K92 Mining Publishes Fourth Annual Sustainability Report Outlining Significant Achievements IN ESG
Suite 488 - 1090 West Georgia Street
Vancouver, British Columbia
Canada V6E 3V7
Telephone: +1 (604) 416-4445
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www.k92mining.com
NEWS RELEASE
K92 MINING PUBLISHES FOURTH ANNUAL SUSTAINABILITY REPORT OUTLINING
SIGNIFICANT ACHIEVEMENTS IN ESG
Vancouver, British Columbia, July 31, 2023 - K92 Mining Inc. (“K92” or the “Company”) (TSX:
KNT; OTCQX: KNTNF) is pleased to announce that it has published its 2022 Sustainability Report.
This is K92’s fourth annual sustainability report, outlining the environmental, social and governance
(“ESG”) practices and performance of the Company. The re port builds on our strong foundation in
ESG reporting and disclosure, including reporting in accordance with the Sustainability Accounting
Standards Board (“ SASB”) Metals and Mining Standard for the fourth consecutive year, as well as
continued progression of K92’s alignment with the Task Force on Climate -related Financial
Disclosures (“TCFD”) recommendations. The report also outlines K92’s recently-announced target to
reduce energy and greenhouse gas (“ GHG”) emissions by 25% on a business -as-usual basis by 2030
(see June 21, 2023 press release - K92 Mining Announces 2030 GHG Reduction Target).
The 2022 Sustainability Report is available on the K92 website at the following
link: https://k92mining.com/responsible-mining/
Environment, Social and Governance Highlights:
• ~94% of total workforce (employees plus contractors) are PNG Nationals with priority
hiring from local communities.
• 1,477 employees and contractors employed in PNG.
• $81.3 million in procurement to PNG companies, representing 59% of total procurement in
PNG.
• $31.8 million in taxes and royalties in PNG, an over 19% increase from 2021.
• $17.3 million in corporate taxes paid in PNG , with K92 remaining the second -largest
taxpayer in PNG’s mining industry.
• Lost-time injury (“LTI”) frequency of 0.31.
• Zero significant environmental incidents or spills.
• ~66% lower carbon intensity per gold equivalent ounce produced compared to the global
mining average(1) .
• 43% of Board Directors are female(2), surpassing the 30% target established in K92’s Board
Diversity Policy.
• Sustainability Committee Charter refreshed with updated ma ndate providing enhanced
oversight of environmental management, climate change, community relations, human rights,
and sustainability.
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• Continued alignment with TCFD recommendations with additional disclosures related to
climate change governance and risk management as well as setting K92’s inaugural energy and
GHG emissions reduction target.
• $1.1 million in direct community investment and progress on participating in the new Tax
Credit Scheme enacted by the Government of PNG, through which up to two percent of the
Company’s assessable income can be allocated to community development projects, above and
beyond our existing community investments.
• Continued commitment to local skills development, including $1.3 million invested in
professional, training, and tr ades programs during the year; 38 total tertiary scholarships
awarded; 200 graduates from the K92 Adult Literacy Program; and multiple Memoranda of
Understanding implemented with PNG universities to help develop a robust pipeline of skilled
mine workers in the country.
• Sustainable Agriculture Livelihoods Program further expanded, employing 180 people
(~80% of whom are women) to provide them with active income and business skills.
All amounts are in U.S. dollars unless otherwise indicated.
Note (1): Based on S&P Global Market Intelligence 2020 data on a gold produced basis.
Note (2): Metrics as of mid-2023.
John Lewins, K92 Chief Executive Officer and Director, stated, “On behalf of the K92 team, we are
pleased to release our 2022 Sustainability Report, which contains our primary annual disclosures
related to ESG topics that are most important to the Company and our stakeholders. The report details
our ESG practices and performance during 2022 as we continue to advance Kainantu into one of the
industry’s next world-class gold mines.
Throughout the year, we continued our strong focus on generating long-term, sustainable value for all
our stakeholders. We continue to pride ourselves on the economic benefits we generate for the economy
of PNG, including through employing nearly 1,500 employees and contractors, spending over $81M
on procurement in the country, investing strategically in training, skills development, and educational
initiatives, and investing over $1.1M throughout the year in direct community investments. We will
continue to work diligently in 2023 in support of being a key catalyst for local, regional, and national
economic development in PNG.
We are also pleased to have released our inaugural energy and GHG emissions reduction target, which
will help drive operational efficiencies and contribute to K92 doing our part to combat the negative
impacts of climate change. At the Board level, we refreshed our Sustainability Committee Charter to
reinforce our continued focus on effective sustainability management and oversight. We are pleased to
now have a Board composed of 43% women, including our Board Chair, the Chair of the Nominating
and Corporate Governance Committee, and the Chair of the Sustainability Committee.
While this report covers the 2022 fiscal year, we must acknowledge the tragic fatalities that occurred
earlier in 2023 (as disclosed in our press releases dated May 5, 2023 and June 28, 2023). We are
committed to transparently disclosing information regarding these incidents and the steps that we have
taken to help ensure they do not happen again. We will provide additional disclosures on these matters
in our 2023 Sustainability Report.
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Safety and the well-being of everyone at K92 is – and always will be – our highest priority.
I look forward to working diligently alongside the K92 team to deliver sustainable value for all our
stakeholders in 2023 and beyond.”
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 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.
On Behalf of the Company,
John Lewins, Chief Executive Officer and Director
For further information, please contact David Medilek, P.Eng., CFA, President at +1-604-416-4445
CAUTIONARY STATEMENT REGARDING FORWARD -LOOKING INFORMATION: This news
release includes certain “forward -looking information” within the meaning of applicable Canadian
securities legislation (“forward-looking statements”), including, but not limited to, the impact of global
supply chain and financial market disruptions; projections of future financial and operational
performance; statements with respect to future events or future performance; production estimates;
anticipated operating and production costs a nd revenue; estimates of capital expenditures; future
demand for and prices of commodities and currencies; estimated mine life of our mine; estimated
closure and reclamation costs and statements regarding anticipated exploration, development,
construction, production, permitting and other activities on the Company’s properties, including:
expected gold, silver and copper production and the Stage 3 Expansion and Stage 4 Expansion.
Estimates of mineral reserves and mineral resources are also forward-looking statements because they
constitute projections, based on certain estimates and assumptions, regarding the amount of minerals
that may be encountered in the future and/or the anticipated economics of production. All statements
in this news release that address events or developments that we expect to occur in the future are
forward-looking statements. Forward -looking statements are statements that are not historical facts
and are generally, although not always, identified by words such as “expect”, “plan”, “a nticipate”,
“project”, “target”, “potential”, “schedule”, “forecast”, “budget”, “estimate”, “intend” or
“believe” and similar expressions or their negative connotations, or that events or conditions “will”,
“would”, “may”, “could”, “should” or “might” occur. All such forward-looking statements are based
on the opinions and estimates of management as of the date such statements are made.
Forward-looking statements are necessarily based on estimates and assumptions that are inherently
subject to known and un known risks, uncertainties and other factors, many of which are beyond our
ability to control, that may cause our actual results, level of activity, performance or achievements to
be materially different from those expressed or implied by such forward -looking information. Such
factors include, without limitation, Public Health Crises, including pandemics; changes in the price of
gold, silver, copper and other metals in the world markets; fluctuations in the price and availability of
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infrastructure and energ y and other commodities; fluctuations in foreign currency exchange rates;
volatility in price of our common shares; inherent risks associated with the mining industry, including
problems related to weather and climate in remote areas in which certain of the Company’s operations
are located; failure to achieve production, cost and other estimates; risks and uncertainties associated
with exploration and development; uncertainties relating to estimates of mineral resources including
uncertainty that mineral re sources may never be converted into mineral reserves; the Company’s
ability to carry on current and future operations, including development and exploration activities; the
timing, extent, duration and economic viability of such operations, including any mineral resources or
reserves identified thereby; the accuracy and reliability of estimates, projections, forecasts, studies and
assessments; the Company’s ability to meet or achieve estimates, projections and forecasts; the
availability and cost of inputs; the availability and costs of achieving the Stage 3 Expansion or the
Stage 4 Expansion; the ability of the Company to achieve the inputs the price and market for outputs,
including gold, silver and copper; inability of the Company to identify appropriate acquisition targets
or complete desirable acquisitions; failures of information systems or information security threats;
political, economic and other risks associated with the Company’s foreign operations; geopolitical
events and other uncertainties, such as the conflict in Ukraine; compliance with various laws and
regulatory requirements to which the Company is subject to, including taxation; the ability to obtain
timely financing on reasonable terms when required; the current and future social, economic and
political conditions, including relationship with the communities in Papua New Guinea and other
jurisdictions it operates; other assumptions and factors generally associated with the mining industry;
and the risks, uncertainties and other factors refer red to in the Company’s Annual Information Form
under the heading “Risk Factors” and filed on SEDAR or the Company’s website.
Estimates of mineral resources are also forward -looking statements because they constitute
projections, based on certain estimat es and assumptions, regarding the amount of minerals that may
be encountered in the future and/or the anticipated economics of production. The estimation of mineral
resources and mineral reserves is inherently uncertain and involves subjective judgments about many
relevant factors. Mineral resources that are not mineral reserves do not have demonstrated economic
viability. The accuracy of any such estimates is a function of the quantity and quality of available data,
and of the assumptions made and judgment s used in engineering and geological interpretation,
Forward-looking statements are not a guarantee of future performance, and actual results and future
events could materially differ from those anticipated in such statements. Although we have attempted
to identify important factors that could cause actual results to differ materially from those contained
in the forward -looking statements, there may be other factors that cause actual results to differ
materially from those that are anticipated, estimated, or intended. 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.