Novo: Cliff Notes From The May 25 Kereport Interview
Cliff notes from the Kereport interview with Quinton Hennigh
- Novo is back to (full) work at Egina since a few weeks
- Planning to test 20 targets around Egina this field season
- Few tens of gold particles per tonne in the MAK samples within the Egina Mining Lease test area
- Out at the Paradise target, in very large swales that are several hundred meters across, they see tens to hundreds of particles per tonne
- Consider it very encouraging and will be followed up with large bulk samples (like at Egina Mining Lease)
- Very large swales compared to the Egna Mining Lease swale that has been tested
- Seeing evidence that these large swales go on for kilometers
- By the end of this year we should see that the thesis for this big gold system is panning out
- Novo plans field testing with mechanical (ore) sorters this year
- Probably a Steinert sorter
- Will not only test Egina ore but also Beaton’s Creek ore
- Don’t see problem with dust/finer particles since it will be screened out
- Looking to replicate the outstanding lab results from Egina with up to 99%+ recoveries in the field
- Egina is not only an exploration project since they are also doing engineering at the same time
- Looking at continuous miners for Egina
- Proven technology and considered Low Risk
- Mechanical sorting considered to probably be the most important aspect since it’s a dry process which does not require water
- “Very very attractive solution”
- 47K Patch
- See my coming article
- “East Well” target
- It’s basically a bedrock source
- A high grade lode deposit in the basement, underneath the Comet Well area
- Up until March Novo didn’t control a lot of the ground that is considered prospective for this East Well target since it carried on into “47K Patch”
- Now that they have 100% ownership in 47K they got a team out there right now doing work
- Some quartz boulders in the Comet Well and Purdy’s Reward conglomerates contain conventional vein gold
- Kairos Minerals
- Primarily ground east of the Egina area
- Have looked at it and looks like there is more overburden in that area (lag gravels buried deeper than at Egina)
- QH believes they know where the “low hanging fruit” is in the Greater Terrace
- … Where the gravels are shallow with little cover
- “Effectively control that we think will be the absolute lowest hanging fruit”
- Kirkland Lake are free to exercise their $6 warrants
- Thus allowed to go over 20%
- QH thinks there might indeed be a situation where they do exercise these warrants
- Novo got lag gravel targets all over the Greater Terrace
- Paradise is just the first one
- Expected news from Egina this year;
- Bulk samples (assess grade)
- Should be clear to people by the end of this year that this target is big, robust and that the grades are there (hopefully)
- “We can start to see a trial mining phase”
- Aiming to have at least five large scale areas ready for trial mining that could take place next year
- Looking to mine at least a few hectares to get a grip on how economic the mining of these gravels could be
- Expected mechanical sorting news this year;
- Field tests of mechanical sorting
- Testing Egina material
- Likely testing of Beaton’s Creek and other materials
- Field tests of mechanical sorting
- Other expected news this year;
- Path to production for Beaton’s Creek
- … “Lots coming”
- “I’m delighted that we are in a position where we can advance these things in a very robust gold market, one that’s going to generate… Potentially… incredible margins…”
Updated Novo Value Tree (June 1)
Note: This is not investment advice. Always do your own due diligence. I am not a geologist nor am I a mining engineer. This article is highly speculative and it’s just my opinions. Novo is my largest position and the company is a banner sponsor.
Best regards,
The Hedgeless Horseman
Follow me on twitter: https://twitter.com/Comm_Invest
Follow me on CEO.ca: https://ceo.ca/@hhorseman
Follow me on Youtube: My Channel
