(TheNewswire)
Tonopah, Nevada - TheNewswire - August 30, 2023 - Allegiant Gold Ltd.(“Allegiant” or the “Company”) ( TSXV: AUAU) ( OTC: AUXXF) announces thefinding of high-grade gold and silver on existing heap leach and wastedumps at the former operating Boss Mine, within the Castle Project ofthe Eastside District.
Allegiant sampled material from existing waste dumpsand tailings. A total of 79 samples were collected and analyzed forgold, silver and other elements, the majority from the Boss Mine’sleach pad.
Highlights of the sampling include:
-
Coarse fraction (1/16-inch) samples from the BossMine’s leach pad samples returned up to 8.02 g/t Au and 28.2 g/tAg.
-
Fine fraction (1/16-inch) samples from the BossMine’s Leach pad returned up to 2.10 g/t Au and 5.2 g/t Ag.
-
Dump samples returned up to 22.2 g/t Au and 10.2 g/tAg.
-
Leach pad area covers approximately 5.0 hectares anddumps cover approximately 11 hectares.
-
Further sampling and drilling of leach pad and dumps isplanned over the coming months.
-
Metallurgical testing is planned later thisyear.
The Boss Mine was a producing mine from 1987 to 1989(see Map 1). It is estimated that the Boss Mine produced over 32,000Au ounces from 650,000 tons at an average grade of 0.058 opt (1.99 g/tAu); recovery for silver and other metals of value is unknown.
MAP 1: LOCATION OF BOSS MINE –TAILINGS AND WASTE DUMPS
https://allegiantgold.com/site/assets/files/3144/alg_eastside_bosscastle_dumpsamps_230828v1.jpeg
Peter Gianulis, CEO of AllegiantGold , commented: “Wecontinue to advance the Castle Area, encompassing the Berg, Blackrock,Boss and Castle Zones, toward delineation of an economic resource. Our goal is to develop the Eastside District in two to three phasesled first by the Castle Area, then moving onto the McIntosh Zone, andthen into the other new areas to be discovered. We are encouraged bythe initial results of our leach pad testing that suggest higher thanexpected gold and silver content. This would be the first phase inthe development of the Castle Area that could provide importantcash-flow to help develop the follow-on phases of the district. Witha land package covering greater than 80 km 2 , we believe wewill continue to make new discoveries.”
CASTLE PROJECT – BOSS MINE LEACHPAD SAMPLING
Samples were collected from the near surface at theBoss Mine’s leach pad without damaging the existing liner materials. A total of 72 samples (Map 2) were collected from the leach pad atpoints across the whole of leach pad’s area, approximately5-hectares. The samples were divided into 2 fractions: a coarsefraction consisting of particles greater than 1/16-inch diameter, andparticles less than 1/16 -- inch diameter.Samples were then sent to American Assay Lab’s of Reno, Nevada foranalysis. Each sample was analyzed for gold by 30g fire-assay withICP-OES finish; overlimit samples were reanalyzed by 30g fire-assaygravimetry. Multi-element analysis was also carried out on all samplesto determine the concentration of other metals. Sample analysis for 28elements was performed by 4-acid digest and ICP-OES analysis.
Additional samples were collected from dumps locatedadjacent to the leach pad which are believed to represent mineralizedrock. These samples returned assay values from 4.53 to 22.2 g/t Au and5.4 to 10.2 g/t Ag. Antimony, arsenic, iron, gold, and silver were theonly metals that returned significantly anomalous values andcharacterize the metals most commonly associated with the EastsideDistrict epithermal-style mineralization.
Further sampling and drilling of the leach pad anddumps is proposed to assess the full extent of undocumented gold andsilver mineralization in material already mined and at the surface.Metallurgical testing of the samples collected from all sources willbe carried to allow the Company to assess the economic viability ofreprocessing the leach pad and dumps to extract the remaining gold andsilver prior to commencement of new mining operations.
CASTLE PROJECT – EASTSIDEDISTRICT
The Castle Project approximately 10 kilometers south ofthe McIntosh Zone within the Eastside District, contains four knownlow-to-moderate sulfidation epithermal gold-silver deposits: Boss,Berg, Black Rock and Castle. An inferred resource was defined basedupon historic drilling through 2020. This was followed by resourceexpansion drilling in early 2023 which demonstrated that the CastleProject was under-drilled, and that further exploration and resourceexpansion drilling could bring significant additional mineralizationto the resource*.
To achieve this goal, Allegiant has identified areas ofboth exploration and expansion drilling to complete the objective ofidentifying additional target areas. Allegiant has already drilled 19holes in early 2023 and will drill an additional 30 to32 holes usingboth reverse circulation and diamond core drilling.
Allegiant is in the process of completing all thenecessary planning and environmental steps to enable the filing of aPlan of Operation that will include an extensive drilling program toupgrade the resource from inferred to indicated and measuredresources, steps necessary for mine planning and permitting.
* The updatedresource estimate (“Updated Resource Estimate and NI 43-101Technical Report, Eastside and Castle Gold-Silver Project TechnicalReport, Esmeralda County, Nevada”) conducted by Mine DevelopmentAssociates of Reno, Nevada, with an effective date of July 30, 2021,contained a pit-constrained Inferred Resources (cut-off grade of 0.15g/t Au) of 61,730,000 tonnes grading 0.55 g/t Au and 4.4 g/t Agat the Original Pit Zone (1,090,000 ounces gold and 8,700,000 ouncessilver) and 19,986,000 tonnes grading 0.49 g/tAu at the Castle Area (314,000 ounces gold). Acopy of the Eastside Technical Report can be found on SEDAR atwww.sedar.com.
CHANGE TO THE BOARD OFDIRECTORS
Allegiant further announces that the Company hasaccepted the resignation of Andy Wallace from the Board of Directors. “ Iwould personally like to thank Andy for his dedication to Allegiantover the past three years since he joined the Board of Directors. Andy’s history with Allegiant Gold and our projects are well knownand he has been instrumental in developing and advancing the Eastsideproject since it’s discovery back in 2011. Andy will be dearlymissed,” commented Peter Gianulis, CEO ofAllegiant Gold.
QUALIFIED PERSON
Alan Roberts is a Certified Professional Geologist(CPG) with the American Institute of Professional Geologists and isthe Qualified Person under NI 43-101, Standards of Disclosure forMineral Projects, who has reviewed and approved the scientific andtechnical content of this press release.
ABOUT ALLEGIANT
Allegiant owns six highly prospective gold projects inthe United States, five of which are in the mining-friendlyjurisdiction of Nevada. Two of Allegiant’s projects are currentlyfarmed-out, providing for cost reductions and cash-flow. Allegiant’sflagship, district-scale Eastside project hosts a large and expandinggold resource and is in an area of excellent infrastructure.Preliminary metallurgical testing indicates that both oxide andsulphide gold mineralization at Eastside is amenable to heapleaching.
ON BEHALF OF THE BOARD
Peter Gianulis
CEO
For more information contact:
Investor Relations
(604) 634-0970 or
1-888-818-1364
ir@allegiantgold.com
Neither TSX Venture Exchange nor itsRegulation Services Provider (as that term is defined in policies ofthe TSX Venture Exchange) accepts responsibility for the adequacy oraccuracy of this release.
Certain statements and informationcontained in this press release constitute "forward-lookingstatements" within the meaning of applicable U.S. securities lawsand “forward-looking information” within the meaning of applicableCanadian securities laws, which are referred to collectively as"forward-looking statements". The United States PrivateSecurities Litigation Reform Act of 1995 provides a “safe harbor”for certain forward-looking statements. Allegiant Gold Ltd.’s (“Allegiant”)exploration plans for its gold exploration properties, the drillprogram at Allegiant’s Eastside project, the preparation andpublication of an updated resource estimate in respect of the OriginalZone at the Eastside project, Allegiant’s future exploration anddevelopment plans, including anticipated costs and timing thereof;Allegiant’s plans for growth through exploration activities,acquisitions or otherwise; and expectations regarding futuremaintenance and capital expenditures, and working capitalrequirements. Forward-looking statements are statements andinformation regarding possible events, conditions or results ofoperations that are based upon assumptions about future economicconditions and courses of action. All statements and information otherthan statements of historical fact may be forward-looking statements.In some cases, forward-looking statements can be identified by the useof words such as “seek”, “expect”, “anticipate”,“budget”, “plan”, “estimate”, “continue”,“forecast”, “intend”, “believe”, “predict”,“potential”, “target”, “may”, “could”, “would”,“might”, “will” and similar words or phrases (includingnegative variations) suggesting future outcomes or statementsregarding an outlook. Such forward-looking statements are based on anumber of material factors and assumptions and involve known andunknown risks, uncertainties and other factors which may cause actualresults, performance or achievements, or industry results, to differmaterially from those anticipated in such forward-looking information.You are cautioned not to place undue reliance on forward-lookingstatements contained in this press release. Some of the known risksand other factors which could cause actual results to differmaterially from those expressed in the forward-looking statements aredescribed in the sections entitled “Risk Factors” in Allegiant’sListing Application, dated January 24, 2018, as filed with the TSXVenture Exchange and available on SEDAR under Allegiant’s profile atwww.sedar.com. Actual results and future events could differmaterially from those anticipated in such statements. Allegiant undertakes no obligation toupdate or revise any forward-looking statements included in this pressrelease if these beliefs, estimates and opinions or othercircumstances should change, except as otherwise required byapplicable law.
Copyright (c) 2023 TheNewswire - All rights reserved.