Dr. Quinton Hennigh reports

NOVO PROVIDES CORPORATE UPDATE

Novo Resources Corp. has provided an update of exploration activities at Comet Well, part of Novo's greater Karratha gold project located in the Pilbara region of Western Australia.

The company anticipates receiving a suite of assay results from bulk samples collected from both the lower and upper gold-bearing conglomerate units at Comet Well by the end of October, 2018. Assay results and a discussion of their geologic significance will be presented at that time.

Karratha gold project -- voluntary filing of technical report

The company is also pleased to announce that it will voluntarily file a technical report prepared pursuant to National Instrument 43-101 -- Standards of Disclosure for Mineral Projects for its Karratha gold project. The independent technical report, entitled "Novo Resources Corp. Technical Report on the Karratha Project, Australia," with an effective date of May 31, 2018, and an issue date of Sept. 20, 2018, was prepared for Novo by Ian Glacken (FAusIMM (CP), FAIG, CEng) of Perth, Western Australia, Australia. Mr. Glacken is a qualified person as defined under NI 43-101. The Karratha technical report will be available under the company's profile on the SEDAR website and on the company's website.

Beatons Creek gold project -- resource update

The company is also pleased to announce an updated robust near-surface resource estimate for its Beatons Creek gold project located in the Nullagine region of Western Australia. The Beatons Creek 2018 resource estimate is based on multiple campaigns of reverse circulation drilling and trench (costean) sampling conducted between 2015 and 2018. The effective date of the Beatons Creek 2018 resource estimate is Jan. 1, 2018. A technical report in respect of the 2018 resource estimate will be filed under the company's SEDAR profile.

Highlights

• The Beatons Creek 2018 resource estimate includes a 17-per-cent increase in near-surface measured and indicated Au ounces over the 2015 estimate supported by a technical report entitled "NI 43-101 Technical Resource Report, Beatons Creek Gold Project, Pilbara Region, Australia" dated Aug. 31, 2015, prepared by Arnand van Heerden, PriSciNat, PGeo, principal geologist of Tetra Tech Inc., which was filed under Novo's SEDAR profile on Oct. 13, 2015.
• Inferred near-surface Au ounces increase by 40 per cent over the 2015 estimate.
• This resource upgrade along with Beatons Creek's very high metallurgical recovery (over 97 per cent gravity plus carbon in leach; please refer to the company's news release dated March 7, 2017, for further details) make it the premier gold deposit in the Nullagine mining camp.
• Significant room for resource expansion remains.

 
                     BEATONS CREEK 2018 RESOURCE ESTIMATE
 
Near-surface mineral resources                              
                         Cut-off grade           Tonnes            Grade   Ounces troy Au
Classification                  Au g/t            (000s)          Au g/t            (000s)

Measured                           0.5              816              2.5               65
Indicated                          0.5            3,749              2.3              277
Measured and indicated             0.5            4,565              2.3              342
Inferred                           0.5            3,448              2.5              282
                                                            
Underground mineral resources                               

                         Cut-off grade          Tonnes     Grade   Ounces troy Au
Classification                  Au g/t           (000s)   Au g/t            (000s)

Measured                             2            0.39       2.9             0.04          
Indicated                            2              29       3.1                3             
Measured and indicated               2              29       3.1                3             
Inferred                             2             342       3.6               40            
                                                            
Global mineral resources                                    

                     Cut-off grade      Tonnes   Grade Ounces troy Au
Classification              Au g/t       (000s) Au g/t          (000s)      

Measured                    0.5, 2         816     2.5             65            
Indicated                   0.5, 2       3,778     2.3            280           
Measured and indicated      0.5, 2       4,594     2.3            345           
Inferred                    0.5, 2       3,790     2.6            322           

Notes

(1) Near-surface mineral resources contain oxide and sulphide material 
    within an optimized shell and within a mineralized wireframe.

(2) Optimized shell estimated using Lerch-Grossam algorithm with the 
    following indicative parameters:

    (a) $1,246 (U.S.)/troy ounce;   
    (b) Recoveries of 95 per cent oxide and 90 per cent sulphide;   
    (c) $2.40 (U.S.)/T mining cost for oxides and $3/T for sulphides;
    (d) $15 (U.S.)/T oxide and $17 (U.S.)/T sulphide processing cost;
    (e) $2 (U.S.)/T general and administrative costs.

(3) Underground mineral resources contain sulphide resources outside of 
    an optimized shell and within a mineralized wireframe.      

(4) Columns may not total due to rounding.

(5) One troy ounce is equal to 31.1034768 grams.

Resource modelling

Mineral resources were estimated by multiple pass ordinary kriging (OK) method within modelled reef domains. Mineral resources are currently defined in seven reef domains each divide into oxide and sulphide mineral type by a shallow weathering profile. The majority of assays used for the estimate were determined using LeachWELL methodology, which was statistically determined to be the most reliable method. Assays were capped at 25 Au g/t prior to compositing and were statistically evaluated on a reef domain and mineral type basis.

Mineral resources were estimated from 35,063 samples, sourced from 32,549 samples from reverse circulation holes, 681 samples from diamond holes and 1,833 costean samples. Capping was analyzed for each reef's oxide and sulphide portions using histograms and probability plots to determine where high-grade distribution tails became erratic and deviated from lognormal. Sampled intervals from all data sources were composited to one m. Compositing initiated and terminated at the top and bottom of the reef contacts.

Mineral resources that are not mineral reserves and do not have demonstrated economic viability, it is uncertain if applying economic modifying factors will convert measured and indicated mineral resources to reserves. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issues, however, no issues are known at this time. The quantity and grade of reported inferred resources in this estimation are uncertain in nature and there has been insufficient exploration to define these inferred resources as an indicated or measured mineral resource and it is uncertain if further exploration will result in upgrading them to an indicated or measured mineral resource category. The mineral resources in this news release were estimated using current Canadian Institute of Mining, Metallurgy and Petroleum (CIM) standards, definitions and guidelines.

Leonel Lopez, AIPG-GeolEng, qualified person, SME-RM, of Tetra Tech, Golden, Colo., has co-ordinated the Beatons Creek 2018 resource estimate for the Beatons Creek gold project, and is independent of the company for purposes of National Instrument 43-101. Mr. Lopez is a qualified person as defined by NI 43-101.

Mr. Lopez is preparing an NI 43-101 technical report in respect of the resource estimate discussed in this news release, which the company is obligated under NI 43-101 to file on SEDAR within 45 days of the date this news release was disseminated.

Resignation of Simon Pooley, chief operating officer

The company also reports the resignation of its chief operating officer, Mr. Pooley. The company would like to thank Mr. Pooley for his invaluable contributions throughout his tenure with the company and wishes him well in his future endeavours.

Dr. Quinton Hennigh (PhD, PGeo) is the qualified person pursuant to NI 43-101 responsible for, and having reviewed and approved, the technical information contained in this news release. Dr. Hennigh is president, chairman and a director of Novo Resources.

About Novo Resources .

Novo's focus is to explore and develop gold projects in the Pilbara region of Western Australia, and Novo has built up a significant land package covering approximately 12,000 square kilometres.

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