Prepaids and Other

6 Months Ended

Jun. 30, 2021

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Prepaids and Other

Prepaids and Other

The following table provides the components of Prepaids and other and Other assets, non-current (dollars in thousands):

	June 30, 2021		December 31, 2020
Prepaids and other
Prepaids	$	5,129	$	3,198
Deposits	1,107		1,105
Total	$	6,236	$	4,303
Other assets, non-current
Equipment not in use	$	12,238	$	12,238
Consignment inventory - supplies	1,860		885
Royalty - advance payment	480		360
Total	$	14,578	$	13,483

Prepaids

The following table provides the components of prepaids included in the above table (dollars in thousands):

	June 30, 2021		December 31, 2020
Prepaid insurance	$	3,611	$	1,847
Mining claims and permitting fees	1,255		417
Subscription and license fees	176		259
Equipment mobilization	—		423
Other	87		252
Total	$	5,129	$	3,198

Deposits

Deposits included payments for rental equipment mobilization.

Equipment not in use

As of June 30, 2021, equipment not in use was classified as Other assets, non-current and included ball mills, SAG mills, regrind mills, and related motors and components that were previously purchased by a predecessor of the Company. During the second quarter of 2020, the Company engaged an international equipment broker to advertise equipment not in use for potential sale. As a result, the Company recorded an adjustment to the carrying value during the third quarter of 2020 to reflect the fair market value of the equipment not in use. During 2021, the Company determined to keep the equipment and no longer advertise it for sale. The equipment remains not in use of as June 30, 2021.

Consignment inventory - supplies

The Company has an inventory consignment agreement with a supplier of crusher parts that requires the supplier to maintain a specified inventory of replacement parts and components that are exclusively for purchase and use at the Hycroft Mine. As part of the agreement, the Company is required to make certain payments in advance of receiving such consignment inventory at the mine site. The Company records advance payments as prepaid supplies inventory within Other assets, non-current until such inventory is received, at which point, the amounts are reclassified to Inventories.

Royalty - advance payment

As of June 30, 2021, royalty-advance payments included annual advance payments for a portion of the Hycroft Mine that is subject to a mining lease requiring a 4% net profit royalty be paid to the owner of certain patented and unpatented mining claims. Refer to Note 20 - Commitments and Contingencies for further detail.