Novo Resources finds more gold-bearing gravels

Novo Resources Corp. [NVO-TSXV; NSRPF-OTCQX] announced the discovery of broad gold-bearing gravel swales near Paradise, part of the company’s extensive Egina gold project in Western Australia. Discovery of gold-bearing gravels at the Paradise and Road to Paradise targets was first announced in December 2019. In addition, Novo has made a further discovery of gold-bearing gravels at a new target called Clarke approximately 10 km northwest of the test area worked in 2019.
Two broad gold-bearing gravel swales, or shallow channels, have been discovered southwest of the Paradise terrace gravel target at Novo’s Egina gold project. The first, situated immediately southwest of Paradise, measures approximately 700 metres wide. The second, located approximately 1.5 km southwest of Paradise, measures approximately 450 metres wide.
Both are interpreted to trend northwest and are open for several kilometres in both the southeast and northwest directions. Gold-bearing gravels in both swales range up to approximately 2 metres thick and bear a resemblance to gold-bearing gravels explored on the Egina mining lease about 14 km southwest of Paradise, during 2019.
Ground penetrating radar indicated prospective swales might be present and helped focus follow-up pit sampling across the target area.
In February, Novo personnel began digging pit samples approximately every 50 metres along a linear corridor extending across the target area. Although pit sampling was halted in March due to a reduction in staffing at Egina resulting from the COVID-19 pandemic, a skeleton crew has been at work at Novo’s Station Peak camp processing numerous approximately one-tonne pit samples stockpiled before pit sampling ceased. These one-tonne samples are being put through Novo’s mobile alluvial Knudsen (MAK) concentrating plant. Concentrates generated by the MAK plant are carefully panned down to a point that gold grains can be counted and studied.
MAK samples from both swales at Paradise yielded gold grain counts in line with those seen across the 50 metres wide swale at the Egina mining lease, subject of much of Novo’s 2019 exploration program.
Also important is that approximately half of MAK samples collected from swales at Paradise have yielded gold nuggets, defined as gold particles larger than 1 millimetre). Although MAK samples provide indicative data only, Novo is optimistic that the similarity of gold occurring in samples from Paradise to that in MAK samples collected at the Egina mining lease bodes well for discovery of nuggety gravel mineralization like that discovered at Egina in 2019.
Five bulk samples collected from the swale at Egina yielded approximately 1-1.5 grams gold per cubic metre of gravel. Novo plans to undertake similar bulk sampling of gravels from the newly discovered swales at Paradise during the 2020 field season, once it resumes.
A new gold-bearing gravel discovery has been made at a target called Clarke located approximately 10 km northwest of the Egina mining lease. Several MAK samples collected from this target yielded gold grain counts exceeding 50 particles with one yielding approximately 600 particles. More systematic evaluation of this target will be conducted once the 2020 field program resumes.
“We are very happy with the discovery of two extensive gold-bearing gravel swales at Paradise,” commented Dr. Quinton Hennigh, Chairman and President of Novo. “We are getting our first look at how these gold-bearing channels evolve further onto the terrace. Although much more work is needed, including bulk sampling to evaluate grade, swales appear to broaden as we head northward. This is what we need to see to generate volume. Given that we have numerous areas planned for systematic MAK sampling in 2020, promising results from the first area to be methodically tested gives us high hopes the geologic model will quickly foment across the greater terrace.”
Novo has built up a significant land package covering approximately 13,000 km2 with varying ownership interests in the Pilbara region.