Equity method investment (Tables)

3 Months Ended

Feb. 29, 2020


		in thousands of dollars
		$
Fair value ascribed to Ambler Metals interest		176,000
Less: carrying value of contributed /eliminated assets
Mineral properties		(30,587)
Property, plant and equipment		(618)
Elimination of Fairbanks warehouse right of use asset		(93)
Elimination of prepaid State of Alaska mining claim fees		(303)
Add:
Demobilization costs of drills		278
Cancellation of Fairbanks warehouse lease liability		93
Fair value of mineral properties purchase option		31,000
Gain on derecognition		175,770

Schedule of equity investment

The carry value of Trilogy’s 50% investment in Ambler Metals as at February 29, 2020 is summarized on the following table.


		in thousands of dollars
		$
February 11, 2020, fair value ascribed to Ambler Metals interest		176,000
Share of loss on equity investment		(178)
February 29, 2020, equity method investment		175,822

(a)

The following table summarizes Ambler Metals Balance Sheet as at February 29, 2020.


		in thousands of dollars
		February 29, 2020
		$
Current assets: Cash, deposits and prepaid expenses		145,049
Non - current assets: Property, equipment and mineral properties		31,454
Current liabilities: Accounts payable and accrued liabilities		(517)
Non - current liabilities: Lease obligation		(91)
Net assets		175,895

(b)

The following table summarizes Ambler Metals comprehensive loss from the formation of the joint venture on February 11, 2020 to the end of the reporting period on February 29, 2020.


		in thousands of dollars
		February 11- 29, 2020
		$
Amortization		12
Mineral properties expense		167
General and administrative expense		219
Interest income		(43)
Comprehensive loss		355