Novo Resources Corp. · TSX:NVO
Novo Resources — Investor Presentation (May 2017)
29 slides from Novo Resources's investor presentation, May 2017
Slide 1: Corporate Presentation
TSX-V: NVO / OTCQ: NRSPF Corporate Presentation This document is for information purposes only and is not an offer to sell, nor a solicitation of an offer May 2017 to purchase, any securities. It does not purport to contain all of the information that a prospective investor may require andHighit isG
Slide 2: Forward-looking statements
Some statements in this presentation contain forward-looking information (within the meaning of Canadian securities legislation), including without limitation statements as to the potential, through further drilling, to expand and upgrade to the indicated category the inferred resources described in
Slide 3: High-Grade Open Pit Gold Project
• Beatons Creek Open Pit Gold Project TSX-V : NVO|OTCQX: NSRPF High-Grade Open • M&I resource of 299k oz at 2.7 g/t gold Pit Gold Project • Inferred resource of 259k oz at 2.7 g/t gold • Most within 30 meters of surface and open at depth • Drill 3,000 meters (65% step out, 35% infill); trench sampli
Slide 4: Shares Outstanding (Basic)
Shares Ownership TSX-V : NVO|OTCQX: NSRPF Outstanding • 116.7M (Basic) Market Cap • C$89.8 M (based on May 25, Newmont, 15% (Basic) 2017 closing price of C$0.77) Options • 4.2 M Management & Outstanding (avg. exercise price of C$0.87) Insiders, 24% Public Float, 52% Warrants • 37.6 M Outstanding (av
Slide 5: Dr. Quinton Hennigh (President, CEO & Director)
• Economic geologist with more than 20 years of exploration experience with major gold mining firms including Homestake Mining, Newcrest Mining and Newmont Dr. Quinton Hennigh Mining (President, CEO & • Currently director and technical advisor to Irving Resources Inc, Precipitate Gold Director) Corp
Slide 6: Gold in the Pilbara
Gold in the Pilbara CNSX: :NVO|OTCQX: TSX-V NVO|OTCQX:NSRPF NSRPF • Novo Resources has assembled a formidable land position in the Nullagine gold camp covering two robust gold systems: conglomerate hosted-Au at Beatons Creek and bonanza grade orogenic Au along the Blue Spec shear zone TSX-V : NVO|OT
Slide 7: A Unique Style of Deposit
A Unique Style of Deposit CNSX: :NVO|OTCQX: TSX-V NVO|OTCQX:NSRPF NSRPF • Gold-bearing conglomerate horizons occurring near surface are thoroughly oxidized • Transition to fresh rock at around 20 m. Fresh rock is free-milling. TSX-V : NVO|OTCQX: NSRPF 7
Slide 8: Gold in Conglomerates
Gold in Conglomerates TSX-V : NVO|OTCQX: NSRPF Grade = 6.1 gpt Au Exposure in trench Fresh pyrite clasts Oxidized pyrite clasts TSX-V : NVO|OTCQX: NSRPF 8
Slide 9: Nuggety Gold
Nuggety Gold • Extensive test work conducted on Beatons Creek conglomerates indicates high gravity recoveries. • Cyanidation recovers most of the rest. TSX-V : NVO|OTCQX: NSRPF 9
Slide 10: 2014-15 Shallow RC Drilling and Trenching Program
2014-15 Shallow RC Drilling and Trenching Program • Novo targeted shallow, oxidized gold-bearing conglomerate horizons in an area covering about four sq km • Drilling and trenching carried out in late 2014 through mid 2015 was designed to gather sufficient data to define a sizeable resource (target
Slide 11: Oxide Reef Model
Oxide Reef Model Looking down and northwest TSX-V : NVO|OTCQX: NSRPF 11
Slide 12: Beatons Creek New Resource (Sept. 15, 2015)
Beatons Creek New Resource (Sept. 15, 2015) Near Surface Mineral Resources Classification Cut Off Grade (g/t) Tonnes (000) Grade (g/t) Resouce (oz) Measured 0.5 515 3.1 51 Indicated 0.5 2,822 2.7 241 Measured & Indicated 0.5 3,337 2.7 292 Inferred 0.5 2,668 2.4 203 Underground Mineral Resources Clas
Slide 13: Selective Mining Concept
Selective Mining Concept • Oxidized material is soft and should not require drilling and blasting • Using precise surveying and visual control, it should be possible to strip overburden off the top of the reef to within 10-20 cm of its top • The reef itself can be selectively mined TSX-V : NVO|OTCQX
Slide 14: 30,000 Tonne Bulk Sample
30,000 Tonne Bulk Sample • Demonstrated no drilling and blasting is required. All near-surface material can easily excavated with heavy equipment TSX-V : NVO|OTCQX: NSRPF 14
Slide 15: 30,000 Tonne Bulk Sample
30,000 Tonne Bulk Sample • Demonstrated continuity and consistency of gold-bearing reefs. Beds are sheet-like and are not disrupted by folding or faulting TSX-V : NVO|OTCQX: NSRPF 15
Slide 16: 30,000 Tonne Bulk Sample
30,000 Tonne Bulk Sample • Upper and lower contacts of gold-bearing reefs can be readily be identified while mining resulting in minimal dilution TSX-V : NVO|OTCQX: NSRPF 16
Slide 17: 30,000 Tonne Bulk Sample
30,000 Tonne Bulk Sample • Bench sample grades range from 0.62 to 11.54 g/t Au and average 2.78 g/t Au. The resource block model of this area estimated grades ranging from about 0.5 to just under 5.0 g/t Au and averaging 1.65 g/t Au • Of 33 bench samples, four report grades lower than nearby resourc
Slide 18: Trial Processing
Trial Processing • Main goal – to confirm grade TSX-V : NVO|OTCQX: NSRPF 18
Slide 19: Trial Processing Results
Trial Processing Results TSX-V : NVO|OTCQX: NSRPF 19
Slide 20: Trial Processing Results
Trial Processing Results TSX-V : NVO|OTCQX: NSRPF 20
Slide 21: Trial Processing Results
Trial Processing Results Undiluted predicted grade = 1.65 gpt Au TSX-V : NVO|OTCQX: NSRPF 21
Slide 22: Potential of Beatons Creek
Potential of Beatons Creek • Novo views developing shallow oxide gold mineralization as key to unlocking the potential of this gold district in a staged approach • Should positive cash flow be achieved, further exploration will target additional shallow oxide, shallow sulphide and deep sulphide pote
Slide 23: Advancing Beatons Creek - 2017
Advancing Beatons Creek - 2017 • Cyanidation tests from gravity tailings are very Cyanidation Tests from Beatons Creek Bulk Sample Tailings encouraging. Recoveries of Grind Calc Extraction Extraction Extraction Lime NaCN +97% achievable. Novo is Test No. TEST Size Head at 8 hours at 12 hours at 24 h
Slide 24: Blue Spec Shear Zone
Blue Spec Shear Zone: • 65 km long shear zone crossing the Mosquito Creek Basin. Novo controls ~65% • Bonanza gold grades at multiple locations • High grade antimony present in some zones 65 km TSX-V : NVO|OTCQX: NSRPF 24
Slide 25: Blue Spec Trend Long Section Looking North
Blue Spec Shear Zone NOVOEsR 2 leapfrog” Blue Spec Trend Long Section Looking North asi gt an ey Parity Surface Samples | Surface Samples Surface Sample sts / sasqran Satan RAs eptau | 540 gpt Au > are - \ warrant | SUE go oqpcAn Inks 27.0000: Au 67KUG 124 grt An 11%) \ Inf. 2.00 o2 An GO Kt.@ 21.f
Slide 26: Known shoots are not closed off; grade shells indicate extensions
Known shoots are not closed off; grade shells indicate extensions in undrilled areas TSX-V : NVO|OTCQX: NSRPF 26
Slide 27: Blue Spec Shear Zone
Blue Spec Shear Zone NOVOEsR TSX-V : NVOJOTCQX: NSRPF 7
Slide 28: Blue Spec Shear Zone
Blue Spec Shear Zone NOVO RESOURCES CORP & leapfrog 7.320 BSS15 36.220 7,011.75, 8.20.7 BSL 1061.0 BS i ISDH027 chifleaver 4 mii 16BSDHO: 5.8 gptAu over 31 including 35.0 gpt over 4 i003 105.009, 11.9/1.0 BsDoC (264.010.7 BSDOO02 16BSDHOs8' 5.2 gpt Au over12m win 25 gpt over 34 m Gold Spec S035 18.4
Slide 29: For more information contact
FOR MORE INFORMATION CONTACT: Telephone: 1-(416)-543-3120 E-mail: leo@novoresources.com www.novoresources.com TSX-V : NVO|OTCQX: NSRPF 29