Related Party Transactions

9 Months Ended

Sep. 30, 2022

Related Party Transactions [Abstract]

Related Party Transactions

Related Party Transaction

Certain amounts of the Company’s indebtedness have historically, and with regard to the $80.0 million of Subordinated Notes, were held by five financial institutions. As of September 30, 2022, one of the financial institutions, Mudrick Capital Management, L.P (“Mudrick”), held more than 10% of the common stock of the Company and, as a result, was considered a related party (a “Related Party” or the “Related Parties”) in accordance with ASC 850, Related Party Disclosures. For the three and nine months ended September 30, 2022, Interest expense, net of capitalized interest included $1.0 million and $3.0 million, respectively, for the debt held by the Related Party.

As of September 30, 2021, three of the financial institutions, Mudrick, Highbridge Capital Management, LLC (“Highbridge”), and Whitebox Advisors, LLC (“Whitebox”), held more than 10% of the common stock of the Company and, as a result, each was considered to be a Related Party. For the three and nine months ended September 30, 2021, Interest expense, net of capitalized interest included $1.9 million and $5.5 million, respectively, for the debt held by Related Parties.

As of September 30, 2022 and December 31, 2021, the Related Parties held a total $41.8 million and $63.8 million, respectively, of debt.

Additionally, during the three and nine months ended September 30, 2022, the Company paid $0.1 million and $1.2 million to Ausenco Engineering USA South (“Ausenco”) for work performed on preparing an Acid POX milling technical study and other engineering services. The Company’s President and Chief Executive Officer is currently a non-executive director Ausenco’s parent company board of directors.