Novo Resources Corp (ASX:$NVO) completes sale of Nullagine Gold Project to Calidus Resources

Novo Resources Corp (ASX:NVO) has finalized the sale of its Nullagine Gold Project to Calidus Resources Limited (ASX:CAI) on 20 December 2023, with completion occurring on 21 December 2023. As part of the sale, Novo received A$250,000 in CAI shares and holds the right to receive an additional A$5 million in deferred consideration subject to the achievement of a production milestone related to the Nullagine Gold Project assets. The sale aligns with Novo's strategy outlined in its ASX IPO prospectus and marks a significant step in the company's pursuit of identifying and delivering prospective standalone gold projects with over 1 million ounces development potential.

Executive Commentary on Sale of Nullagine Gold Project

As we continue to execute our exploration growth strategy to define gold deposits with significant development potential, to complete this disposal of Novo's Nullagine Gold Project, which was a non-core asset, is a good outcome for the Company and our shareholders. Through this agreement, our financial position is improved with the removal of the existing rehabilitation liability of approximately A$45 million from our balance sheet. Fundamentals on the gold price and the sector generally remain very strong and we look forward to continuing our strong exploration strategy into the first half of 2024 across our extensive, highly prospective portfolio.

Summary of Novo's Sale of Nullagine Gold Project

Novo Resources Corp (ASX:NVO) has successfully completed the sale of its Nullagine Gold Project to Calidus Resources Limited (ASX:CAI), receiving A$250,000 in CAI shares and retaining the right to receive a further A$5 million in deferred consideration subject to the achievement of a production milestone. The sale aligns with Novo's strategy outlined in its ASX IPO prospectus and marks a significant step in the company's pursuit of identifying and delivering prospective standalone gold projects with over 1 million ounces development potential. The disposal of the non-core asset has improved Novo's financial position by removing the existing rehabilitation liability of approximately A$45 million from its balance sheet. Novo remains optimistic about the strong fundamentals of the gold price and the sector, looking forward to continuing its exploration strategy into the first half of 2024 across its extensive, highly prospective portfolio.