MINERAL PROPERTY INTERESTS AND PLANT AND EQUIPMENT

12 Months Ended

Dec. 31, 2023

MINERAL PROPERTY INTERESTS AND PLANT AND EQUIPMENT

MINERAL PROPERTY INTERESTS AND PLANT AND EQUIPMENT

NOTE 8 MINERAL PROPERTY INTERESTS AND PLANT AND EQUIPMENT

The cost and carrying value of mineral property interests and plant and equipment at December 31, 2023 and 2022 are as follows:

	December 31, 2023		December 31, 2022
Mineral property interests, cost	$	207,601	$	359,845
Less: accumulated depletion		(80,004)		(58,700)
Mineral property interests, carrying value	$	127,597	$	301,145
Plant and equipment, cost
Land	$	18,043	$	17,850
Construction in progress		6,963		8,408
Plant and equipment		79,972		73,740
Subtotal	$	104,978	$	99,998
Less: accumulated depreciation		(62,625)		(54,862)
Plant and equipment, carrying value	$	42,353	$	45,136
Mineral property interests and plant and equipment, carrying value	$	169,950	$	346,281

Mineral property interest carrying value at December 31, 2023 and 2022 includes the following:

Name of Property/Complex	State/Province	Country	2023		2022
Fox Complex	Ontario	Canada	$	32,519	$	40,413
Lexam Exploration Properties	Ontario	Canada		41,595		41,595
Los Azules Copper Project	San Juan	Argentina		—		162,669
Los Azules Copper Project - 1.25% NSR	San Juan	Argentina		28,821		28,821
Tonkin Properties	Nevada	United States		4,602		4,833
Gold Bar Mine	Nevada	United States		11,031		12,982
Elder Creek Exploration Property	Nevada	United States		—		635
Elder Creek Exploration Property - 1.25% NSR	Nevada	United States		150		150
Fenix Project Properties	Sinaloa	Mexico		8,879		9,047
Total mineral property interests			$	127,597	$	301,145

Gold Bar mineral property interests are depleted based on the units of production method from the production commencement date over the estimated proven and probable reserves.

The El Gallo mine and Fox Complex are depleted and depreciated using the straight-line or units of production method over the stated mine life, as the projects do not have proven and probable reserves that conform to S-K 1300.

The definition of proven and probable reserves is set forth in S-K 1300. If proven and probable reserves exist at the Company’s properties, the relevant capitalized mineral property interests and asset retirement costs are charged to expense based on the units of production method upon commencement of production. The Company’s Gold Bar Mine and San José properties have proven and/or probable reserves estimated in accordance with S-K 1300.

The Company conducts a review of potential triggering events for impairment for all its mineral projects on a quarterly basis or when events or changes in circumstances indicate that the related carrying amounts may not be recoverable. During the year ended December 31, 2023, and 2022, no impairment has been noted for any of the Company’s mineral property interests.