High-Grade Judd Vein System Drilling Demonstrates Continuity And High-Grade Potential

VANCOUVER - K92 Mining Inc. reported results from the ongoing diamond drilling on the Judd vein system at the Kainantu Gold Mine in Papua New Guinea. The holes are part of the initial drill program at Judd, which in conjunction with underground development is targeting defining a maiden resource later this year. The Judd vein system is located near-mine infrastructure, subparallel to and ~150-200 m east from the producing Kora deposit and within the mining lease.

The results demonstrate the continuity and high-grade potential of Judd, with drilling focused on step-out drilling that in conjunction with underground development is planned to support a maiden resource later this year. From the results, which covered a strike length of approximately 650 meters, all drill holes intersected mineralization, with 29% of holes exceeding 20 g/t AuEq, 35% of holes exceeding 10 g/t AuEq and 65% of holes exceeding 5 g/t AuEq intersections.

To date, four known veins have been recorded at Judd, with similar vein orientation and quartz-sulphide Au-Cu-Ag mineralization as Kora. Similarly, the veins are essentially quartz/sulphide with brecciated country rock fragments or massive sulphide (dominated by chalcopyrite), or combinations of both styles. The veins remain open at depth, to surface, and only a fraction of the over 2,500m strike length has been drilled.

The results are highlighted by the J1 vein, with JDD0022 recording 8.51 m at 48.56 g/t Au, 47 g/t Ag and 0.54% Cu (49.93 g/t AuEq, 6.25 m true width). JDD0022 is approximately 50m to the south of the 1265 Level development, the second sublevel developed on the J1 vein, which reported its first results with a strike length of 83 m, averaging a J1 Vein thickness of 3.5 m at 16.48 g/t AuEq from channel sampling.

Importantly, the results have defined an area of notably higher-grade mineralization with solid thickness to date. Approximately 20 m above hole JDD0022, JDD0021 recorded 8.35 m at 17.87 g/t Au, 28 g/t Ag and 0.67% Cu (19.18 g/t AuEq, 5.87 m true width) on the J1 Vein. Both JDD0022 and JDD0021 are between hole JDD0006 that recorded 7.25 m at 256.09 g/t Au, 113 g/t Ag and 0.42% Cu (258.01 g/t AuEq, 5.30 m true width).

At depth mineralization remains strong, with multiple high-grade intersections recorded, highlighted by JDD0019 recording 3.70 m at 52.27 g/t Au, 39 g/t Ag and 0.60% Cu (53.63 g/t AuEq, 3.32 m true width) on the J1 Vein and approximately 20 m to the north along strike, JDD0015 recorded 1.90 m at 25.08 g/t Au, 22 g/t Ag and 1.07% Cu (26.88 g/t AuEq, 1.76 m true width) on the J1 vein. Both intersections are approximately 30 m below the 1235 Level, which has reported development of 288 m of development with an average J1 vein thickness of 3.7 m at 11.64 g/t AuEq, including 179 m at 3.7m thickness at 15.39 g/t AuEq.

Other high-grade intersections on the J1 vein include JDD0014 recording 4.91 m at 18.22 g/t Au, 39 g/t Ag and 1.94% Cu (21.48 g/t AuEq, 3.88 m true width) and JDD0005 recording 1.07 m at 18.46 g/t Au, 61 g/t Ag and 2.98% Cu (23.48 g/t AuEq, 0.97 m true width). JDD0005 is located near the northern limit of Phase 1 drilling to date.

As a result of the promising drilling, underground development and metallurgical results to date, the first production stoping at Judd is planned for the fourth quarter. Flat backing on the 1235 Level is underway in preparation for long-hole stoping to reduce the stope height between the 1235 and 1265 Levels. There are currently 2 rigs drilling the Judd Vein System with plans to significantly increase drilling activities near-term.

John Lewins, Chief Executive Officer and Director, said, “The potential significance of the Judd Vein system to the Kainantu Gold mine has increased considerably as strong results continue to be reported from both drilling and underground development. The latest drilling results continue to deliver a combination of high-grade, solid thickness and similar mineralization to Kora, highlighted by drill hole JDD0022 recording 8.51 m at 48.56 g/t Au, 47 g/t Ag and 0.54% Cu (49.93 g/t AuEq, 6.25 m true width) and JDD0019 recording 3.70 m at 52.27 g/t Au, 39 g/t Ag and 0.60% Cu (53.63 g/t AuEq, 3.32 m true width), both from the J1 vein. To date, the Phase 1 Judd Program has reported 22 holes focusing on the J1 vein, with all holes intersecting mineralization, 32% of holes above 20 g/t AuEq, 36% of holes above 10 g/t AuEq and 64% of holes above 5 g/t AuEq. The intersection true thickness is also solid, averaging 3.7 m to date.

The drilling results also correspond well with Judd sublevel development, further enhancing our view on Judd’s potential. The 1235 Level has reported 288 meters of development averaging 3.7-meter vein thickness at 11.64 g/t AuEq, including 179 meters of development at 3.7-meter vein thickness at 15.39 g/t AuEq, and the 1265 Level has reported 83 meters of development averaging 3.5-meter vein thickness at 16.48 g/t AuEq.

We plan to commence stoping Judd in Q4 of this year with flat backing of the 1235 Level in preparation of stoping already underway. From these latest results, we now plan to allocate half of the underground drill rigs to Judd by the end of October. We expect Judd underground drilling to be highly efficient due to its proximity to Kora and also Kora’s extensive underground infrastructure. The Judd Vein system has a known strike length of +2.5km and four known veins, and we believe we have only scratched the surface so far.”