The Kainantu Mine

K92 Mining is focused on operating the Kainantu Gold Mine, located in the Eastern Highlands province of Papua New Guinea. The Kainantu property covers a total area of ~725 km2 and was previously mined by Highlands Pacific and Barrick Gold from 2006-2009.

NI 43-101 Report

View K92’s Mineral Resource Estimate and PEA of Kora and Kora North Deposits  [July 2020]


About Papua New Guinea

  • Democratic Nation (Independence from Australia in 1975)
  • Population of 8 million People, 98% Christian, Member of APEC
  • Resource-focused Economy (Oil & Gas and Mining were 86% of exports in 2018)
  • Competitive Tax and Regulatory Environment
  • Three Key Mining Licenses – Exploration Lease, Special Mining Lease, Mining Lease (Renewal of ML is much simpler than then SML given that it does not require deliberations from the National Executive Council). K92 operates under a Mining Lease.

Visit Kainantu

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Location & Infrastructure

The Kainantu Gold Mine is located in the Eastern Highlands Province of Papua New Guinea, approximately 180 km west-northwest of Lae. The mine is serviced by a sealed road from Lae to within 8 km of the site and also has grid power from the nearby Yonki Dam hydro-electric scheme. Full-standby power generation is also located on-site.

The underground mine is located on Mining Lease 150 (“ML 150”); while the Process Plant, Offices, Workshops, Stores, Camp and Tailing Storage Facility are located on Lease for Mining Purposes 78 (“LMP 78”).

Surrounding the mining operations the Company holds four Exploration Licences, EL 470, EL 693, EL 1341 and EL 2619. Mining operations are focused on the Kora-Irumafimpa High Grade Vein System.

The Kainantu project is located in a world class Cu-Au province as evidenced by the underlying geology and presence of nearby major mining projects operated by global majors Barrick, Newcrest and Harmony.

– Independent Technical Report and Resource Estimate on the Kainantu Project, Papua New Guinea


The underground workings are accessed via a 2,500 metre, 5 metre x 5 metre incline from a portal located at 840 mRL level. Current mining operations are focused exclusively on the Kora deposit extension, referred to as Kora North. Longer term production will balance out between the K1 and K2 veins, with K2 transitioning to long hole stoping, while K1 is expected be mined via cut and fill and long hole stoping. Mining is mechanized using twin and single boom Jumbos; 517i, 1700 and 1300 LHDs, and; 20, 30, 40 & 45 tonnes trucks. 20t surface road trucks transport material ~6 km from the portal to the Process Plant.


The Yonki Dam provides water for the Ramu Hydro Power Station, which supplies grid power to the Kainantu. There is also full diesel standby power generation on site.

Processing Plant

The Process Plant is a relatively simple design producing a combined gold-copper flotation concentrate which is shipped in 20 tonne containers from Lae to smelters in various parts of the world. The gravity circuit, which is being optimized, produces a dore product. The plant comprises the following elements:

  • Ore Receiving and Crushing
  • Grinding & Classification
  • Differential Flotation (commencing with an Outokumpu Skimair Flash Flotation unit in the classification circuit, combined with Outokumpu tank cells treating grinding product, to recover a gold-copper concentrate)
  • Flotation tailings deposition in the tailings storage facility
  • On-site reagent storage and mixing facilities
  • Gravity Recovery Circuit (expected to recover up to 50% of the contained gold and produce a gold dore)


Water for potable use is drawn from two bore wells supplemented by water harvested from building roofs. The water is channelled into tuffa tanks, chlorinated and filtered for use. Raw water for use in the process plant is provided primarily from diverted discharge from the underground mine, backed up by additional capacity from the TSF.

Tailings Storage

A tailing storage facility (TSF) is located downstream of the process plant adjacent to the Kumian Creek, which flows into the Baupa River. Tailings were predominantly a reject from the flotation circuit used to separate gold-bearing sulfide minerals from the host rock. The tailings impoundment design is downstream.


Within ML150 this includes the Kora lodes which are strongly mineralised at the limit of drilling and open in all directions, as well as the Judd, Karempe and other unnamed mineralised lodes parallel to defined resources which have potentially economically grade….

– Independent Technical Report and Resource Estimate on the Kainantu Project, Papua New Guinea

Resources & Reserves





Gold Equivalent






Kora North

Measured & Indicated0.8512.90.35130.360.71314.10.39


Total Measured & Indicated
Total Inferred

M in table is millions.

Effective date: September 30, 2018

Reported tonnage and grade figures are rounded from raw estimates to reflect the order of accuracy of the estimate. Minor variations may occur during the addition of rounded numbers. Gold equivalents are calculated as AuEq = Au g/t + Cu%*1.52+ Ag g/t*0.0141.

  1. The current sample exploration database was supplied by Barrick in MS Access format.
  2. Estimation undertaken in Surpac™, using ordinary kriging (“OK”) in unfolded space.
  3. The estimation block size was 10m in Y and 10m in Z with width estimated in unfolded space as a variable. Grade was interpolated by domain using OK estimation with parameters based on directional variography by domain. Thickness of the vein was also estimated by OK estimation.
  4. Results validated against drill data and Inverse Distance Squared, Nearest Neighbour, Gram M Accumulation estimates and Ordinary Krige uncapped estimates.
  5. Minimum mining width of 1.2 m horizontal. Grade was diluted to account for minimum width.
  6. This mineral resource estimate is based on 78,935 metres of drilling from 767 holes, and 18,312 metres of assayed intervals across all lodes. A single vein composite was used for each drill intercept on each lode – cut-off for selection was 3 mgms Au Equivalent. There are a total of 2,003 vein composites across 19 veins, including 349 face composites.
  7. A mined out area representing the extent of current mining projected across all lodes were removed from the final model as the exact location of individual stopes is not clear.
  8. Top caps were applied to the composites for each vein.       Grade caps were selected to restrict the influence of outliers where drilling was sparse, and varied by vein.
  9. A minimum of 2 samples and maximum of 12 samples were used for each block. Search distances varied by lode and reflect the variogram ranges of 100-200 m, maximum projection beyond last drill-hole is 50 m.
  10. The volume for each vein was defined by a wireframe in 3D space and is used to constrain the resource blocks.

Regional Geology

Regionally, the Kainantu property is located within the New Guinea Thrust Belt, a prolific setting for large gold deposits. The New Guinea thrust Belt features early Miocene or older ductile, tight folding,  middle Miocene intrusions and late Miocene low-angle thrust faulting. The belt is characterized by a number of north-northwest trending fault zones that commonly host major ore deposits in addition to multiple porphyries.

Kainantu Geology

The Kainantu mine area is underlain by metamorphosed sedimentary rocks of the Early Miocene Bena Bena Formation, unconformably overlain by Miocene age sedimentary and intermediate volcanic rocks of the Omaura and Yaveufa Formations. The setting features hydrothermal porphyry activity related to the mid-Miocene Akuna Intrusive Complex and the late Miocene Elandora Porphyry dykes.

Mineralization on the property includes gold, silver and copper occurring in epithermal Au telluride veins and Au Cu Ag sulphide veins of Intrusion Related Gold Copper (“IRGC”) affinity and also less explored porphyry Cu Au systems. Mining operations are focused on the Kora-Irumafimpa Vein System, including the Kora North deposit, which is a near-mine infrastructure, intermediate-sulphidation deposit discovered in May/2017. The deposit is significantly better than the low-sulphidation Irumafimpa deposit previously mined.

Kora North consists of Au Cu Ag sulphide veins of Intrusion Related Gold Copper affinity. There are two primary veins, K1 and K2, which are the same as the Mill and Robinson veins at Kora. Drilling to date has shown that Kora and Kora North are the same deposit (currently being connected by drilling).