Allegiant Announces Plans To Drill Deep Targets At High-Grade Zone
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Tonopah, Nevada /January 14, 2025 - Allegiant Gold Ltd. (“Allegiant” or the “Company”) (AUAU: TSX-V) (AUXXF: OTCQX) announces plans to drill the High-Grade Zone (“HGZ”) at the McIntosh Zone as well as results of its 18-hole, 4,800 metre exploration drill program drilling at its flagship Eastside property (“Eastside”) near the town of Tonopah, Nevada.
Upcoming Core Drill Program – Expansion of High-Grade Zone – Additional Holes Testing South Anomaly
Allegiant will be mobilizing a diamond core rig (“DDH”) for a 2,000-3,000 metre program to further explore the deeper extension of the High Grade Zone discovered in 2021 that included:
- Hole 239 - 3 Metres of 39.0 g/t gold and 6.1 metres of 113.35 g/t of silver
- Hole 243 - 148 Metres of 2.6 g/t gold (including 14 metres of 21.9 g/t gold) (including 20 metres of 173.8 g/t silver)
- Hole 243 ended in gold mineralization, with the bottom running 12.2m of 2.24 g/t Au (within a 55m interval of 0.92 g/t Au)
Following the impressive discoveries by Anglogold at Silicon and Kinross at Phase X Round Mountain both at depth within the Walker Lane, there is a compelling rationale to deepen our 2021 work at the HGZ at Eastside. To date, no hole at Eastside has been drilled deeper than 420 metres from surface with multiple holes bottoming in bonanza-grade material.
The 2022 DDH program were a series of angled holes that tested the lateral extensions of the 2021 high grade discovery, however, the program did not test mineralization at depth. This upcoming program will seek to drill down to over 600 metres at depth within the HGZ at McIntosh including a step-out hole from ES-239. A further step-out vertical core hole from ES-243 will also be drilled to test the extensions (see news release from 2021 below). The 2021 drill program was the most successful program in the Company’s history. Three additional deep angle core holes are planned as gold mineralization is also known from previous drilling to be open south of the McIntosh zone and extending below South Mountain.
* The updated resource estimate (“Updated Resource Estimate and NI 43-101 Technical Report, Eastside and Castle Gold-Silver Project Technical Report, Esmeralda County, Nevada”) conducted by Mine Development Associates (“MDA”) of Reno, Nevada, with an effective date of July 30, 2021, contained a pit-constrained Inferred Resources (cut-off grade of 0.15 g/t Au) of 61,730,000 tonnes grading 0.55 g/t Au and 4.4 g/t Ag at the Original Pit Zone (1,090,000 ounces gold and 8,700,000 ounces silver) and 19,986,000 tonnes grading 0.49 g/t Au at the Castle Area (314,000 ounces gold). A copy of the Eastside Technical Report can be found on SEDAR at www.sedar.com.
Results of Exploration Program
The Company drilled 18 exploratory reverse circulation (“RC”) drill holes totaling 4,800 metres looking for additional mineralized zones up to 2km beyond the McIntosh Zone, including 6 shallow holes drilled in the East Pediment (see map below). Drilling encountered various levels of hydrothermal alteration but with low gold values. Results from this drilling will be used to guide future exploration to expand beyond the current open pit shell design at the McIntosh Zone.
Drilling on the pediment cut very strong alteration, quartz stockwork veining, massive replacement silicification, and heavy iron oxides but carried only weakly anomalous gold. That alteration is untested north of our new drilling and provides a target for future work.
Drilling north and northwest of the McIntosh zone shows strong hydrothermal alteration in ES-330 and 334 indicating further drilling is warranted in those directions.
Peter Gianulis, CEO of Allegiant Gold, commented: “Our objective is to drill a series of deeper diamond core holes targeting the HGZ. Some of our best results during the 2021 discovery ended in multi-ounce gold per tonne at approximately 400 metres at depth. We expect to drill down to 600 metres in a series of holes to test the 400-600 metre zone. We believe this drill program will be the most important drill program that we have conducted at the McIntosh Zone. Over the coming weeks, we intend on providing an update on the drill targets and commencement date.”
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 five highly prospective gold projects in the United States all of which are in the mining-friendly jurisdiction of Nevada. Allegiant’s flagship, district-scale Eastside project hosts a large and expanding gold resource and is 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
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.
