Eastside Gold Project Strategy Focusing On Three Core Principles

VANCOUVER - Allegiant Gold Ltd. reported corporate strategy that is focused on the following three principles: Increase resources at the 100%-owned Eastside project; Farm-out of non-core projects; and Cost Discipline and Self-Funding.

The focus over the near term will be to increase ounces at the 67 km2 Eastside gold project, located approximately 32 kilometers (20 miles) west of Tonopah, Nevada. The Original Zone deposit, an area within Eastside, hosts a pit-constrained inferred resource totaling 721,000 gold equivalent ounces (35,780,000 tonnes grading 0.63g/t gold equivalent) and is an area with excellent infrastructure. Preliminary metallurgical testing indicates that both oxide and sulphide gold mineralization at the Original Zone is amenable to heap leaching. In addition to the Original Zone, Eastside also has numerous undrilled exploration targets, and hosts historical resources of 272,153 ounces gold (11,177,761 tonnes grading 0.82g/t gold).

The company intends to complete an updated resource estimate at Eastside to include approximately 22 additional holes from the phase-I step-out drill program that was competed at the Original Zone in the summer of 2018.

Following completion of the updated resource estimate, the company plans to undertake phase-II step-out and infill drilling at the Original Zone. The objective of the drilling will be to significantly increase in-pit resources at the Original Zone, while significantly reducing the strip ratio. The Original Zone remains open to the west, south, and to depth, and possibly to the east and north.

In the last 18 months, Allegiant has carried-out step-out drilling at its flagship Eastside gold project, and also drill-tested 5 high-quality “discovery opportunities”. This work allowed it to consolidate the property portfolio to the 10 projects believed to host the best potential. The strategy going forward will be to farm-out all non-core projects while focusing on expanding gold resources at the flagship Eastside project. Currently, three projects have been farmed-out (Bolo, Mogollon and Four Metals) and it is in the process of evaluating suitable candidates for the other projects. Bolo is presently being drilled by Barrian Mining, and work is expected to commence at Mogollon and Four Metals early next year.

The farm-out strategy will allow Allegiant to better focus on the Eastside project, in parallel with internally generating cash-flow.

The company’s address is 1090 Hamilton Street, Vancouver, BC V6B 2R9, (604) 634-0970, www.allegiantgold.com.