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K92 Mining Announces 2024 Q2 Financial Results – Strong Financial Position and Stage 3 and 4 Expansions Fully Financed
VANCOUVER, British Columbia, Aug. 13, 2024 (GLOBE NEWSWIRE) -- K92 Mining Inc. (“K92” or the “Company”) (TSX: KNT; OTCQX: KNTNF) is pleased to announce financia
About this update from K92 Mining, Inc.
[{"type":"text","content":" VANCOUVER, British Columbia, Aug. 13, 2024 (GLOBE NEWSWIRE) -- K92 Mining Inc. (“K92” or the “Company”) (TSX: KNT; OTCQX: KNTNF) is pleased to announce financial results for the three and six months ended June 30, 2024. Production Quarterly production of 24,347 ounces gold equivalent (“AuEq”) or 21,661 oz gold, 1,246,639 lbs copper and 26,754 oz silver (1). Production for the quarter was impacted by the temporary suspension of operations as previously announced. Cash costs of US$919/oz gold and all-in sustaining costs (“AISC”) of US$1,510/oz gold (2). Strong metallurgical recoveries in Q2 of 93.7% gold and 95.3% copper, representing the highest gold recoveries since Q4 2019 and record quarterly recoveries to date for copper. Quarterly ore processed of 95,582 tonnes and total ore mined of 99,209 tonnes, with long hole open stoping performing to design, and 1,938 metres of total mine development. Head grade of 8.5 grams per tonne (“g/t”) AuEq or 7.5 g/t gold, 0.62% copper and 10.6 g/t silver. Gold and copper grades were in-line with budget, and both gold and copper delivered a positive grade reconciliation when compared with the mineral resource model of 11% and 9%, respectively. Financials Entered into two separate credit facilities for up to US$120 million (the “Loan”) with an accordion feature that allows for an increase in the aggregate amount available to US$150 million with Trafigura Pte Ltd (“Trafigura”). As at June 30, 2024, US$100 million of the Loan is available for immediate drawdown (US$40 million drawn) and subsequent to quarter end, US$120 million of the Loan is available. The Company entered into a new offtake agreement with Trafigura. Strong cash and cash equivalent position of US$71.1 million, which excludes restricted cash of $20 million (4). Under the terms of the Loan, the Company has the ability to convert restricted cash to cash and cash equivalents on January 1, 2025. Subsequent to quarter end, the Company completed an additional drawdown of $20 million of unrestricted cash and has $60 million of unrestricted cash available to draw anytime. Operating cash flow (before working capital adjustments) for the three months ended June 30, 2024, of US$17.3 million or US$0.07 per share, and earnings before interest, taxes, depreciation and amortization (“EBITDA”) (2) of US$17.1 million or US$0.07 per share. Quarterl...