
Indirect [Member] | S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 40.00% | 40.00% | |
Indirect [Member] | Minera La Zanja S.R.L. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.00% | 0.00% | |
Indirect [Member] | Minera Julcani S.A. de C.V. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.20% | 0.20% | |
Indirect [Member] | Compania de Minas Buenaventura Chile Ltda. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 10.00% | 10.00% | |
Indirect [Member] | El Molle Verde S.A.C. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.02% | 0.02% | |
Indirect [Member] | Apu Coropuna S.R.L. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.00% | 0.00% | |
Indirect [Member] | Cerro Hablador S.A.C. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 1.00% | 1.00% | |
Indirect [Member] | Minera Azola S.A.C. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 1.00% | 1.00% | |
Indirect [Member] | Compania Minera Nueva Italia S.A. [Member] | Mining activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 93.36% | 93.36% | |
Indirect [Member] | Consorcio Energetico de Huancavelica S.A. [Member] | Energy generation and transmission services [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.00% | 0.00% | |
Indirect [Member] | Empresa de Generacion Huanza S.A. [Member] | Energy generation and transmission services [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 100.00% | 100.00% | |
Indirect [Member] | Contacto Corredores de Seguros S.A. [Member] | Construction, engineering services and insurance brokerage [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.02% | 0.02% | |
Indirect [Member] | Contacto Risk Consulting S.A. [Member] | Construction, engineering services and insurance brokerage [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 98.00% | 98.00% | |
Indirect [Member] | Procesadora Industrial Rio Seco S.A. [Member] | Industrial activities [Member] | |||
Identification and business activity | |||
Proportion of ownership interest in subsidiary | 0.00% | 0.00% | |
[1] | As of December 31, 2019 and 2018, the participation of the Company in the voting rights of El Brocal is 61.43 percent. Inversiones Colquijirca S.A. (hereafter “Colquijirca”), a Group’s subsidiary (99.99 percent as of December 31, 2019 and 2018), has an interest in El Brocal’s capital stock, through which the Company holds an indirect participation in El Brocal of 58.24 percent as of December 31, 2019 and 2018. |
Identification and business a_4
Identification and business activity - Net cash flows of discontinued operations (Details) - Mining activities [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Identification and business activity | |||
Operating activities | $ (2) | $ 1,800 | $ 1,732 |
Investing activities | (1,817) | (1,796) | |
Net decrease in cash and cash equivalents during the year | $ (2) | $ (17) | $ (64) |
Identification and business a_5
Identification and business activity - Results of the discontinued operations (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Operating income | |||
Net sales | $ 821,930 | $ 1,106,329 | $ 1,187,206 |
Cost of sales | (799,582) | (967,696) | (947,953) |
Gross loss | (68,306) | (183,019) | (289,689) |
Operating income (expenses), net | |||
Administrative expenses | (76,297) | (77,099) | (80,666) |
Total operating expenses, net | (126,319) | (124,721) | (184,134) |
Operating loss | 58,013 | (58,298) | (105,555) |
Other income (expense), net | |||
Finance costs, note 15(b) | (42,173) | (38,422) | (34,551) |
Net gain (loss) from currency exchange difference | 734 | 1,384 | (2,939) |
Total other expenses, net | 14,478 | (31,265) | (12,888) |
Loss from discontinued operations | 10,514 | 11,808 | 10,344 |
Discontinued Operations Mining Activities [Member] | |||
Operating income | |||
Net sales | 97 | 16,666 | 36,736 |
Cost of sales | (2) | (15,261) | (32,301) |
Gross loss | 95 | 1,405 | 4,435 |
Operating income (expenses), net | |||
Administrative expenses | (8,048) | (1,661) | (3,872) |
Changes in provision for closure of mining units, note 15(b) | (1,912) | (6,013) | (12,701) |
Reversal of provision for impairment of inventories, note 8(c) | (320) | 0 | 1,345 |
Reversal (provision) for contingencies | (134) | (9) | (562) |
Derecognition of long lived assets | (44) | (5,100) | 0 |
Net loss in sale of mining units | 0 | 0 | (18,550) |
Reversal of impairment loss | 0 | 2,837 | 17,197 |
Reversal of provision for closure of mining units for sale of mining units | 0 | 0 | 11,700 |
Others, net | 117 | (3,162) | (8,438) |
Total operating expenses, net | (10,341) | (13,108) | (13,881) |
Operating loss | (10,246) | (11,703) | (9,446) |
Other income (expense), net | |||
Finance costs, note 15(b) | (266) | (88) | (766) |
Net gain (loss) from currency exchange difference | (2) | 30 | (10) |
Total other expenses, net | (268) | (58) | (776) |
Loss before income tax | (10,514) | (11,761) | (10,222) |
Income tax | 0 | (47) | (122) |
Loss from discontinued operations | $ (10,514) | $ (11,808) | $ (10,344) |
Loss from the discontinued operations, per basic and diluted share, express in U. S. dollars | $ (0.04) | $ (0.03) | $ (0.04) |
Identification and business a_6
Identification and business activity - Additional information (Details) lb in Thousands, $ in Thousands | 12 Months Ended | 24 Months Ended | ||
Dec. 31, 2019USD ($)Tlboz | Dec. 31, 2018USD ($)lb | Dec. 31, 2017USD ($)lb | Dec. 31, 2019USD ($) | |
Identification and business activity | ||||
Proceeds from sales of property, plant and equipment, classified as investing activities | $ 726 | $ 2,240 | $ 1,962 | |
Processing Capacity | T | 548,500 | |||
Concentrator Facility Capacity | T | 409,500 | |||
Pre Expansion Capacity Approved | T | 361,500 | |||
Capacity of Crushed Leach Facility | T | 39,000 | |||
Run Of Mine Capacity | T | 100,000 | |||
Assets | $ 4,107,274 | 4,217,221 | $ 4,332,813 | $ 4,107,274 |
Quecher Main project [Member] | ||||
Identification and business activity | ||||
Average production capacity | oz | 200,000 | |||
Development Capital costs | $ 96,800 | 193,000 | ||
Conga Project [Member] | ||||
Identification and business activity | ||||
Assets | $ 458,200 | $ 484,500 | 458,200 | |
Minera Yanacocha SRL and subsidiary [Member] | ||||
Identification and business activity | ||||
Volume of gold produced | lb | 527,000,000 | 515,000,000 | 660,000,000 | |
Description Of Location of Entity Operation | In order to perform its activities, the Company is required to obtain mining concessions or provisional permits for exploration and processing concessions for the treatment of mining ores from the Peruvian Ministry of Energy and Mines ("MEM"). Under Peru's current legal and regulatory regime, these mining and processing rights are maintained by meeting a minimum annual level of production or investment and by the annual payment of a concession fee. A fine is payable for the years in which minimum production or investment requirements are not met. The Company holds mining concessions which exploration and processing rights do not expires as long as the Company comply with the legal requirements. To date the Company has complied with all the applicable legal requirements related to its concession rights.The Company's operations are located approximately 375 miles (604 kilometers) north of Lima and 30 miles (48 kilometers) north of the city of Cajamarca and are primarily accessible by paved roads. The Yanacocha property began production in 1993 and consists of the following open pit mines: the La Quinua Complex, the Yanacocha Complex, the Carachugo Complex and Maqui Maqui. In addition, The Company has four leach pads (La Quinua, Yanacocha, Carachugo and Maqui Maqui), three gold processing plants (Pampa Larga, Yanacocha Norte and La Quinua), one limestone processing facility (China Linda) and one mill (Yanacocha Gold Mill). | |||
Assets | $ 2,312,072 | $ 2,047,472 | $ 2,312,072 | |
Sociedad Minera Cerro Verde Saa [Member] | Quecher Main project [Member] | ||||
Identification and business activity | ||||
Average production capacity | lb | 200,000 | |||
Newmont Second Capital Corporation [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||
Identification and business activity | ||||
Proportion of ownership interest in subsidiary | 51.35% | |||
S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||
Identification and business activity | ||||
Royalty rate on net sales | 3.00% | |||
Newmont Mining Corporation [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||
Identification and business activity | ||||
Proportion of ownership interest in subsidiary | 100.00% | |||
Cyprus Climax Metals [Member] | Sociedad Minera Cerro Verde Saa [Member] | ||||
Identification and business activity | ||||
Proportion of ownership interest in subsidiary | 53.56% | |||
SMM Cerro Verde Netherlands B.V [Member] | Sociedad Minera Cerro Verde Saa [Member] | ||||
Identification and business activity | ||||
Proportion of ownership interests held by non-controlling interests | 21.00% | |||
Compania de Minas Buenaventura S.A.A. [Member] | Sociedad Minera Cerro Verde Saa [Member] | ||||
Identification and business activity | ||||
Proportion of ownership interests held by non-controlling interests | 19.58% | |||
other stakeholders [Member] | Sociedad Minera Cerro Verde Saa [Member] | ||||
Identification and business activity | ||||
Proportion of ownership interests held by non-controlling interests | 5.86% | |||
Mining activities [Member] | ||||
Identification and business activity | ||||
Losses on disposals of non-current assets | 4,000 | |||
Reversal of impairment loss | $ 11,800 | |||
El Brocal [Member] | Mining activities [Member] | ||||
Identification and business activity | ||||
Proportion of voting rights held in subsidiary | 61.43% | 61.43% | ||
El Brocal [Member] | Mining activities [Member] | Indirect [Member] | ||||
Identification and business activity | ||||
Proportion of voting rights held in subsidiary | 58.24% | 58.24% | ||
Colquijirca S.A. [Member] | Mining activities [Member] | ||||
Identification and business activity | ||||
Proportion of voting rights held in subsidiary | 99.99% | 99.99% | ||
Compania Minera Condesa S.A. [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||
Identification and business activity | ||||
Proportion of ownership interests held by non-controlling interests | 43.65% | |||
Compania Minera Condesa S.A. [Member] | Mining activities [Member] | Indirect [Member] | ||||
Identification and business activity | ||||
Proportion of ownership interest in subsidiary | 0.00% | 0.00% | ||
Minas Buenaventura S.A.A [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||
Identification and business activity | ||||
Proportion of ownership interest in subsidiary | 100.00% | |||
Breapampa [Member] | Mining activities [Member] | ||||
Identification and business activity | ||||
Proceeds from sales of property, plant and equipment, classified as investing activities | $ 2,000 | |||
Reversal of impairment loss | 7,400 | |||
Recuperada [Member] | Mining activities [Member] | ||||
Identification and business activity | ||||
Proceeds from sales of property, plant and equipment, classified as investing activities | 600 | |||
Reversal of impairment loss | $ 7,100 | |||
Summit Global Management [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||
Identification and business activity | ||||
Proportion of ownership interests held by non-controlling interests | 5.00% |
Basis for preparation, consol_4
Basis for preparation, consolidation and accounting policies - Impact of Adoption of IFRS 16 on consolidated statement of financial position (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Jun. 14, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||||||
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net | $ 1,754,372 | $ 1,847,615 | $ 1,949,555 | |||
Right-of-use assets | 6,185 | |||||
Deferred income tax asset, net | 74,556 | 38,305 | ||||
Total assets | 4,107,274 | 4,217,221 | 4,332,813 | |||
Liabilities | ||||||
Financial obligations | 265,692 | 46,166 | ||||
Total liabilities | 1,139,074 | 1,187,656 | 1,269,186 | |||
Retained earnings | 1,639,658 | 1,675,909 | ||||
Total shareholders' equity, net | 2,968,200 | 3,029,565 | 3,063,627 | $ 3,047,213 | ||
IFRS 16 [Member] | ||||||
Assets | ||||||
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net | 6,185 | $ 18,528 | ||||
Deferred income tax asset, net | 390 | 400 | ||||
Total assets | 6,575 | 18,928 | ||||
Liabilities | ||||||
Financial obligations | 7,503 | 19,885 | ||||
Total liabilities | 7,503 | 19,885 | ||||
Retained earnings | (928) | (957) | ||||
Total shareholders' equity, net | (928) | (957) | ||||
Minera Yanacocha SRL and subsidiary [Member] | ||||||
Assets | ||||||
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net | 1,038,294 | 840,454 | 855,881 | |||
Deferred income tax asset, net | 1,071 | 1,071 | ||||
Total assets | 2,312,072 | 2,047,472 | ||||
Liabilities | ||||||
Total liabilities | 1,822,360 | 1,463,749 | ||||
Retained earnings | 133,315 | 228,572 | ||||
Total shareholders' equity, net | 489,712 | $ 583,723 | $ 6,216 | $ 659,115 | $ 885,724 | |
Minera Yanacocha SRL and subsidiary [Member] | IFRS 16 [Member] | ||||||
Assets | ||||||
Right-of-use assets | 584 | 342 | ||||
Total assets | 584 | 342 | ||||
Liabilities | ||||||
Provisions and other accruals | 596 | 362 | ||||
Total liabilities | $ 596 | $ 362 |
Basis for preparation, consol_5
Basis for preparation, consolidation and accounting policies - Impact of Adoption of IFRS 16 on Impact on consolidated statement of profit or loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Operating costs | |||
Cost of sales of goods, excluding depreciation and amortization | $ 512,874 | $ 613,381 | $ 604,650 |
Depreciation and amortization | (226,335) | (238,879) | (210,154) |
Operating profit | |||
Administrative expenses. | 76,297 | 77,099 | 80,666 |
Operating expenses, net. | 14,715 | 1,308 | 13,230 |
Operating profit (loss) | (58,013) | 58,298 | 105,555 |
Other income (expense), net | |||
Finance costs | 42,173 | 38,422 | 34,551 |
Profit (loss) before income tax | (43,535) | 27,033 | 92,667 |
IFRS 16 [Member] | |||
Operating costs | |||
Cost of sales of goods, excluding depreciation and amortization | 5,991 | ||
Depreciation and amortization | (6,751) | ||
Total operating costs | (760) | ||
Operating profit | |||
Administrative expenses. | 272 | ||
Operating expenses, net. | 155 | ||
Operating profit (loss) | 427 | ||
Other income (expense), net | |||
Finance costs | 379 | ||
Profit (loss) before income tax | 46 | ||
Minera Yanacocha SRL and subsidiary [Member] | |||
Operating costs | |||
Cost of sales of goods, excluding depreciation and amortization | 692,721 | 619,424 | 772,647 |
Operating profit | |||
Administrative expenses. | 1,744 | 2,783 | 4,760 |
Operating expenses, net. | 35,987 | 76,155 | 63,514 |
Operating profit (loss) | 5,968 | (22,588) | (154,129) |
Other income (expense), net | |||
Finance costs | 57,629 | 39,024 | 23,766 |
Profit (loss) before income tax | (30,329) | $ (52,220) | $ (168,428) |
Minera Yanacocha SRL and subsidiary [Member] | IFRS 16 [Member] | |||
Operating costs | |||
Depreciation and amortization | 270 | ||
Operating profit | |||
Operating profit (loss) | (270) | ||
Other income (expense), net | |||
Finance costs | 36 | ||
Profit (loss) before income tax | $ (306) |
Basis for preparation, consol_6
Basis for preparation, consolidation and accounting policies - Impact of Adoption of IFRS 16 on Impact on consolidated statement of cash flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Interest paid | $ (28,266) | $ (27,699) | $ (30,402) |
Net cash and cash equivalents provided by operating activities | 47,065 | 346,260 | 212,582 |
Payments of lease liabilities | (7,596) | 0 | 0 |
Net cash and cash equivalents provided by (used in) financing activities | (100,618) | $ (74,052) | $ 59,575 |
IFRS 16 [Member] | |||
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Short-term and low-value lease payments | (24,175) | ||
Net cash and cash equivalents provided by operating activities | (24,175) | ||
Payments of lease liabilities | (7,596) | ||
Net cash and cash equivalents provided by (used in) financing activities | (7,596) | ||
Minera Yanacocha SRL and subsidiary [Member] | IFRS 16 [Member] | |||
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Short-term and low-value lease payments | (270) | ||
Interest paid | (26) | ||
Net cash and cash equivalents provided by operating activities | $ (296) |
Basis for preparation, consol_7
Basis for preparation, consolidation and accounting policies - Reconciliation between the balance of assets and liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Operating lease commitments disclosed as of December 31, 2018 | $ 7,330 | ||
New operating leases commitments under IFRS 16 | $ 16,221 | ||
Short-term leases not recognized as a liability | (547) | ||
Low-value leases not recognized as a liability | (3,119) | ||
Additional lease liability recognized as of January 1, 2019 | 19,885 | ||
Plus: Lease liability already recognized as of December 31, 2018 | 241,653 | ||
Total lease liabilities | $ 7,503 | 261,538 | |
Minera Yanacocha SRL and subsidiary [Member] | IFRS 16 [Member] | |||
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Operating lease commitments disclosed as of December 31, 2018 | 450 | ||
Short-term leases not recognized as a liability | $ (88) | ||
Additional lease liability recognized as of January 1, 2019 | 362 | ||
Total lease liabilities | 362 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Operating lease commitments disclosed as of December 31, 2018 | $ 152,866 | ||
Contracts that do not meet the revised definition of a lease | (25,851) | ||
Effect of discounting | (31,287) | ||
Total lease liabilities | $ 95,728 |
Basis for preparation, consol_8
Basis for preparation, consolidation and accounting policies - Impact of Adoption of IFRIC 23 on consolidated statement of financial position (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Liabilities | |||||
Current tax liabilities, current | $ 5,650 | $ 1,760 | |||
Total liabilities | 1,139,074 | 1,187,656 | $ 1,269,186 | ||
Shareholders' equity, net | |||||
Retained earnings | 1,639,658 | 1,675,909 | |||
Total shareholders' equity, net | 2,968,200 | $ 3,029,565 | $ 3,063,627 | $ 3,047,213 | |
IFRIC 23 [Member] | |||||
Liabilities | |||||
Current tax liabilities, current | 382 | $ 382 | |||
Total liabilities | 382 | 382 | |||
Shareholders' equity, net | |||||
Retained earnings | (382) | (382) | |||
Total shareholders' equity, net | $ (382) | $ (382) |
Basis for preparation, consol_9
Basis for preparation, consolidation and accounting policies - Assets and liabilities originally denominated in Soles (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019USD ($)$ / shares | Dec. 31, 2018USD ($)$ / shares | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Assets | ||||
Cash and cash equivalents | $ 210,046 | $ 369,200 | $ 214,551 | $ 80,544 |
Trade and other receivables | 376,227 | 252,308 | ||
Prepaid income tax | 31,919 | 24,396 | ||
Total assets | 4,107,274 | 4,217,221 | 4,332,813 | |
Liabilities | ||||
Trade and other payables | 166,860 | 188,723 | ||
Income tax payable | 5,650 | 1,760 | ||
Total liabilities | 1,139,074 | 1,187,656 | 1,269,186 | |
PEN | ||||
Assets | ||||
Cash and cash equivalents | 6,796 | 11,526 | ||
Prepaid income tax | 31,960 | 24,277 | ||
Total assets | 178,380 | 124,316 | ||
Liabilities | ||||
Trade and other payables | 60,311 | 53,962 | ||
Income tax payable | 5,692 | 2,080 | ||
Total liabilities | 107,518 | 87,324 | ||
Net asset position | 70,862 | 36,992 | ||
Minera Yanacocha SRL and subsidiary [Member] | ||||
Assets | ||||
Cash and cash equivalents | 818,503 | 723,208 | ||
Trade and other receivables | 42,610 | 55,900 | ||
Prepaid income tax | 0 | 19,239 | ||
Total assets | 2,312,072 | 2,047,472 | ||
Liabilities | ||||
Income tax payable | 23,153 | 3,552 | ||
Provisions, other accruals and liabilities ieses | 1,629,190 | 1,315,259 | ||
Total liabilities | 1,822,360 | 1,463,749 | ||
Net loss from currency exchange | $ 2,056 | $ 3,636 | ||
Net gain from currency exchange | $ 2,902 | |||
Minera Yanacocha SRL and subsidiary [Member] | Buy | ||||
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | ||||
Closing foreign exchange rate | $ / shares | 0.3020 | 0.2968 | ||
Minera Yanacocha SRL and subsidiary [Member] | Sell | ||||
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | ||||
Closing foreign exchange rate | $ / shares | 0.3015 | 0.2959 | ||
Minera Yanacocha SRL and subsidiary [Member] | PEN | ||||
Assets | ||||
Cash and cash equivalents | $ 5,140 | $ 7,563 | ||
Trade and other receivables | 27,990 | 27,335 | ||
Prepaid income tax | 19,239 | |||
Value added tax credit | 32,831 | 29,828 | ||
Total assets | 65,961 | 83,965 | ||
Liabilities | ||||
Trade and other payables | 13,085 | 9,586 | ||
Income tax payable | 23,153 | 3,552 | ||
Provisions, other accruals and liabilities ieses | 29,633 | 3,970 | ||
Total liabilities | 65,871 | 17,108 | ||
Net asset position | $ 90 | $ 66,857 |
Basis for preparation, conso_10
Basis for preparation, consolidation and accounting policies - Useful lives or used for administrative purposes (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Vehicles [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 5 years |
Fixtures and fittings [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 10 years |
Computer Equipment [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 4 years |
Bottom of range [member] | Buildings | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 6 years |
Bottom of range [member] | Buildings | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 5 years |
Bottom of range [member] | Buildings | Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 5 years |
Bottom of range [member] | Machinery and equipment | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 5 years |
Bottom of range [member] | Machinery and equipment | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 3 years |
Bottom of range [member] | Machinery and equipment | Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 2 years |
Bottom of range [member] | Vehicles [Member] | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 3 years |
Bottom of range [member] | Vehicles [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 5 years |
Bottom of range [member] | Fixtures and fittings [Member] | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 3 years |
Bottom of range [member] | Fixtures and fittings [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 7 years |
Bottom of range [member] | Computer Equipment [Member] | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 3 years |
Bottom of range [member] | Land improvements [Member] | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 2 years |
Bottom of range [member] | Other property, plant and equipment [Member] | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 3 years |
Bottom of range [member] | Other property, plant and equipment [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 3 years |
Top of range [member] | Buildings | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 20 years |
Top of range [member] | Buildings | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 10 years |
Top of range [member] | Buildings | Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 35 years |
Top of range [member] | Machinery and equipment | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 10 years |
Top of range [member] | Machinery and equipment | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 10 years |
Top of range [member] | Machinery and equipment | Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 30 years |
Top of range [member] | Vehicles [Member] | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 4 years |
Top of range [member] | Vehicles [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 7 years |
Top of range [member] | Fixtures and fittings [Member] | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 4 years |
Top of range [member] | Fixtures and fittings [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 10 years |
Top of range [member] | Computer Equipment [Member] | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 4 years |
Top of range [member] | Land improvements [Member] | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 4 years |
Top of range [member] | Other property, plant and equipment [Member] | Minera Yanacocha SRL and subsidiary [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 4 years |
Top of range [member] | Other property, plant and equipment [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |
Basis for preparation, consolidation and accounting policies | |
Useful life of property plant equipment | 25 years |
Basis for preparation, conso_11
Basis for preparation, consolidation and accounting policies - Summary of the impact from the uncertain tax treatments (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Basis for preparation, consolidation and accounting policies | |
Increase in current tax assets | $ 35,701 |
Increase in current tax liabilities | 21,920 |
Increase in deferred tax liabilities | 20,767 |
Increase in income taxes expense | $ 6,986 |
Basis for preparation, conso_12
Basis for preparation, consolidation and accounting policies - Reclassifications of comparative information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Sales | $ 821,930 | $ 1,106,329 | $ 1,187,206 |
Cost applicable to sales | (512,874) | (613,381) | (604,650) |
Trade and other payables | 166,244 | 188,084 | |
Income tax payable | 5,650 | 1,760 | |
Royalties expenses | 12,832 | 21,388 | 30,884 |
Minera Yanacocha SRL and subsidiary [Member] | |||
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Sales | 734,526 | 658,653 | 670,905 |
Cost applicable to sales | (692,721) | (619,424) | (772,647) |
Trade and other payables | 76,484 | 83,464 | |
Income tax payable | 23,153 | 3,552 | |
Royalties expenses | 23,000 | 26,000 | |
Minera Yanacocha SRL and subsidiary [Member] | As previously reported | |||
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Sales | 635,393 | 645,176 | |
Cost applicable to sales | (596,164) | (746,918) | |
Trade and other payables | 87,016 | ||
Minera Yanacocha SRL and subsidiary [Member] | Reclassifications | |||
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Sales | 23,260 | 25,729 | |
Cost applicable to sales | (23,260) | (25,729) | |
Trade and other payables | (3,552) | ||
Income tax payable | 3,552 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Disclosure of basis for preparation, consolidation and accounting policies [Line Items] | |||
Sales | 2,890,066 | 3,054,026 | 3,202,931 |
Royalties expenses | $ 6,828 | $ 7,904 | $ 8,335 |
Basis for preparation, conso_13
Basis for preparation, consolidation and accounting policies - Additional information (Details) | Jan. 01, 2019USD ($) | Jan. 01, 2017 | Dec. 31, 2019USD ($)item | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) |
Basis for preparation, consolidation and accounting policies | |||||
Useful lives or depreciation of Investment property | 20 years | ||||
Impairment loss | $ 2,083,000 | $ 5,693,000 | $ 21,620,000 | ||
Workers' profit sharing rate | 8.00% | ||||
Qualifying asset, description | The Group defines a qualifying asset as one which value is greater than US$5 million and requires a longer period to 12 months to get ready for its intended use. | ||||
Applicable tax rate | 29.50% | 32.00% | 32.00% | ||
Lease Liabilities | $ 261,538,000 | $ 7,503,000 | |||
Right-of-use assets | $ 6,185,000 | ||||
Lease term | 10 years | ||||
Maximum [Member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Useful life of intangible assets | 10 years | ||||
Mining Royalties Marginal Rate | 12.00% | ||||
Normal credit term | 90 days | ||||
Minimum [Member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Useful life of intangible assets | 1 year | ||||
Mining Royalties Marginal Rate | 1.00% | ||||
Normal credit term | 30 days | ||||
Written put options [member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Closing foreign exchange rate | 0.3015 | 0.2959 | |||
Purchased call options [member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Closing foreign exchange rate | 0.3020 | 0.2968 | |||
Minera Yanacocha SRL and subsidiary [Member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Applicable tax rate | 29.00% | 29.50% | 29.50% | 29.50% | 29.50% |
Interest from short-term money market funds and interest from current bank accounts | $ 18,430,000 | $ 11,448,000 | $ 5,831,000 | ||
Terminal compensation percentage | 1.50% | ||||
Maximum severance payments | item | 12 | ||||
Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Impairment loss | $ 0 | ||||
Applicable tax rate | 32.00% | 32.00% | 32.00% | ||
Lease Liabilities | $ 95,728,000 | ||||
Right-of-use assets | $ 84,856,000 | $ 95,728,000 | |||
Weighted average incremental borrowing rate at transition | 4.704% | ||||
Sociedad Minera Cerro Verde S.A.A. [Member] | Written put options [member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Closing foreign exchange rate | 3.317 | 3.379 | |||
Sociedad Minera Cerro Verde S.A.A. [Member] | Purchased call options [member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Closing foreign exchange rate | 3.311 | 3.369 | |||
Plant and equipment [Member] | Minera Yanacocha SRL and subsidiary [Member] | Maximum [Member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Lease term | 10 years | ||||
Plant and equipment [Member] | Minera Yanacocha SRL and subsidiary [Member] | Minimum [Member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Lease term | 3 years | ||||
Buildings | |||||
Basis for preparation, consolidation and accounting policies | |||||
Lease Liabilities | $ 5,296,000 | ||||
Right-of-use assets | $ 4,602,000 | ||||
Buildings | Minera Yanacocha SRL and subsidiary [Member] | Maximum [Member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Lease term | 10 years | ||||
Buildings | Minera Yanacocha SRL and subsidiary [Member] | Minimum [Member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Lease term | 5 years | ||||
OSINERGMIN [Member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Contribution rate on sales invoice value | 0.13% | 0.14% | 0.15% | ||
OEFA [Member] | |||||
Basis for preparation, consolidation and accounting policies | |||||
Contribution rate on sales invoice value | 0.11% | 0.11% | 0.11% |
Transactions in soles (Details)
Transactions in soles (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||||
Cash and cash equivalents. | $ 210,046 | $ 369,200 | $ 214,551 | $ 80,544 |
Trade and other receivables | 287,712 | 211,715 | ||
Income tax credit | 31,919 | 24,396 | ||
Total assets | 4,107,274 | 4,217,221 | 4,332,813 | |
Liabilities | ||||
Trade and other payables | (166,860) | (188,723) | ||
Income tax payable | (5,650) | (1,760) | ||
Provisions and contingent liability | (72,771) | (68,172) | ||
Total liabilities | (1,139,074) | (1,187,656) | $ (1,269,186) | |
PEN | ||||
Assets | ||||
Cash and cash equivalents. | 6,796 | 11,526 | ||
Trade and other receivables | 139,624 | 88,513 | ||
Income tax credit | 31,960 | 24,277 | ||
Total assets | 178,380 | 124,316 | ||
Liabilities | ||||
Trade and other payables | (60,311) | (53,962) | ||
Income tax payable | (5,692) | (2,080) | ||
Provisions and contingent liability | (41,515) | (31,282) | ||
Total liabilities | (107,518) | (87,324) | ||
Net asset position | $ 70,862 | $ 36,992 |
Transactions in soles - Additio
Transactions in soles - Additional information (Details) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) |
Purchased call options [member] | ||
Transactions in Soles | ||
Closing foreign exchange rate | 0.3020 | 0.2968 |
Purchased call options [member] | Sociedad Minera Cerro Verde S.A.A. [Member] | ||
Transactions in Soles | ||
Closing foreign exchange rate | 3.311 | 3.369 |
Written put options [member] | ||
Transactions in Soles | ||
Closing foreign exchange rate | 0.3015 | 0.2959 |
Written put options [member] | Sociedad Minera Cerro Verde S.A.A. [Member] | ||
Transactions in Soles | ||
Closing foreign exchange rate | 3.317 | 3.379 |
Cash and cash equivalents (Deta
Cash and cash equivalents (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash and cash equivalents | |||||
Cash | $ 304 | $ 347 | |||
Bank accounts | [1] | 37,836 | 57,078 | ||
Time deposits | [2] | 171,906 | 311,775 | ||
Cash and cash equivalents. | 210,046 | 369,200 | $ 214,551 | $ 80,544 | |
Minera Yanacocha SRL and subsidiary [Member] | |||||
Cash and cash equivalents | |||||
Cash | 22 | 33 | |||
Bank accounts | 56,822 | 111,319 | |||
Time deposits | 761,659 | 611,856 | |||
Cash and cash equivalents. | 818,503 | 723,208 | |||
Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Cash and cash equivalents | |||||
Bank accounts | 10,119 | 3,679 | |||
Cash equivalents (a) | [3] | 471,372 | 497,503 | ||
Cash and cash equivalents. | $ 481,491 | $ 501,182 | |||
[1] | (b)Bank accounts earn interest at floating rates based on market rates. | ||||
[2] | (c)As of December 31, 2019 and 2018, time deposits were kept in prime financial institutions, which generated interest at annual market rates and have current maturities, according to the immediate cash needs of the Group. | ||||
[3] | (a)Cash equivalents as of December&#160;31, 2019, includes short-term deposits with Scotiabank Peru of US$125.0 million, Citibank NY of US$85.1 million, Banco BBVA Peru of US$50.0 million and a portfolio of investments in highly marketable liquid investments (investments classified as &#8220;AAA&#8221; by Standard&#160;& Poor&#8217;s and Moody&#8217;s) of US$211.3 million, which yield variable returns, and are classified as cash equivalents because they are readily convertible to known amounts of cash and management plans to use them for its short-term cash needs. Because of the short maturity of these investments (i.e., less than 90&#160;days), the carrying amount of these investments corresponds to their fair value at the date of the financial statements. Changes in the fair value of these investments are insignificant. |
Cash and cash equivalents - Ter
Cash and cash equivalents - Term deposit balance (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash and cash equivalents | |||
Short-term deposits, classified as cash equivalents | [1] | $ 171,906 | $ 311,775 |
Minera Yanacocha SRL and subsidiary [Member] | |||
Cash and cash equivalents | |||
Short-term deposits, classified as cash equivalents | 761,659 | 611,856 | |
Citi bank [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Cash and cash equivalents | |||
Short-term deposits, classified as cash equivalents | 214,282 | 210,361 | |
JP Morgan [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Cash and cash equivalents | |||
Short-term deposits, classified as cash equivalents | 501,916 | $ 401,495 | |
BNP Paribas [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Cash and cash equivalents | |||
Short-term deposits, classified as cash equivalents | $ 45,461 | ||
[1] | (c)As of December 31, 2019 and 2018, time deposits were kept in prime financial institutions, which generated interest at annual market rates and have current maturities, according to the immediate cash needs of the Group. |
Cash and cash equivalents - Add
Cash and cash equivalents - Additional information (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of business combination [Line Items] | |||
Short-term deposits, classified as cash equivalents | [1] | $ 171,906 | $ 311,775 |
Scotiabank Peru [Member] | |||
Disclosure of business combination [Line Items] | |||
Short-term deposits, classified as cash equivalents | 125,000 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Citibank NY [Member] | |||
Disclosure of business combination [Line Items] | |||
Short-term deposits, classified as cash equivalents | 85,100 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Scotiabank Peru [Member] | |||
Disclosure of business combination [Line Items] | |||
Short-term deposits, classified as cash equivalents | 125,000 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | BBVA Continental Peru [Member] | |||
Disclosure of business combination [Line Items] | |||
Short-term deposits, classified as cash equivalents | 50,000 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Banco de Credito del Peru [member] | |||
Disclosure of business combination [Line Items] | |||
Short-term deposits, classified as cash equivalents | 50,000 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Moodys [Member] | |||
Disclosure of business combination [Line Items] | |||
Short-term deposits, classified as cash equivalents | $ 211,300 | ||
[1] | (c)As of December 31, 2019 and 2018, time deposits were kept in prime financial institutions, which generated interest at annual market rates and have current maturities, according to the immediate cash needs of the Group. |
Related parties (Details)
Related parties (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | |
Freeport Minerals Corporation [Member] | |||
Balances payable to related parties [Abstract] | |||
Amounts payable, related party transactions | $ (10,441) | $ (8,860) | |
Freeport-McMoRan Sales Company Inc. [Member] | |||
Balances payable to related parties [Abstract] | |||
Amounts payable, related party transactions | (3,086) | (3,192) | |
Minera Freeport-McMoRan South America Ltda [Member] | |||
Balances payable to related parties [Abstract] | |||
Amounts payable, related party transactions | (561) | (521) | |
Freeport Cobalt OY [Member] | |||
Balances payable to related parties [Abstract] | |||
Amounts payable, related party transactions | 0 | (2,301) | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Balances receivable from related parties [Abstract] | |||
Amounts receivable, related party transactions | 453,070 | 413,351 | |
Balances payable to related parties [Abstract] | |||
Amounts payable, related party transactions | (14,088) | (14,874) | |
Accounts payable - Related parties | 10,074 | 8,860 | |
Accounts payable to related parties | 4,014 | 6,014 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Accounts Receivables Non Provisional Pricing [Member] | |||
Balances receivable from related parties [Abstract] | |||
Amounts receivable, related party transactions | 121,995 | 67,050 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Accounts Receivables Provisional Pricing [Member] | |||
Balances receivable from related parties [Abstract] | |||
Amounts receivable, related party transactions | 294,998 | 365,594 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Freeport Minerals Corporation [Member] | |||
Balances receivable from related parties [Abstract] | |||
Amounts receivable, related party transactions | [1] | 401,211 | 409,688 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Sumitomo Metal Mining Company, Ltd. [Member] | |||
Balances receivable from related parties [Abstract] | |||
Amounts receivable, related party transactions | [2] | 10,760 | 12,918 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Climax Molybdenum Marketing Corporation [Member] | |||
Balances receivable from related parties [Abstract] | |||
Amounts receivable, related party transactions | [3] | 5,022 | 10,038 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Embedded derivatives [Member] | |||
Balances receivable from related parties [Abstract] | |||
Amounts receivable, related party transactions | [4] | $ 36,077 | |
Balances payable to related parties [Abstract] | |||
Amounts payable, related party transactions | [4] | $ (19,293) | |
[1] | Accounts receivable from FMC mainly correspond to sales of copper concentrate and copper cathode. The Company has a long-term agreement with FMC through which it has committed to sell between 70% and 80% of its annual copper concentrate production through December 31, 2021. Terms of the contracts are reviewed annually. | ||
[2] | The Company has a long-term agreement with Sumitomo through which it has committed to sell 21% of its annual copper concentrates production through December 31, 2021. Terms of the contracts are reviewed annually. | ||
[3] | The Company has a long-term agreement with Climax Molybdenum Marketing Corporation (a wholly owned subsidiary of FMC) through which it has committed to sell 100% of its annual molybdenum concentrate production, at a price based on MWDO and under a delivery type known as CIF (cost, insurance and freight) through December 31, 2020. | ||
[4] | Reflects the embedded derivative adjustment associated with accounts receivable from related parties (See Note 2(d) and 22). |
Related parties - Additional In
Related parties - Additional Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | ||
Freeport Minerals Corporation [Member] | |||
Disclosure Of Related Party Explanatory [Line Items] | |||
Amounts payable, related party transactions | $ 10,441 | $ 8,860 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Disclosure Of Related Party Explanatory [Line Items] | |||
Description of basis for determining transaction price and type of delivery | at a price based on MWDO and under a delivery type known as CIF (cost, insurance and freight) | ||
Amounts payable, related party transactions | $ 14,088 | 14,874 | |
Amounts receivable, related party transactions | $ 453,070 | $ 413,351 | |
Benefits derived to key managerial personnel, Percentage | 0.42 | 0.38 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Stock option benefits [Member] | |||
Disclosure Of Related Party Explanatory [Line Items] | |||
Amounts payable, related party transactions | $ 10,100 | $ 8,900 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Freeport Minerals Corporation [Member] | |||
Disclosure Of Related Party Explanatory [Line Items] | |||
Amounts receivable, related party transactions | [1] | 401,211 | 409,688 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Sumitomo Metal Mining Company, Ltd. [Member] | |||
Disclosure Of Related Party Explanatory [Line Items] | |||
Amounts receivable, related party transactions | [2] | 10,760 | 12,918 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Climax Molybdenum Marketing Corporation [Member] | |||
Disclosure Of Related Party Explanatory [Line Items] | |||
Amounts receivable, related party transactions | [3] | $ 5,022 | $ 10,038 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Copper concentrate [Member] | Sumitomo Metal Mining Company, Ltd. [Member] | Long-term contracts [member] | |||
Disclosure Of Related Party Explanatory [Line Items] | |||
Proportion of sales commitment made by entity, related party transactions | 21.00% | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Molybdenum concentrate [Member] | Climax Molybdenum Marketing Corporation [Member] | Long-term contracts [member] | |||
Disclosure Of Related Party Explanatory [Line Items] | |||
Proportion of sales commitment made by entity, related party transactions | 100.00% | ||
Bottom of range [member] | Sociedad Minera Cerro Verde S.A.A. [Member] | Copper concentrate [Member] | Freeport Minerals Corporation [Member] | Long-term contracts [member] | |||
Disclosure Of Related Party Explanatory [Line Items] | |||
Proportion of sales commitment made by entity, related party transactions | 70.00% | ||
Top of range [member] | Sociedad Minera Cerro Verde S.A.A. [Member] | Copper concentrate [Member] | Freeport Minerals Corporation [Member] | Long-term contracts [member] | |||
Disclosure Of Related Party Explanatory [Line Items] | |||
Proportion of sales commitment made by entity, related party transactions | 80.00% | ||
[1] | Accounts receivable from FMC mainly correspond to sales of copper concentrate and copper cathode. The Company has a long-term agreement with FMC through which it has committed to sell between 70% and 80% of its annual copper concentrate production through December 31, 2021. Terms of the contracts are reviewed annually. | ||
[2] | The Company has a long-term agreement with Sumitomo through which it has committed to sell 21% of its annual copper concentrates production through December 31, 2021. Terms of the contracts are reviewed annually. | ||
[3] | The Company has a long-term agreement with Climax Molybdenum Marketing Corporation (a wholly owned subsidiary of FMC) through which it has committed to sell 100% of its annual molybdenum concentrate production, at a price based on MWDO and under a delivery type known as CIF (cost, insurance and freight) through December 31, 2020. |
Trade and other receivables, _3
Trade and other receivables, net (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |||
Trade and other receivables, net | ||||||
Trade receivables, gross | $ 226,112 | $ 168,714 | ||||
Trade receivables, net ,Allowance for doubtful accounts | (22,016) | [1] | (22,013) | [1] | $ (22,823) | |
Trade receivables, net | 204,096 | 146,701 | ||||
Other receivables | 172,131 | 105,607 | ||||
Total trade and other receivables, net | 376,227 | 252,308 | ||||
Classification by maturity: | ||||||
Current portion | 287,712 | 211,715 | ||||
Non-current portion | 88,515 | 40,593 | ||||
Total trade and other receivables, net | 376,227 | 252,308 | ||||
Classification by nature: | ||||||
Financial receivables | 318,830 | 196,402 | ||||
Non-financial receivables | 57,397 | 55,906 | ||||
Total trade and other receivables, net | 376,227 | 252,308 | ||||
Classification by measurement : | ||||||
Trade receivables (without provisional prices) | 38,550 | 39,152 | ||||
Trade receivables (with provisional prices) | 165,546 | 107,549 | ||||
Other accounts receivables | 172,131 | 105,607 | ||||
Total trade and other receivables, net | 376,227 | 252,308 | ||||
Minera Yanacocha SRL and subsidiary [Member] | ||||||
Trade and other receivables, net | ||||||
Trade receivables, net | 15,016 | 29,078 | ||||
Other receivables | 41,927 | 48,511 | ||||
Total trade and other receivables, net | 42,610 | 55,900 | ||||
Classification by maturity: | ||||||
Current portion | 18,962 | 32,610 | ||||
Non-current portion | 23,648 | 23,290 | ||||
Total trade and other receivables, net | 42,610 | 55,900 | ||||
Classification by nature: | ||||||
Financial receivables | 15,016 | 29,078 | ||||
Non-financial receivables | 27,594 | 26,822 | ||||
Total trade and other receivables, net | 42,610 | 55,900 | ||||
Classification by measurement : | ||||||
Total trade and other receivables, net | 42,610 | 55,900 | ||||
Domestic clients [Member] | ||||||
Trade and other receivables, net | ||||||
Trade receivables, gross | 141,005 | 105,225 | ||||
Foreign clients [Member] | ||||||
Trade and other receivables, net | ||||||
Trade receivables, gross | 78,860 | 56,312 | ||||
Foreign clients [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||||
Trade and other receivables, net | ||||||
Trade receivables, gross | 683 | 7,389 | ||||
Related entities [Member] | ||||||
Trade and other receivables, net | ||||||
Trade receivables, gross | [2] | 6,247 | 7,177 | |||
Other receivables | 2,967 | 3,705 | ||||
Related entities [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 598 | 794 | ||||
Value added tax credit [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 53,754 | 49,332 | ||||
Refund application of value added tax [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | [3] | 3,643 | 6,574 | |||
Tax deposits [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 6,644 | 4,769 | ||||
Restricted bank accounts [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | [4] | 2,510 | 2,782 | |||
Other minors [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 743 | 2,738 | ||||
Other minors [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 5,247 | 5,382 | ||||
Accounts receivables to third parties [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 31,478 | 24,625 | ||||
Due from sale of assets [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 21,648 | 2,715 | ||||
Accounts receivable from hedge instruments [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 3,949 | |||||
Advances to suppliers [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 9,275 | 7,542 | ||||
Advances to suppliers [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 9,872 | 16,897 | ||||
Interest Receivable [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 3,244 | 3,000 | ||||
Tax claims [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 42,602 | 2,573 | ||||
Tax claims [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 3,946 | 3,532 | ||||
Dividends Receivable [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 2,501 | |||||
Loan to Personel [Member] | ||||||
Trade and other receivables, net | ||||||
Other receivables | 1,128 | 1,392 | ||||
Allowance for credit losses [member] | ||||||
Trade and other receivables, net | ||||||
Trade receivables, net ,Allowance for doubtful accounts | [1] | $ (10,006) | $ (10,089) | |||
[1] | (f)Below is presented the movement in the allowance for expected credit losses: | |||||
[2] | (b)Trade accounts receivable are denominated in U.S. dollars, are neither due nor impaired, do not yield interest and have no specific guarantees. | |||||
[3] | (c)Corresponds mainly to current year applications that are pending as of December 31, 2019. | |||||
[4] | (e)These balances correspond mainly to collections that are charged into restricted bank accounts that only can be used for the payment of financial obligations held by the subsidiary Empresa de Generación Huanza S.A. (hereafter “Huanza”), according to the finance lease signed with Banco de Crédito del Perú in 2009. Below is presented the movement: |
Trade and other receivables, _4
Trade and other receivables, net - Receivables (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Trade and other receivables, net | |||||
Trade receivables, gross | $ 226,112 | $ 168,714 | |||
Other receivables, gross | 182,137 | 115,696 | |||
Allowance for doubtful accounts | (10,006) | (10,089) | $ (9,361) | ||
Other Receivables | 172,131 | 105,607 | |||
Total trade and other receivables, net | 376,227 | 252,308 | |||
Other accounts receivable, net | 287,712 | 211,715 | |||
Trade and other receivables, net | 88,515 | 40,593 | |||
Foreign clients [Member] | |||||
Trade and other receivables, net | |||||
Trade receivables, gross | 78,860 | 56,312 | |||
Advances to suppliers [Member] | |||||
Trade and other receivables, net | |||||
Other Receivables | 9,275 | 7,542 | |||
Tax claims [Member] | |||||
Trade and other receivables, net | |||||
Other Receivables | 42,602 | 2,573 | |||
Related entities [Member] | |||||
Trade and other receivables, net | |||||
Trade receivables, gross | [1] | 6,247 | 7,177 | ||
Other Receivables | 2,967 | 3,705 | |||
Other minors [Member] | |||||
Trade and other receivables, net | |||||
Other Receivables | 743 | 2,738 | |||
Minera Yanacocha SRL and subsidiary [Member] | |||||
Trade and other receivables, net | |||||
Other receivables, gross | 43,311 | 49,895 | |||
Allowance for doubtful accounts | (1,384) | (1,384) | $ (1,384) | $ (1,407) | |
Other Receivables | 41,927 | 48,511 | |||
Total trade and other receivables, net | 42,610 | 55,900 | |||
Other accounts receivable, net | 18,962 | 32,610 | |||
Trade and other receivables, net | 23,648 | 23,290 | |||
Minera Yanacocha SRL and subsidiary [Member] | Foreign clients [Member] | |||||
Trade and other receivables, net | |||||
Trade receivables, gross | 683 | 7,389 | |||
Minera Yanacocha SRL and subsidiary [Member] | Advances to suppliers [Member] | |||||
Trade and other receivables, net | |||||
Other Receivables | 9,872 | 16,897 | |||
Minera Yanacocha SRL and subsidiary [Member] | Tax claims [Member] | |||||
Trade and other receivables, net | |||||
Other Receivables | 3,946 | 3,532 | |||
Minera Yanacocha SRL and subsidiary [Member] | Related entities [Member] | |||||
Trade and other receivables, net | |||||
Other Receivables | 598 | 794 | |||
Minera Yanacocha SRL and subsidiary [Member] | Other minors [Member] | |||||
Trade and other receivables, net | |||||
Other Receivables | 5,247 | 5,382 | |||
Minera Yanacocha SRL and subsidiary [Member] | Credit of tax on net assets [Member] | |||||
Trade and other receivables, net | |||||
Other Receivables | $ 23,648 | $ 23,290 | |||
[1] | (b)Trade accounts receivable are denominated in U.S. dollars, are neither due nor impaired, do not yield interest and have no specific guarantees. |
Trade and other receivables, _5
Trade and other receivables, net - Allowance for expected credit losses (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2017 | |
Trade and other receivables, net | ||
Opening balance | $ 10,089 | |
Ending balance | 10,006 | $ 9,361 |
Minera Yanacocha SRL and subsidiary [Member] | ||
Trade and other receivables, net | ||
Opening balance | 1,384 | 1,407 |
Deductions | 0 | (23) |
Ending balance | $ 1,384 | $ 1,384 |
Trade and other receivables, _6
Trade and other receivables, net - Charged into restricted bank accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Trade and other receivables, net | |||
Beginning balance | $ 2,782 | $ 2,372 | $ 2,087 |
Increase in restricted bank accounts | 166 | 410 | 285 |
Decrease in restricted bank accounts | (438) | 0 | |
Final balance | $ 2,510 | $ 2,782 | $ 2,372 |
Trade and other receivables, _7
Trade and other receivables, net - Movement of allowance for expected credit losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |||
Disclosure Of Available for Sale Assets Explanatory [Abstract] | |||||
Beginning balance | $ 32,102 | $ 32,184 | $ 31,607 | ||
Provision for other receivable, note 26 | 25 | 1,334 | 0 | ||
Provision for trade receivables, note 24 | 18 | 676 | |||
Provision of the period | 25 | 1,352 | 676 | ||
Write off of the period | (162) | (410) | 0 | ||
Exchange difference | 57 | (173) | 0 | ||
Reversals of the period, note 26 | (45) | (99) | |||
Other minor | (806) | 0 | |||
Final balance | 32,022 | 32,102 | 32,184 | ||
Trade receivables | 22,016 | [1] | 22,013 | [1] | 22,823 |
Other receivables | $ 10,006 | $ 10,089 | $ 9,361 | ||
[1] | (f)Below is presented the movement in the allowance for expected credit losses: |
Trade and other receivables, _8
Trade and other receivables, net - Additional information (Details) - USD ($) | May 01, 2017 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of Trade and other receivables, net [Line Items] | |||
Aggregate of Compensation | $ 3,400,000 | ||
Expense arising from insurance contracts | $ 21,023,000 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Disclosure of Trade and other receivables, net [Line Items] | |||
Current payables for purchase of non-current assets | $ 30,300,000 | $ 42,400,000 | |
El Brocal [Member] | |||
Disclosure of Trade and other receivables, net [Line Items] | |||
Aggregate of Compensation Lost Profit | $ 36,300,000 | ||
Repair and Cost overruns | $ 2,500,000 |
Inventories, net (Details)
Inventories, net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Inventory, net | |||||
Finished goods | $ 2,084 | $ 7,715 | $ 2,118 | ||
Products in process | [1] | 47,652 | 73,796 | ||
Spare parts and supplies | 74,033 | 81,383 | |||
Inventory gross | 123,769 | 162,894 | |||
Provision for impairment of value of inventory | (25,402) | (23,163) | |||
Finished goods [Abstract] | |||||
Current inventories | 97,973 | 135,919 | |||
Inventories, net | 394 | 3,812 | |||
Inventories | 98,367 | 139,731 | |||
Minera Yanacocha SRL and subsidiary [Member] | |||||
Inventory, net | |||||
Inventory gross | 60,343 | 62,042 | |||
Allowance for obsolescence of materials and supplies (b) | (6,098) | (7,515) | $ (7,076) | $ (5,272) | |
Finished goods [Abstract] | |||||
Current inventories | 54,245 | 54,527 | |||
Inventories | 54,245 | 54,527 | |||
Minera Yanacocha SRL and subsidiary [Member] | Precious metals [Member] | |||||
Inventory, net | |||||
Inventory gross | 8,021 | 6,878 | |||
Minera Yanacocha SRL and subsidiary [Member] | Leach in circuit [Member] | |||||
Inventory, net | |||||
Inventory gross | 5,158 | 1,835 | |||
Minera Yanacocha SRL and subsidiary [Member] | Mill in circuit [Member] | |||||
Inventory, net | |||||
Inventory gross | 1,332 | 4,002 | |||
Minera Yanacocha SRL and subsidiary [Member] | Materials and supplies [Member] | |||||
Inventory, net | |||||
Inventory gross | 45,832 | 49,327 | |||
Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Inventory, net | |||||
Products in process | [2] | 173,190 | 119,518 | ||
Finished goods [Abstract] | |||||
Copper cathode | 6,321 | 8,035 | |||
Copper concentrate | 23,890 | 17,949 | |||
Molybdenum concentrate | 1,268 | 3,205 | |||
Less: Provision for obsolescence of materials and supplies | (507) | (11) | |||
Current inventories | 552,197 | 457,074 | |||
Inventories, net | [2] | 255,123 | 286,375 | ||
Inventories | 807,320 | 743,449 | |||
Materials and supplies | $ 348,035 | $ 308,378 | |||
[1] | Products in process include mainly to mineral in process of El Brocal for 1,592,905 Dried Metric Ton (DMT) amounting to US$31.2 million ( 2,254,874 DMT amounting to US$39.9 million as of December 31, 2018). | ||||
[2] | WIP inventories represent mill and leach stockpiles, which contain higher grade ores (mill stockpiles) and medium and lower grade ores (leach stockpiles) that have been extracted from the open pit and are available for copper recovery. Based on the future mine plan production, the Company identifies the portion of inventory that is classified as current or long term. For mill stockpiles, recovery is through milling and concentrating. For leach stockpiles, recovery is through exposure to acidic solutions that dissolve copper and deliver it in a solution to extraction processing facilities.In fourth-quarter 2019, the Company changed its method of estimating the current portion of its leach and mill stockpiles and revised its December 31, 2018, balances to conform to the new methodology resulting in a US$30.5 million decrease in the current balance and increase in the long-term balance. |
Inventories, net - Impairment o
Inventories, net - Impairment of value of inventory (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Inventories, net | |||
Beginning Balance | $ 23,163 | $ 11,603 | $ 8,386 |
Provision for impairment of finished and in progress goods, note 21(a) | 7,329 | 4,640 | |
Reversal for impairment of finished and in progress goods, note 21(a) | 9,472 | 119 | 0 |
Provision for impairment of spare parts and supplies, note 26 | 15,703 | 11,704 | 4,814 |
Reversal for impairment of spare parts and supplies (discontinued operations), note 1(e) | (11,641) | (4,665) | (2,370) |
Transfer from mining units held for sale | 0 | 0 | 0 |
Provision for impairment of inventory of spare parts and supplies | 843 | 0 | 0 |
Reversal for impairment of spare parts and supplies, note 26 | (523) | 0 | (1,345) |
Final balance | $ 25,402 | $ 23,163 | $ 11,603 |
Inventories, net - Allowance fo
Inventories, net - Allowance for obsolescence of material and supplies (Details) - Minera Yanacocha SRL and subsidiary [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Inventory, net | |||
Opening balance | $ 7,515 | $ 7,076 | $ 5,272 |
Provision for impairment of materials and supplies | 1,898 | 1,887 | 2,896 |
Reversal of provision for impairment of materials and supplies | (3,315) | (1,448) | (1,092) |
Ending balance | $ 6,098 | $ 7,515 | $ 7,076 |
Inventories, net - Additional i
Inventories, net - Additional information (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2019USD ($)T | Dec. 31, 2018USD ($)T | |
Inventory, net | ||
Decrease in current balance of inventory | $ 30.5 | |
El Brocal [Member] | ||
Inventory, net | ||
Production in Process | $ 31.2 | $ 39.9 |
Products in process of quantity | T | 1,592,905 | 2,254,874 |
Other non-financial assets (Det
Other non-financial assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | |
Current | |||
Income tax credit | $ 31,919 | $ 24,396 | |
Non-current | |||
Income tax credit | 0 | 319 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Current | |||
Value added tax credit | 27,414 | 28,081 | |
Income tax credit | 75,521 | 26,794 | |
Other taxes to be recovered | 2,745 | 2,700 | |
Total Current | 105,680 | 57,575 | |
Non-current | |||
Other Receivables | [1] | 186,626 | 183,208 |
Income tax credit | [2] | 52,559 | 16,858 |
Total Non-Current | 239,185 | 200,066 | |
TOTAL Non-financial assets | $ 344,865 | $ 257,641 | |
[1] | Represents disbursement made by the Company in connection with disputed tax assessments related to reviews by SUNAT from years 2003 to 2012 (see Note 13(c) and 13(e)). According to current tax procedures and the timeframe for resolving these types of claims, management and its legal advisors expect resolution of this matter will be favorable to the Company and amounts will be recoverable. | ||
[2] | Represents disbursements made by the Company for the prepayment of income tax, which the Company expects to use to offset future tax obligations or will be refunded to the Company by SUNAT (Superintendencia Nacional de Administración Tributaria) (see Note 13(b)). |
Stockpiles and ore on leach p_3
Stockpiles and ore on leach pads, net (Details) - Minera Yanacocha SRL and subsidiary [Member] - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Current portion - | ||
Stockpiles | $ 23,769 | $ 35,065 |
Ore on leach pads | 139,991 | 106,931 |
Net realizable value adjustment (b) | (28,837) | (41,403) |
Current ore stockpiles | 134,923 | 100,593 |
Non-current portion - | ||
Stockpiles | 35,888 | 41,814 |
Ore on leach pads | 88,223 | 144,688 |
Net realizable value adjustment (b) | (19,088) | (47,724) |
Non-current ore stockpiles | $ 105,023 | $ 138,778 |
Stockpiles and ore on leach p_4
Stockpiles and ore on leach pads, net - Provision for net realizable value (Details) - Minera Yanacocha SRL and subsidiary [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of stockpiles and ore on leach pads [Line Items] | |||
Opening balance | $ 89,127 | $ 62,540 | $ 84,374 |
Provision | 33,464 | 90,365 | 77,385 |
Reversal of provision | (74,666) | (63,778) | (99,219) |
Ending balance | $ 47,925 | $ 89,127 | $ 62,540 |
Prepaid expenses (Details)
Prepaid expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Prepaid expenses | ||
Prepaid energy services | $ 26,582 | $ 27,464 |
Prepaid insurances | 13,568 | 12,486 |
Deferred costs of works for taxes | 4,138 | 2,407 |
Other prepaid expenses | 2,373 | 1,366 |
Prepayments | 46,661 | 43,723 |
Classification by maturity: | ||
Current portion | 20,969 | 17,145 |
Non-current portion | 25,692 | 26,578 |
Prepayments | $ 46,661 | $ 43,723 |
Prepaid expenses - Additional i
Prepaid expenses - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Prepaid expenses | ||
Non-current lease prepayments | $ 26,582 | $ 27,464 |
Life of underlying assets | P35Y | |
Empresa de Generacion Huanza S.A. [Member] | ||
Prepaid expenses | ||
Non-current lease prepayments | $ 31,007,190,000 |
Financial Instrument at fair _2
Financial Instrument at fair value (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Nov. 30, 2008 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Available For Sale Financial Assets [Line Items] | ||||
Change in fair value of the investments in marketable stocks | $ 821 | $ 10 | ||
Minera Yanacocha SRL and subsidiary [Member] | ||||
Disclosure Of Available For Sale Financial Assets [Line Items] | ||||
Purchase of available-for-sale financial assets | $ 13,000 | |||
Non-current financial assets available-for-sale | 24,417 | 22,610 | ||
Other comprehensive income, net of tax, financial assets measured at fair value through other comprehensive income | $ 1,246 | $ 91 | $ 3,244 |
Investments in associates and_3
Investments in associates and joint ventures (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Investments in associates and joint ventures | |||
Joint venture (c) | $ 2,627 | $ 2,673 | |
Investments in associates | 1,488,247 | 1,473,382 | $ 1,536,887 |
Investment In Associates And Joint Ventures | $ 1,488,247 | $ 1,473,382 | |
Sociedad Minera Cerro Verde Saa [Member] | |||
Investments in associates and joint ventures | |||
Proportion of ownership interest in associate | 19.58% | 19.58% | |
Investments in associates | $ 1,155,359 | $ 1,108,284 | |
Minera Yanacocha S.R.L. [Member] | |||
Investments in associates and joint ventures | |||
Proportion of ownership interest in associate | 43.65% | 43.65% | |
Investments in associates | $ 230,000 | $ 271,036 | |
Compania Minera Coimolache S.A. [Member] | |||
Investments in associates and joint ventures | |||
Proportion of ownership interest in associate | 40.10% | 40.10% | |
Investments in associates | $ 98,426 | $ 89,554 | |
Other minor investments [Member] | |||
Investments in associates and joint ventures | |||
Investments in associates | 1,835 | 1,835 | |
Investment In Associates Excluding Minor Investments [Member] | |||
Investments in associates and joint ventures | |||
Investments in associates | $ 1,483,785 | $ 1,468,874 |
Investments in associates and_4
Investments in associates and joint ventures - Net share in profit (loss) of investments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Investments in associates and joint ventures | |||
Share of profit (loss) from continuing operations of associates and joint ventures accounted for using equity method | $ 47,710 | $ (1,144) | $ 13,207 |
Minera Yanacocha S.R.L. [Member] | |||
Investments in associates and joint ventures | |||
Share of profit (loss) from continuing operations of associates and joint ventures accounted for using equity method | (41,580) | (35,582) | (76,585) |
Sociedad Minera Cerro Verde Saa [Member] | |||
Investments in associates and joint ventures | |||
Share of profit (loss) from continuing operations of associates and joint ventures accounted for using equity method | 76,451 | 23,444 | 68,521 |
Compania Minera Coimolache S.A. [Member] | |||
Investments in associates and joint ventures | |||
Share of profit (loss) from continuing operations of associates and joint ventures accounted for using equity method | 12,883 | 10,994 | 21,271 |
Other minor investments [Member] | |||
Investments in associates and joint ventures | |||
Share of profit (loss) from continuing operations of associates and joint ventures accounted for using equity method | $ (44) | $ 0 | $ 0 |
Investments in associates and_5
Investments in associates and joint ventures - Statements of financial position (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Investments in associates and joint ventures | ||||
Current assets | $ 648,619 | $ 761,134 | ||
Non-current assets | 3,458,655 | 3,456,087 | ||
Current liabilities | (565,357) | (399,182) | ||
Non-current liabilities | (573,717) | (788,474) | ||
Equity | 2,968,200 | 3,029,565 | $ 3,063,627 | $ 3,047,213 |
Investments in associates | 1,488,247 | 1,473,382 | 1,536,887 | |
Minera Yanacocha S.R.L. [Member] | ||||
Investments in associates and joint ventures | ||||
Current assets | 1,060,455 | 960,758 | ||
Non-current assets | 1,251,617 | 1,086,714 | ||
Current liabilities | (190,577) | (128,170) | ||
Non-current liabilities | (1,631,783) | (1,335,579) | ||
Equity | 489,712 | 583,723 | ||
Groups' interest | 213,759 | 254,795 | ||
Goodwill | 16,241 | 16,241 | ||
Investments in associates | 230,000 | 271,036 | ||
Sociedad Minera Cerro Verde Saa [Member] | ||||
Investments in associates and joint ventures | ||||
Current assets | 1,614,928 | 1,455,080 | ||
Non-current assets | 6,194,496 | 6,099,632 | ||
Current liabilities | (420,786) | (408,754) | ||
Non-current liabilities | (2,039,389) | (2,037,086) | ||
Equity | 5,349,249 | 5,108,872 | $ 5,189,162 | $ 4,839,281 |
Groups' interest | 1,047,596 | 1,000,521 | ||
Goodwill | 107,763 | 107,763 | ||
Investments in associates | $ 1,155,359 | $ 1,108,284 |
Investments in associates and_6
Investments in associates and joint ventures - Statements of profit or loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Investments in associates and joint ventures | |||
Revenue | $ 867,888 | $ 1,150,715 | $ 1,237,642 |
Loss for the year | (28,459) | (11,654) | 64,435 |
Share in results | 47,710 | (1,144) | 13,207 |
Minera Yanacocha S.R.L. [Member] | |||
Investments in associates and joint ventures | |||
Revenue | 739,302 | 657,358 | 667,046 |
Loss for the year | (95,257) | (81,517) | (175,454) |
Share in results | (41,580) | (35,582) | (76,585) |
Sociedad Minera Cerro Verde Saa [Member] | |||
Investments in associates and joint ventures | |||
Loss for the year | 390,377 | 119,710 | 349,881 |
Share in results | $ 76,451 | $ 23,444 | $ 68,521 |
Investments in associates and_7
Investments in associates and joint ventures - Statements of financial position of Cerro Verde under IFRS (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Investments in associates and joint ventures | ||||
Current assets | $ 648,619 | $ 761,134 | ||
Non-current assets | 3,458,655 | 3,456,087 | ||
Current liabilities | (565,357) | (399,182) | ||
Non-current liabilities | (573,717) | (788,474) | ||
Equity | 2,968,200 | 3,029,565 | $ 3,063,627 | $ 3,047,213 |
Investments in associates | 1,488,247 | 1,473,382 | $ 1,536,887 | |
Sociedads Minera Cerro Verde Saa [Member] | ||||
Investments in associates and joint ventures | ||||
Current assets | 1,614,928 | 1,455,080 | ||
Non-current assets | 6,194,496 | 6,099,632 | ||
Current liabilities | (420,786) | (408,754) | ||
Non-current liabilities | (2,039,389) | (2,037,086) | ||
Equity | $ 5,349,249 | $ 5,108,872 |
Investments in associates and_8
Investments in associates and joint ventures - Statements of financial position of Coimolache under IFRS (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Investments in associates and joint ventures | ||||
Current assets | $ 648,619 | $ 761,134 | ||
Non-current assets | 3,458,655 | 3,456,087 | ||
Current liabilities | (565,357) | (399,182) | ||
Non-current liabilities | (573,717) | (788,474) | ||
Equity | 2,968,200 | 3,029,565 | $ 3,063,627 | $ 3,047,213 |
Group's interest | 1,488,247 | 1,473,382 | $ 1,536,887 | |
Compania Minera Coimolache S.A. [Member] | ||||
Investments in associates and joint ventures | ||||
Current assets | 145,692 | 99,887 | ||
Non-current assets | 234,223 | 261,782 | ||
Current liabilities | (34,028) | (39,204) | ||
Non-current liabilities | (91,069) | (86,103) | ||
Equity | 254,818 | 236,362 | ||
Adjustments to conform to the accounting policies of the Group | (9,330) | (13,003) | ||
Shareholders' equity, adjusted | 245,488 | 223,359 | ||
Group's interest | $ 98,426 | $ 89,554 |
Investments in associates and_9
Investments in associates and joint ventures - Statements of profit or loss of Coimolache under IFRS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Investments in associates and joint ventures | |||
Sales | $ 867,888 | $ 1,150,715 | $ 1,237,642 |
Net profit for the year | (28,459) | (11,654) | 64,435 |
Share in results | 47,710 | (1,144) | 13,207 |
Compania Minera Coimolache S.A. [Member] | |||
Investments in associates and joint ventures | |||
Sales | 241,173 | 225,447 | 203,790 |
Net profit for the year | 28,459 | 25,584 | 50,787 |
Adjustments to conform to the accounting policies | 3,674 | 1,837 | 2,265 |
Net income, adjusted | 32,133 | 27,421 | 53,052 |
Share in results | 12,883 | 10,994 | 21,271 |
Sociedads Minera Cerro Verde Saa [Member] | |||
Investments in associates and joint ventures | |||
Sales | 2,890,066 | 3,054,026 | 3,202,931 |
Net profit for the year | 390,377 | 119,710 | 349,881 |
Share in results | $ 76,451 | $ 23,444 | $ 68,521 |
Investments in associates an_10
Investments in associates and joint ventures - Joint venture under IFRS (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of Investments in associates [Line Items] | ||||
Current assets | $ 648,619 | $ 761,134 | ||
Non-current assets | 3,458,655 | 3,456,087 | ||
Liabilities | 1,139,074 | 1,187,656 | $ 1,269,186 | |
Shareholders' equity, reported | 2,968,200 | 3,029,565 | 3,063,627 | $ 3,047,213 |
Net loss from continued operations | (28,459) | (11,654) | $ 64,435 | |
Joint ventures [member] | ||||
Disclosure of Investments in associates [Line Items] | ||||
Current assets | 11,090 | 17,653 | ||
Non-current assets | 100,106 | 107,175 | ||
Liabilities | 88,608 | 101,575 | ||
Shareholders' equity, reported | 22,588 | 23,253 | ||
Net loss from continued operations | $ (665) | $ (1,814) |
Investments in associates an_11
Investments in associates and joint ventures - Additional information (Details) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019USD ($)oz$ / shares | Dec. 31, 2018USD ($)$ / shares | Dec. 31, 2017USD ($)shares | Feb. 06, 2020USD ($) | Jun. 30, 2018USD ($) | |
Investments in associates and joint ventures | |||||
Impairment loss | $ 2,083 | $ 5,693 | $ 21,620 | ||
Number of shares acquired in business combination | shares | 63,920 | ||||
Percentage of voting equity interests acquired | 5.00% | ||||
Consideration transferred, acquisition-date fair value | $ 47,900 | ||||
Minera Yanacocha S.R.L. [Member] | |||||
Investments in associates and joint ventures | |||||
Proportion of ownership interest in associate | 43.65% | 43.65% | |||
Impairment loss | $ 0 | ||||
Consideration transferred, acquisition-date fair value | $ 48,000 | ||||
Average production capacity | oz | 200,000 | ||||
Interest and penalties | $ 21,000 | ||||
Value added tax payables | $ 8,100 | ||||
Sociedad Minera Cerro Verde Saa [Member] | |||||
Investments in associates and joint ventures | |||||
Proportion of ownership interest in associate | 19.58% | 19.58% | |||
market capitalization of shares | $ 1,323,000 | $ 1,426,000 | |||
market capitalization value per share | $ / shares | $ 19.30 | $ 20.80 | |||
Transportadora Callao SA [Member] | |||||
Investments in associates and joint ventures | |||||
Percentage of voting equity interests acquired | 8.00% |
Mining concessions, developme_3
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2019 | |
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | $ 1,847,615 | $ 1,949,555 | |
Property, plant and equipment, net | 1,754,372 | 1,847,615 | |
Balance as of December | 1,754,372 | 1,847,615 | |
IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Property, plant and equipment, net | 6,185 | $ 18,528 | |
Balance as of December | 6,185 | ||
Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 3,727,403 | 3,596,342 | |
Additions | 133,070 | 172,509 | |
Disposals | (48,153) | (9,725) | |
Sales | (45,772) | (9,908) | |
Reclassifications and transfers | (3,750) | (21,815) | |
Property, plant and equipment, net | 3,781,326 | 3,727,403 | |
Balance as of December | 3,781,326 | 3,727,403 | |
Gross carrying amount [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Property, plant and equipment, net | 18,528 | ||
Balance as of December | 18,528 | ||
Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (1,853,513) | (1,611,982) | |
Additions | (222,221) | (253,968) | |
Disposals | 36,331 | 262 | |
Sales | 40,807 | 9,282 | |
Reclassifications and transfers | (2,893) | ||
Property, plant and equipment, net | (1,998,596) | (1,853,513) | |
Balance as of December | (1,998,596) | (1,853,513) | |
Accumulated impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (26,275) | (34,805) | |
Additions | (2,083) | ||
Disposals | 8,530 | ||
Property, plant and equipment, net | (28,358) | (26,275) | |
Balance as of December | (28,358) | (26,275) | |
Land [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 21,761 | 22,690 | |
Additions | 630 | 783 | |
Disposals | (462) | ||
Sales | 135 | ||
Reclassifications and transfers | (4,739) | (1,250) | |
Property, plant and equipment, net | 17,517 | 21,761 | |
Balance as of December | 17,517 | 21,761 | |
Land [Member] | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (1,249) | ||
Reclassifications and transfers | (1,249) | ||
Property, plant and equipment, net | (1,249) | ||
Balance as of December | |||
Mining concessions [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 151,873 | 151,873 | |
Property, plant and equipment, net | 151,873 | 151,873 | |
Balance as of December | 151,873 | 151,873 | |
Mining concessions [Member] | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (40,249) | (40,239) | |
Additions | (10) | (10) | |
Property, plant and equipment, net | (40,259) | (40,249) | |
Balance as of December | (40,259) | (40,249) | |
Development costs [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 743,259 | 712,051 | |
Additions | 46,047 | 32,059 | |
Disposals | (443) | (2,656) | |
Reclassifications and transfers | (819) | 1,805 | |
Property, plant and equipment, net | 788,044 | 743,259 | |
Balance as of December | 788,044 | 743,259 | |
Development costs [Member] | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (298,553) | (263,122) | |
Additions | (29,964) | (35,433) | |
Reclassifications and transfers | (2) | ||
Property, plant and equipment, net | (328,517) | (298,553) | |
Balance as of December | (328,517) | (298,553) | |
Buildings | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 1,342,621 | 1,279,251 | |
Additions | 39 | ||
Disposals | (3,559) | (2,837) | |
Sales | 5,380 | ||
Reclassifications and transfers | 26,120 | 66,207 | |
Property, plant and equipment, net | 1,359,841 | 1,342,621 | |
Balance as of December | 1,359,841 | 1,342,621 | |
Buildings | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (591,643) | (506,837) | |
Additions | (83,274) | (84,244) | |
Disposals | 3,391 | ||
Sales | 3,569 | ||
Reclassifications and transfers | (638) | 562 | |
Property, plant and equipment, net | (667,319) | (591,643) | |
Balance as of December | $ (667,319) | (591,643) | |
Machinery and equipment | Bottom of range [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Term of lease | 1 year | ||
Machinery and equipment | Top of range [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Term of lease | 3 years | ||
Machinery and equipment | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | $ 958,466 | 929,023 | |
Additions | 12 | ||
Disposals | (30,235) | (182) | |
Sales | 38,322 | (9,205) | |
Reclassifications and transfers | 22,783 | 38,830 | |
Property, plant and equipment, net | 912,704 | 958,466 | |
Balance as of December | 912,704 | 958,466 | |
Machinery and equipment | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (665,357) | (582,449) | |
Additions | (66,020) | (93,722) | |
Disposals | 28,619 | 177 | |
Sales | 35,459 | 8,659 | |
Reclassifications and transfers | 638 | (1,978) | |
Property, plant and equipment, net | (667,937) | (665,357) | |
Balance as of December | (667,937) | (665,357) | |
Vehicles [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 10,885 | 9,946 | |
Additions | 33 | 42 | |
Disposals | (540) | (138) | |
Sales | 1,856 | (510) | |
Reclassifications and transfers | 370 | 1,545 | |
Property, plant and equipment, net | 8,892 | 10,885 | |
Balance as of December | 8,892 | 10,885 | |
Vehicles [Member] | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (8,599) | (8,390) | |
Additions | (744) | (745) | |
Disposals | 538 | 85 | |
Sales | 1,779 | 436 | |
Reclassifications and transfers | (15) | ||
Property, plant and equipment, net | (7,026) | (8,599) | |
Balance as of December | (7,026) | (8,599) | |
Fixtures and fittings [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 13,306 | 13,902 | |
Additions | 2 | ||
Disposals | (1,310) | ||
Sales | 1 | (193) | |
Reclassifications and transfers | 13 | (403) | |
Property, plant and equipment, net | 12,010 | 13,306 | |
Balance as of December | 12,010 | 13,306 | |
Fixtures and fittings [Member] | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (10,123) | (9,880) | |
Additions | (653) | (644) | |
Disposals | 1,172 | ||
Sales | 187 | ||
Reclassifications and transfers | (214) | ||
Property, plant and equipment, net | (9,604) | (10,123) | |
Balance as of December | (9,604) | (10,123) | |
Units in transit [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 2,682 | 4,749 | |
Additions | 11 | ||
Disposals | (1) | ||
Reclassifications and transfers | 1,073 | (2,078) | |
Property, plant and equipment, net | 3,754 | 2,682 | |
Balance as of December | 3,754 | 2,682 | |
Construction in Progress [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 56,662 | 101,122 | |
Additions | 44,319 | 67,096 | |
Disposals | (1,168) | (3,450) | |
Sales | 78 | ||
Reclassifications and transfers | (49,370) | (108,106) | |
Property, plant and equipment, net | 50,365 | 56,662 | |
Balance as of December | 50,365 | 56,662 | |
Stripping activity asset [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 141,726 | 130,447 | |
Additions | 11,545 | 11,279 | |
Reclassifications and transfers | 819 | ||
Property, plant and equipment, net | 154,090 | 141,726 | |
Balance as of December | 154,090 | 141,726 | |
Stripping activity asset [Member] | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (70,518) | (41,695) | |
Additions | (18,405) | (28,820) | |
Reclassifications and transfers | 3 | ||
Property, plant and equipment, net | (88,923) | (70,518) | |
Balance as of December | (88,923) | (70,518) | |
Right-of-use assets [member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 3,721 | ||
Disposals | (10,897) | ||
Property, plant and equipment, net | 11,352 | ||
Balance as of December | 11,352 | ||
Right-of-use assets [member] | Gross carrying amount [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Property, plant and equipment, net | 18,528 | ||
Balance as of December | 18,528 | ||
Right-of-use assets [member] | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | (7,778) | ||
Disposals | 2,611 | ||
Property, plant and equipment, net | (5,167) | ||
Balance as of December | (5,167) | ||
Mine closure costs [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 284,162 | 241,288 | |
Additions | 26,722 | 61,239 | |
Reclassifications and transfers | (18,365) | ||
Property, plant and equipment, net | 310,884 | 284,162 | |
Balance as of December | 310,884 | 284,162 | |
Mine closure costs [Member] | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (168,471) | (158,121) | |
Additions | (15,373) | (10,350) | |
Property, plant and equipment, net | (183,844) | (168,471) | |
Balance as of December | (183,844) | (168,471) | |
Mine closure costs [Member] | Accumulated impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (13,207) | (20,121) | |
Additions | (2,083) | ||
Disposals | 5,693 | ||
Reclassifications and transfers | (1,221) | ||
Property, plant and equipment, net | (15,290) | (13,207) | |
Balance as of December | (15,290) | (13,207) | |
Mine Development Cost [Member] | Accumulated impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (10,153) | (10,153) | |
Property, plant and equipment, net | (10,153) | (10,153) | |
Balance as of December | (10,153) | (10,153) | |
Mining Concessions And Development Costs [Member] | Accumulated impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | (2,915) | (4,531) | |
Disposals | 2,837 | ||
Reclassifications and transfers | 1,221 | ||
Property, plant and equipment, net | (2,915) | (2,915) | |
Balance as of December | (2,915) | (2,915) | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 5,602,902 | 5,678,424 | |
Property, plant and equipment, net | 5,690,851 | 5,602,902 | |
Balance as of December | 5,690,851 | 5,602,902 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 95,728 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 8,166,652 | 7,758,870 | |
Additions | 488,578 | 468,912 | |
Disposals | (36,886) | (29,113) | |
Property, plant and equipment, net | 8,753,310 | 8,166,652 | |
Balance as of December | $ 8,753,310 | 8,166,652 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Gross carrying amount [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 95,728 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Land [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Term of lease | 10 years | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Land [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | $ 24,663 | 24,467 | |
Additions | 0 | 0 | |
Disposals | (80) | 0 | |
Property, plant and equipment, net | 24,905 | 24,663 | |
Balance as of December | $ 24,905 | 24,663 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Land [Member] | Gross carrying amount [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 0 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Buildings | Bottom of range [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Term of lease | 1 year | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Buildings | Top of range [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Term of lease | 14 years | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Machinery and equipment | Bottom of range [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Term of lease | 4 years | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Machinery and equipment | Top of range [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Term of lease | 14 years | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Machinery and equipment | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | $ 4,694,050 | 4,553,508 | |
Additions | 0 | 0 | |
Disposals | (30,482) | (19,426) | |
Property, plant and equipment, net | 4,854,613 | 4,694,050 | |
Balance as of December | 4,854,613 | 4,694,050 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Machinery and equipment | Gross carrying amount [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 0 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Vehicles [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 23,251 | 20,557 | |
Additions | 0 | 0 | |
Disposals | (32) | (32) | |
Property, plant and equipment, net | 26,365 | 23,251 | |
Balance as of December | 26,365 | 23,251 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Vehicles [Member] | Gross carrying amount [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 0 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Fixtures and fittings [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 949 | 949 | |
Additions | 0 | 0 | |
Disposals | 0 | 0 | |
Property, plant and equipment, net | 949 | 949 | |
Balance as of December | 949 | 949 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Fixtures and fittings [Member] | Gross carrying amount [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 0 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Construction in Progress [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 185,928 | 149,661 | |
Additions | 271,364 | 288,861 | |
Disposals | 0 | 0 | |
Property, plant and equipment, net | 158,068 | 185,928 | |
Balance as of December | 158,068 | 185,928 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Construction in Progress [Member] | Gross carrying amount [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 0 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Mine Maintenance Truck Shop [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 78,200 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Haul Trucks [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 47,100 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Stators For Ball Mills [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 18,300 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Tailing Drain Expansion [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 15,200 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Concentrator Optimization Project [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 12,300 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Regrowth Of Leach Pad [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 10,900 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Staged Flotation Reactor Engineering Project [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 6,200 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Stripping activity asset [Member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Opening balance | 655,709 | 478,382 | |
Additions | 197,038 | 177,327 | |
Disposals | 0 | 0 | |
Property, plant and equipment, net | 852,747 | 655,709 | |
Balance as of December | 852,747 | 655,709 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | Stripping activity asset [Member] | Gross carrying amount [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 0 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Right-of-use assets [member] | Gross carrying amount [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | 1,342 | ||
Disposals | (929) | ||
Property, plant and equipment, net | 95,441 | ||
Balance as of December | 95,441 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Right-of-use assets [member] | Gross carrying amount [Member] | IFRS 16 [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | $ 95,728 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | Right-of-use assets [member] | Accumulated depreciation, amortisation and impairment [member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Additions | (11,488) | ||
Disposals | 903 | ||
Property, plant and equipment, net | (10,585) | ||
Balance as of December | $ (10,585) |
Mining concessions, developme_4
Mining concessions, development costs, right-of-use assets, property, plant and equipment, net - Estimates prices for the current and long-term periods (Details) | Dec. 31, 2019$ / t$ / oz |
Less than one year [member] | Gold per ounce [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Commodity price estimates | $ / oz | 1,500 |
Less than one year [member] | Silver [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Commodity price estimates | $ / oz | 17 |
Less than one year [member] | Copper [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Commodity price estimates | 6,000 |
Less than one year [member] | Lead [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Commodity price estimates | 1,950 |
Less than one year [member] | Zinc [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Commodity price estimates | 2,250 |
Between 1 and 2 years [member] | Gold per ounce [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Commodity price estimates | $ / oz | 1,500 |
Between 1 and 2 years [member] | Silver [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Commodity price estimates | $ / oz | 18.40 |
Between 1 and 2 years [member] | Copper [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Commodity price estimates | 6,600 |
Between 1 and 2 years [member] | Lead [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Commodity price estimates | 2,100 |
Between 1 and 2 years [member] | Zinc [Member] | |
Mining concessions, development costs, property, plant and equipment, net | |
Commodity price estimates | 2,300 |
Mining concessions, developme_5
Mining concessions, development costs, right-of-use assets, property, plant and equipment, net - Net assets for right in use (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($)T | Dec. 31, 2017USD ($) | |
Mining concessions, development costs, property, plant and equipment, net | |||
After-tax discount rate applied to the pre-tax cash flows | 4.88 | ||
Pre-tax discount rate applied to the pre-tax cash flows | 6.92% | ||
Book Value Of Assets Under Finance Lease | $ 313,300 | $ 337,300 | |
Acquisition Of Assets Under Lease | 0 | 0 | |
Capitalized finance costs | 0 | $ 0 | |
Right-of-use assets | 6,185 | ||
Additions to right-of-use assets | 3,700 | ||
Disposal of right of use assets | 10,900 | ||
Stripping activity asset of ore | T | 5.50 | ||
Stripping activity asset of waste | T | 9.20 | ||
Write-off of stripping activity asset | 0 | $ 0 | $ 13,573 |
Buildings | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Right-of-use assets | 4,602 | ||
Transportation units | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Right-of-use assets | 1,112 | ||
Machinery and equipment | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Right-of-use assets | $ 471 | ||
El Brocal [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
After-tax discount rate applied to the pre-tax cash flows | 7.02 | ||
Pre-tax discount rate applied to the pre-tax cash flows | 9.95% | ||
Goodwill | $ 34,000 | ||
Mining activities [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Reversal of impairment loss | 11,800 | ||
Mining activities [Member] | Breapampa [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Reversal of impairment loss | 7,400 | ||
Mining activities [Member] | Recuperada [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Reversal of impairment loss | 7,100 | ||
Mining activities [Member] | Shila Paula [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Reversal of impairment loss | 2,700 | ||
La Zanja mining unit [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
After-tax discount rate applied to the pre-tax cash flows | 5.15 | ||
Pre-tax discount rate applied to the pre-tax cash flows | 7.31% | ||
Reversal of impairment loss recognised in profit or loss, property, plant and equipment | 5,700 | $ 21,600 | |
Shila-Paula mining unit [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Reversal of impairment loss recognised in profit or loss, property, plant and equipment | $ 2,800 | ||
Impairment Of Long Lived Asset [Member] | La Zanja mining unit [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Provisions | $ 0 | ||
Impairment Of Long Lived Asset [Member] | Julcani Mining Unit [Member] | |||
Mining concessions, development costs, property, plant and equipment, net | |||
Provisions | $ 2,100 |
Mining concessions, developme_6
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net - Net cost (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Property, plant and equipments,net [Line Items] | |||
Opening balance | $ 1,847,615 | $ 1,949,555 | |
Balance as of December | 1,754,372 | 1,847,615 | $ 1,949,555 |
IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Balance as of December | 6,185 | ||
Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 840,454 | 855,881 | |
Balance as of December | 1,038,294 | 840,454 | 855,881 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 5,602,902 | 5,678,424 | |
Balance as of December | 5,690,851 | 5,602,902 | 5,678,424 |
Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 95,728 | ||
Gross carrying amount [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 3,727,403 | 3,596,342 | |
Additions | 133,070 | 172,509 | |
Sales and disposals | (48,153) | (9,725) | |
Sales | 45,772 | 9,908 | |
Balance as of December | 3,781,326 | 3,727,403 | 3,596,342 |
Gross carrying amount [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Balance as of December | 18,528 | ||
Gross carrying amount [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 4,309,213 | 4,240,611 | |
Additions | 344,415 | 144,911 | |
Sales and disposals | (85,069) | (73,878) | |
Transfer/Other changes | (1,372) | (2,431) | |
Balance as of December | 4,567,187 | 4,309,213 | 4,240,611 |
Gross carrying amount [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 8,166,652 | 7,758,870 | |
Additions | 488,578 | 468,912 | |
Adjustments and reclassifications | 39,238 | (32,017) | |
Sales and disposals | (36,886) | (29,113) | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | 8,753,310 | 8,166,652 | 7,758,870 |
Gross carrying amount [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 95,728 | ||
Gross carrying amount [Member] | Land [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 21,761 | 22,690 | |
Additions | 630 | 783 | |
Sales and disposals | (462) | ||
Sales | (135) | ||
Balance as of December | 17,517 | 21,761 | 22,690 |
Gross carrying amount [Member] | Land [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 9,459 | 9,459 | |
Additions | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 7,594 | 0 | |
Balance as of December | 17,053 | 9,459 | 9,459 |
Gross carrying amount [Member] | Land [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 24,663 | 24,467 | |
Additions | 0 | 0 | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | (80) | 0 | |
Transfer/Other changes | 322 | 196 | |
Balance as of December | 24,905 | 24,663 | 24,467 |
Gross carrying amount [Member] | Land [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Gross carrying amount [Member] | Land improvements [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 36,454 | 36,454 | |
Additions | 0 | 0 | |
Sales and disposals | (7,472) | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | 28,982 | 36,454 | 36,454 |
Gross carrying amount [Member] | Buildings and constructions [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 298,328 | 297,798 | |
Additions | 0 | 0 | |
Sales and disposals | (26,556) | 0 | |
Transfer/Other changes | (218) | 530 | |
Balance as of December | 271,554 | 298,328 | 297,798 |
Gross carrying amount [Member] | Buildings and constructions [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 2,449,577 | 2,370,042 | |
Additions | 0 | 0 | |
Adjustments and reclassifications | 544 | 41,089 | |
Sales and disposals | (4,769) | (9,644) | |
Transfer/Other changes | 102,772 | 48,090 | |
Balance as of December | 2,548,124 | 2,449,577 | 2,370,042 |
Gross carrying amount [Member] | Buildings and constructions [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Gross carrying amount [Member] | Machinery and equipment | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 958,466 | 929,023 | |
Additions | 12 | ||
Sales and disposals | (30,235) | (182) | |
Sales | (38,322) | 9,205 | |
Balance as of December | 912,704 | 958,466 | 929,023 |
Gross carrying amount [Member] | Machinery and equipment | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 244,560 | 286,865 | |
Additions | 0 | 0 | |
Sales and disposals | (46,286) | (72,442) | |
Transfer/Other changes | 18,598 | 30,137 | |
Balance as of December | 216,872 | 244,560 | 286,865 |
Gross carrying amount [Member] | Machinery and equipment | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 4,694,050 | 4,553,508 | |
Additions | 0 | 0 | |
Adjustments and reclassifications | (544) | (41,089) | |
Sales and disposals | (30,482) | (19,426) | |
Transfer/Other changes | 191,589 | 201,057 | |
Balance as of December | 4,854,613 | 4,694,050 | 4,553,508 |
Gross carrying amount [Member] | Machinery and equipment | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Gross carrying amount [Member] | Leach pads [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 1,723,270 | 1,722,786 | |
Additions | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 93,956 | 484 | |
Balance as of December | 1,817,226 | 1,723,270 | 1,722,786 |
Gross carrying amount [Member] | Vehicles [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 10,885 | 9,946 | |
Additions | 33 | 42 | |
Sales and disposals | (540) | (138) | |
Sales | (1,856) | 510 | |
Balance as of December | 8,892 | 10,885 | 9,946 |
Gross carrying amount [Member] | Vehicles [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 9,921 | 11,024 | |
Additions | 0 | 0 | |
Sales and disposals | (1,043) | (1,171) | |
Transfer/Other changes | 524 | 68 | |
Balance as of December | 9,402 | 9,921 | 11,024 |
Gross carrying amount [Member] | Vehicles [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 23,251 | 20,557 | |
Additions | 0 | 0 | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | (32) | (32) | |
Transfer/Other changes | 3,146 | 2,726 | |
Balance as of December | 26,365 | 23,251 | 20,557 |
Gross carrying amount [Member] | Vehicles [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Gross carrying amount [Member] | Fixtures and fittings [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 13,306 | 13,902 | |
Additions | 2 | ||
Sales and disposals | (1,310) | ||
Sales | (1) | 193 | |
Balance as of December | 12,010 | 13,306 | 13,902 |
Gross carrying amount [Member] | Fixtures and fittings [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 2,556 | 2,556 | |
Additions | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | 2,556 | 2,556 | 2,556 |
Gross carrying amount [Member] | Fixtures and fittings [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 949 | 949 | |
Additions | 0 | 0 | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | 949 | 949 | 949 |
Gross carrying amount [Member] | Fixtures and fittings [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Gross carrying amount [Member] | Other property, plant and equipment [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 58,924 | 57,773 | |
Additions | 0 | 0 | |
Sales and disposals | (3,712) | (265) | |
Transfer/Other changes | 4,050 | 1,416 | |
Balance as of December | 59,262 | 58,924 | 57,773 |
Gross carrying amount [Member] | Other property, plant and equipment [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 25,491 | 24,977 | |
Additions | 0 | 0 | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | (594) | (11) | |
Transfer/Other changes | 203 | 525 | |
Balance as of December | 25,100 | 25,491 | 24,977 |
Gross carrying amount [Member] | Other property, plant and equipment [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Gross carrying amount [Member] | Construction in Progress [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 56,662 | 101,122 | |
Additions | 44,319 | 67,096 | |
Sales and disposals | (1,168) | (3,450) | |
Sales | (78) | ||
Balance as of December | 50,365 | 56,662 | 101,122 |
Gross carrying amount [Member] | Construction in Progress [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 444,688 | 400,410 | |
Additions | 184,403 | 117,636 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | (192,392) | (73,358) | |
Balance as of December | 436,699 | 444,688 | 400,410 |
Gross carrying amount [Member] | Construction in Progress [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 185,928 | 149,661 | |
Additions | 271,364 | 288,861 | |
Adjustments and reclassifications | (1,192) | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | (298,032) | (252,594) | |
Balance as of December | 158,068 | 185,928 | 149,661 |
Gross carrying amount [Member] | Construction in Progress [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Gross carrying amount [Member] | Mining property [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 37,521 | 37,521 | |
Additions | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | 37,521 | 37,521 | 37,521 |
Gross carrying amount [Member] | Right-of-use assets [member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 3,721 | ||
Sales and disposals | (10,897) | ||
Balance as of December | 11,352 | ||
Gross carrying amount [Member] | Right-of-use assets [member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Balance as of December | 18,528 | ||
Gross carrying amount [Member] | Right-of-use assets [member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 1,045 | ||
Sales and disposals | 0 | ||
Transfer/Other changes | 0 | ||
Balance as of December | 1,045 | ||
Gross carrying amount [Member] | Right-of-use assets [member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 1,342 | ||
Adjustments and reclassifications | (700) | ||
Sales and disposals | (929) | ||
Balance as of December | 95,441 | ||
Gross carrying amount [Member] | Right-of-use assets [member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 95,728 | ||
Gross carrying amount [Member] | Asset retirement and mine closure cost asset [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 534,398 | 507,123 | |
Additions | 158,967 | 27,275 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | 693,365 | 534,398 | 507,123 |
Gross carrying amount [Member] | Stripping activity asset [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 141,726 | 130,447 | |
Additions | 11,545 | 11,279 | |
Balance as of December | 154,090 | 141,726 | 130,447 |
Gross carrying amount [Member] | Stripping activity asset [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 148,487 | 148,487 | |
Additions | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 3,007 | 0 | |
Balance as of December | 151,494 | 148,487 | 148,487 |
Gross carrying amount [Member] | Stripping activity asset [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 655,709 | 478,382 | |
Additions | 197,038 | 177,327 | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | 852,747 | 655,709 | 478,382 |
Gross carrying amount [Member] | Stripping activity asset [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Gross carrying amount [Member] | Mine developments [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 760,647 | 722,355 | |
Additions | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 63,509 | 38,292 | |
Balance as of December | 824,156 | 760,647 | 722,355 |
Gross carrying amount [Member] | Asset retirement costs [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | 107,034 | 136,327 | |
Additions | 18,834 | 2,724 | |
Adjustments and reclassifications | 41,130 | (32,017) | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | 166,998 | 107,034 | 136,327 |
Gross carrying amount [Member] | Asset retirement costs [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Accumulated amortisation [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (3,468,759) | (3,384,730) | |
Additions | (141,815) | (152,027) | |
Sales and disposals | 81,681 | 67,998 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (3,528,893) | (3,468,759) | (3,384,730) |
Accumulated amortisation [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (2,563,750) | (2,080,446) | |
Additions | (534,047) | (511,344) | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | 35,338 | 28,040 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (3,062,459) | (2,563,750) | (2,080,446) |
Accumulated amortisation [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Accumulated amortisation [Member] | Land improvements [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (35,583) | (35,143) | |
Additions | (101) | (440) | |
Sales and disposals | 7,369 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (28,315) | (35,583) | (35,143) |
Accumulated amortisation [Member] | Buildings and constructions [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (247,979) | (240,348) | |
Additions | (5,702) | (7,631) | |
Sales and disposals | 26,579 | 0 | |
Transfer/Other changes | (973) | 0 | |
Balance as of December | (226,129) | (247,979) | (240,348) |
Accumulated amortisation [Member] | Buildings and constructions [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (321,920) | (229,627) | |
Additions | (76,199) | (96,623) | |
Adjustments and reclassifications | 513 | 5,184 | |
Sales and disposals | 4,722 | 9,514 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (393,910) | (321,920) | (229,627) |
Accumulated amortisation [Member] | Buildings and constructions [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Accumulated amortisation [Member] | Machinery and equipment | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (204,255) | (249,975) | |
Additions | (21,780) | (20,887) | |
Sales and disposals | 42,978 | 66,607 | |
Transfer/Other changes | 973 | 0 | |
Balance as of December | (184,030) | (204,255) | (249,975) |
Accumulated amortisation [Member] | Machinery and equipment | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (1,786,326) | ||
Additions | (284,097) | (292,656) | (1,517,337) |
Adjustments and reclassifications | (513) | (5,184) | |
Sales and disposals | 29,091 | 18,483 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (2,040,819) | (1,786,326) | |
Accumulated amortisation [Member] | Machinery and equipment | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Accumulated amortisation [Member] | Leach pads [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (1,656,002) | (1,621,266) | |
Additions | (38,286) | (34,736) | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (1,694,288) | (1,656,002) | (1,621,266) |
Accumulated amortisation [Member] | Vehicles [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (9,855) | (11,024) | |
Additions | (16) | (2) | |
Sales and disposals | 1,043 | 1,171 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (8,828) | (9,855) | (11,024) |
Accumulated amortisation [Member] | Vehicles [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (13,972) | (12,221) | |
Additions | (1,928) | (1,784) | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | 28 | 33 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (15,872) | (13,972) | (12,221) |
Accumulated amortisation [Member] | Vehicles [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Accumulated amortisation [Member] | Fixtures and fittings [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (2,556) | (2,556) | |
Additions | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (2,556) | (2,556) | (2,556) |
Accumulated amortisation [Member] | Fixtures and fittings [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (858) | (834) | |
Additions | (23) | (24) | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (881) | (858) | (834) |
Accumulated amortisation [Member] | Fixtures and fittings [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Accumulated amortisation [Member] | Other property, plant and equipment [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (56,522) | (55,914) | |
Additions | (1,326) | (828) | |
Sales and disposals | 3,712 | 220 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (54,136) | (56,522) | (55,914) |
Accumulated amortisation [Member] | Other property, plant and equipment [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (18,796) | (16,400) | |
Additions | (1,543) | (2,406) | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | 594 | 10 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (19,745) | (18,796) | (16,400) |
Accumulated amortisation [Member] | Other property, plant and equipment [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Accumulated amortisation [Member] | Mining property [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (29,457) | (29,457) | |
Additions | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (29,457) | (29,457) | (29,457) |
Accumulated amortisation [Member] | Right-of-use assets [member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | (461) | ||
Sales and disposals | 0 | ||
Transfer/Other changes | 0 | ||
Balance as of December | (461) | ||
Accumulated amortisation [Member] | Asset retirement and mine closure cost asset [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (424,008) | (356,345) | |
Additions | (54,818) | (67,663) | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (478,826) | (424,008) | (356,345) |
Accumulated amortisation [Member] | Stripping activity asset [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (146,058) | (143,252) | |
Additions | (1,667) | (2,806) | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (147,725) | (146,058) | (143,252) |
Accumulated amortisation [Member] | Stripping activity asset [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (398,202) | (285,327) | |
Additions | (155,530) | (112,875) | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (553,732) | (398,202) | (285,327) |
Accumulated amortisation [Member] | Stripping activity asset [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | 0 | ||
Accumulated amortisation [Member] | Mine developments [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (656,484) | (639,450) | |
Additions | (17,658) | (17,034) | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | (674,142) | (656,484) | (639,450) |
Accumulated amortisation [Member] | Asset retirement costs [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Opening balance | (23,676) | (18,700) | |
Additions | (3,239) | (4,976) | |
Adjustments and reclassifications | 0 | 0 | |
Sales and disposals | 0 | 0 | |
Transfer/Other changes | 0 | 0 | |
Balance as of December | $ (26,915) | (23,676) | $ (18,700) |
Accumulated amortisation [Member] | Asset retirement costs [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | IFRS 16 [Member] | |||
Property, plant and equipments,net [Line Items] | |||
Additions | $ 0 |
Mining concessions, developme_7
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net - Carrying amounts of right-of-use assets recognized (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Addition | $ 3,700 |
Ending Balance | 6,185 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Opening Balance | 95,728 |
Ending Balance | 84,856 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Gross carrying amount [Member] | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Opening Balance | 95,728 |
Addition | 1,342 |
Adjustments | (700) |
Agreements modification | (929) |
Ending Balance | 95,441 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Gross carrying amount [Member] | Land [Member] | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Opening Balance | 11,008 |
Adjustments | (700) |
Agreements modification | (457) |
Ending Balance | 9,851 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Gross carrying amount [Member] | Buildings | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Opening Balance | 55,114 |
Addition | 1,192 |
Agreements modification | (370) |
Ending Balance | 55,936 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Gross carrying amount [Member] | Machinery and equipment | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Opening Balance | 29,606 |
Addition | 150 |
Agreements modification | (102) |
Ending Balance | 29,654 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Accumulated depreciation, amortisation and impairment [member] | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Addition | 11,488 |
Agreements modification | (903) |
Ending Balance | (10,585) |
Sociedad Minera Cerro Verde S.A.A. [Member] | Accumulated depreciation, amortisation and impairment [member] | Land [Member] | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Addition | 1,712 |
Agreements modification | (457) |
Ending Balance | (1,255) |
Sociedad Minera Cerro Verde S.A.A. [Member] | Accumulated depreciation, amortisation and impairment [member] | Buildings | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Addition | 6,613 |
Agreements modification | (344) |
Ending Balance | (6,269) |
Sociedad Minera Cerro Verde S.A.A. [Member] | Accumulated depreciation, amortisation and impairment [member] | Machinery and equipment | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Addition | 3,163 |
Agreements modification | (102) |
Ending Balance | $ (3,061) |
Mining concessions, developme_8
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net - Estimate future revenues (Details) - Minera Yanacocha SRL and subsidiary [Member] | 12 Months Ended |
Dec. 31, 2019$ / oz$ / £ | |
Gold per ounce [Member] | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Commodity Price Estimate , Current | $ / oz | 1,481 |
Commodity Price Estimate , Long Term | $ / oz | 1,300 |
Copper [Member] | |
Disclosure of Mining concessions, development costs, property, plant and equipment, net [Line Items] | |
Commodity Price Estimate , Current | $ / £ | 3 |
Commodity Price Estimate , Long Term | $ / £ | 3 |
Mining concessions, developme_9
Mining concessions, development costs, right-of-use asset, property, plant and equipment, net - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, plant and equipments,net [Line Items] | ||||
Impairment loss | $ 2,083 | $ 5,693 | $ 21,620 | |
Discount rate used in current estimate of fair value | 7.10% | |||
Yanacocha mine [Member] | ||||
Property, plant and equipments,net [Line Items] | ||||
Impairment loss | $ 1,342,000 |
Other assets, net (Details)
Other assets, net (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Other Assets [Line Items] | ||
Opening balance | $ 25,261 | $ 22,761 |
Transfers | 0 | |
Disposals | 0 | |
Closing balance | 26,675 | 25,261 |
Gross carrying amount [Member] | ||
Other Assets [Line Items] | ||
Opening balance | 34,183 | 30,349 |
Additions | 3,700 | 8,529 |
Transfers | (4,695) | |
Disposals | (92) | |
Closing balance | 37,791 | 34,183 |
Accumulated amortisation [Member] | ||
Other Assets [Line Items] | ||
Opening balance | (8,922) | (7,588) |
Additions | (2,306) | (1,334) |
Transfers | 0 | |
Disposals | 112 | |
Closing balance | (11,116) | (8,922) |
Patents And Industrial Property [Member] | Gross carrying amount [Member] | ||
Other Assets [Line Items] | ||
Opening balance | 11,723 | 13,680 |
Additions | 2,139 | 2,642 |
Transfers | (4,599) | |
Disposals | 0 | |
Closing balance | 13,862 | 11,723 |
Rights-of-use of lands right of way [member] | Gross carrying amount [Member] | ||
Other Assets [Line Items] | ||
Opening balance | 12,292 | 7,853 |
Additions | 1,319 | 4,439 |
Transfers | 0 | |
Disposals | 0 | |
Closing balance | 13,611 | 12,292 |
Rights-of-use of lands right of way [member] | Accumulated amortisation [Member] | ||
Other Assets [Line Items] | ||
Opening balance | (5,948) | (5,210) |
Additions | (1,486) | (738) |
Transfers | 0 | |
Disposals | 0 | |
Closing balance | (7,434) | (5,948) |
Software licenses [member] | Gross carrying amount [Member] | ||
Other Assets [Line Items] | ||
Opening balance | 10,168 | 8,816 |
Additions | 242 | 1,448 |
Transfers | (96) | |
Disposals | (92) | |
Closing balance | 10,318 | 10,168 |
Software licenses [member] | Accumulated amortisation [Member] | ||
Other Assets [Line Items] | ||
Opening balance | (2,974) | (2,378) |
Additions | (820) | (596) |
Transfers | 0 | |
Disposals | 112 | |
Closing balance | $ (3,682) | $ (2,974) |
Bank loans (Details)
Bank loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Bank loans | |||
Beginning balance | $ 95,000 | $ 96,215 | $ 55,000 |
New loans | 55,000 | 95,000 | 341,215 |
Disbursements | (95,000) | (95,000) | (300,000) |
Sale of subsidiary | 0 | (1,215) | 0 |
Final balance | $ 55,000 | $ 95,000 | $ 96,215 |
Bank loans - Additional informa
Bank loans - Additional information (Details) | Dec. 31, 2019 | Dec. 31, 2018 |
Bottom of range [member] | ||
Disclosure Of Bank Loans [Line Items] | ||
Borrowings, interest rate | 2.00% | 2.00% |
Top of range [member] | ||
Disclosure Of Bank Loans [Line Items] | ||
Borrowings, interest rate | 2.95% | 3.13% |
Trade and other payables (Detai
Trade and other payables (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Trade payables | ||
Trade payables | $ 131,307 | $ 155,034 |
Other payables | ||
Other accounts payable | 35,553 | 33,689 |
Classification by maturity: | ||
Trade and other current payables | 166,244 | 188,084 |
Trade and other non-current payables | 616 | 639 |
Trade and other payables. | 166,860 | 188,723 |
Minera Yanacocha SRL and subsidiary [Member] | ||
Trade payables | ||
Trade payables | 57,097 | 59,693 |
Other payables | ||
Other accounts payable | 19,387 | 23,771 |
Classification by maturity: | ||
Trade and other current payables | 76,484 | 83,464 |
Sociedad Minera Cerro Verde S.A.A. [Member] | ||
Trade payables | ||
Accounts payable | 224,920 | 231,136 |
Other payables | ||
Other accounts payable | 99,380 | 101,254 |
Classification by maturity: | ||
Trade and other payables. | 461,844 | 316,324 |
Domestic suppliers [Member] | ||
Trade payables | ||
Trade payables | 131,278 | 154,998 |
Domestic suppliers [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||
Trade payables | ||
Trade payables | 45,671 | 48,847 |
Related entities [Member] | ||
Trade payables | ||
Trade payables | 29 | 36 |
Other payables | ||
Other payables | 51 | 20 |
Related entities [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||
Trade payables | ||
Trade payables | 11,426 | 10,846 |
Taxes payable [Member] | ||
Other payables | ||
Other payables | 12,043 | 9,102 |
Other Taxes Payable [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||
Other payables | ||
Other payables | 5,326 | 728 |
Remuneration and similar benefits payable [Member] | ||
Other payables | ||
Other payables | 11,522 | 10,531 |
Remuneration and similar benefits payable [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||
Other payables | ||
Other accounts payable | 11,365 | 22,907 |
Interest Payable [Member] | ||
Other payables | ||
Other payables | 5,318 | 7,464 |
Royalties payable to the Peruvian State [Member] | ||
Other payables | ||
Other payables | 2,132 | 2,171 |
Royalties payable to the Peruvian State [Member] | Minera Yanacocha SRL and subsidiary [Member] | ||
Other payables | ||
Other payables | 2,696 | 136 |
Dividends payable [Member] | ||
Other payables | ||
Other payables | 604 | 663 |
Other liability [Member] | ||
Other payables | ||
Other payables | 3,883 | 3,738 |
Financial payables [Member] | ||
Classification by maturity: | ||
Trade and other payables. | 152,686 | 177,450 |
Non financial payables [Member] | ||
Classification by maturity: | ||
Trade and other payables. | $ 14,174 | $ 11,273 |
Trade and other payables - Move
Trade and other payables - Movement of dividends payable (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Trade and other payables | |||
Beginning balance | $ 663 | $ 730 | $ 1,018 |
Declared dividends to controlling shareholders, note 17(d) | 22,098 | 22,860 | 22,099 |
Dividends paid to controlling shareholders | (22,098) | (22,860) | (22,099) |
Declared dividends to non-controlling shareholders | 6,500 | 5,560 | 6,036 |
Dividends paid to non-controlling shareholders | (6,500) | (5,560) | (6,036) |
Expired dividends | (53) | (44) | (327) |
Other minor | (6) | (23) | 39 |
Final balance | $ 604 | $ 663 | $ 730 |
Other accounts payable (Details
Other accounts payable (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | |
Current | |||
Total current | $ 35,553 | $ 33,689 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Current | |||
Mining royalties, interests and penalties 2006-Sept. 2011 (a) | [1] | 95,120 | 97,263 |
Other | 4,260 | 3,991 | |
Total current | 99,380 | 101,254 | |
Non-current | |||
Mining royalties, interests and penalties 2009-Sept. 2011 (b) | [2] | 362,464 | 215,070 |
Total other accounts payable | $ 461,844 | $ 316,324 | |
[1] | December 31, 2019 December 31, 2018US$(000)US$(000)CurrentRoyalties and mining taxes (a) 95,120 97,263Other 4,260 3,991Total current 99,380 101,254Non-currentRoyalties and mining taxes (b) 362,464 215,070Total other accounts payable 461,844 316,324As of December 31, 2019, represents the current portion of the monthly payments of the installment programs for disputed mining royalties for the year 2013 and special mining tax for the period October 2011 through December 2013, for which payments will start in the first quarter of 2020 (US$50.1 million, including interest, deferred interest and penalties of US$29.1 million) and the remaining monthly payments of the installment programs for disputed mining royalties for the period January 2009 through September 2011 and for the year 2012 (US$45.0 million, including interest and penalties of US$26.5 million) (see Note 13(d)).As of December 31, 2018, represents the current portion of the monthly payments of the new installment programs approved by SUNAT which the Company will start paying in second-quarter 2019, related to disputed mining royalties for the period January 2009 through September 2011 of US$23.8 million and interest, deferral interest and penalties of US$41.4 million. The current amount also includes the remaining monthly payments of the installment program approved by SUNAT related to disputed mining royalties for the years 2006 to 2008 of US$13.2 million and interest and penalties of US$18.9 million. | ||
[2] | As of December 31, 2019, represents the non-current portion of the monthly payments of the installment programs of disputed mining royalties for the period January 2009 through September 2011 and for the years 2012 and 2013 (US$273.8 million, including interest and penalties of US$157.5 million) and special mining tax for the period October 2011 through December 2013 (US$88.7 million (see Note 13(d)).As of December 31, 2018, represents the non-current portion of the monthly payments of the new installment programs related to disputed mining royalties for the period January 2009 through September 2011 of US$85.5 million and interest and penalties of US$129.6 million. |
Other accounts payable - Additi
Other accounts payable - Additional information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of other accounts payable [Line Items] | ||
Current portion of monthly payments of disputed mining royalties and special mining tax | $ 50.1 | |
Current portion of monthly payments of interest and penalties of disputed mining royalties and special mining tax | 29.1 | |
Current portion of monthly payments of disputed mining royalties | 45 | |
Current portion of monthly payments of interest and penalties of disputed mining royalties | 26.5 | |
Non-current portion of monthly payments of disputed mining royalties | 273.8 | $ 85.5 |
Non-current portion of monthly payments of special mining tax | 88.7 | |
Non-current portion of monthly payments of interest and penalties of disputed mining royalties | $ 157.5 | 129.6 |
SUNAT | ||
Disclosure of other accounts payable [Line Items] | ||
Current portion of monthly payments of disputed mining royalties | 23.8 | |
Current portion of monthly payments of interest and penalties of disputed mining royalties | 41.4 | |
Current portion of remaining monthly payments of disputed mining royalties | 13.2 | |
Current portion of remaining monthly payments of interest and penalties of disputed mining royalties | $ 18.9 |
Other Financial Liabilities (_3
Other Financial Liabilities (debt) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Current debt: | |||
Lease liabilities (a) | $ 3,692 | ||
Non-current debt: | |||
Lease liabilities (a) | 3,811 | ||
Less : Debt issuance cost | (3,124) | $ (4,126) | |
Total non-current financial liabilities | 305,996 | 540,896 | |
Sociedad Minera El Brocal S.A.A. [Member] | |||
Current debt: | |||
Lease liabilities (a) | 8,855 | ||
Non-current debt: | |||
Senior unsecured credit facility (a) | 830,000 | 1,030,000 | |
Lease liabilities (a) | 76,944 | ||
Less : Debt issuance cost | (4,124) | (7,190) | |
Total non-current financial liabilities | 902,820 | 1,022,810 | |
Total other financial liabilities | $ 911,675 | $ 1,022,810 | $ 1,268,488 |
Other Financial Liabilities (_4
Other Financial Liabilities (debt) - Movement of the changes derived from the financing activities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Cash flows from (used in) financing activities | $ (100,618) | $ (74,052) | $ 59,575 |
Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Other financial liabilities | 1,022,810 | 1,268,488 | |
Additions | 550 | 0 | |
Payments | (210,479) | (250,000) | |
Others change in other financial liabilities | 3,066 | 4,322 | |
Other financial liabilities | 911,675 | 1,022,810 | 1,268,488 |
IFRS 16 [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Cash flows from (used in) financing activities | (7,596) | ||
IFRS 16 [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Other financial liabilities | 95,728 | ||
Leases, Current [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Other financial liabilities | 0 | 0 | |
Additions | 464 | 0 | |
Payments | (10,479) | 0 | |
Others change in other financial liabilities | 10,751 | 0 | |
Other financial liabilities | 8,855 | 0 | 0 |
Leases, Current [Member] | IFRS 16 [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Other financial liabilities | 8,119 | ||
Noncurrent, Leases [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Other financial liabilities | 0 | 0 | |
Additions | 86 | 0 | |
Payments | 0 | 0 | |
Others change in other financial liabilities | (10,751) | 0 | |
Other financial liabilities | 76,944 | 0 | 0 |
Noncurrent, Leases [Member] | IFRS 16 [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Other financial liabilities | 87,609 | ||
Senior unsecured credit facility [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Other financial liabilities | 1,030,000 | 1,280,000 | |
Additions | 0 | 0 | |
Payments | (200,000) | (250,000) | |
Others change in other financial liabilities | 0 | 0 | |
Other financial liabilities | 830,000 | 1,030,000 | 1,280,000 |
Senior unsecured credit facility [Member] | IFRS 16 [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Other financial liabilities | 0 | ||
Debt issuance cost [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Other financial liabilities | 7,190 | 11,512 | |
Additions | 0 | 0 | |
Payments | 0 | 0 | |
Others change in other financial liabilities | 3,066 | 4,322 | |
Other financial liabilities | 4,124 | $ 7,190 | $ 11,512 |
Debt issuance cost [Member] | IFRS 16 [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||
Other financial liabilities | $ 0 |
Other Financial Liabilities (_5
Other Financial Liabilities (debt) - Lease liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2017 | |
Disclosure Of Other Financial Liabilities debt [Line Items] | ||
Interest expense on lease liabilities, see Note 18 | $ 5,242 | $ 0 |
Balance at end of the year | 7,503 | |
Depreciation charge of right-of-use assets, see Note 15 | 11,488 | |
Expense relating to variable lease payments, low-value and short-term leases, see Note 15 | 7,069 | |
Amounts recognized in profit or los | 23,799 | |
Sociedad Minera El Brocal S.A.A. [Member] | ||
Disclosure Of Other Financial Liabilities debt [Line Items] | ||
Balance at beginning of the year | 95,728 | |
Additions | 550 | |
Interest expense on lease liabilities, see Note 18 | 5,242 | |
Payments | (10,479) | |
Balance at end of the year | $ 85,799 |
Other Financial Liabilities (_6
Other Financial Liabilities (debt) - Additional information (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Jun. 30, 2017 | Mar. 31, 2014 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Other Financial Liabilities debt [Line Items] | |||||
Description of amortization of credit facility | The credit facility calls for amortization in four installments, with 15% of the total facility due on December 31, 2020 (fully repaid as of December 31, 2019), 15% due on June 30, 2021 (fully repaid as of December 31, 2019), 35% due on December 31, 2021 (US$305 million after the March 2019 repayment) and 35% due on June 19, 2022 (US$525 million). | ||||
Repayments of borrowings, classified as financing activities | $ 95,000 | $ 95,000 | $ 300,000 | ||
Write off debt issuance costs | 1,300 | 1,900 | $ 2,000 | ||
Senior unsecured credit facility [Member] | |||||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||||
Borrowings | $ 1,500,000 | ||||
Repayments of borrowings, classified as financing activities | $ 670,000 | $ 470,000 | |||
Increased in Credit Facility | $ 225,000 | ||||
Citi bank [Member] | Senior unsecured credit facility [Member] | |||||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||||
Notional amount | $ 1,800,000 | ||||
Term of credit facility | 5 years | ||||
Sociedad Minera El Brocal S.A.A. [Member] | |||||
Disclosure Of Other Financial Liabilities debt [Line Items] | |||||
Borrowings, interest rate basis | Interest on the credit facility is based on the London Interbank Offered Rate (LIBOR) plus a spread (currently 1.9%) based on the Company´s total net debt to earnings before interest, taxes, depreciation and amortization (EBITDA) ratio, as defined in the agreement. |
Provisions, contingent liabil_3
Provisions, contingent liabilities and other liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | $ 267,934 | |
Changes (additions and deductions) | 58,102 | |
Accretion expense | 10,656 | |
Disbursements | (42,185) | |
Balance at end of the year | 294,507 | $ 267,934 |
Closure Of Mining Units And Exploration Projects [Member] | ||
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | 225,877 | |
Changes (additions and deductions) | 32,654 | |
Accretion expense | 10,656 | |
Disbursements | (16,882) | (25,830) |
Balance at end of the year | 252,305 | 225,877 |
Classification by maturity [Abstract] | ||
Current portion | 35,280 | 30,524 |
Non-current portion | 217,025 | 195,353 |
Bonus To Employees And Officers [Member] | ||
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | 18,620 | |
Changes (additions and deductions) | 15,855 | |
Accretion expense | 0 | |
Disbursements | (15,249) | |
Balance at end of the year | 19,226 | 18,620 |
Environmental Liabilities [Member] | ||
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | 3,768 | |
Changes (additions and deductions) | 3,944 | |
Accretion expense | 0 | |
Disbursements | (1,407) | |
Balance at end of the year | 6,305 | 3,768 |
Safety Contingencies [Member] | ||
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | 4,877 | |
Changes (additions and deductions) | 1,270 | |
Accretion expense | 0 | |
Disbursements | (942) | |
Balance at end of the year | 5,205 | 4,877 |
Labor Contingencies [Member] | ||
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | 4,042 | |
Changes (additions and deductions) | (258) | |
Accretion expense | 0 | |
Disbursements | (7) | |
Balance at end of the year | 3,777 | 4,042 |
Obligations With Communities [Member] | ||
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | 5,878 | |
Changes (additions and deductions) | 1,306 | |
Accretion expense | 0 | |
Disbursements | (3,675) | |
Balance at end of the year | 3,509 | 5,878 |
Board of Directors' participation [Member] | ||
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | 2,108 | |
Changes (additions and deductions) | 1,736 | |
Accretion expense | 0 | |
Disbursements | (2,250) | |
Balance at end of the year | 1,594 | 2,108 |
Environmental Contingencies [Member] | ||
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | 234 | |
Changes (additions and deductions) | 1,343 | |
Accretion expense | 0 | |
Disbursements | (77) | |
Balance at end of the year | 1,500 | 234 |
Workers' Profit Sharing Payable [Member] | ||
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | 1,772 | |
Changes (additions and deductions) | (7) | |
Accretion expense | 0 | |
Disbursements | (1,696) | |
Balance at end of the year | 69 | 1,772 |
Other Provisions | ||
Disclosure of provisions [Line Items] | ||
Balance at beginning of the year | 758 | |
Changes (additions and deductions) | 259 | |
Accretion expense | 0 | |
Disbursements | 0 | |
Balance at end of the year | $ 1,017 | $ 758 |
Provisions, contingent liabil_4
Provisions, contingent liabilities and other liabilities - Provision classification (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Classification by maturity [Abstract] | |||||
Current provisions | $ 72,771 | $ 68,172 | |||
Non-current Portion | 221,736 | 199,762 | |||
Provision for remediation and mine closure [Member] | |||||
Non-current provisions [abstract] | |||||
Other non-current provisions | 195,900 | 131,888 | $ 156,859 | $ 153,313 | |
Minera Yanacocha SRL and subsidiary [Member] | |||||
Provisions and contingent liabilities | |||||
Provision for closure of mining units and exploration projects | 1,608,380 | 1,294,464 | 1,234,731 | $ 1,012,888 | |
Provision for social responsibility | 18,326 | 18,010 | $ 21,689 | $ 24,335 | |
Accrual of operating costs | 11,238 | 11,442 | |||
Workers' profit sharing payable | 12,793 | 3,920 | |||
Provisions for Accruals Of Capital Expenditures | 8,139 | 3,682 | |||
Other provisions | 2,484 | 2,785 | |||
Provisions | 1,629,190 | 1,315,259 | |||
Other accruals and liabilities | 49,606 | 19,044 | |||
Provisions, Other Accruals And Liabilities | 1,678,796 | 1,334,303 | |||
Provisions for Accruals Of Capital Expenditures | 8,139 | 3,682 | |||
Classification by maturity [Abstract] | |||||
Current provisions | 90,940 | 41,154 | |||
Provisions | 1,629,190 | 1,315,259 | |||
Sociedad Minera Cerro Verde Saa [Member] | |||||
Current provisions [abstract] | |||||
Other current provisions | 35,863 | 15,357 | |||
Non-current provisions [abstract] | |||||
Other non-current provisions | 278,419 | 342,331 | |||
Sociedad Minera Cerro Verde Saa [Member] | Services and freight not invoiced | |||||
Current provisions [abstract] | |||||
Other current provisions | 27,945 | 11,823 | |||
Sociedad Minera Cerro Verde Saa [Member] | Provision for social commitments [Member] | |||||
Current provisions [abstract] | |||||
Other current provisions | 7,677 | 1,815 | |||
Non-current provisions [abstract] | |||||
Other non-current provisions | 3,046 | 8,111 | |||
Sociedad Minera Cerro Verde Saa [Member] | Provision for remediation and mine closure [Member] | |||||
Current provisions [abstract] | |||||
Other current provisions | 241 | ||||
Non-current provisions [abstract] | |||||
Other non-current provisions | 195,659 | 131,888 | |||
Sociedad Minera Cerro Verde Saa [Member] | Provision for legal contingencies [member] | |||||
Current provisions [abstract] | |||||
Other current provisions | 0 | 1,719 | |||
Non-current provisions [abstract] | |||||
Other non-current provisions | 4,800 | ||||
Sociedad Minera Cerro Verde Saa [Member] | Miscellaneous other provisions [member] | |||||
Classification by maturity [Abstract] | |||||
Non-current Portion | 12,117 | 11,033 | |||
Sociedad Minera Cerro Verde Saa [Member] | Provision for royalties and mining tax [Member] | |||||
Non-current provisions [abstract] | |||||
Other non-current provisions | $ 62,797 | $ 191,299 |
Provisions, contingent liabil_5
Provisions, contingent liabilities and other liabilities - Movement of the provision for closure of mining units (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2015 | |
Provisions and contingent liabilities | |||||||
Disbursements | $ (42,185) | ||||||
Closure Of Mining Units And Exploration Projects [Member] | |||||||
Provisions and contingent liabilities | |||||||
Beginning balance | 225,877 | $ 200,183 | |||||
Changes (additions and deductions) in estimates, Continuing mining units, note 11(a) | 26,722 | 42,874 | |||||
Changes (additions and deductions) in estimates, Discontinued mining units, note 1(e) | 1,912 | 6,013 | |||||
Changes (additions and deductions) in estimates, Exploration projects, note 26(a) | 4,020 | (2,433) | |||||
Accretion expense, Continuing mining units, note 27(a) | 10,266 | 4,911 | |||||
Accretion expense, Discontinued mining units, note 1(e) | 124 | 71 | |||||
Accretion expense, Exploration projects, note 26(a) | 266 | 88 | |||||
Disbursements | (16,882) | (25,830) | |||||
Final balance | 252,305 | 225,877 | $ 200,183 | ||||
Classification by maturity | |||||||
Current portion | $ 35,280 | $ 30,524 | |||||
Non-current portion | 217,025 | 195,353 | |||||
Provision for closure of mining units and exploration projects | 252,305 | 225,877 | 200,183 | 252,305 | 225,877 | $ 200,183 | |
Minera Yanacocha SRL and subsidiary [Member] | |||||||
Provisions and contingent liabilities | |||||||
Beginning balance | 1,294,464 | 1,234,731 | |||||
Additional provisions | 301,096 | 43,560 | 221,450 | ||||
Payments | (23,889) | (19,842) | (21,376) | ||||
Unwinding of discount, note 19 | 36,709 | 36,015 | 21,769 | ||||
Final balance | 1,608,380 | 1,294,464 | 1,234,731 | ||||
Classification by maturity | |||||||
Current portion | 39,156 | 19,325 | 19,455 | ||||
Non-current portion | 1,569,224 | 1,275,139 | 1,215,276 | ||||
Provision for closure of mining units and exploration projects | $ 1,608,380 | $ 1,294,464 | $ 1,234,731 | $ 1,608,380 | $ 1,294,464 | $ 1,234,731 | $ 1,012,888 |
Provisions, contingent liabil_6
Provisions, contingent liabilities and other liabilities - Provision for remediation and mine closure (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Provisions and contingent liabilities | |||
Changes in estimates, Note 7 | $ 41,100 | ||
Provision for remediation and mine closure [Member] | |||
Provisions and contingent liabilities | |||
Beginning balance | 131,888 | $ 156,859 | $ 153,313 |
Accretion expense | 4,048 | 4,322 | 4,595 |
Changes in estimates, Note 7 | 41,130 | (32,017) | (3,710) |
Additions, Note 7 | 18,834 | 2,724 | 2,661 |
Final balance | $ 195,900 | $ 131,888 | $ 156,859 |
Provisions and contingent liabi
Provisions and contingent liabilities - Movement of provision - Caption - Minera (Details) - Minera Yanacocha SRL and subsidiary [Member] - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Provisions [abstract] | |||||
Provision for closure of mining units and exploration projects | $ 1,608,380 | $ 1,294,464 | $ 1,234,731 | $ 1,012,888 | |
Provision for social responsibility | 18,326 | 18,010 | $ 21,689 | $ 24,335 | |
Other provisions | 2,484 | 2,785 | |||
Provisions | 1,629,190 | 1,315,259 | |||
Other Accruals And Liabilities [Abstract] | |||||
Interests payable, see note 24 | 16,840 | ||||
Workers' profit sharing payable | 12,793 | 3,920 | |||
Accrual of operating costs | 11,238 | 11,442 | |||
Provisions for Accruals Of Capital Expenditures | 8,139 | 3,682 | |||
Right of use liability | 596 | ||||
Other accruals and liabilities | 49,606 | 19,044 | |||
Provisions, Other Accruals And Liabilities | 1,678,796 | 1,334,303 | |||
Classification by maturity [Abstract] | |||||
Current portion | 90,940 | 41,154 | |||
Non-current portion | 1,587,856 | 1,293,149 | |||
Provisions, other accruals and liabilities | $ 1,678,796 | $ 1,334,303 |
Provisions and contingent lia_2
Provisions and contingent liabilities - Movement of the provision for social responsibility (Details) - Minera Yanacocha SRL and subsidiary [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Provisions and contingent liabilities | |||
Opening balance | $ 18,010 | $ 21,689 | $ 24,335 |
Additional provisions | 888 | ||
Payments | (572) | (3,679) | (2,646) |
Ending balance | 18,326 | 18,010 | 21,689 |
Classification by maturity [Abstract] | |||
Current portion | 761 | 8,351 | |
Non-current portion | 17,565 | 9,659 | 21,689 |
Ending balance | $ 18,326 | $ 18,010 | $ 21,689 |
Provisions, contingent liabil_7
Provisions, contingent liabilities and other liabilities - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Provisions and contingent liabilities | |||||
Current provisions | $ 72,771 | $ 68,172 | |||
Provision for closure of mining units and exploration projects at future value | 296,200 | $ 280,300 | |||
Period Used To Reflect Time Value Of Money For Provisions | 23 years | ||||
Letter of credit | $ 121,400 | $ 119,700 | |||
Annual risk free rate | 2.28% | ||||
Increase (decrease) through transfers and other changes, other provisions | $ 41,100 | ||||
Bottom of range [member] | |||||
Provisions and contingent liabilities | |||||
Discount rate used to reflect time value of money for provisions | 1.79% | 1.98% | |||
Period Used To Reflect Time Value Of Money For Provisions | 1 year | 1 year | |||
Top of range [member] | |||||
Provisions and contingent liabilities | |||||
Discount rate used to reflect time value of money for provisions | 3.12% | 4.74% | |||
Period Used To Reflect Time Value Of Money For Provisions | 22 years | ||||
Provision for remediation and mine closure [Member] | |||||
Provisions and contingent liabilities | |||||
Other non-current provisions | $ 195,900 | $ 131,888 | $ 156,859 | $ 153,313 | |
Future value of non current provisions | 374,400 | $ 374,400 | $ 374,400 | ||
Annual risk free rate | 2.99% | 2.73% | |||
Increase (decrease) through transfers and other changes, other provisions | 41,130 | $ (32,017) | $ (3,710) | ||
Provision for royalties and mining tax [Member] | |||||
Provisions and contingent liabilities | |||||
Interest and penalties associated with disputed mining royalties | 70,000 | ||||
Interest and penalties associated with income tax related to disputed mining royalties | 42,100 | 41,100 | |||
Interest and penalties associated with ITAN | 6,700 | 9,800 | |||
Interest and penalties associated with SRF | 1,900 | ||||
Interest and penalties associated with special mining tax | 50,800 | ||||
Net asset tax included in provisions | 12,100 | 19,600 | |||
La Joya [Member] | Irrigation Project [Member] | Provision for social commitments [Member] | |||||
Provisions and contingent liabilities | |||||
Other provisions | 4,400 | ||||
Alata-Congata Road [Member] | Repaving Project [Member] | Provision for social commitments [Member] | |||||
Provisions and contingent liabilities | |||||
Other provisions | 6,300 | ||||
Minera Yanacocha SRL and subsidiary [Member] | |||||
Provisions and contingent liabilities | |||||
Current provisions | 90,940 | 41,154 | |||
Provision for closure of mining units and exploration projects | 1,608,380 | 1,294,464 | 1,234,731 | $ 1,012,888 | |
Other provisions | 2,484 | 2,785 | |||
Non-current provisions | 1,587,856 | 1,293,149 | |||
Increase in reclamation liability | 301,000 | 44,000 | 206,000 | ||
Increase in recorded asset retirement cost | 159,000 | 27,200 | 97,000 | ||
Non-cash charge to reclamation expense | $ 142,000 | $ 16,300 | $ 124,100 | ||
Minera Yanacocha SRL and subsidiary [Member] | Bottom of range [member] | |||||
Provisions and contingent liabilities | |||||
Discount rates used in the calculation of the provision | 0.20% | 0.20% | 0.20% | ||
Minera Yanacocha SRL and subsidiary [Member] | Top of range [member] | |||||
Provisions and contingent liabilities | |||||
Discount rates used in the calculation of the provision | 0.30% | 0.30% | 0.30% | ||
Sociedad Minera Cerro Verde Saa [Member] | |||||
Provisions and contingent liabilities | |||||
Other non-current provisions | $ 278,419 | $ 342,331 | |||
Sociedad Minera Cerro Verde Saa [Member] | Provision for social commitments [Member] | |||||
Provisions and contingent liabilities | |||||
Other non-current provisions | 3,046 | 8,111 | |||
Sociedad Minera Cerro Verde Saa [Member] | Provision for remediation and mine closure [Member] | |||||
Provisions and contingent liabilities | |||||
Other non-current provisions | 195,659 | 131,888 | |||
Sociedad Minera Cerro Verde Saa [Member] | Provision for royalties and mining tax [Member] | |||||
Provisions and contingent liabilities | |||||
Other non-current provisions | 62,797 | $ 191,299 | |||
Sociedad Minera Cerro Verde Saa [Member] | Ministry of Energy and Mines [Member] | |||||
Provisions and contingent liabilities | |||||
Letter of credit | 51,000 | ||||
INGEMMET | |||||
Provisions and contingent liabilities | |||||
Fines and penalties | 6,800 | ||||
INGEMMET | Sociedad Minera Cerro Verde Saa [Member] | Services and freight not invoiced | |||||
Provisions and contingent liabilities | |||||
Current provisions | 20,900 | ||||
Fines and penalties | $ 7,000 |
Debt instruments (Details)
Debt instruments (Details) - USD ($) $ in Thousands | Jun. 14, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Debt Instrument Held [LineItems] | |||||
Number of shares issued | 350,056,012 | ||||
Equity | $ 2,968,200 | $ 3,029,565 | $ 3,063,627 | $ 3,047,213 | |
Minera Yanacocha SRL and subsidiary [Member] | |||||
Debt Instrument Held [LineItems] | |||||
Number of shares issued | 63,922,565 | ||||
Equity | $ 6,216 | 489,712 | 583,723 | $ 659,115 | $ 885,724 |
Unwinding of discount of debt instruments | 1,497 | 735 | |||
Subsidiary Sale Of Stock Value | 47,911 | ||||
Escrow Deposits | 48,617 | 48,127 | |||
Fair Value of Subsidiary Sale of Stock | $ 41,695 | ||||
Subsidiary Sale of Stock Outstanding Amount | $ 43,927 | $ 42,430 | |||
Sumitomo [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Debt Instrument Held [LineItems] | |||||
Proportion of ownership interest in subsidiary | 5.00% | ||||
Newmont [Member] | |||||
Debt Instrument Held [LineItems] | |||||
Proportion of ownership interest in subsidiary | 51.35% | ||||
Buenaventura [Member] | |||||
Debt Instrument Held [LineItems] | |||||
Proportion of ownership interest in subsidiary | 43.65% |
Financial obligations (Details)
Financial obligations (Details) - USD ($) | Dec. 31, 2019 | Oct. 29, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jun. 27, 2016 | Jun. 30, 2014 | Dec. 02, 2009 |
Disclosure of Financial obligations [Line Items] | |||||||||
Financial liabilities | $ 571,688,000 | $ 587,062,000 | $ 633,083,000 | $ 592,342,000 | |||||
Classification by maturity: | |||||||||
Current portion | 265,692,000 | 46,166,000 | |||||||
Non-current portion (f) | 305,996,000 | 540,896,000 | |||||||
Financial Liabilities | 571,688,000 | 587,062,000 | $ 633,083,000 | $ 592,342,000 | |||||
Finance Lease Liabilities IAS17 | $ 241,653,000 | ||||||||
Sociedad Minera El Brocal S.A.A. [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | 161,185,000 | ||||||||
Financial liabilities | 161,185,000 | 168,514,000 | |||||||
Classification by maturity: | |||||||||
Financial Liabilities | 161,185,000 | 168,514,000 | |||||||
Finance Lease Liabilities IAS17 | 93,514,000 | ||||||||
Compaa de Minas Buenaventura S.A.A. [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | 275,000,000 | 275,000,000 | $ 275,000,000 | ||||||
Debt issuance costs | 2,504,000 | 3,618,000 | |||||||
Borrowings | 272,496,000 | 271,382,000 | |||||||
BBVA Banco Continental S.A. [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | 61,667,000 | 61,667,000 | |||||||
BBVA Banco Continental S.A. [Member] | Contacto Corredores de Seguros S.A. [Member] | |||||||||
Classification by maturity: | |||||||||
Finance Lease Liabilities IAS17 | 7,503,000 | ||||||||
CorpBanca New York Branch [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | 61,666,000 | 61,666,000 | |||||||
Banco Internacional del Peru [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | 30,000,000 | 30,000,000 | |||||||
Banco Internacional del Peru [Member] | Empresa de Generacion Huanza S.A. [Member] | |||||||||
Classification by maturity: | |||||||||
Finance Lease Liabilities IAS17 | 130,504,000 | 147,166,000 | |||||||
ICBC Peru Bank [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | 25,000,000 | 25,000,000 | |||||||
Banco Latinoamericano de Comercio Exterior S.A. [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | 20,000,000 | 20,000,000 | |||||||
Banco de Sabadell, Miami Branch [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | 15,000,000 | 15,000,000 | |||||||
Banco De Credito Del Peru - New Financial Obligation [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | $ 161,893,850 | ||||||||
Banco De Credito Del Peru - New Financial Obligation [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | 161,894,000 | ||||||||
Debt issuance costs | 709,000 | ||||||||
Banco de Credito del Peru [member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Notional amount | $ 61,667,000 | 61,667,000 | $ 103,373,000 | $ 119,000,000 | |||||
Banco de Credito del Peru [member] | Sociedad Minera El Brocal S.A.A. [Member] | |||||||||
Disclosure of Financial obligations [Line Items] | |||||||||
Debt issuance costs | 976,000 | ||||||||
Classification by maturity: | |||||||||
Finance Lease Liabilities IAS17 | 94,490,000 | ||||||||
Mid-term financial obligation [Member] | Sociedad Minera El Brocal S.A.A. [Member] | |||||||||
Classification by maturity: | |||||||||
Finance Lease Liabilities IAS17 | $ 75,000,000 |
Financial obligations - Long-te
Financial obligations - Long-term portion of the financial obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of Financial obligations [Line Items] | ||
Gross non current financial liabilities | $ 309,120 | $ 545,022 |
Debt issuance costs | 3,124 | 4,126 |
Non-current financial liabilities | 305,996 | 540,896 |
Between 1 and 2 years [member] | ||
Disclosure of Financial obligations [Line Items] | ||
Gross non current financial liabilities | 133,091 | 278,397 |
Later than one year and not later than five years [member] | ||
Disclosure of Financial obligations [Line Items] | ||
Gross non current financial liabilities | 127,463 | $ 266,625 |
More than 5 years | ||
Disclosure of Financial obligations [Line Items] | ||
Gross non current financial liabilities | $ 48,566 |
Financial obligations - Total f
Financial obligations - Total financial obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financial obligations | |||
Beginning balance | $ 587,062 | $ 633,083 | $ 592,342 |
New obligations | 161,894 | 0 | 80,000 |
Increase through new leases, liabilities arising from financing activities | 19,885 | 0 | 0 |
Payments of financial obligations | (186,152) | (45,222) | (32,599) |
Short-term lease payments | (7,596) | 0 | 0 |
Increase of debt issuance costs | (728) | 0 | (480) |
Movement of lease obligations | (4,786) | 0 | 0 |
Accrual of debt issuance costs in results, note 27(a) | 2,109 | 1,024 | 909 |
Exchange difference | 0 | 384 | (165) |
Increase in interest for debt restructuring | 0 | (2,207) | 0 |
Accrual of debt issuance costs capitalized | 0 | 0 | 272 |
Sale of asset under lease agreement | 0 | 0 | (7,196) |
Final balance | $ 571,688 | $ 587,062 | $ 633,083 |
Financial obligations - Lease l
Financial obligations - Lease liabilities related to right in use (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019USD ($)item | Jan. 01, 2019USD ($) | Dec. 31, 2018USD ($) | |
Disclosure of Financial obligations [Line Items] | |||
Lease liabilities | $ 7,503 | $ 261,538 | |
Current lease liabilities | 3,692 | ||
Non-current lease liabilities | $ 3,811 | ||
Lease term | 10 years | ||
Number of renewal options | item | 2 | ||
Lease renewal term | 5 years | ||
Future minimum rentals payable | $ 5,167 | $ 7,330 | |
Less than one year [member] | |||
Disclosure of Financial obligations [Line Items] | |||
Future minimum rentals payable | 1,470 | 1,543 | |
Later than one year and not later than five years [member] | |||
Disclosure of Financial obligations [Line Items] | |||
Future minimum rentals payable | 3,697 | $ 5,787 | |
Buildings | |||
Disclosure of Financial obligations [Line Items] | |||
Lease liabilities | 5,296 | ||
Transportation units | |||
Disclosure of Financial obligations [Line Items] | |||
Lease liabilities | 1,429 | ||
Machinery and equipment | |||
Disclosure of Financial obligations [Line Items] | |||
Lease liabilities | $ 778 |
Financial obligations - Additio
Financial obligations - Additional information (Details) | Oct. 29, 2019USD ($) | Mar. 28, 2018USD ($) | Jun. 27, 2016USD ($) | Jun. 30, 2014USD ($) | Dec. 02, 2009USD ($) | Jun. 27, 2016USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Disclosure of Financial obligations [Line Items] | ||||||||||
Equity | $ 2,968,200,000 | $ 3,029,565,000 | $ 3,063,627,000 | $ 3,047,213,000 | ||||||
Bottom of range [member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Borrowings, interest rate | 2.00% | 2.00% | ||||||||
Top of range [member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Borrowings, interest rate | 2.95% | 3.13% | ||||||||
Compaa de Minas Buenaventura S.A.A. [Member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Notional amount | $ 275,000,000 | $ 275,000,000 | $ 275,000,000 | $ 275,000,000 | ||||||
Borrowings, interest rate basis | LIBOR of three months plus 2.15% | Three-month LIBOR plus 3% | ||||||||
Borrowings, adjustment to interest rate basis | 2.15% | 3.00% | 3.00% | |||||||
Borrowings, maturity | April 2022 | June 30, 2021 | ||||||||
Borrowings Modified Repayment Terms | five semi-annual installments | six semiannual installments | ||||||||
Borrowings Periodic Repayment Amount | $ 55,000,000 | $ 39,285,714 | $ 39,285,714 | |||||||
Final installment | $ 39,285,716 | |||||||||
Grace Period | 2 years | |||||||||
Compaa de Minas Buenaventura S.A.A. [Member] | Bottom of range [member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Debt service coverage ratio | 4 | |||||||||
Equity | $ 2,711,388,800 | $ 2,711,388,800 | ||||||||
Compaa de Minas Buenaventura S.A.A. [Member] | Top of range [member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Leverage ratio | 3 | |||||||||
Banco De Credito Del Peru - New Financial Obligation [Member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Notional amount | $ 161,893,850 | |||||||||
Banco De Credito Del Peru - New Financial Obligation [Member] | Bottom of range [member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Debt service coverage ratio | 1.3 | |||||||||
Banco De Credito Del Peru - New Financial Obligation [Member] | Top of range [member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Leverage ratio | 1 | |||||||||
Indebtedness ratio | 2.25 | |||||||||
Banco De Credito Del Peru - New Financial Obligation Maturing on October 2024 [Member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Notional amount | $ 113,325,695 | |||||||||
Borrowings, interest rate | 3.76% | |||||||||
Borrowings, maturity | October 2024 | |||||||||
Banco De Credito Del Peru - New Financial Obligation Maturing on October 2026 [Member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Notional amount | $ 48,568,155 | |||||||||
Borrowings, interest rate basis | Three-month LIBOR plus 2.39 percent | |||||||||
Borrowings, adjustment to interest rate basis | 2.39% | |||||||||
Borrowings, maturity | October 2026 | |||||||||
Banco de Credito del Peru [member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Notional amount | $ 103,373,000 | $ 119,000,000 | $ 61,667,000 | $ 61,667,000 | ||||||
Borrowings, interest rate basis | Three-month LIBOR plus 2.75 percent | Three-month LIBOR plus 2.75 percent | ||||||||
Borrowings, adjustment to interest rate basis | 2.75% | 2.75% | ||||||||
Borrowings, maturity | November 2020 | November 2020 | ||||||||
Borrowings Modified Repayment Terms | 26 quarterly variable installments | 26 quarterly variable installments | ||||||||
Borrowings Periodic Repayment Amount | $ 18,373,000 | |||||||||
Final installment | $ 68,905,000 | $ 44,191,000 | ||||||||
Banco de Credito del Peru [member] | Bottom of range [member] | ||||||||||
Disclosure of Financial obligations [Line Items] | ||||||||||
Debt service coverage ratio | 1.1 | |||||||||
Equity | $ 30,000,000 |
Shareholders' equity, net - Cap
Shareholders' equity, net - Capital stock (Details) S/ in Thousands, $ in Thousands | Dec. 31, 2019PEN (S/)shares | Dec. 31, 2019USD ($)shares | Dec. 31, 2018USD ($) |
Disclosure of Shareholders' equity, net [Line Items] | |||
Number of shares | (350,056,012) | (350,056,012) | |
Capital stock | $ | $ (750,497) | $ (750,497) | |
Ordinary shares [member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Number of shares | (274,889,924) | (274,889,924) | |
Capital stock | S/ (2,748,899) | $ (813,162) | |
Treasury shares [member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Number of shares | (21,174,734) | (21,174,734) | |
Capital stock | S/ (211,747) | $ (62,665) | |
Total Shares [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Number of shares | (253,715,190) | (253,715,190) | |
Capital stock | S/ (2,537,152) | $ (750,497) |
Shareholders' equity, net - Inv
Shareholders' equity, net - Investment shares (Details) S/ in Thousands, $ in Thousands | Dec. 31, 2019PEN (S/)shares | Dec. 31, 2019USD ($)shares | Dec. 31, 2018USD ($) |
Disclosure of Shareholders' equity, net [Line Items] | |||
Number of shares outstanding | 350,056,012 | 350,056,012 | |
Other equity interest | $ | $ 791 | $ 791 | |
Total investment shares [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Number of shares outstanding | 271,677 | 271,677 | |
Other equity interest | S/ 2,717 | $ 791 | |
Other reserves of equity [member] | investment shares [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Number of shares outstanding | 744,640 | 744,640 | |
Other equity interest | S/ 7,447 | $ 2,161 | |
Other reserves of equity [member] | Treasury investment shares [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Number of shares outstanding | 472,963 | 472,963 | |
Other equity interest | S/ (4,730) | $ (1,370) |
Shareholders' equity, net - Div
Shareholders' equity, net - Dividends declared and paid (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (28,598) | $ (28,420) | $ (28,135) |
Dividend 2019 [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | (22,098) | ||
Dividend 2019 [Member] | Annual General Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | (15,240) | ||
Dividend 2019 [Member] | Directors Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | (6,858) | ||
Dividends 2018 [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | (22,860) | ||
Dividends 2018 [Member] | Annual General Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | (7,621) | ||
Dividends 2018 [Member] | Directors Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | (15,239) | ||
Dividends 2017 [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | (22,099) | ||
Dividends 2017 [Member] | Annual General Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | (14,479) | ||
Dividends 2017 [Member] | Directors Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | (7,620) | ||
Ordinary shares [member] | Dividend 2019 [Member] | Annual General Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (16,538) | ||
Dividends paid, ordinary shares per share | $ 0.06 | ||
Ordinary shares [member] | Dividend 2019 [Member] | Directors Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (7,442) | ||
Dividends paid, ordinary shares per share | $ 0.03 | ||
Ordinary shares [member] | Dividends 2018 [Member] | Annual General Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (8,269) | ||
Dividends paid, ordinary shares per share | $ 0.030 | ||
Ordinary shares [member] | Dividends 2018 [Member] | Directors Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (16,538) | ||
Dividends paid, ordinary shares per share | $ 0.060 | ||
Ordinary shares [member] | Dividends 2017 [Member] | Annual General Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (15,711) | ||
Dividends paid, ordinary shares per share | $ 0.06 | ||
Ordinary shares [member] | Dividends 2017 [Member] | Directors Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (8,269) | ||
Dividends paid, ordinary shares per share | $ 0.03 | ||
Treasury shares [member] | Dividend 2019 [Member] | Annual General Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (1,298) | ||
Treasury shares [member] | Dividend 2019 [Member] | Directors Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (584) | ||
Treasury shares [member] | Dividends 2018 [Member] | Annual General Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (648) | ||
Treasury shares [member] | Dividends 2018 [Member] | Directors Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (1,299) | ||
Treasury shares [member] | Dividends 2017 [Member] | Annual General Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (1,232) | ||
Treasury shares [member] | Dividends 2017 [Member] | Directors Meeting [Member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Dividends declared and paid | $ (649) |
Shareholders' equity, net - Pro
Shareholders' equity, net - Profit (loss) per share (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Shareholders' equity, net [Line Items] | |||
Profit (loss) net (numerator) | $ (12,208,000) | $ (13,445,000) | $ 60,823,000 |
Profit (loss) net (numerator) | $ (17,945,000) | $ 154,000 | $ 74,779,000 |
Total common and investment shares (denominator) | 253,986,867 | 253,986,867 | 253,986,867 |
Profit (loss) net per basic share and diluted | $ (0.05) | $ (0.05) | $ 0.24 |
Profit (loss) net per basic share and diluted | $ (0.01) | $ (0.02) | $ 0.28 |
Continuing operations [member] | |||
Disclosure of Shareholders' equity, net [Line Items] | |||
Profit (loss) net (numerator) | $ (1,694,000,000) | $ (1,637,000,000) | $ 71,167,000,000 |
Total common and investment shares (denominator) | 253,986,867 | 253,986,867 | 253,986,867 |
Profit (loss) net per basic share and diluted | $ (0.01) | $ (0.02) | $ 0.28 |
Shareholders' equity, net - C_2
Shareholders' equity, net - Capital stock structure (Details) - Sociedad Minera Cerro Verde S.A.A. [Member] | 12 Months Ended |
Dec. 31, 2019shareholder | |
Disclosure of Shareholders' equity, net [Line Items] | |
Number of shareholders | 2,833 |
Percentage of equity interest | 100.00% |
Up to 1.00 [Member] | |
Disclosure of Shareholders' equity, net [Line Items] | |
Number of shareholders | 2,829 |
Percentage of equity interest | 4.38% |
From 1.01 to 20.00 [Member] | |
Disclosure of Shareholders' equity, net [Line Items] | |
Number of shareholders | 2 |
Percentage of equity interest | 21.06% |
From 20.01 to 30.00 [Member] | |
Disclosure of Shareholders' equity, net [Line Items] | |
Number of shareholders | 1 |
Percentage of equity interest | 21.00% |
From 30.01 to 60.00 [Member] | |
Disclosure of Shareholders' equity, net [Line Items] | |
Number of shareholders | 1 |
Percentage of equity interest | 53.56% |
Shareholders' equity, net - Par
Shareholders' equity, net - Partners' equity (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||||||
Jan. 02, 2018 | Dec. 21, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Feb. 19, 2019 | Jun. 14, 2018 | Feb. 19, 2018 | |
Disclosure Of Partners Equity Net LineItems [Line Items] | |||||||||
Applicable Dividend Distribution Tax Rate | 5.00% | ||||||||
Dividends recognised as distributions to owners | $ 28,598 | $ 28,420 | $ 28,135 | ||||||
Minera Yanacocha SRL and subsidiary [Member] | |||||||||
Disclosure Of Partners Equity Net LineItems [Line Items] | |||||||||
Number of shares issued and fully paid | 656,484,745 | 656,484,745 | |||||||
Applicable Dividend Distribution Tax Rate | 5.00% | 6.80% | |||||||
Subsidiary Sale Of Stock Shares Approved For Reduction | 63,922,565 | ||||||||
Subsidiary Sale Of Stock Shares Approved For Sale | 63,922,565 | ||||||||
Minera Yanacocha SRL and subsidiary [Member] | Treasury shares [member] | |||||||||
Disclosure Of Partners Equity Net LineItems [Line Items] | |||||||||
Number of shares purchased | 63,922,565 | ||||||||
Percentage of stock purchased | 5.00% | ||||||||
Payments to acquire or redeem entity's shares | $ 47,911 | ||||||||
Minera Yanacocha SRL and subsidiary [Member] | Ordinary shares [member] | |||||||||
Disclosure Of Partners Equity Net LineItems [Line Items] | |||||||||
Number of shares issued and fully paid | 1,214,528,739 | 1,214,528,739 | |||||||
Value of shares issued and fully paid | $ 398,216 | ||||||||
Subsidiary sale of stock value approved for reduction | $ 19,711 |
Shareholders' equity, net - Add
Shareholders' equity, net - Additional information (Details) | Apr. 30, 2019 | Mar. 29, 2019USD ($)$ / shares | Apr. 24, 2018 | Mar. 23, 2018USD ($)$ / shares | Jan. 15, 2017 | Feb. 16, 2016USD ($) | Jan. 02, 2018 | Dec. 31, 2019S/ / sharesshares | Dec. 31, 2019USD ($)shares | Dec. 31, 2018S/ / shares$ / shares | Dec. 31, 2018USD ($)$ / sharesshares | Dec. 31, 2017USD ($)shares | Dec. 31, 2016 | Dec. 31, 2019$ / sharesshares | Jun. 14, 2018shares | Dec. 31, 2009$ / shares | Jul. 11, 2003$ / shares |
Disclosure of Shareholders' equity, net [Line Items] | |||||||||||||||||
Trading frequency | 25.00% | 35.00% | |||||||||||||||
Par value per share | $ / shares | $ 2.83 | $ 0.54 | |||||||||||||||
Increase in legal reserves | $ | $ 53,000 | $ 44,000 | $ 327,000 | ||||||||||||||
Dividends declared to non controlling interest | $ | $ 6,500,000 | $ 5,560,000 | $ 6,036,000 | ||||||||||||||
Total number of common and investment shares outstanding | 253,986,867 | 253,986,867 | 253,986,867 | ||||||||||||||
Quoted price per equity share | $ / shares | $ 20.80 | $ 20.80 | $ 19.30 | ||||||||||||||
Number of shares outstanding | 350,056,012 | 350,056,012 | |||||||||||||||
Number of shares authorised | 350,056,012 | 350,056,012 | |||||||||||||||
Number of shares issued | 350,056,012 | 350,056,012 | |||||||||||||||
Dividend Declared | $ | $ 150,000,000 | $ 200,000,000 | |||||||||||||||
Dividend Declared Per Share | $ / shares | $ 0.428503 | $ 0.571337 | |||||||||||||||
Withholding Taxes Percentage | 4.10% | 4.10% | |||||||||||||||
Applicable Dividend Distribution Tax Rate | 5.00% | ||||||||||||||||
Bottom of range [member] | |||||||||||||||||
Disclosure of Shareholders' equity, net [Line Items] | |||||||||||||||||
Other capital reserve, Percentage | 10.00% | ||||||||||||||||
Top of range [member] | |||||||||||||||||
Disclosure of Shareholders' equity, net [Line Items] | |||||||||||||||||
Other capital reserve, Percentage | 20.00% | ||||||||||||||||
Changes in tax rates or tax laws enacted or announced [member] | |||||||||||||||||
Disclosure of Shareholders' equity, net [Line Items] | |||||||||||||||||
Withholding tax rate, Percent | 5.00% | ||||||||||||||||
Ordinary shares [member] | |||||||||||||||||
Disclosure of Shareholders' equity, net [Line Items] | |||||||||||||||||
Market price per share | S/ / shares | S/ 47.77 | $ 53.60 | |||||||||||||||
Par value per share | S/ / shares | S/ 10.00 | ||||||||||||||||
Number of shares outstanding | 274,889,924 | 274,889,924 | |||||||||||||||
investment shares [Member] | |||||||||||||||||
Disclosure of Shareholders' equity, net [Line Items] | |||||||||||||||||
Market price per share | S/ / shares | S/ 16.00 | $ 19.60 | |||||||||||||||
Par value per share | S/ / shares | S/ 10.00 | ||||||||||||||||
Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||
Disclosure of Shareholders' equity, net [Line Items] | |||||||||||||||||
Number of shares issued | 63,922,565 | ||||||||||||||||
Dividend Declared | $ | $ 300,000,000 | ||||||||||||||||
Applicable Dividend Distribution Tax Rate | 5.00% | 6.80% |
Subsidiaries with material no_3
Subsidiaries with material non-controlling interest (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accumulated balances of material non-controlling interest: | |||
Non-controlling interests | $ 196,678 | $ 221,237 | $ 215,590 |
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | (16,251) | 1,791 | 3,612 |
Sociedad Minera El Brocal S.A.A. [Member] | |||
Accumulated balances of material non-controlling interest: | |||
Non-controlling interests | 161,917 | 176,978 | |
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | (13,432) | 2,880 | 4,246 |
Minera La Zanja S.R.L. [Member] | |||
Accumulated balances of material non-controlling interest: | |||
Non-controlling interests | 33,026 | 42,295 | |
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | (9,090) | (6,346) | (6,006) |
S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | |||
Accumulated balances of material non-controlling interest: | |||
Non-controlling interests | 1,587 | 1,800 | |
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | 6,286 | 5,667 | 5,827 |
Apu Coropuna S.R.L. [Member] | |||
Accumulated balances of material non-controlling interest: | |||
Non-controlling interests | 148 | 164 | |
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | (14) | (410) | (454) |
Other minor subsidiaries [Member] | |||
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | (1) | $ 0 | (1) |
Country of domicile [member] | Sociedad Minera El Brocal S.A.A. [Member] | |||
Equity interest held by non-controlling interests: | |||
Proportion of ownership interests held by non-controlling interests | 38.57% | ||
Accumulated balances of material non-controlling interest: | |||
Non-controlling interests | 161,917 | $ 176,978 | 165,032 |
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | (13,432) | $ 2,880 | 4,246 |
Country of domicile [member] | Minera La Zanja S.R.L. [Member] | |||
Equity interest held by non-controlling interests: | |||
Proportion of ownership interests held by non-controlling interests | 46.94% | ||
Accumulated balances of material non-controlling interest: | |||
Non-controlling interests | 33,026 | $ 42,295 | 48,642 |
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | (9,090) | $ (6,346) | (6,006) |
Country of domicile [member] | S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | |||
Equity interest held by non-controlling interests: | |||
Proportion of ownership interests held by non-controlling interests | 40.00% | ||
Accumulated balances of material non-controlling interest: | |||
Non-controlling interests | 1,587 | $ 1,800 | 1,693 |
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | 6,286 | $ 5,667 | 5,827 |
Country of domicile [member] | Apu Coropuna S.R.L. [Member] | |||
Equity interest held by non-controlling interests: | |||
Proportion of ownership interests held by non-controlling interests | 30.00% | ||
Accumulated balances of material non-controlling interest: | |||
Non-controlling interests | 148 | $ 164 | 223 |
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | (14) | (410) | (454) |
Country of domicile [member] | Other minor subsidiaries [Member] | |||
Profit (loss) allocated to material non-controlling interest: | |||
Profit (loss), attributable to non-controlling interests | $ (1) | $ 0 | $ (1) |
Subsidiaries with material no_4
Subsidiaries with material non-controlling interest - Statements of financial position (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | ||||
Current assets | $ 648,619 | $ 761,134 | ||
Non-current assets | 3,458,655 | 3,456,087 | ||
Current liabilities | (565,357) | (399,182) | ||
Non-current liabilities | (573,717) | (788,474) | ||
Total shareholders' equity, net | 2,968,200 | 3,029,565 | $ 3,063,627 | $ 3,047,213 |
Shareholders of the parent | 2,771,522 | 2,808,328 | ||
Non-controlling interests | 196,678 | 221,237 | $ 215,590 | |
Sociedad Minera El Brocal S.A.A. [Member] | ||||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | ||||
Current assets | 149,945 | 170,274 | ||
Non-current assets | 576,028 | 603,280 | ||
Current liabilities | (118,965) | (123,052) | ||
Non-current liabilities | (210,904) | (217,683) | ||
Total shareholders' equity, net | 396,104 | 432,819 | ||
Shareholders of the parent | 234,187 | 255,841 | ||
Non-controlling interests | 161,917 | 176,978 | ||
Minera La Zanja S.R.L. [Member] | ||||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | ||||
Current assets | 112,420 | 126,878 | ||
Non-current assets | 26,038 | 31,841 | ||
Current liabilities | (20,170) | (25,834) | ||
Non-current liabilities | (47,930) | (42,781) | ||
Total shareholders' equity, net | 70,358 | 90,104 | ||
Shareholders of the parent | 37,332 | 47,809 | ||
Non-controlling interests | 33,026 | 42,295 | ||
S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | ||||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | ||||
Current assets | 6,252 | 7,154 | ||
Non-current assets | 0 | 0 | ||
Current liabilities | (2,286) | (2,653) | ||
Non-current liabilities | 0 | 0 | ||
Total shareholders' equity, net | 3,966 | 4,501 | ||
Shareholders of the parent | 2,379 | 2,701 | ||
Non-controlling interests | 1,587 | 1,800 | ||
Apu Coropuna S.R.L. [Member] | ||||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | ||||
Current assets | 2,141 | 2,263 | ||
Non-current assets | 185 | 182 | ||
Current liabilities | (1,094) | (1,165) | ||
Non-current liabilities | (740) | (739) | ||
Total shareholders' equity, net | 492 | 541 | ||
Shareholders of the parent | 344 | 377 | ||
Non-controlling interests | $ 148 | $ 164 |
Subsidiaries with material no_5
Subsidiaries with material non-controlling interest - Statements of profit or loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Revenues | $ 867,888 | $ 1,150,715 | $ 1,237,642 |
Net profit (loss) | (28,459) | (11,654) | 64,435 |
Attributable to non-controlling interests | (16,251) | 1,791 | 3,612 |
Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Revenues | 299,252 | 332,298 | 322,653 |
Net profit (loss) | (32,855) | 6,305 | 10,386 |
Attributable to non-controlling interests | (13,432) | 2,880 | 4,246 |
Minera La Zanja S.R.L. [Member] | |||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Revenues | 43,520 | 96,611 | 165,319 |
Net profit (loss) | (19,364) | (13,519) | (12,795) |
Attributable to non-controlling interests | (9,090) | (6,346) | (6,006) |
S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | |||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Revenues | 22,297 | 20,385 | 20,739 |
Net profit (loss) | 15,715 | 14,168 | 14,568 |
Attributable to non-controlling interests | 6,286 | 5,667 | 5,827 |
Apu Coropuna S.R.L. [Member] | |||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Revenues | 0 | 0 | 0 |
Net profit (loss) | (48) | (1,369) | (1,515) |
Attributable to non-controlling interests | (14) | (410) | (454) |
Other minor subsidiaries [Member] | |||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Revenues | 0 | 0 | 0 |
Net profit (loss) | (17) | 0 | 386 |
Attributable to non-controlling interests | $ (1) | $ 0 | $ (1) |
Subsidiaries with material no_6
Subsidiaries with material non-controlling interest - Statements of cash flow (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Operating activities | $ (47,065) | $ (346,260) | $ (212,582) |
Investing activities | (105,601) | (117,559) | (138,150) |
Financing activities | (100,618) | (74,052) | 59,575 |
Increase in cash and cash equivalents in the year | (159,154) | 154,649 | 134,007 |
Sociedad Minera El Brocal S.A.A. [Member] | |||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Operating activities | 1,545 | 74,985 | 60,525 |
Investing activities | (28,259) | (29,546) | (64,343) |
Financing activities | (405) | (29,974) | 18,096 |
Increase in cash and cash equivalents in the year | (27,119) | 15,465 | 14,278 |
Minera La Zanja S.R.L. [Member] | |||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Operating activities | (908) | 10,323 | 139,155 |
Investing activities | (1,629) | (13,160) | (17,326) |
Financing activities | (763) | 0 | (32,077) |
Increase in cash and cash equivalents in the year | (3,300) | (2,837) | 89,752 |
S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | |||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Operating activities | 16,040 | 14,066 | 15,093 |
Investing activities | 0 | 0 | 0 |
Financing activities | (16,250) | (13,900) | (15,090) |
Increase in cash and cash equivalents in the year | (210) | 166 | 3 |
Apu Coropuna S.R.L. [Member] | |||
Disclosure Of Subsidiaries with material non-controlling interest [Line Items] | |||
Operating activities | 0 | (572) | (185) |
Investing activities | 0 | 0 | 0 |
Financing activities | 1,032 | 0 | 1,477 |
Increase in cash and cash equivalents in the year | $ 1,032 | $ (572) | $ 1,292 |
Subsidiaries with material no_7
Subsidiaries with material non-controlling interest - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Subsidiaries with material non-controlling interest | |||
Payments from changes in ownership interests in subsidiaries that do not result in loss of control | $ 0 | $ 0 | $ 621 |
Increasedecrease in proportion of ownership interest in subsidiaries that result in dilution of non controlling interests | 0.09% |
Tax situation - Income tax prov
Tax situation - Income tax provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Income Tax Explanatory | |||
Current income tax expense | $ 11,911 | $ 16,882 | $ 23,713 |
Deferred income tax expense (benefit) | (37,501) | 9,997 | (5,825) |
Income tax expense (benefit) | 25,590 | (26,879) | (17,888) |
Minera Yanacocha SRL and subsidiary [Member] | |||
Disclosure Of Income Tax Explanatory | |||
Current Peruvian tax returns | 42,978 | 12,525 | 3,877 |
Royalties and mining taxes | 11,444 | 8,822 | 4,944 |
Other taxes | 993 | 121 | 211 |
Income tax prior year adjustments | 8,459 | 8,900 | (2,006) |
Fines from prior years, note 24 | 4,056 | 0 | 0 |
Income tax prior years refunds | (3,002) | 0 | 0 |
Current income tax expense | 64,928 | 30,368 | 7,026 |
Deferred income tax expense (benefit) | 0 | (1,071) | 0 |
Income tax expense (benefit) | $ 64,928 | $ 29,297 | $ 7,026 |
Tax situation - Reconciliation
Tax situation - Reconciliation of tax expense (Details) - USD ($) $ in Thousands | Jan. 01, 2019 | Jan. 01, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure Of Income Tax Explanatory | |||||
Income (loss) before income tax | $ (43,535) | $ 27,033 | $ 92,667 | ||
Peruvian statutory tax rate | 29.50% | 32.00% | 32.00% | ||
Income tax expense (income) | $ 25,766 | $ (22,462) | $ (12,796) | ||
Adjustment due to income tax rate applicable to la Quinua | 14,995 | (15,248) | 24,502 | ||
Total income tax expense (benefit) | 25,590 | (26,879) | (17,888) | ||
Minera Yanacocha SRL and subsidiary [Member] | |||||
Disclosure Of Income Tax Explanatory | |||||
Income (loss) before income tax | $ (30,329) | $ (52,220) | $ (168,428) | ||
Peruvian statutory tax rate | 29.00% | 29.50% | 29.50% | 29.50% | 29.50% |
Income tax expense (income) | $ (8,947) | $ (15,405) | $ (49,686) | ||
Valuation allowance on deferred tax asset | 46,473 | 23,771 | 50,960 | ||
Effect of change in income tax rate | (4,217) | 0 | 0 | ||
Mining taxes | 8,068 | 6,260 | 3,530 | ||
Non-deductible expenses | 13,045 | 6,962 | 4,204 | ||
Adjustment due to income tax rate applicable to la Quinua | (176) | (124) | |||
Income tax prior years refunds | 6,450 | 7,885 | (1,858) | ||
Fines from prior years, note 24 | 4,056 | 0 | 0 | ||
Total income tax expense (benefit) | $ 64,928 | $ 29,297 | $ 7,026 |
Tax situation - Summary of asse
Tax situation - Summary of assessments (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | $ 312,000 |
Tax Assesments, penalties and interest expenses | 668,941 |
Year 2003 - 2005 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 8,857 |
Tax Assesments, penalties and interest expenses | 48,053 |
Year 2006 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 10,990 |
Tax Assesments, penalties and interest expenses | 62,933 |
Year 2007 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 12,376 |
Tax Assesments, penalties and interest expenses | 30,221 |
Year 2008 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 20,797 |
Tax Assesments, penalties and interest expenses | 33,765 |
Year 2009 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 56,388 |
Tax Assesments, penalties and interest expenses | 107,607 |
Year 2010 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 62,581 |
Tax Assesments, penalties and interest expenses | 169,905 |
Year 2011 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 49,055 |
Tax Assesments, penalties and interest expenses | 114,244 |
Year 2012 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 51,981 |
Tax Assesments, penalties and interest expenses | 63,238 |
Year 2014 - 2017 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 38,975 |
Tax Assesments, penalties and interest expenses | 38,975 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 312,000 |
Tax Assesments, penalties and interest expenses | 356,941 |
Tax Assesments,estimated possible losses including penalties and interest expenses | 668,941 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2003 - 2005 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 8,857 |
Tax Assesments, penalties and interest expenses | 39,196 |
Tax Assesments,estimated possible losses including penalties and interest expenses | 48,053 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2006 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 10,990 |
Tax Assesments, penalties and interest expenses | 51,943 |
Tax Assesments,estimated possible losses including penalties and interest expenses | 62,933 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2007 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 12,376 |
Tax Assesments, penalties and interest expenses | 17,845 |
Tax Assesments,estimated possible losses including penalties and interest expenses | 30,221 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2008 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 20,797 |
Tax Assesments, penalties and interest expenses | 12,968 |
Tax Assesments,estimated possible losses including penalties and interest expenses | 33,765 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2009 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 56,388 |
Tax Assesments, penalties and interest expenses | 51,219 |
Tax Assesments,estimated possible losses including penalties and interest expenses | 107,607 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2010 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 62,581 |
Tax Assesments, penalties and interest expenses | 107,324 |
Tax Assesments,estimated possible losses including penalties and interest expenses | 169,905 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2011 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 49,055 |
Tax Assesments, penalties and interest expenses | 65,189 |
Tax Assesments,estimated possible losses including penalties and interest expenses | 114,244 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2012 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 51,981 |
Tax Assesments, penalties and interest expenses | 11,257 |
Tax Assesments,estimated possible losses including penalties and interest expenses | 63,238 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2014 - 2019 [Member] | |
Disclosure Of Income Tax Explanatory | |
Tax assesments, Estimated possible losses | 38,975 |
Tax Assesments, penalties and interest expenses | 0 |
Tax Assesments,estimated possible losses including penalties and interest expenses | $ 38,975 |
Tax situation - Effect of tempo
Tax situation - Effect of temporary differences (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred tax assets [Abstract] | |||
Deferred tax assets | $ 74,556 | $ 38,305 | |
Deferred tax liability [Abstract] | |||
Deferred Tax Liabilities, Net | 28,959 | 31,422 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 110,553 | 158,008 | $ 164,100 |
Deferred tax liability [Abstract] | |||
Deferred Tax Liabilities, Net | 476,084 | 383,605 | 328,215 |
Deferred tax liabilities before supplementary retirement fund | 365,531 | 225,597 | 164,115 |
Supplementary Retirement Fund [Abstract] | |||
Supplementary retirement fund, deferred liability | 4,258 | 2,651 | 1,890 |
Net deferred tax liabilities | 369,789 | 228,248 | 166,005 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Royalty Accrual Deferred Tax Assets [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 84,546 | 109,505 | 127,475 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Provision For Remediation And Mine Closure Deferred Tax Assets [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 17,309 | 15,131 | 12,083 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Price Adjustment Of Copper Concentrates And Cathode Deferred Tax Assets [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 10,742 | 6,050 | 0 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Unpaid Vacations Deferred Tax Assets [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 6,618 | 5,937 | 5,293 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Provision For Mining Taxes Deferred Tax Assets [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 3,737 | 4,120 | 8,742 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Sunat Assessments Deferred Tax Assets [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 0 | 4,055 | 4,077 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Cost Of Net Asset For Construction Of Tailing Dam Deferred Tax Assets [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 1,191 | 2,638 | 2,007 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Development Costs Deferred Tax Assets [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 72 | 122 | 183 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Leases Net Assets Deferred Tax Assets [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 2,454 | 0 | 0 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Other Provisions Deferred Tax Assets [Member] | |||
Deferred tax assets [Abstract] | |||
Deferred tax assets | 10,276 | 10,450 | 4,240 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Difference In Depreciation Method Deferred Tax Liabilities [Member] | |||
Deferred tax liability [Abstract] | |||
Deferred Tax Liabilities, Net | 429,466 | 337,642 | 261,434 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Stripping Activity Asset Deferred Tax Liabilities [Member] | |||
Deferred tax liability [Abstract] | |||
Deferred Tax Liabilities, Net | 33,660 | 27,464 | 22,014 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Difference In Valuation Of Inventories Deferred Tax Liabilities [Member] | |||
Deferred tax liability [Abstract] | |||
Deferred Tax Liabilities, Net | 14,885 | 16,605 | 16,264 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Debt Issuance Costs Deferred Tax Liabilities [Member] | |||
Deferred tax liability [Abstract] | |||
Deferred Tax Liabilities, Net | 2,860 | 0 | 0 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Lease liabilities Deferred Tax Liabilities [Member] | |||
Deferred tax liability [Abstract] | |||
Deferred Tax Liabilities, Net | 933 | 1,894 | 2,663 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Price Adjustment Of Copper Concentrates And Cathode Deferred Tax Liabilities [Member] | |||
Deferred tax liability [Abstract] | |||
Deferred Tax Liabilities, Net | $ 0 | $ 0 | $ 25,840 |
Tax situation - Effective incom
Tax situation - Effective income tax (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Income Tax Explanatory | |||
Profit before income tax | $ (43,535) | $ 27,033 | $ 92,667 |
Income tax rate | 29.50% | 32.00% | 32.00% |
Expected income tax expense | $ 25,766 | $ (22,462) | $ (12,796) |
Others | (9,958) | (3,466) | (16,549) |
Tax expense (income), continuing operations | 25,590 | (26,879) | (17,888) |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Disclosure Of Income Tax Explanatory | |||
Profit before income tax | $ 688,451 | $ 444,880 | $ 835,924 |
Income tax rate | 32.00% | 32.00% | 32.00% |
Expected income tax expense | $ 220,304 | $ 142,362 | $ 267,496 |
Non - deductible expenses | 28,181 | 25,352 | 25,217 |
Royalty case | 0 | 143,728 | (12,029) |
Uncertain tax positions - IFRIC 23 | 20,767 | 0 | 0 |
Special mining tax and mining royalties | (15,660) | (25,165) | (21,704) |
Special mining burden (GEM) | 0 | (22,334) | 0 |
Income tax rate change effect on deferred taxes for change in Peruvian tax law once the current Stability Contract expires (from 32% to 31.18%) | (2,746) | (1,958) | (1,632) |
Income tax true - ups | (10,255) | (10,312) | 10,210 |
Others | 7,620 | 4,896 | (4,125) |
Current and deferred income tax charges to results | 248,211 | 256,569 | 263,433 |
Mining taxes charged to results | 48,036 | 65,055 | 213,280 |
Supplementary retirement fund charged to results | 1,827 | 3,546 | 9,330 |
Tax expense (income), continuing operations | $ 298,074 | $ 325,170 | $ 486,043 |
Effective income tax | 43.30% | 73.09% | 58.14% |
Tax situation - Income tax expe
Tax situation - Income tax expense (benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income tax | |||
Deferred | $ (37,501) | $ 9,997 | $ (5,825) |
Supplementary retirement fund | |||
Income tax expense reported in the statements of comprehensive income | 25,590 | (26,879) | (17,888) |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Income tax | |||
Current | 107,666 | 254,767 | 430,974 |
Deferred | 139,934 | 61,483 | (167,541) |
income tax expense (benefit) | 247,600 | 316,250 | 263,433 |
Mining taxes | |||
Current mining royalty and special mining tax | 47,032 | 6,661 | 213,280 |
Supplementary retirement fund | |||
Current | 1,835 | 1,499 | 10,897 |
Deferred | 1,607 | 760 | (1,567) |
Total Supplementary retirement fund | 3,442 | 2,259 | 9,330 |
Income tax expense reported in the statements of comprehensive income | $ 298,074 | $ 325,170 | $ 486,043 |
Tax situation - Additional info
Tax situation - Additional information (Details) | Dec. 26, 2019PEN (S/) | Dec. 26, 2019USD ($) | Oct. 26, 2019USD ($) | Jan. 01, 2019 | May 28, 2018installmentitem | Jan. 18, 2018installment | Jan. 01, 2017 | Dec. 31, 2014 | Jan. 01, 2004 | Oct. 31, 2018PEN (S/)installmentitem | Oct. 31, 2018USD ($)installmentitem | Jul. 17, 2012 | Sep. 28, 2011 | Dec. 31, 2019PEN (S/)installment | Dec. 31, 2019USD ($)installment | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2019USD ($) | Dec. 26, 2019USD ($) | Oct. 29, 2019PEN (S/) | Oct. 29, 2019USD ($) | Dec. 31, 2018PEN (S/) | Dec. 31, 2018USD ($) | |
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Refunds provision | $ 128,100,000 | ||||||||||||||||||||||||||
Applicable tax rate | 29.50% | 29.50% | 32.00% | 32.00% | |||||||||||||||||||||||
Income Tax Rate Applicable To Dividends | 5.00% | 5.00% | |||||||||||||||||||||||||
Applicable Tax Rate With Respect To Results Obtained | 6.80% | 6.80% | 4.10% | ||||||||||||||||||||||||
Unused tax losses for which no deferred tax asset recognised | S/ 1,950,896,000 | 588,151,000 | S/ 1,550,156,000 | $ 458,762,000 | |||||||||||||||||||||||
Mining royalties. | $ 12,832,000 | $ 21,388,000 | $ 30,884,000 | ||||||||||||||||||||||||
Term of agreement of guarantees and measures to promote investments | 15 years | ||||||||||||||||||||||||||
Current tax expense (income) | 11,911,000 | 16,882,000 | 23,713,000 | ||||||||||||||||||||||||
Current tax expense income relating to special mining tax | 18,600,000 | (28,200,000) | 102,600,000 | ||||||||||||||||||||||||
Current tax expense income relating to mining royalties | 28,400,000 | 34,900,000 | 110,700,000 | ||||||||||||||||||||||||
Current tax expense income relating to statutory retirement fund | 1,800,000 | 1,500,000 | 10,900,000 | ||||||||||||||||||||||||
Deferred tax expense (income) | (37,501,000) | 9,997,000 | (5,825,000) | ||||||||||||||||||||||||
Tax expense (income), continuing operations | $ 25,590,000 | $ (26,879,000) | $ (17,888,000) | ||||||||||||||||||||||||
Changes in tax rates or tax laws enacted or announced [member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Applicable Tax Rate With Respect To Results Obtained | 5.00% | ||||||||||||||||||||||||||
Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Applicable tax rate | 29.00% | 29.50% | 29.50% | 29.50% | 29.50% | 29.50% | |||||||||||||||||||||
Maximum mining tax rate on operating profit | 12.00% | ||||||||||||||||||||||||||
Mining royalties included in cost of production | $ 7,360,000 | $ 1,273,000 | $ 3,140,000 | ||||||||||||||||||||||||
Mining tax expense | $ 9,702,000 | 592,000 | 1,418,000 | ||||||||||||||||||||||||
Employers contribution rate | 0.50% | 0.50% | |||||||||||||||||||||||||
Employees Contribution Rate | 0.50% | 0.50% | |||||||||||||||||||||||||
Current Income Tax Payable | 20,276,000 | ||||||||||||||||||||||||||
Mining Tax Payable | 2,877,000 | 3,552,000 | |||||||||||||||||||||||||
Income and mining tax expense | $ 728,000 | 39,000 | 29,000 | ||||||||||||||||||||||||
Term of agreement of guarantees and measures to promote investments | 15 years | 15 years | |||||||||||||||||||||||||
Mining royalties payable | 0 | 1,563,000 | 0 | ||||||||||||||||||||||||
Current tax expense (income) | $ 64,928,000 | 30,368,000 | 7,026,000 | ||||||||||||||||||||||||
Deferred tax expense (income) | 0 | (1,071,000) | 0 | ||||||||||||||||||||||||
Tax expense (income), continuing operations | $ 64,928,000 | $ 29,297,000 | $ 7,026,000 | ||||||||||||||||||||||||
Tax rate effect from change in tax rate | 29.00% | 29.00% | |||||||||||||||||||||||||
Minera Yanacocha SRL and subsidiary [Member] | Tax Year 2016 [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Progressive income tax rate | 28.00% | ||||||||||||||||||||||||||
Minera Yanacocha SRL and subsidiary [Member] | Tax Year 2017 [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Progressive income tax rate | 27.00% | ||||||||||||||||||||||||||
Minera Yanacocha SRL and subsidiary [Member] | Tax Year 2018 [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Progressive income tax rate | 27.00% | ||||||||||||||||||||||||||
Minera Yanacocha SRL and subsidiary [Member] | Tax Year 2019 [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Progressive income tax rate | 26.00% | ||||||||||||||||||||||||||
Sociedad Minera Cerro Verde S.A.A. [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Applicable tax rate | 32.00% | 32.00% | 32.00% | 32.00% | |||||||||||||||||||||||
Deferred tax expense (income) recognised in profit or loss | $ 141,600,000 | $ 62,200,000 | $ (169,100,000) | ||||||||||||||||||||||||
Amount Paid For Disputed Tax Assessments | 396,500,000 | ||||||||||||||||||||||||||
Other non-current receivables | [1] | 186,626,000 | 183,208,000 | ||||||||||||||||||||||||
Current tax expense (income) | (298,074,000) | (325,170,000) | |||||||||||||||||||||||||
Deferred tax expense (income) | 139,934,000 | 61,483,000 | (167,541,000) | ||||||||||||||||||||||||
Tax expense (income), continuing operations | 298,074,000 | 325,170,000 | 486,043,000 | ||||||||||||||||||||||||
Current income tax expense | 156,500,000 | 263,000,000 | 655,100,000 | ||||||||||||||||||||||||
Sociedad Minera Cerro Verde S.A.A. [Member] | December 2006 to December 2008 [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Tax payment based on exchange rates | $ 214,400,000 | ||||||||||||||||||||||||||
Tax payment based on estimated due | S/ 711,100,000 | $ 221,900,000 | |||||||||||||||||||||||||
Sociedad Minera Cerro Verde S.A.A. [Member] | January 2009 To September 2011 [Member] | SUNAT | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Tax payment based on exchange rates | 95,000,000 | ||||||||||||||||||||||||||
Tax payment based on estimated due | S/ 315,100,000 | 94,700,000 | |||||||||||||||||||||||||
Number Of Installment Payment Programs | item | 2 | 2 | |||||||||||||||||||||||||
Number Of Equal Monthly Payments | installment | 66 | 66 | |||||||||||||||||||||||||
Deferred Interest, Interest And Penalties | $ 202,800,000 | 202,800,000 | |||||||||||||||||||||||||
Amount of the assessment, including interest and penalties | S/ 1,000,000,000 | $ 314,100,000 | 1,000,000,000 | 314,100,000 | |||||||||||||||||||||||
Sociedad Minera Cerro Verde S.A.A. [Member] | Fourth Quarter Of 2011 [Member] | SUNAT | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Tax payment based on exchange rates | $ 17,400,000 | ||||||||||||||||||||||||||
Tax payment based on estimated due | S/ 57,600,000 | $ 17,300,000 | |||||||||||||||||||||||||
Penalties and interest for default tax | $ 17,400,000 | ||||||||||||||||||||||||||
Amount of the assessment, including interest and penalties | S/ 57,600,000 | $ 17,300,000 | |||||||||||||||||||||||||
Sociedad Minera Cerro Verde S.A.A. [Member] | Fourth Quarter Of 2011 To The Fourth Quarter Of 2012 [Member] | SUNAT | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Number Of Equal Monthly Payments | installment | 66 | ||||||||||||||||||||||||||
Deferred Interest, Interest And Penalties | 40,500,000 | ||||||||||||||||||||||||||
Amount of the assessment, including interest and penalties | 255,800,000 | 77,100,000 | |||||||||||||||||||||||||
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2012 [Member] | SUNAT | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Tax payment based on exchange rates | 19,800,000 | ||||||||||||||||||||||||||
Tax payment based on estimated due | 65,700,000 | 19,500,000 | |||||||||||||||||||||||||
Deferred Interest, Interest And Penalties | 45,700,000 | ||||||||||||||||||||||||||
Amount of the assessment, including interest and penalties | 266,100,000 | $ 80,200,000 | |||||||||||||||||||||||||
Sociedad Minera Cerro Verde S.A.A. [Member] | Year 2013 [Member] | SUNAT | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Penalties And Interest Of Special Mining Tax | S/ 151,000,000 | 45,500,000 | |||||||||||||||||||||||||
Number Of Installment Payment Programs | item | 2 | ||||||||||||||||||||||||||
Number Of Equal Monthly Payments | installment | 66 | 66 | 66 | ||||||||||||||||||||||||
Amount Of Assessment Including Interest And Penalties Special Mining Tax | S/ 151,000,000 | 45,500,000 | |||||||||||||||||||||||||
Interest And Penalties Based On Exchange Rates | 29,500,000 | ||||||||||||||||||||||||||
Amount of the assessment, including interest and penalties | S/ 183,900,000 | $ 55,400,000 | |||||||||||||||||||||||||
Exchange rate including interest and penalties | 22,100,000 | ||||||||||||||||||||||||||
Minera Yanacocha SRL One [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Additional income and mining tax expense | $ 8,230,000 | $ 3,526,000 | |||||||||||||||||||||||||
Current Income Tax Payable | 19,239,000 | ||||||||||||||||||||||||||
Current Income Tax Offset | $ 7,913,000 | ||||||||||||||||||||||||||
Peruvian government [member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Applicable tax rate | 32.00% | 32.00% | |||||||||||||||||||||||||
Peruvian government [member] | Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Royalty rate on revenue | 1.00% | ||||||||||||||||||||||||||
Standby Letters of Credit [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Notional amount | S/ 1,643,900,000 | $ 495,600,000 | S/ 1,137,400,000 | $ 336,600,000 | |||||||||||||||||||||||
Bottom of range [member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Royalty rate on revenue | 1.00% | ||||||||||||||||||||||||||
Bottom of range [member] | Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Mining tax rate on operating profit | 2.00% | 2.00% | |||||||||||||||||||||||||
Bottom of range [member] | Minera Yanacocha SRL and subsidiary [Member] | Special Mining Burden [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Mining tax rate on operating profit | 4.00% | 4.00% | |||||||||||||||||||||||||
Top of range [member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Royalty rate on revenue | 12.00% | ||||||||||||||||||||||||||
Top of range [member] | Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Mining tax rate on operating profit | 8.40% | 8.40% | |||||||||||||||||||||||||
Top of range [member] | Minera Yanacocha SRL and subsidiary [Member] | Special Mining Burden [Member] | |||||||||||||||||||||||||||
Disclosure Of Income Tax Explanatory | |||||||||||||||||||||||||||
Mining tax rate on operating profit | 13.12% | 13.12% | |||||||||||||||||||||||||
[1] | Represents disbursement made by the Company in connection with disputed tax assessments related to reviews by SUNAT from years 2003 to 2012 (see Note 13(c) and 13(e)). According to current tax procedures and the timeframe for resolving these types of claims, management and its legal advisors expect resolution of this matter will be favorable to the Company and amounts will be recoverable. |
Net sales (Details)
Net sales (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of goods | $ 821,930,000 | $ 1,106,329,000 | $ 1,187,206,000 |
Revenue from rendering of services | 23,661,000 | 24,001,000 | 29,697,000 |
Gold | 298,171,000 | 362,122,000 | 393,257,000 |
Silver | 254,194,000 | 411,877,000 | 510,982,000 |
Copper | 238,304,000 | 274,761,000 | 268,527,000 |
Zinc | 149,317,000 | 164,666,000 | 170,518,000 |
Lead | 89,141,000 | 85,555,000 | 85,957,000 |
Manganese sulfate | 6,046,000 | 6,655,000 | 6,317,000 |
Revenue from sale of goods before commercial deductions | 1,035,173,000 | 1,305,636,000 | 1,435,624,000 |
Commercial deductions | (220,306,000) | (192,684,000) | (247,151,000) |
Indium | 0 | 0 | 66,000 |
Royalty income | 22,297,000 | 20,385,000 | 20,739,000 |
Revenue from contracts with customers | 860,825,000 | 1,157,338,000 | 1,238,909,000 |
Revenue | 867,888,000 | 1,150,715,000 | 1,237,642,000 |
Contracts with customers for sale of goods | 814,867,000 | 1,112,952,000 | 1,188,473,000 |
Hedge Operations | 4,322,000 | (1,398,000) | (10,921,000) |
Fair Value of accounts receivables. | 2,347,000 | (6,013,000) | 8,417,000 |
Adjustments to prior period liquidations | 394,000 | 788,000 | 1,237,000 |
Peru [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from rendering of services | 23,501,000 | 23,712,000 | 14,903,000 |
Royalty income | 22,297 | 20,385 | 20,739 |
Contracts with customers for sale of goods | 476,978,000 | 521,017,000 | 516,054,000 |
America - other than Peru [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from rendering of services | 130,000 | 289,000 | 14,794,000 |
Contracts with customers for sale of goods | 171,769,000 | 370,624,000 | 471,863,000 |
Asia [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Contracts with customers for sale of goods | 105,645,000 | 120,519,000 | 120,719,000 |
Europe [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from rendering of services | 30,000 | ||
Contracts with customers for sale of goods | $ 60,475,000 | $ 100,792,000 | $ 79,837,000 |
Net sales - Revenue from contra
Net sales - Revenue from contracts with customers (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of gold | $ 298,171 | $ 362,122 | $ 393,257 |
Less: Royalty contributions (see Note 2(k)) | (12,832) | (21,388) | (30,884) |
Revenue from sale of goods | 821,930 | 1,106,329 | 1,187,206 |
Minera Yanacocha SRL and subsidiary [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of gold | 734,526 | 658,653 | 670,905 |
Less: Royalty contributions (see Note 2(k)) | (23,000) | (26,000) | |
Revenue from sale of goods | 734,526 | 658,653 | 670,905 |
Minera Yanacocha SRL and subsidiary [Member] | S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Less: Royalty contributions (see Note 2(k)) | (22,297) | (20,385) | (20,739) |
Minera Yanacocha SRL and subsidiary [Member] | America - other than Peru [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of gold | 139,989 | 179,018 | |
Minera Yanacocha SRL and subsidiary [Member] | Switzerland [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of gold | $ 734,526 | $ 518,664 | $ 491,887 |
Net sales - Sales of goods (Det
Net sales - Sales of goods (Details) S/ in Thousands, $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2019PEN (S/) | Dec. 31, 2019USD ($) | Dec. 31, 2018PEN (S/) | Dec. 31, 2018USD ($) | Dec. 31, 2017PEN (S/) | Dec. 31, 2017USD ($) | |
Disclosure of Sales of goods [Line Items] | ||||||
Revenue from sale of copper | $ 238,304 | $ 274,761 | $ 268,527 | |||
Less: Royalty contributions (see Note 2(k)) | (12,832) | (21,388) | (30,884) | |||
Revenue from sale of goods | 821,930 | 1,106,329 | 1,187,206 | |||
Sociedad Minera Cerro Verde S.A.A. [Member] | ||||||
Disclosure of Sales of goods [Line Items] | ||||||
Revenue from sale of copper | 2,896,894 | 3,061,930 | 3,211,266 | |||
Less: Royalty contributions (see Note 2(k)) | (6,828) | (7,904) | (8,335) | |||
Revenue from sale of goods | 2,890,066 | 3,054,026 | 3,202,931 | |||
Sociedad Minera Cerro Verde S.A.A. [Member] | Copper concentrate [Member] | ||||||
Disclosure of Sales of goods [Line Items] | ||||||
Revenue from sale of copper | S/ 912,974 | 2,294,249 | S/ 962,113 | 2,458,088 | S/ 979,243 | 2,702,508 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Copper cathode [Member] | ||||||
Disclosure of Sales of goods [Line Items] | ||||||
Revenue from sale of copper | S/ 88,875 | 244,277 | S/ 86,346 | 251,908 | S/ 84,679 | 241,725 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Other primarily silver and molybdenum concentrate [Member] | ||||||
Disclosure of Sales of goods [Line Items] | ||||||
Revenue from sale of copper | $ 358,368 | $ 351,934 | $ 267,033 |
Net sales - geographic region (
Net sales - geographic region (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Sales of goods [Line Items] | |||
Less: Royalty contributions (see Note 2(k)) | $ (12,832) | $ (21,388) | $ (30,884) |
Revenue from sale of goods | 821,930 | 1,106,329 | 1,187,206 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of goods before deducting royalty expense | 2,896,894 | 3,061,930 | 3,211,266 |
Less: Royalty contributions (see Note 2(k)) | (6,828) | (7,904) | (8,335) |
Revenue from sale of goods | 2,890,066 | 3,054,026 | 3,202,931 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Asia [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of goods before deducting royalty expense | 2,374,350 | 2,404,530 | 2,416,826 |
Sociedad Minera Cerro Verde S.A.A. [Member] | North America [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of goods before deducting royalty expense | 265,599 | 295,448 | 287,174 |
Sociedad Minera Cerro Verde S.A.A. [Member] | South America primarily Peru [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of goods before deducting royalty expense | 168,077 | 136,400 | 193,174 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Europe [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of goods before deducting royalty expense | 77,716 | 209,894 | 314,092 |
Sociedad Minera Cerro Verde S.A.A. [Member] | America - other than Peru [Member] | |||
Disclosure of Sales of goods [Line Items] | |||
Revenue from sale of goods before deducting royalty expense | $ 11,152 | $ 15,658 | $ 0 |
Net sales - Other operating rev
Net sales - Other operating revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Net Sales [Line Items] | |||
Other operating income (expense) | $ 14,715 | $ (1,308) | $ (13,230) |
Minera Yanacocha SRL and subsidiary [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Other operating income (expense) | 4,776 | 21,965 | 21,870 |
Sales of copper and silver [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Other operating income (expense) | 4,098 | 20,442 | 17,509 |
Others [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Other operating income (expense) | $ 678 | $ 1,523 | $ 4,361 |
Net sales - Additional informat
Net sales - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Net Sales [Line Items] | |||
Percentage of entity's revenue | 10.00% | ||
Percentage Of Sale Expenses On Operating Income | 3.00% | 2.00% | 2.00% |
Percentage Of Transportation Services On Sales Expenses | 58.00% | 58.00% | 58.00% |
Percentage Of Shipping Expenses On Sales Expenses | 22.00% | 21.00% | 8.00% |
Revenue from sale of goods, related party transactions | $ 2,700,000 | $ 2,900,000 | $ 3,000,000 |
Increase decrease in revenue from sale of copper through adjustments arising from change in provisional price | $ 56,800 | $ 88,800 | |
Percentage of sales to related party | 92.00% | 94.00% | |
Customer1 [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of entity's revenue | 25.00% | 32.00% | 28.00% |
Customer2 [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of entity's revenue | 16.00% | 13.00% | 15.00% |
Customer3 [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of entity's revenue | 11.00% | 11.00% | 10.00% |
Trade receivables [member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of entity's revenue | 84.00% | 43.00% | |
Minera Yanacocha SRL and subsidiary [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Adjustments for decrease (increase) in trade and other receivables | $ 176 | $ 15 | $ 346 |
Minera Yanacocha SRL and subsidiary [Member] | MCC Non-Ferrous Trading [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of accounts receivables | 100.00% | 100.00% | |
Minera Yanacocha SRL and subsidiary [Member] | America - other than Peru [Member] | Royal Bank Of Canada [Member] | Dore Concentrate [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of dore sales | 21.00% | ||
Minera Yanacocha SRL and subsidiary [Member] | America - other than Peru [Member] | Scotia Mocatta [Member] | MCC Non-Ferrous Trading [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of copper sales | 0.10% | ||
Minera Yanacocha SRL and subsidiary [Member] | America - other than Peru [Member] | Scotia Mocatta [Member] | Asahi [Member] | Dore Concentrate [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of dore sales | 20.00% | ||
Minera Yanacocha SRL and subsidiary [Member] | Switzerland [Member] | Dore Concentrate [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of dore sales | 79.00% | ||
Minera Yanacocha SRL and subsidiary [Member] | Switzerland [Member] | Royal Bank Of Canada [Member] | Argor Heraus [Member] | Dore Concentrate [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of dore sales | 100.00% | 27.00% | |
Minera Yanacocha SRL and subsidiary [Member] | Switzerland [Member] | Scotia Mocatta [Member] | Valcambi [Member] | Dore Concentrate [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Percentage of dore sales | 52.00% | ||
Minera Yanacocha Srl And Subsidiaries [Member] | |||
Disclosure Of Net Sales [Line Items] | |||
Adjustments for decrease (increase) in trade and other receivables | $ 13,290 | $ (7,580) | $ (7,345) |
Cost of sales, without consid_3
Cost of sales, without considering depreciation and amortization - Cost of sales of goods (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cost of production | |||
Cost of sales, excluding depreciation and amortization | $ 512,874 | $ 613,381 | $ 604,650 |
cost of sales of products [Member] | |||
Disclosure of cost of sales [Line Items] | |||
Beginning balance of finished goods and products in process, net of depreciation and amortization | 49,206 | 37,640 | 58,633 |
Cost of production | |||
Services provided by third parties | 196,895 | 243,410 | 254,821 |
Consumption of materials and supplies | 96,351 | 133,961 | 129,294 |
Disbursement of salaries | 79,076 | 93,122 | 82,930 |
Electricity and water | 44,583 | 50,215 | 42,877 |
Transport | 20,784 | 23,539 | 25,406 |
Maintenance and repair | 19,729 | 24,415 | 22,062 |
Short-term and low-value lease | 16,341 | 30,819 | 15,498 |
Insurances | 12,235 | 11,311 | 5,870 |
Provision (reversal) for impairment of finished goods and product in progress, note 8(c) | (2,143) | 4,521 | 2,118 |
Other production expenses | 11,755 | 9,634 | 10,179 |
Total cost of production of the period | 495,606 | 624,947 | 591,055 |
Final balance of products in process and finished goods, net of depreciation and amortization | $ (31,938) | $ (49,206) | $ (45,038) |
Cost of sales, without consid_4
Cost of sales, without considering depreciation and amortization - Costs applicable to sales (Details) - new - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of cost of sales [Line Items] | |||
Royalty Expense | $ 12,832 | $ 21,388 | $ 30,884 |
Depreciation and amortization | 226,335 | 238,879 | 210,154 |
Cost of sales of goods, excluding depreciation and amortization | 799,582 | 967,696 | 947,953 |
Cost of inventory recognized in cost of inventory | 326,790 | 327,459 | 456,647 |
Minera Yanacocha Srl And Subsidiaries [Member] | |||
Disclosure of cost of sales [Line Items] | |||
Beginning balance of finished goods and in-process | 341,213 | 345,489 | 446,503 |
Beginning balance of provision for net realizable value, note 8(b) | 89,127 | 62,540 | 84,374 |
Consumption of supplies | 200,036 | 215,863 | 240,881 |
Personnel expenses | 72,325 | 82,645 | 99,702 |
Other services | 41,120 | 43,671 | 66,408 |
Maintenance | 26,645 | 22,585 | 24,033 |
Power | 23,619 | 24,203 | 23,565 |
Depreciation and amortization | 144,862 | 156,212 | 87,783 |
Workers' profit participation | 12,804 | 3,837 | 1,242 |
Reclamation expenses related to leach pads, note 12(b) | 142,129 | 16,285 | 124,124 |
Ending balance of provision for net realizable value, note 8(b) | 47,925 | 89,127 | 62,540 |
Ending balance of finished goods and in-process | 302,382 | 341,213 | 345,489 |
Cost of sales of goods, excluding depreciation and amortization | 692,721 | 619,424 | 772,647 |
Minera Yanacocha Srl And Subsidiaries [Member] | S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | |||
Disclosure of cost of sales [Line Items] | |||
Royalty Expense | 22,297 | 20,385 | 20,739 |
Minera Yanacocha Srl And Subsidiaries [Member] | Government [member] | |||
Disclosure of cost of sales [Line Items] | |||
Royalty Expense | $ 9,255 | $ 2,875 | $ 4,990 |
Cost of sales, without consid_5
Cost of sales, without considering depreciation and amortization - Cost of services (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of cost of sales [Line Items] | |||
Cost of sales of services, without considering depreciation and amortization | $ 3,378 | $ 4,318 | $ 12,954 |
cost of services [Member] | |||
Disclosure of cost of sales [Line Items] | |||
Disbursement of salaries | 1,231 | 2,128 | 7,398 |
Consumption of materials and supplies | 497 | 675 | 1,026 |
Maintenance and repair | 186 | 543 | 946 |
Services provided by third parties | 331 | 382 | 1,782 |
Electricity and water | 589 | 249 | 586 |
Insurances | 163 | 86 | 246 |
Transport | 148 | 50 | 98 |
Short-term and low-value lease | 89 | 92 | 423 |
Other production expenses | 144 | 113 | 449 |
Cost of sales of services, without considering depreciation and amortization | $ 3,378 | $ 4,318 | $ 12,954 |
Cost of sales, without consid_6
Cost of sales, without considering depreciation and amortization - Cost of sales (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of cost of sales [Line Items] | |||
Depreciation and amortization | $ 226,335 | $ 238,879 | $ 210,154 |
Third parties services | 3,378 | 4,318 | 12,954 |
Depreciation for right-of-use assets (see Note 7 and 10(a)) | 11,488 | ||
Variable lease payments, low-value and short-term leases (see Note 10(a)) | 7,069 | ||
Cost of sales | 799,582 | 967,696 | 947,953 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Disclosure of cost of sales [Line Items] | |||
Materials and supplies | 693,292 | 693,316 | 556,022 |
Depreciation and amortization | 523,512 | 512,298 | 456,467 |
Labor (a) | 285,081 | 357,692 | 286,058 |
Energy | 228,853 | 254,243 | 229,272 |
Third parties services | 181,215 | 159,514 | 144,829 |
Depreciation for right-of-use assets (see Note 7 and 10(a)) | 11,488 | ||
Variable lease payments, low-value and short-term leases (see Note 10(a)) | 7,069 | ||
Management Fees | 2,923 | 2,743 | 2,867 |
Change in work in process inventory | (23,427) | (8,513) | 51,412 |
Change in finished goods inventory | (2,290) | (5,723) | 2,060 |
Other costs | 47,033 | 45,402 | 39,251 |
Cost of sales | $ 1,954,749 | $ 2,010,972 | $ 1,768,238 |
Cost of sales, without consid_7
Cost of sales, without considering depreciation and amortization - Additional information (Details) - Sociedad Minera Cerro Verde S.A.A. [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of cost of sales [Line Items] | |||
Increase decrease in labor costs related to profit sharing | $ 32.2 | $ 60.2 | $ 86.4 |
Administrative expense directly related to cost of production | $ 32 | $ 30.7 | $ 34.4 |
Operating expenses, net (Detail
Operating expenses, net (Details) - Minera Yanacocha SRL and subsidiary [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Operating Expenses [line items] | |||
Operating expenses, net | $ 35,987 | $ 76,155 | $ 63,514 |
Exploration and advanced projects [Member] | |||
Disclosure of Operating Expenses [line items] | |||
Operating expenses, net | 33,669 | 62,643 | 51,694 |
Severance program [Member] | |||
Disclosure of Operating Expenses [line items] | |||
Operating expenses, net | 2,210 | 8,678 | 9,419 |
Cost of fixed assets sold [Member] | |||
Disclosure of Operating Expenses [line items] | |||
Operating expenses, net | 2,092 | 5,445 | 1,632 |
Tax fine [Member] | |||
Disclosure of Operating Expenses [line items] | |||
Operating expenses, net | 2,019 | 3,954 | 0 |
Write-off of fixed assets [Member] | |||
Disclosure of Operating Expenses [line items] | |||
Operating expenses, net | 1,204 | 0 | 1,368 |
Income from fixed asset sales [Member] | |||
Disclosure of Operating Expenses [line items] | |||
Operating expenses, net | (8,088) | (4,821) | (2,235) |
Others, net [Member] | |||
Disclosure of Operating Expenses [line items] | |||
Operating expenses, net | $ 2,881 | $ 256 | $ 1,636 |
Exploration in operating unit_2
Exploration in operating units (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Exploration In Operating Units [Line Items] | |||
Beginning balance of finished goods and products in process, net of depreciation and amortization | $ 2,837 | $ 4,478 | $ 5,309 |
Beginning balance of finished goods and products in process, net | 5,157 | ||
Total exploration in operating units | 41,770 | 87,410 | 88,480 |
Final balance of products in process and finished goods, net of depreciation and amortization | 444 | 2,837 | 4,478 |
Exploration in operating units | 44,163 | 89,730 | 89,311 |
Services provided by third parties [Member] | |||
Disclosure Of Exploration In Operating Units [Line Items] | |||
Exploration in operating units | 33,591 | 71,513 | 75,743 |
Consumption of materials and supplies [Member] | |||
Disclosure Of Exploration In Operating Units [Line Items] | |||
Exploration in operating units | 3,712 | 8,594 | 7,673 |
Direct labor [Member] | |||
Disclosure Of Exploration In Operating Units [Line Items] | |||
Exploration in operating units | 1,747 | 2,349 | 2,142 |
Short-term and low-value lease [Member] | |||
Disclosure Of Exploration In Operating Units [Line Items] | |||
Exploration in operating units | 1,186 | 2,065 | 1,405 |
Electricity and water [Member] | |||
Disclosure Of Exploration In Operating Units [Line Items] | |||
Exploration in operating units | 905 | 1,337 | 820 |
Maintenance and repair [Member] | |||
Disclosure Of Exploration In Operating Units [Line Items] | |||
Exploration in operating units | 10 | 450 | 98 |
Transport [Member] | |||
Disclosure Of Exploration In Operating Units [Line Items] | |||
Exploration in operating units | 71 | 192 | 543 |
Others [Member] | |||
Disclosure Of Exploration In Operating Units [Line Items] | |||
Exploration in operating units | $ 548 | $ 910 | $ 56 |
Exploration in operating unit_3
Exploration in operating units - Additional information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Exploration in operating units | |||
Disbursement of exploration in operating activities | $ 44.2 | $ 89.7 | $ 89.3 |
Mining royalties (Details)
Mining royalties (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Mining Royalties [Line Items] | |||
Royalty Expense | $ 12,832 | $ 21,388 | $ 30,884 |
Sindicato Minero de Orcopampa S.A., note 29(b) [Member] | |||
Disclosure Of Mining Royalties [Line Items] | |||
Royalty Expense | 4,741 | 12,122 | 20,165 |
Royalties paid to the Peruvian State [Member] | |||
Disclosure Of Mining Royalties [Line Items] | |||
Royalty Expense | $ 8,091 | $ 9,266 | $ 10,719 |
Administrative expenses (Detail
Administrative expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | $ 76,297 | $ 77,099 | $ 80,666 |
Minera Yanacocha SRL and subsidiary [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 1,744 | 2,783 | 4,760 |
Management expenses [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 1,341 | 1,317 | 3,395 |
Others [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 403 | 1,466 | 1,365 |
Personnel expenses [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 38,566 | 34,656 | 36,265 |
Professional fees [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 13,924 | 15,324 | 12,663 |
Sundry charges [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 7,489 | 3,965 | 4,921 |
Board of Directors' participation [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 2,202 | 3,252 | 1,422 |
Maintenance and repairs [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 953 | 2,732 | 2,657 |
Software licenses [member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 1,706 | 1,824 | 2,523 |
Subscriptions and quotes [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 1,492 | 1,938 | 1,428 |
Donations [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 1,030 | 1,617 | 3,006 |
Short-term and low-value lease [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 1,011 | 5,818 | 5,412 |
Communications [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 1,296 | 1,512 | 1,376 |
Depreciation and amortization [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 3,825 | 1,295 | 1,146 |
Transport [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 878 | 1,212 | 989 |
Insurance [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 720 | 645 | 3,911 |
Travel and mobility [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 373 | 467 | 1,053 |
Consumption of materials and supplies [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | 422 | 436 | 616 |
Canons and tributes [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | $ 410 | 388 | 602 |
Allowance for doubtful accounts [Member] | |||
Disclosure of administrative expense [Line Items] | |||
Administrative expenses. | $ 18 | $ 676 |
Exploration in non-operating _3
Exploration in non-operating areas (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Exploration In Non-Operating Areas [Line Items] | |||
Expense arising from exploration for and evaluation of non operating units | $ 11,879 | $ 36,307 | $ 18,262 |
Personnel expenses [Member] | |||
Disclosure Of Exploration In Non-Operating Areas [Line Items] | |||
Expense arising from exploration for and evaluation of non operating units | 3,632 | 4,830 | 4,064 |
Services provided by third parties [Member] | |||
Disclosure Of Exploration In Non-Operating Areas [Line Items] | |||
Expense arising from exploration for and evaluation of non operating units | 3,611 | 22,764 | 5,401 |
Lands [Member] | |||
Disclosure Of Exploration In Non-Operating Areas [Line Items] | |||
Expense arising from exploration for and evaluation of non operating units | 1,528 | 1,867 | 1,781 |
Short-term and low-value lease [Member] | |||
Disclosure Of Exploration In Non-Operating Areas [Line Items] | |||
Expense arising from exploration for and evaluation of non operating units | 415 | 1,524 | 1,171 |
Consumption of materials and supplies [Member] | |||
Disclosure Of Exploration In Non-Operating Areas [Line Items] | |||
Expense arising from exploration for and evaluation of non operating units | 328 | 1,420 | 582 |
Other expenses [Member] | |||
Disclosure Of Exploration In Non-Operating Areas [Line Items] | |||
Expense arising from exploration for and evaluation of non operating units | $ 2,365 | $ 3,902 | $ 5,263 |
Exploration in non-operating _4
Exploration in non-operating areas - Additional information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Exploration in non-operating areas | |||
Disbursements Of Exploration In Non-Operating Areas | $ 11.9 | $ 36.3 | $ 18.3 |
Other, net (Details)
Other, net (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Other net [Line Items] | |||
Other operating incomes | $ 77,000,000 | $ 102,599,000 | $ 87,530,000 |
Other Operating Expense | (91,715,000) | (103,907,000) | (100,760,000) |
Other operating income expense net | (14,715,000) | (1,308,000) | (13,230,000) |
Profit (loss) for the year | (28,459,000) | (11,654,000) | 64,435,000 |
Proceeds from insurance claim | 0 | 38,793,000 | 0 |
Associated Costs for Mitigation and Repairs | 5,058,000 | 2,985,000 | |
Recovery Income of the Sinister | 4,175,000 | ||
Disposal cost of sale of supplies and merchandise to third parties [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | (33,664,000) | (57,897,000) | (60,239,000) |
Direct expenses [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | (15,992,000) | (9,867,000) | (5,721,000) |
Provision for impairment of spare parts and supplies, note 8(c) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | (15,703,000) | (11,704,000) | (4,814,000) |
Net cost of property, machinery and equipment to third parties, note 11(a) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | (4,965,000) | (626,000) | 0 |
Changes in provisions for exploration projects, note 15(b) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | (4,020,000) | 0 | (891,000) |
Disposal cost of sale of supplies and merchandise to related parties [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | (2,944,000) | (257,000) | (40,000) |
Expenses from previous years [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | (2,240,000) | (1,831,000) | (603,000) |
Withdrawals and disposals of property, machinery and equipment, note 11(a) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | (2,926,000) | (6,626,000) | (15,013,000) |
Allowance for expected credit losses, note 7(f) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | (25,000) | (1,334,000) | 0 |
Net cost of transfer of investments, note 1(d)[Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | 0 | (11,178,000) | (1,706,000) |
Net cost of investment properties (b) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | 0 | 0 | (9,575,000) |
Other minor [Member] | |||
Disclosure of Other net [Line Items] | |||
Other Operating Expense | (9,236,000) | (2,587,000) | (2,158,000) |
Sale of supplies and merchandise to third parties [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 32,228,000 | 46,128,000 | 54,496,000 |
Sale of assets to third parties [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 19,405,000 | 3,863,000 | 369,000 |
Reversal for impairment of spare parts and supplies, note 8(c) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 11,641,000 | 4,665,000 | 2,370,000 |
Sale of services to third parties [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 6,415,000 | 3,512,000 | 2,552,000 |
Revenue from commercial claims [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 2,098,000 | 0 | 0 |
Income from previous years [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 1,311,000 | 1,504,000 | 2,680,000 |
Sale of supplies to related parties, note 30(a) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 1,259,000 | 27,000 | 4,000 |
Sale of assets to related parties, note 30(a) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 11,000 | 30,000 | 336,000 |
Insurance claim recovery (c) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 0 | 33,735,000 | 1,190,000 |
Sale of investment in subsidiary [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 0 | 7,097,000 | 0 |
Changes in provisions for exploration projects, note 15(b) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 0 | 2,433,000 | 0 |
Recovery of expenses from previous years [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 0 | 81,000 | 68,000 |
Income from rental of investment properties [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 0 | 45,000 | 235,000 |
Expiration of allowance for expected credit losses, note 7(f) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 0 | 45,000 | 99,000 |
Sale of investment properties (b) [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | 0 | 0 | 11,250,000 |
Other minor [Member] | |||
Disclosure of Other net [Line Items] | |||
Other operating incomes | $ 2,632,000 | $ (566,000) | $ 11,881,000 |
Finance costs and finance inc_3
Finance costs and finance income - (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Finance revenues: | |||
Interest on time deposits | $ 4,971 | $ 5,176 | $ 1,050 |
Dividends income | 3,625 | 0 | 0 |
Interests on third parties loans | 460 | 561 | 813 |
Interests on loans to related parties, note 30(a) | 86 | 92 | 1,685 |
Interests on tax claims | 16 | 1,701 | 153 |
Other minor | 517 | 340 | 43 |
Finance income before unrealized variation of fair value related to contingent consideration liability | 9,675 | 7,870 | 3,744 |
Unrealized variation of the fair value related to contingent consideration liability (b) | 0 | 1,815 | 1,773 |
Total finance revenues | 9,675 | 9,685 | 5,517 |
Finance costs: | |||
Interest on borrowings | 28,418 | 31,538 | 28,019 |
Tax on financial transactions | 166 | 173 | 180 |
Interest on loans | 1 | 2 | 1,053 |
Other minor | 55 | 703 | 72 |
Accretion expense for mine closure, note 15(b) | 10,390 | 4,982 | 4,318 |
Accrual of debt issuance costs, note 16(f) | 2,109 | 1,024 | 909 |
Unrealized variation of the fair value related to contingent consideration liability (b) | 655 | 0 | 0 |
Finance costs before unrealized variation of fair value related to contingent consideration liability | 28,640 | 32,416 | 29,324 |
Accretion expense of leases liability | 379 | 0 | 0 |
Finance costs | $ 42,173 | $ 38,422 | $ 34,551 |
Finance costs and finance inc_4
Finance costs and finance income - Reconciliation of fair value measurement (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Finance costs and finance income | |||
Beginning balance | $ 15,755 | $ 17,570 | $ 19,343 |
Variation of the fair value in results | 655 | (1,815) | (1,773) |
Final balance | $ 16,410 | $ 15,755 | $ 17,570 |
Finance costs and finance inc_5
Finance costs and finance income - Unobservable valuation inputs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Finance costs and finance income | ||
Annual average of future sales of mineral | $ 190,815 | $ 193,906 |
Useful life of mining properties | 14 years | 13 years |
Pre-tax Discount rate (%) | 10.00% | 10.00% |
Finance costs and finance inc_6
Finance costs and finance income - Finance cost (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Finance Cost and Finance Income [Line Items] | |||
Finance costs | $ 42,173 | $ 38,422 | $ 34,551 |
Minera Gold Fields Peru S.A [Member] | |||
Finance Cost and Finance Income [Line Items] | |||
Unwinding of the discount of the provision for mining closure, note 12(b) | 36,709 | 36,015 | 21,769 |
Interests on tax contingency and others, see note 24 | 16,938 | 161 | 128 |
Commissions of guarantee letters | 2,485 | 2,113 | 1,869 |
Unwinding of debt instruments, note 13 | 1,497 | 735 | |
Finance costs | $ 57,629 | $ 39,024 | $ 23,766 |
Finance costs and finance inc_7
Finance costs and finance income - Additional information (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Aug. 18, 2014 | |
Finance Cost and Finance Income [Line Items] | ||||
Percentage of voting equity interests acquired | 5.00% | |||
Contingent consideration recognised as of acquisition date | $ 23,026,000 | |||
Royalty rate | 1.50% | |||
Minera Gold Fields Peru S.A [Member] | ||||
Finance Cost and Finance Income [Line Items] | ||||
Percentage of voting equity interests acquired | 51.00% | |||
Expense due to unwinding of discount on provisions | $ 36,709,000 | $ 36,015,000 | $ 21,769,000 |
Deferred income tax - Differenc
Deferred income tax - Differences between the accounting and tax basis (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | $ 6,883 | $ 27,339 | |
Deferred tax expense (income) | (37,501) | 9,997 | $ (5,825) |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | (813) | 9,916 | (7,963) |
Deferred income tan other income | 400 | (543) | |
Deferred tax liability (asset) | 45,597 | 6,883 | 27,339 |
Total deferred tax asset | 290,600 | 250,349 | |
Unrecognized deferred tax asset | (50,214) | (40,948) | |
Net deferred tax assets | 240,386 | 209,401 | |
Unused tax losses [member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Total deferred tax asset | 139,614 | 106,223 | |
Unrecognized deferred tax asset | (8,152) | (761) | |
Net deferred tax assets | 131,462 | 105,462 | |
Difference in depreciation and amortization rates [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Total deferred tax asset | 68,151 | 68,114 | |
Unrecognized deferred tax asset | (19,544) | (19,544) | |
Net deferred tax assets | 48,607 | 48,570 | |
Provision for closure of mining units, net [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Total deferred tax asset | 53,418 | 47,859 | |
Unrecognized deferred tax asset | (22,518) | (20,643) | |
Net deferred tax assets | 30,900 | 27,216 | |
Other temporary differences [member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Total deferred tax asset | 21,369 | 20,681 | |
Net deferred tax assets | 21,369 | 20,681 | |
Impairment loss of long-lived assets [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Total deferred tax asset | 8,048 | 7,472 | |
Net deferred tax assets | 8,048 | 7,472 | |
Deferred assets for mining royalties [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 36 | 123 | |
Deferred tax expense (income) | (6) | (87) | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | 30 | 36 | 123 |
Deferred liability for mining royalties [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | (2) | (161) | |
Deferred tax expense (income) | (166) | 159 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | (168) | (2) | (161) |
Deferred Liability For Derivative Financial Instruments [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | (813) | 0 | |
Deferred tax expense (income) | 0 | 0 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 813 | (813) | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | 0 | (813) | 0 |
Deferred asset [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 209,437 | 196,819 | |
Deferred tax expense (income) | 30,579 | 22,264 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | (9,103) | |
Deferred income tan other income | 400 | (543) | |
Deferred tax liability (asset) | 240,416 | 209,437 | 196,819 |
Deferred asset [Member] | Deferred asset for income tax before allowance [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 209,401 | 187,593 | |
Deferred tax expense (income) | 30,585 | 22,351 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 400 | (543) | |
Deferred tax liability (asset) | 240,386 | 209,401 | 187,593 |
Deferred asset [Member] | Deferred asset for income tax before allowance [Member] | Unused tax losses [member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 105,462 | 94,939 | |
Deferred tax expense (income) | 25,866 | 10,919 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | (396) | |
Deferred tax liability (asset) | 131,328 | 105,462 | 94,939 |
Deferred asset [Member] | Deferred asset for income tax before allowance [Member] | Difference in depreciation and amortization rates [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 48,570 | 47,482 | |
Deferred tax expense (income) | 37 | 1,088 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | 48,607 | 48,570 | 47,482 |
Deferred asset [Member] | Deferred asset for income tax before allowance [Member] | Provision for closure of mining units, net [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 27,216 | 19,793 | |
Deferred tax expense (income) | 3,684 | 7,423 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | 30,900 | 27,216 | 19,793 |
Deferred asset [Member] | Deferred asset for income tax before allowance [Member] | Other temporary differences [member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 20,681 | 15,459 | |
Deferred tax expense (income) | 422 | 5,369 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 400 | (147) | |
Deferred tax liability (asset) | 21,503 | 20,681 | 15,459 |
Deferred asset [Member] | Deferred asset for income tax before allowance [Member] | Impairment loss of long-lived assets [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 7,472 | 9,920 | |
Deferred tax expense (income) | 576 | (2,448) | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | 8,048 | 7,472 | 9,920 |
Deferred asset [Member] | Deferred asset included in retained earnings [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 209,401 | 196,696 | |
Deferred tax expense (income) | 30,585 | 22,351 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | (9,103) | |
Deferred income tan other income | 400 | (543) | |
Deferred tax liability (asset) | 240,386 | 209,401 | 196,696 |
Deferred asset [Member] | Deferred asset included in retained earnings [Member] | Derivative financial instruments [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 0 | 9,103 | |
Deferred tax expense (income) | 0 | 0 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | (9,103) | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | 0 | 0 | 9,103 |
Deferred asset [Member] | Deferred assets for mining royalties [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | 0 | 0 | |
Deferred tax expense (income) | 0 | 0 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | 0 | 0 | 0 |
Deferred liability [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | (202,554) | (169,480) | |
Deferred tax expense (income) | 6,922 | (32,261) | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 813 | (813) | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | (194,819) | (202,554) | (169,480) |
Deferred liability [Member] | Deferred liability for income tax [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | (201,739) | (169,319) | |
Deferred tax expense (income) | 7,088 | (32,420) | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | (194,651) | (201,739) | (169,319) |
Deferred liability [Member] | Deferred liability for income tax [Member] | Other temporary differences [member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | (74,480) | (77,603) | |
Deferred tax expense (income) | (4,550) | 3,123 | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | (79,030) | (74,480) | (77,603) |
Deferred liability [Member] | Deferred liability for income tax [Member] | Effect of translation into U.S. dollars [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | (61,271) | (46,023) | |
Deferred tax expense (income) | 14,995 | (15,248) | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | (46,276) | (61,271) | (46,023) |
Deferred liability [Member] | Deferred liability for income tax [Member] | Differences in amortization rates for development costs [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Deferred tax liability (asset) | (65,988) | (45,693) | |
Deferred tax expense (income) | (3,357) | (20,295) | |
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss | 0 | 0 | |
Deferred income tan other income | 0 | ||
Deferred tax liability (asset) | $ (69,345) | $ (65,988) | $ (45,693) |
Deferred income tax - Consolida
Deferred income tax - Consolidated statement of financial position (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred income tax | |||
Deferred income tax asset, net | $ 74,556 | $ 38,305 | |
Deferred income tax liability, net | 28,959 | 31,422 | |
Deferred tax liability (asset) | $ 45,597 | $ 6,883 | $ 27,339 |
Deferred income tax - Compositi
Deferred income tax - Composition of the provision for income taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Deferred income tax [Line Items] | |||
Current | $ 11,911 | $ 16,882 | $ 23,713 |
Deferred | (37,501) | 9,997 | (5,825) |
Tax expense (income), continuing operations | 25,590 | (26,879) | (17,888) |
Income Tax Expense [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Current | (11,851) | (12,433) | (18,780) |
Deferred | 37,617 | (10,029) | 5,984 |
Tax expense (income), continuing operations | 25,766 | (22,462) | (12,796) |
Mining Royalties and Special Mining Tax [Member] | |||
Disclosure of Deferred income tax [Line Items] | |||
Current | (60) | (4,449) | (4,933) |
Deferred | (116) | 32 | (159) |
Tax expense (income), continuing operations | $ (176) | $ (4,417) | $ (5,092) |
Deferred income tax - Reconcili
Deferred income tax - Reconciliation of tax expense and the accounting profit (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Deferred income tax | |||
Profit (loss) before income tax | $ (43,535) | $ 27,033 | $ 92,667 |
Loss for discontinued operations | (10,514) | (11,808) | (10,344) |
Profit (loss) before income tax | (54,049) | 15,225 | 82,323 |
Theoretical loss (gain) for income tax | 15,944 | (4,491) | (24,285) |
Effect of translation into U.S. dollars | 14,995 | (15,248) | 24,502 |
Share in the results of associates | 14,074 | (337) | 3,896 |
Permanent items | (9,958) | (3,466) | (16,549) |
Unrecognized deferred tax asset | (9,265) | (2,038) | (1,898) |
Mining royalties and special mining tax | (24) | 3,118 | 1,538 |
Income tax expense | 25,766 | (22,462) | (12,796) |
Mining Royalties and Special Mining Tax | (176) | (4,417) | (5,092) |
Total income tax | $ (25,590) | $ 26,879 | $ 17,888 |
Deferred income tax - Additiona
Deferred income tax - Additional information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred income tax | ||
Temporary differences associated with investments in subsidiaries, branches and associates and interests in joint arrangements for which deferred tax liabilities have not been recognised | $ 271.8 | $ 277 |
Commitments and contingencies -
Commitments and contingencies - Summary of assessments (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Disclosure of Commitments and contingencies [Line Items] | |
Tax assesments, Estimated possible losses | $ 312,000 |
Tax Assesment, Penalties Expense | 356,941 |
Tax Assesments, penalties and interest expenses | 668,941 |
Year 2003 - 2005 [Member] | |
Disclosure of Commitments and contingencies [Line Items] | |
Tax assesments, Estimated possible losses | 8,857 |
Tax Assesment, Penalties Expense | 39,196 |
Tax Assesments, penalties and interest expenses | 48,053 |
Year 2006 [Member] | |
Disclosure of Commitments and contingencies [Line Items] | |
Tax assesments, Estimated possible losses | 10,990 |
Tax Assesment, Penalties Expense | 51,943 |
Tax Assesments, penalties and interest expenses | 62,933 |
Year 2007 [Member] | |
Disclosure of Commitments and contingencies [Line Items] | |
Tax assesments, Estimated possible losses | 12,376 |
Tax Assesment, Penalties Expense | 17,845 |
Tax Assesments, penalties and interest expenses | 30,221 |
Year 2008 [Member] | |
Disclosure of Commitments and contingencies [Line Items] | |
Tax assesments, Estimated possible losses | 20,797 |
Tax Assesment, Penalties Expense | 12,968 |
Tax Assesments, penalties and interest expenses | 33,765 |
Year 2009 [Member] | |
Disclosure of Commitments and contingencies [Line Items] | |
Tax assesments, Estimated possible losses | 56,388 |
Tax Assesment, Penalties Expense | 51,219 |
Tax Assesments, penalties and interest expenses | 107,607 |
Year 2010 [Member] | |
Disclosure of Commitments and contingencies [Line Items] | |
Tax assesments, Estimated possible losses | 62,581 |
Tax Assesment, Penalties Expense | 107,324 |
Tax Assesments, penalties and interest expenses | 169,905 |
Year 2011 [Member] | |
Disclosure of Commitments and contingencies [Line Items] | |
Tax assesments, Estimated possible losses | 49,055 |
Tax Assesment, Penalties Expense | 65,189 |
Tax Assesments, penalties and interest expenses | 114,244 |
Year 2012 [Member] | |
Disclosure of Commitments and contingencies [Line Items] | |
Tax assesments, Estimated possible losses | 51,981 |
Tax Assesment, Penalties Expense | 11,257 |
Tax Assesments, penalties and interest expenses | 63,238 |
Year 2014 - 2017 [Member] | |
Disclosure of Commitments and contingencies [Line Items] | |
Tax assesments, Estimated possible losses | 38,975 |
Tax Assesment, Penalties Expense | 0 |
Tax Assesments, penalties and interest expenses | $ 38,975 |
Commitments and contingencies_2
Commitments and contingencies - Outstanding signed commitments (Details) - Minera Yanacocha SRL and subsidiary [Member] - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of Commitments and contingencies [Line Items] | |||
Letters of guarantee outstanding, amount | $ 583,317 | $ 539,251 | $ 503,729 |
BBVA Continental [member] | |||
Disclosure of Commitments and contingencies [Line Items] | |||
Letters of guarantee outstanding, amount | 190,000 | 190,000 | |
Banco de Credito del Peru [member] | |||
Disclosure of Commitments and contingencies [Line Items] | |||
Letters of guarantee outstanding, amount | 114,251 | 123,729 | |
Pacfico Surich [Member] | |||
Disclosure of Commitments and contingencies [Line Items] | |||
Letters of guarantee outstanding, amount | 200,000 | ||
La Positiva [Member] | |||
Disclosure of Commitments and contingencies [Line Items] | |||
Letters of guarantee outstanding, amount | 70,000 | ||
Rimac (Travelers) [Member] | |||
Disclosure of Commitments and contingencies [Line Items] | |||
Letters of guarantee outstanding, amount | 60,000 | ||
Scotiabank [member] | |||
Disclosure of Commitments and contingencies [Line Items] | |||
Letters of guarantee outstanding, amount | $ 253,317 | $ 235,000 | $ 190,000 |
Commitments and contingencies_3
Commitments and contingencies - Additional information (Details) | Dec. 26, 2019PEN (S/) | Dec. 26, 2019USD ($) | Oct. 29, 2019PEN (S/) | Oct. 29, 2019USD ($) | Jan. 23, 2019installment | Jan. 18, 2019USD ($)Vote | Jan. 18, 2018installment | May 01, 2017USD ($) | Jan. 01, 2014 | Jun. 23, 2004 | Oct. 31, 2018PEN (S/)installmentitem | Oct. 31, 2018USD ($)installmentitem | Jun. 23, 2004 | Dec. 31, 2003 | Dec. 31, 2002 | Dec. 31, 2019PEN (S/)item | Dec. 31, 2019USD ($)item | Dec. 31, 2018PEN (S/) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2015PEN (S/) | Dec. 31, 2015USD ($) | Feb. 29, 2020USD ($) | Jan. 27, 2020PEN (S/) | Jan. 27, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 26, 2019USD ($) | Dec. 20, 2019PEN (S/) | Dec. 20, 2019USD ($) | Oct. 29, 2019USD ($) | Sep. 30, 2019PEN (S/) | Sep. 30, 2019USD ($) | Jan. 01, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2015USD ($) | Jan. 08, 2015PEN (S/) | Jan. 08, 2015USD ($) | Dec. 31, 2014PEN (S/) | Dec. 31, 2014USD ($) | Jun. 18, 2014PEN (S/) | Jun. 18, 2014USD ($) | Dec. 31, 2012PEN (S/) | Dec. 31, 2012USD ($) |
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Letter of credit | $ 121,400,000 | $ 119,700,000 | |||||||||||||||||||||||||||||||||||||||||
Finance Lease Liabilities IAS17 | $ 241,653,000 | ||||||||||||||||||||||||||||||||||||||||||
Description of material leasing arrangements by lessor classified as operating lease | Legal procedures -Buenaventura - | Legal procedures -Buenaventura - | |||||||||||||||||||||||||||||||||||||||||
Withholding tax, Old Tax Rate | 12.00% | 12.00% | |||||||||||||||||||||||||||||||||||||||||
Loss contingencies, laws affected | The alleged OEFA violations currently range from zero to 17,642 tax units and the Autoridad Nacional del Agua alleged violations range from zero to 10 tax units, being each tax unit equivalent to approximately US$1,260 based on current exchange rates. | The alleged OEFA violations currently range from zero to 17,642 tax units and the Autoridad Nacional del Agua alleged violations range from zero to 10 tax units, being each tax unit equivalent to approximately US$1,260 based on current exchange rates. | |||||||||||||||||||||||||||||||||||||||||
Withholding tax rate | 12.00% | 30.00% | |||||||||||||||||||||||||||||||||||||||||
Tax expense (income), continuing operations | $ 25,590,000 | $ (26,879,000) | $ (17,888,000) | ||||||||||||||||||||||||||||||||||||||||
Regional Governments and Others [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Letter of credit | 361,000 | ||||||||||||||||||||||||||||||||||||||||||
Ministry of Energy and Mines [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Letter of credit | 557,000 | ||||||||||||||||||||||||||||||||||||||||||
Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Loss contingencies, laws affected | The alleged OEFA violations currently range from zero to 17,642 units and the water authority alleged violations range from zero to 10 units, with each unit having a potential fine equivalent to approximately 1,260 dollars based on current exchange rates | The alleged OEFA violations currently range from zero to 17,642 units and the water authority alleged violations range from zero to 10 units, with each unit having a potential fine equivalent to approximately 1,260 dollars based on current exchange rates | |||||||||||||||||||||||||||||||||||||||||
Provisional liability | $ 61,000,000 | ||||||||||||||||||||||||||||||||||||||||||
Potential fine, Per unit | 1,260 | ||||||||||||||||||||||||||||||||||||||||||
Tax expense (income), continuing operations | $ 64,928,000 | 29,297,000 | 7,026,000 | ||||||||||||||||||||||||||||||||||||||||
Minera Yanacocha SRL and subsidiary [Member] | Los Tapados S.A [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Royalty rate on net sales | 3.00% | 3.00% | |||||||||||||||||||||||||||||||||||||||||
Sociedad Minera Cerro Verde S.A.A. [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Recoverability of litigation amount | 186,600,000 | ||||||||||||||||||||||||||||||||||||||||||
Disputed tax assessments paid | 396,500,000 | ||||||||||||||||||||||||||||||||||||||||||
Tax expense (income), continuing operations | $ 298,074,000 | 325,170,000 | 486,043,000 | ||||||||||||||||||||||||||||||||||||||||
Compania Minera Coimolache S.A. [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Tax expense (income), continuing operations | 23,362,000 | ||||||||||||||||||||||||||||||||||||||||||
Yanacocha [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Contingent liability | $ 61,000,000 | ||||||||||||||||||||||||||||||||||||||||||
Number of votes in favorable | Vote | 2 | ||||||||||||||||||||||||||||||||||||||||||
Number of votes cast against | Vote | 3 | ||||||||||||||||||||||||||||||||||||||||||
Minimum number of votes required for winning the case | Vote | 4 | ||||||||||||||||||||||||||||||||||||||||||
Estimated financial effect of contingent liabilities | $ 61,000,000 | ||||||||||||||||||||||||||||||||||||||||||
Withholding tax, New Tax Rate | 30.00% | 30.00% | |||||||||||||||||||||||||||||||||||||||||
Withholding tax rate | 12.00% | ||||||||||||||||||||||||||||||||||||||||||
Payment to acquire contractual positions in mining concession agreements | $ 29,000,000 | ||||||||||||||||||||||||||||||||||||||||||
Open Tax Procedure [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Collection of debt forced amount | S/ 120,262,000 | $ 36,322,000 | |||||||||||||||||||||||||||||||||||||||||
Appeal Proceedings Derivatives [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Contingent liability | S/ 1,514,000,000 | 456,000,000 | |||||||||||||||||||||||||||||||||||||||||
Estimated financial effect of contingent liabilities | 1,514,000,000 | 456,000,000 | |||||||||||||||||||||||||||||||||||||||||
Appeal Proceedings Provision for collection of Doubtful Debt and Unfounded Income Case [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Contingent liability | 515,000,000 | 155,000,000 | |||||||||||||||||||||||||||||||||||||||||
Provision for collection of doubtful debts | S/ 70,277,000 | 21,187,000 | |||||||||||||||||||||||||||||||||||||||||
Estimated financial effect of contingent liabilities | 515,000,000 | 155,000,000 | |||||||||||||||||||||||||||||||||||||||||
Legal Proceedings [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Contingent liability | 3,000,000 | 2,900,000 | |||||||||||||||||||||||||||||||||||||||||
Estimated financial effect of contingent liabilities | 3,000,000 | 2,900,000 | |||||||||||||||||||||||||||||||||||||||||
Potential fine | 0 | ||||||||||||||||||||||||||||||||||||||||||
Tax year 2009 and 2019 | Open Tax Procedure [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Declared tax deductions not recognized | S/ 76,023,000 | $ 22,919,000 | |||||||||||||||||||||||||||||||||||||||||
Compensation of tax losses | 561,758,000 | $ 169,357,000 | |||||||||||||||||||||||||||||||||||||||||
Tax year 2014 | Open Tax Procedure [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Disallowance of bonus paid to contractors | S/ 2,067,000 | $ 623,000 | |||||||||||||||||||||||||||||||||||||||||
Tax Year 2013 [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Number of installment payment programs | item | 2 | 2 | |||||||||||||||||||||||||||||||||||||||||
Tax Year 2013 [Member] | Open Tax Procedure [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Declared tax deductions not recognized | S/ 148,730,000 | 44,839,000 | |||||||||||||||||||||||||||||||||||||||||
Tax Year 2012 [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Amount Of Assessment including interest and penalties | 266,100,000 | $ 80,200,000 | |||||||||||||||||||||||||||||||||||||||||
Tax payment based on exchange rates | 19,800,000 | ||||||||||||||||||||||||||||||||||||||||||
Tax payment based on estimated due | 65,700,000 | 19,500,000 | |||||||||||||||||||||||||||||||||||||||||
Number of equal monthly payments | installment | 66 | ||||||||||||||||||||||||||||||||||||||||||
Deferred interest, interest and penalties | 45,700,000 | ||||||||||||||||||||||||||||||||||||||||||
Tax Year 2014 [Member] | Open Tax Procedure [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Declared tax deductions not recognized | 94,898,000 | 28,610,000 | |||||||||||||||||||||||||||||||||||||||||
Year 2007 [Member] | Open Tax Procedure [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Declared tax deductions not recognized | S/ 1,056,310,000 | $ 318,453,000 | |||||||||||||||||||||||||||||||||||||||||
Year 2008 [Member] | Open Tax Procedure [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Declared tax deductions not recognized | S/ 1,530,985,000 | $ 461,557,000 | |||||||||||||||||||||||||||||||||||||||||
December 2006 to December 2008 [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Tax payment based on exchange rates | $ 214,400,000 | ||||||||||||||||||||||||||||||||||||||||||
Tax payment based on estimated due | S/ 711,100,000 | $ 221,900,000 | |||||||||||||||||||||||||||||||||||||||||
December 2006 to December 2008 [Member] | Assessment Relating to Mining Royalties [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Payment of litigation amount | S/ 711,100,000 | $ 221,900,000 | |||||||||||||||||||||||||||||||||||||||||
Payment of litigation amount on exchange rate basis | $ 214,400,000 | ||||||||||||||||||||||||||||||||||||||||||
January 2009 To September 2011 [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Amount Of Assessment including interest and penalties | S/ 1,000,000,000 | $ 314,100,000 | 1,000,000,000 | 314,100,000 | |||||||||||||||||||||||||||||||||||||||
Tax payment based on exchange rates | 95,000,000 | ||||||||||||||||||||||||||||||||||||||||||
Tax payment based on estimated due | 315,100,000 | 94,700,000 | |||||||||||||||||||||||||||||||||||||||||
Number of installment payment programs | item | 2 | 2 | |||||||||||||||||||||||||||||||||||||||||
Number of equal monthly payments | installment | 66 | 66 | |||||||||||||||||||||||||||||||||||||||||
Deferred interest, interest and penalties | $ 202,800,000 | 202,800,000 | |||||||||||||||||||||||||||||||||||||||||
Fourth Quarter Of 2011 [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Amount Of Assessment including interest and penalties | S/ 57,600,000 | $ 17,300,000 | |||||||||||||||||||||||||||||||||||||||||
Tax payment based on exchange rates | $ 17,400,000 | ||||||||||||||||||||||||||||||||||||||||||
Tax payment based on estimated due | S/ 57,600,000 | $ 17,300,000 | |||||||||||||||||||||||||||||||||||||||||
Fourth Quarter Of 2011 To The Fourth Quarter Of 2012 [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Amount Of Assessment including interest and penalties | 255,800,000 | 77,100,000 | |||||||||||||||||||||||||||||||||||||||||
Number of equal monthly payments | installment | 66 | ||||||||||||||||||||||||||||||||||||||||||
Deferred interest, interest and penalties | 40,500,000 | ||||||||||||||||||||||||||||||||||||||||||
Empresa de Generacion Huanza S.A. [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Contingent liability | 6,999,000 | 6,396,000 | 2,110,000 | 1,893,000 | |||||||||||||||||||||||||||||||||||||||
Estimated financial effect of contingent liabilities | 6,999,000 | 6,396,000 | 2,110,000 | $ 1,893,000 | |||||||||||||||||||||||||||||||||||||||
Empresa de Generacion Huanza S.A. [Member] | Tax year 2014 | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Unrecognized Depreciation expense | S/ 27,532,000 | $ 8,300,000 | |||||||||||||||||||||||||||||||||||||||||
Procesadora Industrial Rio Seco S.A. [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Collection of debt forced amount | S/ 11,153,000 | $ 3,368,000 | |||||||||||||||||||||||||||||||||||||||||
Procesadora Industrial Rio Seco S.A. [Member] | Omission of Payment of General Sales Tax [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Contingent liability | 1,815,000 | 547,000 | |||||||||||||||||||||||||||||||||||||||||
Estimated financial effect of contingent liabilities | S/ 1,815,000 | $ 547,000 | |||||||||||||||||||||||||||||||||||||||||
San Jose Reservoir Trust [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Outstanding commitments made by entity, related party transactions | $ 6,321,000 | ||||||||||||||||||||||||||||||||||||||||||
Other Subsidiaries [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Tax expense (income), continuing operations | 4,654,000 | 1,403,000 | |||||||||||||||||||||||||||||||||||||||||
Minera La Zanja S.R.L. [Member] | Tax year 2013 and 2015 | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Disallowance of development cost | 2,952,000 | $ 890,000 | S/ 2,692,000 | $ 797,000 | |||||||||||||||||||||||||||||||||||||||
Compania Minera Colquirrumi S.A. [Member] | Compania Minera Coimolache S.A. [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Letter of credit | 23,696,000 | ||||||||||||||||||||||||||||||||||||||||||
El Brocal [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Contingent liability | 7,014,000 | 2,114,000 | |||||||||||||||||||||||||||||||||||||||||
Aggregate of compensation lost profit | $ 36,300,000 | ||||||||||||||||||||||||||||||||||||||||||
Estimated financial effect of contingent liabilities | 7,014,000 | 2,114,000 | |||||||||||||||||||||||||||||||||||||||||
El Brocal [Member] | Development Cost of Smelter Project [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Development cost | S/ | S/ 13,930,000 | ||||||||||||||||||||||||||||||||||||||||||
El Brocal [Member] | Tax Year 2011 [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Current income tax liabilities | S/ 8,333,000 | $ 2,512,000 | |||||||||||||||||||||||||||||||||||||||||
El Brocal [Member] | Tax Year 2012 [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Tax assessment value | S/ 4,030,000 | $ 1,215,000 | |||||||||||||||||||||||||||||||||||||||||
El Brocal [Member] | Tax Year 2015 [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Number of tailings depreciation rate questioned | item | 2 | 2 | |||||||||||||||||||||||||||||||||||||||||
Amount disbursed recorded as an account receivable | S/ 1,456,000 | $ 439,000 | |||||||||||||||||||||||||||||||||||||||||
El Brocal [Member] | Tax Year 2015 [Member] | Development Cost of Smelter Project [Member] | SUNAT | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Contingent liability | S/ 3,412,000 | 1,029,000 | |||||||||||||||||||||||||||||||||||||||||
Development cost | $ 4,200,000 | ||||||||||||||||||||||||||||||||||||||||||
Estimated financial effect of contingent liabilities | S/ 3,412,000 | $ 1,029,000 | |||||||||||||||||||||||||||||||||||||||||
Sindicato Minero de Orcopampa S.A., note 29(b) [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Lease concession expense, Percent | 10.00% | 10.00% | |||||||||||||||||||||||||||||||||||||||||
S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Royalty rate on net sales | 3.00% | 3.00% | |||||||||||||||||||||||||||||||||||||||||
Bottom of range [member] | Machinery and equipment | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Term of lease | 1 year | 1 year | |||||||||||||||||||||||||||||||||||||||||
Bottom of range [member] | Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Potential fine | $ 0 | ||||||||||||||||||||||||||||||||||||||||||
Bottom of range [member] | Sociedad Minera Cerro Verde S.A.A. [Member] | Machinery and equipment | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Term of lease | 4 years | 4 years | |||||||||||||||||||||||||||||||||||||||||
Bottom of range [member] | Legal Proceedings [Member] | Yanacocha [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Potential fine | $ 22,200 | ||||||||||||||||||||||||||||||||||||||||||
Bottom of range [member] | OEFA [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Number of units under violation | item | 0 | 0 | |||||||||||||||||||||||||||||||||||||||||
Bottom of range [member] | Water Authority of Cajamarca [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Number of units under violation | item | 0 | 0 | |||||||||||||||||||||||||||||||||||||||||
Bottom of range [member] | Cerro Verde [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Royalty rate on net sales | 1.00% | ||||||||||||||||||||||||||||||||||||||||||
Bottom of range [member] | Cerro Verde [Member] | New guarantee contract [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Royalty rate on net sales | 1.00% | ||||||||||||||||||||||||||||||||||||||||||
Top of range [member] | Machinery and equipment | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Term of lease | 3 years | 3 years | |||||||||||||||||||||||||||||||||||||||||
Top of range [member] | Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Potential fine | $ 22,200,000 | ||||||||||||||||||||||||||||||||||||||||||
Top of range [member] | Sociedad Minera Cerro Verde S.A.A. [Member] | Machinery and equipment | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Term of lease | 14 years | 14 years | |||||||||||||||||||||||||||||||||||||||||
Top of range [member] | OEFA [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Number of units under violation | item | 17,642 | 17,642 | |||||||||||||||||||||||||||||||||||||||||
Top of range [member] | Water Authority of Cajamarca [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Number of units under violation | item | 10 | 10 | |||||||||||||||||||||||||||||||||||||||||
Top of range [member] | Cerro Verde [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Royalty rate on net sales | 3.00% | 3.00% | |||||||||||||||||||||||||||||||||||||||||
Top of range [member] | Cerro Verde [Member] | New guarantee contract [Member] | |||||||||||||||||||||||||||||||||||||||||||
Disclosure of Commitments and contingencies [Line Items] | |||||||||||||||||||||||||||||||||||||||||||
Royalty rate on net sales | 12.00% |
Transactions with associates _2
Transactions with associates companies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Transactions with associates companies [Line Items] | |||
Royalty income | $ 22,297 | $ 20,385 | $ 20,739 |
Energy income | 3,181 | 3,002 | 2,137 |
Supplies income | 1,259 | 27 | 4 |
Minerals income | 683 | 1,321 | 1,414 |
Revenue from mining concessions, property, plant and equipment | 11 | 30 | 336 |
Purchase of supplies from related party | 9 | 44 | 27 |
Sales of services | 23,661 | 24,001 | 29,697 |
Cash receipts from loans made to related parties | 0 | 0 | 124,800 |
Interest income on loans made to related party | 86 | 92 | 1,685 |
Dividends paid to non-controlling shareholders | 6,500 | 5,560 | 6,036 |
Energy transmission [Member] | |||
Disclosure Of Transactions with associates companies [Line Items] | |||
Sales of services | 287 | 393 | 559 |
Engineering service [Member] | |||
Disclosure Of Transactions with associates companies [Line Items] | |||
Sales of services | 0 | 348 | 1,119 |
Operation and maintenance [Member] | |||
Disclosure Of Transactions with associates companies [Line Items] | |||
Sales of services | 287 | 290 | 593 |
Administrative and Management services [Member] | |||
Disclosure Of Transactions with associates companies [Line Items] | |||
Sales of services | 359 | 214 | 149 |
Constructions services [Member] | |||
Disclosure Of Transactions with associates companies [Line Items] | |||
Sales of services | 4 | 0 | 1,332 |
Compania Minera Coimolache S.A. [Member] | |||
Disclosure Of Transactions with associates companies [Line Items] | |||
Dividends received and collected | 4,011 | 7,623 | 9,823 |
Sociedad Minera Cerro Verde Saa [Member] | |||
Disclosure Of Transactions with associates companies [Line Items] | |||
Dividends received and collected | 29,377 | 39,169 | 0 |
Cash receipts from loans made to related parties | 0 | 0 | 124,800 |
Interest income on loans made to related party | 0 | 0 | 1,685 |
Transportadora Callao SA [Member] | |||
Disclosure Of Transactions with associates companies [Line Items] | |||
Interest income on loans made to related party | 86 | 92 | 0 |
Newmont Peru Limited [Member] | |||
Disclosure Of Transactions with associates companies [Line Items] | |||
Dividends paid to non-controlling shareholders | $ 6,500 | $ 5,560 | $ 6,036 |
Transactions with associates _3
Transactions with associates companies - Accounts receivable, payable from/to associates (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure Of Transactions with associates companies [Line Items] | ||
Trade receivables | $ 204,096 | $ 146,701 |
Other Receivables | 172,131 | 105,607 |
Total trade and other payables total | 80 | 56 |
Associates [member] | ||
Disclosure Of Transactions with associates companies [Line Items] | ||
Trade receivables | 6,247 | 7,177 |
Other Receivables | 2,967 | 3,705 |
Trade and other receivable total | 9,214 | 10,882 |
Trade payables | 29 | 36 |
Others [Member] | ||
Disclosure Of Transactions with associates companies [Line Items] | ||
Other payables | 51 | 20 |
Minera Yanacocha S.R.L. [Member] | Associates [member] | ||
Disclosure Of Transactions with associates companies [Line Items] | ||
Trade receivables | 5,920 | 6,791 |
Compania Minera Coimolache S.A. [Member] | Associates [member] | ||
Disclosure Of Transactions with associates companies [Line Items] | ||
Trade receivables | 327 | 386 |
Other Receivables | 1,016 | 1,234 |
Trade payables | 27 | 36 |
Sociedad Minera Cerro Verde Saa [Member] | Associates [member] | ||
Disclosure Of Transactions with associates companies [Line Items] | ||
Trade payables | 2 | 0 |
Transportadora Callao SA [Member] | Associates [member] | ||
Disclosure Of Transactions with associates companies [Line Items] | ||
Other Receivables | $ 1,951 | $ 2,471 |
Transactions with associates _4
Transactions with associates companies - Key executives' compensation (Details) - Key management personnel of entity or parent [member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure Of Transactions with associates companies [Line Items] | ||
Directors remuneration | $ 1,746 | $ 2,628 |
Salaries | 1,020 | 1,057 |
Provision for bonus to officers | 6,205 | 6,345 |
Total compensation | 8,971 | 10,030 |
Disbursement of salaries | 12,690 | 12,908 |
Disbursement of directors' compensations | 1,746 | 2,628 |
Key management personnel compensation | $ 14,436 | $ 15,536 |
Transactions with related com_2
Transactions with related companies - Related income taxes assumed (Details) - Minera Yanacocha SRL and subsidiary [Member] - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Balance receivable from related parties [Abstract] | ||
Amounts receivable, related party transactions | $ 598 | $ 794 |
Balance payable to related parties [Abstract] | ||
Amounts payable, related party transactions | 11,426 | 10,846 |
S.M.R.L. Chaupiloma Dos de Cajamarca c [Member] | ||
Balance payable to related parties [Abstract] | ||
Amounts payable, related party transactions | 4,863 | 5,461 |
NVL, USA Limited, Delaware [Member] | ||
Balance receivable from related parties [Abstract] | ||
Amounts receivable, related party transactions | 102 | 321 |
Newmont USA Limited [Member] | ||
Balance receivable from related parties [Abstract] | ||
Amounts receivable, related party transactions | 144 | 207 |
Balance payable to related parties [Abstract] | ||
Amounts payable, related party transactions | 1,034 | 1,067 |
Newmont International Service Limited [Member] | ||
Balance receivable from related parties [Abstract] | ||
Amounts receivable, related party transactions | 168 | 194 |
Balance payable to related parties [Abstract] | ||
Amounts payable, related party transactions | 3,297 | 2,059 |
Suriname Gold Company [Member] | ||
Balance receivable from related parties [Abstract] | ||
Amounts receivable, related party transactions | 135 | 0 |
Newmont Global Employment Limited [Member] | ||
Balance receivable from related parties [Abstract] | ||
Amounts receivable, related party transactions | 20 | 22 |
Newmont Peru S.R.L [Member] | ||
Balance receivable from related parties [Abstract] | ||
Amounts receivable, related party transactions | 26 | 22 |
Balance payable to related parties [Abstract] | ||
Amounts payable, related party transactions | 1,101 | 1,460 |
Suriname Gold Company LLC [Member] | ||
Balance receivable from related parties [Abstract] | ||
Amounts receivable, related party transactions | 0 | 18 |
Newmont Technologies Limited [Member] | ||
Balance payable to related parties [Abstract] | ||
Amounts payable, related party transactions | 1,042 | 634 |
Newmont USA Limited Carlin [Member] | ||
Balance receivable from related parties [Abstract] | ||
Amounts receivable, related party transactions | 0 | 10 |
Balance payable to related parties [Abstract] | ||
Amounts payable, related party transactions | 3 | 163 |
Others [Member] | ||
Balance receivable from related parties [Abstract] | ||
Amounts receivable, related party transactions | 3 | 0 |
Balance payable to related parties [Abstract] | ||
Amounts payable, related party transactions | $ 86 | $ 2 |
Transactions with related com_3
Transactions with related companies - Transactions with related parties (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |||
Royalty Expense | $ 12,832 | $ 21,388 | $ 30,884 |
Minera Yanacocha SRL and subsidiary [Member] | |||
Related Party Transactions [Abstract] | |||
Royalty Expense | 23,000 | 26,000 | |
Minera Yanacocha SRL and subsidiary [Member] | S.M.R.L. Chaupiloma Dos de Cajamarca [Member] | |||
Related Party Transactions [Abstract] | |||
Royalty Expense | 22,297 | 20,385 | 20,739 |
Minera Yanacocha SRL and subsidiary [Member] | Newmont Peru S.R.L [Member] | |||
Services rendered by [Abstract] | |||
Expense arising from exploration for and evaluation of mineral resources | 10,729 | 12,837 | 8,985 |
Minera Yanacocha SRL and subsidiary [Member] | Newmont USA Limited [Member] | |||
Services rendered by [Abstract] | |||
Expense arising from exploration for and evaluation of mineral resources | 4,118 | 5,381 | 5,607 |
Minera Yanacocha SRL and subsidiary [Member] | Newmont International Services [Member] | |||
Services rendered by [Abstract] | |||
Expense arising from exploration for and evaluation of mineral resources | $ 10,822 | $ 5,181 | $ 281 |
Transactions with associates _5
Transactions with associates companies - Additional information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure Of Transactions with associates companies [Line Items] | ||
LIBOR interest rate on accounts receivable | 6.25% | |
Related parties [member] | ||
Disclosure Of Transactions with associates companies [Line Items] | ||
Amounts receivable, related party transactions | $ 31,000 | $ 19,000 |
Minera Yanacocha S.R.L. [Member] | ||
Disclosure Of Transactions with associates companies [Line Items] | ||
Royalty percentage | 3 |
Disclosure of information on _3
Disclosure of information on segments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Operating income | |||
Net sale of goods | $ 821,930 | $ 1,106,329 | $ 1,187,206 |
Net sale of services | 23,661 | 24,001 | 29,697 |
Royalty income | 22,297 | 20,385 | 20,739 |
Total operating income | 867,888 | 1,150,715 | 1,237,642 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (512,874) | (613,381) | (604,650) |
Cost of services | (3,378) | (4,318) | (12,954) |
Exploration in operating units | 44,163 | 89,730 | 89,311 |
Depreciation and amortization | (226,335) | (238,879) | (210,154) |
Mining royalties | (12,832) | (21,388) | (30,884) |
Total operating costs | (799,582) | (967,696) | (947,953) |
Gross profit (loss) | 68,306 | 183,019 | 289,689 |
Operating expenses, net | |||
Administrative expenses | 76,297 | 77,099 | 80,666 |
Exploration in non-operating areas | 11,879 | 36,307 | 18,262 |
Selling expenses | (24,313) | (26,948) | (23,043) |
Impairment loss of long-lived assets | (2,083) | (5,693) | (21,620) |
Provision for contingencies and others | (2,968) | (11,248) | 13,740 |
Write - off of stripping activity asset | 0 | 0 | 13,573 |
Other, net | 14,715 | (1,308) | (13,230) |
Total operating expenses, net | (126,319) | (124,721) | (184,134) |
Total operating expenses, net | (126,319) | (124,721) | (184,134) |
Operating profit (loss) | (58,013) | 58,298 | 105,555 |
Other income (expense),net | |||
Finance income | 9,675 | 9,685 | 5,517 |
Net gain (loss) from currency exchange difference | (734) | (1,384) | 2,939 |
Share in the results of associates under equity method | 47,710 | (1,144) | 13,207 |
Finance costs | (42,173) | (38,422) | (34,551) |
Total other income (expenses), net | 14,478 | (31,265) | (12,888) |
Profit (loss) before income tax | (43,535) | 27,033 | 92,667 |
Income tax | 25,590 | (26,879) | (17,888) |
Income tax Current | 11,911 | 16,882 | 23,713 |
Income tax Deferred | 37,501 | (9,997) | 5,825 |
Profit (loss) from continued operations | (17,945) | 154 | 74,779 |
Loss from discontinued operations, see note 1(e) | (10,514) | (11,808) | (10,344) |
Net profit (loss) for the year | (28,459) | (11,654) | 64,435 |
Total assets | 4,107,274 | 4,217,221 | 4,332,813 |
Total liability | 1,139,074 | 1,187,656 | 1,269,186 |
Other segment information | |||
Investment in associates | 1,488,247 | 1,473,382 | 1,536,887 |
Capital Expenditures | 102,627 | 111,270 | 259,507 |
Changes in estimates of mine closures plans | 26,722 | 42,874 | 10,594 |
Fair value for contingent consideration liability | (655) | 1,815 | 1,773 |
Accounts receivable from sale of assets | 21,648 | 2,715 | 5,371 |
Exploration and development mining projects [Member] | |||
Operating income | |||
Net sale of goods | 0 | 0 | 0 |
Net sale of services | 0 | 0 | 0 |
Royalty income | 0 | 0 | 0 |
Total operating income | 0 | 0 | 0 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | 0 | 0 | 0 |
Cost of services | 0 | 0 | 0 |
Exploration in operating units | 0 | 0 | 0 |
Depreciation and amortization | 0 | 0 | 0 |
Mining royalties | 0 | 0 | 0 |
Total operating costs | 0 | 0 | 0 |
Gross profit (loss) | 0 | 0 | 0 |
Operating expenses, net | |||
Administrative expenses | 2,416 | 3,143 | 1,604 |
Exploration in non-operating areas | (90) | (2,883) | (2,771) |
Selling expenses | 0 | 0 | 0 |
Impairment loss of long-lived assets | 0 | 0 | 0 |
Provision for contingencies and others | (40) | (6,130) | (4,657) |
Write - off of stripping activity asset | 0 | ||
Other, net | 419 | 138 | (94) |
Total operating expenses, net | (2,965) | 242 | (9,126) |
Operating profit (loss) | (2,965) | 242 | (9,126) |
Other income (expense),net | |||
Finance income | 14 | 0 | 0 |
Net gain (loss) from currency exchange difference | (156) | (846) | 537 |
Share in the results of associates under equity method | 0 | 0 | 0 |
Finance costs | (561) | (222) | (131) |
Total other income (expenses), net | (703) | (1,068) | 406 |
Profit (loss) before income tax | (3,668) | (826) | (8,720) |
Income tax | 0 | ||
Income tax Current | 0 | 0 | |
Income tax Deferred | 0 | 0 | |
Profit (loss) from continued operations | (3,668) | (826) | (8,720) |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 398,838 | 372,344 | 342,759 |
Total liability | 23,223 | 18,986 | 14,527 |
Other segment information | |||
Investment in associates | 0 | 0 | 0 |
Capital Expenditures | 26,494 | 17,141 | 13,733 |
Changes in estimates of mine closures plans | 0 | 9,063 | 67 |
Fair value for contingent consideration liability | 0 | 1,815 | 0 |
Accounts receivable from sale of assets | 0 | 0 | 0 |
Construction and engineering [Member] | |||
Operating income | |||
Net sale of goods | 0 | ||
Net sale of services | 10,603 | ||
Royalty income | 0 | ||
Total operating income | 10,603 | ||
Operating costs | |||
Cost of sales, excluding depreciation and amortization | 0 | ||
Cost of services | (9,393) | ||
Exploration in operating units | 0 | ||
Depreciation and amortization | (129) | ||
Mining royalties | 0 | ||
Total operating costs | (9,522) | ||
Gross profit (loss) | 1,081 | ||
Operating expenses, net | |||
Administrative expenses | 3,606 | ||
Exploration in non-operating areas | 0 | ||
Selling expenses | 0 | ||
Impairment loss of long-lived assets | 0 | ||
Provision for contingencies and others | 100 | ||
Write - off of stripping activity asset | 0 | ||
Other, net | 1,129 | ||
Total operating expenses, net | (2,377) | ||
Operating profit (loss) | (1,296) | ||
Other income (expense),net | |||
Finance income | 0 | ||
Net gain (loss) from currency exchange difference | 105 | ||
Share in the results of associates under equity method | 0 | ||
Finance costs | (370) | ||
Total other income (expenses), net | (265) | ||
Profit (loss) before income tax | (1,561) | ||
Income tax | 400 | ||
Profit (loss) from continued operations | (1,961) | ||
Loss from discontinued operations, see note 1(e) | 0 | ||
Net profit (loss) for the year | 0 | ||
Total assets | 14,004 | ||
Total liability | 5,153 | ||
Other segment information | |||
Investment in associates | 0 | ||
Capital Expenditures | 3 | ||
Changes in estimates of mine closures plans | 0 | ||
Fair value for contingent consideration liability | 0 | ||
Accounts receivable from sale of assets | 4,053 | ||
Energy generation and transmission [Member] | |||
Operating income | |||
Net sale of goods | 0 | 0 | 0 |
Net sale of services | 59,690 | 62,962 | 60,639 |
Royalty income | 0 | 0 | 0 |
Total operating income | 59,690 | 62,962 | 60,639 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | 0 | 0 | 0 |
Cost of services | (22,209) | (25,499) | (25,556) |
Exploration in operating units | 0 | 0 | 0 |
Depreciation and amortization | (10,075) | (10,248) | (9,651) |
Mining royalties | 0 | 0 | 0 |
Total operating costs | (32,284) | (35,747) | (35,207) |
Gross profit (loss) | 27,406 | 27,215 | 25,432 |
Operating expenses, net | |||
Administrative expenses | 4,073 | 3,972 | 2,423 |
Exploration in non-operating areas | 0 | 0 | 0 |
Selling expenses | (1,115) | (1,173) | (1,264) |
Impairment loss of long-lived assets | 0 | 0 | 0 |
Provision for contingencies and others | 166 | 56 | 312 |
Write - off of stripping activity asset | 0 | ||
Other, net | (13,813) | 562 | (94) |
Total operating expenses, net | 8,791 | (4,639) | (3,469) |
Operating profit (loss) | 36,197 | 22,576 | 21,963 |
Other income (expense),net | |||
Finance income | 263 | 179 | 139 |
Net gain (loss) from currency exchange difference | 62 | (346) | 294 |
Share in the results of associates under equity method | 10,374 | 8,589 | 8,573 |
Finance costs | (7,483) | (7,576) | (10,354) |
Total other income (expenses), net | 3,216 | 846 | (1,348) |
Profit (loss) before income tax | 39,413 | 23,422 | 20,615 |
Income tax | 3,491 | ||
Income tax Current | (4,044) | 0 | |
Income tax Deferred | (5,515) | (7,584) | |
Profit (loss) from continued operations | 29,854 | 15,838 | 17,124 |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 382,481 | 366,354 | 360,610 |
Total liability | 183,426 | 197,152 | 205,247 |
Other segment information | |||
Investment in associates | 89,786 | 0 | 0 |
Capital Expenditures | 223 | 118 | 852 |
Changes in estimates of mine closures plans | 0 | 0 | 0 |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 21,023 | 0 | 0 |
Insurance brokerage [Member] | |||
Operating income | |||
Net sale of goods | 0 | 0 | 0 |
Net sale of services | 15,687 | 14,986 | 14,377 |
Royalty income | 0 | 0 | 0 |
Total operating income | 15,687 | 14,986 | 14,377 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | 0 | 0 | 0 |
Cost of services | 0 | 0 | 0 |
Exploration in operating units | 0 | 0 | 0 |
Depreciation and amortization | 0 | 0 | 0 |
Mining royalties | 0 | 0 | 0 |
Total operating costs | 0 | 0 | 0 |
Gross profit (loss) | 15,687 | 14,986 | 14,377 |
Operating expenses, net | |||
Administrative expenses | 11,607 | 11,900 | 12,288 |
Exploration in non-operating areas | 0 | 0 | 0 |
Selling expenses | 0 | 0 | 0 |
Impairment loss of long-lived assets | 0 | 0 | 0 |
Provision for contingencies and others | 0 | 0 | 0 |
Write - off of stripping activity asset | 0 | ||
Other, net | 0 | 0 | (4) |
Total operating expenses, net | (11,607) | (11,900) | (12,292) |
Operating profit (loss) | 4,080 | 3,086 | 2,085 |
Other income (expense),net | |||
Finance income | 15 | 0 | 1 |
Net gain (loss) from currency exchange difference | (119) | 19 | (75) |
Share in the results of associates under equity method | 0 | 0 | 0 |
Finance costs | (89) | (2) | (6) |
Total other income (expenses), net | (193) | 17 | (80) |
Profit (loss) before income tax | 3,887 | 3,103 | 2,005 |
Income tax | 742 | ||
Income tax Current | (1,223) | 0 | |
Income tax Deferred | 91 | 0 | |
Profit (loss) from continued operations | 2,755 | 3,103 | 1,263 |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 13,822 | 12,154 | 9,004 |
Total liability | 6,007 | 4,597 | 4,616 |
Other segment information | |||
Investment in associates | 0 | 0 | 0 |
Capital Expenditures | 85 | 0 | 14 |
Changes in estimates of mine closures plans | 0 | 0 | 0 |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 0 | 0 | 0 |
Rental of mining concessions [Member] | |||
Operating income | |||
Net sale of goods | 0 | 0 | 0 |
Net sale of services | 0 | 0 | 0 |
Royalty income | 22,297 | 20,385 | 20,739 |
Total operating income | 22,297 | 20,385 | 20,739 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | 0 | 0 | 0 |
Cost of services | 0 | 0 | 0 |
Exploration in operating units | 0 | 0 | 0 |
Depreciation and amortization | 0 | 0 | 0 |
Mining royalties | 0 | 0 | 0 |
Total operating costs | 0 | 0 | 0 |
Gross profit (loss) | 22,297 | 20,385 | 20,739 |
Operating expenses, net | |||
Administrative expenses | 188 | 220 | 90 |
Exploration in non-operating areas | 0 | 0 | 0 |
Selling expenses | 0 | 0 | 0 |
Impairment loss of long-lived assets | 0 | 0 | 0 |
Provision for contingencies and others | 0 | 0 | 0 |
Write - off of stripping activity asset | 0 | ||
Other, net | (135) | 0 | (1) |
Total operating expenses, net | (53) | (220) | (91) |
Operating profit (loss) | 22,244 | 20,165 | 20,648 |
Other income (expense),net | |||
Finance income | 30 | 21 | 7 |
Net gain (loss) from currency exchange difference | (9) | 18 | (41) |
Share in the results of associates under equity method | 0 | 0 | 0 |
Finance costs | (4) | (11) | (2) |
Total other income (expenses), net | 17 | 28 | (36) |
Profit (loss) before income tax | 22,261 | 20,193 | 20,612 |
Income tax | 6,044 | ||
Income tax Current | (6,546) | (6,025) | |
Income tax Deferred | 0 | 0 | |
Profit (loss) from continued operations | 15,715 | 14,168 | 14,568 |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 6,252 | 7,154 | 6,611 |
Total liability | 2,286 | 2,653 | 2,378 |
Other segment information | |||
Investment in associates | 0 | 0 | 0 |
Capital Expenditures | 0 | 0 | 0 |
Changes in estimates of mine closures plans | 0 | 0 | 0 |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 0 | 0 | 0 |
Holding of investment in shares [Member] | |||
Operating income | |||
Net sale of goods | 0 | 0 | 0 |
Net sale of services | 615 | 615 | 615 |
Royalty income | 0 | 0 | 0 |
Total operating income | 615 | 615 | 615 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | 0 | 0 | 0 |
Cost of services | 0 | 0 | 0 |
Exploration in operating units | 0 | 0 | 0 |
Depreciation and amortization | 0 | 0 | 0 |
Mining royalties | 0 | 0 | 0 |
Total operating costs | 0 | 0 | 0 |
Gross profit (loss) | 615 | 615 | 615 |
Operating expenses, net | |||
Administrative expenses | 363 | 512 | 413 |
Exploration in non-operating areas | 0 | 0 | 0 |
Selling expenses | 0 | 0 | 0 |
Impairment loss of long-lived assets | 0 | 0 | 0 |
Provision for contingencies and others | 0 | 0 | 0 |
Write - off of stripping activity asset | 0 | ||
Other, net | (79) | 2,773 | 0 |
Total operating expenses, net | (284) | 2,261 | (413) |
Operating profit (loss) | 331 | 2,876 | 202 |
Other income (expense),net | |||
Finance income | 10 | 8 | 1 |
Net gain (loss) from currency exchange difference | (9) | 2 | (4) |
Share in the results of associates under equity method | (53,143) | (25,517) | (66,187) |
Finance costs | (6) | (25) | (2) |
Total other income (expenses), net | (53,148) | (25,532) | (66,192) |
Profit (loss) before income tax | (52,817) | (22,656) | (65,990) |
Income tax | 38 | ||
Income tax Current | (39) | (444) | |
Income tax Deferred | 0 | 0 | |
Profit (loss) from continued operations | (52,856) | (23,100) | (66,028) |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 458,212 | 520,484 | 988,841 |
Total liability | 101 | 603 | 414 |
Other segment information | |||
Investment in associates | 232,154 | 0 | 0 |
Capital Expenditures | 0 | 0 | 0 |
Changes in estimates of mine closures plans | 0 | 0 | 0 |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 0 | 1,622 | 0 |
Industrial activities [Member] | |||
Operating income | |||
Net sale of goods | 6,046 | 6,655 | 6,317 |
Net sale of services | 19,557 | 19,908 | 19,658 |
Royalty income | 0 | 0 | 0 |
Total operating income | 25,603 | 26,563 | 25,975 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (8,517) | (6,280) | (6,043) |
Cost of services | (6,167) | (8,966) | (9,354) |
Exploration in operating units | 0 | 0 | 0 |
Depreciation and amortization | (11,979) | (11,483) | (11,134) |
Mining royalties | 0 | 0 | 0 |
Total operating costs | (26,663) | (26,729) | (26,531) |
Gross profit (loss) | (1,060) | (166) | (556) |
Operating expenses, net | |||
Administrative expenses | 1,310 | 1,627 | 1,203 |
Exploration in non-operating areas | 0 | 0 | 0 |
Selling expenses | (1,324) | (924) | (775) |
Impairment loss of long-lived assets | 0 | 0 | 0 |
Provision for contingencies and others | 0 | (2) | 0 |
Write - off of stripping activity asset | 0 | ||
Other, net | (341) | 194 | 216 |
Total operating expenses, net | (2,293) | (2,355) | (1,762) |
Operating profit (loss) | (3,353) | (2,521) | (2,318) |
Other income (expense),net | |||
Finance income | 277 | 127 | 79 |
Net gain (loss) from currency exchange difference | 208 | (482) | 497 |
Share in the results of associates under equity method | 0 | 0 | 0 |
Finance costs | (990) | (932) | (941) |
Total other income (expenses), net | (505) | (1,287) | (365) |
Profit (loss) before income tax | (3,858) | (3,808) | (2,683) |
Income tax | (1,818) | ||
Income tax Current | 0 | (2) | |
Income tax Deferred | 1,554 | 106 | |
Profit (loss) from continued operations | (2,304) | (3,704) | (865) |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 104,335 | 106,391 | 109,669 |
Total liability | 20,918 | 20,671 | 20,245 |
Other segment information | |||
Investment in associates | 0 | 0 | 0 |
Capital Expenditures | 1,443 | 1,816 | 459 |
Changes in estimates of mine closures plans | 0 | 0 | 0 |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 0 | 0 | 0 |
Corporates [Member] | |||
Operating income | |||
Net sale of goods | 0 | 34,650 | |
Net sale of services | 0 | 0 | |
Royalty income | 0 | 0 | |
Total operating income | 0 | 34,650 | |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | 0 | (34,029) | |
Cost of services | 0 | 0 | |
Exploration in operating units | 0 | 0 | |
Depreciation and amortization | 0 | 0 | |
Mining royalties | 0 | 0 | |
Total operating costs | 0 | (34,029) | |
Gross profit (loss) | 0 | 621 | |
Operating expenses, net | |||
Administrative expenses | (2,377) | (443) | |
Exploration in non-operating areas | (4,091) | (5,052) | |
Selling expenses | 0 | (167) | |
Impairment loss of long-lived assets | 0 | 0 | |
Provision for contingencies and others | 111 | 378 | |
Write - off of stripping activity asset | 0 | ||
Other, net | (2,235) | (2,012) | |
Total operating expenses, net | (4,060) | (6,410) | |
Operating profit (loss) | (4,060) | (5,789) | |
Other income (expense),net | |||
Finance income | 9,293 | 5,614 | |
Net gain (loss) from currency exchange difference | (206) | 1,365 | |
Share in the results of associates under equity method | 15,081 | 21,194 | |
Finance costs | (17,194) | (8,980) | |
Total other income (expenses), net | 6,974 | 19,193 | |
Profit (loss) before income tax | 2,914 | 13,404 | |
Income tax | 9,052 | ||
Income tax Current | 0 | ||
Income tax Deferred | 9,514 | ||
Profit (loss) from continued operations | 12,428 | 4,352 | |
Loss from discontinued operations, see note 1(e) | 0 | 0 | |
Net profit (loss) for the year | 0 | 0 | |
Total assets | 2,421,547 | 1,950,147 | |
Total liability | 425,893 | 431,505 | |
Other segment information | |||
Investment in associates | 1,473,382 | 1,536,887 | |
Capital Expenditures | 2,968 | 2,189 | |
Changes in estimates of mine closures plans | (341) | 6 | |
Fair value for contingent consideration liability | 0 | 1,773 | |
Accounts receivable from sale of assets | 1,093 | 1,318 | |
Ucchuchacua [Member] | |||
Operating income | |||
Net sale of goods | 186,016 | 257,282 | 272,334 |
Net sale of services | 0 | 0 | 0 |
Royalty income | 0 | 0 | 0 |
Total operating income | 186,016 | 257,282 | 272,334 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (128,523) | (151,817) | (143,288) |
Cost of services | 0 | 0 | 0 |
Exploration in operating units | 8,917 | (20,898) | (27,068) |
Depreciation and amortization | (21,053) | (26,181) | (23,899) |
Mining royalties | (1,955) | (2,243) | (2,280) |
Total operating costs | (160,448) | (201,139) | (196,535) |
Gross profit (loss) | 25,568 | 56,143 | 75,799 |
Operating expenses, net | |||
Administrative expenses | 16,115 | 24,119 | 19,473 |
Exploration in non-operating areas | (2,534) | (18,339) | (2,676) |
Selling expenses | (6,876) | (8,213) | (6,078) |
Impairment loss of long-lived assets | 0 | 0 | 0 |
Provision for contingencies and others | (183) | (6,784) | (7,040) |
Write - off of stripping activity asset | 0 | ||
Other, net | 4,147 | (5,953) | (1,799) |
Total operating expenses, net | (29,855) | (49,840) | (37,066) |
Operating profit (loss) | (4,287) | 6,303 | 38,733 |
Other income (expense),net | |||
Finance income | 0 | 0 | 0 |
Net gain (loss) from currency exchange difference | (124) | 196 | 31 |
Share in the results of associates under equity method | 0 | 0 | 0 |
Finance costs | (532) | (308) | (285) |
Total other income (expenses), net | (656) | (112) | (254) |
Profit (loss) before income tax | (4,943) | 6,191 | 38,479 |
Income tax | 1,101 | ||
Income tax Current | 0 | (768) | |
Income tax Deferred | 0 | 0 | |
Profit (loss) from continued operations | (4,943) | 5,423 | 37,378 |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 146,486 | 126,374 | 146,464 |
Total liability | 42,265 | 45,227 | 49,723 |
Other segment information | |||
Investment in associates | 0 | 0 | 0 |
Capital Expenditures | 31,479 | 18,429 | 18,127 |
Changes in estimates of mine closures plans | 176 | 4,101 | 1,380 |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 0 | 0 | 0 |
Orcopampa [Member] | |||
Operating income | |||
Net sale of goods | 58,902 | 153,003 | 256,960 |
Net sale of services | 0 | 0 | 0 |
Royalty income | 0 | 0 | 0 |
Total operating income | 58,902 | 153,003 | 256,960 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (54,739) | (97,006) | (115,574) |
Cost of services | 0 | 0 | 0 |
Exploration in operating units | 9,040 | (29,563) | (38,820) |
Depreciation and amortization | (7,563) | (8,802) | (8,846) |
Mining royalties | (5,220) | (13,669) | (22,436) |
Total operating costs | (76,562) | (149,040) | (185,676) |
Gross profit (loss) | (17,660) | 3,963 | 71,284 |
Operating expenses, net | |||
Administrative expenses | 5,209 | 15,100 | 18,281 |
Exploration in non-operating areas | 0 | 0 | 0 |
Selling expenses | (258) | (775) | (1,016) |
Impairment loss of long-lived assets | 0 | 0 | 0 |
Provision for contingencies and others | 1 | 121 | (1) |
Write - off of stripping activity asset | 0 | ||
Other, net | 8,104 | (3,386) | (715) |
Total operating expenses, net | (13,570) | (19,382) | (20,013) |
Operating profit (loss) | (31,230) | (15,419) | 51,271 |
Other income (expense),net | |||
Finance income | 0 | 0 | 0 |
Net gain (loss) from currency exchange difference | 76 | 168 | (63) |
Share in the results of associates under equity method | 0 | 0 | 0 |
Finance costs | (733) | (395) | (354) |
Total other income (expenses), net | (657) | (227) | (417) |
Profit (loss) before income tax | (31,887) | (15,646) | 50,854 |
Income tax | 1,085 | ||
Income tax Current | 0 | (559) | |
Income tax Deferred | 0 | 0 | |
Profit (loss) from continued operations | (31,887) | (16,205) | 49,769 |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 46,750 | 39,725 | 54,114 |
Total liability | 36,945 | 30,749 | 42,242 |
Other segment information | |||
Investment in associates | 0 | 0 | 0 |
Capital Expenditures | 1,323 | 6,225 | 12,674 |
Changes in estimates of mine closures plans | 10,493 | 1,003 | 3,710 |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 0 | 0 | 0 |
Julcani [Member] | |||
Operating income | |||
Net sale of goods | 40,082 | 34,104 | 42,785 |
Net sale of services | 0 | 0 | 0 |
Royalty income | 0 | 0 | 0 |
Total operating income | 40,082 | 34,104 | 42,785 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (26,586) | (26,558) | (31,190) |
Cost of services | 0 | 0 | 0 |
Exploration in operating units | 5,864 | (8,646) | (13,009) |
Depreciation and amortization | (9,178) | (3,353) | (8,122) |
Mining royalties | (418) | (237) | (354) |
Total operating costs | (42,046) | (38,794) | (52,675) |
Gross profit (loss) | (1,964) | (4,690) | (9,890) |
Operating expenses, net | |||
Administrative expenses | 3,561 | 2,524 | 2,878 |
Exploration in non-operating areas | 0 | 0 | 0 |
Selling expenses | (403) | (356) | (605) |
Impairment loss of long-lived assets | (2,083) | 0 | 0 |
Provision for contingencies and others | (148) | (947) | (460) |
Write - off of stripping activity asset | 0 | ||
Other, net | 776 | (1,050) | (1,403) |
Total operating expenses, net | (6,971) | (2,983) | (5,346) |
Operating profit (loss) | (8,935) | (7,673) | (15,236) |
Other income (expense),net | |||
Finance income | 0 | 0 | 0 |
Net gain (loss) from currency exchange difference | 3 | 8 | (75) |
Share in the results of associates under equity method | 0 | 0 | 0 |
Finance costs | (1,002) | (95) | (106) |
Total other income (expenses), net | (999) | (87) | (181) |
Profit (loss) before income tax | (9,934) | (7,760) | (15,417) |
Income tax | 153 | ||
Income tax Current | 0 | (72) | |
Income tax Deferred | 0 | 0 | |
Profit (loss) from continued operations | (9,934) | (7,832) | (15,570) |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 41,858 | 39,537 | 20,922 |
Total liability | 35,045 | 29,469 | 18,099 |
Other segment information | |||
Investment in associates | 0 | 0 | 0 |
Capital Expenditures | 1,559 | 2,984 | 1,951 |
Changes in estimates of mine closures plans | 2,430 | 16,484 | (761) |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 0 | 0 | 0 |
Colquijirca [Member] | |||
Operating income | |||
Net sale of goods | 299,252 | 333,560 | 322,653 |
Net sale of services | 0 | 0 | 0 |
Royalty income | 0 | 0 | 0 |
Total operating income | 299,252 | 333,560 | 322,653 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (223,998) | (216,560) | (193,874) |
Cost of services | 0 | 0 | 0 |
Exploration in operating units | 8,727 | (9,996) | 0 |
Depreciation and amortization | (74,335) | (67,666) | (57,199) |
Mining royalties | (2,953) | (2,345) | (3,317) |
Total operating costs | (310,013) | (296,567) | (254,390) |
Gross profit (loss) | (10,761) | 36,993 | 68,263 |
Operating expenses, net | |||
Administrative expenses | 8,865 | 9,906 | 13,061 |
Exploration in non-operating areas | (2,011) | (7,199) | (1,976) |
Selling expenses | (10,856) | (12,201) | (10,914) |
Impairment loss of long-lived assets | 0 | 0 | 0 |
Provision for contingencies and others | 2,079 | 3,711 | 0 |
Write - off of stripping activity asset | 13,573 | ||
Other, net | 6,568 | 32,565 | (2,922) |
Total operating expenses, net | (26,221) | (452) | (42,446) |
Operating profit (loss) | (36,982) | 36,541 | 25,817 |
Other income (expense),net | |||
Finance income | 417 | 418 | 179 |
Net gain (loss) from currency exchange difference | (191) | 108 | 310 |
Share in the results of associates under equity method | (44) | 0 | 0 |
Finance costs | (11,440) | (10,365) | (12,017) |
Total other income (expenses), net | (11,258) | (9,839) | (11,528) |
Profit (loss) before income tax | (48,240) | 26,702 | 14,289 |
Income tax | 3,903 | ||
Income tax Current | (25) | (8,332) | |
Income tax Deferred | 15,410 | (10,803) | |
Profit (loss) from continued operations | (32,855) | 7,567 | 10,386 |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 725,973 | 773,554 | 792,594 |
Total liability | 329,869 | 340,735 | 388,899 |
Other segment information | |||
Investment in associates | 0 | 0 | 0 |
Capital Expenditures | 28,298 | 29,572 | 61,060 |
Changes in estimates of mine closures plans | 5,122 | 19,926 | 5,326 |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 0 | 0 | 0 |
La Zanja [Member] | |||
Operating income | |||
Net sale of goods | 43,520 | 96,611 | 165,319 |
Net sale of services | 0 | 0 | 0 |
Royalty income | 0 | 0 | 0 |
Total operating income | 43,520 | 96,611 | 165,319 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (39,693) | (68,993) | (102,474) |
Cost of services | 0 | 0 | 0 |
Exploration in operating units | 2 | (74) | (871) |
Depreciation and amortization | (9,103) | (34,088) | (48,385) |
Mining royalties | (429) | (957) | (1,499) |
Total operating costs | (49,227) | (104,112) | (153,229) |
Gross profit (loss) | (5,707) | (7,501) | 12,090 |
Operating expenses, net | |||
Administrative expenses | 2,223 | 3,435 | 2,814 |
Exploration in non-operating areas | (2,784) | (5,002) | (2,870) |
Selling expenses | (321) | (784) | (881) |
Impairment loss of long-lived assets | 0 | (5,693) | (21,620) |
Provision for contingencies and others | (98) | 57 | (1,370) |
Write - off of stripping activity asset | 0 | ||
Other, net | 1,119 | (669) | (970) |
Total operating expenses, net | (6,545) | (4,254) | (30,525) |
Operating profit (loss) | (12,252) | (11,755) | (18,435) |
Other income (expense),net | |||
Finance income | 2,006 | 1,649 | 670 |
Net gain (loss) from currency exchange difference | 14 | (224) | 48 |
Share in the results of associates under equity method | 0 | 0 | 0 |
Finance costs | (3,715) | (1,946) | (1,919) |
Total other income (expenses), net | (1,695) | (521) | (1,201) |
Profit (loss) before income tax | (13,947) | (12,276) | (19,636) |
Income tax | (6,841) | ||
Income tax Current | (35) | (24) | |
Income tax Deferred | (5,382) | (1,220) | |
Profit (loss) from continued operations | (19,364) | (13,520) | (12,795) |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 138,458 | 158,718 | 190,310 |
Total liability | 68,100 | 68,615 | 87,008 |
Other segment information | |||
Investment in associates | 0 | 0 | 0 |
Capital Expenditures | 1,629 | 13,159 | 17,326 |
Changes in estimates of mine closures plans | 5,021 | (6,915) | 462 |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 0 | 0 | 0 |
Tambomayo [Member] | |||
Operating income | |||
Net sale of goods | 188,175 | 225,281 | 118,966 |
Net sale of services | 0 | 0 | 0 |
Royalty income | 0 | 0 | 0 |
Total operating income | 188,175 | 225,281 | 118,966 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (76,827) | (92,829) | (53,555) |
Cost of services | 0 | 0 | 0 |
Exploration in operating units | 11,613 | (20,553) | (9,543) |
Depreciation and amortization | (83,657) | (77,029) | (42,789) |
Mining royalties | (1,857) | (1,936) | (998) |
Total operating costs | (173,954) | (192,347) | (106,885) |
Gross profit (loss) | 14,221 | 32,934 | 12,081 |
Operating expenses, net | |||
Administrative expenses | 16,512 | 17,822 | 9,139 |
Exploration in non-operating areas | 0 | 0 | (3,214) |
Selling expenses | (3,940) | (3,046) | (1,387) |
Impairment loss of long-lived assets | 0 | 0 | 0 |
Provision for contingencies and others | 127 | (1,263) | (1,002) |
Write - off of stripping activity asset | 0 | ||
Other, net | 3,767 | (5,599) | (175) |
Total operating expenses, net | (24,092) | (25,204) | (14,917) |
Operating profit (loss) | (9,871) | 7,730 | (2,836) |
Other income (expense),net | |||
Finance income | 0 | 0 | 0 |
Net gain (loss) from currency exchange difference | (12) | 209 | 10 |
Share in the results of associates under equity method | 0 | 0 | 0 |
Finance costs | (505) | (262) | (372) |
Total other income (expenses), net | (517) | (53) | (362) |
Profit (loss) before income tax | (10,388) | 7,677 | (3,198) |
Income tax | 538 | ||
Income tax Current | 0 | (656) | |
Income tax Deferred | 0 | 0 | |
Profit (loss) from continued operations | (10,388) | 7,021 | (3,736) |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 425,297 | 461,335 | 538,057 |
Total liability | 34,142 | 28,502 | 32,501 |
Other segment information | |||
Investment in associates | 0 | 0 | 0 |
Capital Expenditures | 9,641 | 18,858 | 131,119 |
Changes in estimates of mine closures plans | 2,277 | (447) | 404 |
Fair value for contingent consideration liability | 0 | 0 | 0 |
Accounts receivable from sale of assets | 0 | 0 | 0 |
Operating Segments [Member] | |||
Operating income | |||
Net sale of goods | 4,687,758 | 5,021,362 | 5,271,881 |
Net sale of services | 100,325 | 120,436 | 127,762 |
Royalty income | 22,297 | 20,385 | 20,739 |
Total operating income | 4,810,380 | 5,162,183 | 5,420,382 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (3,540,428) | (3,643,736) | (3,316,204) |
Cost of services | (29,536) | (36,682) | (46,365) |
Exploration in operating units | 44,163 | (89,730) | (89,311) |
Depreciation and amortization | (226,943) | (238,850) | (210,154) |
Mining royalties | (12,832) | (21,387) | (30,884) |
Total operating costs | (3,853,902) | (4,030,385) | (3,692,918) |
Gross profit (loss) | 956,478 | 1,131,798 | 1,727,464 |
Operating expenses, net | |||
Administrative expenses | 83,718 | 100,330 | 95,419 |
Exploration in non-operating areas | (11,911) | (37,514) | (18,559) |
Selling expenses | (27,978) | (31,234) | (169,624) |
Impairment loss of long-lived assets | (2,083) | (5,693) | (21,620) |
Provision for contingencies and others | 2,971 | (11,070) | (13,740) |
Write - off of stripping activity asset | 13,573 | ||
Other, net | 54,872 | (59,140) | (331,769) |
Total operating expenses, net | (177,591) | (211,455) | (664,304) |
Operating profit (loss) | 778,887 | 920,343 | 1,063,160 |
Other income (expense),net | |||
Finance income | 40,547 | 51,589 | 18,091 |
Net gain (loss) from currency exchange difference | 8,015 | 1,877 | 19,689 |
Share in the results of associates under equity method | 2,965 | (1,847) | (36,420) |
Finance costs | (220,843) | (508,025) | (279,821) |
Total other income (expenses), net | (169,316) | (456,406) | (278,461) |
Profit (loss) before income tax | 609,571 | 463,937 | 784,699 |
Income tax | 534,319 | ||
Income tax Current | (401,248) | (395,825) | |
Income tax Deferred | 52,519 | (3,974) | |
Profit (loss) from continued operations | 260,842 | 64,138 | 250,380 |
Loss from discontinued operations, see note 1(e) | 0 | 0 | 0 |
Net profit (loss) for the year | 0 | 0 | 0 |
Total assets | 15,777,279 | 15,369,524 | 15,614,979 |
Total liability | 5,612,754 | 5,248,748 | 5,315,362 |
Other segment information | |||
Investment in associates | 2,395,685 | 1,473,382 | 1,536,887 |
Capital Expenditures | 102,627 | 111,270 | 259,507 |
Changes in estimates of mine closures plans | 26,722 | 42,874 | 10,594 |
Fair value for contingent consideration liability | (655) | 1,815 | 1,773 |
Accounts receivable from sale of assets | 21,648 | 2,715 | 5,371 |
Elimination of intersegment amounts [member] | |||
Operating income | |||
Net sale of goods | (3,865,828) | (3,915,033) | (4,084,675) |
Net sale of services | (76,664) | (96,435) | (98,065) |
Royalty income | 0 | 0 | |
Total operating income | (3,942,492) | (4,011,468) | (4,182,740) |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | 3,027,554 | 3,030,355 | 2,711,554 |
Cost of services | 26,158 | 32,364 | 33,411 |
Exploration in operating units | 0 | 0 | |
Depreciation and amortization | 608 | 29 | 0 |
Mining royalties | 1 | 0 | |
Total operating costs | 3,054,320 | 3,062,689 | 2,744,965 |
Gross profit (loss) | (888,172) | (948,779) | (1,437,775) |
Operating expenses, net | |||
Administrative expenses | (7,421) | (23,231) | (14,753) |
Exploration in non-operating areas | 32 | 1,207 | 297 |
Selling expenses | 3,665 | 4,286 | 146,581 |
Impairment loss of long-lived assets | 0 | 0 | |
Provision for contingencies and others | (3) | (178) | 0 |
Write - off of stripping activity asset | 0 | ||
Other, net | (40,157) | 57,832 | 318,539 |
Total operating expenses, net | 51,272 | 86,734 | 480,170 |
Operating profit (loss) | (836,900) | (862,045) | (957,605) |
Other income (expense),net | |||
Finance income | (30,872) | (41,904) | (12,574) |
Net gain (loss) from currency exchange difference | (8,749) | (3,261) | (16,750) |
Share in the results of associates under equity method | 44,745 | 703 | 49,627 |
Finance costs | 178,670 | 469,603 | 245,270 |
Total other income (expenses), net | 183,794 | 425,141 | 265,573 |
Profit (loss) before income tax | (653,106) | (436,904) | (692,032) |
Income tax | (516,431) | ||
Income tax Current | 389,337 | 378,943 | |
Income tax Deferred | (15,018) | (6,023) | |
Profit (loss) from continued operations | (278,787) | (63,984) | (175,601) |
Loss from discontinued operations, see note 1(e) | 0 | 0 | |
Net profit (loss) for the year | 0 | 0 | |
Total assets | (11,670,005) | (11,152,303) | (11,282,166) |
Total liability | (4,473,680) | (4,061,092) | (4,046,176) |
Other segment information | |||
Investment in associates | (907,438) | 0 | 0 |
Capital Expenditures | 0 | 0 | |
Changes in estimates of mine closures plans | 0 | 0 | |
Fair value for contingent consideration liability | 0 | 0 | |
Accounts receivable from sale of assets | 0 | 0 | |
Minera Yanacocha S.R.L. [Member] | |||
Operating income | |||
Net sale of goods | 734,526 | 635,393 | 645,176 |
Net sale of services | 4,776 | 21,965 | 21,870 |
Total operating income | 739,302 | 657,358 | 667,046 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (692,721) | (596,164) | (746,918) |
Cost of services | (1,160) | (2,217) | (2,062) |
Total operating costs | (693,881) | (598,381) | (748,980) |
Gross profit (loss) | 45,421 | 58,977 | (81,934) |
Operating expenses, net | |||
Administrative expenses | 1,744 | 2,783 | 4,760 |
Selling expenses | (1,722) | (2,627) | (3,922) |
Impairment loss of long-lived assets | 0 | ||
Other, net | 35,987 | (76,155) | (63,512) |
Total operating expenses, net | (39,453) | (81,565) | (72,194) |
Operating profit (loss) | 5,968 | (22,588) | (154,128) |
Other income (expense),net | |||
Finance income | 18,859 | 11,448 | 5,831 |
Net gain (loss) from currency exchange difference | 2,902 | (2,056) | 3,636 |
Share in the results of associates under equity method | 0 | ||
Finance costs | (58,059) | (39,024) | (23,766) |
Total other income (expenses), net | (36,298) | (29,632) | (14,299) |
Profit (loss) before income tax | (30,330) | (52,220) | (168,427) |
Income tax | 7,026 | ||
Income tax Current | (64,927) | (30,368) | |
Income tax Deferred | 1,071 | ||
Profit (loss) from continued operations | (95,257) | (81,517) | (175,453) |
Net profit (loss) for the year | (95,257) | (81,517) | (175,454) |
Total assets | 2,327,714 | 2,047,472 | 2,019,332 |
Total liability | 1,838,002 | 1,463,749 | 1,360,217 |
Other segment information | |||
Investment in associates | 230,000 | 271,036 | |
Minera Yanacocha S.R.L. [Member] | Corporates [Member] | |||
Operating expenses, net | |||
Administrative expenses | 4,894 | ||
Exploration in non-operating areas | (4,492) | ||
Provision for contingencies and others | 1,067 | ||
Other, net | 2,686 | ||
Total operating expenses, net | (11,005) | ||
Operating profit (loss) | (11,005) | ||
Other income (expense),net | |||
Finance income | 7,751 | ||
Net gain (loss) from currency exchange difference | (481) | ||
Share in the results of associates under equity method | 45,778 | ||
Finance costs | (16,249) | ||
Total other income (expenses), net | 36,799 | ||
Profit (loss) before income tax | 25,794 | ||
Income tax Deferred | 31,344 | ||
Profit (loss) from continued operations | 57,138 | ||
Total assets | 2,371,464 | ||
Total liability | 407,153 | ||
Other segment information | |||
Investment in associates | 2,073,745 | ||
Capital Expenditures | 453 | ||
Changes in estimates of mine closures plans | 1,203 | ||
Fair value for contingent consideration liability | (655) | ||
Accounts receivable from sale of assets | 625 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Operating income | |||
Net sale of goods | 2,890,066 | 3,054,026 | 3,202,931 |
Total operating income | 2,890,066 | 3,054,026 | 3,202,931 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (2,101,668) | (2,216,663) | (1,768,238) |
Cost of services | (181,215) | (159,514) | (144,829) |
Depreciation and amortization | (523,512) | (512,298) | (456,467) |
Mining royalties | (6,828) | (7,904) | (8,335) |
Total operating costs | (2,101,668) | (2,216,663) | (1,768,238) |
Gross profit (loss) | 788,398 | 837,363 | 1,434,693 |
Operating expenses, net | |||
Selling expenses | (109,483) | (137,008) | (141,669) |
Impairment loss of long-lived assets | 0 | ||
Other, net | (258,826) | ||
Total operating expenses, net | (400,495) | ||
Operating profit (loss) | 788,398 | 837,363 | 1,034,198 |
Other income (expense),net | |||
Finance income | 10,356 | 28,089 | 5,350 |
Net gain (loss) from currency exchange difference | 5,574 | 6,161 | 13,288 |
Share in the results of associates under equity method | 0 | ||
Finance costs | (115,877) | (426,733) | (216,912) |
Total other income (expenses), net | (99,947) | (392,483) | (198,274) |
Profit (loss) before income tax | 688,451 | 444,880 | 835,924 |
Income tax | 298,074 | 325,170 | 486,043 |
Income tax Current | (298,074) | (325,170) | |
Income tax Deferred | (139,934) | (61,483) | 167,541 |
Profit (loss) from continued operations | 390,377 | 119,710 | 349,881 |
Net profit (loss) for the year | 390,377,000 | 119,710,000 | 349,881,000 |
Total assets | 7,809,424 | 7,554,712 | 7,691,007 |
Total liability | 2,460,175 | 2,445,840 | 2,501,845 |
Compania Minera Coimolache S.A. [Member] | |||
Operating income | |||
Net sale of goods | 241,173 | 225,447 | 203,790 |
Total operating income | 241,173 | 225,447 | 203,790 |
Operating costs | |||
Cost of sales, excluding depreciation and amortization | (187,156) | (170,866) | (121,021) |
Total operating costs | (187,156) | (170,866) | (121,021) |
Gross profit (loss) | 54,017 | 54,581 | 82,769 |
Operating expenses, net | |||
Administrative expenses | 4,638 | 5,644 | 3,829 |
Selling expenses | (1,163) | (1,135) | (946) |
Impairment loss of long-lived assets | 0 | ||
Other, net | 5,667 | (325) | (587) |
Total operating expenses, net | (11,468) | (7,104) | (5,362) |
Operating profit (loss) | 42,549 | 47,477 | 77,407 |
Other income (expense),net | |||
Finance income | 549 | 357 | 220 |
Net gain (loss) from currency exchange difference | 277 | (852) | (174) |
Share in the results of associates under equity method | 0 | ||
Finance costs | (3,598) | (2,935) | (3,304) |
Total other income (expenses), net | (2,772) | (3,430) | (3,258) |
Profit (loss) before income tax | 39,777 | 44,047 | 74,149 |
Income tax | 23,362 | ||
Income tax Current | (26,335) | (23,405) | |
Income tax Deferred | 15,017 | 4,942 | |
Profit (loss) from continued operations | 28,459 | 25,584 | 50,787 |
Net profit (loss) for the year | 28,459 | 25,584 | 50,787 |
Total assets | 379,915 | 361,669 | 380,534 |
Total liability | 125,097 | 125,307 | $ 150,743 |
Other segment information | |||
Investment in associates | $ 98,426 | $ 89,554 |
Disclosure of information on _4
Disclosure of information on segments - Reconciliation of segment profit (loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of information on segments [Line Items] | |||
Profit (loss) from continued operations | $ (17,945) | $ 154 | $ 74,779 |
Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Profit (loss) from continued operations | 260,842 | 64,138 | 250,380 |
Elimination of profit of equity accounted investees [Member] | |||
Disclosure of information on segments [Line Items] | |||
Profit (loss) from continued operations | (323,578) | (63,777) | (225,215) |
Elimination of intercompany sales [Member] | |||
Disclosure of information on segments [Line Items] | |||
Profit (loss) from continued operations | (71,951) | (74,637) | (108,973) |
Elimination of intercompany cost of sales [Member] | |||
Disclosure of information on segments [Line Items] | |||
Profit (loss) from continued operations | 71,697 | 76,780 | 106,726 |
Elimination of share in the results of subsidiaries and associates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Profit (loss) from continued operations | 44,745 | 1,582 | 49,627 |
Elimination of intersegment other income expense amount [Member] | |||
Disclosure of information on segments [Line Items] | |||
Profit (loss) from continued operations | $ 300 | $ (3,932) | $ 2,234 |
Disclosure of information on _5
Disclosure of information on segments - Reconciliation of segment assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of information on segments [Line Items] | |||
Assets | $ 4,107,274 | $ 4,217,221 | $ 4,332,813 |
Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Assets | 15,777,279 | 15,369,524 | 15,614,979 |
Elimination of assets of equity accounted investees [Member] | |||
Disclosure of information on segments [Line Items] | |||
Assets | (10,517,053) | (9,963,853) | (10,090,873) |
Elimination of equity pick up investments of the subsidiaries and associates of the Parent company [Member] | |||
Disclosure of information on segments [Line Items] | |||
Assets | (1,111,454) | (1,184,240) | (1,186,783) |
Elimination of intercompany receivables [Member] | |||
Disclosure of information on segments [Line Items] | |||
Assets | (64,708) | (32,444) | (32,769) |
Elimination of intersegment other assets amount [Member] | |||
Disclosure of information on segments [Line Items] | |||
Assets | $ 23,210 | $ 28,234 | $ 28,259 |
Disclosure of information on _6
Disclosure of information on segments - Reconciliation of segment liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of information on segments [Line Items] | |||
Total liability | $ 1,139,074 | $ 1,187,656 | $ 1,269,186 |
Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Total liability | 5,612,754 | 5,248,748 | 5,315,362 |
Elimination of liabilities of equity accounted investees [Member] | |||
Disclosure of information on segments [Line Items] | |||
Total liability | (4,423,274) | (4,034,896) | (4,012,805) |
Elimination of intercompany payables [Member] | |||
Disclosure of information on segments [Line Items] | |||
Total liability | (50,395) | (27,822) | (32,769) |
Elimination of intersegment other liabilities amount [Member] | |||
Disclosure of information on segments [Line Items] | |||
Total liability | $ (11) | $ 1,626 | $ (602) |
Disclosure of information on _7
Disclosure of information on segments - Disaggregated revenue information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | $ 1,035,173 | $ 1,435,624 | |
Revenue from contracts with customers | 860,825 | $ 1,157,338 | 1,238,909 |
Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 227,591 | 321,011 | |
Revenue from contracts with customers | 184,982 | 257,840 | 266,482 |
Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 59,000 | 258,102 | |
Revenue from contracts with customers | 58,796 | 153,240 | 256,957 |
Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 42,873 | 45,236 | |
Revenue from contracts with customers | 39,639 | 33,864 | 41,120 |
Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 206,382 | 120,730 | |
Revenue from contracts with customers | 186,668 | 225,339 | 118,376 |
Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 449,404 | 517,841 | |
Revenue from contracts with customers | 294,904 | 339,581 | 333,097 |
La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 43,998 | 164,923 | |
Revenue from contracts with customers | 43,894 | 96,600 | 163,995 |
Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | |
Revenue from contracts with customers | 59,690 | 62,962 | 60,639 |
Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | |
Revenue from contracts with customers | 15,687 | 14,986 | 14,377 |
Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | |
Revenue from contracts with customers | 22,297 | 20,385 | 20,739 |
Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | |
Revenue from contracts with customers | 615 | 615 | 615 |
Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 6,046 | 6,317 | |
Revenue from contracts with customers | 25,603 | 26,564 | 25,975 |
Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 34,132 | |
Revenue from contracts with customers | 0 | 0 | 34,016 |
Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | (121) | (32,668) | |
Revenue from contracts with customers | (71,950) | (74,638) | (108,082) |
Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Revenue from contracts with customers | 10,603 | ||
Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 1,035,294 | 1,468,292 | |
Revenue from contracts with customers | 932,775 | 1,231,976 | 1,346,991 |
Metal and concentrates sales [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 814,867 | 1,112,952 | 1,188,473 |
Metal and concentrates sales [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 814,867 | 1,112,952 | 1,188,473 |
Metal and concentrates sales [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 184,982 | 257,840 | 266,482 |
Metal and concentrates sales [Member] | Ucchuchacua [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 184,982 | 257,840 | 266,482 |
Metal and concentrates sales [Member] | Ucchuchacua [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 58,796 | 153,240 | 256,957 |
Metal and concentrates sales [Member] | Orcopampa [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 58,796 | 153,240 | 256,957 |
Metal and concentrates sales [Member] | Orcopampa [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 39,639 | 33,864 | 41,120 |
Metal and concentrates sales [Member] | Julcani [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 39,639 | 33,864 | 41,120 |
Metal and concentrates sales [Member] | Julcani [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 186,668 | 225,339 | 118,376 |
Metal and concentrates sales [Member] | Tambomayo [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 186,668 | 225,339 | 118,376 |
Metal and concentrates sales [Member] | Tambomayo [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | |
Metal and concentrates sales [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 294,904 | 339,581 | 333,097 |
Metal and concentrates sales [Member] | Colquijirca [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 294,842 | 339,414 | 333,097 |
Metal and concentrates sales [Member] | Colquijirca [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (62) | (167) | 0 |
Metal and concentrates sales [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 43,894 | 96,600 | 163,995 |
Metal and concentrates sales [Member] | La Zanja [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 43,894 | 96,600 | 132,108 |
Metal and concentrates sales [Member] | La Zanja [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | (31,887) |
Metal and concentrates sales [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Energy generation and transmission [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Energy generation and transmission [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Insurance brokerage [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Insurance brokerage [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Rental of mining concessions [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Rental of mining concessions [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Holding of investment in shares [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Holding of investment in shares [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 6,046 | 6,655 | 6,317 |
Metal and concentrates sales [Member] | Industrial activities [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 6,046 | 6,655 | 6,317 |
Metal and concentrates sales [Member] | Industrial activities [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 34,016 |
Metal and concentrates sales [Member] | Corporates [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 34,016 |
Metal and concentrates sales [Member] | Corporates [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (62) | (167) | (31,887) |
Metal and concentrates sales [Member] | Adjustments and eliminations [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Adjustments and eliminations [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (62) | (167) | (31,887) |
Metal and concentrates sales [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Metal and concentrates sales [Member] | Construction and engineering [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Metal and concentrates sales [Member] | Construction and engineering [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Metal and concentrates sales [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 814,929 | 1,113,119 | 1,220,360 |
Metal and concentrates sales [Member] | Reportable segments [member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 814,867 | 1,112,952 | 1,188,473 |
Metal and concentrates sales [Member] | Reportable segments [member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (62) | (167) | (31,887) |
Metal and concentrates sales [Member] | Asia [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 105,645 | 120,519 | 120,719 |
Metal and concentrates sales [Member] | Asia [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 13,622 | 29,382 | 19,078 |
Metal and concentrates sales [Member] | Asia [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Asia [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 6,598 | 9,115 | 12,140 |
Metal and concentrates sales [Member] | Asia [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 27,365 | 0 | |
Metal and concentrates sales [Member] | Asia [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 58,060 | 82,022 | 89,501 |
Metal and concentrates sales [Member] | Asia [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Asia [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Asia [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Asia [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Asia [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Asia [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Asia [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Asia [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Asia [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Metal and concentrates sales [Member] | Asia [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 105,645 | 120,519 | 120,719 |
Metal and concentrates sales [Member] | Europe [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 60,475 | 100,792 | 79,837 |
Metal and concentrates sales [Member] | Europe [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 27,848 | 57,472 | 38,104 |
Metal and concentrates sales [Member] | Europe [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Europe [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 22,590 | 9,488 | 15,931 |
Metal and concentrates sales [Member] | Europe [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 135 | 2,760 | |
Metal and concentrates sales [Member] | Europe [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 3,820 |
Metal and concentrates sales [Member] | Europe [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 5,885 | 26,074 | 5,513 |
Metal and concentrates sales [Member] | Europe [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Europe [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Europe [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Europe [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Europe [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 4,017 | 4,998 | 1,689 |
Metal and concentrates sales [Member] | Europe [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 14,780 |
Metal and concentrates sales [Member] | Europe [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Europe [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Metal and concentrates sales [Member] | Europe [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 60,475 | 100,792 | 79,837 |
Metal and concentrates sales [Member] | Peru [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 476,978 | 521,017 | 516,054 |
Metal and concentrates sales [Member] | Peru [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 143,512 | 170,986 | 209,300 |
Metal and concentrates sales [Member] | Peru [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 4,833 | 10,808 | 17,774 |
Metal and concentrates sales [Member] | Peru [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 10,451 | 15,261 | 13,049 |
Metal and concentrates sales [Member] | Peru [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 79,631 | 63,049 | 34,337 |
Metal and concentrates sales [Member] | Peru [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 236,844 | 257,559 | 239,317 |
Metal and concentrates sales [Member] | Peru [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 683 | 2,770 | 32,607 |
Metal and concentrates sales [Member] | Peru [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Peru [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Peru [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Peru [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | Peru [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 1,086 | 751 | 852 |
Metal and concentrates sales [Member] | Peru [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 705 |
Metal and concentrates sales [Member] | Peru [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (62) | (167) | (31,887) |
Metal and concentrates sales [Member] | Peru [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Metal and concentrates sales [Member] | Peru [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 477,040 | 521,184 | 547,941 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 171,769 | 370,624 | 471,863 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 53,963 | 142,432 | 239,183 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 79,537 | 159,530 | 84,039 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 459 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 37,326 | 67,756 | 125,875 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 943 | 906 | 3,776 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 18,531 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Metal and concentrates sales [Member] | America - other than Peru [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Metal and concentrates sales [Member] | America - other than Peru [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 171,769 | 370,624 | 471,863 |
Services [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 23,661 | 24,001 | 29,697 |
Services [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 23,661 | 24,001 | 29,697 |
Services [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Ucchuchacua [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Ucchuchacua [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Orcopampa [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Orcopampa [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Julcani [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Julcani [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | |
Services [Member] | Tambomayo [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | |
Services [Member] | Tambomayo [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | |
Services [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Colquijirca [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Colquijirca [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | La Zanja [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | La Zanja [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 59,690 | 62,962 | 60,639 |
Services [Member] | Energy generation and transmission [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 7,974 | 9,015 | 9,412 |
Services [Member] | Energy generation and transmission [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (51,716) | (53,947) | (51,227) |
Services [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 15,687 | 14,986 | 14,377 |
Services [Member] | Insurance brokerage [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 15,687 | 14,986 | 14,377 |
Services [Member] | Insurance brokerage [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Rental of mining concessions [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Rental of mining concessions [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 615 | 615 | 615 |
Services [Member] | Holding of investment in shares [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Holding of investment in shares [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (615) | (615) | (615) |
Services [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 19,557 | 19,909 | 19,658 |
Services [Member] | Industrial activities [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Industrial activities [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (19,557) | (19,909) | (19,658) |
Services [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Corporates [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Corporates [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (71,888) | (74,471) | (76,195) |
Services [Member] | Adjustments and eliminations [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Adjustments and eliminations [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (71,888) | (74,471) | (76,195) |
Services [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 10,603 | ||
Services [Member] | Construction and engineering [Member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 5,908 | ||
Services [Member] | Construction and engineering [Member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (4,695) | ||
Services [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 95,549 | 98,472 | 105,892 |
Services [Member] | Reportable segments [member] | Operating Segments [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 23,661 | 24,001 | 29,697 |
Services [Member] | Reportable segments [member] | Elimination of intersegment amounts [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (71,888) | (74,471) | (76,195) |
Services [Member] | Europe [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 30 | ||
Services [Member] | Europe [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 30 | ||
Services [Member] | Europe [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Services [Member] | Europe [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 30 | ||
Services [Member] | Peru [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 23,501 | 23,712 | 14,903 |
Services [Member] | Peru [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Peru [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Peru [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Peru [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | |
Services [Member] | Peru [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Peru [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Peru [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 59,690 | 62,962 | 60,639 |
Services [Member] | Peru [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 15,527 | 14,787 | 14,205 |
Services [Member] | Peru [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Peru [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 615 | 615 | 615 |
Services [Member] | Peru [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 19,557 | 19,909 | 19,658 |
Services [Member] | Peru [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | Peru [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (71,888) | (74,561) | (90,228) |
Services [Member] | Peru [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 10,014 | ||
Services [Member] | Peru [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 95,389 | 98,273 | 105,131 |
Services [Member] | America - other than Peru [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 130 | 289 | 14,794 |
Services [Member] | America - other than Peru [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | America - other than Peru [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | America - other than Peru [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | America - other than Peru [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | |
Services [Member] | America - other than Peru [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | America - other than Peru [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | America - other than Peru [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | America - other than Peru [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 130 | 199 | 172 |
Services [Member] | America - other than Peru [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | America - other than Peru [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | America - other than Peru [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | America - other than Peru [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Services [Member] | America - other than Peru [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 90 | 14,033 |
Services [Member] | America - other than Peru [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 589 | ||
Services [Member] | America - other than Peru [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 130 | 199 | 761 |
Royalties [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 22,297 | 20,385 | 20,739 |
Royalties [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | |
Royalties [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 22,297 | 20,385 | 20,739 |
Royalties [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Royalties [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 22,297 | 20,385 | 20,739 |
Royalties [Member] | Peru [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 22,297 | 20,385 | 20,739 |
Royalties [Member] | Peru [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | |
Royalties [Member] | Peru [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 22,297 | 20,385 | 20,739 |
Royalties [Member] | Peru [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties [Member] | Peru [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Royalties [Member] | Peru [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 22,297 | 20,385 | 20,739 |
Silver [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 298,171 | 362,122 | 393,257 |
Silver [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 159,713 | 217,843 | 256,608 |
Silver [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 263 | 5,243 | 9,595 |
Silver [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 40,889 | 35,307 | 40,384 |
Silver [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 38,112 | 54,109 | 27,285 |
Silver [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 57,903 | 46,060 | 54,629 |
Silver [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 1,300 | 3,583 | 4,434 |
Silver [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Silver [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Silver [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Silver [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Silver [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Silver [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 1,257 |
Silver [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | (9) | (23) | (935) |
Silver [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Silver [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 298,180 | 362,145 | 394,192 |
Copper [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 238,304 | 274,761 | 268,527 |
Copper [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Copper [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | (221) | 598 |
Copper [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 79 | 129 | 192 |
Copper [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | |
Copper [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 238,327 | 275,119 | 267,737 |
Copper [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Copper [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Copper [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Copper [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Copper [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Copper [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Copper [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Copper [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | (102) | (266) | 0 |
Copper [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Copper [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 238,406 | 275,027 | 268,527 |
Zinc [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 149,317 | 164,666 | 170,518 |
Zinc [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 38,143 | 45,194 | 31,814 |
Zinc [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Zinc [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Zinc [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 19,867 | 18,197 | 7,914 |
Zinc [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 91,307 | 101,275 | 130,790 |
Zinc [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Zinc [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Zinc [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Zinc [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Zinc [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Zinc [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Zinc [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Zinc [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Zinc [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Zinc [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 149,317 | 164,666 | 170,518 |
Lead [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 89,141 | 85,555 | 85,957 |
Lead [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 29,735 | 36,238 | 32,244 |
Lead [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Lead [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 1,627 | 1,996 | 4,660 |
Lead [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 14,016 | 6,703 | 4,735 |
Lead [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 43,763 | 40,618 | 44,318 |
Lead [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Lead [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Lead [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Lead [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Lead [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Lead [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Lead [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Lead [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Lead [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Lead [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 89,141 | 85,555 | 85,957 |
Manganese sulfate [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 6,046 | 6,655 | 6,317 |
Manganese sulfate [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | |
Manganese sulfate [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 6,046 | 6,655 | 6,317 |
Manganese sulfate [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Manganese sulfate [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Manganese sulfate [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 6,046 | 6,655 | 6,317 |
Metal and Concentrates Sales Before Commercial Deductions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 1,305,636 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 299,286 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 154,114 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 37,460 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 229,948 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 481,535 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 96,941 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 6,655 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | (303) | ||
Metal and Concentrates Sales Before Commercial Deductions [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 1,305,939 | ||
Commercial deductions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 220,306 | 192,684 | 247,151 |
Commercial deductions [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | (42,609) | (41,446) | (54,529) |
Commercial deductions [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | (204) | (874) | (1,145) |
Commercial deductions [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | (3,234) | (3,596) | (4,116) |
Commercial deductions [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | (19,714) | (4,609) | (2,354) |
Commercial deductions [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | (154,500) | (141,954) | (184,744) |
Commercial deductions [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | (104) | (341) | (928) |
Commercial deductions [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | 0 | 0 | 0 |
Commercial deductions [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | 0 | 0 | 0 |
Commercial deductions [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | 0 | 0 | 0 |
Commercial deductions [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | 0 | 0 | 0 |
Commercial deductions [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | 0 | 0 | 0 |
Commercial deductions [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | 0 | 0 | (116) |
Commercial deductions [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | 59 | 136 | 781 |
Commercial deductions [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | 0 | ||
Commercial deductions [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Commercial Deductions In Revenue From Contract With Customers | (220,365) | (192,820) | (247,932) |
Sales by services [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 23,661 | 24,001 | 29,697 |
Sales by services [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Sales by services [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Sales by services [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Sales by services [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | |
Sales by services [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Sales by services [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Sales by services [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 59,690 | 62,962 | 60,639 |
Sales by services [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 15,687 | 14,986 | 14,377 |
Sales by services [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Sales by services [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 615 | 615 | 615 |
Sales by services [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 19,557 | 19,909 | 19,658 |
Sales by services [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Sales by services [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | (71,888) | (74,471) | (76,195) |
Sales by services [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 10,603 | ||
Sales by services [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 95,549 | 98,472 | 105,892 |
Royalties income [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 22,297 | 20,385 | 20,739 |
Royalties income [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | |
Royalties income [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 22,297 | 20,385 | 20,739 |
Royalties income [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | 0 | 0 |
Royalties income [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 0 | ||
Royalties income [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue from contracts with customers | 22,297 | 20,385 | 20,739 |
Indium [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 66 | ||
Indium [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 66 | ||
Indium [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Indium [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 66 | ||
Gold per ounce [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 254,194 | 411,877 | 510,982 |
Gold per ounce [Member] | Ucchuchacua [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 11 | 345 |
Gold per ounce [Member] | Orcopampa [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 58,737 | 149,092 | 247,909 |
Gold per ounce [Member] | Julcani [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 278 | 28 | 0 |
Gold per ounce [Member] | Tambomayo [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 134,387 | 150,939 | 80,796 |
Gold per ounce [Member] | Colquijirca [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 18,104 | 18,463 | 20,301 |
Gold per ounce [Member] | La Zanja [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 42,698 | 93,358 | 160,489 |
Gold per ounce [Member] | Energy generation and transmission [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Gold per ounce [Member] | Insurance brokerage [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Gold per ounce [Member] | Rental of mining concessions [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Gold per ounce [Member] | Holding of investment in shares [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Gold per ounce [Member] | Industrial activities [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 0 |
Gold per ounce [Member] | Corporates [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | 0 | 32,875 |
Gold per ounce [Member] | Adjustments and eliminations [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | (10) | (14) | (31,733) |
Gold per ounce [Member] | Construction and engineering [Member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | 0 | ||
Gold per ounce [Member] | Reportable segments [member] | |||
Disclosure of information on segments [Line Items] | |||
Revenue From Contract With Customers Gross | $ 254,204 | $ 411,891 | $ 542,715 |
Derivative financial instrume_3
Derivative financial instruments - Composition of open transactions (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($)lb | Dec. 31, 2019USD ($) | |
Disclosure of derivative financial instruments [Line Items] | ||
Quantity of commodity | lb | 2,000 | |
Financial instruments designated as hedging instruments, at fair value | $ 2,759 | $ 0 |
Settlement period one [Member] | ||
Disclosure of derivative financial instruments [Line Items] | ||
Quantity of commodity | lb | 1,000 | |
Future quotation | $ 5,961 | |
Financial instruments designated as hedging instruments, at fair value | 1,381 | |
Settlement period one [Member] | Bottom of range [member] | ||
Disclosure of derivative financial instruments [Line Items] | ||
Fixed Quotation | $ 7,345 | |
Settlement period two [Member] | ||
Disclosure of derivative financial instruments [Line Items] | ||
Quantity of commodity | lb | 1,000 | |
Future quotation | $ 5,968 | |
Financial instruments designated as hedging instruments, at fair value | 1,378 | |
Settlement period two [Member] | Bottom of range [member] | ||
Disclosure of derivative financial instruments [Line Items] | ||
Fixed Quotation | $ 7,352 |
Derivative financial instrume_4
Derivative financial instruments - Embedded derivatives (Details) item in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)item | Dec. 31, 2018USD ($)item | |
Disclosure Of Embedded derivatives [Line Items] | ||
Derivative financial asset liabilities | $ 36,705,000 | $ (20,113,000) |
Copper concentrate [Member] | ||
Disclosure Of Embedded derivatives [Line Items] | ||
Quantity of Metal | item | 246,441 | 261,530 |
Embedded derivatives,maturity | January 2020 to May 2020 | January 2019 to May 2019 |
Derivative financial asset liabilities | $ 39,727,000 | $ (18,848,000) |
Copper concentrate [Member] | Bottom of range [member] | ||
Disclosure Of Embedded derivatives [Line Items] | ||
Provisional pricing | $ 2.567 | $ 2.675 |
Forward pricing | 2.793 | 2.704 |
Copper concentrate [Member] | Top of range [member] | ||
Disclosure Of Embedded derivatives [Line Items] | ||
Provisional pricing | $ 2.774 | $ 2.834 |
Forward pricing | 2.804 | 2.708 |
Copper cathode [Member] | ||
Disclosure Of Embedded derivatives [Line Items] | ||
Quantity of Metal | item | 4,410 | 7,711 |
Embedded derivatives,maturity | January 2020 | January 2019 |
Provisional pricing | $ 2.791 | $ 2.810 |
Forward pricing | 2.793 | 2.704 |
Derivative financial asset liabilities | $ 9,000 | $ (824,000) |
Molybdenum [Member] | ||
Disclosure Of Embedded derivatives [Line Items] | ||
Quantity of Metal | item | 5,370 | 3,545 |
Embedded derivatives,maturity | January 2020 to February 2020 | January 2019 to February 2019 |
Forward pricing | 8.025 | 10.675 |
Derivative financial asset liabilities | $ (3,031,000) | $ (441,000) |
Molybdenum [Member] | Bottom of range [member] | ||
Disclosure Of Embedded derivatives [Line Items] | ||
Provisional pricing | 7.857 | 10.787 |
Molybdenum [Member] | Top of range [member] | ||
Disclosure Of Embedded derivatives [Line Items] | ||
Provisional pricing | $ 9.724 | $ 10.810 |
Derivative financial instrume_5
Derivative financial instruments - Additional information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of derivative financial instruments [Line Items] | |||
Hedge ineffectiveness | $ 0 | $ 0 | $ 0 |
Fair value of the hedge contracts | 0 | 2,759,000 | |
Gain/loss on hedge ineffectiveness recognised in profit or loss | 4,300,000 | (1,400,000) | $ (10,900,000) |
Net deferred income tax asset | 240,386,000 | 209,401,000 | |
Trade account receivable due from related parties | 36,100,000 | 19,300,000 | |
Trade accounts receivable net | $ 600,000 | 800,000 | |
Other reserves [member] | |||
Disclosure of derivative financial instruments [Line Items] | |||
Net deferred income tax asset | $ 1,946,000 |
Financial - risk management o_3
Financial - risk management objectives and policies - Effect in profit or loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financial - risk management objectives and policies | |||
Increase in exchange rate basis points | 10.00% | 10.00% | 10.00% |
Decrease in exchange rate basis points | (10.00%) | (10.00%) | (10.00%) |
Exchange rate increased effect on income | $ 4,053 | $ 1,695 | $ 2,474 |
Exchange rate decreased effect on income | $ (3,545) | $ (1,681) | $ (2,459) |
Financial - risk management o_4
Financial - risk management objectives and policies - Effect in profit or loss of the variations of interest rates (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financial - risk management objectives and policies | |||
Increase in libor interest rate | 10.00% | 10.00% | 10.00% |
Decrease in libor interest rate | (10.00%) | (10.00%) | (10.00%) |
Libor interest rate increased effect on income | $ (306) | $ (277) | $ (677) |
Libor interest rate decreased effect on income | $ 306 | $ 277 | $ 677 |
Financial - risk management o_5
Financial - risk management objectives and policies - Credit risk exposure (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of credit risk exposure [line items] | ||
Trade receivables | $ 226,112 | $ 168,714 |
Trade receivables | 204,096 | 146,701 |
Other receivables | 182,137 | 115,696 |
Other Receivables | 172,131 | 105,607 |
Expected credit loss | (32,022) | (32,102) |
Total trade and other receivables | 376,227 | 252,308 |
Minera Yanacocha SRL and subsidiary [Member] | ||
Disclosure of credit risk exposure [line items] | ||
Trade receivables | 15,016 | 29,078 |
Other receivables | 43,311 | 49,895 |
Other Receivables | 41,927 | 48,511 |
Total trade and other receivables | 42,610 | 55,900 |
Current [member] | ||
Disclosure of credit risk exposure [line items] | ||
Trade receivables | 204,096 | 146,701 |
Other receivables | 125,409 | 58,584 |
Expected credit loss | 0 | 0 |
Total trade and other receivables | 329,505 | 205,285 |
Current [member] | Minera Yanacocha SRL and subsidiary [Member] | ||
Disclosure of credit risk exposure [line items] | ||
Trade receivables | 3,870 | |
Not later than one month [member] | ||
Disclosure of credit risk exposure [line items] | ||
Trade receivables | 0 | 0 |
Other receivables | 42,390 | 44,773 |
Expected credit loss | 0 | 0 |
Total trade and other receivables | 42,390 | 44,773 |
Not later than one month [member] | Minera Yanacocha SRL and subsidiary [Member] | ||
Disclosure of credit risk exposure [line items] | ||
Trade receivables | 5,047 | 564 |
Later than one month and not later than three months [member] | ||
Disclosure of credit risk exposure [line items] | ||
Trade receivables | 0 | 0 |
Other receivables | 4,332 | 2,250 |
Expected credit loss | 0 | 0 |
Total trade and other receivables | 4,332 | 2,250 |
Later than one month and not later than three months [member] | Minera Yanacocha SRL and subsidiary [Member] | ||
Disclosure of credit risk exposure [line items] | ||
Trade receivables | 7,976 | 81 |
Later than three months [member] | ||
Disclosure of credit risk exposure [line items] | ||
Trade receivables | 22,016 | 22,013 |
Other receivables | 10,006 | 10,089 |
Expected credit loss | (32,022) | (32,102) |
Total trade and other receivables | 0 | 0 |
Later than three months [member] | Minera Yanacocha SRL and subsidiary [Member] | ||
Disclosure of credit risk exposure [line items] | ||
Trade receivables | $ 1,993 | $ 24,563 |
Financial - risk management o_6
Financial - risk management objectives and policies - Aging of financial liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | $ 870,915 | $ 964,869 |
Less than one year [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 496,006 | 349,607 |
Between 1 and 2 years [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 145,086 | 375,399 |
More than 5 years | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 144,640 | 207,391 |
Later ThanTwo Year And Not LaterThan Five Year Member [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 85,183 | 32,472 |
Bank loans [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 55,486 | 95,613 |
Bank loans [Member] | Less than one year [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 55,486 | 95,613 |
Bank loans [Member] | Between 1 and 2 years [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 0 | 0 |
Bank loans [Member] | More than 5 years | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 0 | 0 |
Bank loans [Member] | Later ThanTwo Year And Not LaterThan Five Year Member [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 0 | 0 |
Trade and other payables [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 152,686 | 177,450 |
Trade and other payables [Member] | Less than one year [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 152,070 | 176,811 |
Trade and other payables [Member] | Between 1 and 2 years [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 616 | 639 |
Trade and other payables [Member] | More than 5 years | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 0 | 0 |
Trade and other payables [Member] | Later ThanTwo Year And Not LaterThan Five Year Member [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 0 | 0 |
Financial Obligation Capital [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 567,398 | 588,030 |
Financial Obligation Capital [Member] | Less than one year [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 262,088 | 46,166 |
Financial Obligation Capital [Member] | Between 1 and 2 years [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 131,588 | 346,401 |
Financial Obligation Capital [Member] | More than 5 years | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 125,154 | 195,463 |
Financial Obligation Capital [Member] | Later ThanTwo Year And Not LaterThan Five Year Member [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 48,568 | 0 |
Financial Obligation Interest [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 47,151 | 65,400 |
Financial Obligation Interest [Member] | Less than one year [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 22,597 | 31,017 |
Financial Obligation Interest [Member] | Between 1 and 2 years [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 11,225 | 28,359 |
Financial Obligation Interest [Member] | More than 5 years | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 11,880 | 6,024 |
Financial Obligation Interest [Member] | Later ThanTwo Year And Not LaterThan Five Year Member [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 1,449 | 0 |
Lease Capital [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 7,503 | |
Lease Capital [Member] | Less than one year [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 3,692 | |
Lease Capital [Member] | Between 1 and 2 years [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 1,514 | |
Lease Capital [Member] | More than 5 years | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 2,297 | |
Lease Capital [Member] | Later ThanTwo Year And Not LaterThan Five Year Member [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 0 | |
Lease Interest [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 620 | |
Lease Interest [Member] | Less than one year [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 73 | |
Lease Interest [Member] | Between 1 and 2 years [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 143 | |
Lease Interest [Member] | More than 5 years | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 404 | |
Lease Interest [Member] | Later ThanTwo Year And Not LaterThan Five Year Member [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 0 | |
Contingent consideration liability [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 40,071 | 38,376 |
Contingent consideration liability [Member] | Less than one year [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 0 | 0 |
Contingent consideration liability [Member] | Between 1 and 2 years [member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 0 | 0 |
Contingent consideration liability [Member] | More than 5 years | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | 4,905 | 5,904 |
Contingent consideration liability [Member] | Later ThanTwo Year And Not LaterThan Five Year Member [Member] | ||
Disclosure of financial risk management objectives and policies [line items] | ||
Financial liabilities, undiscounted contractual payments | $ 35,166 | $ 32,472 |
Financial - risk management o_7
Financial - risk management objectives and policies - Liquidity risk (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Financial - risk management [Line Items] | |||
Lease liabilities | $ 7,503 | $ 261,538 | |
Total | 265,692 | $ 46,166 | |
Minera Yanacocha SRL and subsidiary [Member] | Less than one year [member] | |||
Financial - risk management [Line Items] | |||
Trade accounts payable | 45,671 | 48,847 | |
Accounts payable to related parties | 11,426 | 10,846 | |
Lease liabilities | 290 | ||
Total | $ 57,387 | $ 59,693 |
Financial - risk management o_8
Financial - risk management objectives and policies - Carrying value versus fair value (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial liabilities [abstract] | ||||
Financial liabilities at carrying value | $ 571,688 | $ 587,062 | $ 633,083 | $ 592,342 |
Minera Yanacocha SRL and subsidiary [Member] | ||||
Disclosure of financial assets [abstract] | ||||
Financial assets at carrying value | 905,784 | 823,703 | ||
Financial assets at fair value | 907,520 | 824,177 | ||
Disclosure of financial liabilities [abstract] | ||||
Financial liabilities at carrying value | 121,007 | 125,894 | ||
Financial liabilities at fair value | 121,007 | 125,894 | ||
Minera Yanacocha SRL and subsidiary [Member] | Cash and Cash Equivalents [Member] | ||||
Disclosure of financial assets [abstract] | ||||
Financial assets at carrying value | 818,503 | 723,208 | ||
Financial assets at fair value | 818,503 | 723,208 | ||
Minera Yanacocha SRL and subsidiary [Member] | Trade receivables [member] | ||||
Disclosure of financial assets [abstract] | ||||
Financial assets at carrying value | 15,016 | 29,078 | ||
Financial assets at fair value | 15,016 | 29,078 | ||
Minera Yanacocha SRL and subsidiary [Member] | Restricted Cash [Member] | ||||
Disclosure of financial assets [abstract] | ||||
Financial assets at carrying value | 48,617 | 48,127 | ||
Financial assets at fair value | 50,353 | 48,601 | ||
Minera Yanacocha SRL and subsidiary [Member] | Financial assets at fair value [member] | ||||
Disclosure of financial assets [abstract] | ||||
Financial assets at carrying value | 23,648 | 23,290 | ||
Financial assets at fair value | 23,648 | 23,290 | ||
Minera Yanacocha SRL and subsidiary [Member] | Trade And Other Payable [Member] | ||||
Disclosure of financial liabilities [abstract] | ||||
Financial liabilities at carrying value | 76,484 | 83,464 | ||
Financial liabilities at fair value | 76,484 | 83,464 | ||
Minera Yanacocha SRL and subsidiary [Member] | Provisions And Other Accruals [Member] | ||||
Disclosure of financial liabilities [abstract] | ||||
Financial liabilities at carrying value | 596 | |||
Financial liabilities at fair value | 596 | |||
Minera Yanacocha SRL and subsidiary [Member] | Debt Instrument [Member] | ||||
Disclosure of financial liabilities [abstract] | ||||
Financial liabilities at carrying value | 43,927 | 42,430 | ||
Financial liabilities at fair value | $ 43,927 | $ 42,430 |
Financial - risk management o_9
Financial - risk management objectives and policies - Changes in copper price (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Financial risk management [Line Items] | |||
10% increase in future copper prices | $ 4,053 | $ 1,695 | $ 2,474 |
10% decrease in future copper prices | 3,545 | 1,681 | 2,459 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Disclosure Of Financial risk management [Line Items] | |||
10% increase in future copper prices | 99,219 | 72,847 | 83,955 |
10% decrease in future copper prices | $ (99,219) | $ (72,847) | $ (83,955) |
Financial - risk management _10
Financial - risk management objectives and policies - Aging of obligations (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure Of Financial risk management [Line Items] | ||||
Trade and other payables. | $ 166,860 | $ 188,723 | ||
Total financial liabilities | 571,688 | 587,062 | $ 633,083 | $ 592,342 |
On Demands [Member] | ||||
Disclosure Of Financial risk management [Line Items] | ||||
Trade accounts payable | 0 | 0 | ||
Accounts payable - related parties | 0 | 0 | ||
Other financial liabilities | 0 | 0 | ||
Trade and other payables. | 0 | 0 | ||
Total financial liabilities | 0 | 0 | ||
Not later than three months [member] | ||||
Disclosure Of Financial risk management [Line Items] | ||||
Trade accounts payable | 224,675 | 231,080 | ||
Accounts payable - related parties | 4,014 | 6,014 | ||
Other financial liabilities | 3 | 0 | ||
Trade and other payables. | 40,357 | 7,472 | ||
Total financial liabilities | 269,049 | 244,566 | ||
Later than three months and not later than one year [member] | ||||
Disclosure Of Financial risk management [Line Items] | ||||
Trade accounts payable | 245 | 56 | ||
Accounts payable - related parties | 0 | 0 | ||
Other financial liabilities | 8,852 | 0 | ||
Trade and other payables. | 59,023 | 93,782 | ||
Total financial liabilities | 68,120 | 93,838 | ||
Later than one year and not later than five years [member] | ||||
Disclosure Of Financial risk management [Line Items] | ||||
Accounts payable - related parties | 10,074 | 8,860 | ||
Other financial liabilities | 825,877 | 1,022,810 | ||
Trade and other payables. | 72,759 | 183,824 | ||
Total financial liabilities | 908,710 | 1,215,494 | ||
More than 5 years | ||||
Disclosure Of Financial risk management [Line Items] | ||||
Trade accounts payable | 0 | 0 | ||
Accounts payable - related parties | 0 | 0 | ||
Other financial liabilities | 76,943 | 0 | ||
Trade and other payables. | 289,705 | 31,246 | ||
Total financial liabilities | 366,648 | 31,246 | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | ||||
Disclosure Of Financial risk management [Line Items] | ||||
Trade accounts payable | 224,920 | 231,136 | ||
Accounts payable - related parties | 14,088 | 14,874 | ||
Other financial liabilities | 911,675 | 1,022,810 | ||
Trade and other payables. | 461,844 | 316,324 | ||
Total financial liabilities | $ 1,612,527 | $ 1,585,144 |
Financial - risk management _11
Financial - risk management objectives and policies - Additional information (Details) | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure Of Financial risk management [Line Items] | |||
Decrease in exchange rate basis points | 10.00% | 10.00% | 10.00% |
Selling Expenses (Details)
Selling Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Selling Expenses [Line Items] | |||
Sales and marketing expense | $ 24,313 | $ 26,948 | $ 23,043 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Disclosure of Selling Expenses [Line Items] | |||
concentrate freight | 98,933 | 126,670 | 131,528 |
commissions | 5,588 | 6,048 | 6,029 |
cathode freight | 1,890 | 1,831 | 1,665 |
Other | 3,072 | 2,459 | 2,447 |
Sales and marketing expense | $ 109,483 | $ 137,008 | $ 141,669 |
Other operating expenses - Othe
Other operating expenses - Other operating expenses (Details) - Sociedad Minera Cerro Verde S.A.A. [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of operating segments [line items] | |||
Optimization and prefeasibility/feasibility studies (a) | $ 14,919 | $ 450 | $ 0 |
Fines and penalties (b) | 14,183 | 0 | |
Tax contingencies (c) | 6,119 | 10,711 | 0 |
Royalties, net of asset tax (ITAN) and penalties (a) | 55,088 | 243,798 | |
Other expenses | 2,895 | 2,434 | 15,028 |
Miscellaneous other operating expense | $ 38,116 | $ 68,683 | $ 258,826 |
Other operating expenses (Detai
Other operating expenses (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Other operational expenses [Line Items] | |||
Penalties for income tax related to disputed mining royalties | $ 33.8 | ||
Penalties on disputed mining royalties | 17.7 | ||
Profit sharing adjustments related to GEM refund | $ 3.6 | ||
Disputed royalties | $ 174.8 | ||
Penalties on ITAN | 33.6 | ||
Profit sharing adjustments related to mining royalties | 29.2 | ||
Penalties on disputed royalties | $ 6.2 | ||
INGEMMET | |||
Disclosure Other operational expenses [Line Items] | |||
Fines and penalties | $ 6.8 | ||
SUNAT | |||
Disclosure Other operational expenses [Line Items] | |||
Fines and penalties | 4.7 | ||
OSINERGMIN | |||
Disclosure Other operational expenses [Line Items] | |||
Fines and penalties | $ 2.7 |
Financial expenses (Details)
Financial expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Finance Expense [Line Items] | |||
Interest on mining royalties (a) | $ 144,815 | ||
Interest on senior unsecured credit facility (see Note 10(b)) | 44,678 | ||
Interest for leases (see Note 10(a)) | $ 5,242 | 0 | |
Amortisation of debt issuance costs | 4,479 | ||
Extinguishment debt - debt issuance cost | 6,266 | ||
Interest on shareholder loans (Note 11(b)) | 7,992 | ||
Capitalized Interest | (2,252) | ||
Other financial expenses (b) | 10,934 | ||
Finance costs | 42,173 | $ 38,422 | 34,551 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Finance Expense [Line Items] | |||
Interest on mining royalties (a) | 68,107 | 370,159 | |
Interest on senior unsecured credit facility (see Note 10(b)) | 39,083 | 49,551 | |
Interest for leases (see Note 10(a)) | 5,242 | 0 | |
Amortisation of debt issuance costs | 1,768 | 2,419 | |
Extinguishment debt - debt issuance cost | 1,299 | 1,902 | |
Interest on shareholder loans (Note 11(b)) | 0 | 0 | |
Capitalized Interest | (4,504) | (3,790) | |
Other financial expenses (b) | 4,882 | 6,492 | |
Finance costs | $ 115,877 | $ 426,733 | $ 216,912 |
Financial expenses - Additional
Financial expenses - Additional inforamtion (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2010 | |
Financial expenses | ||||||
Interest related to the installment payment programs for SMT and disputed mining royalties | $ 53.6 | |||||
Interest related to the ITAN | $ 12.1 | $ 3.1 | $ 10.4 | $ 10.4 | $ 10.4 | |
Interest of other taxes related to disputed mining royalty | 2.9 | |||||
Interest associated with disputed mining royalties | $ 1.2 | |||||
Interest and interest on penalties associated to disputed mining royalties | 218.7 | |||||
Interest on income tax related to disputed mining royalties | 75.7 | |||||
Interest related to the SMT | 51 | |||||
Interest paid on royalty installment payment program | 6.1 | |||||
Deferral interest related to the new royalty installment payment programs | 5.3 | |||||
Interest of amended tax return | $ 1.3 | |||||
Interest on royalties, interest paid on the royalty installment payment program and interest on royalty penalties | $ 141.7 |
Financial Income (Details)
Financial Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Finance Income [Line Items] | |||
Finance income | $ 9,675 | $ 9,685 | $ 5,517 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Finance Income [Line Items] | |||
Finance income | 10,356 | 28,089 | 5,350 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Special Mining Burden [Member] | |||
Finance Income [Line Items] | |||
Finance income | 0 | 18,574 | 0 |
Sociedad Minera Cerro Verde S.A.A. [Member] | Other financial income [Member] | |||
Finance Income [Line Items] | |||
Finance income | $ 10,356 | $ 9,515 | $ 5,350 |
Earnings per share (Details)
Earnings per share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Earnings per share [Line Items] | |||
Net profit (loss) for the year | $ (28,459) | $ (11,654) | $ 64,435 |
Weighted average number of share outstanding (Note 12(a)) | 253,986,867 | 253,986,867 | 253,986,867 |
Basic and diluted earnings per share | $ (0.05) | $ (0.05) | $ 0.24 |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||
Disclosure Of Earnings per share [Line Items] | |||
Net profit (loss) for the year | $ 390,377,000 | $ 119,710,000 | $ 349,881,000 |
Weighted average number of share outstanding (Note 12(a)) | 350,056,012 | 350,056,012 | 350,056,012 |
Basic and diluted earnings per share | $ 1.115 | $ 0.342 | $ 1 |
Summary of significant differ_2
Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2013 | |
Disclosure of Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles [Line Items] | |||||
Impairment loss | $ 2,083 | $ 5,693 | $ 21,620 | ||
Recognition of Provisions Terms | For the purposes of IAS 37, "probable" is defined as more likely than not and refers to a probability of greater than 50%. | ||||
Income Tax, Fines | $ 29,000 | ||||
Bottom of range [member] | |||||
Disclosure of Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles [Line Items] | |||||
Percentage of Events Likely To Occur | 70.00% | ||||
Top of range [member] | |||||
Disclosure of Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles [Line Items] | |||||
Percentage of Events Likely To Occur | 80.00% | ||||
Conga [Member] | |||||
Disclosure of Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles [Line Items] | |||||
Impairment loss | $ 1,126,000 | ||||
Yanacocha mine [Member] | |||||
Disclosure of Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles [Line Items] | |||||
Impairment loss | $ 1,342,000 | ||||
Yanacocha mine [Member] | US GAAP [Member] | |||||
Disclosure of Summary of significant differences between accounting principles followed by the Company and U.S. Generally Accepted Accounting Principles [Line Items] | |||||
Impairment loss | $ 933,200 |
Reconciliation between net in_3
Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jun. 14, 2018 | Dec. 31, 2016 | |
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | $ (28,459) | $ (11,654) | $ 64,435 | ||
Items increasing (decreasing) reported net profit: | |||||
Impairment loss | 2,083 | 5,693 | 21,620 | ||
Net profit (loss) for the year | (28,459) | (11,654) | 64,435 | ||
Equity | 2,968,200 | 3,029,565 | 3,063,627 | $ 3,047,213 | |
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 2,968,200 | 3,029,565 | 3,063,627 | 3,047,213 | |
Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | 390,377,000 | 119,710,000 | 349,881,000 | ||
Items increasing (decreasing) reported net profit: | |||||
Impairment loss | 0 | ||||
Net profit (loss) for the year | 390,377,000 | 119,710,000 | 349,881,000 | ||
Minera Yanacocha SRL and subsidiary [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (95,257) | (81,517) | (175,454) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (95,257) | (81,517) | (175,454) | ||
Equity | 489,712 | 583,723 | 659,115 | $ 6,216 | 885,724 |
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 489,712 | 583,723 | 659,115 | $ 6,216 | $ 885,724 |
Effect of transition to IFRSs [member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (95,257) | (81,517) | (175,454) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (95,257) | (81,517) | (175,454) | ||
Effect of transition to IFRSs [member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | 390,377 | 119,710 | 349,881 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | 390,377 | 119,710 | 349,881 | ||
Equity | 5,349,249 | 5,108,872 | 5,189,162 | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 5,349,249 | 5,108,872 | 5,189,162 | ||
Effect of transition to IFRSs [member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | (1,176,679) | (1,078,077) | (1,023,932) | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (1,176,679) | (1,078,077) | (1,023,932) | ||
Effect of transition to IFRSs [member] | Impairment loss [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Impairment loss | 205,653 | 320,424 | 294,454 | ||
Effect of transition to IFRSs [member] | Impairment loss [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | (2,469,188) | (2,469,188) | (2,469,188) | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (2,469,188) | (2,469,188) | (2,469,188) | ||
Effect of transition to IFRSs [member] | Reversal of depreciation of assets impaired [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (204,276) | (254,006) | (237,906) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (204,276) | (254,006) | (237,906) | ||
Effect of transition to IFRSs [member] | Reversal of depreciation of assets impaired [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | (696,188) | (491,912) | |||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (696,188) | (491,912) | |||
Effect of transition to IFRSs [member] | Elimination of impairment loss recorded under US GAAP [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (54,873) | 20,537 | (76,963) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (54,873) | 20,537 | (76,963) | ||
Effect of transition to IFRSs [member] | Elimination of impairment loss recorded under US GAAP [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | 933,200 | 933,200 | 933,200 | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 933,200 | 933,200 | 933,200 | ||
Effect of transition to IFRSs [member] | Stripping activity asset [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (41,508) | (64,452) | (77,361) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (41,508) | (64,452) | (77,361) | ||
Equity | (246,395) | (204,887) | (140,435) | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (246,395) | (204,887) | (140,435) | ||
Effect of transition to IFRSs [member] | Stripping activity asset [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | 8,240 | 15,773 | 34,000 | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 8,240 | 15,773 | 34,000 | ||
Effect of transition to IFRSs [member] | Reclamation and mine closure [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | (139,834) | (12,323) | (27,225) | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (139,834) | (12,323) | (27,225) | ||
Effect of transition to IFRSs [member] | Inventories [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | 7,740 | 10,217 | 17,169 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | 7,740 | 10,217 | 17,169 | ||
Effect of transition to IFRSs [member] | Inventories [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (53,424) | (29,515) | (28,804) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (53,424) | (29,515) | (28,804) | ||
Equity | (161,683) | (108,259) | (78,744) | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (161,683) | (108,259) | (78,744) | ||
Effect of transition to IFRSs [member] | Inventories [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | 4,837 | (2,903) | (13,120) | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 4,837 | (2,903) | (13,120) | ||
Effect of transition to IFRSs [member] | Deferred workers' profit participation [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (23,449) | (7,079) | 32,349 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (23,449) | (7,079) | 32,349 | ||
Equity | (25,313) | (1,863) | 5,216 | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (25,313) | (1,863) | 5,216 | ||
Effect of transition to IFRSs [member] | Deferred income tax of reconciliation items [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | 45,759 | 33,291 | 24,529 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | 45,759 | 33,291 | 24,529 | ||
Equity | 147,307 | 101,548 | 68,257 | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 147,307 | 101,548 | 68,257 | ||
Effect of transition to IFRSs [member] | Others [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (276) | (151) | (1,099) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (276) | (151) | (1,099) | ||
Effect of transition to IFRSs [member] | Others [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | 1,937 | (26) | (25) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | 1,937 | (26) | (25) | ||
Equity | 1,603 | (334) | (308) | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 1,603 | (334) | (308) | ||
Effect of transition to IFRSs [member] | Others [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | (3,072) | (2,776) | (2,624) | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (3,072) | (2,776) | (2,624) | ||
Effect of transition to IFRSs [member] | Asset retirement obligation [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (14,504) | (89,280) | (35,911) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (14,504) | (89,280) | (35,911) | ||
Effect of transition to IFRSs [member] | Asset retirement obligation [Member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | 23 | 1,351 | 862 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | 23 | 1,351 | 862 | ||
Equity | 1,797 | 1,773 | 422 | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 1,797 | 1,773 | 422 | ||
Effect of transition to IFRSs [member] | Asset retirement obligation [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | 84,671 | ||||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 84,671 | ||||
Effect of transition to IFRSs [member] | Recognition of account receivable to tax authority [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | 0 | 0 | 2,405 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | 0 | 0 | 2,405 | ||
Effect of transition to IFRSs [member] | Interest Regarding Tax Claim [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | (16,839) | ||||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (16,839) | ||||
Effect of transition to IFRSs [member] | Income Tax Payable, Including Fines [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | (12,168) | ||||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (12,168) | ||||
Effect of transition to IFRSs [member] | Contingencies [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | (1,228) | (1,228) | 0 | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (1,228) | (1,228) | 0 | ||
Effect of transition to IFRSs [member] | Debt instrument interest [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (1,497) | (735) | 0 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (1,497) | (735) | 0 | ||
Effect of transition to IFRSs [member] | Deb instruments [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | (43,927) | (42,430) | 0 | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (43,927) | (42,430) | 0 | ||
Effect of transition to IFRSs [member] | Reversal of depreciation of assets impaired under IFRS [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | (237,906) | ||||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | (237,906) | ||||
Effect of transition to IFRSs [member] | Reversal of depreciation of assets impaired under US GAAP [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | 674,260 | ||||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 674,260 | ||||
Previous GAAP [member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | 3,316 | (69,068) | (131,243) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | 3,316 | (69,068) | (131,243) | ||
Previous GAAP [member] | Sociedad Minera Cerro Verde S.A.A. [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | 319,715 | 53,280 | 301,431 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | 319,715 | 53,280 | 301,431 | ||
Equity | 5,066,565 | 4,896,850 | 5,043,570 | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 5,066,565 | 4,896,850 | 5,043,570 | ||
Previous GAAP [member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (98,573) | (12,449) | (44,211) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (98,573) | (12,449) | (44,211) | ||
Equity | 1,666,382 | 1,661,800 | 1,683,047 | ||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 1,666,382 | 1,661,800 | 1,683,047 | ||
Previous GAAP [member] | Reversal of depreciation of assets impaired [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | 1,200,337 | 994,684 | |||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 1,200,337 | 994,684 | |||
Previous GAAP [member] | Stripping activity asset [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (7,533) | (18,227) | (6,360) | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (7,533) | (18,227) | (6,360) | ||
Previous GAAP [member] | Asset retirement obligation [Member] | Minera Yanacocha SRL and subsidiary [Member] | |||||
Items increasing (decreasing) reported net profit: | |||||
Equity | 59,160 | 1,026 | |||
Items increasing (decreasing) reported Partners' equity: | |||||
Equity | 59,160 | 1,026 | |||
Previous GAAP [member] | Interest Regarding Tax Claim [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (16,839) | 0 | 0 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (16,839) | 0 | 0 | ||
Previous GAAP [member] | Income Tax Payable, Including Fines [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | (12,168) | 0 | 0 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | (12,168) | 0 | 0 | ||
Previous GAAP [member] | Contingencies [Member] | |||||
Disclosure Of Reconciliation between net income and Partners' Equity determined under IFRS and U.S. GAAP [Line Items] | |||||
Profit (loss) for the year | 0 | (1,228) | 0 | ||
Items increasing (decreasing) reported net profit: | |||||
Net profit (loss) for the year | $ 0 | $ (1,228) | $ 0 |
Fair value measurement - Hierar
Fair value measurement - Hierarchy of assets and liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of fair value measurement [line Items] | ||||
Fair value of account receivable | $ 165,546 | $ 107,549 | ||
Contingent consideration liability | 16,410 | 15,755 | $ 17,570 | $ 19,343 |
Fair value of the hedge contracts | 0 | 2,759 | ||
Derivative financial asset liabilities | 36,705 | (20,113) | ||
Sociedad Minera Cerro Verde S.A.A. [Member] | ||||
Disclosure of fair value measurement [line Items] | ||||
Derivative financial asset liabilities | 36,700 | 20,100 | ||
Level 1 of fair value hierarchy [member] | ||||
Disclosure of fair value measurement [line Items] | ||||
Fair value of account receivable | 0 | 0 | ||
Contingent consideration liability | 0 | 0 | ||
Fair value of the hedge contracts | 0 | 0 | ||
Level 2 of fair value hierarchy [member] | ||||
Disclosure of fair value measurement [line Items] | ||||
Fair value of account receivable | 165,546 | 107,549 | ||
Contingent consideration liability | 0 | 0 | ||
Fair value of the hedge contracts | 0 | 2,759 | ||
Level 3 of fair value hierarchy [member] | ||||
Disclosure of fair value measurement [line Items] | ||||
Fair value of account receivable | 0 | 0 | ||
Contingent consideration liability | 16,410 | 15,755 | ||
Fair value of the hedge contracts | $ 0 | $ 0 |
Fair value measurement - Additi
Fair value measurement - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of fair value measurement [Line Items] | |||
Transfer of assets between level 1 to level2 | $ 0 | ||
Transfers of assets between Level 2 to Level 1 | 0 | ||
Transfer of liabilities between level 1 to level2 | 0 | ||
Transfers of liabilities between Level 2 to Level 1 | 0 | ||
Assets | 4,107,274 | $ 4,217,221 | $ 4,332,813 |
Investment property [member] | |||
Disclosure of fair value measurement [Line Items] | |||
Assets | $ 544,000 | $ 544,000 |
Events after the reporting pe_2
Events after the reporting period (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Feb. 29, 2020 | Dec. 31, 2019 | Apr. 02, 2020 | Dec. 31, 2018 | |
Disclosure of Subsequent Event [Line Items] | ||||
Deferred income tax liability, net | $ 28,959,000 | $ 31,422,000 | ||
Income tax, fines | $ 29,000,000 | |||
Syndicated Term Loan [Member] | ||||
Disclosure of Subsequent Event [Line Items] | ||||
Term loan interest rate is equal to LIBOR plus | 1.90% | |||
Loan payable in semi-annual installment | $ 41,250,000 | |||
Loan payable in final payment | $ 68,750,000 | |||
Commencement of major litigation [member] | ||||
Disclosure of Subsequent Event [Line Items] | ||||
Deferred income tax liability, net | $ 8,000,000 | |||
Income tax for interest expense | 16,800,000 | |||
Income tax, fines | $ 4,000,000 |