Allegiant Gold Provides Clarification on Previous Disclosure
Allegiant Gold Provides Clarification on Previous Disclosure
Vancouver, British Columbia / November 20, 2020 – Allegiant Gold Ltd. (“ Allegiant” or the
“Company”) (AUAU: TSX-V) (AUXXF: OTCQX) announces that, as a result of a review by the British
Columbia Securities Commission, it is issuing this news release to clarify certain disclosure that it
previously made in its Management’s Discussion and Analysis for the six month period ended March 31,
2020 (the “MD&A”), on the Company’s website at www.allegiantgold.com and in the Company’s
corporate presentation which was available on the Company’s website.
AMENDED NI 43-101 TECHNICAL REPORT
As a result of a review by the British Columbia Securities Commission, the Company has filed an amended
NI 43-101 technical report entitled “Updated Resource Estimate and NI 43-101 Technical Report, Eastside
and Castle Gold-Silver Property, Esmeralda County, Nevada” dated August 11, 2020 with an effective date
of December 31, 2019 (the “Amended T echnical Report”). The Amended Technical Report does not
change the updated mineral resource estimate outlined in the original report dated January 24, 2020. The
review by the British Columbia Securities Commission is now complete.
MD&A
The MD&A contained a map on page 6 which disclosed an estimate of mineral resources with respect to
the Company’s Eastside Project which disclosure was not in compliance with and restricted by National
Instrument 43-101 (“NI 43-101). The same map also disclosed estimates for the Castle, Berg and Black
Rock Zones that were indicated as historical but were not compliant with and restricted by NI 43-101.
The map with the deficient disclosures has not been included in subsequently filed MD&As.
CORPORATE PRESENTATION
The Company’s Corporate Presentation dated May 2020 which was previously available on the Company’s
website contained certain disclosure that was non-compliant with NI 43-101.
Slide 6 (slide 8 in the current Corporate Presentation) contained a table which included a column that
disclosed approximate current gold reserves and resources in ounces for five mines which disclosure was
non-compliant with and contrary to section 2.2(b) and (d) of NI 43-101 which requires an issuer to report
each category of mineral resources and mineral reserves separately, and state the extent, if any, to which
mineral reserves are included in total mineral resources, as well as state the grade or quality and the quantity
for each category of the mineral resources and minera l reserves. The Company has deleted the column
containing the non-compliant disclosure from the table on the slide.
Slides 8, 9 and 10 (slides 9, 10 and 11 in the current Corporate Presentation) included disclosure regarding
inferred resources on the Eastside Project which did not provide all of the disclosure required by section
2.3(1)(d) of NI 43-101. The required disclosure has in part been added to footnotes 1 on each respective
slide and as Additional Disclosure on a new slide 23 . The added disclosure includes clarification with
respect to the disclosed contained pit -constrained Inferred Resources of 1,094,000 AuEq ounces at
57,050,000 tonnes at 0.60 g/t AuEq, as follows. Gold-equivalent ounces were calculated by the Company
using a silver/gold ratio of 80:1. Utilizing a 0.15 g/t cut-off for Au, measured gold was 0.54 g/t and silver
was 4.3 g/t. 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.
Slides 8, 9 and 17 (slides 9, 10 and 18 in the current Corporate Presentation) included disclosure regarding
historical estimates with respect to the Castle, Berg and/or Black Rock Zones of the Eastside Project that
did not meet all the disclosure requirements of section 2.4 of NI 43 -101 and was therefore contrary to
section 2.2 and restricted by section 2.3(1)(a) of NI 43 -101. The required additional disclosure has been
added as Additional Disclosure on a new slide 23 to which a footnote 2 on each respective slide refers.
The additional disclosure on slide 2 3 with respect to historical estimates includes statements explaining
that the report containing the historical estimate and the data used in its preparation were reviewed by Andy
B. Wallace , a Qualified Person for the Company; that the data is j udged relevant and reliable by Mr.
Wallace; what method was used to calculate the historical resource estimate; that a qualified person has
not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves;
and that the Company is not treating the historical estimate as current mineral resources or mineral reserves.
An updated version of the Corporate Presentation which includes the corrections to deficient disclosure as
set out above is now available on the Company’s website at www.allegiantgold.com.
COMPANY WEBSITE
On the Company’s website under the Mogollon Project section, certain maps and diagrams which were
accessible under “Maps” disclosed estimates of mineral resources that were restricted by section 2.3(1)(a)
of NI 43-101 and were contrary to section 2.2 of NI 43-101.
All of these maps and diagrams have been removed from the Company’s website.
ABOUT ALLEGIANT
Allegiant owns 100% of 10 highly-prospective gold projects in the United States, 6 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 loc ated in an area of excellent infrastructure. Preliminary metallurgical testing
indicates that both oxide and sulphide gold mineralization at Eastside is amenable to heap leaching.
QUALIFIED PERSON
Andy Wallace is a Certified Professional Geologist (CPG) wi th 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.
ON BEHALF OF THE BOARD
Peter Gianulis CEO
For more information contact:
Investor Relations
(604) 634-0970 or
1-888-818-1364
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 “for ward-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. 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”, “fore cast”, “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 ex pressed 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. The mineral resource figures referred to in this press
release are estimates and are therefore insufficient to enable an evaluation of the technical or economic
viability of the property, and no assurances can be given that mining of the Eastside property will be
technically viable or that the inferred levels of gold or silver will be produced. Such estimates are
expressions of judgment based on knowledge, mining experience, analysis of drilling results and industry
practices. Valid estimates made at any given time may significantly change when new information becomes
available. While Allegiant believes that the resource estimates included in this press release are well
established, by their very nature, resource estimates are imprecise and depend, to a certain extent, upon
statistical inferences which may ultimately prove unreliable. If such es timates are inaccurate or are
reduced in the future, this could have a material adverse impact on Allegiant.