On-Market Buy-Back of Ordinary Shares
Melbourne, Oct 12, 2018 AEST (ABN Newswire) - The directors of Nova Minerals Limited (Nova or Company) (
ASX:NVA) (QM3:FRA) announce today an on-market buy-back of ordinary fully paid shares in the Company up to a value of $500,000 (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.
The Company has moved quickly and accomplished a lot in a relatively short period of time across its project portfolio. Further details of the Company's progress and its long-term vision and value creation strategy are set out in its ASX announcements titled "Corporate and Operational Update" (8 October 2018) and "CEO's Letter to Shareholders" (6 August 2018).
The results of the Company exploration campaigns have been promising and the Company intends to continue to seek to achieve its published exploration and fast track objectives. However, the Company is also in the process of assessing new ways of achieving these objectives with external funding through the prospect of spinning off the Company's Thompson Brothers Lithium asset on the TSX.V and through potential future funding partners or future raisings in a preferable market environment.
Given prevailing market conditions, Nova's board believes that 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 objectives.
The Buy-Back is expected to commence from 1 November 2018, and will remain in place for a period of up to 12 months or until completed provided that 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 of the Buy-Back will be purchased at a price of not more than 5% above the 5-day volume weighted price of Nova's shares (at the time of trade).
The Company has appointed PAC Partners (see Appendix 3C) to conduct the Buy-Back on its behalf.
Please find attached an Appendix 3C issued by the Company.
NVA Managing Director, Mr. Avi Kimelman said:
"The buy-back program will not impact Nova's existing fast track strategy. Given the Company's planned spin-off of the Thompson Brothers Lithium Project as well as our confidence in Nova's strategy and the fundamental value of our projects, the Board considers that a share buy-back provides the most appropriate use of the Company's capital at this point in time for greater shareholder value."
"Nova will maintain the flexibility to respond to changes in market conditions and take advantage of opportunities as they arise in the future."
About Nova Minerals Limited
Nova Minerals Limited (ASX:NVA) (FRA:QM3) is a Gold, Antimony and Critical Minerals exploration and development company focused on advancing the Estelle Project, comprised of 514 km2 of State of Alaska mining claims, which contains multiple mining complexes across a 35 km long mineralized corridor of over 20 advanced Gold and Antimony prospects, including two already defined multi-million ounce resources, and several drill ready Antimony prospects with massive outcropping stibnite vein systems observed at surface. The 85% owned project is located 150 km northwest of Anchorage, Alaska, USA, in the 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, Barrick's Donlin Creek Gold Project and Kinross Gold Corporation's Fort Knox Gold Mine. The belt also hosts significant Antimony deposits and was a historical North American Antimony producer.
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