20-F/A

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 20-F/A

AMENDMENT NO. 1

ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended December 31, 2017

Commission file number 001-04192

(Exact name of Registrant as specified in its charter)

Cayman Islands

(Jurisdiction of incorporation or organization)

2-4 Merrion Row, Dublin 2, Ireland

(Address of executive office)

  Michael J. Smith c/o MFC Financial Ltd. 2-4 Merrion Row Dublin 2, Ireland Telephone: +1 844 331 3343 Facsimile: + 353 1 676 6824 with a copy to: H.S. Sangra Sangra Moller LLP 1000 Cathedral Place, 925 West Georgia Street Vancouver, British Columbia, Canada V6C 3L2 Facsimile: +1 604-669-8803  

(Name, Telephone, E-mail and/or Facsimile number and Address of Company Contact Person)

Securities registered or to be registered pursuant to Section 12(b) of the Act:

Title of each class	Name of each exchange on which registered
Common Shares	New York Stock Exchange

Securities registered or to be registered pursuant to Section 12(g) of the Act: None.

Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act: None.

Indicate the number of outstanding shares of each of the issuer's classes of capital or common stock as of the close of the period covered by the annual report.

There were 12,534,801 Common Shares of US$0.001 par value each issued and outstanding as of December 31, 2017.

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. ¨ YES     x NO

If this report is an annual or transition report, indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Exchange Act.   ¨ YES     x NO

Note – Checking the box above will not relieve any registrant required to file reports pursuant to Section 13 or 15(d) of the Exchange Act from their obligations under those Sections.

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  x YES     ¨ NO

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or an emerging growth company. See definition of "large accelerated filer, "accelerated filer" and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer    ¨	Accelerated filer ¨	Non-accelerated filer x
		Emerging growth company ¨

If an emerging growth company that prepares its financial statements in accordance with U.S. GAAP, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards† provided pursuant to Section 13(a) of the Exchange Act.   ¨

†The term "new or revised financial accounting standard" refers to any update issued by the Financial Accounting Standards Board to its Accounting Standards Codification after April 5, 2012.

Indicate by check mark which basis of accounting the registrant has used to prepare the financial statements included in this filing.

U.S. GAAP  ¨ International Financial Reporting Standards as issued by the International Accounting Standards Board   x Other  ¨

If "Other" has been checked in response to the previous question, indicate by check mark which financial statement item the registrant has elected to follow. ¨ Item 17     ¨ Item 18

If this is an annual report, indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act)  ¨ YES x NO 

EXPLANATORY NOTE

This Amendment No. 1 to the Annual Report on Form 20-F for the fiscal year ended December 31, 2017, which was originally filed with the Securities and Exchange Commission on April 10, 2018 (the "Original 2017 Form 20-F"), is being filed solely to add Exhibit 101 to Item 19 "Exhibits" and furnish the Interactive Data File disclosed as Exhibit 101 in accordance with Rule 405 of Regulation S-T. Exhibit 101 includes information in eXtensible Business Reporting Language (XBRL) and was not previously filed.

Except as described above, this Amendment No. 1 does not, and does not purport to, amend, update or restate any information set forth in the Original 2017 Form 20-F, and the Company has not updated disclosures included therein to reflect any events that occurred subsequent to April 10, 2018.

ITEM 19:  EXHIBITS

The following attached exhibits are furnished as part of this Amendment No. 1 to the Annual Report on Form 20-F:

Exhibit Number	Description
101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema Document
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
101.LAB	XBRL Taxonomy Extension Label Linkbase Document
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document

SIGNATURES

The registrant hereby certifies that it meets all of the requirements for filing on Form 20-F and that it has duly caused and authorized the undersigned to sign this Amendment No. 1 to the Annual Report on Form 20-F on its behalf.

Date: May 8, 2018

MFC BANCORP LTD.

/s/ Samuel Morrow                                                

Samuel Morrow

Chief Financial Officer

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DOCUMENT AND ENTITY INFORMATION	12 Months Ended
	Dec. 31, 2017 shares
Document And Entity Information [Abstract]
Entity Registrant Name	MFC BANCORP LTD.
Entity Central Index Key	0000016859
Trading Symbol	mfcb
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding	12,534,801
Document Type	20-F
Document Period End Date	Dec. 31, 2017
Amendment Flag	false
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	FY

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CONSOLIDATED STATEMENTS OF FINANCIAL POSITION - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Current Assets
Cash and cash equivalents	$ 74,870	$ 120,676
Short-term cash deposits	194	182
Securities	5,127	5,018
Securities - derivatives	190	1,240
Trade receivables (Note 7)	34,259	135,962
Tax receivables	747	11,743
Other receivables (Note 8)	21,690	35,251
Inventories (Note 9)	9,826	31,954
Real estate held for sale		1,066
Deposits, prepaid and other (Note 10)	2,378	12,195
Assets held for sale (Note 5)		45,667
Total current assets	149,281	400,954
Non-current Assets
Securities	771	561
Securities - derivatives	56
Real estate held for sale	13,803	13,035
Investment property (Note 11)	37,660	35,663
Property, plant and equipment (Note 12)	83,954	99,443
Interests in resource properties (Note 13)	92,551	79,147
Deferred income tax assets (Note 14)	16,694	16,647
Other	2,132	4,072
Other, restricted	45	816
Total non-current assets	247,666	249,384
Total Assets	396,947	650,338
Current Liabilities
Short-term bank borrowings (Note 15)	2,074	95,416
Debt, current portion (Note 16)	43,733	36,249
Account payables and accrued expenses (Note 17)	44,750	45,114
Financial liabilities - derivatives	302	5,514
Income tax liabilities	1,910	2,486
Liabilities relating to assets held for sale (Note 5)		29,897
Total current liabilities	92,769	214,676
Long-term Liabilities
Debt, less current portion (Note 16)	0	80,564
Financial liabilities - derivatives		940
Accrued pension obligations, net (Note 18)		3,259
Decommissioning obligations (Note 19)	13,699	13,219
Deferred income tax liabilities (Note 14)	10,303	7,353
Other	227	897
Total long-term liabilities	24,229	106,232
Total liabilities	116,998	320,908
Equity
Capital stock, fully paid (Note 20)	16	419,916
Additional paid-in capital	312,132
Treasury stock (Note 20)	(2,643)	(61,085)
Contributed surplus	16,666	15,417
Deficit	(87,183)	(88,920)
Accumulated other comprehensive income	38,792	42,192
Shareholders' equity	277,780	327,520
Non-controlling interests	2,169	1,910
Total equity	279,949	329,430
Total Liabilities And Equity	$ 396,947	$ 650,338

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CONSOLIDATED STATEMENTS OF OPERATIONS - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Profit or loss [abstract]
Gross revenues (Note 21)	$ 274,035	$ 1,131,657	$ 1,629,100
Costs and expenses:
Costs of sales and services (Note 21)	263,586	1,061,052	1,573,868
Selling, general and administrative	45,472	79,164	86,648
Share-based compensation - selling, general and administrative (Note 22)	2,876	0	0
Finance costs	8,415	24,102	22,329
Impairment of available-for-sale securities	0	91	245
(Reversal of) impairment of hydrocarbon and resource properties	(8,945)	(8,566)	235,875
Exchange differences on foreign currency transactions, net loss (gain)	1,038	(7,480)	930
Total	312,442	1,148,363	1,919,895
Loss from operations before income taxes	(38,407)	(16,706)	(290,795)
Income tax (expense) recovery:
Income taxes	(6,885)	(5,994)	46,518
Resource revenue taxes	(1,773)	(1,020)	(325)
Total Income tax (expense) recovery (Note 23)	(8,658)	(7,014)	46,193
Loss from continuing operations	(47,065)	(23,720)	(244,602)
Loss from discontinued operations (Note 5)	0	0	(241,402)
Net loss for the year	(47,065)	(23,720)	(486,004)
Net income attributable to non-controlling interests	(790)	(1,641)	(1,626)
Net loss attributable to owners of the parent company	$ (47,855)	$ (25,361)	$ (487,630)
Basic loss per share:
Continuing operations (Note 24) (in dollars per share)	$ (3.81)	$ (2.01)	$ (19.5)
Discontinued operations (Note 24) (in dollars per share)			(19.11)
Total (Note 24) (in dollars per share)	(3.81)	(2.01)	(38.61)
Diluted loss per share:
Continuing operations (Note 24) (in dollars per share)	(3.81)	(2.01)	(19.5)
Discontinued operations (Note 24) (in dollars per share)			(19.11)
Total (Note 24) (in dollars per share)	$ (3.81)	$ (2.01)	$ (38.61)
Weighted average number of common shares outstanding
- basic (in shares)	12,544,141	12,628,454	12,628,454
- diluted (in shares)	12,544,141	12,628,454	12,628,454

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CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Statement of comprehensive income [abstract]
Net loss for the year	$ (47,065)	$ (23,720)	$ (486,004)
Items that will be reclassified subsequently to profit or loss
Exchange differences arising from translating financial statements of foreign operations	7,002	(14,067)	79,355
Reclassification adjustment for exchange differences to statements of operations for subsidiaries disposed of	(11,306)	(560)	143
Net exchange difference	(4,304)	(14,627)	79,498
Fair value gain (loss) on available-for-sale securities	542	(73)	(293)
Reclassification of fair value (gain) loss on available-for-sale securities to statements of operations for securities disposed of or impaired	(52)	141	245
Net fair value gain (loss) on available-for-sale securities	490	68	(48)
Items that will not be reclassified subsequently to profit or loss
Remeasurement of net defined benefit liabilities	219	192	(298)
Other comprehensive (loss) income	(3,595)	(14,367)	79,152
Total comprehensive loss for the year	(50,660)	(38,087)	(406,852)
Comprehensive income attributable to non-controlling interests	(683)	(1,585)	(2,028)
Comprehensive loss attributable to owners of the parent company	(51,343)	(39,672)	(408,880)
Consisting of: Continuing operations	(51,343)	(39,672)	(167,478)
Discontinued operations			(241,402)
Comprehensive loss from continuing and discontinued operations	$ (51,343)	$ (39,672)	$ (408,880)

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CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - CAD ($) $ in Thousands	Capital Stock	Treasury Stock	Share-based Compensation	Contingently Issuable Shares	Retained Earnings (Deficit)	Available-for-sale Securities	Defined Benefit Obligations	Currency Translation Adjustment	Share-holders' Equity	Non-controlling Interests	Total
Balance at Dec. 31, 2014	$ 419,655	$ (61,085)	$ 13,790	$ 1,830	$ 424,129	$ (49)	$ 1,444	$ (21,997)	$ 777,717	$ 1,216	$ 778,933
Balance (in shares) at Dec. 31, 2014	17,305,673	(4,687,218)
Net (loss) income					(487,630)				(487,630)	1,626	(486,004)
Disposition of a subsidiary							(1,645)		(1,645)		(1,645)
Issuance of contingently issuable shares	$ 261			(203)	(58)
Issuance of contingently issuable shares (in shares)	10,000
Dividends paid										(1,236)	(1,236)
Net fair value (loss) gain						(48)			(48)		(48)
Net (loss) gain on remeasurements							(298)		(298)		(298)
Net exchange differences								79,096	79,096	402	79,498
Balance at Dec. 31, 2015	$ 419,916	$ (61,085)	13,790	1,627	(63,559)	(97)	(499)	57,099	367,192	2,008	$ 369,200
Balance (in shares) at Dec. 31, 2015	17,315,673	(4,687,218)									10,000
Net (loss) income					(25,361)				(25,361)	1,641	$ (23,720)
Dividends paid										(1,683)	(1,683)
Net fair value (loss) gain						68			68		68
Net (loss) gain on remeasurements							192		192		192
Net exchange differences								(14,571)	(14,571)	(56)	(14,627)
Balance at Dec. 31, 2016	$ 419,916	$ (61,085)	13,790	1,627	(88,920)	(29)	(307)	42,528	327,520	1,910	329,430
Balance (in shares) at Dec. 31, 2016	17,315,673	(4,687,218)
Repurchase and cancellation of shares and cancellation of shares and equity instruments	$ (2,856)			$ (1,627)	3,165				(1,318)		(1,318)
Repurchase and cancellation of shares and cancellation of shares and equity instruments (in shares)	(90,000)
Plan of arrangement - purchase of fractional shares	$ (41)								(41)		(41)
Plan of arrangement - purchase of fractional shares (in shares)	(3,654)
Plan of arrangement - cash distributions	$ (2)								(2)		(2)
Plan of arrangement - offsetting deficit	(87,850)				87,850
Plan of arrangement - share capital restructuring	$ (17,019)	$ 58,442			(41,423)
Plan of arrangement - share capital restructuring (in shares)	(4,621,571)	4,621,571
Shares issued to non-controlling interests, net of subscription receivables										1,177	1,177
Net (loss) income					(47,855)				(47,855)	790	(47,065)
Disposition of a subsidiary							88		88		88
Issuance of contingently issuable shares	$ (2,856)
Issuance of contingently issuable shares (in shares)	(90,000)
Dividends paid										(1,601)	(1,601)
Share based compensation			2,876						2,876		2,876
Net fair value (loss) gain						490			490		490
Net (loss) gain on remeasurements							$ 219		219		219
Net exchange differences								(4,197)	(4,197)	(107)	(4,304)
Balance at Dec. 31, 2017	$ 312,148	$ (2,643)	$ 16,666		$ (87,183)	$ 461		$ 38,331	$ 277,780	$ 2,169	$ 279,949
Balance (in shares) at Dec. 31, 2017	12,600,448	(65,647)									10,000

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EQUITY (CONTINUED) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Total Comprehensive (Loss) Income	$ (50,660)	$ (38,087)	$ (406,852)
Owners of the Parent Company
Total Comprehensive (Loss) Income	(51,343)	(39,672)	(408,880)
Non-controlling Interests
Total Comprehensive (Loss) Income	$ 683	$ 1,585	$ 2,028

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CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY ((CONTINUED 2) - CAD ($) $ in Thousands	Capital Stock Common Shares	Capital Stock Preferred Shares	[1]	Capital Stock	Total
Balance at Dec. 31, 2014	$ 402,636	$ 17,019		$ 419,655	$ 778,933
Balance (in shares) at Dec. 31, 2014	12,684,102	4,621,571		17,305,673
Disclosure of classes of share capital [line items]
Issuance of contingently issuable shares	$ 261			$ 261
Issuance of contingently issuable shares (in shares)	10,000			10,000
Balance at Dec. 31, 2015	$ 402,897	$ 17,019		$ 419,916	$ 369,200
Balance (in shares) at Dec. 31, 2015	12,694,102	4,621,571		17,315,673	10,000
Balance at Dec. 31, 2016	$ 402,897	$ 17,019		$ 419,916	$ 329,430
Balance (in shares) at Dec. 31, 2016	12,694,102	4,621,571		17,315,673
Disclosure of classes of share capital [line items]
Issuance of contingently issuable shares	$ (2,856)			$ (2,856)
Issuance of contingently issuable shares (in shares)	(90,000)			(90,000)
Plan of arrangement	$ (87,893)	$ (17,019)		$ (104,912)
Plan of arrangement (in shares)	(3,654)	(4,621,571)		(4,625,225)
Balance at Dec. 31, 2017	$ 312,148			$ 312,148	$ 279,949
Balance (in shares) at Dec. 31, 2017	12,600,448			12,600,448	10,000

[1] All Preferred Shares were held by the Group as Treasury Stock

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CONSOLIDATED STATEMENTS OF CASH FLOWS - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Cash flows from continuing operating activities:
Net loss for the year	$ (47,065)	$ (23,720)	$ (244,602)
Adjustments for:
Amortization, depreciation and depletion	6,732	11,951	6,450
Exchange differences on foreign currency transactions	1,038	(7,480)	930
Loss on short-term securities	1	66	84
Loss (gain) on dispositions of subsidiaries	10,219	(2,585)
Impairment of available-for-sale securities		91	245
(Reversal of) impairment of hydrocarbon and resource properties	(8,945)	(8,566)	235,875
Share-based compensation	2,876
Deferred income taxes	3,141	1,454	(50,800)
Market value (increase) decrease on commodity inventories	(400)	4,273	1,910
Interest accretion	412	471	148
Credit losses	23,923	18,277	54,528
Write-offs of payables	(3,779)
Changes in operating assets and liabilities, net of effects of acquisitions and dispositions:
Short-term cash deposits		39	(33)
Short-term securities		3,997	80
Restricted cash		624	60
Receivables	30,188	(16,869)	57,608
Inventories	19,588	184,944	15,650
Deposits, prepaid and other	8,361	24,661	(8,596)
Assets held for sale	12,636
Short-term bank borrowings	(34,513)	34,707	(137,621)
Account payables and accrued expenses	(26,513)	(124,528)	(18,555)
Income tax liabilities	21	(1,576)	(975)
Accrued pension assets, net of obligations	(54)	43	(760)
Other	(1,064)	(407)	(6,674)
Cash flows (used in) provided by continuing operating activities	(3,197)	99,867	(95,048)
Cash flows from continuing investing activities:
Dispositions (purchases) of property, plant and equipment, net	4,783	(198)	(8,045)
Acquisition of intangible assets	(765)
Proceeds from sales of investments, net	526	10,138
Increase in loan receivables	(590)	(366)	(2)
Decrease in loan receivables	725	693	429
Acquisitions of subsidiaries, net of cash acquired	(44)	(23,926)
Dispositions of subsidiaries, net of cash and cash equivalents disposed of	(8,384)	48,796
Other	255	345	(943)
Cash flows (used in) provided by continuing investing activities	(3,494)	35,482	(8,561)
Cash flows from continuing financing activities:
Debt repayment	(42,253)	(186,286)	(68,707)
Debt borrowing		20,694	5,662
Cash paid under the plan of arrangement	(43)
Shares issued to non-controlling interests	1,177
Dividends paid to shareholders			(4,388)
Dividends paid to non-controlling interests	(1,601)	(1,683)	(1,236)
Cash flows used in continuing financing activities	(42,720)	(167,275)	(68,669)
Cash flows used in discontinued operating activities			(7,004)
Cash flows used in discontinued investing activities			(1,395)
Exchange rate effect on cash and cash equivalents	3,605	(37,540)	35,619
Decrease in cash and cash equivalents	(45,806)	(69,466)	(145,058)
Cash and cash equivalents, beginning of year	120,676	197,519	344,891
Cash and cash equivalents included in assets held for sale, net		(7,377)	(2,314)
Cash and cash equivalents, end of year	74,870	120,676	197,519
Cash and cash equivalents at end of year consisted of:
Cash	74,870	113,591	120,805
Money market and highly liquid funds		7,085	76,714
Cash and cash equivalents	74,870	120,676	197,519
Supplemental cash flows disclosure (see Note 27)
Interest received	1,079	3,632	4,233
Dividends received		6	7
Interest paid	(4,575)	(14,533)	(15,273)
Income taxes paid	$ (1,704)	$ (3,317)	$ (5,345)

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Nature of Business

12 Months Ended

Dec. 31, 2017

Disclosure For Nature Of Business [Abstract]

Nature of Business

Note 1. Nature of Business

On July 14, 2017, MFC Bancorp Ltd. (“Old MFC”), a corporation under the laws of British Columbia and MFC Bancorp Ltd. (“New MFC”), a corporation under the laws of the Cayman Islands, completed a plan of arrangement (the “Arrangement”) under the Business Corporations Act (British Columbia). Pursuant to the Arrangement, among other things: (i) The common shares of Old MFC (the “Old MFC Shares”) were consolidated on a 100 for 1 basis, with any resulting fractional shares being eliminated and, thereafter, such Old MFC Shares were split on a 1 for 20 basis (the “Share Consolidation/Split”); (ii) Old MFC’s stated shareholders’ capital was reduced by an amount equal to its retained deficit; and (iii) each Old MFC Share outstanding after the completion of the Share Consolidation/Split was exchanged for one common share of U.S. $0.001 par value each of New MFC and US$0.0001 per share in cash. In these consolidated financial statements, the numbers of shares and the earnings per share in the prior periods have been restated to reflect the Share Consolidation/Split.

As a result of the Arrangement, New MFC became a successor issuer to Old MFC for financial reporting purposes. The Arrangement was not a business combination, but an internal capital reorganization. Upon completion of the Arrangement, New MFC controls and operates the same assets and business as Old MFC. The Arrangement did not involve any change in the beneficial ownership of the group nor any change to the nature and scale of its operations, save for changing the place of incorporation of the holding company of the Group from Canada to the Cayman Islands. Accordingly, the consolidated financial statements of New MFC is a continuation of Old MFC’s existing and on-going activities with assets and liabilities at book values, and include Old MFC’s full results for the year, including comparatives. Unless the context otherwise indicates, references to the “Company” or “MFC Bancorp” are to New MFC.

MFC Bancorp and the entities it controls are collectively known as the “Group” in these consolidated financial statements. The Group is a merchant bank that provides financial services and facilitates structured trade for corporations and institutions. The Group commits its own capital to promising enterprises and invests and otherwise captures investment opportunities for its own account. The Group seeks to invest in businesses or assets whose intrinsic value is not properly reflected. The Group’s investing activities are generally not passive. The Group actively seeks investments where its financial expertise and management can add or unlock value.

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Basis of Presentation and Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2017

Disclosure Of Basis Of Presentation, Accounting Policies, Critical Accounting Estimates And Judgements [Abstract]

Basis of Presentation and Summary of Significant Accounting Policies

Note 2. Basis of Presentation and Summary of Significant Accounting Policies

A. Basis of Presentation

Basis of Accounting

These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (the “IASB”). MFC Bancorp complies with all the requirements of IFRS.

These consolidated financial statements were prepared using going concern, accrual (except for cash flow information) and historical cost (except for investment property and certain inventories, financial assets and financial liabilities which are measured at fair value and certain assets that are measured at fair value less costs to sell or of disposal) bases.

The presentation currency of these consolidated financial statements is the Canadian dollar ($), rounded to the nearest thousand (except per share amounts).

Principles of Consolidation

These consolidated financial statements include the accounts of MFC Bancorp and entities it controls. The Company controls an investee if and only if it has all the following: (a) power over the investee; (b) exposure, or rights, to variable returns from its involvement with the investee; and (c) the ability to use its power over the investee to affect the amount of its returns. When the Group holds, directly or indirectly, more than 50% of the voting power of the investee, it is presumed that the Group controls the investee, unless it can be clearly demonstrated that this is not the case. Subsidiaries are consolidated from the date of their acquisition, being the date on which the Group obtains control, and continue to be consolidated until the date that such control ceases. All intercompany balances and transactions, including unrealized profits arising from intragroup transactions, have been eliminated in full. Unrealized losses are eliminated unless the transaction provides evidence of an impairment of the asset transferred.

On the acquisition date, a non-controlling interest is measured at either its fair value or its proportionate share in the recognized amounts of the subsidiary’s identifiable net assets, on a transaction-by-transaction basis. Subsequently, non-controlling interest increases or decreases for its share of changes in equity since the acquisition date.

After initial consolidation of a subsidiary, when the proportion of equity held by non-controlling interests changes, the Group adjusts the carrying amounts of the controlling and non-controlling interests to reflect the changes in their relative interests in the subsidiary. The Group recognizes directly in equity any difference between the amount by which the non-controlling interests are adjusted and the fair value of the consideration paid or received and attributes such difference to the owners of MFC Bancorp.

When the Group loses control of a subsidiary it: (a) derecognizes (i) the assets (including any goodwill) and liabilities of the subsidiary at their carrying amounts at the date when control is lost and (ii) the carrying amount of any non-controlling interests in the former subsidiary at the date when control is lost (including any components of other comprehensive income attributable to them); (b) recognizes (i) the fair value of the consideration received, if any, from the transaction, event or circumstances that resulted in the loss of control, (ii) if the transaction, event or circumstances that resulted in the loss of control involves a distribution of shares of the subsidiary to owners in their capacity as owners, that distribution and (iii) any investment retained in the former subsidiary at its fair value at the date when control is lost; (c) reclassifies to profit or loss, or transfers directly to retained earnings if required by IFRS, the amounts recognized in other comprehensive income in relation to the subsidiary; and (d) recognizes any resulting difference as a gain or loss in profit or loss attributable to the owners of MFC Bancorp.

The financial statements of MFC Bancorp and its subsidiaries used in the preparation of the consolidated financial statements are prepared as of the same date, using uniform accounting policies for like transactions and other events in similar circumstances.

Foreign Currency Translation

The presentation currency of the Group’s consolidated financial statements is the Canadian dollar.

MFC Bancorp conducts its business throughout the world through its foreign operations. Foreign operations are entities that are subsidiaries, associates, joint arrangements or branches, the activities of which are based or conducted in countries or currencies other than those of MFC Bancorp. Functional currency is the currency of the primary economic environment in which an entity operates and is normally the currency in which the entity primarily generates and expends cash. Foreign currency is a currency other than the functional currency of the entity. The functional currencies of the Company and its subsidiaries and branches primarily comprise the Canadian dollar, Euro (“EUR” or “€”) and the United States dollar (“US$”).

Reporting foreign currency transactions in the functional currency

A foreign currency transaction is a transaction that is denominated or requires settlement in a foreign currency. A foreign currency transaction is recorded, on initial recognition in an entity’s functional currency, by applying to the foreign currency amount the spot exchange rate between the functional currency and the foreign currency at the date of the transaction. At the end of each reporting period: (a) foreign currency monetary items are translated using the closing rate; (b) non-monetary items denominated in a foreign currency that are measured in terms of historical cost are translated using the exchange rate at the date of the transaction; and (c) foreign currency non-monetary items that are measured at fair value are translated using the exchange rates at the date when the fair value was determined.

Exchange differences arising on the settlement of monetary items or on translating monetary items at rates different from those at which they were translated on initial recognition during the period or in previous periods are recognized in profit or loss in the period in which they arise, except for exchange differences arising on a monetary item that forms part of a reporting entity’s net investment in a foreign operation which are initially recorded in other comprehensive income in the consolidated financial statements and reclassified from equity to profit or loss on disposal of the net investment.

When a gain or loss on a non-monetary item is recognized in other comprehensive income, any exchange component of that gain or loss is recognized in other comprehensive income. Conversely, when a gain or loss on a non-monetary item is recognized in profit or loss, any exchange component of that gain or loss is recognized in profit or loss.

Use of a presentation currency other than the functional currency

When an entity presents its financial statements in a currency that differs from its functional currency, the results and financial position of the entity are translated into the presentation currency using the following procedures: (a) assets and liabilities for each statement of financial position presented are translated at the closing rate at the date of the statement of financial position; (b) income and expenses for each statement of operations presented are translated at exchange rates at the dates of the transactions or, for practical reasons, the average exchange rates for the periods when they approximate the exchange rates at the dates of the transactions; (c) individual items within equity are translated at either the historical exchange rates when practical or at the closing exchange rates at the date of the statement of financial position; and (d) all resulting exchange differences are recognized in other comprehensive income.

The following table sets out exchange rates for the translation of the Euro and U.S. dollar, which represented the major trading currencies of the Group, into the Canadian dollar:

	EUR		US$
Closing rate at December 31, 2017		1.5052		1.2545
Average rate for the year 2017		1.4650		1.2986
Closing rate at December 31, 2016		1.4169		1.3427
Average rate for the year 2016		1.4660		1.3248
Closing rate at December 31, 2015		1.5029		1.3840
Average rate for the year 2015		1.4182		1.2787

Fair Value Measurement

Certain assets and liabilities of the Group are measured at fair value (see Note 2B. Significant Accounting Policies).

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A fair value measurement is for a particular asset or liability. Therefore, when measuring fair value, the Group takes into account the characteristics of the asset or liability if market participants would take those characteristics into account when pricing the asset or liability at the measurement date. A fair value measurement assumes that the transaction to sell the asset or transfer the liability takes place either:

(a)   in the principal market for the asset or liability; or

(b)   in the absence of a principal market, in the most advantageous market for the asset or liability.

The Group measures the fair value of an asset or a liability using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest.

The Group uses valuation techniques that are appropriate in the circumstances and for which sufficient data is available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. IFRS 13, Fair Value Measurement (“IFRS 13”), establishes a fair value hierarchy that categorizes the inputs to valuation techniques used to measure fair value into three levels:

Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date.

Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly.

Level 3 inputs are unobservable inputs for the asset or liability.

Assessing the significance of a particular input to the fair value measurement in its entirety requires judgment, considering factors specific to the asset or liability.

Non-current Assets Held for Sale

A non-current asset (or disposal group) is classified as held for sale if its carrying amount will be recovered principally through a sale transaction rather than through continuing use. For this to be the case, the asset (or disposal group) must be available for immediate sale in its present condition subject only to terms that are usual and customary for the sale of such asset (or disposal group), the appropriate level of management must be committed to a plan to sell the asset (or disposal group) and an active program to locate a buyer and complete the plan must have been initiated. Further, the asset (or disposal group) must be actively marketed for sale at a price that is reasonable in relation to its current fair value and the sale is highly probable to complete within one year from the date of classification, except as permitted under certain events and circumstances. If the aforesaid criteria are no longer met, the Group ceases to classify the asset (or disposal group) as held for sale.

Non-current assets (and disposal groups) classified as held for sale are measured at the lower of their carrying amounts and fair values less costs to sell. The Group does not depreciate or amortize a non-current asset while it is classified as held for sale.

When the criteria for non-current assets held for sale are no longer met, the Group ceases to classify the asset (or disposal group) as held for sale. The Group measures a non-current asset (or disposal group) that ceases to be classified as held for sale at the lower of: (a) its carrying amount before the asset (or disposal group) was classified as held for sale, adjusted for any depreciation, amortization or revaluations that would have been recognized had the asset (or disposal group) not been classified as held for sale; and (b) its recoverable amount at the date of the subsequent decision not to sell.

Use of Estimates and Assumptions and Measurement Uncertainty

The timely preparation of the consolidated financial statements in conformity with IFRS requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management’s best estimates are based on the facts and circumstances available at the time estimates are made, historical experience, general economic conditions and trends and management’s assessment of probable future outcomes of these matters. Actual results could differ from these estimates and such differences could be material. For critical judgments in applying accounting policies and major sources of estimation uncertainty (see Notes 2C and 2D).

B. Significant Accounting Policies

(i) Financial Instruments

All financial assets and financial liabilities are classified by characteristic and/or management intent. Except for certain financial instruments which are excluded from the scope, all financial assets are classified into one of four categories: (a) at fair value through profit or loss; (b) held-to-maturity; (c) loans and receivables; and (d) available-for-sale, and all financial liabilities are classified into one of two categories: (a) at fair value through profit or loss; and (b) at amortized cost.

A financial asset or financial liability at fair value through profit or loss is a financial asset or financial liability that meets either of the following conditions: (a) it is classified as held for trading if it is (i) acquired or incurred principally for the purpose of selling or repurchasing it in the near term, (ii) part of a portfolio of identified financial instruments that are managed together and for which there is evidence of a recent actual pattern of short-term profit taking, or (iii) a derivative, except for a derivative that is a designated and effective hedging instrument; or (b) it is designated by the Group upon initial recognition as at fair value through profit or loss when certain conditions are met. Generally, a financial instrument cannot be reclassified out of the fair value through profit or loss category while it is held or issued, except in rare circumstances.

Available-for-sale financial assets are those non-derivative financial assets that are designated as available for sale, or that are not classified as loans and receivables, held-to-maturity investments, or at fair value through profit or loss.

Non-derivative financial liabilities are classified as financial liabilities measured at amortized cost.

When a financial asset or financial liability is recognized initially, the Group measures it at its fair value plus, in the case of a financial asset or financial liability not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition or issue of the financial asset or financial liability. Transaction costs related to the acquisition or issue of a financial asset or financial liability at fair value through profit or loss are expensed as incurred. The subsequent measurement of a financial instrument and the recognition of associated gains and losses are determined by the financial instrument classification.

After initial recognition, the Group measures financial assets, including derivatives that are assets, at their fair values, without any deduction for transaction costs it may incur on sale or other disposal, except for the following financial assets: (a) held-to-maturity investments which are measured at amortized cost using the effective interest method; (b) loans and receivables which are measured at amortized cost using the effective interest method; and (c) investments in equity instruments that do not have a quoted market price in an active market and whose fair value cannot be reliably measured and derivatives that are linked to and must be settled by delivery of such unquoted equity instruments which are measured at cost. All financial assets except those measured at fair value through profit or loss are subject to review for impairment.

After initial recognition, the Group measures all financial liabilities at amortized cost using the effective interest method, except for financial liabilities at fair value through profit or loss (including derivatives that are liabilities), which are measured at their fair values (except for derivative liabilities that are linked to and must be settled by delivery of unquoted equity instruments whose fair value cannot be reliably measured, which should be measured at cost).

Regular way purchases and sales of financial assets are accounted for at the settlement date.

A gain or loss on a financial asset or financial liability classified as at fair value through profit or loss is recognized in profit or loss for the period in which it arises. A gain or loss on an available-for-sale financial asset is recognized in other comprehensive income, except for impairment losses, until the financial asset is derecognized, at which time the cumulative gain or loss previously recognized in accumulated other comprehensive income is recognized in profit or loss for the period. For financial assets and financial liabilities carried at amortized cost, a gain or loss is recognized in profit or loss when the financial asset or financial liability is derecognized or impaired and through the amortization process.

Whenever quoted market prices are available, bid prices are used for the measurement of fair value of financial assets while ask prices are used for financial liabilities. When the market for a financial instrument is not active, the Group establishes fair value by using a valuation technique. Valuation techniques include using recent arm’s length market transactions between knowledgeable, willing parties, if available; reference to the current fair value of another financial instrument that is substantially the same; discounted cash flow analysis; option pricing models; and other valuation techniques commonly used by market participants to price the financial instrument.

(ii) Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, cash at banks and highly liquid investments (e.g. money market funds) readily convertible to a known amount of cash and subject to an insignificant risk of change in value. They have maturities of three months or less from the date of acquisition and are generally interest-bearing.

(iii) Securities

Securities are classified as at fair value through profit or loss (i.e. held for trading) or short-term or long-term available-for-sale securities.

Publicly-traded securities (debt and equity) which are acquired principally for the purpose of selling in the near term are classified as held for trading. Securities held for trading are measured at their bid prices on the reporting date.

Available-for-sale securities consist of publicly-traded securities and unlisted equity securities which are not held for trading and not held to maturity. Long-term available-for-sale securities are purchased with the intention to hold until market conditions render alternative investments more attractive. Short-term available-for-sale securities are held with the intention of management to sell within the current operating cycle but do not meet the definition of trading securities.

When a decline in the fair value of an available-for-sale security has been recognized in other comprehensive income and there is objective evidence that the asset is impaired, the cumulative loss that had been recognized in other comprehensive income is reclassified from equity to profit or loss as a reclassification adjustment even though the security has not been derecognized. A significant or prolonged decline in the fair value of an investment in an equity instrument below its cost is an objective evidence of impairment. The Group considers a decline in excess of 25 percent generally as significant and a decline in a quoted market price that persists for 15 months as prolonged. Impairment losses recognized in profit or loss for an investment in an equity instrument classified as available for sale shall not be reversed through profit or loss.

If, in a subsequent period, the fair value of a debt instrument classified as available for sale increases and the increase can be objectively related to an event occurring after the impairment loss was recognized in profit or loss, the impairment loss shall be reversed, with the amount of the reversal recognized in profit or loss.

Gains and losses on sales of securities are calculated on the average cost basis.

(iv) Securities and Financial Liabilities – Derivatives

A derivative is a financial instrument or other contract with all three of the following characteristics: (a) its value changes in response to the change in a specified interest rate, financial instrument price, product price, foreign exchange rate, index of prices or rates, credit rating or credit index, or other variable; (b) it requires no initial net investment or an initial net investment that is smaller than would be required for other types of contracts that would be expected to have a similar response to changes in market factors; and (c) it is settled at a future date. A derivative financial instrument is either exchange-traded or negotiated. A derivative financial instrument is included in the consolidated statement of financial position as a security (i.e. financial asset) or a financial liability and measured at fair value. The recognition and measurement of a derivative financial instrument under IAS 39, Financial Instruments: Recognition and Measurement (“IAS 39”), does not apply to a contract that is entered into and continues to be held for the purpose of the receipt or delivery of a non-financial item in accordance with the Group’s expected purchase, sale or usage requirements.

Derivatives embedded in other financial instruments or other host contracts are separated from the host contracts and accounted for separately as derivatives in the consolidated statement of financial position when their risks and characteristics are not closely related to those of the host contract.

Where the Group has both the legal right and intent to settle derivative assets and liabilities simultaneously with the counterparty, the net fair value of the derivative financial instruments is reported as an asset or liability, as appropriate.

Changes in the fair values of derivative financial instruments that do not qualify for hedge accounting are recognized in profit or loss as they arise.

(v) Receivables

Receivables are classified as loans and receivables and are measured at amortized cost.

Receivables are net of an allowance for credit losses, if any. The Group performs ongoing credit evaluations of its customers and adjusts the allowance accounts for specific customer risks and credit factors. Receivables are considered past due on an individual basis based on the terms of the contracts.

(vi) Allowance for Credit Losses

The Group applies credit risk assessment and valuation methods to its trade and other receivables. The Group’s allowance for credit losses is maintained at an amount considered adequate to absorb estimated credit-related losses. Such allowance reflects management’s best estimate of the losses in the Group’s receivables and judgments about economic conditions. Estimates and judgments could change in the near term, and could result in a significant change to a recognized allowance. Credit losses arise primarily from receivables but may also relate to other credit instruments issued by or on behalf of the Group, such as guarantees and letters of credit. An allowance for credit losses is increased by provisions, which are recognized in profit or loss and reduced by write-offs net of any recoveries.

Specific provisions are established on an individual receivable basis. Write-offs are generally recorded after all reasonable restructuring or collection activities have taken place and there is no realistic prospect of recovery.

If, in a subsequent period, the amount of an impairment loss decreases and the decrease is related objectively to an event occurring after the impairment was recognized, the previously recognized impairment loss is reversed either directly or by adjusting the allowance account.

(vii) Inventories

Inventories principally consist of raw materials, work-in-progress, and finished goods. Inventories, other than products acquired in commodity activities, are recorded at the lower of cost and net realizable value. Cost, where appropriate, includes an allocation of manufacturing overheads incurred in bringing inventories to their present location and condition and is assigned by using the first-in, first-out or weighted average cost formula, depending on the class of inventories. Net realizable value represents the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution. The amount of any write-down of inventories to net realizable value and all losses of inventories are recognized as an expense in the period the write-down or loss occurs. The reversal of a write-down of inventories arising from an increase in net realizable value is recognized as a reduction in the amount of costs of sales and services in the period in which the reversal occurs.

Commodity products acquired by the Group as a broker-trader in the Group’s merchant banking activities with the purpose of selling in the near future and generating a profit from fluctuations in price or broker-traders’ margin are measured at fair value less costs to sell.

(viii) Real Estate Held for Sale

Real estate held for sale is real estate intended for sale in the ordinary course of business or in the process of construction or development for such sale.

Real estate held for sale is accounted for as inventories measured at the lower of cost (on a specific item basis) and net realizable value. Net realizable value is estimated by reference to sale proceeds of similar properties sold in the ordinary course of business less all estimated selling expenses around the reporting date, or by management estimates based on prevailing market conditions. The amount of any write-down of properties to net realizable value is recognized as an expense in the period the write-down occurs. The reversal of a write-down arising from an increase in net realizable value is recognized in the period in which the reversal occurs.

All of the Group’s real estate held for sale is located in Europe.

(ix) Investment Property

Investment property is property that is held for generating rental income or for capital appreciation or both, rather than for: (a) use in the production or supply of goods or services or for administrative purposes; or (b) sale in the ordinary course of business. The Group’s investment property comprises freehold land and buildings. Investment property is initially recognized at cost including related transaction costs. After initial recognition, investment property is measured at fair value, with changes in fair value recognized in profit or loss in the period in which they arise.

The Group determines fair value without any deduction for transaction costs it may incur on sale or other disposal. Fair value of the Group’s investment property is based on valuations prepared annually by external evaluators in accordance with guidance issued by the International Valuation Standard Committee and reviewed by the Group, or these valuations are updated by management when there are no significant changes in the inputs to the valuation prepared by external evaluators in the preceding year, in accordance with guidance on fair value in IFRS 13.

(x) Property, Plant and Equipment

Property, plant and equipment are carried at cost, net of accumulated depreciation and, if any, accumulated impairment losses. The initial cost of an item of property, plant and equipment comprises its purchase price or construction cost, any costs directly attributable to bringing the asset into operation, the initial estimate of any decommissioning obligation, if any, and, for qualifying assets, borrowing costs. The purchase price or construction cost is the aggregate amount paid and the fair value of any other consideration given to acquire the asset. Where an item of property, plant and equipment or part of the item that was separately depreciated is replaced and it is probable that future economic benefits associated with the replacement item will flow to the Group, the cost of the replacement item is capitalized and the carrying amount of the replaced asset is derecognized. All other replacement expenditures are recognized in profit or loss when incurred.

Inspection costs associated with major maintenance programs are capitalized and amortized over the period to the next inspection. All other maintenance costs are expensed as incurred.

The depreciable amounts of the Group’s property, plant, and equipment (i.e. the costs of the assets less their residual values) are depreciated according to the following estimated useful lives and methods:

	Lives	Method
Buildings	20 years		straight-line
Processing plant and equipment	5 to 20 years		straight-line
Refinery and power plants	20 to 30 years		straight-line
Office equipment and other	3 to 10 years		straight-line

Depreciation expense is included in costs of sales and services or selling, general and administrative expense, whichever is appropriate.

The residual value and the useful life of an asset are reviewed at least at each financial year-end and, if expectations differ from previous estimates, the changes, if any, are accounted for as a change in an accounting estimate in accordance with IAS 8, Accounting Policies, Changes in Accounting Estimates and Errors. The depreciation method applied to an asset is reviewed at least at each financial year-end and, if there has been a significant change in the expected pattern of consumption of the future economic benefits embodied in the asset, the method is changed to reflect the changed pattern.

The carrying amount of an item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected to arise from the continued use of the asset. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the item) is included in profit or loss in the period in which the item is derecognized.

(xi) Interests in Resource Properties

The Group’s interests in resource properties comprise exploration and evaluation assets (comprising hydrocarbon probable reserves and hydrocarbon unproved lands), hydrocarbon development and production assets and an interest in an iron ore mine.

(a) Exploration and evaluation assets

Exploration and evaluation costs, including the costs of acquiring undeveloped land and drilling costs are initially capitalized until the drilling of the well is complete and the results have been evaluated in order to determine the technical feasibility and commercial viability of the asset. Technical feasibility and commercial viability are considered to be determinable when proved and/or probable reserves are determined to exist. When proved and/or probable reserves are found, the drilling costs and the costs of associated hydrocarbon unproved lands are reclassified to hydrocarbon development and production assets or from hydrocarbon unproved lands to hydrocarbon probable reserves. The cost of hydrocarbon undeveloped land that expires or any impairment recognized during a period is charged to profit or loss. Pre-license costs are recognized in profit or loss as incurred.

(b) Hydrocarbon development and production assets and an interest in an iron ore mine

The Group’s interests in resource properties include an interest in an iron ore mine and hydrocarbon development and production assets.

(1) Recognition and measurement

Interests in resource properties are initially measured at cost and subsequently carried at cost less accumulated depletion and, if any, accumulated impairment losses.

The cost of an interest in resource property includes the initial purchase price and directly attributable expenditures to find, develop, construct and complete the asset. This cost includes reclassifications from exploration and evaluation assets, installation or completion of infrastructure facilities such as platforms, pipelines and the drilling of development wells, including unsuccessful development or delineation wells. Any costs directly attributable to bringing the asset to the location and condition necessary to operate as intended by management and result in an identifiable future benefit are also capitalized. These costs include an estimate of decommissioning obligations and, for qualifying assets, capitalized borrowing costs.

(2) Subsequent costs

Costs incurred subsequent to the determination of technical feasibility and commercial viability and the costs of replacing parts of property are capitalized only when they increase the future economic benefits embodied in the specific asset to which they relate. Such capitalized costs generally represent costs incurred in developing proved reserves and bringing in, or enhancing production from, such reserves and are accumulated on a field or geotechnical area basis. All other expenditures are recognized in profit or loss as incurred. The costs of periodic servicing of the properties are recognized in costs of sales and services as incurred.

The carrying amount of any replaced or sold component is derecognized.

(3) Depletion

The carrying amount of an interest in a resource property is depleted using the unit of production method by reference to the ratio of production in the period to the related reserves.

For interests in hydrocarbon development and production assets, depletion is calculated based on proved producing reserves, taking into account estimated future development costs necessary to bring those reserves into production and the estimated salvage values of the assets at the end of their estimated useful lives. Future development costs are estimated taking into account the level of development required to continue to produce the reserves. Reserves for hydrocarbon development and production assets are estimated annually by independent qualified reserve evaluators and represent the estimated quantities of natural gas, natural gas liquids and crude oil which geological, geophysical and engineering data demonstrate with a specified degree of certainty to be recoverable in future years from known reservoirs and which are considered commercially producible. For depletion purposes, relative volumes of petroleum and natural gas production and reserves are converted at the energy equivalent conversion rate of six thousand cubic feet of natural gas to one barrel of crude oil.

For the royalty interest in an iron ore mine, depletion is calculated based on proved and probable reserves. The estimate of the reserves of iron ore is reviewed whenever significant new information about the reserve is available, or at least at each financial year-end.

(xii) Impairment of Non-financial Assets

The Group reviews the carrying amounts of its non-financial assets at each reporting date to determine whether there is any indication of impairment. If any such indication exists, an asset’s recoverable amount is estimated.

The recoverable amount is the higher of an asset’s fair value less costs of disposal and value in use. Where an individual asset does not generate separately identifiable cash flows, an impairment test is performed at the cash-generating unit (“CGU”) level. A CGU is the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. Where the carrying amount of an asset (or CGU) exceeds its recoverable amount, the asset (or CGU) is considered impaired and written down to its recoverable amount. In assessing value in use, the estimated future cash flows are discounted to their present value using a discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs of disposal, an appropriate valuation model is used. These calculations are corroborated by external valuation metrics or other available fair value indicators wherever possible.

An assessment is made at the end of each reporting period whether there is an indication that previously recognized impairment losses no longer exist or have decreased. If such indication exists, an estimate of the assets (or CGU’s) recoverable amount is reviewed. A previously recognized impairment loss is reversed to the extent that the events or circumstances that triggered the original impairment have changed. The reversal is limited so that the carrying amount of the asset does not exceed its recoverable amount, nor exceed the carrying amount that would have been determined, net of depreciation, depletion and amortization, had no impairment loss been recognized for the asset in prior periods. A reversal of an impairment loss for a CGU is allocated to the assets of the CGU pro-rata with the carrying amounts of those assets.

Hydrocarbon probable reserves are tested for impairment when they are reclassified to hydrocarbon development and production assets or when indicators exist that suggest the carrying amount may exceed the recoverable amount. For purposes of impairment testing, hydrocarbon probable reserves are grouped with related producing resource properties as a CGU with common geography and geological characteristics.

Unproved lands are evaluated for indicators separately from hydrocarbon development and production assets and hydrocarbon probable reserves. Impairment is assessed by comparing the carrying amount of unproved lands to values determined by an independent land evaluator based on recent market transactions. Management also takes into account future plans for those properties, the remaining terms of the leases and any other factors that may be indicators of potential impairment.

(xiii) Defined Benefit Pension Plan

Prior to October 1, 2017, the Group had defined benefit pension plans.

The Group recognizes an accrued pension obligation, which represents the deficit of a defined benefit pension plan and is calculated by deducting the fair value of plan assets from the present value of the defined benefit obligations, in the consolidated statement of financial position. When the Group has a surplus in a defined benefit plan, it measures the net defined benefit asset at the lower of: (a) the surplus in the defined benefit plan; and (b) the asset ceiling. The Group accounts not only for its legal obligation under the formal terms of a defined benefit plan, but also for any constructive obligation that arises from the Group’s informal practices. An asset relating to one plan is not offset against a liability relating to another plan.

The Group uses the projected unit credit method to determine the present value of its defined benefit obligations and the related current service cost and, where applicable, past service cost. Actuarial assumptions are unbiased and mutually compatible and comprise demographic and financial assumptions.

Past service cost, which is the change in the present value of the defined benefit obligation for employee service in prior periods resulting from a plan amendment or curtailment, is recognized as an expense at the earlier of when the amendment/curtailment occurs or when the Group recognizes related restructuring or termination costs. The gain or loss on a settlement, which is the difference between the present value of the defined benefit obligation being settled and the settlement price, is recognized in profit or loss when the settlement occurs.

Current service cost and net interest on the accrued pension obligation are recognized in profit or loss.

Remeasurements of the accrued pension obligation, which comprise actuarial gains and losses, the return on plan assets (excluding amounts included in net interest on the net defined benefit liability (asset)) and any change in the effect of the asset ceiling (excluding amounts included in net interest on the net defined benefit liability (asset)), are recognized in other comprehensive income and are not reclassified to profit or loss in a subsequent period.

(xiv) Provisions and Contingencies

Provisions are recognized when the Group has a present obligation as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. Provisions are measured at management’s best estimate of the expenditure required to settle the obligation at the reporting date. Where appropriate, the future cash flow estimates are adjusted to reflect risks specific to the liability. If the effect of the time value of money is material, provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. Where discounting is used, the increase in the provision due to the passage of time is recorded as accretion and included in finance costs.

Contingent liabilities are possible obligations whose existence will only be confirmed by future events not wholly within the control of the Group. Contingent liabilities, other than those assumed in connection with business combinations which are measured at fair value at the acquisition date, are not recognized in the consolidated financial statements but are disclosed unless the possibility of an outflow of economic resources is considered remote. Legal costs in connection with a loss contingency are recognized in profit or loss when incurred.

The Group does not recognize a contingent or reimbursement asset unless it is virtually certain that the contingent or reimbursement asset will be received.

(xv) Puttable Instrument Financial Liabilities

A puttable financial instrument represents a contractual obligation for the issuer to repurchase or redeem the instrument for cash or another financial asset on exercise of the put. Puttable instruments held by non-controlling interests in a subsidiary are classified as a financial liability, which is recognized at an amount equal to the present value of the amount that could be required to be paid to the counterparties. Changes in the measurement of the obligation due to the unwinding of the discount or changes in the amount that the Group could be required to pay are recognized in profit or loss.

The financial liability is reclassified to equity when all the features of and conditions for classification as equity are met. At such time, equity is measured at the carrying amount of the financial liability at the date of reclassification.

(xvi) Decommissioning Obligations

The Group provides for decommissioning, restoration and similar liabilities (collectively, decommissioning obligations) on its resource properties, facilities, production platforms, pipelines and other facilities based on estimates established by current legislation and industry practices. The decommissioning obligation is initially measured at fair value and capitalized to interests in resource properties or property, plant and equipment as an asset retirement cost. The liability is estimated by discounting expected future cash flows required to settle the liability using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. The estimated future asset retirement costs are adjusted for risks such as project, physical, regulatory and timing. The estimates are reviewed periodically. Changes in the provision as a result of changes in the estimated future costs or discount rates are added to or deducted from the asset retirement cost in the period of the change. The liability accretes for the effect of time value of money until it is settled. The capitalized asset retirement cost is amortized through depreciation, depletion and amortization over the estimated useful life of the related asset. Actual asset retirement expenditures are recorded against the obligation when incurred. Any difference between the accrued liability and the actual expenditures incurred is recorded as a gain or loss in the settlement period.

(xvii) Own Equity Instruments

The Group’s holdings of its own equity instruments, including common stock and preferred stock, are presented as “treasury stock” and deducted from shareholders’ equity at cost and in the determination of the number of equity shares outstanding. No gain or loss is recognized in profit or loss on the purchase, sale, re-issue or cancellation of the Group’s own equity instruments.

(xviii) Revenue Recognition

Revenues include proceeds from sales of merchant banking products and services, real estate properties, medical instruments and supplies, rental income on investment property, interest and dividend income and net gains on securities. In an agency relationship, revenue is the amount of commission earned.

Revenue from the sale of goods is recognized when: (a) the Group has transferred to the buyer the significant risks and rewards of ownership of the goods (which generally coincides with the time when the goods are delivered to the buyer and title has passed); (b) the Group retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold; (c) the amount of revenue can be measured reliably; (d) it is probable that the economic benefits associated with the transaction will flow to the Group; and (e) the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Revenue from the rendering of services is recognized when: (a) the amount of revenue can be measured reliably; (b) it is probable that the economic benefits associated with the transaction will flow to the Group; (c) the stage of completion of the transaction at the reporting date can be measured reliably; and (d) the costs incurred for the transaction and the costs to complete the transaction can be measured reliably.

Revenue is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business, net of discounts, customs duties and sales taxes. When the Group charges shipping and handling fees to customers, such fees are included in sales revenue. Where the Group acts as an agent on behalf of a third party to procure or market goods, any associated fee income is recognized and no purchase or sale is recorded.

Interest, royalty and dividend income are recognized when it is probable that economic benefits will flow to the Group and the amount of income can be measured reliably. Interest income is recognized using the effective interest method. Royalty income is recognized on an accrual basis in accordance with the substance of the relevant agreements. Dividend income is recognized when the Group’s right as a shareholder to receive payment is established.

(xix) Costs of Sales and Services

Costs of sales and services include the costs of goods (merchant banking products and services, real estate properties, medical instruments and supplies) sold. The costs of goods sold include both the direct cost of materials and indirect costs, freight charges, purchasing and receiving costs, inspection costs, distribution costs and a provision for warranty when applicable.

Costs of sales and services also include write-downs of inventories, net loss on securities, credit losses on loans and receivables and fair value gain and loss on investment property, commodity inventories and derivative contracts.

The reversal of write-downs of inventories and allowance for credit losses reduces the costs of sales and services.

(xx) Employee Benefits

Wages, salaries, bonuses, social security contributions, paid annual leave and sick leave are accrued in the period in which the associated services are rendered by employees of the Group. The employee benefits are included in costs of sales and services or selling, general and administrative expenses, as applicable.

(xxi) Leases

A lease is classified as an operating lease if it does not transfer substantially all the risks and rewards incidental to ownership of the leased asset. Operating lease payments are expensed in profit or loss over the term of the lease on a straight line basis.

(xxii) Share-Based Compensation

The cost of equity-settled transactions with employees is measured by reference to the fair value of the equity instruments on the date at which the equity instruments are granted and is recognized as an expense over the vesting period, which ends on the date on which the relevant employees become fully entitled to the award. Fair value is determined by using an appropriate valuation model. At each reporting date before vesting, the cumulative expense is calculated, representing the extent to which the vesting period has expired and management’s best estimate of the achievement or otherwise of non-market conditions and the number of equity instruments that will ultimately vest. The movement in cumulative expense since the previous reporting date is recognized in profit or loss, with a corresponding amount in equity.

When the terms of an equity-settled award are modified or a new award is designated as replacing a cancelled or settled award, the cost based on the original award terms continues to be recognized over the original vesting period. In addition, an expense is recognized over the remainder of the new vesting period for the incremental fair value of any modification, based on the difference between the fair value of the original award and the fair value of the modified award, both as measured on the date of the modification. No reduction is recognized if this difference is negative. When an equity-settled award is cancelled other than by forfeiture when the vesting conditions are not satisfied, it is treated as if it had vested on the date of cancellation and any cost not yet recognized in profit or loss for the award is expensed immediately.

Share-based compensation expenses are included in selling, general and administrative expenses. When stock options are exercised, the exercise price proceeds together with the amount initially recorded in contributed surplus are credited to capital stock.

(xxiii) Finance Costs

Finance costs comprise interest expense on borrowings, accretion of the discount on provisions, decommissioning obligations and other liabilities and charges and fees relating to factoring transactions.

Finance costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use. All other finance costs are recognized in profit or loss in the period in which they are incurred.

Capital stock and debt are recorded at the amount of proceeds received, net of direct issue costs (transaction costs). The transaction costs attributable to debt issued are amortized over the debt term using the effective interest method.

(xxiv) Income Taxes

Income tax expense (recovery) comprises current income tax expense (recovery) and deferred income tax expense (recovery) and includes all domestic and foreign taxes which are based on taxable profits. The current income tax provision is based on the taxable profits for the period. Taxable profit differs from income before income taxes as reported in the statements of operations because it excludes items of income or expense that are taxable or deductible in other periods and items that are never taxable or deductible. The Group’s liability for current income tax is calculated using tax rates that have been enacted or substantively enacted by the reporting date. Deferred income tax is provided, using the liability method, on all temporary differences at the reporting date between the tax bases of assets and liabilities and their carrying amounts in the consolidated statement of financial position.

Deferred income tax liabilities are recognized for all taxable temporary differences:

-       except where the deferred income tax liability arises on goodwill that is not tax deductible or the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss.

-       in respect of taxable temporary differences associated with investments in subsidiaries and branches, except where the Group is able to control the timing of the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future.

Deferred income tax assets are recognized for all deductible temporary differences, carry-forward of unused tax credits and unused tax losses, to the extent that it is probable that taxable profit will be available against which the deductible temporary differences and the carry-forward of unused tax credits and unused tax losses can be utilized:

-       except where the deferred income tax asset arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss.

-       in respect of deductible temporary differences associated with investments in subsidiaries and branches, deferred tax assets are recognized only to the extent that it is probable that the temporary differences will reverse in the foreseeable future.

On the reporting date, management reviews the Group’s deferred income tax assets to determine whether it is probable that the benefits associated with these assets will be realized. The Group also reassesses unrecognized deferred income tax assets. The review and assessment involve evaluating both positive and negative evidence. The Group recognizes a previously unrecognized deferred income tax asset to the extent that it has become probable that future taxable profit will allow the deferred income tax asset to be recovered.

Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted at the reporting date. Tax relating to items recognized in other comprehensive income or equity is recognized in other comprehensive income or equity and not in profit or loss.

Deferred income tax assets and liabilities are offset when there is a legally enforceable right to set off current income tax assets against current income tax liabilities, and when they relate to income tax levied by the same taxation authority and the Group intends to settle its current income tax assets and liabilities on a net basis.

Withholding taxes (which include withholding taxes payable by a subsidiary on distributions to the Group) are treated as income taxes when they have the characteristics of an income tax. This is considered to be the case when they are imposed under government authority and the amount payable is calculated by reference to revenue derived.

The Group includes interest charges and penalties on current income tax liabilities as a component of interest expense.

(xxv) Earnings Per Share

Basic earnings per share is determined by dividing net income attributable to ordinary equity holders of MFC Bancorp by the weighted average number of common shares outstanding during the period, net of treasury stock.

Diluted earnings per share is determined using the same method as basic earnings per share, except that the weighted average number of common shares outstanding includes the effect of dilutive potential ordinary shares. For the purpose of calculating diluted earnings per share, the Group assumes the exercise of its dilutive options with the assumed proceeds from these instruments regarded as having been received from the issue of common shares at the average market price of common shares during the period. The difference between the number of common shares issued and the number of common shares that would have been issued at the average market price of common shares during the period is treated as an issue of common shares for no consideration and added to the weighted average number of common shares outstanding. The amount of the dilution is the average market price of common shares during the period minus the issue price and the issue price includes the fair value of services to be supplied to the Group in the future under the share-based payment arrangement. Potential ordinary shares are treated as dilutive when, and only when, their conversion to ordinary shares would decrease earnings per share or increase loss per share from continuing operations.

When share-based payments are granted during the period, the shares issuable are weighted to reflect the portion of the period during which the payments are outstanding. The shares issuable are also weighted to reflect forfeitures occurring during the period. When stock options are exercised during the period, shares issuable are weighted to reflect the portion of the period prior to the exercise date and actual shares issued are included in the weighted average number of shares outstanding from the exercise date.

(xxvi) Business Combinations

The Group accounts for each business combination by applying the acquisition method. Pursuant to the acquisition method, the Group, when a business combination occurs and it is identified as the acquirer, determines the acquisition date (on which the Group legally transfers the consideration, acquires the assets and assumes the liabilities of the acquiree), recognizes and measures the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquiree, and recognizes and measures goodwill or a gain from a bargain purchase (i.e. negative goodwill). The identifiable assets acquired and the liabilities assumed are measured at their acquisition-date fair values. A non-controlling interest is measured at either its fair value or its proportionate share in the recognized amounts of the subsidiary’s identifiable net assets, on a transaction-by-transaction basis.

The consideration transferred in a business combination is measured at fair value, which is calculated as the sum of the acquisition-date fair values of the assets transferred by the Group, the liabilities incurred by the Group to former owners of the acquiree and the equity interests issued by the Group.

In a business combination achieved in stages, the Group remeasures its previously held equity interest in the acquiree at its acquisition-date fair value and recognizes the resulting gain or loss, if any, in profit or loss.

If the initial accounting for a business combination is incomplete by the end of the reporting period in which the combination occurs, the Group reports in its financial statements provisional amounts for the items for which the accounting is incomplete. During the measurement period, the Group retrospectively adjusts the provisional amounts recognized at the acquisition date to reflect new information obtained about facts and circumstances that existed as of the acquisition date and, if known, would have affected the measurement of the amounts recognized as of that date. During the measurement period, the Group also recognizes additional assets or liabilities if new information is obtained about facts and circumstances that existed as of the acquisition date and, if known, would have resulted in the recognition of those assets and liabilities as of that date. The measurement period ends as soon as the Group receives the information it was seeking about facts and circumstances that existed as of the acquisition date or learns that more information is not obtainable. However, the measurement period does not exceed one year from the acquisition date.

Acquisition-related costs are costs the Group incurs to effect a business combination. Those costs include finder’s fees; advisory, legal, accounting, valuation and other professional or consulting fees; general administrative costs, including the costs of maintaining an internal acquisitions department; and costs of registering and issuing debt and equity securities. The Group accounts for acquisition-related costs as expenses in the periods in which the costs are incurred and the services are received, except for the costs to issue debt or equity securities (see Significant Accounting Policy Item (xxiii) above).

C. Critical Judgments in Applying Accounting Policies

In the process of applying the Group’s accounting policies, management makes various judgments, apart from those involving estimations under Note 2D below, that can significantly affect the amounts it recognizes in the consolidated financial statements. The following are the critical judgments that management has made in the process of applying the Group’s accounting policies and that have the most significant effects on the amounts recognized in the consolidated financial statements:

(i) Identification of Cash-generating Units

The Group’s assets are aggregated into CGUs, for the purpose of assessing and calculating impairment, based on their ability to generate largely independent cash flows. The determination of CGUs requires judgment in defining the smallest identifiable group of assets that generate cash inflows that are largely independent of the cash inflows from other assets or groups of assets. CGUs have been determined based on similar geological structure, shared infrastructure, geographical proximity, product type and similar exposure to market risks. In the event facts and circumstances surrounding factors used to determine the Group’s CGUs change, the Group will re-determine the groupings of CGUs.

(ii) Assets Held for Sale and Discontinued Operations

The Group applies judgment to determine whether an asset (or disposal group) is available for immediate sale in its present condition and that its sale is highly probable and therefore should be classified as held for sale at the balance sheet date. In order to assess whether it is highly probable that the sale can be completed within one year, or the extension period in certain circumstances, management reviews the business and economic factors, both macro and micro, which include the industry trends and capital markets, and the progress towards a sale transaction. It is also open to all forms of sales, including exchanges of non-current assets for other non-current assets when the exchange will have commercial substance in accordance with IAS 16, Property, Plant and Equipment.

A discontinued operation is a component of an entity (which comprises operations and cash flows that can be clearly distinguished, operationally and, for financial reporting purposes, from the rest of the entity) that either has been disposed of or is classified as held for sale. While a component of the entity has distinguished financial data, judgments must be exercised on the presentation of inter-company transactions between components that are presented as discontinued operations and those that are presented as continuing operations. Furthermore, the allocation of income tax expense (recovery) also involves the exercise of judgments as the tax position of continuing operations may have an impact on the tax position of discontinued operations, or vice versa.

(iii) Consolidation

Judgment is required when assessing whether the Group controls and therefore consolidates an entity, particularly an entity with complex share capital, management/decision-making or financing structures. Judgment is required to determine whether the Group has decision-making power over the key relevant activities of an investee, whether the Group has exposure or rights to variable returns from its involvement with the investee and whether the Group has the ability to use that power to affect its returns.

(iv) Purchase Price Allocations

For each business combination, the Group measures the identifiable assets acquired and the liabilities assumed at their acquisition-date fair values. The determination of fair value requires the Group to make assumptions, estimates and judgments regarding future events, including the profit forecast of the new subsidiary in the future. The allocation process is inherently subjective and impacts the amounts assigned to individual identifiable assets and liabilities, including the fair value of long-lived assets, the recognition and measurement of any unrecorded intangible assets and/or contingencies and the final determination of the amount of goodwill or bargain purchase. The inputs to the exercise of judgments include legal, contractual, business and economic factors. As a result, the purchase price allocation impacts the Group’s reported assets and liabilities and future net earnings due to the impact on future depreciation, depletion and amortization and impairment tests.

(v) Impairment of Receivables

A receivable is considered impaired when there is objective evidence that there has been a deterioration of credit quality subsequent to the initial recognition of the receivable to the extent the Group no longer has reasonable assurance as to the timely collection of the full amount of principal and interest. The Group assesses receivables for objective evidence of impairment individually for receivables that are individually significant, and collectively for receivables that are not individually significant. Management exercises judgment as to the timing of designating a receivable as impaired, the amount of the allowance required and the amount that will be recovered by taking into consideration collateral that is directly linked to the receivable.

D. Major Sources of Estimation Uncertainty

The timely preparation of the consolidated financial statements requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses.

The major assumptions about the future and other major sources of estimation uncertainty at the end of the reporting period that have a significant risk of resulting in a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below. These items require management’s most difficult, subjective or complex estimates. Actual results may differ materially from these estimates.

(i) Interests in Resource Properties and Reserve Estimates

The Group had interests in resource properties with an aggregate carrying amount of  $92,551 as at December 31, 2017.

Estimation of reported recoverable quantities of proved and probable reserves include judgmental assumptions regarding production profile, prices of products produced, exchange rates, remediation costs, timing and amount of future development costs and production, transportation and marketing costs for future cash flows. It also requires interpretation of geological and geophysical models in anticipated recoveries. The economical, geological and technical factors used to estimate reserves may change from period to period. Changes in reported reserves can impact the carrying amounts of the Group’s interests in resource properties and/or property, plant and equipment, the recognition of impairment losses and reversal of impairment losses, the calculation of depletion and depreciation, the provision for decommissioning obligations and the recognition of deferred income tax assets or liabilities due to changes in expected future cash flows. The recoverable quantities of reserves and estimated cash flows from the Group’s hydrocarbon interests are independently evaluated by reserve engineers at least annually.

The Group’s hydrocarbon reserves represent the estimated quantities of petroleum, natural gas and natural gas liquids which geological, geophysical and engineering data demonstrate with a specified degree of certainty to be economically recoverable in future years from known reservoirs and which are considered commercially producible. Such reserves may be considered commercially producible if management has the intention of developing and producing them and such intention is based upon: (a) a reasonable assessment of the future economics of such production; (b) a reasonable expectation that there is a market for all or substantially all the expected hydrocarbon production; and (c) evidence that the necessary production, transmission and transportation facilities are available or can be made available. Reserves may only be considered proven and probable if producibility is supported by either production or conclusive formation tests.

Included in interests in resource properties as at December 31, 2017, were exploration and evaluation assets with an aggregate carrying amount of  $21,702. Exploration and evaluation assets are assessed for impairment when facts and circumstances suggest that the carrying amount of an exploration and evaluation asset may exceed its recoverable amount and upon reclassification to hydrocarbon development and production assets. If such indicators exist, impairment, if any, is determined by comparing the carrying amounts to the recoverable amounts. The measurement of the recoverable amount involves a number of assumptions, including the timing, likelihood and amount of commercial production, further resource assessment plans and future revenue and costs expected from the asset, if any.

(ii) Impairment of Other Non-financial Assets

The Group had property, plant and equipment aggregating $83,954 as at December 31, 2017, consisting mainly of two power plants and a natural gas processing facility. Impairment of the Group’s non-financial assets is evaluated at the CGU level. In testing for impairment, the recoverable amounts of the Company’s CGUs are determined as the higher of their values in use and fair values less costs of disposal. In the absence of quoted market prices, the recoverable amount is based on estimates of future production rates, future product selling prices and costs, discount rates and other relevant assumptions. Increases in future costs and/or decreases in estimates of future production rates and product selling prices may result in a write-down of the Group’s property, plant and equipment.

(iii) Taxation

The Group is subject to tax in a number of jurisdictions and judgment is required in determining the worldwide provision for income taxes. Deferred income taxes are recognized for temporary differences using the liability method, with deferred income tax liabilities generally being provided for in full (except for taxable temporary differences associated with investments in subsidiaries, branches and associates and interests in joint arrangements where the Group is able to control the timing of the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future) and deferred income tax assets being recognized to the extent that it is probable that future taxable profits will be available against which the temporary differences can be utilized.

The operations and organization structures of the Group are complex, and related tax interpretations, regulations and legislation are continually changing. As a result, there are usually some tax matters in question that result in uncertain tax positions. The Group only recognizes the income tax benefit of an uncertain tax position when it is probable that the ultimate determination of the tax treatment of the position will result in that benefit being realized.

The Group companies’ income tax filings are subject to audit by taxation authorities in numerous jurisdictions. There are audits in progress and items under review, some of which may increase the Group’s income tax liabilities. In addition, the companies have filed appeals and have disputed certain issues. While the results of these items cannot be ascertained at this time, the Group believes that the Group has an adequate provision for income taxes based on available information.

The Group recognized deferred income tax assets of  $16,694 as at December 31, 2017. In assessing the realizability of deferred income tax assets, management considers whether it is probable that some portion or all of the deferred income tax assets will be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible or before tax loss and tax credit carry-forwards expire. Management considers the future reversals of existing taxable temporary differences, projected future taxable income, taxable income in prior years and tax planning strategies in making this assessment. Unrecognized deferred income tax assets are reassessed at the end of each reporting period.

The Group provides for future income tax liabilities in respect of uncertain tax positions where additional income tax may become payable in future periods and such provisions are based on management’s assessment of exposure. The Group did not recognize the full deferred tax liability on taxable temporary differences associated with investments in subsidiaries and branches where the Group is able to control the timing of the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future. The Group may change its investment decision in its normal course of business, thus resulting in additional income tax liabilities.

(iv) Contingencies

Pursuant to IAS 37, Provisions, Contingent Liabilities and Contingent Assets, the Group does not recognize a contingent liability. By their nature, contingencies will only be resolved when one or more future events occur or fail to occur. The assessment of contingencies inherently involves the exercise of significant judgment and estimates of the outcome of future events. If it becomes probable that an outflow of future economic benefits will be required for an item previously accounted for as a contingent liability, an accrual or a provision is recognized in the consolidated financial statements of the period in which the change in probability occurs. See Note 26 for further disclosures on contingencies.

(v) Allowance for Credit Losses

The Group applies credit risk assessment and valuation methods to its trade and other receivables (see Note 2B(vi)). In February 2016, a customer of the Group filed for insolvency, which was an adjusting subsequent event in 2015 under IAS 10, and, as a result, the Group had to determine an allowance for credit losses against the trade receivables due from the customer and its affiliates, the provisions under certain guarantees which the Group had issued and the potential recoveries as at December 31, 2015. The recognition and measurement of these provisions was a complex process, involving a significant degree of judgment and a high level of estimation uncertainty. The factors considered include the Group’s legal rights and obligations under all the contracts and collateral which include inventories, mortgages and other credit enhancement instruments. After the recognition of impairment losses, the Group had net trade receivables of  $21,375 due from the customer and its affiliates as at December 31, 2017 (see Note 7).

E. Accounting Changes

Future Accounting Changes

IFRS 9, Financial Instruments, (“IFRS 9”), issued in July 2014, is the IASB’s replacement for IAS 39. IFRS 9 includes requirements for recognition and measurement, impairment, derecognition and general hedge accounting. The version of IFRS 9 issued in 2014 supersedes all previous versions and is mandatorily effective for annual reporting periods beginning on or after January 1, 2018. Management completed its assessment of the impacts of IFRS 9 on the Group’s consolidated financial statements and does not expect that IFRS 9 will have significant impacts on the Group’s consolidated financial statements except for additional disclosures. Accumulated other comprehensive income of  $526 on available-for-sale equity securities will be reclassified to opening deficit upon the initial adoption of IFRS 9. In accordance with the transition rules of IFRS 9, the Group will not restate its consolidated financial statements for prior periods but will recognize the difference between the previous carrying amount and the revised carrying amount on initial application of IFRS9 in opening deficit as at January 1, 2018.

IFRS 15, Revenue from Contracts with Customers (“IFRS 15”), specifies how and when an entity will recognize revenue as well as requiring such entities to provide users of financial statements with more informative, relevant disclosures. The standard provides a single, principles based five-step model to be applied to all contracts with customers. IFRS 15 is effective for annual reporting periods beginning on or after January 1, 2018. Management completed its assessment of the impacts of IFRS 15 on the Group’s consolidated financial statements and does not expect that IFRS 15 will have significant impacts on the Group’s consolidated financial statements except for additional disclosures.

IFRS 16, Leases (“IFRS 16”), issued in January 2016, introduces a single on-balance sheet model of accounting for leases by lessees that eliminates the distinction between operating and finance leases. Lessor accounting remains largely unchanged and the distinction between operating and finance leases is retained. IFRS 16 supersedes IAS 17, Leases, and related interpretations and is effective for annual reporting periods beginning on or after January 1, 2019, with earlier application permitted if IFRS 15 has also been applied. Management will adopt IFRS 16 in 2019 and is currently assessing the impacts of IFRS 16 on the Group’s consolidated financial statements.

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Capital Disclosure on the Group's Objectives, Policies and Processes for Managing Its Capital

12 Months Ended

Dec. 31, 2017

Disclosure of objectives, policies and processes for managing capital [abstract]

Capital Disclosure on the Group's Objectives, Policies and Processes for Managing Its Capital Structure

Note 3.   Capital Disclosure on the Group’s Objectives, Policies and Processes for Managing Its Capital

Structure

The Group’s objectives when managing capital are to: (a) safeguard the entity’s ability to continue as a going concern so that it can continue to provide returns for shareholders and benefits for other stakeholders; (b) provide an adequate return to shareholders by pricing products and services commensurately with the level of risk; and (c) maintain a flexible capital structure which optimizes the cost of capital at acceptable risk.

The Group sets the amount of capital in proportion to risk. The Group manages the capital structure and makes adjustments to it in light of changes in economic conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the Group may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt.

Consistent with others in the merchant banking industry, the Group monitors capital on the basis of the debt-to-adjusted capital ratio and long-term debt-to-equity ratio. The debt-to-adjusted capital ratio is calculated as net debt divided by adjusted capital. Net debt is calculated as total debt less cash and cash equivalents. Adjusted capital comprises all components of shareholders’ equity. The long-term debt-to-equity ratio is calculated as long-term debt divided by shareholders’ equity. Debt does not include short-term bank borrowings.

As at December 31:	2017	2016
Total debt	$      43,733	$    116,813
Less: cash and cash equivalents	(74,870)	(120,676)
Net debt	Not applicable	Not applicable
Shareholders’ equity	277,780	327,520
Debt-to-adjusted capital ratio	Not applicable	Not applicable

As at December 31:	2017	2016
Long-term debt	$          —	$      80,564
Shareholders’ equity	277,780	327,520
Long-term debt-to-equity ratio	Not applicable	0.25

During 2017, the Group’s strategy, which was unchanged from 2016, was to maintain the debt-to-adjusted capital ratio and the long-term debt-to-equity ratio at a manageable level. The decrease in the ratios in 2017 (i.e. not applicable) reflects the reduction in debt. The terms and conditions of the Group’s debt agreements include, and future debt agreements may include, covenants and restrictions of a customary nature for such agreements.

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Acquisitions of Consolidated Entities

12 Months Ended

Dec. 31, 2017

Disclosure of detailed information about business combination [abstract]

Acquisitions of Consolidated Entities

Note 4. Acquisitions of Consolidated Entities

Year 2017

Effective October 1, 2017, the Group completed the acquisition of a metal processing company based in Europe. Pursuant to the transaction, the Group acquired the company which equaled the fair values of the identifiable assets acquired and the liabilities assumed on the closing date. Goodwill of  $502 was recognized upon the acquisition of the metal processing company. The amount of acquisition-related costs was nominal, which was included in selling, general and administrative expenses in profit or loss. This acquisition was not considered a material business combination and did not have material impact on the Group’s financial position.

Year 2016

Effective February 1, 2016, the Group completed the acquisition of a western European bank, MFC Merchant Bank Ltd. (the “Bank”). Pursuant to the transaction, the Group acquired the Bank for total purchase consideration of  $142,419 which equaled the fair values of the identifiable assets acquired and the liabilities assumed on the closing date. There were no goodwill or intangible assets acquired. The amount of acquisition-related costs was nominal, which was included in selling, general and administrative expenses in profit or loss. This acquisition was not considered a material business combination and did not have material impact on the Group’s financial position.

Year 2015

There were no business combinations in 2015.

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Assets Classified as Held for Sale and Discontinued Operations

12 Months Ended

Dec. 31, 2017

Disclosure Of Assets Classified As Held For Sale And Discontinued Operation [Abstract]

Assets Classified as Held for Sale and Discontinued Operations

Note 5. Assets Classified as Held for Sale and Discontinued Operations

In 2015, the Board of Directors of the Company approved a plan to sell all of the Group’s resource properties. The assets of the disposal groups were classified as assets held for sale effective September 30, 2015 in compliance with IFRS 5, Non-current Assets Held for Sale and Discontinued Operations.

On June 30 and September 30, 2016, the Group ceased to classify the remaining disposal groups as held for sale as the criteria for assets classified as held for sale were no longer met. Accordingly, the results of operations of these disposal groups for the years ended December 31, 2015 have been reclassified to continuing operations.

On December 31, 2016, the Group reclassified the assets and liabilities of a commodities trading subsidiary as held for sale. The sale was completed in 2017.

The major assets and liabilities of the commodities trading subsidiary as at December 31, 2016 comprised the following:

Current assets	$	42,293
Non-current assets		3,374
Total assets held for sale		45,667
Debt		(20,140)
Other liabilities		(9,757)
Total liabilities relating to assets held for sale		(29,897)
Net assets held for sale	$	15,770

The Group’s discontinued operations for the year ended December 31, 2015 comprised certain hydrocarbon properties and an iron ore interest, both of which were included in the Company’s merchant banking reportable business segment.

The following summarizes the results of the discontinued operations for the year ended December 31, 2015. The Group did not have discontinued operations in 2017 and 2016.

	2015			2015
	Hydrocarbon  properties			Iron ore  interest
Revenues		$	62,384		$	—
Costs and expenses			(215,779)			(27,397)
Loss before income taxes			(153,395)			(27,397)
Income tax expense			(48,623)			—
Net loss from discontinued operations			(202,018)			(27,397)
Loss on disposal of assets			—			—
Income tax expense			(11,987)			—
Net loss on disposal of assets			(11,987)			—
Total loss from discontinued operations		$	(214,005)		$	(27,397)

All intercompany transactions with continuing operations, except for those that have continued subsequent to dispositions, have been eliminated. Costs and expenses for the years ended December 31, 2015 included the following non-cash impairment losses (before income taxes) on tangible assets and resource properties:

	2015
Hydrocarbon properties		$	148,877
Interest in an iron ore development project			27,397
Gross impairment		$	176,274

Hydrocarbon properties

In September 2015, the Group’s realized pricing for natural gas, natural gas liquids and oil had declined since December 31, 2014. As such, as at September 30, 2015, the Group performed an impairment assessment on its hydrocarbon properties utilizing post-tax discount rates between 10% and 13% and recognized total non-cash impairment losses of  $143,609. As a result of the impairment charge, a previously recorded deferred tax asset of  $50,918 had to be written off. The non-cash impairment losses comprised $46,715 allocated to development and production assets, $16,108 to probable reserves, $33,114 to property, plant and equipment and $47,672 to the properties previously included in assets held for sale. Of the gross impairment losses of  $143,609, impairment losses of  $47,672 were included in continuing operations, with the remaining impairment losses of  $95,937 (before an associated deferred income tax expense of  $50,918) attributable to discontinued operations. In the fourth quarter of 2015, the Group recognized an additional impairment loss of  $52,940 in discontinued operations.

On December 30, 2015, the Group sold a 95% economic interest in certain hydrocarbon assets and the related liabilities to a third party for nominal and contingent consideration. Based on the terms of the transaction, the Group continued to be the registered holder of the entities holding these assets and liabilities but lost the power to direct the business activities of these entities. As such, effective December 30, 2015 the Group ceased consolidating these entities (the former subsidiaries). No gain or loss was recognized upon the disposition. However, a deferred income tax expense of  $11,987 was recognized resulting from the write-off of previously recognized deferred income tax assets. Furthermore, as a result of the deconsolidation of the former subsidiaries, a net receivable of  $11,600 due from the former subsidiaries was recognized as at December 31, 2015 as the amount was no longer eliminated within the Group and was included in assets held for sale. The remaining economic interest was recognized at a nominal value as at December 31, 2015.

Interest in an iron ore development project

In the third quarter of 2015, the Group reviewed the cash flow projections for the iron ore development project located in the United States. Given the reduced viability of this project, high capital cost to complete requisite studies and management’s business focus on trade finance banking activities, management determined that an impairment loss of  $27,397 was required, before a deferred income tax recovery of  $nil, as at September 30, 2015, to write down the carrying amount of its interest to a nominal amount. The impairment loss was included in the results of discontinued operations. The interest was sold during 2016.

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Business Segment Information

12 Months Ended

Dec. 31, 2017

Disclosure of operating segments [abstract]

Business Segment Information

Note 6. Business Segment Information

The Group is primarily in the merchant banking business, which includes marketing activities, captive supply assets, financial services and proprietary investing activities.

In reporting to management, the Group’s operating results are categorized into the following operating segments: merchant banking and all other segments.

Basis of Presentation

In reporting segments, certain of the Group’s business lines have been aggregated where they have similar economic characteristics and are similar in each of the following areas: (a) the nature of the products and services; (b) the methods of distribution; and (b) the types or classes of customers/clients for the products and services.

The Group’s merchant banking segment includes its marketing activities, captive supply assets, structured solutions, financial services and proprietary investing activities. The Group is a merchant bank that provides financial services and facilitates structured trade for corporations and institutions. The Group specializes in markets that are not adequately addressed by traditional sources of supply and finance, with an emphasis on providing solutions for small and medium sized enterprises. The Group’s merchant banking business operates in multiple geographies, and participates in industries including manufacturing and natural resources. The Group also seeks investments in many industries, emphasizing those business opportunities where the perceived intrinsic value is not properly recognized. The Group uses its financial and management expertise to add or unlock value within a relatively short time period.

The all other segment includes the Group’s corporate and operating segments whose quantitative amounts do not exceed 10% of any of the Group’s: (a) reported revenue; (b) net income; or (c) total assets. The Group’s all other operating segment primarily includes business activities in medical equipment, instruments, supplies and services.

The accounting policies of the operating segments are the same as those described in the summary of significant accounting policies in Note 2B. The chief operating decision maker evaluates performance on the basis of income or loss from operations before income taxes and does not consider acquisition accounting adjustments in assessing the performance of the Group’s reporting segments. The segment information presented below is prepared according to the following methodologies: (a) revenues and expenses directly associated with each segment are included in determining pre-tax earnings; (b) intersegment sales and transfers are accounted for as if the sales or transfers were to third parties at current market prices; (c) certain selling, general and administrative expenses paid by corporate, particularly incentive compensation and share-based compensation, are not allocated to reporting segments; (d) all intercompany investments, receivables and payables are eliminated in the determination of each segment’s assets and liabilities; and (e) deferred income tax assets and liabilities are not allocated.

All data and discussions on revenues, expenses, income and loss in this Note 6 relate to the Group’s continuing operations only and do not include discontinued operations.

Segment Operating Results

	Year ended December 31, 2017
	Merchant  banking			All other			Total
Revenues from external customers		$	256,412		$	17,623		$	274,035
Intersegment sale			1,668			204			1,872
Interest expense			4,931			—			4,931
Loss before income taxes			(28,254)			(10,153)			(38,407)

	Year ended December 31, 2016
	Merchant  banking			All other			Total
Revenues from external customers		$	1,095,896		$	35,761		$	1,131,657
Intersegment sale			1,975			360			2,335
Interest expense			15,751			—			15,751
Loss before income taxes			(13,785)			(2,921)			(16,706)

	Year ended December 31, 2015
	Merchant  banking			All other			Total
Revenues from external customers		$	1,593,879		$	35,221		$	1,629,100
Intersegment sale			1,705			175			1,880
Interest expense			17,631			11			17,642
Loss before income taxes			(290,342)			(453)			(290,795)

	As at December 31, 2017
	Merchant  banking			All other			Total
Segment assets		$	343,649		$	53,298		$	396,947

	As at December 31, 2016
	Merchant  banking			All other			Total
Segment assets (recast)		$	589,017		$	61,321		$	650,338

	As at December 31, 2017
	Merchant  banking			All other			Total
Segment liabilities		$	106,713		$	10,285		$	116,998

	As at December 31, 2016
	Merchant  banking			All other			Total
Segment liabilities (recast)		$	306,206		$	14,702		$	320,908

Geographic Information

Due to the highly integrated nature of international products and services, merchant banking activities and markets, and a significant portion of the Group’s activities requiring cross-border coordination in order to serve the Group’s customers and clients, the methodology for allocating the Group’s profitability to geographic regions is dependent on estimates and management judgment.

Geographic results are generally determined as follows:

Segment	Basis for attributing revenues
Merchant banking	Locations of external customers or the reporting units, whichever is appropriate
All other	Locations of the reporting units

Due to the nature of cross-border business, the Group presents its geographic information by geographic regions, instead of by countries. The following table presents revenues from external customers attributed to MFC Bancorp’s country of domicile and all foreign geographic regions from which the Group derives revenues:

Years ended December 31:	2017			2016			2015
Cayman Islands (country of domicile since July 2017)		$	—		$	—		$	—
Canada (country of domicile until July 2017)			19,595			28,328			77,199
Germany (country generating the largest revenues)			122,643			280,552			473,835
Africa			4,283			32,519			26,376
Americas			22,446			256,598			309,217
Asia			14,894			113,821			176,766
Europe			90,174			419,839			564,669
Other			—			—			1,038
		$	274,035		$	1,131,657		$	1,629,100

Except for the geographic concentrations as indicated in the above table, there were no other revenue concentrations in 2017, 2016 and 2015.

The following table presents non-current assets other than financial instruments, deferred income tax assets and other non-current assets by geographic area based upon the location of the assets. The table excludes assets classified as held for sale under IFRS 5.

As at December 31:	2017			2016
Canada (country having the largest non-current assets)		$	144,452		$	138,281
Africa			32,258			31,710
Americas			—			876
Asia			889			6,957
Europe			52,501			49,464
		$	230,100		$	227,288

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Trade Receivables

12 Months Ended

Dec. 31, 2017

Trade and other receivables [abstract]

Trade Receivables

Note 7. Trade Receivables

As at December 31:	2017			2016
Trade receivables, gross amount		$	43,207		$	194,450
Less: Allowance for credit losses			(8,948)			(58,488)
Trade receivables, net amount		$	34,259		$	135,962

Trade receivables primarily arise from merchant banking activities.

The Group has two non-recourse factoring arrangements with banks for trade receivables (see Note 15).

As at December 31, 2017, trade receivables of  $11,352 (2016: $25,949) were past due but not impaired. The aging analyses of these trade receivables as at December 31, 2017 and 2016 are as follows:

Past-due	2017			2016
Below 30 days		$	7,322		$	6,767
Between 31 and 60 days			728			1,847
Between 61 and 90 days			1,175			799
Between 91 and 365 days			1,813			16,491
Over 365 days			314			45
		$	11,352		$	25,949

As at December 31, 2017, trade receivables of  $30,337 (2016: $156,243) were impaired and an allowance for credit losses of  $8,948 (2016: $58,488) has been provided. Not all past-due account balances are uncollectible as most of the accounts are covered by credit insurance or other collection procedures. Credit risk from trade account receivables is mitigated since they are credit insured, covered by letters of credit, bank guarantees and/or other credit enhancements (see Note 29).

The aging analyses of impaired trade receivables as at December 31, 2017 and 2016 are as follows:

Past-due	2017			2016
Below 30 days		$	—		$	7,690
Between 31 and 60 days			—			489
Between 61 and 90 days			—			745
Between 91 and 365 days			—			131,946
Over 365 days			30,337			15,373
			30,337			156,243
Allowance for credit losses			(8,948)			(58,488)
Expected recoverable amount of impaired trade receivables(1)		$	21,389		$	97,755

(1)      The recoverable amount of impaired trade receivables is covered by credit insurance, bank guarantees and/or other credit enhancements and, therefore, management of the Group believes this entire net amount to be collectible in the ordinary course of business.

The Group considers credit mitigation instruments when measuring credit impairment and determining the allowance for credit losses. The movements in the allowance for credit losses during the years ended December 31, 2017 and 2016 were as follows:

	2017			2016
Balance, beginning of the year		$	58,488		$	21,210
Additions			12,213			46,601
Reversals			(1,541)			(1,185)
Write-offs			(7,726)			(1,529)
Disposition of subsidiaries			(33,999)			—
Other			(21,099)			(5,123)
Currency translation adjustment			2,612			(1,486)
Balance, end of the year		$	8,948		$	58,488

In February 2016, a customer of the Group filed for insolvency. This was an adjusting subsequent event under IAS 10 and, as a result, the Group had to determine an allowance for credit losses against the Group’s trade receivables due from this customer and its affiliates (the “customer group”) as at December 31, 2015. As at December 31, 2015, the Group had gross trade receivables of  $103,300 due from the customer group as well as other contracts with such customer. The Group conducted an extensive assessment of impairment losses on these trade receivables. This assessment involved a number of judgments and a high level of estimation uncertainty. The factors considered in these estimates include the Group’s legal rights and obligations under all related contracts and collateral, which include inventories, mortgages, insurance of collateral and other credit enhancement instruments. The Group recognized an allowance for credit losses of  $10,705 in connection with the customer group as at December 31, 2015. After the recognition of such impairment losses, the Group had net trade receivables of  $92,595 due from the customer group as at December 31, 2015.

During the year ended December 31, 2016, the Group received proceeds of  $39,149 from risk mitigation assets, of which $35,121 was credited to profit or loss through a recovery of credit losses and the remainder was credited to trade receivables.

As at December 31, 2016, management of the Group reviewed the underlying contracts, legal documents, credit enhancement instruments and collateral to assess the recoverability of the outstanding amounts. This assessment required management to make certain assumptions regarding possible future outcomes and carries a degree of estimation uncertainty. While management of the Group believes that these receivables are collectable, a wide range of possible outcomes were considered in its analysis, which resulted in a probability-weighted valuation below the gross carrying amount. Therefore, management of the Group recognized a cumulative allowance for credit losses of $43,943 in connection with this former customer group as at December 31, 2016, including an additional provision of  $33,301 which was recognized during the second quarter of 2016. The resulting carrying amount was most sensitive to the assumptions regarding the likelihood of recovering amounts based on the various sources of collateral. The timing of the resolution of the uncertainty related to the recoverability of these receivables was dependent on the legal processes being followed to recovering these amounts. After the recognition of such impairment losses, the Group had net trade receivables of $100,008 due from this former customer group as at December 31, 2016.

During 2017, management of the Group continued to monitor and asses the collectability of the receivables. As a result of such reviews, the Group reversed and credited an allowance of  $1,541 to profit or loss in the third quarter. During the fourth quarter, the Group disposed of certain subsidiaries which had trade receivables due from this former customer group (see Note 27). Furthermore, the Group increased the valuation allowance by $224 based on its revision of expected future cash flows. As such, the Group had net trade receivables of  $21,375 due from this former customer group as at December 31, 2017.

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Other Receivables

12 Months Ended

Dec. 31, 2017

Disclosure Of Other Current Receivables [Abstract]

Other Receivables

Note 8. Other Receivables

As at December 31:	2017			2016
Royalty income		$	4,525		$	4,000
Receivables from insurance company/supplier			—			2,110
Suppliers with debit balance			293			9,670
Loans			321			7,763
Other			16,551			11,708
		$	21,690		$	35,251

Other receivables primarily arise in the normal course of business and are expected to be collected within one year from the reporting date.

Royalty income receivables included $5,300 due from the former operator of the Wabush mine which commenced Companies’ Creditors Arrangement Act (Canada) (the “CCAA”) proceedings in 2015. In July 2017, the former operator sold the mine assets to a new operator. The new operator mine has disclosed its intention to re-commence mining operations and has remitted the quarterly minimum payments since the second quarter of 2017 to the Group. Future minimum payments by the new operator are not subject to the CCAA Proceedings. Management of the Group reviewed the facts relating to the royalty receivable due from the former operator with its legal advisors and determined that there was a high probability of recovery as the payments were held in trust in accordance with a court order and the Group’s assessment that the former operator’s application was without merit. However, the court issued a judgment in March 2018, which was not in favor of the Group and the Group is in the process of appealing the same. As a result of such initial court judgment, the Group has provided $1,425 as a valuation allowance for the royalty income receivables.

In addition, during the year ended December 31, 2017, other receivables of  $10,324, mainly relating to finance and loan receivables from a former hydrocarbon subsidiary, (2016: $11,296) were written off.

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Inventories

12 Months Ended

Dec. 31, 2017

Disclosure Of Inventories [Abstract]

Inventories

Note 9. Inventories

As at December 31:	2017			2016
Raw materials		$	3,632		$	5,404
Work-in-progress			3,444			289
Finished goods			1,440			10,488
Commodity inventories			1,310			15,184
Other			—			589
		$	9,826		$	31,954
Comprising:
Inventories contracted at fixed prices or hedged		$	1,475		$	21,071
Inventories – other			8,351			10,883
		$	9,826		$	31,954

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Deposits, Prepaid and Other

12 Months Ended

Dec. 31, 2017

Disclosure Of Deposits Prepaid And Other [Abstract]

Deposits, Prepaid and Other

Note 10. Deposits, Prepaid and Other

As at December 31:	2017			2016
Prepayments and deposits for inventories		$	303		$	11,117
Other			2,075			1,078
		$	2,378		$	12,195

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Investment Property

12 Months Ended

Dec. 31, 2017

Disclosure of detailed information about investment property [abstract]

Investment Property

Note 11. Investment Property

All of the Group’s investment property is located in Europe.

Changes in investment property included in non-current assets:	2017			2016
Balance, beginning of year		$	35,663		$	37,873
Change in fair value during the year			(26)			(39)
Disposals			(194)			—
Currency translation adjustments			2,217			(2,171)
Balance, end of year		$	37,660		$	35,663

The amounts recognized in profit or loss in relation to investment property during the years ended December 31, 2017, 2016 and 2015 are as follows:

Years ended December 31:	2017			2016			2015
Rental income		$	1,510		$	1,511		$	1,474
Direct operating expenses (including repairs and maintenance) arising from investment property that generated rental income during the year			256			226			279

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Property, Plant and Equipment

12 Months Ended

Dec. 31, 2017

Disclosure of detailed information about property, plant and equipment [abstract]

Property, Plant and Equipment

Note 12. Property, Plant and Equipment

The following changes in property, plant and equipment were recorded during the year ended December 31, 2017:

Costs	Opening balance			Additions			Disposals			Dispositions of subsidiaries*			Reclassified from inventories			Impairments			Currency translation adjustments			Ending balance
Land and buildings		$	944		$	26		$	—		$	(1,221)		$	—		$	—		$	251		$	—
Refinery and power plants			91,392			—			—			—			3,786			—			(2,744)			92,434
Processing plant and equipment			18,880			987			(8,678)			57			—			(7,863)			320			3,703
Office equipment			5,189			300			(1,343)			(3,163)			—			—			152			1,135
		$	116,405		$	1,313		$	(10,021)		$	(4,327)		$	3,786		$	(7,863)		$	(2,021)		$	97,272

*      Net of acquisition of a subsidiary

Accumulated depreciation	Opening balance			Additions			Disposals			Dispositions of subsidiaries			Impairments			Currency translation adjustments			Ending balance
Land and buildings		$	208		$	344		$	—		$	(598)		$	—		$	46		$	—
Refinery and power plants			9,308			2,267			—			—			—			(528)			11,047
Processing plant and equipment			3,545			1,377			(2,294)			(27)			(1,223)			248			1,626
Office equipment			3,901			384			(1,118)			(2,639)			—			117			645
			16,962		$	4,372		$	(3,412)		$	(3,264)		$	(1,223)		$	(117)			13,318
Carrying amount		$	99,443																	$	83,954

The following changes in property, plant and equipment were recorded during the year ended December 31, 2016:

Costs	Opening balance			Additions			Disposals			Dispositions of subsidiaries*			Reclassified from assets held for sale			Reclassified to assets held for sale			Reclassified from resource properties			Currency translation adjustments			Ending balance
Land and buildings		$	5,890		$	119		$	—		$	(324)		$	—		$	(4,745)		$	—		$	4		$	944
Refinery and power plants			67,336			—			—			—			20,255			—			5,000			(1,199)			91,392
Processing plant and equipment			34,548			3,194			(262)			(25,340)			8,128			(646)			—			(742)			18,880
Office equipment			8,515			770			(22)			(2,918)			—			(237)			—			(919)			5,189
		$	116,289		$	4,083		$	(284)		$	(28,582)		$	28,383		$	(5,628)		$	5,000		$	(2,856)		$	116,405

*      Net of acquisition of a subsidiary

Accumulated depreciation	Opening balance			Additions			Disposals			Dispositions of subsidiaries			Reclassified to assets held for sale			Currency translation adjustments			Ending balance
Land and buildings		$	1,600		$	367		$	—		$	(139)		$	(1,663)		$	43		$	208
Refinery and power plants			6,860			2,641			—			—			—			(193)			9,308
Processing plant and equipment			8,392			5,403			—			(9,283)			(421)			(546)			3,545
Office equipment			3,692			880			—			(727)			(170)			226			3,901
			20,544		$	9,291		$	—		$	(10,149)		$	(2,254)		$	(470)			16,962
Carrying amount		$	95,745																	$	99,443

A power plant with a carrying amount of  $26,412 was temporarily idle as of December 31, 2017. Subsequent to the year end, the power plant was vandalized and incurred damage. The Group expects to recover all restoration expenditures through insurance, except the deductible amount of  $350, which will be capitalized and included in the carrying amount of the power plant when incurred.

During the year ended December 31, 2017, 2016 and 2015 respectively, $nil, $nil and $3,948 of expenditures were recognized in the carrying amounts of items of property, plant and equipment in the course of their construction.

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Interests in Resource Properties

12 Months Ended

Dec. 31, 2017

Disclosure Of Interests In Resource Properties [Abstract]

Interests in Resource Properties

Note 13. Interests in Resource Properties

The Group’s interests in resource properties as at December 31, 2017 and 2016 comprised the following:

	2017			2016
Interest in an iron ore mine		$	30,000		$	30,000
Hydrocarbon development and production assets			40,849			29,692
Exploration and evaluation assets – hydrocarbon probable reserves			12,367			9,416
Exploration and evaluation assets – hydrocarbon unproved lands			9,335			10,039
		$	92,551		$	79,147

The movements in the interest in the iron ore mine and hydrocarbon development and production assets included in non-current assets during the year ended December 31, 2017 were as follows:

Costs	Opening balance			Decommissioning obligations			Reversal of impairment losses			Ending balance
Interest in an iron ore mine		$	30,000		$	—		$	—		$	30,000
Hydrocarbon development and production assets			32,353			254			13,264			45,871
		$	62,353		$	254		$	13,264		$	75,871

Accumulated depreciation	Opening balance			Additions			Reversal of impairment losses			Ending balance
Interest in an iron ore mine		$	—		$	—		$	—		$	—
Hydrocarbon development and production assets			2,661			2,361			—			5,022
			2,661		$	2,361		$	—			5,022
Carrying amount		$	59,692								$	70,849

The movements in the interest in the iron ore mine and hydrocarbon development and production assets included in non-current assets during the year ended December 31, 2016 were as follows:

Costs	Opening balance			Decommissioning obligations			Reclassification to refinery and power plants			Reclassified from assets held for sale			Reversal of impairment losses			Ending balance
Interest in an iron ore mine		$	—		$	—		$	—		$	30,000		$	—		$	30,000
Hydrocarbon development and production assets			—			(4,988)			(5,000)			34,669			7,672			32,353
		$	—		$	(4,988)		$	(5,000)		$	64,669		$	7,672		$	62,353

Accumulated depreciation	Opening balance			Additions			Reclassification			Reclassified from assets held for sale			Reversal of impairment losses			Ending balance
Interest in an iron ore mine		$	—		$	—		$	—		$	—		$	—		$	—
Hydrocarbon development and production assets			—			2,661			—			—			—			2,661
			—		$	2,661		$	—		$	—		$	—			2,661
Carrying amount		$	—														$	59,692

The movements in exploration and evaluation assets included in hydrocarbon probable reserves and unproved lands, respectively, during the year ended December 31, 2017 and 2016 were as follows:

	2017						2016
	Probable  reserves			Unproved  lands			Probable  reserves			Unproved  lands
Balance, beginning of year		$	9,416		$	10,039		$	—		$	—
Additions			—			—			—			790
Disposal			—			(74)			—			—
Reclassifications from assets held for sale			—			—			7,732			10,039
Reversal (recognition) of impairment (losses)			2,951			(630)			1,684			(790)
Balance, end of year		$	12,367		$	9,335		$	9,416		$	10,039

Interest in an iron ore mine

The Group’s lease of the Canadian iron ore mine expires in 2055. The iron ore deposit is currently sub-leased to a third-party entity under certain lease agreements which will also expire in 2055. Pursuant and subject to the terms of the lease agreements, the Group collects royalty payments directly from a third-party operator based on a pre-determined formula, with a minimum payment not to be less than $3,250 per year.

In the first quarter of 2015, the former operator of the mine commenced proceedings under the Companies’ Creditors Arrangement Act (Canada) (the “CCAA”) with respect to its Canadian operations and publicly disclosed that its assets comprising the mine would be included in any sales process.

In the third quarter of 2015, the long-term price curve of iron ore continued to deteriorate. Management of the Group reviewed the underlying legal documents and performed a sensitivity analysis on the expected future cash flows from its royalty interest. Consideration was given to reasonably possible scenarios, including the Group exercising its step-in rights and re-taking the mine. The primary factors which impact the recoverable amount, among others, are the number of years of production, iron ore pricing and/or production costs. Each possible scenario was assigned a probability. Based on the cash flows projections, management determined that total non-cash impairment losses of  $218,203 were required, before a deferred income tax recovery of  $54,305, as at September 30, 2015, to write down the carrying amount of the Group’s interest to a nominal amount. In the fourth quarter of 2015, the Group reversed the previously recognized impairment losses by $30,000 and recognized a related deferred tax liability of  $7,800. Such reversal of the previously recognized impairment losses reflected the improvements in the expected future cash flows under possible scenarios, using a pre-tax discount rate of 9% and taking into consideration events that occurred subsequent to the third quarter of 2015.

In 2017, a third party (the new operator) acquired the mine out of CCAA proceedings.

There were no impairment losses on the Group’s interest in the iron ore mine for the years ended December 31, 2017 and 2016.

Hydrocarbon properties

The Group owns hydrocarbon properties in western Canada. The majority of such operations are located in the Deep Basin fairway of the Western Canada Sedimentary Basin. The Group’s hydrocarbon development and production assets include producing natural gas wells, non-producing natural gas wells, producing oil wells and non-producing oil wells, but do not include a land position that includes net working interests in undeveloped acreage and properties containing probable reserves only, both of which are included in exploration and evaluation assets.

The recoverable amounts of the Group’s hydrocarbon CGUs are determined whenever facts and circumstances provide impairment indicators. CGU’s are mainly determined based upon the geographical region of the Group’s producing properties. The recoverable amounts of each CGU are based on the future post-tax cash flows expected to be derived from the Group’s hydrocarbon properties using a fair value less costs of disposal methodology (Level 3 fair value hierarchy). The post-tax cash flow projections incorporate management’s best estimates of future natural gas prices, production based on current estimates of recoverable reserves and resources, exploration potential, future operating costs, non-expansionary capital expenditures and inflation. Natural gas pricing included in the cash flow projections beyond five years is based on historical volatility and consensus analyst pricing. Projected cash flows are discounted using a post-tax discount rate which reflects current market assessments of the time value of money and the risks specific to the hydrocarbon properties for which the future cash flow estimates have not been adjusted.

On December 31, 2016, the Group performed an impairment assessment on its hydrocarbon properties utilizing a post-tax discount rate of 10% and recognized a net non-cash reversal of impairment losses of $8,566, of which $7,672 were allocated to development and production assets and $1,684 to probable reserves and an impairment loss of  $790 was allocated to unproved lands. The related deferred income tax expense for 2016 was $2,526. The impairment losses recognized and included in continuing operations for the year ended December 2015 were $47,672, with related deferred income taxes of  $nil (see Note 5).

On December 31, 2017, the Group performed an impairment assessment on its hydrocarbon properties utilizing a post-tax discount rate of 11% and recognized a net non-cash reversal of impairment losses of $15,585, of which $13,264 were allocated to development and production assets and $2,951 to probable reserves and an impairment loss of  $630 was allocated to unproved lands.

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Deferred Income Tax Assets and Liabilities

12 Months Ended

Dec. 31, 2017

Disclosure Of Deferred Tax Assets And Liabilities [Abstract]

Deferred Income Tax Assets and Liabilities

Note 14. Deferred Income Tax Assets and Liabilities

The tax effect of temporary differences and tax loss carry-forwards that give rise to significant components of the Group’s deferred income tax assets and liabilities are as follows:

As at December 31:	2017			2016
Non-capital tax loss carry-forwards		$	18,450		$	24,308
Interests in resource properties			(10,536)			(10,370)
Other assets			2,237			5,304
Other liabilities			(3,760)			(9,948)
		$	6,391		$	9,294
Presented on the consolidated statements of financial position as follows:
Deferred income tax assets		$	16,694		$	16,647
Deferred income tax liabilities			(10,303)			(7,353)
Net		$	6,391		$	9,294

As at December 31, 2017, the Group had estimated accumulated non-capital losses, which expire in the following countries as follows. Management is of the opinion that not all of these non-capital losses are probable to be utilized in the future.

Country	Gross amount			Amount for which no deferred income tax asset is recognized	Expiration dates
Canada		$	24,075	$         —	2033-2036
Germany			2,554	—	Indefinite
Austria			340,600	340,600	Indefinite
Uganda			51,563	46,253	Indefinite
Malta			98,354	70,056	Indefinite

The utilization of the deferred tax assets is dependent on future taxable profits in excess of the profits arising from the reversal of existing taxable temporary differences and the Group companies have suffered losses in either the current or preceding period(s) in the tax jurisdictions to which the deferred tax assets relate.

As previously disclosed, a former affiliate received notices of tax reassessments from taxation authorities relating to prior periods, which denied certain deductions, losses and credits in the computation of income taxes payable. The former affiliate objected to such reassessment notices and appealed the federal assessment in court. Based on, among other things, the Group’s consultation with its advisors and review of the reassessments, the material facts related thereto and the subject transactions, management determined that the probability of the reassessments being successful in court was remote. Accordingly, the Group did not record any liability in prior years in connection with such reassessments. While the Group is not a party to these proceedings, there can be no assurance that the former affiliate will be successful and, if unsuccessful, that there will not be potential claims made against the Group in relation thereto.

The Group companies’ income tax and payroll tax filings are also subject to audit by taxation authorities in numerous jurisdictions. There are audits in progress and items under review, some of which may increase the Group’s income tax and payroll tax liability. In the event that management’s estimate of the future resolution of these matters changes, the Group will recognize the effects of the changes in its consolidated financial statements in the appropriate period relative to when such changes occur.

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Short-term Bank Borrowings

12 Months Ended

Dec. 31, 2017

Disclosure Of Short Term Borrowings [Abstract]

Short-term Bank Borrowings

Note 15. Short-term Bank Borrowings

Short-term bank borrowings are repayable within a year from the borrowing date. They are used to finance the Group’s day-to-day merchant banking business.

As at December 31:	2017			2016
Credit facilities from banks		$	2,074		$	95,416

As at December 31, 2017, the Group had credit facilities aggregating $29,000 as follows: (a) non-recourse factoring lines for receivables financing of  $19,600; (b) a refinancing line at the Group’s bank subsidiary of $7,500; and (c) a commodity hedging credit facility of  $1,900 which allows management to hedge industrial metals and products for the Group’s production subsidiaries. All these facilities are renewable on a yearly basis or usable until further notice.

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Debt

12 Months Ended

Dec. 31, 2017

Disclosure Of Debt Securities [Abstract]

Debt

Note 16. Debt

Certain of the Group’s subsidiaries have entered into long-term debt agreements with numerous banks and financial institutions. These agreements, which include customary terms and conditions in accordance with industry standards for unsecured facilities, include:

As at December 31:	2017			2016
Due to a bank, US$19,430 and US$19,428 at December 31, 2017 and 2016,  respectively, fixed interest plus an interest margin and backup guarantee fee on  US$19,428 (5.05% at December 31, 2017) and payable quarterly, secured by  intercompany loan receivables and due in equal annual repayments with final  repayment in September 2022		$	24,374		$	26,085
Due to a bank, €nil and €16,414 at December 31, 2017 and 2016, respectively			—			23,257
Due to banks, €nil and €8,000 at December 31, 2017 and 2016,			—			11,335
Due to a bank €nil and €25,900 at December 31, 2017 and 2016, respectively			—			36,699
Due to a bank, €13,605 and €14,642 at December 31, 2017 and 2016, respectively,  €13,404 at a fixed interest rate (2.7% at December 31, 2017) and the remainder  at EURIBOR plus an interest margin (1.55% at December 31, 2017) and  payable quarterly, due in semi-annual repayments with final payment in May  2025. Repayments totaling $1,559 were past-due at December 31, 2017.			19,359			19,437
		$	43,733		$	116,813
Current portion		$	43,733		$	36,249
Long-term portion			—			80,564
		$	43,733		$	116,813

For additional information, see Note 27.

All long-term debt was classified to current liabilities as at December 31, 2017 as the lender notified the subsidiary borrowers that the debt had been accelerated and called due in 2018. The Group is in the process of negotiating an extension or other resolution with the lender on these subsidiaries’ debts.

Interest expense of  $nil, $nil and $608 was capitalized and included in property, plant and equipment during the year ended December 31, 2017, 2016 and 2015, respectively.

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Account Payables and Accrued Expenses

12 Months Ended

Dec. 31, 2017

Current prepayments and current accrued income [abstract]

Account Payables and Accrued Expenses

Note 17. Account Payables and Accrued Expenses

As at December 31:	2017			2016
Trade and account payables		$	39,528		$	27,053
Value-added, goods and services and other taxes (other than income taxes)			2,559			3,610
Compensation			392			1,837
Contract liabilities			769			535
Deposits from customers			—			1,471
Acquisition price payables			—			1,716
Sale of shares on behalf of other			—			3,067
Provision for guarantee			1,502			—
Other			—			5,825
		$	44,750		$	45,114

Trade payables arise from the Group’s day-to-day trading activities. The Group’s expenses for services and other operational expenses are included in account payables. Generally, these payables and accrual accounts do not bear interest and have a maturity of less than one year.

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Accrued Pension Obligations

12 Months Ended

Dec. 31, 2017

Disclosure of defined benefit plans [abstract]

Accrued Pension Obligations

Note 18. Accrued Pension Obligations

At December 31, 2016, the Group had post-retirement defined benefit plans for its employees in Austria and Germany. During the fourth quarter of 2017, the aforesaid subsidiaries were disposed of and the Group deconsolidated the defined benefit obligations and the related plan assets, which had net accrued pension obligations of  $2,593 at the time of the disposals. As at December 31, 2017, the Group did not have any post-retirement defined benefit plans and its defined benefit obligations and their fair value of the related plan assets were both $nil.

As at December 31, 2016, the Group had net accrued pension obligations of  $3,259, consisting of fair value of plan assets of  $1,453 and defined benefit obligations of  $4,712. The balance of the fair value of plan assets of the Group as at January 1, 2016 was $11,838. During the year ended December 31, 2016, changes to the fair value of plan assets comprised of decreases of  $10,394 and $1,386 from dispositions of subsidiaries and payment of benefits, respectively, and increases of  $957, $215 and $223 from the return on plan assets, employer contributions and currency translation adjustments, respectively. The balance of defined benefit obligations as at January 1, 2016 was $15,899. During the year ended December 31, 2016, changes in the defined benefit obligations of the Group comprised of decreases of  $10,581, $445, $1,386 and $381 from dispositions of subsidiaries, reclassifications of assets held for sale, benefits paid and currency translation adjustments, respectively and increases of  $190, $392, $196 and $828 from net current service cost, obligation interest cost, actuarial losses from changes in demographic assumptions and experience and actuarial losses from changes in financial assumptions, respectively.

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Decommissioning Obligations

12 Months Ended

Dec. 31, 2017

Provision for decommissioning, restoration and rehabilitation costs [abstract]

Decommissioning Obligations

Note 19. Decommissioning Obligations

All of the Group’s decommissioning obligations as at December 31, 2015 were included in liabilities relating to assets held for sale in current liabilities (see Note 5). The decommissioning obligations relating to hydrocarbon properties and property, plant and equipment that ceased to be classified as held for sale effective September 30, 2016 were reclassified to long-term liabilities on the same effective date. Changes in the carrying amount of the Group’s decommissioning obligations included in long-term liabilities during the year ended December 31, 2017 and 2016, respectively, are as follows:

	2017			2016
Decommissioning obligations, beginning of year		$	13,219		$	—
Reclassifications from liabilities relating to assets held for sale			—			17,923
Changes in estimates			255			(4,988)
Accretion			225			284
Decommissioning obligations, end of year		$	13,699		$	13,219

Decommissioning obligations represented the present value of estimated remediation and reclamation costs associated with hydrocarbon properties and property, plant and equipment. As at December 31, 2017, management revised its estimates of the expected decommissioning obligations related to its hydrocarbon production and processing assets. The Group discounted the decommissioning obligations using an average discount rate of 1.98% (2016: 1.73%), which is the risk free rate in Canada for blended government securities.

The Group will fund the decommissioning obligations from future cash flows from operations.

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Shareholders' Equity

12 Months Ended

Dec. 31, 2017

Equity [abstract]

Shareholders' Equity

Note 20. Shareholders’ Equity

Capital Stock

The authorized share capital of MFC Bancorp is US$450,000 divided into 300,000,000 common shares of US$0.001 par value each and 150,000,000 preference shares divided into US$0.001 par value each.

Holders of common shares may receive dividends declared by the Company in accordance with the Company’s memorandum and articles of association, subject to any preferential dividend rights of any other classes or series of preference shares issued and outstanding. Holders of common shares are entitled to one vote per share at any general or special meeting of shareholders. The holders of common shares have the right on the winding up or dissolution of the Company to participate in the surplus assets of the Company in accordance with the provisions of the memorandum and articles of association of the Company, subject to the rights of any issued and outstanding preference shares.

All of the Company’s issued capital stock is fully paid. The Company did not issue any preference shares under the Arrangement in exchange for the outstanding preferred shares of Old MFC, which were held by subsidiaries of Old MFC prior to completion of the Arrangement.

Treasury Stock

As at December 31:	2017			2016
Common shares			65,647			65,647
Preferred shares			—			4,621,571
Total number of treasury stock			65,647			4,687,218
Total carrying amount of treasury stock		$	2,643		$	61,085

All of the Company’s treasury stock is held by wholly-owned subsidiaries.

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Consolidated Statements of Operation

12 Months Ended

Dec. 31, 2017

Disclosure Of Consolidated Statements Of Operations [Abstract]

Consolidated Statements of Operations

Note 21. Consolidated Statements of Operations

Revenues

The Group’s gross revenues comprised:

Years ended December 31:	2017			2016			2015
Merchant banking products and services		$	249,581		$	1,078,745		$	1,580,935
Interest			973			3,056			4,237
Dividends			—			6			7
Other			23,481			49,850			43,921
Gross revenues		$	274,035		$	1,131,657		$	1,629,100

The revenues of  $249,581 from merchant banking products and services for the year ended December 31, 2017 comprised metals of  $143,572, plastics of  $98, steel products of  $23,898, minerals, chemicals and alloys of  $57,768, natural gas of  $8,931, royalties of  $8,868, power and electricity of  $4,215 and fees of $2,231.

Expenses

The Group’s costs of sales and services comprised:

Years Ended December 31:	2017			2016			2015
Merchant banking products and services		$	223,049		$	1,027,627		$	1,512,970
Credit losses on loans and receivables and guarantees, net of recoveries			23,923*			17,023*			54,540
Market value (increase) decrease on commodity inventories			(400)			4,273			1,910
(Gain) loss on derivative contracts, net			(1,934)			521			(2,913)
Loss on securities, net			619			116			84
Dispositions of subsidiaries			10,219			(2,585)			—
Write-offs of payables			(3,779)			—			—
Other			11,889			14,077			7,277
Total costs of sales and services		$	263,586		$	1,061,052		$	1,573,868

*          Includes credit losses of  $8,585 on receivables due from a former consolidated entity in the year ended December 31, 2017 (2016: $11,296).

The Group’s revenues include the revenues of the metals processing acquisition from October 1, 2017 and MFC Merchant Bank Ltd. from February 1, 2016 in its merchant banking segment.

In December 2016, the Group disposed of certain non-core commodities subsidiaries. Effective January 31, 2017, the Group completed the sale of a non-core commodities trading subsidiary which focused on Latin America. Effective October 1, 2017, the Group disposed of certain subsidiaries, including certain commodities trading subsidiaries in Europe.

During the year ended December 31, 2017, the Group recognized $5,619 for the underpayment of resource property royalties from prior years, which was included in revenues from merchant banking products and services.

During the year ended December 31, 2017, the disposition of subsidiaries resulted in a reclassification of cumulative currency translation adjustment gain of  $11,306 from accumulated other comprehensive income within equity to profit or loss.

The Group included the following items in costs of sales and services:

Years ended December 31:	2017			2016			2015
Inventories as costs of goods sold (including depreciation, amortization and depletion expenses allocated to costs of goods sold)		$	206,644		$	974,497		$	1,464,925

Additional information on the nature of expenses incurred in continuing operations

Years Ended December 31:	2017			2016			2015
Depreciation, amortization and depletion		$	6,732		$	11,951		$	6,450
Employee benefits expenses			21,016			31,890			37,951

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Share-Based Compensation

12 Months Ended

Dec. 31, 2017

Disclosure of terms and conditions of share-based payment arrangement [abstract]

Share-Based Compensation

Note 22. Share-Based Compensation

The 2017 Equity Incentive Plan, referred to as the “2017 Plan”, was adopted by the Company on July 14, 2017 in connection with the Arrangement and was on substantially similar terms as the 2014 Equity Incentive Plan of Old MFC. Prior to the completion of the Arrangement, Old MFC had the 2014 Equity Incentive Plan (the “2014 Plan”), which replaced its 1997 Stock Option Plan (the “1997 Plan”) and its 2008 Equity Incentive Plan (the “2008 Plan”).

Pursuant to the terms of the 2017 Plan, the board of directors, the Compensation Committee or such other committee as is appointed by the board of directors to administer the Incentive Plan, may grant stock options, restricted stock rights, restricted stock, performance share awards, performance share units and stock appreciation rights under the 2017 Plan, establish the terms and conditions for those awards, construe and interpret the 2017 Plan and establish the rules for the 2017 Plan’s administration. Such awards may be granted to employees, non-employee directors, officers or consultants of ours or any affiliate or any person to whom an offer of employment with us or any affiliate is extended. Such committee has the authority to determine which employees, non-employee directors, officers, consultants and prospective employees should receive such awards.

Subject to adjustment for changes in capitalization, the total number of Common Shares subject to all awards under the 2017 Plan is 575,403 Common Shares.

Pursuant to the Arrangement, 40,000 options were issued under the 2017 Plan in exchange for options issued and outstanding under Old MFC’s 2008 Plan. The terms of such issued options were the same as those of Old MFC, subject to adjustment for the Share Consolidation/Split.

In December 2017, the Company issued 535,000 options to directors, officers, employees and consultants with an exercise price of US$8.76 per Common Share and an expiry date of December 1, 2027.

The following table is a summary of the changes in stock options granted under the plans:

	2017 Plan		2017 Plan		2008 Plan		2008 Plan		1997 Plan		1997 Plan
	Number  of  options		Weighted  average  exercise  price  per share  (US$)		Number  of  options		Weighted  average  exercise  price  per share  (US$)		Number  of  options		Weighted  average  exercise  price  per share  (US$)
Outstanding as at December 31, 2014		—		—		172,000		39.15		293,000		39.05
Expired				—		—		—		(18,500)		39.05
Outstanding as at December 31, 2015		—		—		172,000		39.15		274,500		39.05
Expired		—		—		(132,000)		39.05		(274,500)		39.05
Outstanding as at December 31, 2016		—		—		40,000		40.05		—		—
Exchanged under the Arrangement		40,000		40.05		(40,000)		40.05		—		—
Granted		535,000		8.76		—		—		—		—
Outstanding as at December 31, 2017		575,000		10.94		—		—		—		—
As at December 31, 2017:
Options exercisable		575,000		10.94		—				—
Options available for granting in future  periods		403				—				—

The following table summarizes information about stock options outstanding and exercisable as at December 31, 2017:

	Options Outstanding and Exercisable
Exercise Price per Share (US$)	Number outstanding		Weighted average remaining contractual life (in years)
$40.05		40,000		1.25
$8.76		535,000		9.92
		575,000		9.31

The following table summarizes the share-based compensation expenses recognized by the Group:

Years ended December 31:	2017			2016			2015
Share-based compensation expenses arising from stock options granted by the Company		$	2,876		$	—		$	—

On December 1, 2017, the Company granted to certain employees options to purchase 535,000 MFC Bancorp common shares in aggregate at an exercise price of US$8.76 per share. The options vested immediately and expire on December 1, 2027.

The weighted average assumptions and inputs used in calculating the fair value of the stock options granted on December 1, 2017 using the Black-Scholes-Merton formula are as follows:

Number of options granted	535,000
Vesting requirements	Immediately
Contractual life	10 years
Method of settlement	In equity
Exercise price per share	US$8.76
Market price per share on grant date	US$8.40
Expected volatility	37.74%
Expected option life	10 years
Expected dividends	0.00%
Risk-free interest rate	2.38%
Fair value of option granted (per option)	$5.38(US$4.22)

The expected volatility was determined based on the historical price movement over the expected option life, with adjustments for underlying businesses. The stock option holders are not entitled to dividends or dividend equivalents until the options are exercised.

The aggregate fair value of options granted was $2,876 which was recognized as share-based compensation expense in the Group’s consolidated statement of operations for the year ended December 31, 2017.

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Income Taxes

12 Months Ended

Dec. 31, 2017

Disclosure Of Detailed Information About Income Taxes [Abstract]

Income Taxes

Note 23. Income Taxes

Income (loss) from continuing operations before income taxes comprised:

Years ended December 31:	2017			2016			2015
Canada		$	7,360		$	380		$	(238,545)
Outside Canada			(45,767)			(17,086)			(52,250)
		$	(38,407)		$	(16,706)		$	(290,795)

The components of income tax (expense) recovery comprised:

Years ended December 31:	2017			2016			2015
Current taxes		$	(3,744)		$	(4,540)		$	(4,282)
Deferred taxes			(3,141)			(1,454)			50,800
Resource revenues taxes			(1,773)			(1,020)			(325)
		$	(8,658)		$	(7,014)		$	46,193

A reconciliation of the loss before income taxes to the (provision for) recovery of income taxes in the consolidated statements of operations is as follows:

Years ended December 31:	2017			2016			2015
Loss before income taxes		$	(38,407)		$	(16,706)		$	(290,795)
Computed recovery of income taxes		$	9,792		$	4,344		$	75,607
Decrease (increase) in income taxes resulting from:
Subsidiaries’ tax rate differences			—			714			(1,107)
Other non-taxable income			7			6,057			2,774
Revisions to prior years			4,650			(112)			227
Taxable capital gains on dispositions, net			(3,150)			(3,543)			13
Resource property revenue taxes			(1,311)			(755)			(241)
Unrecognized losses in current year			(20,916)			(15,623)			(30,469)
Previously unrecognized deferred income tax assets, net			2,877			5,747			1,449
Deferred income tax asset on a purchased asset			—			—			1,339
Permanent differences			(363)			(1,448)			(3,865)
Change in future tax rate			—			—			11
Other, net			(244)			(2,395)			455
(Provision for) recovery of income taxes		$	(8,658)		$	(7,014)		$	46,193

For the year ended December 31, 2016 and 2015, the income tax recovery was computed at Old MFC’s statutory tax rate of 26%, For the year ended December 31, 2017, the income tax recovery was computed at the domestic tax rates applicable to the country concerned, as New MFC is a corporation under the laws of the Cayman Islands which has a zero tax rate for the exempted companies.

In addition, the aggregate current and deferred income tax relating to items that are charged directly to other comprehensive income or loss was an expense of  $nil, $nil and $109 for the year ended December 31, 2017, 2016 and 2015, respectively, relating to the changes in fair values of available-for-sale securities and the remeasurements of defined benefit pension plans.

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Earnings Per Share

12 Months Ended

Dec. 31, 2017

Disclosure For Earnings Per Share [Abstract]

Earnings Per Share

Note 24. Earnings Per Share

Earnings per share from continuing operations data for the years ended December 31, 2017, 2016 and 2015 are summarized as follows:

	2017			2016			2015
Basic loss available to holders of common shares		$	(47,855)		$	(25,361)		$	(246,228)
Effect of dilutive securities:			—			—			—
Diluted loss		$	(47,855)		$	(25,361)		$	(246,228)

	Number of Shares
	2017		2016		2015
Weighted average number of common shares outstanding – basic		12,544,141		12,628,454		12,628,454
Effect of dilutive securities:
Options		—		—		—
Weighted average number of common shares outstanding – diluted		12,544,141		12,628,454		12,628,454

In 2017, 2016 and 2015, the Group’s potential ordinary shares include stock options outstanding. In 2016 and 2015, the potential ordinary shares also included contingently issuable shares pursuant to a share purchase agreement.

As at December 31, 2017, 2016 and 2015, there were 575,000, 40,000 and 446,500 stock options, respectively, outstanding that could potentially dilute basic earnings per share in the future, but were not included in the calculation of diluted earnings per share because they were antidilutive for the year ended December 31, 2017, 2016 and 2015.

Pursuant to a share purchase agreement (as amended), 10,000 common shares of MFC Bancorp would be issued to a put holder for each year from 2014 to 2024 if Possehl Mexico S.A. de C.V. (“Possehl”) achieves an annual net income milestone as computed under IFRS for the year (see Note 28). The net income milestone for 2015 was not achieved. The net income milestone for 2016 was achieved, subject to an audit. However, the 10,000 additional common shares of MFC Bancorp were not included in the calculation of diluted earnings per share for the year ended December 31, 2016 because they were antidilutive. The milestone agreement was terminated in 2017 (see Note 28).

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Dividends Paid

12 Months Ended

Dec. 31, 2017

Dividend Paid [Abstract]

Dividends Paid

Note 25. Dividends Paid

The Company did not declare dividends in 2017, 2016 and 2015. The last and final 2014 quarterly dividends of  $4,388 (or US$0.06 per common share on a pre-Share Consolidation/Split basis) were paid on January 5, 2015 to shareholders of record on December 29, 2014, which was disclosed in the consolidated cash flows statement for the year ended December 31, 2015.

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Commitments and Contingencies

12 Months Ended

Dec. 31, 2017

Disclosure Of Commitments And Contingencies [Abstract]

Commitments and Contingencies

Note 26. Commitments and Contingencies

Leases as lessors

The Group leases out land and buildings and equipment under non-cancellable operating lease agreements. The leases have varying terms, subject to the customary practices in the particular regions.

Future minimum rentals under long-term non-cancellable operating leases are as follows:

Years ending December 31:	Amount
2018		$	1,765
2019			655
2020			555
2021			449
2022			390
Thereafter			26
		$	3,840

The Group recognized rental and lease income of  $6,026, $15,470 and $5,345 for the years ended December 31, 2017, 2016 and 2015, respectively.

Leases as lessees

Future minimum commitments under long-term non-cancellable operating leases are as follows:

Years ending December 31:	Amount
2018		$	988
2019			487
2020			61
2021			19
2022			—
Thereafter			—
		$	1,555

The leases, which principally comprise office space, have varying terms, subject to the customary practices in the local regions. Minimum lease payments recognized as expenses were $3,120 (including contingent rents of  $115), $2,565 (including sublease of  $734 and contingent rents of  $20) and $3,569 (including sublease of  $875) for the years ended December 31, 2017, 2016 and 2015, respectively.

Litigation

The Group is subject to routine litigation incidental to its business and is named from time to time as a defendant and is a plaintiff from time to time in various legal actions arising in connection with its activities, certain of which may include large claims for punitive damages. Further, due to the size, complexity and nature of the Group’s operations, various legal and tax matters are outstanding from time to time, including periodic audit by various tax authorities and litigation relating to the insolvency filing of a former customer in February 2016. Currently, based upon information available, management does not believe any such matters would have a material adverse effect upon the Group’s financial condition or results of operations as at December 31, 2017. However, due to the inherent uncertainty of litigation, there cannot be certainty as to the eventual outcome of any case. If management’s current assessments are incorrect or if management is unable to resolve any of these matters favorably, there may be a material adverse impact on the Group’s financial performance, cash flows or results of operations.

Guarantees

Guarantees are accounted for as contingent liabilities unless it becomes probable that the Group will be required to make a payment under the guarantee.

In the normal course of its merchant banking activities, the Group issues guarantees to its trade and financing partners in order to secure financing facilities. Upon the use or drawdown of the underlying financing facilities, the financing facilities are recorded as liabilities on the consolidated statement of financial position such as short-term bank borrowings or debt. Accordingly, the issued guarantees relating to such financing facilities that are used or drawn are not considered contingent liabilities or off-balance sheet transactions. As at December 31, 2017, the Group did not have unrecorded contingent liabilities relating to outstanding guarantees issued to its trade and financing partners in the normal course of its merchant banking activities (see Note 29).

Rights to Subscribe to Shares in Subsidiaries

During 2017, two subsidiaries of the Group entered into agreements with third party employee incentive corporations whereby the latter were granted the rights to buy up to 10% of the share capital of the subsidiaries on a diluted basis at a price to be no less or more than the then existing net tangible asset value. The rights expire in 10 years.

Purchase Obligations

As at December 31, 2017, the Group had open purchase contracts aggregating $67 due in 2018. None of these contracts have been recognized on the consolidated statement of financial position as at December 31, 2017.

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Consolidated Statements of Cash Flows - Supplemental Disclosure

12 Months Ended

Dec. 31, 2017

Disclosure of reconciliation of liabilities arising from financing activities [abstract]

Consolidated Statements of Cash Flows - Supplemental Disclosure

Note 27. Consolidated Statements of Cash Flows – Supplemental Disclosure

Interest paid and received, dividends received and income taxes paid are classified as operating activities. Dividends paid are classified as financing activities.

The Group establishes, utilizes and maintains various kinds of credit lines and facilities with banks and insurers. Most of these facilities are short term. These facilities are used in our day-to-day supply chain business and structured solutions activities. The amounts drawn under such facilities fluctuate with the kind and level of transactions being undertaken. As a result, management considers short-term bank borrowings to be a part of its operating activities and that it is most appropriate to include the changes in short-term bank borrowings within operating activities in the consolidated statements of cash flows.

There are no circumstances in which cash and cash equivalents held by an entity are not available for use by the Group.

Consolidated cash flows statement – reconciliation of liabilities arising from financing activities

Year ended December 31, 2017:	Debt
Opening balance		$	116,813
Cash flows			(42,253)
Non-cash changes:
Disposition of subsidiaries			(34,996)
Accretion			187
Cumulative transaction adjustments			3,982
Ending balance		$	43,733

Non-cash transactions

Non-cash transactions during the year ended December 31, 2017: (1) sale of the shares of a non-core Latin America focused commodities trading subsidiary to a company controlled by the former President of the Company (see Note 28); (2) disposition of subsidiaries (see Note 31); (3) offsetting of a payable of  $12,264 due to a former subsidiary against a receivable due from the same entity; (4) redemption of preferred shares of  $52,299 in a subsidiary held by the former subsidiary in an exchange of trade receivables with a fair value of  $52,299; and (5) offsetting of long-term deposit liabilities of  $545 against finance lease receivables.

Non-cash transactions during the year ended December 31, 2016: (1) purchase of certain unproved lands from a former subsidiary for $790 at their fair value in exchange for a reduction of the Group’s loan receivables due from the former subsidiary; and (2) settlement of a trade receivable of  $1,343 by the customer undertaking to deliver physical commodity goods of equal value to the Group in the future.

Non-cash transactions during the year ended December 31, 2015: (1) recognition of a non-cash gain of $1,194 on the reversal of a decommissioning obligation (which was included in costs of sales and services); (2) issuance of 10,000 common shares of MFC Bancorp to a director pursuant to a share purchase agreement executed in 2014 (see Note 28); and (3) the Group sold a 95% participating interest in certain hydrocarbon assets and related liabilities, resulting in a post-tax loss of  $11,987 on disposition which was included in the results of discontinued operations and a net receivable of  $11,600 due from the former subsidiaries (see Note 5).

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Related Party Transactions

12 Months Ended

Dec. 31, 2017

Disclosure of transactions between related parties [abstract]

Related Party Transactions

Note 28. Related Party Transactions

In the normal course of operations, the Group enters into transactions with related parties, which include affiliates in which the Group has a significant equity interest (10% or more) or has the ability to influence their operating and financing policies through significant shareholding, representation on the board of directors, corporate charter and/or bylaws. The related parties also include MFC Bancorp’s directors, President, Chief Executive Officer, Chief Financial Officer, Chief Operating Officer and their close family members, as well as any person or entity which has significant influence over MFC Bancorp. In addition to transactions disclosed elsewhere in these consolidated financial statements, the Group had the following transactions with its related parties:

Years ended December 31:	2017			2016			2015
Sales of goods		$	—		$	—		$	3,349

Puttable instrument financial liability

In connection with the acquisition of Possehl in November 2012, the Group entered into call and put agreements with the non-controlling interest, which allowed or required the Group to acquire up to 100% of the entity. As a result of the put options (i.e. puttable instrument), the non-controlling interest was classified as financial liability.

In April 2014, the Group entered into a share purchase agreement with the holder of the puttable instrument (the “Put Holder”) whereby the Group acquired from the Put Holder his 40% equity shares in Possehl. Upon the execution of the agreement, the puttable instrument was terminated. In May 2014, the Put Holder was appointed by the Board of Directors as the President and Chief Executive Officer of MFC Bancorp. The share purchase agreement was amended in June 2014 which included a contingent purchase price whereby 10,000 common shares of MFC Bancorp would be issued to the Put Holder for each year from 2014 to 2024 if Possehl achieves an annual net income milestone as computed under IFRS for the year.

In June 2015, the Company issued 10,000 common shares of MFC Bancorp to the Put Holder as the 2014 annual net income milestone of Possehl was achieved.

In January 2017, in connection with its previously announced strategy to re-allocate capital and resources and exit certain products and geographies, the Group sold the shares of a non-core Latin America focused commodities trading subsidiary to a company controlled by the Put Holder. Under the transaction, the Group received total consideration of  $14,413, including 90,000 common shares of MFC Bancorp and the release of any further obligations to issue shares in connection with a prior share purchase agreement between the parties. The Group recognized a gain of  $57 from the disposition of the subsidiary and its immediate parent company. In March 2017, the Put Holder resigned as the President and Chief Executive Officer of MFC Bancorp.

Key management personnel

The Group’s key management personnel comprise the members of its Board of Directors, President, Chief Executive Officer and Chief Financial Officer. The remuneration of key management personnel of the Group was as follows:

Years ended December 31:	2017			2016			2015
Short-term employee benefits		$	1,777		$	2,296		$	2,719
Directors’ fees			576			634			479
Share-based compensation			713			—			—
Total		$	3,066		$	2,930		$	3,198

The share-based compensation for the year ended December 31, 2017 comprised $323 and $390, respectively, on the stock options granted to directors and other key management personnel (see Note 22).

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Financial Instruments

12 Months Ended

Dec. 31, 2017

Disclosure of detailed information about financial instruments [abstract]

Financial Instruments

Note 29. Financial Instruments

The disclosures and analyses in this note do not include the financial instruments classified as assets held for sale and their related revenues and expenses presented (or re-presented) in discontinued operations.

The fair values of the Group’s financial instruments as at December 31, 2017 and 2016, other than those with carrying amounts that approximate their fair values due to their short-term nature, are summarized as follows:

As at December 31:	2017						2016
	Carrying  Amount			Fair  Value			Carrying  Amount			Fair  Value
Financial Assets:
Fair value through profit or loss:
Short-term securities		$	6		$	6		$	7		$	7
Derivative assets			246			246			1,240			1,240
Loans and receivables:
Long-term loan receivables (including current portion)			—			—			9,392			9,392
Available-for-sale instruments:
Securities, at fair value			5,892			5,892			5,572			5,572
Securities (including restricted non-current assets – securities), at cost			—			—			232			232
Financial Liabilities:
Financial liabilities measured at amortized cost:
Debt		$	43,733		$	43,733		$	116,813		$	118,015
Fair value through profit or loss:
Derivative liabilities			302			302			6,454			6,454

Fair value of a financial instrument represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction in the principal (or most advantageous) market at the measurement date under current market conditions regardless of whether that price is directly observable or estimated using a valuation technique. The price for a transaction which takes place under duress or the seller is forced to accept the price in the transaction might not represent the fair value of an asset or a liability. The best evidence of fair value is published price quotations in an active market. When the market for a financial asset or financial liability is not active, the Group establishes fair value by using a valuation technique. The valuation technique used maximizes the use of inputs observed in active markets, and minimizes the use of inputs generated by the Group. Internally generated inputs take into account factors that market participants would consider when pricing the financial instruments, such as liquidity and credit risks. Use of judgment is significantly involved in estimating fair value of financial instruments in inactive markets and actual results could materially differ from the estimates. To value longer-term transactions and transactions in less active markets for which pricing information is not generally available, unobservable inputs may be used.

The fair values of short-term trading securities are based on quoted market prices (Level 1 fair value hierarchy). The fair values of available-for-sale securities are based on quoted market prices, except for those which are not quoted in an active market which are estimated using an appropriate valuation method (Level 3 fair value hierarchy). Investments in equity instruments that do not have a quoted price in an active market and whose fair value cannot be reliably measured are measured at cost. The carrying amounts of cash and cash equivalents, short-term cash deposits, short-term receivables, short-term borrowings and account payables and accrued expenses, due to their short-term nature and normal trade credit terms, approximate their fair values. The fair values of long-term receivables, long-term debt and other long-term liabilities are determined using discounted cash flows at prevailing market rates of interest for similar instruments with similar credit ratings (Level 2 fair value hierarchy).

The fair values of derivative financial instruments are based on quoted market prices when possible; and if not available, estimates from third-party brokers. These broker estimates are corroborated with multiple sources and/or other observable market data utilizing assumptions that market participants would use when pricing the asset or liability, including assumptions about risk and market liquidity (Level 2 fair value hierarchy). Inputs may be readily observable or market-corroborated.

The following tables present the Group’s financial instruments measured at fair value on the consolidated statements of financial position classified by level of the fair value hierarchy as at December 31, 2017 and 2016, respectively:

As at December 31, 2017	Level 1			Level 2			Level 3			Total
Financial Assets:
Fair value through profit or loss:
Short-term securities		$	6		$	—		$	—		$	6
Derivative assets			—			246			—			246
Available-for-sale:
Securities			5,892			—			—			5,892
Total		$	5,898		$	246		$	—		$	6,144
Financial Liabilities:
Fair value through profit or loss:
Derivative liabilities		$	—		$	302		$	—		$	302

As at December 31, 2016	Level 1			Level 2			Level 3			Total
Financial Assets:
Fair value through profit or loss:
Short-term securities		$	7		$	—		$	—		$	7
Derivative assets			—			1,240			—			1,240
Available-for-sale:
Securities			5,572			—			—			5,572
Total		$	5,579		$	1,240		$	—		$	6,819
Financial Liabilities:
Fair value through profit or loss:
Derivative liabilities		$	—		$	6,454		$	—		$	6,454

Generally, management of the Group believes that current financial assets and financial liabilities, due to their short-term nature, do not pose significant financial risks. The Group uses various financial instruments to manage its exposure to various financial risks. The policies for controlling the risks associated with financial instruments include, but are not limited to, standardized company procedures and policies on matters such as hedging of risk exposure, avoidance of undue concentration of risk and requirements for collateral (including letters of credit and bank guarantees) to mitigate credit risk. The Group has risk managers and other personnel to perform checking functions and risk assessments so as to ensure that the Group’s procedures and policies are complied with.

Many of the Group’s strategies, including the use of derivative instruments and the types of derivative instruments selected by the Group, are based on historical trading patterns and correlations and the Group’s management’s expectations of future events. However, these strategies may not be fully effective in all market environments or against all types of risks. Unexpected market developments may affect the Group’s risk management strategies during the period, and unanticipated developments could impact the Group’s risk management strategies in the future. If any of the variety of instruments and strategies the Group utilizes is not effective, the Group may incur losses.

The Group does not trade in financial instruments, including derivative financial instruments, for speculative purposes.

The nature of the risks that the Group’s financial instruments are subject to as at December 31, 2017 is set out in the following table:

	Risks
			Market risks
Financial instrument	Credit	Liquidity	Currency	Interest rate	Other price
Cash and cash equivalents and short-term cash deposits	X		X	X
Short-term securities			X		X
Long-term securities			X		X
Derivative securities and financial liabilities	X	X	X		X
Receivables	X		X
Short-term bank borrowings		X	X
Account payables and accrued expenses		X	X
Debt		X	X	X

A sensitivity analysis for each type of market risk to which the Group is exposed on its financial instruments at the end of the reporting period is provided, showing how profit or loss and equity would have been affected by changes in the relevant risk variable that were reasonably possible at that date. These ranges of parameters are estimated by management, which are based on the facts and circumstances available at the time estimates are made, and an assumption of stable socio-economic and geopolitical states. No unusual nor exceptional events, for example, natural disasters or human-made crises and calamities, are taken into consideration when the sensitivity analysis is prepared. Actual occurrence could differ from these assumptions and such differences could be material.

Credit risk

Credit risk is the risk that one party to a financial instrument will fail to discharge an obligation and cause the other party to incur a financial loss. Financial instruments which potentially subject the Group to credit risk consist of cash and cash equivalents, short-term cash deposits, derivative financial instruments and credit exposure (including outstanding receivables and committed transactions). The Group has deposited cash and cash equivalents and short-term cash deposits and entered into derivative financial instrument contracts with reputable financial institutions with high credit ratings and management believes the risk of loss from these counterparties to be remote.

Most of the Group’s credit exposure is with counterparties in the merchant banking segment and are subject to normal industry credit risk. The Group has receivables from various entities including, primarily, trade customers. Credit risk from trade receivables is mitigated since they are credit insured, covered by letters of credit, bank guarantees and/or other credit enhancements. The Group routinely monitors credit risk exposure, including sector, geographic and corporate concentrations of credit and set and regularly review counterparties’ credit limits based on rating agency credit ratings and/or internal assessments of the customers and industry analysis. The Group also uses factoring and credit insurances to manage credit risk. Management believes that these measures minimize the Group’s overall credit risk; however, there can be no assurance that these processes will protect the Group against all losses from non-performance.

The average contractual credit period for trade receivables is 60-65 days and up to 180 days for certain sales. With the use of factoring facilities, the average cash collection period is reduced to approximately 15 days. For the aging analysis of past-due receivables, see Note 7.

The maximum credit risk exposure as at December 31, 2017 is as follows:

Cash and cash equivalents and short-term cash deposits	$	75,064
Derivative assets		246
Receivables		55,949
Amounts recognized in the consolidated statement of financial position		131,259
Guarantees (see Note 26)		—
Maximum credit risk exposure	$	131,259

In February 2016, certain guarantees related to a customer filing for insolvency were called and the Group met its obligations under these amounts. Since these guarantees were no longer contingent, but instead were probable, they were recognized as provisions of  $40,677 as at December 31, 2015, which were paid during the year ended December 31, 2016. During the year ended December 31, 2016, the Group received proceeds of  $39,149 from risk mitigation assets related to these guarantees, of which $35,121 was credited to profit or loss through a recovery of credit loss and the remainder was credited to trade receivables. During 2017, a net reversal of credit loss of  $1,317 was credited to profit or loss (see Note 7).

In 2018, the calling of a guarantee resulted in a provision for credit loss of  $1,502 as at December 31, 2017 (see Note 17).

Please see sub-heading of  “Concentration risk” in this note on credit risk concentration.

Liquidity risk

Liquidity risk is the risk that an entity will encounter difficulty in raising funds to meet commitments associated with financial instruments. The Group requires liquidity specifically to fund capital requirements, satisfy financial obligations as they become due, and to operate its merchant banking business. The Group puts in place an actively managed production and capital expenditure budgeting process for major capital programs. The Group’s approach to managing liquidity is to ensure, as far as possible, that it always has sufficient liquidity to meet its liabilities when they fall due, under normal and stress conditions, without incurring unacceptable losses. The Group maintains an adequate level of liquidity, with a portion of its assets held in cash and cash equivalents. The Group also maintains adequate banking facilities, including factoring arrangements. It is the Group’s policy to invest cash in highly liquid, diversified money market funds or bank deposits for a period of less than three months. The Group may also invest in cash deposits with an original maturity date of more than three months so as to earn higher interest income.

Generally, trade payables are due within 90 days and other payables and accrued expenses are due within one year. All short-term bank borrowings are renewable on a yearly basis. All long-term debt was classified to current liabilities as at December 31, 2017 as the lender notified the subsidiary borrowers that the debt had been accelerated and called due. The schedule of future payments is based on the Group’s historical payment patterns and management’s interpretation of contractual arrangements. The actual cash outflows might occur significantly earlier than indicated in the schedule or be for significantly different amounts from those indicated in the schedule.

Currency risk

Currency risk is the risk that the value of a financial instrument will fluctuate due to changes in foreign exchange rates. Currency risk does not arise from financial instruments that are non-monetary items or from financial instruments denominated in the functional currency. The Group operates internationally and is exposed to risks from changes in foreign currency exchange rates, particularly the Euro, Canadian dollar and U.S. dollar. Currency risk arises principally from future trading transactions, and recognized assets and liabilities. In order to reduce the Group’s exposure to foreign currency risk on material contracts (including intercompany loans) denominated in foreign currencies (other than the functional currencies of the Group companies), the Group may use foreign currency forward contracts and options to protect its financial positions. As at December 31, 2017, in its continuing operations, the Group had foreign currency derivative financial instruments (foreign currency forward contracts and options) with aggregate notional amounts of $14,766 (2016: $196,089) and a net unrealized fair value gain of  $75 (2016: net loss of  $2,416).

The Group does not have any material exposure to highly inflationary foreign currencies.

Sensitivity analysis:

At December 31, 2017, if the U.S. dollar had weakened 10% against the Group companies’ functional currencies with all other variables held constant, loss from continuing operations for the year ended December 31, 2017 would have been $1,180 higher. Conversely, if the U.S. dollar had strengthened 10% against the Group companies’ functional currencies with all other variables held constant, loss from continuing operations for the year ended December 31, 2017 would have been $1,180 lower. The reason for such change is mainly due to certain U.S. dollar denominated financial instrument assets (net of liabilities) held by entities whose functional currencies were not the U.S. dollar. There would have been no material impact arising from financial instruments on other comprehensive income in either case.

At December 31, 2017, if the Euro had weakened 10% against the Group companies’ functional currencies with all other variables held constant, loss from continuing operations for the year ended December 31, 2017 would have been $1,038 lower. Conversely, if the Euro had strengthened 10% against the Group companies’ functional currencies with all other variables held constant, loss from continuing operations for the year ended December 31, 2017 would have been $1,038 higher. The reason for such change is mainly due to certain Euro denominated financial instrument liabilities (net of assets) owed by entities whose functional currencies were not the Euro. There would have been no impact arising from financial instruments on other comprehensive income in either case.

At December 31, 2017, if the Canadian dollar had weakened 10% against the Group companies’ functional currencies with all other variables held constant, loss from continuing operations for the year ended December 31, 2017 would have been $9,911 lower. Conversely, if the Canadian dollar had strengthened 10% against the Group companies’ functional currencies with all other variables held constant, loss from continuing operations for the year ended December 31, 2017 would have been $9,911 higher. The reason for such change is mainly due to certain Canadian dollar-denominated financial instrument liabilities (net of assets) owed by an entity whose functional currencies were not the Canadian dollar. There would have been no impact arising from financial instruments on other comprehensive income in either case.

Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate due to changes in market interest rates. Short-term financial assets and financial liabilities are generally not exposed to significant interest rate risk, because of their short-term nature. As at December 31, 2017, the Group did not have any long-term debt due after more than one year.

Sensitivity analysis:

At December 31, 2017, if benchmark interest rates (such as EURIBOR, LIBOR or prime rates) at that date had been 100 basis points (1.00%) per annum lower with all other variables held constant, loss from continuing operations for the year ended December 31, 2017 would have been $84 lower, arising mainly as a result of lower net interest expense. Conversely, if benchmark interest rates at that date had been 100 basis points (1.00%) per annum higher with all other variables held constant, loss from continuing operations for the year ended December 31, 2017 would have been $84 higher, arising mainly as a result of higher net interest expense. There would have been no impact arising from financial instruments on the Group’s other comprehensive income.

Other price risk

Other price risk is the risk that the value of a financial instrument will fluctuate as a result of changes in market prices, whether those changes are caused by factors specific to the individual instrument or its issuer or factors affecting all instruments traded in the market. The Group’s other price risk includes equity price risk whereby the Group’s investments in equities of other entities that are classified as held for trading or available for sale are subject to market price fluctuations. The Group did not hold any asset-backed securities.

Sensitivity analysis:

At December 31, 2017, if equity prices in general had weakened 10% with all other variables held constant, loss and other comprehensive loss from continuing operations for the year ended December 31, 2017 would have been $1 higher and $77 higher, respectively. Conversely, if equity prices in general had strengthened 10% with all other variables held constant, loss and other comprehensive loss from continuing operations for the year ended December 31, 2017 would have been $1 lower and $77 lower, respectively.

In addition, the Group buys and sells futures contracts on the London Metal Exchange and enters into financial derivative contracts (e.g. futures and swaps) with banks, customers and brokers. Management uses the financial derivative contracts to manage the price fluctuations for its own account or for customers. As at December 31, 2017, in its continuing operations, the Group had outstanding derivative financial instruments with an aggregate notional amount of  $8,690 (2016: $37,324), respectively, primarily to hedge against the long position in inventories and the usage of energy, which resulted in a net unrealized fair value loss of  $131 (2016: $2,798).

Sensitivity analysis:

At December 31, 2017, if the underlying prices in the financial instrument contracts in general had weakened 10% with all other variables held constant, loss from continuing operations for the year ended December 31, 2017 would have been $5 higher. Conversely, if the underlying prices in the financial instrument contracts in general had strengthened 10% with all other variables held constant, loss from continuing operations for the year ended December 31, 2017 would have been $5 lower. There would have been no impact arising from financial instruments on other comprehensive income in either case.

The Group executes contracts with third parties for the sale and physical delivery of inventory so as to achieve a targeted price. Such contracts are not typically financial instruments and therefore are excluded from the fair value disclosures and sensitivity analyses.

Concentration risk

Management determines the concentration risk threshold amount as any single financial asset (or liability) exceeding 10% of total financial assets (or liabilities) in the Group’s consolidated statement of financial position.

The Group regularly maintains cash balances in financial institutions in excess of insured limits. The Group has deposited cash and cash equivalents, short-term cash deposits and restricted cash with reputable financial institutions with high credit ratings, and management believes the risk of loss to be remote. As at December 31, 2017, the Group had cash and cash equivalents aggregating $2,412 with a banking group in Europe. The Group also owed $45,721 in aggregate short-term banking borrowings and debt to the European banking group and had derivative contracts with an aggregate notional amount of  $14,766 with the European banking group. A customer filed for insolvency in 2016. As of December 31, 2017, the Group recognized trade receivables of  $21,375 (2016: $100,008) due from the customer and its affiliates, net of allowance for credit losses.

Offsetting a financial asset and financial liabilities

In December 2016, the Group and a financial institution reached a legally enforceable agreement whereby the Group would set off its cash account with the financial institution against its debt and payables owing to the same financial institution. The realization of the cash account and the settlement of liabilities were simultaneously completed on January 2, 2017. As a result, the financial assets were set off against the financial liabilities as at December 31, 2016 as follows:

Recognized asset and liabilities	Gross amount			Amount set off			Net amount*
Cash and cash equivalents		$	201,866		$	(81,190)		$	120,676
Debt, current portion			114,228			(77,979)			36,249
Accounts payables and accrued expenses			48,325			(3,211)			45,114

*      Amounts presented in the consolidated statement of financial position.

Additional disclosure

In addition to information disclosed elsewhere in these consolidated financial statements, the Group had significant items of income, expense, and gains and losses resulting from financial assets and financial liabilities which were included in profit or loss from continuing operations for the years ended December 31, 2017, 2016 and 2015 as follows:

	2017			2016			2015
Interest income on financial assets not at fair value through profit or loss		$	434		$	605		$	743
Interest income on financial assets classified at fair value through profit or loss			539			2,451			3,494
Total interest income		$	973		$	3,056		$	4,237
Interest expense on financial liabilities not at fair value through  profit or loss		$	3,509		$	7,747		$	3,701
Interest expense on financial liabilities classified at fair value through profit or loss			1,195			7,720			13,793
Total interest expense		$	4,704		$	15,467		$	17,494
Dividend income on financial assets at fair value through profit  or loss		$	—		$	—		$	—
Dividend income on financial assets classified as available for sale, other			—			6			7
Net gain on financial assets at fair value through profit or loss			6,825			1,240			2,829

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Fair Value Disclosure for Non-financial Assets

12 Months Ended

Dec. 31, 2017

Disclosure of fair value measurement of assets [abstract]

Fair Value Disclosure for Non-financial Assets

Note 30. Fair Value Disclosure for Non-financial Assets

The fair values of the Group’s financial instrument assets and liabilities which are measured at fair value on the consolidated statements of financial position are discussed in Note 29. The following tables present non-financial assets which are measured at fair value in the consolidated statements of financial position, classified by level of the fair value hierarchy:

Assets measured at fair value on a recurring basis as at December 31, 2017:

	Level 1			Level 2			Level 3
Inventories		$	1,039		$	271		$	—
Investment property			—			37,660			—
Total		$	1,039		$	37,931		$	—

Assets measured at fair value on a recurring basis as at December 31, 2016:

	Level 1			Level 2			Level 3
Inventories		$	1,655		$	13,529		$	—
Investment property			—			35,663			—
Total		$	1,655		$	49,192		$	—

Commodity inventories are measured at fair value less costs to sell. The fair values are determined by reference to their contractual selling prices or quoted prices in marketplaces in the absence of a contract (level 1 fair value hierarchy). An average of past sale prices is used when there are no observable market prices or current contracts but there have been recent past sales of such goods and there are no indications that the market prices have been materially impacted (level 2 fair value hierarchy).

The fair values of investment property are measured using an income approach which includes the following inputs: land value, realized basic rents, operating costs, discount rates and damages and defects (level 2 fair value hierarchy). The valuation approach was consistent for both 2017 and 2016. Both the 2017 and 2016 valuations were performed by an independent external valuator who is an authorized expert for the valuation of developed and undeveloped land in Germany and holds recognized and relevant professional qualifications and has recent experience in the location and category of the investment property being valued.

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MFC Bancorp and its Significant Subsidiaries

12 Months Ended

Dec. 31, 2017

Disclosure of information about consolidated structured entities [abstract]

MFC Bancorp and its Significant Subsidiaries

Note 31. MFC Bancorp and its Significant Subsidiaries

MFC Bancorp, through a subsidiary, has an executive office at 2-4 Merrion Row, Dublin 2, Ireland.

A subsidiary is an entity that is controlled by MFC Bancorp. The following table shows the Company’s direct and indirect significant subsidiaries as at December 31, 2017. The table excludes subsidiaries which only hold intercompany assets and liabilities and do not have an active business as well as subsidiaries whose results and net assets did not materially impact the consolidated results and net assets of the Group.

Subsidiaries	Country of Incorporation	Proportion of Interest
Kasese Cobalt Company Limited	Uganda	75%
MFC (A) Ltd	Marshall Islands	99.72%
MFC (D) Ltd	Marshall Islands	99.72%
M Financial Corp.	Barbados	100%
Merchants Financial Corp	Marshall Islands	99.96%
MFC Merchant Bank Limited	Malta	100%
Sino Medical Technology Co. Ltd	Marshall Islands	99.54%

As at December 31, 2017, the Group controlled entities in which the Group held more than 50% of the voting rights and did not control any entities in which the Group held 50% or less of the voting rights. The Group’s proportional voting interests in the subsidiaries are identical to its proportional beneficial interests, except for: (i) a non-wholly-owned subsidiary in Africa from which the Group derives a 100% beneficial interest resulting from holding a shareholder loan; and (ii) MFC (A) Ltd. and MFC (B) Ltd., in each of which the Group holds a 99.68% proportional beneficial interest. In addition, the Group consolidated certain structured entities as at December 31, 2017.

As at December 31, 2017, none of the non-controlling interests are material to the Group. During the year ended December 31, 2017, two subsidiaries, pursuant to the terms of respective option deeds, issued shares to the non-controlling interests. These share issuances were accounted for as equity transactions and were credited to non-controlling interests directly.

As at December 31, 2017, there were no significant restrictions (statutory, contractual and regulatory restrictions, including protective rights of non-controlling interests) on MFC Bancorp’s ability to access or use the assets and settle the liabilities of the Group.

During the year ended December 31, 2017, the Group sold the shares of a non-core Latin America focused commodities trading subsidiary, resulting in a gain of  $57 (see Note 28). The Group also disposed of several other subsidiaries which resulted in a net loss of  $10,276, which were included in the consolidated statement of operations.

During the year ended December 31, 2016, the Group disposed of several merchant banking subsidiaries resulting in a gain of  $3,590. The Group also recognized a total loss of  $1,005 on the dispositions of other merchant banking subsidiaries. These gain and losses on the dispositions of the subsidiaries were included in the consolidated statement of operations.

During the year ended December 31, 2015, the Group sold a 95% economic interest in certain hydrocarbon assets and the related liabilities to a third party for nominal and contingent consideration and derecognized the former subsidiaries holding these assets and liabilities. As a result, the Group recognized a non-cash post-tax loss of  $11,987 in discontinued operations upon the deconsolidation (see Note 5).

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Approval of Consolidated Financial Statements

12 Months Ended

Dec. 31, 2017

Approval Of Consolidated Financial Statements [Abstract]

Approval of Consolidated Financial Statements

Note 32. Approval of Consolidated Financial Statements

These consolidated financial statements were approved by the Board of Directors and authorized for issue on April 10, 2018.

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Basis of Presentation and Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2017

Disclosure Of Basis Of Presentation, Accounting Policies, Critical Accounting Estimates And Judgements [Abstract]

Basis of Accounting

Basis of Accounting

These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (the “IASB”). MFC Bancorp complies with all the requirements of IFRS.

These consolidated financial statements were prepared using going concern, accrual (except for cash flow information) and historical cost (except for investment property and certain inventories, financial assets and financial liabilities which are measured at fair value and certain assets that are measured at fair value less costs to sell or of disposal) bases.

The presentation currency of these consolidated financial statements is the Canadian dollar ($), rounded to the nearest thousand (except per share amounts).

Principles of Consolidation

Principles of Consolidation

These consolidated financial statements include the accounts of MFC Bancorp and entities it controls. The Company controls an investee if and only if it has all the following: (a) power over the investee; (b) exposure, or rights, to variable returns from its involvement with the investee; and (c) the ability to use its power over the investee to affect the amount of its returns. When the Group holds, directly or indirectly, more than 50% of the voting power of the investee, it is presumed that the Group controls the investee, unless it can be clearly demonstrated that this is not the case. Subsidiaries are consolidated from the date of their acquisition, being the date on which the Group obtains control, and continue to be consolidated until the date that such control ceases. All intercompany balances and transactions, including unrealized profits arising from intragroup transactions, have been eliminated in full. Unrealized losses are eliminated unless the transaction provides evidence of an impairment of the asset transferred.

On the acquisition date, a non-controlling interest is measured at either its fair value or its proportionate share in the recognized amounts of the subsidiary’s identifiable net assets, on a transaction-by-transaction basis. Subsequently, non-controlling interest increases or decreases for its share of changes in equity since the acquisition date.

After initial consolidation of a subsidiary, when the proportion of equity held by non-controlling interests changes, the Group adjusts the carrying amounts of the controlling and non-controlling interests to reflect the changes in their relative interests in the subsidiary. The Group recognizes directly in equity any difference between the amount by which the non-controlling interests are adjusted and the fair value of the consideration paid or received and attributes such difference to the owners of MFC Bancorp.

When the Group loses control of a subsidiary it: (a) derecognizes (i) the assets (including any goodwill) and liabilities of the subsidiary at their carrying amounts at the date when control is lost and (ii) the carrying amount of any non-controlling interests in the former subsidiary at the date when control is lost (including any components of other comprehensive income attributable to them); (b) recognizes (i) the fair value of the consideration received, if any, from the transaction, event or circumstances that resulted in the loss of control, (ii) if the transaction, event or circumstances that resulted in the loss of control involves a distribution of shares of the subsidiary to owners in their capacity as owners, that distribution and (iii) any investment retained in the former subsidiary at its fair value at the date when control is lost; (c) reclassifies to profit or loss, or transfers directly to retained earnings if required by IFRS, the amounts recognized in other comprehensive income in relation to the subsidiary; and (d) recognizes any resulting difference as a gain or loss in profit or loss attributable to the owners of MFC Bancorp.

The financial statements of MFC Bancorp and its subsidiaries used in the preparation of the consolidated financial statements are prepared as of the same date, using uniform accounting policies for like transactions and other events in similar circumstances.

Foreign Currency Translation

Foreign Currency Translation

The presentation currency of the Group’s consolidated financial statements is the Canadian dollar.

MFC Bancorp conducts its business throughout the world through its foreign operations. Foreign operations are entities that are subsidiaries, associates, joint arrangements or branches, the activities of which are based or conducted in countries or currencies other than those of MFC Bancorp. Functional currency is the currency of the primary economic environment in which an entity operates and is normally the currency in which the entity primarily generates and expends cash. Foreign currency is a currency other than the functional currency of the entity. The functional currencies of the Company and its subsidiaries and branches primarily comprise the Canadian dollar, Euro (“EUR” or “€”) and the United States dollar (“US$”).

Reporting foreign currency transactions in the functional currency

A foreign currency transaction is a transaction that is denominated or requires settlement in a foreign currency. A foreign currency transaction is recorded, on initial recognition in an entity’s functional currency, by applying to the foreign currency amount the spot exchange rate between the functional currency and the foreign currency at the date of the transaction. At the end of each reporting period: (a) foreign currency monetary items are translated using the closing rate; (b) non-monetary items denominated in a foreign currency that are measured in terms of historical cost are translated using the exchange rate at the date of the transaction; and (c) foreign currency non-monetary items that are measured at fair value are translated using the exchange rates at the date when the fair value was determined.

Exchange differences arising on the settlement of monetary items or on translating monetary items at rates different from those at which they were translated on initial recognition during the period or in previous periods are recognized in profit or loss in the period in which they arise, except for exchange differences arising on a monetary item that forms part of a reporting entity’s net investment in a foreign operation which are initially recorded in other comprehensive income in the consolidated financial statements and reclassified from equity to profit or loss on disposal of the net investment.

When a gain or loss on a non-monetary item is recognized in other comprehensive income, any exchange component of that gain or loss is recognized in other comprehensive income. Conversely, when a gain or loss on a non-monetary item is recognized in profit or loss, any exchange component of that gain or loss is recognized in profit or loss.

Use of a presentation currency other than the functional currency

When an entity presents its financial statements in a currency that differs from its functional currency, the results and financial position of the entity are translated into the presentation currency using the following procedures: (a) assets and liabilities for each statement of financial position presented are translated at the closing rate at the date of the statement of financial position; (b) income and expenses for each statement of operations presented are translated at exchange rates at the dates of the transactions or, for practical reasons, the average exchange rates for the periods when they approximate the exchange rates at the dates of the transactions; (c) individual items within equity are translated at either the historical exchange rates when practical or at the closing exchange rates at the date of the statement of financial position; and (d) all resulting exchange differences are recognized in other comprehensive income.

The following table sets out exchange rates for the translation of the Euro and U.S. dollar, which represented the major trading currencies of the Group, into the Canadian dollar:

	EUR		US$
Closing rate at December 31, 2017		1.5052		1.2545
Average rate for the year 2017		1.4650		1.2986
Closing rate at December 31, 2016		1.4169		1.3427
Average rate for the year 2016		1.4660		1.3248
Closing rate at December 31, 2015		1.5029		1.3840
Average rate for the year 2015		1.4182		1.2787

Fair Value Measurement

Fair Value Measurement

Certain assets and liabilities of the Group are measured at fair value (see Note 2B. Significant Accounting Policies).

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A fair value measurement is for a particular asset or liability. Therefore, when measuring fair value, the Group takes into account the characteristics of the asset or liability if market participants would take those characteristics into account when pricing the asset or liability at the measurement date. A fair value measurement assumes that the transaction to sell the asset or transfer the liability takes place either:

(a)   in the principal market for the asset or liability; or

(b)   in the absence of a principal market, in the most advantageous market for the asset or liability.

The Group measures the fair value of an asset or a liability using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest.

The Group uses valuation techniques that are appropriate in the circumstances and for which sufficient data is available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. IFRS 13, Fair Value Measurement (“IFRS 13”),establishes a fair value hierarchy that categorizes the inputs to valuation techniques used to measure fair value into three levels:

Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date.

Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly.

Level 3 inputs are unobservable inputs for the asset or liability.

Assessing the significance of a particular input to the fair value measurement in its entirety requires judgment, considering factors specific to the asset or liability.

Non-current Assets Held for Sale

Non-current Assets Held for Sale

A non-current asset (or disposal group) is classified as held for sale if its carrying amount will be recovered principally through a sale transaction rather than through continuing use. For this to be the case, the asset (or disposal group) must be available for immediate sale in its present condition subject only to terms that are usual and customary for the sale of such asset (or disposal group), the appropriate level of management must be committed to a plan to sell the asset (or disposal group) and an active program to locate a buyer and complete the plan must have been initiated. Further, the asset (or disposal group) must be actively marketed for sale at a price that is reasonable in relation to its current fair value and the sale is highly probable to complete within one year from the date of classification, except as permitted under certain events and circumstances. If the aforesaid criteria are no longer met, the Group ceases to classify the asset (or disposal group) as held for sale.

Non-current assets (and disposal groups) classified as held for sale are measured at the lower of their carrying amounts and fair values less costs to sell. The Group does not depreciate or amortize a non-current asset while it is classified as held for sale.

When the criteria for non-current assets held for sale are no longer met, the Group ceases to classify the asset (or disposal group) as held for sale. The Group measures a non-current asset (or disposal group) that ceases to be classified as held for sale at the lower of: (a) its carrying amount before the asset (or disposal group) was classified as held for sale, adjusted for any depreciation, amortization or revaluations that would have been recognized had the asset (or disposal group) not been classified as held for sale; and (b) its recoverable amount at the date of the subsequent decision not to sell.

Use of Estimates and Assumptions and Measurement Uncertainty

Use of Estimates and Assumptions and Measurement Uncertainty

The timely preparation of the consolidated financial statements in conformity with IFRS requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management’s best estimates are based on the facts and circumstances available at the time estimates are made, historical experience, general economic conditions and trends and management’s assessment of probable future outcomes of these matters. Actual results could differ from these estimates and such differences could be material. For critical judgments in applying accounting policies and major sources of estimation uncertainty (see Notes 2C and 2D).

Financial Instruments

Financial Instruments

All financial assets and financial liabilities are classified by characteristic and/or management intent. Except for certain financial instruments which are excluded from the scope, all financial assets are classified into one of four categories: (a) at fair value through profit or loss; (b) held-to-maturity; (c) loans and receivables; and (d) available-for-sale, and all financial liabilities are classified into one of two categories: (a) at fair value through profit or loss; and (b) at amortized cost.

A financial asset or financial liability at fair value through profit or loss is a financial asset or financial liability that meets either of the following conditions: (a) it is classified as held for trading if it is (i) acquired or incurred principally for the purpose of selling or repurchasing it in the near term, (ii) part of a portfolio of identified financial instruments that are managed together and for which there is evidence of a recent actual pattern of short-term profit taking, or (iii) a derivative, except for a derivative that is a designated and effective hedging instrument; or (b) it is designated by the Group upon initial recognition as at fair value through profit or loss when certain conditions are met. Generally, a financial instrument cannot be reclassified out of the fair value through profit or loss category while it is held or issued, except in rare circumstances.

Available-for-sale financial assets are those non-derivative financial assets that are designated as available for sale, or that are not classified as loans and receivables, held-to-maturity investments, or at fair value through profit or loss.

Non-derivative financial liabilities are classified as financial liabilities measured at amortized cost.

When a financial asset or financial liability is recognized initially, the Group measures it at its fair value plus, in the case of a financial asset or financial liability not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition or issue of the financial asset or financial liability. Transaction costs related to the acquisition or issue of a financial asset or financial liability at fair value through profit or loss are expensed as incurred. The subsequent measurement of a financial instrument and the recognition of associated gains and losses are determined by the financial instrument classification.

After initial recognition, the Group measures financial assets, including derivatives that are assets, at their fair values, without any deduction for transaction costs it may incur on sale or other disposal, except for the following financial assets: (a) held-to-maturity investments which are measured at amortized cost using the effective interest method; (b) loans and receivables which are measured at amortized cost using the effective interest method; and (c) investments in equity instruments that do not have a quoted market price in an active market and whose fair value cannot be reliably measured and derivatives that are linked to and must be settled by delivery of such unquoted equity instruments which are measured at cost. All financial assets except those measured at fair value through profit or loss are subject to review for impairment.

After initial recognition, the Group measures all financial liabilities at amortized cost using the effective interest method, except for financial liabilities at fair value through profit or loss (including derivatives that are liabilities), which are measured at their fair values (except for derivative liabilities that are linked to and must be settled by delivery of unquoted equity instruments whose fair value cannot be reliably measured, which should be measured at cost).

Regular way purchases and sales of financial assets are accounted for at the settlement date.

A gain or loss on a financial asset or financial liability classified as at fair value through profit or loss is recognized in profit or loss for the period in which it arises. A gain or loss on an available-for-sale financial asset is recognized in other comprehensive income, except for impairment losses, until the financial asset is derecognized, at which time the cumulative gain or loss previously recognized in accumulated other comprehensive income is recognized in profit or loss for the period. For financial assets and financial liabilities carried at amortized cost, a gain or loss is recognized in profit or loss when the financial asset or financial liability is derecognized or impaired and through the amortization process.

Whenever quoted market prices are available, bid prices are used for the measurement of fair value of financial assets while ask prices are used for financial liabilities. When the market for a financial instrument is not active, the Group establishes fair value by using a valuation technique. Valuation techniques include using recent arm’s length market transactions between knowledgeable, willing parties, if available; reference to the current fair value of another financial instrument that is substantially the same; discounted cash flow analysis; option pricing models; and other valuation techniques commonly used by market participants to price the financial instrument.

Cash and Cash Equivalents

Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, cash at banks and highly liquid investments (e.g. money market funds) readily convertible to a known amount of cash and subject to an insignificant risk of change in value. They have maturities of three months or less from the date of acquisition and are generally interest-bearing.

Securities

 Securities

Securities are classified as at fair value through profit or loss (i.e. held for trading) or short-term or long-term available-for-sale securities.

Publicly-traded securities (debt and equity) which are acquired principally for the purpose of selling in the near term are classified as held for trading. Securities held for trading are measured at their bid prices on the reporting date.

Available-for-sale securities consist of publicly-traded securities and unlisted equity securities which are not held for trading and not held to maturity. Long-term available-for-sale securities are purchased with the intention to hold until market conditions render alternative investments more attractive. Short-term available-for-sale securities are held with the intention of management to sell within the current operating cycle but do not meet the definition of trading securities.

When a decline in the fair value of an available-for-sale security has been recognized in other comprehensive income and there is objective evidence that the asset is impaired, the cumulative loss that had been recognized in other comprehensive income is reclassified from equity to profit or loss as a reclassification adjustment even though the security has not been derecognized. A significant or prolonged decline in the fair value of an investment in an equity instrument below its cost is an objective evidence of impairment. The Group considers a decline in excess of 25 percent generally as significant and a decline in a quoted market price that persists for 15 months as prolonged. Impairment losses recognized in profit or loss for an investment in an equity instrument classified as available for sale shall not be reversed through profit or loss.

If, in a subsequent period, the fair value of a debt instrument classified as available for sale increases and the increase can be objectively related to an event occurring after the impairment loss was recognized in profit or loss, the impairment loss shall be reversed, with the amount of the reversal recognized in profit or loss.

Gains and losses on sales of securities are calculated on the average cost basis.

Securities and Financial Liabilities - Derivatives

Securities and Financial Liabilities – Derivatives

A derivative is a financial instrument or other contract with all three of the following characteristics: (a) its value changes in response to the change in a specified interest rate, financial instrument price, product price, foreign exchange rate, index of prices or rates, credit rating or credit index, or other variable; (b) it requires no initial net investment or an initial net investment that is smaller than would be required for other types of contracts that would be expected to have a similar response to changes in market factors; and (c) it is settled at a future date. A derivative financial instrument is either exchange-traded or negotiated. A derivative financial instrument is included in the consolidated statement of financial position as a security (i.e. financial asset) or a financial liability and measured at fair value. The recognition and measurement of a derivative financial instrument under IAS 39, Financial Instruments: Recognition and Measurement (“IAS 39”), does not apply to a contract that is entered into and continues to be held for the purpose of the receipt or delivery of a non-financial item in accordance with the Group’s expected purchase, sale or usage requirements.

Derivatives embedded in other financial instruments or other host contracts are separated from the host contracts and accounted for separately as derivatives in the consolidated statement of financial position when their risks and characteristics are not closely related to those of the host contract.

Where the Group has both the legal right and intent to settle derivative assets and liabilities simultaneously with the counterparty, the net fair value of the derivative financial instruments is reported as an asset or liability, as appropriate.

Changes in the fair values of derivative financial instruments that do not qualify for hedge accounting are recognized in profit or loss as they arise.

Receivables

Receivables

Receivables are classified as loans and receivables and are measured at amortized cost.

Receivables are net of an allowance for credit losses, if any. The Group performs ongoing credit evaluations of its customers and adjusts the allowance accounts for specific customer risks and credit factors. Receivables are considered past due on an individual basis based on the terms of the contracts.

Allowance for Credit Losses

The Group applies credit risk assessment and valuation methods to its trade and other receivables. The Group’s allowance for credit losses is maintained at an amount considered adequate to absorb estimated credit-related losses. Such allowance reflects management’s best estimate of the losses in the Group’s receivables and judgments about economic conditions. Estimates and judgments could change in the near term, and could result in a significant change to a recognized allowance. Credit losses arise primarily from receivables but may also relate to other credit instruments issued by or on behalf of the Group, such as guarantees and letters of credit. An allowance for credit losses is increased by provisions, which are recognized in profit or loss and reduced by write-offs net of any recoveries.

Specific provisions are established on an individual receivable basis. Write-offs are generally recorded after all reasonable restructuring or collection activities have taken place and there is no realistic prospect of recovery.

If, in a subsequent period, the amount of an impairment loss decreases and the decrease is related objectively to an event occurring after the impairment was recognized, the previously recognized impairment loss is reversed either directly or by adjusting the allowance account.

Allowance for Credit Losses

(vi) Allowance for Credit Losses

The Group applies credit risk assessment and valuation methods to its trade and other receivables. The Group’s allowance for credit losses is maintained at an amount considered adequate to absorb estimated credit-related losses. Such allowance reflects management’s best estimate of the losses in the Group’s receivables and judgments about economic conditions. Estimates and judgments could change in the near term, and could result in a significant change to a recognized allowance. Credit losses arise primarily from receivables but may also relate to other credit instruments issued by or on behalf of the Group, such as guarantees and letters of credit. An allowance for credit losses is increased by provisions, which are recognized in profit or loss and reduced by write-offs net of any recoveries.

Specific provisions are established on an individual receivable basis. Write-offs are generally recorded after all reasonable restructuring or collection activities have taken place and there is no realistic prospect of recovery.

If, in a subsequent period, the amount of an impairment loss decreases and the decrease is related objectively to an event occurring after the impairment was recognized, the previously recognized impairment loss is reversed either directly or by adjusting the allowance account.

Inventories

Inventories

Inventories principally consist of raw materials, work-in-progress, and finished goods. Inventories, other than products acquired in commodity activities, are recorded at the lower of cost and net realizable value. Cost, where appropriate, includes an allocation of manufacturing overheads incurred in bringing inventories to their present location and condition and is assigned by using the first-in, first-out or weighted average cost formula, depending on the class of inventories. Net realizable value represents the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution. The amount of any write-down of inventories to net realizable value and all losses of inventories are recognized as an expense in the period the write-down or loss occurs. The reversal of a write-down of inventories arising from an increase in net realizable value is recognized as a reduction in the amount of costs of sales and services in the period in which the reversal occurs.

Commodity products acquired by the Group as a broker-trader in the Group’s merchant banking activities with the purpose of selling in the near future and generating a profit from fluctuations in price or broker-traders’ margin are measured at fair value less costs to sell.

Real Estate Held for Sale

(viii) Real Estate Held for Sale

Real estate held for sale is real estate intended for sale in the ordinary course of business or in the process of construction or development for such sale.

Real estate held for sale is accounted for as inventories measured at the lower of cost (on a specific item basis) and net realizable value. Net realizable value is estimated by reference to sale proceeds of similar properties sold in the ordinary course of business less all estimated selling expenses around the reporting date, or by management estimates based on prevailing market conditions. The amount of any write-down of properties to net realizable value is recognized as an expense in the period the write-down occurs. The reversal of a write-down arising from an increase in net realizable value is recognized in the period in which the reversal occurs.

All of the Group’s real estate held for sale is located in Europe.

Investment Property

 Investment Property

Investment property is property that is held for generating rental income or for capital appreciation or both, rather than for: (a) use in the production or supply of goods or services or for administrative purposes; or (b) sale in the ordinary course of business. The Group’s investment property comprises freehold land and buildings. Investment property is initially recognized at cost including related transaction costs. After initial recognition, investment property is measured at fair value, with changes in fair value recognized in profit or loss in the period in which they arise.

The Group determines fair value without any deduction for transaction costs it may incur on sale or other disposal. Fair value of the Group’s investment property is based on valuations prepared annually by external evaluators in accordance with guidance issued by the International Valuation Standard Committee and reviewed by the Group, or these valuations are updated by management when there are no significant changes in the inputs to the valuation prepared by external evaluators in the preceding year, in accordance with guidance on fair value in IFRS 13.

Property, Plant and Equipment

 Property, Plant and Equipment

Property, plant and equipment are carried at cost, net of accumulated depreciation and, if any, accumulated impairment losses. The initial cost of an item of property, plant and equipment comprises its purchase price or construction cost, any costs directly attributable to bringing the asset into operation, the initial estimate of any decommissioning obligation, if any, and, for qualifying assets, borrowing costs. The purchase price or construction cost is the aggregate amount paid and the fair value of any other consideration given to acquire the asset. Where an item of property, plant and equipment or part of the item that was separately depreciated is replaced and it is probable that future economic benefits associated with the replacement item will flow to the Group, the cost of the replacement item is capitalized and the carrying amount of the replaced asset is derecognized. All other replacement expenditures are recognized in profit or loss when incurred.

Inspection costs associated with major maintenance programs are capitalized and amortized over the period to the next inspection. All other maintenance costs are expensed as incurred.

The depreciable amounts of the Group’s property, plant, and equipment (i.e. the costs of the assets less their residual values) are depreciated according to the following estimated useful lives and methods:

	Lives	Method
Buildings	20 years		straight-line
Processing plant and equipment	5 to 20 years		straight-line
Refinery and power plants	20 to 30 years		straight-line
Office equipment and other	3 to 10 years		straight-line

Depreciation expense is included in costs of sales and services or selling, general and administrative expense, whichever is appropriate.

The residual value and the useful life of an asset are reviewed at least at each financial year-end and, if expectations differ from previous estimates, the changes, if any, are accounted for as a change in an accounting estimate in accordance with IAS 8, Accounting Policies, Changes in Accounting Estimates and Errors. The depreciation method applied to an asset is reviewed at least at each financial year-end and, if there has been a significant change in the expected pattern of consumption of the future economic benefits embodied in the asset, the method is changed to reflect the changed pattern.

The carrying amount of an item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected to arise from the continued use of the asset. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the item) is included in profit or loss in the period in which the item is derecognized.

Interests in Resource Properties

Interests in Resource Properties

The Group’s interests in resource properties comprise exploration and evaluation assets (comprising hydrocarbon probable reserves and hydrocarbon unproved lands), hydrocarbon development and production assets and an interest in an iron ore mine.

(a) Exploration and evaluation assets

Exploration and evaluation costs, including the costs of acquiring undeveloped land and drilling costs are initially capitalized until the drilling of the well is complete and the results have been evaluated in order to determine the technical feasibility and commercial viability of the asset. Technical feasibility and commercial viability are considered to be determinable when proved and/or probable reserves are determined to exist. When proved and/or probable reserves are found, the drilling costs and the costs of associated hydrocarbon unproved lands are reclassified to hydrocarbon development and production assets or from hydrocarbon unproved lands to hydrocarbon probable reserves. The cost of hydrocarbon undeveloped land that expires or any impairment recognized during a period is charged to profit or loss. Pre-license costs are recognized in profit or loss as incurred.

(b) Hydrocarbon development and production assets and an interest in an iron ore mine

The Group’s interests in resource properties include an interest in an iron ore mine and hydrocarbon development and production assets.

(1) Recognition and measurement

Interests in resource properties are initially measured at cost and subsequently carried at cost less accumulated depletion and, if any, accumulated impairment losses.

The cost of an interest in resource property includes the initial purchase price and directly attributable expenditures to find, develop, construct and complete the asset. This cost includes reclassifications from exploration and evaluation assets, installation or completion of infrastructure facilities such as platforms, pipelines and the drilling of development wells, including unsuccessful development or delineation wells. Any costs directly attributable to bringing the asset to the location and condition necessary to operate as intended by management and result in an identifiable future benefit are also capitalized. These costs include an estimate of decommissioning obligations and, for qualifying assets, capitalized borrowing costs.

(2) Subsequent costs

Costs incurred subsequent to the determination of technical feasibility and commercial viability and the costs of replacing parts of property are capitalized only when they increase the future economic benefits embodied in the specific asset to which they relate. Such capitalized costs generally represent costs incurred in developing proved reserves and bringing in, or enhancing production from, such reserves and are accumulated on a field or geotechnical area basis. All other expenditures are recognized in profit or loss as incurred. The costs of periodic servicing of the properties are recognized in costs of sales and services as incurred.

The carrying amount of any replaced or sold component is derecognized.

(3) Depletion

The carrying amount of an interest in a resource property is depleted using the unit of production method by reference to the ratio of production in the period to the related reserves.

For interests in hydrocarbon development and production assets, depletion is calculated based on proved producing reserves, taking into account estimated future development costs necessary to bring those reserves into production and the estimated salvage values of the assets at the end of their estimated useful lives. Future development costs are estimated taking into account the level of development required to continue to produce the reserves. Reserves for hydrocarbon development and production assets are estimated annually by independent qualified reserve evaluators and represent the estimated quantities of natural gas, natural gas liquids and crude oil which geological, geophysical and engineering data demonstrate with a specified degree of certainty to be recoverable in future years from known reservoirs and which are considered commercially producible. For depletion purposes, relative volumes of petroleum and natural gas production and reserves are converted at the energy equivalent conversion rate of six thousand cubic feet of natural gas to one barrel of crude oil.

For the royalty interest in an iron ore mine, depletion is calculated based on proved and probable reserves. The estimate of the reserves of iron ore is reviewed whenever significant new information about the reserve is available, or at least at each financial year-end.

Impairment of Non-financial Assets

Impairment of Non-financial Assets

The Group reviews the carrying amounts of its non-financial assets at each reporting date to determine whether there is any indication of impairment. If any such indication exists, an asset’s recoverable amount is estimated.

The recoverable amount is the higher of an asset’s fair value less costs of disposal and value in use. Where an individual asset does not generate separately identifiable cash flows, an impairment test is performed at the cash-generating unit (“CGU”) level. A CGU is the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets. Where the carrying amount of an asset (or CGU) exceeds its recoverable amount, the asset (or CGU) is considered impaired and written down to its recoverable amount. In assessing value in use, the estimated future cash flows are discounted to their present value using a discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs of disposal, an appropriate valuation model is used. These calculations are corroborated by external valuation metrics or other available fair value indicators wherever possible.

An assessment is made at the end of each reporting period whether there is an indication that previously recognized impairment losses no longer exist or have decreased. If such indication exists, an estimate of the assets (or CGU’s) recoverable amount is reviewed. A previously recognized impairment loss is reversed to the extent that the events or circumstances that triggered the original impairment have changed. The reversal is limited so that the carrying amount of the asset does not exceed its recoverable amount, nor exceed the carrying amount that would have been determined, net of depreciation, depletion and amortization, had no impairment loss been recognized for the asset in prior periods. A reversal of an impairment loss for a CGU is allocated to the assets of the CGU pro-rata with the carrying amounts of those assets.

Hydrocarbon probable reserves are tested for impairment when they are reclassified to hydrocarbon development and production assets or when indicators exist that suggest the carrying amount may exceed the recoverable amount. For purposes of impairment testing, hydrocarbon probable reserves are grouped with related producing resource properties as a CGU with common geography and geological characteristics.

Unproved lands are evaluated for indicators separately from hydrocarbon development and production assets and hydrocarbon probable reserves. Impairment is assessed by comparing the carrying amount of unproved lands to values determined by an independent land evaluator based on recent market transactions. Management also takes into account future plans for those properties, the remaining terms of the leases and any other factors that may be indicators of potential impairment.

Defined Benefit Pension Plan

Defined Benefit Pension Plan

Prior to October 1, 2017, the Group had defined benefit pension plans.

The Group recognizes an accrued pension obligation, which represents the deficit of a defined benefit pension plan and is calculated by deducting the fair value of plan assets from the present value of the defined benefit obligations, in the consolidated statement of financial position. When the Group has a surplus in a defined benefit plan, it measures the net defined benefit asset at the lower of: (a) the surplus in the defined benefit plan; and (b) the asset ceiling. The Group accounts not only for its legal obligation under the formal terms of a defined benefit plan, but also for any constructive obligation that arises from the Group’s informal practices. An asset relating to one plan is not offset against a liability relating to another plan.

The Group uses the projected unit credit method to determine the present value of its defined benefit obligations and the related current service cost and, where applicable, past service cost. Actuarial assumptions are unbiased and mutually compatible and comprise demographic and financial assumptions.

Past service cost, which is the change in the present value of the defined benefit obligation for employee service in prior periods resulting from a plan amendment or curtailment, is recognized as an expense at the earlier of when the amendment/curtailment occurs or when the Group recognizes related restructuring or termination costs. The gain or loss on a settlement, which is the difference between the present value of the defined benefit obligation being settled and the settlement price, is recognized in profit or loss when the settlement occurs.

Current service cost and net interest on the accrued pension obligation are recognized in profit or loss.

Remeasurements of the accrued pension obligation, which comprise actuarial gains and losses, the return on plan assets (excluding amounts included in net interest on the net defined benefit liability (asset)) and any change in the effect of the asset ceiling (excluding amounts included in net interest on the net defined benefit liability (asset)), are recognized in other comprehensive income and are not reclassified to profit or loss in a subsequent period.

Provisions and Contingencies

Provisions and Contingencies

Provisions are recognized when the Group has a present obligation as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. Provisions are measured at management’s best estimate of the expenditure required to settle the obligation at the reporting date. Where appropriate, the future cash flow estimates are adjusted to reflect risks specific to the liability. If the effect of the time value of money is material, provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. Where discounting is used, the increase in the provision due to the passage of time is recorded as accretion and included in finance costs.

Contingent liabilities are possible obligations whose existence will only be confirmed by future events not wholly within the control of the Group. Contingent liabilities, other than those assumed in connection with business combinations which are measured at fair value at the acquisition date, are not recognized in the consolidated financial statements but are disclosed unless the possibility of an outflow of economic resources is considered remote. Legal costs in connection with a loss contingency are recognized in profit or loss when incurred.

The Group does not recognize a contingent or reimbursement asset unless it is virtually certain that the contingent or reimbursement asset will be received.

Puttable Instrument Financial Liabilities

Puttable Instrument Financial Liabilities

A puttable financial instrument represents a contractual obligation for the issuer to repurchase or redeem the instrument for cash or another financial asset on exercise of the put. Puttable instruments held by non-controlling interests in a subsidiary are classified as a financial liability, which is recognized at an amount equal to the present value of the amount that could be required to be paid to the counterparties. Changes in the measurement of the obligation due to the unwinding of the discount or changes in the amount that the Group could be required to pay are recognized in profit or loss.

The financial liability is reclassified to equity when all the features of and conditions for classification as equity are met. At such time, equity is measured at the carrying amount of the financial liability at the date of reclassification.

Decommissioning Obligations

Decommissioning Obligations

The Group provides for decommissioning, restoration and similar liabilities (collectively, decommissioning obligations) on its resource properties, facilities, production platforms, pipelines and other facilities based on estimates established by current legislation and industry practices. The decommissioning obligation is initially measured at fair value and capitalized to interests in resource properties or property, plant and equipment as an asset retirement cost. The liability is estimated by discounting expected future cash flows required to settle the liability using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. The estimated future asset retirement costs are adjusted for risks such as project, physical, regulatory and timing. The estimates are reviewed periodically. Changes in the provision as a result of changes in the estimated future costs or discount rates are added to or deducted from the asset retirement cost in the period of the change. The liability accretes for the effect of time value of money until it is settled. The capitalized asset retirement cost is amortized through depreciation, depletion and amortization over the estimated useful life of the related asset. Actual asset retirement expenditures are recorded against the obligation when incurred. Any difference between the accrued liability and the actual expenditures incurred is recorded as a gain or loss in the settlement period.

Own Equity Instruments

Own Equity Instruments

The Group’s holdings of its own equity instruments, including common stock and preferred stock, are presented as “treasury stock” and deducted from shareholders’ equity at cost and in the determination of the number of equity shares outstanding. No gain or loss is recognized in profit or loss on the purchase, sale, re-issue or cancellation of the Group’s own equity instruments.

Revenue Recognition

Revenue Recognition

Revenues include proceeds from sales of merchant banking products and services, real estate properties, medical instruments and supplies, rental income on investment property, interest and dividend income and net gains on securities. In an agency relationship, revenue is the amount of commission earned.

Revenue from the sale of goods is recognized when: (a) the Group has transferred to the buyer the significant risks and rewards of ownership of the goods (which generally coincides with the time when the goods are delivered to the buyer and title has passed); (b) the Group retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold; (c) the amount of revenue can be measured reliably; (d) it is probable that the economic benefits associated with the transaction will flow to the Group; and (e) the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Revenue from the rendering of services is recognized when: (a) the amount of revenue can be measured reliably; (b) it is probable that the economic benefits associated with the transaction will flow to the Group; (c) the stage of completion of the transaction at the reporting date can be measured reliably; and (d) the costs incurred for the transaction and the costs to complete the transaction can be measured reliably.

Revenue is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business, net of discounts, customs duties and sales taxes. When the Group charges shipping and handling fees to customers, such fees are included in sales revenue. Where the Group acts as an agent on behalf of a third party to procure or market goods, any associated fee income is recognized and no purchase or sale is recorded.

Interest, royalty and dividend income are recognized when it is probable that economic benefits will flow to the Group and the amount of income can be measured reliably. Interest income is recognized using the effective interest method. Royalty income is recognized on an accrual basis in accordance with the substance of the relevant agreements. Dividend income is recognized when the Group’s right as a shareholder to receive payment is established.

Costs of Sales and Services

Costs of Sales and Services

Costs of sales and services include the costs of goods (merchant banking products and services, real estate properties, medical instruments and supplies) sold. The costs of goods sold include both the direct cost of materials and indirect costs, freight charges, purchasing and receiving costs, inspection costs, distribution costs and a provision for warranty when applicable.

Costs of sales and services also include write-downs of inventories, net loss on securities, credit losses on loans and receivables and fair value gain and loss on investment property, commodity inventories and derivative contracts.

The reversal of write-downs of inventories and allowance for credit losses reduces the costs of sales and services.

Employee Benefits

Employee Benefits

Wages, salaries, bonuses, social security contributions, paid annual leave and sick leave are accrued in the period in which the associated services are rendered by employees of the Group. The employee benefits are included in costs of sales and services or selling, general and administrative expenses, as applicable.

Leases

 Leases

A lease is classified as an operating lease if it does not transfer substantially all the risks and rewards incidental to ownership of the leased asset. Operating lease payments are expensed in profit or loss over the term of the lease on a straight line basis.

Share-Based Compensation

Share-Based Compensation

The cost of equity-settled transactions with employees is measured by reference to the fair value of the equity instruments on the date at which the equity instruments are granted and is recognized as an expense over the vesting period, which ends on the date on which the relevant employees become fully entitled to the award. Fair value is determined by using an appropriate valuation model. At each reporting date before vesting, the cumulative expense is calculated, representing the extent to which the vesting period has expired and management’s best estimate of the achievement or otherwise of non-market conditions and the number of equity instruments that will ultimately vest. The movement in cumulative expense since the previous reporting date is recognized in profit or loss, with a corresponding amount in equity.

When the terms of an equity-settled award are modified or a new award is designated as replacing a cancelled or settled award, the cost based on the original award terms continues to be recognized over the original vesting period. In addition, an expense is recognized over the remainder of the new vesting period for the incremental fair value of any modification, based on the difference between the fair value of the original award and the fair value of the modified award, both as measured on the date of the modification. No reduction is recognized if this difference is negative. When an equity-settled award is cancelled other than by forfeiture when the vesting conditions are not satisfied, it is treated as if it had vested on the date of cancellation and any cost not yet recognized in profit or loss for the award is expensed immediately.

Share-based compensation expenses are included in selling, general and administrative expenses. When stock options are exercised, the exercise price proceeds together with the amount initially recorded in contributed surplus are credited to capital stock.

Finance Costs

Finance Costs

Finance costs comprise interest expense on borrowings, accretion of the discount on provisions, decommissioning obligations and other liabilities and charges and fees relating to factoring transactions.

Finance costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use. All other finance costs are recognized in profit or loss in the period in which they are incurred.

Capital stock and debt are recorded at the amount of proceeds received, net of direct issue costs (transaction costs). The transaction costs attributable to debt issued are amortized over the debt term using the effective interest method.

Income Taxes

 Income Taxes

Income tax expense (recovery) comprises current income tax expense (recovery) and deferred income tax expense (recovery) and includes all domestic and foreign taxes which are based on taxable profits. The current income tax provision is based on the taxable profits for the period. Taxable profit differs from income before income taxes as reported in the statements of operations because it excludes items of income or expense that are taxable or deductible in other periods and items that are never taxable or deductible. The Group’s liability for current income tax is calculated using tax rates that have been enacted or substantively enacted by the reporting date. Deferred income tax is provided, using the liability method, on all temporary differences at the reporting date between the tax bases of assets and liabilities and their carrying amounts in the consolidated statement of financial position.

Deferred income tax liabilities are recognized for all taxable temporary differences:

-       except where the deferred income tax liability arises on goodwill that is not tax deductible or the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss.

-       in respect of taxable temporary differences associated with investments in subsidiaries and branches, except where the Group is able to control the timing of the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future.

Deferred income tax assets are recognized for all deductible temporary differences, carry-forward of unused tax credits and unused tax losses, to the extent that it is probable that taxable profit will be available against which the deductible temporary differences and the carry-forward of unused tax credits and unused tax losses can be utilized:

-       except where the deferred income tax asset arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss.

-       in respect of deductible temporary differences associated with investments in subsidiaries and branches, deferred tax assets are recognized only to the extent that it is probable that the temporary differences will reverse in the foreseeable future.

On the reporting date, management reviews the Group’s deferred income tax assets to determine whether it is probable that the benefits associated with these assets will be realized. The Group also reassesses unrecognized deferred income tax assets. The review and assessment involve evaluating both positive and negative evidence. The Group recognizes a previously unrecognized deferred income tax asset to the extent that it has become probable that future taxable profit will allow the deferred income tax asset to be recovered.

Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted at the reporting date. Tax relating to items recognized in other comprehensive income or equity is recognized in other comprehensive income or equity and not in profit or loss.

Deferred income tax assets and liabilities are offset when there is a legally enforceable right to set off current income tax assets against current income tax liabilities, and when they relate to income tax levied by the same taxation authority and the Group intends to settle its current income tax assets and liabilities on a net basis.

Withholding taxes (which include withholding taxes payable by a subsidiary on distributions to the Group) are treated as income taxes when they have the characteristics of an income tax. This is considered to be the case when they are imposed under government authority and the amount payable is calculated by reference to revenue derived.

The Group includes interest charges and penalties on current income tax liabilities as a component of interest expense.

Earnings Per Share

Earnings Per Share

Basic earnings per share is determined by dividing net income attributable to ordinary equity holders of MFC Bancorp by the weighted average number of common shares outstanding during the period, net of treasury stock.

Diluted earnings per share is determined using the same method as basic earnings per share, except that the weighted average number of common shares outstanding includes the effect of dilutive potential ordinary shares. For the purpose of calculating diluted earnings per share, the Group assumes the exercise of its dilutive options with the assumed proceeds from these instruments regarded as having been received from the issue of common shares at the average market price of common shares during the period. The difference between the number of common shares issued and the number of common shares that would have been issued at the average market price of common shares during the period is treated as an issue of common shares for no consideration and added to the weighted average number of common shares outstanding. The amount of the dilution is the average market price of common shares during the period minus the issue price and the issue price includes the fair value of services to be supplied to the Group in the future under the share-based payment arrangement. Potential ordinary shares are treated as dilutive when, and only when, their conversion to ordinary shares would decrease earnings per share or increase loss per share from continuing operations.

When share-based payments are granted during the period, the shares issuable are weighted to reflect the portion of the period during which the payments are outstanding. The shares issuable are also weighted to reflect forfeitures occurring during the period. When stock options are exercised during the period, shares issuable are weighted to reflect the portion of the period prior to the exercise date and actual shares issued are included in the weighted average number of shares outstanding from the exercise date.

Business Combinations

Business Combinations

The Group accounts for each business combination by applying the acquisition method. Pursuant to the acquisition method, the Group, when a business combination occurs and it is identified as the acquirer, determines the acquisition date (on which the Group legally transfers the consideration, acquires the assets and assumes the liabilities of the acquiree), recognizes and measures the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquiree, and recognizes and measures goodwill or a gain from a bargain purchase (i.e. negative goodwill). The identifiable assets acquired and the liabilities assumed are measured at their acquisition-date fair values. A non-controlling interest is measured at either its fair value or its proportionate share in the recognized amounts of the subsidiary’s identifiable net assets, on a transaction-by-transaction basis.

The consideration transferred in a business combination is measured at fair value, which is calculated as the sum of the acquisition-date fair values of the assets transferred by the Group, the liabilities incurred by the Group to former owners of the acquiree and the equity interests issued by the Group.

In a business combination achieved in stages, the Group remeasures its previously held equity interest in the acquiree at its acquisition-date fair value and recognizes the resulting gain or loss, if any, in profit or loss.

If the initial accounting for a business combination is incomplete by the end of the reporting period in which the combination occurs, the Group reports in its financial statements provisional amounts for the items for which the accounting is incomplete. During the measurement period, the Group retrospectively adjusts the provisional amounts recognized at the acquisition date to reflect new information obtained about facts and circumstances that existed as of the acquisition date and, if known, would have affected the measurement of the amounts recognized as of that date. During the measurement period, the Group also recognizes additional assets or liabilities if new information is obtained about facts and circumstances that existed as of the acquisition date and, if known, would have resulted in the recognition of those assets and liabilities as of that date. The measurement period ends as soon as the Group receives the information it was seeking about facts and circumstances that existed as of the acquisition date or learns that more information is not obtainable. However, the measurement period does not exceed one year from the acquisition date.

Acquisition-related costs are costs the Group incurs to effect a business combination. Those costs include finder’s fees; advisory, legal, accounting, valuation and other professional or consulting fees; general administrative costs, including the costs of maintaining an internal acquisitions department; and costs of registering and issuing debt and equity securities. The Group accounts for acquisition-related costs as expenses in the periods in which the costs are incurred and the services are received, except for the costs to issue debt or equity securities (see Significant Accounting Policy Item (xxiii) above).

Critical Judgments in Applying Accounting Policies

Critical Judgments in Applying Accounting Policies

In the process of applying the Group’s accounting policies, management makes various judgments, apart from those involving estimations under Note 2D below, that can significantly affect the amounts it recognizes in the consolidated financial statements. The following are the critical judgments that management has made in the process of applying the Group’s accounting policies and that have the most significant effects on the amounts recognized in the consolidated financial statements:

(i) Identification of Cash-generating Units

The Group’s assets are aggregated into CGUs, for the purpose of assessing and calculating impairment, based on their ability to generate largely independent cash flows. The determination of CGUs requires judgment in defining the smallest identifiable group of assets that generate cash inflows that are largely independent of the cash inflows from other assets or groups of assets. CGUs have been determined based on similar geological structure, shared infrastructure, geographical proximity, product type and similar exposure to market risks. In the event facts and circumstances surrounding factors used to determine the Group’s CGUs change, the Group will re-determine the groupings of CGUs.

(ii) Assets Held for Sale and Discontinued Operations

The Group applies judgment to determine whether an asset (or disposal group) is available for immediate sale in its present condition and that its sale is highly probable and therefore should be classified as held for sale at the balance sheet date. In order to assess whether it is highly probable that the sale can be completed within one year, or the extension period in certain circumstances, management reviews the business and economic factors, both macro and micro, which include the industry trends and capital markets, and the progress towards a sale transaction. It is also open to all forms of sales, including exchanges of non-current assets for other non-current assets when the exchange will have commercial substance in accordance with IAS 16, Property, Plant and Equipment.

A discontinued operation is a component of an entity (which comprises operations and cash flows that can be clearly distinguished, operationally and, for financial reporting purposes, from the rest of the entity) that either has been disposed of or is classified as held for sale. While a component of the entity has distinguished financial data, judgments must be exercised on the presentation of inter-company transactions between components that are presented as discontinued operations and those that are presented as continuing operations. Furthermore, the allocation of income tax expense (recovery) also involves the exercise of judgments as the tax position of continuing operations may have an impact on the tax position of discontinued operations, or vice versa.

(iii) Consolidation

Judgment is required when assessing whether the Group controls and therefore consolidates an entity, particularly an entity with complex share capital, management/decision-making or financing structures. Judgment is required to determine whether the Group has decision-making power over the key relevant activities of an investee, whether the Group has exposure or rights to variable returns from its involvement with the investee and whether the Group has the ability to use that power to affect its returns.

(iv) Purchase Price Allocations

For each business combination, the Group measures the identifiable assets acquired and the liabilities assumed at their acquisition-date fair values. The determination of fair value requires the Group to make assumptions, estimates and judgments regarding future events, including the profit forecast of the new subsidiary in the future. The allocation process is inherently subjective and impacts the amounts assigned to individual identifiable assets and liabilities, including the fair value of long-lived assets, the recognition and measurement of any unrecorded intangible assets and/or contingencies and the final determination of the amount of goodwill or bargain purchase. The inputs to the exercise of judgments include legal, contractual, business and economic factors. As a result, the purchase price allocation impacts the Group’s reported assets and liabilities and future net earnings due to the impact on future depreciation, depletion and amortization and impairment tests.

(v) Impairment of Receivables

A receivable is considered impaired when there is objective evidence that there has been a deterioration of credit quality subsequent to the initial recognition of the receivable to the extent the Group no longer has reasonable assurance as to the timely collection of the full amount of principal and interest. The Group assesses receivables for objective evidence of impairment individually for receivables that are individually significant, and collectively for receivables that are not individually significant. Management exercises judgment as to the timing of designating a receivable as impaired, the amount of the allowance required and the amount that will be recovered by taking into consideration collateral that is directly linked to the receivable.

Major Sources of Estimation Uncertainty

Major Sources of Estimation Uncertainty

The timely preparation of the consolidated financial statements requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses.

The major assumptions about the future and other major sources of estimation uncertainty at the end of the reporting period that have a significant risk of resulting in a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below. These items require management’s most difficult, subjective or complex estimates. Actual results may differ materially from these estimates.

(i) Interests in Resource Properties and Reserve Estimates

The Group had interests in resource properties with an aggregate carrying amount of  $92,551 as at December 31, 2017.

Estimation of reported recoverable quantities of proved and probable reserves include judgmental assumptions regarding production profile, prices of products produced, exchange rates, remediation costs, timing and amount of future development costs and production, transportation and marketing costs for future cash flows. It also requires interpretation of geological and geophysical models in anticipated recoveries. The economical, geological and technical factors used to estimate reserves may change from period to period. Changes in reported reserves can impact the carrying amounts of the Group’s interests in resource properties and/or property, plant and equipment, the recognition of impairment losses and reversal of impairment losses, the calculation of depletion and depreciation, the provision for decommissioning obligations and the recognition of deferred income tax assets or liabilities due to changes in expected future cash flows. The recoverable quantities of reserves and estimated cash flows from the Group’s hydrocarbon interests are independently evaluated by reserve engineers at least annually.

The Group’s hydrocarbon reserves represent the estimated quantities of petroleum, natural gas and natural gas liquids which geological, geophysical and engineering data demonstrate with a specified degree of certainty to be economically recoverable in future years from known reservoirs and which are considered commercially producible. Such reserves may be considered commercially producible if management has the intention of developing and producing them and such intention is based upon: (a) a reasonable assessment of the future economics of such production; (b) a reasonable expectation that there is a market for all or substantially all the expected hydrocarbon production; and (c) evidence that the necessary production, transmission and transportation facilities are available or can be made available. Reserves may only be considered proven and probable if producibility is supported by either production or conclusive formation tests.

Included in interests in resource properties as at December 31, 2017, were exploration and evaluation assets with an aggregate carrying amount of  $21,702. Exploration and evaluation assets are assessed for impairment when facts and circumstances suggest that the carrying amount of an exploration and evaluation asset may exceed its recoverable amount and upon reclassification to hydrocarbon development and production assets. If such indicators exist, impairment, if any, is determined by comparing the carrying amounts to the recoverable amounts. The measurement of the recoverable amount involves a number of assumptions, including the timing, likelihood and amount of commercial production, further resource assessment plans and future revenue and costs expected from the asset, if any.

(ii) Impairment of Other Non-financial Assets

The Group had property, plant and equipment aggregating $83,954 as at December 31, 2017, consisting mainly of two power plants and a natural gas processing facility. Impairment of the Group’s non-financial assets is evaluated at the CGU level. In testing for impairment, the recoverable amounts of the Company’s CGUs are determined as the higher of their values in use and fair values less costs of disposal. In the absence of quoted market prices, the recoverable amount is based on estimates of future production rates, future product selling prices and costs, discount rates and other relevant assumptions. Increases in future costs and/or decreases in estimates of future production rates and product selling prices may result in a write-down of the Group’s property, plant and equipment.

(iii) Taxation

The Group is subject to tax in a number of jurisdictions and judgment is required in determining the worldwide provision for income taxes. Deferred income taxes are recognized for temporary differences using the liability method, with deferred income tax liabilities generally being provided for in full (except for taxable temporary differences associated with investments in subsidiaries, branches and associates and interests in joint arrangements where the Group is able to control the timing of the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future) and deferred income tax assets being recognized to the extent that it is probable that future taxable profits will be available against which the temporary differences can be utilized.

The operations and organization structures of the Group are complex, and related tax interpretations, regulations and legislation are continually changing. As a result, there are usually some tax matters in question that result in uncertain tax positions. The Group only recognizes the income tax benefit of an uncertain tax position when it is probable that the ultimate determination of the tax treatment of the position will result in that benefit being realized.

The Group companies’ income tax filings are subject to audit by taxation authorities in numerous jurisdictions. There are audits in progress and items under review, some of which may increase the Group’s income tax liabilities. In addition, the companies have filed appeals and have disputed certain issues. While the results of these items cannot be ascertained at this time, the Group believes that the Group has an adequate provision for income taxes based on available information.

The Group recognized deferred income tax assets of  $16,694 as at December 31, 2017. In assessing the realizability of deferred income tax assets, management considers whether it is probable that some portion or all of the deferred income tax assets will be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible or before tax loss and tax credit carry-forwards expire. Management considers the future reversals of existing taxable temporary differences, projected future taxable income, taxable income in prior years and tax planning strategies in making this assessment. Unrecognized deferred income tax assets are reassessed at the end of each reporting period.

The Group provides for future income tax liabilities in respect of uncertain tax positions where additional income tax may become payable in future periods and such provisions are based on management’s assessment of exposure. The Group did not recognize the full deferred tax liability on taxable temporary differences associated with investments in subsidiaries and branches where the Group is able to control the timing of the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future. The Group may change its investment decision in its normal course of business, thus resulting in additional income tax liabilities.

(iv) Contingencies

Pursuant to IAS 37, Provisions, Contingent Liabilities and Contingent Assets, the Group does not recognize a contingent liability. By their nature, contingencies will only be resolved when one or more future events occur or fail to occur. The assessment of contingencies inherently involves the exercise of significant judgment and estimates of the outcome of future events. If it becomes probable that an outflow of future economic benefits will be required for an item previously accounted for as a contingent liability, an accrual or a provision is recognized in the consolidated financial statements of the period in which the change in probability occurs. See Note 26 for further disclosures on contingencies.

(v) Allowance for Credit Losses

The Group applies credit risk assessment and valuation methods to its trade and other receivables (see Note 2B(vi)). In February 2016, a customer of the Group filed for insolvency, which was an adjusting subsequent event in 2015 under IAS 10, and, as a result, the Group had to determine an allowance for credit losses against the trade receivables due from the customer and its affiliates, the provisions under certain guarantees which the Group had issued and the potential recoveries as at December 31, 2015. The recognition and measurement of these provisions was a complex process, involving a significant degree of judgment and a high level of estimation uncertainty. The factors considered include the Group’s legal rights and obligations under all the contracts and collateral which include inventories, mortgages and other credit enhancement instruments. After the recognition of impairment losses, the Group had net trade receivables of  $21,375 due from the customer and its affiliates as at December 31, 2017 (see Note 7).

Accounting Changes

Accounting Changes

Future Accounting Changes

IFRS 9, Financial Instruments, (“IFRS 9”), issued in July 2014, is the IASB’s replacement for IAS 39. IFRS 9 includes requirements for recognition and measurement, impairment, derecognition and general hedge accounting. The version of IFRS 9 issued in 2014 supersedes all previous versions and is mandatorily effective for annual reporting periods beginning on or after January 1, 2018. Management completed its assessment of the impacts of IFRS 9 on the Group’s consolidated financial statements and does not expect that IFRS 9 will have significant impacts on the Group’s consolidated financial statements except for additional disclosures. Accumulated other comprehensive income of  $526 on available-for-sale equity securities will be reclassified to opening deficit upon the initial adoption of IFRS 9. In accordance with the transition rules of IFRS 9, the Group will not restate its consolidated financial statements for prior periods but will recognize the difference between the previous carrying amount and the revised carrying amount on initial application of IFRS9 in opening deficit as at January 1, 2018.

IFRS 15, Revenue from Contracts with Customers (“IFRS 15”), specifies how and when an entity will recognize revenue as well as requiring such entities to provide users of financial statements with more informative, relevant disclosures. The standard provides a single, principles based five-step model to be applied to all contracts with customers. IFRS 15 is effective for annual reporting periods beginning on or after January 1, 2018. Management completed its assessment of the impacts of IFRS 15 on the Group’s consolidated financial statements and does not expect that IFRS 15 will have significant impacts on the Group’s consolidated financial statements except for additional disclosures.

IFRS 16, Leases (“IFRS 16”), issued in January 2016, introduces a single on-balance sheet model of accounting for leases by lessees that eliminates the distinction between operating and finance leases. Lessor accounting remains largely unchanged and the distinction between operating and finance leases is retained. IFRS 16 supersedes IAS 17, Leases, and related interpretations and is effective for annual reporting periods beginning on or after January 1, 2019, with earlier application permitted if IFRS 15 has also been applied. Management will adopt IFRS 16 in 2019 and is currently assessing the impacts of IFRS 16 on the Group’s consolidated financial statements.

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Basis of Presentation and Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Basis Of Presentation, Accounting Policies, Critical Accounting Estimates And Judgements [Abstract]

Schedule of sets out exchange rates for the translation of the Euro and U.S. dollar

	EUR		US$
Closing rate at December 31, 2017		1.5052		1.2545
Average rate for the year 2017		1.4650		1.2986
Closing rate at December 31, 2016		1.4169		1.3427
Average rate for the year 2016		1.4660		1.3248
Closing rate at December 31, 2015		1.5029		1.3840
Average rate for the year 2015		1.4182		1.2787

Schedule of estimated useful lives and methods of property, plant and equipment

	Lives	Method
Buildings	20 years		straight-line
Processing plant and equipment	5 to 20 years		straight-line
Refinery and power plants	20 to 30 years		straight-line
Office equipment and other	3 to 10 years		straight-line

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Capital Disclosure on the Group's Objectives, Policies and Processes for Managing Its Capital (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of objectives, policies and processes for managing capital [abstract]

Schedule of debt or long term debt to adjusted capital or equity ratio

As at December 31:	2017	2016
Total debt	$      43,733	$    116,813
Less: cash and cash equivalents	(74,870)	(120,676)
Net debt	Not applicable	Not applicable
Shareholders’ equity	277,780	327,520
Debt-to-adjusted capital ratio	Not applicable	Not applicable

As at December 31:	2017	2016
Long-term debt	$          —	$      80,564
Shareholders’ equity	277,780	327,520
Long-term debt-to-equity ratio	Not applicable	0.25

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Assets Classified as Held for Sale and Discontinued Operations (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Assets Classified As Held For Sale And Discontinued Operation [Abstract]

Schedule of major assets and liabilities of commodities trading subsidiary

The major assets and liabilities of the commodities trading subsidiary as at December 31, 2016 comprised the following:

Current assets	$	42,293
Non-current assets		3,374
Total assets held for sale		45,667
Debt		(20,140)
Other liabilities		(9,757)
Total liabilities relating to assets held for sale		(29,897)
Net assets held for sale	$	15,770

Schedule of discontinued operations

	2015			2015
	Hydrocarbon  properties			Iron ore  interest
Revenues		$	62,384		$	—
Costs and expenses			(215,779)			(27,397)
Loss before income taxes			(153,395)			(27,397)
Income tax expense			(48,623)			—
Net loss from discontinued operations			(202,018)			(27,397)
Loss on disposal of assets			—			—
Income tax expense			(11,987)			—
Net loss on disposal of assets			(11,987)			—
Total loss from discontinued operations		$	(214,005)		$	(27,397)

Schedule of non cash impairment losses before income taxes on tangible assets and resource properties

	2015
Hydrocarbon properties		$	148,877
Interest in an iron ore development project			27,397
Gross impairment		$	176,274

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Business Segment Information (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of operating segments [abstract]

Schedule of segment operating

	Year ended December 31, 2017
	Merchant  banking			All other			Total
Revenues from external customers		$	256,412		$	17,623		$	274,035
Intersegment sale			1,668			204			1,872
Interest expense			4,931			—			4,931
Loss before income taxes			(28,254)			(10,153)			(38,407)

	Year ended December 31, 2016
	Merchant  banking			All other			Total
Revenues from external customers		$	1,095,896		$	35,761		$	1,131,657
Intersegment sale			1,975			360			2,335
Interest expense			15,751			—			15,751
Loss before income taxes			(13,785)			(2,921)			(16,706)

	Year ended December 31, 2015
	Merchant  banking			All other			Total
Revenues from external customers		$	1,593,879		$	35,221		$	1,629,100
Intersegment sale			1,705			175			1,880
Interest expense			17,631			11			17,642
Loss before income taxes			(290,342)			(453)			(290,795)

	As at December 31, 2017
	Merchant  banking			All other			Total
Segment assets		$	343,649		$	53,298		$	396,947

	As at December 31, 2016
	Merchant  banking			All other			Total
Segment assets (recast)		$	589,017		$	61,321		$	650,338

	As at December 31, 2017
	Merchant  banking			All other			Total
Segment liabilities		$	106,713		$	10,285		$	116,998

	As at December 31, 2016
	Merchant  banking			All other			Total
Segment liabilities (recast)		$	306,206		$	14,702		$	320,908

Schedule of geographic information

Years ended December 31:	2017			2016			2015
Cayman Islands (country of domicile since July 2017)		$	—		$	—		$	—
Canada (country of domicile until July 2017)			19,595			28,328			77,199
Germany (country generating the largest revenues)			122,643			280,552			473,835
Africa			4,283			32,519			26,376
Americas			22,446			256,598			309,217
Asia			14,894			113,821			176,766
Europe			90,174			419,839			564,669
Other			—			—			1,038
		$	274,035		$	1,131,657		$	1,629,100

As at December 31:	2017			2016
Canada (country having the largest non-current assets)		$	144,452		$	138,281
Africa			32,258			31,710
Americas			—			876
Asia			889			6,957
Europe			52,501			49,464
		$	230,100		$	227,288

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Trade Receivables (Tables)

12 Months Ended

Dec. 31, 2017

Trade and other receivables [abstract]

Schedule of trade receivable

As at December 31:	2017			2016
Trade receivables, gross amount	​	$	43,207	​	$	194,450
Less: Allowance for credit losses	​	​	(8,948)	​	​	(58,488)
Trade receivables, net amount	​	$	34,259	​	$	135,962

Schedule of trade receivables that were past due but not impaired

Past-due	2017			2016
Below 30 days	​	$	7,322	​	$	6,767
Between 31 and 60 days	​	​	728	​	​	1,847
Between 61 and 90 days	​	​	1,175	​	​	799
Between 91 and 365 days	​	​	1,813	​	​	16,491
Over 365 days	​	​	314	​	​	45
​	​	$	11,352	​	$	25,949

Schedule of aging analysis of imapired trade receivables

Past-due	2017			2016
Below 30 days	​	$	—	​	$	7,690
Between 31 and 60 days	​	​	—	​	​	489
Between 61 and 90 days	​	​	—	​	​	745
Between 91 and 365 days	​	​	—	​	​	131,946
Over 365 days	​	​	30,337	​	​	15,373
​	​	​	30,337	​	​	156,243
Allowance for credit losses	​	​	(8,948)	​	​	(58,488)
Expected recoverable amount of impaired trade receivables(1)	​	$	21,389	​	$	97,755

(1)

The recoverable amount of impaired trade receivables is covered by credit insurance, bank guarantees and/or other credit enhancements and, therefore, management of the Group believes this entire net amount to be collectible in the ordinary course of business.

Schedule of movements in the allowance for credit losses

​	2017			2016
Balance, beginning of the year	​	$	58,488	​	$	21,210
Additions	​	​	12,213	​	​	46,601
Reversals	​	​	(1,541)	​	​	(1,185)
Write-offs	​	​	(7,726)	​	​	(1,529)
Disposition of subsidiaries	​	​	(33,999)	​	​	—
Other	​	​	(21,099)	​	​	(5,123)
Currency translation adjustment	​	​	2,612	​	​	(1,486)
Balance, end of the year	​	$	8,948	​	$	58,488

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Other Receivables (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Other Current Receivables [Abstract]

Schedule of other current receivables

As at December 31:	2017			2016
Royalty income	​	$	4,525	​	$	4,000
Receivables from insurance company/supplier	​	​	—	​	​	2,110
Suppliers with debit balance	​	​	293	​	​	9,670
Loans	​	​	321	​	​	7,763
Other	​	​	16,551	​	​	11,708
​	​	$	21,690	​	$	35,251

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Inventories (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Inventories [Abstract]

Schedule of inventories

As at December 31:	2017			2016
Raw materials		$	3,632		$	5,404
Work-in-progress			3,444			289
Finished goods			1,440			10,488
Commodity inventories			1,310			15,184
Other			—			589
		$	9,826		$	31,954
Comprising:
Inventories contracted at fixed prices or hedged		$	1,475		$	21,071
Inventories – other			8,351			10,883
		$	9,826		$	31,954

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Deposits, Prepaid and Other (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Deposits Prepaid And Other [Abstract]

Schedule of deposits, prepaid and other

As at December 31:	2017			2016
Prepayments and deposits for inventories		$	303		$	11,117
Other			2,075			1,078
		$	2,378		$	12,195

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Investment Property (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of detailed information about investment property [abstract]

Schedule Of Changes In Investment Property

Changes in investment property included in non-current assets:	2017			2016
Balance, beginning of year		$	35,663		$	37,873
Change in fair value during the year			(26)			(39)
Disposals			(194)			—
Currency translation adjustments			2,217			(2,171)
Balance, end of year		$	37,660		$	35,663

Schedule of rental Income investment property

Years ended December 31:	2017			2016			2015
Rental income		$	1,510		$	1,511		$	1,474
Direct operating expenses (including repairs and maintenance) arising from investment property that generated rental income during the year			256			226			279

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Property, Plant and Equipment (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of detailed information about property, plant and equipment [abstract]

Schedule of changes in property, plant and equipment

Costs	Opening balance			Additions			Disposals			Dispositions of subsidiaries*			Reclassified from inventories			Impairments			Currency translation adjustments			Ending balance
Land and buildings	​	$	944	​	$	26	​	$	—	​	$	(1,221)	​	$	—	​	$	—	​	$	251	​	$	—
Refinery and power plants	​	​	91,392	​	​	—	​	​	—	​	​	—	​	​	3,786	​	​	—	​	​	(2,744)	​	​	92,434
Processing plant and equipment	​	​	18,880	​	​	987	​	​	(8,678)	​	​	57	​	​	—	​	​	(7,863)	​	​	320	​	​	3,703
Office equipment	​	​	5,189	​	​	300	​	​	(1,343)	​	​	(3,163)	​	​	—	​	​	—	​	​	152	​	​	1,135
​	​	$	116,405	​	$	1,313	​	$	(10,021)	​	$	(4,327)	​	$	3,786	​	$	(7,863)	​	$	(2,021)	​	$	97,272

*

Net of acquisition of a subsidiary

Accumulated depreciation

Opening balance

Additions

Disposals

Dispositions of subsidiaries

Impairments

Currency translation adjustments

Ending balance

Land and buildings

​

$

208

​

$

344

​

$

—

​

$

(598)

​

$

—

​

$

46

​

$

—

Refinery and power plants

​

​

9,308

​

​

2,267

​

​

—

​

​

—

​

​

—

​

​

(528)

​

​

11,047

Processing plant and equipment

​

​

3,545

​

​

1,377

​

​

(2,294)

​

​

(27)

​

​

(1,223)

​

​

248

​

​

1,626

Office equipment

​

​

3,901

​

​

384

​

​

(1,118)

​

​

(2,639)

​

​

—

​

​

117

​

​

645

​

​

​

16,962

​

$

4,372

​

$

(3,412)

​

$

(3,264)

​

$

(1,223)

​

$

(117)

​

​

13,318

Carrying amount

​

$

99,443

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

$

83,954

The following changes in property, plant and equipment were recorded during the year ended December 31, 2016:

Costs	Opening balance			Additions			Disposals			Dispositions of subsidiaries*			Reclassified from assets held for sale			Reclassified to assets held for sale			Reclassified from resource properties			Currency translation adjustments			Ending balance
Land and buildings	​	$	5,890	​	$	119	​	$	—	​	$	(324)	​	$	—	​	$	(4,745)	​	$	—	​	$	4	​	$	944
Refinery and power plants	​	​	67,336	​	​	—	​	​	—	​	​	—	​	​	20,255	​	​	—	​	​	5,000	​	​	(1,199)	​	​	91,392
Processing plant and equipment	​	​	34,548	​	​	3,194	​	​	(262)	​	​	(25,340)	​	​	8,128	​	​	(646)	​	​	—	​	​	(742)	​	​	18,880
Office equipment	​	​	8,515	​	​	770	​	​	(22)	​	​	(2,918)	​	​	—	​	​	(237)	​	​	—	​	​	(919)	​	​	5,189
​	​	$	116,289	​	$	4,083	​	$	(284)	​	$	(28,582)	​	$	28,383	​	$	(5,628)	​	$	5,000	​	$	(2,856)	​	$	116,405

*

Net of acquisition of a subsidiary

Accumulated depreciation

Opening balance

Additions

Disposals

Dispositions of subsidiaries

Reclassified to assets held for sale

Currency translation adjustments

Ending balance

Land and buildings

​

$

1,600

​

$

367

​

$

—

​

$

(139)

​

$

(1,663)

​

$

43

​

$

208

Refinery and power plants

​

​

6,860

​

​

2,641

​

​

—

​

​

—

​

​

—

​

​

(193)

​

​

9,308

Processing plant and equipment

​

​

8,392

​

​

5,403

​

​

—

​

​

(9,283)

​

​

(421)

​

​

(546)

​

​

3,545

Office equipment

​

​

3,692

​

​

880

​

​

—

​

​

(727)

​

​

(170)

​

​

226

​

​

3,901

​

​

​

20,544

​

$

9,291

​

$

—

​

$

(10,149)

​

$

(2,254)

​

$

(470)

​

​

16,962

Carrying amount

​

$

95,745

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

$

99,443

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Interests in Resource Properties (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Interests In Resource Properties [Abstract]

Schedule of components of interests in resource properties

	2017			2016
Interest in an iron ore mine		$	30,000		$	30,000
Hydrocarbon development and production assets			40,849			29,692
Exploration and evaluation assets – hydrocarbon probable reserves			12,367			9,416
Exploration and evaluation assets – hydrocarbon unproved lands			9,335			10,039
		$	92,551		$	79,147

Schedule of movements in interest in resoruce properties

The movements in the interest in the iron ore mine and hydrocarbon development and production assets included in non-current assets during the year ended December 31, 2017 were as follows:

Costs	Opening balance			Decommissioning obligations			Reversal of impairment losses			Ending balance
Interest in an iron ore mine	​	$	30,000	​	$	—	​	$	—	​	$	30,000
Hydrocarbon development and production assets	​	​	32,353	​	​	254	​	​	13,264	​	​	45,871
​	​	$	62,353	​	$	254	​	$	13,264	​	$	75,871

Accumulated depreciation

Opening balance

Additions

Reversal of impairment losses

Ending balance

Interest in an iron ore mine

​

$

—

​

$

—

​

$

—

​

$

—

Hydrocarbon development and production assets

​

​

2,661

​

​

2,361

​

​

—

​

​

5,022

​

​

​

2,661

​

$

2,361

​

$

—

​

​

5,022

Carrying amount

​

$

59,692

​

​

​

​

​

​

​

$

70,849

The movements in the interest in the iron ore mine and hydrocarbon development and production assets included in non-current assets during the year ended December 31, 2016 were as follows:

Costs	Opening balance			Decommissioning obligations			Reclassification to refinery and power plants			Reclassified from assets held for sale			Reversal of impairment losses			Ending balance
Interest in an iron ore mine	​	$	—	​	$	—	​	$	—	​	$	30,000	​	$	—	​	$	30,000
Hydrocarbon development and production assets	​	​	—	​	​	(4,988)	​	​	(5,000)	​	​	34,669	​	​	7,672	​	​	32,353
​	​	$	—	​	$	(4,988)	​	$	(5,000)	​	$	64,669	​	$	7,672	​	$	62,353

Accumulated depreciation

Opening balance

Additions

Reclassification

Reclassified from assets held for sale

Reversal of impairment losses

Ending balance

Interest in an iron ore mine

​

$

—

​

$

—

​

$

—

​

$

—

​

$

—

​

$

—

Hydrocarbon development and production assets

​

​

—

​

​

2,661

​

​

—

​

​

—

​

​

—

​

​

2,661

​

​

​

—

​

$

2,661

​

$

—

​

$

—

​

$

—

​

​

2,661

Carrying amount

​

$

—

​

​

​

​

​

​

​

​

​

​

​

​

​

$

59,692

Schedule of movements in exploration and evaluation assets

	2017						2016
	Probable  reserves			Unproved  lands			Probable  reserves			Unproved  lands
Balance, beginning of year		$	9,416		$	10,039		$	—		$	—
Additions			—			—			—			790
Disposal			—			(74)			—			—
Reclassifications from assets held for sale			—			—			7,732			10,039
Reversal (recognition) of impairment (losses)			2,951			(630)			1,684			(790)
Balance, end of year		$	12,367		$	9,335		$	9,416		$	10,039

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Deferred Income Tax Assets and Liabilities (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Deferred Tax Assets And Liabilities [Abstract]

Schedule of of temporary differences of deferred income tax assets and liabilities

As at December 31:	2017			2016
Non-capital tax loss carry-forwards		$	18,450		$	24,308
Interests in resource properties			(10,536)			(10,370)
Other assets			2,237			5,304
Other liabilities			(3,760)			(9,948)
		$	6,391		$	9,294
Presented on the consolidated statements of financial position as follows:
Deferred income tax assets		$	16,694		$	16,647
Deferred income tax liabilities			(10,303)			(7,353)
Net		$	6,391		$	9,294

Schedule of estimated accumulated non capital losses

As at December 31, 2017, the Group had estimated accumulated non-capital losses, which expire in the following countries as follows. Management is of the opinion that not all of these non-capital losses are probable to be utilized in the future.

Country	Gross amount			Amount for which no deferred income tax asset is recognized	Expiration dates
Canada		$	24,075	$         —	2033-2036
Germany			2,554	—	Indefinite
Austria			340,600	340,600	Indefinite
Uganda			51,563	46,253	Indefinite
Malta			98,354	70,056	Indefinite

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Short-term Bank Borrowings (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Short Term Borrowings [Abstract]

Schedule of short-term bank borrowings

As at December 31:	2017			2016
Credit facilities from banks		$	2,074		$	95,416

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Debt (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Debt Securities [Abstract]

Schedule of long term debt agreements

As at December 31:	2017			2016
Due to a bank, US$19,430 and US$19,428 at December 31, 2017 and 2016,  respectively, fixed interest plus an interest margin and backup guarantee fee on  US$19,428 (5.05% at December 31, 2017) and payable quarterly, secured by  intercompany loan receivables and due in equal annual repayments with final  repayment in September 2022		$	24,374		$	26,085
Due to a bank, €nil and €16,414 at December 31, 2017 and 2016, respectively			—			23,257
Due to banks, €nil and €8,000 at December 31, 2017 and 2016,			—			11,335
Due to a bank €nil and €25,900 at December 31, 2017 and 2016, respectively			—			36,699
Due to a bank, €13,605 and €14,642 at December 31, 2017 and 2016, respectively,  €13,404 at a fixed interest rate (2.7% at December 31, 2017) and the remainder  at EURIBOR plus an interest margin (1.55% at December 31, 2017) and  payable quarterly, due in semi-annual repayments with final payment in May  2025. Repayments totaling $1,559 were past-due at December 31, 2017.			19,359			19,437
		$	43,733		$	116,813
Current portion		$	43,733		$	36,249
Long-term portion			—			80,564
		$	43,733		$	116,813

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Account Payables and Accrued Expenses (Tables)

12 Months Ended

Dec. 31, 2017

Current prepayments and current accrued income [abstract]

Schedule of account payables and accrued expenses

As at December 31:	2017			2016
Trade and account payables	​	$	39,528	​	$	27,053
Value-added, goods and services and other taxes (other than income taxes)	​	​	2,559	​	​	3,610
Compensation	​	​	392	​	​	1,837
Contract liabilities	​	​	769	​	​	535
Deposits from customers	​	​	—	​	​	1,471
Acquisition price payables	​	​	—	​	​	1,716
Sale of shares on behalf of other	​	​	—	​	​	3,067
Provision for guarantee	​	​	1,502	​	​	—
Other	​	​	—	​	​	5,825
​	​	$	44,750	​	$	45,114

XML

Decommissioning Obligations (Tables)

12 Months Ended

Dec. 31, 2017

Provision for decommissioning, restoration and rehabilitation costs [abstract]

Schedule of decommissioning obligations

​	2017			2016
Decommissioning obligations, beginning of year	​	$	13,219	​	$	—
Reclassifications from liabilities relating to assets held for sale	​	​	—	​	​	17,923
Changes in estimates	​	​	255	​	​	(4,988)
Accretion	​	​	225	​	​	284
Decommissioning obligations, end of year	​	$	13,699	​	$	13,219

XML

Shareholders' Equity (Tables)

12 Months Ended

Dec. 31, 2017

Equity [abstract]

Schedule of treasury stock

As at December 31:	2017			2016
Common shares			65,647			65,647
Preferred shares			—			4,621,571
Total number of treasury stock			65,647			4,687,218
Total carrying amount of treasury stock		$	2,643		$	61,085

XML

Consolidated Statements of Operations (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Consolidated Statements Of Operations [Abstract]

Schedule of gross revenue

Years ended December 31:	2017			2016			2015
Merchant banking products and services		$	249,581		$	1,078,745		$	1,580,935
Interest			973			3,056			4,237
Dividends			—			6			7
Other			23,481			49,850			43,921
Gross revenues		$	274,035		$	1,131,657		$	1,629,100

Schedule of group's costs of sales and services comprised

Years Ended December 31:	2017			2016			2015
Merchant banking products and services		$	223,049		$	1,027,627		$	1,512,970
Credit losses on loans and receivables and guarantees, net of recoveries			23,923*			17,023*			54,540
Market value (increase) decrease on commodity inventories			(400)			4,273			1,910
(Gain) loss on derivative contracts, net			(1,934)			521			(2,913)
Loss on securities, net			619			116			84
Dispositions of subsidiaries			10,219			(2,585)			—
Write-offs of payables			(3,779)			—			—
Other			11,889			14,077			7,277
Total costs of sales and services		$	263,586		$	1,061,052		$	1,573,868

*          Includes credit losses of  $8,585 on receivables due from a former consolidated entity in the year ended December 31, 2017 (2016: $11,296).

Schedule of costs of sales and services

The Group included the following items in costs of sales and services:

Years ended December 31:	2017			2016			2015
Inventories as costs of goods sold (including depreciation, amortization and depletion expenses allocated to costs of goods sold)	​	$	206,644	​	$	974,497	​	$	1,464,925

Additional information on the nature of expenses incurred in continuing operations

Years Ended December 31:	2017			2016			2015
Depreciation, amortization and depletion	​	$	6,732	​	$	11,951	​	$	6,450
Employee benefits expenses	​	​	21,016	​	​	31,890	​	​	37,951

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Share-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of terms and conditions of share-based payment arrangement [abstract]

Schedule of changes in stock options granted

	2017 Plan		2017 Plan		2008 Plan		2008 Plan		1997 Plan		1997 Plan
	Number  of  options		Weighted  average  exercise  price  per share  (US$)		Number  of  options		Weighted  average  exercise  price  per share  (US$)		Number  of  options		Weighted  average  exercise  price  per share  (US$)
Outstanding as at December 31, 2014		—		—		172,000		39.15		293,000		39.05
Expired				—		—		—		(18,500)		39.05
Outstanding as at December 31, 2015		—		—		172,000		39.15		274,500		39.05
Expired		—		—		(132,000)		39.05		(274,500)		39.05
Outstanding as at December 31, 2016		—		—		40,000		40.05		—		—
Exchanged under the Arrangement		40,000		40.05		(40,000)		40.05		—		—
Granted		535,000		8.76		—		—		—		—
Outstanding as at December 31, 2017		575,000		10.94		—		—		—		—
As at December 31, 2017:
Options exercisable		575,000		10.94		—				—
Options available for granting in future  periods		403				—				—

Schedule of information about stock options outstanding and exercisable

	Options Outstanding and Exercisable
Exercise Price per Share (US$)	Number outstanding		Weighted average remaining contractual life (in years)
$40.05		40,000		1.25
$8.76		535,000		9.92
		575,000		9.31

Schedule of share-based compensation expenses recognized

Years ended December 31:	2017			2016			2015
Share-based compensation expenses arising from stock options granted by the Company		$	2,876		$	—		$	—

Schedule of black-scholes-merton formula

Number of options granted	535,000
Vesting requirements	Immediately
Contractual life	10 years
Method of settlement	In equity
Exercise price per share	US$8.76
Market price per share on grant date	US$8.40
Expected volatility	37.74%
Expected option life	10 years
Expected dividends	0.00%
Risk-free interest rate	2.38%
Fair value of option granted (per option)	$5.38(US$4.22)

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Income Taxes (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Detailed Information About Income Taxes [Abstract]

Schedule of income (loss) from continuing operations

Years ended December 31:	2017			2016			2015
Canada		$	7,360		$	380		$	(238,545)
Outside Canada			(45,767)			(17,086)			(52,250)
		$	(38,407)		$	(16,706)		$	(290,795)

Schedule of income tax (expense) recovery

Years ended December 31:	2017			2016			2015
Current taxes		$	(3,744)		$	(4,540)		$	(4,282)
Deferred taxes			(3,141)			(1,454)			50,800
Resource revenues taxes			(1,773)			(1,020)			(325)
		$	(8,658)		$	(7,014)		$	46,193

Schedule of reconciliation of the loss before income taxes

Years ended December 31:	2017			2016			2015
Loss before income taxes		$	(38,407)		$	(16,706)		$	(290,795)
Computed recovery of income taxes		$	9,792		$	4,344		$	75,607
Decrease (increase) in income taxes resulting from:
Subsidiaries’ tax rate differences			—			714			(1,107)
Other non-taxable income			7			6,057			2,774
Revisions to prior years			4,650			(112)			227
Taxable capital gains on dispositions, net			(3,150)			(3,543)			13
Resource property revenue taxes			(1,311)			(755)			(241)
Unrecognized losses in current year			(20,916)			(15,623)			(30,469)
Previously unrecognized deferred income tax assets, net			2,877			5,747			1,449
Deferred income tax asset on a purchased asset			—			—			1,339
Permanent differences			(363)			(1,448)			(3,865)
Change in future tax rate			—			—			11
Other, net			(244)			(2,395)			455
(Provision for) recovery of income taxes		$	(8,658)		$	(7,014)		$	46,193

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Earnings Per Share (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure For Earnings Per Share [Abstract]

Schedule of earnings per share

​	2017			2016			2015
Basic loss available to holders of common shares	​	$	(47,855)	​	$	(25,361)	​	$	(246,228)
Effect of dilutive securities:	​	​	—	​	​	—	​	​	—
Diluted loss	​	$	(47,855)	​	$	(25,361)	​	$	(246,228)

​	Number of Shares
​	2017		2016		2015
Weighted average number of common shares outstanding – basic	​	12,544,141	​	12,628,454	​	12,628,454
Effect of dilutive securities:	​	​	​	​	​	​
Options	​	—	​	—	​	—
Weighted average number of common shares outstanding – diluted	​	12,544,141	​	12,628,454	​	12,628,454

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Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure Of Commitments And Contingencies [Abstract]

Schedule of future minimum rentals under long-term non-cancellable operating leases

Years ending December 31:	Amount
2018		$	1,765
2019			655
2020			555
2021			449
2022			390
Thereafter			26
		$	3,840

Schedule of future minimum commitments under long-term non-cancellable operating leases

Years ending December 31:	Amount
2018		$	988
2019			487
2020			61
2021			19
2022			—
Thereafter			—
		$	1,555

XML

Consolidated Statements of Cash Flows - Supplemental Disclosure (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of reconciliation of liabilities arising from financing activities [abstract]

Schedule of reconciliation of liabilities arising from financing activities

Year ended December 31, 2017:	Debt
Opening balance	​	$	116,813
Cash flows	​	​	(42,253)
Non-cash changes:	​	​	​
Disposition of subsidiaries	​	​	(34,996)
Accretion	​	​	187
Cumulative transaction adjustments	​	​	3,982
Ending balance	​	$	43,733

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Related Party Transactions (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of transactions between related parties [abstract]

Schedule of transactions with related party

Years ended December 31:	2017			2016			2015
Sales of goods	​	$	—	​	$	—	​	$	3,349

Schedule of key management personnel

Years ended December 31:	2017			2016			2015
Short-term employee benefits	​	$	1,777	​	$	2,296	​	$	2,719
Directors’ fees	​	​	576	​	​	634	​	​	479
Share-based compensation	​	​	713	​	​	—	​	​	—
Total	​	$	3,066	​	$	2,930	​	$	3,198

XML

Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of detailed information about financial instruments [abstract]

Schedule of carrying amounts that approximate their fair values due to their short-term nature

As at December 31:

2017

2016

​

Carrying  Amount

Fair  Value

Carrying  Amount

Fair  Value

Financial Assets:

​

​

​

​

​

​

​

​

​

​

​

​

Fair value through profit or loss:

​

​

​

​

​

​

​

​

​

​

​

​

Short-term securities

​

$

6

​

$

6

​

$

7

​

$

7

Derivative assets

​

​

246

​

​

246

​

​

1,240

​

​

1,240

Loans and receivables:

​

​

​

​

​

​

​

​

​

​

​

​

Long-term loan receivables (including current portion)

​

​

—

​

​

—

​

​

9,392

​

​

9,392

Available-for-sale instruments:

​

​

​

​

​

​

​

​

​

​

​

​

Securities, at fair value

​

​

5,892

​

​

5,892

​

​

5,572

​

​

5,572

Securities (including restricted non-current assets – securities), at cost

​

​

—

​

​

—

​

​

232

​

​

232

Financial Liabilities:

​

​

​

​

​

​

​

​

​

​

​

​

Financial liabilities measured at amortized cost:

​

​

​

​

​

​

​

​

​

​

​

​

Debt

​

$

43,733

​

$

43,733

​

$

116,813

​

$

118,015

Fair value through profit or loss:

​

​

​

​

​

​

​

​

​

​

​

​

Derivative liabilities

​

​

302

​

​

302

​

​

6,454

​

​

6,454

Schedule of statements of financial position classified by level of the fair value hierarchy

As at December 31, 2017

Level 1

Level 2

Level 3

Total

Financial Assets:

​

​

​

​

​

​

​

​

​

​

​

​

Fair value through profit or loss:

​

​

​

​

​

​

​

​

​

​

​

​

Short-term securities

​

$

6

​

$

—

​

$

—

​

$

6

Derivative assets

​

​

—

​

​

246

​

​

—

​

​

246

Available-for-sale:

​

​

​

​

​

​

​

​

​

​

​

​

Securities

​

​

5,892

​

​

—

​

​

—

​

​

5,892

Total

​

$

5,898

​

$

246

​

$

—

​

$

6,144

Financial Liabilities:

​

​

​

​

​

​

​

​

​

​

​

​

Fair value through profit or loss:

​

​

​

​

​

​

​

​

​

​

​

​

Derivative liabilities

​

$

—

​

$

302

​

$

—

​

$

302

As at December 31, 2016

Level 1

Level 2

Level 3

Total

Financial Assets:

​

​

​

​

​

​

​

​

​

​

​

​

Fair value through profit or loss:

​

​

​

​

​

​

​

​

​

​

​

​

Short-term securities

​

$

7

​

$

—

​

$

—

​

$

7

Derivative assets

​

​

—

​

​

1,240

​

​

—

​

​

1,240

Available-for-sale:

​

​

​

​

​

​

​

​

​

​

​

​

Securities

​

​

5,572

​

​

—

​

​

—

​

​

5,572

Total

​

$

5,579

​

$

1,240

​

$

—

​

$

6,819

Financial Liabilities:

​

​

​

​

​

​

​

​

​

​

​

​

Fair value through profit or loss:

​

​

​

​

​

​

​

​

​

​

​

​

Derivative liabilities

​

$

—

​

$

6,454

​

$

—

​

$

6,454

Schedule of nature of the risks of financial instruments

​	Risks
​	​		Market risks
Financial instrument	Credit	Liquidity	Currency	Interest rate	Other price
Cash and cash equivalents and short-term cash deposits	X	​	X	X	​
Short-term securities	​	​	X	​	X
Long-term securities	​	​	X	​	X
Derivative securities and financial liabilities	X	X	X	​	X
Receivables	X	​	X	​	​
Short-term bank borrowings	​	X	X	​	​
Account payables and accrued expenses	​	X	X	​	​
Debt	​	X	X	X	​

Schedule of maximum credit risk exposure

Cash and cash equivalents and short-term cash deposits	$	75,064
Derivative assets	​	246
Receivables	​	55,949
Amounts recognized in the consolidated statement of financial position	​	131,259
Guarantees (see Note 26)	​	—
Maximum credit risk exposure	$	131,259

Schedule of financial assets were set off against the financial liabilities

Recognized asset and liabilities	Gross amount			Amount set off			Net amount*
Cash and cash equivalents	​	$	201,866	​	$	(81,190)	​	$	120,676
Debt, current portion	​	​	114,228	​	​	(77,979)	​	​	36,249
Accounts payables and accrued expenses	​	​	48,325	​	​	(3,211)	​	​	45,114

*

Amounts presented in the consolidated statement of financial position.

Schedule of profit or loss from continuing operations

​	2017			2016			2015
Interest income on financial assets not at fair value through profit or loss	​	$	434	​	$	605	​	$	743
Interest income on financial assets classified at fair value through profit or loss	​	​	539	​	​	2,451	​	​	3,494
Total interest income	​	$	973	​	$	3,056	​	$	4,237
Interest expense on financial liabilities not at fair value through  profit or loss	​	$	3,509	​	$	7,747	​	$	3,701
Interest expense on financial liabilities classified at fair value through profit or loss	​	​	1,195	​	​	7,720	​	​	13,793
Total interest expense	​	$	4,704	​	$	15,467	​	$	17,494
Dividend income on financial assets at fair value through profit  or loss	​	$	—	​	$	—	​	$	—
Dividend income on financial assets classified as available for sale, other	​	​	—	​	​	6	​	​	7
Net gain on financial assets at fair value through profit or loss	​	​	6,825	​	​	1,240	​	​	2,829

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Fair Value Disclosure for Non-financial Assets (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of fair value measurement of assets [abstract]

Schedule of non-financial assets measured at fair value in consolidated statements of financial position, classified by level

Assets measured at fair value on a recurring basis as at December 31, 2017:

	Level 1			Level 2			Level 3
Inventories		$	1,039		$	271		$	—
Investment property			—			37,660			—
Total		$	1,039		$	37,931		$	—

Assets measured at fair value on a recurring basis as at December 31, 2016:

	Level 1			Level 2			Level 3
Inventories		$	1,655		$	13,529		$	—
Investment property			—			35,663			—
Total		$	1,655		$	49,192		$	—

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MFC Bancorp and its Significant Subsidiaries (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of information about consolidated structured entities [abstract]

Schedule of country of incorporation and proportion of interest

Subsidiaries	Country of Incorporation	Proportion of Interest
Kasese Cobalt Company Limited	Uganda	75%
MFC (A) Ltd	Marshall Islands	99.72%
MFC (D) Ltd	Marshall Islands	99.72%
M Financial Corp.	Barbados	100%
Merchants Financial Corp	Marshall Islands	99.96%
MFC Merchant Bank Limited	Malta	100%
Sino Medical Technology Co. Ltd	Marshall Islands	99.54%

XML

Nature of Business (Detail Textuals)	1 Months Ended
	Jul. 17, 2017 $ / shares
Disclosure For Nature Of Business [Abstract]
Stock split ratio	100
Reverse stock split ratio	20
Par value for common share under reverse stock split	$ 0.001
Amount per share in cash under reverse stock split	$ 0.0001

XML

Basis of Presentation and Summary of Significant Accounting Policies (Details)	12 Months Ended
	Dec. 31, 2017 Euro_Rate USD_Rate	Dec. 31, 2016 Euro_Rate USD_Rate	Dec. 31, 2015 Euro_Rate USD_Rate
Euro Member Countries, Euro
Effect Of Changes In Foreign Exchange Rates [Line Items]
Closing rate	1.5052	1.4169	1.5029
Average rate	1.4650	1.4660	1.4182
United States of America, Dollars
Effect Of Changes In Foreign Exchange Rates [Line Items]
Closing rate | USD_Rate	1.2545	1.3427	1.3840
Average rate	1.2986	1.3248	1.2787

XML

Basis of Presentation and Summary of Significant Accounting Policies (Details 1)	12 Months Ended
	Dec. 31, 2017
Buildings
Disclosure of detailed information about property, plant and equipment [line items]
Useful lives or depreciation rates property plant and equipment	20 years
Processing plant and equipment
Disclosure of detailed information about property, plant and equipment [line items]
Useful lives or depreciation rates property plant and equipment	5 to 20 years
Refinery and power plants
Disclosure of detailed information about property, plant and equipment [line items]
Useful lives or depreciation rates property plant and equipment	20 to 30 years
Office equipment and other
Disclosure of detailed information about property, plant and equipment [line items]
Useful lives or depreciation rates property plant and equipment	3 to 10 years

XML

Basis of Presentation and Summary of Significant Accounting Policies (Detail Textuals) powerplant in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2017 CAD ($) powerplant Mcf bbl	Dec. 31, 2016 CAD ($)	Dec. 31, 2015 CAD ($)
Disclosure Of Basis Of Presentation, Accounting Policies, Critical Accounting Estimates And Judgements [Abstract]
Percentage of voting power in subsidiaries	50.00%
Volume of natural gas as numerator of energy equivalent conversion rate | Mcf	6,000
Volume of crude oil as denominator of energy equivalent conversion rate | bbl	1
Interests in resource properties, carrying amount	$ 92,551
Exploration and evaluation assets, aggregate carrying amount	21,702
Agreegate value of property, plant and equipment	$ 83,954	$ 99,443	$ 95,745
Number of power plants | powerplant	2
Deferred income tax assets	$ 16,694	$ 16,647
Net trade receivables due from customer and affiliates	21,375
Accumulated other comprehensive income on available-for-sale equity securities reclassified to deficit upon initial adoption IFRS 9	$ 526

XML

Capital Disclosure on the Group's Objectives, Policies and Processes for Managing Its Capital (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2016 CAD ($)	Dec. 31, 2017 CAD ($)	Dec. 31, 2015 CAD ($)	Dec. 31, 2014 CAD ($)
Disclosure of objectives, policies and processes for managing capital [abstract]
Total debt	$ 116,813	$ 43,733
Less: cash and cash equivalents	(120,676)	(74,870)	$ (197,519)	$ (344,891)
Net debt
Shareholders' equity	$ 327,520	$ 277,780
Debt-to-adjusted capital ratio
Long-term debt	$ 80,564	$ 0
Long-term debt-to-equity ratio	0.25

XML

Acquisitions of Consolidated Entities (Detail Textuals) - CAD ($) $ in Thousands	Oct. 01, 2017	Feb. 01, 2016
Metal processing company
Disclosure of transactions recognised separately from acquisition of assets and assumption of liabilities in business combination [line items]
Goodwill recognized	$ 502
Western European bank
Disclosure of transactions recognised separately from acquisition of assets and assumption of liabilities in business combination [line items]
Total purchase consideration		$ 142,419

XML

Assets Classified as Held for Sale and Discontinued Operations (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure Of Discontinued Operations [Line Items]
Current assets	$ 149,281	$ 400,954
Non-current assets	247,666	249,384
Total assets held for sale		45,667
Debt	$ (43,733)	(116,813)
Total liabilities relating to assets held for sale		(29,897)
Disposal groups classified as held for sale
Disclosure Of Discontinued Operations [Line Items]
Current assets		42,293
Non-current assets		3,374
Total assets held for sale		45,667
Debt		(20,140)
Other liabilities		(9,757)
Total liabilities relating to assets held for sale		(29,897)
Net assets held for sale		$ 15,770

XML

Assets Classified as Held for Sale and Discontinued Operations (Details 1) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Discontinued Operations [Line Items]
Total loss from discontinued operations	$ 0	$ 0	$ (241,402)
Discontinued operations | Hydrocarbon properties
Disclosure Of Discontinued Operations [Line Items]
Revenues			62,384
Costs and expenses			(215,779)
Loss before income taxes			(153,395)
Income tax expense			(48,623)
Net loss from discontinued operations			(202,018)
Loss on disposal of assets			0
Income tax expense			(11,987)
Net loss on disposal of assets			(11,987)
Total loss from discontinued operations			(214,005)
Discontinued operations | Interest in an iron ore mine
Disclosure Of Discontinued Operations [Line Items]
Revenues			0
Costs and expenses			(27,397)
Loss before income taxes			(27,397)
Income tax expense			0
Net loss from discontinued operations			(27,397)
Loss on disposal of assets			0
Income tax expense			0
Net loss on disposal of assets			0
Total loss from discontinued operations			$ (27,397)

XML

Assets Classified as Held for Sale and Discontinued Operations (Details 2) - CAD ($) $ in Thousands	1 Months Ended	3 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2015	Dec. 31, 2015
Disclosure Of Discontinued Operations [Line Items]
Gross impairment			$ 176,274
Discontinued operations | Hydrocarbon properties
Disclosure Of Discontinued Operations [Line Items]
Gross impairment		$ 52,940	148,877
Discontinued operations | Interest in an iron ore development project
Disclosure Of Discontinued Operations [Line Items]
Gross impairment	$ 27,397		$ 27,397

XML

Assets Classified as Held for Sale and Discontinued Operations (Detail Textuals) - CAD ($) $ in Thousands	1 Months Ended	3 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2015	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Discontinued Operations [Line Items]
Non-cash impairment losses					$ 176,274
Impairment losses associated deferred income tax expense				$ 1,684
Hydrocarbon properties
Disclosure Of Discontinued Operations [Line Items]
Post-tax discount rates			11.00%	10.00%
Impairment losses associated deferred income tax expense			$ 15,585	$ 8,566
Hydrocarbon development and production assets
Disclosure Of Discontinued Operations [Line Items]
Non Cash Impairment Loss					47,672
Impairment losses associated deferred income tax expense			13,264
Hydrocarbon Probable Reserves
Disclosure Of Discontinued Operations [Line Items]
Impairment losses associated deferred income tax expense			$ 2,951
Discontinued operations | Hydrocarbon properties
Disclosure Of Discontinued Operations [Line Items]
Non Cash Impairment Loss	$ 143,609
Deferred tax asset to be written off	50,918
Non-cash impairment losses		$ 52,940			$ 148,877
Impairment losses included in continuing operations	47,672
Remaining impairment losses	95,937
Impairment losses associated deferred income tax expense	50,918
Discontinued operations | Hydrocarbon development and production assets
Disclosure Of Discontinued Operations [Line Items]
Non-cash impairment losses	46,715
Discontinued operations | Hydrocarbon Probable Reserves
Disclosure Of Discontinued Operations [Line Items]
Non-cash impairment losses	16,108
Discontinued operations | Property plant and equipment
Disclosure Of Discontinued Operations [Line Items]
Non-cash impairment losses	33,114
Discontinued operations | Properties Previously Included In Assets Held For Sale
Disclosure Of Discontinued Operations [Line Items]
Non-cash impairment losses	$ 47,672
Discontinued operations | Bottom of range
Disclosure Of Discontinued Operations [Line Items]
Post-tax discount rates	10.00%
Discontinued operations | Top of range
Disclosure Of Discontinued Operations [Line Items]
Post-tax discount rates	13.00%

XML

Assets Classified as Held for Sale and Discontinued Operations (Detail Textuals 1) - CAD ($) $ in Thousands	1 Months Ended	3 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2015	Dec. 31, 2017	Dec. 31, 2015
Disclosure Of Discontinued Operations [Line Items]
Impairment loss				$ 176,274
Discontinued operations | Hydrocarbon properties
Disclosure Of Discontinued Operations [Line Items]
Economic interest sold percentage			95.00%	95.00%
Deferred income tax expense recognized				$ 11,987
Net receivable due from the former subsidiaries				11,600
Impairment loss		$ 52,940		148,877
Discontinued operations | Interest in an iron ore mine
Disclosure Of Discontinued Operations [Line Items]
Deferred income tax expense recognized				0
Impairment loss	$ 27,397			$ 27,397

XML

Business Segment Information (Details) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of operating segments [line items]
Revenues from external customers	$ 274,035	$ 1,131,657	$ 1,629,100
Interest expense	4,704	15,467	17,494
Loss before income taxes	(38,407)	(16,706)	(290,795)
Operating segments
Disclosure of operating segments [line items]
Revenues from external customers	274,035	1,131,657	1,629,100
Interest expense	4,931	15,751	17,642
Loss before income taxes	(38,407)	(16,706)	(290,795)
Operating segments | Merchant banking
Disclosure of operating segments [line items]
Revenues from external customers	256,412	1,095,896	1,593,879
Interest expense	4,931	15,751	17,631
Loss before income taxes	(28,254)	(13,785)	(290,342)
Operating segments | All other segments
Disclosure of operating segments [line items]
Revenues from external customers	17,623	35,761	35,221
Interest expense	0	0	11
Loss before income taxes	(10,153)	(2,921)	(453)
Elimination of intersegment amounts
Disclosure of operating segments [line items]
Revenues from external customers	1,872	2,335	1,880
Elimination of intersegment amounts | Merchant banking
Disclosure of operating segments [line items]
Revenues from external customers	1,668	1,975	1,705
Elimination of intersegment amounts | All other segments
Disclosure of operating segments [line items]
Revenues from external customers	$ 204	$ 360	$ 175

XML

Business Segment Information (Details 1) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure of operating segments [line items]
Segment assets	$ 396,947	$ 650,338
Segment liabilities	116,998	320,908
Operating segments | Merchant banking
Disclosure of operating segments [line items]
Segment assets	343,649	589,017
Segment liabilities	106,713	306,206
Operating segments | All other segments
Disclosure of operating segments [line items]
Segment assets	53,298	61,321
Segment liabilities	$ 10,285	$ 14,702

XML

Business Segment Information (Details 2) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of operating segments [line items]
Revenue	$ 274,035	$ 1,131,657	$ 1,629,100
Cayman Islands
Disclosure of operating segments [line items]
Revenue	0	0	0
Canada
Disclosure of operating segments [line items]
Revenue	19,595	28,328	77,199
Germany
Disclosure of operating segments [line items]
Revenue	122,643	280,552	473,835
Africa
Disclosure of operating segments [line items]
Revenue	4,283	32,519	26,376
Americas
Disclosure of operating segments [line items]
Revenue	22,446	256,598	309,217
Asia
Disclosure of operating segments [line items]
Revenue	14,894	113,821	176,766
Europe
Disclosure of operating segments [line items]
Revenue	90,174	419,839	564,669
Other
Disclosure of operating segments [line items]
Revenue	$ 0	$ 0	$ 1,038

XML

Business Segment Information (Details 3) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure of operating segments [line items]
Non-current assets other than financial instruments, deferred income tax assets and other non-current assets	$ 230,100	$ 227,288
CANADA
Disclosure of operating segments [line items]
Non-current assets other than financial instruments, deferred income tax assets and other non-current assets	144,452	138,281
Africa
Disclosure of operating segments [line items]
Non-current assets other than financial instruments, deferred income tax assets and other non-current assets	32,258	31,710
Americas
Disclosure of operating segments [line items]
Non-current assets other than financial instruments, deferred income tax assets and other non-current assets	0	876
Asia
Disclosure of operating segments [line items]
Non-current assets other than financial instruments, deferred income tax assets and other non-current assets	889	6,957
Europe
Disclosure of operating segments [line items]
Non-current assets other than financial instruments, deferred income tax assets and other non-current assets	$ 52,501	$ 49,464

XML

Trade Receivables (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Trade and other receivables [abstract]
Trade receivables, gross amount	$ 43,207	$ 194,450	$ 103,300
Less: Allowance for credit losses	(8,948)	(58,488)	(21,210)
Trade receivables, net amount	$ 34,259	$ 135,962	$ 92,595

XML

Trade Receivables (Details 1) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of financial assets that are either past due or impaired [line items]
Expected recoverable amount of impaired trade receivables	$ 34,259	$ 135,962	$ 92,595
Financial assets past due but not impaired
Disclosure of financial assets that are either past due or impaired [line items]
Expected recoverable amount of impaired trade receivables	11,352	25,949
Financial assets past due but not impaired | Below 30 days
Disclosure of financial assets that are either past due or impaired [line items]
Expected recoverable amount of impaired trade receivables	7,322	6,767
Financial assets past due but not impaired | Between 31 and 60 days
Disclosure of financial assets that are either past due or impaired [line items]
Expected recoverable amount of impaired trade receivables	728	1,847
Financial assets past due but not impaired | Between 61 and 90 days
Disclosure of financial assets that are either past due or impaired [line items]
Expected recoverable amount of impaired trade receivables	1,175	799
Financial assets past due but not impaired | Between 91 and 365 days
Disclosure of financial assets that are either past due or impaired [line items]
Expected recoverable amount of impaired trade receivables	1,813	16,491
Financial assets past due but not impaired | Over 365 days
Disclosure of financial assets that are either past due or impaired [line items]
Expected recoverable amount of impaired trade receivables	$ 314	$ 45

XML

Trade Receivables (Details 2) - CAD ($) $ in Thousands		Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of financial assets that are either past due or impaired [line items]
Trade receivables, gross amount		$ 43,207	$ 194,450	$ 103,300
Less: Allowance for credit losses		(8,948)	(58,488)	(21,210)
Expected recoverable amount of impaired trade receivables		34,259	135,962	$ 92,595
Financial assets impaired
Disclosure of financial assets that are either past due or impaired [line items]
Trade receivables, gross amount		30,337	156,243
Less: Allowance for credit losses		(8,948)	(58,488)
Expected recoverable amount of impaired trade receivables	[1]	21,389	97,755
Financial assets impaired | Below 30 days
Disclosure of financial assets that are either past due or impaired [line items]
Trade receivables, gross amount		0	7,690
Financial assets impaired | Between 31 and 60 days
Disclosure of financial assets that are either past due or impaired [line items]
Trade receivables, gross amount		0	489
Financial assets impaired | Between 61 and 90 days
Disclosure of financial assets that are either past due or impaired [line items]
Trade receivables, gross amount		0	745
Financial assets impaired | Between 91 and 365 days
Disclosure of financial assets that are either past due or impaired [line items]
Trade receivables, gross amount		0	131,946
Financial assets impaired | Over 365 days
Disclosure of financial assets that are either past due or impaired [line items]
Trade receivables, gross amount		$ 30,337	$ 15,373

[1] The recoverable amount of impaired trade receivables is covered by credit insurance, bank guarantees and/or other credit enhancements and, therefore, management of the Group believes this entire net amount to be collectible in the ordinary course of business.

XML

Trade Receivables (Details 3) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Trade and other receivables [abstract]
Balance, beginning of the year	$ 58,488	$ 21,210
Additions	12,213	46,601
Reversals	(1,541)	(1,185)
Write-offs	(7,726)	(1,529)
Disposition of subsidiaries	(33,999)	0
Other	(21,099)	(5,123)
Currency translation adjustment	2,612	(1,486)
Balance, end of the year	$ 8,948	$ 58,488

XML

Trade Receivables (Detail Textuals) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of financial assets that are either past due or impaired [line items]
Trade receivables past due but not impaired	$ 34,259	$ 135,962
Trade receivables	30,337	156,243
Impaired and an allowance for credit losses	8,948	58,488
Trade receivables, gross amount	43,207	194,450	$ 103,300
Allowance for credit losses			10,705
Trade receivables due from customer, net of allowance	34,259	135,962	$ 92,595
Proceeds from risk mitigation assets		39,149
Risk mitigation assets credited to profit or loss through a recovery of credit losses		35,121
Net trade receivables due from customer and affiliates	21,375
Financial assets past due but not impaired
Disclosure of financial assets that are either past due or impaired [line items]
Trade receivables due from customer, net of allowance	$ 11,352	$ 25,949

XML

Trade Receivables (Detail Textuals 1) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of financial assets that are either past due or impaired [line items]
Cumulative allowance for credit losses	$ 8,948	$ 58,488	$ 21,210
Additional provision for allowance for credit losses	12,213	46,601
Net trade receivables due from former customer group	34,259	135,962	$ 92,595
Reversals	(1,541)	(1,185)
Large exposure customers | Credit risk
Disclosure of financial assets that are either past due or impaired [line items]
Cumulative allowance for credit losses		43,943
Additional provision for allowance for credit losses		33,301
Net trade receivables due from former customer group		$ 100,008
Reversals	1,541
Increase in valuation allowance based on revision of expected future cash flows	$ 224

XML

Other Receivables (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure Of Other Current Receivables [Abstract]
Royalty income	$ 4,525	$ 4,000
Receivables from insurance company/supplier	0	2,110
Suppliers with debit balance	293	9,670
Loans	321	7,763
Other	16,551	11,708
Total	$ 21,690	$ 35,251

XML

Other Receivables (Detail Textuals) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure Of Other Current Receivables [Abstract]
Royalty income receivables due from former operator	$ 5,300
Valuation allowance for the royalty income receivables	1,425
Other receivables relating to finance and loan receivables from a former hydrocarbon subsidiary written off	$ 10,324	$ 11,296

XML

Inventories (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure Of Inventories [Abstract]
Raw materials	$ 3,632	$ 5,404
Work-in-progress	3,444	289
Finished goods	1,440	10,488
Commodity inventories	1,310	15,184
Other	0	589
Current inventories	9,826	31,954
Inventories contracted at fixed prices or hedged	1,475	21,071
Inventories-other	8,351	10,883
Inventories	$ 9,826	$ 31,954

XML

Deposits, Prepaid and Other (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure Of Deposits Prepaid And Other [Abstract]
Prepayments and deposits for inventories	$ 303	$ 11,117
Other	2,075	1,078
Current prepayments	$ 2,378	$ 12,195

XML

Investment Property (Detail) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about investment property [abstract]
Balance, beginning of year	$ 35,663	$ 37,873
Change in fair value during the year	(26)	(39)
Disposals	(194)	0
Currency translation adjustments	2,217	(2,171)
Balance, end of year	$ 37,660	$ 35,663

XML

Investment Property (Detail 1) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of detailed information about investment property [abstract]
Rental income	$ 1,510	$ 1,511	$ 1,474
Direct operating expenses (including repairs and maintenance) arising from investment property that generated rental income during the year	$ 256	$ 226	$ 279

XML

Property, Plant and Equipment (Details) - CAD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		$ 99,443	$ 95,745
Ending balance		83,954	99,443
Gross carrying amount
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		116,405	116,289
Additions		1,313	4,083
Disposals		(10,021)	(284)
Dispositions of subsidiaries	[1]	(4,327)	(28,582)
Reclassified from inventories		3,786
Reclassified from assets held for sale			28,383
Reclassified to assets held for sale			(5,628)
Reclassified from resource properties			5,000
Impairments		(7,863)
Currency translation adjustments		(2,021)	(2,856)
Ending balance		97,272	116,405
Gross carrying amount | Land and buildings
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		944	5,890
Additions		26	119
Disposals		0	0
Dispositions of subsidiaries	[1]	(1,221)	(324)
Reclassified from inventories		0
Reclassified from assets held for sale			0
Reclassified to assets held for sale			(4,745)
Reclassified from resource properties			0
Impairments		0
Currency translation adjustments		251	4
Ending balance		0	944
Gross carrying amount | Refinery and power plants
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		91,392	67,336
Additions		0	0
Disposals		0	0
Dispositions of subsidiaries	[1]	0	0
Reclassified from inventories		3,786
Reclassified from assets held for sale			20,255
Reclassified to assets held for sale			0
Reclassified from resource properties			5,000
Impairments		0
Currency translation adjustments		(2,744)	(1,199)
Ending balance		92,434	91,392
Gross carrying amount | Processing plant and equipment
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		18,880	34,548
Additions		987	3,194
Disposals		(8,678)	(262)
Dispositions of subsidiaries	[1]	57	(25,340)
Reclassified from inventories		0
Reclassified from assets held for sale			8,128
Reclassified to assets held for sale			(646)
Reclassified from resource properties			0
Impairments		(7,863)
Currency translation adjustments		320	(742)
Ending balance		3,703	18,880
Gross carrying amount | Office equipment
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		5,189	8,515
Additions		300	770
Disposals		(1,343)	(22)
Dispositions of subsidiaries	[1]	(3,163)	(2,918)
Reclassified from inventories		0
Reclassified from assets held for sale			0
Reclassified to assets held for sale			(237)
Reclassified from resource properties			0
Impairments		0
Currency translation adjustments		152	(919)
Ending balance		1,135	5,189
Accumulated depreciation
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		16,962	20,544
Additions		4,372	9,291
Disposals		(3,412)	0
Dispositions of subsidiaries		(3,264)	(10,149)
Reclassified from assets held for sale			(2,254)
Impairments		(1,223)
Currency translation adjustments		(117)	(470)
Ending balance		13,318	16,962
Accumulated depreciation | Land and buildings
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		208	1,600
Additions		344	367
Disposals		0	0
Dispositions of subsidiaries		(598)	(139)
Reclassified from assets held for sale			(1,663)
Impairments		0
Currency translation adjustments		46	43
Ending balance		0	208
Accumulated depreciation | Refinery and power plants
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		9,308	6,860
Additions		2,267	2,641
Disposals		0	0
Dispositions of subsidiaries		0	0
Reclassified from assets held for sale			0
Impairments		0
Currency translation adjustments		(528)	(193)
Ending balance		11,047	9,308
Accumulated depreciation | Processing plant and equipment
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		3,545	8,392
Additions		1,377	5,403
Disposals		(2,294)	0
Dispositions of subsidiaries		(27)	(9,283)
Reclassified from assets held for sale			(421)
Impairments		(1,223)
Currency translation adjustments		248	(546)
Ending balance		1,626	3,545
Accumulated depreciation | Office equipment
Disclosure of detailed information about property, plant and equipment [line items]
Opening balance		3,901	3,692
Additions		384	880
Disposals		(1,118)	0
Dispositions of subsidiaries		(2,639)	(727)
Reclassified from assets held for sale			(170)
Impairments		0
Currency translation adjustments		117	226
Ending balance		$ 645	$ 3,901

[1] Net of acquisition of a subsidiary

XML

Property, Plant and Equipment (Detail Textuals) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of detailed information about property, plant and equipment [line items]
Expenditure for constructions in property, plant and equipment			$ 3,948
Refinery And Power Plants
Disclosure of detailed information about property, plant and equipment [line items]
Carrying value of temporarily idle power plant	26,412
Capitalized costs included in the carrying amount of power plant	$ 350

XML

Interests in Resource Properties (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Interests In Resource Properties [Line Items]
Tangible exploration and evaluation assets	$ 92,551	$ 79,147
Interest in an iron ore mine
Disclosure Of Interests In Resource Properties [Line Items]
Tangible exploration and evaluation assets	30,000	30,000
Hydrocarbon development and production assets
Disclosure Of Interests In Resource Properties [Line Items]
Tangible exploration and evaluation assets	40,849	29,692
Exploration and evaluation assets - hydrocarbon probable reserves
Disclosure Of Interests In Resource Properties [Line Items]
Tangible exploration and evaluation assets	12,367	9,416	$ 0
Exploration and evaluation assets - hydrocarbon unproved lands
Disclosure Of Interests In Resource Properties [Line Items]
Tangible exploration and evaluation assets	$ 9,335	$ 10,039	$ 0

XML

Interests in Resource Properties (Details 1) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure Of Interests In Resource Properties [Roll Forward]
Opening balance	$ 79,147
Decommissioning obligations (Note 19)	13,699	$ 13,219
Ending balance	92,551	79,147
Interest in an iron ore mine
Disclosure Of Interests In Resource Properties [Roll Forward]
Opening balance	30,000
Ending balance	30,000	30,000
Interest in an iron ore mine | Costs
Disclosure Of Interests In Resource Properties [Roll Forward]
Opening balance	30,000	0
Decommissioning obligations (Note 19)	0	0
Reclassification to refinery and power plants		0
Reclassified from assets held for sale		30,000
Reversal of impairment losses	0	0
Ending balance	30,000	30,000
Interest in an iron ore mine | Accumulated depreciation
Disclosure Of Interests In Resource Properties [Roll Forward]
Opening balance	0	0
Additions	0	0
Reclassification to refinery and power plants		0
Reclassified from assets held for sale		0
Reversal of impairment losses	0	0
Ending balance	0	0
Hydrocarbon development and production assets
Disclosure Of Interests In Resource Properties [Roll Forward]
Opening balance	29,692
Ending balance	40,849	29,692
Hydrocarbon development and production assets | Costs
Disclosure Of Interests In Resource Properties [Roll Forward]
Opening balance	32,353	0
Decommissioning obligations (Note 19)	254	(4,988)
Reclassification to refinery and power plants		(5,000)
Reclassified from assets held for sale		34,669
Reversal of impairment losses	13,264	7,672
Ending balance	45,871	32,353
Hydrocarbon development and production assets | Accumulated depreciation
Disclosure Of Interests In Resource Properties [Roll Forward]
Opening balance	2,661	0
Additions	2,361	2,661
Reclassification to refinery and power plants		0
Reclassified from assets held for sale		0
Reversal of impairment losses	0	0
Ending balance	5,022	2,661
Hydrocarbon development and production assets and iron ore mine
Disclosure Of Interests In Resource Properties [Roll Forward]
Opening balance	59,692	0
Ending balance	70,849	59,692
Hydrocarbon development and production assets and iron ore mine | Costs
Disclosure Of Interests In Resource Properties [Roll Forward]
Opening balance	62,353	0
Decommissioning obligations (Note 19)	254	(4,988)
Reclassification to refinery and power plants		(5,000)
Reclassified from assets held for sale		64,669
Reversal of impairment losses	13,264	7,672
Ending balance	75,871	62,353
Hydrocarbon development and production assets and iron ore mine | Accumulated depreciation
Disclosure Of Interests In Resource Properties [Roll Forward]
Opening balance	2,661	0
Additions	2,361	2,661
Reclassification to refinery and power plants		0
Reclassified from assets held for sale		0
Reversal of impairment losses	0	0
Ending balance	$ 5,022	$ 2,661

XML

Interests in Resource Properties (Details 2) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure Of Movements In Exploration And Evaluation Assets [Roll Forward]
Opening balance	$ 79,147
Ending balance	92,551	$ 79,147
Hydrocarbon Probable Reserves
Disclosure Of Movements In Exploration And Evaluation Assets [Roll Forward]
Opening balance	9,416	0
Additions	0	0
Disposal	0	0
Reclassifications from assets held for sale	0	7,732
Reversal (recognition) of impairment (losses)	2,951	1,684
Ending balance	12,367	9,416
Hydrocarbon Unproved lands
Disclosure Of Movements In Exploration And Evaluation Assets [Roll Forward]
Opening balance	10,039	0
Additions	0	790
Disposal	(74)	0
Reclassifications from assets held for sale	0	10,039
Reversal (recognition) of impairment (losses)	(630)	(790)
Ending balance	$ 9,335	$ 10,039

XML

Interests in Resource Properties (Detail Textuals) - CAD ($) $ in Thousands	1 Months Ended	3 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2015	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Interests In Resource Properties [Line Items]
Reversal of non cash impairment loss				$ 1,684
Interest in an iron ore mine
Disclosure Of Interests In Resource Properties [Line Items]
Expected future minimum sublease payments receivable			$ 3,250
Non cash impairment loss before taxes	$ 218,203
Deferred income tax recovery	$ 54,305
Reversal of non cash impairment loss		$ 30,000
Deferred tax liability related to non cash impairment loss		$ 7,800
Percentage of pre tax discount rate used to determine expected future cash fows		9.00%			9.00%
Cash flow projections period			5 years
Hydrocarbon properties
Disclosure Of Interests In Resource Properties [Line Items]
Reversal of non cash impairment loss			$ 15,585	$ 8,566
Percentage of post tax discount rate			11.00%	10.00%
Hydrocarbon development and production assets
Disclosure Of Interests In Resource Properties [Line Items]
Non cash impairment loss before taxes					$ 47,672
Deferred income tax recovery				$ 2,526	$ 0
Reversal of non cash impairment loss			$ 13,264
Deferred tax liability related to non cash impairment loss				7,672
Hydrocarbon Probable Reserves
Disclosure Of Interests In Resource Properties [Line Items]
Reversal of non cash impairment loss			2,951
Hydrocarbon Unproved lands
Disclosure Of Interests In Resource Properties [Line Items]
Non cash impairment loss before taxes			$ 630	$ 790

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Deferred Income Tax Assets and Liabilities (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure Of Deferred Tax Assets And Liabilities [Abstract]
Non-capital tax loss carry-forwards	$ 18,450	$ 24,308
Interests in resource properties	(10,536)	(10,370)
Other assets	2,237	5,304
Other liabilities	(3,760)	(9,948)
Net	6,391	9,294
Deferred income tax assets	16,694	16,647
Deferred income tax liabilities	(10,303)	(7,353)
Net	$ 6,391	$ 9,294

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Deferred Income Tax Assets and Liabilities (Details 1) $ in Thousands	12 Months Ended
	Dec. 31, 2017 CAD ($)
Bottom of range
Deferred Income Tax Assets And Liabilities [Line Items]
Expiration period for estimated accumulated non capital losses	2033
Top of range
Deferred Income Tax Assets And Liabilities [Line Items]
Expiration period for estimated accumulated non capital losses	2036
Canada
Deferred Income Tax Assets And Liabilities [Line Items]
Gross amount	$ 24,075
Amount for which no deferred income tax asset is recognized	0
Germany
Deferred Income Tax Assets And Liabilities [Line Items]
Gross amount	2,554
Amount for which no deferred income tax asset is recognized	$ 0
Expiration dates for estimated accumulated non capital losses	Indefinite
Austria
Deferred Income Tax Assets And Liabilities [Line Items]
Gross amount	$ 340,600
Amount for which no deferred income tax asset is recognized	$ 340,600
Expiration dates for estimated accumulated non capital losses	Indefinite
Uganda
Deferred Income Tax Assets And Liabilities [Line Items]
Gross amount	$ 51,563
Amount for which no deferred income tax asset is recognized	$ 46,253
Expiration dates for estimated accumulated non capital losses	Indefinite
Malta
Deferred Income Tax Assets And Liabilities [Line Items]
Gross amount	$ 98,354
Amount for which no deferred income tax asset is recognized	$ 70,056
Expiration dates for estimated accumulated non capital losses	Indefinite

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Short-term Bank Borrowings (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about borrowings [line items]
Credit facilities from banks	$ 43,733	$ 116,813

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Short-term Bank Borrowings (Detail Textuals) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about borrowings [line items]
Borrowings	$ 43,733	$ 116,813

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Debt (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about borrowings [line items]
Borrowings	$ 43,733	$ 116,813
Current portion of non-current borrowings	43,733	36,249
Non-current portion of non-current borrowings	$ 0	$ 80,564

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Debt (Detail Textuals) € in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2017 CAD ($)	Dec. 31, 2016 CAD ($)	Dec. 31, 2015 CAD ($)	Dec. 31, 2017 EUR (€)
Disclosure of detailed information about borrowings [line items]
Repayments of long-term debt	$ 42,253	$ 186,286	$ 68,707
Long term debt at 5.05 percent interest rate due to bank
Disclosure of detailed information about borrowings [line items]
Percentage of fixed interest plus interest margin and backup guarantee fee	5.05%
Long term debt at 2.7 percent interest rate due to bank
Disclosure of detailed information about borrowings [line items]
Long term debt at fixed rate of interest | €				€ 13,404
Debt instrument description of variable rate basis	EURIBOR
Debt Instrument, Basis Spread on Variable Rate				1.55%
Repayments of long-term debt	$ 1,559
Long term debt at 2.7 percent interest rate due to bank | Fixed interest rate
Disclosure of detailed information about borrowings [line items]
Fixed interest rate				2.70%

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Debt (Detail Textuals 1) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Debt Securities [Abstract]
Interest expense capitalized			$ 608

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Account Payables and Accrued Expenses (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Current prepayments and current accrued income [abstract]
Trade and account payables	$ 39,528	$ 27,053
Value-added, goods and services and other taxes (other than income taxes)	2,559	3,610
Compensation	392	1,837
Contract liabilities	769	535
Deposits from customers	0	1,471
Acquisition price payables	0	1,716
Sale of shares on behalf of other	0	3,067
Provision for guarantee	1,502	0
Other	0	5,825
Trade and other current payables	$ 44,750	$ 45,114

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Accrued Pension Obligations (Detail Textuals) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of defined benefit plans [abstract]
Net accrued pension obligations	$ 2,593	$ 3,259
Fair value of plan assets		1,453	$ 11,838
Defined benefit obligations		$ 4,712	$ 15,899

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Accrued Pension Obligations (Detail Textuals 1) $ in Thousands	12 Months Ended
	Dec. 31, 2016 CAD ($)
Plan assets
Disclosure of net defined benefit liability (asset) [line items]
Net defined benefit liability (asset), disposition of subsidiaries	$ 10,394
Net defined benefit liability (asset), payment of benefits	1,386
Net defined benefit liability (asset), return on plan assets	957
Net defined benefit liability asset currency translation adjustments	223
Net defined benefit liability (asset), employer contributions	215
Present value of defined benefit obligation
Disclosure of net defined benefit liability (asset) [line items]
Net defined benefit liability (asset), disposition of subsidiaries	10,581
Net defined benefit liability (asset), payment of benefits	1,386
Net defined benefit liability asset currency translation adjustments	381
Net defined benefit liability (asset), reclassifications of assets held for sale	445
Net defined benefit liability (asset), net current service cost	190
Net defined benefit liability (asset), obligation interest cost	392
Net defined benefit liability (asset), actuarial losses from changes in demographic assumptions and experience	196
Net defined benefit liability (asset), actuarial losses from changes in financial assumptions	$ 828

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Decommissioning Obligations (Details) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Provision for decommissioning, restoration and rehabilitation costs [abstract]
Decommissioning obligations, beginning of year	$ 13,219
Reclassifications from liabilities relating to assets held for sale		$ 17,923
Changes in estimates	255	(4,988)
Accretion	225	284
Decommissioning obligations, end of year	$ 13,699	$ 13,219

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Decommissioning Obligations (Detail Textuals)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Provision for decommissioning, restoration and rehabilitation costs [abstract]
Decommissioning obligations using an average discount rate	1.98%	1.73%

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Shareholders' Equity (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure of classes of share capital [line items]
Total number of treasury stock	65,647	4,687,218
Total carrying amount of treasury stock	$ 2,643	$ 61,085
Common shares
Disclosure of classes of share capital [line items]
Total number of treasury stock	65,647	65,647
Preferred shares
Disclosure of classes of share capital [line items]
Total number of treasury stock	0	4,621,571

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Shareholders' Equity (Details 1) $ in Thousands	12 Months Ended
	Dec. 31, 2017 CAD ($) shares	Dec. 31, 2017 $ / shares	Jul. 17, 2017 $ / shares
Disclosure of classes of share capital [line items]
Value of shares authorised | $	$ 450,000
Par value of shares authorised			$ 0.001
Description of voting rights	one vote
Common Shares
Disclosure of classes of share capital [line items]
Number of shares authorised | shares	300,000,000
Par value of shares authorised		$ 0.001
Preferred Shares
Disclosure of classes of share capital [line items]
Number of shares authorised | shares	150,000,000
Par value of shares authorised		$ 0.001

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Consolidated Statements of Operations (Details) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Consolidated Statements Of Operations [Abstract]
Merchant banking products and services	$ 249,581	$ 1,078,745	$ 1,580,935
Interest	973	3,056	4,237
Dividends	0	6	7
Other	23,481	49,850	43,921
Gross revenues	$ 274,035	$ 1,131,657	$ 1,629,100

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Consolidated Statements of Operations (Details 1) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017		Dec. 31, 2016		Dec. 31, 2015
Disclosure Of Consolidated Statements Of Operations [Abstract]
Merchant banking products and services	$ 223,049		$ 1,027,627		$ 1,512,970
Credit losses on loans and receivables and guarantees, net of recoveries	23,923	[1]	17,023	[1]	54,540
Market value (increase) decrease on commodity inventories	(400)		4,273		1,910
(Gain) loss on derivative contracts, net	(1,934)		521		(2,913)
Loss on securities, net	619		116		84
Dispositions of subsidiaries	10,219		(2,585)		0
Write-offs of payables	(3,779)		0		0
Other	11,889		14,077		7,277
Total costs of sales and services	$ 263,586		$ 1,061,052		$ 1,573,868

[1] Includes credit losses of $8,585 on receivables due from a former consolidated entity in the year ended December 31, 2017 (2016: $11,296).

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Consolidated Statements of Operations (Details 2) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Consolidated Statements Of Operations [Abstract]
Inventories as costs of goods sold (including depreciation, amortization and depletion expenses allocated to costs of goods sold)	$ 206,644	$ 974,497	$ 1,464,925
Depreciation, amortization and depletion	6,732	11,951	6,450
Employee benefits expenses	$ 21,016	$ 31,890	$ 37,951

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Consolidated Statements of Operations (Detail Textuals) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Consolidated Statements Of Operations [Abstract]
Merchant banking products and services	$ 249,581	$ 1,078,745	$ 1,580,935
Metals	143,572
Plastics	98
Steel products	23,898
Minerals, chemicals and alloys	57,768
Natural gas	8,931
Royalties	8,868
Power/electricity	4,215
Fees	2,231
Credit losses on loans and receivables due from a former consolidated entity	8,585	11,296
Underpayment of resource property royalties from prior years	5,619
Reclassification adjustment for exchange differences to statements of operations resulted from disposal of subsidiaries	$ 11,306	$ 560	$ (143)

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Share-Based Compensation (Details)		12 Months Ended
	Dec. 01, 2017 share	Dec. 31, 2017 USD ($) share	Dec. 31, 2016 USD ($) share	Dec. 31, 2015 USD ($) share	Dec. 31, 2017 CAD ($) share	Dec. 31, 2017 USD ($) share
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of options, granted	535,000	535,000
Number of options, Outstanding		40,000
2017 Plan
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of options, Outstanding		0	0	0
Number of options, Expired			0	0
Number of options, Exchanged under the Arrangement		40,000
Number of options, granted		535,000
Number of options, Outstanding		575,000	0	0
Number of options, exercisable					575,000	575,000
Options available for granting in future periods					403	403
Weighted average exercise price per share, outstanding | $		$ 0.00	$ 0.00	$ 0.00
Weighted average exercise price per share, Expired | $			0.00	0.00
Weighted average exercise price per share, Exchanged under the Arrangement | $		40.05
Weighted average exercise price per share, Granted | $		8.76
Weighted average exercise price per share, outstanding | $		$ 10.94	$ 0.00	$ 0.00
Weighted average exercise price per share, options exercisable | $						$ 10.94
2008 Plan
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of options, Outstanding		40,000	172,000	172,000
Number of options, Expired			(132,000)	0
Number of options, Exchanged under the Arrangement		(40,000)
Number of options, Outstanding		0	40,000	172,000
Number of options, exercisable					0	0
Options available for granting in future periods					0	0
Weighted average exercise price per share, outstanding | $		$ 40.05	$ 39.15	$ 39.15
Weighted average exercise price per share, Expired | $			39.05	0.00
Weighted average exercise price per share, Exchanged under the Arrangement | $		40.05
Weighted average exercise price per share, outstanding | $		$ 0.00	$ 40.05	$ 39.15
Weighted average exercise price per share, options exercisable | $					$ 0.00
1997 Plan
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of options, Outstanding		0	274,500	293,000
Number of options, Expired			(274,500)	(18,500)
Number of options, Exchanged under the Arrangement		0
Number of options, Outstanding		0	0	274,500
Number of options, exercisable					0	0
Options available for granting in future periods					0	0
Weighted average exercise price per share, outstanding | $		$ 0.00	$ 39.05	$ 39.05
Weighted average exercise price per share, Expired | $			39.05	39.05
Weighted average exercise price per share, Exchanged under the Arrangement | $		0.00
Weighted average exercise price per share, outstanding | $		$ 0.00	$ 0.00	$ 39.05
Weighted average exercise price per share, options exercisable | $					$ 0.00

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Share-Based Compensation (Details 1)	Dec. 31, 2017 share Year $ / shares
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items]
Number of options, outstanding and exercisable | share	575,000
Weighted average remaining contractual life | Year	9.31
$40.05
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items]
Exercise price per share | $ / shares	$ 40.05
Number of options, outstanding and exercisable | share	40,000
Weighted average remaining contractual life | Year	1.25
$8.76
Disclosure of number and weighted average remaining contractual life of outstanding share options [line items]
Exercise price per share | $ / shares	$ 8.76
Number of options, outstanding and exercisable | share	535,000
Weighted average remaining contractual life | Year	9.92

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Share-Based Compensation (Details 2) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of terms and conditions of share-based payment arrangement [abstract]
Share-based compensation expenses arising from stock options granted by the Company	$ 2,876	$ 0	$ 0

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Share-Based Compensation (Details 3)			12 Months Ended
	Dec. 01, 2017 CAD ($) share Year	Dec. 01, 2017 USD ($) share Year $ / shares	Dec. 31, 2017 share
Disclosure of terms and conditions of share-based payment arrangement [abstract]
Number of options granted | share	535,000	535,000	535,000
Vesting requirements	Immediately	Immediately
Contractual life		10
Method of settlement	In equity	In equity
Exercise price per share | $		$ 8.76
Market price per share on grant date | $ / shares		$ 8.40
Expected volatility	37.74%	37.74%
Expected option life	10	10
Expected dividends	0.00%	0.00%
Risk-free interest rate	2.38%	2.38%
Fair value of option granted (per option)	$ 5.38	$ 4.22

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Share-Based Compensation (Detail Textuals) $ in Thousands		12 Months Ended
	Dec. 01, 2017 share	Dec. 31, 2017 CAD ($) share	Dec. 31, 2017 USD ($) share
Disclosure of terms and conditions of share-based payment arrangement [abstract]
Number of common shares subject to all awards		575,403
Number of options issued in exchange for options issued and outstanding			40,000
Number of options granted to certain employees	535,000	535,000
Exercise Price per Share | $			$ 8.76
Aggregate fair value of options granted recognized as Share-based compensation expenses | $		$ 2,876

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Income Taxes (Details) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of geographical areas [line items]
Income (loss) from continuing operations before income taxes	$ (38,407)	$ (16,706)	$ (290,795)
Canada
Disclosure of geographical areas [line items]
Income (loss) from continuing operations before income taxes	7,360	380	(238,545)
Outside Canada
Disclosure of geographical areas [line items]
Income (loss) from continuing operations before income taxes	$ (45,767)	$ (17,086)	$ (52,250)

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Income Taxes (Details 1) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Detailed Information About Income Taxes [Abstract]
Current taxes	$ (3,744)	$ (4,540)	$ (4,282)
Deferred taxes	(3,141)	(1,454)	50,800
Resource revenues taxes	(1,773)	(1,020)	(325)
Total Income tax (expense) recovery	$ 8,658	$ 7,014	$ (46,193)

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Income Taxes (Details 2) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure Of Detailed Information About Income Taxes [Abstract]
Loss before income taxes	$ (38,407)	$ (16,706)	$ (290,795)
Computed recovery of income taxes	9,792	4,344	75,607
Decrease (increase) in income taxes resulting from:
Subsidiaries' tax rate differences	0	714	(1,107)
Other non-taxable income	7	6,057	2,774
Revisions to prior years	4,650	(112)	227
Taxable capital gains on dispositions, net	(3,150)	(3,543)	13
Resource property revenue taxes	(1,311)	(755)	(241)
Unrecognized losses in current year	(20,916)	(15,623)	(30,469)
Previously unrecognized deferred income tax assets, net	2,877	5,747	1,449
Deferred income tax asset on a purchased asset	0	0	1,339
Permanent differences	(363)	(1,448)	(3,865)
Change in future tax rate	0	0	11
Other, net	(244)	(2,395)	455
Total Income tax (expense) recovery	$ 8,658	$ 7,014	$ (46,193)

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Income Taxes (Detail Textuals) $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)	Dec. 31, 2015 CAD ($)
Income Tax Note [Line Items]
Statutory tax rate		26.00%	26.00%
Current and deferred income tax relating to items charged directly to equity			$ 109
New MFC
Income Tax Note [Line Items]
Statutory tax rate	0.00%

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Earnings Per Share (Details) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure For Earnings Per Share [Abstract]
Basic loss available to holders of common shares	$ (47,855)	$ (25,361)	$ (246,228)
Effect of dilutive securities:
Diluted loss	$ (47,855)	$ (25,361)	$ (246,228)
Weighted average number of common shares outstanding - basic	12,544,141	12,628,454	12,628,454
Effect of dilutive securities:
Options	0	0	0
Weighted average number of common shares outstanding - diluted	12,544,141	12,628,454	12,628,454

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Earnings Per Share (Detail Textuals) - shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure For Earnings Per Share [Abstract]
Number of stock option not included in diluted earnings per share	575,000	40,000	446,500
Number of common stock shares to be issued each year from 2014 to 2024, if milestone achived	10,000
Number of additional common stock shares not included in diluted earnings per share		10,000

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Dividends Paid (Detail Textuals) - 12 months ended Dec. 31, 2015 $ in Thousands	CAD ($)	$ / shares
Dividend Paid [Abstract]
Dividends paid, ordinary shares | $	$ 4,388
Dividends paid, price per common share | $ / shares		$ 0.06

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Commitments and Contingencies (Details) $ in Thousands	Dec. 31, 2017 CAD ($)
Disclosure of finance lease and operating lease by lessor [abstract]
Future minimum rentals under long-term non-cancellable operating leases	$ 3,840
2018
Disclosure of finance lease and operating lease by lessor [abstract]
Future minimum rentals under long-term non-cancellable operating leases	1,765
2019
Disclosure of finance lease and operating lease by lessor [abstract]
Future minimum rentals under long-term non-cancellable operating leases	655
2020
Disclosure of finance lease and operating lease by lessor [abstract]
Future minimum rentals under long-term non-cancellable operating leases	555
2021
Disclosure of finance lease and operating lease by lessor [abstract]
Future minimum rentals under long-term non-cancellable operating leases	449
2022
Disclosure of finance lease and operating lease by lessor [abstract]
Future minimum rentals under long-term non-cancellable operating leases	390
Thereafter
Disclosure of finance lease and operating lease by lessor [abstract]
Future minimum rentals under long-term non-cancellable operating leases	$ 26

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Commitments and Contingencies (Details 1) $ in Thousands	Dec. 31, 2017 CAD ($)
Disclosure of finance lease and operating lease by lessee [line items]
Future minimum commitments under long-term non-cancellable operating leases	$ 1,555
2018
Disclosure of finance lease and operating lease by lessee [line items]
Future minimum commitments under long-term non-cancellable operating leases	988
2019
Disclosure of finance lease and operating lease by lessee [line items]
Future minimum commitments under long-term non-cancellable operating leases	487
2020
Disclosure of finance lease and operating lease by lessee [line items]
Future minimum commitments under long-term non-cancellable operating leases	61
2021
Disclosure of finance lease and operating lease by lessee [line items]
Future minimum commitments under long-term non-cancellable operating leases	19
2022
Disclosure of finance lease and operating lease by lessee [line items]
Future minimum commitments under long-term non-cancellable operating leases	0
Thereafter
Disclosure of finance lease and operating lease by lessee [line items]
Future minimum commitments under long-term non-cancellable operating leases	$ 0

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Commitments and Contingencies (Detail Textuals) $ in Thousands	12 Months Ended
	Dec. 31, 2017 CAD ($) Subsidiary	Dec. 31, 2016 CAD ($)	Dec. 31, 2015 CAD ($)
Disclosure Of Commitments And Contingencies [Abstract]
Rental and lease income	$ 6,026	$ 15,470	$ 5,345
Minimum lease payments recognized as expenses	3,120	2,565	3,569
Contingent rents	$ 115	20
Sublease		$ 734	$ 875
Number of subsidiaries | Subsidiary	2
Maximum percentage of share capital of subsidiaries	10.00%
Period for expiration of rights	10 years
Open purchase contracts due in 2018	$ 67

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Consolidated Statements of Cash Flows Supplemental Disclosure (Details) - Debt $ in Thousands	12 Months Ended
	Dec. 31, 2017 CAD ($)
Disclosure of reconciliation of liabilities arising from financing activities [line items]
Opening balance	$ 116,813
Cash flows	(42,253)
Non-cash changes:
Disposition of subsidiaries	(34,996)
Accretion	187
Cumulative transaction adjustments	3,982
Ending balance	$ 43,733

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Consolidated Statements of Cash Flows Supplemental Disclosure (Detail Textuals) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of reconciliation of liabilities arising from financing activities [abstract]
Offsetting of payable against receivable due from entity	$ 12,264
Redemption of preferred shares	52,299
Fair value of trade receivables	52,299	$ 1,343
Offsetting of long-term deposit liabilities against finance lease receivables	$ 545

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Consolidated Statements of Cash Flows Supplemental Disclosure (Detail Textuals 1) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of reconciliation of liabilities arising from financing activities [abstract]
Purchase of unproved lands at fair value		$ 790
Settlement of trade receivables at fair value	$ 52,299	$ 1,343
Non-cash gain on reversal of decommissioning obligation			$ 1,194
Common shares of MFC Bancorp issued to director	10,000		10,000
Percentage of participating interest			95.00%
Net loss on disposition of assets			$ 11,987
Receivables due from subsidiaries			$ 11,600

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Related Party Transactions (Details) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of transactions between related parties [abstract]
Sales of goods	$ 0	$ 0	$ 3,349

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Related Party Transactions (Detail 1) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of transactions between related parties [abstract]
Short-term employee benefits	$ 1,777	$ 2,296	$ 2,719
Directors' fees	576	634	479
Share-based compensation	713	0	0
Total	$ 3,066	$ 2,930	$ 3,198

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Related Party Transactions (Detail Textuals) - CAD ($) $ in Thousands	1 Months Ended			12 Months Ended
	Jan. 31, 2017	Jun. 30, 2015	Nov. 30, 2012	Dec. 31, 2017	Dec. 31, 2016	Apr. 30, 2014
Disclosure of transactions between related parties [line items]
Minimum percentage of significant equity interest				10.00%
Number of shares to be issued on acheivement of annual net income milestone				10,000
Gain from disposition of subsidiary				$ 57	$ 3,590
Written put options
Disclosure of transactions between related parties [line items]
Percentage of equity shares acuired						40.00%
Put Holder
Disclosure of transactions between related parties [line items]
Number of common stock shares issued		10,000
Consideration received on sale of subsidiary	$ 14,413
Number of common stock shares issued	90,000
Gain from disposition of subsidiary	$ 57
Put Holder | Written put options
Disclosure of transactions between related parties [line items]
Percentage of interest acquired			100.00%

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Related Party Transactions (Detail Textuals 1) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of transactions between related parties [line items]
Share-based compensation	$ 713	$ 0	$ 0
Directors
Disclosure of transactions between related parties [line items]
Share-based compensation	323
Other key management personnel
Disclosure of transactions between related parties [line items]
Share-based compensation	$ 390

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Financial Instruments (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Debt | Financial liabilities measured at amortized cost
Disclosure of detailed information about financial instruments [line items]
Financial Liabilities Carrying Amount	$ 43,733	$ 116,813
Financial Liabilities Fair Value	43,733	118,015
Derivative liabilities | Financial liabilities fair value through profit or loss
Disclosure of detailed information about financial instruments [line items]
Financial Liabilities Carrying Amount	302	6,454
Financial Liabilities Fair Value	302	6,454
Short-term securities | Financial assets fair value through profit or loss
Disclosure of detailed information about financial instruments [line items]
Financial Assets Carrying Amount	6	7
Financial Assets Fair Value	6	7
Derivative assets | Financial assets fair value through profit or loss
Disclosure of detailed information about financial instruments [line items]
Financial Assets Carrying Amount	246	1,240
Financial Assets Fair Value	246	1,240
Long-term loan receivables (including current portion) | Financial assets loans and receivables
Disclosure of detailed information about financial instruments [line items]
Financial Assets Carrying Amount	0	9,392
Financial Assets Fair Value	0	9,392
Securities, at fair value | Financial assets available-for-sale instruments
Disclosure of detailed information about financial instruments [line items]
Financial Assets Carrying Amount	5,892	5,572
Financial Assets Fair Value	5,892	5,572
Securities (including restricted non-current assets - securities), at cost | Financial assets available-for-sale instruments
Disclosure of detailed information about financial instruments [line items]
Financial Assets Carrying Amount	0	232
Financial Assets Fair Value	$ 0	$ 232

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Financial Instruments (Details 1) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	$ 6,144	$ 6,819
Level 1
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	5,898	5,579
Level 2
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	246	1,240
Level 3
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	0	0
Derivative liabilities | Financial liabilities fair value through profit or loss
Disclosure of detailed information about financial instruments [line items]
Financial liabilities fair value through profit or loss	302	6,454
Derivative liabilities | Financial liabilities fair value through profit or loss | Level 1
Disclosure of detailed information about financial instruments [line items]
Financial liabilities fair value through profit or loss	0	0
Derivative liabilities | Financial liabilities fair value through profit or loss | Level 2
Disclosure of detailed information about financial instruments [line items]
Financial liabilities fair value through profit or loss	302	6,454
Derivative liabilities | Financial liabilities fair value through profit or loss | Level 3
Disclosure of detailed information about financial instruments [line items]
Financial liabilities fair value through profit or loss	0	0
Short-term securities | Financial assets fair value through profit or loss
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	6	7
Short-term securities | Financial assets fair value through profit or loss | Level 1
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	6	7
Short-term securities | Financial assets fair value through profit or loss | Level 2
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	0	0
Short-term securities | Financial assets fair value through profit or loss | Level 3
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	0	0
Derivative assets | Financial assets fair value through profit or loss
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	246	1,240
Derivative assets | Financial assets fair value through profit or loss | Level 1
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	0	0
Derivative assets | Financial assets fair value through profit or loss | Level 2
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	246	1,240
Derivative assets | Financial assets fair value through profit or loss | Level 3
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	0	0
Securities | Financial assets available-for-sale instruments
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	5,892	5,572
Securities | Financial assets available-for-sale instruments | Level 1
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	5,892	5,572
Securities | Financial assets available-for-sale instruments | Level 2
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	0	0
Securities | Financial assets available-for-sale instruments | Level 3
Disclosure of detailed information about financial instruments [line items]
Financial assets fair value through profit or loss	$ 0	$ 0

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Financial Instruments (Details 2) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Disclosure of nature and extent of risks arising from financial instruments [line items]
Cash and cash equivalents and short-term cash deposits	$ 74,870	$ 120,676	$ 197,519	$ 344,891
Credit risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Cash and cash equivalents and short-term cash deposits	75,064
Derivative assets	246
Receivables	55,949
Amounts recognized in the consolidated statement of financial position	131,259
Guarantees (see Note 26)	0
Maximum credit risk exposure	$ 131,259

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Financial Instruments (Details 3) $ in Thousands	Dec. 31, 2017 CAD ($)
Debt, current portion
Disclosure Of Off Setting Of Financial Assets And Financial Liabilities [Line Items]
Recognized liabilities gross amount	$ 114,228
Amount set off	(77,979)
Net amount	36,249	[1]
Accounts payables and accrued expenses
Disclosure Of Off Setting Of Financial Assets And Financial Liabilities [Line Items]
Recognized liabilities gross amount	48,325
Amount set off	(3,211)
Net amount	45,114	[1]
Cash and cash equivalents
Disclosure Of Off Setting Of Financial Assets And Financial Liabilities [Line Items]
Recognized asset gross amount	201,866
Amount set off	(81,190)
Net amount	$ 120,676	[1]

[1] Amounts presented in the consolidated statement of financial position.

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Financial Instruments (Details 4) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of detailed information about financial instruments [abstract]
Interest income on financial assets not at fair value through profit or loss	$ 434	$ 605	$ 743
Interest income on financial assets classified at fair value through profit or loss	539	2,451	3,494
Total interest income	973	3,056	4,237
Interest expense on financial liabilities not at fair value through profit or loss	3,509	7,747	3,701
Interest expense on financial liabilities classified at fair value through profit or loss	1,195	7,720	13,793
Total interest expense	4,704	15,467	17,494
Dividend income on financial assets at fair value through profit or loss	0	0	0
Dividend income on financial assets classified as available for sale, other	0	6	7
Net gain on financial assets at fair value through profit or loss	$ 6,825	$ 1,240	$ 2,829

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Financial Instruments (Detail Textuals) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of nature and extent of risks arising from financial instruments [line items]
Proceeds from risk mitigation assets related to guarantees		$ 39,149
Recovery of credit loss		35,121
Credit risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Reduced average contractual credit period	15 days
Payments for provisions		40,677
Proceeds from risk mitigation assets related to guarantees		39,149
Recovery of credit loss		$ 35,121
Net reversal of credit loss	$ 1,317
Credit risk | Provision for credit commitments
Disclosure of nature and extent of risks arising from financial instruments [line items]
Provision for credit loss	$ 1,502
Bottom of range | Credit risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Average contractual credit period for trade receivables	60 days
Top of range | Credit risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Average contractual credit period for trade receivables	65 days
Average contractual credit period for sales	180 days

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Financial Instruments (Detail Textuals 1) - Derivatives - Currency risk - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of nature and extent of risks arising from financial instruments [line items]
Notional amount of derivative financial instruments	$ 14,766	$ 196,089
Net unrealized fair value gain (loss) of derivative	$ 75	$ 2,416

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Financial Instruments (Detail Textuals 2) $ in Thousands	12 Months Ended
	Dec. 31, 2017 CAD ($)
Disclosure of detailed information about financial instruments [abstract]
Increase in Loss from continuing operations if U.S. dollar currency weakened 10% against functional currencies	$ 1,180
Decrease in Loss from continuing operations if U.S. dollar currency strengthened 10% against functional currencies	1,180
Decrease in Loss from continuing operations if Euro weakened 10% against functional currencies	1,038
Increase in Loss from continuing operations if Euro strengthened 10% against functional currencies	1,038
Decrease in Loss from continuing operations if Canadian dollar weakened 10% against functional currencies	9,911
Increase in Loss from continuing operations if Canadian dollar strengthened 10% against functional currencies	$ 9,911

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Financial Instruments (Detail Textuals 3) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Derivative liabilities | Other price risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Notional amount of derivative financial instruments	$ 8,690	$ 37,324
Net unrealized fair value gain (loss) of derivative	(131)	(2,798)
Bottom of range | Interest rate risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Decrease in Loss from continuing operations 1% if benchmark interest rate is lower with all other variables held constant	84
Bottom of range | Other price risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Decrease in Loss from continuing operations if equity prices strengthened 10% with all other variables held constant	1
Decrease in Other comprehensive loss from continuing operations if equity prices strengthened 10% with all other variables held constant	77
Decrease in Loss from continuing operations if strengthened 10% underlying prices with all other variables held constant		(5)
Top of range | Interest rate risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Increase in Loss from continuing operations if 1% benchmark interest rate is higher with all other variables held constant	84
Top of range | Other price risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Increase in Loss from continuing operations if equity prices weakened 10% with all other variables held constant	1
Increase in Other comprehensive loss from continuing operations if equity prices weakened 10% with all other variables held constant	$ 77
Increase in Loss form continuing operations if weakened 10% underlying prices with all other variables held constant		$ 5

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Financial Instruments (Detail Textuals 4) - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Disclosure of nature and extent of risks arising from financial instruments [line items]
Cash and cash equivalents	$ 74,870	$ 120,676	$ 197,519	$ 344,891
Aggregate short-term banking borrowings and debt	43,733	116,813
Trade receivables due from customer, net of allowance	34,259	135,962	$ 92,595
Credit risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Cash and cash equivalents	$ 75,064
Large exposure customers | Credit risk
Disclosure of nature and extent of risks arising from financial instruments [line items]
Trade receivables due from customer, net of allowance		$ 100,008
European banking group
Disclosure of nature and extent of risks arising from financial instruments [line items]
Percentage of concentration risk	10.00%
Cash and cash equivalents	$ 2,412
Aggregate notional amount of derivative contract	$ 14,766

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Fair Value Disclosure for Non-financial Assets (Details) - CAD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Disclosure of fair value measurement of assets [line items]
Assets	$ 396,947	$ 650,338
Recurring fair value measurement | Level 1
Disclosure of fair value measurement of assets [line items]
Assets	1,039	1,655
Recurring fair value measurement | Level 2
Disclosure of fair value measurement of assets [line items]
Assets	37,931	49,192
Recurring fair value measurement | Level 3
Disclosure of fair value measurement of assets [line items]
Assets	0	0
Recurring fair value measurement | Inventories | Level 1
Disclosure of fair value measurement of assets [line items]
Assets	1,039	1,655
Recurring fair value measurement | Inventories | Level 2
Disclosure of fair value measurement of assets [line items]
Assets	271	13,529
Recurring fair value measurement | Inventories | Level 3
Disclosure of fair value measurement of assets [line items]
Assets	0	0
Recurring fair value measurement | Investment property | Level 1
Disclosure of fair value measurement of assets [line items]
Assets	0	0
Recurring fair value measurement | Investment property | Level 2
Disclosure of fair value measurement of assets [line items]
Assets	37,660	35,663
Recurring fair value measurement | Investment property | Level 3
Disclosure of fair value measurement of assets [line items]
Assets	$ 0	$ 0

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MFC Bancorp and its Significant Subsidiaries (Details)	12 Months Ended
	Dec. 31, 2017
Disclosure of subsidiaries [line items]
Proportion of ownership interest in subsidiary	100.00%
Kasese Cobalt Company Limited
Disclosure of subsidiaries [line items]
Name of subsidiary	Kasese Cobalt Company Limited
Country of incorporation of subsidiary	Uganda
Proportion of ownership interest in subsidiary	75.00%
MFC (A) Ltd
Disclosure of subsidiaries [line items]
Name of subsidiary	MFC (A) Ltd
Country of incorporation of subsidiary	Marshall Islands
Proportion of ownership interest in subsidiary	99.72%
MFC (D) Ltd
Disclosure of subsidiaries [line items]
Name of subsidiary	MFC (D) Ltd
Country of incorporation of subsidiary	Marshall Islands
Proportion of ownership interest in subsidiary	99.72%
M Financial Corp.
Disclosure of subsidiaries [line items]
Name of subsidiary	M Financial Corp.
Country of incorporation of subsidiary	Barbados
Proportion of ownership interest in subsidiary	100.00%
Merchants Financial Corp
Disclosure of subsidiaries [line items]
Name of subsidiary	Merchants Financial Corp
Country of incorporation of subsidiary	Marshall Islands
Proportion of ownership interest in subsidiary	99.96%
MFC Merchant Bank Limited
Disclosure of subsidiaries [line items]
Name of subsidiary	MFC Merchant Bank Limited
Country of incorporation of subsidiary	Malta
Proportion of ownership interest in subsidiary	100.00%
Sino Medical Technology Co. Ltd
Disclosure of subsidiaries [line items]
Name of subsidiary	Sino Medical Technology Co. Ltd
Country of incorporation of subsidiary	Marshall Islands
Proportion of ownership interest in subsidiary	99.54%

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MFC Bancorp and its Significant Subsidiaries (Detail Textuals) $ in Thousands	12 Months Ended
	Dec. 31, 2017 CAD ($) subsidaries	Dec. 31, 2016 CAD ($)
Disclosure of information about consolidated structured entities [abstract]
Proportion of voting rights held in subsidiary	50.00%
Proportion of voting rights held by non-controlling interests	50.00%
Proportion of ownership interest in subsidiary	100.00%
Percentage of proportional beneficial interest in MFC (A) Ltd. and MFC (B) Ltd	99.68%
Number of subsidaries | subsidaries	2
Gain from disposition of subsidiary	$ 57	$ 3,590
Loss on the dispositions of the subsidiaries	$ 10,276	$ 1,005

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MFC Bancorp and its Significant Subsidiaries (Detail Textuals 1) - Discontinued operations - Hydrocarbon properties - CAD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2015
Disclosure of subsidiaries [line items]
Economic interest sold percentage	95.00%	95.00%
Non-cash post-tax loss in discontinued operations		$ 11,987