Kainantu Resources Reports Filing of Q2 2021 Results
Kainantu Resources Reports Filing of Q2 2021
Results
VANCOUVER, BC
,
Aug. 30, 2021
/CNW/ - Kainantu Resources Ltd. (TSXV: KRL) (FSE: 6J0)
("KRL" or the "Company"), the
Asia-Pacific
focused gold mining company, is pleased to report the
filing of its second interim results for the period ending
June 30, 2021
, a copy of which is available
for review on the Company's
website
.
Given the Company's transition to a calendar reporting cycle, the interim results are presented for a
7 month period on this occasion.
Key aspects to report over the period include:
Ongoing exploration success at the Company's projects in Kainantu:
KRL South: successful outcomes from ridge-and-spur auger sampling in the Tirokave area,
leading to the definition of three gold prospects (East Avaninofi Prospect, Yaoro Ridge
Prospect and Kerefa Prospect) and a series of encouraging sampling results (including the
high-grade 40.13 g/t Au rock sample result at the East Avaninofi Prospect);
KRL North: commencement of a comprehensive mapping and sampling programme to build
on historic evidence of porphyry related alteration and mineralisation in the area; and
the collection of 2,628 samples over the period, in addition to earlier analysis (with results
currently being processed).
Execution of a value accretive corporate initiative for the May River Copper-Gold Project, with
KRL entered into two definitive agreements to acquire mineral concessions in highly prospective
ground:
previous drilling has demonstrated significant gold potential:
54m
at 1.83g/t Au;
109m
at
1.53g/t Au and
96m
at 0.89g/t Au; and
copper-in-soil anomalies of > 2,500ppm have been reported from several areas.
Commencement of trading on the FSE, in addition to the TSX-V, providing increased exposure
to European capital markets.
The appointment of Mr.
Graeme Duncan
as Chief Operating Officer, bringing 45 years of
experience leading mining project development in the
Asia-Pacific
region.
Ongoing community support as evidenced by the signing of a long-term access agreement with
key stakeholders at KRL North, in addition to continued engagement with the national level
government (with the expansion and consolidation of exploration tenements at Kainantu reported
during the period).
A net loss for the 7 months of
$0.94 million
(inclusive of listing and equity compensation costs)
and a significantly lower loss for the 4 months to
June 30, 2021
of
$0.15 million
.
Exploration and evaluation activities for the 7 months to
June 30, 2021
of
$0.76 million
(which
has been capitalised).
A sound closing cash position of
$1.64 million
: during the 7 month period to
June 30, 2021
after
raising
$2.94 million
, cash used in operating activities was
$0.68 million
(inclusive of transaction
costs and the repayment of earlier working capital loans) and net investing cash outflows
(inclusive of exploration expenditure) were
$0.61 million
.
Matthew Salthouse
, CEO of KRL, commented:
"KRL is pleased to report further progress during the period and has delivered against the early
stage milestones set on listing in
December 2021
; with the consolidation of rights to explore in the
world renowned Kainantu region and definition of three clear gold prospects at KRL South (with
high-grade gold sample results reported at East Avaninofi).
The signing of definitive agreements to acquire the highly prospective May River Copper-Gold
Project also demonstrated KRL's ability to develop and execute value accretive corporate
initiatives.
The Company expects to provide further updates on exploration efforts in the near future."
About KRL
KRL is an
Asia-Pacific
focused gold mining company with two highly prospective gold projects, KRL
South and KRL North, in a premier mining region, the high-grade Kainantu Gold District of PNG. Both
of KRL's projects show potential to host high-grade epithermal and porphyry mineralisation, as seen
elsewhere in the district. KRL has a highly experienced board and management team with a proven
track record of working together in the region; and an established in-country partner.
For further information please visit
https://kainanturesources.com/
References in this release to $ are stated in USD. Neither the TSX-V nor its Regulation Services
Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the
adequacy or accuracy of this release.
Disclaimer and Forward-Looking Information
Neither the TSX-V nor its Regulation Services
Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the
adequacy or accuracy of this release. Disclaimer and Forward-Looking Information Statements
contained in this release that are not historical facts are forward-looking statements that involve
various risks and uncertainty affecting the business of KRL. In making the forward-looking
statements, KRL has applied certain assumptions that are based on information available,
including KRL's strategic plan for the near and mid-term. There can be no assurance that such
information 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 information. KRL does not undertake to update any forward-looking information,
except in accordance with applicable securities laws.
SOURCE
Kainantu Resources Ltd.
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For further information:
Enquiries: Kainantu Resources, Matthew Salthouse, Chief Executive
Officer (Tel: + 65 8318 8125), Callum Jones, Corporate Development Co-ordinator (Tel: + 61 450
969 697), Email: [email protected]; IR / Financial PR: Camarco, Gordon Poole / Nick Hennis, Tel:
+44(0) 20 3757 4980
CO: Kainantu Resources Ltd.
CNW 16:15e 30-AUG-21