RE:The DataAn excellent Risk Reducing strategy by K92 Mining under current circumstances, that will impact Q4, 2024 expenses by approx.. ($0.01) per share :
“Subsequent to Q3, 2024 end, K92 purchased put contracts for $2.2 million covering 12500 oz. Gold per month at $2,400/oz to protect against commodity price risk during the stage 3 Expansion construction. K92 maintains full exposure to commodity price upside.
The details of the open commodity contracts as at September 30, 2024, were as follows:
Contracts……………Quantity ………. Strike Price…. Settlement Term…. Settlement Date
Outstanding (ounces) ($/ounce)
Gold call ctrts – sold 13,337 $2,492 October 2024 Dec.31, 2024
Gold put ctrts – purch 13,337 $2,292 October 2024 Dec.31, 2024
Gold call ctrts – sold 12,411 $2,572 November 2024 Jan.31, 2025
Gold put ctrts – purch 12,411 $2,372 November 2024 Jan. 31, 2025
Gold call ctrts – sold 13,246 $2,632 December 2024 Feb. 28, 2025
Gold put ctrts – purch 13,246 $2,432 December 2024 Feb. 28, 2025
Note Also as a significant Item: The Company payment of a tax installment of $17.9 million to the Papua New Guinea government will reflect on Q4, 2024 earnings at approx. (0.06) per share compared to Q3, 2024 irrespective of Q4, 2024 operating results.
Peace,
Good Decision-making to All,
ElJ