Property, Plant and Equipment, Net

9 Months Ended

Sep. 30, 2022

Property, Plant and Equipment, Net

Property, Plant and Equipment, Net

8. Property, Plant and Equipment, Net

The components of property, plant and equipment are as follows:

	September 30,		December 31,
	2022		2021
	(in thousands)
Mineral properties	$	9,353	$	9,353
Exploration properties		2,418		2,418
Royalty properties		200		200
Buildings		3,806		3,806
Mining equipment and machinery		17,144		17,477
Other furniture and equipment		1,333		1,328
Asset retirement cost		1,057		1,057
		35,311		35,639
Less: Accumulated depreciation and amortization		(28,907)		(29,012)
	$	6,404	$	6,627

During the nine months ended September 30, 2022, the Company sold a fully depreciated non-essential piece of equipment for $125,000. The gain is recorded in “Other operating income, net” on the Condensed Consolidated Statements of Operations.

El Quevar Earn-In Agreement

At September 30, 2022, Barrick has continued with exploration activities, per the terms of the Earn-in Agreement, at the Company’s El Quevar project located in the Salta Province of Argentina. Barrick has met the $1 million in work expenditures that would permit them to withdraw from the Earn-in Agreement.

Sale of Santa Maria Property

The Company recorded a $1.5 million payment it received from Fabled in December 2021 to “Deferred revenue” on the accompanying Condensed Consolidated Balance Sheets and is amortizing the amount to income over a one-year period. Upon receipt of each cash payment, the agreement imposes a performance obligation on the Company to provide Fabled an exclusive right to the Santa Maria Properties to conduct exploration and mining activities during the period from receipt of the payment until the due date of the next required payment.  Accordingly, the Company has determined that its performance obligation for each option payment received is satisfied over time. At September 30, 2022, there is a remaining unamortized balance of $0.3 million.