Liberty Gold Receives Second Year Option Payments for Kinsley Gold Project – Nevada
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51288915.1
News Release 21-22 November 15, 2021
Liberty Gold Receives Second Year Option Payments for Kinsley Gold
Project – Nevada
VANCOUVER, B.C. – Liberty Gold Corp. (TSX:LGD; OTCQX:LGDTF) ("Liberty Gold" or the
“Company”) is pleased to announce the receipt of 17,222,222 common shares in New Placer Dome
Gold Corp. (TSX-V:NGLD) (“New Placer Dome”) (“NPD Shares”) pursuant to to an option agreement
dated December 2, 2019, as amended, between the Company and New Placer Dome (the “Option
Agreement”), as partial consideration for the sale of Liberty Gold’s 79.9% interest in the Kinsley
Mountain gold project in Nevada (“Kinsley”). The receipt of US$1.25 million in cash, due pursuant
to the Option Agreement, is expected to be received prior to November 19, 2021.
The Option Agreement is consistent with Liberty Gold’s strategy of re-deploying capital into
advancing both the Black Pine and Goldstrike oxide gold development projects.
As of November12, 2021, Liberty Gold now holds 26,066,346 NPD Shares (C$2.7 million in value),
representing approximately 15.8% of the issued and outstanding shares on an undiluted basis. Both
Liberty Gold and Cal Everett, the Company ’s President and CEO will declare as insiders of New
Placer Dome.
Under the terms of the Option Agreement, New Placer Dome will be required to make an additional
payment of US$1.25 million in cash and US$1.25 million in NPD Shares on or before June 2, 2022.
Further Transaction Details
On June 2, 2020, pursuant to the Option Agreement, New Placer Dome paid the initial option
payments of US$1.25 million, US$124,570 in repayment of the surety bond deposit and 8,844,124
NPD Shares, representing 9.9% of New Placer Dome’s issued and outstanding common shares as at
that date. Liberty Gold’s 79.9% interest in Kinsley is held through it’s 100% owned subsidiary Pilot
Gold (USA) Inc.
Liberty Gold retains a 1% Net Smelter Royalty on Kinsley where New Placer Dome, at its sole
discretion, has the right to re -purchase up to one -half percent (0.5%) of the NSR royalty upon
payment of US$500,000.
Liberty Gold acquired the NPD Shares for investment purposes and will evaluate its investment in
New Placer Dome from time to time and may, based on such evaluation of market conditions and
other circumstances, increase or decrease its shareholdings in New Placer Dome as circumstances
require.
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This news release is being issued in accordance with National Instrument 62-103 The Early Warning
System and Related Take-Over Bid and Insider Reporting Issues . To obtain a copy of the early warning
report, please contact Susie Bell, Manager, Investor Relations, at 1 -877-632-4677, or by email:
[email protected] or refer to SEDAR under New Placer Dome’s profile.
Liberty Gold Corp.
Suite 1900, 1055 West Hastings Street
Vancouver, British Columbia
V6E 2E9
ABOUT LIBERTY GOLD
Liberty Gold is focused on exploring the Great Basin of the United States, home to large-scale oxide
gold projects amenable to 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. Our flagship deposits
are Black Pine in Idaho and Goldstrike in Utah, both past-producing open-pit mines.
For more information, visit 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. Forward -looking information is often, but not always, identified by the use of words such as "seek", "anticipate", "plan",
"continue", "planned", "expect", "project", "predict", "potential", "targeting", "intends", "believe", "potential", and simil ar 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 a chieved. 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, favourable 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 receipt of st aged payments pursuant to the Option Agreement, the
impact from the pandemic of the novel coronavirus (COVID -19), availability of equipment, the availability of drill rigs, successful resolution of disputes and anticipated costs and e xpenditures.
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 such forward -
looking information, including, risks related to the interpretation of results and/or the reliance on technical information p rovided by third parties as r elated to the Company’s mineral property
interests; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commo dities; possible variations in grade or recovery rates; the costs and
timing of the development of new deposits; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; the timing and success of exploration activities
generally; 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); the receipt of staged payments pursuant to the Halila ğa Sale Agreement, 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 unless required by law.