v3.26.1
COST OF SALES (Tables)
 6 Months Ended
Jun. 30, 2026
Notes and other explanatory information [abstract]  
SCHEDULE OF COST OF SALES

Cost of sales excluding depletion, depreciation and amortization are costs that directly relate to production and generation of revenues at the operating segments. Significant components of cost of sales are comprised of the following:

 

                 
   Three months ended June 30,   Six months ended June 30, 
   2026   2025   2026   2025 
   $   $   $   $ 
Consumables and materials   3,716    2,590    7,761    4,957 
Energy   1,009    566    2,063    1,282 
Insurance   701    707    1,656    1,532 
Mining and plant maintenance costs   24,098    19,435    47,142    38,063 
Other costs   517    (148)   (422)   (406)
Production Costs   30,041    23,150    58,200    45,428 
Transportation and other selling costs   4,467    3,508    8,112    7,444 
Mining royalties expense(1)   2,349    1,002    5,511    2,350 
Finished goods inventory changes   (2,933)   1,163    (3,223)   2,425 
Change in estimate of decommissioning provisions (note 12(a))   (4,657)   -    (4,657)   - 
Cost of sales – mining operations   29,267    28,823    63,943    57,647 

 

   Three months ended June 30,   Six months ended June 30, 
   2026   2025   2026   2025 
   $   $   $   $ 
Purchased ore costs(2)   26,899    9,703    69,738    15,653 
Ore processing costs   7,910    4,385    17,481    7,853 
Finished goods inventory changes   (7,705)   (343)   (17,428)   (707)
Change in estimate of decommissioning provisions (note 12(a))   (1,848)   -    (1,848)   - 
Cost of sales – ore processing   25,256    13,745    67,943    22,799 

 

(1)Mining royalty expense includes a 1% royalty on silver revenue payable to the Mexican government and mining royalties payable to the Bolivian government based upon 5% zinc and 6% silver gross sales revenue from Bolivian mining operations.

 

(2)Purchased ore costs are the amounts paid to third-party miners for the purchase of ore from mineral properties not owned by the Company which is then processed and sold by the Company to generate sales revenue (refer to note 14(b)). The amount paid to third-party miners is based upon the ore’s metal content and prevailing metal prices at the time of purchase.