K92 Mining Inc. hit record-breaking production results for the fourth quarter of 2024 at its Kainantu Gold Mine in Papua New Guinea, signaling strong momentum ahead of its highly anticipated Stage 3 Expansion.
The company reported on January 8 a gold equivalent (AuEq) production of 53,401 ounces, marking a 37% increase from Q4 2023 and a 21% rise from the previous record set in Q3 2024.
K92 produced 51,371 ounces of gold, 958,312 pounds of copper, and 41,992 ounces of silver in the quarter.
Annual production for 2024 totaled 149,515 ounces AuEq—significantly surpassing the company’s guidance of 120,000 to 140,000 ounces—and representing a 27% increase over 2023.
Annual gold production reached 139,123 ounces, with copper and silver output totaling 4,926,738 pounds and 142,063 ounces, respectively.
Sales figures for Q4 included 48,350 ounces of gold, 946,704 pounds of copper, and 41,720 ounces of silver. For 2024, sales reached 140,659 ounces of gold, 5,043,134 pounds of copper, and 145,060 ounces of silver.
The Kainantu process plant processed 96,614 tonnes of ore in Q4 2024, with a head grade of 18.0 g/t AuEq, including 17.3 g/t gold, 0.47% copper, and 15.2 g/t silver—the highest gold equivalent head grade since Q2 2020.
This performance was driven by higher-grade stopes from the Judd and Kora deposits, along with notably positive gold and moderately positive copper grade reconciliations against the independent mineral resource model, the company statement said.
The plant achieved record metallurgical recoveries, with gold recoveries averaging 96.4% and copper at 94.7%. December set new monthly records with gold recoveries of 97.1% and copper recoveries of 96.1%.
Annual recoveries were also strong, with gold at 94.6% and copper at 94.1%, outperforming the company's Updated Integrated Development Plan (IDP) recovery targets of 92.6% for gold and 94.2% for copper.
Underground mining operations delivered 97,016 tonnes of ore across 12 mining levels at Kora and Judd. Total material movement, including waste, was 306,430 tonnes—the second highest on record.
Mine development advanced 2,571 metres in the quarter, up 17% from the previous quarter, setting the stage for increased development rates to meet the demands of the Stage 3 Expansion.
PM Marape commends K92
Prime Minister Hon. James Marape commended K92 Mining Limited on January 10 for its achievement, describing the milestone as a significant boost to the country’s economy.
“The record-breaking results achieved by K92 Mining are encouraging for Papua New Guinea as we continue to see significant contributions from our resource sector to the nation’s economic growth,” Mr. Marape said.
“K92 Mining’s continued success, particularly through its Stage Three Expansion, demonstrates the potential of our mining industry to create more jobs for our people, improve community infrastructure, and contribute to the country’s long-term development goals.”
The Prime Minister highlighted the importance of responsible resource development and acknowledged K92 Mining’s efforts in advancing safety, environmental stewardship, and community engagement.
“I commend K92 Mining for its responsible approach to mining. Their success is a prime example of how resource companies can deliver value to our country while also contributing to social and environmental priorities,” he said.
The Prime Minister reiterated his government’s commitment to fostering partnerships with companies that focus on sustainable development and ensure that the benefits of resource projects are shared fairly with the people of Papua New Guinea.
“We welcome partnerships with companies that work with the Government to maximise the value of our resources for the benefit of all Papua New Guineans. The resource sector plays a critical role in our economy, and we are focused on ensuring that it delivers long-term benefits to our people,” he said.
“K92 Mining’s achievements provide a solid foundation for 2025 and beyond, and I encourage other resource companies to follow this example by continuing to invest in our country and our people.”
Stage 3 Expansion Nearing Completion
Construction of the Stage 3 Expansion at Kainantu is advancing rapidly, with approximately 70% of the required growth capital spent or committed as of December 31, 2024. The expansion is designed to elevate Kainantu to a Tier 1 mid-tier gold producer.
Commissioning of the new process plant is slated to begin in late Q2 2025.
Drone footage showcasing the progress of the process plant construction underscores the project's momentum. Other key infrastructure developments include:
- Completion of the interim ventilation upgrade, operational since early January 2025.
- Stage 2 interim clean water supply upgrade, scheduled for completion in late January 2025.
- Puma ventilation drive for life-of-mine ventilation upgrade, with two 2 MW fans becoming operational by Q2 2025.
- First ore pass/waste pass raise bore completion in early Q1 2025, fully operational by late Q2 2025.
- An increase in mine development rates, targeting 1,000 metres per month for Stage 3 and 1,200 metres per month for Stage 4.
The progressive introduction of new mining equipment and the execution of productivity initiatives are set to enhance operational efficiency, the company said.
K92 Mining's record production and high gold price environment have strengthened its financial standing to fund both the ongoing Stage 3 Expansion and its extensive exploration programs on high-priority targets.
The company remains confident in its strategy to expand production capacity while advancing exploration efforts, as this dual approach aims to unlock further value at Kainantu.
