Novo Resources Corp. (ASX:NVO) is stepping up exploration ahead of a 2,700-metre reverse circulation drilling program due to begin at the Tibooburra gold project in New South Wales late in the third quarter this year.

At the same time, regional stream sediment work, targeted soil sampling, mapping and rock chip sampling are scheduled to continue through the second half of CY26, with the aim of defining additional targets for possible follow-up drilling. Of the planned program, about 1,700 metres is intended to test the Clone and Pioneer South prospects, with the remaining metres allocated to other targets.

Pioneer and Clone sit within a northwest-trending, crustal-scale, 30-kilometre fault-controlled alteration corridor that is described as one of several gold-prospective corridors at Tibooburra, underscoring why Novo is pairing drilling with ongoing surface work rather than relying on a single target area.

Pioneer South forms part of the broader Pioneer prospect, which is defined by a two-kilometre-long coherent 30 parts per billion (ppb) gold-in-soil anomaly and historic workings along multiple trends.

Previously reported results from limited drilling at Pioneer include five metres at 6.96 grams per tonne gold from 199 metres, including one metre at 33.9 grams per tonne from 199 metres, collared along trend and about 300 metres north of the planned program.

Clone is defined by significant historic workings and a coherent 30 ppb gold-in-soil anomaly that is 600 metres long and up to 250 metres wide. Previously reported rock chip results include up to 89.6 g/t and 41.9 g/t from mullock dump samples, as well as 31.4 g/t and 10.4 g/t from limited quartz vein outcrop, supporting the high-grade nature of the mineralisation at Clone.

Outcrop mapping at Clone has identified a west-dipping reverse fault or thrust associated with high-grade gold mineralisation. Most historical workings and significant sericite-carbonate alteration occur close to, or within, the fault or shear zone.

Novo, Manhattan Gold, and its wholly owned subsidiary Awati have now signed the formal joint venture and option, along with the minerals coordination deed contemplated by the term sheet entered into in December CY24.

Novo must spend a total of $1.5 million to exercise its option to form a 70/30 unincorporated joint venture with Awati covering precious metals and base metals on the tenements, while all other mineral rights remain with Awati.

As of June 30, 2026, Novo had already spent $1.31 million. Awati is free carried until completion of a bankable feasibility study at Tibooburra, and once that phase is completed, Novo will be able to either terminate the agreements or exercise its option to form the joint venture.

If Novo exercises the option, it will obtain a 70% interest in the tenements. The minerals coordination deed will govern the rights of the joint venture in relation to the mineral rights, as well as Awati’s rights over the reserved rights.

NVO was trading at 5.6 cents, with a market capitalisation of $24.22 million before the market opened.

The material in this article is provided for information only and should not be treated as investment advice. Readers should conduct their own research and consult a certified financial adviser before making any investment decisions.