(TheNewswire)
Reno, Nevada / TheNewswire / December 15, 2022 - Allegiant Gold Ltd.(“Allegiant” or the “Company”) (TSXV: AUAU ) (OTC: AUXXF ) is very pleased toannounce the commencement of the follow-up exploration drillingprogram to discovery hole 258 on the company’s East PedimentProspect. In addition, the Company has received permits to expanddrilling at its Boss-Castle Prospects.
A reverse circulation (“RC”) drilling program hasbegun to follow-up on this year’s discovery of mineralized rhyoliteon the East Pediment Prospect; it lies immediately to the southeast ofEastside that includes the Original Pit Zone (“OPZ”), and bothprospects are within the overall Eastside Project.
The company has also received the necessary permits tocommence drilling at the company’s Boss-Castle Prospect thatincludes the former operating Boss-Berg Mine and the Castle Prospect.RC drilling is expected to begin early in the New Year.
Eastside Project Work Summary
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Follow-up RC drilling program began on November 29,2022
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Permits allow for up to 27 RC follow-up drill holes
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Program will be phased over the Winter 2022/23 to allowtime for assay results analysis
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Drill program follow-up on the discovery of rhyolitehosted mineralization that contained up to 4.4 g/t Au and 33.0 g/tAg.
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BLM issued permit to drill up to 20 resource expansionRC drill holes, for approximately 2,300m of drilling, at the Boss Castle Prospects
Peter Gianulis, CEO of AllegiantGold , commented: “Allegiant continues to expand the potential for our entireEastside project which includes the OPZ and the Castle Area.Exploration drilling and programs have been vital to our success atEastside and is necessary to build Eastside into one of the largestopen-pit projects in Nevada,” stated Mr. Gianulis. “The entireplanned RC program will serve to not only follow-up on our explorationsuccess but also seek to build resources at the Castle Area,” addedMr. Gianulis.
East Pediment Prospect
Allegiant Gold has begun an RC drilling program thatwill follow-up directly on the discovery of rhyolite hosted Au-Agmineralization in drill hole ES-258, drilled earlier this year. Theprogram will be comprised of an initial 5-6 holes constitutingapproximately 2,000m of drilling; the drill holes will be spaced at75m intervals away from the initial discovery hole to assess thesub-surface geometry of the rhyolite host rocks and identify anymineralization.
The potential for rhyolite hosted mineralization wasdetermined from interpretation of geophysical surveys that includeddrone airborne magnetic and controlled source audio-magnetotelluric(CSAMT) surveys; these identified that zones of high resistivity arecoincident with magnetic lows and indicate the potential for rhyoliticrocks. The rhyolite rocks have no surface exposure as the EastPediment is covered with a thick layer of alluvial overburden where itforms the western margin of Big Smoky Valley.
Drill hole ES-258 returned 53.3 meters, from 190.5meters to 243.8 meters, averaging 0.21 g/t Au and 2.79 g/t Ag; thisincluded 7.5 meters, from 86.9 to 94.5 meters, averaging 1.3 g/t Auand 2.89 g/t Ag, and 1.5 meters, from 86.9 to 88.4 meters, averaging4.4 g/t Au and 9.0 g/t Ag; and 33.5 meters, from 196.6 to 230.1meters, averaging 0.27 g/t Au and 2.39 g/t Ag. Notably goldmineralization is open at depth as the bottom of hole ES-258 returned4.5 meters averaging 0.26 g/t Au and 13.66 g/t Ag;
Boss & Castle Prospects
The Boss-Castle Prospects lie at the south end of theEastside Project and contain the former operating Boss-Berg Mine andthe Castle Prospect. The 2021 Technical Report states that the CastleArea, including Boss and Berg, has an inferred resource containing314,000 ounces gold in 19,986,000 tonnes with average grade of 0.49g/t Au, at a cut-off of 0.15 g/t Au.
The permitted program will drill approximately 2,300min 20 holes and test the resource expansion potential around thecurrent inferred resource. The program is expected to begin early inthe New Year after the initial phase of the East Pediment drilling iscomplete.
* 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 (“ MDA ”) of Reno, Nevada, with an effective date of July 30,2021, contained a pit-constrained Inferred Resources (cut-off grade of0.15 g/t Au) of 61,730,000tonnes grading 0.55 g/t Au and 4.4 g/t Ag at the Original Pit Zone (1,090,000 ounces gold and8,700,000 ounces silver) and 19,986,000 tonnes grading 0.49 g/t Au at theCastle Area (314,000 ounces gold). A copy of the Eastside TechnicalReport can be found on SEDAR at www.sedar.com.
Map 1: Eastside Map with RC DrillHole ES-258
https://allegiantgold.com/site/assets/files/3144/2022-12-15_nr-1.png
Map 2: Eastside Map with Castle/BossArea
https://allegiantgold.com/site/assets/files/3144/2022-12-15_nr-2.png
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 100% of 7 highly-prospective goldprojects in the United States, 5 of which are located in themining-friendly jurisdiction of Nevada. Four of Allegiant’s projectsare farmed-out, providing for cost reductions and cash-flow.Allegiant’s flagship, district-scale Eastside project hosts a largeand expanding gold resource and is located in anarea of excellent infrastructure. Preliminary metallurgical testingindicates that both oxide and sulphide gold mineralization at Eastsideis amenable to heap leaching.
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. Allegiantundertakes no obligation to update or revise any forward-lookingstatements included in this press release if these beliefs, estimatesand opinions or other circumstances should change, except as otherwiserequired by applicable law.
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