
	June 30, 2025		December 31, 2024
Warrant liability (i)	$	5,884	$	4,623
Share-based payment liability (ii)	2,910		790
Orion - Conversion and change of controls rights (iii)	1,032		336
Sprott - Conversion and change of controls rights (iii)	10		33

Gold Prepay Agreement embedded derivative (iv)	9,682		9,665
Silver Purchase Agreement embedded derivative (v)	15,245		7,999
Deferred revenue (vi)	7,102		—
Lease liability	1,128		685
Total other liabilities	42,993		24,131
Less current portion	16,743		8,882
Long-term portion	$	26,250	$	15,249

The warrants are considered derivatives because their exercise price is in C$ whereas the Company’s functional currency is in USD. Accordingly, the Company recognizes the warrants as liabilities at fair value with changes in fair value recognized in the statement of loss. For the three and six months ended June 30, 2025, the Company recorded a gain of $0.7 million and $0.3 million, respectively (2024 - gain of $1.6 million and $4.3 million, respectively) (Note 11).

The fair value of the warrants, excluding warrants issued in connection with the bought deal public offering, were calculated using the Black-Scholes option pricing model with the following assumptions:


	June 30, 2025	December 31, 2024
Risk-free rate	2.64% to 2.79%	2.85% to 3.14%
Warrant expected life	6 to 43 months	2 to 37 months
Expected volatility	84% to 123%	86% to 232%

On January 15, 2025, the Company issued common share purchase warrants in connection with the amendments to the Orion Convertible Loan (Note 5).

The Company recognized a share-based payment liability of $2.9 million at June 30, 2025 (December 31, 2024 - $0.8 million) under the Company's restricted and deferred share unit plans. The current portion of the liability is $0.6 million at June 30, 2025 (December 31, 2024 - $0.2 million).

The Orion Convertible Loan and Sprott Convertible Loan (the "Convertible Loans") contain a change of control feature, a conversion feature, and a forced conversion feature that are considered embedded derivatives by the Company. The change of control feature and conversion feature are classified as derivative financial liabilities measured at fair value (Note 17). The forced conversion feature is not separated from the host contract as it is considered to be indexed to the Company's shares. During the period ended June 30, 2025, none of the features were exercised.

The Orion Convertible Loan derivative financial liability was recorded at $1.0 million at June 30, 2025 (December 31, 2024 - $0.3 million). For the three and six months ended June 30, 2025, the Company recorded a fair value gain of $0.7 million and loss of $0.7 million, respectively (2024 - gain of $2.6 million and $7.9 million, respectively) related to the valuation of the embedded derivatives through the statement of loss.

The Sprott Convertible Loan derivative financial liability was recorded at $0.01 million at June 30, 2025 (December 31, 2024 - $0.03 million). For the three and six months ended June 30, 2025, the Company recorded a fair value gain of $0.01 million and $0.02 million, respectively (2024 - gain of $0.4 million and $1.3 million, respectively) related to the valuation of the embedded derivatives through the statement of loss.

The financial liability represents the embedded derivative in relation to the fixed gold price included in the Gold Prepay Agreement (Note 5 and Note 17). The Company recognizes the embedded derivative at fair value with changes in fair value recognized in profit or loss. For the three and six months ended June 30, 2025, the Company recorded a fair value gain of $8.2 million and loss of $0.02 million, respectively (2024 - loss of $1.4 million and $4.9 million, respectively) related to the valuation of the embedded derivative through the statement of loss (Note 11). As of June 30, 2025, the current portion of the Gold Prepay Agreement embedded derivative liability was $7.3 million.

The financial liability represents the embedded derivative in relation to the silver price included in the Silver Purchase Agreement (Note 5 and Note 17). The Company recognizes the embedded derivative at fair value with changes in fair value recognized in profit or loss. For the three and six months ended June 30, 2025, the Company recorded a fair value gain of $0.2 million and $7.2 million loss, respectively (2024 - loss of $4.4 million and $5.3 million, respectively) related to the valuation of the embedded derivative through the statement of loss (Note 11). As of June 30, 2025, the current portion of the Silver Purchase Agreement embedded derivative liability was $0.7 million.

On April 29, 2025, the Company finalized an amended and restated master purchase and sale agreement with Auramet International, Inc. Under this agreement, the Company received a prepayment of 3,600 ounces of gold, for $12.0 million totaling $11.6 million in net proceeds. As at June 30, 2025, the Company has delivered 1,454 ounces, totaling $4.9 million recorded in revenue with 2,146 ounces remaining to be delivered in the amount of $7.1 million. The remaining portion is expected to be delivered during the third quarter.