Document And Entity Information
Document And Entity Information - shares | 12 Months Ended | |
Dec. 31, 2020 | Mar. 09, 2021 | |
Document And Entity Information [abstract] | ||
Entity Registrant Name | FORTUNA SILVER MINES INC | |
Entity Central Index Key | 0001341335 | |
Document Type | 40-F | |
Amendment Flag | false | |
Document Period End Date | Dec. 31, 2020 | |
Document Fiscal Period Focus | FY | |
Document Fiscal Year Focus | 2020 | |
Current Fiscal Year End Date | --12-31 | |
Entity Interactive Data Current | Yes | |
Entity Current Reporting Status | Yes | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 184,195,727 |
Consolidated Income Statements
Consolidated Income Statements - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Consolidated Income Statements [abstract] | ||
Sales (note 23) | $ 278,966 | $ 257,187 |
Cost of sales (note 24) | 168,745 | 172,606 |
Mine operating income | 110,221 | 84,581 |
Other Expenses [abstract] | ||
General and administration (note 25) | 35,086 | 29,805 |
Exploration and evaluation | 1,196 | 2,411 |
Share of loss from associates | 76 | 225 |
Foreign exchange loss (note 6) | 12,197 | 13,335 |
Other expenses (note 26) | 4,428 | 4,611 |
Operating expenses (income), total | 52,983 | 50,387 |
Operating Income | 57,238 | 34,194 |
Other income (loss) | ||
Investment gains (note 6) | 3,306 | 11,024 |
Interest and finance costs, net (note 27) | (1,413) | (24) |
Loss on derivatives | (176) | (1,223) |
Financial income (expense), total | 1,717 | 9,777 |
Financing items | ||
Interest income | (1,217) | (1,838) |
Interest expense | 1,510 | 857 |
Income before income taxes | 58,955 | 43,971 |
Income taxes (note 28) | ||
Current income tax expense | 38,818 | 32,631 |
Deferred income tax (recovery) | (1,416) | (12,456) |
Total tax expense | 37,402 | 20,175 |
Net income for the year | $ 21,553 | $ 23,796 |
Earnings per share (note 22) | ||
Basic | $ 0.12 | $ 0.15 |
Diluted | $ 0.12 | $ 0.14 |
Weighted average number of common shares outstanding during the period (000's) | ||
Basic | 174,993 | 160,193 |
Diluted | 186,073 | 164,525 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Consolidated Statements of Comprehensive Income [abstract] | ||
Net income for the year | $ 21,553 | $ 23,796 |
Items that will remain permanently in other comprehensive income: | ||
Changes in fair value of investments in equity securities, net of $nil tax | (382) | |
Items that may in the future be reclassified to profit or loss: | ||
Change in fair value of hedging instruments, net of $nil tax | (204) | (665) |
Total other comprehensive (loss) for the year | (586) | (665) |
Comprehensive income for the year | $ 20,967 | $ 23,131 |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 131,898 | $ 83,404 |
Trade and other receivables (note 6) | 76,555 | 47,707 |
Inventories (note 7) | 35,274 | 14,969 |
Assets held for sale | 659 | 1,069 |
Other current assets (note 8) | 4,340 | 6,564 |
Total current assets | 248,067 | 152,644 |
NON-CURRENT ASSETS: | ||
Mineral properties and exploration and evaluation assets (note 9) | 385,717 | 353,519 |
Property, plant and equipment (note 10) | 405,410 | 375,656 |
Investment in associates (note 11) | 1,331 | |
Other assets (note 12) | 15,210 | 40,744 |
Deposits and advances to contractors (note 13) | 934 | 12,171 |
Total assets | 1,055,338 | 936,065 |
CURRENT LIABILITIES: | ||
Trade and other payables (note 14) | 65,275 | 65,286 |
Income taxes payable | 23,808 | 12,400 |
Less current portion | 6,978 | 8,831 |
Current portion of closure and rehabilitation provisions (note 19) | 380 | 3,257 |
Total current liabilities | 96,441 | 89,774 |
NON-CURRENT LIABILITIES: | ||
Debt (note 17) | 158,616 | 146,535 |
Deferred tax liabilities | 19,499 | 20,915 |
Closure and rehabilitation provisions (note 19) | 39,970 | 27,868 |
Non-current portion | 12,519 | 15,048 |
Other liabilities (note 18) | 2,523 | 499 |
Total liabilities | 329,568 | 300,639 |
EQUITY: | ||
Share capital (note 21) | 492,306 | 422,145 |
Reserves | 24,724 | 26,094 |
Retained earnings | 208,740 | 187,187 |
Total shareholders' equity | 725,770 | 635,426 |
Total liabilities and shareholders' equity | $ 1,055,338 | $ 936,065 |
Consolidated Statements of Cash
Consolidated Statements of Cashflows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
OPERATING ACTIVITIES | ||
Net income for the year | $ 21,553 | $ 23,796 |
Items not involving cash | ||
Depletion and depreciation | 45,408 | 46,352 |
Accretion expense | 751 | 590 |
Income taxes | 37,401 | 20,175 |
Interest expense (income), net | 662 | (566) |
Share based payments expense, net of cash settlements | 12,284 | 4,567 |
Share of loss from associates | 76 | 225 |
Unrealized foreign exchange loss | 1,400 | 169 |
Investment gains | (3,306) | (11,024) |
Unrealized loss on derivatives | 178 | 2,646 |
Write-downs and other | 1,599 | 5,517 |
Total adjustments to reconcile profit (loss) | 131,262 | 103,912 |
Trade and other receivables | 10,258 | (14,309) |
Prepaid expenses | 161 | 1,621 |
Inventories | (25,659) | (3,889) |
Trade and other payables | 6,122 | 3,021 |
Closure and reclamation payments | (341) | (352) |
Cash provided by operating activities | 121,803 | 90,004 |
Income taxes paid | (28,186) | (31,521) |
Interest paid | (547) | (824) |
Interest received | 315 | 2,493 |
Net cash provided by operating activities | 93,385 | 60,152 |
INVESTING ACTIVITIES | ||
Proceeds from short-term investments | 72,151 | |
Additions to mineral properties, plant and equipment | (24,116) | (28,473) |
Expenditures on Lindero construction | (80,782) | (186,800) |
Capitalized interest on Lindero construction | (9,431) | (6,005) |
Deposits and advances to contractors | (4,729) | (19,743) |
Advances applied to Lindero construction and other expenditures | 15,450 | 50,650 |
Purchases of investments | (7,269) | (45,145) |
Proceeds from sale of investments | 10,575 | 56,169 |
Proceeds from sale of assets | 72 | 229 |
Additions to long-term receivables | (13,419) | (35,394) |
Cash used in investing activities | (113,649) | (142,361) |
FINANCING ACTIVITIES | ||
Transaction costs on convertible debentures (note 17(b)) | (2,490) | |
Proceeds from credit facility (note 17(a)) | 65,000 | 40,000 |
Repayment of credit facility (note 17(a)) | (55,000) | |
Proceeds from convertible debentures (note 17(b)) | 46,000 | |
Proceeds from issuance of common shares | 70,011 | |
Share issuance costs | (3,358) | |
Payments of lease obligations | (7,747) | (8,385) |
Cash provided by financing activities | 68,906 | 75,125 |
Effect of exchange rate changes on cash and cash equivalents | (148) | (15) |
Increase (decrease) in cash and cash equivalents during the year | 48,494 | (7,099) |
Cash and cash equivalents, beginning of the year | 83,404 | 90,503 |
Cash and cash equivalents, end of the year | 131,898 | 83,404 |
Lindero Reporting Segment [member] | ||
Items not involving cash | ||
Unrealized foreign exchange loss, Lindero construction (note 6) | $ 13,256 | $ 11,465 |
Consolidated Statements of Ca_2
Consolidated Statements of Cashflows - Cash and Cash Equivalents - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Cash and cash equivalents consist of: | ||
Cash | $ 52,130 | $ 30,984 |
Cash equivalents | 79,768 | 52,420 |
Cash and cash equivalents | $ 131,898 | $ 83,404 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity | Issued capital [member]USD ($)shares | Equity reserve [member]USD ($) | Hedging reserve [member]USD ($) | Fair value reserve [member]USD ($) | Reserves convertible Debentures [member]USD ($) | Foreign currency reserves [member]USD ($) | Retained earnings [member]USD ($) | USD ($) |
Equity at beginning of period at Dec. 31, 2018 | $ 420,467,000 | $ 17,882,000 | $ (9,000) | $ (42,000) | $ 1,115,000 | $ 163,391,000 | $ 602,804,000 | |
Equity at beginning of period, shares at Dec. 31, 2018 | shares | 159,939,595 | |||||||
Net income for the year | 23,796,000 | 23,796,000 | ||||||
Other comprehensive income (loss) | (665,000) | (665,000) | ||||||
Comprehensive income for the year | (665,000) | 23,796,000 | 23,131,000 | |||||
Shares issued on vesting of share units | $ 1,678,000 | (1,678,000) | ||||||
Shares issued on vesting of share units (in shares) | 351,958 | |||||||
Share-based payments | 4,666,000 | 4,666,000 | ||||||
Equity portion of convertible debenture, net of tax (note 17 (b)) | $ 4,825,000 | 4,825,000 | ||||||
Subtotal of transactions with owners of the Company | $ 1,678,000 | 2,988,000 | 4,825,000 | 9,491,000 | ||||
Subtotal of transactions with owners of the Company, shares | shares | 351,958 | |||||||
Equity at end of period at Dec. 31, 2019 | $ 422,145,000 | 20,870,000 | (674,000) | (42,000) | 4,825,000 | 1,115,000 | 187,187,000 | 635,426,000 |
Equity at end of period, shares at Dec. 31, 2019 | shares | 160,291,553 | |||||||
Net income for the year | 21,553,000 | 21,553,000 | ||||||
Other comprehensive income (loss) | (204,000) | (382,000) | (586,000) | |||||
Comprehensive income for the year | (204,000) | (382,000) | 21,553,000 | 20,967,000 | ||||
Issuance of common shares | $ 69,000,000 | 69,000,000 | ||||||
Issuance of common shares, shares | shares | 23,000,000 | |||||||
Share issuance costs | $ (3,358,000) | (3,358,000) | ||||||
Exercise of stock options | $ 1,438,000 | (427,000) | $ 1,011,000 | |||||
Exercise of stock options, shares | 211,626 | 211,626 | ||||||
Shares issued on vesting of share units | $ 3,081,000 | (3,081,000) | ||||||
Shares issued on vesting of share units (in shares) | 692,548 | |||||||
Share-based payments | 2,724,000 | $ 2,724,000 | ||||||
Subtotal of transactions with owners of the Company | $ 70,161,000 | (784,000) | 69,377,000 | |||||
Subtotal of transactions with owners of the Company, shares | shares | 23,904,174 | |||||||
Equity at end of period at Dec. 31, 2020 | $ 492,306,000 | $ 20,086,000 | $ (878,000) | $ (424,000) | $ 4,825,000 | $ 1,115,000 | $ 208,740,000 | $ 725,770,000 |
Equity at end of period, shares at Dec. 31, 2020 | shares | 184,195,727 |
Nature of Operations
Nature of Operations | 12 Months Ended |
Dec. 31, 2020 | |
Nature of Operations [abstract] | |
Nature of Operations | 1. Nature of Operations Fortuna Silver Mines Inc. and its subsidiaries (the “Company”) is a publicly traded company incorporated and domiciled in British Columbia, Canada. The Company is engaged in precious and base metal mining and related activities in Latin America, including exploration, extraction, and processing. The Company operates the Caylloma silver, lead, and zinc mine (“Caylloma”) in southern Peru, the San Jose silver and gold mine (“San Jose”) in southern Mexico, and construction of the open pit gold heap leach mine at its Lindero property (the “Lindero Mine”) in northern Argentina is substantially complete with commissioning in progress. The Company’s common shares are listed on the New York Stock Exchange under the trading symbol FSM, on the Toronto Stock Exchange under the trading symbol FVI, and on the Frankfurt Stock Exchange under the trading symbol F4S.F. The Company’s registered office is located at Suite 650 - 200 Burrard Street, Vancouver, Canada, V6C 3L6. |
Covid-19 Uncertainties and Liqu
Covid-19 Uncertainties and Liquidity Risk | 12 Months Ended |
Dec. 31, 2020 | |
COVID-19 Uncertainties and Liquidity Risk [Abstract] | |
COVID-19 Uncertainties and Liquidity Risk | 2. COVID-19 Uncertainties and Liquidity Risk COVID-19 Uncertainties On March 11, 2020, the World Health Organisation declared COVID-19 as a pandemic. In response to the pandemic, the Governments of Mexico, Peru and Argentina implemented measures to curb the spread of COVID-19, which measures included among others, the closure of international borders, the temporary suspension of all non-essential business, including mining, and the declaration of mandatory quarantine periods. To comply with these measures, the Company temporarily suspended mining operations at the San Jose and Caylloma mines and halted construction activities at the Lindero Mine during the second quarter of 2020. The San Jose Mine was placed on care and maintenance for a total of 54 days, while processing activities continued to operate at the Caylloma Mine with a reduced task force drawing from its ore stockpile and mining subsequently restarted with a reduced taskforce. Mining and construction activities at the Lindero Mine resumed in May 2020 with strict adherence to health and safety protocols established to mitigate the risk of spreading the COVID-19 virus. On July 6, 2020, the Company voluntarily suspended operations at the Caylloma Mine for 21 days to sanitize and disinfect the mine and make infrastructure improvements to accommodate social distancing guidelines. Mining and ore processing operations at the mine resumed on July 27, 2020. Each site is operating in accordance with local government containment measures and the Company’s health and safety protocols. The Company has not experienced any significant disruption to product shipments since the onset of the COVID-19 pandemic. The Company has also increased its supply of consumables inventory to avoid any supply chain disruption and is working to manage the logistical challenges presented by the closure of trade borders. Border restrictions, if ongoing, could result in supply chain delays, impact the movement of our mine workforce and disrupt production of our saleable products. On June 4, 2020, the Company completed an amendment to the financial covenants under its Credit Facilities in response to the uncertainty related to COVID-19. The total debt to EBITDA ratio has been removed and replaced with Net Debt to EBITDA, Net Senior Secured Debt to EBITDA, and EBITDA to Interest Expense ratios. The Company was in compliance with the financial covenants as at December 31, 2020 (note 17 a)). Liquidity Risk Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. The Company manages liquidity risk by the preparation of internally generated cash flow forecasts. These short-term cash flow forecasts consider the estimation of future operating costs, financing costs, development capital and cash receipts from sales revenue. Sensitivity analyses are also performed, including the impact of volatility in estimated commodity prices. On December 31, 2020, $30,000 of the $110,000 revolving credit facility matured and was not renewed (note 17(a)). The remaining $80,000 under the revolving credit facility was fully drawn as at December 31, 2020. The Company had $131,898 of liquidity comprised of cash and cash equivalents as at December 31, 2020. The Company believes that its cash and cash equivalents and credit facility will provide sufficient liquidity to meet the Company’s minimum obligations for the next 12 months from December 31, 2020. |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2020 | |
Basis of Presentation [abstract] | |
Basis of Presentation | 3. Basis of Presentation Statement of Compliance These consolidated financial statements (“financial statements”) have been prepared by management of the Company in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”) effective as of December 31, 2020. On March 9, 2021, the Company's Board of Directors approved these financial statements for issuance. Presentation and Functional Currency These financial statements are presented in United States Dollars (“$” or “US$” or “US dollars”), which is the functional currency of the Company. Reference to C$ are to Canadian dollars. All amounts in these financial statements have been rounded to the nearest thousand US dollars, unless otherwise stated. Certain comparative figures have been reclassified to conform to the presentation adopted for the year ended December 31, 2020. Basis of Measurement These financial statements have been prepared on a historical cost basis, except for those assets and liabilities that are measured at fair value (Note 30) at the end of each reporting period. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Significant Accounting Policies [abstract] | |
Significant Accounting Policies | 4. Significant Accounting Policies The Company has consistently applied the following accounting policies to all periods presented in these financial statements. (a) Basis of Consolidation These financial statements include the accounts of the Company. All significant intercompany transactions, balances, revenues, and expenses have been eliminated upon consolidation. Subsidiaries are included in the consolidated financial results of the Company from the effective date of acquisition or control and up to the effective date of disposition or loss of control. Control is achieved when the Company has power over the investee, is exposed to or has rights to variable returns from its involvement with an investee, and had the ability to affect those returns through its power over the investee. Fortuna Silver Mines Inc. is the ultimate parent entity of the group. At December 31, 2020, the principal subsidiaries of the Company, their geographic locations, and the ownership interests held by the Company, were as follows: Name Location Ownership Principal Activity Minera Bateas S.A.C. ("Bateas") Peru 100% Caylloma Mine Compania Minera Cuzcatlan S.A. de C.V. ("Cuzcatlan") Mexico 100% San Jose Mine Mansfield Minera S.A. ("Mansfield") Argentina 100% Lindero Mine (b) Foreign Currency Translation Transactions in foreign currencies are initially recorded in the functional currency at the exchange rate at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange at each financial position date. Foreign exchange gains or losses on translation to the functional currency of an entity are recorded in profit or loss. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rate as at the date of the initial transaction. (c) Cash, Cash Equivalents and Short-Term Investments Cash and cash equivalents include cash on hand, demand deposits, and money market instruments with maturities from the date of acquisition of 90 days or less, which are readily convertible to known amounts of cash and are subject to insignificant changes in value. Short-term investments consist of term deposits with original maturities in excess of three months but less than twelve months. Cash, cash equivalents and short-term investments are designated as amortized cost. (d) Inventories Inventories include mineral concentrates, doré, leach pad, gold in-circuit, stockpiled ore, materials and supplies, and are valued at the lower of average production cost and estimated net realizable value. Production costs allocated to metal inventories include direct mining costs, direct labor and material costs, mine site overhead, depletion and amortization. Stockpiled ore that is not expected to be processed within the next twelve months is classified as non-current. Costs allocated to materials and supplies are based on weighted average costs and include all costs of purchase and other costs in bringing these inventories to their existing location and condition. In the heap leaching process, ore is stacked on the leach pad and treated with a chemical solution that dissolves the gold contained within the ore. The resulting pregnant solution is further processed in a plant where the gold is recovered. The cost of leach pad inventory is based on cost of mining, crushing and leaching, including applicable depletion and amortization, and is removed as ounces of gold are recovered at the weighted average cost per recoverable ounce of gold on the leach pad. Estimates of recoverable gold in the leach pad are calculated based on the quantities of ore placed on the leach pad (measured tonnes added to the leach pad), the estimated grade of ore placed on the leach pad (based on assay data), and an estimated recovery percentage (based on estimated recovery assumptions from metallurgical testing). The nature of the leaching process inherently limits the ability to precisely monitor inventory levels. As a result, estimates are refined based on actual results and engineering studies over a period of time. The final recovery of gold from leach pad will not be known until the leaching process is concluded at the end of the mine life. If the carrying value exceeds the net realizable amount, a write-down is recognized. The write-down may be reversed in a subsequent period if the circumstances which caused the write-down no longer exist, to the extent that the related inventory has not been sold. Net realizable value is calculated as the estimated price at the time of sale based on prevailing metal prices less estimated future costs to convert the inventories into saleable form and estimated costs to sell. (e) Investment in Associates Associates are those entities in which the Company has significant influence, but not control or joint control, over the entity’s financial and operating policies. Interests in associates are accounted for using the equity method. They are initially recognized at cost, which includes transaction costs. Subsequent to initial recognition, the consolidated financial statements include the Company’s share of the profit or loss and other comprehensive income of equity-accounted investees, until the date on which significant influence ceases. An impairment test is performed when there is objective evidence of impairment, such as significant adverse changes in the environment in which the associate operates or there is a significant or prolonged decline in the fair value of the investment below its carrying amount. When there is objective evidence that an investment is impaired, a quantitative impairment test is performed and a loss is recorded if the recoverable amount is lower than the carrying amount. Impairment losses are reversed if the recoverable amount subsequently exceeds the carrying amount. (f) Exploration and Evaluation Assets Exploration expenditures on properties for which the Company does not have title or rights to are expensed when incurred. Significant payments related to the acquisition of land and mineral rights and the costs to conduct a preliminary evaluation to determine that the property has potential to develop an economic ore body are capitalized as incurred. The time between initial acquisition and a full evaluation of a property’s potential is dependent on many factors including, but not limited to, location relative to existing infrastructure, the property’s stage of development, geological controls and metal prices. The Company capitalizes the cost of acquiring, maintaining its interest and exploring mineral properties as exploration and evaluation assets until such time as the properties are placed into development, abandoned, sold, or considered to be impaired in value. If a mineable ore body is discovered, exploration and evaluation costs are reclassified to mining properties. The Company uses the following criteria in its assessment: · the property has mineral reserves as referred to in Canadian National Instrument 43‑101 Standards of Disclosure for Mineral Projects (“NI 43-101”), and · when legal, permitting and social matters have been resolved sufficiently to allow mining of the ore body. Exploration and evaluation assets are tested for impairment when an indicator of impairment is identified and upon reclassification to mining properties. If no mineable ore body is discovered, all previously capitalized costs are expensed in the period in which it is determined the property has no economic value. Proceeds received from the sale of interests in exploration and evaluation assets are credited to the carrying value of the mineral properties, plant and equipment. Exploration costs that do not relate to any specific property are expensed as incurred. (g) Mineral Properties, Plant and Equipment i. Operational Mining Properties and Mine Development For operating mines, all mineral property expenditures are capitalized and amortized based on a unit-of-production method considering the expected production to be obtained over the life of the mineral property. The expected production includes proven and probable reserves and for the San Jose and Caylloma mines the portion of inferred resources expected to be extracted economically as part of the production cost. Capitalized costs of producing properties are amortized on a unit-of-production basis over proven and probable reserves and the portion of inferred resources where it is considered highly probable that those resources are expected to be extracted economically. The expected production to be obtained over the life of the mineral property is based on our life-of-mine production plans which for San Jose and Caylloma include a portion of inferred resources, and therefore differ from the life-of-mine plans we publish as part of our NI 43‑101 compliant technical reports which are based on reserves only. The decision to use inferred resources, and the portion of inferred resources to be included varies for each operation and is based on the geological characteristics of the ore body, the quality and predictability of inferred resources, and the conversion of inferred resources into measured and indicated (“M&I”) that we have historically achieved in the past. Many factors are taken into account during resource classification including; the quality of drilling and sampling, drill/sample spacing, sample preparation and analysis, geological logging and modelling, database construction, geological interpretation and modelling, statistical/geostatistical analysis, interpolation method, local estimation, engineering studies, economic parameters, and reconciliation with actual results. Once the integrity of the data has been established, two important considerations around classification of resources are geologic continuity and possible variation of thickness and grade between samples. For our inferred resources at San Jose and Caylloma we are able to achieve a significant level of confidence on the existence of mineable material as geological continuity has been established by consistent drill hole intercepts both along strike and down-dip which provides us with reasonable confidence in the location of the structures. The vast majority of the inferred resources are interpolated, estimated between existing drill hole intercepts, as opposed to extrapolated where the grades are estimated beyond the furthest sample point, adding to our confidence in the geologic continuity of the veins. Furthermore, San Jose and Caylloma are not structurally complex deposits where faulting has disrupted geologic continuity. With regards to the variation of thickness and grade between samples, we use statistical means to calculate the probability that tonnage and grade content falls within a certain accuracy over a given timeframe. If the potential variation is estimated to be within ± 25% at 90 percent confidence globally, we classify it as an inferred resource. This is equivalent to stating that we have 95 percent confidence that greater than 75% of the inferred tonnes, grade, and metal content will ultimately be recovered by the mine and hence that the same percentage or higher will be converted from an inferred resource to an indicated resource through infill drilling as per our policy of upgrading prior to production. As part of our process to include inferred resources into our life-of-mine production plans, we apply an economic cut-off to identify only the material that can be considered profitable to mine within our mine designs, and at this time we apply a conversion or “risk” factor to the mining blocks comprised of inferred resources that we include in such mine production plans. This conversion factor is based on the predictability of conversion derived from statistical estimates of confidence as described above and the support from historic conversion rates of inferred resources into M&I at each of our mines. The conversion factors used in our 2020 and 2019 life-of-mine plans were 90% at San Jose and 80% at Caylloma. The percentage of inferred resources included as a component of the total mineable inventory (reserve + resource) considered in the 2020 life-of-mine evaluation for each operation as of December 31, 2020, was San Jose 35% (2019: 29%); Caylloma 52% (2019: 45%). The Company reviews the conversion factors including past experience in assessing the future expected conversion of inferred resources to be used in the life-of-mine plans for inclusion of inferred resources once a year in light of new geologic information and conversion data and when events or circumstances indicate that a review should be made. The Company continually monitors expected conversion and any changes in estimates that arise from this review are accounted for prospectively. Significant estimation is involved in determining resources and in determining the percentage of resources ultimately expected to be converted to reserves, which we determine based on careful consideration of both internal and external technical and economic data. Estimation of future conversion of resources is inherently uncertain and involves significant judgment and actual outcomes may vary from these judgments and estimates and such outcomes may have a material impact on the results. Revisions to these estimates are accounted for in the period in which the change in the estimate arises. Costs of abandoned properties are written-off. - Net Proceeds received during the testing phase During the fourth quarter of 2020, the Company has early adopted the amendment of IAS-16 - Property, Plant and Equipment - Proceeds before Intended Use. These amendments clarify the accounting for the net proceeds from selling any items produced while bringing an item of property, plant and equipment to the location and condition necessary for it to be capable of operating in the manner intended by management. The amendments prohibit entities from applying the previous guidance of deducting amounts received from selling items produced from the cost of property, plant and equipment while the Company is preparing the asset for its intended use. Instead, sales proceeds and the cost of producing these items are now recognized in profit or loss. As required, the Company has adopted the amendments on a modified retrospective basis. There was no cumulative effect on equity on adoption (note 4 (t)ii)). Prior to this adoption, the Company, deducted the net proceeds from selling metals produced while bringing the asset to the condition necessary for it to be capable of operating in the manner intended by management (“commercial production”) from the capital costs of development of a mine Depletion commences once the mineral property, plant and equipment is capable of operating in the manner intended by management. Any costs incurred after the commencement of commercial production are capitalized to the extent they give rise to a future economic benefit. ii. Property, Plant and Equipment Property, plant and equipment are recorded at cost, net of accumulated depreciation and impairments. Costs directly related to construction projects are capitalized to work in progress until the asset is available for use in the manner intended by management. Assets, other than capital works in progress, are depreciated to their residual values over their estimated useful lives as follows: Land and buildings Land Not depreciated Mineral properties Units of production Declining balance Buildings, located at the mine Units of production Declining balance Buildings, others (1) 6-10 years Straight line Leasehold improvements (1) 4-8 years Straight line Plant and equipment Machinery and equipment (1) 3-12 years Straight line Furniture and other equipment (1) 2-12 years Straight line Transport units 4-5 years Straight line Capital work in progress Not depreciated (1) The lesser of useful life or life of mine. Equipment under finance lease is initially recorded at the present value of minimum lease payments at the inception of the lease and depreciated over the shorter of the lease term or useful life. Spare parts and components included in machinery and equipment are depreciated over the shorter of the useful life of the component or the related machinery and equipment. Borrowing costs attributed to the construction of qualifying assets are capitalized to mineral properties, plant and equipment, and are included in the carrying amounts of related assets until the asset is available for use in the manner intended by management. The sales proceeds and associated production costs incurred during commissioning of qualifying assets under capital works in progress are recognized in profit or loss. On an annual basis, the depreciation method, useful economic life, and residual value of each component asset is reviewed with any changes recognized prospectively over its remaining useful economic life. iii. Stripping cost Pre-production stripping costs are generally capitalized and amortized over the production life of the mine using the unit-of-production method. Stripping costs incurred during the production stage are incurred in order to produce inventory or to improve access to ore which will be mined in the future. Where the costs are incurred to produce inventory, the production stripping costs are accounted for as a cost of producing those inventories. Where the costs are incurred to improve access to ore which will be mined in the future, the costs are deferred and capitalized to the statement of financial position as a stripping activity asset (included in mining interest) if the following criteria are met: · improved access to the ore body is probable; · the component of the ore body can be accurately identified; and · the costs relating to the stripping activity associated with the component can be reliably measured. If these criteria are not met, the costs are expensed in the period in which they are incurred. The stripping activity asset is subsequently depleted using the units-of-production depletion method over the life of the identified component of the ore body to which access has been improved as a result of the stripping activity. (h) Asset Impairment At the end of each reporting period, the Company assesses for impairment indicators and if there are such indicators, then the Company performs a test of impairment. For the purpose of assessing impairment, assets are grouped at the lowest level for which there are separately identifiable cash inflows or cash generating units. These are typically individual mines or development projects. Brownfields exploration projects, located close to existing mine infrastructure, are assessed for impairment as part of the associated mine cash generating unit. An impairment loss is recognized for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less cost of disposal (“FVLCD”) and value in use. When the recoverable amount is assessed using pre-tax discounted cash flow techniques, the resulting estimates are based on detailed mine and/or production plans. For value in use, recent cost levels are considered, together with expected changes in costs compatible with the current condition of the business. The cash flow forecasts are based on best estimates of the expected future revenues and costs, including the future cash costs of production, sustaining capital expenditures, and reclamation and closure costs. Where a FVLCD model is used, the cash flow forecast includes net cash flows expected to be realized from extraction, processing, and sale of mineral resources that do not currently qualify for inclusion in proven or probable reserves and the portion of resources expected to be extracted economically. Where an impairment loss subsequently reverses, the carrying amount of the asset or cash-generating unit is increased to the revised estimate of recoverable amount but not beyond the carrying amount that would have been determined had no impairment loss been recognized for the asset or cash-generating unit in prior years. A reversal of an impairment loss is recognized into earnings immediately. (i) Borrowing Costs Interest and other financing costs incurred that are attributable to acquiring and developing exploration and development stage mining properties and constructing new facilities (“qualifying assets”), are capitalized and included in the carrying amounts of qualifying assets until those qualifying assets are capable of operating in the manner intended by management. The capitalization of borrowing costs incurred commences on the date when the following three conditions are met: · expenditures for the qualifying asset are being incurred; · borrowing costs are being incurred; and, · activities that are necessary to prepare the qualifying asset for its intended use are being undertaken. Borrowing costs incurred after the qualifying assets are substantially complete are expensed. Transaction costs, including legal, upfront commitment fees and other costs of issuance, associated with debt are recorded against the debt and are amortized over the term of the credit facility using the effective interest rate method. All other borrowing costs are expensed in the period in which they are incurred. (j) Assets Held for Sale A non-current asset is classified as held for sale when it meets the following criteria: · The non-current asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets; and, · the sale of the non-current asset is highly probable. For the sale to be highly probable: o o o o o Assets held for sale are not depreciated and are recorded at the lower of their carrying amount and fair value less costs to sell. (k) Income Taxes Income tax expense consists of current and deferred tax expense. Current tax expense is the expected tax payable on the taxable income for the year using tax rates enacted or substantively enacted at period end adjusted for amendments to tax payable with regards to previous years. Deferred tax assets and liabilities are recognized for deferred tax consequences attributable to unused tax loss carry forwards, unused tax credits, and differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis (“temporary differences”). Deferred tax assets and liabilities are measured using the enacted or substantively enacted tax rates expected to apply when the asset is realized, or the liability is settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in profit or loss in the period that substantive enactment occurs. A deferred tax asset is recognized to the extent that it is probable that future taxable income will be available against which the asset can be utilized. To the extent that the Company does not consider it probable that a deferred tax asset will be recovered, the deferred tax asset is reduced. The following temporary differences do not result in deferred tax assets or liabilities: · the initial recognition of assets or liabilities, not arising in a business combination, that does not affect accounting or taxable income; · goodwill; and · investments in subsidiaries, associates and jointly controlled entities where the timing of reversal of the temporary differences can be controlled and reversal in the foreseeable future is not probable. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities, and when they relate to income taxes levied by the same taxation authority and the Company intends to settle its current tax assets and liabilities on a net basis. (l) Provisions i. Closure and Reclamation Provisions Future obligations to retire an asset, including dismantling, remediation and ongoing treatment and monitoring of the site related to normal operation are initially recognized and recorded as a liability based on estimated future cash flows discounted at the risk-free rate. The closure and reclamation provision (“CRP”) is adjusted at each reporting period for changes to the expected amount of cash flows required to discharge the liability, the timing of such cash flows and the risk-free discount rate. The liability is accreted to full value over time through periodic charges to profit or loss. The amount of the CRP initially recognized is capitalized as part of the related asset’s carrying value and amortized to profit or loss. The method of amortization follows that of the underlying asset. The costs related to a CRP are only capitalized to the extent that the amount meets the definition of an asset and can bring about future economic benefit. For a closed site or where the asset which generated a CRP no longer exists, there is no longer a future benefit related to the costs and as such, the amounts are expensed. Revisions in estimates or new disturbances result in an adjustment to the CRP with an offsetting adjustment to the asset, unless there is no future benefit, in which case they are expensed. ii. Environmental Disturbance Restoration Provisions During the operating life of an asset, events such as infractions of environmental laws or regulations may occur. These events are not related to the normal operation of the asset and are referred to as environmental disturbance restoration provisions (“EDRP”). The costs associated with an EDRP are accrued and charged to earnings in the period in which the event giving rise to the liability occurs. Any subsequent adjustments to an EDRP due to changes in estimates are also charged to earnings in the period of adjustment. These costs are not capitalized as part of the long-lived asset’s carrying value. iii. Other Provisions Provisions are recognized when a present legal or constructive obligation exists as a result of past events, and it is probable that an outflow of resources that can be reliably estimated will be required to settle the obligation. Where the effect of the time value of money is material the provision is discounted using an appropriate current market based pre-tax discount rate. (m) Common Share Capital Shares are classified as equity. Costs directly attributable to the issuance of common shares are shown in equity as a deduction from the proceeds. (n) Share-Based Payments The fair value method of accounting is used for share-based payment transactions. Under this method, the cost of stock options and other equity-settled share-based payment arrangements are recorded based on the estimated fair value at the grant date and charged to earnings over the vesting period. Where awards are forfeited because non-market based vesting conditions were not satisfied, the expense previously recognized is reversed in the period the forfeiture occurs. Share-based payment expenses relating to cash-settled awards, including deferred and restricted share units are accrued and expensed over the vesting period based on the quoted market value of the Company’s common shares. As these awards will be settled in cash, the expense and liability are adjusted at each reporting period for any changes in the underlying share price. Equity settled share-based payment transactions with parties other than employees are measured at the fair value of the goods or services received, except where that fair value cannot be estimated reliably, in which case they are measured at the fair value of the equity instruments granted, measured at the date the Company obtains the goods or the counter party renders the services. i. Stock Option Plan The Company applies the fair value method of accounting for all stock option awards. Under this method, the Company recognizes a compensation expense for all stock options awarded to employees, based on the fair value of the options on the date of grant which is determined by using the Black-Scholes option pricing model. The fair value of the options is expensed over the graded vesting period of the options. ii. Deferred Share Unit Plan Deferred share units (“DSU”) are typically granted to non-executive directors of the Company. They are payable in cash upon resignation, retirement, removal, failure to achieve re-election, or upon a change of control of the Company. The DSU compensation liability is accounted for based on the number of DSUs outstanding and the quoted market value of the Company’s common shares at the financial position date. The year-over-year change in the DSU compensation liability is recognized in profit or loss. iii. Share Unit Plans The Company’s amended and restated share unit plan (the “SU Plan”) covers all restricted share units (“RSUs”) and performance share units (“PSUs”) granted by the Company on and after March 1, 2015. - Restricted Share Units The Company’s RSUs are settled in either cash or equity, as determined by the Company’s Board of Directors at the grant date and typically vest over three years. For cash settled RSUs, the share-based payment expense is adjusted at each reporting period to reflect any change in the quoted market price of the Company’s common shares and the vesting of each RSU grant, with a corresponding amount recorded in other liabilities. For equity-settled RSUs, the fair value is determined based on the quoted market price of the Company’s common shares at the date of grant, and the fair value is recognized as a share-based payment expense over the vesting period with a corresponding amount recorded in equity reserves. - Performance Share Units The Company’s PSUs are performance-based awards for the achievement of specified performance metrics by specified deadlines and are settled in either cash or equity, as determined by the Company’s Board of Directors at the grant date and typically vest over three years. For cash settled PSUs, the share-based payment expense is adjusted at each reporting period to reflect any change in the quoted market price of the Company’s common shares, the vesting of each PSU grant and the expected performance factors with a corresponding amount recorded in other liabilities. For equity-settled PSUs, the fair value is determined based on the quoted market price of the Company’s common shares at the date of grant and the number of PSUs expected to vest based on the performance factors. The fair value is recognized as a share-based payment expense over the vesting period with a corresponding amount recorded in equity reserves. (o) Related Party Transactions Parties are related if one party has the ability directly, or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered to be related if they are subject to common control. Related parties may be individuals or corporate entities, and include key management personnel of the Company. A transaction is a related party transaction when there is a transfer of resources or obligations between related parties. (p) Earnings per Share Basic earnings per share (“EPS”) is computed by dividing the net income for the year by the weighted average number of common shares outstanding during the year. The diluted earnings per share calculation is based on the weighted average number of common shares outstanding during the year, adjusted for the effects of dilutive common share equivalents. This method requires that the dilutive effect of outstanding options and equity settled units issued should be calculated using the treasury stock method. This method assumes that all common share equivalents have been exercised at the beginning of the year (or at the time of issuance, if later), and that the funds obtained thereby were used to purchase common shares of the Company at the average trading price of the common shares during the year, but only if dilutive. Dilution from convertible debentures is calculated using the if-converted method, based on the number of shares to be issued upon conversion of the convertible debentures, with a corresponding adjustment to net income for the after-tax interest expense related to the convertible debentures. (q) Financial Instruments i Classification and measurement of financial assets and financial liabilities Financial assets are measured as either: amortized cost; fair value through other comprehensive income (FVOCI) or fair value through profit or loss (FVTPL). All non-derivative financial liabilities are measured at amortized cost. The classification of financial assets is generally based on the business model in which a financial asset |
Use of Estimates, Assumptions a
Use of Estimates, Assumptions and Judgements | 12 Months Ended |
Dec. 31, 2020 | |
Use of Estimates, Assumptions and Judgements [abstract] | |
Use of Estimates, Assumptions and Judgements | 5. Use of Estimates, Assumptions and Judgements The preparation of these financial statements requires management to make estimates and judgements that affect the reported amounts of assets and liabilities at the period end date and reported amounts of expenses during the reporting period. Such judgements and estimates are, by their nature, uncertain. Actual outcomes could differ from these estimates. The impact of such judgements and estimates are pervasive throughout the financial statements, and may require accounting adjustments based on future occurrences. These judgements and estimates are continuously evaluated and are based on management’s experience and knowledge of the relevant facts and circumstances. Revisions to accounting estimates are recognized in the period in which the estimate is revised and are accounted for prospectively. In preparing these consolidated financial statements for the year ended December 31, 2020, the Company applied the critical estimates, assumptions and judgements as disclosed below. (a) Critical Accounting Estimates and Assumptions Areas where critical accounting estimates and assumptions have the most significant effect on the amounts recognized in the consolidated financial statements include: i. Mineral Reserves and Resources and the Life of Mine Plan We estimate our mineral reserves and mineral resources in accordance with the requirements of NI 43‑101. Estimates of the quantities of the mineral reserves and mineral resources form the basis for our life of mine plans, which are used for the calculation of depletion expense under the units of production method, impairment tests, and forecasting the timing of the payments related to the environmental reclamation provision. Significant estimation is involved in determining the reserves and resources included within our life of mine plans. Changes in forecast prices of commodities, exchange rates, production costs or recovery rates may result in our life of mine plan being revised and such changes could impact depletion rates, asset carrying values and our environmental reclamation provision. As at December 31, 2020 we have used the following long-term prices for our reserve and resource estimations: gold $1,600/oz, silver $21/oz, lead $2,000/t and zinc $2,270/t. In addition to the estimates above, estimation is involved in determining the percentage of resources ultimately expected to be converted to reserves and hence included in our life of mine plans. Our life of mine plans include a portion of inferred resources as we believe this provides a better estimate of the expected life of mine for certain types of deposits, in particular for vein type structures. The percentage of inferred resources out of the total tonnage included in the life of mine plans is based on site specific geological, technical, and economic considerations. Estimation of future conversion of resources is inherently uncertain and involves judgement, and actual outcomes may vary from these judgements and estimates and such changes could have a material impact on the financial results. Some of the key assumptions in the estimation process include geological continuity, stationarity in the grades within defined domains, reasonable geotechnical and metallurgical conditions, treatment of outlier (extreme) values, cut-off grade determination and the establishment of geostatistical and search parameters. Revisions to these estimates are accounted for prospectively in the period in which the change in estimate arises. See note 3(g)(i) of these financial statements. ii. Valuation of Mineral Properties and Exploration Properties The Company carries its mineral properties at cost less accumulated depletion and any accumulated provision for impairment. The costs of each property and related capitalized expenditures are depleted over the economic life of the property on a units-of-production basis. When a property is abandoned or when there is an impairment, costs are charged to profit or loss. The Company undertakes a review of the carrying values of mining properties and related expenditures whenever events or changes in circumstances indicate that their carrying values may exceed their estimated net recoverable amounts determined by reference to estimated future operating results and discounted net cash flows. Where previous impairment has been recorded, the Company analyzes any impairment reversal indicators. An impairment loss is recognized when the carrying value of those assets is not recoverable. In undertaking this review, management of the Company is required to make significant estimates of, amongst other things, future production and sales volumes, metal prices, foreign exchange rates, mineral resource and reserve quantities, future operating and capital costs to the end of the mine’s life, and reclamation costs. These estimates are subject to various risks and uncertainties which may ultimately have an effect on the expected recoverability of the carrying values of the mining properties and related expenditures. The Company, from time to time, acquires exploration and development properties. When properties are acquired, the Company must determine the fair value attributable to each of the properties. When the Company conducts exploration on a mineral property and the results from the exploration do not support the carrying value, the property is written down to its new fair value which could have a material effect on the consolidated statement of financial position and the consolidated income statement. iii. Deferred stripping costs In determining whether stripping costs incurred during the production phase of a mining property relate to mineral reserves that will be mined in a future period and therefore should be capitalized, the Company makes estimates of the proportion of stripping activity which relates to extracting ore in the current period versus the proportion which relates to obtaining access to ore reserves which will be mined in the future. iv. Inventory Estimates of recoverable gold on the leach pad are calculated from the quantities of ore placed on the leach pads (measured tonnes added to the leach pad), the grade of ore placed on the leach pad (based on assay data) and a recovery percentage. v. Reclamation and Other Closure Provisions The Company has obligations for reclamation and other closure activities related to its mining properties. The future obligations for mine closure activities are estimated by the Company using mine closure plans or other similar studies which outline the requirements that will be carried out to meet the obligations. Because the obligations are dependent on the laws and regulations of the countries in which the mines operate, the requirements could change as a result of amendments in the laws and regulations relating to environmental protection and other legislation affecting resource companies. As the estimate of the obligations is based on future expectations, a number of estimates and assumptions are made by management in the determination of closure provisions. vi. Revenue from metal in concentrate The Company’s sales of metal in concentrates allow for price adjustments based on the market price at the end of the relevant quotational 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 the prevailing spot price on a specified future date. At each balance sheet date, the Company estimates the value of the trade receivable using forward metal prices. Adjustments to the sale price occurs 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 is generally between one and three months. Any future changes 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. As such, the provisional price adjustments are accounted for as derivatives and presented separately in Note 23 of these financial statements. vii. Contingencies Contingencies can be either possible assets or possible liabilities arising from past events which, by their nature, will only be resolved when one or more future events not within our control occur or fail to occur. The assessment of such contingencies inherently involves the exercise of significant judgement and estimates of the outcome of future events. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings or regulatory or government actions that may negatively impact our business or operations, the Company with assistance from its legal counsel evaluates the perceived merits of any legal proceedings or unasserted claims or actions. A liability is recognized in the consolidated financial statements when the outcome of the legal proceedings is probable and the estimated settlement amount can be estimated reliably. Contingent assets are not recognized in the consolidated financial statements until virtually certain. (b) Critical Accounting Judgements in Applying the Entity’s Accounting Policies Judgements that have the most significant effect on the amounts recognized in the Company’s consolidated financial statements are as follows: i. Income Taxes Deferred tax assets and liabilities are determined based on differences between the financial statement carrying values of assets and liabilities and their respective income tax bases and losses carried forward. The determination of the ability of the Company to utilize tax loss carryforwards to offset deferred tax liabilities requires management to exercise judgement and make certain assumptions about the future performance of the Company. Management is required to assess whether it is “probable” that the Company will benefit from these prior losses and other deferred tax assets. Changes in economic conditions, metal prices and other factors could result in revisions to the estimates of the benefits to be realized or the timing of utilization of the losses. ii. Assessment of Impairment and Reversal of Impairment Indicators Management applies significant judgement in assessing whether indicators of impairment or reversal of impairment exist for an asset or a group of assets which could result in a testing for impairment. Internal and external factors such as significant changes in the use of the asset, commodity prices, life of mines, tax laws or regulations in the countries that our mines operate in and interest rates are used by management in determining whether there are any indicators of impairment or reversal of previous impairments. iii. Functional Currency The functional currency for the Company and its subsidiaries is the currency of the primary economic environment in which each operates. The Company has determined that its functional currency and that of its subsidiaries is the U.S. dollar. The determination of functional currency may require certain judgements to determine the primary economic environment. The Company reconsiders the functional currency used when there is a change in the events and conditions which determined the primary economic environment . iv. Leases Significant judgments made by management in the accounting for leases primarily included whether the lease conveys the right to use a specific asset, whether the Company obtains substantially all of the economic benefits from the use of the asset, whether the Company has the right to direct the use of the asset, evaluating the appropriate discount rate to use to discount the lease liability for each lease or groups of assets, and to determine the lease term where a contract includes renewal options. Significant judgments over these factors would affect the present value of the lease liabilities, as well as the associated amount of the ROU asset. v. Value-added tax (“VAT”) receivable Timing of collection of VAT receivables is uncertain as VAT refund procedures require a significant amount of information and follow-up. The Company assesses the recoverability of the amounts receivable at each reporting date and the expected timing of the recovery, which are impacted by several factors, including the status of discussions with the tax authorities, and current interpretation of relevant VAT legislation and regulation. Changes in these judgements can materially affect the amount recognized as VAT receivable and could result in an increase in other expenses recognized in profit or loss and the presentation of current and non-current VAT receivable. |
Trade and Other Receivables
Trade and Other Receivables | 12 Months Ended |
Dec. 31, 2020 | |
Trade and Other Receivables [abstract] | |
Trade and Other Receivables | 6. Trade and Other Receivables December 31, December 31, 2019 Trade receivables from concentrate sales $ 26,309 $ 33,642 Advances and other receivables 4,108 2,419 Value added taxes recoverable 8,890 11,646 Value added taxes recoverable - Lindero 37,248 - Accounts and other receivables $ 76,555 $ 47,707 The Company’s trade receivables from concentrate and doré sales are expected to be collected in accordance with the terms of the existing concentrate sales contracts with its customers. No amounts were past due as at December 31, 2020 and 2019 . During the year ended December 31, 2020, the Company recognized an unrealized foreign exchange loss of $12,365 (December 31, 2019 - $12,137) related to the value added tax recoverable on the construction of the Lindero Mine. The Company implemented a strategy to mitigate the foreign exchange exposure to meet its local currency requirements in Argentina. During the year ended December 31, 2020, the Company recognized $3,306, (December 31, 2019 - $11,204) of gains from Argentine Peso denominated cross-border securities trades. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2020 | |
Inventories [abstract] | |
Inventories | 7. Inventories December 31, December 31, (Restated) Concentrate stockpiles $ 1,682 $ 2,640 Leach pad and gold-in-circuit 7,851 - Doré bars 1,796 - Ore stockpiles 11,640 6,085 Materials and supplies 22,020 8,599 Total inventories $ 44,989 $ 17,324 Less: non-current portion (note 12) (9,715) (2,355) Current inventories $ 35,274 $ 14,969 During the year ended December 31, 2020, the Company expensed $160,138 (December 31, 2019 – $169,711) of inventories to cost of sales. As at December 31, 2020, there was $9,715 of non-current ore stockpile related to Lindero which is not expected to be realized within the next 12 months (December 31, 2019 - $2,355). |
Other Current Assets
Other Current Assets | 12 Months Ended |
Dec. 31, 2020 | |
Other Current Assets [abstract] | |
Other Current Assets | 8. Other Current Assets December 31, December 31, 2019 Prepaid expenses $ 2,622 $ 2,942 Investments in equity securities (note 11) 1,059 - Assets held for sale 659 1,069 Income tax recoverable - 2,553 Other current assets $ 4,340 $ 6,564 Investments in equity securities are classified as fair value through other comprehensive income, and any changes in the fair value of the investments are recorded in Other Comprehensive Income. During the year ended December 31, 2020, the Company wrote-down $410 (December 31, 2019 - $nil) on assets held for sale. |
Mineral Properties and Explorat
Mineral Properties and Exploration and Evaluation Assets | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Plant and Equipment | 10. Property, Plant and Equipment Machinery Land and buildings Furniture and other equipment Assets under lease Capital work in progress - Lindero Capital Total COST Balance at December 31, 2019 (Restated) note 4(t)ii) $ 75,246 $ 159,732 $ 16,083 $ 35,671 $ 216,482 $ 6,424 $ 509,638 Additions 5,190 473 1,427 2,715 45,688 3,645 59,138 Changes in closure and reclamation 682 - - - - - 682 Disposals (750) - (109) (885) - - (1,744) Transfers 29,636 51,547 2,096 - (75,100) (8,179) - Balance at December 31, 2020 $ 110,004 $ 211,752 $ 19,497 $ 37,501 $ 187,070 $ 1,890 $ 567,714 ACCUMULATED DEPRECIATION Balance at December 31, 2019 $ 42,214 $ 78,360 $ 7,402 $ 6,006 $ - $ - $ 133,982 Disposals (618) - (100) (408) - - (1,126) Depreciation 6,701 13,161 2,842 6,744 - - 29,448 Balance at December 31, 2020 $ 48,297 $ 91,521 $ 10,144 $ 12,342 $ - $ - $ 162,304 Net Book Value at December 31, 2020 $ 61,707 $ 120,231 $ 9,353 $ 25,159 $ 187,070 $ 1,890 $ 405,410 Machinery Land and buildings Furniture and other equipment Assets under lease 1 Capital work in progress - Lindero Capital Total (Restated) COST Balance at December 31, 2018 $ 74,188 $ 141,318 $ 11,066 $ 13,411 $ 52,964 $ 6,140 $ 299,087 Initial adoption IFRS 16 - - - 7,316 - - 7,316 Balance at January 1, 2019 74,188 141,318 11,066 20,727 52,964 6,140 306,403 Additions 1,185 714 3,464 14,944 174,164 9,718 204,189 Changes in closure and reclamation 171 - - - - - 171 Disposals (1,038) - (87) - - - (1,125) Transfers 740 17,700 1,640 - (10,646) (9,434) - Balance at December 31, 2019 (Restated) 75,246 159,732 16,083 35,671 216,482 6,424 509,638 ACCUMULATED DEPRECIATION Balance at December 31, 2018 $ 35,843 $ 65,547 $ 5,390 $ 107 $ - $ - $ 106,887 Disposals (746) - (79) - - - (825) Depreciation 7,117 12,813 2,091 5,899 - - 27,920 Balance at December 31, 2019 (Restated) $ 42,214 $ 78,360 $ 7,402 $ 6,006 $ - $ - $ 133,982 Net Book Value at December 31, 2019 (Restated) $ 33,032 $ 81,372 $ 8,681 $ 29,665 $ 216,482 $ 6,424 $ 375,656 (1) The Company leases equipment that was previously classified as a finance lease under IAS 17. On January 1, 2019, the Company adopted IFRS 16, Leases , and the equipment purchased under finance leases were classified as right-of-use assets. The carrying amount of $13,411 and the related lease liability of $8,767 were determined based on the carrying amount of these assets and their related lease liability immediately before the effective date of IFRS 16 . |
Mineral Properties and Exploration and Evaluation Assets [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Plant and Equipment | 9. Mineral Properties and Exploration and Evaluation Assets Depletable Not depletable Caylloma San Jose Lindero Other Total COST Balance at December 31, 2019 $ 128,244 $ 184,333 $ 203,866 $ 7,933 $ 524,376 Additions 3,833 8,310 32,506 1,298 45,947 Changes in closure and reclamation provision 2,599 1,328 4,730 - 8,657 Write-downs - (1,233) - (188) (1,421) Balance at December 31, 2020 $ 134,676 $ 192,738 $ 241,102 $ 9,043 $ 577,559 ACCUMULATED DEPLETION Balance at December 31, 2019 $ 74,435 $ 96,422 $ - $ - $ 170,857 Disposals - (543) - - (543) Depletion 6,944 14,584 - - 21,528 Balance at December 31, 2020 $ 81,379 $ 110,463 $ - $ - $ 191,842 Net Book Value at December 31, 2020 $ 53,297 $ 82,275 $ 241,102 $ 9,043 $ 385,717 Depletable Not depletable Caylloma San Jose Lindero Other Total COST Balance at December 31, 2018 $ 121,625 $ 175,609 $ 155,854 $ 7,797 $ 460,885 Additions 6,396 7,838 34,485 2,652 51,371 Changes in closure and reclamation provision 223 886 13,527 - 14,636 Disposals - - - (2,516) (2,516) Balance at December 31, 2019 $ 128,244 $ 184,333 $ 203,866 $ 7,933 $ 524,376 ACCUMULATED DEPLETION Balance at December 31, 2018 $ 68,207 $ 79,878 $ - $ - $ 148,085 Depletion 6,228 16,544 - - 22,772 Balance at December 31, 2019 $ 74,435 $ 96,422 $ - $ - $ 170,857 Net Book Value at December 31, 2019 $ 53,809 $ 87,911 $ 203,866 $ 7,933 $ 353,519 During the year ended December 31, 2020, the Company capitalized $9,431 (December 31, 2019- $5,259) of interest related to the construction of the Lindero Mine. The construction activities necessary to prepare the asset for its intended use were substantially completed, as a result, the Company ceased capitalization of interest on November 30, 2020. The assets of the Caylloma Mine and the San Jose Mine and their holding companies, are pledged as security under the Company’s credit facility. Non-depletable assets – Other consists of the following exploration and evaluation assets: Mexico Argentina Serbia Others Tlacolula Pachuca Arizaro Esperanza Incachule Barje Total Balance at December 31, 2018 $ 3,298 $ - $ 934 $ 788 $ 766 $ 1,938 $ 73 $ 7,797 Additions 218 962 2 - - 1,318 152 2,652 Write-off - (962) - (788) (766) - - (2,516) Balance at December 31, 2019 3,516 - 936 - - 3,256 225 7,933 Additions 209 - - - - 122 967 1,298 Write-off - - - - - - (188) (188) Balance at December 31, 2020 $ 3,725 $ - $ 936 $ - $ - $ 3,378 $ 1,004 $ 9,043 |
Plant and Equipment
Plant and Equipment | 12 Months Ended |
Dec. 31, 2020 | |
Plant and Equipment [abstract] | |
Plant and Equipment | 10. Property, Plant and Equipment Machinery Land and buildings Furniture and other equipment Assets under lease Capital work in progress - Lindero Capital Total COST Balance at December 31, 2019 (Restated) note 4(t)ii) $ 75,246 $ 159,732 $ 16,083 $ 35,671 $ 216,482 $ 6,424 $ 509,638 Additions 5,190 473 1,427 2,715 45,688 3,645 59,138 Changes in closure and reclamation 682 - - - - - 682 Disposals (750) - (109) (885) - - (1,744) Transfers 29,636 51,547 2,096 - (75,100) (8,179) - Balance at December 31, 2020 $ 110,004 $ 211,752 $ 19,497 $ 37,501 $ 187,070 $ 1,890 $ 567,714 ACCUMULATED DEPRECIATION Balance at December 31, 2019 $ 42,214 $ 78,360 $ 7,402 $ 6,006 $ - $ - $ 133,982 Disposals (618) - (100) (408) - - (1,126) Depreciation 6,701 13,161 2,842 6,744 - - 29,448 Balance at December 31, 2020 $ 48,297 $ 91,521 $ 10,144 $ 12,342 $ - $ - $ 162,304 Net Book Value at December 31, 2020 $ 61,707 $ 120,231 $ 9,353 $ 25,159 $ 187,070 $ 1,890 $ 405,410 Machinery Land and buildings Furniture and other equipment Assets under lease 1 Capital work in progress - Lindero Capital Total (Restated) COST Balance at December 31, 2018 $ 74,188 $ 141,318 $ 11,066 $ 13,411 $ 52,964 $ 6,140 $ 299,087 Initial adoption IFRS 16 - - - 7,316 - - 7,316 Balance at January 1, 2019 74,188 141,318 11,066 20,727 52,964 6,140 306,403 Additions 1,185 714 3,464 14,944 174,164 9,718 204,189 Changes in closure and reclamation 171 - - - - - 171 Disposals (1,038) - (87) - - - (1,125) Transfers 740 17,700 1,640 - (10,646) (9,434) - Balance at December 31, 2019 (Restated) 75,246 159,732 16,083 35,671 216,482 6,424 509,638 ACCUMULATED DEPRECIATION Balance at December 31, 2018 $ 35,843 $ 65,547 $ 5,390 $ 107 $ - $ - $ 106,887 Disposals (746) - (79) - - - (825) Depreciation 7,117 12,813 2,091 5,899 - - 27,920 Balance at December 31, 2019 (Restated) $ 42,214 $ 78,360 $ 7,402 $ 6,006 $ - $ - $ 133,982 Net Book Value at December 31, 2019 (Restated) $ 33,032 $ 81,372 $ 8,681 $ 29,665 $ 216,482 $ 6,424 $ 375,656 (1) The Company leases equipment that was previously classified as a finance lease under IAS 17. On January 1, 2019, the Company adopted IFRS 16, Leases , and the equipment purchased under finance leases were classified as right-of-use assets. The carrying amount of $13,411 and the related lease liability of $8,767 were determined based on the carrying amount of these assets and their related lease liability immediately before the effective date of IFRS 16 . |
Investments in Associate
Investments in Associate | 12 Months Ended |
Dec. 31, 2020 | |
Investments in Associate [abstract] | |
Investments in Associate | 11. Investment in Associates Investments in associates were comprised of: Medgold Prospero Total Balance at December 31, 2018 $ 3,075 $ 1,202 $ 4,277 Write-down of investment (1,937) (784) (2,721) Share of net loss (164) (61) (225) Balance at December 31, 2019 974 357 1,331 Share of net loss (47) (29) (76) Transfer to investments in equity securities (927) (328) (1,255) Balance at December 31, 2020 $ - $ - $ - On July 16, 2020, Medgold Resources Corp. ("Medgold") completed a 40 million unit financing at C$0.05 per unit. This financing diluted the Company’s equity interest in Medgold to 15.6% which resulted in the company no longer exercising significant influence over Medgold and a change in the classification of its investment in Medgold to fair value though other comprehensive income as at July 16, 2020. On July 1, 2020, the Company determined that it no longer exercises significant influence over Prospero Silver Corp. (“Prospero”) and changed the classification of its investment in Prospero to fair value through other comprehensive income. |
Other Assets
Other Assets | 12 Months Ended |
Dec. 31, 2020 | |
Other Assets [abstract] | |
Other Assets | 12. Other Assets December 31, December 31, 2019 (Restated note 4 (t)ii) Ore stockpiles $ 9,715 $ 2,355 Value added tax recoverable - San Jose 3,386 2,036 Income tax recoverable (note 33(d)) 1,199 1,310 Other assets 910 867 Value added tax recoverable - Lindero - 34,176 Other assets $ 15,210 $ 40,744 As at December 31, 2020, the Company transferred the full amount of value added tax recoverable to short-term as it expects to recover the full amount during the next twelve months (note 6). In January 2021, $11,300 of the value added tax amount were recovered. The Company expects to recover the value added taxes during 2022 . |
Deposits and Advances to Contra
Deposits and Advances to Contractors | 12 Months Ended |
Dec. 31, 2020 | |
Deposits and Advances to Contractors | |
Deposits and Advances to Contractors | 13. Deposits and Advances to Contractors As at December 31, 2020, the Company has advances outstanding of $934 (December 31, 2019 – $12,164) to contractors related to the construction of the Lindero Mine. During the year ended December 31, 2020, the Company paid deposits to contractors of $4,729 (December 31, 2019 - $19,175) and applied $15,450 (December 31, 2019 - $50,650) against equipment delivered or services rendered. In addition, there was a balance of deposits of $509 transferred to accounts receivables. |
Trade and Other Payables
Trade and Other Payables | 12 Months Ended |
Dec. 31, 2020 | |
Trade and Other Payables [abstract] | |
Trade and Other Payables | 14. Trade and Other Payables December 31, December 31, 2019 Trade accounts payable $ 21,918 $ 15,975 Lindero construction payables 7,694 24,998 Refundable deposits to contractors 1,442 1,496 Payroll payable 15,878 13,627 Mining royalty payable 1,094 1,237 Value added taxes payable 519 224 Interest payable 1,383 1,457 Due to related parties (note 15) 9 14 Other payables 1,711 535 Derivative liabilities 1,260 894 Deferred share units payable (note 20(a)) 9,239 3,918 Restricted share units payable (note 20(b)) 3,128 911 Total trade and other payables $ 65,275 $ 65,286 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions [abstract] | |
Related Party Transactions | 15. Related Party Transactions In addition to the related party transactions and balances disclosed elsewhere in these financial statements, the Company entered into the following related party transactions during the years ended December 31, 2020, and 2019: a) Purchase of Goods and Services During the years ended December 31, 2020, and 2019, the Company was charged $157 (2019: $210) for general and administrative services pursuant to a shared services agreement with Gold Group Management Inc., a company of which Simon Ridgway, the Company’s Chairman during 2020, is a director. Effective February 2, 2021, Simon Ridgway resigned as director and Chairman of the Board. Years ended December 31, 2019 Personnel costs $ 19 $ 21 General and administrative expenses 138 189 $ 157 $ 210 As at December 31, 2020, the Company had outstanding balances payable to Gold Group Management Inc. of $9 (December 31, 2019 - $14). Amounts due to related parties are due on demand and are unsecured. b) Key Management Personnel During the year ended December 31, 2020, and 2019, the Company was charged for consulting services by Mario Szotlender, a director of the Company, and by Mill Street Services Ltd., a company of which Simon Ridgway, the Company’s Chairman during 2020, is a director. Such amounts, along with other key management personnel compensation expense were as follows: Years ended December 31, 2019 Salaries and benefits $ 4,266 $ 4,716 Directors fees 707 702 Consulting fees 134 135 Share-based payments 11,115 5,449 $ 16,222 $ 11,002 |
Lease Obligations
Lease Obligations | 12 Months Ended |
Dec. 31, 2020 | |
Lease Obligations | |
Lease Obligations | 16. Lease Obligations Minimum lease payments December 31, December 31, 2019 Less than one year $ 7,367 $ 9,313 Between one and five years 10,209 13,521 More than five years 14,127 14,958 31,703 37,792 Less: future finance charges (12,206) (13,913) Present value of minimum lease payments 19,497 23,879 Less: current portion (6,978) (8,831) Non-current portion $ 12,519 $ 15,048 As at December 31, 2020, there were $16,829 of lease obligations related to mining equipment and $2,668 of other leases. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2020 | |
Debt [abstract] | |
Debt | 17. Debt The following table summarizes the changes in debt: Credit Facilities Convertible debentures Total Balance at December 31, 2018 $ 69,302 $ - $ 69,302 Proceeds from convertible debentures - 46,000 46,000 Transaction costs paid - Portion allocated to equity - Transaction costs allocated to equity - 389 389 Amortization of discount 128 347 475 Drawdowns 40,000 - 40,000 Balance at December 31, 2019 109,430 37,105 146,535 Amortization of discount 420 1,661 2,081 Drawdowns 65,000 - 65,000 Payments - (55,000) Balance at December 31, 2020 $ 119,850 $ 38,766 $ 158,616 a) Credit Facility The Company has two credit facilities (collectively, the “Credit Facilities”) comprising of a $40,000 non-revolving credit facility which matures on January 26, 2022 and a $110,000 revolving credit facility, the latter of which $30,000 matured on December 31, 2020 and was not renewed. The remaining $80,000 revolving credit facility also matures on January 26, 2022. On June 4, 2020, the Company amended the financial covenants contained in the Credit Facilities as follows: · Total Net Debt to EBITDA ratio, as defined in the Credit Facilities, of not greater than · 4.50:1.00 for the remaining three quarters of 2020 and the first quarter of 2021, reducing to 4.00:1.00 in the second quarter of 2021 and for the remainder of the term of the Credit Facility; · Net Senior Secured Debt to EBITDA ratio, as defined in the Credit Facilities, of not greater than 3:1 in the remaining three quarters of 2020 and the first quarter of 2021, reducing to 2.00:1.00 in the second quarter of 2021 and for the remainder of the term of the Credit Facilities; and · EBITDA to Interest Expense ratio, as defined in the Credit Facilities, of a minimum of 4.00:1.00 beginning in the second quarter of 2020 and for the remainder of the term of the Credit Facilities. The interest rate on the Credit Facilities will continue to be based on a sliding scale at one-month LIBOR plus an applicable margin ranging from 2.5% to 3.5%, based on the Net Senior Secured Debt to EBITDA ratio, as defined in the Credit Facilities. The Credit Facilities are secured by a first ranking lien on the assets of Minera Bateas S.A.C. and Compania Minera Cuzcatlan S.A. de C.V. and their holding companies. The Company must comply with the terms in the Credit Facilities relating to, among other matters, reporting requirements, conduct of business, insurance, notices, and must comply with the new financial covenants as outlined above. As at December 31, 2020, the Company was in compliance with all of the covenants under the Credit Facilities. During the year ended December 31, 2020, the Company drew $65,000 (December 31, 2019 - $40,000) and paid $55,000 (December 31, 2019 - $nil) from the revolving credit facility. As at December 31, 2020, the Company has fully drawn the Credit Facilities. b) Convertible Debentures On October 2 and 6, 2019, the Company completed a bought deal public offering of senior subordinated unsecured convertible debentures with an aggregate principal amount of $46,000 (the “Debentures”). The Debentures mature on October 31, 2024 and bear interest at a rate of 4.65% per annum, payable semi-annually in arrears on the last business day of April and October, commencing on April 30, 2020. For the year ended December 31, 2020, the Company paid $2,315 in interest on the Debentures. The Debentures are convertible at the holder’s option into common shares in the capital of the Company at a conversion price of $5.00 per share (the “Conversion Price”), representing a conversion rate of 200 Common Shares per $1 principal amount of Debentures, subject to adjustment in certain circumstances. On or after October 31, 2022 and prior to October 31, 2023, the Debentures may be redeemed in whole or in part from time to time at the Company’s option at a price equal to their principal amount plus accrued and unpaid interest, provided that the volume weighted average trading price of the Common Shares on the NYSE for the 20 consecutive trading days ending on the fifth trading day preceding the date on which the notice of the redemption is given is at least 125% of the Conversion Price. On and after October 31, 2023, the Debentures may be redeemed in whole or in part from time to time at the Company’s option at a price equal to their principal amount plus accrued and unpaid interest regardless of the trading price of the Common Shares. Subject to applicable securities laws and regulatory approval and provided that no event of default has occurred and is continuing, the Company may, at its option, elect to satisfy its obligation to pay the principal amount of the Debentures and accrued and unpaid interest on the redemption date and the maturity date, in whole or in part, through the issuance of Common Shares, by issuing and delivering that number of Common Shares, obtained by dividing the principal amount of the Debentures and all accrued and unpaid interest thereon by 95% of the current market price (as defined in the Debenture Indenture) on such redemption date or maturity date, as applicable. |
Other Liabilities
Other Liabilities | 12 Months Ended |
Dec. 31, 2020 | |
Other Liabilities [abstract] | |
Other Liabilities | 18. Other Liabilities December 31, December 31, 2019 Restricted share units (note 20(b)) $ 2,264 $ 246 Other non-current liabilities 259 253 $ 2,523 $ 499 |
Closure and Reclamation Provisi
Closure and Reclamation Provisions | 12 Months Ended |
Dec. 31, 2020 | |
Closure and Reclamation Provisions [abstract] | |
Closure and Reclamation Provisions | 19. Closure and Reclamation Provisions The following table summarizes the changes in closure and reclamation provisions: Closure and Reclamation Provisions Caylloma San Jose Lindero Total Balance at December 31, 2019 $ 11,324 $ 4,848 $ 14,953 $ 31,125 Changes in estimate 3,288 1,328 4,482 9,098 Reclamation expenditures (114) (227) - (341) Accretion 256 249 249 754 Effect of changes in foreign exchange rates 7 (293) - (286) Balance at December 31, 2020 14,761 5,905 19,684 40,350 Less: Current portion (142) (238) - (380) Non-current portion $ 14,619 $ 5,667 $ 19,684 $ 39,970 Closure and Reclamation Provisions Caylloma San Jose Lindero Total Balance at December 31, 2018 $ 10,800 $ 3,716 $ 1,427 $ 15,943 Changes in estimate 394 886 13,390 14,670 Reclamation expenditures - Accretion 331 259 136 726 Effect of changes in foreign exchange rates - 137 - 137 Balance at December 31, 2019 Less: Current portion - Non-current portion $ 8,276 $ 4,639 $ 14,953 $ 27,868 Closure and reclamation provisions represent the present value of reclamation costs related to mine and development sites. For the year ended December 31, 2020, the Company updated the reclamation and closure plan of its Caylloma mine which includes a $3,179 increase related to additional tailings reclamation. Closure and Reclamation Provisions Caylloma San Jose Lindero Total Anticipated settlement date 2021 - 2032 2025 - 2037 2029 - 2042 Undiscounted uninflated estimated cash flow $ 14,899 $ 6,864 $ 17,946 $ 39,709 Estimated life of mine (years) 7 5 13 Discount rate Inflation rate The Company is expecting to incur annual reclamation expenses throughout the life of its mines. |
Share Based Payments
Share Based Payments | 12 Months Ended |
Dec. 31, 2020 | |
Share Based Payments [abstract] | |
Share Based Payments | 20. Share Based Payments During the year ended December 31, 2020, the Company recognized share-based payments of $12,388 (December 31, 2019 - $5,471) related to the amortization of deferred, restricted and performance share units and $56 (December 31, 2019 – $542) related to amortization of stock options. (a) Deferred Share Units (DSUs) Cash Settled Number of DSUs Fair Value Outstanding, December 31, 2018 850,067 $ 3,116 Granted 111,804 455 Changes in fair value - 347 Outstanding, December 31, 2019 961,871 3,918 Granted 162,648 383 Changes in fair value - 4,938 Outstanding, December 31, 2020 1,124,519 $ 9,239 On April 20, 2020, the Company granted 162,648 deferred share units to its non-executive directors with a fair value of $2.36 (C$3.32) for each DSU (year ended December 31, 2019 - 111,804 DSUs with a fair value of $3.62 (C$4.83) per DSU). (b) Restricted Share Units (RSUs) Cash Settled Equity Settled Number of RSUs Fair Value Number of RSUs Outstanding, December 31, 2018 659,385 $ 2,057 734,631 Granted 139,661 506 633,914 Units paid out in cash (406,611) (1,466) - Vested and paid out in shares - - (201,633) Changes in fair value and vesting - 60 - Outstanding, December 31, 2019 392,435 1,157 1,166,912 Granted 1,056,207 2,489 815,220 Units paid out in cash (81,152) (257) - Vested and paid out in shares - - (448,766) Changes in fair value and vesting - 2,003 - Outstanding, December 31, 2020 1,367,490 5,392 1,533,366 Less: current portion (3,128) Non-current portion $ 2,264 On April 20, 2020, the Company granted to its employees and officers a total of 1,056,207 cash-settled and 815,220 equity-settled RSUs, which vest 20% on the first anniversary, 30% on the second anniversary and 50% on the third anniversary of the date of grant. The fair value on the grant date of the 815,220 equity settled RSUs was $2.36 (C$3.32) per RSU (year ended December 31, 2019- 633,914 with a fair value of $3.62 (C$4.83) per RSU). (c) Performance Share Units Equity Settled Number of PSUs Outstanding, December 31, 2018 1,002,166 Granted 422,609 Vested and paid out in shares (150,325) Outstanding, December 31, 2019 1,274,450 Forfeited or cancelled (191,498) Vested and paid out in shares (243,782) Outstanding, December 31, 2020 839,170 During the year ended December 31, 2020, no PSUs were granted (year ended December 31, 2019 – 422,609 with a fair value of $3.62 (C$4.83) per share unit) to the Company’s officers. The PSUs granted during the year ended December 31, 2019 vest 20% on the first anniversary, 30% on the second anniversary and 50% on the third anniversary of the date of grant based on prescribed performance metrics, and are subject to a multiplier ranging from 50% to 200% depending on the achievement level of certain performance targets. d) Stock Options The Company’s Stock Option Plan, as amended and approved from time to time, permits the Company to issue up to 12,200,000 stock options. As at December 31, 2020, a total of 2,092,236 stock options are available for issuance under the plan. Number of stock options Weighted average Canadian dollars Outstanding, December 31, 2018 1,784,029 $ 5.85 Outstanding, December 31, 2019 1,784,029 5.85 Exercised (211,626) 6.28 Expired unexercised (517,833) 4.79 Outstanding, December 31, 2020 1,054,570 $ 6.28 Vested and exercisable, December 31, 2019 1,459,779 $ 5.77 Vested and exercisable, December 31, 2020 1,054,570 $ 6.28 |
Share Capital
Share Capital | 12 Months Ended |
Dec. 31, 2020 | |
Share Capital [abstract] | |
Share Capital | 21. Share Capital a) Authorized Share Capital The Company has an unlimited number of common shares without par value authorized for issue. b) Financing On May 20, 2020, the Company completed a bought deal public equity offering and issued an aggregate of 23,000,000 common shares at a price of $3.00 per share for gross proceeds of $69,000, which included the exercise, in full, of the over-allotment option. The Company incurred transaction costs of $3,358 related to this financing. |
Earnings per Share
Earnings per Share | 12 Months Ended |
Dec. 31, 2020 | |
Earnings per Share [abstract] | |
Earnings per Share | 22. Earnings per Share Years ended December 31, Basic 2019 Net income for the year $ 21,553 $ 23,796 Weighted average number of shares (000's) 174,993 160,193 Earnings per share - basic $ 0.12 $ 0.15 Years ended December 31, Diluted 2019 Net income for the year $ 21,553 $ 23,796 Weighted average number of shares (000's) 174,993 160,193 Incremental shares from dilutive potential shares 11,080 4,332 Weighted average diluted number of shares (000's) 186,073 164,525 Earnings per share - diluted $ 0.12 $ 0.14 As at December 31, 2020, there were 7,551 out of the money options that were excluded from the diluted earnings per share calculation as their effect would have been anti-dilutive (December 31, 2019 – 1,784,029). |
Sales
Sales | 12 Months Ended |
Dec. 31, 2020 | |
Sales [abstract] | |
Sales | 23. Sales The Company’s geographical analysis of revenue from contracts with customers attributed to the location of the products produced, is as follows: By-product and Geographical Area Year ended December 31, 2020 Peru Mexico Argentina Total Silver-gold concentrates $ - $ 188,327 $ - $ 188,327 Silver-lead concentrates 43,055 - - 43,055 Zinc concentrates 23,980 - - 23,980 Gold doré - - 20,297 20,297 Provisional pricing adjustments 608 2,699 - 3,307 Sales to external customers $ 67,643 $ 191,026 $ 20,297 $ 278,966 Year ended December 31, 2019 Peru Mexico Argentina Total Silver-gold concentrates $ - $ 183,197 $ - $ 183,197 Silver-lead concentrates 39,936 - - 39,936 Zinc concentrates 33,686 - - 33,686 Gold doré - - - - Provisional pricing adjustments (740) 1,108 - 368 Sales to external customers $ 72,882 $ 184,305 $ - $ 257,187 Years ended December 31, 2019 Customer 1 $ 191,026 $ 184,304 Customer 2 67,643 72,938 Customer 3 - (55) Customer 4 20,297 - $ 278,966 $ 257,187 |
Cost of Sales
Cost of Sales | 12 Months Ended |
Dec. 31, 2020 | |
Cost of Sales [abstract] | |
Cost of Sales | 24. Cost of Sales Year ended December 31, 2020 Caylloma San Jose Lindero Total Direct mining costs $ 31,738 $ 58,726 $ 4,145 $ 94,609 Salaries and benefits 6,883 6,902 2,801 16,586 Workers' participation 899 6,560 - 7,459 Depletion and depreciation 14,301 27,856 1,621 43,778 Royalties and other taxes 523 4,289 1,506 6,318 Impairment (recovery) of inventories 13 (18) - (5) $ 54,357 $ 104,315 $ 10,073 $ 168,745 Year ended December 31, 2019 Caylloma San Jose Lindero Total Direct mining costs $ 35,712 $ 66,022 $ - $ 101,734 Salaries and benefits 7,557 7,483 - 15,040 Workers' participation 717 5,294 - 6,011 Depletion and depreciation 13,621 30,737 - 44,358 Royalties and other taxes 750 3,385 - 4,135 Impairment of inventories 93 1,235 - 1,328 $ 58,450 $ 114,156 $ - $ 172,606 For the year ended December 31, 2020, the depletion and depreciation includes $2,542 (December 31, 2019 - $2,262) of depreciation relating to right-of-use assets. |
General and Administration
General and Administration | 12 Months Ended |
Dec. 31, 2020 | |
General and Administration [abstract] | |
General and Administration | 25. General and Administration Years ended December 31, 2019 General and administration $ 20,834 $ 22,315 Workers' participation 1,808 1,477 22,642 23,792 Share-based payments 12,444 6,013 $ 35,086 $ 29,805 |
Other Expenses
Other Expenses | 12 Months Ended |
Dec. 31, 2020 | |
Other Expenses [abstract] | |
Other Expenses | 26. Other Expenses Years ended December 31, 2019 Write-down (recovery) of investment in associates $ (194) $ 2,706 Write-off of mineral properties 878 1,554 Loss on disposal of assets and other write-downs 484 67 Write-off of accounts receivable 447 - Other expenses (income) (308) 284 Care and maintenance costs related to COVID-19 3,121 - $ 4,428 $ 4,611 |
Interest and Finance Costs Net
Interest and Finance Costs Net | 12 Months Ended |
Dec. 31, 2020 | |
Interest and Finance Costs Net [Abstract] | |
Interest and Finance Costs Net | 27. Interest and Finance Costs Net Years ended December 31, 2019 Interest income $ 1,217 $ 1,838 Interest expense (1,510) (857) Bank stand-by and commitment fees (369) (415) Accretion expense (751) (590) $ (1,413) $ (24) Interest expense is net of $9,431 of interest which has been capitalized to the construction of the Lindero Mine (December 31, 2019- $5,259). |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Income Taxes [abstract] | |
Income Taxes | 28. Income Tax (a) Reconciliation of Effective Tax Rate Income tax expense differs from the amount that would be computed by applying the applicable Canadian statutory income tax rate to income before income taxes. The significant reasons for the differences are as follows: Years ended December 31, 2019 Net income before tax $ 58,955 $ 43,971 Statutory tax rate Anticipated income tax at statutory rates 15,918 11,872 Non-deductible expenditures 1,326 2,507 Differences between Canadian and foreign tax rates 1,284 1,353 Changes in estimate (192) 856 Effect of change in tax rates 436 345 Inflation adjustment (10,634) (12,158) Impact of foreign exchange 15,081 11,773 Changes in deferred tax assets not recognized 5,909 (2,254) Mining taxes 4,656 3,241 Withholding taxes 3,670 2,367 Other items (52) 273 Total income tax expense $ 37,402 $ 20,175 Total income tax represented by: Current income tax expense $ 38,818 $ 32,631 Deferred tax expense (1,416) (12,456) $ 37,402 $ 20,175 (b) Tax Amounts Recognized in Profit or Loss Years ended December 31, 2019 Current tax expense Current taxes on profit for the year $ 38,603 $ 32,246 Changes in estimates related to prior years 215 385 $ 38,818 $ 32,631 Deferred tax expense Origination and reversal of temporary differences and foreign exchange rate $ (1,500) $ (13,678) Changes in estimates related to prior years (396) 479 Effect of differences in tax rates 44 398 Effect of changes in tax rates 436 345 $ (1,416) $ (12,456) Total Tax expense $ 37,402 $ 20,175 (c) Deferred Tax Balances The significant components of the recognized deferred tax assets and liabilities are: December 31, December 31, 2019 Deferred tax assets: Reclamation and closure cost obligation $ 13,080 $ 9,530 Carried forward tax loss 17,729 14,020 Accounts payable and accrued liabilities 16,437 7,731 Deductibility of resource taxes 3,414 3,140 Lease obligations 5,769 5,317 Other 127 1 Total deferred tax assets $ 56,556 $ 39,739 Deferred tax liabilities: Mineral properties $ (55,134) $ (44,825) Mining and foreign withholding taxes (4,862) (5,281) Equipment and buildings (1,928) (3,621) Convertible debenture (1,544) (1,857) Inflation (11,210) (4,939) Other (1,377) (131) Total deferred tax liabilities $ (76,055) $ (60,654) Net deferred tax liabilities $ (19,499) $ (20,915) 2019 Classification: Deferred tax assets $ - $ - Deferred tax liabilities (19,499) (20,915) Net deferred tax liabilities $ (19,499) $ (20,915) The Company's movement of net deferred tax liabilities is described below: 2019 At January 1 $ 20,915 $ 31,444 Deferred income tax (recovery) expense through income statement (1,416) (12,456) Deferred income tax expense through equity - 1,927 At December 31 $ 19,499 $ 20,915 (d) Unrecognized Deferred Tax Assets and Liabilities The Company recognizes tax benefits on losses or other deductible amounts where it is more likely than not that the deferred tax asset will be realized. The Company’s unrecognized deductible temporary differences and unused tax losses for which no deferred tax asset is recognized consists of the following amounts: December 31, December 31, 2019 Unrecognized deductible temporary differences and unused tax losses: Non capital losses $ 90,192 $ 72,156 Provisions 14,488 5,074 Share issue costs 3,894 2,174 Lease obligation 555 656 Derivative liabilities 1,111 894 Capital losses 255 2,496 Investments in equity securities and associates 1,534 1,397 Unrecognized deductible temporary differences $ 112,029 $ 84,847 As at December 31, 2020, the Company has temporary differences associated with investments in subsidiaries for which an income tax liability has not been recognized as the Company can control the timing of the reversal of the temporary differences and the Company plans to reinvest in its foreign subsidiaries. The temporary difference associated with investments in subsidiaries aggregate as follow: December 31, December 31, 2019 Mexico $ 248,880 $ 198,214 Peru 62,414 54,618 (e) Tax Loss Carry Forwards Tax losses have the following expiry dates: December 31, December 31, Year of expiry Year of expiry 2019 Canada 2026 - 2040 $ 90,300 2026 - 2039 $ 84,200 Argentina 2021 - 2025 68,900 2020 - 2024 42,500 Mexico 2021 - 2030 367 2021 - 2029 369 Peru - 2021 70 In addition, as at December 31, 2020, the Company has accumulated Canadian resource related expenses of $8,466 (December 31, 2019- $8,188) for which the deferred tax benefit has not been recognized . |
Segmented Information
Segmented Information | 12 Months Ended |
Dec. 31, 2020 | |
Segmented Information [abstract] | |
Segmented Information | 29. Segmented Information The following summary describes the operations of each reportable segment: · Minera Bateas S.A.C. (“Bateas”) – operates the Caylloma silver, lead and zinc mine · Compania Minera Cuzcatlan S.A. de C.V. (“Cuzcatlan”) – operates the San Jose silver-gold mine · Mansfield Minera S.A. (“Mansfield”) – construction of the Lindero mine · Corporate – corporate stewardship As a result of the Company electing to adopt IAS 16 Amendment, the Company recognized $20,297 of gold sales and $10,073 of related cost of sales on its income statement while the Company is preparing the Lindero Mine for its intended use (December 31, 2019 - $nil and $nil, respectively) (Note 4(t)(ii)). Year ended December 31, 2020 Corporate Bateas Cuzcatlan Mansfield Total Revenues from external customers $ - $ 67,643 $ 191,026 $ 20,297 $ 278,966 Cost of sales before depreciation and depletion - (40,056) (76,459) (8,452) (124,967) Depreciation and depletion in cost of sales - (14,301) (27,856) (1,621) (43,778) General and administration (23,141) (3,891) (8,054) - (35,086) Other income (expenses) 42 (1,215) (3,742) (12,982) (17,897) Finance items (1,689) (698) (104) 4,208 1,717 Segment (loss) profit before taxes (24,788) 7,482 74,811 1,450 58,955 Income taxes (3,841) (4,312) (28,926) (323) (37,402) Segment (loss) profit after taxes $ (28,629) $ 3,170 $ 45,885 $ 1,127 $ 21,553 Year ended December 31, 2019 Corporate Bateas Cuzcatlan Mansfield Total Revenues from external customers $ - $ 72,882 $ 184,305 $ - $ 257,187 Cost of sales before depreciation and depletion - (44,829) (83,419) - (128,248) Depreciation and depletion in cost of sales - (13,621) (30,737) - (44,358) General and administration (17,438) (4,569) (7,798) - (29,805) Other income (expenses) (4,402) (664) (1,928) (13,588) (20,582) Finance items (80) (1,552) 385 11,024 9,777 Segment (loss) profit before taxes (21,920) 7,647 60,808 (2,564) 43,971 Income taxes (511) (2,761) (18,032) 1,129 (20,175) Segment (loss) profit after taxes $ (22,431) $ 4,886 $ 42,776 $ (1,435) $ 23,796 December 31, 2020 Corporate Bateas Cuzcatlan Mansfield Total Total assets $ 27,328 $ 125,286 $ 280,602 $ 622,122 $ 1,055,338 Total liabilities $ 186,708 $ 42,710 $ 49,500 $ 50,650 $ 329,568 Capital expenditures $ 122 $ 6,927 $ 15,801 $ 71,865 $ 94,715 December 31, 2019 Corporate Bateas Cuzcatlan Mansfield Total Total assets $ 60,134 $ 116,501 $ 252,100 $ 507,330 $ 936,065 Total liabilities $ 162,210 $ 36,747 $ 42,264 $ 59,418 $ 300,639 Capital expenditures $ 1,333 $ 11,845 $ 14,046 $ 211,413 $ 238,637 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Measurements [abstract] | |
Fair Value Measurements | 30. Fair Value Measurements Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction in the principal (or most advantageous) market at the measurement date under current market conditions (an exit price) regardless of whether that price is directly observable or estimated using another valuation technique. The fair value hierarchy establishes three levels to classify the inputs to valuation techniques used to measure fair value. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 inputs are quoted prices in markets that are not active, quoted prices for similar assets or liabilities in active markets, inputs other than quoted prices that are observable for the asset or liability (interest rate, yield curves), or inputs that are derived principally from or corroborated observable market data or other means. Level 3 inputs are unobservable (supported by little or no market activity). The fair value hierarchy gives the highest priority to Level 1 inputs and the lowest priority to Level 3 inputs. The following sets up the methods and assumptions used to estimate the fair value of Level 2 and Level 3 financial instruments. Financial asset or liability Methods and assumptions used to estimate fair value Trade receivables Trade receivables arising from the sales of metal concentrates are subject to provisional pricing, and the final selling price is adjusted at the end of a quotational period. These are marked to market at each reporting date based on the forward price corresponding to the expected settlement date. Investments in equity securities Investments in equity securities are recorded at fair value based on the quoted market price at the end of each reporting period with changes in fair value through other comprehensive income. Interest rate swap, metal and fuel contracts Fair value is calculated as the present value of the estimated contractual cash flows. Estimates of future cash flows are based on quoted swap rates, futures prices and interbank borrowing rates. These are discounted using a yield curve, and adjusted for credit risk of the Company or the counterparty. Convertible Debentures The fair value of the convertible debentures represents both the debt and equity components of the convertible debentures and has been determined with reference to the quoted market price of the convertible debentures. During the years ended December 31, 2020, and 2019, there were no transfers of amounts between Level 1, Level 2, and Level 3 of the fair value hierarchy. The following tables show the carrying amounts and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy. Fair value information for financial assets and financial liabilities not measured at fair value is not presented if the carrying amount is a reasonable approximation of fair value. Carrying value Fair value December 31, 2020 Fair Value through OCI Fair value Amortized Total Level 1 Level 2 Level 3 Carrying value Financial assets measured at Fair Value Investments in equity securities $ 1,059 $ - $ - $ 1,059 $ 1,059 $ - $ - $ - Trade receivables concentrate and doré sales - $ 26,309 - 26,309 - 26,309 - - $ 1,059 $ 26,309 $ - $ 27,368 $ 1,059 $ 26,309 $ - $ - Financial assets not measured at Fair Value Cash and cash equivalents $ - $ - $ 131,898 $ 131,898 $ - $ - $ - $ 131,898 Other receivables - - 4,108 4,108 - - - 4,108 $ - $ - $ 136,006 $ 136,006 $ - $ - $ - $ 136,006 Financial liabilities measured at Fair Value Interest rate swap liability $ (1,084) $ - $ - $ (1,084) $ - $ (1,084) $ - $ - Metal forward sales contracts liability (124) (124) (124) - Fuel forward contracts liability (52) (52) (52) - $ (1,084) $ (176) $ - $ (1,260) $ - $ (1,260) $ - $ - Financial liabilities not measured at Fair Value Trade payables $ - $ - $ (26,140) $ (26,140) $ - $ - $ - $ (26,140) Payroll payable - - (17,676) (17,676) - - - (17,676) Credit facilities - - (119,850) (119,850) - (120,000) - - Convertible debentures - - (38,766) (38,766) - (78,315) - - Other payables - - (22,784) (22,784) - - - (22,784) $ - $ - $ (225,216) $ (225,216) $ - $ (198,315) $ - $ (66,600) Carrying value Fair value December 31, 2019 Fair Value through OCI Fair value Amortized Total Level 1 Level 2 Level 3 Carrying value Financial assets measured at Fair Value Trade receivables concentrate sales $ - $ 33,642 $ - $ 33,642 $ - $ 33,642 $ - $ - $ - $ 33,642 $ - $ 33,642 $ - $ 33,642 $ - $ - Financial assets not measured at Fair Value Cash and cash equivalents $ - $ - $ 83,404 $ 83,404 $ - $ - $ - $ 83,404 Other receivables - - 2,419 2,419 - - - 2,419 $ - $ - $ 85,823 $ 85,823 $ - $ - $ - $ 85,823 Financial liabilities measured at Fair Value Interest rate swap liability $ (894) $ - $ - $ (894) $ $ (894) $ - $ - $ (894) $ - $ - $ (894) $ - $ (894) $ - $ - Financial liabilities not measured at Fair Value Trade payables $ - $ - $ (37,357) $ (37,357) $ - $ - $ - $ (37,357) Payroll payable - - (15,801) (15,801) - - - (15,801) Share units payable - - (5,075) (5,075) - (5,075) - - Credit facilities - - (109,430) (109,430) - (110,000) - - Convertible debentures - - (37,105) (37,105) - (38,858) - - Other payables - - (22,403) (22,403) - - - (22,403) $ - $ - $ (227,171) $ (227,171) $ - $ (153,933) $ - $ (75,561) |
Management of Financial Risk
Management of Financial Risk | 12 Months Ended |
Dec. 31, 2020 | |
Management of Financial Risk [abstract] | |
Management of Financial Risk | 31. Management of Financial Risk The Board of Directors has overall responsibility for the establishment and oversight of the Company’s risk management framework and reviews the Company’s policies on an ongoing basis. The Company is exposed to certain financial risks, including credit risk, liquidity risk, currency risk, metal price risk, and interest rate risk. (a) Credit Risk Credit risk is the risk of an unexpected loss if a customer or third party to a financial instrument fails to meet its contractual obligations. All our trade accounts receivables from concentrate sales are held with large international metals trading companies. The Company’s cash and cash equivalents and short-term investments are held through large financial institutions. These investments mature at various dates within one year. The Company’s maximum exposure to credit risk as at December 31, 2020 and 2019 is as follows: December 31, December 31, (Expressed in $ millions) 2019 Cash and cash equivalents $ 131,898 $ 83,404 Accounts receivable and other assets 76,555 47,707 Income tax receivable - 2,553 Other non-current receivables 5,495 40,744 $ 213,948 $ 174,408 The carrying amount of financial assets recorded in the financial statements represents the Company’s maximum exposure to credit risk. We limit our exposure to counterparty credit risk on cash and term deposits by only dealing with financial institutions with high credit ratings and through our investment policy of purchasing only instruments with a high credit rating. Almost all of our concentrate are sold to large well-known concentrate buyers. (a) Liquidity Risk Liquidity risk is the risk that we will not be able to meet our financial obligations as they come due. We manage our liquidity risk by continually monitoring forecasted and actual cash flows. We have in place a planning and budgeting process to help determine the funds required to support our normal operating requirements and our development plans. We aim to maintain sufficient liquidity to meet our short term business requirements, taking into account our anticipated cash flows from operations, our holdings of cash and cash equivalents, and our committed and anticipated liabilities. The Company manages its liquidity risk by continuously monitoring forecasted and actual cashflows. A rigorous reporting, planning and budgeting process are in place to help facilitate forecasting funding requirements, to support operations on an ongoing basis and expansion plans, if any. As at December 31, 2020, the Company expects the following maturities of its financial liabilities, lease obligations, and other contractual commitments, excluding payments relating to interest: Expected payments due by year as at December 31, 2020 Less than After 1 year 1 - 3 years 4 - 5 years 5 years Total Trade and other payables $ 65,275 $ - $ - $ - $ 65,275 Debt - 120,000 46,000 - 166,000 Income taxes payable 23,808 - - - 23,808 Lease obligations 7,367 6,166 4,043 14,127 31,703 Other liabilities - 2,523 - - 2,523 Capital commitments, Lindero 1 558 - - - 558 Closure and reclamation provisions 433 5,444 10,692 23,781 40,350 $ 97,441 $ 134,133 $ 60,735 $ 37,908 $ 330,217 Expected payments due by year as at December 31, 2019 Less than After 1 year 1 - 3 years 4 - 5 years 5 years Total Trade and other payables $ 65,286 $ - $ - $ - $ 65,286 Debt - 110,000 46,000 - 156,000 Income tax payable 12,400 - - - 12,400 Lease obligations 9,313 9,424 4,097 14,958 37,792 Other liabilities - 499 - - 499 Capital commitments, Lindero 24,467 - - - 24,467 Provisions 2,699 7,565 1,846 21,255 33,365 $ 114,165 $ 127,488 $ 51,943 $ 36,213 $ 329,809 Operating leases includes leases for office premises, computer equipment and other equipment used in the normal course of business. (b) Currency risk The functional and reporting currency for all entities within the consolidated group is the US dollar. We are exposed to fluctuations in foreign exchange rates as a portion of our expenses are incurred in Canadian dollars, Peruvian soles, Argentine peso and Mexican peso. A significant change in the foreign exchange rates between the United States dollar relative to the other currencies could have a material effect on the Company’s profit or loss, financial position, or cash flows. We have not hedged our exposure to foreign currency fluctuations. As at December 31, 2020 and 2019, the Company was exposed to currency risk through the following assets and liabilities denominated in foreign currencies: December 31, 2020 (In millions of local currency) Canadian Peruvian Mexican Argentine Cash and cash equivalents 1,402 9,658 3,117 2,326 Marketable securities 1,348 - - - Trade and VAT receivables 53 3,563 108,569 3,281,760 Income tax receivable - 6,915 - - VAT - long term receivable - - 67,542 - Trade and other payables (17,838) (28,046) (311,747) (764,331) Due to related parties (12) - - - Provisions, current - 100 (4,871) (77,549) Income tax payable - (275) (297,083) - Other liabilities (207) - (5,160) - Provisions, non current - (754) (67,102) - Total foreign currency exposure (15,254) (8,839) (506,735) 2,442,206 US$ equivalent of foreign currency exposure (11,981) (2,439) (25,402) 29,091 December 31, 2019 (In millions of local currency) Canadian Peruvian Mexican Argentine Cash and cash equivalents 626 2,293 13,103 11,762 Trade and other receivables 310 1,827 3,972 117,539 Income tax receivable - 8,451 - - Investments in associates 1,373 - - - VAT - long term receivable - - 10,715 2,039,929 Trade and other payables (8,549) (19,385) (214,679) (1,454,444) Due to related parties (18) - - - Provisions, current - - (3,942) - Income tax payable - - (161,900) - Other liabilities - - (4,217) - Provisions, non current - - (87,459) - Total foreign currency exposure (6,258) (6,814) (444,407) 714,786 US$ equivalent of foreign currency exposure (4,818) (2,054) (23,582) 11,815 Sensitivity as to change in foreign currency exchange rates on our foreign currency exposure as at December 31, 2020 is provided below: Effect on foreign denominated Currency Change items Mexican Peso +/- 10% $ 2,309 Peruvian Soles +/- 10% $ 222 Argentinian Peso +/- 10% $ 2,645 Canadian Dollar +/- 10% $ 1,089 Due to the volatility of the exchange rate for Argentine Peso, the Company is applying additional measures in cash management to minimize potential losses arising from the conversion of funds. As discussed in note 31, with the capital controls in effect when the Company commences production at the Lindero Mine, the Company will be required to convert the equivalent value of foreign currency received from the proceeds of the sale of all gold doré from the Lindero Mine. (c) Metal Price Risk The Company is exposed to metal price risk with respect to the sales of silver, gold, lead, and zinc concentrates. The following table summarizes the effect on provisionally priced sales and accounts receivables of a 10% change in metal prices from the prices used at December 31, 2020: Metal Change Effect on Sales Silver +/- 10% $ 1,338 Gold +/- 10% $ 561 Lead +/- 10% $ 195 Zinc +/- 10% $ 253 During the year ended December 31, 2020, the Company recognized positive sales adjustments of $3,307 From time to time, the Company mitigates the price risk associated with its base metal production by entering into forward sale and collar contracts for some of its forecasted base metal production and non-metal commodities. During December 2020, the Company entered into the following contracts: ● ● ● ● ● On February 11, 2021, the Company entered into a zero-cost collar for 6,237 tonnes of lead with a floor price of $2,000 per tonne and a cap of $2,125 per tonne, maturing monthly from February 1, 2021 to December 31, 2022. (d) 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. Currently, the Company’s interest rate exposure mainly relates to interest earned on its cash, cash equivalent, and short-term investment balances, interest paid on its LIBOR-based debt, and the mark-to-market value of derivative instruments which depend on interest rates. The Company has entered into an interest rate swap for the $40,000 non-revolving credit facility to mitigate the interest rate risk on its debt. (e) Capital Management The Company’s objective when managing its capital is to maintain its ability to continue as a going concern while at the same time maximizing the growth of its business and providing returns to its shareholders. The Company manages its capital structure and makes adjustments based on changes to its economic environment and the risk characteristics of the Company’s assets. Effective December 23, 2019, changes to Argentina’s tax laws proposed by the new Argentine Government were implemented. The changes ratified and extended legislation which was to expire on December 31, 2019 and allow the Argentine Central Bank to regulate funds coming into and flowing out of Argentina in order to maintain stability and support the economic recovery of the country. These capital controls are in effect until December 31, 2025 and have the effect of: requiring exporters to convert the equivalent value of foreign currency received from the export into Argentine Pesos; requiring the prior consent of the Argentine Central Bank to the payment of cash dividends and distributions of currency out of Argentina; requiring Argentine companies to convert foreign currency loans received from abroad into Argentine Pesos; and restricting the sale of Argentine Pesos for foreign currency. The Company’s capital requirement is effectively managed based on the Company having a thorough reporting, planning and forecasting process to help identify the funds required to ensure the Company is able to meet its operating and growth objectives. The Company’s capital structure consists of equity comprising of share capital, reserves and retained earnings as well as debt facilities, equipment financing obligations less cash, cash equivalents and short-term investments. December 31, December 31, 2019 Equity $ 725,770 $ 635,426 Debt 158,616 146,535 Lease obligations 19,497 23,879 Less: cash and cash equivalents (131,898) (83,404) $ 771,985 $ 722,436 As discussed above, the Company operates in Argentina where the new Argentine government has ratified and extended legislation to December 31, 2025 to allow the Argentine Central Bank to regulate funds coming into and flowing out of Argentina. Other than the restrictions related to these capital controls and complying with the debt covenants under the credit facilities, the Company is not subject to any externally imposed capital requirements. As at December 31, 2020 and 2019, the Company was in compliance with its debt covenants. |
Supplemental Cashflow Informati
Supplemental Cashflow Information | 12 Months Ended |
Dec. 31, 2020 | |
Supplemental Cashflow Information [abstract] | |
Supplemental Cashflow Information | 32. Supplemental Cashflow Information The changes in liabilities arising from financing activities, including both changes arising from cash flows and non-cash changes for the years as set out below are as follows: Bank loan Convertible debentures Lease Derivatives As at December 31, 2018 $ 69,302 $ - $ 16,082 $ 224 Additions 40,000 46,000 14,944 - Interest 128 347 1,848 - Payments - - (9,048) - Transaction costs - (2,101) - - Equity component - (7,141) - - Foreign exchange - - 53 - Changes in fair value - - - 670 As at December 31, 2019 109,430 37,105 23,879 894 Additions 65,000 - 2,684 176 Terminations - - (497) - Interest 420 1,661 1,920 563 Payments (55,000) - (8,438) (560) Foreign exchange - - (51) - Changes in fair value - - - 187 As at December 31, 2020 $ 119,850 $ 38,766 $ 19,497 $ 1,260 The significant non-cash financing and investing transactions during the year are as follows: December 31, December 31, 2019 Mineral properties, plant and equipment changes in closure and $ (9,339) $ (14,807) Fair value of stock options allocated to share capital $ 427 $ - Additions on right of use assets $ (2,715) $ (22,260) Fair value of share units allocated to share capital $ 3,081 $ 1,678 |
Contingencies and Capital Commi
Contingencies and Capital Commitments | 12 Months Ended |
Dec. 31, 2020 | |
Contingencies and Capital Commitments [abstract] | |
Contingencies and Capital Commitments | 33. Contingencies and Capital Commitments (a) Caylloma Letter of Guarantee The Caylloma Mine closure plan was updated in December 2018, with total undiscounted closure costs of $11,719 consisting of progressive closure activities of $3,774, final closure activities of $7,156, and post-closure activities of $789. Pursuant to the closure regulations, the Company is required to provide a guarantee of $9,933 to the Peruvian Government for 2020. In January 2020, the Company established a security bond in the amount of $1,539 and a bank letter of guarantee in the amount of $8,394, in compliance with local regulation and to collateralize Bateas’ mine closure plan. The security bond and the letter of guarantee expire on January 28, 2022. In December 2020, the Company updated the closure plan which was submitted to the Mining Ministry for approval. The Company expects the approval to occur during 2021. (b) San Jose Letter of Guarantee The Company has established three letters of guarantee in the aggregate amount of $1,168 to fulfill its environmental obligations under the terms and conditions of the Environmental Impact Statements issued by the Secretaria de Medio Ambiente y Recursos Naturales (“SEMARNAT”) in 2009 in respect of the construction of the San Jose mine, and in 2017 and 2020 with respect to the expansion of the dry stack tailings facility at the San Jose mine. The letters of guarantee expire on December 31, 2023, June 15, 2022, and May 13, 2021, respectively. (c) Other Commitments As at December 31, 2020, the Company had capital commitments of $558, $386, and $134 for civil work, equipment purchases and other services at the Lindero Mine and the Caylloma and San Jose Mines, respectively, which are expected to be expended within one year. (d) Tax Contingencies Peru The Company was assessed $1,199 (4,343 Peruvian Soles), including interest and penalties of $664 (2,405 Peruvian Soles), for the 2010 tax year by SUNAT, the Peruvian tax authority, with respect to the deduction of certain losses arising from derivative instruments. The Company has applied to the Peruvian tax court to appeal the assessment. On January 22, 2019, the Peruvian tax court reaffirmed SUNAT’s position and denied the deduction. The Company believes the assessment is inconsistent with Peruvian tax law and that it is probable the Company will succeed on appeal through the Peruvian legal system. The Company has paid the disputed amount in full and has initiated proceedings through the Peruvian legal system to appeal the decision of the Peruvian tax court. As at December 31, 2020, the Company has recorded the amount paid of $1,199 (4,343 Peruvian Soles) in long-term receivables and other, as the Company believes it is probable that the appeal will be successful (note 12). ( e) SGM Royalty In 2017 the Mexican Geological Service (“SGM”) advised the Company that a previous owner of one of the Company’s mineral concessions located at the San Jose Mine in Oaxaca, Mexico had granted the SGM a royalty of 3% of the billing value of minerals obtained from the concession. The Company, supported by legal opinions from three independent law firms, has previously advised the Mexican mining authorities that it is of the view that no royalty is payable, and in 2018 initiated administrative and legal proceedings (the “Administrative Proceedings”) in the Mexican Federal Administrative Court (“FAC”) against the Dirección General de Minas (“DGM”) to remove reference to the royalty on the title register. The proceedings are progressing in accordance with the procedures of the FAC. In January 2020, the Company received notice from the DGM seeking to cancel the mining concession if the royalty, in the Mexican peso equivalent of $30,000 plus VAT (being the amount of the claimed royalty from 2011 to 2019), was not paid before March 15, 2020. In February 2020, the Company initiated legal proceedings (the “Amparo Proceedings”) against the DGM in the Juzgado Séptimo de Distrito en Materia Administrativa en la Ciudad de México (“District Court”) to contest and extinguish the cancellation procedure on the grounds that the royalty is not valid, and also to stay the cancellation process. The District Court in Mexico City admitted the Company’s legal proceedings on March 2, 2020 and granted a permanent stay of execution, which protects the Company from the cancellation of the concession until a final non-appealable resolution is reached on the legality of the DGM’s cancellation procedure. On November 27, 2020, the District Court at first instance found that the Company suffered no harm from the initiation of the cancellation procedure and dismissed the proceedings (the “Procedural Finding”) without deciding on the merit of the Amparo Proceedings and on the validity of the royalty. The Procedural Finding does not affect the permanent stay of execution, which remains in place. The Company’s Mexican advisors are of the view that the decision of the District Court is flawed. The Company’s legal position with respect to the disputed royalty remains unchanged. The Company intends to vigorously defend its position and has filed an appeal to the Procedural Finding with the Collegiate Court in Mexico. The previously obtained stay of execution protects the Company from the cancellation of the concession and remains in place until all avenues of appeal have been exhausted. In the event that the Company does not prevail in the appeal, it may be required to pay the disputed royalty in order to preserve the mining concession. If the Company is required to pay the royalty, it will do so from available capital resources. The Company has determined that it is more likely than not that it will succeed in these proceedings; therefore, no provision has been recorded as at December 31, 2020 and December 31, 2019. (f) Other Contingencies The Company is subject to various investigations, royalties and other claims, legal, labor, and tax proceedings covering matters that arise in the ordinary course of business activities. Each of these matters is subject to various uncertainties, and it is possible that some of these matters may be resolved unfavorably for the Company. Certain conditions may exist as of the date these interim financial statements are issued that may result in a loss to the Company. None of these matters is expected to have a material effect on the results of operations or financial conditions of the Company. |
Covid-19 Uncertainties and Li_2
Covid-19 Uncertainties and Liquidity Risk (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
COVID-19 Uncertainties and Liquidity Risk [Abstract] | |
COVID-19 Uncertainties | COVID-19 Uncertainties On March 11, 2020, the World Health Organisation declared COVID-19 as a pandemic. In response to the pandemic, the Governments of Mexico, Peru and Argentina implemented measures to curb the spread of COVID-19, which measures included among others, the closure of international borders, the temporary suspension of all non-essential business, including mining, and the declaration of mandatory quarantine periods. To comply with these measures, the Company temporarily suspended mining operations at the San Jose and Caylloma mines and halted construction activities at the Lindero Mine during the second quarter of 2020. The San Jose Mine was placed on care and maintenance for a total of 54 days, while processing activities continued to operate at the Caylloma Mine with a reduced task force drawing from its ore stockpile and mining subsequently restarted with a reduced taskforce. Mining and construction activities at the Lindero Mine resumed in May 2020 with strict adherence to health and safety protocols established to mitigate the risk of spreading the COVID-19 virus. On July 6, 2020, the Company voluntarily suspended operations at the Caylloma Mine for 21 days to sanitize and disinfect the mine and make infrastructure improvements to accommodate social distancing guidelines. Mining and ore processing operations at the mine resumed on July 27, 2020. Each site is operating in accordance with local government containment measures and the Company’s health and safety protocols. The Company has not experienced any significant disruption to product shipments since the onset of the COVID-19 pandemic. The Company has also increased its supply of consumables inventory to avoid any supply chain disruption and is working to manage the logistical challenges presented by the closure of trade borders. Border restrictions, if ongoing, could result in supply chain delays, impact the movement of our mine workforce and disrupt production of our saleable products. On June 4, 2020, the Company completed an amendment to the financial covenants under its Credit Facilities in response to the uncertainty related to COVID-19. The total debt to EBITDA ratio has been removed and replaced with Net Debt to EBITDA, Net Senior Secured Debt to EBITDA, and EBITDA to Interest Expense ratios. The Company was in compliance with the financial covenants as at December 31, 2020 (note 17 a)). |
Liquidity Risk | Liquidity Risk Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. The Company manages liquidity risk by the preparation of internally generated cash flow forecasts. These short-term cash flow forecasts consider the estimation of future operating costs, financing costs, development capital and cash receipts from sales revenue. Sensitivity analyses are also performed, including the impact of volatility in estimated commodity prices. On December 31, 2020, $30,000 of the $110,000 revolving credit facility matured and was not renewed (note 17(a)). The remaining $80,000 under the revolving credit facility was fully drawn as at December 31, 2020. The Company had $131,898 of liquidity comprised of cash and cash equivalents as at December 31, 2020. The Company believes that its cash and cash equivalents and credit facility will provide sufficient liquidity to meet the Company’s minimum obligations for the next 12 months from December 31, 2020. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Significant Accounting Policies [abstract] | |
Basis of Presentation | (a) Basis of Consolidation These financial statements include the accounts of the Company. All significant intercompany transactions, balances, revenues, and expenses have been eliminated upon consolidation. Subsidiaries are included in the consolidated financial results of the Company from the effective date of acquisition or control and up to the effective date of disposition or loss of control. Control is achieved when the Company has power over the investee, is exposed to or has rights to variable returns from its involvement with an investee, and had the ability to affect those returns through its power over the investee. Fortuna Silver Mines Inc. is the ultimate parent entity of the group. At December 31, 2020, the principal subsidiaries of the Company, their geographic locations, and the ownership interests held by the Company, were as follows: Name Location Ownership Principal Activity Minera Bateas S.A.C. ("Bateas") Peru 100% Caylloma Mine Compania Minera Cuzcatlan S.A. de C.V. ("Cuzcatlan") Mexico 100% San Jose Mine Mansfield Minera S.A. ("Mansfield") Argentina 100% Lindero Mine |
Foreign Currency Translation | (b) Foreign Currency Translation Transactions in foreign currencies are initially recorded in the functional currency at the exchange rate at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange at each financial position date. Foreign exchange gains or losses on translation to the functional currency of an entity are recorded in profit or loss. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rate as at the date of the initial transaction. |
Cash, Cash Equivalents and Short Term Investments | (c) Cash, Cash Equivalents and Short-Term Investments Cash and cash equivalents include cash on hand, demand deposits, and money market instruments with maturities from the date of acquisition of 90 days or less, which are readily convertible to known amounts of cash and are subject to insignificant changes in value. Short-term investments consist of term deposits with original maturities in excess of three months but less than twelve months. Cash, cash equivalents and short-term investments are designated as amortized cost. |
Inventories | (d) Inventories Inventories include mineral concentrates, doré, leach pad, gold in-circuit, stockpiled ore, materials and supplies, and are valued at the lower of average production cost and estimated net realizable value. Production costs allocated to metal inventories include direct mining costs, direct labor and material costs, mine site overhead, depletion and amortization. Stockpiled ore that is not expected to be processed within the next twelve months is classified as non-current. Costs allocated to materials and supplies are based on weighted average costs and include all costs of purchase and other costs in bringing these inventories to their existing location and condition. In the heap leaching process, ore is stacked on the leach pad and treated with a chemical solution that dissolves the gold contained within the ore. The resulting pregnant solution is further processed in a plant where the gold is recovered. The cost of leach pad inventory is based on cost of mining, crushing and leaching, including applicable depletion and amortization, and is removed as ounces of gold are recovered at the weighted average cost per recoverable ounce of gold on the leach pad. Estimates of recoverable gold in the leach pad are calculated based on the quantities of ore placed on the leach pad (measured tonnes added to the leach pad), the estimated grade of ore placed on the leach pad (based on assay data), and an estimated recovery percentage (based on estimated recovery assumptions from metallurgical testing). The nature of the leaching process inherently limits the ability to precisely monitor inventory levels. As a result, estimates are refined based on actual results and engineering studies over a period of time. The final recovery of gold from leach pad will not be known until the leaching process is concluded at the end of the mine life. If the carrying value exceeds the net realizable amount, a write-down is recognized. The write-down may be reversed in a subsequent period if the circumstances which caused the write-down no longer exist, to the extent that the related inventory has not been sold. Net realizable value is calculated as the estimated price at the time of sale based on prevailing metal prices less estimated future costs to convert the inventories into saleable form and estimated costs to sell. |
Investment in Associates | (e) Investment in Associates Associates are those entities in which the Company has significant influence, but not control or joint control, over the entity’s financial and operating policies. Interests in associates are accounted for using the equity method. They are initially recognized at cost, which includes transaction costs. Subsequent to initial recognition, the consolidated financial statements include the Company’s share of the profit or loss and other comprehensive income of equity-accounted investees, until the date on which significant influence ceases. An impairment test is performed when there is objective evidence of impairment, such as significant adverse changes in the environment in which the associate operates or there is a significant or prolonged decline in the fair value of the investment below its carrying amount. When there is objective evidence that an investment is impaired, a quantitative impairment test is performed and a loss is recorded if the recoverable amount is lower than the carrying amount. Impairment losses are reversed if the recoverable amount subsequently exceeds the carrying amount. |
Exploration and Evaluation Assets | (f) Exploration and Evaluation Assets Exploration expenditures on properties for which the Company does not have title or rights to are expensed when incurred. Significant payments related to the acquisition of land and mineral rights and the costs to conduct a preliminary evaluation to determine that the property has potential to develop an economic ore body are capitalized as incurred. The time between initial acquisition and a full evaluation of a property’s potential is dependent on many factors including, but not limited to, location relative to existing infrastructure, the property’s stage of development, geological controls and metal prices. The Company capitalizes the cost of acquiring, maintaining its interest and exploring mineral properties as exploration and evaluation assets until such time as the properties are placed into development, abandoned, sold, or considered to be impaired in value. If a mineable ore body is discovered, exploration and evaluation costs are reclassified to mining properties. The Company uses the following criteria in its assessment: · the property has mineral reserves as referred to in Canadian National Instrument 43‑101 Standards of Disclosure for Mineral Projects (“NI 43-101”), and · when legal, permitting and social matters have been resolved sufficiently to allow mining of the ore body. Exploration and evaluation assets are tested for impairment when an indicator of impairment is identified and upon reclassification to mining properties. If no mineable ore body is discovered, all previously capitalized costs are expensed in the period in which it is determined the property has no economic value. Proceeds received from the sale of interests in exploration and evaluation assets are credited to the carrying value of the mineral properties, plant and equipment. Exploration costs that do not relate to any specific property are expensed as incurred. |
Mineral Properties, Plant and Equipment | (g) Mineral Properties, Plant and Equipment i. Operational Mining Properties and Mine Development For operating mines, all mineral property expenditures are capitalized and amortized based on a unit-of-production method considering the expected production to be obtained over the life of the mineral property. The expected production includes proven and probable reserves and for the San Jose and Caylloma mines the portion of inferred resources expected to be extracted economically as part of the production cost. Capitalized costs of producing properties are amortized on a unit-of-production basis over proven and probable reserves and the portion of inferred resources where it is considered highly probable that those resources are expected to be extracted economically. The expected production to be obtained over the life of the mineral property is based on our life-of-mine production plans which for San Jose and Caylloma include a portion of inferred resources, and therefore differ from the life-of-mine plans we publish as part of our NI 43‑101 compliant technical reports which are based on reserves only. The decision to use inferred resources, and the portion of inferred resources to be included varies for each operation and is based on the geological characteristics of the ore body, the quality and predictability of inferred resources, and the conversion of inferred resources into measured and indicated (“M&I”) that we have historically achieved in the past. Many factors are taken into account during resource classification including; the quality of drilling and sampling, drill/sample spacing, sample preparation and analysis, geological logging and modelling, database construction, geological interpretation and modelling, statistical/geostatistical analysis, interpolation method, local estimation, engineering studies, economic parameters, and reconciliation with actual results. Once the integrity of the data has been established, two important considerations around classification of resources are geologic continuity and possible variation of thickness and grade between samples. For our inferred resources at San Jose and Caylloma we are able to achieve a significant level of confidence on the existence of mineable material as geological continuity has been established by consistent drill hole intercepts both along strike and down-dip which provides us with reasonable confidence in the location of the structures. The vast majority of the inferred resources are interpolated, estimated between existing drill hole intercepts, as opposed to extrapolated where the grades are estimated beyond the furthest sample point, adding to our confidence in the geologic continuity of the veins. Furthermore, San Jose and Caylloma are not structurally complex deposits where faulting has disrupted geologic continuity. With regards to the variation of thickness and grade between samples, we use statistical means to calculate the probability that tonnage and grade content falls within a certain accuracy over a given timeframe. If the potential variation is estimated to be within ± 25% at 90 percent confidence globally, we classify it as an inferred resource. This is equivalent to stating that we have 95 percent confidence that greater than 75% of the inferred tonnes, grade, and metal content will ultimately be recovered by the mine and hence that the same percentage or higher will be converted from an inferred resource to an indicated resource through infill drilling as per our policy of upgrading prior to production. As part of our process to include inferred resources into our life-of-mine production plans, we apply an economic cut-off to identify only the material that can be considered profitable to mine within our mine designs, and at this time we apply a conversion or “risk” factor to the mining blocks comprised of inferred resources that we include in such mine production plans. This conversion factor is based on the predictability of conversion derived from statistical estimates of confidence as described above and the support from historic conversion rates of inferred resources into M&I at each of our mines. The conversion factors used in our 2020 and 2019 life-of-mine plans were 90% at San Jose and 80% at Caylloma. The percentage of inferred resources included as a component of the total mineable inventory (reserve + resource) considered in the 2020 life-of-mine evaluation for each operation as of December 31, 2020, was San Jose 35% (2019: 29%); Caylloma 52% (2019: 45%). The Company reviews the conversion factors including past experience in assessing the future expected conversion of inferred resources to be used in the life-of-mine plans for inclusion of inferred resources once a year in light of new geologic information and conversion data and when events or circumstances indicate that a review should be made. The Company continually monitors expected conversion and any changes in estimates that arise from this review are accounted for prospectively. Significant estimation is involved in determining resources and in determining the percentage of resources ultimately expected to be converted to reserves, which we determine based on careful consideration of both internal and external technical and economic data. Estimation of future conversion of resources is inherently uncertain and involves significant judgment and actual outcomes may vary from these judgments and estimates and such outcomes may have a material impact on the results. Revisions to these estimates are accounted for in the period in which the change in the estimate arises. Costs of abandoned properties are written-off. - Net Proceeds received during the testing phase During the fourth quarter of 2020, the Company has early adopted the amendment of IAS-16 - Property, Plant and Equipment - Proceeds before Intended Use. These amendments clarify the accounting for the net proceeds from selling any items produced while bringing an item of property, plant and equipment to the location and condition necessary for it to be capable of operating in the manner intended by management. The amendments prohibit entities from applying the previous guidance of deducting amounts received from selling items produced from the cost of property, plant and equipment while the Company is preparing the asset for its intended use. Instead, sales proceeds and the cost of producing these items are now recognized in profit or loss. As required, the Company has adopted the amendments on a modified retrospective basis. There was no cumulative effect on equity on adoption (note 4 (t)ii)). Prior to this adoption, the Company, deducted the net proceeds from selling metals produced while bringing the asset to the condition necessary for it to be capable of operating in the manner intended by management (“commercial production”) from the capital costs of development of a mine Depletion commences once the mineral property, plant and equipment is capable of operating in the manner intended by management. Any costs incurred after the commencement of commercial production are capitalized to the extent they give rise to a future economic benefit. ii. Property, Plant and Equipment Property, plant and equipment are recorded at cost, net of accumulated depreciation and impairments. Costs directly related to construction projects are capitalized to work in progress until the asset is available for use in the manner intended by management. Assets, other than capital works in progress, are depreciated to their residual values over their estimated useful lives as follows: Land and buildings Land Not depreciated Mineral properties Units of production Declining balance Buildings, located at the mine Units of production Declining balance Buildings, others (1) 6-10 years Straight line Leasehold improvements (1) 4-8 years Straight line Plant and equipment Machinery and equipment (1) 3-12 years Straight line Furniture and other equipment (1) 2-12 years Straight line Transport units 4-5 years Straight line Capital work in progress Not depreciated (1) The lesser of useful life or life of mine. Equipment under finance lease is initially recorded at the present value of minimum lease payments at the inception of the lease and depreciated over the shorter of the lease term or useful life. Spare parts and components included in machinery and equipment are depreciated over the shorter of the useful life of the component or the related machinery and equipment. Borrowing costs attributed to the construction of qualifying assets are capitalized to mineral properties, plant and equipment, and are included in the carrying amounts of related assets until the asset is available for use in the manner intended by management. The sales proceeds and associated production costs incurred during commissioning of qualifying assets under capital works in progress are recognized in profit or loss. On an annual basis, the depreciation method, useful economic life, and residual value of each component asset is reviewed with any changes recognized prospectively over its remaining useful economic life. iii. Stripping cost Pre-production stripping costs are generally capitalized and amortized over the production life of the mine using the unit-of-production method. Stripping costs incurred during the production stage are incurred in order to produce inventory or to improve access to ore which will be mined in the future. Where the costs are incurred to produce inventory, the production stripping costs are accounted for as a cost of producing those inventories. Where the costs are incurred to improve access to ore which will be mined in the future, the costs are deferred and capitalized to the statement of financial position as a stripping activity asset (included in mining interest) if the following criteria are met: · improved access to the ore body is probable; · the component of the ore body can be accurately identified; and · the costs relating to the stripping activity associated with the component can be reliably measured. If these criteria are not met, the costs are expensed in the period in which they are incurred. The stripping activity asset is subsequently depleted using the units-of-production depletion method over the life of the identified component of the ore body to which access has been improved as a result of the stripping activity. |
Asset Impairment | (h) Asset Impairment At the end of each reporting period, the Company assesses for impairment indicators and if there are such indicators, then the Company performs a test of impairment. For the purpose of assessing impairment, assets are grouped at the lowest level for which there are separately identifiable cash inflows or cash generating units. These are typically individual mines or development projects. Brownfields exploration projects, located close to existing mine infrastructure, are assessed for impairment as part of the associated mine cash generating unit. An impairment loss is recognized for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less cost of disposal (“FVLCD”) and value in use. When the recoverable amount is assessed using pre-tax discounted cash flow techniques, the resulting estimates are based on detailed mine and/or production plans. For value in use, recent cost levels are considered, together with expected changes in costs compatible with the current condition of the business. The cash flow forecasts are based on best estimates of the expected future revenues and costs, including the future cash costs of production, sustaining capital expenditures, and reclamation and closure costs. Where a FVLCD model is used, the cash flow forecast includes net cash flows expected to be realized from extraction, processing, and sale of mineral resources that do not currently qualify for inclusion in proven or probable reserves and the portion of resources expected to be extracted economically. Where an impairment loss subsequently reverses, the carrying amount of the asset or cash-generating unit is increased to the revised estimate of recoverable amount but not beyond the carrying amount that would have been determined had no impairment loss been recognized for the asset or cash-generating unit in prior years. A reversal of an impairment loss is recognized into earnings immediately. |
Borrowing Costs | (i) Borrowing Costs Interest and other financing costs incurred that are attributable to acquiring and developing exploration and development stage mining properties and constructing new facilities (“qualifying assets”), are capitalized and included in the carrying amounts of qualifying assets until those qualifying assets are capable of operating in the manner intended by management. The capitalization of borrowing costs incurred commences on the date when the following three conditions are met: · expenditures for the qualifying asset are being incurred; · borrowing costs are being incurred; and, · activities that are necessary to prepare the qualifying asset for its intended use are being undertaken. Borrowing costs incurred after the qualifying assets are substantially complete are expensed. Transaction costs, including legal, upfront commitment fees and other costs of issuance, associated with debt are recorded against the debt and are amortized over the term of the credit facility using the effective interest rate method. All other borrowing costs are expensed in the period in which they are incurred. |
Assets Held for Sale | (j) Assets Held for Sale A non-current asset is classified as held for sale when it meets the following criteria: · The non-current asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets; and, · the sale of the non-current asset is highly probable. For the sale to be highly probable: o o o o o Assets held for sale are not depreciated and are recorded at the lower of their carrying amount and fair value less costs to sell. |
Income Taxes | (k) Income Taxes Income tax expense consists of current and deferred tax expense. Current tax expense is the expected tax payable on the taxable income for the year using tax rates enacted or substantively enacted at period end adjusted for amendments to tax payable with regards to previous years. Deferred tax assets and liabilities are recognized for deferred tax consequences attributable to unused tax loss carry forwards, unused tax credits, and differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis (“temporary differences”). Deferred tax assets and liabilities are measured using the enacted or substantively enacted tax rates expected to apply when the asset is realized, or the liability is settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in profit or loss in the period that substantive enactment occurs. A deferred tax asset is recognized to the extent that it is probable that future taxable income will be available against which the asset can be utilized. To the extent that the Company does not consider it probable that a deferred tax asset will be recovered, the deferred tax asset is reduced. The following temporary differences do not result in deferred tax assets or liabilities: · the initial recognition of assets or liabilities, not arising in a business combination, that does not affect accounting or taxable income; · goodwill; and · investments in subsidiaries, associates and jointly controlled entities where the timing of reversal of the temporary differences can be controlled and reversal in the foreseeable future is not probable. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities, and when they relate to income taxes levied by the same taxation authority and the Company intends to settle its current tax assets and liabilities on a net basis. |
Provisions | (l) Provisions i. Closure and Reclamation Provisions Future obligations to retire an asset, including dismantling, remediation and ongoing treatment and monitoring of the site related to normal operation are initially recognized and recorded as a liability based on estimated future cash flows discounted at the risk-free rate. The closure and reclamation provision (“CRP”) is adjusted at each reporting period for changes to the expected amount of cash flows required to discharge the liability, the timing of such cash flows and the risk-free discount rate. The liability is accreted to full value over time through periodic charges to profit or loss. The amount of the CRP initially recognized is capitalized as part of the related asset’s carrying value and amortized to profit or loss. The method of amortization follows that of the underlying asset. The costs related to a CRP are only capitalized to the extent that the amount meets the definition of an asset and can bring about future economic benefit. For a closed site or where the asset which generated a CRP no longer exists, there is no longer a future benefit related to the costs and as such, the amounts are expensed. Revisions in estimates or new disturbances result in an adjustment to the CRP with an offsetting adjustment to the asset, unless there is no future benefit, in which case they are expensed. ii. Environmental Disturbance Restoration Provisions During the operating life of an asset, events such as infractions of environmental laws or regulations may occur. These events are not related to the normal operation of the asset and are referred to as environmental disturbance restoration provisions (“EDRP”). The costs associated with an EDRP are accrued and charged to earnings in the period in which the event giving rise to the liability occurs. Any subsequent adjustments to an EDRP due to changes in estimates are also charged to earnings in the period of adjustment. These costs are not capitalized as part of the long-lived asset’s carrying value. iii. Other Provisions Provisions are recognized when a present legal or constructive obligation exists as a result of past events, and it is probable that an outflow of resources that can be reliably estimated will be required to settle the obligation. Where the effect of the time value of money is material the provision is discounted using an appropriate current market based pre-tax discount rate. |
Common Share Capital | (m) Common Share Capital Shares are classified as equity. Costs directly attributable to the issuance of common shares are shown in equity as a deduction from the proceeds. |
Share-Based Payments | (n) Share-Based Payments The fair value method of accounting is used for share-based payment transactions. Under this method, the cost of stock options and other equity-settled share-based payment arrangements are recorded based on the estimated fair value at the grant date and charged to earnings over the vesting period. Where awards are forfeited because non-market based vesting conditions were not satisfied, the expense previously recognized is reversed in the period the forfeiture occurs. Share-based payment expenses relating to cash-settled awards, including deferred and restricted share units are accrued and expensed over the vesting period based on the quoted market value of the Company’s common shares. As these awards will be settled in cash, the expense and liability are adjusted at each reporting period for any changes in the underlying share price. Equity settled share-based payment transactions with parties other than employees are measured at the fair value of the goods or services received, except where that fair value cannot be estimated reliably, in which case they are measured at the fair value of the equity instruments granted, measured at the date the Company obtains the goods or the counter party renders the services. i. Stock Option Plan The Company applies the fair value method of accounting for all stock option awards. Under this method, the Company recognizes a compensation expense for all stock options awarded to employees, based on the fair value of the options on the date of grant which is determined by using the Black-Scholes option pricing model. The fair value of the options is expensed over the graded vesting period of the options. ii. Deferred Share Unit Plan Deferred share units (“DSU”) are typically granted to non-executive directors of the Company. They are payable in cash upon resignation, retirement, removal, failure to achieve re-election, or upon a change of control of the Company. The DSU compensation liability is accounted for based on the number of DSUs outstanding and the quoted market value of the Company’s common shares at the financial position date. The year-over-year change in the DSU compensation liability is recognized in profit or loss. iii. Share Unit Plans The Company’s amended and restated share unit plan (the “SU Plan”) covers all restricted share units (“RSUs”) and performance share units (“PSUs”) granted by the Company on and after March 1, 2015. - Restricted Share Units The Company’s RSUs are settled in either cash or equity, as determined by the Company’s Board of Directors at the grant date and typically vest over three years. For cash settled RSUs, the share-based payment expense is adjusted at each reporting period to reflect any change in the quoted market price of the Company’s common shares and the vesting of each RSU grant, with a corresponding amount recorded in other liabilities. For equity-settled RSUs, the fair value is determined based on the quoted market price of the Company’s common shares at the date of grant, and the fair value is recognized as a share-based payment expense over the vesting period with a corresponding amount recorded in equity reserves. - Performance Share Units The Company’s PSUs are performance-based awards for the achievement of specified performance metrics by specified deadlines and are settled in either cash or equity, as determined by the Company’s Board of Directors at the grant date and typically vest over three years. For cash settled PSUs, the share-based payment expense is adjusted at each reporting period to reflect any change in the quoted market price of the Company’s common shares, the vesting of each PSU grant and the expected performance factors with a corresponding amount recorded in other liabilities. For equity-settled PSUs, the fair value is determined based on the quoted market price of the Company’s common shares at the date of grant and the number of PSUs expected to vest based on the performance factors. The fair value is recognized as a share-based payment expense over the vesting period with a corresponding amount recorded in equity reserves. |
Related Party Transactions | (o) Related Party Transactions Parties are related if one party has the ability directly, or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered to be related if they are subject to common control. Related parties may be individuals or corporate entities, and include key management personnel of the Company. A transaction is a related party transaction when there is a transfer of resources or obligations between related parties. |
Earnings per Share | (p) Earnings per Share Basic earnings per share (“EPS”) is computed by dividing the net income for the year by the weighted average number of common shares outstanding during the year. The diluted earnings per share calculation is based on the weighted average number of common shares outstanding during the year, adjusted for the effects of dilutive common share equivalents. This method requires that the dilutive effect of outstanding options and equity settled units issued should be calculated using the treasury stock method. This method assumes that all common share equivalents have been exercised at the beginning of the year (or at the time of issuance, if later), and that the funds obtained thereby were used to purchase common shares of the Company at the average trading price of the common shares during the year, but only if dilutive. Dilution from convertible debentures is calculated using the if-converted method, based on the number of shares to be issued upon conversion of the convertible debentures, with a corresponding adjustment to net income for the after-tax interest expense related to the convertible debentures. |
Financial Instruments | (q) Financial Instruments i Classification and measurement of financial assets and financial liabilities Financial assets are measured as either: amortized cost; fair value through other comprehensive income (FVOCI) or fair value through profit or loss (FVTPL). All non-derivative financial liabilities are measured at amortized cost. The classification of financial assets is generally based on the business model in which a financial asset is managed and its contractual cash flow characteristics. Derivatives embedded in contracts where the host is a financial asset in the scope of the standard are never separated, and instead the hybrid financial instrument is assessed for classification. A financial asset is measured at amortized cost if it meets both of the following conditions and is not designated as at FVTPL: · it is held within a business model whose objective is to hold assets to collect contractual cash flows; and · its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. A debt investment is measured at FVOCI if it meets both of the following conditions and is not designated as at FVTPL: · it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets; and · its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. On initial recognition of an equity investment that is not held for trading, the Company may irrevocably elect to present subsequent changes in the investment’s fair value in other comprehensive income (OCI). This election is made on an investment-by-investment basis. All financial assets not classified as measured at amortized cost or FVOCI as described above are measured at FVTPL. Components of compound financial instruments are separately classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument. The financial liability is initially recognized at fair value, net of an allocation of issuance costs, and is subsequently measured at amortized cost. The equity component is initially measured based on the residual amount, net of an allocation of issuance costs, and is not subsequently remeasured. Equity instruments issued by the Company are recognized at the proceeds received, net of direct issue costs. Repurchase of the Company’s own equity instruments is recognized and deducted directly in equity. No gain or loss is recognized in profit or loss on the purchase, sale, or cancellation of our own equity instruments. No gain or loss is recognized on the issue of our own equity instruments, unless the equity is issued to settle a liability. Financial Liabilities at Amortized Cost – Financial liabilities are measured at amortized cost using the effective interest method, unless they are required to be measured at fair value through profit or loss (“FVTPL”), or the Company has opted to measure them at FVTPL. Debt and accounts payable and accrued liabilities are recognized initially at fair value, net of any transaction costs incurred, and subsequently at amortized cost using the effective interest method . The following accounting policies apply to the subsequent measurement of financial assets: · Financial assets at FVTPL - These assets are subsequently measured at fair value. Net gains and losses, including any interest or dividend income, are recognized in profit or loss. · Financial assets at amortized cost - These assets are subsequently measured at amortized cost using the effective interest method. The amortized cost is reduced by impairment losses. Interest income, foreign exchange gains and losses and impairment are recognized in profit or loss. Any gain or loss on derecognition is recognized in profit or loss. · Equity investments at FVOCI - These assets are subsequently measured at fair value. Dividends are recognized as income in profit or loss unless the dividend clearly represents a recovery of part of the cost of the investment. Gains or losses recognized on the sale of the equity investment are recognized in OCI and are never reclassified to profit or loss. ii Impairment of Financial Assets An entity is required to recognize expected credit losses when financial instruments are initially recognized and to update the amount of expected credit losses recognized at each reporting date to reflect changes in the credit risk of the financial instruments. For the Company’s trade receivables, it determines the lifetime expected losses for all of its trade receivables. The expected lifetime credit loss provision for the Company’s trade receivables is based on historical counterparty default rates and adjusted for relevant forward-looking information, when required. iii Hedge Accounting The Company has established a strategy, in accordance with its current risk management policies, to use interest rate swaps to hedge against the variability in cash flows arising from changes in USD LIBOR based floating interest rate borrowing relating to its credit facility. Management qualitatively assess that the changes in value of the hedging instrument and the hedged item will move in opposite directions and will be perfectly offset. As both counterparties to the derivative are investment grade, the effect of credit risk is considered as neither material nor dominant in the economic relationship. The portion of the gain or loss on the hedging instrument that is determined to be effective will be recognized directly in other comprehensive income while the amount that is determined to be ineffective, if any, will be recorded in the profit or loss during the life of the hedging relationship. |
Revenue Recognition | (r) Revenue Recognition The Company earns revenue from contracts with customers related to its concentrate and dor é sales. Revenue from contracts with customers is recognized when a customer obtains control of the concentrate or the doré and the Company satisfies its performance obligation. The Company considers the terms of the contract in determining the transaction price, which is the amount the entity expects to be entitled to in exchange for the transferring of the concentrates. The transaction price of a contract is allocated to each performance obligation based on its stand-alone selling price. The Company satisfies its performance obligations for its concentrate sales based upon specified contract terms which are generally upon delivery to the customer at a specified warehouse or upon loading of the concentrate onto a vessel. The Company typically receives payment within one to four weeks of delivery. Doré sales are recognized when the Company satisfies its performance obligation and control is transferred to the customer upon payment. Final weights and assays are adjusted on final settlement which is approximately one month after delivery. Revenue from concentrate sales is recorded based upon forward market price of the expected final sales price date. IFRS 15 Revenue from Contracts with Customers (“IFRS 15”) does not consider provisional price adjustments associated with concentrate sales to be revenue from contracts with customers as they arise from changes in market pricing for silver, gold, lead and zinc between the delivery date and settlement date. As such, the provisional price adjustments are accounted for as derivatives and presented separately in Note 23 of these financial statements. |
Segment Reporting | (s) Segment Reporting The Company’s operating segments are based on the reports reviewed by the senior management group that are used to make strategic decisions. The Chief Executive Officer, as chief operating decision maker, considers the business from a geographic perspective considering the performance of the Company’s business units. A geographical segment is a distinguishable component of the entity that is engaged in providing products or services within a particular economic environment and is subject to risks and returns that are different than those of segments operating in other economic environments. The business operations comprise the mining and processing of silver-lead, zinc, and silver-gold and the sale of these products. |
Adoption of New Accounting Standards and those issued but not yet effective | (t) Adoption of New Accounting Standards, Interpretation or Amendments i. IFRS 9 Financial Instruments, IAS 39 Financial Instruments: Recognition and Hedging and IFRS 7 Financial Instrument Disclosures (first phase Amendments) In September 2019, the IASB issued first phase amendments IFRS 9 Financial Instruments , IAS 39 Financial Instruments: Recognition and Hedging and IFRS 7 Financial Instrument Disclosures to address the financial reporting impact of the reform on interest rate benchmarks, such as the discontinuance of the interbank offered rates. The first phase amendment is focused on the impact to hedge accounting requirements. The Company adopted the first phase amendment effective January 1, 2020 and there was no material impact on its consolidated financial statements. The Company will continue to assess the effect of amendments related to the interest rate benchmark reform on its consolidated financial statements. ii. Amendments to IAS 16, Property, Plant and Equipment - Proceeds before Intended Use On May 14, 2020, the IASB published a narrow scope amendment to IAS 16 Property, Plant and Equipment - Proceeds before Intended Use . These amendments clarify the accounting for the net proceeds from selling any items produced while bringing an item of property, plant and equipment to the location and condition necessary for it to be capable of operating in the manner intended by management. The amendments prohibit entities from deducting amounts received from selling items produced from the cost of property, plant and equipment while the Company is preparing the asset for its intended use. Instead, sales proceeds and the cost of producing these items will be recognized in profit or loss. The amendments are effective for annual reporting periods beginning on or after January 1, 2022, with earlier application permitted. The Company elected to early adopt the amendments to IAS 16, Property, Plant and Equipment - Proceeds before Intended Use (“IAS 16 amendment”) in 2020, accordingly, the information presented for 2019 has been restated. On initial application, the Company transferred $498 from capital work in progress to materials and supplies inventories and $2,355 from capital work in progress to long term ore stock piles on the balance sheet. On the consolidated cash-flow statement, the Company transferred $2,853 from expenditures on Lindero Construction reported within investing activities to inventories reported under changes in non-cash working capital within operating activities. The following tables show the changes to the consolidated balance sheet and the consolidated statements of cash flows as at and for the year ended December 31, 2019, upon adoption of the IAS 16 amendment: Consolidated Balance Sheet As reported IAS 16 amendment Restated Current assets Inventories (note 7) $ 14,471 $ 498 $ 14,969 Non-Current assets Plant and equipment (note 10) $ 378,509 $ (2,853) $ 375,656 Other assets (note 12) $ 38,389 $ 2,355 $ 40,744 Consolidated Statement of Cash Flow As reported IAS 16 amendment Restated Changes in no cash working capital: Inventories $ (1,036) $ (2,853) $ (3,889) Net cash provided by operating activities $ 63,005 $ (2,853) $ 60,152 Investing Activities Expenditures on Lindero construction $ (189,653) $ 2,853 $ (186,800) Cash used in investing activities $ (145,214) $ 2,853 $ (142,361) As a result of the Company electing to adopt IAS 16 amendment, the Company recognized $20,297 of gold sales and $10,073 of related cost of sales on its income statement while the Company is preparing the Lindero Mine for its intended use (December 31, 2019 - $nil and $nil, respectively) (note 29). The following amended standards and interpretations were applied for the first time in 2020, but did not have a significant impact on the Company’s consolidated financial statements: · Amendments to References to Conceptual Framework in IFRS Standards. · Definition of a Business (Amendments to IFRS 3). · Definition of Material (Amendments to IAS 1 and IAS 8) (u) New Accounting Standards Issued but not yet Effective A number of new standards are effective for annual periods beginning after January 1, 2021 and earlier application is permitted; however, except for the Property, Plant and Equipment - Proceeds before Intended Use (Amendments to IAS 16) the Company has not early adopted other new or amended standards in preparing these financial statements. The following amended standards and interpretations are not expected to have a significant impact on the Company’s consolidated financial statements: · Interest Rate Benchmark Reform – Phase 2 (Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16); · Onerous Contracts – Cost of Fulfilling a Contract (Amendments to IAS 37) ; and Classification of Liabilities as Current or Non-current (Amendments to IAS 1). |
Use of Estimates, Assumptions_2
Use of Estimates, Assumptions and Judgements (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Use of Estimates, Assumptions and Judgements [abstract] | |
Critical Accounting Estimates and Assumptions | (a) Critical Accounting Estimates and Assumptions Areas where critical accounting estimates and assumptions have the most significant effect on the amounts recognized in the consolidated financial statements include: i. Mineral Reserves and Resources and the Life of Mine Plan We estimate our mineral reserves and mineral resources in accordance with the requirements of NI 43‑101. Estimates of the quantities of the mineral reserves and mineral resources form the basis for our life of mine plans, which are used for the calculation of depletion expense under the units of production method, impairment tests, and forecasting the timing of the payments related to the environmental reclamation provision. Significant estimation is involved in determining the reserves and resources included within our life of mine plans. Changes in forecast prices of commodities, exchange rates, production costs or recovery rates may result in our life of mine plan being revised and such changes could impact depletion rates, asset carrying values and our environmental reclamation provision. As at December 31, 2020 we have used the following long-term prices for our reserve and resource estimations: gold $1,600/oz, silver $21/oz, lead $2,000/t and zinc $2,270/t. In addition to the estimates above, estimation is involved in determining the percentage of resources ultimately expected to be converted to reserves and hence included in our life of mine plans. Our life of mine plans include a portion of inferred resources as we believe this provides a better estimate of the expected life of mine for certain types of deposits, in particular for vein type structures. The percentage of inferred resources out of the total tonnage included in the life of mine plans is based on site specific geological, technical, and economic considerations. Estimation of future conversion of resources is inherently uncertain and involves judgement, and actual outcomes may vary from these judgements and estimates and such changes could have a material impact on the financial results. Some of the key assumptions in the estimation process include geological continuity, stationarity in the grades within defined domains, reasonable geotechnical and metallurgical conditions, treatment of outlier (extreme) values, cut-off grade determination and the establishment of geostatistical and search parameters. Revisions to these estimates are accounted for prospectively in the period in which the change in estimate arises. See note 3(g)(i) of these financial statements. ii. Valuation of Mineral Properties and Exploration Properties The Company carries its mineral properties at cost less accumulated depletion and any accumulated provision for impairment. The costs of each property and related capitalized expenditures are depleted over the economic life of the property on a units-of-production basis. When a property is abandoned or when there is an impairment, costs are charged to profit or loss. The Company undertakes a review of the carrying values of mining properties and related expenditures whenever events or changes in circumstances indicate that their carrying values may exceed their estimated net recoverable amounts determined by reference to estimated future operating results and discounted net cash flows. Where previous impairment has been recorded, the Company analyzes any impairment reversal indicators. An impairment loss is recognized when the carrying value of those assets is not recoverable. In undertaking this review, management of the Company is required to make significant estimates of, amongst other things, future production and sales volumes, metal prices, foreign exchange rates, mineral resource and reserve quantities, future operating and capital costs to the end of the mine’s life, and reclamation costs. These estimates are subject to various risks and uncertainties which may ultimately have an effect on the expected recoverability of the carrying values of the mining properties and related expenditures. The Company, from time to time, acquires exploration and development properties. When properties are acquired, the Company must determine the fair value attributable to each of the properties. When the Company conducts exploration on a mineral property and the results from the exploration do not support the carrying value, the property is written down to its new fair value which could have a material effect on the consolidated statement of financial position and the consolidated income statement. iii. Deferred stripping costs In determining whether stripping costs incurred during the production phase of a mining property relate to mineral reserves that will be mined in a future period and therefore should be capitalized, the Company makes estimates of the proportion of stripping activity which relates to extracting ore in the current period versus the proportion which relates to obtaining access to ore reserves which will be mined in the future. iv. Inventory Estimates of recoverable gold on the leach pad are calculated from the quantities of ore placed on the leach pads (measured tonnes added to the leach pad), the grade of ore placed on the leach pad (based on assay data) and a recovery percentage. v. Reclamation and Other Closure Provisions The Company has obligations for reclamation and other closure activities related to its mining properties. The future obligations for mine closure activities are estimated by the Company using mine closure plans or other similar studies which outline the requirements that will be carried out to meet the obligations. Because the obligations are dependent on the laws and regulations of the countries in which the mines operate, the requirements could change as a result of amendments in the laws and regulations relating to environmental protection and other legislation affecting resource companies. As the estimate of the obligations is based on future expectations, a number of estimates and assumptions are made by management in the determination of closure provisions. vi. Revenue from metal in concentrate The Company’s sales of metal in concentrates allow for price adjustments based on the market price at the end of the relevant quotational 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 the prevailing spot price on a specified future date. At each balance sheet date, the Company estimates the value of the trade receivable using forward metal prices. Adjustments to the sale price occurs 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 is generally between one and three months. Any future changes 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. As such, the provisional price adjustments are accounted for as derivatives and presented separately in Note 23 of these financial statements. vii. Contingencies Contingencies can be either possible assets or possible liabilities arising from past events which, by their nature, will only be resolved when one or more future events not within our control occur or fail to occur. The assessment of such contingencies inherently involves the exercise of significant judgement and estimates of the outcome of future events. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings or regulatory or government actions that may negatively impact our business or operations, the Company with assistance from its legal counsel evaluates the perceived merits of any legal proceedings or unasserted claims or actions. A liability is recognized in the consolidated financial statements when the outcome of the legal proceedings is probable and the estimated settlement amount can be estimated reliably. Contingent assets are not recognized in the consolidated financial statements until virtually certain. |
Critical Accounting Judgements in Applying the Entity's Accounting Policies | (b) Critical Accounting Judgements in Applying the Entity’s Accounting Policies Judgements that have the most significant effect on the amounts recognized in the Company’s consolidated financial statements are as follows: i. Income Taxes Deferred tax assets and liabilities are determined based on differences between the financial statement carrying values of assets and liabilities and their respective income tax bases and losses carried forward. The determination of the ability of the Company to utilize tax loss carryforwards to offset deferred tax liabilities requires management to exercise judgement and make certain assumptions about the future performance of the Company. Management is required to assess whether it is “probable” that the Company will benefit from these prior losses and other deferred tax assets. Changes in economic conditions, metal prices and other factors could result in revisions to the estimates of the benefits to be realized or the timing of utilization of the losses. ii. Assessment of Impairment and Reversal of Impairment Indicators Management applies significant judgement in assessing whether indicators of impairment or reversal of impairment exist for an asset or a group of assets which could result in a testing for impairment. Internal and external factors such as significant changes in the use of the asset, commodity prices, life of mines, tax laws or regulations in the countries that our mines operate in and interest rates are used by management in determining whether there are any indicators of impairment or reversal of previous impairments. iii. Functional Currency The functional currency for the Company and its subsidiaries is the currency of the primary economic environment in which each operates. The Company has determined that its functional currency and that of its subsidiaries is the U.S. dollar. The determination of functional currency may require certain judgements to determine the primary economic environment. The Company reconsiders the functional currency used when there is a change in the events and conditions which determined the primary economic environment . iv. Leases Significant judgments made by management in the accounting for leases primarily included whether the lease conveys the right to use a specific asset, whether the Company obtains substantially all of the economic benefits from the use of the asset, whether the Company has the right to direct the use of the asset, evaluating the appropriate discount rate to use to discount the lease liability for each lease or groups of assets, and to determine the lease term where a contract includes renewal options. Significant judgments over these factors would affect the present value of the lease liabilities, as well as the associated amount of the ROU asset. v. Value-added tax (“VAT”) receivable Timing of collection of VAT receivables is uncertain as VAT refund procedures require a significant amount of information and follow-up. The Company assesses the recoverability of the amounts receivable at each reporting date and the expected timing of the recovery, which are impacted by several factors, including the status of discussions with the tax authorities, and current interpretation of relevant VAT legislation and regulation. Changes in these judgements can materially affect the amount recognized as VAT receivable and could result in an increase in other expenses recognized in profit or loss and the presentation of current and non-current VAT receivable. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Significant Accounting Policies [abstract] | |
Disclosure of subsidiaries | Name Location Ownership Principal Activity Minera Bateas S.A.C. ("Bateas") Peru 100% Caylloma Mine Compania Minera Cuzcatlan S.A. de C.V. ("Cuzcatlan") Mexico 100% San Jose Mine Mansfield Minera S.A. ("Mansfield") Argentina 100% Lindero Mine |
Schedule of useful life of property, plant and equipment | Land and buildings Land Not depreciated Mineral properties Units of production Declining balance Buildings, located at the mine Units of production Declining balance Buildings, others (1) 6-10 years Straight line Leasehold improvements (1) 4-8 years Straight line Plant and equipment Machinery and equipment (1) 3-12 years Straight line Furniture and other equipment (1) 2-12 years Straight line Transport units 4-5 years Straight line Capital work in progress Not depreciated (1) The lesser of useful life or life of mine. |
Schedule of changes to the consolidated balance sheet | Consolidated Balance Sheet As reported IAS 16 amendment Restated Current assets Inventories (note 7) $ 14,471 $ 498 $ 14,969 Non-Current assets Plant and equipment (note 10) $ 378,509 $ (2,853) $ 375,656 Other assets (note 12) $ 38,389 $ 2,355 $ 40,744 |
Schedule of changes to the cash flow | Consolidated Statement of Cash Flow As reported IAS 16 amendment Restated Changes in no cash working capital: Inventories $ (1,036) $ (2,853) $ (3,889) Net cash provided by operating activities $ 63,005 $ (2,853) $ 60,152 Investing Activities Expenditures on Lindero construction $ (189,653) $ 2,853 $ (186,800) Cash used in investing activities $ (145,214) $ 2,853 $ (142,361) |
Trade and Other Receivables (Ta
Trade and Other Receivables (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Trade and Other Receivables [abstract] | |
Schedule of Trade and Other Receivables | December 31, December 31, 2019 Trade receivables from concentrate sales $ 26,309 $ 33,642 Advances and other receivables 4,108 2,419 Value added taxes recoverable 8,890 11,646 Value added taxes recoverable - Lindero 37,248 - Accounts and other receivables $ 76,555 $ 47,707 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Inventories [abstract] | |
Schedule of Inventories | December 31, December 31, (Restated) Concentrate stockpiles $ 1,682 $ 2,640 Leach pad and gold-in-circuit 7,851 - Doré bars 1,796 - Ore stockpiles 11,640 6,085 Materials and supplies 22,020 8,599 Total inventories $ 44,989 $ 17,324 Less: non-current portion (note 12) (9,715) (2,355) Current inventories $ 35,274 $ 14,969 |
Other Current Assets (Tables)
Other Current Assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Current Assets [abstract] | |
Schedule related to other current assets | December 31, December 31, 2019 Prepaid expenses $ 2,622 $ 2,942 Investments in equity securities (note 11) 1,059 - Assets held for sale 659 1,069 Income tax recoverable - 2,553 Other current assets $ 4,340 $ 6,564 |
Mineral Properties and Explor_2
Mineral Properties and Exploration and Evaluation Assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Schedule Related to Property, Plant and Equipment | Machinery Land and buildings Furniture and other equipment Assets under lease Capital work in progress - Lindero Capital Total COST Balance at December 31, 2019 (Restated) note 4(t)ii) $ 75,246 $ 159,732 $ 16,083 $ 35,671 $ 216,482 $ 6,424 $ 509,638 Additions 5,190 473 1,427 2,715 45,688 3,645 59,138 Changes in closure and reclamation 682 - - - - - 682 Disposals (750) - (109) (885) - - (1,744) Transfers 29,636 51,547 2,096 - (75,100) (8,179) - Balance at December 31, 2020 $ 110,004 $ 211,752 $ 19,497 $ 37,501 $ 187,070 $ 1,890 $ 567,714 ACCUMULATED DEPRECIATION Balance at December 31, 2019 $ 42,214 $ 78,360 $ 7,402 $ 6,006 $ - $ - $ 133,982 Disposals (618) - (100) (408) - - (1,126) Depreciation 6,701 13,161 2,842 6,744 - - 29,448 Balance at December 31, 2020 $ 48,297 $ 91,521 $ 10,144 $ 12,342 $ - $ - $ 162,304 Net Book Value at December 31, 2020 $ 61,707 $ 120,231 $ 9,353 $ 25,159 $ 187,070 $ 1,890 $ 405,410 Machinery Land and buildings Furniture and other equipment Assets under lease 1 Capital work in progress - Lindero Capital Total (Restated) COST Balance at December 31, 2018 $ 74,188 $ 141,318 $ 11,066 $ 13,411 $ 52,964 $ 6,140 $ 299,087 Initial adoption IFRS 16 - - - 7,316 - - 7,316 Balance at January 1, 2019 74,188 141,318 11,066 20,727 52,964 6,140 306,403 Additions 1,185 714 3,464 14,944 174,164 9,718 204,189 Changes in closure and reclamation 171 - - - - - 171 Disposals (1,038) - (87) - - - (1,125) Transfers 740 17,700 1,640 - (10,646) (9,434) - Balance at December 31, 2019 (Restated) 75,246 159,732 16,083 35,671 216,482 6,424 509,638 ACCUMULATED DEPRECIATION Balance at December 31, 2018 $ 35,843 $ 65,547 $ 5,390 $ 107 $ - $ - $ 106,887 Disposals (746) - (79) - - - (825) Depreciation 7,117 12,813 2,091 5,899 - - 27,920 Balance at December 31, 2019 (Restated) $ 42,214 $ 78,360 $ 7,402 $ 6,006 $ - $ - $ 133,982 Net Book Value at December 31, 2019 (Restated) $ 33,032 $ 81,372 $ 8,681 $ 29,665 $ 216,482 $ 6,424 $ 375,656 (1) The Company leases equipment that was previously classified as a finance lease under IAS 17. On January 1, 2019, the Company adopted IFRS 16, Leases , and the equipment purchased under finance leases were classified as right-of-use assets. The carrying amount of $13,411 and the related lease liability of $8,767 were determined based on the carrying amount of these assets and their related lease liability immediately before the effective date of IFRS 16 . |
Mineral Properties and Exploration and Evaluation Assets [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Schedule Related to Property, Plant and Equipment | Depletable Not depletable Caylloma San Jose Lindero Other Total COST Balance at December 31, 2019 $ 128,244 $ 184,333 $ 203,866 $ 7,933 $ 524,376 Additions 3,833 8,310 32,506 1,298 45,947 Changes in closure and reclamation provision 2,599 1,328 4,730 - 8,657 Write-downs - (1,233) - (188) (1,421) Balance at December 31, 2020 $ 134,676 $ 192,738 $ 241,102 $ 9,043 $ 577,559 ACCUMULATED DEPLETION Balance at December 31, 2019 $ 74,435 $ 96,422 $ - $ - $ 170,857 Disposals - (543) - - (543) Depletion 6,944 14,584 - - 21,528 Balance at December 31, 2020 $ 81,379 $ 110,463 $ - $ - $ 191,842 Net Book Value at December 31, 2020 $ 53,297 $ 82,275 $ 241,102 $ 9,043 $ 385,717 Depletable Not depletable Caylloma San Jose Lindero Other Total COST Balance at December 31, 2018 $ 121,625 $ 175,609 $ 155,854 $ 7,797 $ 460,885 Additions 6,396 7,838 34,485 2,652 51,371 Changes in closure and reclamation provision 223 886 13,527 - 14,636 Disposals - - - (2,516) (2,516) Balance at December 31, 2019 $ 128,244 $ 184,333 $ 203,866 $ 7,933 $ 524,376 ACCUMULATED DEPLETION Balance at December 31, 2018 $ 68,207 $ 79,878 $ - $ - $ 148,085 Depletion 6,228 16,544 - - 22,772 Balance at December 31, 2019 $ 74,435 $ 96,422 $ - $ - $ 170,857 Net Book Value at December 31, 2019 $ 53,809 $ 87,911 $ 203,866 $ 7,933 $ 353,519 |
Exploration and evaluation assets [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Schedule Related to Property, Plant and Equipment | Mexico Argentina Serbia Others Tlacolula Pachuca Arizaro Esperanza Incachule Barje Total Balance at December 31, 2018 $ 3,298 $ - $ 934 $ 788 $ 766 $ 1,938 $ 73 $ 7,797 Additions 218 962 2 - - 1,318 152 2,652 Write-off - (962) - (788) (766) - - (2,516) Balance at December 31, 2019 3,516 - 936 - - 3,256 225 7,933 Additions 209 - - - - 122 967 1,298 Write-off - - - - - - (188) (188) Balance at December 31, 2020 $ 3,725 $ - $ 936 $ - $ - $ 3,378 $ 1,004 $ 9,043 |
Plant and Equipment (Tables)
Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Plant and Equipment [abstract] | |
Schedule Related to Property, Plant and Equipment | Machinery Land and buildings Furniture and other equipment Assets under lease Capital work in progress - Lindero Capital Total COST Balance at December 31, 2019 (Restated) note 4(t)ii) $ 75,246 $ 159,732 $ 16,083 $ 35,671 $ 216,482 $ 6,424 $ 509,638 Additions 5,190 473 1,427 2,715 45,688 3,645 59,138 Changes in closure and reclamation 682 - - - - - 682 Disposals (750) - (109) (885) - - (1,744) Transfers 29,636 51,547 2,096 - (75,100) (8,179) - Balance at December 31, 2020 $ 110,004 $ 211,752 $ 19,497 $ 37,501 $ 187,070 $ 1,890 $ 567,714 ACCUMULATED DEPRECIATION Balance at December 31, 2019 $ 42,214 $ 78,360 $ 7,402 $ 6,006 $ - $ - $ 133,982 Disposals (618) - (100) (408) - - (1,126) Depreciation 6,701 13,161 2,842 6,744 - - 29,448 Balance at December 31, 2020 $ 48,297 $ 91,521 $ 10,144 $ 12,342 $ - $ - $ 162,304 Net Book Value at December 31, 2020 $ 61,707 $ 120,231 $ 9,353 $ 25,159 $ 187,070 $ 1,890 $ 405,410 Machinery Land and buildings Furniture and other equipment Assets under lease 1 Capital work in progress - Lindero Capital Total (Restated) COST Balance at December 31, 2018 $ 74,188 $ 141,318 $ 11,066 $ 13,411 $ 52,964 $ 6,140 $ 299,087 Initial adoption IFRS 16 - - - 7,316 - - 7,316 Balance at January 1, 2019 74,188 141,318 11,066 20,727 52,964 6,140 306,403 Additions 1,185 714 3,464 14,944 174,164 9,718 204,189 Changes in closure and reclamation 171 - - - - - 171 Disposals (1,038) - (87) - - - (1,125) Transfers 740 17,700 1,640 - (10,646) (9,434) - Balance at December 31, 2019 (Restated) 75,246 159,732 16,083 35,671 216,482 6,424 509,638 ACCUMULATED DEPRECIATION Balance at December 31, 2018 $ 35,843 $ 65,547 $ 5,390 $ 107 $ - $ - $ 106,887 Disposals (746) - (79) - - - (825) Depreciation 7,117 12,813 2,091 5,899 - - 27,920 Balance at December 31, 2019 (Restated) $ 42,214 $ 78,360 $ 7,402 $ 6,006 $ - $ - $ 133,982 Net Book Value at December 31, 2019 (Restated) $ 33,032 $ 81,372 $ 8,681 $ 29,665 $ 216,482 $ 6,424 $ 375,656 (1) The Company leases equipment that was previously classified as a finance lease under IAS 17. On January 1, 2019, the Company adopted IFRS 16, Leases , and the equipment purchased under finance leases were classified as right-of-use assets. The carrying amount of $13,411 and the related lease liability of $8,767 were determined based on the carrying amount of these assets and their related lease liability immediately before the effective date of IFRS 16 . |
Investments in Associate (Table
Investments in Associate (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Investments in Associate [abstract] | |
Disclosure of Associates | Investments in associates were comprised of: Medgold Prospero Total Balance at December 31, 2018 $ 3,075 $ 1,202 $ 4,277 Write-down of investment (1,937) (784) (2,721) Share of net loss (164) (61) (225) Balance at December 31, 2019 974 357 1,331 Share of net loss (47) (29) (76) Transfer to investments in equity securities (927) (328) (1,255) Balance at December 31, 2020 $ - $ - $ - |
Other Assets (Tables)
Other Assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Assets [abstract] | |
Schedule of Other Assets | December 31, December 31, 2019 (Restated note 4 (t)ii) Ore stockpiles $ 9,715 $ 2,355 Value added tax recoverable - San Jose 3,386 2,036 Income tax recoverable (note 33(d)) 1,199 1,310 Other assets 910 867 Value added tax recoverable - Lindero - 34,176 Other assets $ 15,210 $ 40,744 |
Trade and Other Payables (Table
Trade and Other Payables (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Trade and Other Payables [abstract] | |
Schedule of Trade and Other Payables | December 31, December 31, 2019 Trade accounts payable $ 21,918 $ 15,975 Lindero construction payables 7,694 24,998 Refundable deposits to contractors 1,442 1,496 Payroll payable 15,878 13,627 Mining royalty payable 1,094 1,237 Value added taxes payable 519 224 Interest payable 1,383 1,457 Due to related parties (note 15) 9 14 Other payables 1,711 535 Derivative liabilities 1,260 894 Deferred share units payable (note 20(a)) 9,239 3,918 Restricted share units payable (note 20(b)) 3,128 911 Total trade and other payables $ 65,275 $ 65,286 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions [abstract] | |
Schedule of Related Party Transactions | Years ended December 31, 2019 Personnel costs $ 19 $ 21 General and administrative expenses 138 189 $ 157 $ 210 |
Schedule of remuneration of key management personnel | Years ended December 31, 2019 Salaries and benefits $ 4,266 $ 4,716 Directors fees 707 702 Consulting fees 134 135 Share-based payments 11,115 5,449 $ 16,222 $ 11,002 |
Lease Obligations (Tables)
Lease Obligations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Lease Obligations | |
Schedule of Minimum Lease Payments | Minimum lease payments December 31, December 31, 2019 Less than one year $ 7,367 $ 9,313 Between one and five years 10,209 13,521 More than five years 14,127 14,958 31,703 37,792 Less: future finance charges (12,206) (13,913) Present value of minimum lease payments 19,497 23,879 Less: current portion (6,978) (8,831) Non-current portion $ 12,519 $ 15,048 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Debt [abstract] | |
Schedule of movement in debt | Credit Facilities Convertible debentures Total Balance at December 31, 2018 $ 69,302 $ - $ 69,302 Proceeds from convertible debentures - 46,000 46,000 Transaction costs paid - Portion allocated to equity - Transaction costs allocated to equity - 389 389 Amortization of discount 128 347 475 Drawdowns 40,000 - 40,000 Balance at December 31, 2019 109,430 37,105 146,535 Amortization of discount 420 1,661 2,081 Drawdowns 65,000 - 65,000 Payments - (55,000) Balance at December 31, 2020 $ 119,850 $ 38,766 $ 158,616 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Liabilities [abstract] | |
Summary of other liabilities | December 31, December 31, 2019 Restricted share units (note 20(b)) $ 2,264 $ 246 Other non-current liabilities 259 253 $ 2,523 $ 499 |
Closure and Reclamation Provi_2
Closure and Reclamation Provisions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Closure and Reclamation Provisions [abstract] | |
Schedule of Reclamation and Closure Provisions | Closure and Reclamation Provisions Caylloma San Jose Lindero Total Balance at December 31, 2019 $ 11,324 $ 4,848 $ 14,953 $ 31,125 Changes in estimate 3,288 1,328 4,482 9,098 Reclamation expenditures (114) (227) - (341) Accretion 256 249 249 754 Effect of changes in foreign exchange rates 7 (293) - (286) Balance at December 31, 2020 14,761 5,905 19,684 40,350 Less: Current portion (142) (238) - (380) Non-current portion $ 14,619 $ 5,667 $ 19,684 $ 39,970 Closure and Reclamation Provisions Caylloma San Jose Lindero Total Balance at December 31, 2018 $ 10,800 $ 3,716 $ 1,427 $ 15,943 Changes in estimate 394 886 13,390 14,670 Reclamation expenditures - Accretion 331 259 136 726 Effect of changes in foreign exchange rates - 137 - 137 Balance at December 31, 2019 Less: Current portion - Non-current portion $ 8,276 $ 4,639 $ 14,953 $ 27,868 |
Schedule of Estimates Used in Reclamation and Closure Provisions | Closure and Reclamation Provisions Caylloma San Jose Lindero Total Anticipated settlement date 2021 - 2032 2025 - 2037 2029 - 2042 Undiscounted uninflated estimated cash flow $ 14,899 $ 6,864 $ 17,946 $ 39,709 Estimated life of mine (years) 7 5 13 Discount rate Inflation rate |
Share Based Payments (Tables)
Share Based Payments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Schedule of Outstanding Stock Option Plan | Number of stock options Weighted average Canadian dollars Outstanding, December 31, 2018 1,784,029 $ 5.85 Outstanding, December 31, 2019 1,784,029 5.85 Exercised (211,626) 6.28 Expired unexercised (517,833) 4.79 Outstanding, December 31, 2020 1,054,570 $ 6.28 Vested and exercisable, December 31, 2019 1,459,779 $ 5.77 Vested and exercisable, December 31, 2020 1,054,570 $ 6.28 |
Deferred Share Units [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Schedule of Outstanding and Fair Value of Other Units Activity | Cash Settled Number of DSUs Fair Value Outstanding, December 31, 2018 850,067 $ 3,116 Granted 111,804 455 Changes in fair value - 347 Outstanding, December 31, 2019 961,871 3,918 Granted 162,648 383 Changes in fair value - 4,938 Outstanding, December 31, 2020 1,124,519 $ 9,239 |
Restricted Share Units | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Schedule of Outstanding and Fair Value of Other Units Activity | Cash Settled Equity Settled Number of RSUs Fair Value Number of RSUs Outstanding, December 31, 2018 659,385 $ 2,057 734,631 Granted 139,661 506 633,914 Units paid out in cash (406,611) (1,466) - Vested and paid out in shares - - (201,633) Changes in fair value and vesting - 60 - Outstanding, December 31, 2019 392,435 1,157 1,166,912 Granted 1,056,207 2,489 815,220 Units paid out in cash (81,152) (257) - Vested and paid out in shares - - (448,766) Changes in fair value and vesting - 2,003 - Outstanding, December 31, 2020 1,367,490 5,392 1,533,366 Less: current portion (3,128) Non-current portion $ 2,264 |
Performance Share Units | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Schedule of Outstanding and Fair Value of Other Units Activity | Equity Settled Number of PSUs Outstanding, December 31, 2018 1,002,166 Granted 422,609 Vested and paid out in shares (150,325) Outstanding, December 31, 2019 1,274,450 Forfeited or cancelled (191,498) Vested and paid out in shares (243,782) Outstanding, December 31, 2020 839,170 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings per Share [abstract] | |
Schedule of Earnings per Share | Years ended December 31, Basic 2019 Net income for the year $ 21,553 $ 23,796 Weighted average number of shares (000's) 174,993 160,193 Earnings per share - basic $ 0.12 $ 0.15 Years ended December 31, Diluted 2019 Net income for the year $ 21,553 $ 23,796 Weighted average number of shares (000's) 174,993 160,193 Incremental shares from dilutive potential shares 11,080 4,332 Weighted average diluted number of shares (000's) 186,073 164,525 Earnings per share - diluted $ 0.12 $ 0.14 |
Sales (Tables)
Sales (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Sales [abstract] | |
Schedule of Sales by Product and Geographical Area | Year ended December 31, 2020 Peru Mexico Argentina Total Silver-gold concentrates $ - $ 188,327 $ - $ 188,327 Silver-lead concentrates 43,055 - - 43,055 Zinc concentrates 23,980 - - 23,980 Gold doré - - 20,297 20,297 Provisional pricing adjustments 608 2,699 - 3,307 Sales to external customers $ 67,643 $ 191,026 $ 20,297 $ 278,966 Year ended December 31, 2019 Peru Mexico Argentina Total Silver-gold concentrates $ - $ 183,197 $ - $ 183,197 Silver-lead concentrates 39,936 - - 39,936 Zinc concentrates 33,686 - - 33,686 Gold doré - - - - Provisional pricing adjustments (740) 1,108 - 368 Sales to external customers $ 72,882 $ 184,305 $ - $ 257,187 |
Schedule of Sales by Major Customer | Years ended December 31, 2019 Customer 1 $ 191,026 $ 184,304 Customer 2 67,643 72,938 Customer 3 - (55) Customer 4 20,297 - $ 278,966 $ 257,187 |
Cost of Sales (Tables)
Cost of Sales (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Cost of Sales [abstract] | |
Schedule of Cost of Sales | Year ended December 31, 2020 Caylloma San Jose Lindero Total Direct mining costs $ 31,738 $ 58,726 $ 4,145 $ 94,609 Salaries and benefits 6,883 6,902 2,801 16,586 Workers' participation 899 6,560 - 7,459 Depletion and depreciation 14,301 27,856 1,621 43,778 Royalties and other taxes 523 4,289 1,506 6,318 Impairment (recovery) of inventories 13 (18) - (5) $ 54,357 $ 104,315 $ 10,073 $ 168,745 Year ended December 31, 2019 Caylloma San Jose Lindero Total Direct mining costs $ 35,712 $ 66,022 $ - $ 101,734 Salaries and benefits 7,557 7,483 - 15,040 Workers' participation 717 5,294 - 6,011 Depletion and depreciation 13,621 30,737 - 44,358 Royalties and other taxes 750 3,385 - 4,135 Impairment of inventories 93 1,235 - 1,328 $ 58,450 $ 114,156 $ - $ 172,606 |
General, and Administration (Ta
General, and Administration (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
General and Administration [abstract] | |
Schedule of General and Administrative Expenses | Years ended December 31, 2019 General and administration $ 20,834 $ 22,315 Workers' participation 1,808 1,477 22,642 23,792 Share-based payments 12,444 6,013 $ 35,086 $ 29,805 |
Other Expenses (Tables)
Other Expenses (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Expenses [abstract] | |
Schedule of Other Expenses | Years ended December 31, 2019 Write-down (recovery) of investment in associates $ (194) $ 2,706 Write-off of mineral properties 878 1,554 Loss on disposal of assets and other write-downs 484 67 Write-off of accounts receivable 447 - Other expenses (income) (308) 284 Care and maintenance costs related to COVID-19 3,121 - $ 4,428 $ 4,611 |
Interest and Finance Costs Net
Interest and Finance Costs Net (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Interest and Finance Costs Net [Abstract] | |
Schedule of interest and finance (costs) income, net | Years ended December 31, 2019 Interest income $ 1,217 $ 1,838 Interest expense (1,510) (857) Bank stand-by and commitment fees (369) (415) Accretion expense (751) (590) $ (1,413) $ (24) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Taxes [abstract] | |
Schedule of Income Tax Reconciliation | Years ended December 31, 2019 Net income before tax $ 58,955 $ 43,971 Statutory tax rate Anticipated income tax at statutory rates 15,918 11,872 Non-deductible expenditures 1,326 2,507 Differences between Canadian and foreign tax rates 1,284 1,353 Changes in estimate (192) 856 Effect of change in tax rates 436 345 Inflation adjustment (10,634) (12,158) Impact of foreign exchange 15,081 11,773 Changes in deferred tax assets not recognized 5,909 (2,254) Mining taxes 4,656 3,241 Withholding taxes 3,670 2,367 Other items (52) 273 Total income tax expense $ 37,402 $ 20,175 Total income tax represented by: Current income tax expense $ 38,818 $ 32,631 Deferred tax expense (1,416) (12,456) $ 37,402 $ 20,175 |
Schedule of Current and Deferred Taxes | Years ended December 31, 2019 Current tax expense Current taxes on profit for the year $ 38,603 $ 32,246 Changes in estimates related to prior years 215 385 $ 38,818 $ 32,631 Deferred tax expense Origination and reversal of temporary differences and foreign exchange rate $ (1,500) $ (13,678) Changes in estimates related to prior years (396) 479 Effect of differences in tax rates 44 398 Effect of changes in tax rates 436 345 $ (1,416) $ (12,456) Total Tax expense $ 37,402 $ 20,175 |
Schedule of Deferred Tax Assets and Liabilities | December 31, December 31, 2019 Deferred tax assets: Reclamation and closure cost obligation $ 13,080 $ 9,530 Carried forward tax loss 17,729 14,020 Accounts payable and accrued liabilities 16,437 7,731 Deductibility of resource taxes 3,414 3,140 Lease obligations 5,769 5,317 Other 127 1 Total deferred tax assets $ 56,556 $ 39,739 Deferred tax liabilities: Mineral properties $ (55,134) $ (44,825) Mining and foreign withholding taxes (4,862) (5,281) Equipment and buildings (1,928) (3,621) Convertible debenture (1,544) (1,857) Inflation (11,210) (4,939) Other (1,377) (131) Total deferred tax liabilities $ (76,055) $ (60,654) Net deferred tax liabilities $ (19,499) $ (20,915) 2019 Classification: Deferred tax assets $ - $ - Deferred tax liabilities (19,499) (20,915) Net deferred tax liabilities $ (19,499) $ (20,915) 2019 At January 1 $ 20,915 $ 31,444 Deferred income tax (recovery) expense through income statement (1,416) (12,456) Deferred income tax expense through equity - 1,927 At December 31 $ 19,499 $ 20,915 |
Schedule of Unrecognized Deductible Temporary Difference and Unused Tax Losses | December 31, December 31, 2019 Unrecognized deductible temporary differences and unused tax losses: Non capital losses $ 90,192 $ 72,156 Provisions 14,488 5,074 Share issue costs 3,894 2,174 Lease obligation 555 656 Derivative liabilities 1,111 894 Capital losses 255 2,496 Investments in equity securities and associates 1,534 1,397 Unrecognized deductible temporary differences $ 112,029 $ 84,847 December 31, December 31, 2019 Mexico $ 248,880 $ 198,214 Peru 62,414 54,618 |
Schedule of Tax Losses Expiry Dates | December 31, December 31, Year of expiry Year of expiry 2019 Canada 2026 - 2040 $ 90,300 2026 - 2039 $ 84,200 Argentina 2021 - 2025 68,900 2020 - 2024 42,500 Mexico 2021 - 2030 367 2021 - 2029 369 Peru - 2021 70 |
Segmented Information (Tables)
Segmented Information (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Segmented Information [abstract] | |
Schedule of Segmented Information | Year ended December 31, 2020 Corporate Bateas Cuzcatlan Mansfield Total Revenues from external customers $ - $ 67,643 $ 191,026 $ 20,297 $ 278,966 Cost of sales before depreciation and depletion - (40,056) (76,459) (8,452) (124,967) Depreciation and depletion in cost of sales - (14,301) (27,856) (1,621) (43,778) General and administration (23,141) (3,891) (8,054) - (35,086) Other income (expenses) 42 (1,215) (3,742) (12,982) (17,897) Finance items (1,689) (698) (104) 4,208 1,717 Segment (loss) profit before taxes (24,788) 7,482 74,811 1,450 58,955 Income taxes (3,841) (4,312) (28,926) (323) (37,402) Segment (loss) profit after taxes $ (28,629) $ 3,170 $ 45,885 $ 1,127 $ 21,553 Year ended December 31, 2019 Corporate Bateas Cuzcatlan Mansfield Total Revenues from external customers $ - $ 72,882 $ 184,305 $ - $ 257,187 Cost of sales before depreciation and depletion - (44,829) (83,419) - (128,248) Depreciation and depletion in cost of sales - (13,621) (30,737) - (44,358) General and administration (17,438) (4,569) (7,798) - (29,805) Other income (expenses) (4,402) (664) (1,928) (13,588) (20,582) Finance items (80) (1,552) 385 11,024 9,777 Segment (loss) profit before taxes (21,920) 7,647 60,808 (2,564) 43,971 Income taxes (511) (2,761) (18,032) 1,129 (20,175) Segment (loss) profit after taxes $ (22,431) $ 4,886 $ 42,776 $ (1,435) $ 23,796 December 31, 2020 Corporate Bateas Cuzcatlan Mansfield Total Total assets $ 27,328 $ 125,286 $ 280,602 $ 622,122 $ 1,055,338 Total liabilities $ 186,708 $ 42,710 $ 49,500 $ 50,650 $ 329,568 Capital expenditures $ 122 $ 6,927 $ 15,801 $ 71,865 $ 94,715 December 31, 2019 Corporate Bateas Cuzcatlan Mansfield Total Total assets $ 60,134 $ 116,501 $ 252,100 $ 507,330 $ 936,065 Total liabilities $ 162,210 $ 36,747 $ 42,264 $ 59,418 $ 300,639 Capital expenditures $ 1,333 $ 11,845 $ 14,046 $ 211,413 $ 238,637 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Measurements [abstract] | |
Schedule of Fair Value of Financial Instruments | Carrying value Fair value December 31, 2020 Fair Value through OCI Fair value Amortized Total Level 1 Level 2 Level 3 Carrying value Financial assets measured at Fair Value Investments in equity securities $ 1,059 $ - $ - $ 1,059 $ 1,059 $ - $ - $ - Trade receivables concentrate and doré sales - $ 26,309 - 26,309 - 26,309 - - $ 1,059 $ 26,309 $ - $ 27,368 $ 1,059 $ 26,309 $ - $ - Financial assets not measured at Fair Value Cash and cash equivalents $ - $ - $ 131,898 $ 131,898 $ - $ - $ - $ 131,898 Other receivables - - 4,108 4,108 - - - 4,108 $ - $ - $ 136,006 $ 136,006 $ - $ - $ - $ 136,006 Financial liabilities measured at Fair Value Interest rate swap liability $ (1,084) $ - $ - $ (1,084) $ - $ (1,084) $ - $ - Metal forward sales contracts liability (124) (124) (124) - Fuel forward contracts liability (52) (52) (52) - $ (1,084) $ (176) $ - $ (1,260) $ - $ (1,260) $ - $ - Financial liabilities not measured at Fair Value Trade payables $ - $ - $ (26,140) $ (26,140) $ - $ - $ - $ (26,140) Payroll payable - - (17,676) (17,676) - - - (17,676) Credit facilities - - (119,850) (119,850) - (120,000) - - Convertible debentures - - (38,766) (38,766) - (78,315) - - Other payables - - (22,784) (22,784) - - - (22,784) $ - $ - $ (225,216) $ (225,216) $ - $ (198,315) $ - $ (66,600) Carrying value Fair value December 31, 2019 Fair Value through OCI Fair value Amortized Total Level 1 Level 2 Level 3 Carrying value Financial assets measured at Fair Value Trade receivables concentrate sales $ - $ 33,642 $ - $ 33,642 $ - $ 33,642 $ - $ - $ - $ 33,642 $ - $ 33,642 $ - $ 33,642 $ - $ - Financial assets not measured at Fair Value Cash and cash equivalents $ - $ - $ 83,404 $ 83,404 $ - $ - $ - $ 83,404 Other receivables - - 2,419 2,419 - - - 2,419 $ - $ - $ 85,823 $ 85,823 $ - $ - $ - $ 85,823 Financial liabilities measured at Fair Value Interest rate swap liability $ (894) $ - $ - $ (894) $ $ (894) $ - $ - $ (894) $ - $ - $ (894) $ - $ (894) $ - $ - Financial liabilities not measured at Fair Value Trade payables $ - $ - $ (37,357) $ (37,357) $ - $ - $ - $ (37,357) Payroll payable - - (15,801) (15,801) - - - (15,801) Share units payable - - (5,075) (5,075) - (5,075) - - Credit facilities - - (109,430) (109,430) - (110,000) - - Convertible debentures - - (37,105) (37,105) - (38,858) - - Other payables - - (22,403) (22,403) - - - (22,403) $ - $ - $ (227,171) $ (227,171) $ - $ (153,933) $ - $ (75,561) |
Management of Financial Risk (T
Management of Financial Risk (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Schedule of Company's Maximum Exposure to Credit Risk | December 31, December 31, (Expressed in $ millions) 2019 Cash and cash equivalents $ 131,898 $ 83,404 Accounts receivable and other assets 76,555 47,707 Income tax receivable - 2,553 Other non-current receivables 5,495 40,744 $ 213,948 $ 174,408 |
Schedule of Company's Liquidity Risk | Expected payments due by year as at December 31, 2020 Less than After 1 year 1 - 3 years 4 - 5 years 5 years Total Trade and other payables $ 65,275 $ - $ - $ - $ 65,275 Debt - 120,000 46,000 - 166,000 Income taxes payable 23,808 - - - 23,808 Lease obligations 7,367 6,166 4,043 14,127 31,703 Other liabilities - 2,523 - - 2,523 Capital commitments, Lindero 1 558 - - - 558 Closure and reclamation provisions 433 5,444 10,692 23,781 40,350 $ 97,441 $ 134,133 $ 60,735 $ 37,908 $ 330,217 Expected payments due by year as at December 31, 2019 Less than After 1 year 1 - 3 years 4 - 5 years 5 years Total Trade and other payables $ 65,286 $ - $ - $ - $ 65,286 Debt - 110,000 46,000 - 156,000 Income tax payable 12,400 - - - 12,400 Lease obligations 9,313 9,424 4,097 14,958 37,792 Other liabilities - 499 - - 499 Capital commitments, Lindero 24,467 - - - 24,467 Provisions 2,699 7,565 1,846 21,255 33,365 $ 114,165 $ 127,488 $ 51,943 $ 36,213 $ 329,809 |
Schedule of capital structure | December 31, December 31, 2019 Equity $ 725,770 $ 635,426 Debt 158,616 146,535 Lease obligations 19,497 23,879 Less: cash and cash equivalents (131,898) (83,404) $ 771,985 $ 722,436 |
Currency risk [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Disclosure of Nature and Extent of Risks Arising from Foreign Exchange Currency Risk | December 31, 2020 (In millions of local currency) Canadian Peruvian Mexican Argentine Cash and cash equivalents 1,402 9,658 3,117 2,326 Marketable securities 1,348 - - - Trade and VAT receivables 53 3,563 108,569 3,281,760 Income tax receivable - 6,915 - - VAT - long term receivable - - 67,542 - Trade and other payables (17,838) (28,046) (311,747) (764,331) Due to related parties (12) - - - Provisions, current - 100 (4,871) (77,549) Income tax payable - (275) (297,083) - Other liabilities (207) - (5,160) - Provisions, non current - (754) (67,102) - Total foreign currency exposure (15,254) (8,839) (506,735) 2,442,206 US$ equivalent of foreign currency exposure (11,981) (2,439) (25,402) 29,091 December 31, 2019 (In millions of local currency) Canadian Peruvian Mexican Argentine Cash and cash equivalents 626 2,293 13,103 11,762 Trade and other receivables 310 1,827 3,972 117,539 Income tax receivable - 8,451 - - Investments in associates 1,373 - - - VAT - long term receivable - - 10,715 2,039,929 Trade and other payables (8,549) (19,385) (214,679) (1,454,444) Due to related parties (18) - - - Provisions, current - - (3,942) - Income tax payable - - (161,900) - Other liabilities - - (4,217) - Provisions, non current - - (87,459) - Total foreign currency exposure (6,258) (6,814) (444,407) 714,786 US$ equivalent of foreign currency exposure (4,818) (2,054) (23,582) 11,815 Effect on foreign denominated Currency Change items Mexican Peso +/- 10% $ 2,309 Peruvian Soles +/- 10% $ 222 Argentinian Peso +/- 10% $ 2,645 Canadian Dollar +/- 10% $ 1,089 |
Commodity price risk [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Disclosure of Nature and Extent of Risks Arising from Financial Instruments | Metal Change Effect on Sales Silver +/- 10% $ 1,338 Gold +/- 10% $ 561 Lead +/- 10% $ 195 Zinc +/- 10% $ 253 |
Supplemental Cashflow Informa_2
Supplemental Cashflow Information (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Supplemental Cashflow Information [abstract] | |
Schedule of Changes in Liabilities Arising from Financing Activities | Bank loan Convertible debentures Lease Derivatives As at December 31, 2018 $ 69,302 $ - $ 16,082 $ 224 Additions 40,000 46,000 14,944 - Interest 128 347 1,848 - Payments - - (9,048) - Transaction costs - (2,101) - - Equity component - (7,141) - - Foreign exchange - - 53 - Changes in fair value - - - 670 As at December 31, 2019 109,430 37,105 23,879 894 Additions 65,000 - 2,684 176 Terminations - - (497) - Interest 420 1,661 1,920 563 Payments (55,000) - (8,438) (560) Foreign exchange - - (51) - Changes in fair value - - - 187 As at December 31, 2020 $ 119,850 $ 38,766 $ 19,497 $ 1,260 |
Schedule of significant non-cash financing and investing transactions | December 31, December 31, 2019 Mineral properties, plant and equipment changes in closure and $ (9,339) $ (14,807) Fair value of stock options allocated to share capital $ 427 $ - Additions on right of use assets $ (2,715) $ (22,260) Fair value of share units allocated to share capital $ 3,081 $ 1,678 |
Nature of Operations (Details)
Nature of Operations (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Nature of Operations [abstract] | |
Name of reporting entity or other means of identification | Fortuna Silver Mines Inc. |
Domicile of entity | British Columbia, Canada |
Covid-19 Uncertainties and Li_3
Covid-19 Uncertainties and Liquidity Risk (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Cash and cash equivalents and credit facility borrowing capacity | $ 131,898 | |||
Credit facilities | $ 158,616 | $ 146,535 | $ 69,302 | |
Revolving Credit Facility [member] | ||||
Borrowings amount that matured | 30,000 | |||
Borrowing capacity | 110,000 | |||
Credit facilities | $ 80,000 |
Basis of Presentation (Narrativ
Basis of Presentation (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Basis of Presentation [abstract] | |
Description of functional currency | United States Dollars ("$" or "US$" or "US dollars") |
Description of presentation currency | financial statements are presented in United States Dollars ("$" or "US$" or "US dollars") |
Significant Accounting Polici_4
Significant Accounting Policies (Narrative) (Details) - USD ($) | Apr. 20, 2020 | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure Of Significant Accounting Policies [line items] | |||
Lease liabilities | $ 19,497,000 | $ 23,879,000 | |
Sales (note 23) | 278,966,000 | 257,187,000 | |
Cost of sales (note 24) | $ 168,745,000 | $ 172,606,000 | |
Machinery and Equipment [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Depreciation method, property, plant and equipment | Straight line | ||
Machinery and Equipment [member] | Bottom of range [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Useful life measured as period of time, property, plant and equipment | 3 years | ||
Machinery and Equipment [member] | Top of range [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Useful life measured as period of time, property, plant and equipment | 12 years | ||
Mineral Properties [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Depreciation method, property, plant and equipment | Declining balance | ||
San Jose M&I Property [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Conversion factors related to inferred resources | 90.00% | 90.00% | |
Percentage of inferred resources | 35.00% | 29.00% | |
Cost of sales (note 24) | $ 104,315,000 | $ 114,156,000 | |
Caylloma M&I Property [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Conversion factors related to inferred resources | 80.00% | 80.00% | |
Percentage of inferred resources | 52.00% | 45.00% | |
Cost of sales (note 24) | $ 54,357,000 | $ 58,450,000 | |
Restricted Share Units | Vesting Tranche One Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 20.00% | ||
Restricted Share Units | Vesting Tranche Two Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 30.00% | ||
Restricted Share Units | Vesting Tranche Three Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 50.00% | ||
Performance Share Units | |||
Disclosure Of Significant Accounting Policies [line items] | |||
vesting period | 3 years | ||
Performance Share Units | Bottom of range [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 50.00% | ||
Performance Share Units | Top of range [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 200.00% | ||
Performance Share Units | Vesting Tranche One Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 20.00% | ||
Performance Share Units | Vesting Tranche Two Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 30.00% | ||
Performance Share Units | Vesting Tranche Three Period [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Vesting tranche percentage sharebased arrangements | 50.00% | ||
Increase (decrease) due to voluntary changes in accounting policy [member] | Lindero Reporting Segment [member] | |||
Disclosure Of Significant Accounting Policies [line items] | |||
Sales (note 23) | $ 20,297,000 | $ 0 | |
Cost of sales (note 24) | $ 10,073,000 | $ 0 |
Significant Accounting Polici_5
Significant Accounting Policies (Disclosure of subsidiaries) (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Minera Bateas S.A.C. [member] | |
Disclosure of subsidiaries [line items] | |
Name of subsidiary | Minera Bateas S.A.C. ("Bateas") |
Principal place of business of subsidiary | Peru |
Proportion of ownership interest in subsidiary | 100.00% |
Principal activity of subsidiary | Caylloma Mine |
Compania Minera Cuzcatlan S.A. de C.V. [member] | |
Disclosure of subsidiaries [line items] | |
Name of subsidiary | Compania Minera Cuzcatlan S.A. de C.V. ("Cuzcatlan") |
Principal place of business of subsidiary | Mexico |
Proportion of ownership interest in subsidiary | 100.00% |
Principal activity of subsidiary | San Jose Mine |
Mansfield Minera S.A. [member] | |
Disclosure of subsidiaries [line items] | |
Name of subsidiary | Mansfield Minera S.A. ("Mansfield") |
Principal place of business of subsidiary | Argentina |
Proportion of ownership interest in subsidiary | 100.00% |
Principal activity of subsidiary | Lindero Mine |
Significant Accounting Polici_6
Significant Accounting Policies (Schedule related to property, plant and equipment) (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Land [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Measurement bases, property, plant and equipment | Not depreciated |
Buildings [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Straight line |
Buildings [member] | Bottom of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, property, plant and equipment | 6 years |
Buildings [member] | Top of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, property, plant and equipment | 10 years |
Mineral Properties [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Measurement bases, property, plant and equipment | Units of production |
Depreciation method, property, plant and equipment | Declining balance |
Buildings Located At Mine [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Measurement bases, property, plant and equipment | Units of production |
Depreciation method, property, plant and equipment | Declining balance |
Leasehold improvements [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Straight line |
Leasehold improvements [member] | Bottom of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, property, plant and equipment | 4 years |
Leasehold improvements [member] | Top of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, property, plant and equipment | 8 years |
Machinery and Equipment [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Straight line |
Machinery and Equipment [member] | Bottom of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, property, plant and equipment | 3 years |
Machinery and Equipment [member] | Top of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, property, plant and equipment | 12 years |
Furniture and other equipment [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Straight line |
Furniture and other equipment [member] | Bottom of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, property, plant and equipment | 2 years |
Furniture and other equipment [member] | Top of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, property, plant and equipment | 12 years |
Transport units [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation method, property, plant and equipment | Straight line |
Transport units [member] | Bottom of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, property, plant and equipment | 4 years |
Transport units [member] | Top of range [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Useful life measured as period of time, property, plant and equipment | 5 years |
Capital Work in Progress [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Measurement bases, property, plant and equipment | Not depreciated |
Significant Accounting Polici_7
Significant Accounting Policies (Schedule of changes to the consolidated balance sheet) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
CURRENT ASSETS: | ||
Inventories (note 7) | $ 35,274 | $ 14,969 |
NON-CURRENT ASSETS: | ||
Property, plant and equipment (note 10) | 405,410 | 375,656 |
Other assets (note 12) | $ 15,210 | 40,744 |
Previously stated [member] | ||
CURRENT ASSETS: | ||
Inventories (note 7) | 14,471 | |
NON-CURRENT ASSETS: | ||
Property, plant and equipment (note 10) | 378,509 | |
Other assets (note 12) | 38,389 | |
Increase (decrease) due to voluntary changes in accounting policy [member] | ||
CURRENT ASSETS: | ||
Inventories (note 7) | 498 | |
NON-CURRENT ASSETS: | ||
Property, plant and equipment (note 10) | (2,853) | |
Other assets (note 12) | $ 2,355 |
Significant Accounting Polici_8
Significant Accounting Policies (Schedule of changes to the cash flow) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Inventories | $ (25,659) | $ (3,889) |
Net cash provided by operating activities | 93,385 | 60,152 |
INVESTING ACTIVITIES | ||
Expenditures on Lindero construction | (80,782) | (186,800) |
Cash used in investing activities | $ (113,649) | (142,361) |
Previously stated [member] | ||
Inventories | (1,036) | |
Net cash provided by operating activities | 63,005 | |
INVESTING ACTIVITIES | ||
Expenditures on Lindero construction | (189,653) | |
Cash used in investing activities | (145,214) | |
Increase (decrease) due to voluntary changes in accounting policy [member] | ||
Inventories | (2,853) | |
Net cash provided by operating activities | (2,853) | |
INVESTING ACTIVITIES | ||
Expenditures on Lindero construction | 2,853 | |
Cash used in investing activities | $ 2,853 |
Use of Estimates, Assumptions_3
Use of Estimates, Assumptions and Judgements (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2020$ / oz$ / TUSD ($) | |
Gold Commodity Type [member] | |
Disclosure Of Detailed Information About Use Of Judgements And Estimates Explanatory [line items] | |
Long term prices used for reserves and resource estimates related to commodity | $ | 1,600 |
Silver Commodity Type [member] | |
Disclosure Of Detailed Information About Use Of Judgements And Estimates Explanatory [line items] | |
Long term prices used for reserves and resource estimates related to commodity | $ / oz | 21 |
Lead Commodity [member] | |
Disclosure Of Detailed Information About Use Of Judgements And Estimates Explanatory [line items] | |
Long term prices used for reserves and resource estimates related to commodity | 2,000 |
Zinc Commodity [member] | |
Disclosure Of Detailed Information About Use Of Judgements And Estimates Explanatory [line items] | |
Long term prices used for reserves and resource estimates related to commodity | 2,270 |
Trade and Other Receivables (Sc
Trade and Other Receivables (Schedule of Trade and Other Receivables) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of operating segments [line items] | ||
Trade receivables from concentrate sales | $ 26,309 | $ 33,642 |
Advances and other receivables | 4,108 | 2,419 |
Value added taxes recoverable | 8,890 | 11,646 |
Total accounts and other receivables | 76,555 | 47,707 |
Gains from securities trades | (17,897) | (20,582) |
Lindero Reporting Segment [member] | ||
Disclosure of operating segments [line items] | ||
Value added taxes recoverable | 37,248 | |
Unrealized foreign exchange loss | 12,365 | 12,137 |
Gains from securities trades | $ 3,306 | $ 11,204 |
Inventories (Schedule of Invent
Inventories (Schedule of Inventories) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of operating segments [line items] | ||
Concentrate stockpiles | $ 1,682 | $ 2,640 |
Leach pad and gold-in-circuit | 7,851 | |
Dore bars | 1,796 | |
Ore stockpiles | 11,640 | 6,085 |
Materials and supplies | 22,020 | 8,599 |
Total Inventory | 44,989 | 17,324 |
Less: non-current portion (note 12) | (9,715) | (2,355) |
Current inventories | 35,274 | 14,969 |
Cost of inventories recognised as expense during period | 160,138 | 169,711 |
Lindero Reporting Segment [member] | ||
Disclosure of operating segments [line items] | ||
Less: non-current portion (note 12) | $ (9,715) | $ (2,355) |
Other Current Assets (Schedule
Other Current Assets (Schedule related to other current assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Other Current Assets [abstract] | ||
Prepaid expenses | $ 2,622 | $ 2,942 |
Investments in equity securities (note 11) | 1,059 | |
Assets held for sale | 659 | 1,069 |
Income tax recoverable | 2,553 | |
Other current assets | 4,340 | $ 6,564 |
Write-downs (reversals of write-downs) of property, plant and equipment | $ 410 |
Mineral Properties and Explor_3
Mineral Properties and Exploration and Evaluation Assets (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Lindero Project [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Capitalized interest | $ 9,431 | $ 5,259 |
Mineral Properties and Explor_4
Mineral Properties and Exploration and Evaluation Assets (Schedule Related to Property, Plant and Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Cost | ||
Balance at December 31 | $ 375,656 | |
Balance at December 31 | 405,410 | $ 375,656 |
Accumulated Depreciation | ||
Balance at December 31 | 375,656 | |
Balance at December 31 | 405,410 | 375,656 |
NET BOOK VALUE at December 31, | 405,410 | 375,656 |
Gross carrying amount [member] | ||
Cost | ||
Balance at December 31 | 509,638 | 306,403 |
Additions | 59,138 | 204,189 |
Changes in closure and reclamation provision | 682 | 171 |
Disposals | (1,744) | (1,125) |
Balance at December 31 | 567,714 | 509,638 |
Accumulated Depreciation | ||
Balance at December 31 | 509,638 | 306,403 |
Disposals | 1,744 | 1,125 |
Balance at December 31 | 567,714 | 509,638 |
NET BOOK VALUE at December 31, | 567,714 | 509,638 |
Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance at December 31 | (133,982) | (106,887) |
Disposals | 1,126 | 825 |
Balance at December 31 | (162,304) | (133,982) |
Accumulated Depreciation | ||
Balance at December 31 | (133,982) | (106,887) |
Disposals | (1,126) | (825) |
Balance at December 31 | (162,304) | (133,982) |
NET BOOK VALUE at December 31, | (162,304) | (133,982) |
Mineral Properties and Exploration and Evaluation Assets [member] | ||
Cost | ||
Balance at December 31 | 353,519 | |
Balance at December 31 | 385,717 | 353,519 |
Accumulated Depreciation | ||
Balance at December 31 | 353,519 | |
Balance at December 31 | 385,717 | 353,519 |
NET BOOK VALUE at December 31, | 385,717 | 353,519 |
Mineral Properties and Exploration and Evaluation Assets [member] | Gross carrying amount [member] | ||
Cost | ||
Balance at December 31 | 524,376 | 460,885 |
Additions | 45,947 | 51,371 |
Changes in closure and reclamation provision | 8,657 | 14,636 |
Write-downs | (1,421) | |
Disposals | (2,516) | |
Balance at December 31 | 577,559 | 524,376 |
Accumulated Depreciation | ||
Balance at December 31 | 524,376 | 460,885 |
Disposals | 2,516 | |
Balance at December 31 | 577,559 | 524,376 |
NET BOOK VALUE at December 31, | 577,559 | 524,376 |
Mineral Properties and Exploration and Evaluation Assets [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance at December 31 | (170,857) | (148,085) |
Disposals | 543 | |
Balance at December 31 | (191,842) | (170,857) |
Accumulated Depreciation | ||
Balance at December 31 | (170,857) | (148,085) |
Disposals | (543) | |
Depletion | 21,528 | 22,772 |
Balance at December 31 | (191,842) | (170,857) |
NET BOOK VALUE at December 31, | (191,842) | (170,857) |
Mineral Properties [member] | ||
Cost | ||
Balance at December 31 | 7,933 | 7,797 |
Additions | 1,298 | 2,652 |
Write-downs | (188) | (2,516) |
Balance at December 31 | 9,043 | 7,933 |
Accumulated Depreciation | ||
Balance at December 31 | 7,933 | 7,797 |
Balance at December 31 | 9,043 | 7,933 |
NET BOOK VALUE at December 31, | 9,043 | 7,933 |
Caylloma Plant and Mine Equipment [member] | Depletable [member] | ||
Cost | ||
Balance at December 31 | 53,809 | |
Balance at December 31 | 53,297 | 53,809 |
Accumulated Depreciation | ||
Balance at December 31 | 53,809 | |
Balance at December 31 | 53,297 | 53,809 |
NET BOOK VALUE at December 31, | 53,297 | 53,809 |
Caylloma Plant and Mine Equipment [member] | Depletable [member] | Gross carrying amount [member] | ||
Cost | ||
Balance at December 31 | 128,244 | 121,625 |
Additions | 3,833 | 6,396 |
Changes in closure and reclamation provision | 2,599 | 223 |
Balance at December 31 | 134,676 | 128,244 |
Accumulated Depreciation | ||
Balance at December 31 | 128,244 | 121,625 |
Balance at December 31 | 134,676 | 128,244 |
NET BOOK VALUE at December 31, | 134,676 | 128,244 |
Caylloma Plant and Mine Equipment [member] | Depletable [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance at December 31 | (74,435) | (68,207) |
Balance at December 31 | (81,379) | (74,435) |
Accumulated Depreciation | ||
Balance at December 31 | (74,435) | (68,207) |
Depletion | 6,944 | 6,228 |
Balance at December 31 | (81,379) | (74,435) |
NET BOOK VALUE at December 31, | (81,379) | (74,435) |
San Jose Property Plant and Mine Equipment [member] | Depletable [member] | ||
Cost | ||
Balance at December 31 | 87,911 | |
Balance at December 31 | 82,275 | 87,911 |
Accumulated Depreciation | ||
Balance at December 31 | 87,911 | |
Balance at December 31 | 82,275 | 87,911 |
NET BOOK VALUE at December 31, | 82,275 | 87,911 |
San Jose Property Plant and Mine Equipment [member] | Depletable [member] | Gross carrying amount [member] | ||
Cost | ||
Balance at December 31 | 184,333 | 175,609 |
Additions | 8,310 | 7,838 |
Changes in closure and reclamation provision | 1,328 | 886 |
Write-downs | (1,233) | |
Balance at December 31 | 192,738 | 184,333 |
Accumulated Depreciation | ||
Balance at December 31 | 184,333 | 175,609 |
Balance at December 31 | 192,738 | 184,333 |
NET BOOK VALUE at December 31, | 192,738 | 184,333 |
San Jose Property Plant and Mine Equipment [member] | Depletable [member] | Accumulated depreciation and amortisation [member] | ||
Cost | ||
Balance at December 31 | (96,422) | (79,878) |
Disposals | 543 | |
Balance at December 31 | (110,463) | (96,422) |
Accumulated Depreciation | ||
Balance at December 31 | (96,422) | (79,878) |
Disposals | (543) | |
Depletion | 14,584 | 16,544 |
Balance at December 31 | (110,463) | (96,422) |
NET BOOK VALUE at December 31, | (110,463) | (96,422) |
Lindero Project [member] | Non Depletable [member] | ||
Cost | ||
Balance at December 31 | 203,866 | |
Balance at December 31 | 241,102 | 203,866 |
Accumulated Depreciation | ||
Balance at December 31 | 203,866 | |
Balance at December 31 | 241,102 | 203,866 |
NET BOOK VALUE at December 31, | 241,102 | 203,866 |
Lindero Project [member] | Non Depletable [member] | Gross carrying amount [member] | ||
Cost | ||
Balance at December 31 | 203,866 | 155,854 |
Additions | 32,506 | 34,485 |
Changes in closure and reclamation provision | 4,730 | 13,527 |
Balance at December 31 | 241,102 | 203,866 |
Accumulated Depreciation | ||
Balance at December 31 | 203,866 | 155,854 |
Balance at December 31 | 241,102 | 203,866 |
NET BOOK VALUE at December 31, | 241,102 | 203,866 |
Other Mineral Properties and Exploration and Evaluation Assets [member] | ||
Cost | ||
Balance at December 31 | 225 | 73 |
Additions | 967 | 152 |
Write-downs | (188) | |
Balance at December 31 | 1,004 | 225 |
Accumulated Depreciation | ||
Balance at December 31 | 225 | 73 |
Balance at December 31 | 1,004 | 225 |
NET BOOK VALUE at December 31, | 1,004 | 225 |
Other Mineral Properties and Exploration and Evaluation Assets [member] | Non Depletable [member] | ||
Cost | ||
Balance at December 31 | 7,933 | |
Balance at December 31 | 9,043 | 7,933 |
Accumulated Depreciation | ||
Balance at December 31 | 7,933 | |
Balance at December 31 | 9,043 | 7,933 |
NET BOOK VALUE at December 31, | 9,043 | 7,933 |
Other Mineral Properties and Exploration and Evaluation Assets [member] | Non Depletable [member] | Gross carrying amount [member] | ||
Cost | ||
Balance at December 31 | 7,933 | 7,797 |
Additions | 1,298 | 2,652 |
Write-downs | (188) | |
Disposals | (2,516) | |
Balance at December 31 | 9,043 | 7,933 |
Accumulated Depreciation | ||
Balance at December 31 | 7,933 | 7,797 |
Disposals | 2,516 | |
Balance at December 31 | 9,043 | 7,933 |
NET BOOK VALUE at December 31, | 9,043 | 7,933 |
Tlacolula E&EA | MEXICO | ||
Cost | ||
Balance at December 31 | 3,516 | 3,298 |
Additions | 209 | 218 |
Balance at December 31 | 3,725 | 3,516 |
Accumulated Depreciation | ||
Balance at December 31 | 3,516 | 3,298 |
Balance at December 31 | 3,725 | 3,516 |
NET BOOK VALUE at December 31, | 3,725 | 3,516 |
Pachuca E&EA | MEXICO | ||
Cost | ||
Additions | 962 | |
Write-downs | (962) | |
Arizaro E&EA | ARGENTINA | ||
Cost | ||
Balance at December 31 | 936 | 934 |
Additions | 2 | |
Balance at December 31 | 936 | 936 |
Accumulated Depreciation | ||
Balance at December 31 | 936 | 934 |
Balance at December 31 | 936 | 936 |
NET BOOK VALUE at December 31, | 936 | 936 |
Esperanza E&EA | ARGENTINA | ||
Cost | ||
Balance at December 31 | 788 | |
Write-downs | (788) | |
Accumulated Depreciation | ||
Balance at December 31 | 788 | |
NET BOOK VALUE at December 31, | 788 | |
Incachule E&EA | ARGENTINA | ||
Cost | ||
Balance at December 31 | 766 | |
Write-downs | (766) | |
Accumulated Depreciation | ||
Balance at December 31 | 766 | |
NET BOOK VALUE at December 31, | 766 | |
Barje E&EA [Member] | SERBIA | ||
Cost | ||
Balance at December 31 | 3,256 | 1,938 |
Additions | 122 | 1,318 |
Balance at December 31 | 3,378 | 3,256 |
Accumulated Depreciation | ||
Balance at December 31 | 3,256 | 1,938 |
Balance at December 31 | 3,378 | 3,256 |
NET BOOK VALUE at December 31, | $ 3,378 | $ 3,256 |
Plant and Equipment (Schedule R
Plant and Equipment (Schedule Related to Property, Plant and Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Jan. 01, 2019 | |
Cost | |||
Balance at December 31 | $ 375,656 | ||
Balance at December 31 | 405,410 | $ 375,656 | |
Accumulated Depreciation | |||
Balance at December 31 | 375,656 | ||
Depreciation | 45,408 | 46,352 | |
Balance at December 31 | 405,410 | 375,656 | |
NET BOOK VALUE at December 31, | 405,410 | 375,656 | |
Lease liabilities from finance leases previously recorded in lease obligations | $ 8,767 | ||
Previously stated [member] | |||
Cost | |||
Balance at December 31 | 378,509 | ||
Balance at December 31 | 378,509 | ||
Accumulated Depreciation | |||
Balance at December 31 | 378,509 | ||
Balance at December 31 | 378,509 | ||
NET BOOK VALUE at December 31, | 378,509 | 378,509 | |
Gross carrying amount [member] | |||
Cost | |||
Balance at December 31 | 509,638 | 306,403 | |
Additions | 59,138 | 204,189 | |
Changes in closure and reclamation provision | 682 | 171 | |
Disposals | (1,744) | (1,125) | |
Balance at December 31 | 567,714 | 509,638 | |
Accumulated Depreciation | |||
Balance at December 31 | 509,638 | 306,403 | |
Disposals | 1,744 | 1,125 | |
Balance at December 31 | 567,714 | 509,638 | |
NET BOOK VALUE at December 31, | 567,714 | 509,638 | |
Gross carrying amount [member] | Previously stated [member] | |||
Cost | |||
Balance at December 31 | 299,087 | ||
Accumulated Depreciation | |||
Balance at December 31 | 299,087 | ||
NET BOOK VALUE at December 31, | 299,087 | ||
Gross carrying amount [member] | Increase (decrease) due to changes in accounting policy required by IFRSs [member] | |||
Cost | |||
Balance at December 31 | 7,316 | ||
Accumulated Depreciation | |||
Balance at December 31 | 7,316 | ||
NET BOOK VALUE at December 31, | 7,316 | ||
Accumulated depreciation and amortisation [member] | |||
Cost | |||
Balance at December 31 | (133,982) | (106,887) | |
Disposals | 1,126 | 825 | |
Balance at December 31 | (162,304) | (133,982) | |
Accumulated Depreciation | |||
Balance at December 31 | (133,982) | (106,887) | |
Disposals | (1,126) | (825) | |
Depreciation | 29,448 | 27,920 | |
Balance at December 31 | (162,304) | (133,982) | |
NET BOOK VALUE at December 31, | (162,304) | (133,982) | |
Machinery and Equipment [member] | |||
Cost | |||
Balance at December 31 | 33,032 | ||
Balance at December 31 | 61,707 | 33,032 | |
Accumulated Depreciation | |||
Balance at December 31 | 33,032 | ||
Balance at December 31 | 61,707 | 33,032 | |
NET BOOK VALUE at December 31, | 61,707 | 33,032 | |
Machinery and Equipment [member] | Gross carrying amount [member] | |||
Cost | |||
Balance at December 31 | 75,246 | 74,188 | |
Additions | 5,190 | 1,185 | |
Changes in closure and reclamation provision | 682 | 171 | |
Disposals | (750) | (1,038) | |
Transfers | 29,636 | 740 | |
Balance at December 31 | 110,004 | 75,246 | |
Accumulated Depreciation | |||
Balance at December 31 | 75,246 | 74,188 | |
Disposals | 750 | 1,038 | |
Balance at December 31 | 110,004 | 75,246 | |
NET BOOK VALUE at December 31, | 110,004 | 75,246 | |
Machinery and Equipment [member] | Gross carrying amount [member] | Previously stated [member] | |||
Cost | |||
Balance at December 31 | 74,188 | ||
Accumulated Depreciation | |||
Balance at December 31 | 74,188 | ||
NET BOOK VALUE at December 31, | 74,188 | ||
Machinery and Equipment [member] | Accumulated depreciation and amortisation [member] | |||
Cost | |||
Balance at December 31 | (42,214) | (35,843) | |
Disposals | 618 | 746 | |
Balance at December 31 | (48,297) | (42,214) | |
Accumulated Depreciation | |||
Balance at December 31 | (42,214) | (35,843) | |
Disposals | (618) | (746) | |
Depreciation | 6,701 | 7,117 | |
Balance at December 31 | (48,297) | (42,214) | |
NET BOOK VALUE at December 31, | (48,297) | (42,214) | |
Land, Buildings and Leasehold Improvements [member] | |||
Cost | |||
Balance at December 31 | 81,372 | ||
Balance at December 31 | 120,231 | 81,372 | |
Accumulated Depreciation | |||
Balance at December 31 | 81,372 | ||
Balance at December 31 | 120,231 | 81,372 | |
NET BOOK VALUE at December 31, | 120,231 | 81,372 | |
Land, Buildings and Leasehold Improvements [member] | Gross carrying amount [member] | |||
Cost | |||
Balance at December 31 | 159,732 | 141,318 | |
Additions | 473 | 714 | |
Transfers | 51,547 | 17,700 | |
Balance at December 31 | 211,752 | 159,732 | |
Accumulated Depreciation | |||
Balance at December 31 | 159,732 | 141,318 | |
Balance at December 31 | 211,752 | 159,732 | |
NET BOOK VALUE at December 31, | 211,752 | 159,732 | |
Land, Buildings and Leasehold Improvements [member] | Gross carrying amount [member] | Previously stated [member] | |||
Cost | |||
Balance at December 31 | 141,318 | ||
Accumulated Depreciation | |||
Balance at December 31 | 141,318 | ||
NET BOOK VALUE at December 31, | 141,318 | ||
Land, Buildings and Leasehold Improvements [member] | Accumulated depreciation and amortisation [member] | |||
Cost | |||
Balance at December 31 | (78,360) | (65,547) | |
Balance at December 31 | (91,521) | (78,360) | |
Accumulated Depreciation | |||
Balance at December 31 | (78,360) | (65,547) | |
Depreciation | 13,161 | 12,813 | |
Balance at December 31 | (91,521) | (78,360) | |
NET BOOK VALUE at December 31, | (91,521) | (78,360) | |
Furniture and Other Equipment [member] | |||
Cost | |||
Balance at December 31 | 8,681 | ||
Balance at December 31 | 9,353 | 8,681 | |
Accumulated Depreciation | |||
Balance at December 31 | 8,681 | ||
Balance at December 31 | 9,353 | 8,681 | |
NET BOOK VALUE at December 31, | 9,353 | 8,681 | |
Furniture and Other Equipment [member] | Gross carrying amount [member] | |||
Cost | |||
Balance at December 31 | 16,083 | 11,066 | |
Additions | 1,427 | 3,464 | |
Disposals | (109) | (87) | |
Transfers | 2,096 | 1,640 | |
Balance at December 31 | 19,497 | 16,083 | |
Accumulated Depreciation | |||
Balance at December 31 | 16,083 | 11,066 | |
Disposals | 109 | 87 | |
Balance at December 31 | 19,497 | 16,083 | |
NET BOOK VALUE at December 31, | 19,497 | 16,083 | |
Furniture and Other Equipment [member] | Gross carrying amount [member] | Previously stated [member] | |||
Cost | |||
Balance at December 31 | 11,066 | ||
Accumulated Depreciation | |||
Balance at December 31 | 11,066 | ||
NET BOOK VALUE at December 31, | 11,066 | ||
Furniture and Other Equipment [member] | Accumulated depreciation and amortisation [member] | |||
Cost | |||
Balance at December 31 | (7,402) | (5,390) | |
Disposals | 100 | 79 | |
Balance at December 31 | (10,144) | (7,402) | |
Accumulated Depreciation | |||
Balance at December 31 | (7,402) | (5,390) | |
Disposals | (100) | (79) | |
Depreciation | 2,842 | 2,091 | |
Balance at December 31 | (10,144) | (7,402) | |
NET BOOK VALUE at December 31, | (10,144) | (7,402) | |
Assets under Lease [member] | |||
Cost | |||
Balance at December 31 | 29,665 | ||
Balance at December 31 | 25,159 | 29,665 | |
Accumulated Depreciation | |||
Balance at December 31 | 29,665 | ||
Balance at December 31 | 25,159 | 29,665 | |
NET BOOK VALUE at December 31, | 25,159 | 29,665 | |
Assets under Lease [member] | Gross carrying amount [member] | |||
Cost | |||
Balance at December 31 | 35,671 | 20,727 | |
Additions | 2,715 | 14,944 | |
Disposals | (885) | ||
Balance at December 31 | 37,501 | 35,671 | |
Accumulated Depreciation | |||
Balance at December 31 | 35,671 | 20,727 | |
Disposals | 885 | ||
Balance at December 31 | 37,501 | 35,671 | |
NET BOOK VALUE at December 31, | 37,501 | 35,671 | |
Assets under Lease [member] | Gross carrying amount [member] | Previously stated [member] | |||
Cost | |||
Balance at December 31 | 13,411 | ||
Accumulated Depreciation | |||
Balance at December 31 | 13,411 | ||
NET BOOK VALUE at December 31, | 13,411 | ||
Assets under Lease [member] | Gross carrying amount [member] | Increase (decrease) due to changes in accounting policy required by IFRSs [member] | |||
Cost | |||
Balance at December 31 | 7,316 | ||
Accumulated Depreciation | |||
Balance at December 31 | 7,316 | ||
NET BOOK VALUE at December 31, | 7,316 | ||
Assets under Lease [member] | Accumulated depreciation and amortisation [member] | |||
Cost | |||
Balance at December 31 | (6,006) | (107) | |
Disposals | 408 | ||
Balance at December 31 | (12,342) | (6,006) | |
Accumulated Depreciation | |||
Balance at December 31 | (6,006) | (107) | |
Disposals | (408) | ||
Depreciation | 6,744 | 5,899 | |
Balance at December 31 | (12,342) | (6,006) | |
NET BOOK VALUE at December 31, | (12,342) | (6,006) | |
Capital Work in Projress Lindero [member] | |||
Cost | |||
Balance at December 31 | 216,482 | ||
Balance at December 31 | 187,070 | 216,482 | |
Accumulated Depreciation | |||
Balance at December 31 | 216,482 | ||
Balance at December 31 | 187,070 | 216,482 | |
NET BOOK VALUE at December 31, | 187,070 | 216,482 | |
Capital Work in Projress Lindero [member] | Gross carrying amount [member] | |||
Cost | |||
Balance at December 31 | 216,482 | 52,964 | |
Additions | 45,688 | 174,164 | |
Transfers | (75,100) | (10,646) | |
Balance at December 31 | 187,070 | 216,482 | |
Accumulated Depreciation | |||
Balance at December 31 | 216,482 | 52,964 | |
Balance at December 31 | 187,070 | 216,482 | |
NET BOOK VALUE at December 31, | 187,070 | 216,482 | |
Capital Work in Projress Lindero [member] | Gross carrying amount [member] | Previously stated [member] | |||
Cost | |||
Balance at December 31 | 52,964 | ||
Accumulated Depreciation | |||
Balance at December 31 | 52,964 | ||
NET BOOK VALUE at December 31, | 52,964 | ||
Capital Work in Progress Other [member] | |||
Cost | |||
Balance at December 31 | 6,424 | ||
Balance at December 31 | 1,890 | 6,424 | |
Accumulated Depreciation | |||
Balance at December 31 | 6,424 | ||
Balance at December 31 | 1,890 | 6,424 | |
NET BOOK VALUE at December 31, | 1,890 | 6,424 | |
Capital Work in Progress Other [member] | Gross carrying amount [member] | |||
Cost | |||
Balance at December 31 | 6,424 | 6,140 | |
Additions | 3,645 | 9,718 | |
Transfers | (8,179) | (9,434) | |
Balance at December 31 | 1,890 | 6,424 | |
Accumulated Depreciation | |||
Balance at December 31 | 6,424 | 6,140 | |
Balance at December 31 | 1,890 | 6,424 | |
NET BOOK VALUE at December 31, | $ 1,890 | 6,424 | |
Capital Work in Progress Other [member] | Gross carrying amount [member] | Previously stated [member] | |||
Cost | |||
Balance at December 31 | 6,140 | ||
Accumulated Depreciation | |||
Balance at December 31 | 6,140 | ||
NET BOOK VALUE at December 31, | $ 6,140 |
Investments in Associate (Narra
Investments in Associate (Narrative) (Details) shares in Millions | Jul. 16, 2020CAD ($)shares |
Medgold | |
Disclosure of associates [line items] | |
Proportion of ownership interest in associate | 15.60% |
Medgold Resources Corporation [member] | |
Disclosure of associates [line items] | |
Number of units authorized finance sale | shares | 40 |
Purchased per unit price paid by entity | $ | 0.05 |
Investments in Associate (Discl
Investments in Associate (Disclosure of Associates) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of associates [line items] | ||
Shares and warrants presented as marketable securities at beginning | $ 1,331 | $ 4,277 |
Write down of investment | (2,721) | |
Share of net income (loss) | (76) | (225) |
Transfer to investments in equity securities | (1,255) | |
Shares and warrants presented as marketable securities at ending | 1,331 | |
Medgold | ||
Disclosure of associates [line items] | ||
Shares and warrants presented as marketable securities at beginning | 974 | 3,075 |
Write down of investment | (1,937) | |
Share of net income (loss) | (47) | (164) |
Transfer to investments in equity securities | (927) | |
Shares and warrants presented as marketable securities at ending | 974 | |
Prospero | ||
Disclosure of associates [line items] | ||
Shares and warrants presented as marketable securities at beginning | 357 | 1,202 |
Write down of investment | (784) | |
Share of net income (loss) | (29) | (61) |
Transfer to investments in equity securities | $ (328) | |
Shares and warrants presented as marketable securities at ending | $ 357 |
Other Assets (Narrative) (Detai
Other Assets (Narrative) (Details) $ in Thousands | 1 Months Ended |
Jan. 31, 2021USD ($) | |
Recovery of Receivable [member] | |
Disclosure of fair value measurement of assets [line items] | |
Value added tax recovered | $ 11,300 |
Other Assets (Schedule of other
Other Assets (Schedule of other assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Ore stockpiles | $ 9,715 | $ 2,355 |
Value added tax receivables | 8,890 | 11,646 |
Income tax recoverable (note 33 (d)) | 1,199 | 1,310 |
Other assets | 910 | 867 |
Other assets | 15,210 | 40,744 |
Lindero Project [member] | ||
Value added tax receivables | 34,176 | |
San Jose Property Plant and Mine Equipment [member] | ||
Value added tax receivables | $ 3,386 | $ 2,036 |
Deposits and Advances to Cont_2
Deposits and Advances to Contractors (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Advance paid to contractors | $ 934 | $ 12,171 |
Decrease against longterm deposits | 509 | |
Advances applied to Lindero construction and other expenditures | 15,450 | 50,650 |
Lindero Project [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Advance paid to contractors | 934 | 12,164 |
New Deposits Of Equipment and Advances [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Advance paid to contractors | $ 4,729 | $ 19,175 |
Trade and Other Payables (Sched
Trade and Other Payables (Schedule of Trade and Other Payables) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Trade and Other Payables [abstract] | ||
Trade accounts payable | $ 21,918 | $ 15,975 |
Lindero construction trade payables | 7,694 | 24,998 |
Refundable deposits to contractors | 1,442 | 1,496 |
Payroll payable | 15,878 | 13,627 |
Mining royalty payable | 1,094 | 1,237 |
Value added taxes payable | 519 | 224 |
Interest payable | 1,383 | 1,457 |
Due to related parties (note 15) | 9 | 14 |
Other payables | 1,711 | 535 |
Derivative liability | 1,260 | 894 |
Deferred share units payable (note 20(a)) | 9,239 | 3,918 |
Restricted share units payable (note 20(b)) | 3,128 | 911 |
Total trade and other payables | $ 65,275 | $ 65,286 |
Related Party Transactions (Nar
Related Party Transactions (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Gold Group Management Inc [member] | ||
Disclosure of transactions between related parties [line items] | ||
Amounts payable, related party transactions | $ 9 | $ 14 |
Gold Group Management Inc and Mill Street Services Ltd [member] | ||
Disclosure of transactions between related parties [line items] | ||
Purchase of goods and service related party transactions | $ 157 | $ 210 |
Related Party Transactions (Sch
Related Party Transactions (Schedule of Related Party) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of transactions between related parties [line items] | ||
Salaries and benefits | $ 4,266 | $ 4,716 |
Directors fees | 707 | 702 |
Consulting fees | 134 | 135 |
Share-based payments | 11,115 | 5,449 |
Key management personnel compensation | 16,222 | 11,002 |
Gold Group Management Inc and Mill Street Services Ltd [member] | ||
Disclosure of transactions between related parties [line items] | ||
Personnel costs | 19 | 21 |
General and administrative expenses | 138 | 189 |
Purchase of goods and service related party transactions | $ 157 | $ 210 |
Lease Obligations (Schedule of
Lease Obligations (Schedule of Lease Obligations) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of quantitative information about right-of-use assets [line items] | ||
Operating leases | $ 31,703 | $ 37,792 |
Less: future finance charges | (12,206) | (13,913) |
Present value of minimum lease payments | 19,497 | 23,879 |
Less current portion | (6,978) | (8,831) |
Non-current portion | 12,519 | 15,048 |
Lease Obligation Mining Equipment | ||
Disclosure of quantitative information about right-of-use assets [line items] | ||
Operating leases | 16,829 | |
Lease Obligation Other Leases | ||
Disclosure of quantitative information about right-of-use assets [line items] | ||
Operating leases | 2,668 | |
Less than one year | ||
Disclosure of quantitative information about right-of-use assets [line items] | ||
Operating leases | 7,367 | 9,313 |
Between one and five years | ||
Disclosure of quantitative information about right-of-use assets [line items] | ||
Operating leases | 10,209 | 13,521 |
More than five years | ||
Disclosure of quantitative information about right-of-use assets [line items] | ||
Operating leases | $ 14,127 | $ 14,958 |
Debt - Movement in debt (Detail
Debt - Movement in debt (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about borrowings [line items] | ||
Balance at December 31, 2018 | $ 146,535 | $ 69,302 |
Proceeds from debentures | 46,000 | |
Transaction costs on convertible debentures (note 17(b)) | (2,490) | |
Portion allocated to equity | (7,141) | |
Transaction costs allocated to equity | 389 | |
Amortization of transaction costs , discount | 2,081 | 475 |
Drawdowns | 65,000 | 40,000 |
Repayments of borrowings | (55,000) | |
Balance at December 31, 2019 | 158,616 | 146,535 |
Term Credit Facility [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Balance at December 31, 2018 | 109,430 | 69,302 |
Amortization of transaction costs , discount | 420 | 128 |
Drawdowns | 65,000 | 40,000 |
Repayments of borrowings | (55,000) | |
Balance at December 31, 2019 | 119,850 | 109,430 |
Debentures [Member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Balance at December 31, 2018 | 37,105 | |
Proceeds from debentures | 46,000 | |
Transaction costs on convertible debentures (note 17(b)) | (2,490) | |
Portion allocated to equity | (7,141) | |
Transaction costs allocated to equity | 389 | |
Amortization of transaction costs , discount | 1,661 | 347 |
Balance at December 31, 2019 | $ 38,766 | $ 37,105 |
Debt - Credit Facility (Details
Debt - Credit Facility (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | 10 Months Ended | 12 Months Ended | |
Dec. 31, 2020USD ($) | Dec. 31, 2020USD ($) | Jan. 26, 2022 | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Disclosure of detailed information about borrowings [line items] | |||||
Proceeds from credit facility (note 17(a)) | $ 65,000 | $ 40,000 | |||
Repayment for credit facility | 55,000 | ||||
Term Credit Facility [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Repayment for credit facility | $ 55,000 | ||||
Amended Credit Facility [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Senior secured debt to EBITDA ratio | 3 | ||||
EBITDA to interest expense, ratio | 4 | ||||
Amended Credit Facility [Member] | Scenario, Plan [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Total net debt to EBITDA ratio | 4 | ||||
Senior secured debt to EBITDA ratio | 2 | ||||
Amended Credit Facility [Member] | Bottom of range [member] | Ifrs London Interbank Offered Rate (LIBOR) [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate basis | 2.5% | ||||
Amended Credit Facility [Member] | Top of range [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Total net debt to EBITDA ratio | 4.50 | 4.50 | |||
Amended Credit Facility [Member] | Top of range [member] | Ifrs London Interbank Offered Rate (LIBOR) [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate basis | 3.5% | ||||
Revolving Credit Facility [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Undrawn amount in credit facility | $ 110,000 | $ 110,000 | $ 110,000 | ||
Borrowings amount that matured | 30,000 | 30,000 | 30,000 | ||
Proceeds from credit facility (note 17(a)) | 65,000 | $ 40,000 | |||
Repayment for credit facility | 55,000 | ||||
Borrowing capacity | 110,000 | 110,000 | 110,000 | ||
Credit facility, remaining borrowing capacity | 80,000 | 80,000 | 80,000 | ||
Revolving Credit Facility [member] | Maturity Date Scenario One [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings amount that matured | 30,000 | 30,000 | $ 30,000 | ||
Borrowings, maturity | December 31, 2020 | ||||
Revolving Credit Facility [member] | Maturity Date Scenario Two [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, maturity | January 26, 2022 | ||||
Non-Revolving Credit Facility [Member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Undrawn amount in credit facility | $ 40,000 | $ 40,000 | $ 40,000 |
Debt - Convertible Debenture (D
Debt - Convertible Debenture (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Oct. 02, 2019 | |
Disclosure of detailed information about borrowings [line items] | |||
Proceeds from convertible debentures (note 17(b)) | $ 46,000 | ||
Debentures classified as equity | 7,141 | ||
Deferred income tax expense through equity | (1,927) | ||
Debentures [Member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Notional amount | $ 46,000 | ||
Proceeds from convertible debentures (note 17(b)) | 46,000 | ||
Borrowings, interest rate | 4.65% | ||
Conversion price | $ 5 | ||
Conversion rate | 200 | ||
Redemption percentage of conversion price | 125.00% | ||
Percentage of principal amount of debt redeemed | 95.00% | ||
Debentures classified as equity | $ 7,141 | ||
Interest paid on debentures | $ 2,315 |
Other Liabilities (Schedule of
Other Liabilities (Schedule of Other Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other Liabilities [abstract] | ||
Restricted share units (note 20) | $ 2,264 | $ 246 |
Other non-current liabilities | 259 | 253 |
Other liabilities | $ 2,523 | $ 499 |
Closure and Reclamation Provi_3
Closure and Reclamation Provisions (Schedule of Closure and Rehabilitation Provisions) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of other provisions [line items] | ||
Current portion | $ 380 | $ 3,257 |
Non-current provisions | 39,970 | 27,868 |
Provision for decommissioning, restoration and rehabilitation costs [member] | ||
Disclosure of other provisions [line items] | ||
Balance at beginning | 31,125 | 15,943 |
Changes in estimate | 9,098 | 14,670 |
Incurred and charged against the provision | (341) | (351) |
Accretion | 754 | 726 |
Effect of foreign exchange changes | (286) | 137 |
Balance at ending | 40,350 | 31,125 |
Current portion | (380) | (3,257) |
Non-current provisions | 39,970 | 27,868 |
Caylloma M&I Property [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | ||
Disclosure of other provisions [line items] | ||
Balance at beginning | 11,324 | 10,800 |
Changes in estimate | 3,288 | 394 |
Incurred and charged against the provision | (114) | (201) |
Accretion | 256 | 331 |
Effect of foreign exchange changes | 7 | |
Balance at ending | 14,761 | 11,324 |
Current portion | (142) | (3,048) |
Non-current provisions | 14,619 | 8,276 |
Increase (decrease) to other provisions | 3,179 | |
San Jose M&I Property [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | ||
Disclosure of other provisions [line items] | ||
Balance at beginning | 4,848 | 3,716 |
Changes in estimate | 1,328 | 886 |
Incurred and charged against the provision | (227) | (150) |
Accretion | 249 | 259 |
Effect of foreign exchange changes | (293) | 137 |
Balance at ending | 5,905 | 4,848 |
Current portion | (238) | (209) |
Non-current provisions | 5,667 | 4,639 |
Lindero Project [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | ||
Disclosure of other provisions [line items] | ||
Balance at beginning | 14,953 | 1,427 |
Changes in estimate | 4,482 | 13,390 |
Accretion | 249 | 136 |
Balance at ending | 19,684 | 14,953 |
Non-current provisions | $ 19,684 | $ 14,953 |
Closure and Reclamation Provi_4
Closure and Reclamation Provisions (Schedule of Estimates Used in Closure and Rehabilitation Provisions) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Provision for decommissioning, restoration and rehabilitation costs [member] | |
Disclosure of other provisions [line items] | |
Undiscounted estimated cash flow | $ 39,709 |
Caylloma M&I Property [member] | Bottom of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2021 |
Caylloma M&I Property [member] | Top of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2032 |
Caylloma M&I Property [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | |
Disclosure of other provisions [line items] | |
Undiscounted estimated cash flow | $ 14,899 |
Estimated life of mine (years) | 7 years |
Discount rate | 2.25% |
Inflation rate | 2.00% |
San Jose M&I Property [member] | Bottom of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2025 |
San Jose M&I Property [member] | Top of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2037 |
San Jose M&I Property [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | |
Disclosure of other provisions [line items] | |
Undiscounted estimated cash flow | $ 6,864 |
Estimated life of mine (years) | 5 years |
Discount rate | 5.25% |
Inflation rate | 3.52% |
Lindero Project [member] | Bottom of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2029 |
Lindero Project [member] | Top of range [member] | |
Disclosure of other provisions [line items] | |
Anticipated settlement date | 2042 |
Lindero Project [member] | Provision for decommissioning, restoration and rehabilitation costs [member] | |
Disclosure of other provisions [line items] | |
Undiscounted estimated cash flow | $ 17,946 |
Estimated life of mine (years) | 13 years |
Discount rate | 1.45% |
Inflation rate | 2.06% |
Share Based Payments (Narrative
Share Based Payments (Narrative) (Details) | Apr. 20, 2020$ / shares | Sep. 30, 2020EquityInstrumentsshares | Sep. 30, 2020EquityInstrumentsshares | Dec. 31, 2020USD ($)$ / sharesshares | Dec. 31, 2019$ / shares$ / shares | Dec. 31, 2019USD ($)EquityInstruments$ / shares | Dec. 31, 2020$ / shares | Apr. 20, 2020$ / shares | Dec. 31, 2019$ / shares |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Expense from share-based payment transactions with employees | $ 12,444,000 | $ 6,013,000 | |||||||
Deferred, Restricted and Performance Share Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Expense from share-based payment transactions with employees | $ 12,388,000 | $ 5,471,000 | |||||||
Fair value per share granted options | (per share) | $ 2.36 | $ 3.62 | $ 3.62 | $ 3.32 | $ 4.83 | ||||
Equity Settled, Restricted Share Units [Member] | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Granted, other units | 815,220 | 633,914 | |||||||
Fair value per share granted options | (per share) | $ 2.36 | $ 3.62 | $ 3.62 | $ 3.32 | $ 4.83 | ||||
Performance Share Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Granted, other units | EquityInstruments | 0 | 0 | 422,609 | ||||||
Fair value per unit | (per share) | $ 4.83 | $ 3.62 | |||||||
Stock Options | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Expense from share-based payment transactions with employees | $ 56,000 | $ 542,000 | |||||||
Stock options available for issuance | shares | 2,092,236 | 2,092,236 | |||||||
Vesting Tranche One Period [member] | Restricted Share Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Vesting tranche percentage sharebased arrangements | 20.00% | ||||||||
Vesting Tranche One Period [member] | Performance Share Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Vesting tranche percentage sharebased arrangements | 20.00% | ||||||||
Vesting Tranche Two Period [member] | Restricted Share Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Vesting tranche percentage sharebased arrangements | 30.00% | ||||||||
Vesting Tranche Two Period [member] | Performance Share Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Vesting tranche percentage sharebased arrangements | 30.00% | ||||||||
Vesting Tranche Three Period [member] | Restricted Share Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Vesting tranche percentage sharebased arrangements | 50.00% | ||||||||
Vesting Tranche Three Period [member] | Performance Share Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Vesting tranche percentage sharebased arrangements | 50.00% | ||||||||
Bottom of range [member] | Performance Share Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Vesting tranche percentage sharebased arrangements | 50.00% | ||||||||
Top of range [member] | Performance Share Units | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Vesting tranche percentage sharebased arrangements | 200.00% | ||||||||
Top of range [member] | Stock Options | |||||||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||||||||
Maximum issue of shares permitted | shares | 12,200,000 |
Share Based Payments (Schedule
Share Based Payments (Schedule of Outstanding Units Activity) (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2020EquityInstruments | Sep. 30, 2020USD ($)EquityInstruments | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($)EquityInstruments | |
Deferred Share Units [member] | ||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||
Outstanding, other than options, beginning | 961,871 | 961,871 | 850,067 | |
Granted, other units | 162,648 | 111,804 | ||
Outstanding, other than options, ending | 1,124,519 | 961,871 | ||
Outstanding, beginning balance, fair value | $ 3,918,000 | $ 3,918,000 | $ 3,116,000 | |
Fair Value, granted, other units | 383,000 | 455,000 | ||
Change in fair value, other units | 4,938,000 | 347,000 | ||
Outstanding, ending balance, fair value | $ 9,239,000 | $ 3,918,000 | ||
Cash Settled, Restricted Share Units [Member] | ||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||
Outstanding, other than options, beginning | 392,435 | 392,435 | 659,385 | |
Granted, other units | 1,056,207 | 139,661 | ||
Paid, other units | (81,152) | (406,611) | ||
Outstanding, other than options, ending | 1,367,490 | 392,435 | ||
Outstanding, beginning balance, fair value | $ 1,157,000 | $ 1,157,000 | $ 2,057,000 | |
Fair Value, granted, other units | 2,489,000 | 506,000 | ||
Fair Value, Paid in Cash, other units | (257,000) | (1,466,000) | ||
Change in fair value, other units | 2,003,000 | 60,000 | ||
Outstanding, ending balance, fair value | 5,392,000 | $ 1,157,000 | ||
Fair value, Current portion | (3,128,000) | |||
Fair value, Non-current portion | $ 2,264,000 | |||
Equity Settled, Restricted Share Units [Member] | ||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||
Outstanding, other than options, beginning | 1,166,912 | 1,166,912 | 734,631 | |
Granted, other units | 815,220 | 633,914 | ||
Paid, other units | (448,766) | (201,633) | ||
Outstanding, other than options, ending | 1,533,366 | 1,166,912 | ||
Performance Share Units | ||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||
Granted, other units | EquityInstruments | 0 | 0 | 422,609 | |
Equity Settled, Performance Share Units [Member] | ||||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||||
Outstanding, other than options, beginning | 1,274,450 | 1,274,450 | 1,002,166 | |
Granted, other units | 422,609 | |||
Paid, other units | (243,782) | (150,325) | ||
Forfeited or cancelled, other units | (191,498) | |||
Outstanding, other than options, ending | 839,170 | 1,274,450 |
Share Based Payments (Schedul_2
Share Based Payments (Schedule of Outstanding Option Activity) (Details) | 12 Months Ended | |||
Dec. 31, 2020USD ($)$ / shares | Dec. 31, 2020USD ($)$ / shares | Dec. 31, 2019USD ($)$ / shares | Dec. 31, 2018USD ($)$ / shares | |
Share Based Payments [abstract] | ||||
Outstanding, Options at beginning of period | $ | 1,784,029 | |||
Exercised, options | $ | (211,626) | |||
Expired unexercised, options | $ | (517,833) | |||
Outstanding, Options, at end of period | $ | 1,054,570 | |||
Vested and exercisable, at end of period | $ | 1,054,570 | 1,459,779 | ||
Outstanding, options, Weighted average exercise price, beginning | $ / shares | $ 5.85 | |||
Exercised, options, Weighted average exercise price | $ / shares | 6.28 | |||
Expired unexercised, Weighted average exercise price | $ / shares | 4.79 | |||
Outstanding, options, Weighted average exercise price, ending | $ / shares | $ 6.28 | |||
Vested and exercisable, options, Weighted average exercise price | $ / shares | $ 6.28 | $ 5.77 | ||
Number Of Stocks And Weighted Average Exercise Price [abstract] | ||||
Number of share options outstanding in share-based payment arrangement | $ | 1,054,570 | 1,054,570 | 1,784,029 | 1,784,029 |
Weighted average exercise price of share options outstanding in share-based payment arrangement | $ / shares | $ 6.28 | $ 6.28 | $ 5.85 | $ 5.85 |
Share Capital (Narrative) (Deta
Share Capital (Narrative) (Details) $ in Thousands | May 20, 2020USD ($)$ / sharesshares | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) |
Share Capital [abstract] | |||
Issuance of common shares, shares | shares | 23,000,000 | ||
Issue of equity | $ 69,000 | ||
Shares issued for the period per share amount | $ / shares | 3 | ||
Proceeds from issuing shares | $ 69,000 | ||
Expense from share-based payment transactions with employees | 12,444 | $ 6,013 | |
Share issue related cost | $ 3,358 | $ 3,358 | |
Explanation of fact that shares have no par value | The Company has an unlimited number of common shares without par value authorized for issue. |
Earnings per Share (Narrative)
Earnings per Share (Narrative) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Earnings per Share [abstract] | ||
Antidilutive securities excluded from computation of EPS | 7,551 | 1,784,029 |
Earnings per Share (Schedule of
Earnings per Share (Schedule of Earnings per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Earnings per Share [abstract] | ||
Net income for the year | $ 21,553 | $ 23,796 |
Weighted average number of shares ('000's) | 174,993 | 160,193 |
Earnings per share - basic | $ 0.12 | $ 0.15 |
Incremental shares from share units | 11,080 | 4,332 |
Weighted average diluted number of shares (000's) | 186,073 | 164,525 |
Diluted earnings (loss) per share | $ 0.12 | $ 0.14 |
Sales (Schedule of Sales by Pro
Sales (Schedule of Sales by Product and Geographical Area) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of geographical areas [line items] | ||
Sales to external customers | $ 278,966 | $ 257,187 |
Silver-gold concentrates | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 188,327 | 183,197 |
Silver-lead concentrates | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 43,055 | 39,936 |
Zinc concentrates | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 23,980 | 33,686 |
Gold Dore | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 20,297 | |
Provisional pricing adjustments | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 3,307 | 368 |
PERU | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 67,643 | 72,882 |
PERU | Silver-lead concentrates | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 43,055 | 39,936 |
PERU | Zinc concentrates | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 23,980 | 33,686 |
PERU | Provisional pricing adjustments | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 608 | |
Provisional pricing adjustment | (740) | |
MEXICO | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 191,026 | 184,305 |
MEXICO | Silver-gold concentrates | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 188,327 | 183,197 |
MEXICO | Provisional pricing adjustments | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 2,699 | $ 1,108 |
ARGENTINA | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | 20,297 | |
ARGENTINA | Gold Dore | ||
Disclosure of geographical areas [line items] | ||
Sales to external customers | $ 20,297 |
Sales (Schedule of Sales by Maj
Sales (Schedule of Sales by Major Customer) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of major customers [line items] | ||
Revenue | $ 278,966 | $ 257,187 |
Customer One [member] | ||
Disclosure of major customers [line items] | ||
Revenue | 191,026 | 184,304 |
Customer Two [member] | ||
Disclosure of major customers [line items] | ||
Revenue | 67,643 | 72,938 |
Customer Three [member] | ||
Disclosure of major customers [line items] | ||
Revenue (expenses) | $ (55) | |
Customer Four [member] | ||
Disclosure of major customers [line items] | ||
Revenue | $ 20,297 |
Cost of Sales (Schedule of Cost
Cost of Sales (Schedule of Cost of Sales) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Direct mining costs | $ 94,609 | $ 101,734 |
Salaries and benefits | 16,586 | 15,040 |
Workers' Participation | 7,459 | 6,011 |
Depletion and depreciation | 43,778 | 44,358 |
Royalties | 6,318 | 4,135 |
Impairment of inventories | 1,328 | |
Reversal of inventory write-down | (5) | |
Cost of sales | 168,745 | 172,606 |
Depletion and depreciation, right-of-use | 2,542 | 2,262 |
Caylloma M&I Property [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Direct mining costs | 31,738 | 35,712 |
Salaries and benefits | 6,883 | 7,557 |
Workers' Participation | 899 | 717 |
Depletion and depreciation | 14,301 | 13,621 |
Royalties | 523 | 750 |
Impairment of inventories | 13 | 93 |
Cost of sales | 54,357 | 58,450 |
San Jose M&I Property [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Direct mining costs | 58,726 | 66,022 |
Salaries and benefits | 6,902 | 7,483 |
Workers' Participation | 6,560 | 5,294 |
Depletion and depreciation | 27,856 | 30,737 |
Royalties | 4,289 | 3,385 |
Impairment of inventories | 1,235 | |
Reversal of inventory write-down | (18) | |
Cost of sales | 104,315 | $ 114,156 |
Lindero Project [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Direct mining costs | 4,145 | |
Salaries and benefits | 2,801 | |
Depletion and depreciation | 1,621 | |
Royalties | 1,506 | |
Cost of sales | $ 10,073 |
General and Administration (Sch
General and Administration (Schedule of General And Administrative Expenses) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
General and Administration [abstract] | ||
General and administration | $ 20,834 | $ 22,315 |
Workers' participation | 1,808 | 1,477 |
General and administrative subtotal | 22,642 | 23,792 |
Share-based payments | 12,444 | 6,013 |
Total general and administrative expense | $ 35,086 | $ 29,805 |
Other Expenses (Schedule of Oth
Other Expenses (Schedule of Other Expenses) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Other Expenses [abstract] | ||
Write-down (recovery) of investment in associates | $ (194) | $ 2,706 |
Write off of mineral properties | 878 | 1,554 |
Loss on disposal of assets and other write-downs | 484 | 67 |
Write-off of accounts receivable | 447 | |
Other expenses (income) | (308) | 284 |
Care and maintenance costs related to COVID-19 | 3,121 | |
Other (income) expenses | $ 4,428 | $ 4,611 |
Interest and Finance Costs Ne_2
Interest and Finance Costs Net (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of other provisions [line items] | ||
Interest income | $ 1,217 | $ 1,838 |
Interest expense | (1,510) | (857) |
Bank stand-by and commitment fees | (369) | (415) |
Accretion expense | (751) | (590) |
Interest and finance (costs) income, net | (1,413) | (24) |
Capitalized interest costs incurred | 9,431 | 6,005 |
Lindero Project [member] | ||
Disclosure of other provisions [line items] | ||
Capitalized interest costs incurred | $ 9,431 | $ 5,259 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Taxes [line items] | ||
Applicable tax rate | 27.00% | 27.00% |
CANADA | ||
Income Taxes [line items] | ||
Resource related expense accumulated with no deferred tax benefit recognized | $ 8,466 | $ 8,188 |
Income Taxes (Schedule of Incom
Income Taxes (Schedule of Income Tax Reconciliation) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Taxes [abstract] | ||
Net income before tax | $ 58,955 | $ 43,971 |
Statutory tax rate | 27.00% | 27.00% |
Anticipated income tax at statutory rates | $ 15,918 | $ 11,872 |
Non-deductible expenditures | 1,326 | 2,507 |
Differences between Canadian and foreign tax rates | 1,284 | 1,353 |
Change in estimate | (192) | 856 |
Effect of change in tax rates | 436 | 345 |
Inflation adjustment | (10,634) | (12,158) |
Impact of foreign exchange | 15,081 | 11,773 |
Changes in deferred tax assets not recognized | 5,909 | (2,254) |
Mining taxes | 4,656 | 3,241 |
Withholding taxes | 3,670 | 2,367 |
Other items | (52) | 273 |
Total tax expense | 37,402 | 20,175 |
Current income tax expense | 38,818 | 32,631 |
Deferred income tax (recovery) | $ (1,416) | $ (12,456) |
Income Taxes (Schedule of Curre
Income Taxes (Schedule of Current and Deferred Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Taxes [abstract] | ||
Current taxes on profit for the year | $ 38,603 | $ 32,246 |
Changes in estimates related to prior years | 215 | 385 |
Total current tax expense (income) and adjustments for current tax of prior periods | 38,818 | 32,631 |
Origination and reversal of temporary differences and foreign exchange rate | (1,500) | (13,678) |
Changes in estimates related to prior years | (396) | 479 |
Effect of differences in tax rates | 44 | 398 |
Effect of changes in tax rates | 436 | 345 |
Deferred tax expense (income) | (1,416) | (12,456) |
Total tax expense | $ 37,402 | $ 20,175 |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax assets | $ 56,556 | $ 39,739 | ||
Deferred tax liabilities | (76,055) | (60,654) | ||
Net deferred tax liabilities | (19,499) | (20,915) | ||
Net deferred tax liabilities | $ (19,499) | $ (20,915) | (19,499) | (20,915) |
Reconciliation of changes in deferred tax liability (asset) [abstract] | ||||
Beginning balance | 20,915 | 31,444 | ||
Deferred income tax (recovery) expense through income statement | (1,416) | (12,456) | ||
Deferred income tax expense through equity | 1,927 | |||
Ending balance | $ 19,499 | $ 20,915 | ||
Reclamation and closure cost obligation [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax assets | 13,080 | 9,530 | ||
Carried forward tax loss [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax assets | 17,729 | 14,020 | ||
Accounts payable and accrued liability [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax assets | 16,437 | 7,731 | ||
Deductibility of resource taxes [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax assets | 3,414 | 3,140 | ||
Lease obligations [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax assets | 5,769 | 5,317 | ||
Other deferred tax assets [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax assets | 127 | 1 | ||
Mineral Properties [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax liabilities | (55,134) | (44,825) | ||
Mining and foreign withholding taxes [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax liabilities | (4,862) | (5,281) | ||
Equipment and Building [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax liabilities | (1,928) | (3,621) | ||
Convertible Debentures [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax liabilities | (1,544) | (1,857) | ||
Inflation [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax liabilities | (11,210) | (4,939) | ||
Other deferred tax liabilities [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Deferred tax liabilities | $ (1,377) | $ (131) |
Income Taxes (Schedule of Unrec
Income Taxes (Schedule of Unrecognized Deductible Temporary Difference and Unused Tax Losses) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Income Taxes [line items] | ||
Non capital losses | $ 90,192 | $ 72,156 |
Provision | 14,488 | 5,074 |
Share issue costs | 3,894 | 2,174 |
Lease obligation | 555 | 656 |
Derivative liabilities | 1,111 | 894 |
Capital losses | 255 | 2,496 |
Investments in subsidiaries | 1,534 | 1,397 |
Unrecognized deductible temporary differences | 112,029 | 84,847 |
MEXICO | ||
Income Taxes [line items] | ||
Non capital losses | 367 | 369 |
Investments in subsidiaries | 248,880 | 198,214 |
PERU | ||
Income Taxes [line items] | ||
Non capital losses | 70 | |
Investments in subsidiaries | $ 62,414 | $ 54,618 |
Income Taxes (Schedule of Tax L
Income Taxes (Schedule of Tax Losses Expiry Dates) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Taxes [line items] | ||
Unused tax losses for which no deferred tax asset recognised | $ 90,192 | $ 72,156 |
CANADA | ||
Income Taxes [line items] | ||
Unused tax losses for which no deferred tax asset recognised | $ 90,300 | $ 84,200 |
CANADA | Bottom of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2026 | 2026 |
CANADA | Top of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2040 | 2039 |
ARGENTINA | ||
Income Taxes [line items] | ||
Year of Expiry | 2021 | |
Unused tax losses for which no deferred tax asset recognised | $ 68,900 | $ 42,500 |
ARGENTINA | Bottom of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2020 | |
ARGENTINA | Top of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2025 | 2024 |
MEXICO | ||
Income Taxes [line items] | ||
Year of Expiry | 2029 | |
Unused tax losses for which no deferred tax asset recognised | $ 367 | $ 369 |
MEXICO | Bottom of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2021 | 2021 |
MEXICO | Top of range [member] | ||
Income Taxes [line items] | ||
Year of Expiry | 2030 | |
PERU | ||
Income Taxes [line items] | ||
Year of Expiry | 2021 | |
Unused tax losses for which no deferred tax asset recognised | $ 70 |
Segmented Information (Schedule
Segmented Information (Schedule of Segmented Information) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of operating segments [line items] | ||
Cost of sales | $ 168,745,000 | $ 172,606,000 |
Sales to external customers | 278,966,000 | 257,187,000 |
Cost of sales before depreciation and depletion | (124,967,000) | (128,248,000) |
Depreciation and depletion in cost of sales | (43,778,000) | (44,358,000) |
Selling, general and administration | (35,086,000) | (29,805,000) |
Other income (expenses) | (17,897,000) | (20,582,000) |
Finance items | 1,717,000 | 9,777,000 |
Income before income taxes | 58,955,000 | 43,971,000 |
Total tax expense | (37,402,000) | (20,175,000) |
Net income for the year | 21,553,000 | 23,796,000 |
Assets | 1,055,338,000 | 936,065,000 |
Liabilities | 329,568,000 | 300,639,000 |
Capital Expenditure | 94,715,000 | 238,637,000 |
Material reconciling items [member] | ||
Disclosure of operating segments [line items] | ||
Selling, general and administration | (23,141,000) | (17,438,000) |
Other income (expenses) | 42,000 | (4,402,000) |
Finance items | (1,689,000) | (80,000) |
Income before income taxes | (24,788,000) | (21,920,000) |
Total tax expense | (3,841,000) | (511,000) |
Net income for the year | (28,629,000) | (22,431,000) |
Assets | 27,328,000 | 60,134,000 |
Liabilities | 186,708,000 | 162,210,000 |
Capital Expenditure | 122,000 | 1,333,000 |
Bateas Reporting Segment [member] | ||
Disclosure of operating segments [line items] | ||
Sales to external customers | 67,643,000 | 72,882,000 |
Cost of sales before depreciation and depletion | (40,056,000) | (44,829,000) |
Depreciation and depletion in cost of sales | (14,301,000) | (13,621,000) |
Selling, general and administration | (3,891,000) | (4,569,000) |
Other income (expenses) | (1,215,000) | (664,000) |
Finance items | (698,000) | (1,552,000) |
Income before income taxes | 7,482,000 | 7,647,000 |
Total tax expense | (4,312,000) | (2,761,000) |
Net income for the year | 3,170,000 | 4,886,000 |
Assets | 125,286,000 | 116,501,000 |
Liabilities | 42,710,000 | 36,747,000 |
Capital Expenditure | 6,927,000 | 11,845,000 |
Cuzcatlan Reporting Segment [member] | ||
Disclosure of operating segments [line items] | ||
Sales to external customers | 191,026,000 | 184,305,000 |
Cost of sales before depreciation and depletion | (76,459,000) | (83,419,000) |
Depreciation and depletion in cost of sales | (27,856,000) | (30,737,000) |
Selling, general and administration | (8,054,000) | (7,798,000) |
Other income (expenses) | (3,742,000) | (1,928,000) |
Finance items | (104,000) | 385,000 |
Income before income taxes | 74,811,000 | 60,808,000 |
Total tax expense | (28,926,000) | (18,032,000) |
Net income for the year | 45,885,000 | 42,776,000 |
Assets | 280,602,000 | 252,100,000 |
Liabilities | 49,500,000 | 42,264,000 |
Capital Expenditure | 15,801,000 | 14,046,000 |
Lindero Reporting Segment [member] | ||
Disclosure of operating segments [line items] | ||
Other income (expenses) | 3,306,000 | 11,204,000 |
Lindero Reporting Segment [member] | Increase (decrease) due to voluntary changes in accounting policy [member] | ||
Disclosure of operating segments [line items] | ||
Cost of sales | 10,073,000 | 0 |
Sales to external customers | 20,297,000 | 0 |
Mansfield Reporting [Member] | ||
Disclosure of operating segments [line items] | ||
Sales to external customers | 20,297,000 | |
Cost of sales before depreciation and depletion | (8,452,000) | |
Depreciation and depletion in cost of sales | (1,621,000) | |
Other income (expenses) | (12,982,000) | (13,588,000) |
Finance items | 4,208,000 | 11,024,000 |
Income before income taxes | 1,450,000 | (2,564,000) |
Total tax expense | (323,000) | 1,129,000 |
Net income for the year | 1,127,000 | (1,435,000) |
Assets | 622,122,000 | 507,330,000 |
Liabilities | 50,650,000 | 59,418,000 |
Capital Expenditure | $ 71,865,000 | $ 211,413,000 |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule of Fair Value of Financial Instruments) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | $ 1,055,338 | $ 936,065 |
Liabilities | 329,568 | 300,639 |
At fair value [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets | 27,368 | |
Financial assets, at fair value | 33,642 | |
Financial liabilities, at fair value | (1,260) | |
At fair value [member] | Fair value hedges [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets | 1,059 | |
Financial liabilities | (1,084) | |
At fair value [member] | Financial liabilities at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (894) | |
At fair value [member] | Financial liabilities at fair value through profit or loss, category [member] | Fair value hedges [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities | (894) | |
At fair value [member] | Financial assets at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets | 26,309 | 33,642 |
Financial liabilities, at fair value | (176) | |
At fair value [member] | Level 1 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 1,059 | |
At fair value [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 26,309 | 33,642 |
Financial liabilities, at fair value | (1,260) | |
At fair value [member] | Level 2 of fair value hierarchy [member] | Financial liabilities at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (894) | |
At fair value [member] | Interest rate swap liability [Member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (1,084) | |
At fair value [member] | Interest rate swap liability [Member] | Fair value hedges [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities | (1,084) | |
At fair value [member] | Interest rate swap liability [Member] | Financial liabilities at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (894) | |
At fair value [member] | Interest rate swap liability [Member] | Financial liabilities at fair value through profit or loss, category [member] | Fair value hedges [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities | (894) | |
At fair value [member] | Interest rate swap liability [Member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (1,084) | |
At fair value [member] | Interest rate swap liability [Member] | Level 2 of fair value hierarchy [member] | Financial liabilities at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (894) | |
At fair value [member] | Metal Forward Sales Contracts [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (124) | |
At fair value [member] | Metal Forward Sales Contracts [member] | Financial assets at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (124) | |
At fair value [member] | Metal Forward Sales Contracts [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (124) | |
At fair value [member] | Fuel Forward Contracts Liability [Member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (52) | |
At fair value [member] | Fuel Forward Contracts Liability [Member] | Financial assets at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (52) | |
At fair value [member] | Fuel Forward Contracts Liability [Member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (52) | |
At fair value [member] | Investments in Equity Securities [Member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets | 1,059 | |
At fair value [member] | Investments in Equity Securities [Member] | Fair value hedges [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets | 1,059 | |
At fair value [member] | Investments in Equity Securities [Member] | Level 1 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 1,059 | |
At fair value [member] | Trade Receivables Concentrate Sales [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets | 26,309 | |
Financial assets, at fair value | 33,642 | |
At fair value [member] | Trade Receivables Concentrate Sales [member] | Financial assets at fair value through profit or loss, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets | 26,309 | 33,642 |
At fair value [member] | Trade Receivables Concentrate Sales [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets, at fair value | 26,309 | 33,642 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 136,006 | 85,823 |
Liabilities | 225,216 | 227,171 |
Financial assets | 85,823 | |
Financial assets, at fair value | 136,006 | |
Financial liabilities | (66,600) | (75,561) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Financial assets at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets | 136,006 | 85,823 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Financial assets at amortised cost, category [member] | Financial liabilities at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities | (225,216) | (227,171) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | 198,315 | |
Financial liabilities, at fair value | (153,933) | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Trade Payables [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | 26,140 | 37,357 |
Financial liabilities | (26,140) | (37,357) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Trade Payables [member] | Financial assets at amortised cost, category [member] | Financial liabilities at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities | (26,140) | (37,357) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Payroll Payable [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | 17,676 | 15,801 |
Financial liabilities | (17,676) | (15,801) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Payroll Payable [member] | Financial assets at amortised cost, category [member] | Financial liabilities at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities | (17,676) | (15,801) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Share Units Payable [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | 5,075 | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Share Units Payable [member] | Financial assets at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (5,075) | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Share Units Payable [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (5,075) | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Credit Facilities [Member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | 119,850 | 109,430 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Credit Facilities [Member] | Financial assets at amortised cost, category [member] | Financial liabilities at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities | (119,850) | (109,430) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Credit Facilities [Member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | 120,000 | |
Financial liabilities, at fair value | (110,000) | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Convertible Debentures [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | 37,105 | |
Financial liabilities | (38,766) | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Convertible Debentures [member] | Financial assets at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities, at fair value | (37,105) | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Convertible Debentures [member] | Financial assets at amortised cost, category [member] | Financial liabilities at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities | (38,766) | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Convertible Debentures [member] | Level 2 of fair value hierarchy [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities | (78,315) | |
Financial liabilities, at fair value | (38,858) | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Other Payables [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Liabilities | 22,784 | 22,403 |
Financial liabilities | (22,784) | (22,403) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Other Payables [member] | Financial assets at amortised cost, category [member] | Financial liabilities at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial liabilities | (22,784) | (22,403) |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Cash and Cash Equivalent [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 131,898 | 83,404 |
Financial assets | 83,404 | |
Financial assets, at fair value | 131,898 | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Cash and Cash Equivalent [member] | Financial assets at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets | 131,898 | 83,404 |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Other Receivables [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Assets | 4,108 | 2,419 |
Financial assets | 2,419 | |
Financial assets, at fair value | 4,108 | |
Not measured at fair value in statement of financial position but for which fair value is disclosed [member] | Other Receivables [member] | Financial assets at amortised cost, category [member] | ||
Disclosure Of Fair Value Measurement Of Assets And Liabilities [line items] | ||
Financial assets | $ 4,108 | $ 2,419 |
Management of Financial Risk (S
Management of Financial Risk (Schedule of Company's Maximum Exposure to Credit Risk) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Cash and cash equivalents | $ 131,898 | $ 83,404 | $ 90,503 |
Marketable securities | 659 | 1,069 | |
Accounts receivable and other assets | 76,555 | 47,707 | |
Other non-current receivables | 15,210 | 40,744 | |
Credit risk [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Cash and cash equivalents | 131,898 | 83,404 | |
Accounts receivable and other assets | 76,555 | 47,707 | |
Income tax receivable | 2,553 | ||
Other non-current receivables | 5,495 | 40,744 | |
Total financial assets | $ 213,948 | $ 174,408 |
Management of Financial Risk _2
Management of Financial Risk (Schedule of Company's Liquidity Risk) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Other liabilities (note 18) | $ 2,523 | $ 499 |
Operating leases | 31,703 | 37,792 |
Less than one year | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Operating leases | 7,367 | 9,313 |
Between one and five years | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Operating leases | 10,209 | 13,521 |
More than five years | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Operating leases | 14,127 | 14,958 |
Liquidity risk [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Trade and other payables | 65,275 | 65,286 |
Debt | 166,000 | 156,000 |
Income tax payable | 23,808 | 12,400 |
Lease obligations | 31,703 | 37,792 |
Other liabilities (note 18) | 2,523 | 499 |
Capital commitments, Lindero | 558 | 24,467 |
Provisions | 40,350 | 33,365 |
Total financial liabilities | 330,217 | 329,809 |
Liquidity risk [member] | Less than one year | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Trade and other payables | 65,275 | 65,286 |
Income tax payable | 23,808 | 12,400 |
Lease obligations | 7,367 | 9,313 |
Capital commitments, Lindero | 558 | 24,467 |
Provisions | 433 | 2,699 |
Total financial liabilities | 97,441 | 114,165 |
Liquidity risk [member] | Later than one year and not later than three years [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Debt | 120,000 | 110,000 |
Lease obligations | 6,166 | 9,424 |
Other liabilities (note 18) | 2,523 | 499 |
Provisions | 5,444 | 7,565 |
Total financial liabilities | 134,133 | 127,488 |
Liquidity risk [member] | Later than three years and not later than five years [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Debt | 46,000 | 46,000 |
Lease obligations | 4,043 | 4,097 |
Provisions | 10,692 | 1,846 |
Total financial liabilities | 60,735 | 51,943 |
Liquidity risk [member] | More than five years | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Lease obligations | 14,127 | 14,958 |
Provisions | 23,781 | 21,255 |
Total financial liabilities | $ 37,908 | $ 36,213 |
Management of Financial Risk (D
Management of Financial Risk (Disclosure of Nature and Extent Arising from Financial Instruments - Currency Risk) (Details) S/ in Thousands, $ in Thousands, $ in Thousands, $ in Thousands, $ in Thousands | 12 Months Ended | ||||||||||||
Dec. 31, 2020PEN (S/) | Dec. 31, 2020MXN ($) | Dec. 31, 2020CAD ($) | Dec. 31, 2020ARS ($) | Dec. 31, 2020MXN ($) | Dec. 31, 2020CAD ($) | Dec. 31, 2020ARS ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019PEN (S/) | Dec. 31, 2019MXN ($) | Dec. 31, 2019CAD ($) | Dec. 31, 2019ARS ($) | Dec. 31, 2019USD ($) | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Effect of Foreign denominated items | S/ 222 | $ 2,309 | $ 1,089 | $ 2,645 | |||||||||
Change percentage, currency | (10.00%) | (10.00%) | (10.00%) | (10.00%) | |||||||||
CANADA | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Change percentage, currency | (10.00%) | (10.00%) | (10.00%) | (10.00%) | |||||||||
CANADA | Currency risk [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | $ (15,254) | $ (11,981) | $ (6,258) | $ (4,818) | |||||||||
CANADA | Currency risk [member] | Cash and Cash Equivalent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | 1,402 | 626 | |||||||||||
CANADA | Currency risk [member] | Marketable Securities [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | 1,348 | ||||||||||||
CANADA | Currency risk [member] | Trade and Value Added Tax Long Term Receivable [Member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | 53 | 310 | |||||||||||
CANADA | Currency risk [member] | Investments In Associate [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | 1,373 | ||||||||||||
CANADA | Currency risk [member] | Trade and Other Payables [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | (17,838) | (8,549) | |||||||||||
CANADA | Currency risk [member] | Due to Related Party [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | (12) | $ (18) | |||||||||||
CANADA | Currency risk [member] | Other Liabilities [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | $ (207) | ||||||||||||
PERU | Currency risk [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | S/ (8,839) | (2,439) | S/ (6,814) | (2,054) | |||||||||
PERU | Currency risk [member] | Cash and Cash Equivalent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | S/ | 9,658 | 2,293 | |||||||||||
PERU | Currency risk [member] | Trade and Value Added Tax Long Term Receivable [Member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | S/ | 3,563 | 1,827 | |||||||||||
PERU | Currency risk [member] | Income Tax Receivable [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | S/ | 6,915 | 8,451 | |||||||||||
PERU | Currency risk [member] | Trade and Other Payables [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | S/ | (28,046) | S/ (19,385) | |||||||||||
PERU | Currency risk [member] | Provisions Current [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | S/ | 100 | ||||||||||||
PERU | Currency risk [member] | Income Tax Payable [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | S/ | (275) | ||||||||||||
PERU | Currency risk [member] | Provisions Noncurrent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | S/ | S/ (754) | ||||||||||||
MEXICO | Currency risk [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | $ (506,735) | (25,402) | $ (444,407) | (23,582) | |||||||||
MEXICO | Currency risk [member] | Cash and Cash Equivalent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | 3,117 | 13,103 | |||||||||||
MEXICO | Currency risk [member] | Trade and Value Added Tax Long Term Receivable [Member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | 108,569 | 3,972 | |||||||||||
MEXICO | Currency risk [member] | VAT - long term receivable [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | 67,542 | 10,715 | |||||||||||
MEXICO | Currency risk [member] | Trade and Other Payables [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | (311,747) | (214,679) | |||||||||||
MEXICO | Currency risk [member] | Provisions Current [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | (4,871) | (3,942) | |||||||||||
MEXICO | Currency risk [member] | Income Tax Payable [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | (297,083) | (161,900) | |||||||||||
MEXICO | Currency risk [member] | Other Liabilities [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | (5,160) | (4,217) | |||||||||||
MEXICO | Currency risk [member] | Provisions Noncurrent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | $ (67,102) | $ (87,459) | |||||||||||
ARGENTINA | Currency risk [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | $ 2,442,206 | $ 29,091 | $ 714,786 | $ 11,815 | |||||||||
ARGENTINA | Currency risk [member] | Cash and Cash Equivalent [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | 2,326 | 11,762 | |||||||||||
ARGENTINA | Currency risk [member] | Trade and Value Added Tax Long Term Receivable [Member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | 3,281,760 | 117,539 | |||||||||||
ARGENTINA | Currency risk [member] | VAT - long term receivable [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | 2,039,929 | ||||||||||||
ARGENTINA | Currency risk [member] | Trade and Other Payables [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | (764,331) | $ (1,454,444) | |||||||||||
ARGENTINA | Currency risk [member] | Provisions Current [member] | |||||||||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||||||||||||
Foreign exposure on asset (liabilities), net | $ (77,549) |
Management of Financial Risk _3
Management of Financial Risk (Disclosure of Nature and Extent Arising from Financial Instruments - Commodity Price Risk) (Details) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2020USD ($)$ / T | Dec. 31, 2019USD ($) | Feb. 11, 2021$ / T | Dec. 31, 2020$ / gal | Dec. 31, 2020 | Dec. 31, 2020USD ($) | |
Entering in to Derivative Contract [Member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Aggregate quantity of zero cost collars | 6,237 | |||||
Floor Price | $ / T | 2,000 | |||||
Cap Price | $ / T | 2,125 | |||||
Silver Commodity Type [member] | Commodity price risk [member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Effect on Sales | $ 1,338 | |||||
Change percentage, commodity | (10.00%) | |||||
Gold Commodity Type [member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Increase (decrease) in sales due to price changes of commodity | $ 3,307 | $ 368 | ||||
Gold Commodity Type [member] | Commodity price risk [member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Effect on Sales | $ 561 | |||||
Change percentage, commodity | (10.00%) | |||||
Lead Commodity [member] | Commodity price risk [member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Effect on Sales | $ 195 | |||||
Change percentage, commodity | (10.00%) | |||||
Zinc Commodity [member] | Entering in to Derivative Contract [Member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Aggregate quantity of zero cost collars | 12,300 | |||||
Floor Price | $ / T | 2,600 | |||||
Cap Price | $ / T | 2,900 | |||||
Zinc Commodity [member] | Commodity price risk [member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Effect on Sales | $ 253 | |||||
Change percentage, commodity | (10.00%) | |||||
Heating Oil Commodity [Member] | Entering in to Derivative Contract [Member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Aggregate quantity of zero cost collars | 720,000 | |||||
Floor Price | $ / gal | 1.40 | |||||
Cap Price | $ / gal | 1.6150 | |||||
Heating Oil Commodity [Member] | Entering in to Derivative Contract [Member] | Swap contract [member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Aggregate forward- swap | 1.52 | 720,000 | ||||
Jet Fuel Commodity [Member] | Entering in to Derivative Contract [Member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Aggregate quantity of zero cost collars | 1,680,000 | |||||
Floor Price | $ / gal | 1.30 | |||||
Cap Price | $ / gal | 1.4775 | |||||
Jet Fuel Commodity [Member] | Entering in to Derivative Contract [Member] | Swap contract [member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Aggregate forward- swap | 1.438 | 1,680,000 | ||||
Non-Revolving Credit Facility [Member] | Interest rate risk [member] | ||||||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||||||
Borrowing capacity | $ 40,000 |
Management of Financial Risk (C
Management of Financial Risk (Capital Management) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Management of Financial Risk [abstract] | |||
Equity | $ 725,770 | $ 635,426 | $ 602,804 |
Credit facilities | 158,616 | 146,535 | $ 69,302 |
Lease obligations | 19,497 | 23,879 | |
Less: Cash, cash equivalents and short-term investments | (131,898) | (83,404) | |
Capital amount | $ 771,985 | $ 722,436 |
Supplemental Cashflow Informa_3
Supplemental Cashflow Information (Schedule of Changes in Liabilities Arising from Financing Activities) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||
Amortization of transaction costs , discount | $ 2,081 | $ 475 |
Bank Loan | ||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||
Liabilities arising from financing activities at beginning of period | 109,430 | 69,302 |
Additions | 65,000 | 40,000 |
Interest | 420 | 128 |
Payments | (55,000) | |
Liabilities arising from financing activities at end of period | 119,850 | 109,430 |
Convertible Debenture | ||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||
Liabilities arising from financing activities at beginning of period | 37,105 | |
Additions | 46,000 | |
Interest | 1,661 | 347 |
Transaction costs | (2,101) | |
Equity component | (7,141) | |
Liabilities arising from financing activities at end of period | 38,766 | 37,105 |
Lease obligation | ||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||
Liabilities arising from financing activities at beginning of period | 23,879 | 16,082 |
Additions | 2,684 | 14,944 |
Interest | 1,920 | 1,848 |
Payments | (8,438) | (9,048) |
Terminations | (497) | |
Foreign exchange | (51) | 53 |
Liabilities arising from financing activities at end of period | 19,497 | 23,879 |
Derivatives | ||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | ||
Liabilities arising from financing activities at beginning of period | 894 | 224 |
Additions | 176 | |
Interest | 563 | |
Payments | (560) | |
Change in fair value | 187 | 670 |
Liabilities arising from financing activities at end of period | $ 1,260 | $ 894 |
Supplemental Cashflow Informa_4
Supplemental Cashflow Information (Schedule of significant non-cash financing and investing transactions) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Supplemental Cashflow Information [abstract] | ||
Mineral properties, plant and equipment changes in closure and reclamation provision | $ (9,339) | $ (14,807) |
Fair value of stock options allocated to share capital upon exercise | 427 | |
Additions on right of use assets | (2,715) | (22,260) |
Fair value of share units allocated to share capital upon settlement | $ 3,081 | $ 1,678 |
Contingencies and Capital Com_2
Contingencies and Capital Commitments (Narrative) (Details) S/ in Thousands | 1 Months Ended | 9 Months Ended | 12 Months Ended | |||||
Dec. 31, 2018USD ($) | Sep. 30, 2020PEN (S/) | Sep. 30, 2020USD ($) | Dec. 31, 2020PEN (S/) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2017 | Jan. 31, 2020USD ($) | |
Disclosure of other provisions [line items] | ||||||||
Security bond | $ 1,539,000 | |||||||
Bank letter of guarantee | 8,394,000 | |||||||
Tax expense (income) | $ 37,402,000 | $ 20,175,000 | ||||||
SGM Royalty (as percentage) | 3.00% | |||||||
Proposal Of Cancelling Mining Concession [Member] | ||||||||
Disclosure of other provisions [line items] | ||||||||
Claimed Royalty | $ 30,000,000 | |||||||
PERU | ||||||||
Disclosure of other provisions [line items] | ||||||||
Tax expense (income) | S/ 4,343 | 1,199,000 | ||||||
Income tax interest and penalties | S/ 2,405 | 664,000 | ||||||
Payment of disputed amount | S/ 4,343 | $ 1,199,000 | ||||||
Mineral Properties [member] | Civil Work [Member] | ||||||||
Disclosure of other provisions [line items] | ||||||||
Capital commitments | 558,000 | |||||||
Mineral Properties [member] | Equipment Purchases [Member] | ||||||||
Disclosure of other provisions [line items] | ||||||||
Capital commitments | 386,000 | |||||||
Mineral Properties [member] | Other Services [Member] | ||||||||
Disclosure of other provisions [line items] | ||||||||
Capital commitments | $ 134,000 | |||||||
Caylloma Mine [Member] | ||||||||
Disclosure of other provisions [line items] | ||||||||
Undiscounted closure costs | $ 11,719,000 | |||||||
Progressive closure activities | 3,774,000 | |||||||
Final closure activities | 7,156,000 | |||||||
Post closure activities | $ 789,000 | |||||||
Guarantees with government current year | 9,933,000 | |||||||
San Jose Mine [Member] | Environmental obligations [Member] | ||||||||
Disclosure of other provisions [line items] | ||||||||
Bank letter of guarantee | $ 1,168,000 | |||||||
Number of letters of guarantee | 3 |