Novo Progresses ASX Dual Listing With Lodgement of Prospectus

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HIGHLIGHTS

• Novo has lodged a Prospectus with the Australian Securities and Investments Commission (“ASIC”) to undertake an initial public offering (“IPO”) in Australia of Chess Depositary Interests (“CDIs”) and to seek to dual list on the Australian Securities Exchange (“ASX”)
• The Novo Board believes listing on the ASX will:
  • Enhance the profile of Novo across a broader range of stakeholders
  • Increase liquidity and allow access to potential new sources of equity
  • Engage and attract institutional investment and equity research coverage
• Novo has been listed in Canada since 2010 and in the US on the OTCQX since 2012, has developed a supportive, long-term investor base, and intends to maintain its TSX and OTCQX listings
• The ASX is a natural fit for Novo to list and grow, given historical local investor appetite for new mining discoveries with exploration upside
• Prospectus lodgement follows Novo’s major earn-in and joint venture agreement with leading Western Australian gold developer De Grey Mining Ltd (ASX: DEG) (“De Grey”) who have undertaken to spend up to A$25 million on exploration of Novo’s Becher Gold Project and adjacent tenements, including satisfaction of minimum expenditure commitments on such tenure. In June 2023, De Grey made a cornerstone investment of A$10 million in Novo to become the Company’s largest shareholder with an undiluted 11.6% interest¹
  • Becher is located only ~ 28 km WSW of De Grey’s 11.7 Moz Au (JORC 2012)² Mallina Gold Project
  • Becher target style of mineralisation includes both structurally controlled orogenic gold and orogenic intrusion-hosted gold, similar mineralisation styles to those at the Hemi gold deposit²
• The Company is seeking to raise gross proceeds of A$4.0 million (approximately C$3.5. million)³ through the issue of 20 million CDIs at an offer price of A$0.20 (approximately C$0.18) per CDI (“Offer Price”), with the ability to accept over-subscriptions to raise an additional A$3.5 million (approximately C$3.1 million) through the issue of an additional 17.5 million CDIs
  • IPO offer proceeds are expected to support Novo’s 12-month exploration strategy
  • The offer period is currently scheduled to open on August 10, 2023 and is expected to close on September 1, 2023⁴
  • The IPO is conditional on the Company raising its minimum subscription (A$4.0 million, before costs) and ASX approving the Company’s application for admission to the ASX⁵
  • Argonaut of Perth, Western Australia is acting as financial adviser and broker to the IPO
• Novo owns an exciting portfolio of exploration targets with gold discovery potential and through reconnaissance work in 2022 has defined a pipeline of advanced targets for drilling in 2023 and 2024, with a growth strategy of discovering standalone gold projects with >1 Moz development potential

VANCOUVER, British Columbia, Aug. 02, 2023 (GLOBE NEWSWIRE) -- Novo Resources Corp. (“Novo” or the “Company”) (TSX: NVO, NVO.WT & NVO.WT.A) (OTCQX: NSRPF) is pleased to provide an update in relation to the Company’s planned ASX listing and IPO.