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ALLEGIANT Provides Update on High-Impact Discovery Drilling

Exploration Programs

Page 1 of 2

NEWS RELEASE

ALLEGIANT Provides Update on High-Impact Discovery Drilling

Vancouver, BC, Canada, January 1 7th, 2019, Allegiant Gold Ltd. (“ALLEGIANT”) (AUAU: TSX -V)

(AUXXF: OTCQX) reports on the progress of its high -impact discovery drilling campaign. A total of 6

projects located principally in the world -class gold mining jurisdiction of Nevada are slated for drilling

over a 10-12 month period, to approximately June 2019. Drilling commenced at the Red Hills project

in August 2018 and drilling at a third project, North Brown, was completed in December and final

assays are expected within one week. Assay results for Hughes Canyon (the second property drilled)

have now been received in full.

ALLEGIANT completed 2,139 meters of drilling in 12 rotary holes at Hughes Canyon. Hydrothermal

alteration was encountered in 10 of the 12 holes in several different stratigraphic units in a faulted

and folded Mesozoic sedimentary package. Gold and silver values above 0.10 g/t gold encountered in

the drilling are available at the following link:

www.allegiantgold.com/nr/2019-01-17-assays.pdf

Overall the drilling results at Hughes Canyon are encouraging and suggest more drilling is necessary,

however in the context of prioritizing e xpenditures on ALLEGIANT’S large portfolio of pr ospective

exploration properties, Hughes Canyon will be abandoned.

ALLEGIANT expects to resume the “discovery drilling campaign” at the 4 th project, Monitor Hills, in

about one week.

Qualified Person

Andy Wallace is a Certified Professional Geologist (CPG) with the American Institute of Professional

Geologists and is a Qualified Person as defined under National Instrument 43 -101 - Standards of

Disclosure for Mineral Projects. Mr. Wallace has reviewed and approved the technical content of this

press release.

ABOUT ALLEGIANT

ALLEGIANT owns 100% of 14 highly -prospective drill-ready gold projects in the United States, 11 of

which are located in the mining-friendly jurisdiction of Nevada. ALLEGIANT’s flagship Eastside project

hosts a large and expanding gold resource, is distric t scale, and is located in an area of excellent

infrastructure. Preliminary metallurgical testing indicates that both oxide and sulphide gold

mineralization at Eastside is amenable to heap leaching.

Further information regarding ALLEGIANT can be found at www.allegiantgold.com

Allegiant Gold Ltd.

1090 Hamilton Street

Vancouver, BC V6B 2R9, Canada

www.allegiantgold.com

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ON BEHALF OF THE BOARD,

Robert F. Giustra

Chairman

For more information contact:

Investor Relations

(604) 634-0970 or

1-888-818-1364

[email protected]

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.

Forward Looking Statements

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 Sec urities

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”, “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. Forward -looking

statements in this and other press releases include but are not limited to statements and information regarding

ALLEGIANT’s drilling and exploration plans and results for its properties, includin g anticipated timing thereof; and the

Eastside project’s resource expansion. 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 actu al 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, 2 018, 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.

HUGHES CANYON - SIGNIFICANT DRILL INTERCEPTS - 2018

Drillhole ID Meters

From

Meters

to

Feet

From

Feet

To

Thickness

Meters Au g/t Ag g/t

HUG 1 77.7 79.2 255 260 1.5 0.15 -

82.3 86.9 270 285 4.6 1.20 -

86.9 88.4 285 290 1.5 0.14 -

103.6 106.7 340 350 3.0 0.35 -

126.5 128.0 415 420 1.5 0.13 -

175.3 176.8 575 580 1.5 0.15 -

HUG 2 196.6 199.6 645 655 3.0 - 38.5

HUG 3 71.6 80.8 235 265 9.1 0.39 -

85.3 86.9 280 285 1.5 0.12 -

93.0 97.5 305 320 4.6 0.12 -

HUG 4 129.5 131.1 425 430 1.5 0.12 -

175.3 176.8 575 580 1.5 0.10 -

HUG 5 No Significant Values

HUG 6 111.3 114.3 365 375 3.0 0.18 -

HUG 7 67.1 68.6 220 225 1.5 0.28 -

76.2 77.7 250 255 1.5 0.48 -

79.2 80.8 260 265 1.5 0.29 -

102.1 105.2 335 345 3.0 0.17 -

HUG 8 36.6 38.1 120 125 1.5 0.13 -

132.6 135.6 435 445 3.0 0.20 -

HUG 9 No Significant Values

HUG 10 126.5 130.8 415 429 4.3 0.11 -

HUG 11 15.2 21.3 50 70 6.1 0.22 -

185.9 189.0 610 620 3.0 1.04 -

HUG 12 53.3 70.1 175 230 16.8 0.25 -

2019-01-17

www.allegiantgold.com