Novo Reaches First Completion Milestone With Creasy Group
VANCOUVER, BC / TheNewswire / July 28, 2015- Novo Resources Corp. (TSX-V: NVO; OTCQX: NSRPF) ("Novo" or the "Company") is pleased to report that it has reached the first of two contemplated completion milestones with Mark Gareth Creasy and entities controlled by him (collectively, the "Creasy Group") under the definitive agreement (the "Definitive Agreement") announced in Novo's news release of January 27, 2015. The Definitive Agreement replaced the binding terms sheet announced in Novo's news release of March 4, 2014 (the "Terms Sheet"), parts of which were cancelled or renegotiated.
Under this initial completion milestone, Novo acquired the 330 shares of CGE that had been held by Creasy Group in exchange for 7,060,466 Novo common shares. Novo also issued 3,931,111 common shares in reimbursement of exploration expenses incurred by Creasy Group in connection with the Nullagine and Marble Bar properties. That amount is a net reimbursement, determined after setting off a reimbursement due to the Company's subsidiaries by Creasy Group in respect of exploration expenses incurred by the Company's subsidiaries on other properties in the region held by Creasy Group. In total, 10,991,577 common shares have been issued by Novo to Creasy Group pursuant to the Definitive Agreement. This contrasts with the 11,646,047 Novo common shares reflected in the early warning report dated March 5, 2014 made pursuant to NI 62-103 previously filed by Mark Gareth Creasy that were expected to be issued by Novo to Creasy Group. Mr. Creasy has informed Novo that the material information contained in the early warning report dated March 5, 2014, aside from the actual number of Novo common shares issued, remains accurate.
Creasy Group also holds the conditional right to receive the issuance of an additional 100 shares of CGE (the "Conditional Shares"). The Definitive Agreement provides that Novo has the right to acquire the Conditional Shares from Creasy Group in exchange for 2,139,534 Novo common shares upon Novo and Creasy Group entering into a binding agreement regarding other tenements in the Nullagine region, as referred to in Novo's news release of January 27, 2015 and July 20, 2012. A news release will be issued if and when this second completion milestone under the Definitive Agreement occurs.
CGE has joint ventures with the Creasy Group under which it has earned a 70% interest in the gold rights relating to the Nullagine and Marble Bar properties. Nullagine Gold Pty. Ltd., a wholly-owned subsidiary of CGE, is entitled to become a 70% registered holder of those properties.
About Novo Resources Corp.
Novo's focus is to evaluate, acquire and explore gold properties. Indirect subsidiaries of Novo hold a 100% interest in the core of the Beatons Creek project and a 70% interest in approximately 1,800 square kilometers surrounding Beatons Creek and at nearby Marble Bar in the Pilbara region, Western Australia. For more information, please contact Leo Karabelas at (416) 543-3120 or e-mail leo@novoresources.com.
On Behalf of the Board of Directors,
Novo Resources Corp.
"Quinton Hennigh"
Dr. Quinton Hennigh
CEO and President
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
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