Novo Recommences Exploration at Egina; Discovers Yet Another Broad Gold-bearing Swale at Paradise

VANCOUVER, British Columbia, May 15, 2020 (GLOBE NEWSWIRE) -- Novo Resources Corp. (“Novo” or the “Company”) (TSX-V: NVO; OTCQX: NSRPF) is pleased to announce it has recommenced its 2020 exploration program at its Egina gold project and quickly identified another broad gold-bearing swale at Paradise.

Summary:

Recommencement of 2020 field program

- Following a self-imposed isolation period due to COVID 19, Novo has recommenced its 2020 exploration program at its Egina gold project. The Company has implemented work and hygiene protocols to ensure a safe workplace for its field staff. Its Perth head office has reopened on a managed, lower-density basis.

Discovery of new gold-bearing swale

- Novo has identified another gold-bearing channel, or swale, in an area southwest of the Paradise prospect. This swale measures at least 750 m wide, is open to the southwest, and brings the total number of swales discovered in this area to three (Figure 1). Identification of gold-bearing gravels comes from processing approximately 1 tonne bulk samples using Novo’s mobile alluvial Knudson (“MAK”) test plant. Gold particle counts from MAK samples collected in this new swale, S3, range up to 210 per tonne, the highest yet seen in this area. Gold-bearing gravels were found at Paradise earlier this year, and the Company announced discovery of two broad gold-bearing swales, S1 and S2, last month (please refer to the Company’s news releases dated April 16, 2020 and February 13, 2020).

- Novo plans to undertake bulk sampling of gravels from the newly discovered Paradise swales during the 2020 field season. Novo also plans to expand the heritage survey footprint in this area once the Kariyarra Aboriginal Group has deemed it safe to come out of quarantine.

- In addition to the Paradise area, Novo has approximately 20 high priority target areas it plans to explore utilizing MAK sampling in 2020. The goal of this work will be to demonstrate proof of concept that the Egina terrace has potential to host an extensive, shallow gold-bearing gravel deposit.

Complete data from 2019 large bulk samples

- In February, before cessation of work at Egina due to COVID 19, Novo completed processing of two large bulk samples from a test area within the Egina mining lease (please refer to Novo’s news release dated February 13, 2020). All gold assay data has returned from these samples (Figure 2). Bulk samples from trenches 6A and 6B (Figure 3), both collected from the general trend of the swale and swale margin corridor, yielded a total of 592.6 grams of gold from 413.6 cubic metres and 393.8 grams of gold from 763.2 cubic metres, respectively (please refer to table below). Collectively, this totals 986.4 grams of gold from 1,176.8 cubic metres of gravel, or 0.84 grams gold per cubic metre. Conventional alluvial gold projects commonly display grades of 0.2-0.3 grams gold per cubic metre.