| SCHEDULE OF DECOMMISSIONING LIABILITIES |
SCHEDULE
OF DECOMMISSIONING LIABILITIES
| | |
Bolivar | | |
Porco | | |
Caballo
Blanco Group | | |
San
Lucas Group | | |
Zimapan | | |
Total | |
| | |
$ | | |
$ | | |
$ | | |
$ | | |
$ | | |
$ | |
| Balance, December 31, 2024 | |
| 3,666 | | |
| 6,256 | | |
| 7,543 | | |
| 3,006 | | |
| 5,205 | | |
| 25,676 | |
| Change in estimate | |
| 813 | | |
| 1,113 | | |
| 570 | | |
| 399 | | |
| 111 | | |
| 3,006 | |
| Reclamation work performed | |
| (20 | ) | |
| (7 | ) | |
| (72 | ) | |
| (30 | ) | |
| - | | |
| (129 | ) |
| Accretion | |
| 250 | | |
| 423 | | |
| 698 | | |
| 286 | | |
| 490 | | |
| 2,147 | |
| Foreign exchange gain | |
| 443 | | |
| 655 | | |
| 2,445 | | |
| 1,104 | | |
| 669 | | |
| 5,316 | |
| Balance, December 31, 2025 | |
| 5,152 | | |
| 8,440 | | |
| 11,184 | | |
| 4,765 | | |
| 6,475 | | |
| 36,016 | |
| Less: current portion | |
| (84 | ) | |
| (15 | ) | |
| (650 | ) | |
| (73 | ) | |
| - | | |
| (822 | ) |
| Non-current portion | |
| 5,068 | | |
| 8,425 | | |
| 10,534 | | |
| 4,692 | | |
| 6,475 | | |
| 35,194 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Balance, December 31, 2025 | |
| 5,152 | | |
| 8,440 | | |
| 11,184 | | |
| 4,765 | | |
| 6,475 | | |
| 36,016 | |
| Change in estimate (note 12(a)) | |
| (1,094 | ) | |
| (1,778 | ) | |
| (6,463 | ) | |
| (2,670 | ) | |
| (415 | ) | |
| (12,420 | ) |
| Reclamation work performed | |
| (2 | ) | |
| (1 | ) | |
| (23 | ) | |
| (23 | ) | |
| - | | |
| (49 | ) |
| Accretion | |
| 242 | | |
| 395 | | |
| 473 | | |
| 200 | | |
| 279 | | |
| 1,589 | |
| Foreign exchange gain | |
| (739 | ) | |
| (1,210 | ) | |
| (1,488 | ) | |
| (637 | ) | |
| 183 | | |
| (3,891 | ) |
| Balance, June 30, 2026 | |
| 3,559 | | |
| 5,846 | | |
| 3,683 | | |
| 1,635 | | |
| 6,522 | | |
| 21,245 | |
| Less: current portion | |
| (85 | ) | |
| (36 | ) | |
| (434 | ) | |
| (51 | ) | |
| - | | |
| (606 | ) |
| Non-current portion | |
| 3,474 | | |
| 5,810 | | |
| 3,249 | | |
| 1,584 | | |
| 6,522 | | |
| 20,639 | |
In
the second quarter of 2026, management updated its estimate of the future expenditures required for the restoration of its mining properties
which resulted in a $12,420 decrease in the decommissioning and restoration provision. The decrease in future expenditures is primarily
caused by significant changes to the Bolivian economic environment which includes the adopting of a floating exchange rate and a significant
reduction in the projected inflation rate. The change in estimate reduced the carrying value of the decommissioning and restoration asset
to zero and the remaining $6,505 was recorded as a reduction to Cost of Sales.
|
| SCHEDULE OF OTHER DECOMMISSION PROVISION |
SCHEDULE
OF OTHER DECOMMISSION PROVISION
| | |
Bolivar | | |
Porco | | |
Caballo
Blanco Group | | |
San
Lucas Group | | |
Zimapan | |
| | |
Decommissioning
and restoration provisions - June 30, 2026 | |
| | |
Bolivar | | |
Porco | | |
Caballo
Blanco Group | | |
San
Lucas Group | | |
Zimapan | |
| Undiscounted uninflated estimated
cash flow | |
$ | 4,243 | | |
$ | 6,924 | | |
$ | 7,747 | | |
$ | 3,242 | | |
$ | 10,069 | |
| Discount rate | |
| 11.3 | % | |
| 11.3 | % | |
| 13.0 | % | |
| 14.7 | % | |
| 8.9 | % |
| Inflation rate | |
| 7.62 | % | |
| 7.62 | % | |
| 7.62 | % | |
| 7.62 | % | |
| 3.6 | % |
| | |
Bolivar | | |
Porco | | |
Caballo
Blanco Group | | |
San
Lucas Group | | |
Zimapan | |
| | |
Decommissioning
and restoration provisions - December 31, 2025 | |
| | |
Bolivar | | |
Porco | | |
Caballo
Blanco Group | | |
San
Lucas Group | | |
Zimapan | |
| Undiscounted uninflated estimated
cash flow | |
$ | 4,248 | | |
$ | 6,925 | | |
$ | 7,829 | | |
$ | 3,250 | | |
$ | 9,791 | |
| Discount rate | |
| 10.2 | % | |
| 10.2 | % | |
| 9.9 | % | |
| 9.6 | % | |
| 8.7 | % |
| Inflation rate | |
| 20.2 | % | |
| 20.2 | % | |
| 20.2 | % | |
| 20.2 | % | |
| 3.6 | % |
|