Novo Resources Corp.
Exchange: TSXV Exchange | Nov 24, 2017, 9:40 AM EST
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Novo Provides Update on Exploration at Purdy’s Reward, Strategizes Bulk Sampling Approach With Artemis
VANCOUVER, British Columbia, Nov. 24, 2017 (GLOBE NEWSWIRE) -- Novo Resources Corp. (“Novo” or the “Company”) (TSX-V:NVO) (OTCQX:NSRPF) is pleased to provide an update on exploration activities at the Purdy’s Reward tenement, a key tenement within the farm-in and joint venture Novo has with ASX-listed Artemis Resources Limited (“Artemis”) and part of Novo’s greater Karratha gold project, Western Australia. In addition to this update, Novo wishes to advise that the Company has recently been notified by Artemis that the Western Australian Government’s Department of Mines, Industry Regulation and Safety (“DMIRS”) has granted a 20,000 tonne excess tonnage permit for the extraction of a bulk sample from the Purdy’s Reward tenement.
Karratha Gold Project
Gold mineralization at Karratha is hosted by a sequence of conglomerate beds and fossil gravel horizons ranging from a few meters to approximately 20 meters thick comprising the base of a much thicker package of sedimentary and volcanic rocks called the Fortescue Group. Rocks of the Fortescue Group were deposited between 2.78 and 2.63 billion years ago upon 3.0 to 3.7 billion year old igneous and metamorphic rocks that make up the Pilbara craton. Gold-bearing conglomerates dip gently southeastward under cover at shallow angles of less than 10 degrees, and Novo believes that these rocks may underlie significant areas within the greater Fortescue basin.
Conglomerate-hosted gold mineralization at Karratha is extremely nuggety and requires exceptional exploration techniques for its evaluation. In the Company’s news releases dated August 31 and September 21, 2017, Novo detailed its multi-pronged approach to exploration including: 1) scout diamond drilling for geological data, depth to target and thickness of conglomerates, 2) large diameter drilling for bulk sampling and 3) trenching for geological information and bulk sampling.
Trenching and Bulk Sampling
As discussed in the Company’s news release dated November 2, 2017, trenching is proving invaluable for providing geologic data as well as bulk sample material. Therefore, Novo recently accelerated trenching and bulk sampling activities along the strike of the daylighting conglomerate package. A comprehensive overview of trenching activities will be provided by Novo approximately mid-December once this fieldwork is complete.
Nagrom Metallurgical Laboratory, Perth (“Nagrom”) has recently indicated to Novo that the first trench bulk sample grade results will be available in January. Processing of samples has been delayed while Nagrom has adjusted and optimized the sorting ability of its new Steinert sorting machine. In the meantime, Novo has been shipping bulk samples to Nagrom in preparation for processing.
Given the nuggety nature of gold mineralization at Karratha, Novo considers bulk sampling the best practical means of evaluating grade and potential viability of the deposit. Prior to signing definitive agreements with Novo in August, Artemis had filed an application with the DMIRS for a 20,000 tonne excess tonnage permit for extraction of bulk material from the Purdy’s Reward tenement. This application was recently approved. To move the project forward, Novo and Artemis are now working together on plans to utilize this permit to undertake systematic bulk sampling for grade purposes. Given what has been learned from recent trenches, Novo envisions collection of bulk material from multiple sites and positions within the conglomerate package at Purdy’s Reward to provide the greatest understanding of this unusual gold system.
Drilling
As of the date of this news release, sixty diamond core holes have been completed in a northeast-trending corridor approximately 1,000 m long and 100-400 m wide. As discussed in Novo’s news release dated October 17, 2017, diamond drill holes indicate strong continuity of the targeted conglomerate package (please refer to a plan map of drill sites and cross sections in the Company’s news release dated October 17, 2017 for further details). Geologic logging of all backlogged core holes is ongoing and expected to be completed by approximately mid-December at which point data will be collated with trench data and used to generate a 3D model of the conglomerate package.
Over a three-week period, FORACO International SA experimented with various drill bit diameter sizes, drilling dry and wet, various sampling techniques, and a mix of sample collection tooling. Upon careful review of sample consistency, integrity and recovery, Novo has decided it is uncomfortable with the product and its use as bulk sample material for grade estimation. While disappointing, Novo is reviewing other potential options for collecting bulk samples from drilling. As discussed above, Novo is currently putting emphasis on collection of bulk samples from trenches.