OTHER INCOME

9 Months Ended

Sep. 30, 2022

OTHER INCOME

OTHER INCOME

NOTE 4 OTHER INCOME

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

	Three months ended September 30,				Nine months ended September 30,
	2022		2021		2022		2021
COVID-19 Relief	$	—	$	611	$	—	$	3,447
Unrealized and realized gain (loss) on investments		(1,367)		18		(754)		20
Foreign currency gain on Blue Chip Swap		5,721		—		12,309		—
Foreign currency gain, other		1,412		654		3,880		751
Other income (loss), net		562		(19)		565		2,253
Total other income	$	6,328	$	1,264	$	16,000	$	6,471

During the three and nine months ended September 30, 2022, the Company recognized $nil (three and nine months ended September 30, 2021 - $0.6 million and $3.4 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 Blue Chip Swap transaction utilizes the existing loan structure between the Company’s Canadian, Cayman Islands, and Argentina entities. 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 operations 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 operations.

For the nine months ended September 30, 2022, the Company completed eight 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 nine months ended September 30, 2022, the Company realized a net gain of $5.5 million and $11.6 million, respectively. The net gain for the three and nine months ended September 30, 2022 was comprised of a foreign currency gain of $5.7 million and $12.3 million and a realized loss on investments of $0.2 million and $0.7 million, respectively, including the impact of fees and commissions. No similar transactions occurred in 2021.