| Investment in Peak Gold JV |
10. Investment in Peak Gold JV The Company recorded its initial investment at the historical book value of the assets contributed to the Peak Gold JV which was approximately $1.4 million. As of December 31, 2025 and 2024, the Company has contributed approximately $106.2 million to the Peak Gold JV. There were no contributions during the fiscal year ended December 31, 2025. The following table is a roll-forward of our investment in the Peak Gold JV as of December 31, 2025:
|
|
|
|
|
|
|
Investment |
|
|
|
in Peak Gold, LLC |
|
Investment balance at December 31, 2023 |
|
$ |
28,064,405 |
|
Investment in Peak Gold, LLC |
|
|
15,450,000 |
|
Loss from equity investment in Peak Gold, LLC |
|
|
(140,253 |
) |
Investment balance at March 31, 2024 |
|
$ |
43,374,152 |
|
Investment in Peak Gold, LLC |
|
|
11,790,000 |
|
Loss from equity investment in Peak Gold, LLC |
|
|
(695,633 |
) |
Investment balance at June 30, 2024 |
|
$ |
54,468,519 |
|
Investment in Peak Gold, LLC |
|
|
4,050,000 |
|
Distributions received from Peak Gold, LLC |
|
|
(19,500,000 |
) |
Income from equity investment in Peak Gold, LLC |
|
|
28,525,857 |
|
Investment balance at September 30, 2024 |
|
$ |
67,544,376 |
|
Distributions received from Peak Gold, LLC |
|
|
(21,000,000 |
) |
Income from equity investment in Peak Gold, LLC |
|
|
13,979,246 |
|
Investment balance at December 31, 2024 |
|
$ |
60,523,622 |
|
Distributions received from Peak Gold, LLC |
|
|
(24,000,000 |
) |
Income from equity investment in Peak Gold, LLC |
|
|
22,320,034 |
|
Investment balance at March 31, 2025 |
|
$ |
58,843,656 |
|
Distributions received from Peak Gold, LLC |
|
|
(30,000,000 |
) |
Income from equity investment in Peak Gold, LLC |
|
|
27,326,184 |
|
Investment balance at June 30, 2025 |
|
$ |
56,169,840 |
|
Distributions received from Peak Gold, LLC |
|
|
(33,000,000 |
) |
Income from equity investment in Peak Gold, LLC |
|
|
29,533,425 |
|
Investment balance at September 30, 2025 |
|
$ |
52,703,265 |
|
Distributions received from Peak Gold, LLC |
|
|
(15,000,000 |
) |
Income from equity investment in Peak Gold, LLC |
|
|
9,405,468 |
|
Investment balance at December 31, 2025 |
|
$ |
47,108,733 |
|
|
|
|
|
The following table presents the condensed balance sheets for the Peak Gold JV as of December 31, 2025 and December 31, 2024 in accordance with US GAAP:
|
|
|
|
|
|
|
|
|
|
|
December 31, 2025 |
|
|
December 31, 2024 |
|
ASSETS |
|
|
|
|
|
|
Current assets |
|
$ |
168,737,044 |
|
|
$ |
166,365,590 |
|
Non-current assets |
|
|
198,799,122 |
|
|
|
218,643,898 |
|
TOTAL ASSETS |
|
$ |
367,536,166 |
|
|
$ |
385,009,488 |
|
|
|
|
|
|
|
|
LIABILITIES AND MEMBERS’EQUITY |
|
|
|
|
|
|
Current liabilities |
|
$ |
64,110,196 |
|
|
$ |
45,985,161 |
|
Non-current liabilities |
|
|
68,148,959 |
|
|
|
59,031,019 |
|
TOTAL LIABILITIES |
|
$ |
132,259,155 |
|
|
$ |
105,016,180 |
|
|
|
|
|
|
|
|
MEMBERS’ EQUITY |
|
|
235,277,011 |
|
|
|
279,993,308 |
|
TOTAL LIABILITIES AND MEMBERS’ EQUITY |
|
$ |
367,536,166 |
|
|
$ |
385,009,488 |
|
The following table presents the condensed results of operations for the Peak Gold JV for the fiscal year ended December 31, 2025 and the fiscal year ended December 31, 2024 in accordance with US GAAP:
|
|
|
|
|
|
|
|
|
|
|
Fiscal Year Ended |
|
|
Fiscal Year Ended |
|
|
|
December 31, 2025 |
|
|
December 31, 2024 |
|
|
|
|
|
|
|
|
Revenue |
|
$ |
645,561,578 |
|
|
$ |
344,859,461 |
|
Cost of sales |
|
|
(289,074,573 |
) |
|
|
(168,125,264 |
) |
Gross profit |
|
|
356,487,005 |
|
|
|
176,734,197 |
|
Other expenses |
|
|
(61,203,303 |
) |
|
|
(37,836,809 |
) |
|
|
|
|
|
|
|
Net Income |
|
$ |
295,283,702 |
|
|
$ |
138,897,388 |
|
The Company’s share of the Peak Gold JV’s results of operations for the fiscal year ended December 31, 2025 and 2024 was income of $88.6 million and $41.7 million, respectively. The Peak Gold JV income and losses do not include any provisions related to income taxes as the Peak Gold JV is treated as a partnership for income tax purposes. As of December 31, 2025, the Company recorded an investment in the Peak Gold JV of $47,108,733, reflecting cumulative contributions, historical cost of the assets contributed, income from the Peak Gold JV and cash distributions. Likewise, as of December 31, 2024 the Company recorded an investment in the Peak Gold JV of $60,523,622. If the Company elects not to fund its interest in the Peak Gold JV, its interest would be diluted.
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