Cover
Cover | 9 Months Ended |
May 31, 2023 | |
Cover [Abstract] | |
Document Type | 6-K |
Amendment Flag | false |
Document Period End Date | May 31, 2023 |
Document Fiscal Period Focus | Q3 |
Document Fiscal Year Focus | 2023 |
Current Fiscal Year End Date | --08-31 |
Entity File Number | 001-32500 |
Entity Registrant Name | TRX GOLD Corporation |
Entity Central Index Key | 0001173643 |
Entity Address, Address Line One | 277 Lakeshore Road East |
Entity Address, Address Line Two | Suite 403 |
Entity Address, City or Town | Oakville |
Entity Address, State or Province | ON |
Entity Address, Country | CA |
Entity Address, Postal Zip Code | L6J 6J3 |
Interim Condensed Consolidated
Interim Condensed Consolidated Statements of Financial Position (Unaudited) - USD ($) $ in Thousands | May 31, 2023 | Aug. 31, 2022 |
Current assets | ||
Cash | $ 7,206 | $ 8,476 |
Amounts receivable | 3,014 | 2,540 |
Prepayments and other assets | 1,330 | 1,206 |
Inventories | 4,479 | 3,630 |
Total current assets | 16,029 | 15,852 |
Other long-term assets | 4,687 | 4,359 |
Mineral property, plant and equipment | 63,457 | 51,634 |
Total assets | 84,173 | 71,845 |
Current liabilities | ||
Amounts payable and accrued liabilities | 11,606 | 7,920 |
Withholding tax payable | 181 | |
Income tax payable | 1,206 | 436 |
Current portion of deferred revenue | 1,379 | 1,864 |
Current portion of lease liabilities | 66 | |
Derivative financial instrument liabilities | 5,179 | 6,849 |
Total current liabilities | 19,436 | 17,250 |
Lease liabilities | 45 | |
Deferred revenue | 621 | |
Deferred income tax liability | 3,552 | |
Provision for reclamation | 2,920 | 2,815 |
Total liabilities | 25,953 | 20,686 |
Equity | ||
Share capital | 164,650 | 163,946 |
Share-based payments reserve | 8,446 | 6,825 |
Warrants reserve | 1,700 | 1,700 |
Accumulated deficit | (122,824) | (123,673) |
Equity attributable to shareholders | 51,972 | 48,798 |
Non-controlling interest | 6,248 | 2,361 |
Total equity | 58,220 | 51,159 |
Total equity and liabilities | $ 84,173 | $ 71,845 |
Interim Condensed Consolidate_2
Interim Condensed Consolidated Statements of Income and Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
May 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | |
Profit or loss [abstract] | ||||
Revenue | $ 9,317 | $ 5,732 | $ 29,133 | $ 9,066 |
Cost of sales | ||||
Production costs | (4,384) | (1,076) | (12,030) | (2,126) |
Royalty | (674) | (419) | (2,128) | (687) |
Depreciation | (376) | (47) | (863) | (172) |
Total cost of sales | (5,434) | (1,542) | (15,021) | (2,985) |
Gross profit | 3,883 | 4,190 | 14,112 | 6,081 |
General and administrative expenses | (1,634) | (2,518) | (5,506) | (7,015) |
Change in fair value of derivative financial instruments | (730) | 1,345 | 1,670 | 1,408 |
Foreign exchange gains | 153 | 333 | 211 | 247 |
Interest and other expenses | (327) | (54) | (1,368) | (434) |
Income before tax | 1,345 | 3,296 | 9,119 | 287 |
Income tax expense | (1,719) | (108) | (4,383) | (259) |
Net (loss) income and comprehensive (loss) income | (374) | 3,188 | 4,736 | 28 |
Net (loss) income and comprehensive (loss) income attributable to: | ||||
Shareholders | (1,264) | 1,971 | 849 | (2,009) |
Non-controlling interest | $ 890 | $ 1,217 | $ 3,887 | $ 2,037 |
(Loss) earnings per share attributable to shareholders | ||||
Basic and diluted (loss) earnings per share | $ 0 | $ 0.01 | $ 0 | $ (0.01) |
Interim Condensed Consolidate_3
Interim Condensed Consolidated Statements of Changes in Equity (Unaudited) - USD ($) $ in Thousands | Issued capital [member] | Reserve of share-based payments [member] | Reserve For Warrants [Member] | Accumulated Deficit [Member] | Equity attributable to owners of parent [member] | Non-controlling interests [member] | Total |
Beginning balance, value at Aug. 31, 2021 | $ 158,129 | $ 5,680 | $ 1,606 | $ (117,457) | $ 47,958 | $ (1,533) | $ 46,425 |
Balance, number (in shares) at Aug. 31, 2021 | 254,870,556 | ||||||
IfrsStatementLineItems [Line Items] | |||||||
Shares issued for settlement of debts | $ 98 | 98 | 98 | ||||
Shares issued for settlement of debts, (In Shares) | 165,889 | ||||||
Shares issued for financing | $ 373 | 373 | 373 | ||||
Shares issued for financing, (In Shares) | 909,901 | ||||||
Shares issued for cash, net of share issuance costs | $ 3,867 | 3,867 | 3,867 | ||||
Shares issued for cash, net of share issuance costs, (In Shares) | 17,948,718 | ||||||
Stock options exercised | $ 258 | (111) | 147 | 147 | |||
Stock options exercised, (In Shares) | 450,000 | ||||||
Shares issued for share-based payments | $ 1,196 | (1,651) | (455) | (455) | |||
Shares issued for share-based payments, (In Shares) | 1,723,620 | ||||||
Warrants issued | 94 | 94 | 94 | ||||
Share-based compensation expense (Note 12) | 2,104 | 2,104 | 2,104 | ||||
Net loss for the period | (2,009) | (2,009) | 2,037 | 28 | |||
Ending balance, value at May. 31, 2022 | $ 163,921 | 6,022 | 1,700 | (119,466) | 52,177 | 504 | 52,681 |
Balance, number (in shares) at May. 31, 2022 | 276,068,684 | ||||||
IfrsStatementLineItems [Line Items] | |||||||
Shares issued for share-based payments | $ 25 | 430 | 455 | 455 | |||
Shares issued for share-based payments, (In Shares) | 77,500 | ||||||
Withholding tax impact on share-based compensation payments | (636) | (636) | (636) | ||||
Share-based compensation expense (Note 12) | 1,009 | 1,009 | 1,009 | ||||
Net loss for the period | (4,207) | (4,207) | 1,857 | (2,350) | |||
Ending balance, value at Aug. 31, 2022 | $ 163,946 | 6,825 | 1,700 | (123,673) | 48,798 | 2,361 | 51,159 |
Balance, number (in shares) at Aug. 31, 2022 | 276,146,184 | ||||||
IfrsStatementLineItems [Line Items] | |||||||
Shares issued for cash, net of share issuance costs | $ 105 | 105 | 105 | ||||
Shares issued for cash, net of share issuance costs, (In Shares) | 200,000 | ||||||
Shares issued for cashless exercise of options | $ 90 | (90) | |||||
Shares issued for cashless exercise of options, (In shares) | 155,619 | ||||||
Shares issued for share-based payments | $ 509 | (514) | (5) | (5) | |||
Shares issued for share-based payments, (In Shares) | 810,469 | ||||||
Share-based compensation expense (Note 12) | 2,138 | 2,138 | 2,138 | ||||
Withholding tax impact on restricted share units ("RSUs") | 87 | 87 | 87 | ||||
Net income for the period | 849 | 849 | 3,887 | 4,736 | |||
Ending balance, value at May. 31, 2023 | $ 164,650 | $ 8,446 | $ 1,700 | $ (122,824) | $ 51,972 | $ 6,248 | $ 58,220 |
Balance, number (in shares) at May. 31, 2023 | 277,312,272 |
Interim Condensed Consolidate_4
Interim Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
May 31, 2023 | May 31, 2022 | |
Operating | ||
Net income | $ 4,736 | $ 28 |
Adjustments for items not involving cash: | ||
Non-cash items | 4,218 | 1,245 |
Changes in non-cash working capital: | ||
Decrease (increase) in amounts receivable | 1,628 | (821) |
Increase in inventories | (544) | (968) |
Increase in prepaid and other assets | (1,567) | (392) |
Increase in amounts payable and accrued liabilities | 5,321 | 1,249 |
Increase in income tax payable | 788 | 259 |
Cash provided by operating activities | 14,580 | 600 |
Investing | ||
Exploration and evaluation assets and expenditures | (2,192) | |
Proceeds from gold sales | 535 | |
Purchase of mineral property, plant and equipment | (14,650) | (8,483) |
Increase in other long-term assets | (1,114) | |
Cash used in investing activities | (15,764) | (10,140) |
Financing | ||
Proceeds from issuance of shares and warrants | 110 | 7,147 |
Issuance costs paid | (5) | (589) |
Withholding taxes on settlement of RSUs | (94) | |
Lease payments | (97) | |
Cash (used in) provided by financing activities | (86) | 6,558 |
Net decrease in cash | (1,270) | (2,982) |
Cash at beginning of the period | 8,476 | 13,447 |
Cash at end of the period | 7,206 | 10,465 |
Taxes paid in cash | $ 43 |
Nature of operations
Nature of operations | 9 Months Ended |
May 31, 2023 | |
Nature Of Operations | |
Nature of operations | 1. Nature of operations TRX Gold Corporation (“TRX Gold” or the “Company”) was incorporated in the Province of Alberta on July 5, 1990 under the Business Corporations Act (Alberta). The Company’s principal business activity is the exploration, development and production of mineral property interests in the United Republic of Tanzania (“Tanzania”). On November 1, 2022, the Company declared commercial production on the 1,000+ tonne per day (“tpd”) process plant at its Buckreef Gold Project (“Buckreef”) in Tanzania. The Company’s registered office is 400 3 rd The Company’s common shares are listed on the Toronto Stock Exchange in Canada (TSX: TNX) and NYSE American in the United States of America (NYSE American: TRX). The Company is primarily focused on development and mining operations, exploring, and evaluating its mineral properties. The business of exploring and mining for minerals involves a high degree of risk. The underlying value of the mineral properties is dependent upon the existence and economic recovery of mineral resources and reserves, the ability to raise long-term financing to complete the development of the properties, government policies and regulations, and upon future profitable production or, alternatively, upon the Company’s ability to dispose of its interest on an advantageous basis; all of which are uncertain. |
Basis of preparation
Basis of preparation | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Basis of preparation | 2. Basis of preparation a) Statement of compliance The Company’s interim condensed consolidated financial statements have been prepared in accordance with International Accounting Standards (“IAS”) 34, Interim Financial Reporting These interim condensed consolidated financial statements were approved by the Board of Directors of the Company on July 14, 2023. b) Comparative figures Certain comparative amounts have been restated to conform to current period’s presentation. The reclassification in presentation resulted in the following impact on the Consolidated Statements of Income and Comprehensive Income for the three and nine months ended May 31, 2022: Three months ended May 31, 2022 Schedule of statement of income Reported at May 31, 2022 Reclassification Restated at May 31, 2022 General and administrative expenses $ (2,518 ) $ - $ (2,518 ) Financial instrument related cost and other 1,334 (1,334 ) - Gain on derivative financial instruments - 1,345 1,345 Accretion of provision for reclamation (12 ) 12 - Loss on disposal of assets (26 ) 26 - Foreign exchange gains 333 - 333 Interest and other expenses (5 ) (49 ) (54 ) Income tax expense (108 ) - (108 ) Net income and comprehensive income $ 3,188 $ - $ 3,188 Nine months ended May 31, 2022 Reported at May 31, 2022 Reclassification Restated at May 31, 2022 General and administrative expenses $ (7,015 ) $ - $ (7,015 ) Financial instrument related costs and other 1,115 (1,115 ) - Gain on derivative financial instruments - 1,408 1,408 Accretion of provision for reclamation (100 ) 100 - Loss on disposal of assets (26 ) 26 - Foreign exchange gains 247 - 247 Interest and other expenses (15 ) (419 ) (434 ) Income tax expense (259 ) - (259 ) Net income and comprehensive income $ 28 $ - $ 28 The reclassification in presentation resulted in the following impact on the Consolidated Statements Financial Position as at August 31, 2022: Schedule of financial position Reported at August 31, 2022 Reclassification Restated at August 31, 2022 Amounts receivable $ 40 $ 2,500 $ 2,540 Other receivables 2,500 (2,500 ) - c) Basis of presentation and measurement These interim condensed consolidated financial statements have been prepared on a going concern basis under the historical cost basis, except for certain financial assets and liabilities which are measured at fair value as disclosed in Note 18. All amounts in these interim condensed consolidated financial statements are presented in U.S. dollars with all amounts rounded to the nearest thousand, except for share and per share data, or as otherwise noted. Reference herein of $ or USD is to US dollars and C$ or CAD is to Canadian dollars. |
Significant accounting policies
Significant accounting policies | 9 Months Ended |
May 31, 2023 | |
Significant Accounting Policies | |
Significant accounting policies | 3. Significant accounting policies The accounting policies applied in these interim condensed consolidated financial statements are consistent with those applied in the preparation of the Company’s annual consolidated financial statements for the year ended August 31, 2022. |
Significant accounting judgment
Significant accounting judgments, estimates and assumptions | 9 Months Ended |
May 31, 2023 | |
Significant Accounting Judgments Estimates And Assumptions | |
Significant accounting judgments, estimates and assumptions | 4. Significant accounting judgments, estimates and assumptions The preparation of consolidated financial statements in conformity with IFRS requires management to make estimates and assumptions that affect the carrying amount of assets and liabilities and the reported amount of revenues and expenses. The following discusses the most significant accounting policy judgments and accounting estimates that the Company has made in the preparation of these interim condensed consolidated financial statements. a) Production Start Date Management assesses the stage of each mine development project to determine when a mine moves into the production stage. The criteria used to assess the start date of a mine are determined based on the unique nature of each mine development project. The Company considers various relevant criteria to assess when the mine is substantially complete, ready for its intended use and moves into the production phase. Some of the criteria include, but are not limited to, the following: · A significant level of capital expenditures compared to construction cost estimates are complete, · Ability to produce gold in saleable form within specifications has been achieved, · Reasonable period for testing has been completed, and · Reasonable level of ongoing production based on mill throughput, recovery rates and mill availability. On November 1, 2022, the Company declared commercial production for the 1,000+ tpd processing plant at Buckreef after successful construction, commissioning and ramp-up of processing to a steady state throughput of 1,000+ tpd. The processing plant was running consistently at or above nameplate capacity since October 2022 with gold recoveries exceeding 90%. All major construction activities were completed and Buckreef demonstrated its ability to sustain ongoing production levels. b) Units-of-Production Management estimates recoverable proven and probable mineral reserves in determining the depreciation and amortization of certain mineral property, plant and equipment that is expected to be used for the duration of the mine life. This results in a depreciation charge proportional to the recovery of the anticipated ounces of gold. The life of the asset is assessed annually and considers its physical life limitations and present assessment of economically recoverable reserves of the mine property at which the asset is located. The calculations require the use of estimates and assumptions, including the amount of recoverable proven and probable mineral reserves. The Company’s units of production calculations are based on recovered ounces of gold poured. c) Stripping Costs in the Production Phase of a Surface Mine Significant judgement is required to distinguish between development stripping and production stripping and to distinguish between the production stripping that relates to the extraction of inventory and that which relates to the creation of a stripping activity asset. The Company identifies the separate components of the ore bodies for its mining operations. An identifiable component is a specific volume of the ore body that is made more accessible by the stripping activity. Significant judgement is required to identify and define these components, and also to determine the expected volumes of waste to be stripped and ore to be mined in each of these components. The assessment is based on the information available in the mine plan. The mine plans and, therefore, the identification of components, may change for a number of reasons as new information becomes available. These include, but are not limited to, the geographic location and geological characteristics of the ore body, and/or financial considerations. Judgement is also required to identify a suitable production measure to be used to allocate production stripping costs between inventory and any stripping activity asset. Management estimates the cost of deferred stripping activities as the excess waste material moved above the average strip ratio to provide access to further quantities of ore that is expected to be mined in future periods. Furthermore, judgements and estimates are also used to apply the units-of-production method in determining the depreciable lives of stripping activity assets. |
Amounts receivable
Amounts receivable | 9 Months Ended |
May 31, 2023 | |
Amounts Receivable | |
Amounts receivable | 5. Amounts receivable Schedule of Summary of Receivables May 31, 2023 August 31, 2022 Receivable from precious metal sales $ 808 $ - Sales tax receivable (1) 6,844 4,359 Prepaid gold purchase receivable (Note 9) - 2,500 Other 49 40 7,701 6,899 Less: Long-term portion (4,687 ) (4,359 ) Total amounts receivable $ 3,014 $ 2,540 (1) Sales tax receivables consist of harmonized services tax and value added tax (“VAT”) due from Canadian and Tanzanian tax authorities, respectively. Tanzanian tax regulations allow for VAT receivable to be refunded or set-off against other taxes due to the Tanzania Revenue Authority ("TRA"). VAT which the Company does not expect to recover within the next 12 months has been classified as long-term assets. As at May 31, 2023, $ 0.2 0 2.1 |
Prepayments and other assets
Prepayments and other assets | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Prepayments and other assets | 6. Prepayments and other assets Prepayments and other assets May 31, 2023 August 31, 2022 Prepaid expenses $ 663 $ 699 Deferred financing costs (1) 667 507 Total prepayments and other assets $ 1,330 $ 1,206 (1) Consists of $0.5 million in commitment fees paid with respect to a share purchase agreement whereby the Company, at its sole discretion, has the right to sell up to $10 million of its common shares over a 36-month period and $0.2 million in deferred financing costs related to an At-the-Market Offering Agreement entered on May 12, 2023. |
Inventories
Inventories | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Inventories | 7. Inventories Schedule of Inventory May 31, 2023 August 31, 2022 Ore stockpile $ 2,353 $ 2,643 Gold in circuit 528 210 Gold doré 21 253 Total precious metals inventories 2,902 3,106 Supplies 1,577 524 Total inventories $ 4,479 $ 3,630 |
Mineral property, plant and equ
Mineral property, plant and equipment | 9 Months Ended |
May 31, 2023 | |
Mineral Property Plant And Equipment | |
Mineral property, plant and equipment | 8. Mineral property, plant and equipment Schedule of continuity of expenditures on mineral properties Construction in progress Mineral properties Processing plant and related infrastructure Machinery and equipment Other Total Cost As at August 31, 2022 $ 45,239 $ - $ 7,076 $ 1,396 $ 143 $ 53,854 Additions - 4,132 8,509 115 213 12,969 Transfers (1) (45,239 ) 38,485 6,754 5 (5 ) - As at May 31, 2023 $ - $ 42,617 $ 22,339 $ 1,516 $ 351 $ 66,823 Accumulated depreciation As at August 31, 2022 $ - $ - $ 1,566 $ 619 $ 35 $ 2,220 Depreciation - 752 156 130 108 1,146 Transfers (1) - (362 ) 362 - - - As at May 31, 2023 $ - $ 390 $ 2,084 $ 749 $ 143 $ 3,366 Net book value As at August 31, 2022 $ 45,239 $ - $ 5,510 $ 777 $ 108 $ 51,634 As at May 31, 2023 $ - $ 42,227 $ 20,255 $ 767 $ 208 $ 63,457 (1) On November 1, 2022, Buckreef achieved commercial production at which point development expenditures were subject to depreciation. |
Deferred revenue
Deferred revenue | 9 Months Ended |
May 31, 2023 | |
Deferred Revenue | |
Deferred revenue | 9. Deferred revenue On August 11, 2022, the Company entered into a $ 5 The Company drew down the first tranche of $2.5 million in exchange for delivering 434 ounces of gold per quarter, commencing February 2023, for a total of 1,735 ounces of gold over four quarters. 1.0 The Agreement has been accounted for as a contract in accordance with IFRS 15, Revenue from Contracts with Customers Schedule of deferred revenue Amount As at August 31, 2022 $ 2,485 Accretion of deferred revenue 364 Transaction costs expensed 15 Revenue recognized (1,485 ) As at May 31, 2023 $ 1,379 |
Derivative financial instrument
Derivative financial instrument liabilities | 9 Months Ended |
May 31, 2023 | |
Derivative Financial Instrument Liabilities | |
Derivative financial instrument liabilities | 10. Derivative financial instrument liabilities Schedule of derivative financial instrument liabilities May 31, 2023 August 31, 2022 Derivative warrant liabilities $ 5,127 $ 6,849 Gold zero-cost collars 52 - Total derivative financial instrument liabilities $ 5,179 $ 6,849 a) Derivative warrant liabilities Schedule of derivative warrant liabilities Amount As at August 31, 2022 $ 6,849 Change in fair value (1,722 ) As at May 31, 2023 $ 5,127 Derivative warrant liabilities of $ 5.1 0.7 1.7 1.3 1.4 Fair values of derivative warrant liabilities were calculated using the Black-Scholes option pricing model with the following assumptions: Schedule of assumptions fair value of derivative warrant liabilities May 31, 2023 August 31, 2022 Share price $0.46 $0.48 Risk-free interest rate 3.90 5.31 3.32 3.44 Dividend yield 0 0 Expected volatility 53 58 55 60 Remaining term (in years) 0.2 3.7 0.9 4.4 The fair value is classified as level 3 as expected volatilities is determined using adjusted historical volatilities and were therefore not an observable input. Sensitivity analysis If expected volatility, the significant unobservable input, had been higher or lower by 10% and all other variables were held constant, net income and net assets for the three and nine months ended May 31, 2023 would increase or decrease by: Schedule of net income and net assets May 31, 2023 10% change in expected volatilities Increase Decrease (Loss) income $ (974 ) $ 989 b) Gold zero-cost collars Schedule of derivative warrant liabilities Amount As at August 31, 2022 $ - Change in fair value 52 As at May 31, 2023 $ 52 In March 2023, the Company entered into a series of gold zero-cost collar contracts for 1,800 gold ounces per month totalling 9,000 gold ounces to be settled from April 2023 to August 2023, at a maximum and minimum gold price of $2,030 and $1,825 per gold ounce, respectively. During the three and nine months ended May 31, 2023, gold zero-costs collar contracts for a total of 3,600 As at May 31, 2023, the following gold zero-cost collar contracts were outstanding: Schedule of contracts outstanding Quantity (ounces) Floor Price Ceiling Price Expiry Date 1,800 $1,825 $2,030 June 28, 2023 1,800 $1,825 $2,030 July 27, 2023 1,800 $1,825 $2,030 August 29, 2023 For the three and nine months ended May 31, 2023, fair value losses amounted to $ 0.1 0.1 0 0 |
(Loss) earnings per share
(Loss) earnings per share | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
(Loss) earnings per share | 11. (Loss) earnings per share Schedule of earning per share Three months ended May 31, Nine months ended May 31, 2023 2022 2023 2022 Net (loss) income attributable to shareholders $ (1,264 ) $ 1,971 $ 849 $ (2,009 ) Weighted average number of common shares for basic EPS (1) 284,205,392 274,363,799 281,536,777 263,927,318 Effect of dilutive stock options, warrants, RSUs and share awards - 78,701 4,056,778 - Weighted average number of common shares for diluted EPS (1) 284,205,392 274,442,500 285,593,555 263,927,318 (1) The weighted average number of common shares for basic and diluted EPS include vested, but unissued, common shares relating to common share awards. For the nine months ended May 31, 2023, the weighted average number of common shares for diluted EPS excluded 7.4 42.0 0 42.0 |
Share-based payments reserve
Share-based payments reserve | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Share-based payments reserve | 12. Share-based payments reserve Share-based compensation expense for the three and nine months ended May 31, 2023 totalled $ 0.5 2.1 0.6 2.1 As at May 31, 2023, the Company had 3,173,284 2,106,675 a) Stock options Canadian Dollars denominated stock options Schedule of continuity of outstanding stock options Number of stock options Weighted average exercise price per share Balance – August 31, 2022 5,336,000 CAD $ 0.41 Options exercised (1) (350,000 ) CAD $ 0.42 Balance – May 31, 2023 4,986,000 CAD $ 0.41 The weighted average share price at the time of the option exercise was C$0.75. Options to purchase common shares carry exercise prices and terms to maturity as follows: Schedule of Options to purchase common shares carry exercise prices and terms to maturity Remaining Number of options Expiry contractual Exercise price Outstanding Exercisable Date life (years) C$ 0.40 2,354,000 2,354,000 October 11, 2026 3.4 C$ 0.43 2,532,000 2,532,000 September 29, 2026 3.3 C$ 0.35 100,000 100,000 January 2, 2027 3.6 C$ 0.41 (1) 4,986,000 4,986,000 3.4 (1) (1) Total represents weighted average. US Dollars denominated stock options Schedule of continuity of outstanding stock options Number of stock options Weighted average exercise price per share Balance – May 31, 2023 and August 31, 2022 7,375,000 $ 0.50 Options to purchase common shares carry exercise prices and terms to maturity as follows: Schedule of Options to purchase common shares carry exercise prices and terms to maturity Remaining Exercise price Number of options Expiry contractual Outstanding $ Outstanding Exercisable Date life (years) USD $ 0.50 7,375,000 1,475,000 August 17, 2027 4.2 For the three and nine months ended May 31, 2023, share-based payment expenses related to stock options totalled $ 0.2 0.4 0 0 b) Restricted Share Units: The following table sets out activity with respect to outstanding RSUs: Schedule of restricted stock outstanding Number of RSUs Balance – August 31, 2022 1,855,276 Granted 160,000 Vested (600,000 ) Forfeited (160,000 ) Balance – May 31, 2023 1,255,276 For the three and nine months ended May 31, 2023, share-based payment expenses related to RSUs totalled $ 0.1 0.4 0 0 |
Warrants reserve
Warrants reserve | 9 Months Ended |
May 31, 2023 | |
Warrants Reserve | |
Warrants reserve | 13. Warrants reserve Schedule of Reserve for warrants Number of warrants Weighted average exercise price per share Weighted average remaining contractual life (years) Balance – August 31, 2022 41,970,074 $ 0.72 3.6 Balance – May 31, 2023 41,970,074 $ 0.72 2.8 As at May 31, 2023, the following warrants were outstanding: Schedule of warrants and compensation warrants Number of Exercise price Expiry date Convertible debenture warrants - July 27, 2020 3,002,037 $1.21 July 27, 2023 Private placement financing warrants - December 23, 2020 2,777,268 $1.50 December 23, 2023 Private placement financing warrants - February 11, 2021 16,461,539 $0.80 February 11, 2026 Private placement financing broker warrants - February 11, 2021 1,152,307 $0.80 February 11, 2026 Private placement financing warrants – January 26, 2022 17,948,718 $0.44 January 26, 2027 Private placement financing placement agent warrants – January 26, 2022 628,205 $0.44 January 26, 2027 Balance – May 31, 2023 41,970,074 |
Non-controlling interest
Non-controlling interest | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Non-controlling interest | 14. Non-controlling interest Summarized financial information for Buckreef is disclosed below: Schedule of summarized financial information Three months ended May 31, Nine months ended May 31, Income Statement 2023 2022 2023 2022 Revenue $ 9,317 $ 5,732 $ 29,133 $ 9,066 Comprehensive income for the period 1,979 2,793 8,638 4,528 Statement of Financial Position May 31, 2023 August 31, 2022 Current assets $ 9,945 $ 7,253 Non-current assets 65,875 53,789 Current liabilities (11,966 ) (8,602 ) Non-current liabilities (6,475 ) (2,815 ) Advances from parent, net (36,840 ) (37,725 ) |
Related party transactions
Related party transactions | 9 Months Ended |
May 31, 2023 | |
Related Party Transactions | |
Related party transactions | 15. Related party transactions Related parties include the Board of Directors and officers, extended relatives and enterprises that are controlled by these individuals as well as certain consultants performing similar functions. Remuneration of Directors and key management personnel of the Company was as follows: Schedule of Related Parties Compensation Three months ended May 31, Nine months ended May 31, Directors and key management personnel 2023 2022 2023 2022 Remuneration (1) $ 438 $ 463 $ 1,414 $ 1,291 Share-based compensation expense 410 612 1,682 2,125 Total directors and key management personnel $ 848 $ 1,075 $ 3,096 $ 3,416 (1) Remuneration includes salaries and benefits for certain key management personnel and director fees. Certain members of the board of directors have employment or service contracts with the Company. Directors are entitled to director fees and share based payments for their services and officers are entitled to cash remuneration and share based payments for their employment services. As at May 31, 2023, included in amounts payable is $ 0.1 0.2 During the three and nine months ended May 31, 2023, $ 0.2 0.4 0 0 0 0.2 0 0 During the year ended August 31, 2021, the Company granted common shares upon hiring key management personnel in the aggregate of: a) 1.56 1.1 b) Common shares on the first, second and third anniversary dates of the greater of up to 2.0 3.6 2.8 1.4 2.5 2.0 The common shares had a value of $ 7.0 During the three and nine months ended May 31, 2023, $ 0.2 1.1 0.6 2.1 |
General and administrative expe
General and administrative expenses | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
General and administrative expenses | 16. General and administrative expenses Schedule of General and Administrative expense Three months ended May 31, Nine months ended May 31, 2023 2022 2023 2022 Directors’ fees (Note 15) $ 92 $ 144 $ 306 $ 331 Insurance 69 113 268 346 Office and general 47 291 107 562 Shareholder information 61 81 375 378 Professional fees 94 183 331 497 Salaries and benefits (1) 540 690 1,638 1,844 Consulting 115 101 292 268 Severance - 17 - 259 Share-based compensation expense (1) 541 612 1,939 2,125 Travel and accommodation 47 72 150 176 Depreciation (1) 21 11 79 21 Other 7 203 21 208 Total general and administrative expenses $ 1,634 $ 2,518 $ 5,506 $ 7,015 (1) As a result of adoption to amendments to IAS 16, Property, Plant and Equipment, |
Income tax
Income tax | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Income tax | 17. Income tax Income tax expense is recognized based on management’s estimate of the weighted average annual income tax rate expected for the full financial year. The maximum amount of tax losses that a business can utilize in Tanzania is 70% of its taxable profit for the current year. The remaining 30% of taxable profit is subject to a statutory tax rate of 30%. As a result, Buckreef’s current income tax is calculated at an effective tax rate of 9% until Buckreef’s tax loss carryforwards are fully utilized. Tax losses in Tanzania can only be utilized by the entity to which the tax losses relate to. The carrying value of Buckreef’s Mineral Property, Plant and Equipment is higher than their tax written down values due to historical mining incentives in Tanzania and accelerated depreciation for tax purposes. The taxable temporary difference between the carrying value of Mineral Property, Plant and Equipment and its tax basis in excess of available tax loss carryforwards resulted in a deferred tax liability. For the three months ended May 31, 2023, the Company recorded income tax expense of $ 1.7 0.3 1.4 0.1 0.1 0 4.4 0.8 3.6 0.3 0.3 0 |
Financial instruments
Financial instruments | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Financial instruments | 18. Financial instruments Fair value of financial instruments Cash, derivative warrant liabilities and gold zero-cost collars are classified as measured at fair value through profit and loss. Amounts receivable and amounts payable are classified as measured at amortized cost. The carrying value of the Company’s cash, amounts receivable, amounts payable approximate their fair value due to the relatively short-term nature of these instruments. Fair value estimates are made at a specific point in time based on relevant market information and information about financial instruments. These estimates are subject to and involve uncertainties and matters of significant judgment, and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. The Company classifies its financial instruments carried at fair value according to a three-level hierarchy that reflects the significance of the inputs used in making the fair value measurements. The three levels of fair value hierarchy, giving the highest priority to Level 1 inputs and the lowest priority to Level 3 inputs, are as follows: · Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities; · Level 2 – Inputs other than quoted prices that are observable for assets and liabilities, either directly or indirectly; and · Level 3 – Inputs for assets or liabilities that are not based on observable market data. As at May 31, 2023 and August 31, 2022, cash was classified as Level 1, gold zero-cost collars (Note 10) were classified as Level 2, and derivative financial instruments (Note 10) were classified as Level 3 under the fair value hierarchy. |
Segmented information
Segmented information | 9 Months Ended |
May 31, 2023 | |
Segmented Information | |
Segmented information | 19. Segmented information Operating segments The Company’s Chief Operating Decision Maker, its Chief Executive Officer, reviews the operating results, assesses the performance and makes capital allocation decisions of the Company viewed as a single operating segment engaged in mineral exploration and development in Tanzania. All amounts disclosed in the interim condensed consolidated financial statements represent this single reporting segment. The Company’s corporate division only earns interest revenue that is considered incidental to the activities of the Company and does not meet the definition of an operating segment as defined in IFRS 8, Operating Segments Geographic segments The Company is in the business of mineral exploration and production in Tanzania. Information regarding the Company’s geographic locations are as follows: Schedule of operating segments Three months ended May 31, Nine months ended May 31, Revenue 2023 2022 2023 2022 Tanzania $ 9,317 $ 5,732 $ 29,133 $ 9,066 Total revenue $ 9,317 $ 5,732 $ 29,133 $ 9,066 Non-current assets May 31, 2023 August 31, 2022 Canada $ 61 $ - Tanzania 68,083 55,993 Total non-current assets $ 68,144 $ 55,993 |
Commitments and contingencies
Commitments and contingencies | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Commitments and contingencies | 20. Commitments and contingencies Commitments: In order to maintain its existing mining and exploration licenses, the Company is required to pay annual license fees. As at May 31, 2023 and August 31, 2022, these licenses remained in good standing and the Company is up to date on its license payments. Contingencies: The Company is involved in litigation and disputes arising in the normal course of operations. Management is of the opinion that the outcome of any potential litigation will not have a material adverse impact on the Company’s financial position or results of operations. Accordingly, no provisions for the settlement of outstanding litigation and potential claims have been accrued as at May 31, 2023 and August 31, 2022. |
Non-cash items
Non-cash items | 9 Months Ended |
May 31, 2023 | |
Non-cash Items | |
Non-cash items | 21. Non-cash items Schedule of Non-cash items Nine months ended May 31, 2023 2022 Depreciation $ 942 $ 193 Change in fair value of derivative financial instrument liabilities (Note 10) (1,670 ) (1,408) Share-based compensation expense (Note 12) 2,113 2,334 Accretion of provision for reclamation 105 100 Deferred income tax expense (Note 17) 3,552 - Accretion of lease liabilities 8 - Settlement of deferred revenue (Note 9) (1,485 ) - Accretion of deferred revenue (Note 9) 364 - Foreign exchange gains 41 - VAT written-off (Note 5) 233 - Loss on assets disposal - 26 Other expenses 15 - Total non-cash items $ 4,218 $ 1,245 |
Basis of preparation (Tables)
Basis of preparation (Tables) | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of statement of income | Schedule of statement of income Reported at May 31, 2022 Reclassification Restated at May 31, 2022 General and administrative expenses $ (2,518 ) $ - $ (2,518 ) Financial instrument related cost and other 1,334 (1,334 ) - Gain on derivative financial instruments - 1,345 1,345 Accretion of provision for reclamation (12 ) 12 - Loss on disposal of assets (26 ) 26 - Foreign exchange gains 333 - 333 Interest and other expenses (5 ) (49 ) (54 ) Income tax expense (108 ) - (108 ) Net income and comprehensive income $ 3,188 $ - $ 3,188 Nine months ended May 31, 2022 Reported at May 31, 2022 Reclassification Restated at May 31, 2022 General and administrative expenses $ (7,015 ) $ - $ (7,015 ) Financial instrument related costs and other 1,115 (1,115 ) - Gain on derivative financial instruments - 1,408 1,408 Accretion of provision for reclamation (100 ) 100 - Loss on disposal of assets (26 ) 26 - Foreign exchange gains 247 - 247 Interest and other expenses (15 ) (419 ) (434 ) Income tax expense (259 ) - (259 ) Net income and comprehensive income $ 28 $ - $ 28 |
Schedule of financial position | Schedule of financial position Reported at August 31, 2022 Reclassification Restated at August 31, 2022 Amounts receivable $ 40 $ 2,500 $ 2,540 Other receivables 2,500 (2,500 ) - |
Amounts receivable (Tables)
Amounts receivable (Tables) | 9 Months Ended |
May 31, 2023 | |
Amounts Receivable | |
Schedule of Summary of Receivables | Schedule of Summary of Receivables May 31, 2023 August 31, 2022 Receivable from precious metal sales $ 808 $ - Sales tax receivable (1) 6,844 4,359 Prepaid gold purchase receivable (Note 9) - 2,500 Other 49 40 7,701 6,899 Less: Long-term portion (4,687 ) (4,359 ) Total amounts receivable $ 3,014 $ 2,540 (1) Sales tax receivables consist of harmonized services tax and value added tax (“VAT”) due from Canadian and Tanzanian tax authorities, respectively. Tanzanian tax regulations allow for VAT receivable to be refunded or set-off against other taxes due to the Tanzania Revenue Authority ("TRA"). VAT which the Company does not expect to recover within the next 12 months has been classified as long-term assets. |
Prepayments and other assets (T
Prepayments and other assets (Tables) | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Prepayments and other assets | Prepayments and other assets May 31, 2023 August 31, 2022 Prepaid expenses $ 663 $ 699 Deferred financing costs (1) 667 507 Total prepayments and other assets $ 1,330 $ 1,206 (1) Consists of $0.5 million in commitment fees paid with respect to a share purchase agreement whereby the Company, at its sole discretion, has the right to sell up to $10 million of its common shares over a 36-month period and $0.2 million in deferred financing costs related to an At-the-Market Offering Agreement entered on May 12, 2023. |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of Inventory | Schedule of Inventory May 31, 2023 August 31, 2022 Ore stockpile $ 2,353 $ 2,643 Gold in circuit 528 210 Gold doré 21 253 Total precious metals inventories 2,902 3,106 Supplies 1,577 524 Total inventories $ 4,479 $ 3,630 |
Mineral property, plant and e_2
Mineral property, plant and equipment (Tables) | 9 Months Ended |
May 31, 2023 | |
Mineral Property Plant And Equipment | |
Schedule of continuity of expenditures on mineral properties | Schedule of continuity of expenditures on mineral properties Construction in progress Mineral properties Processing plant and related infrastructure Machinery and equipment Other Total Cost As at August 31, 2022 $ 45,239 $ - $ 7,076 $ 1,396 $ 143 $ 53,854 Additions - 4,132 8,509 115 213 12,969 Transfers (1) (45,239 ) 38,485 6,754 5 (5 ) - As at May 31, 2023 $ - $ 42,617 $ 22,339 $ 1,516 $ 351 $ 66,823 Accumulated depreciation As at August 31, 2022 $ - $ - $ 1,566 $ 619 $ 35 $ 2,220 Depreciation - 752 156 130 108 1,146 Transfers (1) - (362 ) 362 - - - As at May 31, 2023 $ - $ 390 $ 2,084 $ 749 $ 143 $ 3,366 Net book value As at August 31, 2022 $ 45,239 $ - $ 5,510 $ 777 $ 108 $ 51,634 As at May 31, 2023 $ - $ 42,227 $ 20,255 $ 767 $ 208 $ 63,457 (1) On November 1, 2022, Buckreef achieved commercial production at which point development expenditures were subject to depreciation. |
Deferred revenue (Tables)
Deferred revenue (Tables) | 9 Months Ended |
May 31, 2023 | |
Deferred Revenue | |
Schedule of deferred revenue | Schedule of deferred revenue Amount As at August 31, 2022 $ 2,485 Accretion of deferred revenue 364 Transaction costs expensed 15 Revenue recognized (1,485 ) As at May 31, 2023 $ 1,379 |
Derivative financial instrume_2
Derivative financial instrument liabilities (Tables) | 9 Months Ended |
May 31, 2023 | |
IfrsStatementLineItems [Line Items] | |
Schedule of derivative financial instrument liabilities | Schedule of derivative financial instrument liabilities May 31, 2023 August 31, 2022 Derivative warrant liabilities $ 5,127 $ 6,849 Gold zero-cost collars 52 - Total derivative financial instrument liabilities $ 5,179 $ 6,849 |
Schedule of derivative warrant liabilities | Schedule of derivative warrant liabilities Amount As at August 31, 2022 $ 6,849 Change in fair value (1,722 ) As at May 31, 2023 $ 5,127 |
Schedule of assumptions fair value of derivative warrant liabilities | Schedule of assumptions fair value of derivative warrant liabilities May 31, 2023 August 31, 2022 Share price $0.46 $0.48 Risk-free interest rate 3.90 5.31 3.32 3.44 Dividend yield 0 0 Expected volatility 53 58 55 60 Remaining term (in years) 0.2 3.7 0.9 4.4 |
Schedule of net income and net assets | Schedule of net income and net assets May 31, 2023 10% change in expected volatilities Increase Decrease (Loss) income $ (974 ) $ 989 |
Schedule of contracts outstanding | Schedule of contracts outstanding Quantity (ounces) Floor Price Ceiling Price Expiry Date 1,800 $1,825 $2,030 June 28, 2023 1,800 $1,825 $2,030 July 27, 2023 1,800 $1,825 $2,030 August 29, 2023 |
Gold Zero Cost Collars [Member] | |
IfrsStatementLineItems [Line Items] | |
Schedule of derivative warrant liabilities | Schedule of derivative warrant liabilities Amount As at August 31, 2022 $ - Change in fair value 52 As at May 31, 2023 $ 52 |
(Loss) earnings per share (Tabl
(Loss) earnings per share (Tables) | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of earning per share | Schedule of earning per share Three months ended May 31, Nine months ended May 31, 2023 2022 2023 2022 Net (loss) income attributable to shareholders $ (1,264 ) $ 1,971 $ 849 $ (2,009 ) Weighted average number of common shares for basic EPS (1) 284,205,392 274,363,799 281,536,777 263,927,318 Effect of dilutive stock options, warrants, RSUs and share awards - 78,701 4,056,778 - Weighted average number of common shares for diluted EPS (1) 284,205,392 274,442,500 285,593,555 263,927,318 (1) The weighted average number of common shares for basic and diluted EPS include vested, but unissued, common shares relating to common share awards. |
Share-based payments reserve (T
Share-based payments reserve (Tables) | 9 Months Ended |
May 31, 2023 | |
IfrsStatementLineItems [Line Items] | |
Schedule of continuity of outstanding stock options | Schedule of continuity of outstanding stock options Number of stock options Weighted average exercise price per share Balance – August 31, 2022 5,336,000 CAD $ 0.41 Options exercised (1) (350,000 ) CAD $ 0.42 Balance – May 31, 2023 4,986,000 CAD $ 0.41 The weighted average share price at the time of the option exercise was C$0.75. |
Schedule of Options to purchase common shares carry exercise prices and terms to maturity | Schedule of Options to purchase common shares carry exercise prices and terms to maturity Remaining Number of options Expiry contractual Exercise price Outstanding Exercisable Date life (years) C$ 0.40 2,354,000 2,354,000 October 11, 2026 3.4 C$ 0.43 2,532,000 2,532,000 September 29, 2026 3.3 C$ 0.35 100,000 100,000 January 2, 2027 3.6 C$ 0.41 (1) 4,986,000 4,986,000 3.4 (1) (1) Total represents weighted average. |
Schedule of restricted stock outstanding | Schedule of restricted stock outstanding Number of RSUs Balance – August 31, 2022 1,855,276 Granted 160,000 Vested (600,000 ) Forfeited (160,000 ) Balance – May 31, 2023 1,255,276 |
Stock Options [Member] | |
IfrsStatementLineItems [Line Items] | |
Schedule of continuity of outstanding stock options | Schedule of continuity of outstanding stock options Number of stock options Weighted average exercise price per share Balance – May 31, 2023 and August 31, 2022 7,375,000 $ 0.50 |
Schedule of Options to purchase common shares carry exercise prices and terms to maturity | Schedule of Options to purchase common shares carry exercise prices and terms to maturity Remaining Exercise price Number of options Expiry contractual Outstanding $ Outstanding Exercisable Date life (years) USD $ 0.50 7,375,000 1,475,000 August 17, 2027 4.2 |
Warrants reserve (Tables)
Warrants reserve (Tables) | 9 Months Ended |
May 31, 2023 | |
Warrants Reserve | |
Schedule of Reserve for warrants | Schedule of Reserve for warrants Number of warrants Weighted average exercise price per share Weighted average remaining contractual life (years) Balance – August 31, 2022 41,970,074 $ 0.72 3.6 Balance – May 31, 2023 41,970,074 $ 0.72 2.8 |
Schedule of warrants and compensation warrants | Schedule of warrants and compensation warrants Number of Exercise price Expiry date Convertible debenture warrants - July 27, 2020 3,002,037 $1.21 July 27, 2023 Private placement financing warrants - December 23, 2020 2,777,268 $1.50 December 23, 2023 Private placement financing warrants - February 11, 2021 16,461,539 $0.80 February 11, 2026 Private placement financing broker warrants - February 11, 2021 1,152,307 $0.80 February 11, 2026 Private placement financing warrants – January 26, 2022 17,948,718 $0.44 January 26, 2027 Private placement financing placement agent warrants – January 26, 2022 628,205 $0.44 January 26, 2027 Balance – May 31, 2023 41,970,074 |
Non-controlling interest (Table
Non-controlling interest (Tables) | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of summarized financial information | Schedule of summarized financial information Three months ended May 31, Nine months ended May 31, Income Statement 2023 2022 2023 2022 Revenue $ 9,317 $ 5,732 $ 29,133 $ 9,066 Comprehensive income for the period 1,979 2,793 8,638 4,528 Statement of Financial Position May 31, 2023 August 31, 2022 Current assets $ 9,945 $ 7,253 Non-current assets 65,875 53,789 Current liabilities (11,966 ) (8,602 ) Non-current liabilities (6,475 ) (2,815 ) Advances from parent, net (36,840 ) (37,725 ) |
Related party transactions (Tab
Related party transactions (Tables) | 9 Months Ended |
May 31, 2023 | |
Related Party Transactions | |
Schedule of Related Parties Compensation | Schedule of Related Parties Compensation Three months ended May 31, Nine months ended May 31, Directors and key management personnel 2023 2022 2023 2022 Remuneration (1) $ 438 $ 463 $ 1,414 $ 1,291 Share-based compensation expense 410 612 1,682 2,125 Total directors and key management personnel $ 848 $ 1,075 $ 3,096 $ 3,416 (1) Remuneration includes salaries and benefits for certain key management personnel and director fees. Certain members of the board of directors have employment or service contracts with the Company. Directors are entitled to director fees and share based payments for their services and officers are entitled to cash remuneration and share based payments for their employment services. |
General and administrative ex_2
General and administrative expenses (Tables) | 9 Months Ended |
May 31, 2023 | |
Notes and other explanatory information [abstract] | |
Schedule of General and Administrative expense | Schedule of General and Administrative expense Three months ended May 31, Nine months ended May 31, 2023 2022 2023 2022 Directors’ fees (Note 15) $ 92 $ 144 $ 306 $ 331 Insurance 69 113 268 346 Office and general 47 291 107 562 Shareholder information 61 81 375 378 Professional fees 94 183 331 497 Salaries and benefits (1) 540 690 1,638 1,844 Consulting 115 101 292 268 Severance - 17 - 259 Share-based compensation expense (1) 541 612 1,939 2,125 Travel and accommodation 47 72 150 176 Depreciation (1) 21 11 79 21 Other 7 203 21 208 Total general and administrative expenses $ 1,634 $ 2,518 $ 5,506 $ 7,015 (1) As a result of adoption to amendments to IAS 16, Property, Plant and Equipment, |
Segmented information (Tables)
Segmented information (Tables) | 9 Months Ended |
May 31, 2023 | |
Segmented Information | |
Schedule of operating segments | Schedule of operating segments Three months ended May 31, Nine months ended May 31, Revenue 2023 2022 2023 2022 Tanzania $ 9,317 $ 5,732 $ 29,133 $ 9,066 Total revenue $ 9,317 $ 5,732 $ 29,133 $ 9,066 Non-current assets May 31, 2023 August 31, 2022 Canada $ 61 $ - Tanzania 68,083 55,993 Total non-current assets $ 68,144 $ 55,993 |
Non-cash items (Tables)
Non-cash items (Tables) | 9 Months Ended |
May 31, 2023 | |
Non-cash Items | |
Schedule of Non-cash items | Schedule of Non-cash items Nine months ended May 31, 2023 2022 Depreciation $ 942 $ 193 Change in fair value of derivative financial instrument liabilities (Note 10) (1,670 ) (1,408) Share-based compensation expense (Note 12) 2,113 2,334 Accretion of provision for reclamation 105 100 Deferred income tax expense (Note 17) 3,552 - Accretion of lease liabilities 8 - Settlement of deferred revenue (Note 9) (1,485 ) - Accretion of deferred revenue (Note 9) 364 - Foreign exchange gains 41 - VAT written-off (Note 5) 233 - Loss on assets disposal - 26 Other expenses 15 - Total non-cash items $ 4,218 $ 1,245 |
Basis of preparation (Details)
Basis of preparation (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
May 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | |
IfrsStatementLineItems [Line Items] | ||||
General and administrative expenses | $ 1,634 | $ 2,518 | $ 5,506 | $ 7,015 |
Accretion of provision for reclamation | 105 | 100 | ||
Loss on disposal of assets | 26 | |||
Foreign exchange gains | 41 | |||
Interest and other expenses | (327) | (54) | (1,368) | (434) |
Income tax expense | 300 | 100 | 800 | 300 |
Net income and comprehensive income | $ (374) | 3,188 | $ 4,736 | 28 |
Previously stated [member] | ||||
IfrsStatementLineItems [Line Items] | ||||
General and administrative expenses | (2,518) | (7,015) | ||
Financial instrument related costs and other | 1,334 | 1,115 | ||
Gain on derivative financial instruments | ||||
Accretion of provision for reclamation | (12) | (100) | ||
Loss on disposal of assets | (26) | (26) | ||
Foreign exchange gains | 333 | 247 | ||
Interest and other expenses | (5) | (15) | ||
Income tax expense | (108) | (259) | ||
Net income and comprehensive income | 3,188 | 28 | ||
Reclassification Adjustment [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
General and administrative expenses | ||||
Financial instrument related costs and other | (1,334) | (1,115) | ||
Gain on derivative financial instruments | 1,345 | 1,408 | ||
Accretion of provision for reclamation | 12 | 100 | ||
Loss on disposal of assets | 26 | 26 | ||
Foreign exchange gains | ||||
Interest and other expenses | (49) | (419) | ||
Income tax expense | ||||
Net income and comprehensive income | ||||
As Restated [Member] | ||||
IfrsStatementLineItems [Line Items] | ||||
General and administrative expenses | (2,518) | (7,015) | ||
Financial instrument related costs and other | ||||
Gain on derivative financial instruments | 1,345 | 1,408 | ||
Accretion of provision for reclamation | ||||
Loss on disposal of assets | ||||
Foreign exchange gains | 333 | 247 | ||
Interest and other expenses | (54) | (434) | ||
Income tax expense | (108) | (259) | ||
Net income and comprehensive income | $ 3,188 | $ 28 |
Basis of preparation (Details 1
Basis of preparation (Details 1) - USD ($) $ in Thousands | May 31, 2023 | Aug. 31, 2022 |
IfrsStatementLineItems [Line Items] | ||
Amounts receivable | $ 3,014 | $ 2,540 |
Previously stated [member] | ||
IfrsStatementLineItems [Line Items] | ||
Amounts receivable | 40 | |
Other receivables | 2,500 | |
Reclassification Adjustment [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Amounts receivable | 2,500 | |
Other receivables | (2,500) | |
As Restated [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Amounts receivable | 2,540 | |
Other receivables |
Amounts receivable (Details)
Amounts receivable (Details) - USD ($) $ in Thousands | May 31, 2023 | Aug. 31, 2022 | |
Amounts Receivable | |||
Receivable from precious metal sales | $ 808 | ||
Sales tax receivable | [1] | 6,844 | 4,359 |
Prepaid gold purchase receivable | 2,500 | ||
Other | 49 | 40 | |
Other receivable | 7,701 | 6,899 | |
Less: other long-term asset | (4,687) | (4,359) | |
Total amounts receivable | $ 3,014 | $ 2,540 | |
[1]Sales tax receivables consist of harmonized services tax and value added tax (“VAT”) due from Canadian and Tanzanian tax authorities, respectively. Tanzanian tax regulations allow for VAT receivable to be refunded or set-off against other taxes due to the Tanzania Revenue Authority ("TRA"). VAT which the Company does not expect to recover within the next 12 months has been classified as long-term assets. |
Amounts receivable (Details Nar
Amounts receivable (Details Narrative) - USD ($) $ in Thousands | May 31, 2023 | Aug. 31, 2022 |
Amounts Receivable | ||
VAT expense | $ 200 | $ 0 |
VAT refunds | $ 2,100 |
Prepayments and other assets (D
Prepayments and other assets (Details) - USD ($) $ in Thousands | May 31, 2023 | Aug. 31, 2022 | |
Notes and other explanatory information [abstract] | |||
Prepaid expenses | $ 663 | $ 699 | |
Deferred Financing Costs | [1] | 667 | 507 |
Total prepayments and other assets | $ 1,330 | $ 1,206 | |
[1]Consists of $0.5 million in commitment fees paid with respect to a share purchase agreement whereby the Company, at its sole discretion, has the right to sell up to $10 million of its common shares over a 36-month period and $0.2 million in deferred financing costs related to an At-the-Market Offering Agreement entered on May 12, 2023. |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | May 31, 2023 | Aug. 31, 2022 |
Notes and other explanatory information [abstract] | ||
Ore stockpile | $ 2,353 | $ 2,643 |
Gold in circuit | 528 | 210 |
Gold doré | 21 | 253 |
Total precious metals inventories | 2,902 | 3,106 |
Supplies | 1,577 | 524 |
Total inventories | $ 4,479 | $ 3,630 |
Mineral property, plant and e_3
Mineral property, plant and equipment (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
May 31, 2023 | Aug. 31, 2022 | ||
IfrsStatementLineItems [Line Items] | |||
Net book value | $ 63,457 | $ 51,634 | |
Construction in progress [member] | |||
IfrsStatementLineItems [Line Items] | |||
Net book value | 45,239 | ||
Mineral Properties [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Net book value | 42,227 | ||
Processing Plant [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Net book value | 20,255 | 5,510 | |
Machinery [member] | |||
IfrsStatementLineItems [Line Items] | |||
Net book value | 767 | 777 | |
Other [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Net book value | 208 | $ 108 | |
Gross carrying amount [member] | |||
IfrsStatementLineItems [Line Items] | |||
Beginning balance | 53,854 | ||
Additions | 12,969 | ||
Transfers | [1] | ||
Ending balance | 66,823 | ||
Gross carrying amount [member] | Construction in progress [member] | |||
IfrsStatementLineItems [Line Items] | |||
Beginning balance | 45,239 | ||
Additions | |||
Transfers | [1] | (45,239) | |
Ending balance | |||
Gross carrying amount [member] | Mineral Properties [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Beginning balance | |||
Additions | 4,132 | ||
Transfers | [1] | 38,485 | |
Ending balance | 42,617 | ||
Gross carrying amount [member] | Processing Plant [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Beginning balance | 7,076 | ||
Additions | 8,509 | ||
Transfers | [1] | 6,754 | |
Ending balance | 22,339 | ||
Gross carrying amount [member] | Machinery [member] | |||
IfrsStatementLineItems [Line Items] | |||
Beginning balance | 1,396 | ||
Additions | 115 | ||
Transfers | [1] | 5 | |
Ending balance | 1,516 | ||
Gross carrying amount [member] | Other [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Beginning balance | 143 | ||
Additions | 213 | ||
Transfers | [1] | (5) | |
Ending balance | 351 | ||
Accumulated depreciation and amortisation [member] | |||
IfrsStatementLineItems [Line Items] | |||
Transfers | |||
Beginning balance | 2,220 | ||
Depreciation | 1,146 | ||
Ending balance | 3,366 | ||
Accumulated depreciation and amortisation [member] | Construction in progress [member] | |||
IfrsStatementLineItems [Line Items] | |||
Transfers | |||
Beginning balance | |||
Depreciation | |||
Ending balance | |||
Accumulated depreciation and amortisation [member] | Mineral Properties [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Transfers | (362) | ||
Beginning balance | |||
Depreciation | 752 | ||
Ending balance | 390 | ||
Accumulated depreciation and amortisation [member] | Processing Plant [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Transfers | 362 | ||
Beginning balance | 1,566 | ||
Depreciation | 156 | ||
Ending balance | 2,084 | ||
Accumulated depreciation and amortisation [member] | Machinery [member] | |||
IfrsStatementLineItems [Line Items] | |||
Transfers | |||
Beginning balance | 619 | ||
Depreciation | 130 | ||
Ending balance | 749 | ||
Accumulated depreciation and amortisation [member] | Other [Member] | |||
IfrsStatementLineItems [Line Items] | |||
Transfers | |||
Beginning balance | 35 | ||
Depreciation | 108 | ||
Ending balance | $ 143 | ||
[1]On November 1, 2022, Buckreef achieved commercial production at which point development expenditures were subject to depreciation. |
Deferred revenue (Details)
Deferred revenue (Details) - USD ($) $ in Thousands | 9 Months Ended | |
May 31, 2023 | May 31, 2022 | |
Deferred Revenue | ||
Deferred revenue, beginning | $ 2,485 | |
Accretion of deferred revenue | 364 | |
Transaction costs expensed | 15 | |
Revenue recognized | (1,485) | |
Deferred revenue, ending | $ 1,379 |
Deferred revenue (Details Narra
Deferred revenue (Details Narrative) - USD ($) $ in Thousands | 9 Months Ended | |
May 31, 2023 | Aug. 11, 2022 | |
IfrsStatementLineItems [Line Items] | ||
Deferred revenue description | The Company drew down the first tranche of $2.5 million in exchange for delivering 434 ounces of gold per quarter, commencing February 2023, for a total of 1,735 ounces of gold over four quarters. | |
Deferred revenue undrawn | $ 1,000 | |
Purchase Agreement [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Prepaid gold dore | $ 5,000 |
Derivative financial instrume_3
Derivative financial instrument liabilities (Details) - USD ($) $ in Thousands | May 31, 2023 | Aug. 31, 2022 |
Derivative Financial Instrument Liabilities | ||
Derivative warrant liabilities | $ 5,127 | $ 6,849 |
Gold zero-cost collars | 52 | |
Total derivative financial instrument liabilities | $ 5,179 | $ 6,849 |
Derivative financial instrume_4
Derivative financial instrument liabilities (Details 1) $ in Thousands | 9 Months Ended |
May 31, 2023 USD ($) | |
IfrsStatementLineItems [Line Items] | |
Ending balance at derivative warrant liabilities | $ 5,100 |
Derivative Warrant Liabilities [Member] | |
IfrsStatementLineItems [Line Items] | |
Beginning balance at derivative warrant liabilities | 6,849 |
Change in fair value | (1,722) |
Ending balance at derivative warrant liabilities | $ 5,127 |
Derivative financial instrume_5
Derivative financial instrument liabilities (Details 2) - Derivative Warrant Liabilities [Member] - $ / shares | 9 Months Ended | 12 Months Ended |
May 31, 2023 | Aug. 31, 2022 | |
IfrsStatementLineItems [Line Items] | ||
Share price | $ 0.46 | $ 0.48 |
Dividend yield | 0% | 0% |
Bottom of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Risk-free interest rate | 3.90% | 3.32% |
Expected volatility | 53% | 55% |
Remaining term (in years) | 2 months 12 days | 10 months 24 days |
Top of range [member] | ||
IfrsStatementLineItems [Line Items] | ||
Risk-free interest rate | 5.31% | 3.44% |
Expected volatility | 58% | 60% |
Remaining term (in years) | 3 years 8 months 12 days | 4 years 4 months 24 days |
Derivative financial instrume_6
Derivative financial instrument liabilities (Details 3) $ in Thousands | 9 Months Ended |
May 31, 2023 USD ($) | |
Derivative Financial Instrument Liabilities | |
Increase loss income | $ (974) |
Decrease loss income | $ 989 |
Derivative financial instrume_7
Derivative financial instrument liabilities (Details 4) $ in Thousands | 9 Months Ended |
May 31, 2023 USD ($) | |
IfrsStatementLineItems [Line Items] | |
Ending balance at derivative warrant liabilities | $ 5,100 |
Gold Zero Cost Collars [Member] | |
IfrsStatementLineItems [Line Items] | |
Beginning balance at derivative warrant liabilities | |
Change in fair value | 52 |
Ending balance at derivative warrant liabilities | $ 52 |
Derivative financial instrume_8
Derivative financial instrument liabilities (Details 5) N in Thousands, $ in Thousands | 9 Months Ended |
May 31, 2023 USD ($) N | |
Expiry Date 1 [Member] | |
IfrsStatementLineItems [Line Items] | |
Quantity ounces | N | 1,800 |
Floor Price | $ 1,825 |
Ceiling Price | $ 2,030 |
Expiry Date | Jun. 28, 2023 |
Expiry Date 2 [Member] | |
IfrsStatementLineItems [Line Items] | |
Quantity ounces | N | 1,800 |
Floor Price | $ 1,825 |
Ceiling Price | $ 2,030 |
Expiry Date | Jul. 27, 2023 |
Expiry Date 3 [Member] | |
IfrsStatementLineItems [Line Items] | |
Quantity ounces | N | 1,800 |
Floor Price | $ 1,825 |
Ceiling Price | $ 2,030 |
Expiry Date | Aug. 29, 2023 |
Derivative financial instrume_9
Derivative financial instrument liabilities (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | |||
May 31, 2023 | Mar. 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | |
Derivative Financial Instrument Liabilities | |||||
Warrant liability | $ 5,100,000 | $ 5,100,000 | |||
Fair value changes loss | 700,000 | ||||
Fair value changes gain | $ 1,300,000 | 1,700,000 | $ 1,400,000 | ||
Gold collar contracts | 1,800 gold ounces per month totalling 9,000 gold ounces to be settled from April 2023 to August 2023, at a maximum and minimum gold price of $2,030 and $1,825 per gold ounce, respectively. | ||||
Gold ounces expired unexercised | 3,600 | 3,600 | |||
Fair value changes loss | $ 100,000 | $ 0 | $ 100,000 | $ 0 |
(Loss) earnings per share (Deta
(Loss) earnings per share (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
May 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | ||
Notes and other explanatory information [abstract] | |||||
Net (loss) income attributable to shareholders | $ (1,264) | $ 1,971 | $ 849 | $ (2,009) | |
Weighted average number of common shares for basic EPS | [1] | 284,205,392 | 274,363,799 | 281,536,777 | 263,927,318 |
Effect of dilutive stock options, warrants, RSUs and share awards | 78,701 | 4,056,778 | |||
Weighted average number of common shares for diluted EPS | [1] | 284,205,392 | 274,442,500 | 285,593,555 | 263,927,318 |
[1]The weighted average number of common shares for basic and diluted EPS include vested, but unissued, common shares relating to common share awards. |
(Loss) earnings per share (De_2
(Loss) earnings per share (Details Narrative) - shares shares in Thousands | 9 Months Ended | |
May 31, 2023 | May 31, 2022 | |
Stock Options [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Weighted average number of common shares | 7,400 | 0 |
Warrants [member] | ||
IfrsStatementLineItems [Line Items] | ||
Weighted average number of common shares | 42,000 | 42,000 |
Share based payment reserve (De
Share based payment reserve (Details) | 9 Months Ended | |
May 31, 2023 shares $ / shares | ||
IfrsStatementLineItems [Line Items] | ||
Number of shares outstanding, ending balance | 4,986,000 | |
Stock Options [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Number of shares outstanding, beginning balance | 5,336,000 | |
Weighted average exercise price, beginning balance | $ / shares | $ 0.41 | |
Options exercised | (350,000) | [1] |
Weighted average exercise price, options exercised | $ / shares | $ 0.42 | [1] |
Number of shares outstanding, ending balance | 4,986,000 | |
Weighted average exercise price, ending balance | $ / shares | $ 0.41 | |
[1] The weighted average share price at the time of the option exercise was C$0.75. |
Share based payment reserve (_2
Share based payment reserve (Details 1) | 9 Months Ended | |
May 31, 2023 shares $ / shares | ||
IfrsStatementLineItems [Line Items] | ||
Exercise price | $ / shares | $ 0.41 | [1] |
Number of options outstanding | 4,986,000 | |
Number of options exercisable | 4,986,000 | |
Remaining contractual life | 3 years 4 months 24 days | [1] |
Range 1 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise price | $ / shares | $ 0.40 | |
Number of options outstanding | 2,354,000 | |
Number of options exercisable | 2,354,000 | |
Expiry date | Oct. 11, 2026 | |
Remaining contractual life | 3 years 4 months 24 days | |
Range 2 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise price | $ / shares | $ 0.43 | |
Number of options outstanding | 2,532,000 | |
Number of options exercisable | 2,532,000 | |
Expiry date | Sep. 29, 2026 | |
Remaining contractual life | 3 years 3 months 18 days | |
Range 3 [Member] | ||
IfrsStatementLineItems [Line Items] | ||
Exercise price | $ / shares | $ 0.35 | |
Number of options outstanding | 100,000 | |
Number of options exercisable | 100,000 | |
Expiry date | Jan. 02, 2027 | |
Remaining contractual life | 3 years 7 months 6 days | |
[1]Total represents weighted average. |
Share based payment reserve (_3
Share based payment reserve (Details 2) - $ / shares | May 31, 2023 | Aug. 31, 2022 |
Notes and other explanatory information [abstract] | ||
Number of stock options | 7,375,000 | 7,375,000 |
Weighted average exercise price per share | $ 0.50 | $ 0.50 |
Share based payment reserve (_4
Share based payment reserve (Details 3) | 9 Months Ended |
May 31, 2023 shares $ / shares | |
Notes and other explanatory information [abstract] | |
Number of exercise price outstanding | $ / shares | $ 0.50 |
Number of options outstanding | 7,375,000 |
Number of options exercisable | 1,475,000 |
Expiry date | Aug. 17, 2027 |
Remaining contractual life | 4 years 2 months 12 days |
Share based payment reserve (_5
Share based payment reserve (Details 4) | 9 Months Ended |
May 31, 2023 shares | |
Notes and other explanatory information [abstract] | |
Beginning balance | 1,855,276 |
Restricted share units, granted | 160,000 |
Restricted share units, vested | (600,000) |
Restricted share units, forfeited | (160,000) |
Ending balance | 1,255,276 |
Share-based payments reserve (D
Share-based payments reserve (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
May 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | Aug. 31, 2022 | |
IfrsStatementLineItems [Line Items] | |||||
Share based compensation expense | $ 500 | $ 600 | $ 2,100 | $ 2,100 | |
Stock Options [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Share based compensation expense | 200 | 0 | 400 | 0 | |
Restricted Stock Unit [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Share based compensation expense | $ 100 | $ 0 | $ 400 | $ 0 | |
Omnibus Plan [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Number of shares issued for options | 3,173,284 | 3,173,284 | 2,106,675 |
Warrants reserve (Details)
Warrants reserve (Details) - $ / shares | 9 Months Ended | 12 Months Ended |
May 31, 2023 | Aug. 31, 2022 | |
Warrants Reserve | ||
Number of stock options | 41,970,074 | 41,970,074 |
Weighted average exercise price per share | $ 0.72 | $ 0.72 |
Weighted average remaining contractual life | 2 years 9 months 18 days | 3 years 7 months 6 days |
Warrants reserve (Details 1)
Warrants reserve (Details 1) | 9 Months Ended |
May 31, 2023 $ / shares shares | |
IfrsStatementLineItems [Line Items] | |
Number of warrants | 41,970,074 |
Convertible Debenture Warrants [Member] | |
IfrsStatementLineItems [Line Items] | |
Number of warrants | 3,002,037 |
Exercise price | $ / shares | $ 1.21 |
Warrants outstanding expiry date | Jul. 27, 2023 |
Private Placement Financing Warrants December 232020 [Member] | |
IfrsStatementLineItems [Line Items] | |
Number of warrants | 2,777,268 |
Exercise price | $ / shares | $ 1.50 |
Warrants outstanding expiry date | Dec. 23, 2023 |
Private Placement Financing Warrants February 112021 [Member] | |
IfrsStatementLineItems [Line Items] | |
Number of warrants | 16,461,539 |
Exercise price | $ / shares | $ 0.80 |
Warrants outstanding expiry date | Feb. 11, 2026 |
Private Placement Financing Broker Warrants February 112021 [Member] | |
IfrsStatementLineItems [Line Items] | |
Number of warrants | 1,152,307 |
Exercise price | $ / shares | $ 0.80 |
Warrants outstanding expiry date | Feb. 11, 2026 |
Private Placement Financing Warrants January 262022 [Member] | |
IfrsStatementLineItems [Line Items] | |
Number of warrants | 17,948,718 |
Exercise price | $ / shares | $ 0.44 |
Warrants outstanding expiry date | Jan. 26, 2027 |
Private Placement Financing Placement Agent Warrants January 262022 [Member] | |
IfrsStatementLineItems [Line Items] | |
Number of warrants | 628,205 |
Exercise price | $ / shares | $ 0.44 |
Warrants outstanding expiry date | Jan. 26, 2027 |
Non-controlling interest (Detai
Non-controlling interest (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
May 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | Aug. 31, 2022 | |
IfrsStatementLineItems [Line Items] | |||||
Revenue | $ 9,317 | $ 5,732 | $ 29,133 | $ 9,066 | |
Comprehensive loss for the period/year | (374) | 3,188 | 4,736 | 28 | |
Current assets | 16,029 | 16,029 | $ 15,852 | ||
Non-current assets | 68,144 | 68,144 | 55,993 | ||
Current liabilities | 19,436 | 19,436 | 17,250 | ||
Non-controlling interests [member] | Buckreef [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Revenue | 9,317 | 5,732 | 29,133 | 9,066 | |
Comprehensive loss for the period/year | 1,979 | $ 2,793 | 8,638 | $ 4,528 | |
Current assets | 9,945 | 9,945 | 7,253 | ||
Non-current assets | 65,875 | 65,875 | 53,789 | ||
Current liabilities | (11,966) | (11,966) | (8,602) | ||
Non-current liabilities | 6,475 | 6,475 | 2,815 | ||
Advances from parent, net | $ (36,840) | $ (36,840) | $ (37,725) |
Related party transactions (Det
Related party transactions (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
May 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | ||
IfrsStatementLineItems [Line Items] | |||||
Key Management | $ 848 | $ 1,075 | $ 3,096 | $ 3,416 | |
Share based payments | 500 | 600 | 2,100 | 2,100 | |
Key management personnel of entity or parent [member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Key Management | [1] | 438 | 463 | 1,414 | 1,291 |
Share based payments | $ 410 | $ 612 | $ 1,682 | $ 2,125 | |
[1]Remuneration includes salaries and benefits for certain key management personnel and director fees. Certain members of the board of directors have employment or service contracts with the Company. Directors are entitled to director fees and share based payments for their services and officers are entitled to cash remuneration and share based payments for their employment services. |
Related party transactions (D_2
Related party transactions (Details Narrative) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | 15 Months Ended | |||
May 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | May 31, 2022 | Aug. 31, 2022 | |
IfrsStatementLineItems [Line Items] | ||||||
Payables to related parties | $ 100 | $ 100 | $ 200 | |||
Salaries and benefits | 848 | $ 1,075 | 3,096 | $ 3,416 | ||
Stock value | 7,000 | 7,000 | ||||
Shares granted | $ 200 | $ 1,100 | 2,100 | $ 600 | ||
First Date Of Common Shares [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Sale of stock | 2,000 | 2,000 | ||||
Fair market value | $ 1,400 | |||||
Second Date Of Common Shares [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Sale of stock | 3,600 | 3,600 | ||||
Fair market value | $ 2,500 | |||||
Third Date Of Common Shares [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Sale of stock | 2,800 | 2,800 | ||||
Fair market value | $ 2,000 | |||||
Key Management [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Fair market value of shares | 1,560 | |||||
Salaries and benefits | $ 1,100 | |||||
Stock Options [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Compensation expense | $ 200 | 0 | 400 | 0 | ||
R S Us [Member] | ||||||
IfrsStatementLineItems [Line Items] | ||||||
Compensation expense | $ 0 | $ 0 | $ 200 | $ 0 |
General and Administrative ex_3
General and Administrative expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
May 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | ||
Notes and other explanatory information [abstract] | |||||
Directors’ fees (Note 15) | $ 92 | $ 144 | $ 306 | $ 331 | |
Insurance | (69) | (113) | (268) | (346) | |
Office and general | 47 | 291 | 107 | 562 | |
Shareholder information | 61 | 81 | 375 | 378 | |
Professional fees | 94 | 183 | 331 | 497 | |
Salaries and benefits(Note 15) | [1] | (540) | (690) | (1,638) | (1,844) |
Consulting | 115 | 101 | 292 | 268 | |
Severance | 17 | 259 | |||
Share-based compensation expense (Note 15) | [1] | 541 | 612 | 1,939 | 2,125 |
Travel and accommodation | (47) | (72) | (150) | (176) | |
Depreciation | [1] | 21 | 11 | 79 | 21 |
Other | 7 | 203 | 21 | 208 | |
Total general and administrative expenses | $ 1,634 | $ 2,518 | $ 5,506 | $ 7,015 | |
[1]As a result of adoption to amendments to IAS 16, Property, Plant and Equipment, |
Income tax (Details Narrative)
Income tax (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
May 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | |
Notes and other explanatory information [abstract] | ||||
Income tax expenses | $ 1,700 | $ 100 | $ 4,400 | $ 300 |
Current income tax expense | 300 | 100 | 800 | 300 |
Deferred income tax expense | $ 1,400 | $ 0 | $ 3,600 | $ 0 |
Segmented Information (Details)
Segmented Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
May 31, 2023 | May 31, 2022 | May 31, 2023 | May 31, 2022 | Aug. 31, 2022 | |
IfrsStatementLineItems [Line Items] | |||||
Revenue | $ 9,317 | $ 5,732 | $ 29,133 | $ 9,066 | |
Non-current assets | 68,144 | 68,144 | $ 55,993 | ||
Tanzania [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Revenue | 9,317 | $ 5,732 | 29,133 | $ 9,066 | |
Non-current assets | 68,083 | 68,083 | 55,993 | ||
Canada [Member] | |||||
IfrsStatementLineItems [Line Items] | |||||
Non-current assets | $ 61 | $ 61 |
Non-cash items (Details)
Non-cash items (Details) - USD ($) $ in Thousands | 9 Months Ended | |
May 31, 2023 | May 31, 2022 | |
Non-cash Items | ||
Depreciation | $ 942 | $ 193 |
Change in fair value of derivative financial instrument liabilities (Note 10) | (1,670) | (1,408) |
Share-based compensation expense (Note 12) | 2,113 | 2,334 |
Accretion of provision for reclamation | 105 | 100 |
Deferred income tax expense (Note 17) | 3,552 | |
Accretion of lease liabilities | 8 | |
Settlement of deferred revenue (Note 9) | (1,485) | |
Accretion of deferred revenue (Note 9) | 364 | |
Foreign exchange gains | 41 | |
VAT written-off (Note 5) | 233 | |
Loss on assets disposal | 26 | |
Other expenses | 15 | |
Total non-cash items | $ 4,218 | $ 1,245 |