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Nova Minerals Limited (NVA.AX) Share Consolidation of Capital

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  • NVAAF
Nova Minerals Limited
Nova Minerals Limited

Nova Minerals Limited (NVA.AX) Share Consolidation of Capital

Melbourne, Australia, Nov 29, 2021 - (ABN Newswire) - Nova Minerals Limited (ASX:NVA) (HAM:QM3) (OTCMKTS:NVAAF) is proceeding with the consolidation of its ordinary shares to provide the best platform for continued growth and a capital structure that is more in line with the Company's size, planned growth and peer group companies.

The potential benefits of the Consolidation include:

1. Greater investor interest - As a gold developer with a rapidly increasing resource base, Nova is expected to appeal to many new investors over the coming year. The primary motive for the equity consolidation is to expand the eligibility of Nova ordinary shares for institutional investors, stock exchanges, indexes and investment funds, including exchange traded funds (ETF's). With the increasing prevalence of passive trading rather than active fundamental investing, we intend to ensure that Nova is not prohibited due to minimum share price screening.

2. Improved trading liquidity - An increased interest from investors may improve trading liquidity of the ordinary shares.

3. Brand image. Nova is graduating from an explorer to a developer and growing its intrinsic value through its investments. An analysis of Nova's new peer group of junior developers indicates that this restructuring of ordinary share capital is appropriate for the company at this time with such a large asset base.

NVA CEO, Mr. Christopher Gerteisen commented: "Nova has grown very quickly to have now delineated a very large gold resource inventory that continues to expand, and also has significant investment holdings across a number of companies which will also continue to grow.

With our main focus on the Estelle Gold District we are transitioning into North America's newest gold developer (and a lithium developer by default with our investment in Snow Lake). We have one of the fastest growing gold resources globally and we have recently achieved significant milestones including: the discovery at Nova's RPM North prospect of 10.1 grams per ton gold over 132m internal, with the overall hole returning 3.5 grams per ton gold over 400m from the surface as reported on the ASX on the 11 October 2021. Consequently, we will continue drilling at the RPM North prospect as soon as possible to follow up these results, but equally to test the RPM South prospect which has a much larger surface footprint and may converge with RPM North at depth. All indications are that RPM is a very large gold system confirmed by our Independent Maiden Inferred JORC Resource of 23.1 Mt @ 2.0g/t Au containing 1.5 million ounces (Moz) of gold at RPM North (ASX 27 October 2021). Our next significant milestone for Estelle will be reached in the coming weeks with an updated resource statement at Korbel main which currently stands at 4.7Moz Inferred Resource and remains wide open, as well as the anticipated JORC compliant scoping study to be completed soon thereafter. Our Global Resource across Estelle currently stands at 6.2Moz, and I have no doubt we will continue to expand and prove up these resources with the ongoing drilling and work programs.

In addition, we successfully completed the IPO on NASDAQ of Nova majority owned Snow Lake Resources (NAS:LITM) as announced on the ASX 19 November 2021 which holds the Thompson Brothers Lithium Project. The effect of this has been to add substantial immediate and ongoing value to Nova, while providing further liquid funds for the LITM exploration and development programs, and giving Nova more flexibility in many ways."

The Company currently has a total of 1,802,037,557 ordinary shares (ASX:NVA) on issue. Following the completion of the Share Consolidation, on the basis of ten (10) existing ordinary shares for one (1) new ordinary share, the Company will have total of approximately 180,203,755 ordinary shares on issue. Trading in the post consolidation commences on a deferred settlement basis on 29 November 2021, with a record date of 30 November 2021. Further details of the timetable are detailed in the ASX Notification of Consolidation - 25 October 2021.

As outlined in the Notice of Annual General Meeting dated 22 October 2021 and approved by shareholders at the Annual General Meeting held on 25 November, 2021, the Company's board of directors believes that it is in the best interests of the Company to adjust its capital structure through the consolidation of its ordinary shares as outlined the points above.


About Nova Minerals Limited:


Nova Minerals Limited (ASX:NVA) (FRA:QM3) (OTCMKTS:NVAAF) is a dynamic explorer and developer of its flagship Estelle Gold district in the Tintina gold belt. Nova's strategy is to substantially increase the current 4.7Moz resource on the Korbel prospect. Subsequently to continue to lock in value through moving Korbel towards production whilst increasing the resource base across the pipeline of targets within the Estelle gold district. Nova Minerals also holds strategic investments in Snow Lake Resources Ltd (Thompson Brothers Lithium Project), Torian Resources Ltd (ASX:TNR) and RotorX Aircraft Manufacturing Co.

Contact:

Nova Minerals Ltd
P: +61-3-9614-0600
F: +61-3-9614-0550
WWW: novaminerals.com.au


Source:
Nova Minerals Limited

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