Novo Announces Closing of Brokered and Non-Brokered Financings Totaling C$56 Million

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580 Hornby Street, Suite 880

Vancouver, BC, Canada V6C 3B6

Not for Distribution to United States Newswire Services or for dissemination in the United States

NOVO ANNOUNCES CLOSING OF BROKERED AND NON-BROKERED FINANCINGS

TOTALING C$56 MILLION

VANCOUVER, BC, August 27, 2020 - Novo Resources Corp. (“Novo” or the “ Company”) (TSX-V:

NVO) is pleased to announce that it has closed its previously announced and increased brokered and

concurrent non -brokered private placements of subscription receipts (“ Subscription Receipts ”) of the

Company to raise gross proceeds of approximately C$56 million ( collectively, the “ Offering”). The

Offering was undertaken in conjunction with Novo’s planned acquisition of Millennium Minerals Limited

(the “Acquisition”) (please refer to the Company’s news releases dated August 4, 2020, August 5, 2020,

and August 11, 2020 for further details).

Gross pro ceeds of approximately C$51 million were raised from t he brokered private placement (the

“Brokered Offering”) and gross proceeds of approximately C$5 million were raised from the non-brokered

private placement (the “ Non-Brokered Offering ”). The Brokered Of fering was conducted through a

syndicate of agents co-led by Clarus Securities Inc. and Stifel GMP (the "Co-Lead Agents"), together with

PI Financial Corp., CIBC Capital Markets and Haywood Securities Inc. (the “ Agents”). In total, t he

Company issued 17,192,379 Subscription Receipts at a price of C$3.25 per Subscription Receipt for total

gross proceeds of approximately C$56 million (approximately US$ 42.6 million), which included the

exercise of the option granted to the Agents.

The net proceeds from the Offering will be used to fund the Acquisition, for capital expenditures relating

to the restart of Millennium Minerals Limited’s infrastructure, and for general corporate working capital

purposes related thereto.

“We are very pleased wi th the level of interest in th ese financings,” commented Quinton Hennigh,

Chairman and President of Novo Resources. “Th e Offering provides necessary capital to move Beatons

Creek closer to production over the next few months. Novo is delighted to be on a solid path forward.”

The Subscription Receipts were issued pursuant to a subscription receipt agreement (the “ Subscription

Receipt Agreement”) entered into by the Company, the Co-Lead Agents, and Olympia Trust Company as

subscription receipt agent. Pursuant to the Subscription Receipt Agreement, the proceeds from the Offering

except for 50% of the Agents’ 6% cash commission and all of the Agents’ expenses (the “ Escrowed

Funds”) will be held in escrow pending satisfaction of certain conditions including, amongst others, (a) the

satisfaction or waiver of each of the conditions precedent to the Acquisition other than the completion of

financings to raise the funds required to pay the cash portion of the purchase price for the Acquisition which

will be completed concurrently with the release of the Escrowed Funds; and (b) the receipt of all required

regulatory (including TSX Venture Exchange) approvals in connection with the Acquisition (“Escrow

Release Conditions”). If the Escrow Release Conditions have not been satisfied prior to 5:00 p.m. (Toronto

time) on November 2, 2020 (the “Termination Time”), the holders of Subscription Receipts will receive

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a cash amount equal to the issue price of the ir Subscription Receipts and a proportionate amount of any

interest that has been earned on the Escrowed Funds, and the Subscription Receipts will be null and void.

Provided that the Escrow Release Conditions have been satisfied prior to the Termination Time, e ach

Subscription Receipt will automatically be exchanged for one unit of Novo (a “Unit”), each Unit comprised

of one common share of Novo (a “ Share”) and one-half of one Share purchase warrant (a “Warrant”),

with each whole Warrant entitling the holder thereof to acquire one Share at a price of C$4.40 until August

27, 2023, on the date that is the earlier of :

(a) the date that is three business days following the issuance by the British Columbia Securities

Commission, as principal regulator, of a receipt (the “ Final Receipt ”) of the Qualifying

Jurisdictions (as defined below) for a final short form prospectus qualifying the distribution of

the Units underlying the Subscription Receipts; and

(b) December 28, 2020.

The Company has agreed to use its commercially reas onable efforts to obtain the Final R eceipt by 5:00

p.m. (Toronto time) on November 25, 2020 (the “Qualification Deadline”). In the event the Final Receipt

is not obtained by the Qualification Deadline, the Units will be comprised of one Share and one whole

Warrant (rather than one-half of one Warrant).

The Subscription Receipts issued under the Offering were sold pursuant to private placement exemptions

in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario and Nova Scotia (the “ Qualifying

Jurisdictions”). The Subscription Receipts and the Warrants, and the Shares underlying the Subscription

Receipts and the Warrants respectively, are subject to a statutory hold period in accordance with Canadian

securities legislation expiring on December 2 8, 2020 unless sooner qualified under the Qualifying

Prospectus. Securities of the Company sold in the Offering in the United States or to, or for the benefit of,

U.S. persons constitute “restricted securities” under U.S. securities laws and, accordingly, are also subject

to additional resale restrictions. The Offering is subject to final acceptance of the TSX Venture Exchange.

Cash finder’s fees of C$34,125 were paid in conjunction with the Non-Brokered Offering.

About Novo Resources Corp.

Novo’s focus is primarily to explore and develop gold projects in the Pilbara region of Western Australia,

and Novo has built up a significant land package covering approximately 13, 750 square kilometres with

varying ownership interests. In addition to the Company’s primary focus, Novo seeks to leverage its internal

geological expertise to deliver value -accretive opportunities to its shareholders. For more information,

please contact Leo Karabelas at (416) 543-3120 or e-mail [email protected]

On Behalf of the Board of Directors,

Novo Resources Corp.

“Quinton Hennigh”

Quinton Hennigh

President and Chairman

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Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies

of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

Forward-looking information

Some statements in this news release contain forward-looking information (within the meaning of Canadian

securities legislation) including, without limitation, statements as to the use of the net proceeds from the

Brokered Offering and the Non-Brokered Offering, the completion of the Acquisition and the intended

filing of a final prospectus to qualify the Shares and Warrants underlying the Subscription Receipts within

certain timeframes. Forward-looking statements address future events and conditions and, as such, involve

known and unknown risks, uncertainties and other factors which may cause the actual results, performance

or achievements to be materially different from any future results, performance or achievements expressed

or implied by the statements. Such factors include, without limitation, obtaining TSX Venture Exchange

final approval to the Brokered Offering, the Non-Brokered Offering and the Acquisition, satisfaction of the

other conditions precedent to the completion of the Acquisition, the ability for the Company to obtain a

final receipt within the intended timeframes and obtaining all requisite securities regulatory approvals in

connection therewith and customary risks of the mineral resource exploration industry.

This news release does not constitute an offer for sale, or a solicitation of an offer to buy, in the United States or to

any “U.S. Person” (as such term is defined in Regulation S under the U.S. Securities Act of 1933, as amended (the

“1933 Act”)) of any equity or other securities of Novo. The securities of Novo have not been, and will not be,

registered under the 1933 Act or under any state securities laws and may not be offered or sold in the United States

or to a U.S. Person absent registration under the 1933 Act and applicable state securities laws or an applicable

exemption therefrom.