Allegiant to Acquire Land Adjacent to Recent High-Grade Gold Discovery at Eastside

Rhea-AI Summary

Allegiant Gold Ltd. has entered a lease with option to purchase agreement for 84 claims at Eastside, adjacent to recent high-grade gold discoveries. Notable discoveries include Hole 243 with 148 meters of 2.6 grams per tonne gold, and Hole 239 with 39 grams per tonne gold over three meters. Following this acquisition, the Eastside project expands to 973 claims across approximately 80 km² in Nevada's Walker Lane Trend. The transaction awaits final approval from the TSXV.

Positive

• Acquisition of 84 claims enhances Allegiant's Eastside project, expanding it to 973 claims.
• Recent high-grade drilling results bolster confidence in the area's gold potential.

Negative

• Transaction subject to final TSXV approval, which could delay progress.

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RENO, Nev., July 07, 2021 (GLOBE NEWSWIRE) -- Allegiant Gold Ltd. (“Allegiant” or the “Company”) (AUAU: TSX-V) (AUXXF: OTCQX) is pleased to have entered into a lease with option to purchase agreement (“Agreement”) to acquire 84 claims located to the west of the Original Pit Zone at Eastside (see map below), nearby the recent high-grade discovery announced by Allegiant on May 26, 2021. Highlights included:

• Hole 243 -- 148 metres (486 feet) of 2.6 grams per tonne gold:
  • Including 14 metres (45 feet) of 21.9 grams per tonne gold;
  • Including 20 metres (65 feet) of 173.8 grams per tonne silver;
• Hole 239 -- three metres (10 feet) of 39.0 grams per tonne gold.

Peter Gianulis, CEO of Allegiant Gold, commented: “We are very pleased to have reached an agreement with a private individual to acquire these additional claims that are adjacent to our current claims. With this addition, Eastside now consists of 973 claims or approximately 80 km² in one of the most prolific areas of Nevada, the Walker Lane Trend. Our most recent drilling campaign has given us more confidence that the western edge of the Original Pit Zone at Eastside is host to the higher-grade zones.”

Map 1: 84 Additional Claims Location
https://allegiantgold.com/site/assets/files/3287/ssm_map_-_84_claims.jpg

The closing of the transaction may be subject to final TSXV approval.

QUALIFIED PERSON

Andy Wallace is a Certified Professional Geologist (CPG) with the American Institute of Professional Geologists and is the Qualified Person under NI 43-101, Standards of Disclosure for Mineral Projects, who has reviewed and approved the scientific and technical content of this press release.

ABOUT ALLEGIANT

Allegiant owns 100% of 10 highly-prospective gold projects in the United States, 7 of which are located in the mining-friendly jurisdiction of Nevada. Four of Allegiant’s projects are farmed-out, providing for cost reductions and cash-flow. Allegiant’s flagship, district-scale Eastside project hosts a large and expanding gold resource and is located in an area of excellent infrastructure. Preliminary metallurgical testing indicates that both oxide and sulphide gold mineralization at Eastside is 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 its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Certain statements and information contained in this press release constitute "forward-looking statements" within the meaning of applicable U.S. securities laws and “forward-looking information” within the meaning of applicable Canadian securities laws, which are referred to collectively as "forward-looking statements". The United States Private Securities 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 drill program at Allegiant’s Eastside project, the preparation and publication of an updated resource estimate in respect of the Original Zone at the Eastside project, Allegiant’s future exploration and development plans, including anticipated costs and timing thereof; Allegiant’s plans for growth through exploration activities, acquisitions or otherwise; and expectations regarding future maintenance and capital expenditures, and working capital requirements.  Forward-looking statements are statements and information regarding possible events, conditions or results of operations that are based upon assumptions about future economic conditions and courses of action. All statements and information other than statements of historical fact may be forward-looking statements. In some cases, forward-looking statements can be identified by the use of 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 (including negative variations) suggesting future outcomes or statements regarding an outlook. Such forward-looking statements are based on a number of material factors and assumptions and involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements, or industry results, to differ materially from those anticipated in such forward-looking information. You are cautioned not to place undue reliance on forward-looking statements contained in this press release. Some of the known risks and other factors which could cause actual results to differ materially from those expressed in the forward-looking statements are described in the sections entitled “Risk Factors” in Allegiant’s Listing Application, dated January 24, 2018, as filed with the TSX Venture Exchange and available on SEDAR under Allegiant’s profile at www.sedar.com. Actual results and future events could differ materially from those anticipated in such statements. Allegiant undertakes no obligation to update or revise any forward-looking statements included in this press release if these beliefs, estimates and opinions or other circumstances should change, except as otherwise required by applicable law.

FAQ

What recent acquisition did Allegiant Gold Ltd. announce regarding AUXXF?

Allegiant Gold Ltd. announced a lease with option to purchase agreement for 84 claims at Eastside, enhancing their gold project.

What are the key drilling results mentioned in the press release for AUXXF?

Key results include Hole 243 with 148 meters of 2.6 grams per tonne gold and Hole 239 with 39 grams per tonne gold.

How many claims does Allegiant Gold have after the recent acquisition of AUXXF?

After the acquisition, Allegiant Gold's Eastside project consists of 973 claims.

When was the lease agreement for the claims announced by Allegiant Gold Ltd. for AUXXF?

The lease agreement was announced on July 7, 2021.

What is the significance of the acquisition for Allegiant Gold Ltd. (AUXXF)?

The acquisition is significant as it expands their resource base in a high-potential area, enhancing future exploration and development opportunities.