| 13. | Related party transactions |
Investments
Refer to Note 7 for description of the Company’s relationship and transaction with its investees, El Olivar and Minco Silver.
Trust agreement with Minco China
When the Company disposed its Chinese subsidiaries on July 31, 2015 to Minco Silver, the Company ceased to have subsidiaries in China (note 1). As a result, the Company entered into a trust agreement with Minco China, a subsidiary of Minco Silver, to hold the Retained Asset in China on behalf of the Company. This trust agreement was eliminated on June 30, 2017 after the net proceeds from the disposition of the Retained Assets in 2016 have been received by the Company.
Shared office expenses
Minco Silver and Minco Gold share offices and certain administrative expenses in Beijing up to July 31, 2015. Minco Silver, Minco Base Metals Corporation (“MBM”), a company with which the Company’s CEO has significant influence over, and Minco Gold shared offices and certain administrative expenses in Vancouver.
Due from related parties
As at December 31, 2017, the Company had the following amounts due from related parties:
| - | $27,523 due from Minco Silver (December 31, 2016 – 205,145), in relation to share office expenses. |
| - | $11,422 due from MBM (December 31, 2016 - $18,527), in relation to shared office expenses |
The amounts due to and due from related parties are unsecured, non-interest bearing and payable on demand.
Key management compensation
Key management includes the Company’s directors and senior management. This compensation is included in exploration costs and administrative expenses.
For the years ended December 31, 2017, 2016 and 2015, compensation to key management are as follows:
| | | 2017 | | 2016 | | 2015 | |
| | | $ | | $ | | $ | |
| Cash remuneration | | | 347,686 | | | 313,016 | | | 333,729 | |
| Share-based compensation | | | 269,737 | | | 80,702 | | | 67,405 | |
| Total | | | 617,423 | | | 393,717 | | | 401,134 | |
The above transactions are conducted in the normal course of business.
