Drilling Program At The Parnell-Vulture Trend

VANCOUVER - Novo Resources Corp. reported on the brownfields exploration programs focussing on oxide opportunities at its highly prospective NGP. The Parnell and Vulture RC programs are part of the NGP exploration program ramp-up, with forward programs currently being generated at several priority basement targets. The main mineralized trend at Parnell is mostly untested with modern RC drilling, with only few and sporadic lines of shallow holes completed in the 1980s and 1990. In 1987, Chase Minerals NL (“Chase”) drilled 25 shallow RC holes totaling 1,098 m, and in 1995, Welcome Stranger Mining Company NL drilled a further 11 RC holes for 420 m. Targeting directly in and around small historical workings, these operators returned grades including: 12 m at 14.6 g/t gold from 40 m; 9 m at 8.4 g/t gold from 7 m; and 7 m at 6.1 g/t gold from 40 m.

These results are not necessarily representative of mineralization throughout the district. This historical data was disclosed in annual exploration reports filed by Chase and Welcome Stranger with the Western Australian Department of Mines, Industry Regulation and Safety’s (“DMIRS”). Novo conducted detailed mapping and gridded soil sampling to determine mineralization potential at the Parnell and Vulture prospects, but has not conducted sufficient work to validate all historic data. A series of robust, coherent gold anomalies returned from soil sampling confirmed targets highlighted during the June mapping program, peaking at 7.8 g/t Au. Significant rock chip samples (up to 14.6 g/t Au) were also returned from both Parnell and Vulture, again highlighting the presence of high-grade gold targets, and further confirming the prospectivity of this area.

Parnell comprises high grade veins in a 1 to 5 m wide shear zone trending approximately east – west. The south dipping zone of shearing is intruded by two porphyry dykes with the best zone of quartz veining in the footwall of the main 6 m wide porphyry dyke. Gold mineralization dips south at steep to moderate angles. Sandstone and interbedded siltstone-sandstone sequences adjacent to the main shear are extremely bleached in the weathering profile, indicating likely sericite alteration of the original rock. Alteration is up to 50 m wide.