Assets Held-For-Sale

9 Months Ended

Sep. 30, 2024

Asset Retirement Obligation Disclosure [Abstract]

Assets Held-For-Sale

Assets Held-For-Sale

As of September 30, 2024 and December 31, 2023, Assets held-for-sale consisted of equipment not-in-use of $4.4 million and $7.1 million, respectively.

In July 2024, the Company entered into an Equipment Purchase Agreement to sell one ball mill for $4.0 million, before commissions and expenses. For both the three and nine months ended September 30, 2024, the Company recorded a $2.8 million reduction to equipment not-in-use for the sale of the ball mill and recognized $0.7 million as Other income related to this sale.

In August 2022 and with subsequent amendments, the Company entered into an Equipment Purchase Agreement to sell equipment totaling $13.6 million. Under the terms of the agreement, the Company received $1.6 million in nonrefundable deposit payments. Effective March 1, 2024, the buyer terminated a portion of the Equipment Purchase Agreement related to one ball mill and one semi-autogenous (“SAG”) mill and effective April 5, 2024, the buyer terminated the balance of the Equipment Purchase Agreement. In accordance with Accounting Standards Codification (“ASC”) Topic 606, Revenue from Contracts with Customers, because the sale did not materialize, the Company recognized $1.6 million as Other income during the nine months ended September 30, 2024, to account for the gain on forfeiture of non-refundable deposits.