Over 19K oz AuEq produced at Kainantu in Q1
K92 Mining Inc. had production in the first quarter of 19,934 ounces gold equivalent at its Kainantu gold mine in Papua New Guinea.
During Q1, K92 produced 19,240 ounces of gold, 339,993 pounds of copper and 6,937 ounces of silver, or 19,934 gold equivalent ounces (based on a gold price of $1,500 (U.S.) per ounce; silver price of $17.75 (U.S.) per ounce; copper price of $2.70 (U.S.) per pound).
The quarter achieved record mill throughput of 47,313 tonnes, mine material movements of 125,500 tonnes and development metres advanced of 1,560 metres as Kainantu continues to benefit from the expanded mining fleet and the completion of multiple infrastructure projects.
John Lewins, K92 chief executive officer and director, stated: "We are very pleased with Kainantu's significant ramp-up momentum for the stage 2 expansion in Q1, including first production from long-hole stopping. The mine has performed well, resulting in our stockpiles growing from a minimal amount to now standing at about one month of production, or approximately 18,000 tonnes.
Importantly, development achieved record advance rates of about 1.6 km in Q1, consistent with the advance rates required in the long-term. A key focus in Q1 was on further enhancing Kainantu's underground production capacity for the stage 2 expansion with waste development and lower-grade K2 vein development to establish long-hole stopping areas.
Production stopping from our first long-hole stope commenced in late Q1. These initiatives position Kainantu for a strong second half as noted in our 2020 operational guidance. And lastly, we would like to highlight that Kainantu continues to operate in the COVID-19 pandemic environment.
While the environment is challenging and dynamic, the commitment of our work force has been extraordinary. As a result of their efforts, we continue to strengthen our already solid financial position in addition to having multiple near-term catalysts including our updated resource, drilling results and PEA study on the next stage of expansion in Q2."
