NOVO COMPLETES ACQUISITION OF STAKE IN GBM RESOURCES LIMITED AND BEGINS EVALUATING MALMSBURY PROJECT POTENTIAL
07 April 2020 - 7:00AM
Novo Resources Corp. (“
Novo” or
the “
Company”) (TSX-V: NVO; OTCQX: NSRPF) is
pleased to announce that it has completed its subscription for
9,090,909 units (each a “
GBM
Unit”) of ASX-listed GBM Resources Limited (ASX:
GBZ) (“
GBM”). The GBM Units were paid for by the
issuance of 197,907 common shares of Novo which are subject to a
statutory hold period expiring on August 6, 2020.
Each GBM Unit is comprised of one ordinary share
of GBM and one-half of one ordinary share purchase warrant (each a
“GBM Warrant”). Each of the 4,545,545 GBM Warrants
entitles Novo to purchase one ordinary share of GBM at AUD $0.11
until April 6, 2023. Following the issuance of the GBM Units, Novo
owns approximately 4.13% of the issued and outstanding ordinary
shares of GBM.
Novo has also been granted an option and an
additional earn-in right to acquire up to an aggregate 60% interest
in GBM’s Malmsbury gold project (the “Malmsbury
Project”), located in the Bendigo zone of Australia’s
Victorian goldfields (together with the aforementioned
subscription, the “Transaction”), with the
possibility of the interest being increased to a 75% interest. The
Company is currently evaluating its social licence to explore the
Malmsbury Project and conducting other due diligence while awaiting
confirmation of the grant of the Malmsbury Project Retention
Licence RL6587 to GBM (please see the Company’s news release dated
March 30, 2020 for further details of the Transaction -
https://www.novoresources.com/news-media/news/display/index.php?content_id=387).
The Transaction was subject to approval from the
TSX Venture Exchange and other customary regulatory approvals for
transactions of this nature, all of which have been obtained.
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
13,000 sq km 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 leo@novoresources.com
On Behalf of the Board of Directors,
Novo Resources Corp.
“Quinton Hennigh”Quinton Hennigh President and
Chairman
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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