In December 2017, Allegiant Gold Ltd., a former subsidiary of Columbus Gold Corp. (CGT: TSX), was spun-out to form an independent company focused exclusively on precious metals exploration in the western United States. ALLEGIANT has owned many of the propertiesi n the portfolio for over 10 years as part of Columbus Gold Corp. It began trading on the TSX Venture Exchange under the trading symbol “AUAU” and in the U.S. under the trading symbol “AUXXF”.
ALLEGIANT holds a 100% interest in 10 projects in the southwestern United States with 7 being located in the mining-friendly jurisdiction of Nevada. The majority of the projects were discovered and developed by Andy Wallace, former Head of Cordex, considered by many in the mining industry to be one of the most successful gold exploration groups in the United States. Cordex was founded by the legendary John Livermore, who discovered the Carlin Mine in Nevada and a new type of gold mineralization that is now referred to as "Carlin-Type". Cordex is credited with an unprecedented nine gold discoveries in Nevada.
ALLEGIANT has been one of the most active explorers in the gold sector. The flagship project known as Eastside hosts a large and open resource of 1.4 million inferred gold ounces and 8.8 million silver1 with excellent potential for substantially increasing the total resource at Eastside. The infrastructure at Eastside is considered excellent with water, electricity and a main statehight running near or through the property. Preliminary metallurgical testing indicates that both oxide and sulphide mineralization at the Original Zone is amenable to heap leaching.
1The updated resource estimate (“Updated Resource Estimate and NI 43-101 Technical Report, Eastside and Castle Gold-Silver Project Technical Report, Esmeralda County, Nevada”) was conducted by Mine Development Associates (“MDA”) of Reno, Nevada with an effective date of July 31, 2021. Utilizing a 0.15 g/t cut-off for Au, measured gold was 0.55 g/t and silver was 4.4 g/t for the Eastside Original Pit Zone and 0.49 g/t for the Castle Area. Heap leach extractions are expected to be around 70% and 20% for gold and silver, respectively, using a three- stage crushing procedure. Milling with a fine grind is expected to result in extractions over 90% and around 50% for gold and silver, respectively. Please see section titled Additional Disclosures on slide 23 for important additional information.