Novo Resources' strategic financial decision

Novo Resources Corp. (ASX:NVO) has successfully sold 38% of its shares in San Cristobal Mining, raising A$11.5 million. This exceeds the internal fair value set on its balance sheet. The proceeds will fund exploration projects in Western Australia and Victoria, support new opportunity identification, and help repay debts.

Novo's outlook and strategic plans

Novo Resources Corp. has leveraged its share sale in San Cristobal Mining to strengthen its financial and operational capabilities. With the A$11.5 million raised, Novo plans to advance its exploration projects in key regions such as Western Australia and Victoria. Additionally, the company will address financial obligations, including a partial repayment to IMC Holdings. As Novo continues to focus on potential-rich gold projects and value-accretive opportunities, its exploration strategy remains centered on expanding its presence and enhancing shareholder value. The company is also exploring opportunities in the lithium sector through a joint venture, indicating a diversified approach to future growth.

Executive insights on the share sale

The funds raised will be utilized to support Novo’s exploration programs in Western Australia and Victoria, identify additional exploration opportunities, and repay a portion of the deferred consideration owed to IMC Holdings.