Novo Wows at the Denver Gold Forum
I’ve been writing about Novo Resources for over five years now. They are busy working in Western Australia. A number of other newsletter writers are spilling ink about them on an almost daily basis playing catch-up. I don’t need to because I have covered it so many times before. But I had to pen a short piece because this week they pulled one of the most effective marketing coups I have ever seen.
The Gold Group holds the Denver Gold Forum every September. This is not for the retail chumps breathlessly waiting to hear more stupidity about how gold was suppressed from $252 to $1923. This is for the big boys and you have to have a lot of credibility or money to be invited. I don’t bother going. I’ve never been invited for one thing and I wouldn’t belong to any club that would have me.
By skipping the show this year I missed the sound of hundreds of jaws hitting the floor, all in unison, when Quinton Hennigh live streamed a video from the Karratha gold project in Western Australia.
Novo’s team brought in an excavator to the Purdy’s Reward JV with Artemis Resources and scrapped off the overburden so they could start with fresh and virgin ground. Novo has been following the footprints of the guys using metal detectors to find nuggets but they wanted some untouched and unloved piece of ground to demonstrate just what Quinton saw in February of this year that led to staking over 10,000 square km of ground in Western Australia.
Quinton was presenting at 11:15 AM Denver time, which is 1:15 in the morning in Western Australia so his crew had to set up floodlights to illuminate what they were showing.
The video starts. First of all they describe the size of the trench, it’s thirty meters by ten meters. They have cleared off the overburden and gone in with a can of spray paint and marked every target shown by the metal detectors. In the pit, a very tiny pit, there are over three hundred targets found. Brad Smith works the metal detector and goes around the pit showing how the signal changes based on either how big a nugget is or how deep. Then a couple of guys step in with small jackhammers and pry out some gold. At 53:08 into the video, Brad picks up a nugget that probably weighed 20 grams. I am Novo’s biggest fan. I was wowed by the video.
Based on the price of Novo going up by 27% on the day for a total advance of $1.39 Canadian, I’d say the video was a giant success. But my readers who have been following this story on 321gold for over five years will want to know the subtleties. They are subtle but also vital to understand.
Novo is not working the richest ground. Actually Novo has no idea of what or where the richest ground is. This spot was chosen because Purdy’s Reward is permitted, not because it’s somehow ideal. And Purdy’s Reward is 25 square km and the surface exposure of the conglomerate bed hosting the gold is only 2 km. Comet Well, next door has 6 km exposure but isn’t yet permitted.
The viewer should pay attention to the number of marked targets in the video. That’s a lot of gold, it’s not deep, and they were only digging down a couple of inches. It’s very rich. You don’t need many 20 gram nuggets in a sample to show multi-ounce gold.
Novo will start drilling core to determine structure in a week or so. After the structure is better understood, he will bring in the large diameter RC rig and start taking samples. Here is what I want my readers to understand.
Novo has been my largest holding for over five years. They are advertisers and naturally I am biased. Do your own due diligence.