The acquisition is conditional upon receipt of any consents or approvals required under the Mining Act 1978 (WA) and the acceptance of the TSX Venture Exchange
Novo Resources has entered into a binding terms sheet to acquire three exploration licences (the “Mt. Elsie Project”) comprising an area of approximately 19km2 located 75 km north-east of the town of Nullagine, Western Australia and adjacent to numerous Novo wholly-owned tenements (the “Acquisition”). The Acquisition is conditional upon receipt of any consents or approvals required under the Mining Act 1978 (WA) and the acceptance of the TSX Venture Exchange (the “Conditions”).
Subject to satisfaction of the Conditions, the Company will issue an aggregate 324,506 common shares (the “Consideration Shares”) and pay AU$100,000 in cash to the vendors of the Mt. Elsie Project. The Consideration Shares will be subject to a statutory hold period expiring four months from the date of issuance.
“The Acquisition further strengthens one of Novo’s goals, being consolidation of highly prospective gold projects in the East Pilbara region near the Company’s Beatons Creek project,” commented Quinton Hennigh, President, Chairman, and a director of Novo Resources. “Numerous high-priority bedrock and alluvial gold targets have been identified by Novo staff at the Mt. Elsie Project. Novo plans to soon undertake work designed to generate drill targets for testing later this year. We see the Mt. Elsie Project as a new, important part of our strategy to build a future hub of production around our well-advanced Beatons Creek gold project near Nullagine.”
Source: Company Press Release