K92 Mining Releases 2024 Sustainability Report: Delivering Sustainable Value

Rhea-AI Summary

K92 Mining has released its 2024 Sustainability Report, highlighting significant ESG achievements and operational progress. The company reported 553 days without lost-time injuries and a TRIFR of 0.69. With a workforce of 1,790 in Papua New Guinea (92% local nationals), K92 demonstrated strong local engagement through $96.5M in local procurement (42% of total spend) and $62.6M in taxes and royalties. The company invested $28M in local Joint Ventures and allocated $6.6M for infrastructure projects. Notable achievements include winning the CORE Community Humanitarian Initiative award, launching the K92 CARES framework, and advancing the Kainantu Endowment for student scholarships. The company maintained strong commitment to local development through 66 tertiary scholarships and 400+ graduates from its Adult Literacy Program.

Positive

• 553 days without a lost-time injury and low TRIFR of 0.69 demonstrating strong safety performance
• High local employment with 92% PNG nationals in workforce
• Significant local economic contribution with $96.5M in local procurement and $62.6M in taxes/royalties
• Strong community engagement through $28M in local Joint Ventures and $6.6M infrastructure investment
• Recognition through CORE Community Humanitarian Initiative award for third consecutive year
• Extensive educational initiatives including 66 tertiary scholarships and 400+ adult literacy graduates

Negative

• None.

VANCOUVER, British Columbia, June 05, 2025 (GLOBE NEWSWIRE) -- K92 Mining Inc. (“K92” or the “Company”) (TSX: KNT; OTCQX: KNTNF) is pleased to announce that it has published its 2024 Sustainability Report. This is K92’s sixth annual sustainability report, which provides details of the Company’s Environmental, Social, and Governance (“ESG”) practices and performance.

The 2024 Sustainability Report was prepared in accordance with the Sustainability Accounting Standards Board (“SASB”) Metals and Mining Standard for the sixth consecutive year and includes continued progression of providing climate disclosures in alignment with the Task Force on Climate-related Financial Disclosures (“TCFD”) recommendations.

The 2024 Sustainability Report is available on the K92 website at the following link:
https://k92mining.com/responsible - mining/

Environmental, Social and Governance Highlights:

• 553 days without a lost-time injury⁽¹⁾, and a Total Recordable Injury Frequency Rate (“TRIFR”) of 0.69.
• 1,790 employees and contractors employed in Papua New Guinea.
• ~92% of total workforce (employees plus contractors) are PNG Nationals with priority hiring from local communities.
• $96.5 million in procurement from PNG companies, representing 42% of K92’s total procurement spend.
• $62.6 million in taxes and royalties paid in PNG⁽²⁾, a 134% increase over 2023.
• $28.0 million invested in local Joint Ventures.
• $6.6 million allocated for the Company’s first PNG Infrastructure Tax Credit Scheme project.
• Outstanding Community Humanitarian Initiative awarded by the PNG Chamber of Resources and Energy (“CORE“) for K92’s Sustainable Agriculture Livelihoods Program (“SLAP“), marking the third consecutive year K92 has received the primary, annual community award from the CORE.
• Launched the K92 CARES framework, which outlines the Company’s core values, including a clear commitment to responsible mining practices and a culture of respect for others.
• Advanced work related to the Kainantu Endowment, which was established to provide scholarships for the advancement of Papua New Guinean students.
• Ongoing alignment with the TCFD recommendations with progress advanced on local hydropower improvements in support of the Company’s energy and greenhouse gas (“GHG”) emissions reduction target.
• Continued commitment to local skills development, including a total of 66 tertiary scholarships awarded; 400+ 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.
• Supplier Code of Conduct and Employment Standard rolled out as part of ongoing due diligence work related to Canadian Modern Slavery legislation.
  

John Lewins, K92 Chief Executive Officer and Director, stated, “On behalf of the K92 team, we are very pleased to publish our 2024 Sustainability Report. The report provides our primary sustainability disclosures for 2024, while highlighting many of our key initiatives that enable us to deliver sustainable value for all of our stakeholders.

The past year has been truly transformational for K92, as we advance our plans to become a world-class, Tier 1 gold mining operation. We achieved notable operational successes during the year in parallel with significant progress on our Stage 3 and Stage 4 Expansions. Importantly, we have done so with exemplary safety performance, including achieving 553 consecutive days without a lost-time injury, a testament to the robust health and safety management systems and practices we continue to implement.

Our local value-retention initiatives continue to deliver significant value for our local stakeholders. At the end of 2024, we employed nearly 1,800 employees and contractors and remained a significant tax contributor within the country, with some $62.6M in taxes and royalties paid in PNG. We also procured approximately $96.5M from PNG companies, including $28.0M from unique, local Joint Ventures, which are partnerships between established businesses and local landowner associations that help deliver significant value for local communities.

Looking ahead, the upcoming year will surely be one of the most important in K92’s young history. During the year, we look forward to the commissioning of our new 1.2 million-tonnes-per-annum process plant, associated paste plant, and other key mine infrastructure to support our expansion plans and continued production growth. We also look forward to working in ongoing partnership with all our stakeholders to deliver transformational value from our operations – now and into the future.”

Notes:

(1)   As at December 31, 2024. As at March 31, 2025, the number of lost-time injury free days was 643.
(2)   Includes corporate tax, payroll tax, import duties, and royalties.
(3)   All amounts are in U.S. Dollars unless otherwise noted.

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, is in a strong financial position, and is working to become a Tier 1 mid-tier producer through ongoing plant expansions. 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.

On Behalf of the Company,

John Lewins, Chief Executive Officer and Director

For further information, please contact David Medilek, P.Eng., CFA, President and Chief Operating Officer at +1-604-416-4445

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION:
This news release includes certain “forward-looking statements” under applicable Canadian securities legislation. Such forward-looking statements include, without limitation: (i) the results of the Kainantu Mine Definitive Feasibility Study, including the Stage 3 Expansion, a new standalone 1.2 mtpa process plant and supporting infrastructure; (ii) statements regarding the expansion of the mine and development of any of the deposits; (iii) the Kainantu Stage 4 Expansion, operating two standalone process plants, larger surface infrastructure and mining throughputs; and (iv) the potential extended life of the Kainantu Mine.

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”, “anticipate”, “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 unknown 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 the epidemic or pandemic viruses; changes in the price of gold, silver, copper and other metals in the world markets; fluctuations in the price and availability of infrastructure and energy 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 resources may never be converted into mineral reserves; the Company’s ability to carry on current and future operations, including development and exploration activities at the Arakompa, Kora, Judd and other projects; 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; 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 conflicts in Ukraine, Israel and Palestine; 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 referred to in the Company’s Annual Information Form under the heading “Risk Factors”.

Estimates of 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. 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 judgments 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.

FAQ

What are the key ESG achievements of K92 Mining (KNTNF) in 2024?

K92 Mining achieved 553 days without lost-time injuries, maintained 92% local employment, contributed $96.5M in local procurement, paid $62.6M in taxes and royalties, and won the CORE Community Humanitarian Initiative award.

How much did K92 Mining (KNTNF) invest in local communities in Papua New Guinea during 2024?

K92 Mining invested $28.0M in local Joint Ventures and allocated $6.6M for infrastructure projects, while also providing 66 tertiary scholarships and graduating over 400 students from its Adult Literacy Program.

What is K92 Mining's (KNTNF) workforce composition in Papua New Guinea?

K92 Mining employs 1,790 employees and contractors in Papua New Guinea, with approximately 92% being PNG nationals, prioritizing hiring from local communities.

What are K92 Mining's (KNTNF) sustainability reporting standards and frameworks?

K92 Mining's 2024 Sustainability Report follows the SASB Metals and Mining Standard for the sixth consecutive year and aligns with TCFD recommendations for climate disclosures.

How much did K92 Mining (KNTNF) contribute in taxes and royalties to Papua New Guinea in 2024?

K92 Mining paid $62.6 million in taxes and royalties to Papua New Guinea in 2024, representing a 134% increase compared to 2023.