K92 Mining (TSX: KNT; OTCQX : KNTNF) released 32 diamond drill holes on September 7th, 2021: The Latest High-Grade Surface and Underground Drill Results at Kora, Including 6.45M at 106.95 g/t AuEq, 5.30 M at 96.85 g/t AuEq and 6.35 M at 75.72 g/t AuEq
K92 Mining (TSX: KNT; OTCQX : KNTNF) has been able to exponentially grow resources and reserves at their flagship Kainantu gold mine in Papua New Guinea. This latest round of drilling has identified additional high-grade material and continuity of Kora, with intersections largely focused on increasing drill density up-dip, down-dip, to the south and near surface to upgrade resources for the Stage 3 Expansion Feasibility Study. Results also include step out drilling to the south outside of the existing resource envelope. From the drilling results, all drill holes intersected mineralization, with 8 intersections exceeding 20 g/t AuEq, 24 intersections exceeding 10 g/t AuEq and 41 intersections exceeding 5 g/t AuEq.
- Underground drill hole KMDD0383 records multiple intersections including 6.45 m at 106.95 g/t gold equivalent (“AuEq”) (1) or 105.96 g/t Au, 11 g/t Ag and 0.60% Cu from the K1 Vein.
- Underground drill hole KMDD0373 records multiple intersections including 5.30 m at 96.85 g/t AuEq or 93.18 g/t Au, 52 g/t Ag and 2.11% Cu from the K1 Vein and 17.76 m at 14.40 g/t AuEq or 14.03 g/t Au, 11 g/t Ag and 0.16% Cu from the K2 Vein.
- Surface drill hole KODD0015 records multiple intersections including 6.35 m at 75.72 g/t AuEq or 60.25 g/t Au, 321 g/t Ag and 7.96% Cu from the K1 Vein, 6.10 m at 14.03 g/t AuEq or 7.53 g/t Au, 78 g/t Ag and 3.87% Cu from the K2 Vein and 8.46 m at 58.56 g/t AuEq or 57.46 g/t Au, 49 g/t Ag and 0.32% Cu from the K2 Hangingwall Vein.
- Underground drill hole KMDD0316 records multiple intersections including 9.40 m at 48.69 g/t AuEq or 48.11 g/t Au, 5 g/t Ag and 0.37% Cu from the K1 Vein.
- Surface drill hole KODD0010 records multiple intersections including 9.80 m at 22.45 g/t AuEq or 21.75 g/t Au, 12 g/t Ag and 0.38% Cu from the K2 Vein.
- Underground drill hole KMDD0310 records multiple intersections including 2.50 m at 48.39 g/t AuEq or 37.42 g/t Au, 72 g/t Ag and 7.09% Cu from the K2 Vein.
John Lewins, K92 Chief Executive Officer and Director, stated, “We believe the drilling results at Kora are some of the strongest announced to date.
Firstly, the results delivered very high grades and expanded known high-grade areas. Of the 32 holes drilled, there were 6 intersections exceeding 40 g/t AuEq and 13 intersections exceeding 15 g/t AuEq. The results also featured some of the higher-grade holes reported to date, including KMDD0383 at 6.45 m at 106.95 g/t gold equivalent and KMDD0373 recording 5.30 m at 96.85 g/t AuEq. Downdip from KMDD0383 and KMDD0373, KMDD0389 recorded 5.83 m at 24.06 g/t AuEq, and approximately 50 m to the south, KMDD0316 recorded 9.40m at 48.69 g/t AuEq, highlighting the significant frequency of high grades and its potential continuity.
Secondly, the results include the first set of surface infill drilling, delivering not only high grades but also higher grade in several areas compared to broadly spaced historical drill holes. Highlights include KODD0015 recording 6.35m at 75.72 g/t AuEq on the K1 Vein, 6.10m at 14.03 g/t AuEq on the K2 Vein and 8.46m at 58.56 g/t AuEq on the K2 Hangingwall Vein, in addition to KODD0010 recording 9.80m at 22.45 g/t AuEq on the K2 Vein. We see the potential to delineate high-grade areas near surface as drill density increases.
The team on site has made considerable progress working through the inventory of holes to core log and assay in addition to receiving results from our ongoing drilling. The combination of strong results and the current rate of reporting has well positioned the Company for a resource update in late-2021. With drilling underway at Kora, Kora South, Judd and Blue Lake we look forward to providing more updates.”
What does this mean for K92 Mining (TSX: KNT; OTCQX : KNTNF) holders?
In summary, K92's (TSX: KNT; OTCQX : KNTNF) Kainantu gold mine is a lot bigger than originally interpreted.
The Kora Deposit comprises two parallel, steeply west dipping, north-south striking quartz-sulphide vein systems, K1 and K2, within an encompassing dilatant structural zone hosted by phyllite. An additional structure, the Kora Link, has also been defined between K1 and K2. There are five Kora Link structures identified, of which three are included in the resource estimate.
The current resource estimate area covers an area of approximately 1,250 metres along strike by 1,050 to 1,150 metres vertically representing ~75% of the drill target area. K92 plans to continue to drill the area not yet drilled. The resource estimate includes results from 266 diamond drill holes in addition to face samples taken from horizontal development and from cut and fill faces along the K1 and K2 veins.
Underground drilling consists of diamond core for a range of core sizes depending on the length of hole and expected ground conditions. Sampling is sawn half core under geological control and generally ranges between 0.5 m to 1.0 m. Underground face sampling is completed for every fired round and is to industry standard. QAQC data indicated no significant issues with the sampling or the accuracy of the on-site analysis. Current core recovery of the mineral zone is +95%, with initial drilling around the 90% mark.
Investors are essentially paying for a high-grade producer, but are exposed to rapid exploration growth at no cost.