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RECLAMATION PROVISION

6 Months Ended

Jun. 30, 2023

RECLAMATION PROVISION

Reclamation Provision

14. RECLAMATION PROVISION

Management’s estimate of the reclamation provision at June 30, 2023, is $546 (December 31, 2022 – $445), and the undiscounted value of the obligation is $1,686 (December 31, 2022 – $1,454).

The present value of the obligation was calculated using a risk-free interest rate of 9.38% (December 31, 2022 – 9.65%) and an inflation rate of 4.00% (December 31, 2022 – 7.82%). Reclamation activities are estimated to begin in 2025 for the San Gonzalo Mine and in 2041 for the Avino Mine.

A reconciliation of the changes in the Company’s reclamation provision is as follows:

		June 30, 2023				December 31, 2022
Balance at beginning of the period		$	445			$	726
Changes in estimates			-				(364	)
Unwinding of discount related to continuing operations			23				44
Effect of movements in exchange rates			78				39
Balance at end of the period		$	546			$	445

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- References

No definition available.

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- Definition

The disclosure of provisions. [Refer: Provisions]

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
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