Asset Retirement Obligation

6 Months Ended

Jun. 30, 2024

Asset Retirement Obligation Disclosure [Abstract]

The following table summarizes changes in the Company’s Asset retirement obligation (“ARO”) (in thousands):


	June 30, 2024		December 31, 2023
Balance, beginning of period	$	7,973	$	10,302
Accretion	527		1,087
Spending	(221)		(529)
Change in estimates	3,964		(2,887)
Balance, end of period	$	12,243	$	7,973

Current	$	5,290	$	3,172
Non-current	$	6,953	$	4,801

During the six months ended June 30, 2024, the Company recognized a change in cost estimate to reflect both a revised engineering design change required by the Nevada Department of Environmental Protection for impervious cover placement on the Crofoot Heap Leach Pad, and a change in timing to begin the work in 2025 and complete it by the end of 2027. In June, the Company received third-party quotes to complete the cover placement that required additional equipment, longer haul distances and other costs in excess of prior estimates, and the project was accelerated to begin in the second half of 2024. In accordance with these changes, the Company recorded an additional expense of $2.0 million in the quarter ended June 30, 2024, bringing the year-to-date ARO adjustment expense to $4.0 million. The Company does not have mineral reserves, and accordingly, these types of reclamation costs must be expensed until such time that it declares mineral reserves.