Volcan Compañía Minera A : Financial Statements - 2021 4Q

Volcan Compañía Minera S.A.A. and Subsidiaries

Consolidated interim financial information (unaudited) as of

December 31, 2021 and 2020

Firmado Digitalmente por:

PEDRO JOSE OLORTEGUI PEREA

Fecha: 15/02/2022 09:19:12 p.m.

Volcan Compañía Minera S.A.A. and Subsidiaries

Consolidated Statement of Financial Position

As of December 31, 2021 (unaudited) and as of December 31, 2020 (audited)

		December 31,	December 31,
	Note	2021	2020
		US$(000)	US$(000)
Assets
Current Assets
Cash and cash equivalents	4	231,187	114,646
Accounts receivable Trade, net		22,919	16,244
Accounts receivable from subsidiaries and affiliates		20,887	12,537
Accounts receivable Others		55,971	89,033
Other financial assets	6	-	223
Inventories, net	5	59,824	60,961
Total current assets		390,788	293,644
Non-current Assets
Other accounts receivable		17,445	9,477
Financial investments		187,751	195,346
Property, plant and equipment, net	7	756,519	772,063
Assets by right of use	8	4,385	4,285
Mining exploration and evaluation cost, net	9	801,983	790,553
Inventories, net	5	6,642	7,077
Total non-current assets		1,774,725	1,778,801
Total assets		2,165,513	2,072,445
Liabilities and Net Stockholders' Equity
Current Liabilities
Overdrafts		1,168	10,070
Financial obligations	10	451,144	37,179
Trade accounts payable		229,693	222,640
Other accounts payable		70,688	65,883
Other financial liabilities	6	2,241	15,107
Total current liabilities		754,934	350,879
Non-current Liabilities
Financial obligations	10	485,311	888,118
Other accounts payable		6,400	-
Provision for closing of mining units and communities		231,636	196,439
Deferred income tax liability	11	199,831	187,277
Provision for contingencies		30,734	32,811
Total non-current liabilities		953,912	1,304,645
Total liabilities		1,708,846	1,655,524
Equity
Issued capital	12	1,134,300	1,134,300
Treasury stock		(60,934)	(60,930)
Other capital reserves		10,695	11,755
Capital reserve		(173,234)	(173,231)
Unrealized gains (loss)		(9,504)	(9,265)
Retained earnings		(444,656)	(485,708)
Total net stockholders' equity		456,667	416,921
Total liabilities and net stockholders' equity, net		2,165,513	2,072,445

The accompanying notes are an integral part of this statement.

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Volcan Compañía Minera S.A.A. and Subsidiaries

Consolidated Income Statement (unaudited)

For the period from January 1, to December 31, 2021 and 2020

	For the period from October		For the cumulative period
		from January 1
	1 to December 31		to December 31
	2021	2020	2021	2020
	US$(000)		US$(000)		US$(000)		US$(000)
Sales, Note 13	274,387	179,914	937,399	535,469
Cost of Sales, Note 14	(178,627)	(159,165)	(656,031)	(513,266)
Gross Income	95,760	20,749	281,368	22,203
Operating income (expenses)
Administrative expenses	(20,674)	(13,969)	(57,680)	(40,752)
Selling expenses	(6,945)	(4,621)	(21,125)	(15,435)
Other income	13,320	18,332	43,611	46,907
Other expenses	(43,590)	(87,065)	(93,975)	(108,006)
	(57,889)	(87,323)	(129,169)	(117,286)
Operating income	37,871	(66,574)	152,199	(95,083)
Financial income (expenses)
Financial income, Note 15	422	206	1,138	1,820
Financial expenses, Note 15	(13,321)	(15,000)	(61,591)	(50,833)
Exchange difference, net	11,404	(440)	2,041	(5,640)
Total other income (expenses), net	(1,495)	(15,234)	(58,412)	(54,653)
Income before income tax	36,376	(81,808)	93,787	(149,736)
Income tax, Note 11 (b)	(15,101)	1,052	(53,913)	(706)
Net income	21,275	(80,756)	39,874	(150,442)
Net earnings per share	0.006	(0.021)	0.010	(0.039)
Weighted average of outstanding shares (in
3,857,594	3,857,598	3,857,594	3,857,598
thousands)

The accompanying notes are an integral part of this statement.

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Volcan Compañía Minera S.A.A. and Subsidiaries

Consolidated Statement of Comprehensive Income (unaudited)

For the period from January 1 to December 31, 2021 and 2020

Net income

Others comprehensive income (loss): Net change in gains (losses) unrealized on derivate instruments and Financial investments Income tax

Other comprehesive income (loss) net of income tax Total comprehesive income

For the cumulative	For the cumulative
period from October	period from January 1
1 to December 30	to December 30
2021	2020	2021	2020
US$(000)	US$(000)	US$(000)	US$(000)
21,275	(80,756)	39,874	(150,442)

302	(2,516)	(339)	(4,748)
(89)	742	100	1,401
213	(1,774)	(239)	(3,347)
21,488	(82,530)	39,635	(153,789)

The accompanying notes are an integral part of this statement.

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Volcan Compañía Minera S.A.A. and Subsidiaries

Statement of changes in the Net Stockholders' Equity (unaudited)

For the period from January 1 to December 31, 2021 and 2020

	Capital Issued	Treasury stock	Other capital	Capital reserve	Unrealized	Retained	Total
	reserves	gains (loss)	earnings
	US$(000)	US$(000)	US$(000)	US$(000)	US$(000)	US$(000)	US$(000)
Balances as of January 1, 2020	1,134,300	(60,926)	11,755	(173,217)	(5,918)	(335,265)	570,729
	-	-	-	-	-	-	-
Results integrals
Net Income of year	-	-	-	-	-	(150,442)	(150,442)
Other results integrals of year	-	-	-	-	(3,347)	-	(3,347)
Total results integrals of year	-	-	-	-	(3,347)	(150,442)	(153,789)
Others	-	(4)	-	(14)	-	(1)	(19)
Balances as of December 31, 2020	1,134,300	(60,930)	11,755	(173,231)	(9,265)	(485,708)	416,921
Balances as of January 1, 2021	1,134,300	(60,930)	11,755	(173,231)	(9,265)	(485,708)	416,921
Results integrals
Net loss of year	-	-	-	-	-	39,874	39,874
Reserva Legal	-	-	(1,060)	-	-	1,060	-
Other results integrals of year	-	-	-	-	(239)	-	(239)
Total results integrals of year	-	-	(1,060)	-	(239)	40,934	39,635
Others	-	(4)	-	(3)	-	118	111
Balances as of December 31, 2021	1,134,300	(60,934)	10,695	(173,234)	(9,504)	(444,656)	456,667

The accompanying notes are an integral part of this statement.

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