K92 Mining Inc.

Thank you for standing by. This is the conference operator. Welcome to the K92 Mining third quarter financial results conference call and webcast. As a reminder, all participants are in listen-only mode and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. To join the question queue, you may press star then 1 on your telephone keypad. Should you need assistance during the conference call, you may signal an operator by pressing star and zero. I would now like to turn the conference over to David Medelec, Vice President, Business Development and Investor Relations. Please go ahead.

Thank you, Operator, and thanks, everyone, for attending K92 Mining's third quarter 2022 conference call. We hope you and your families are doing well. In addition to myself, we have on the line John Lewins, Chief Executive Officer and Director, and Justin Blanchett, Chief Financial Officer. I would also like to remind everyone that after the remarks from management, the call will be followed by a Q&A session. As we will be making forward-looking statements during the call, please refer to the cautionary notes and risk disclosure in our MD&A and slide 2 of the webcast presentation. Also, please bear in mind that all dollar amounts mentioned in the conference call are in United States dollars unless otherwise noted. Now, I'll turn it over to John to provide you with an overview.

Well, thank you, David. Welcome, everyone. In the third quarter, we took another step forward, delivering multiple operational milestones, including record or processed, record or mined, near record development advanced, strong all-in sustaining and cash costs, while also ending the quarter with the company's strongest financial position to date. Q3 marked the first quarter where we achieved the stage 2a expansion run rate of 1,370 tons per day for an entire month, having achieved 1,373 tons per day during the month of August. Quarter over quarter, mill throughput increased 8% to 1,282 tons per day. Strong mill throughput performance is particularly significant as it was achieved without the installation of the new flotation cells, which will roughly double a rougher flotation capacity, highlighting that there is further upside in terms of throughput and also obviously in terms of improving our recovery. Installation of these cells is planned for early 2023. Lastly, third quarter delivered two major growth milestones, the integrated development plan evaluating the stage three DFS and the stage four PEA. And in addition to that, we also reported our maiden inferred resource at Blue Lake of 10.8 million ounces gold equivalent. Subsequent to quarter end, we also delivered high-grade drilling results at Cora, Cora South, Judd, Judd South, as well as maiden results for our northern deeps target, representing a significant expansion to our strike length while also intersecting dilatant zones in both Cora and Judd. The integrated development plan demonstrates at Kanantu we have a tier one asset. The resource at Blue Lake highlights the significant potential within our copper gold porphyry belt and the high-grade vein field results show that we may have only to scratch the surface of our vein exploration to date. now if we look on the safety front again for the quarter we recorded no lost time injuries and we are proud to operate with one of the best safety records in the australasian region and we continue to have a strong focus on our occupational health and safety and continually improving our safety systems on the esg front i'm pleased to report that during the quarter we published our 2021 sustainability report the report features multiple highlights including being the second largest pair of corporate tax in papua new guinea's mining industry a carbon intensity which is well below global average which we plan to continue to improve on a focus on local employment and training and significantly contributions to a wide range of social programs including but not limited to education, infrastructure, business development, female employment and COVID-19 programs. K92 is very proud of the positive impacts that we have on our local community and on Papua New Guinea in general and I encourage you to read the report which is found on our website k92mining.com in the responsible mining section. Now, in August, K92 participated in the Chamber of Mines and Petroleum full-day industry briefing, which was given to the Parliament. Now, that included our VP of Government and Community Affairs, Philip Samar, who's also the Vice President of the Chamber, delivering the main presentation on the mining industry, and then myself delivering a presentation on Kenantu operations. Philip Samar's presentation provided an overview of the economic contributions of the mining industry to Papua New Guinea. The presentation which I delivered was focused solely on K92, focusing on our growth plans, positive contributions to date, various community programs and projections for the positive impact of the operation with our Stage 3 and Stage 4 mine expansion plans. All presentations I think were well received and we had very good local media coverage which included coverage of K92's presentation in the local TV station EMTV with a not particularly great still of me from that. During the quarter, K92 was also recognized as a TSX-30 company, which is the Toronto Stock Exchange's flagship program for top performing stocks over a three-year period on a dividend-adjusted share price appreciation. Now, K92 is proud to be part of that TSX-30, ranking number 11, having delivered a three-year return of 333%. Moving on to operational performance, during the quarter, we produced 32,995 ounces gold equivalent with 117,938 tons processed at a head grade of 9.8 gram per ton. Compared with third quarter 2021, ore processed, ore mined increased 35%, 37% respectively. A major positive continues to be the strong performance of the process plant. In the third quarter, average mill throughput was 1,282 tonnes per day, and that's 17% over the Stage 2 run rate. In August, as I mentioned, the plant achieved a record throughput of 1,373 tonnes per day, which is slightly above the Stage 2A expansion run rate of 1,370. And in July, after the installation of our new TC1000 Crusher, we had multiple daily records, including 1638 tons milled on July the 6th and 1642 on July the 14th. Performance, I think, is especially impressive when you consider that a key part of the plant upgrade being the installation of the flotation cells, which will double our rougher capacity. will only occur late this quarter and fourth quarter or early in 2023. The float cell upgrades is not only important to improve our recoveries, but also boosts our flexibility and potentially allows us to increase our throughput rates even further. In terms of our key operational physicals, K92 delivered record quarterly ore processed and record ore mined. mining exceeded milling rates resulting in mill stockpile reaching its highest level at quarter end since late 2020 and that provides obviously a boost for our operational flexibility development advance also recorded its second highest quarter advanced to date increasing our development rates continues to remain a focus and i am pleased to report that subsequent to the quarter end in october we delivered our highest monthly development advance rate to date of 728 meters In 2022, it's important to remind investors that our guidance is based on the second half of the year being stronger than the first. And we certainly saw that in Q3. And K92, we believe, is well positioned to achieve its guidance of 115,000 to 140,000 ounces gold equivalent for the year. I'll now turn over to our Chief Financial Officer, Justin Blanchet, to discuss our financial results for the third quarter.