Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2018shares | |
Document and entity information [abstract] | |
Document Type | 40-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2018 |
Document Fiscal Year Focus | 2018 |
Document Fiscal Period Focus | FY |
Trading Symbol | TGB |
Entity Registrant Name | TASEKO MINES LTD |
Entity Central Index Key | 0000878518 |
Current Fiscal Year End Date | --12-31 |
Entity Current Reporting Status | Yes |
Entity Emerging Growth Company | false |
Entity Common Stock, Shares Outstanding | 0 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Operating expenses from mining business [abstract] | ||
Revenues | $ 343,870 | $ 378,299 |
Cost of sales | ||
Production costs | (231,867) | (200,583) |
Depletion and amortization | (70,781) | (47,722) |
Earnings from mining operations | 41,222 | 129,994 |
General and administrative | (13,957) | (12,775) |
Share-based compensation recovery (expense) | 1,544 | (6,983) |
Exploration and evaluation | (1,752) | (1,730) |
Loss on derivatives | (294) | (10,082) |
Other income (expense) | 1,472 | (6,341) |
Income before financing costs and income taxes | 28,235 | 92,083 |
Finance expenses | (38,564) | (46,430) |
Finance income | 1,254 | 935 |
Foreign exchange gain (loss) | (26,251) | 16,852 |
Income (loss) before income taxes | (35,326) | 63,440 |
Income tax expense | (448) | (29,178) |
Net earnings | (35,774) | 34,262 |
Other comprehensive income (loss) | ||
Unrealized gain (loss) on financial assets | 962 | (4,248) |
Foreign currency translation reserve | 12,713 | (7,720) |
Total other comprehensive income (loss) | 13,675 | (11,968) |
Total comprehensive income (loss) | $ (22,099) | $ 22,294 |
Earnings (loss) per share | ||
Basic | $ (0.16) | $ 0.15 |
Diluted | $ (0.16) | $ 0.15 |
Weighted average shares outstanding (thousands) | ||
Basic | 227,866 | 225,682 |
Diluted | 227,866 | 232,039 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Operating activities | ||
Net income (loss) for the year | $ (35,774) | $ 34,262 |
Adjustments for: | ||
Depletion and amortization | 70,781 | 47,722 |
Income tax expense | 448 | 29,178 |
Share-based compensation expense (recovery) | (1,282) | 7,100 |
Loss on derivatives | 294 | 10,082 |
Finance expenses, net | 37,310 | 45,495 |
Unrealized foreign exchange (gain) loss | 28,704 | (17,684) |
Write-down of mine equipment | 3,551 | |
Deferred revenue deposit | 44,151 | |
Amortization of deferred revenue | (3,295) | (1,322) |
Deferred electricity repayments | (4,841) | (6,174) |
Other operating activities | (160) | 1,097 |
Net change in non-cash working capital | 1,893 | 13,621 |
Cash provided by operating activities | 94,078 | 211,079 |
Investing activities | ||
Purchase of property, plant and equipment | (94,866) | (97,223) |
Purchase of copper put options | (1,063) | (3,952) |
Proceeds from copper put options | 855 | |
Investment in other financial assets | (253) | (1,395) |
Other investing activities | 933 | 758 |
Cash used for investing activities | (94,394) | (101,812) |
Financing activities | ||
Interest paid | (30,578) | (43,995) |
Proceeds from equipment loan, net | 8,943 | |
Repayment of capital leases and equipment loans | (12,293) | (17,074) |
Proceeds on exercise of options and warrants | 333 | 2,928 |
Net proceeds from issuance of senior secured notes | 317,596 | |
Repayment of senior notes | (264,180) | |
Repayment of senior secured credit facility | (92,463) | |
Settlement of copper call option | (15,745) | |
Cash used for financing activities | (33,595) | (112,933) |
Effect of exchange rate changes on cash and equivalents | (655) | (5,133) |
Decrease in cash and equivalents | (34,566) | (8,799) |
Cash and equivalents, beginning of year | 80,231 | 89,030 |
Cash and equivalents, end of year | $ 45,665 | $ 80,231 |
Consolidated Balance Sheets
Consolidated Balance Sheets - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Current assets | ||
Cash and equivalents | $ 45,665 | $ 80,231 |
Accounts receivable | 14,735 | 21,618 |
Inventories | 38,986 | 39,639 |
Other financial assets | 3,581 | 2,774 |
Prepaids | 1,464 | 1,474 |
Current assets | 104,431 | 145,736 |
Property, plant and equipment | 821,287 | 797,265 |
Other financial assets | 41,380 | 40,537 |
Goodwill | 5,625 | 5,172 |
Total assets | 972,723 | 988,710 |
Current liabilities | ||
Accounts payable and other liabilities | 41,001 | 47,382 |
Current portion of long-term debt | 9,856 | 11,270 |
Current portion of deferred revenue | 3,907 | 1,312 |
Interest payable on senior secured notes | 1,243 | 1,143 |
Current income tax payable | 1,427 | 302 |
Current liabilities | 57,434 | 61,409 |
Long-term debt | 345,625 | 317,948 |
Provision for environmental rehabilitation ("PER") | 97,914 | 107,874 |
Deferred and other tax liabilities | 83,793 | 89,045 |
Deferred revenue | 39,367 | 39,640 |
Other financial liabilities | 1,513 | 5,714 |
Total liabilities | 625,646 | 621,630 |
EQUITY | ||
Share capital | 423,438 | 422,091 |
Contributed surplus | 49,274 | 47,478 |
Accumulated other comprehensive income ("AOCI") | 14,064 | 389 |
Deficit | (139,699) | (102,878) |
Total equity | 347,077 | 367,080 |
Total equity and liabilities | $ 972,723 | $ 988,710 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - CAD ($) $ in Thousands | Total | Share capital [member] | Share premium [member] | AOCI [member] | Deficit [member] |
Beginning balance at Dec. 31, 2016 | $ 338,939 | $ 417,975 | $ 45,747 | $ 12,357 | $ (137,140) |
Statement [LineItems] | |||||
Issuance of warrants | 1,876 | 1,876 | |||
Share-based compensation | 2,919 | 2,919 | |||
Exercise of options and warrants | 2,928 | 4,116 | (1,188) | ||
Settlement of performance share units | (1,876) | (1,876) | |||
Total comprehensive income (loss) for the year | 22,294 | (11,968) | 34,262 | ||
Ending balance (Adjustment on initial application of IFRS 15 [member]) at Dec. 31, 2017 | (1,047) | (1,047) | |||
Ending balance (Adjusted Balance [member]) at Dec. 31, 2017 | 366,033 | 422,091 | 47,478 | 389 | (103,925) |
Ending balance at Dec. 31, 2017 | 367,080 | 422,091 | 47,478 | 389 | (102,878) |
Statement [LineItems] | |||||
Share-based compensation | 2,809 | 2,809 | |||
Exercise of options and warrants | 334 | 447 | (113) | ||
Settlement of performance share units | 900 | (900) | |||
Total comprehensive income (loss) for the year | Adjustment on initial application of IFRS 15 [member] | (1,467) | ||||
Total comprehensive income (loss) for the year | (22,099) | 13,675 | (35,774) | ||
Ending balance at Dec. 31, 2018 | $ 347,077 | $ 423,438 | $ 49,274 | $ 14,064 | $ (139,699) |
Reporting Entity
Reporting Entity | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Reporting Entity | 1. REPORTING ENTITY Taseko Mines Limited (the “Company” or “Taseko”) is a corporation governed by the British Columbia Business Corporations Act. |
Basis of Preparation
Basis of Preparation | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Basis of Preparation | 2. BASIS OF PREPARATION 2.1 Statement of compliance These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board. These consolidated financial statements were authorized for issue by the Board of Directors on February 11, 2019. 2.2 Basis of measurement, judgment and estimation These consolidated financial statements have been prepared on a historical cost basis except those measured at fair value through profit or loss, fair value through other comprehensive income, available-for-sale These consolidated financial statements are presented in Canadian dollars, which is the Company’s functional currency. Foreign currency monetary assets and liabilities are translated into Canadian dollars at the closing exchange rate as at the balance sheet date. Foreign currency non-monetary The preparation of these consolidated financial statements in conformity with IFRS requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are revised and in any future periods affected. In the process of applying the Company’s accounting policies, significant areas where judgment is required include the determination of a joint arrangement, determining the timing of transfer of control of inventory for revenue recognition, functional currency, determination of the accounting treatment of the advance payment under the silver purchase and sale agreement reported as deferred revenue (Note 18) and recovery of other deferred tax assets. Significant areas of estimation include reserve and resource estimation; asset valuations and the measurement of impairment charges or reversals; valuation of inventories; plant and equipment lives; tax provisions; provisions for environmental rehabilitation; valuation of financial instruments and derivatives; capitalized stripping costs and share-based compensation. Key estimates and assumptions made by management with respect to these areas have been disclosed in the notes to these consolidated financial statements as appropriate. The accuracy of reserve and resource estimates is a function of the quantity and quality of available data and the assumptions made and judgment used in the engineering and geological interpretation, and may be subject to revision based on various factors. Changes in reserve and resource estimates may impact the carrying value of property, plant and equipment; the calculation of depreciation expense; the capitalization of stripping costs incurred during production; and the timing of cash flows related to the provision for environmental rehabilitation. Changes in forecast prices of commodities, exchange rates, production costs and recovery rates may change the economic status of reserves and resources. Forecast prices of commodities, exchange rates, production costs and recovery rates, and discount rates assumptions, either individually or collectively, may impact the carrying value of derivative financial instruments, inventories, property, plant and equipment, and intangibles, as well as the measurement of impairment charges or reversals. 2.3 Basis of consolidation The consolidated financial statements comprise the financial statements of the Company and controlled entities as at December 31, 2018. Control is achieved when the Company is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. The Company reassesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control. Consolidation of a subsidiary begins when the Company obtains control over the subsidiary and ceases when the Company loses control of the subsidiary. Assets, liabilities, income and expenses of a subsidiary acquired or disposed of during the year are included in the consolidated statement of comprehensive income (loss) from the date the Company gains control until the date the Company ceases to control the subsidiary. When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with the Company’s accounting policies. All intercompany transactions between members of the Company are eliminated in full on consolidation. The Company applies the acquisition method in accounting for business combinations. The consideration transferred by the Company to obtain control of a subsidiary is calculated as the sum of the acquisition-date fair values of assets transferred, liabilities incurred and the equity interests issued by the Company, which includes the fair value of any asset or liability arising from a contingent consideration arrangement. Acquisition costs are expensed as incurred. The Company recognizes identifiable assets acquired and liabilities assumed in a business combination regardless of whether they have been previously recognized in the acquiree’s financial statements prior to the acquisition. Assets acquired and liabilities assumed are generally measured at their acquisition-date fair values. Goodwill is stated after separate recognition of identifiable intangible assets. It is calculated as the excess of the sum of a) fair value of consideration transferred, b) the recognized amount of any non-controlling 2.4 Significant Accounting Policies (a) Revenue recognition The Company has adopted IFRS 15, Revenue Contracts with Customers and is accounted for under IAS 18 Revenue Under IFRS 15, revenue is recognized when a customer obtains control of the goods or services and the Company has satisfied its performance obligation. Determining the timing of the transfer of control, at a point in time or over time, requires judgment. Cash received in advance of meeting these conditions is recorded as advance payments or deferred revenue. Under the terms of the Company’s concentrate sales contracts, the final sales amount is based on final assay results and quoted market prices which may be in a period subsequent to the date of sale. Revenues for these sales, net of treatment and refining charges are recorded when the customer obtains control of the concentrate, based on an estimate of metal contained using initial assay results and forward market prices for the expected date that final sales prices will be fixed. The period between provisional pricing and final settlement can be up to four months. This settlement receivable is recorded at fair value each reporting period by reference to forward market prices until the date of final pricing, with the changes in fair value recorded as an adjustment to revenue. Prior to January 1, 2018, the Company’s revenue recognition accounting policy under IAS 18 Revenue, (b) Cash and equivalents Cash and equivalents consist of cash and highly-liquid investments having terms of three months or less from the date of acquisition and that are readily convertible to known amounts of cash. Cash and equivalents exclude cash subject to restrictions. (c) Financial instruments Financial assets and liabilities are recognized on the balance sheet when the Company becomes party to the contractual provisions of the instrument. The classification of financial instruments dictates how these assets and liabilities are measured subsequently in the Company’s consolidated financial statements. The Company adopted the new accounting standard IFRS 9, Financial Instruments Under IFRS 9, on initial recognition, a financial asset is classified as measured at: amortized cost; Fair Value through Other Comprehensive Income (FVOCI); or Fair Value through Profit or Loss (FVPL). The classification of financial assets under IFRS 9 is generally based on the business model in which a financial asset is managed and its contractual cash flow characteristics. A financial asset is measured at amortized cost if: (i) it is held within a business model whose objective is to hold assets to collect contractual cash flows; and (ii) its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding; and (iii) it is not designated as FVPL. This category of financial assets is subsequently measured at amortized cost using the effective interest method, and 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. 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 OCI. This election is made on an investment-by-investment All financial assets not classified as measured at amortized cost or FVOCI as described above are measured at FVPL. This includes all derivative financial assets. On initial recognition, the Company may irrevocably designate a financial asset as FVPL if doing so significantly reduces an accounting mismatch that would otherwise arise. Financial assets classified as FVPL are subsequently measured at fair value, with net gains and losses, including any interest or dividend income, recognized in profit or loss. Financial assets at amortized cost Loans and receivables are financial assets with fixed or determinable payments that are not quoted in an active market. Subsequent to initial recognition, these financial assets are recorded at amortized cost using the effective interest method, except for short-term receivables when the recognition of interest would be immaterial. Accounts receivable are assessed for evidence of impairment at each reporting date, with any impairment recognized in earnings for the period. Financial assets in this category include cash and cash equivalents and accounts receivables. Financial assets at fair value through other comprehensive income (FVOCI) Marketable securities, investment in subscription receipts and reclamation deposits are designated as FVOCI and recorded 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. Other net gains and losses are recognized in OCI and are never reclassified to profit or loss. Financial instruments at fair value through profit or loss (FVPL) All financial assets not classified as measured at amortized cost or FVOCI are measured at FVPL. Derivative financial instruments that are not designated and effective as hedging instruments are classified as FVPL. Financial instruments classified as FVPL are stated at fair value with any changes in fair value recognized in earnings for the period. Financial assets in this category include derivative financial instruments that the Company acquires to manage exposure to commodity price fluctuations. These instruments are non-hedge Financial liabilities Financial liabilities are initially recorded at fair value, net of transaction costs, and are subsequently measured at amortized cost using the effective interest method. The Company has accounted for accounts payable and accrued liabilities and long-term debt under this method. Fair value measurement Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy establishes three levels to classify the inputs to valuation techniques used to measure fair value, by reference to the reliability of the inputs used to estimate the fair values. Level 1 – quoted prices (unadjusted) in active markets for identical assets or liabilities; Level 2 – inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices); and Level 3 – inputs for the asset or liability that are not based on observable market data (unobservable inputs). The classification and measurement of financial instruments prior to the adoption of IFRS 9, Financial Instruments Financial instruments at fair value through profit or loss (FVTPL) Financial instruments are classified as FVTPL when they are held for trading. A financial instrument is held for trading if it was acquired for the purpose of selling in the near term. Derivative financial instruments that are not designated and effective as hedging instruments are classified as FVTPL. Financial instruments classified as FVTPL are stated at fair value with any changes in fair value recognized in earnings for the period. Financial assets in this category include derivative financial instruments that the Company acquires to manage exposure to commodity price fluctuations. These instruments are non-hedge Available-for-sale Marketable securities, subscription receipts and reclamation deposits are designated as available-for-sale Loans and receivables Loans and receivables are financial assets with fixed or determinable payments that are not quoted in an active market. Subsequent to initial recognition, these financial assets are recorded at amortized cost using the effective interest method, except for short-term receivables when the recognition of interest would be immaterial. Accounts receivable are assessed for evidence of impairment at each reporting date, with any impairment recognized in earnings for the period. Financial assets in this category include cash and cash equivalents and accounts receivable. Financial liabilities Financial liabilities are initially recorded at fair value, net of transaction costs, and are subsequently measured at amortized cost using the effective interest method. The Company has accounted for accounts payable and accrued liabilities and long-term debt under this method. (d) Exploration and evaluation Exploration and evaluation expenditures relate to the initial search for a mineral deposit and the subsequent evaluation to determine the economic potential of the mineral deposit. The exploration and evaluation stage commences when the Company obtains the legal right or license to begin exploration. Exploration and evaluation expenditures are recognized in earnings in the period in which they are incurred. Capitalization of development costs as mineral property, plant and equipment commences once the technical feasibility and commercial viability of the extraction of mineral reserve and resources associated with the Company’s evaluation properties are established and management has made a decision to proceed with development. (e) Inventories Inventories are valued at the lower of cost and net realizable value. Cost is determined on a weighted average basis and includes direct labour and materials; non-capitalized Ore stockpiles represent stockpiled ore that have not yet completed the production process, and are not yet in a saleable form. Finished goods inventories represent metals in saleable form that have not yet been sold. Materials and supplies inventories represent consumables used in the production process, as well as spare parts and other maintenance supplies that are not classified as capital items. The quantity of recoverable metal in stockpiled ore and in the processing circuits is an estimate which is based on the tons of ore added and removed, expected grade and recovery. The quantity of recoverable metal in concentrate is an estimate using initial assay results. (f) Property, plant and equipment Land, buildings, plant and equipment Land, buildings, plant and equipment are recorded at cost, including all expenditures incurred to prepare an asset for its intended use. Repairs and maintenance costs are charged to expense as incurred, except when these repairs significantly extend the life of an asset or result in an operating improvement. In these instances, the portion of these repairs relating to the betterment is capitalized as part of plant and equipment. Depreciation is based on the cost of the asset less residual value. Where an item of plant and equipment is comprised of major components with different useful lives, the components are accounted for as separate items and depreciated separately. Depreciation commences when an asset is available for use. Estimates of remaining useful lives and residual values are reviewed annually. Changes in estimates are accounted for prospectively. The depreciation rates of the major asset categories are as follows: Land Not depreciated Buildings Straight-line basis over 10-25 Plant and equipment Units-of-production Mining equipment Straight-line basis over 5-20 Light vehicles and other mobile equipment Straight-line basis over 2-5 Furniture, computer and office equipment Straight-line basis over 2-3 Mineral properties Mineral properties consist of the cost of acquiring and developing mineral properties. Once in production, mineral properties are amortized on a units-of-production Property acquisition costs arise either as an individual asset purchase or as part of a business combination, and may represent a combination of either proven and probable reserves, resources, or future exploration potential. When management has not made a determination that technical feasibility and commercial viability of extracting a mineral resource are demonstrable, the entire amount is considered property acquisition costs and not amortized. When such property moves into development, the property acquisition cost asset is transferred to mineral properties within property, plant and equipment. Mineral property development costs include: stripping costs incurred in order to provide initial access to the ore body; stripping costs incurred during production that generate a future economic benefit by increasing the productive capacity, extending the productive life of the mine or allowing access to a mineable reserve; capitalized project development costs; and capitalized interest. Construction in progress Construction in progress includes the purchase price and any costs directly attributable to bringing the asset to the location and condition necessary for its intended use. Construction in progress includes advances on long-lead items. Construction in progress is not depreciated. Once the asset is complete and available for use, the costs of construction are transferred to the appropriate category of property, plant and equipment, and depreciation commences. Capitalized interest Interest is capitalized for qualifying assets. Qualifying assets are assets that require a substantial period of time to prepare for their intended use. Capitalization ceases when the asset is substantially complete or if construction is interrupted for an extended period. Where the funds used to finance a project form part of general borrowings, the amount capitalized is calculated using a weighted average of rates applicable to relevant general borrowings of the Company during the period. Leased assets Leased assets in which the Company receives substantially all the risks and rewards of ownership of the asset are capitalized as finance leases at the lower of the fair value of the asset or the estimated present value of the minimum lease payments. The corresponding lease obligation is recorded within debt on the balance sheet. Assets under operating leases are not capitalized and rental payments are expensed on a straight-line basis. Impairment The carrying amounts of the Company’s non-financial The recoverable amount of an asset or cash generating unit (CGU) is the higher of fair value less costs to sell and value in use. Fair value is determined as the amount that would be obtained from the sale of the asset in an arm’s-length pre-tax cash inflows that are largely independent of the cash flows of other assets or CGU’s. If the recoverable amount of an asset or its related CGU is estimated to be less than its carrying amount, the carrying amount of the asset or CGU is reduced to its recoverable amount and the impairment loss is recognized in earnings for the period. Where an impairment loss subsequently reverses, the carrying amount of the asset or CGU is increased to the revised estimate of its recoverable amount, but not to an amount that exceeds the carrying amount that would have been determined had no impairment loss been recognized for the asset or CGU in prior years. A reversal of an impairment loss is recognized immediately in earnings. The carrying amount of the CGU to which goodwill has been allocated is tested annually for impairment or when there is an indication that the goodwill may be impaired. Any goodwill impairment is recognized as an expense in the profit or loss. Should there be a recovery in the value of a CGU, any impairment of goodwill previously recorded is not subsequently reversed. (g) Income taxes Income tax on the earnings for the periods presented comprises current and deferred tax. Income tax is recognized in earnings except to the extent that it relates to items recognized directly in equity or in other comprehensive income. Income tax is calculated using tax rates enacted or substantively enacted at the reporting date applicable to the period of expected realization or settlement. Current tax expense is the expected tax payable on the taxable income for the year, adjusted for amendments to tax payable with regards to previous years. Deferred tax is determined using the balance sheet liability method, providing for temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. The following temporary differences are not provided for: the initial recognition of assets or liabilities acquired (not in a business combination) that affect neither accounting nor taxable profit on acquisition; and differences relating to investments in subsidiaries, associates, and joint ventures to the extent that they are not probable to reverse in the foreseeable future. The amount of deferred tax provided is based on the expected manner of realization or settlement of the carrying amount of assets and liabilities. A deferred tax asset is recognized only to the extent that it is probable that future taxable profits will be available against which the asset can be utilized. Deferred tax assets are reviewed at each reporting date and are reduced to the extent it is no longer probable that the related tax benefit will be realized. (h) Share-based compensation The fair-value method is used for the Company’s share-based payment transactions. Under this method, the cost of share options and equity-settled performance share units is recorded based on their estimated fair value at the grant date, including an estimate of the forfeiture rate. The fair value of the share options and performance share units is expensed on a graded amortization basis over the vesting period of the awards, with a corresponding increase in equity. Share-based compensation expense relating to cash-settled awards, including deferred share units, is recognized based on the quoted market value of the Company’s common shares on the date of grant. The related liability is re-measured (i) Provisions Environmental rehabilitation The Company records the present value of estimated costs of legal and constructive obligations required to retire an asset in the period in which the obligation occurs. Environmental rehabilitation activities include facility decommissioning and dismantling; removal and treatment of waste materials; site and land rehabilitation, including compliance with and monitoring of environmental regulations; and related costs required to perform this work and/or operate equipment designed to reduce or eliminate environmental effects. The provision for environmental rehabilitation (“PER”) is adjusted each period for new disturbances, and changes in regulatory requirements, the estimated amount of future cash flows required to discharge the liability, the timing of such cash flows and the pre-tax When a PER is initially recognized, the corresponding cost is capitalized by increasing the carrying amount of the related asset, and is amortized to earnings on a unit-of-production Significant estimates and assumptions are made in determining the provision for environmental rehabilitation as there are numerous factors that will affect the ultimate liability payable. These factors include estimation of the extent and cost of rehabilitation activities; timing of future cash flows that are impacted by changes in discount rates; inflation rate; and regulatory requirements. Other provisions Other provisions are recognized when the Company has a present obligation (legal or constructive) that has arisen as a result of a past event and it is probable that a future outflow of resources will be required to settle the obligation, provided that a reliable estimate can be made of the amount of the obligation. Where the effect is material, the provision is discounted using a pre-tax (j) Finance income and expenses Finance income comprises interest income on funds invested, gains on the disposal of marketable securities, and changes in the fair value of derivatives included in cash and equivalents and marketable securities. Interest income is recognized as it accrues in earnings, using the effective interest method. Finance expenses comprise interest expense on borrowings, unwinding of the discount on provisions, the finance component on deferred revenue, losses on the disposal of marketable securities, changes in the fair value of derivatives included in cash and cash equivalents and marketable securities, and impairment losses recognized on financial assets. Borrowing costs that are not directly attributable to the acquisition, construction or production of a qualifying asset are recognized in earnings using the effective interest method. (k) Earnings (loss) per share The Company presents basic and diluted earnings (loss) per share data for its common shares, calculated by dividing the earnings (loss) attributable to common shareholders of the Company by the weighted average number of common shares outstanding during the period. Diluted earnings per share is determined by adjusting the earnings attributable to common shareholders and the weighted average number of common shares outstanding for the effects of all dilutive potential common shares, which comprise warrants and share options granted. There is no dilution impact when the Company incurs a loss. (l) Interests in joint arrangements IFRS defines a joint arrangement as one over which two or more parties have joint control, which is the contractually agreed sharing of control over an arrangement. This exists only when the decisions about the relevant activities (being those that significantly affect the returns of the arrangement) require the unanimous consent of the parties sharing control. A joint operation is a type of joint arrangement whereby the parties that have joint control of the arrangement have rights to the assets and obligations for the liabilities, relating to the arrangement. In relation to its interests in joint operations, the Company recognizes its: ● Assets, including its share of any assets held jointly; ● Liabilities, including its share of any liabilities incurred jointly; ● Revenue from the sale of its share of the output arising from the joint operation; and ● Expenses, including its share of any expenses incurred jointly. 2.5 Impact of adoption of new accounting standards The Company has applied the following revised or new IFRS that were issued and effective January 1, 2018: (a) IFRS 15, Revenue from Contracts with Customers The Company has adopted IFRS 15 effective January 1, 2018 using the cumulative effect method. Accordingly, the comparative information presented for 2017 has not been restated and is accounted for under IAS 18 Revenue Deferred revenue arose from an up-front The Company identified a significant financing component related to its streaming arrangement resulting from a difference in the timing of the up-front The initial consideration received from the streaming arrangement is considered variable, subject to changes in the total silver ounces to be delivered. Changes to variable consideration will be reflected in revenue in the consolidated statement of income (loss) in the period the change is identified. The following table summarizes the impact of transition to IFRS 15 on deficit at January 1, 2018: Deficit, as at December 31, 2017 (102,878 ) Deferred revenue adjustment, net of tax (Note 18) (1,047 ) Deficit after adoption of IFRS 15, as at January 1, 2018 (103,925 ) The following table summarizes the impact of adopting IFRS 15 on the Company’s consolidated balance sheet as at December 31, 2018: As reported Adjustments Amounts without Current portion of deferred revenue 3,907 2,741 1,166 Deferred revenue 39,367 703 38,664 Deferred tax liability 83,793 (930) 84,723 Deficit (139,699) (2,514) (137,185) The following table summarizes the impact of adopting IFRS 15 on the Company’s consolidated statement of comprehensive income (loss) for the year ended December 31, 2018 : As reported Adjustments Amounts without IFRS 15 Revenue 343,870 2,173 341,697 Finance expenses (38,564) (4,182) (34,382) Income tax recovery (expense) (448) 542 (990) Net loss (35,774) (1,467) (34,307) Total comprehensive loss (22,099) (1,467) (20,632) (b) IFRS 9, Financial Instruments As described in Note 2.4(c), the Company adopted IFRS 9 effective January 1, 2018 without restating comparative information for prior periods. Accordingly, the comparative information for 2017 is presented under IAS 39. There were no changes to the carrying value of any of the Company’s assets or liabilities as a result of this new accounting standard. The following table explains the original measurement categories under IAS 39 and the new measurement categories under IFRS 9 for each class of the Company’s financial assets as at January 1, 2018: Footnote Original Classification under IAS 39 New IFRS 9 Financial assets Cash and cash equivalents Loans and receivables Amortized cost Accounts receivables Loans and receivables Amortized cost Settlement receivables Fair value – non-hedge derivative instrument FVPL Copper put option contracts Fair value – non-hedge derivative instrument FVPL Marketable securities Available-for-sale FVOCI Investment in subscription receipts (1) Available-for-sale FVOCI Reclamation deposits (1) Available-for-sale FVOCI Restricted cash Loans and receivables Amortized cost (1) The Company has designated these equity related investments at the date of initial application as measured at FVOCI. (c) IFRS 16, Leases In January 2016, the IASB issued IFRS 16 Leases Revenue from Contracts with Customers |
Interest in Gibraltar Joint Ven
Interest in Gibraltar Joint Venture | 12 Months Ended |
Dec. 31, 2018 | |
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Interest in Gibraltar Joint Venture | 3. INTEREST IN GIBRALTAR JOINT VENTURE On March 31, 2010, the Company entered into an agreement with Cariboo Copper Corp. (Cariboo) whereby the Company contributed certain assets and liabilities of the Gibraltar mine, operating in British Columbia, into an unincorporated joint venture to acquire a 75% interest in the joint venture. Cariboo contributed $186,800 to purchase the remaining 25% interest. The assets and liabilities contributed by the Company to the joint venture were mineral property interests, plant and equipment, inventories, prepaid expenses, reclamation deposits, capital lease obligations, and site closure and reclamation obligations. Certain key strategic, operating, investing and financing policies of the joint venture require unanimous approval such that neither venturer is in a position to exercise unilateral control over the joint venture. The Company continues to be the operator of the Gibraltar Mine. The Company has joint control over the joint arrangement and as such consolidates its 75% portion of all the joint venture’s assets, liabilities, income and expenses. The following is a summary of the Gibraltar joint venture financial information on a 100% basis. As at December 31, 2018 2017 Cash and equivalents 47,707 52,383 Other current assets 72,423 83,323 Current assets 120,130 135,706 Non-current 1,122,289 1,167,787 Accounts payable and accrued liabilities 45,301 53,312 Other current financial liabilities 14,172 15,865 Current liabilities 59,473 69,177 Long-term debt 18,589 21,151 Provision for environmental rehabilitation 128,738 142,164 Non-current 147,327 163,315 Years ended December 31, 2018 2017 Revenues 457,600 507,212 Production costs (311,759) (267,548) Depletion and amortization (109,018) (75,428) Other operating expense (4,181) (4,632) Write-down of mine equipment - (4,735) Interest expense (5,116) (5,927) Interest income 1,119 343 Foreign exchange gain (loss) 1,333 (907) Net earnings 29,978 148,378 Other comprehensive income 104 90 Comprehensive income for joint arrangement 30,082 148,468 |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2018 | |
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Revenue | 4. REVENUE Years ended December 31, 2018 2017 Copper contained in concentrate 350,522 375,295 Molybdenum concentrate 26,589 20,782 Silver (Notes 2.5a and 18) 3,713 1,728 Price adjustments on settlement receivables (10,679) 13,490 Total gross revenue 370,145 411,295 Less: Treatment and refining costs (26,275) (32,996) Revenue 343,870 378,299 |
Cost of Sales
Cost of Sales | 12 Months Ended |
Dec. 31, 2018 | |
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Cost of Sales | 5. COST OF SALES Years ended December 31, 2018 2017 Site operating costs 219,104 167,338 Transportation costs 17,163 19,281 Insurance recovered (7,913) - Changes in inventories of finished goods 2,435 (302) Changes in inventories of ore stockpiles 1,078 14,266 Production costs 231,867 200,583 Depletion and amortization 70,781 47,722 Cost of sales 302,648 248,305 Cost of sales consists of site operating costs (which include personnel costs, mine site supervisory costs, non-capitalized During the year ended December 31, 2018, the Company has recognized insurance recovered of $7,913 (75% basis) related to the Cariboo region wildfires in 2017. |
Compensation Expense
Compensation Expense | 12 Months Ended |
Dec. 31, 2018 | |
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Compensation Expense | 6. COMPENSATION EXPENSE Years ended December 31, 2018 2017 Wages, salaries and benefits 69,633 61,998 Post-employment benefits 2,115 1,491 Share-based compensation (recovery) expense (Note 21c) (1,282) 7,100 70,466 70,589 Compensation expense is presented as a component of cost of sales, general and administrative expense, and exploration and evaluation expense. |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Dec. 31, 2018 | |
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Derivative Instruments | 7. DERIVATIVE INSTRUMENTS During the year ended December 31, 2018, the Company purchased copper put option contracts for 30 million pounds of copper with maturity dates ranging from the third quarter of 2018 to the fourth quarter of 2018, at strike price of US$2.80 per pound, at a total cost of $1,063. The Company received cash proceeds of $855 upon expiry of these put options. During the year ended December 31, 2017, the Company purchased copper put options for 75 million pounds of copper with maturity dates ranging from the second quarter of 2017 to the second quarter of 2018, at a total cost of $3,952. The remainder of these options expired in 2018 with no cash proceeds. The following table outlines the (gains) losses associated with derivative instruments: Years ended December 31, 2018 2017 Realized loss on copper put options 2,264 1,807 Unrealized (gain) loss on copper put options (1,970) 1,970 Change in fair value of copper call option - 6,305 294 10,082 The copper call option was repurchased as part of a debt refinancing completed in June 2017 (see Note 17a), and is no longer outstanding. |
Other Expenses (Income)
Other Expenses (Income) | 12 Months Ended |
Dec. 31, 2018 | |
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Other Expenses (Income) | 8. OTHER EXPENSES (INCOME) Years ended December 31, 2018 2017 Management fee income (1,167) (1,168) Other operating expense (income), net (305) 108 Write-down of mine equipment - 3,551 Write-down of investment - 3,850 (1,472) 6,341 In the fourth quarter of 2017, the Company assessed the value of its investment in subscription receipts of a private mineral exploration and development company and recorded a write-down of the investment to its estimated fair value. A write-down of $3,850 was recorded in the statement of income, and an unrealized loss of $4,083 was recorded in other comprehensive income. |
Finance Expenses
Finance Expenses | 12 Months Ended |
Dec. 31, 2018 | |
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Finance Expenses | 9. FINANCE EXPENSES Years ended December 31, 2018 2017 Interest expense 32,077 30,965 Finance expense – deferred revenue (Notes 2.5a and 18) 4,182 - Accretion on PER (Note 19) 2,305 2,363 Loss on settlement of long-term debt - 13,102 38,564 46,430 As part of a refinancing completed in June 2017, the Company redeemed senior notes and repaid a senior secured credit facility (see Note 17(a)). The settlement of long-term debt resulted in a loss of $13,102, which includes a write-off |
Income Tax
Income Tax | 12 Months Ended |
Dec. 31, 2018 | |
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Income Tax | 10. INCOME TAX (a) Income tax expense (recovery) Years ended December 31, 2018 2017 Current income tax: Current period expense 1,015 1,801 Deferred income tax: Origination and reversal of temporary differences (363) 24,735 Deferred tax adjustments related to prior periods (204) 2,642 Deferred income tax expense (recovery) (567) 27,377 Income tax expense 448 29,178 (b) Effective tax rate reconciliation Years ended December 31, 2018 2017 Income tax at Canadian statutory rate of 36.5% (2017: 35.6%) (12,891) 22,597 Permanent differences 10,271 4,914 Tax rate differences - 1,192 Foreign tax rate differential 131 22 Unrecognized tax benefits 3,151 (2,206) Deferred tax adjustments related to prior periods (204) 2,642 Other (10) 17 Income tax expense 448 29,178 (c) Deferred tax assets and liabilities Deferred tax assets and liabilities are attributable to the following: As at December 31, 2018 2017 Property, plant and equipment (177,664) (175,502) Other financial assets 3,204 2,884 Provisions 18,279 19,378 Tax loss carry forwards 72,388 64,195 Deferred tax liability (83,793) (89,045) Tax loss carry forwards relate to non-capital pre-tax pre-tax pre-tax (d) Unrecognized deferred tax assets and liabilities As at December 31, 2018 2017 Deductible temporary differences: Debt 78,035 70,529 Other investments 34,873 34,873 Other financial assets 21,722 19,705 Deferred tax asset: Debt 10,535 7,385 Other investments 4,708 4,708 Other financial assets 3,139 3,073 Deferred tax assets have not been recognized in respect of these items because it is not probable that future taxable profit will be available against which the Company can utilize the benefits. There are no unrecognized deferred tax liabilities. |
Accounts Receivable
Accounts Receivable | 12 Months Ended |
Dec. 31, 2018 | |
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Accounts Receivable | 11. ACCOUNTS RECEIVABLE As at December 31, 2018 2017 Trade receivables 10,582 19,341 Other receivables from joint venture partner 258 210 Goods and services tax receivable 916 1,094 Other receivables 2,979 973 14,735 21,618 |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2018 | |
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Inventories | 12. INVENTORIES As at December 31, 2018 2017 Ore stockpiles 8,532 9,332 Copper contained in concentrate 3,166 5,933 Molybdenum concentrate 549 217 Materials and supplies 26,739 24,157 38,986 39,639 At December 31, 2018, the Company recorded an impairment of $1,703 to adjust the carrying value of ore stockpiles to net realizable value. The adjustment was included in cost of sales as a change in inventory of ore stockpiles. |
Other Financial Assets
Other Financial Assets | 12 Months Ended |
Dec. 31, 2018 | |
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Other Financial Assets | 13. OTHER FINANCIAL ASSETS As at December 31, 2018 2017 Current: Marketable securities 3,581 2,444 Copper put option contracts (Note 7) - 330 3,581 2,774 Long-term: Investment in subscription receipts 2,400 2,400 Reclamation deposits (Note 19) 31,480 30,637 Restricted cash (Note 19) 7,500 7,500 41,380 40,537 The Company holds strategic investments in publicly traded and privately owned companies, including marketable securities and subscription receipts. Marketable securities at December 31, 2018 include a 21.0% (December 31, 2017: 18.5%) ownership interest in Yellowhead Mining Inc. (“Yellowhead”), which is carried at a fair value of $2,810 (December 31, 2017 - $1,221). On December 4, 2018, the Company entered into an agreement to acquire all of the outstanding common shares of Yellowhead that it did not already own, in exchange for 17.3 million Taseko common shares. The transaction was structured as a plan of arrangement pursuant to the Business Corporations Act (British Columbia) and requires the approval of the Supreme Court of British Columbia and the approval of: (i) at least two-thirds The subscription receipts relate to an investment in a privately held company with two directors in common with Taseko and are to be convertible into units comprised of shares, or shares and warrants. Effective January 1, 2018, marketable securities and the investment in subscription receipts are accounted for at fair value through other comprehensive income (FVOCI) (see Note 2.5b). The fair value of these investments is based on public market information of comparable companies. |
Property, Plant & Equipment
Property, Plant & Equipment | 12 Months Ended |
Dec. 31, 2018 | |
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Property, Plant & Equipment | 14. PROPERTY, PLANT & EQUIPMENT Property Mineral Plant and Construction in Progress Total Cost At January 1, 2017 98,404 238,828 656,135 1,458 994,825 Additions - 84,641 10,696 21,030 116,367 Rehabilitation cost asset - 8,350 - - 8,350 Capitalized interest 1 - 2,602 - - 2,602 Disposals - - (6,924) - (6,924) Foreign exchange translation (6,026) (783) (315) - (7,124) Transfers between categories - - 19,760 (19,760) - At December 31, 2017 92,378 333,638 679,352 2,728 1,108,096 Additions - 62,849 27,783 10,507 101,139 Rehabilitation cost asset - (12,374) - - (12,374) Disposals - - (2,279) - (2,279) Foreign exchange translation 7,494 1,391 1,308 - 10,193 Transfers between categories - - 13,047 (13,047) - At December 31, 2018 99,872 385,504 719,211 188 1,204,775 Accumulated depreciation At January 1, 2017 - 96,657 167,960 - 264,617 Depletion and amortization - 20,033 29,472 - 49,505 Impairment - - 3,551 - 3,551 Disposals - - (6,842) - (6,842) At December 31, 2017 - 116,690 194,141 - 310,831 Depletion and amortization - 44,159 30,671 - 74,830 Disposals - - (2,173) - (2,173) At December 31, 2018 - 160,849 222,639 - 383,488 Net book value At December 31, 2017 92,378 216,948 485,211 2,728 797,265 At December 31, 2018 99,872 224,655 496,572 188 821,287 1 (a) Capital expenditures During 2018, the Company capitalized stripping costs of $52,598 (2017: $75,408) and incurred other capital expenditures for Gibraltar of $10,975 (2017: $10,728). In addition, the Company capitalized development costs of $36,520 (2017: $15,245) for the Florence Copper and $2,701 (2017: $1,713) for the Aley Niobium projects. Non-cash The rehabilitation cost asset decreased by $12,374 for the year ended December 31, 2018, as a result of changes in the provision for environmental rehabilitation (Note 19). (b) Leased assets The Company leases mining equipment under a number of capital lease agreements. Most of these leases provide the Company with the option to purchase the equipment at a beneficial price. Certain rents are based on an annual average usage for the applicable equipment and, if at the end of the term (unless the equipment has been purchased by the Company), the actual annual average usage of such equipment has been greater than the specified usage, the Company must pay an additional amount for each excess hour of actual usage. The leased assets secure the lease obligations (Note 17). At December 31, 2018, the net carrying amount of leased assets was $46,641 (2017: $51,918). (c) Property acquisition costs Property acquisition costs are comprised of the Aley Niobium property $5,436, Florence Copper Project $94,434, New Prosperity gold-copper property $1 and Harmony gold property $1. The carrying amounts for the New Prosperity and Harmony properties are the original property acquisition costs less historical impairments. |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2018 | |
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Goodwill | 15. GOODWILL Goodwill was recorded on the Company’s acquisition of Curis Resources Ltd. (“Curis”) in 2014. Curis is a mineral exploration and development company whose principal asset is the Florence Copper Project, an in-situ The Company performed an annual goodwill impairment test and the recoverable amount of the Curis CGU was estimated utilizing a discounted cash flow with the following key assumptions: an after-tax discount rate of 10% (2017 – 12%); and copper prices of US$3.10 to US$3.18 per pound in the projected periods. The recoverable amount of the Curis CGU was calculated to be higher than its carrying amount and no impairment loss was recognized. |
Accounts Payable and Accrued Li
Accounts Payable and Accrued Liabilities | 12 Months Ended |
Dec. 31, 2018 | |
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Accounts Payable and Accrued Liabilities | 16. ACCOUNTS PAYABLE AND ACCRUED LIABILITIES As at December 31, 2018 2017 Trade payables 21,861 23,926 Accrued liabilities 19,140 18,692 Amounts payable to BC Hydro - 4,764 41,001 47,382 During the year ended December 31, 2018, the Company repaid the remaining balance payable under BC Hydro’s five-year power rate deferral program for BC mines. Under the program, effective March 1, 2016, the Gibraltar Mine was able to defer up to 75% of electricity costs. The amount of the deferral was based on a formula that incorporated the average copper price in Canadian dollars during the preceding month. The deferred amount, plus interest at the prime rate plus 5%, was repayable on a monthly schedule of up to 75% of the monthly electricity billing, when the average copper price during the preceding month exceeded a threshold amount of $3.40 per pound. Any remaining deferred balance would have been repayable at the end of the five year term. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2018 | |
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Debt | 17. DEBT As at December 31, 2018 2017 Current: Capital leases (b) 6,506 9,651 Secured equipment loans (c) 3,350 1,619 9,856 11,270 Long-term: Senior secured notes (a) 331,683 302,085 Capital leases (b) 7,604 14,110 Secured equipment loans (c) 6,338 1,753 345,625 317,948 (a) Senior secured notes In June 2017, the Company completed an offering of US$250,000 aggregate principal amount of senior secured notes (“the Notes”). The Notes mature on June 15, 2022 and bear interest at an annual rate of 8.750%, payable semi-annually on June 15 and December 15, commencing December 15, 2017. The Notes were issued at 99% of par value and the Company incurred other transaction costs of $9,326 resulting in net proceeds from the offering of $317,596 (US$240,468). The net proceeds were used, along with cash on hand, to redeem senior notes, to repay a senior secured credit facility and to settle the related copper call option. The Notes are secured by liens on the shares of Taseko’s wholly-owned subsidiary, Gibraltar Mines Ltd., and the subsidiary’s rights under the joint venture agreement relating to the Gibraltar mine. The Notes are guaranteed by each of Taseko’s existing and future restricted subsidiaries, other than certain immaterial subsidiaries. The Company is able to incur limited amounts of additional secured and unsecured debt under certain conditions as defined in the Note indenture. The Company is also subject to certain restrictions on asset sales, issuance of preferred stock, dividends and other restricted payments. However, there are no maintenance covenants with respect to the Company’s financial performance. The Company may redeem some or all of the Notes at any time on or after June 15, 2019, at redemption prices ranging from 104.375% to 100%, plus accrued and unpaid interest to the date of redemption. Prior to June 15, 2019, all or part of the notes may be redeemed at 100%, plus a make-whole premium, plus accrued and unpaid interest to the date of redemption. In addition, until June 15, 2019, the Company may redeem up to 35% of the aggregate principal amount of the notes, in an amount not greater than the net proceeds of certain equity offerings, at a redemption price of 108.750%, plus accrued and unpaid interest to the date of redemption. On a change of control, the Notes are redeemable at the option of the holder at a price of 101%. (b) Capital leases Capital leases are repayable in monthly installments and are secured by equipment with a carrying value $46,641 (2017: $51,918). The capital lease obligations bear fixed interest rates ranging from 3.5% to 5.8% and have maturity dates ranging from 2019 to 2022. (c) Secured equipment loans Equipment loans are secured by equipment with a carrying value of $28,786 (2017: $20,912). The loans are repayable in monthly installments and bear fixed interest rates at 5.5% and have maturity dates ranging from 2020 to 2022. In June 2018, the Company entered into a new equipment loan for $9,000. This equipment loan is repayable over a four year term and bears interest at an annual rate of 5.5%. |
Deferred Revenue
Deferred Revenue | 12 Months Ended |
Dec. 31, 2018 | |
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Deferred Revenue | 18. DEFERRED REVENUE On March 3, 2017, the Company entered into a silver stream purchase and sale agreement with Osisko Gold Royalties Ltd. (“Osisko”), whereby the Company received an upfront cash deposit payment of US$33 million for the sale of an equivalent amount of its 75% share of Gibraltar payable silver production until 5.9 million ounces of silver have been delivered to Osisko. After that threshold has been met, 35% of an equivalent amount of Taseko’s share of all future payable silver production from Gibraltar will be delivered to Osisko. In addition to the initial deposit, the Company receives cash payments of US$2.75 per ounce for all silver deliveries made under the agreement. The Company recorded the initial deposit as deferred revenue and recognizes amounts in revenue as silver is delivered to Osisko. The amortization of deferred revenue is calculated on a per unit basis using the estimated total number of silver ounces expected to be delivered to Osisko over the life of the Gibraltar Mine. The current portion of deferred revenue is an estimate based on deliveries anticipated over the next twelve months. The silver sale agreement has a minimum term of 50 years and automatically renews for successive 10-year In connection with the silver stream transaction, the Company issued share purchase warrants to Osisko to acquire 3 million common shares of the Company at any time until April 1, 2020 at an exercise price of $2.74 per share. The fair value of the warrants was estimated to be $1,876 at the date of grant and was measured based on the Black-Scholes valuation model. The fair value was determined using the expected life of 3 years, expected volatility of the Company’s common share price of 61%, an expected dividend yield of 0%, and a risk-free interest rate of 0.9% (Note 20b). The following table summarizes changes in deferred revenue: Upfront cash deposit 44,151 Issuance of warrants (1,876) Amortization of deferred revenue (1,323) Balance at December 31, 2017 40,952 Transitional adjustment for IFRS 15 (Note 2.5a) 1,435 Finance expense (Note 2.5a, 9) 4,182 Amortization of deferred revenue (3,295) Balance at December 31, 2018 43,274 Deferred revenue is reflected in the consolidated balance sheets as follows: December 31, 2018 December 31, 2017 Current 3,907 1,312 Non-current 39,367 39,640 43,274 40,952 |
Provision For Environmental Reh
Provision For Environmental Rehabilitation | 12 Months Ended |
Dec. 31, 2018 | |
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Provision For Environmental Rehabilitation | 19. PROVISION FOR ENVIRONMENTAL REHABILITATION 2018 2017 Beginning balance at January 1 107,874 98,454 Change in estimates (12,374) 8,350 Accretion 2,305 2,363 Settlements - (1,205) Foreign exchange differences 109 (88) Ending balance at December 31 97,914 107,874 The provision for environmental rehabilitation (“PER”) represents the present value of estimated costs of legal and constructive obligations required to retire an asset, including decommissioning and other site restoration activities. The majority of these expenditures occur after the end of the life of the related operation. For the Gibraltar Mine, it is anticipated that these costs will be incurred over a period of 100 years beyond the end of the mine life. As at December 31, 2018, the PER was calculated using a pre-tax During 2017, the Company submitted an updated decommissioning cost report for the Gibraltar Mine to the BC Ministry of Energy, Mines and Petroleum Resources as a requirement to maintain its permits in good standing. The underlying cost assumptions supporting the 2017 decommissioning report reflect management’s best estimate for closure costs and were incorporated into the PER. Estimates are reviewed regularly and there have been adjustments to the amount and timing of cash flows as a result of updated information. Assumptions are based on the current economic environment, but actual rehabilitation costs will ultimately depend upon future market prices for the necessary decommissioning work required, which will reflect market conditions at the relevant time. Furthermore, the timing of rehabilitation will depend on when the mine ceases production which, in turn, will depend on future metal prices, operating conditions and many other factors which are inherently uncertain. The Company has provided deposits and other financial security for its reclamation obligations which is held in trust by the regulatory authorities. Security for reclamation obligations is returned once the site is reclaimed to a satisfactory level and there are no ongoing monitoring or maintenance requirements. The Company has provided total reclamation security of $36,284 for its 75% share of the Gibraltar Mine, in the form of reclamation deposits and restricted cash (Note 13). The Gibraltar reclamation deposits of $28,784 are held in a trust account and include investments in Canadian government bonds, guaranteed investment certificates and cash. The restricted cash of $7,500 (Note 13) represents the Company’s share of cash security for a letter of credit issued by the Gibraltar Joint Venture as security for reclamation obligations at the Gibraltar Mine. For the Florence Copper project, the Company has issued security for reclamation bonds totaling $8,676, which is supported by surety bonds of an insurance company. The Company has provided cash collateral of $2,208 to the surety provider and these amounts are classified as reclamation deposits (Note 13). |
Equity
Equity | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Equity | 20. EQUITY (a) Share capital Common shares (thousands) Common shares outstanding at January 1, 2017 221,867 Exercise of warrants 4,000 Exercise of share options 1,133 Common shares outstanding at December 31, 2017 227,000 Settlement of performance share units 1,024 Exercise of share options 407 Common shares outstanding at December 31, 2018 228,431 The Company’s authorized share capital consists of an unlimited number of common shares with no par value. (b) Share purchase warrants At December 31, 2018, the Company had 3,000,000 share purchase warrants outstanding at an exercise price of $2.74 per share and with an expiry date of April 1, 2020. These warrants were issued in March, 2017 in connection with the silver stream purchase and sale agreement (Note 18). (c) Contributed surplus Contributed surplus represents employee entitlements to equity settled share-based awards that have been charged to the statement of comprehensive income and loss in the periods during which the entitlements were accrued and have not yet been exercised. (d) Accumulated other comprehensive income (“AOCI”) AOCI is comprised of the cumulative net change in the fair value of FVOCI financial assets and cumulative translation adjustments arising from the translation of foreign subsidiaries. |
Share-Based Compensation
Share-Based Compensation | 12 Months Ended |
Dec. 31, 2018 | |
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Share-Based Compensation | 21. SHARE-BASED COMPENSATION (a) Share Options The Company has an equity settled share option plan approved by the shareholders that allows it to grant options to directors, officers, employees and other service providers. Under the plan, a maximum of 9.5% of the Company’s outstanding common shares may be granted. The maximum allowable number of outstanding options to independent directors as a group at any time is 1% of the Company’s outstanding common shares. The exercise price of an option is set at the time of grant using the five-day Options (thousands) Average price Outstanding at January 1, 2017 11,941 1.74 Granted 1,911 1.25 Exercised (1,133) 0.78 Forfeited (39) 0.96 Expired (3,399) 2.71 Outstanding at January 1, 2018 9,281 1.40 Granted 1,724 2.84 Exercised (407) 0.82 Cancelled/forfeited (161) 2.25 Expired (100) 2.02 Outstanding at December 31, 2018 10,337 1.64 Exercisable at December 31, 2018 8,740 1.52 During the year ended December 31, 2018, the Company granted 1,724,500 (2017 – 1,910,500) share options to directors, executives and employees, exercisable at an average exercise price of $2.84 per common share (2017 - $1.25 per common share) over a three to five year period. The total fair value of options granted was $2,483 (2017 – $1,165) based on a weighted average grant-date fair value of $1.44 (2017 – $0.61) per option. Range of exercise price Options (thousands ) Average life (years ) $0.38 to $0.68 1,798 1.71 $0.69 to $1.02 1,788 1.34 $1.03 to $1.64 1,721 2.64 $1.65 to $2.40 3,435 0.05 $2.41 to $2.86 1,595 3.50 10,337 1.53 The fair value of options was measured at the grant date using the Black-Scholes formula. Expected volatility is estimated by considering historic average share price volatility. The inputs used in the Black-Scholes formula are as follows: 2018 2017 Expected term (years) 4.4 4.5 Forfeiture rate 0% 0% Volatility 64% 61% Dividend yield 0% 0% Risk-free interest rate 1.8% 1.0% Weighted-average fair value per option $1.44 $0.61 (b) Deferred Share Units and Performance Share Units The Company has adopted a Deferred Share Unit (“DSU”) Plan (the “DSU Plan”) that provides for an annual grant of DSUs to each non-employee The Company has established a Performance Share Unit (“PSU”) Plan (the “PSU Plan”) whereby PSUs are issued to executives as long-term incentive compensation. PSUs issued under the Plan entitle the holder to a cash or equity payment (as determined by the Board of Directors), at the end of a three-year performance period equal to the number of PSU’s granted, adjusted for a performance factor and multiplied by the quoted market value of a Taseko common share on the completion of the performance period. The performance factor can range from 0% to 250% and is determined by comparing the Company’s total shareholder return to those achieved by a peer group of companies. DSUs (thousands) PSUs (thousands) Outstanding at January 1, 2017 1,323 1,707 Granted 620 400 Settled - (888) Outstanding at January 1, 2018 1,943 1,219 Granted 385 400 Settled - (409) Outstanding at December 31, 2018 2,328 1,210 During the year ended December 31, 2018, 385,000 DSUs were issued to directors (2017 - 620,000) and 400,000 PSUs to senior executives (2017 – 400,000). The fair value of DSUs and PSUs granted was $2,982 (2017 - $1,301), with a weighted average fair value at the grant date of $2.86 per unit for the DSUs (2017 - $1.27) per unit) and $4.70 per unit for the PSUs (2017 – $2.33 per unit). (c) Share-based compensation expenses Share based compensation expense (recovery) is comprised as follows: Years ended December 31, 2018 2017 Share options – amortization 2,182 1,072 Performance share units – amortization 736 1,849 Change in fair value of deferred share units (4,200) 4,179 (1,282) 7,100 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Commitments and Contingencies | 22. COMMITMENTS AND CONTINGENCIES (a) Commitments The Company is a party to certain contracts relating to operating leases and service and supply agreements. Future minimum payments under these agreements as at December 31, 2018 are presented in the following table: 2019 11,079 2020 7,944 2021 6,045 2022 1,175 2023 - 2024 and thereafter - Total commitments 26,243 As at December 31, 2018, the Company had outstanding capital commitments of $298, of which the Gibraltar joint venture (Note 3) is committed to incur expenditures of $108 (2017: $933), with the Company’s share being $81 (2017: $700). (b) Contingencies The Company has guaranteed 100% of certain capital lease and equipment loans entered into by the Gibraltar joint venture in which it holds a 75% interest. As a result, the Company has guaranteed the joint venture partner’s 25% share of this debt which amounted to $7,933 as at December 31, 2018. |
Supplementary Cash Flow Informa
Supplementary Cash Flow Information | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Supplementary Cash Flow Information | 23. SUPPLEMENTARY CASH FLOW INFORMATION For the year ended December 31, 2018 2017 Change in non-cash Accounts receivable 7,018 (9,199) Inventories 653 16,324 Prepaids 7 (203) Accounts payable and accrued liabilities (1,778) 8,995 Interest payable 40 (21) Income tax payable (4,139) (2,275) Income tax received 92 - 1,893 13,621 Non-cash Share purchase warrants issued (Note 18) - 1,876 Assets acquired under capital lease - 13,059 Share purchase warrants exercised - (830) |
Financial Risk Management
Financial Risk Management | 12 Months Ended |
Dec. 31, 2018 | |
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Financial Risk Management | 24. FINANCIAL RISK MANAGEMENT (a) Overview In the normal course of business, the Company is inherently exposed to market, liquidity and credit risk through its use of financial instruments. The timeframe and manner in which the Company manages these risks varies based upon management’s assessment of the risk and available alternatives for mitigating risk. The Board approves and monitors risk management processes, including treasury policies, counterparty limits, controlling and reporting structures. (b) Market risk Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market prices comprise three types of risk: commodity price risk; interest rate risk; and currency risk. Financial instruments affected by market risk include: cash and equivalents; accounts receivable; marketable securities; subscription receipts; reclamation deposits; accounts payable and accrued liabilities; debt and derivatives. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimizing the return. The Company buys copper put options in order to reduce commodity price risk. The derivative instruments employed by the Company are considered to be economic hedges but are not designated as hedges for accounting purposes. Commodity price risk The Company is exposed to the risk of fluctuations in prevailing market commodity prices on the metals it produces. The Company enters into copper put option contracts to reduce the risk of short-term copper price volatility. The amount and duration of the hedge position is based on an assessment of business-specific risk elements combined with the copper pricing outlook. Copper put option contracts are typically extended adding incremental quarters at established put strike prices to provide the necessary price protection. Provisional pricing mechanisms embedded within the Company’s sales arrangements have the character of a commodity derivative and are carried at fair value as part of accounts receivable. The table below summarizes the impact on revenue and receivables for changes in commodity prices on the provisionally invoiced sales volumes. As at December 31, 2018 2017 Copper increase/decrease by US$0.27/lb. (2017: US$0.33/lb.) 1 7,485 6,645 1 year-end The sensitivities in the above tables have been determined with foreign currency exchange rates held constant. The relationship between commodity prices and foreign currencies is complex and movements in foreign exchange can impact commodity prices. The sensitivities should therefore be used with care. Interest rate risk The Company is exposed to interest rate risk on its outstanding debt and investments, including cash and cash equivalents, from the possibility that changes in market interest rates will affect future cash flows or the fair value of fixed-rate interest-bearing financial instruments. The table below summarizes the impact on earnings after tax and equity for a change of 100 basis points in interest rates at the reporting date. This analysis assumes that all other variables, in particular foreign currency rates, remain constant. This assumes that the change in interest rates is effective from the beginning of the financial year and balances are constant over the year. However, interest rates and balances of the Company may not remain constant in the coming financial year and therefore such sensitivity analysis should be used with care. Years ended December 31, 2018 2017 Fair value sensitivity for fixed-rate instruments Senior secured notes (2,365) (1,340) Capital leases (175) (176) Secured equipment loans (56) (96) (2,596) (1,612) Cash flow sensitivity for variable-rate instruments Cash and equivalents 382 645 Reclamation deposits 211 209 593 854 Currency risk The Canadian dollar is the functional currency of the Company and, as a result, currency exposure arises from transactions and balances in currencies other than the Canadian dollar, primarily the US dollar. The Company’s potential currency exposures comprise translational exposure in respect of non-functional non-functional The following table demonstrates the sensitivity to a 10% strengthening in the CAD against the USD. With all other variables held constant, the Company’s shareholders equity and earnings after tax would both increase/(decrease) due to changes in the carrying value of monetary assets and liabilities. A weakening in the CAD against the USD would have had the equal but opposite effect to the amounts shown below. Year ended December 31, 2018 2017 Cash and equivalents (1,928) (4,966) Accounts receivable (812) (1,435) Copper put option contracts - (24) Accounts payable and accrued liabilities 562 344 Senior secured notes 24,987 23,293 Equipment loans - 27 The Company’s financial asset and liability profile may not remain constant and, therefore, these sensitivities should be used with care. (c) 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 holding sufficient cash and equivalents and scheduling long-term obligations based on estimated cash inflows. There were no defaults on loans payable during the year. (d) Credit risk Credit risk is the risk of potential loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations. The Company is exposed to credit risk from its receivables, marketable securities and investments, and derivatives. In general, the Company manages its credit exposure by transacting only with reputable counterparties. The Company monitors the financial condition of its customers and counterparties to contracts. The Company deals with a limited number of counterparties for its metal sales. The Company had two significant customers in 2018 that represented 86% of gross copper concentrate revenues (2017: two customers accounted for 81% of gross copper concentrate revenues). The trade receivable balance at December 31, 2018 is comprised of two customers (2017: three customers). There are no impairments recognized on the trade receivables. (e) Fair values of financial instruments The fair values of the senior secured notes is $314,547 and the carrying value is $331,683 at December 31, 2018. The fair value of all other financial assets and liabilities approximates their carrying value. The Company uses the fair value hierarchy described in Note 2.4(c) for determining the fair value of instruments that are measured at fair value. Level 1 Level 2 Level 3 Total December 31, 2018 Financial assets designated as FVOCI Marketable securities 3,581 - - 3,581 Investment in subscription receipts (Note 13) - - 2,400 2,400 Reclamation deposits 31,480 - - 31,480 35,061 - 2,400 37,461 December 31, 2017 Financial assets designated as FVTPL Copper put option contracts - 330 - 330 Available-for-sale Marketable securities 2,444 - - 2,444 Investment in subscription receipts (Note 13) - - 2,400 2,400 Reclamation deposits 30,637 - - 30,637 33,081 330 2,400 35,811 There have been no transfers between fair value levels during the reporting period. The carrying value of cash and equivalents, accounts receivable, accounts payable and accrued liabilities approximate their fair value as at December 31, 2018. The fair value of the senior secured notes, a Level 1 instrument, is determined based upon publicly available information. The fair value of the capital leases and secured equipment loans, Level 2 instruments, are determined through discounting future cash flows at an interest rate of 5.5% based on the relevant loans effective interest rate. The fair values of the Level 2 instruments are based on broker quotes. Similar contracts are traded in an active market and the broker quotes reflect the actual transactions in similar instruments. The Company’s metal concentrate sales contracts are subject to provisional pricing with the selling price adjusted at the end of the quotational period. At each reporting date, the Company’s accounts receivable on these contracts are marked-to-market The subscription receipts, a Level 3 instrument, are valued based on a management estimate. As the subscription receipts are an investment in a private exploration and development company, there are no observable market data inputs. At December 31, 2018 the determination of the estimated fair value of the investment includes comparison to the market capitalization of comparable public companies. (f) Capital management The Company’s primary objective when managing capital is to ensure that the Company is able to continue its operations and that it has sufficient ability to satisfy its capital obligations and ongoing operational expenses, as well as to have sufficient liquidity available to fund suitable business opportunities as they arise. The Company considers the components of shareholders’ equity, as well as its cash and equivalents, credit facilities and debt as capital. The Company manages its capital structure and makes adjustments to it in light of changes in economic conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the Company may issue or buy back equity, issue, buy back or repay debt, sell assets, or return capital to shareholders. December 31, December 31, Cash (45,665) (80,231) Current portion of long-term debt 9,856 11,270 Long-term debt 345,625 317,948 Net debt 309,816 248,987 Shareholders’ equity 347,077 367,080 In order to facilitate the management of its capital requirements, the Company prepares annual operating budgets that are approved by the Board of Directors. Management also actively monitors the covenants on its long-term debt to ensure compliance. The Company’s investment policy is to invest cash in highly liquid interest-bearing investments that are readily convertible to known amounts of cash. There were no changes to the Company’s approach to capital management during the year ended December 31, 2018. |
Related Parties
Related Parties | 12 Months Ended |
Dec. 31, 2018 | |
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Related Parties | 25. RELATED PARTIES (a) Subsidiaries Ownership interest as at December 31, December 31, Gibraltar Mines Ltd. 100% 100% Curis Resources Ltd. 100% 100% Curis Holdings (Canada) Ltd. 100% 100% Florence Copper Inc. 100% 100% Aley Corporation 100% 100% 672520 BC Ltd. 100% 100% (b) Key management personnel compensation Key management personnel include the members of the Board of Directors and executive officers of the Company. The Company contributes to a post-employment defined contribution pension plan on behalf of certain key management personnel. This retirement compensation arrangement (“RCA” Trust) was established to provide benefits to certain executive officers on or after retirement in recognition of their long service. Upon retirement, the participant is entitled to the distribution of the accumulated value of the contributions under the RCA Trust. Obligations for contributions to the defined contribution pension plan are recognized as compensation expense in profit or loss in the periods during which services are rendered by the executive officers. Certain executive officers are entitled to termination and change in control benefits. In the event of termination without cause, other than a change in control, these executive officers are entitled to an amount ranging from 9-month 12-months’ 24-month 32-months’ Executive officers and directors also participate in the Company’s share option program (Note 21). Compensation for key management personnel (includes all members of the Board of Directors and executive officers) is as follows: Year ended December 31, 2018 2017 Salaries and benefits 6,467 5,015 Post-employment benefits 2,061 1,491 Share-based compensation (recovery) expense (1,914) 6,849 6,614 13,355 (d) Related party transactions Three directors of the Company are also principals of Hunter Dickinson Services Inc. (“HDSI”), a private company. HDSI invoices the Company for their executive services (director fees) and for other services provided by HDSI under a services agreement dated July 2010. For the year ended December 31, 2018, the Company incurred total costs of $1,344 (2017: $1,399) in transactions with HDSI. Of these, $537 (2017: $593) related to administrative, legal, exploration and tax services, $527 related to reimbursements of office rent costs (2017: $526), and $280 (2017: $280) related to director fees for two Taseko directors who are also principals of HDSI. On December 31, 2018, the Company terminated the HDSI services agreement. HDSI will no longer provide any services to the Company effective as of December 31, 2018. Under the terms of the joint venture operating agreement, the Gibraltar Joint Venture pays the Company a management fee for services rendered by the Company as operator of the Gibraltar Mine. Management Fee income in 2018 was $1,167 (2017: $1,168). In addition, the Company pays certain expenses on behalf of the Gibraltar Joint Venture and invoices the Joint Venture for these expenses. In 2018, reimbursable compensation expenses and third party costs of $141 (2017: $34) were charged to the joint venture partner. |
Basis of Preparation (Policies)
Basis of Preparation (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Revenue recognition | (a) Revenue recognition The Company has adopted IFRS 15, Revenue Contracts with Customers and is accounted for under IAS 18 Revenue Under IFRS 15, revenue is recognized when a customer obtains control of the goods or services and the Company has satisfied its performance obligation. Determining the timing of the transfer of control, at a point in time or over time, requires judgment. Cash received in advance of meeting these conditions is recorded as advance payments or deferred revenue. Under the terms of the Company’s concentrate sales contracts, the final sales amount is based on final assay results and quoted market prices which may be in a period subsequent to the date of sale. Revenues for these sales, net of treatment and refining charges are recorded when the customer obtains control of the concentrate, based on an estimate of metal contained using initial assay results and forward market prices for the expected date that final sales prices will be fixed. The period between provisional pricing and final settlement can be up to four months. This settlement receivable is recorded at fair value each reporting period by reference to forward market prices until the date of final pricing, with the changes in fair value recorded as an adjustment to revenue. Prior to January 1, 2018, the Company’s revenue recognition accounting policy under IAS 18 Revenue, |
Cash and equivalents | (b) Cash and equivalents Cash and equivalents consist of cash and highly-liquid investments having terms of three months or less from the date of acquisition and that are readily convertible to known amounts of cash. Cash and equivalents exclude cash subject to restrictions. |
Financial instruments | (c) Financial instruments Financial assets and liabilities are recognized on the balance sheet when the Company becomes party to the contractual provisions of the instrument. The classification of financial instruments dictates how these assets and liabilities are measured subsequently in the Company’s consolidated financial statements. The Company adopted the new accounting standard IFRS 9, Financial Instruments Under IFRS 9, on initial recognition, a financial asset is classified as measured at: amortized cost; Fair Value through Other Comprehensive Income (FVOCI); or Fair Value through Profit or Loss (FVPL). The classification of financial assets under IFRS 9 is generally based on the business model in which a financial asset is managed and its contractual cash flow characteristics. A financial asset is measured at amortized cost if: (i) it is held within a business model whose objective is to hold assets to collect contractual cash flows; and (ii) its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding; and (iii) it is not designated as FVPL. This category of financial assets is subsequently measured at amortized cost using the effective interest method, and 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. 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 OCI. This election is made on an investment-by-investment All financial assets not classified as measured at amortized cost or FVOCI as described above are measured at FVPL. This includes all derivative financial assets. On initial recognition, the Company may irrevocably designate a financial asset as FVPL if doing so significantly reduces an accounting mismatch that would otherwise arise. Financial assets classified as FVPL are subsequently measured at fair value, with net gains and losses, including any interest or dividend income, recognized in profit or loss. Financial assets at amortized cost Loans and receivables are financial assets with fixed or determinable payments that are not quoted in an active market. Subsequent to initial recognition, these financial assets are recorded at amortized cost using the effective interest method, except for short-term receivables when the recognition of interest would be immaterial. Accounts receivable are assessed for evidence of impairment at each reporting date, with any impairment recognized in earnings for the period. Financial assets in this category include cash and cash equivalents and accounts receivables. Financial assets at fair value through other comprehensive income (FVOCI) Marketable securities, investment in subscription receipts and reclamation deposits are designated as FVOCI and recorded 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. Other net gains and losses are recognized in OCI and are never reclassified to profit or loss. Financial instruments at fair value through profit or loss (FVPL) All financial assets not classified as measured at amortized cost or FVOCI are measured at FVPL. Derivative financial instruments that are not designated and effective as hedging instruments are classified as FVPL. Financial instruments classified as FVPL are stated at fair value with any changes in fair value recognized in earnings for the period. Financial assets in this category include derivative financial instruments that the Company acquires to manage exposure to commodity price fluctuations. These instruments are non-hedge Financial liabilities Financial liabilities are initially recorded at fair value, net of transaction costs, and are subsequently measured at amortized cost using the effective interest method. The Company has accounted for accounts payable and accrued liabilities and long-term debt under this method. Fair value measurement Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy establishes three levels to classify the inputs to valuation techniques used to measure fair value, by reference to the reliability of the inputs used to estimate the fair values. Level 1 – quoted prices (unadjusted) in active markets for identical assets or liabilities; Level 2 – inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices); and Level 3 – inputs for the asset or liability that are not based on observable market data (unobservable inputs). The classification and measurement of financial instruments prior to the adoption of IFRS 9, Financial Instruments Financial instruments at fair value through profit or loss (FVTPL) Financial instruments are classified as FVTPL when they are held for trading. A financial instrument is held for trading if it was acquired for the purpose of selling in the near term. Derivative financial instruments that are not designated and effective as hedging instruments are classified as FVTPL. Financial instruments classified as FVTPL are stated at fair value with any changes in fair value recognized in earnings for the period. Financial assets in this category include derivative financial instruments that the Company acquires to manage exposure to commodity price fluctuations. These instruments are non-hedge Available-for-sale Marketable securities, subscription receipts and reclamation deposits are designated as available-for-sale Loans and receivables Loans and receivables are financial assets with fixed or determinable payments that are not quoted in an active market. Subsequent to initial recognition, these financial assets are recorded at amortized cost using the effective interest method, except for short-term receivables when the recognition of interest would be immaterial. Accounts receivable are assessed for evidence of impairment at each reporting date, with any impairment recognized in earnings for the period. Financial assets in this category include cash and cash equivalents and accounts receivable. Financial liabilities Financial liabilities are initially recorded at fair value, net of transaction costs, and are subsequently measured at amortized cost using the effective interest method. The Company has accounted for accounts payable and accrued liabilities and long-term debt under this method. |
Exploration and evaluation | (d) Exploration and evaluation Exploration and evaluation expenditures relate to the initial search for a mineral deposit and the subsequent evaluation to determine the economic potential of the mineral deposit. The exploration and evaluation stage commences when the Company obtains the legal right or license to begin exploration. Exploration and evaluation expenditures are recognized in earnings in the period in which they are incurred. Capitalization of development costs as mineral property, plant and equipment commences once the technical feasibility and commercial viability of the extraction of mineral reserve and resources associated with the Company’s evaluation properties are established and management has made a decision to proceed with development. |
Inventories | (e) Inventories Inventories are valued at the lower of cost and net realizable value. Cost is determined on a weighted average basis and includes direct labour and materials; non-capitalized Ore stockpiles represent stockpiled ore that have not yet completed the production process, and are not yet in a saleable form. Finished goods inventories represent metals in saleable form that have not yet been sold. Materials and supplies inventories represent consumables used in the production process, as well as spare parts and other maintenance supplies that are not classified as capital items. The quantity of recoverable metal in stockpiled ore and in the processing circuits is an estimate which is based on the tons of ore added and removed, expected grade and recovery. The quantity of recoverable metal in concentrate is an estimate using initial assay results. |
Property, plant and equipment | (f) Property, plant and equipment Land, buildings, plant and equipment Land, buildings, plant and equipment are recorded at cost, including all expenditures incurred to prepare an asset for its intended use. Repairs and maintenance costs are charged to expense as incurred, except when these repairs significantly extend the life of an asset or result in an operating improvement. In these instances, the portion of these repairs relating to the betterment is capitalized as part of plant and equipment. Depreciation is based on the cost of the asset less residual value. Where an item of plant and equipment is comprised of major components with different useful lives, the components are accounted for as separate items and depreciated separately. Depreciation commences when an asset is available for use. Estimates of remaining useful lives and residual values are reviewed annually. Changes in estimates are accounted for prospectively. The depreciation rates of the major asset categories are as follows: Land Not depreciated Buildings Straight-line basis over 10-25 Plant and equipment Units-of-production Mining equipment Straight-line basis over 5-20 Light vehicles and other mobile equipment Straight-line basis over 2-5 Furniture, computer and office equipment Straight-line basis over 2-3 Mineral properties Mineral properties consist of the cost of acquiring and developing mineral properties. Once in production, mineral properties are amortized on a units-of-production Property acquisition costs arise either as an individual asset purchase or as part of a business combination, and may represent a combination of either proven and probable reserves, resources, or future exploration potential. When management has not made a determination that technical feasibility and commercial viability of extracting a mineral resource are demonstrable, the entire amount is considered property acquisition costs and not amortized. When such property moves into development, the property acquisition cost asset is transferred to mineral properties within property, plant and equipment. Mineral property development costs include: stripping costs incurred in order to provide initial access to the ore body; stripping costs incurred during production that generate a future economic benefit by increasing the productive capacity, extending the productive life of the mine or allowing access to a mineable reserve; capitalized project development costs; and capitalized interest. Construction in progress Construction in progress includes the purchase price and any costs directly attributable to bringing the asset to the location and condition necessary for its intended use. Construction in progress includes advances on long-lead items. Construction in progress is not depreciated. Once the asset is complete and available for use, the costs of construction are transferred to the appropriate category of property, plant and equipment, and depreciation commences. Capitalized interest Interest is capitalized for qualifying assets. Qualifying assets are assets that require a substantial period of time to prepare for their intended use. Capitalization ceases when the asset is substantially complete or if construction is interrupted for an extended period. Where the funds used to finance a project form part of general borrowings, the amount capitalized is calculated using a weighted average of rates applicable to relevant general borrowings of the Company during the period. Leased assets Leased assets in which the Company receives substantially all the risks and rewards of ownership of the asset are capitalized as finance leases at the lower of the fair value of the asset or the estimated present value of the minimum lease payments. The corresponding lease obligation is recorded within debt on the balance sheet. Assets under operating leases are not capitalized and rental payments are expensed on a straight-line basis. Impairment The carrying amounts of the Company’s non-financial The recoverable amount of an asset or cash generating unit (CGU) is the higher of fair value less costs to sell and value in use. Fair value is determined as the amount that would be obtained from the sale of the asset in an arm’s-length pre-tax cash inflows that are largely independent of the cash flows of other assets or CGU’s. If the recoverable amount of an asset or its related CGU is estimated to be less than its carrying amount, the carrying amount of the asset or CGU is reduced to its recoverable amount and the impairment loss is recognized in earnings for the period. Where an impairment loss subsequently reverses, the carrying amount of the asset or CGU is increased to the revised estimate of its recoverable amount, but not to an amount that exceeds the carrying amount that would have been determined had no impairment loss been recognized for the asset or CGU in prior years. A reversal of an impairment loss is recognized immediately in earnings. The carrying amount of the CGU to which goodwill has been allocated is tested annually for impairment or when there is an indication that the goodwill may be impaired. Any goodwill impairment is recognized as an expense in the profit or loss. Should there be a recovery in the value of a CGU, any impairment of goodwill previously recorded is not subsequently reversed. |
Income taxes | (g) Income taxes Income tax on the earnings for the periods presented comprises current and deferred tax. Income tax is recognized in earnings except to the extent that it relates to items recognized directly in equity or in other comprehensive income. Income tax is calculated using tax rates enacted or substantively enacted at the reporting date applicable to the period of expected realization or settlement. Current tax expense is the expected tax payable on the taxable income for the year, adjusted for amendments to tax payable with regards to previous years. Deferred tax is determined using the balance sheet liability method, providing for temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. The following temporary differences are not provided for: the initial recognition of assets or liabilities acquired (not in a business combination) that affect neither accounting nor taxable profit on acquisition; and differences relating to investments in subsidiaries, associates, and joint ventures to the extent that they are not probable to reverse in the foreseeable future. The amount of deferred tax provided is based on the expected manner of realization or settlement of the carrying amount of assets and liabilities. A deferred tax asset is recognized only to the extent that it is probable that future taxable profits will be available against which the asset can be utilized. Deferred tax assets are reviewed at each reporting date and are reduced to the extent it is no longer probable that the related tax benefit will be realized. |
Share-based compensation | (h) Share-based compensation The fair-value method is used for the Company’s share-based payment transactions. Under this method, the cost of share options and equity-settled performance share units is recorded based on their estimated fair value at the grant date, including an estimate of the forfeiture rate. The fair value of the share options and performance share units is expensed on a graded amortization basis over the vesting period of the awards, with a corresponding increase in equity. Share-based compensation expense relating to cash-settled awards, including deferred share units, is recognized based on the quoted market value of the Company’s common shares on the date of grant. The related liability is re-measured |
Provisions | (i) Provisions Environmental rehabilitation The Company records the present value of estimated costs of legal and constructive obligations required to retire an asset in the period in which the obligation occurs. Environmental rehabilitation activities include facility decommissioning and dismantling; removal and treatment of waste materials; site and land rehabilitation, including compliance with and monitoring of environmental regulations; and related costs required to perform this work and/or operate equipment designed to reduce or eliminate environmental effects. The provision for environmental rehabilitation (“PER”) is adjusted each period for new disturbances, and changes in regulatory requirements, the estimated amount of future cash flows required to discharge the liability, the timing of such cash flows and the pre-tax When a PER is initially recognized, the corresponding cost is capitalized by increasing the carrying amount of the related asset, and is amortized to earnings on a unit-of-production Significant estimates and assumptions are made in determining the provision for environmental rehabilitation as there are numerous factors that will affect the ultimate liability payable. These factors include estimation of the extent and cost of rehabilitation activities; timing of future cash flows that are impacted by changes in discount rates; inflation rate; and regulatory requirements. Other provisions Other provisions are recognized when the Company has a present obligation (legal or constructive) that has arisen as a result of a past event and it is probable that a future outflow of resources will be required to settle the obligation, provided that a reliable estimate can be made of the amount of the obligation. Where the effect is material, the provision is discounted using a pre-tax |
Finance income and expenses | (j) Finance income and expenses Finance income comprises interest income on funds invested, gains on the disposal of marketable securities, and changes in the fair value of derivatives included in cash and equivalents and marketable securities. Interest income is recognized as it accrues in earnings, using the effective interest method. Finance expenses comprise interest expense on borrowings, unwinding of the discount on provisions, the finance component on deferred revenue, losses on the disposal of marketable securities, changes in the fair value of derivatives included in cash and cash equivalents and marketable securities, and impairment losses recognized on financial assets. Borrowing costs that are not directly attributable to the acquisition, construction or production of a qualifying asset are recognized in earnings using the effective interest method. |
Earnings (loss) per share | (k) Earnings (loss) per share The Company presents basic and diluted earnings (loss) per share data for its common shares, calculated by dividing the earnings (loss) attributable to common shareholders of the Company by the weighted average number of common shares outstanding during the period. Diluted earnings per share is determined by adjusting the earnings attributable to common shareholders and the weighted average number of common shares outstanding for the effects of all dilutive potential common shares, which comprise warrants and share options granted. There is no dilution impact when the Company incurs a loss. |
Interests in joint arrangements | (l) Interests in joint arrangements IFRS defines a joint arrangement as one over which two or more parties have joint control, which is the contractually agreed sharing of control over an arrangement. This exists only when the decisions about the relevant activities (being those that significantly affect the returns of the arrangement) require the unanimous consent of the parties sharing control. A joint operation is a type of joint arrangement whereby the parties that have joint control of the arrangement have rights to the assets and obligations for the liabilities, relating to the arrangement. In relation to its interests in joint operations, the Company recognizes its: ● Assets, including its share of any assets held jointly; ● Liabilities, including its share of any liabilities incurred jointly; ● Revenue from the sale of its share of the output arising from the joint operation; and ● Expenses, including its share of any expenses incurred jointly. |
Basis of Preparation (Tables)
Basis of Preparation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Schedule of Depreciation Rates of Major Asset Categories | The depreciation rates of the major asset categories are as follows: Land Not depreciated Buildings Straight-line basis over 10-25 Plant and equipment Units-of-production Mining equipment Straight-line basis over 5-20 Light vehicles and other mobile equipment Straight-line basis over 2-5 Furniture, computer and office equipment Straight-line basis over 2-3 |
Summary of Impact of Transition to IFRS 15 on Deficit | The following table summarizes the impact of transition to IFRS 15 on deficit at January 1, 2018: Deficit, as at December 31, 2017 (102,878 ) Deferred revenue adjustment, net of tax (Note 18) (1,047 ) Deficit after adoption of IFRS 15, as at January 1, 2018 (103,925 ) |
Summary of Impact of Adoption of IFRS 15 on Companys Consolidated Balance Sheet | The following table summarizes the impact of adopting IFRS 15 on the Company’s consolidated balance sheet as at December 31, 2018: As reported Adjustments Amounts without Current portion of deferred revenue 3,907 2,741 1,166 Deferred revenue 39,367 703 38,664 Deferred tax liability 83,793 (930) 84,723 Deficit (139,699) (2,514) (137,185) |
Summary of Impact of Adoption of IFRS 15 on Companys Consolidated Statement of Comprehensive Income (Loss) | The following table summarizes the impact of adopting IFRS 15 on the Company’s consolidated statement of comprehensive income (loss) for the year ended December 31, 2018 : As reported Adjustments Amounts without IFRS 15 Revenue 343,870 2,173 341,697 Finance expenses (38,564) (4,182) (34,382) Income tax recovery (expense) (448) 542 (990) Net loss (35,774) (1,467) (34,307) Total comprehensive loss (22,099) (1,467) (20,632) |
Summary of Original Measurement Categories under IAS 39 and New Measurement Categories under IFRS 9 for Each Class of Company's Financial Assets | The following table explains the original measurement categories under IAS 39 and the new measurement categories under IFRS 9 for each class of the Company’s financial assets as at January 1, 2018: Footnote Original Classification under IAS 39 New IFRS 9 Financial assets Cash and cash equivalents Loans and receivables Amortized cost Accounts receivables Loans and receivables Amortized cost Settlement receivables Fair value – non-hedge derivative instrument FVPL Copper put option contracts Fair value – non-hedge derivative instrument FVPL Marketable securities Available-for-sale FVOCI Investment in subscription receipts (1) Available-for-sale FVOCI Reclamation deposits (1) Available-for-sale FVOCI Restricted cash Loans and receivables Amortized cost (1) The Company has designated these equity related investments at the date of initial application as measured at FVOCI. |
Interest in Gibraltar Joint V_2
Interest in Gibraltar Joint Venture (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Joint Venture Financial Information | The following is a summary of the Gibraltar joint venture financial information on a 100% basis. As at December 31, 2018 2017 Cash and equivalents 47,707 52,383 Other current assets 72,423 83,323 Current assets 120,130 135,706 Non-current 1,122,289 1,167,787 Accounts payable and accrued liabilities 45,301 53,312 Other current financial liabilities 14,172 15,865 Current liabilities 59,473 69,177 Long-term debt 18,589 21,151 Provision for environmental rehabilitation 128,738 142,164 Non-current 147,327 163,315 Years ended December 31, 2018 2017 Revenues 457,600 507,212 Production costs (311,759) (267,548) Depletion and amortization (109,018) (75,428) Other operating expense (4,181) (4,632) Write-down of mine equipment - (4,735) Interest expense (5,116) (5,927) Interest income 1,119 343 Foreign exchange gain (loss) 1,333 (907) Net earnings 29,978 148,378 Other comprehensive income 104 90 Comprehensive income for joint arrangement 30,082 148,468 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Revenue | Years ended December 31, 2018 2017 Copper contained in concentrate 350,522 375,295 Molybdenum concentrate 26,589 20,782 Silver (Notes 2.5a and 18) 3,713 1,728 Price adjustments on settlement receivables (10,679) 13,490 Total gross revenue 370,145 411,295 Less: Treatment and refining costs (26,275) (32,996) Revenue 343,870 378,299 |
Cost of Sales (Tables)
Cost of Sales (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Cost of Sales | Years ended December 31, 2018 2017 Site operating costs 219,104 167,338 Transportation costs 17,163 19,281 Insurance recovered (7,913) - Changes in inventories of finished goods 2,435 (302) Changes in inventories of ore stockpiles 1,078 14,266 Production costs 231,867 200,583 Depletion and amortization 70,781 47,722 Cost of sales 302,648 248,305 |
Compensation Expense (Tables)
Compensation Expense (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Compensation Expense | Years ended December 31, 2018 2017 Wages, salaries and benefits 69,633 61,998 Post-employment benefits 2,115 1,491 Share-based compensation (recovery) expense (Note 21c) (1,282) 7,100 70,466 70,589 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Losses Associated with Derivative Instruments | The following table outlines the (gains) losses associated with derivative instruments: Years ended December 31, 2018 2017 Realized loss on copper put options 2,264 1,807 Unrealized (gain) loss on copper put options (1,970) 1,970 Change in fair value of copper call option - 6,305 294 10,082 |
Other Expenses (Income) (Tables
Other Expenses (Income) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Other Expenses (Income) | Years ended December 31, 2018 2017 Management fee income (1,167) (1,168) Other operating expense (income), net (305) 108 Write-down of mine equipment - 3,551 Write-down of investment - 3,850 (1,472) 6,341 |
Finance Expenses (Tables)
Finance Expenses (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Finance Expenses | Years ended December 31, 2018 2017 Interest expense 32,077 30,965 Finance expense – deferred revenue (Notes 2.5a and 18) 4,182 - Accretion on PER (Note 19) 2,305 2,363 Loss on settlement of long-term debt - 13,102 38,564 46,430 |
Income Tax (Tables)
Income Tax (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Income Tax Expense (Recovery) | (a) Income tax expense (recovery) Years ended December 31, 2018 2017 Current income tax: Current period expense 1,015 1,801 Deferred income tax: Origination and reversal of temporary differences (363) 24,735 Deferred tax adjustments related to prior periods (204) 2,642 Deferred income tax expense (recovery) (567) 27,377 Income tax expense 448 29,178 |
Summary of Effective Tax Rate Reconciliation | (b) Effective tax rate reconciliation Years ended December 31, 2018 2017 Income tax at Canadian statutory rate of 36.5% (2017: 35.6%) (12,891) 22,597 Permanent differences 10,271 4,914 Tax rate differences - 1,192 Foreign tax rate differential 131 22 Unrecognized tax benefits 3,151 (2,206) Deferred tax adjustments related to prior periods (204) 2,642 Other (10) 17 Income tax expense 448 29,178 |
Summary of Deferred Tax Assets and Liabilities | (c) Deferred tax assets and liabilities Deferred tax assets and liabilities are attributable to the following: As at December 31, 2018 2017 Property, plant and equipment (177,664) (175,502) Other financial assets 3,204 2,884 Provisions 18,279 19,378 Tax loss carry forwards 72,388 64,195 Deferred tax liability (83,793) (89,045) |
Summary of Unrecognized Deferred Tax Assets and Liabilities | (d) Unrecognized deferred tax assets and liabilities As at December 31, 2018 2017 Deductible temporary differences: Debt 78,035 70,529 Other investments 34,873 34,873 Other financial assets 21,722 19,705 Deferred tax asset: Debt 10,535 7,385 Other investments 4,708 4,708 Other financial assets 3,139 3,073 |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Accounts Receivable | As at December 31, 2018 2017 Trade receivables 10,582 19,341 Other receivables from joint venture partner 258 210 Goods and services tax receivable 916 1,094 Other receivables 2,979 973 14,735 21,618 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Schedule of Inventories | As at December 31, 2018 2017 Ore stockpiles 8,532 9,332 Copper contained in concentrate 3,166 5,933 Molybdenum concentrate 549 217 Materials and supplies 26,739 24,157 38,986 39,639 |
Other Financial Assets (Tables)
Other Financial Assets (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Other Financial Assets | As at December 31, 2018 2017 Current: Marketable securities 3,581 2,444 Copper put option contracts (Note 7) - 330 3,581 2,774 Long-term: Investment in subscription receipts 2,400 2,400 Reclamation deposits (Note 19) 31,480 30,637 Restricted cash (Note 19) 7,500 7,500 41,380 40,537 |
Property, Plant & Equipment (Ta
Property, Plant & Equipment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Property, Plant & Equipment | Property Mineral Plant and Construction in Progress Total Cost At January 1, 2017 98,404 238,828 656,135 1,458 994,825 Additions - 84,641 10,696 21,030 116,367 Rehabilitation cost asset - 8,350 - - 8,350 Capitalized interest 1 - 2,602 - - 2,602 Disposals - - (6,924) - (6,924) Foreign exchange translation (6,026) (783) (315) - (7,124) Transfers between categories - - 19,760 (19,760) - At December 31, 2017 92,378 333,638 679,352 2,728 1,108,096 Additions - 62,849 27,783 10,507 101,139 Rehabilitation cost asset - (12,374) - - (12,374) Disposals - - (2,279) - (2,279) Foreign exchange translation 7,494 1,391 1,308 - 10,193 Transfers between categories - - 13,047 (13,047) - At December 31, 2018 99,872 385,504 719,211 188 1,204,775 Accumulated depreciation At January 1, 2017 - 96,657 167,960 - 264,617 Depletion and amortization - 20,033 29,472 - 49,505 Impairment - - 3,551 - 3,551 Disposals - - (6,842) - (6,842) At December 31, 2017 - 116,690 194,141 - 310,831 Depletion and amortization - 44,159 30,671 - 74,830 Disposals - - (2,173) - (2,173) At December 31, 2018 - 160,849 222,639 - 383,488 Net book value At December 31, 2017 92,378 216,948 485,211 2,728 797,265 At December 31, 2018 99,872 224,655 496,572 188 821,287 1 |
Accounts Payable and Accrued _2
Accounts Payable and Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Accounts Payable and Accrued Liabilities | As at December 31, 2018 2017 Trade payables 21,861 23,926 Accrued liabilities 19,140 18,692 Amounts payable to BC Hydro - 4,764 41,001 47,382 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Debt | As at December 31, 2018 2017 Current: Capital leases (b) 6,506 9,651 Secured equipment loans (c) 3,350 1,619 9,856 11,270 Long-term: Senior secured notes (a) 331,683 302,085 Capital leases (b) 7,604 14,110 Secured equipment loans (c) 6,338 1,753 345,625 317,948 |
Deferred Revenue (Tables)
Deferred Revenue (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Change in Deferred Revenue | The following table summarizes changes in deferred revenue: Upfront cash deposit 44,151 Issuance of warrants (1,876) Amortization of deferred revenue (1,323) Balance at December 31, 2017 40,952 Transitional adjustment for IFRS 15 (Note 2.5a) 1,435 Finance expense (Note 2.5a, 9) 4,182 Amortization of deferred revenue (3,295) Balance at December 31, 2018 43,274 |
Summary of Deferred Revenue | Deferred revenue is reflected in the consolidated balance sheets as follows: December 31, 2018 December 31, 2017 Current 3,907 1,312 Non-current 39,367 39,640 43,274 40,952 |
Provision For Environmental R_2
Provision For Environmental Rehabilitation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Provision for Environmental Rehabilitation | 2018 2017 Beginning balance at January 1 107,874 98,454 Change in estimates (12,374) 8,350 Accretion 2,305 2,363 Settlements - (1,205) Foreign exchange differences 109 (88) Ending balance at December 31 97,914 107,874 |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Equity | (a) Share capital Common shares (thousands) Common shares outstanding at January 1, 2017 221,867 Exercise of warrants 4,000 Exercise of share options 1,133 Common shares outstanding at December 31, 2017 227,000 Settlement of performance share units 1,024 Exercise of share options 407 Common shares outstanding at December 31, 2018 228,431 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Options and Average Price | Options (thousands) Average price Outstanding at January 1, 2017 11,941 1.74 Granted 1,911 1.25 Exercised (1,133) 0.78 Forfeited (39) 0.96 Expired (3,399) 2.71 Outstanding at January 1, 2018 9,281 1.40 Granted 1,724 2.84 Exercised (407) 0.82 Cancelled/forfeited (161) 2.25 Expired (100) 2.02 Outstanding at December 31, 2018 10,337 1.64 Exercisable at December 31, 2018 8,740 1.52 |
Summary of Options and Average Life | Range of exercise price Options (thousands ) Average life (years ) $0.38 to $0.68 1,798 1.71 $0.69 to $1.02 1,788 1.34 $1.03 to $1.64 1,721 2.64 $1.65 to $2.40 3,435 0.05 $2.41 to $2.86 1,595 3.50 10,337 1.53 |
Summary of Inputs Used in Measurement of Fair Value at Grant Date | The inputs used in the Black-Scholes formula are as follows: 2018 2017 Expected term (years) 4.4 4.5 Forfeiture rate 0% 0% Volatility 64% 61% Dividend yield 0% 0% Risk-free interest rate 1.8% 1.0% Weighted-average fair value per option $1.44 $0.61 |
Summary of DSUs and PSUs issued and outstanding | DSUs (thousands) PSUs (thousands) Outstanding at January 1, 2017 1,323 1,707 Granted 620 400 Settled - (888) Outstanding at January 1, 2018 1,943 1,219 Granted 385 400 Settled - (409) Outstanding at December 31, 2018 2,328 1,210 |
Summary of Share Based Compensation Expense (Recovery) | Share based compensation expense (recovery) is comprised as follows: Years ended December 31, 2018 2017 Share options – amortization 2,182 1,072 Performance share units – amortization 736 1,849 Change in fair value of deferred share units (4,200) 4,179 (1,282) 7,100 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Future Minimum Payments of Commitments | Future minimum payments under these agreements as at December 31, 2018 are presented in the following table: 2019 11,079 2020 7,944 2021 6,045 2022 1,175 2023 - 2024 and thereafter - Total commitments 26,243 |
Supplementary Cash Flow Infor_2
Supplementary Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Supplemental Cash Flow Information | For the year ended December 31, 2018 2017 Change in non-cash Accounts receivable 7,018 (9,199) Inventories 653 16,324 Prepaids 7 (203) Accounts payable and accrued liabilities (1,778) 8,995 Interest payable 40 (21) Income tax payable (4,139) (2,275) Income tax received 92 - 1,893 13,621 Non-cash Share purchase warrants issued (Note 18) - 1,876 Assets acquired under capital lease - 13,059 Share purchase warrants exercised - (830) |
Financial Risk Management (Tabl
Financial Risk Management (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Exposure to Commodity Price Risk | The table below summarizes the impact on revenue and receivables for changes in commodity prices on the provisionally invoiced sales volumes. As at December 31, 2018 2017 Copper increase/decrease by US$0.27/lb. (2017: US$0.33/lb.) 1 7,485 6,645 1 year-end |
Summary of Impact on Earnings After Tax and Equity | The table below summarizes the impact on earnings after tax and equity for a change of 100 basis points in interest rates at the reporting date. This analysis assumes that all other variables, in particular foreign currency rates, remain constant. This assumes that the change in interest rates is effective from the beginning of the financial year and balances are constant over the year. However, interest rates and balances of the Company may not remain constant in the coming financial year and therefore such sensitivity analysis should be used with care. Years ended December 31, 2018 2017 Fair value sensitivity for fixed-rate instruments Senior secured notes (2,365) (1,340) Capital leases (175) (176) Secured equipment loans (56) (96) (2,596) (1,612) Cash flow sensitivity for variable-rate instruments Cash and equivalents 382 645 Reclamation deposits 211 209 593 854 |
Schedule of Changes in Assets and Liabilities on Basis of Strengthening CAD Against USD | The following table demonstrates the sensitivity to a 10% strengthening in the CAD against the USD. With all other variables held constant, the Company’s shareholders equity and earnings after tax would both increase/(decrease) due to changes in the carrying value of monetary assets and liabilities. A weakening in the CAD against the USD would have had the equal but opposite effect to the amounts shown below. Year ended December 31, 2018 2017 Cash and equivalents (1,928) (4,966) Accounts receivable (812) (1,435) Copper put option contracts - (24) Accounts payable and accrued liabilities 562 344 Senior secured notes 24,987 23,293 Equipment loans - 27 |
Summary of Fair Value Measurement of Assets | The Company uses the fair value hierarchy described in Note 2.4(c) for determining the fair value of instruments that are measured at fair value. Level 1 Level 2 Level 3 Total December 31, 2018 Financial assets designated as FVOCI Marketable securities 3,581 - - 3,581 Investment in subscription receipts (Note 13) - - 2,400 2,400 Reclamation deposits 31,480 - - 31,480 35,061 - 2,400 37,461 December 31, 2017 Financial assets designated as FVTPL Copper put option contracts - 330 - 330 Available-for-sale Marketable securities 2,444 - - 2,444 Investment in subscription receipts (Note 13) - - 2,400 2,400 Reclamation deposits 30,637 - - 30,637 33,081 330 2,400 35,811 |
Summary of Capital Management | In order to maintain or adjust the capital structure, the Company may issue or buy back equity, issue, buy back or repay debt, sell assets, or return capital to shareholders. December 31, December 31, Cash (45,665) (80,231) Current portion of long-term debt 9,856 11,270 Long-term debt 345,625 317,948 Net debt 309,816 248,987 Shareholders’ equity 347,077 367,080 |
Related Parties (Tables)
Related Parties (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Ownership Interest of Subsidiaries | (a) Subsidiaries Ownership interest as at December 31, December 31, Gibraltar Mines Ltd. 100% 100% Curis Resources Ltd. 100% 100% Curis Holdings (Canada) Ltd. 100% 100% Florence Copper Inc. 100% 100% Aley Corporation 100% 100% 672520 BC Ltd. 100% 100% |
Summary of Compensation for Key Management Personnel | Compensation for key management personnel (includes all members of the Board of Directors and executive officers) is as follows: Year ended December 31, 2018 2017 Salaries and benefits 6,467 5,015 Post-employment benefits 2,061 1,491 Share-based compensation (recovery) expense (1,914) 6,849 6,614 13,355 |
Reporting Entity - Additional I
Reporting Entity - Additional Information (Detail) | Mar. 31, 2010 | Dec. 31, 2018 |
Gibraltar Joint Venture [member] | ||
Disclosure of reporting entity [line items] | ||
Ownership interest in joint venture | 75.00% | 75.00% |
Basis of Preparation - Schedule
Basis of Preparation - Schedule of Depreciation Rates of Major Asset Categories (Detail) | 12 Months Ended |
Dec. 31, 2018 | |
Land [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation rates of major asset categories | Not depreciated |
Buildings [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation rates of major asset categories | Straight-line basis over 10-25 years |
Plant and equipment [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation rates of major asset categories | Units-of-production basis |
Mineral properties [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation rates of major asset categories | Straight-line basis over 5-20 years |
Light vehicles and other mobile equipment [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation rates of major asset categories | Straight-line basis over 2-5 years |
Furniture computer and office equipment [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Depreciation rates of major asset categories | Straight-line basis over 2-3 years |
Basis of Preparation - Summary
Basis of Preparation - Summary of Impact of Transition to IFRS 15 on Deficit (Detail) - CAD ($) $ in Thousands | Jan. 01, 2018 | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Deficit | $ (103,925) | $ (139,699) | $ (102,878) |
Adjustment on initial application of IFRS 15 [member] | |||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Deferred revenue adjustment, net of tax (Note 18) | $ (1,047) | ||
Deficit | $ (2,514) |
Basis of Preparation - Summar_2
Basis of Preparation - Summary of Impact of Adoption of IFRS 15 on Companys Consolidated Balance Sheet (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Current portion of deferred revenue | $ 3,907 | $ 1,312 | |
Deferred revenue | 39,367 | 39,640 | |
Deferred tax liability | 83,793 | 89,045 | |
Deficit | (139,699) | $ (103,925) | $ (102,878) |
Adjustment on initial application of IFRS 15 [member] | |||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Current portion of deferred revenue | 2,741 | ||
Deferred revenue | 703 | ||
Deferred tax liability | (930) | ||
Deficit | (2,514) | ||
Previously stated [member] | |||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Current portion of deferred revenue | 1,166 | ||
Deferred revenue | 38,664 | ||
Deferred tax liability | 84,723 | ||
Deficit | $ (137,185) |
Basis of Preparation - Summar_3
Basis of Preparation - Summary of Impact of Adoption of IFRS 15 on Companys Consolidated Statement of Comprehensive Income (Loss) (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | ||
Revenue | $ 343,870 | $ 378,299 |
Finance expenses | (38,564) | (46,430) |
Income tax recovery (expense) | (448) | (29,178) |
Net loss | (35,774) | 34,262 |
Total comprehensive loss | (22,099) | $ 22,294 |
Adjustment on initial application of IFRS 15 [member] | ||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | ||
Revenue | 2,173 | |
Finance expenses | (4,182) | |
Income tax recovery (expense) | 542 | |
Net loss | (1,467) | |
Total comprehensive loss | (1,467) | |
Previously stated [member] | ||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | ||
Revenue | 341,697 | |
Finance expenses | (34,382) | |
Income tax recovery (expense) | (990) | |
Net loss | (34,307) | |
Total comprehensive loss | $ (20,632) |
Basis of Preparation - Summar_4
Basis of Preparation - Summary of Original Measurement Categories under IAS 39 and New Measurement Categories under IFRS 9 for Each Class of Company's Financial Assets (Detail) | 12 Months Ended |
Dec. 31, 2018 | |
Cash and cash equivalent [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Original Classification under IAS 39 | Loans and receivables |
New Classification under IFRS 9 | Amortized cost |
Accounts Receivable [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Original Classification under IAS 39 | Loans and receivables |
New Classification under IFRS 9 | Amortized cost |
Settlement receivables [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Original Classification under IAS 39 | Fair value - non-hedge derivative instrument |
New Classification under IFRS 9 | FVPL |
Copper put option contracts [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Original Classification under IAS 39 | Fair value - non-hedge derivative instrument |
New Classification under IFRS 9 | FVPL |
Marketable securities [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Original Classification under IAS 39 | Available-for-sale |
New Classification under IFRS 9 | FVOCI |
Investment in subscription receipts [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Original Classification under IAS 39 | Available-for-sale |
New Classification under IFRS 9 | FVOCI |
Reclamation deposits [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Original Classification under IAS 39 | Available-for-sale |
New Classification under IFRS 9 | FVOCI |
Restricted cash [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Original Classification under IAS 39 | Loans and receivables |
New Classification under IFRS 9 | Amortized cost |
Interest in Gibraltar Joint V_3
Interest in Gibraltar Joint Venture - Additional Information (Detail) - CAD ($) | Mar. 31, 2010 | Dec. 31, 2018 |
Cariboo Copper Corp [member] | ||
Disclosure of interest in joint venture [line items] | ||
Amount contributed for purchase of remaining proportion of ownership interest in joint venture | $ 186,800 | |
Remaining portion of ownership interest in joint venture | 25.00% | 25.00% |
Gibraltar Joint Venture [member] | ||
Disclosure of interest in joint venture [line items] | ||
Ownership interest in joint venture | 75.00% | 75.00% |
Interest in Gibraltar Joint V_4
Interest in Gibraltar Joint Venture - Summary of Joint Venture Financial Information (Detail) - CAD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of joint ventures [line items] | |||
Cash and equivalents | $ 45,665 | $ 80,231 | $ 89,030 |
Current assets | 104,431 | 145,736 | |
Current liabilities | 57,434 | 61,409 | |
Long-term debt | 345,625 | 317,948 | |
Provision for environmental rehabilitation | 97,914 | 107,874 | |
Revenues | 343,870 | 378,299 | |
Production costs | (231,867) | (200,583) | |
Depletion and amortization | (70,781) | (47,722) | |
Other operating expense | 305 | (108) | |
Interest expense | (32,077) | (30,965) | |
Foreign exchange gain (loss) | (26,251) | 16,852 | |
Net earnings | (35,774) | 34,262 | |
Other comprehensive income | 13,675 | (11,968) | |
Comprehensive income for joint arrangement | (22,099) | 22,294 | |
Gibraltar Joint Venture [member] | |||
Disclosure of joint ventures [line items] | |||
Cash and equivalents | 47,707 | 52,383 | |
Other current assets | 72,423 | 83,323 | |
Current assets | 120,130 | 135,706 | |
Non-current assets | 1,122,289 | 1,167,787 | |
Accounts payable and accrued liabilities | 45,301 | 53,312 | |
Other current financial liabilities | 14,172 | 15,865 | |
Current liabilities | 59,473 | 69,177 | |
Long-term debt | 18,589 | 21,151 | |
Provision for environmental rehabilitation | 128,738 | 142,164 | |
Non-current liabilities | 147,327 | 163,315 | |
Revenues | 457,600 | 507,212 | |
Production costs | (311,759) | (267,548) | |
Depletion and amortization | (109,018) | (75,428) | |
Other operating expense | (4,181) | (4,632) | |
Write-down of mine equipment | (4,735) | ||
Interest expense | (5,116) | (5,927) | |
Interest income | 1,119 | 343 | |
Foreign exchange gain (loss) | 1,333 | (907) | |
Net earnings | 29,978 | 148,378 | |
Other comprehensive income | 104 | 90 | |
Comprehensive income for joint arrangement | $ 30,082 | $ 148,468 |
Revenue - Summary of Revenue (D
Revenue - Summary of Revenue (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Revenues [abstract] | ||
Revenue from sale of copper | $ 350,522 | $ 375,295 |
Revenue from sale of Molybdenum concentrate | 26,589 | 20,782 |
Revenue from sale of Silver | 3,713 | 1,728 |
Revenue from sale of settlement receivables | (10,679) | 13,490 |
Revenue from sale of goods | 370,145 | 411,295 |
Less: Treatment and refining costs | (26,275) | (32,996) |
Revenue | $ 343,870 | $ 378,299 |
Cost of Sales - Summary of Cost
Cost of Sales - Summary of Cost of Sales (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of cost of sales [abstract] | ||
Site operating costs | $ 219,104 | $ 167,338 |
Transportation costs | 17,163 | 19,281 |
Insurance recovered | (7,913) | |
Changes in inventories of finished goods | 2,435 | (302) |
Changes in inventories of ore stockpiles | 1,078 | 14,266 |
Production costs | 231,867 | 200,583 |
Depletion and amortization | 70,781 | 47,722 |
Cost of sales | $ 302,648 | $ 248,305 |
Cost Of Sales - Additional Info
Cost Of Sales - Additional Information (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2018CAD ($) | |
Disclosure of cost of sales [line items] | |
Insurance recovered | $ 7,913 |
Cariboo Region Wildfires [member] | |
Disclosure of cost of sales [line items] | |
Percentage of insurance recovered | 75.00% |
Compensation Expense - Summary
Compensation Expense - Summary of Compensation Expense (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of compensation expense [abstract] | ||
Wages, salaries and benefits | $ 69,633 | $ 61,998 |
Post-employment benefits | 2,115 | 1,491 |
Share-based compensation (recovery) expense | (1,282) | 7,100 |
Compensation expense | $ 70,466 | $ 70,589 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Detail) $ in Thousands, lb in Millions | 12 Months Ended | |
Dec. 31, 2018CAD ($)$ / lblb | Dec. 31, 2017CAD ($)lb | |
Disclosure of detailed information about financial instruments [line items] | ||
Purchase of copper put options | $ 1,063 | $ 3,952 |
Proceeds from copper put options | $ 855 | |
Option contract [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Number of pounds of copper for which put options were purchased | lb | 30 | 75 |
Strike price | $ / lb | 2.80 | |
Purchase of copper put options | $ 1,063 | $ 3,952 |
Proceeds from copper put options | $ 855 | |
Bottom of range [member] | Option contract [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Maturity date | From the third quarter of 2018 | From the second quarter of 2017 |
Top of range [member] | Option contract [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Maturity date | To the fourth quarter of 2018 | To the second quarter of 2018 |
Derivative Instruments - Summar
Derivative Instruments - Summary of Losses Associated with Derivative Instruments (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of detailed information about financial instruments [line items] | ||
Losses associated with derivatives | $ (294) | $ (10,082) |
Copper put option contracts [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Realized loss on copper put options | 2,264 | 1,807 |
Unrealized (gain) loss on copper put options | (1,970) | 1,970 |
Change in fair value of copper call option | 6,305 | |
Losses associated with derivatives | $ 294 | $ 10,082 |
Other Expenses (Income) - Summa
Other Expenses (Income) - Summary of Other Expenses (Income) (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Other Expense Income [abstract] | ||
Management fee income | $ (1,167) | $ (1,168) |
Other operating expense (income), net | (305) | 108 |
Write-down of mine equipment | 3,551 | |
Write-down of investment | 3,850 | |
Other (income) expenses | $ (1,472) | $ 6,341 |
Other Expenses (Income) - Addit
Other Expenses (Income) - Additional Information (Detail) - CAD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Dec. 31, 2017 | Dec. 31, 2017 | |
Disclosure of financial assets [line items] | ||
Write-down of investment | $ 3,850 | |
Investments In Subscription Receipts [member] | ||
Disclosure of financial assets [line items] | ||
Write-down of investment | $ 3,850 | |
Unrealized loss of investment | $ 4,083 |
Finance Expenses - Summary of F
Finance Expenses - Summary of Finance Expenses (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of finance expense [abstract] | ||
Interest expense | $ 32,077 | $ 30,965 |
Finance expense - deferred revenue | 4,182 | |
Accretion on PER | 2,305 | 2,363 |
Loss on settlement of long-term debt | 13,102 | |
Finance expenses | $ 38,564 | $ 46,430 |
Finance Expenses - Additional I
Finance Expenses - Additional Information (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2017CAD ($) | |
Disclosure of finance expense [abstract] | |
Loss on settlement of long-term debt | $ 13,102 |
Income Tax - Summary of Income
Income Tax - Summary of Income Tax Expense (Recovery) (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Major components of tax expense (income) [abstract] | ||
Current period expense | $ 1,015 | $ 1,801 |
Origination and reversal of temporary differences | (363) | 24,735 |
Deferred tax adjustments related to prior periods | (204) | 2,642 |
Deferred income tax expense (recovery) | (567) | 27,377 |
Income tax expense | $ 448 | $ 29,178 |
Income Tax - Summary of Effecti
Income Tax - Summary of Effective Tax Rate Reconciliation (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Reconciliation of average effective tax rate and applicable tax rate [abstract] | ||
Income tax at Canadian statutory rate of 36.5% (2017: 35.6%) | $ (12,891) | $ 22,597 |
Permanent differences | 10,271 | 4,914 |
Tax rate differences | 1,192 | |
Foreign tax rate differential | 131 | 22 |
Unrecognized tax benefits | 3,151 | (2,206) |
Deferred tax adjustments related to prior periods | (204) | 2,642 |
Other | (10) | 17 |
Income tax expense | $ 448 | $ 29,178 |
Income Tax - Summary of Effec_2
Income Tax - Summary of Effective Tax Rate Reconciliation (Parenthetical) (Detail) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Reconciliation of average effective tax rate and applicable tax rate [abstract] | ||
Canadian statutory rate | 36.50% | 35.60% |
Income Tax - Summary of Deferre
Income Tax - Summary of Deferred Tax Assets and Liabilities (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred tax assets and liabilities [abstract] | ||
Property, plant and equipment | $ (177,664) | $ (175,502) |
Other financial assets | 3,204 | 2,884 |
Provisions | 18,279 | 19,378 |
Tax loss carry forwards | 72,388 | 64,195 |
Deferred tax liability | $ (83,793) | $ (89,045) |
Income Tax - Additional Informa
Income Tax - Additional Information (Detail) - CAD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Unrecognized tax liabilities | $ 0 | |
Canada [member] | Unused tax losses [member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Pre-tax loss carryforward | $ 206,027,000 | $ 187,318,000 |
Canada [member] | Unused tax losses [member] | Bottom of range [member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Tax loss carry forwards expiration year | 2031 | |
Canada [member] | Unused tax losses [member] | Top of range [member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Tax loss carry forwards expiration year | 2038 | |
United states [member] | Unused tax losses [member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Pre-tax loss carryforward | $ 72,148,000 | 65,555,000 |
Net operating loss carryforward, pre-tax | $ 2,000,000 | $ 0 |
United states [member] | Unused tax losses [member] | Bottom of range [member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Tax loss carry forwards expiration year | 2030 | |
United states [member] | Unused tax losses [member] | Top of range [member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Tax loss carry forwards expiration year | 2037 |
Income Tax - Summary of Unrecog
Income Tax - Summary of Unrecognized Deferred Tax Assets and Liabilities (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Debt [member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Deductible temporary differences | $ 78,035 | $ 70,529 |
Deferred tax asset | 10,535 | 7,385 |
Other investments [member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Deductible temporary differences | 34,873 | 34,873 |
Deferred tax asset | 4,708 | 4,708 |
Other financial assets [member] | ||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||
Deductible temporary differences | 21,722 | 19,705 |
Deferred tax asset | $ 3,139 | $ 3,073 |
Accounts Receivable - Summary o
Accounts Receivable - Summary of Accounts Receivable (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Trade and other current receivables [abstract] | ||
Trade receivables | $ 10,582 | $ 19,341 |
Other receivables from joint venture partner | 258 | 210 |
Goods and services tax receivable | 916 | 1,094 |
Other receivables | 2,979 | 973 |
Accounts receivables | $ 14,735 | $ 21,618 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Classes of current inventories [abstract] | ||
Ore stockpiles | $ 8,532 | $ 9,332 |
Copper contained in concentrate | 3,166 | 5,933 |
Molybdenum concentrate | 549 | 217 |
Materials and supplies | 26,739 | 24,157 |
Inventories | $ 38,986 | $ 39,639 |
Inventories - Additional Inform
Inventories - Additional Information (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2018CAD ($) | |
Classes of current inventories [abstract] | |
Impairment of inventories | $ 1,703 |
Other Financial Assets - Summar
Other Financial Assets - Summary of Other Financial Assets (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of financial assets [line items] | ||
Other current financial assets | $ 3,581 | $ 2,774 |
Other non current financial assets | 41,380 | 40,537 |
Marketable securities [member] | ||
Disclosure of financial assets [line items] | ||
Other current financial assets | 3,581 | 2,444 |
Copper put option contracts [member] | ||
Disclosure of financial assets [line items] | ||
Other current financial assets | 330 | |
Investment in subscription receipts [member] | ||
Disclosure of financial assets [line items] | ||
Other non current financial assets | 2,400 | 2,400 |
Reclamation deposits [member] | ||
Disclosure of financial assets [line items] | ||
Other non current financial assets | 31,480 | 30,637 |
Restricted cash [member] | ||
Disclosure of financial assets [line items] | ||
Other non current financial assets | $ 7,500 | $ 7,500 |
Other Financial Assets - Additi
Other Financial Assets - Additional Information (Detail) - Yellowhead Mining Inc. [member] - CAD ($) $ in Thousands | Dec. 04, 2018 | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of financial assets [line items] | |||
Stock issued on share exchange | $ 17,300 | ||
Marketable securities [member] | |||
Disclosure of financial assets [line items] | |||
Percentage of ownership interest | 21.00% | 18.50% | |
Fair value of ownership interest | $ 2,810 | $ 1,221 |
Property, Plant & Equipment - S
Property, Plant & Equipment - Summary of Property Plant & Equipment (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | $ 797,265 | |
Ending balance | 821,287 | $ 797,265 |
Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 1,108,096 | 994,825 |
Additions | 101,139 | 116,367 |
Rehabilitation cost asset | (12,374) | 8,350 |
Capitalized interest | 2,602 | |
Disposals | (2,279) | (6,924) |
Foreign exchange translation | 10,193 | (7,124) |
Ending balance | 1,204,775 | 1,108,096 |
Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 310,831 | 264,617 |
Depletion and amortization | 74,830 | 49,505 |
Impairment | 3,551 | |
Disposals | (2,173) | (6,842) |
Ending balance | 383,488 | 310,831 |
Property acquisition costs [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 92,378 | |
Ending balance | 99,872 | 92,378 |
Property acquisition costs [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 92,378 | 98,404 |
Foreign exchange translation | 7,494 | (6,026) |
Ending balance | 99,872 | 92,378 |
Mineral properties [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 216,948 | |
Ending balance | 224,655 | 216,948 |
Mineral properties [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 333,638 | 238,828 |
Additions | 62,849 | 84,641 |
Rehabilitation cost asset | (12,374) | 8,350 |
Capitalized interest | 2,602 | |
Foreign exchange translation | 1,391 | (783) |
Ending balance | 385,504 | 333,638 |
Mineral properties [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 116,690 | 96,657 |
Depletion and amortization | 44,159 | 20,033 |
Ending balance | 160,849 | 116,690 |
Plant and equipment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 485,211 | |
Ending balance | 496,572 | 485,211 |
Plant and equipment [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 679,352 | 656,135 |
Additions | 27,783 | 10,696 |
Disposals | (2,279) | (6,924) |
Foreign exchange translation | 1,308 | (315) |
Transfers between categories | 13,047 | 19,760 |
Ending balance | 719,211 | 679,352 |
Plant and equipment [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 194,141 | 167,960 |
Depletion and amortization | 30,671 | 29,472 |
Impairment | 3,551 | |
Disposals | (2,173) | (6,842) |
Ending balance | 222,639 | 194,141 |
Construction in progress [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 2,728 | |
Ending balance | 188 | 2,728 |
Construction in progress [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Beginning balance | 2,728 | 1,458 |
Additions | 10,507 | 21,030 |
Transfers between categories | (13,047) | (19,760) |
Ending balance | $ 188 | $ 2,728 |
Property, Plant & Equipment -_2
Property, Plant & Equipment - Summary of Property Plant & Equipment (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Florence copper project [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Capitalized interest rate | 11.00% |
Property, Plant & Equipment - A
Property, Plant & Equipment - Additional Information (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net carrying amount of leased assets | $ 46,641 | $ 51,918 |
Mineral properties [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Depreciation on non-cash additions of mining assets | 3,771 | 6,371 |
Increase in Carrying Value of Property [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Increase (decreased) in rehabilitation cost asset | (12,374) | |
Aley niobium project [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Capitalized development costs | 2,701 | 1,713 |
Property acquisition costs | 5,436 | 5,436 |
Florence copper project [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Capitalized development costs | 36,520 | 15,245 |
Property acquisition costs | 94,434 | |
New prosperity gold-copper property [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property acquisition costs | 1 | 1 |
Harmony gold property [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property acquisition costs | 1 | 1 |
Gibraltar mining property [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Capitalized stripping costs | 52,598 | 75,408 |
Other capital expenditures | $ 10,975 | $ 10,728 |
Goodwill - Additional Informati
Goodwill - Additional Information (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018CAD ($)Copper | Dec. 31, 2017CAD ($) | |
Disclosure of reconciliation of changes in goodwill [line items] | ||
Goodwill | $ | $ 5,625 | $ 5,172 |
Discounted cash flow [member] | ||
Disclosure of reconciliation of changes in goodwill [line items] | ||
After-tax discount rate | 10.00% | 12.00% |
Bottom of range [member] | Discounted cash flow [member] | ||
Disclosure of reconciliation of changes in goodwill [line items] | ||
Copper price per pound | 3.10 | |
Top of range [member] | Discounted cash flow [member] | ||
Disclosure of reconciliation of changes in goodwill [line items] | ||
Copper price per pound | 3.18 |
Accounts Payable and Accrued _3
Accounts Payable and Accrued Liabilities - Summary of Accounts Payable and Accrued Liabilities (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure Of Accounts Payable And Accrued Liabilities [line items] | ||
Trade payables | $ 21,861 | $ 23,926 |
Accrued liabilities | 19,140 | 18,692 |
Accounts payable and accrued liabilities | $ 41,001 | 47,382 |
BC Hydro [member] | ||
Disclosure Of Accounts Payable And Accrued Liabilities [line items] | ||
Trade payables | $ 4,764 |
Accounts Payable and Accrued _4
Accounts Payable and Accrued Liabilities - Additional Information (Detail) - BC Hydro [member] | 12 Months Ended |
Dec. 31, 2018$ / lb | |
Disclosure Of Accounts Payable And Accrued Liabilities [line items] | |
Contract period | 5 years |
Percentage of maximum deferred electricity costs | 75.00% |
Interest added on prime rate | 5.00% |
Description of amounts payable on the deferral program | The deferred amount, plus interest at the prime rate plus 5%, was repayable on a monthly schedule |
Average copper price exceeds threshold amount per pound | 3.40 |
Deferral program effective date | Mar. 1, 2016 |
Debt - Summary of Debt (Detail)
Debt - Summary of Debt (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Current: | ||
Current portion of long-term debt | $ 9,856 | $ 11,270 |
Long-term: | ||
Long-term debt | 345,625 | 317,948 |
Capital leases [member] | ||
Current: | ||
Current portion of long-term debt | 6,506 | 9,651 |
Long-term: | ||
Long-term debt | 7,604 | 14,110 |
Secured equipment loans [member] | ||
Current: | ||
Current portion of long-term debt | 3,350 | 1,619 |
Long-term: | ||
Long-term debt | 6,338 | 1,753 |
Senior Secured Notes [member] | ||
Long-term: | ||
Long-term debt | $ 331,683 | $ 302,085 |
Debt - Additional Information (
Debt - Additional Information (Detail) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Jun. 30, 2018CAD ($) | Jun. 30, 2017CAD ($) | Jun. 30, 2017USD ($) | Dec. 31, 2018CAD ($) | Dec. 31, 2017CAD ($) | |
Disclosure of detailed information about borrowings [line items] | |||||
Net proceeds from issuance of senior secured notes | $ 317,596 | ||||
Capital leases [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Maturity date | 2019 to 2022 | ||||
Frequency of payments | Monthly | ||||
Carrying value | $ 46,641 | 51,918 | |||
Capital leases [member] | Bottom of range [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Interest rate | 3.50% | ||||
Capital leases [member] | Top of range [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Interest rate | 5.80% | ||||
Senior Secured Notes [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notes issued | $ 250,000 | ||||
Maturity date | June 15, 2022 | June 15, 2022 | |||
Interest rate | 8.75% | ||||
Frequency of payments | Semi-annually | Semi-annually | |||
Percentage of par value of debt | 99.00% | 99.00% | |||
Other transaction costs incurred | $ 9,326 | ||||
Net proceeds from issuance of senior secured notes | $ 317,596 | $ 240,468,000 | |||
Redemption price percentage | 101.00% | ||||
Senior Secured Notes [member] | Until June 15, 2019 [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Redemption price percentage | 108.75% | ||||
Redeemable percentage | 35.00% | ||||
Senior Secured Notes [member] | Bottom of range [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Redemption price percentage | 100.00% | ||||
Senior Secured Notes [member] | Bottom of range [member] | On or after June 15, 2018 [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Redeemable percentage | 100.00% | ||||
Senior Secured Notes [member] | Top of range [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Redemption price percentage | 104.375% | ||||
Secured equipment loans [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Maturity date | 2020 to 2022 | ||||
Interest rate | 5.50% | ||||
Frequency of payments | Monthly | ||||
Carrying value | $ 28,786 | $ 20,912 | |||
New equipment loan [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Interest rate | 5.50% | ||||
Carrying value | $ 9,000 | ||||
Maturity of payments, term | 4 years |
Deferred Revenue - Additional I
Deferred Revenue - Additional Information (Detail) - Mar. 03, 2017 - Osisko Gold Royalties Ltd [member] $ / shares in Units, $ in Thousands, shares in Millions, $ in Millions | USD ($)ozshares | CAD ($)oz$ / shares |
Disclosure of deferred income [line Items] | ||
Upfront cash deposit received | $ | $ 33 | |
Quantity of silver deliverable | oz | 5,900,000 | |
Percentage of production to be delivered after threshold | 35.00% | |
Cash received per ounce of silver deliveries | oz | 2.75 | |
Successive renewal term of sale agreement | 10 years | |
Share purchase warrants issued | shares | 3 | |
Warrants exercise price | $ / shares | $ 2.74 | |
Estimated fair value of warrants | $ | $ 1,876 | |
Fair value assumption, expected life | 3 years | |
Fair value assumption, expected volatility | 61.00% | |
Fair value assumption, expected dividend yield | 0.00% | |
Fair value assumption, risk-free interest rate | 0.90% | |
Gibraltar Mines Ltd [member] | ||
Disclosure of deferred income [line Items] | ||
Ownership interest in joint venture | 75.00% | |
Bottom of range [member] | ||
Disclosure of deferred income [line Items] | ||
Sale agreement term | 50 years |
Deferred Revenue - Summary of C
Deferred Revenue - Summary of Change in Deferred Revenue (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of deferred income [abstract] | ||
Beginning balance | $ 40,952 | |
Transitional adjustment for IFRS 15 | 1,435 | |
Finance expense | 4,182 | |
Upfront cash deposit | $ 44,151 | |
Issuance of warrants | (1,876) | |
Amortization of deferred revenue | (3,295) | (1,323) |
Ending balance | $ 43,274 | $ 40,952 |
Deferred Revenue - Summary of D
Deferred Revenue - Summary of Deferred Revenue (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of deferred income [abstract] | ||
Current | $ 3,907 | $ 1,312 |
Non-current | 39,367 | 39,640 |
Total | $ 43,274 | $ 40,952 |
Provision For Environmental R_3
Provision For Environmental Rehabilitation - Summary of Provision for Environmental Rehabilitation (Detail) - Provision for decommissioning, restoration and rehabilitation costs [member] - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of other provisions [line items] | ||
Beginning balance | $ 107,874 | $ 98,454 |
Change in estimates | (12,374) | 8,350 |
Accretion | 2,305 | 2,363 |
Settlements | (1,205) | |
Foreign exchange differences | 109 | (88) |
Ending balance | $ 97,914 | $ 107,874 |
Provision for Environmental R_4
Provision for Environmental Rehabilitation - Additional Information (Detail) - Gibraltar Mines Ltd [member] - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of other provisions [line items] | ||
Reclamation bonds issued | $ 36,284 | |
Reclamation bonds share | 75.00% | |
Reclamation deposits | $ 28,784 | |
Standby letters of credit1 [member] | ||
Disclosure of other provisions [line items] | ||
Reclamation bonds issued | 8,676 | |
Cash collateral | 2,208 | |
Restricted cash | $ 7,500 | |
Provision for decommissioning, restoration and rehabilitation costs [member] | ||
Disclosure of other provisions [line items] | ||
Pre-tax discount rate | 2.18% | 2.26% |
Inflation rate | 1.70% | 2.00% |
Provision for decommissioning, restoration and rehabilitation costs [member] | Top of range [member] | ||
Disclosure of other provisions [line items] | ||
Costs incurred period | 100 years |
Equity - Summary of Equity (Det
Equity - Summary of Equity (Detail) shares in Thousands, pure in Thousands | 12 Months Ended | |
Dec. 31, 2018shares | Dec. 31, 2017shares | |
Equity [abstract] | ||
Common shares outstanding beginning balance | 227,000 | 221,867 |
Settlement of performance share units | 1,024 | |
Exercise of warrants | 4,000 | |
Exercise of share options | 407 | 1,133 |
Common shares outstanding ending balance | 228,431 | 227,000 |
Equity - Summary of Equity (Par
Equity - Summary of Equity (Parenthetical) (Detail) | Dec. 31, 2018$ / shares |
Equity [abstract] | |
Common share par value | $ 0 |
Equity - Additional Information
Equity - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2018$ / sharesshares | |
Equity [abstract] | |
Share purchase warrants outstanding | shares | 3,000,000 |
Share purchase warrants exercise price | $ / shares | $ 2.74 |
Share purchase warrants expiration date | Apr. 1, 2020 |
Share purchase warrants issue date | Mar. 3, 2017 |
Share-based Compensation - Addi
Share-based Compensation - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2018CAD ($)shares$ / shares | Dec. 31, 2017CAD ($)shares$ / shares | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Share options granted | 1,724,000 | 1,911,000 |
Weighted average grant-date fair value | $ 1.44 | $ 0.61 |
Average exercise price, exercisable | 1.52 | |
Weighted average fair value at measurement date share options granted | $ 2,982,000 | $ 1,301,000 |
Performance share units (PSUs) [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Number of share options granted in share-based payment arrangement | shares | 400,000 | 400,000 |
Deferred Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Long-term financial liability | $ 1,513,000 | $ 5,714,000 |
Number of share options granted in share-based payment arrangement | shares | 385,000 | 620,000 |
Weighted average fair value at measurement date share awards granted per share | $ / shares | $ 2.86 | $ 1.27 |
Directors, executives and employees [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Share options granted | shares | 1,724,500 | 1,910,500 |
Total fair value of options granted | $ 2,483,000 | $ 1,165,000 |
Weighted average grant-date fair value | 1.44 | 0.61 |
Average exercise price, exercisable | $ 2.84 | $ 1.25 |
Top of range [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Maximum allowable under the plan | 9.50% | |
Options exercisable period | Five years | |
Top of range [member] | Performance share units (PSUs) [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Percentage of performance factor | 250.00% | |
Weighted average fair value at measurement date share awards granted per share | $ / shares | $ 4.70 | $ 2.33 |
Top of range [member] | Independent directors [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Maximum allowable under the plan for independent directors | 1.00% | |
Top of range [member] | Directors, executives and employees [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Options exercise period | 5 years | |
Bottom of range [member] | Performance share units (PSUs) [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Percentage of performance factor | 0.00% | |
Bottom of range [member] | Directors, executives and employees [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Options exercise period | 3 years |
Share-based Compensation - Summ
Share-based Compensation - Summary of Options and Average Price (Detail) pure in Thousands | 12 Months Ended | |
Dec. 31, 2018CAD ($) | Dec. 31, 2017CAD ($) | |
Disclosure of terms and conditions of share-based payment arrangement [abstract] | ||
Options, Outstanding beginning balance | 9,281 | 11,941 |
Options, Granted | 1,724 | 1,911 |
Options, Exercised | (407) | (1,133) |
Options, Cancelled/forfeited | (161) | (39) |
Options, Expired | (100) | (3,399) |
Options, Outstanding ending balance | 10,337 | 9,281 |
Average price, Outstanding beginning balance | $ 1.40 | $ 1.74 |
Options, Exercisable | 8,740 | |
Average price, Granted | $ 2.84 | 1.25 |
Average price, Exercised | 0.82 | 0.78 |
Average price, Cancelled/forfeited | 2.25 | 0.96 |
Average price, Expired | 2.02 | 2.71 |
Average price, Outstanding ending balance | 1.64 | $ 1.40 |
Average price, Exercisable | $ 1.52 |
Share-based Compensation - Su_2
Share-based Compensation - Summary of Options and Average Life (Detail) shares in Thousands | Dec. 31, 2018CAD ($)shares | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price, option | 10,337,000 | 9,281,000 | 11,941,000 |
Exercise price, Average life (years) | 1.53 | ||
$0.38 to $0.68 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price, option | shares | 1,798 | ||
Exercise price, Average life (years) | 1.71 | ||
$0.69 to $1.02 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price, option | shares | 1,788 | ||
Exercise price, Average life (years) | 1.34 | ||
$1.03 to $1.64 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price, option | shares | 1,721 | ||
Exercise price, Average life (years) | 2.64 | ||
$1.65 to $2.40 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price, option | shares | 3,435 | ||
Exercise price, Average life (years) | 0.05 | ||
$2.41 to $2.86 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price, option | shares | 1,595 | ||
Exercise price, Average life (years) | 3.50 | ||
Bottom of range [member] | $0.38 to $0.68 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price | $ 0.38 | ||
Bottom of range [member] | $0.69 to $1.02 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price | 0.69 | ||
Bottom of range [member] | $1.03 to $1.64 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price | 1.03 | ||
Bottom of range [member] | $1.65 to $2.40 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price | 1.65 | ||
Bottom of range [member] | $2.41 to $2.86 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price | 2.41 | ||
Top of range [member] | $0.38 to $0.68 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price | 0.68 | ||
Top of range [member] | $0.69 to $1.02 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price | 1.02 | ||
Top of range [member] | $1.03 to $1.64 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price | 1.64 | ||
Top of range [member] | $1.65 to $2.40 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price | 2.40 | ||
Top of range [member] | $2.41 to $2.86 [Member] | |||
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items] | |||
Exercise price | $ 2.86 |
Share-based Compensation - Su_3
Share-based Compensation - Summary of Inputs Used in Measurement of Fair Value at Grant Date (Detail) | 12 Months Ended | |
Dec. 31, 2018CAD ($)yr | Dec. 31, 2017CAD ($)yr | |
Disclosure of terms and conditions of share-based payment arrangement [abstract] | ||
Expected term (years) | yr | 4.4 | 4.5 |
Forfeiture rate | 0.00% | 0.00% |
Volatility | 64.00% | 61.00% |
Dividend yield | 0.00% | 0.00% |
Risk-free interest rate | 1.80% | 1.00% |
Weighted-average fair value per option | $ | $ 1.44 | $ 0.61 |
Share-based Compensation - Su_4
Share-based Compensation - Summary of DSUs and PSUs Issued and Outstanding (Detail) - shares | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Deferred Share Units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Outstanding at beginning balance | 1,943,000 | 1,323,000 |
Granted | 385,000 | 620,000 |
Outstanding at ending balance | 2,328,000 | 1,943,000 |
Performance share units (PSUs) [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Outstanding at beginning balance | 1,219,000 | 1,707,000 |
Granted | 400,000 | 400,000 |
Settled | (409,000) | (888,000) |
Outstanding at ending balance | 1,210,000 | 1,219,000 |
Share-based Compensation - Su_5
Share-based Compensation - Summary of Share Based Compensation Expense (Recovery) (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Expense from share-based payment transactions | $ (1,282) | $ 7,100 |
Share options - amortization [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Expense from share-based payment transactions | 2,182 | 1,072 |
Performance share units - amortization [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Expense from share-based payment transactions | 736 | 1,849 |
Change in fair value of deferred share units [member] | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Expense from share-based payment transactions | $ (4,200) | $ 4,179 |
Commitments and Contingencies -
Commitments and Contingencies - Summary of Future Minimum Payments of Commitments (Detail) $ in Thousands | Dec. 31, 2018CAD ($) |
Disclosure of commitments [line items] | |
Commitments | $ 26,243 |
2018 [Member] | |
Disclosure of commitments [line items] | |
Commitments | 11,079 |
2019 [Member] | |
Disclosure of commitments [line items] | |
Commitments | 7,944 |
2020 [member] | |
Disclosure of commitments [line items] | |
Commitments | 6,045 |
2021 [member] | |
Disclosure of commitments [line items] | |
Commitments | 1,175 |
2022 [member] | |
Disclosure of commitments [line items] | |
Commitments | 0 |
2023 and thereafter [Member] | |
Disclosure of commitments [line items] | |
Commitments | $ 0 |
Commitments and Contingencies_2
Commitments and Contingencies - Additional Information (Detail) - CAD ($) $ in Thousands | Mar. 31, 2010 | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure Of Commitments And Contingent Liabilities [line items] | |||
Capital expenditure | $ 81 | $ 700 | |
Capital commitments | $ 298 | ||
Cariboo Copper Corp [member] | |||
Disclosure Of Commitments And Contingent Liabilities [line items] | |||
Remaining portion of ownership interest in joint venture | 25.00% | 25.00% | |
Gibraltar Joint Venture [member] | |||
Disclosure Of Commitments And Contingent Liabilities [line items] | |||
Capital expenditure | $ 108 | $ 933 | |
Capital lease and equipment loans | 100.00% | ||
Ownership interest in joint venture | 75.00% | 75.00% | |
JV partner's portion of capital lease and equipment loans | $ 7,933 |
Supplementary Cash Flow Infor_3
Supplementary Cash Flow Information - Schedule of Supplementary Cash Flow Information (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of supplementary cash flow information [abstract] | ||
Accounts receivable | $ 7,018 | $ (9,199) |
Inventories | 653 | 16,324 |
Prepaids | 7 | (203) |
Accounts payable and accrued liabilities | (1,778) | 8,995 |
Interest payable | 40 | (21) |
Income tax payable | (4,139) | (2,275) |
Income tax received | 92 | |
Total | $ 1,893 | 13,621 |
Share purchase warrants issued (Note 18) | 1,876 | |
Assets acquired under capital lease | 13,059 | |
Share purchase warrants exercised | $ (830) |
Financial Risk Management - Exp
Financial Risk Management - Exposure to Commodity Price Risk (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Commodity price risk [member] | ||
Disclosure of commodity price risk for financial instruments [line items] | ||
Copper increase/decrease | $ 7,485 | $ 6,645 |
Financial Risk Management - E_2
Financial Risk Management - Exposure to Commodity Price Risk (Parenthetical) (Detail) lb in Millions | 12 Months Ended | |
Dec. 31, 2018lb | Dec. 31, 2017lb | |
Disclosure of commodity price risk for financial instruments [line items] | ||
Assumed percentage of copper price increases or decrease | 10.00% | |
Copper in concentrate exposed to price movements | 20 | 16 |
USD [member] | ||
Disclosure of commodity price risk for financial instruments [line items] | ||
US dollar increase in commodity price per lb of copper | 0.27 | 0.33 |
Closing exchange rate | 1.36 | 1.25 |
Financial Risk Management - Add
Financial Risk Management - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2018CAD ($)Loans | Dec. 31, 2017 | |
Disclosure Of Financial Risk Management [line items] | ||
Percentage CAD strengthening against USD | 10.00% | |
Number of default on loans payable | Loans | 0 | |
Impairment loss, trade receivables | $ 0 | |
Fair value of senior secured notes | 314,547 | |
Carrying value | 331,683 | |
Transfers out of Level 1 into Level 2 of fair value hierarchy | 0 | |
Transfers out of Level 2 into Level 1 of fair value hierarchy | 0 | |
Transfers out of Level 3 into Level 2 of fair value hierarchy | 0 | |
Transfers out of Level 2 into Level 3 of fair value hierarchy | $ 0 | |
Discount rate used for determining the fair value of the capital leases and equipment loans (liabilities) | 5.50% | |
Customer One [Member] | ||
Disclosure Of Financial Risk Management [line items] | ||
Revenue from significant customers | 86.00% | 81.00% |
Customer Two [Member] | ||
Disclosure Of Financial Risk Management [line items] | ||
Revenue from significant customers | 86.00% | 81.00% |
Commodity Derivatives [member] | ||
Disclosure Of Financial Risk Management [line items] | ||
Interest rate basis points | 100 basis points |
Financial Risk Management - Sum
Financial Risk Management - Summary of Impact on Earnings After Tax and Equity (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Schedule of Interest Rate Sensitivity Analysis [line items] | ||
Fair value sensitivity for fixed-rate instruments | $ (2,596) | $ (1,612) |
Cash flow sensitivity for variable-rate instruments | 593 | 854 |
Senior Secured Notes [member] | ||
Schedule of Interest Rate Sensitivity Analysis [line items] | ||
Fair value sensitivity for fixed-rate instruments | (2,365) | (1,340) |
Cash and cash equivalent [member] | ||
Schedule of Interest Rate Sensitivity Analysis [line items] | ||
Cash flow sensitivity for variable-rate instruments | 382 | 645 |
Reclamation deposits [member] | ||
Schedule of Interest Rate Sensitivity Analysis [line items] | ||
Cash flow sensitivity for variable-rate instruments | 211 | 209 |
Capital leases [member] | ||
Schedule of Interest Rate Sensitivity Analysis [line items] | ||
Fair value sensitivity for fixed-rate instruments | (175) | (176) |
Secured equipment loans [member] | ||
Schedule of Interest Rate Sensitivity Analysis [line items] | ||
Fair value sensitivity for fixed-rate instruments | $ (56) | $ (96) |
Financial Risk Management - Sch
Financial Risk Management - Schedule of Changes in Assets and Liabilities on Basis of Strengthening CAD Against USD (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Cash and cash equivalent [member] | ||
Disclosure Foreign Currency Sensitivity Analysis [line items] | ||
Change in financial assets and liabilities due to exchange rate | $ (1,928) | $ (4,966) |
Accounts receivable [Member] | ||
Disclosure Foreign Currency Sensitivity Analysis [line items] | ||
Change in financial assets and liabilities due to exchange rate | (812) | (1,435) |
Copper put option contracts [member] | ||
Disclosure Foreign Currency Sensitivity Analysis [line items] | ||
Change in financial assets and liabilities due to exchange rate | (24) | |
Accounts payable and accrued liabilities [member] | ||
Disclosure Foreign Currency Sensitivity Analysis [line items] | ||
Change in financial assets and liabilities due to exchange rate | 562 | 344 |
Senior Secured Notes [member] | ||
Disclosure Foreign Currency Sensitivity Analysis [line items] | ||
Change in financial assets and liabilities due to exchange rate | $ 24,987 | 23,293 |
Secured equipment loans [member] | ||
Disclosure Foreign Currency Sensitivity Analysis [line items] | ||
Change in financial assets and liabilities due to exchange rate | $ 27 |
Financial Risk Management - S_2
Financial Risk Management - Summary of Derivative Instruments Options Outstanding (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets designated at fair value | $ 35,811 | |
Financial assets at fair value through other comprehensive income, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Marketable securities | $ 3,581 | |
Investment in subscription receipts | 2,400 | |
Reclamation deposits | 31,480 | |
Financial assets designated at fair value | 37,461 | |
Financial assets at fair value through profit or loss, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Copper put option contracts | 330 | |
Financial assets available-for-sale, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Marketable securities | 2,444 | |
Investment in subscription receipts | 2,400 | |
Reclamation deposits | 30,637 | |
Level 1 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets designated at fair value | 33,081 | |
Level 1 [member] | Financial assets at fair value through other comprehensive income, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Marketable securities | 3,581 | |
Reclamation deposits | 31,480 | |
Financial assets designated at fair value | 35,061 | |
Level 1 [member] | Financial assets available-for-sale, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Marketable securities | 2,444 | |
Reclamation deposits | 30,637 | |
Level 2 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets designated at fair value | 330 | |
Level 2 [member] | Financial assets at fair value through profit or loss, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Copper put option contracts | 330 | |
Level 3 [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Financial assets designated at fair value | 2,400 | |
Level 3 [member] | Financial assets at fair value through other comprehensive income, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Investment in subscription receipts | 2,400 | |
Financial assets designated at fair value | $ 2,400 | |
Level 3 [member] | Financial assets available-for-sale, category [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Investment in subscription receipts | $ 2,400 |
Financial Risk Management - S_3
Financial Risk Management - Summary of Capital Management (Detail) - CAD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Capital structure [abstract] | |||
Cash | $ (45,665) | $ (80,231) | $ (89,030) |
Current portion of long-term debt | 9,856 | 11,270 | |
Long-term debt | 345,625 | 317,948 | |
Net debt | 309,816 | 248,987 | |
Shareholders' equity | $ 347,077 | $ 367,080 | $ 338,939 |
Related Parties - Summary of Ow
Related Parties - Summary of Ownership Interest of Subsidiaries (Detail) | Dec. 31, 2018 | Dec. 31, 2017 |
Gibraltar Mines Ltd [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest of subsidiaries | 100.00% | 100.00% |
Curis Resources Ltd [Member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest of subsidiaries | 100.00% | 100.00% |
Curis Holdings (Canada) Ltd [Member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest of subsidiaries | 100.00% | 100.00% |
Florence Copper Inc [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest of subsidiaries | 100.00% | 100.00% |
Aley Corporation [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest of subsidiaries | 100.00% | 100.00% |
672520 BC Ltd. [member] | ||
Disclosure of subsidiaries [line items] | ||
Ownership interest of subsidiaries | 100.00% | 100.00% |
Related Parties - Summary of Co
Related Parties - Summary of Compensation for Key Management Personnel (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Related party transactions [abstract] | ||
Salaries and benefits | $ 6,467 | $ 5,015 |
Post-employment benefits | 2,061 | 1,491 |
Share-based compensation (recovery) expense | (1,914) | 6,849 |
Key management personnel compensation | $ 6,614 | $ 13,355 |
Related Parties - Additional In
Related Parties - Additional Information (Detail) - CAD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of transactions between related parties [line items] | ||
Related party transactions | $ 1,344 | $ 1,399 |
Related parties [member] | ||
Disclosure of transactions between related parties [line items] | ||
Administrative, legal, exploration and tax services | 537 | 593 |
Reimbursements of office rent costs | 527 | 526 |
Director fees | 280 | 280 |
Gibraltar Joint Venture [member] | ||
Disclosure of transactions between related parties [line items] | ||
Management fee income | 1,167 | 1,168 |
Reimbursable compensation expenses and third party costs | $ 141 | $ 34 |