Commencement Of Drilling At Black Pine and Goldstrike Projects

VANCOUVER, BC - Liberty Gold Corp. reported the start of 2019 drilling programs at its Black Pine and Goldstrike properties in Idaho and Utah, respectively. Both properties contain shallow, district-scale, Carlin-style oxide gold deposits that were past-producing heap leach gold mines operating at low gold prices during the 1990s. Both were acquired with extensive historical exploration and mining databases and large land holdings covering broad target areas over a district scale.

At Black Pine, one reverse circulation (“RC”) drill has been deployed to drill an estimated 16,000 metres (m) in 80 to 100 holes to provide a comprehensive test of the core of an oxide gold system estimated at over 12 square kilometers in size.  Extensive data compilation, involving over 1800 historic drill holes, thousands of surface soil and rock samples and 7 shallow pits, suggests that a large volume of rock under and adjacent to zones of previously drill-tested gold mineralization contains highly prospective stratigraphy and favorable structural settings.

Drilling will commence near Liberty Gold drill hole LBP002, drilled in late 2017, which returned 36.6 m grading 0.58 grams per tonne gold (g/t Au) and 15.2 m grading 1.10 g/t Au and 77.8 m grading 1.49 g/t Au, and will test a 500 m gap between it and historic hole 89-417, which returned 50.3 m grading 1.98 g/t Au.

At Goldstrike, one RC drill has been deployed to carry out an estimated 9,600 m of RC drilling pursuant to expanding the existing resource, which includes an indicated 925,000 ounces (57.8 million tonnes grading 0.50 g/t Au) and an Inferred 296,000 ounces (19.6 million tonnes grading 0.47 g/t Au). This resource generated an after-tax Net Present Value (5% discount) of $US129.5 million dollars and an Internal Rate of Return at $US1350 gold price of 29.4% in a recently completed Preliminary Economic Assessment (“PEA”).

The current resource does not include 24,716 m of drilling carried out in 2018.  Areas along the northern, southern and western margins of the deposit will comprise the focus of 2019 drilling, with a resource update expected in Q4, 2019. The Company’s drill plan at Goldstrike is focused on expanding the current gold resource with a 2,000,000 ounces target.  

“We are thrilled to be back in the field again and drilling at both Black Pine and Goldstrike,” said Cal Everett, President & CEO of Liberty Gold. “Large, shallow oxide gold systems are extremely rare in the Great Basin and we have two district-scale gold systems that are already substantially de-risked through previous exploration and mining activities, as well as through our own efforts.  We are targeting multi-million ounce deposits at both properties and we expect to be well on our way to achieving this goal by the end of the year.”

The company’s address is Suite 1900 - 1055 W. Hastings, Vancouver, BC V6E 2E9, (604) 632-4677, www.libertygold.ca.