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Segment Reporting | 12 Months Ended
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Dec. 31, 2022
Segment Reporting [Abstract] |
SEGMENT REPORTING | SEGMENT REPORTING The Company’s operating segments include the Palmarejo, Rochester, Kensington and Wharf mines and Silvertip exploration property. Except for the Silvertip exploration property, all operating segments are engaged in the discovery, mining, and production of gold and/or silver. The Silvertip exploration property, which suspended mining and processing activities in February 2020, is engaged in the discovery of silver, zinc and lead. Other includes the Sterling/Crown exploration properties (which were sold in the fourth quarter of 2022), other mineral interests, strategic equity investments, corporate office, elimination of intersegment transactions, and other items necessary to reconcile to consolidated amounts. In 2022 the Company disposed of the Sterling/Crown exploration properties and La Preciosa project, see Note 21 -- Dispositions for additional information. Financial information relating to the Company’s segments is as follows (in thousands):
Year Ended December 31, 2022 | Palmarejo |  | Rochester |  | Kensington |  | Wharf |  | Silvertip |  | Other |  | Total
Revenue |  |  |  |  |  |  |  |  |  |  |  |  |
Gold sales | $ | 157,595 |  |  | $ | 64,460 |  |  | $ | 201,859 |  |  | $ | 148,963 |  |  | $ | — |  |  | $ | — |  |  | $ | 572,877 |
Silver sales | 145,839 |  |  | 65,203 |  |  | 634 |  |  | 1,083 |  |  | — |  |  | — |  |  | 212,759 |
Metal sales | 303,434 |  |  | 129,663 |  |  | 202,493 |  |  | 150,046 |  |  | — |  |  | — |  |  | 785,636 |
Costs and Expenses |  |  |  |  |  |  |  |  |  |  |  |  |
Costs applicable to sales(1) | 182,576 |  |  | 165,166 |  |  | 155,725 |  |  | 103,063 |  |  | — |  |  | — |  |  | 606,530 |
Amortization | 35,432 |  |  | 22,626 |  |  | 39,032 |  |  | 8,247 |  |  | 4,912 |  |  | 1,377 |  |  | 111,626 |
Exploration | 6,605 |  |  | 4,627 |  |  | 6,637 |  |  | — |  |  | 4,628 |  |  | 4,127 |  |  | 26,624 |
Other operating expenses | 4,372 |  |  | 7,340 |  |  | 1,870 |  |  | 1,947 |  |  | 22,322 |  |  | 42,896 |  |  | 80,747 |
Other income (expense) |  |  |  |  |  |  |  |  |  |  |  |  |
Fair value adjustments, net | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (66,668) |  |  | (66,668) |
Interest expense, net | (12) |  |  | (810) |  |  | (1,446) |  |  | (66) |  |  | (176) |  |  | (21,351) |  |  | (23,861) |
Other, net(3) | 3,204 |  |  | (506) |  |  | (21) |  |  | 506 |  |  | (354) |  |  | 64,142 |  |  | 66,971 |
Income and mining tax (expense) benefit | (28,771) |  |  | 876 |  |  | 127 |  |  | (2,868) |  |  | — |  |  | 15,978 |  |  | (14,658) |
Net Income (loss) | $ | 48,870 |  |  | $ | (70,536) |  |  | $ | (2,111) |  |  | $ | 34,361 |  |  | $ | (32,392) |  |  | $ | (56,299) |  |  | $ | (78,107) |
Segment assets(2) | $ | 295,715 |  |  | $ | 809,116 |  |  | $ | 148,516 |  |  | $ | 105,209 |  |  | $ | 244,151 |  |  | $ | 67,275 |  |  | $ | 1,669,982 |
Capital expenditures | $ | 42,648 |  |  | $ | 246,360 |  |  | $ | 31,456 |  |  | $ | 3,138 |  |  | $ | 24,797 |  |  | $ | 3,955 |  |  | $ | 352,354 |
(1) Excludes amortization (2) Segment assets include receivables, prepaids, inventories, property, plant and equipment, and mineral interests (3) See Note 16 -- Additional Comprehensive Income (Loss) Detail for additional detail
Year Ended December 31, 2021 | Palmarejo |  | Rochester |  | Kensington |  | Wharf |  | Silvertip |  | Other |  | Total
Revenue |  |  |  |  |  |  |  |  |  |  |  |  |
Gold sales | $ | 150,098 |  |  | $ | 49,659 |  |  | $ | 214,635 |  |  | $ | 164,519 |  |  | $ | — |  |  | $ | — |  |  | $ | 578,911 |
Silver sales | 170,176 |  |  | 81,163 |  |  | 370 |  |  | 2,208 |  |  | — |  |  | — |  |  | 253,917 |
Metal sales | 320,274 |  |  | 130,822 |  |  | 215,005 |  |  | 166,727 |  |  | — |  |  | — |  |  | 832,828 |
Costs and Expenses |  |  |  |  |  |  |  |  |  |  |  |  |
Costs applicable to sales(1) | 153,655 |  |  | 131,240 |  |  | 133,065 |  |  | 93,579 |  |  | — |  |  | — |  |  | 511,539 |
Amortization | 36,062 |  |  | 20,187 |  |  | 54,933 |  |  | 11,038 |  |  | 4,797 |  |  | 1,298 |  |  | 128,315 |
Exploration | 8,561 |  |  | 6,016 |  |  | 6,656 |  |  | 143 |  |  | 15,287 |  |  | 14,506 |  |  | 51,169 |
Other operating expenses | 4,443 |  |  | 5,886 |  |  | 6,299 |  |  | 1,786 |  |  | 25,031 |  |  | 45,632 |  |  | 89,077 |
Other income (expense) |  |  |  |  |  |  |  |  |  |  |  |  |
Loss on debt extinguishment | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (9,173) |  |  | (9,173) |
Fair value adjustments, net | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (543) |  |  | (543) |
Interest expense, net | (592) |  |  | (1,034) |  |  | (704) |  |  | (145) |  |  | 1,276 |  |  | (15,252) |  |  | (16,451) |
Other, net(3) | (28,197) |  |  | (357) |  |  | (150) |  |  | 1,650 |  |  | (1,465) |  |  | 5,594 |  |  | (22,925) |
Income and mining tax (expense) benefit | (29,730) |  |  | 559 |  |  | (414) |  |  | (4,799) |  |  | 1,478 |  |  | (2,052) |  |  | (34,958) |
Net Income (loss) | $ | 59,034 |  |  | $ | (33,339) |  |  | $ | 12,784 |  |  | $ | 56,887 |  |  | $ | (43,826) |  |  | $ | (82,862) |  |  | $ | (31,322) |
Segment assets(2) | $ | 294,893 |  |  | $ | 559,283 |  |  | $ | 142,926 |  |  | $ | 87,579 |  |  | $ | 230,617 |  |  | $ | 109,636 |  |  | $ | 1,424,934 |
Capital expenditures | $ | 36,539 |  |  | $ | 166,548 |  |  | $ | 27,522 |  |  | $ | 8,072 |  |  | $ | 70,069 |  |  | $ | 1,031 |  |  | $ | 309,781 |
(1) Excludes amortization (2) Segment assets include receivables, prepaids, inventories, property, plant and equipment, and mineral interests (3) See Note 16 -- Additional Comprehensive Income (Loss) Detail for additional detail
Year Ended December 31, 2020 | Palmarejo |  | Rochester |  | Kensington |  | Wharf |  | Silvertip |  | Other |  | Total
Revenue |  |  |  |  |  |  |  |  |  |  |  |  |
Gold sales | $ | 154,056 |  |  | $ | 46,337 |  |  | $ | 216,497 |  |  | $ | 167,743 |  |  | $ | — |  |  | $ | — |  |  | $ | 584,633 |
Silver sales | 132,525 |  |  | 63,916 |  |  | — |  |  | 2,504 |  |  | 1,230 |  |  | — |  |  | 200,175 |
Zinc sales | — |  |  | — |  |  | — |  |  | — |  |  | (662) |  |  | — |  |  | (662) |
Lead sales | — |  |  | — |  |  | — |  |  | — |  |  | 1,315 |  |  | — |  |  | 1,315 |
Metal sales | 286,581 |  |  | 110,253 |  |  | 216,497 |  |  | 170,247 |  |  | 1,883 |  |  | — |  |  | 785,461 |
Costs and Expenses |  |  |  |  |  |  |  |  |  |  |  |  |
Costs applicable to sales(1) | 125,204 |  |  | 86,112 |  |  | 121,727 |  |  | 89,635 |  |  | 17,657 |  |  | — |  |  | 440,335 |
Amortization | 44,873 |  |  | 14,306 |  |  | 49,477 |  |  | 12,473 |  |  | 8,923 |  |  | 1,335 |  |  | 131,387 |
Exploration | 6,955 |  |  | 3,303 |  |  | 8,568 |  |  | 905 |  |  | 12,228 |  |  | 10,684 |  |  | 42,643 |
Other operating expenses | 7,927 |  |  | 5,144 |  |  | 12,012 |  |  | 838 |  |  | 23,123 |  |  | 40,332 |  |  | 89,376 |
Other income (expense) |  |  |  |  |  |  |  |  |  |  |  |  |
Fair value adjustments, net | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 7,601 |  |  | 7,601 |
Interest expense, net | (918) |  |  | (1,142) |  |  | (1,017) |  |  | (182) |  |  | (672) |  |  | (16,777) |  |  | (20,708) |
Other, net(3) | (5,273) |  |  | (2,718) |  |  | (18) |  |  | (69) |  |  | 1,793 |  |  | 344 |  |  | (5,941) |
Income and mining tax (expense) benefit | (28,029) |  |  | (863) |  |  | (1,244) |  |  | (6,644) |  |  | — |  |  | (265) |  |  | (37,045) |
Net Income (loss) | $ | 67,402 |  |  | $ | (3,335) |  |  | $ | 22,434 |  |  | $ | 59,501 |  |  | $ | (58,927) |  |  | $ | (61,448) |  |  | $ | 25,627 |
Segment assets(2) | $ | 305,291 |  |  | $ | 346,986 |  |  | $ | 169,414 |  |  | $ | 75,047 |  |  | $ | 157,529 |  |  | $ | 177,886 |  |  | $ | 1,232,153 |
Capital expenditures | $ | 25,511 |  |  | $ | 37,542 |  |  | $ | 19,825 |  |  | $ | 2,447 |  |  | $ | 13,144 |  |  | $ | 810 |  |  | $ | 99,279 |
(1) Excludes amortization (2) Segment assets include receivables, prepaids, inventories, property, plant and equipment, and mineral interests (3) See Note 16 -- Additional Comprehensive Income (Loss) Detail for additional detail
Assets | December 31, 2022 |  | December 31, 2021
Total assets for reportable segments | $ | 1,669,982 |  |  | $ | 1,424,934 |
Cash and cash equivalents | 61,464 |  |  | 56,664 |
Other assets | 114,697 |  |  | 252,824 |
Total consolidated assets | $ | 1,846,143 |  |  | $ | 1,734,422 |
Geographic Information
Long-Lived Assets | December 31, 2022 |  | December 31, 2021
United States | $ | 899,960 |  |  | $ | 704,007 |
Mexico | 251,950 |  |  | 244,758 |
Canada | 237,723 |  |  | 223,876 |
Other | 122 |  |  | 125 |
Total | $ | 1,389,755 |  |  | $ | 1,172,766 |
Revenue |  |  | Year ended December 31,
|  |  |  | 2022 |  | 2021 |  | 2020
United States |  |  |  |  | $ | 482,202 |  |  | $ | 512,554 |  |  | $ | 496,997 |
Mexico |  |  |  |  | 303,434 |  |  | 320,274 |  |  | 286,581 |
Canada |  |  |  |  | — |  |  | — |  |  | 1,883 |
Total |  |  |  |  | $ | 785,636 |  |  | $ | 832,828 |  |  | $ | 785,461 |
The Company's doré, as well as the concentrate product produced by the Wharf mine, is refined into gold and silver bullion according to benchmark standards set by the London Bullion Market Association, which regulates the acceptable requirements for bullion traded in the London precious metals markets. The Company then sells its gold and silver bullion to multi-national banks, bullion trading houses, and refiners across the globe. The Company had five trading counterparties at December 31, 2022. The Company's sales of doré or concentrate product produced by the Palmarejo, Rochester, and Wharf mines amounted to approximately 74%, 74%, and 72%, of total metal sales for the years ended December 31, 2022, 2021, and 2020, respectively. The Company's gold concentrate product from the Kensington mine and the zinc and lead concentrates from the Silvertip exploration property are or were sold under a variety of agreements with smelters and traders, and the smelters and traders pay the Company for the metals recovered from the concentrates. The Company’s sales of concentrate produced by the Kensington and Silvertip exploration property (solely in 2020 for periods prior to the suspension of active mining operations) amounted to approximately 26%, 26%, and 28% of total metal sales for the years ended December 31, 2022, 2021, and 2020, respectively. The Company believes that the loss of any one smelter, refiner, trader or third-party customer would not have a material adverse effect on the Company due to the liquidity of the markets and current availability of alternative trading counterparties. The following table indicates customers that represent 10% or more of total sales of metal for at least one of the years December 31, 2022, 2021, and 2020 (in millions):
| Year ended December 31, |
Customer | 2022 |  | 2021 |  | 2020 | Segments reporting revenue
Bank of Montreal | $ | 341.5 |  |  | $ | 98.7 |  |  | $ | 17.0 |  | Palmarejo, Rochester, Wharf
Ocean Partners | 168.9 |  |  | 176.4 |  |  | 161.0 |  | Palmarejo, Kensington, Silvertip
Asahi | 125.3 |  |  | 323.8 |  |  | 272.1 |  | Palmarejo, Rochester, Kensington, Wharf
Argor-Heraeus | 49.3 |  |  | 23.3 |  |  | 79.9 |  | Palmarejo, Rochester
Toronto Dominion Bank | 26.5 |  |  | 61.9 |  |  | 88.6 |  | Rochester
Techemet Metal Trading | — |  |  | 62.2 |  |  | 81.8 |  | Rochester, Wharf

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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