• Quarterly production of 24,347 ounces gold equivalent⁽¹⁾ or 21,661 oz gold, 1,246,639 lbs copper and 26,754 oz silver, and quarterly sales of 19,064 oz gold, 898,578 lbs copper and 18,467 oz silver. As previously announced, production for the quarter was impacted by the temporary suspension of underground operations for approximately a month resulting from a Form 29 issued by the Mineral Resources Authority of Papua New Guinea after a non-industrial fatal incident occurred on site (see March 19 and April 8, 2024 press releases), which significantly impacted April production as underground operations re-ramped up and processing stockpiles were rebuilt.

• K92 expects operations in the second half of the year to be significantly stronger than the first half, reiterating 2024 operational guidance of 120,000 to 140,000 oz and AuEq at $820-$880/oz cash costs, and $1,440-$1,540/oz all-in sustaining costs, with production likely in the lower half of the guidance range.

• 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 with a 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. Total ore processed was impacted by the temporary suspension of operations as noted above.

• Ore mined of 99,209 tonnes, with long hole open stoping performing to design, and total mine development of 1,938 metres. During the quarter, a major milestone was achieved with the commencement of vertical development from two raise bore rigs. The larger raise bore rig is focused on completing a major ventilation upgrade connecting the main mine to the twin incline in Q3, followed by the development of the ore and waste pass system to connect the main mine to the highly productive twin incline for material transport.

Note (1): Gold equivalent for Q2 2024 is calculated based on: gold $2,338 per ounce; silver $28.84 per ounce; and copper $4.42 per pound.

John Lewins, K92 Chief Executive Officer and Director, stated, “The impact of the Form 29 (temporary suspension of underground operations) on the first and second quarter has, to some extent, hidden many significant operational bright spots, particularly in terms of plant throughput capabilities, metallurgical recoveries, positive grade reconciliations and strong long hole stoping performance versus design. As we look forward to the second half of the year, we expect it to be significantly stronger than the first half, driven by a combination of mining sequence, higher throughput rates, more mining fronts, progressive productivity increases through the completion of infrastructure upgrades in addition to ongoing continuous improvement initiatives. As a result, we reiterate our operational guidance of 120,000 to 140,000 oz AuEq production at $820 to $880/oz Au cash costs and $1,440 to $1,540/oz Au all-in sustaining costs, with production likely in the lower half of the range.

Concurrent with improved operational performance, we are very excited about our plans for exploration in H2 2024.”

K92 Mining Inc. (TSX: KNT) (OTCQX: KNTNF) is pleased to announce quarterly production results for the second quarter of 2024 at its Kainantu Gold Mine in Papua New Guinea, of 24,347 ounces AuEq or 21,661 oz gold, 1,246,639 lbs copper and 26,754 oz silver. Sales during the quarter were 19,064 oz gold, 898,578 lbs copper and 18,467 oz silver.

Production for Q2 was impacted by the temporary suspension of underground operations (see March 19 and April 8, 2024 press releases) as a result of a Form 29 issued by the Mineral Resources Authority of Papua New Guinea due to a non-industrial fatal incident that occurred on site, which significantly impacted April production as underground operations re-ramped up and processing stockpiles were rebuilt. K92 expects the second half of 2024 to be significantly stronger and reiterates its 2024 Operational Guidance of 120,000 to 140,000 oz AuEq at cash costs of $820-$880/oz gold and all-in sustaining costs of $1,440-$1,540/oz gold, with production likely in the lower half of the guidance range.

During the second quarter, the process plant delivered tonnes processed of 95,582 tonnes, with a head grade averaging 8.5 g/t AuEq or 7.5 g/t gold, 0.62% copper and 10.6 g/t silver. Both gold and copper grades were in-line with budget, with gold and copper grades also delivering a positive reconciliation when compared with the mineral resource model of 11% and 9%, respectively. Metallurgical recoveries were very strong, with recoveries averaging 93.7% for gold and 95.3% for copper, representing the highest recoveries since Q4 2019 for gold and record quarterly recoveries to date for copper.

In the second quarter, the mine delivered 99,209 tonnes of ore mined, with 12 levels mined, including the 1150, 1220, 1305, and 1325 levels at Kora, and the twin incline level, 950, 1170, 1185, 1205, 1305, 1325 and 1345 levels at Judd. Long hole open stoping performed to design. Overall mine development achieved a total of 1,938 metres and a major milestone was achieved with the commencement of vertical development from two raise bore rigs. The larger raise bore rig is focused on completing a major ventilation upgrade connecting the main mine to the twin incline in Q3, followed by developing the ore and waste pass system to connect the main mine to the highly productive twin incline infrastructure for material transport. The smaller raise bore rig is completing short raises between levels for ventilation, escapeways and services infrastructure. Material movements and underground development were lower than budget during the quarter due to the temporary suspension of underground operations as noted above.

See Figure 1: Quarterly Production, Cash Cost and AISC Chart

Table 1 – 2024 & 2023 Annual Production Data

^{Notes – Gold equivalent for Q2 2024 is calculated based on:
gold $2,338 per ounce; silver $28.84 per ounce; and copper $4.42 per pound.}

^{Gold equivalent for Q1 2024 is calculated based on:
gold $2,070 per ounce; silver $23.34 per ounce; and copper $3.83 per pound.}

^{Gold equivalent for Q4 2023 is calculated based on:
gold $1,974 per ounce; silver $23.20 per ounce; and copper $3.71 per pound.}

^{Gold equivalent for Q3 2023 is calculated based on:
gold $1,928 per ounce; silver $23.57 per ounce; and copper $3.79 per pound.}

^{Gold equivalent for Q2 2023 is calculated based on:
gold $1,976 per ounce; silver $24.13 per ounce; and copper $3.85 per pound.}

Qualified Person

K92 Mine Geology Manager and Mine Exploration Manager, Andrew Kohler, PGeo, a qualified person under the meaning of Canadian National Instrument 43-101 – Standards of Disclosure for Mineral Projects, has reviewed and is responsible for the technical content of this news release. Data verification by Mr. Kohler includes significant time onsite reviewing drill core, face sampling, underground workings, and discussing work programs and results with geology and mining personnel.

Technical Report

The Integrated Development Plan for the Kainantu Gold Mine Project in Papua New Guinea that contains information on the Definitive Feasibility Study and Preliminary Economic Assessment is included in a technical report, titled, “Independent Technical Report, Kainantu Gold Mine Integrated Development Plan, Kainantu Project, Papua New Guinea” dated October 26, 2022, with an effective date of January 1, 2022.

About K92

K92 Mining Inc. is engaged in the production of gold, copper and silver at the Kainantu Gold Mine in the Eastern Highlands province of Papua New Guinea, as well as exploration and development of mineral deposits in the immediate vicinity of the mine. The Company declared commercial production from Kainantu in February 2018 and is in a strong financial position. A maiden resource estimate on the Blue Lake copper-gold porphyry project was completed in August 2022. K92 is operated by a team of mining company professionals with extensive international mine-building and operational experience.