Announcement of On-Market Buy-Back
Melbourne, Mar 22, 2021 AEST (ABN Newswire) - The Directors of Nova Minerals Limited (
ASX:NVA) (QM3:FRA) (NVAAF:OTCMKTS) announce an on-market Buy-Back of ordinary fully paid shares in the Company for up to a value of $5,000,000 (Buy-Back).
The Buy-Back is intended to improve shareholder returns, enhance capital efficiency while maintaining the Company's flexibility to pursue growth and other means of generating shareholder value.
NVA CEO, Mr. Christopher Gerteisen commented: "The current pullback in the price of gold demonstrates that we are still in a secular long term bull market with supply and demand pressures supporting gold's upward trajectory. Fundamental drivers of gold demand remain unchanged, while supply is constrained by low discovery rates, rising costs, jurisdictional risk and rapid stimulus. The Board believes the Company is currently undervalued, and as such a share buy-back provides the most appropriate use of the Company's capital at this point in time. We remain confident in our strategy at Estelle Gold, and in the fundamental value of our projects and investments, namely Snow Lake Resources, Torian Resources and Rotor X. Nova will maintain the flexibility it needs to respond to changes in market conditions and take advantage of opportunities as they arise."
The Company believes that at a certain price, a Buy-Back is in the Company's best interests and will not compromise its ability to meet its stated short to medium term exploration and development objectives. The Company will decide at its discretion whether to utilise any of the $5,000,000 Buy-Back capacity.
The Buy-Back period will remain in place for a period of up to 12 months or until completed.
Nova may vary, suspend or terminate the Buy-Back based on its prevailing view of market conditions and other factors which it considers may affect shareholder interests. The shares that are subject to the Buy-Back will be purchased at a price of not more than 5% above the 5-day volume weighted average price of Nova's shares (at the time of trade). The Company has appointed Barclay Wells Limited to conduct the Buy-Back on its behalf if needed.
About Nova Minerals Limited
Nova Minerals Limited's (ASX:NVA) (FRA:QM3) (OTCMKTS:NVAAF) vision is to develop North America's next major gold trend. The company is focused on exploration in Alaska's prolific Tintina Gold Belt, a province which hosts a 220 million ounce (Moz) documented gold endowment and some of the world's largest gold mines and discoveries including Victoria Gold's Eagle Mine and Kinross Gold Corporation's Fort Knox Gold Mine. The company's flagship Estelle Project has a current total estimated JORC gold resource of 9.6Moz (3Moz Indicated and 6.6Moz Inferred). Estelle is a 45km long string of 15 identified gold prospects bracketed by the Korbel deposit in the north and the RPM deposit in the south. These two deposits are currently host to extensive exploration programs.
Additionally, Nova has an indirect interest in the Canadian Thompson Brothers Lithium Project through a substantial stake in Snow Lake Resources Ltd (NASDAQ:LITM) and holds a 12.99% interest in Torian Resources Limited (ASX:TNR), a gold exploration company based in Western Australia.
| ||
|
