NOVO RES CORP - NSRPF STOCK NEWS

Novo Resources Corp. has completed its Phase Two mechanical sorting trial using samples from Comet Well, Purdy’s Reward, and Egina. The trial confirmed strong upgrade ratios from lower-grade material, achieving a mass pull to concentrate of 1.05%. The Phase Three trial at Comet Well has been deferred to H1 2023 due to increased costs and the need to focus on developing the Fresh mineral resource at the Beatons Creek Gold Project. Novo is prioritizing feasibility studies and exploration programs while maintaining a commitment to deliver shareholder value.

Novo Resources Corp. (OTCQX: NSRPF) reports continued diamond drilling at the 50%-owned Malmsbury Project with over 2,500 m completed. Drill hole MD17 showed 79.9 m at 0.26 g/t Au, indicating a new style of mineralization. The Missing Link Monzogranite target spans 340 m strike and 40 m width, remaining open at depth. Future plans include two additional diamond holes and an induced polarization survey aimed at identifying mineralization in the Belltopper Hill area. The company has exercised its option to earn a 50% stake in the project with potential for further investment.

Novo Resources Corp. has initiated a feasibility study for the Beatons Creek gold project, targeting completion by mid-Q4 2022. Recent results from resource definition drilling confirm high-grade gold intercepts, including significant findings above 40 gram-metres. The company plans to complete a mineral resource definition drilling program and has commenced a Phase Two mining effort, pending regulatory approvals. The study will inform the economic viability of future mining operations, although past production has faced challenges in achieving forecasted outcomes.

Novo Resources Corp. announced a pause in operations at the Beatons Creek gold project and the Golden Eagle processing facility, with Oxide mining expected to end by Q3 2022. A phased wind-down is planned, aiming for operational activities to conclude by the end of October 2022. Production guidance for H1 2022 remains at 25-27 koz Au, with Q3 production forecasted at 9-11 koz Au. A feasibility study for the Fresh mineral resource is ongoing, set for completion by mid-Q4 2022. Current cash reserves stand at approximately C$77.5 million, supporting exploration during the operational pause.

Novo Resources Corp. (OTCQX: NSRPF) has scheduled its annual general meeting for June 28, 2022, at 4 PM PDT. Due to COVID-19 concerns, the Company requests shareholders to vote by proxy rather than attend in person. No management presentation will occur during the meeting; however, a virtual Q&A will follow, with details to be announced later. Novo operates the Beatons Creek gold project in Western Australia and is exploring a vast land package of approximately 11,000 square kilometers. Shareholders can access more information on the Company’s website.

Novo has confirmed a 16 km swarm of lithium-cesium-tantalum (LCT) pegmatites at the Kurrana Pegmatite Swarm, located 2-5 km north of the Kurrana Granitic Complex in Western Australia. Over 200 pegmatites have been identified, with peak results of 1.54% Li2O and 1992 ppm Ta2O5 from recent rock sampling. Historical data shows grades up to 3.36% Li2O. The lithium holdings are under strategic review as they are deemed non-core. Exploration efforts will continue to assess the Li-Ta potential further along the pegmatite trend.

Novo Resources Corp. (OTCQX: NSRPF) has revised its gold production forecast for the Beatons Creek project to 25 – 27 koz Au due to operational issues with the SAG mill trunnion seal at the Golden Eagle Mill. These issues arose in mid-May and will require maintenance, with replacement parts expected by mid-June, causing intermittent downtime. The company warns of increased uncertainty in mineral recovery and production costs, stating that achieving forecasted levels remains uncertain despite a declaration of commercial production effective October 1, 2021.

Novo Resources Corp. reported Q1 2022 financial results with revenue of $31.9 million from selling 13,364 ounces of gold at an average price of $2,389 per ounce. The company's cash and equivalents stood at $21.9 million, while its investment portfolio amounted to $135.2 million. Despite revenue growth, Novo experienced a net loss of $(12.9) million and negative EBITDA of $(2.4) million. All-in sustaining costs (AISC) were reported at $2,842 per ounce with total cash costs higher than anticipated due to lower production levels.

Novo Resources Corp. has reported encouraging results from its diamond drilling program at the Malmsbury gold project, a joint venture with GBM Resources Ltd. Significant intersections include 14 m @ 6.1 g/t Au and 10 m @ 4.9 g/t Au. The project, located near the Fosterville gold mine in Victoria, Australia, has completed 2,000 m of drilling, with assays from three of six holes received to date. The drilling confirms high-grade gold mineralization potential and outlines the Missing Link Monzogranite target. Further drilling phases and an induced polarization survey are planned for the future.