K92 Mining Inc (TSX:KNT)

K92 Mining Inc is engaged in the development, acquisition, extraction and exploration of minerals and gold mines in Papua New Guinea.

The company significant interests lies in gold, copper, and silver mines.

The firm operates its principal property, Kainantu Gold Mine, a low cost and high grade mine situated in the Eastern Highland province.

K92 Mining Inc acquired the project from Barrick Gold and transformed the Kainantu mine into a producer of low-cost mineral resources focused on high-grade continuity, geotechnical and metallurgical characteristics of the deposit.

Due to a series of near-mine exploration at the facility aided in the transformation, the company claims.

The stage 1 production began in October 2016, followed by the discovery of Kora North target in 2017.

The commercial production commenced at the facility in January 2018. In addition, the company announced stage 2 expansion in March 2019.

In May 2017, by developing a measured and indicated resource of around 400,000 ounces of gold equivalent, Kora North claimed to have maximized combined resources by over 60 per cent.

Kainantu owns many porphyry targets and a highly prospective vein field. The vein field is a large-scale operation consisting of multiple systems such as:

• Karempe
• Maniape
• Kora South
• Arakompa
• Irumafimpa
• Mati
• Judd

The TSX-listed company says it is focused on drilling multiple targets which are also tested subsequently. In addition, it claims that the number of diamond drill rigs have been significantly increasing.

Kainantu mainly focuses on two Kora vein system consisting of two dominant veins, including Karempe and Judd. These are near mine infrastructure with similar geology to Kora, wherein limited exploration is undertaken.

Kora Mine is processed through a simple plant that follows a two-stage crush and consists of a ball mill and a floatation circuit.

The processing facility produces gold-copper floatation ores, which are shipped in 20-tonne containers from Lae to various worldwide smelters.

The company claims to follow socially responsible mining principles and also focuses on community development.

In 2020 K92 achieved the stage 2 plant expansion and reportedly created employment opportunities for local people. Presently, the company is reportedly undertaking a stage 3 expansion with probable economic studies.