K92 Announces COVID-19 Operational Update and Response Plan
Suite 488 – 1090 West Georgia Street
Vancouver, British Columbia
Canada V6E 3V7
Telephone: +1 (604) 687-7130
Facsimile: +1 (604) 608-9110
NEWS RELEASE
K92 ANNOUNCES COVID-19 OPERATIONAL UPDATE AND RESPONSE PLAN
Vancouver, B ritish Columbia, March 23 , 2020 - K92 Mining Inc . (“K92” or the “ Company”)
(TSX-V: KNT; OTCQX: KNTNF) is providing an operational update on the impact of the Covid-19
pandemic and emergency response plans.
To date there has been no significant impact on operations at the Company’s Kainantu Gold Mine in
Papua New Guinea as a result of the Covid -19 pandemic. The Company initiated a Covid -19
Management Plan at the operation, which addresses major issues such as occupational health, hygiene
and safety, business continuity, travel, supply chain, statutory compliance, communications, testing,
risk assessment and contingency planning.
The Company has been increasing stock levels of spares and consumables to between four and six
months, although to date there has been almost no impact seen to our supply chain.
On Friday, March 20, Papua New Guinea reported its first case of Covid -19 infection, following the
testing of an international visitor shortly after arrival in PNG. It is understood that the visitor was
isolated, and no additional infections have been reported to date, with testing ongoing. As a result of
this reported infection, the PNG Government has today declared a National State of Emergency
(“SOE”) for a period of 14 days. Under the SOE there are international and domestic travel restrictions,
with no foreign nationals permitted to enter the country and all travel between Provinces restricted to
essential services.
In line with other mining operations in country, the Company intends to maintain normal operations at
the mine and associated facilities, but will be curtailing all non-essential works, including major capital
projects and all field exploration activities. As a result, the commissioning of the plant expansion will
be delayed until the current travel restrictions are lifted allowing the necessary external contractors to
travel to site.
The Company is making no change to its production guidance at this time but will be reviewing this
over the coming month as the situation in country develops.
The Company has the necessary complement of expatriate and PNG National workforce to maintain
operations for the foreseeable future but will be evaluating developments on an ongoing basis.
The work by external consultants to update the Kora – Kora North resource estimate is continuing and
it is anticipated that this will be completed sh ortly. In addition, the work on a Preliminary Economic
Assessment (“PEA”) on the next phase of expansion of the project is also continuing and it is
anticipated that this report will be completed in the second quarter.
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About K92
K92 Mining Inc. is engaged in the production of gold, copper and silver from the Kora and Kora North
deposits of 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 has commenced an
expansion of the mine. An updated Preliminary Economic Assessment on the property was published
in January 2019. K92 is operated by a team of mini ng company professionals with extensive
international mine-building and operational experience.
ON BEHALF OF THE COMPANY,
John Lewins, Chief Executive Officer and Director
For further information, please contact David Medilek, P.Eng., CFA at +1-604-687-7130.
www.k92mining.com
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS
THAT TERM IS DEFINED IN POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION:
This news release includes certain “forward -looking statements” under applicable Canadian
securities legislation. Forward-looking statements are necessarily based upon a number of estimates
and assumptions regarding K92 Mining Inc.’s future financial, and current and projected operating
performance that, while considered reasonable, are subject to known and unknown risks, uncertainties,
and other factors which may cause the actual results and future events to differ materially from those
expressed or implied by such forward-looking statements. All forward-looking statements in this news
release are based on the opinions and estimates of management as of the date such statements are
made and are subject to important risk factors and uncertainties, many of whi ch are beyond the
Company’s ability to control or predict. All statements that address future plans, activities, events, or
developments that the Company believes, expects or anticipates will or may occur are forward-looking
information, including statements regarding: the realization of the preliminary economic analysis for
the Kainantu Gold Mine; the generation of further drilling results ; expectations of future cash flows ;
expectations of future production results; expected success of the proposed plant expansion; potential
expansion of resources; any which may or may not occur. Forward-looking statements and information
contained herein are based on certain factors and assumptions regarding, among other things : there
being no significant disruptions affecting the Company’s operations; political and legal developments
in Papua New Guinea being consistent with the Company’s current expectations; the accuracy of K92’s
current mineral reserve and mineral resource estimates ; the exchange rate between the Canad ian
dollar and U.S. dollar, and the Papua New Guinea Kina, being approximately consistent with current
levels; prices for fuel, electricity and other key supplies being approximately consistent with current
levels; equipment, labour and materials costs increasing on a basis consistent with K92’s current
expectations; all required permits, licenses and authorizations being obtaine d from the relevant
governments and other relevant stakeholders within the expected timelines and the absence of material
negative comments during the applicable regulatory processes ; the market price of the Company’s
securities; metal price ; taxation; the estimation, timing and amount of future exploration and
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development; capital and operating costs ; the availability of financing ; the receipt of regulatory
approvals; environmental risks; title disputes; failure of plant, equipment or processes to operate as
anticipated; accidents; labour disputes; claims and limitations on insurance coverage and other risks
of the mining industry; changes in national and local government regulation of mining operations; and
regulations and other matters.
There can be no assurance that such statements will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such statements. Accordingly, readers should
not place undue reliance on forward -looking statements. The Company disclaims any intention or
obligation to update or revise any forward-looking statements, whether as a result of new information,
future events or otherwise, except as required by law.