INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE (Tables)

9 Months Ended

Sep. 30, 2021

INVESTMENT IN MINERA SANTA CRUZ S.A. ("MSC") - SAN JOSE MINE

Summary of MSC's financial information from operations

	Three months ended September 30,				Nine months ended September 30,
	2021		2020		2021		2020
Minera Santa Cruz S.A. (100%)
Revenue from gold and silver sales	$	72,098	$	70,195	$	195,797	$	154,666
Production costs applicable to sales		(47,911)		(41,512)		(125,167)		(100,230)
Depreciation and depletion		(11,690)		(7,107)		(28,422)		(22,084)
Gross profit		12,498		21,576		42,209		32,352
Exploration		(2,710)		(2,814)		(7,887)		(7,855)
Other expenses(1)		(8,010)		(6,509)		(28,231)		(17,651)
Net income before tax	$	1,777	$	12,253	$	6,091	$	6,846
Current and deferred tax expense		(2,336)		(4,922)		(5,902)		(2,989)
Net income (loss)	$	(559)	$	7,331	$	189	$	3,857
Portion attributable to McEwen Mining Inc. (49%)
Net income (loss)	$	(273)	$	3,592	$	93	$	1,890
Amortization of fair value increments		(2,481)		(1,255)		(5,571)		(3,891)
Income tax recovery		104		245		401		862
(Loss) income from investment in MSC, net of amortization	$	(2,650)	$	2,582	$	(5,077)	$	(1,139)

(1) Other expenses include foreign exchange, accretion of asset retirement obligations, other finance-related expenses, and COVID-19 related expenses of $5.2 million and $17.1 million for the three and nine months ended September 30, 2021.

Schedule of change in the entity's investment in MSC

	September 30, 2021		December 31, 2020
Investment in MSC, beginning of period	$	108,326	$	110,183
Attributable net income from MSC		93		2,745
Amortization of fair value increments		(5,571)		(5,390)
Income tax recovery		401		1,128
Dividend distribution received		(7,561)		(340)
Investment in MSC, end of period	$	95,688	$	108,326

Summary of key assets and liabilities, before and after adjustments to fair value

As at September 30, 2021	Balance excluding FV increments		Adjustments		Balance including FV increments
Current assets	$	83,723	$	435	$	84,158
Total assets	$	177,357	$	95,607	$	272,964
Current liabilities	$	(44,463)	$	—	$	(44,463)
Total liabilities	$	(74,576)	$	(3,117)	$	(77,693)