Key Takeaways
- Novo Resources Corp. (ASX: NVO | TSX: NVO) raised approximately A$8.2 million (C$7.9 million) through a placement of ~16.8 million units to institutional, professional, and sophisticated investors.
- Canaccord Genuity (Australia) Ltd and Alpine Capital Pty Ltd served as Joint Lead Managers and Bookrunners. Units were priced at C$0.10 per share, representing a ~25% discount to the 5-day VWAP on the TSX.
- Proceeds will fund 2026 drilling and reconnaissance at high-priority greenfields gold projects in Western Australia (Wyloo, Balla Balla, Teichman) and the Belltopper Gold Project in Victoria.
- Gold is trading near US$5,200 per ounce as of late February 2026, up over 80% year-on-year, providing a powerful tailwind for exploration-stage gold companies.
Quick Recap
On February 26, 2026, Novo Resources Corp. officially confirmed it had received firm commitments to raise gross proceeds of C$7.9 million (approximately A$8.2 million) through a placement, significantly exceeding its original target of C$5.8 million (A$6 million). The announcement followed a trading halt on the ASX that began on February 24.
The placement was structured as ~16.8 million units at C$0.10 per unit, with each unit comprising one share and one-half of one share purchase warrant exercisable at C$0.15 with a three-year expiry. Novo resumed trading on the ASX from market open on February 26, 2026.
Placement Details and Strategic Priorities
The capital raise is divided into two tranches. Tranche 1, which does not require shareholder approval, will settle on March 3, 2026. Tranche 2, comprising ~8.0 million units and ~10.9 million CDIs to raise approximately A$2.0 million, requires shareholder approval at a general meeting expected in May 2026.
The drilling programs funded by this raise will primarily target Novo’s greenfields projects in the Pilbara region of Western Australia, specifically at Wyloo (gold-silver-antimony), Balla Balla (polymetallic), and the Onslow Toolunga project (copper-gold), with programs set to commence in Q2 2026.
In the second half of 2026, Novo plans drilling at the Belltopper Gold Project in Victoria, aimed at confirming its updated Exploration Target of 2.1 to 3.1 million tonnes at 6.7 to 8.9 g/t Au. Belltopper is located roughly 60 km south of Agnico Eagle’s world-class Fosterville Gold Mine in the Bendigo Tectonic Zone, a region that has historically produced over 60 million ounces of gold.
Novo also noted that Northern Star Resources (ASX: NST) will continue exploration at the Egina farm-in/JV tenements south of the Hemi Gold Project, and that the company continues to receive strong dividends from its San Cristobal Mine investment. As of December 31, 2025, Novo held A$8.5 million in cash and approximately A$23 million in investments.
Gold Surge Lifts Junior Explorer Outlook
Gold prices have been on a sustained rally, trading above US$5,180 per ounce in late February 2026. This represents a year-on-year increase of over 80%, driven by a declining US dollar, geopolitical uncertainty, safe-haven demand, and steady accumulation by both central banks and retail investors.
For junior explorers like Novo, this price environment is transformative. At roughly C$35 million market capitalization, Novo’s raise of A$8.2 million represents approximately 17% of its total market cap, a significant injection for a company at this stage.
The Pilbara region continues to attract major capital, with Northern Star Resources’ acquisition of De Grey Mining (and its 13.6 million-ounce Hemi Gold Project) highlighting the district’s strategic importance. Novo’s Egina tenements sit directly south of Hemi, giving the company proximity to one of Australia’s largest undeveloped gold deposits.
The Belltopper project in Victoria adds geographic diversification. Located in the Bendigo Tectonic Zone, a proven goldfield with over 60 Moz historical production, Belltopper benefits from the recent resurgence in Victorian gold exploration activity.
Competitive Landscape
The table below compares Novo Resources against two relevant ASX-listed peers operating in Australian gold exploration at a broadly comparable stage. Antipa Minerals holds gold-copper assets in the Paterson Province of WA, while Saturn Metals is developing the Apollo Hill heap leach gold project near Leonora, WA.
| Feature / Metric | Novo Resources (NVO) | Antipa Minerals (AZY) | Saturn Metals (STN) |
| Primary Region | Pilbara & Victoria, AU | Paterson Province, WA | Eastern Goldfields, WA |
| Key Project(s) | Wyloo, Balla Balla, Belltopper | Minyari Dome Gold-Copper | Apollo Hill Gold |
| Market Cap (approx.) | ~A$35M | ~A$450M | ~A$290M |
| Resource Estimate | Exploration Target: 2.1-3.1Mt @ 6.7-8.9 g/t Au (Belltopper) | MRE update in progress (Feb 2026) | 2.24 Moz Au (JORC MRE) |
| 2026 Drill Plans | Q2 WA greenfields; H2 Belltopper | CY2026 field activities commenced | Resource update mid-2026; DFS by year-end |
| Recent Capital Raise | A$8.2M placement (Feb 2026) | A$16M placement (Dec 2024) | PFS/DFS funded through prior raises |
| Stage | Early-stage exploration | Exploration/Pre-feasibility | Pre-feasibility/DFS |
Saturn Metals holds a clear advantage in resource definition with 2.24 Moz already defined at Apollo Hill and a DFS expected by the end of 2026. Antipa Minerals, backed by a larger market cap and a A$16 million raise in late 2024, is further along in development studies at Minyari Dome. Novo Resources, at a fraction of the market cap of both peers, offers the highest exploration upside but also the highest risk, with its projects still at the greenfields or early target-definition stage.
Techno Trenz’s Takeaway
I think this capital raise is a meaningful step for Novo Resources at a pivotal time. In my experience covering junior gold explorers, the ability to secure A$8.2 million when the original target was A$6 million signals that the institutional market sees something worth funding here.
The gold price near US$5,200 per ounce is doing a lot of heavy lifting for the entire sector, but what makes this interesting to me is the combination of Pilbara exposure near the Hemi Gold Project, the Belltopper target in Victoria’s proven gold corridor, and the dividend income from San Cristobal providing a financial cushion. I generally prefer companies that can show they are not entirely reliant on capital markets for survival, and Novo’s investment portfolio helps on that front.
