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Mineral Properties, Plant and Equipment
 12 Months Ended
Dec. 31, 2019
Text Block [Abstract]  
Mineral Properties, Plant and Equipment
10.
MINERAL PROPERTIES, PLANT AND EQUIPMENT
 
    Mineral
properties		   
Plant and
equipment
  
Pre-

development
assets		  Construction
in-progress
  Other  Total   
Cost
                          
Balance – December 31, 2017
  $72,592   $47,873  $44,194  $-  $223  $164,882  
Acquisition of Mesquite (note 5(b))
   27    43,167   -   -   -   43,194  
Additions
   308    2,285   -   123,124   38   125,755  
Impairment
   -    (4,448)   -   (206)   (13)   (4,667) 
Transfers
   -    -   (44,194)   44,194   -   -  
Disposals
   -    (9,270)   -   (570)   (89)   (9,929) 
Change in reclamation cost asset
   1,465    -   -   -   -   1,465  
Balance – December 31, 2018
  $74,392   $79,607  $-  $166,542  $159  $320,700  
Additions
   16,924    (6,641)   -   78,748   942   89,973  
Transfers
   55,318    133,694   -   (200,038)   1,089   (9,937) 
Transfer from exploration and evaluation assets (note 9)
   133,060    -   -   -   -   133,060  
Disposals
   -    (1,758)   -   -   (74)   (1,832) 
Change in reclamation cost asset
   6,080    -   -   -   -   6,080  
Balance – December 31, 2019
  $    285,774   $    204,902  $-  $    45,252  $    2,116  $    538,044  
Accumulated depreciation
                          
Balance – December 31, 2017
  $-   $1,167  $-  $-  $43  $1,210  
Additions
   326    4,135   -   -   87   4,548  
Disposals
   -    (1,939)   -   -   (30)   (1,969) 
Balance – December 31, 2018
  $326   $3,363  $-  $-  $100  $3,789  
Additions
   12,682    24,136   -   -   294   37,112  
Disposals
   -    (766)   -   -   (35)   (801) 
Balance – December 31, 2019
  
$
13,008
 
  
$
26,733
 
 
$
-
 
 
$
-
 
 
$
359
 
 $40,100  
Net book value:
        
At December 31, 2018
  $74,066   $76,244  $-  $166,542  $59  $316,911  
At December 31, 2019
  $272,766   $178,169  $-  $45,252  $1,757  $497,944  
 
During the year ended December 31, 2019, the Company capitalized $41.7 million (2018 – $121.7 million) of construction costs at Aurizona, which includes interest and accretion on the Aurizona project debt totaling $5.1 million (2018 – $6.5 million).
Pre-production
income of $5.6 million earned during the
ramp-up
of Aurizona was deducted from
construction-in-progress.
On commencement of commercial production at Aurizona on July 1, 2019, the Company transferred $195.3 million from
construction-in-progress
to mineral properties ($53.5 million) and plant and equipment ($131.9 million). In addition, $9.9 million was transferred from
construction-in-progress
to inventory. In September 2019, the Company recognized $11.3 million as a reduction to mineral properties, plant and equipment related to a recoverable credit for value-added taxes paid that was made available during Aurizona construction.
During the year ended December 31, 2019, the Company capitalized to
construction-in-progress
$21.0 million of costs at Castle Mountain.
Certain of the Company’s mining properties are subject to royalty arrangements based on their net smelter returns (“NSR”s) or gross revenues. At December 31, 2019, the Company’s significant royalty arrangements were as follows:
 
 Mineral property            
  
Royalty arrangements
 Mesquite
  
0.5%-7%
NSR
 Aurizona
  
1.5% of gross sales;
3%-5%
sliding scale NSR based on gold price
 Castle Mountain
  
2.65% NSR