Derivative Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative instruments, future settlement

At June 30, 2023, the Company had the following derivative cash flow hedge instruments that settle as follows:

In thousands except average prices and notional ounces	2023		2024 and Thereafter
Gold forwards
Average gold fixed price per ounce	$	1,977	$	—
Notional ounces	111,498		—
Silver forwards
Average silver fixed price per ounce	$	25.40	$	—
Notional ounces	2,490,000		—

At June 30, 2023, the Company had the following derivative instruments that settle as follows:

In thousands except average prices and notional ounces	2023		2024 and Thereafter
Provisional gold sales contracts	$	12,714	$	—
Average gold price per ounce	$	1,957	$	—
Notional ounces	6,498		—

Fair value of the derivative instruments

The following summarizes the classification of the fair value of the derivative instruments designated as cash flow hedges:

	June 30, 2023
In thousands	Prepaid expenses and other		Other assets		Accrued liabilities and other
Gold forwards	$	3,399	$	—	$	—
Silver forwards	5,949		—		—

	December 31, 2022
In thousands	Prepaid expenses and other		Other assets		Accrued liabilities and other
Gold forwards	$	12,343	$	—	$	—

The following table sets forth the after-tax gains (losses) on derivatives designated as cash flow hedges that have been included in AOCI and the Condensed Consolidated Statement of Comprehensive Income (Loss) for the three and six months ended June 30, 2023 and 2022, respectively (in thousands).

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Amount of Gain (Loss) Recognized in AOCI
Gold forwards	$	7,303	$	34,245	$	(8,053)	$	32,413
Silver forwards	5,539		—		7,967		—
Gold zero cost collars	—		—		—		(3,386)
	$	12,842	$	34,245	$	(86)	$	29,027
Amount of (Gain) Loss Reclassified from AOCI to Earnings
Gold forwards	$	1,369	$	(3,110)	$	(892)	$	(3,110)
Silver forwards	(145)		—		(2,018)		—
Gold zero cost collars	—		1,379		—		1,839
	$	1,224	$	(1,731)	$	(2,910)	$	(1,271)

The following summarizes the classification of the fair value of the derivative instruments:

	June 30, 2023
In thousands	Prepaid expenses and other		Accrued liabilities and other
Provisional metal sales contracts	$	36	$	67

	December 31, 2022
In thousands	Prepaid expenses and other		Accrued liabilities and other
Provisional metal sales contracts	$	299	$	10

Gain losses on derivative instruments

The following represent mark-to-market gains (losses) on derivative instruments in the three and six ended June 30, 2023, and 2022, respectively (in thousands):

		Three Months Ended June 30,				Six Months Ended June 30,
Financial statement line	Derivative	2023		2022		2023		2022
Revenue	Provisional metal sales contracts	$	(71)	$	(486)	$	(319)	$	6
Fair value adjustments, net	Terminated zero cost collars	—		—		—		(3,139)
		$	(71)	$	(486)	$	(319)	$	(3,133)

Credit Risk

The credit risk exposure related to any derivative instrument is limited to the unrealized gains, if any, on outstanding contracts based on current market prices. To reduce counter-party credit exposure, the Company enters into contracts with institutions management deems credit-worthy and limits credit exposure to each institution. The Company does not anticipate non-performance by any of its counterparties.