OTHER INCOME

6 Months Ended

Jun. 30, 2022

OTHER INCOME

OTHER INCOME

NOTE 4 OTHER INCOME

The following is a summary of other income for the three and six months ended June 30, 2022 and 2021:

	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
COVID-19 Relief	$	—	$	1,725	$	—	$	2,836
Unrealized and realized gain on investments		168		—		612		—
Foreign currency gain (loss)		6,069		(194)		9,056		97
Other income (loss), net		(435)		2,264		4		2,274
Total other income	$	5,802	$	3,795	$	9,672	$	5,207

During the three and six months ended June 30, 2022, the Company recognized $nil (three and six months ended June 30, 2021 - $1.7 million and $2.8 million, respectively) of other income through COVID-19 relief from the Canadian government via the Canadian Emergency Wage Subsidy and Canada Emergency Rent Subsidy programs.

From time to time, the Company may acquire and transfer marketable securities (“Blue Chip Swap”) to facilitate intragroup funding transfers between the U.S. parent and its Argentine subsidiary.

The Company does not acquire marketable securities or engage in these transactions for speculative purposes. Under this strategy, the Company generally uses marketable securities of large, well-established companies, with high trading volumes and low volatility. The Company does this to improve cash management for funding its Argentinean subsidiary. Nonetheless, as the process to acquire, transfer and ultimately sell the marketable securities occurs over several days, some fluctuations are unavoidable.

As the marketable securities are acquired with the intention of a near term sale, generally less than seven days, they are considered financial instruments that are held for trading. Accordingly, all changes in the fair value of the instruments, between acquisition and disposition, are recognized through profit or loss in the Consolidated Statements of Operations. Upon receipt of the transferred equity instruments by the local investment broker, the Company realizes an immediate foreign exchange impact. This foreign exchange impact is incurred directly as a result of holding equity instruments with the intention of trading, and as such the foreign exchange impact is also recognized through profit and loss.

For the six months ended June 30, 2022, the Company completed 6 blue chip swap transactions to transfer funds from its Canadian USD bank account to Argentina. These funds were used for the continued development of the Los Azules Copper project. For the three and six months ended June 30, 2022, the Company realized a net gain of $2.1 million and $6.1 million, respectively. The net gain for the three and six months ended June 30, 2022 was comprised of a foreign currency gain of $2.2 million and $4.4 million and a realized loss on investments of $0.1 million and $0.4 million, respectively, including the impact of fees and commissions.

During the three and six months ended June 30, 2021, no marketable securities were transferred between the U.S. parent and its Argentine subsidiary for intragroup funding purposes.