Ann: A$21 million Capital Raising to Propel Estelle Gold, page-89

Nova Minerals: The starting position has never been better

The goal is clear: with full war coffers, gold explorer Nova Minerals ( WKN A2H9WL / ASX NVA ) wants to take the momentum of the last few weeks with it and advance the exploration of the Estelle project in Alaska even faster than before. After all, as Novas CEO Christopher Gerteisen explained, Estelle is an asset of “district size” with immense potential for further increases in resources!

In the Korbel target area alone, with the Korbel Main Zone, Nova has identified mineralization in an area of> 2,000 meters north-south and> 600 meters east-west, with the mineralization sometimes reaching depths of more than 500 meters! And in just a small fraction of that strike, the company has already demonstrated a resource of 3.3 million ounces of gold!

According to Mr. Gerteisen, Nova expects to be able to add substantial new tonnage within Korbel Main in 2021 with the creation of a global resource estimate for blocks A to D - with ongoing low discovery costs! In fact, Nova expects to reduce these costs even further by building a core sample preparation facility on the project.

Nova Minerals can now finance this in any case, because, as I said, the coffers were secured with a financing round of AUD 21 million, which according to the company was in high demand! To do this, the company takes advantage of the very strong share price recently and issues 123,529,412 shares at AUD 0.17 per share. This represents a discount of 10% to the volume-weighted average price of the last ten days.

With this money, the company will fund not only the core facility, but also ongoing drilling on the Korbel Main target areas (Block A and Block B), Block B Southeast Expansion, Blocks C and D, Cathedral, You Beauty, Isabella and Sweet Jenny. In addition, regional exploration will also be promoted. In addition, Nova has included studies on the potential benefits of ore grading that will be part of the flowsheet as well as the PEA (Initial Economic Assessment) that has already started. In addition, there is a fundamental assessment of the impact of a mining operation on the environment, which should also begin in the coming weeks. A pre-feasibility study is also to be paid for with the new capital.

All in all, according to Nova CEO Gerteisen, Nova Minerals has never been in a better position to achieve the goal of bringing Korbel Main to production while at the same time unlocking the potential of the Estelle gold district! Mr. Gerteisen once again specifically points out the two-pronged - exploration and development - strategy that Nova is pursuing on Estelle, which maximizes the company's ability to create value for its shareholders.

Conclusion:

The number of Nova Minerals shares will of course increase significantly with this financing. Nevertheless, we are of the opinion that the capital raising makes sense at the current point in time, as Nova Minerals recently swam on a real wave of success with consistently good drilling results, which it now hopes to be able to expand with the help of this financial injection - and the chances of this are in our opinion after good.

We would like to remind you that the company had recently announced that it would expand the wells in 2020 to 40,000 kilometers and double them to 80,000 meters in 2021. This is, we believe, a good outlook for shareholders, especially if Evolution Capital analysts are correct, who believe that the growth of the Korbel resource will depend largely on the size of the drilling. All in all, we assume that today's price setback should be ironed out comparatively quickly due to the financing if Nova Minerals continues to work as successfully as it did last. Of course, there are also high risks with this Explorer, but in our opinion there are also very good opportunities.