K92 Mining looks to spend over K3 billion

 K92 Mining in Papua New Guinea  is aiming to become a tier-one miner with the company ready to spend over K3 billion in the next three years to expand its operations.

The K92 board travelled Papua New Guinea  on Sunday and will meet with Government officials and landowners and visit the mine site to see the mine’s progress.

Chief executive officer John Lewins said they aimed to change the perception of people, especially investors, to see the opportunities in the country.

“We have doubled our rate of progress back (jobs) in 2020 during the Coronavirus (Covid-19) pandemic.

While at the same time we also managed to double production,” he said. “Total (projected) revenue for 2023 is about K900 million, and we projected K1 billion in 2024, and K1.5 billion in 2025.

“The total capital spent in 2023 and 2024 combined is expected to be K1.1 billion and we will spend around K120 million on exploration during this period.

“We will also spend approximately K700 million in operating costs over the two years.

We will spend a further K0.5 billion over the following two years (2025 and 2026) in capital, K120 million on exploration and K1.1 billion in operating expenditure.”

He said the stage three expansion would take until the end of 2024 which increased throughput to 1.2 million tonnes per annum and production to 300,000 ounces of gold per annum.

Lewins said stage four would take until the end of 2026 and would increase throughput to 1.7 million tonnes per annum and production to 450,000oz gold per annum.

“We remain optimistic of the future prospects of this industry and we would like to show the world that PNG has the ability to be a top player in the global gold business,” he said.

“We have potential here and K92 has worked well with all its stakeholders to bring about results that showcase high yielding results.”

The National / Pacific Mining Watch

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