K92 Mining Inc (KNTNF)

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K92 MINING INC. RELEASES STRONG 2020 Q1 FINANCIAL RESULTS

Vancouver, British Columbia, May 14, 2020 – K92 Mining Inc. (“K92” or the “Company”) (TSXV: KNT; OTCQB: KNTNF) is pleased to announce results from its financial statements for the three months ended March 31, 2020.
First Quarter 2020 Highlights:


Safety

Strong safety record continues, with no lost time injuries and one of the best safety records in the Australasia region since start of operations.
Proactive and focused management of COVID-19, with no confirmed cases amongst employees. K92 continues to operate and has strong preventative and response plans.


Production

Q1 production of 19,240 oz of gold, 339,993 lbs copper and 6,937 oz silver for a total of 19,934 gold equivalent (“AuEq”) oz, representing the second highest quarter on record.
Record material movements of 125,500 tonnes and record underground development of 1,560 metres, increasing from Q1 2019 by 110% and 215%, respectively.
Commenced long hole stoping at Kainantu with the first stope from the K1 vein.
Record tonnage of 47,313 tonnes treated, a 76% increase from Q1 2019.
Cash costs of US$708/oz gold and all-in sustaining costs of US$886/oz gold.


Financials

Sold 18,747 ounces of gold, 306,993 lbs of copper and 7,165 ounces of silver for revenues of US$27,633. Gold equivalent concentrate inventories increased by 746 ounces during the quarter, to 4,913 ounces.
EBITDA of US$9.8 million or US$0.05 per share and operating cash flow (before working capital adjustments) of US$12.5 million or US$0.06 per share.


Growth

High-grade drill results continue to be reported at Kora North, which will contribute to our upcoming resource expected in May 2020 and Stage 3 Expansion PEA.
Record stockpile of 17,982 tonnes built ahead of the plant expansion commissioning.

For complete details of the annual audited consolidated financial statements and associated management’s discussion and analysis, please refer to the Company’s website or profile on SEDAR (www.sedar.com). All amounts are in U.S. dollars unless otherwise indicated.

John Lewins, K92 Chief Executive Officer and Director, stated,

“The first quarter demonstrated the tremendous growth potential of the Kainantu Mine, both operationally and through exploration. Operationally, the completion of infrastructure projects and fleet expansions in prior quarters delivered record material movements and development rates. The development rates, importantly, are consistent with the advance rates required long-term and material movements have built stockpiles for over one month of process plant production. Production from our first long hole stope on the K1 vein also commenced during the quarter and represents a major milestone. Long hole stoping to date has performed well, and we are very encouraged by the enhanced operational flexibility that comes with this mining method.

On exploration, we continued to deliver high-grade step-out and infill results from both underground and surface drilling at Kora North. Since the latest resource estimate in Q4 2018, step-out drilling has consistently intersected the structure along strike to the South, to depth and up-dip. Mining has also steadily delivered positive grade and tonnage reconciliations. We look forward to providing our updated resource estimate in the near-term and a Preliminary Economic Assessment (“PEA”) on the Stage 3 Expansion shortly thereafter.

Most importantly, I would like to acknowledge the outstanding commitment of our workforce and the strong support from Government during the COVID-19 pandemic environment.”


Read more at:
https://k92mining.com/2020/05/k92-mining-inc-releases-strong-2020-q1-financial-results/