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RECLAMATION PROVISION
9 Months Ended
Sep. 30, 2025
RECLAMATION PROVISION  
RECLAMATION PROVISION

11. RECLAMATION PROVISION

 

Management’s estimate of the reclamation provision at September 30, 2025, is $2,468 (December 31, 2024 – $2,062), and the undiscounted value of the obligation is $5,389 (December 31, 2024 – $4,825).

 

The present value of the obligation was calculated using a risk-free interest rate of 9.71% (December 31, 2024 – 9.70%) and an inflation rate of 3.69% (December 31, 2024 – 3.69%). Reclamation activities are estimated to begin in 2027 for the San Gonzalo Mine and in 2042 for the Avino Mine.

 

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

 

September 30,

2025

 

 

December 31,

2024

 

Balance at beginning of the period

 

$2,062

 

 

$2,195

 

Changes in estimates

 

 

-

 

 

 

84

 

Unwinding of discount

 

 

156

 

 

 

197

 

Effect of movements in exchange rates

 

 

250

 

 

 

(414)

Balance at end of the period

 

$2,468

 

 

$2,062