K92 Mining shares soar on record-breaking gold production
K92 Mining’s (TSX: KNT) shares surged as much as 14% on Wednesday after the gold miner announced record-breaking production results for both the fourth quarter and the full year.
Its Q4 2024 production reached 53,401 oz. of gold equivalent, marking a 37% increase from the same quarter of 2023 and a 21% rise from the previous quarterly record set in the third quarter of 2024.
For the full year, K92 achieved annual production of 149,515 oz. of gold equivalent, representing a 27% increase from 2023 and exceeding its production guidance range of 120,000 to 140,000 oz.
The company also provided an update on the expansion of its Kainantu gold mine in Papua New Guinea’s Eastern Highlands province.
“As we look ahead to 2025, there is tremendous enthusiasm within the company and in Papua New Guinea for the upcoming delivery of the Stage 3 expansion, which is designed to transform Kainantu into a Tier 1 mid-tier producer,” K92 Mining CEO John Lewins said in a news release.
According to the company, construction of Stage 3 is progressing well, with approximately 70% of growth capital either spent or committed as of December 31, 2024. The commissioning of the Stage 3 process plant is expected to begin in the second quarter of this year.
Kainantu boasts measured and indicated resources of 8.7 million tonnes at 10.2 grams of gold equivalent per tonne, totaling 2.9 million ounces. Inferred resources stand at 17.1 million tonnes at 8.6 grams per tonne, or 4.7 million ounces.
As of 12:10 p.m. EDT, K92 shares had risen 14.3%, giving the miner a market capitalization of C$2.34 billion ($1.62 billion).