Mining Operations - The company generated no revenues during the year ended December 31, 2023, due to the cessation of active mining operations[20] - The company ceased mining activities in November 2021 and completed processing of gold and silver ore from leach pads as of December 31, 2022[18] - The company completed processing of gold and silver ore previously placed on leach pads as of December 31, 2022, and does not expect to generate revenues from gold and silver sales until further developing the Hycroft Mine[18][22] Mineral Resources - As of December 31, 2023, the Hycroft Mine had measured and indicated mineral resources of 10.6 million ounces of gold and 360.7 million ounces of silver, with inferred mineral resources of 3.4 million ounces of gold and 96.1 million ounces of silver[18] - The 2023 Hycroft Technical Report Summary supersedes the previous report and includes updated exploration drilling results and mineral resource estimates[17] Production Statistics - Gold production from mines increased by 0.9% in 2023 compared to 2022, totaling approximately 3,644 metric tons, representing about 74.4% of the global gold supply[24] - Silver production from mines increased by approximately 2% in 2023 compared to 2022, totaling approximately 842 million troy ounces, representing about 82% of the global silver supply[25] Demand and Pricing - Gold demand in 2023 was approximately 4,448 metric tons, totaling about $277.5 billion in value, with jewelry accounting for 49% of the demand[24] - Silver demand in 2023 was approximately 1,167 million troy ounces, totaling about $24.9 billion in value, with investments comprising 26% of the demand[25] - The average afternoon fix price for gold in 2023 was $1,944 per ounce, while for silver it was $23.33 per ounce[27] - The average price of gold in 2023 was $1,944 per ounce, with a high of $2,150 and a low of $1,907[27] - The average price of silver in 2023 was $23.33 per ounce, with a high of $24.43 and a low of $22.00[27] Employee and Safety Metrics - As of December 31, 2023, the company had 78 employees, with 69 employed at the Hycroft Mine[32] - The company achieved one million workhours without a lost time incident in Q2 2023, maintaining a total recordable injury frequency rate (TRIFR) of Nil (0.00) as of December 31, 2023[34] - The total recordable injury frequency rate (TRIFR) for the trailing 12 months was 0.00, indicating no lost time incidents during the year ended December 31, 2023[34] - The company has mandatory mine safety and health programs in place, including employee and contractor training, risk management, and emergency response[44] Environmental Compliance and Reclamation - The company remains in compliance with applicable mining, health, safety, and environmental statutes and regulations at both state and federal levels[35] - There were no known material environmental incidents during 2023 and 2022, and the company did not incur material capital expenditures for environmental control facilities during these years[39] - The company has not incurred material capital expenditures for environmental control facilities during 2023 and 2022, and does not expect to incur any material expenditures in 2024[39] - The company received a notice of non-compliance from the Nevada Division of Environmental Protection regarding a historical reclamation matter, prompting accelerated reclamation activities[39] - The company expects to continue reclamation activities on its Crofoot leach pad in 2024 and plans to treat and manage solutions in certain ponds from 2024 through 2026[40] - The company’s reclamation obligations are secured by surety bonds that meet the financial assurance requirements of the State of Nevada and the Bureau of Land Management[40] Regulatory and Operational Challenges - The company is subject to various federal and state laws and regulations that could require additional capital expenditures and increase operating costs, potentially impacting profitability[36] - The company relies on numerous governmental permits that are difficult to obtain, which may affect its ability to conduct operations[42] - The company’s operations are regulated by the Mine Safety and Health Administration, which conducts regular inspections and issues citations for violations[45] - The company’s mineral interests in Nevada may be owned by the United States, the State of Nevada, or private parties, requiring various property acquisition agreements[46] - The company has engaged third-party qualified persons to review and approve scientific and technical information concerning its mineral projects[47]
HYCROFT MNG.HLDG.EQ. WARRT(HYMCW) - 2023 Q4 - Annual Report