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Equity
 6 Months Ended
Jun. 30, 2023
Equity [Abstract]  
Equity
8. Equity:
(a) Stock-based compensation:
Stock-based payment compensation was allocated to operations as follows:
Three Months Ended June 30,Six Months Ended June 30,
2023202220232022
General and administrative expenses$4,759 $403 $8,958 $950 
Exploration expenses667 369 1,595 737 
Research and development expenses5 — 5 — 
Cost of sales— 66 5 106 
$5,431 $838 $10,563 $1,793 
(i) Stock options:
During the six months ended June 30, 2023, the Company granted stock options to certain new management of the Company. The options have a seven-year term and comprise three equal tranches vesting in one-third annual increments beginning one year from the grant date. The stock options were granted at an exercise price equal to the closing stock price on the grant date.
The fair value of each stock option is estimated on the date of grant using the Black-Scholes option valuation model. Expected volatility was calculated based on the historical volatility of a group of peer companies’ common stock and a group of relevant stock market indices over the expected option life. Management exercised judgment in determining the expected life of the options and considered factors such as the contractual term of the options, the vesting schedule and expected volatility. The risk-free interest rate is based on Federal Reserve rates in effect for bonds with maturity dates equal to the expected term of the option.
Information related to stock options granted during the six months ended June 30, 2023 is presented below.
Grant date: February 1, 2023Grant date: March 1, 2023
Exercise price$13.23 $15.46 
Number of options granted500,000 100,000 
Weighted average assumptions used to value stock option awards:
Expected volatility69.8 %69.5 %
Expected life of options (in years)44
Expected dividend rate0 %0 %
Risk-free interest rate3.73 %4.52 %
Weighted average grant-date fair value (per option)$7.22 $8.53 
(ii) Stock settled restricted stock units ("RSUs"):
On January 1, 2023, Ivanhoe Electric granted 750,000 stock-settled RSUs to a new executive of the Company. The RSUs comprise five equal tranches vesting in one-fifth annual increments beginning one year
from the grant date. The fair value of the stock-settled RSUs is amortized over the vesting period. The total fair value of the January 1, 2023 RSU grant was $9.1 million.