Novo restarts exploration at Egina, shares up
Novo Resources (TSX-V: NVO) announced on Friday that it has recommenced its exploration program at the Egina gold project in Pilbara.
The company has identified another gold-bearing channel 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, Novo said.
Gold particle counts from samples collected in this new swale, S3, range up to 210 per tonne, the highest yet seen in the area.
Gold-bearing gravels were found at Paradise earlier this year, and the company announced the discovery of two broad gold-bearing swales, S1 and S2, last month.
Novo plans to undertake bulk sampling of gravels from the newly discovered Paradise swales during the 2020 field season.
The company also plans to expand the heritage survey footprint in the area once the Kariyarra Aboriginal Group has deemed it safe to come out of quarantine.
“We are very excited by the continued exploration success with the immediate discovery of yet another broad gold-bearing swale at Paradise. Bulk sampling has clearly demonstrated robust grades of gravels in the swale within the 2019 test area, and we aim to similarly evaluate grades of gravels in these new areas,” said Novo CEO Quinton Hennigh.
“Also exciting are the spectacular results of our environmental rehabilitation efforts. Our in-house team has done a great job showing that we can reclaim disturbed areas to their former state, a critical step for Novo in its efforts to move Egina toward a commercial operation.”
On Friday afternoon, Novo’s stock was up nearly 9% on the TSXV. The company has a C$547 million market capitalization.