Liberty Gold Announces First 2021 Drill Results for the Goldstrike Oxide Gold Deposit, Utah - Great Basin, USA PGS 754: 3.60 g/t Au over 15.2 m including 7.75 g/t Au over 6.1 m PGS 753: 1.19 g/t Au over 39.6 m including 1.89 g/t Au over 10.7 m
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News Release 21-17 September 8, 2021
Liberty Gold Announces First 2021 Drill Results for the
Goldstrike Oxide Gold Deposit, Utah - Great Basin, USA
PGS 754: 3.60 g/t Au over 15.2 m including 7.75 g/t Au over 6.1 m
PGS 753: 1.19 g/t Au over 39.6 m including 1.89 g/t Au over 10.7 m
VANCOUVER, B.C. – Liberty Gold Corp. (TSX: LGD; OTCQX: LGDTF) ("Liberty Gold" or the
"Company") is pleased to announce the first results of the 2021 Reverse Circulation (“RC”) drill
program at the Goldstrike Oxide Gold Project in southwestern Utah (“Goldstrike”).
A 15,000 metre (“m”) RC drill program at Goldstrike commenced June 2021, focused on resource
conversion from inferred to indicated and testing areas where the deposit remains open laterally
and to depth. Drill results in this release include 1 7 holes for 2, 216 m, drilled in two areas: the
historic Hamburg Pit, part of the Main Zone where the majority of the gold ounces discovered to
date are located; and the Beavertail deposit located to the southwest.
Cal Everett, President and CEO of Liberty Gold stated , “Today’s drill results continue to
demonstrate that Goldstrike remains a high -quality PEA stage development project with upside,
and compelling economic returns at current gold prices. Although our primary focus has been on
advancing Black Pine for the last two years, we have returned to Goldstrike this year with a modest
budget to continue de -risking the project in parallel with Black Pine . These early drill results
indicate progress towards our goal of converting inferred blocks to indicated and provide potential
to increase the grade in some parts of the resource.”
HIGHLIGHTS
• Drill results confirm and extend upon the previous resource, consistently returning
intercepts of shallow (0 -100 m), high -grade mineralization, particularly in areas down- dip
on fault zones, which remained open following previous drill programs.
• Main Zone – Hamburg Pit results include:
o PGS 748: 2.09 grams per tonne (“g/t”) gold (“Au”) over 22.9 m, including 4.36 g/t Au
over 9.1m
o PGS 754: 3.60 g/t Au over 15.2 m, including 7.75 g/t Au over 6.1 m
o PGS 753: 1.19 g/t Au over 39.6 m including 1.89 g/t Au over 10.7 m
• Beavertail, results include:
o PGS 739: 1.02 g/t Au over 12.2 m, including 6.01 g/t Au over 1.5 m
• Down-dip and lateral extensions to oxide gold mineralization have been identified in both
the Hamburg and Beavertail areas.
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• Based on results to date, trenching of surficial deposits, additional metallurgical drilling
and testing, and initiation of baseline studies have been approved for execution this year,
to further advance the project.
• Drilling continues in Main Zone with a primary focus on in-fill with the testing of one new
target on the north side of the deposit.
MAIN ZONE – HAMBURG PIT
Main Zone drilling to date has focused on the historic Hamburg Pit area, including inferred resource
blocks located adjacent to and beneath the indicated portion of the resource. Of note are the high-
grade results in PGS754, with a 1.52 m-long interval grading 18.3 g/t Au, (within the interval grading
9.98 g/t Au over 4.6 m as shown in the highlight table) across the Hamburg fault zone, a regiona l
structural control on the distribution of gold mineralization. Drilling is on- going in this area and
further results are expected during Q4.
MAIN ZONE HIGHLIGHT TABLE*
*Please refer to the full table at the link below for complete results. Results are reported as drilled thicknesses, with true
thicknesses varying by hole orientation. True thicknesses are generally 60%to 90% of drilled thicknesses. Gold grades
are uncapped.
Hole ID (Az, Dip)
(degrees) From (m) To (m) Intercept
(m) Au (g/t) Au
Cut-Off
Hole
Length
(m)
Target
PGS748 (0, -60) 36.6 47.2 10.7 0. 39
and 74.7 97.5 22.9 2.09
incl 76.2 85.3 9.1 4.36 1
PGS749 (270, -60) 70.1 86.9 16.8 0.53 0.2
incl 83.8 85.3 1.5 1.58 1
PGS750 (0, -85 ) 21.3 44.2 22.9 0.90 0.2
Incl 21.3 25.9 4.6 2.86 1
PGS751 (0, -65) 48.8 59.4 10.7 0.84 0.2
incl 54.9 56.4 1.5 2.06 1
and 68.6 86.9 18.3 0.83 0.2
incl 71.6 74.7 3.0 1.49 1
PGS752 (18, -45) 30.5 47.2 16.8 0.78
and 76.2 89.9 13.7 0.74
incl 80.8 86.9 6.1 1.14 1
PGS753 (280, -85) 56.4 96.0 39.6 1.19 0.2
incl 73.2 83.8 10.7 1.89
incl 85.3 93.0 7.6 1.39
and 102.1 108.2 6.1 0.43 0.2
PGS754 (245, -40) 77.7 93.0 15.2 3.60 0.2
incl 77.7 83.8 6.1 7.75 1
also incl 77.7 82.3 4.6 9.98 5
PGS755 (220, -57) 56.4 74.7 18.3 1.74 0.2
incl 56.4 71.6 15.2 2.03 1
0.2 114.3 Hamburg
0.2
141.7 Hamburg
Hamburg141.7
126.5 Hamburg
121.9 Hamburg
135.6 Hamburg
105.2 Hamburg
120.4 Hamburg
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BEAVERTAIL (WEST GOLDSTRIKE ZONE) DRILLING
Drilling in the Beavertail deposit area has confirmed the presence of shallow oxide mineralization
in areas of inferred resource. Drilling successfully targeted gold mineralization in inferred resource
blocks.
BEAVERTAIL (WEST GOLDSTRIKE ZONE) HIGHLIGHT TABLE*
*Please refer to the full table at the link below for complete results. Results are reported as drilled thicknesses, with true
thicknesses varying by hole orientation. True thicknesses are generally 60% to 90% of drilled thicknesses. Gold grades
are uncapped.
For a map and cross sections of the Goldstrike Property, including drill collars and traces for the
current release, please click here:
https://libertygold.ca/images/news/2021/September/Goldstrike_NR09082021MapSections.pdf
For a complete table of drill results from all Liberty Gold drill holes at Goldstrike, please click
here: https://libertygold.ca/images/news/2021/September/GS_Intercepts09082021.pdf
ABOUT GOLDSTRIKE
Goldstrike is located in the eastern Great Basin, immediately adjacent to the Utah/Nevada border,
and is a Carlin -style gold system, similar in many ways to the prolific deposits located along
Nevada’s Carlin trend. Like Black Pine and Nevada Gold Mines Long Canyon deposit, Goldstrike
represents part of a growing number of Carlin- style gold systems located off the main Carlin and
Cortez trends in underexplored parts of the Great Basin.
Goldstrike is a past -producing, open-pit run of mine heap-leach operation that produced 209,000
ounces (“oz”) of gold and 197,000 oz of silver between 1988 and 1994 during a period of historically
low gold prices . Ore was mined from 12 shallow pits, at an average grade of 1.2 g/t Au and an
average recovery of approximately 75%. Liberty Gold carried out extensive compilation, drilling
Hole ID (Az, Dip)
(degrees) From (m) To (m) Intercept
(m) Au (g/t) Au
Cut-Off
Hole
Length
(m)
Target
PGS739 (0, -90) 32.0 41.1 9. 1 0.40
and 79.2 91.4 12.2 1.02
incl 85.3 86.9 1.5 6.01 1
and 117.3 126.5 9.1 0.82 0.2
PGS740 (85, -50) 77.7 111.3 33.5 0.79 0.2
incl 80.8 88.4 7.6 1.03 1
PGS742 (200, -68) 0.0 62.5 62.5 0.46 0.2
incl 35.1 38.1 3.0 1.55 1
PGS743 (65, -80) 4.6 76.2 71.6 0.38 0.2
incl 62.5 64.0 1.5 2.02 1
0.2
147.8 Beavertail
135.7 Beavertail
120.4 Beavertail
147.9 Beavertail
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and metallurgical work, releasing a resource estimat e and Preliminary Economic Assessment
(“PEA”) in 2018. The resource includes an Indicated 925,000 oz of gold grading 0.50 g/t Au
(57,846,000 tonnes) and an Inferred 296,000 oz of gold grading 0.47 g/t Au (19,603,000 tonnes),
backed by over 1,700 drill holes. The PEA mines 915,516 oz of gold at a life of mine all in sustaining
costs of US $793/oz, returning a Net Present Value (“NPV”) at a 5% discount rate of US $129.5
million and an Internal Rate of Return (“IRR”) of 29.4% at US$1,300/oz gold prices. A sensitivity
analysis using US $1,700/oz gold returns an NPV5% of US $291.7 million and an IRR of 52.4%
representing strong economic returns at current gold prices.
The 2021 drilling campaign is designed to convert areas of inferred resource to indicated resource
in support of a Prefeasibility Study decision and will also test for extensions to mineralization in
several areas.
A virtual site tour and 3D model of the Goldstrike property, including details about the geology and
mineralization, is available on the Company’s website: libertygold.ca
QUALITY ASSURANCE – QUALITY CONTROL
Drill composites were calculated using a cut -off of 0.20 g/t. Drill intersections are reported as
drilled thicknesses. True widths of the mineralized intervals vary between 30 % and 100% of the
reported lengths due to varying drill hole orientations but are typically in the range of 60 % to 80%
of true width. Drill samples were assayed by ALS Limited in Reno, Nevada for gold by Fire Assay of
a 30 gram (1 assay ton) (“g/t”) charge with an AA finish, or if over 5.0 g/t were re- assayed and
completed with a gravimetric finish. For these samples, the gravimetric data were utilized in
calculating gold intersections. For any samples assaying over 0.200 ppm an additional cyanide leach
analysis is done where the sample is treated with a 0.25% NaCN solution and rolled for an hour. An
aliquot of the final leach solution is then centrifuged and analyzed by Atomic Absorption
Spectroscopy. QA/QC for all drill samples consists of the insertion and continual monitoring of
numerous standards and blanks into the sample stream, and the collection of duplicate samples at
random intervals within each batch. Selected holes are also analyzed for a 51 mult i-element
geochemical suite by ICP- MS. ALS Geochemistry -Reno is ISO 17025:2005 Accredited, with the
Elko prep lab listed on the scope of accreditation.
QUALIFIED PERSON
Moira Smith, Ph.D., P.Geo., Vice -President Exploration and Geoscience, Liberty Gold, is the
Company's designated Qualified Person for this news release within the meaning of National
Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43 -101") and has reviewed
and validated that the information contained in the release is accurate.
ABOUT LIBERTY GOLD
Liberty Gold is focused on exploring the Great Basin of the United States, home to large-scale gold
projects that are ideal for open- pit mining. This region is one of the most prolific gold -producing
regions in the world and stretches across Nevada and into Idaho and Utah. We know the Great
Basin and are driven to discover and advance big gold deposits that can be mined profitably in open-
pit scenarios. Our flagship projects are Black Pine in Idaho and Goldstrike in Utah, both pas t-
producing open-pit mines, where previous operators only scratched the surface.
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For more information, visit www.libertygold.ca or contact:
Susie Bell, Manager, Investor Relations
Phone: 604-632-4677 or Toll Free 1-877-632-4677
All statements in this press release, other than statements of historical fact, are "forward -looking information" with respect to Liberty
Gold within the meaning of applicable securities laws, including statements that address potential quantity and/or grade of minerals, the
potential size of the mineralized zone, the proposed timing of exploration and development plans, expected capital costs at Goldstrike,
expected gold recoveries from the Goldstrike mineralized material, the potential upgrade of inferred mineral resources to measured and
indicated mineral resources, the 2021 work program and the results thereof, the timing and results of any PEAs and the planne d
development work at Goldstrike. Forward -looking information is often, but not always, identifi ed by the use of words such as "seek",
"anticipate", "plan", "continue", "planned", "expect", "project", "predict", "potential", "targeting", "intends", "believe", "potential", and
similar expressions, or describes a "goal", or variation of such words and phrases or state that certain actions, events or results "may",
"should", "could", "would", "might" or "will" be taken, occur or be achieved. Forward -looking information is not a guarantee of future
performance and is based upon a number of estimates and assumptions of management at the date the statements are made including,
among others, assumptions about future prices of gold, and other metal prices, currency exchange rates and interest rates, fa vourable
operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licenses
and permits and obtaining required licenses and permits, labour stability, stability in market conditions, the impact from the pandemic of
the novel coronavirus (COVID-19), availability of equipment, timing of the publication of any PEAs, the availability of drill rigs, successful
resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the
control of Liberty Gold and there is no assurance they will prove to be correct.
Such forward-looking information, involves known and unknown risks, which may cause the actual results to be materially different from
any future results expressed or implied by s uch forward-looking information, including, risks related to the interpretation of results
and/or the reliance on technical information provided by third parties as related to the Company’s mineral property interests ; changes
in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in
grade or recovery rates; the costs and timing of the development of new deposits; failure of equipment or processes to operat e as
anticipated; the fa ilure of contracted parties to perform; the timing and success of exploration activities generally; the timing of the
publication of any PEAs; delays in permitting; possible claims against the Company; labour disputes and other risks of the mining industry,
including impacts from the pandemic of the novel coronavirus (COVID-19); delays in obtaining governmental approvals, financing or in
the completion of exploration as well as those factors discussed in the Annual Information Form of the Company dated March 26, 2021
in the section entitled "Risk Factors", under Liberty Gold’s SEDAR profile at www.sedar.com.
Although Liberty Gold has attempted to identify important factors that could cause actual actions, events, or results to differ materially
from those described in forward -looking information, there may be other factors that cause actions, events or results not to be as
anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future
events could differ materially from those anticipated in such statements. Liberty Gold disclaims any intention or obligation to update or
revise any forward-looking information, whether as a result of new information, future events or otherwise.
Cautionary Note for United States Investors
The terms “mineral resource”, “measured mineral resource”, “indicated mineral resource” and “inferred mineral resource”, are Canadian
mining terms as defined in, and required to be disclosed in accordance with, National Instrument 43 -101 – Standards of Disclosure for
Mineral Projects (“NI 43-101”), which references the guidelines set out in the Canadian Institute of Mining, Metallurgy and Petroleum
(the “CIM”) – CIM Definition Standards on Mineral Resources and Mineral Reserves (“CIM Definition Standards”), adopted by the CIM
Council, as amended. However, these terms are not defined terms under SEC Industry Guide 7 (“SEC Industry Guide 7”) under the United
States Securities Act of 1933, as amended, and normally are not permitted to be used in reports and registration statements filed with
United States Securities and Exchange Commission (the “ SEC”). The SEC has adopted amendments to its disclosure rules to modernize
the mineral property disclosure requirements for issuers whose securities are registered with the SEC under the United States Securities
Exchange Act of 1934, as amended. These amendments became effective February 25, 2019 (the “ SEC Modernization Rules ”) with
compliance required for the first fiscal year beginning on or after January 1, 2021. The SEC Modernization Rules replace the historical
disclosure requirements for mining registrants that were included in SEC Industry Guide 7. The Company does not file reports with the
SEC and is not required to provide disclosure on its mineral properties under the SEC Modernization Rules and will continue to provide
disclosure under NI 43-101 and the CIM Definition Standards.
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United States investors are cautioned that there are differences in the definitions under the SEC Modernization Rules and the CIM
Definition Standards. There is no assurance any mineral resources that the Company may report as “measured mineral resources” ,
“indicated mineral resources” and “inferred mineral resou rces” under NI 43 - 101 would be the same had the Company prepared the
resource estimates under the standards adopted under the SEC Modernization Rules. United States investors are also cautioned that
while the SEC will now recognize “measured mineral resou rces”, “indicated mineral resources” and “inferred mineral resources”,
investors should not assume that any part or all of the mineralization in these categories will ever be converted into a higher category of
mineral resources or into mineral reserves. M ineralization described using these terms has a greater amount of uncertainty as to their
existence and feasibility than mineralization that has been characterized as reserves. Accordingly, investors are cautioned not to assume
that any “measured mineral resources”, “indicated mineral resources” or “inferred mineral resources” that the Company reports are or
will be economically or legally mineable. Further, “inferred mineral resources” have a greater amount of uncertainty as to their existence
and as to whether they can be mined legally or economically. Therefore, United States investors are also cautioned not to assume that
all or any part of the “inferred mineral resources” exist. In accordance with Canadian securities laws, estimates of “inferred mineral
resources” cannot form the basis of feasibility or other economic studies, except in limited circumstances where permitted under NI 43-
101. In addition, the SEC has amended its definitions of “proven mineral reserves” and “probable mineral reserves” to be “substantially
similar” to the corresponding CIM definitions. United States investors are cautioned that a preliminary economic assessment cannot
support an estimate of either “proven mineral reserves” or “probable mineral reserves” and that no feasibilit y studies have been
completed on the Company’s mineral properties.
Accordingly, information contained herein describing the Company’s mineral deposits may not be comparable to similar informat ion
made public by U.S. companies subject to the reporting and disclosure requirements under the United States federal securities laws and
the rules and regulations thereunder.