Novo Announces First Bulk Sample Results From Its Karratha Gold Project, Western Australia
Novo Announces First Bulk Sample Results From Its Karratha
Gold Project, Western Australia
VANCOUVER, B.C., Aug. 08, 2017 (GLOBE
NEWSWIRE) -- Novo Resources Corp. (TSX-
V:NVO) (OTCQX:NSRPF) (“Novo” or the “Company”)
is pleased to announce analytical test results from a
bulk sample of gold -bearing conglomerate collected
from a trench at the Purdy's Reward prospect, which
is covered by an earn -in/joint venture memorandum
of agreement between Novo and Artemis Resources
Limited (see details below) and part of Novo ’s
greater Karratha gold project. As discussed in
Novo’s news release dated July 12, 2017, this
sample originates from the uppermost horizon of an
11-meter thick sequence of mineralized
conglomerate beds. Purdy's Reward is part of an 8
km trend that has recently been identified as highly
prospective for conglomerate -hosted gold
mineralization considered analogous to the
Witwatersrand in South Africa.
Analytical Testwork
Given the extremely coarse nature of gold found in
conglomerates at the Karratha gold project, Novo
collected a trial bulk sample from the Purdy ’s Reward
prospect to help establish sampling and assay
protocols. Mineralized conglomerate was collected
from a 2x2 meter exposure of bedrock at the bottom
of a half -meter deep trench. The sample was split
into duplicate subsamples and was shipped to
Nagrom Metallurgical Laboratory ( “Nagrom”) in
Perth, WA.
Methodology:
Each sample was crushed to -6 cm
(P100) and dry screened at 2mm. The
coarse fractions were fed through a
Sorting machine
Figure 1: Steinert XSS T sorting machine.
Novo Resources Corp.
Discharge shoots
Figure 2: Discharge shoots of Steinert XSS
T sorting machine. The shoot on the left
collected rock particles with no detectable
coarse gold, “Sorted Tailings, ” and the
shoot on the right collected rock particles
containing coarse gold particles, “Sorted
Concentrate.”
Novo Resources Corp.
Sorted Concentrate
Steinert XSS T sorting machine (Figures 1
and 2) that utilizes X-Ray imaging and an
induction coil (metal detector) to identify
and separate particles of rock containing
coarse metallic gold particles. The -2mm
fractions were assayed by screen fire
assay. The concentrate from this process
is referred to as “Sorted
Concentrate” (Figure 3). Rock fragments
without identifiable coarse gold particles
constitute the “Sorted Tailings.”
The Sorted Concentrate was crushed to -
2 mm (P100) and coarse gold nuggets
(“Coarse Gold”) were recovered by hand
during crushing. A subsample of the
crushed Sorted Concentrate was taken
and assayed by screen fire assay.
Remaining crushed Sorted Concentrate
was then hand panned generating a gold
concentrate (“Fine Gold Concentrate”),
middling and tailing. The Coarse Gold
and Fine Gold Concentrate were
combined and acid washed (Figure 4),
and its gold content was determined using
specific gravity methodology. The hand
panned middling and tailings were
analysed by screen fire assay.
The Sorted Tailings were crushed to -2
mm (P100) and passed over a wet
concentrating table to produce a
concentrate, middlings and tailings. The
gold content of the wet table concentrate
and middlings was determined by screen
fire assay and the gold content of the wet
table tailings was determined by
LeachWell cyanide leach analysis. Results from the wet table concentrate and tailings were
mathematically recombined to generate a calculated head grade of the Sorted Tailings.
Results are presented in Table 1. The calculated head grade of subsample #1 is 87.76 gpt
Au, and subsample #2 is 46.14 gpt Au. The weighted average grade of these two
subsamples is 67.08 gpt Au.
Table 1 – Bulk Subsample Analytical Results:
Interpretation:
Results from this testwork are encouraging at several levels.
The Steinert XSS T sorting machine proved highly efficient at sorting out coarse gold-
bearing rock particles. Although the Sorted Concentrate represents only 2% of the overall
sample weight, it contains about 82.6% of gold. Because this machine proved practical and
Figure 3: Sorted Concentrate immediately
following separation.
Novo Resources Corp.
Coarse Gold Concentrate
Coarse Gold Concentrate after acid wash.
Subsample #1 on the left, and Subsample
#2 on the right.
Novo Resources Corp.
Subsample
ID
Subsample
Dry Weight
(kg)
Sorted
Concentrate
Weight as % of
Total Weight
Calculated Head
Grade of
Subsample (Au
gpt)
% Contribution of Gold in
the Sorted Concentrate to
the Calculated Head Grade
of the Subsample
% Contribution of Gold in
the Sorted Tailings to the
Calculated Head Grade of
the Subsample
#1 272.8 2.15% 87.76 83.12% 12.53%
#2 269.5 1.82% 46.14 81.99% 15.63%
efficient, Novo sees it as a means of assisting determination of grade of this very unusual
mineralization. Given this machine can operate at about 48 tonnes per hour, Novo also
considers it potentially viable for future processing applications.
Although the vast majority of gold resides in the coarse fraction, a significant fine-grained
gold component is evident. Although more work is needed to further quantify this fine-
grained gold component and its distribution, it may prove meaningful when it comes time to
demonstrate continuity and grade of this very unusual deposit.
Novo considers the calculated head grade of subsamples #1 and #2, 87.76 and 46.14 gpt
Au respectively, very encouraging. The weighted average grade of these two subsamples,
67.08 gpt Au, which equates to 2.16 oz per tonne.
With this data in hand, Novo plans to work with Nagrom over the next few weeks to generate a refined
protocol for sampling and analysing conglomerate -hosted gold mineralization at the Karratha gold project.
Novo and Artemis plan to undertake full -scale, systematic trench bulk sampling along the strike of the
conglomerate package at Purdy ’s Reward, beginning in a few weeks. Plans are also being made to test the
use of large diameter reverse circulation drilling on down -dip projections of these conglomerates. Novo
has been in discussions with a drill contractor with capabilities of drilling 17.5 ” (44.5 cm) diameter holes and
is preparing necessary permitting to undertake a pilot program of around 30 shallow, 20 -50 meter -deep
holes.
“We are very pleased with results from our initial bulk sampling exercise, ” commented Dr. Quinton Hennigh,
Chairman, President, and Director of Novo Resources Corp. “Not only was the grade of this bulk sample
encouraging, the Steinert XSS T sorting machine proved highly efficient at picking rock with coarse gold
particles. We see value in its use for helping determine grade of this very unusual mineralization as well as
potential use for future commercial applications. We look forward to working with Nagrom over the next few
weeks to develop sampling and analytic protocols applicable to our upcoming trenching and drilling
program. Novo has developed extensive experience testing unconventional conglomerate gold deposits at
our Beatons Creek project. Traditional exploration and analytic techniques are not well suited to this style
of gold deposit. We look forward to exploiting our many years ’ experience at Beatons Creek to our and
Artemis’ benefit at Karratha. While these initial results are encouraging, a systematic and careful work
program drawing on our experience is required. ”
Purdy's Reward is part of Novo ’s greater Karratha gold project located in the West Pilbara, Western
Australia. The Purdy ’s Reward tenement is situated on lands that are subject to a binding earn -in/joint
venture memorandum of agreement (subject to the execution, by August 23, 2017, of definitive agreements
and the satisfaction of certain industry standard conditions) with Artemis Resources Ltd, an ASX -listed
mining company ( please refer to Novo ’s news release dated May 26 for further details ). Novo delivered
draft long-form definitive agreements to Artemis several weeks ago and is currently working with Artemis to
close out the documents. Novo and Artemis are each entitled to 50% of rights to conglomerate and
paleoplacer gold on ground the subject of the Novo -Artemis deal, with Artemis having 100% of all other
minerals (including all minerals in JORC reserves and resources announced by Artemis as at May 18,
2017).
Novo recently completed consolidation of the adjacent Comet Well project (please see the Company ’s news
release dated August 3, 2017). The Comet Well project covers 54.5 square km, the Novo -Artemis earn-
in/joint venture covers 1,536 square km, and Novo has staked a 100% interest in 7,638 square km.
Dr. Quinton Hennigh, a qualified person as defined by National Instrument 43 -101 and the Company ’s
Chairman, President and a director, has approved the technical contents of this news release.
About Novo Resources Corp.
Novo’s focus is to explore and develop gold projects in the Pilbara region of Western Australia and built up
a significant land package covering approximately 10,000 km 2. Novo also controls a 100% interest in
approximately 2 sq km covering much of the Tuscarora Au -Ag vein district, Nevada. 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
Chairman and President
Forward -looking information
Some statements in this news release contain forward -looking information (within the meaning of Canadian
securities legislation) including, without limitation, the statements as to planned exploration activities and
the Company’s expectation that it will acquire the right to earn an interest in the Purdy's Reward prospect.
These 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, customary risks of the mineral resource industry as well
as Novo having sufficient cash to fund the planned drilling and other activities, and the satisfaction or
waiver of the conditions precedent of the earn -in/joint venture memorandum of agreement between Novo
and Artemis Resources Limited relating to the Purdy's Reward prospect.
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.
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