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PGS135: 21.3m Grading 0.82 g/t Au and PGS147: 10.7 m Grading 0.80 g/t Au

VANCOUVER, B.C. – Pilot Gold Inc. (PLG - TSX) ("Pilot Gold" or the "Company") is pleased to announce drill results from the newly tested Peg Leg target at the 100% controlled Goldstrike Project in southwestern Utah. The primary target at Goldstrike is shallow, Carlin-style, oxide gold mineralization within the 14 km2 “Historic Mine Trend”, between and down-dip of historic open pits. The Peg Leg target is 1500 metres long and is located southwest of the Main Zone near the historic Covington and Hamburg Pits.

Highlights from this new target include:

  • 0.43 g/t Au over 32.0 m in PGS130
  • 0.82 g/t Au over 21.3 m in PGS135
  • 0.57 g/t Au over 13.7 m and 0.47 g/t Au over 6.1 m and 0.58 g/t over 3.0 m in PGS145
  • 0.80 g/t Au over 10.7 m in PGS147
  • 0.54 g/t Au over 25.9 m and 0.75 g/t Au over 10.7 m in PGS149
  • 0.80 g/t Au over 7.6 m in PGS151

* Please note that due to having two drills on the property, assay results are not necessarily received in sequence.

There are 3 historical RC drill holes in the Peg Leg target.

  • Drill hole 90-035: 0.82 g/t Au over 24.4 m
  • Drill hole 91-078: 0.67 g/t Au over 27.4 m, starting from 82.3 m downhole.
  • Drill hole 91-077: 0.43 g/t Au over 4.6 m and 0.57 g/t Au over 10.7 m, starting from 18.3 m down hole.

KEY POINTS

  • The Peg Leg target covers an area approximately 1.5 km long and up to 250 m wide southwest of the Main Zone where Pilot Gold drilled over 100 drill holes in 2016.
  • Pilot Gold tested a 1 km-long portion of Peg Leg with 15 widely spaced drill holes drilled from 11 drill sites.  Of these, 12 contained gold mineralization and only three yielded no significant results.
  • Hole PGS149 is located along the southern Peg Leg margin, and is believed to lie along the same fault that hosts mineralization in the historic Covington pit, located 650 m to the west, and the historic Moosehead pit, located an additional 1 km further to the west. 
  • Follow-up drilling in the Peg Leg target will focus on areas of mineralization identified in the first-pass drilling, particularly the southern, graben-bounding, Covington Fault.

For a complete table of drill results for the current holes, please click here: http://libertygold.ca/sites/default/files/GS_Intercepts12312016.pdf

For a complete table of results for all drilling by Pilot Gold at Goldstrike in 2015 and to date in 2016, click here: http://libertygold.ca/sites/default/files/GS_Intercepts2015to12312016.pdf

For a map of drill collars and traces for the current release, click here: http://libertygold.ca/sites/default/files/GoldStrike_PR2017-01.jpg

For a map showing the areas of new drilling and the location of historic pits at Goldstrike, click here: http://libertygold.ca/sites/default/files/GoldstrikeFutureDrilling.jpg 

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 Kinsley Mountain and Newmont’s Long Canyon deposit, Goldstrike represents part of a growing number of Carlin-type systems located off the main Carlin and Cortez trends in largely underexplored parts of the Great Basin.  

Goldstrike is an early-stage exploration projects and does not contain any mineral resource estimates as defined by National Instrument 43-101 Standards of Disclosure of Mineral Projects (“NI 43-101”).  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. 

Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo., available on the Company’s website at www.pilotgold.com or under Pilot Gold’s SEDAR profile at www.sedar.com

KINSLEY PROJECT UPDATE
A helicopter-borne MAG-VTEM survey has been completed over the 10 km2 Kinsley Project, in order to better define drill targets on a regional scale. In 2014, Pilot Gold discovered the Western Flank gold deposit in the Secret Canyon Shale and outlined an indicated gold resource of 284,000 ounces grading 6.04 g/t and an additional inferred resource of 39,000 ounces of gold grading 2.41 g/t (using multiple cut-offs1). In 2016, one drill target southwest of the Kinsley Main historic pit was tested with four holes, with no significant gold intercepts. Twelve new target areas, some of which have been confirmed to be gold bearing based on compilation of historical drill results, have been selected for potential future drill programs. The airborne survey will be used to assist in locating drill holes for these future programs.

(1) Cut-off grades at Kinsley assume an open-pit mining scenario, using a pit floor elevation generated using Whittle software, reasonable assumptions for mining and milling costs, and a US$1,300/oz gold price.

The Company holds approximately 79.1% of Kinsley. Intor Resources Corporation ("Intor"), a subsidiary of Nevada Sunrise Gold Corp., is the Company's joint venture partner at Kinsley. Further information on Kinsley is available in the technical report entitled “Updated Technical Report and Estimated Mineral Resources for the Kinsley Project, Elko and White Pine Counties, Nevada, U.S.A.”, effective October 15, 2015, dated December 16, 2015 and prepared by Michael M. Gustin, CPG, Moira Smith, Ph.D., P.Geo. and Gary Simmons, B.Sc. MMSA, available on the Company’s website at www.pilotgold.com or under Pilot Gold’s SEDAR profile at www.sedar.com.

Moira Smith, Ph.D., P.Geo., Vice-President Exploration and Geoscience, Pilot Gold, is the Company's designated Qualified Person for this news release within the meaning of NI 43-101 and has reviewed and validated that the information contained in the release is accurate. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions.QA/QC for all drill samples consists of the insertion and continual monitoring of numerous standards aonnd 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 multi-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.

ABOUT PILOT GOLD
Pilot Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada. The Company also holds important interests in two Turkish assets, Halilaga and TV Tower, and has a pipeline of Western US projects characterized by large land positions and district-wide potential that can meet our growth needs for years to come.

For more information, visit www.pilotgold.com or contact:
Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

All statements in this press release, other than statements of historical fact, are "forward-looking information" with respect to Pilot Gold within the meaning of applicable securities laws, including statements that address potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, successful delivery of results of metallurgical testing, the release of an initial resource report, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of Pilot 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 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 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; 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 17, 2016 in the section entitled "Risk Factors", under Pilot Gold’s SEDAR profile at www.sedar.com.

Although Pilot 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. Pilot 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.

Cautionary Note to United States Investors Concerning Estimates of Measured, Indicated and Inferred Resources.

Mineral resources that are not mineral reserves do not have demonstrated economic viability. Mineral resource estimates do not account for mineability, selectivity, mining loss and dilution. There is also no certainty that these inferred mineral resources will be converted to measured and indicated categories through further drilling, or into mineral reserves, once economic considerations are applied. The mineral resource estimates referenced in this press release use the terms “Indicated Mineral Resources” and “Inferred Mineral Resources”. While these terms are defined in and required by Canadian regulations (under NI 43-101), these terms are not recognized by the U.S. Securities and Exchange Commission (“SEC”). "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. The SEC normally only permits issuers to report mineralization that does not constitute SEC Industry Guide 7 compliant “reserves” as in-place tonnage and grade without reference to unit measures. U.S. investors are cautioned not to assume that any part or all of mineral deposits in these categories will ever be converted into reserves. Pilot Gold is not an SEC registered company.

PGS170: 32.0 m grading 0.72 g/t Au and PGS188: 22.9 m grading 0.86 g/t Au

VANCOUVER, B.C. – Pilot Gold Inc. (PLG - TSX) ("Pilot Gold" or the "Company") is pleased to announce additional drill results from the Main and Aggie zones, as well as from the new Dip Slope and Warrior zones, located north and west respectively, of the Main Zone, at the 100% controlled Goldstrike Project in southwestern Utah. The primary target is shallow Carlin-style, oxide gold mineralization within the 14 km2 “Historic Mine Trend”, between and down-dip of historic open pits. 

Highlights from the New Dip Slope Zone include:

-      0.51 grams per tonne gold (g/t Au) over 41.1 metres (m) including 1.24 g/t over 6.1 m in PGS142
-      1.14 g/t Au over 6.1 m in PGS144
-      0.58 g/t Au over 21.3 m in PGS153
-      2.81 g/t Au over 3.0 m in PGS161

Highlights from the New Warrior Zone include:

-      0.59 g/t Au over 25.9 m in PGS166
-      0.86 g/t Au over 22.9 m including 1.45 g/t Au over 4.6 m in PGS188
-      To date, a total of three holes have been drilled in the Warrior Zone. The discovery hole, PGS126, returned 0.84 g/t Au over 10.7 m and 0.83 g/t Au over 10.7 m. 

Highlights from the existing Main and Aggie Zones include:

-      0.53 g/t Au over 22.9 m including 1.03 g/t over 4.6 m in PGS131
-      0.63 g/t Au over 10.7 m in PGS165
-      0.48 g/t Au over 24.4 m in PGS168
-      0.72 g/t Au over 32.0 m including 2.07 g/t Au over 4.6 m in PGS170
-      0.84 g/t Au over 27.4 m including 1.55 g/t Au over 10.7 m in PGS175

* Note that due to having two drills on the property, assay results for the holes are not necessarily received in sequence.

KEY POINTS

  • The 2017 drill program commenced today, with two drills on the property.  Initially, the drills will focus on the Peg Leg, Warrior and Dip Slope targets in order to include these areas in a resource estimate, projected for completion in Q2, 2017.
  • The Dip Slope target covers an area approximately 2.5 km long and up to 800 m wide directly north of the Main Zone. The Dip Slope area hosts several historic pits, as well as unmined gold intercepts in historic holes adjacent to the pits.  Approximately 85% of the target area is still undrilled, or only very sparsely drilled.
  • The objective of the 17-hole, first-pass test of the Dip Slope was to identify areas where the host basal Claron Formation extends beyond the immediate pit areas under shallow cover. The results suggest that significant additional drilling is warranted.  Drill testing of outlying areas will commence following receipt of the Plan of Operations.
  • The Warrior target is located in the western Goldstrike Graben approximately 350 m west of the Aggie Zone. To date, Pilot Gold has tested this new zone with three drill holes.  All three holes contain significant thicknesses of oxide gold mineralization.   Follow-up drilling in 2017 will be focused on extending this zone where it is open to the north and west.
  • Results from five follow-up drill holes at Peg Leg and 12 holes from the Covington Pit area to the west, are still pending.

For a complete table of drill results for the current holes, please click here: 

http://pilotgold.com/sites/default/files/GS_Intercepts02012017.pdf

For a complete table of results for all drilling by Pilot Gold at Goldstrike in 2015 and to date in 2016, please click here: http://pilotgold.com/sites/default/files/GS_Intercepts2015to02012017.pdf

For a map of drill collars and traces for the current release, please click here:

http://pilotgold.com/sites/default/files/GoldStrike_PR2017-02.jpg

For a map showing the areas of new drilling and the location of historic hits at Goldstrike, please click here:

http://pilotgold.com/sites/default/files/GoldstrikeFutureDrilling.jpg 

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 Kinsley Mountain and Newmont’s 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.    The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

Moira Smith, Ph.D., P.Geo., Vice-President Exploration and Geoscience, Pilot 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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions.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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Pilot Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT PILOT GOLD
Pilot Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada. The Company also holds important interests in two Turkish assets, Halilaga and TV Tower, and has a pipeline of Western US projects characterized by large land positions and district-wide potential that can meet our growth needs for years to come.

For more information, visit www.pilotgold.com or contact:
Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

All statements in this press release, other than statements of historical fact, are "forward-looking information" with respect to Pilot Gold within the meaning of applicable securities laws, including statements that address potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, successful delivery of results of metallurgical testing, the release of an initial resource report, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of Pilot 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 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 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; 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 17, 2016 in the section entitled "Risk Factors", under Pilot Gold’s SEDAR profile at www.sedar.com.

Although Pilot 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. Pilot 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.

 

PGS179: 29.0 m grading 1.78 g/t Au,  PG187: 18.3 m grading 1.33 g/t Au and
PGS 191: 6.1 m grading 1.57 g/t Au and 7.6 m grading 4.10 g/t Au

VANCOUVER, B.C. – Pilot Gold Inc. (PLG - TSX) ("Pilot Gold" or the "Company") is pleased to announce additional drill results from 17 drill holes in the Peg Leg and Covington Pit areas, located south and west respectively, of the Main Zone, at the 100% controlled Goldstrike Project in southwestern Utah. The primary target is shallow Carlin-style, oxide gold mineralization within the 14 km2 “Historic Mine Trend”, between and down-dip of historic open pits.

Highlights from the Peg Leg Zone (5 drill holes) include:

  • 1.78 grams per tonne gold (g/t Au) over 29.0 metres (m) including 3.54 g/t over 12.2 m in PGS179
  • 0.90 g/t Au over 6.1 m and 0.76 g/t Au over 33.5 m including 1.47 g/t over 6.1 m in PGS183
  • 1.33 g/t Au over 18.3 m in PGS187
  • One of the remaining two drill holes intercepted 0.41 g/t Au over 12.2 m (PGS186), with 1 hole missing the target.

Following the widely-spaced proof-of-concept drill holes released last month, including 0.51 g/t Au over 41.1 m in PGS142 and 0.54 g/t Au over 25.9 m and 0.75 g/t Au over 10.7 m in PGS149 (refer to news release dated January 10, 2017), these additional results from the new 1.5 km-long Peg Leg area continue to demonstrate that additional drilling is warranted.

Highlights from the Covington Pit area (12 drill holes) include:

  • 1.57 g/t Au over 6.1 m and 4.10 g/t Au over 7.6 m including 6.32 g/t Au over 4.6 m in PGS191
  • 1.15 g/t Au over 10.7 m in PGS182
  • 0.83 g/t Au over 3.0 m and 7.36 g/t Au over 1.5 m in PGS178
  • 0.74 g/t Au over 6.1 m in PGS 185
  • Three of the remaining eight drill holes intercepted narrow widths including 0.23 g/t Au over 4.6 m and 0.83 g/t Au 3.0 m.  Five drill holes were lost due to ground conditions or crossed the south graben-bounding fault before intersecting the target basal Claron Formation. New drilling will be carried out at steeper angles in order to intercept the target.
  • Four of the holes confirmed that higher grade mineralization is hosted in an east-west striking mafic dike located immediately north of the Covington Pit.

There are currently two drills operating on the project in the Aggie area and on the new Warrior Zone target.  All 2016 drill results have been released.

For a complete table of drill results for the current holes, please click here: http://pilotgold.com/sites/default/files/GS_Intercepts08022017.pdf

For a complete table of results for all drilling by Pilot Gold at Goldstrike in 2015 and to date in 2016, please click here: http://pilotgold.com/sites/default/files/GS_Intercepts2015to08022017.pdf

For a map of drill collars and traces for the current release, please click here: http://pilotgold.com/sites/default/files/GoldStrike_PR2017-03.jpg

For a map showing the areas of new drilling and the location of historic pits at Goldstrike, please click here: http://pilotgold.com/sites/default/files/GoldstrikeFutureDrilling.jpg 

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 Kinsley Mountain and Newmont’s 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.    The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

Moira Smith, Ph.D., P.Geo., Vice-President Exploration and Geoscience, Pilot 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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions.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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Pilot Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT PILOT GOLD
Pilot Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada. The Company also holds important interests in two Turkish assets, Halilaga and TV Tower, and has a pipeline of Western US projects characterized by large land positions and district-wide potential that can meet our growth needs for years to come.

For more information, visit www.pilotgold.com or contact:
Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

All statements in this press release, other than statements of historical fact, are "forward-looking information" with respect to Pilot Gold within the meaning of applicable securities laws, including statements that address potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, successful delivery of results of metallurgical testing, the release of an initial resource report, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of Pilot 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 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 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; 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 17, 2016 in the section entitled "Risk Factors", under Pilot Gold’s SEDAR profile at www.sedar.com.

Although Pilot 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. Pilot 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.

VANCOUVER, B.C. – Pilot Gold Inc. (PLG - TSX) ("Pilot Gold" or the "Company") is pleased to report on the compilation and interpretation of historic data at the recently acquired Black Pine Project in southeastern Idaho.  Black Pine is a past-producing heap leach gold mine that contains a large, shallow, oxidized, district scale Carlin-style gold system, similar in nature and target size to Pilot Gold’s Goldstrike Property in Utah.  The high priority target area, as confirmed by historical mining records, drilling and surface sampling, covers a 12 square kilometer area, within a larger claim block covering nearly 32 square kilometres.

While the Company’s focus is on drilling and building a resource at Goldstrike, the addition of Black Pine provides us with another opportunity to advance and define a large, Carlin-style oxide gold resource in the Great Basin of the United States.  Target generation at Black Pine is currently underway, in advance of a drill program expected later in 2017.  

Pilot Gold acquired 100% of the Black Pine Property from Western Pacific Resources Corporation on June 16, 2016, and began an intensive data compilation effort in order to generate a 3D interpretive model and high-priority drill targets. Pilot Gold has locational, geology and assay data from 1,866 shallow holes, totaling 191,481 metres and has identified three broad target types for drill testing, including: 1) down-dip extensions of gold mineralization from mined pits under shallow cover; 2) unmined bodies of mineralization identified by previous operators; and 3) undrilled, high priority gold-in-soil anomalies.

Key Points:

  • Drill program planned for Q3/Q4 2017.
  • An existing Plan of Operations allowing for drilling activity in selected areas came with the project acquisition.
  • Mineralization controls are both structural and stratigraphic.  The average, historic life-of-mine head grade was 0.63 g/t Au, with gold mined from 7 separate pits. There was significant variability in mined head grade, with 30% of production coming from 3 pits averaging 1.2 g/t gold.  This is reflected in high grades obtained during drill definition of the historic mineralization in these pits, including:
    • 14.66 g/t Au over 19.8 metres
    • 19.13 g/t Au over 24.4 metres
    • 7.15 g/t Au over 32.0 metres
    • 2.56 g/t Au over 88.8 metres
    • 4.69 g/t Au over 44.2 metres
  • A large number of holes contain unmined gold intercepts proximal to and below the historical 7 mined pit areas, including:
    • 1.80 g/t Au over 50.3 metres
    • 2.85 g/t Au over 22.9 metres
    • 3.63 g/t Au over 16.8 metres
    • 6.88 g/t Au over 10.7 metres
    • 1.16 g/t Au over 60.9 metres
    • 1.91 g/t Au over 42.7 metres
  • Twelve targets have been identified for drill testing. Many of these targets remain untested owing to the historic nature of drilling, which was largely shallow and production driven in a sub-US$400 gold environment, as evidenced by key statistics extracted from the database:
    • 257 of 1,866 drill holes (14%) ended in > 0.2 g/t Au and 92 (5%) ended in >0.5 g/t Au.
    • 93 metres is the median drill hole depth, with only 31 drill holes (<2%) over 200 metres.
  • Of the 1,866 historical drill holes, 787 holes, or nearly 42%, have unmined gold intercepts of  > 1.5 metres grading > 0.30 g/t Au.
  • As-mined topographic maps, blast hole data, block models and other data are being used to build an accurate model of geology and remaining gold mineralization pursuant to drill targeting.
  • Pilot Gold has recently staked an additional 55 claims on the south and southeast corner of the claim block bringing the total to 400 federal lode claims covering 31.7 km2. These claims were staked after the recovered database revealed historical drill holes with mineralized intercepts located outside of the acquired claim block.

For more details about the Black Pine Property, including location, geology & geochemistry maps and past production and target figures, please click here: http://www.pilotgold.com/images/Presentations/2017/BlackPineFeb2017.pdf

Moira Smith, Ph.D., P.Geo., Vice-President Exploration and Geoscience, Pilot 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 Black Pine

The Black Pine property is located in southeastern Idaho, northwest of Snowville, Utah, between Utah State highway 30 and Interstate highway 15. The property includes 400 federal lode claims, covering 31.7 km2. The mineralized zone was extensively drilled in the immediate pit areas, with mining carried out by Pegasus Gold Corp. from 7 shallow pits over a 6-year period from 1992 to 1997 in a run of mine heap leach operation. The mining operation produced 435,000 ounces of gold from ore averaging 0.63 g/t gold, with a reported recovery of 65%. 

Black Pine is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101. There has been insufficient exploration to define a mineral resource for any of the targets disclosed herein.

Some of the data presented herein, includes legacy data developed by previous operators of the Black Pine property prior to the introduction of NI43-101. Drill intersections are reported as drilled thicknesses. True widths of the mineralized intervals are unknown. Production data sourced from Pegasus internal yearly statements on production and remaining Reserves and Mineralized material. Pilot Gold is providing this legacy data for informational purposes only, and gives no assurance as to its reliability and relevance to the Company’s current results and proposed exploration program at Black Pine.  Pilot Gold has not completed any quality assurance program or applied quality control measures to the legacy data, nor has a Qualified Person done sufficient work to verify the source of the legacy data.  Accordingly, the legacy data should not be relied upon.  While Pilot Gold plans to verify some or all of the legacy data, the anticipated timing and results of that data verification cannot be ascertained at this time. Confirmation work may produce results that differ substantially.

ABOUT PILOT GOLD

Pilot Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada. The Company also holds important interests in two Turkish assets, Halilaga and TV Tower, and has a pipeline of Western US projects characterized by large land positions and district-wide potential that can meet our growth needs for years to come.

For more information, visit www.pilotgold.comor contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

All statements in this press release, other than statements of historical fact, are "forward-looking information" with respect to Pilot Gold within the meaning of applicable securities laws, including statements that address potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, successful delivery of results of metallurgical testing, the release of an initial resource report, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of Pilot 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 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 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; 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 17, 2016 in the section entitled "Risk Factors", under Pilot Gold’s SEDAR profile at www.sedar.com.

Although Pilot 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. Pilot 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.

 

VANCOUVER, B.C. – Pilot Gold Inc. (PLG - TSX) ("Pilot Gold" or the "Company") is pleased to announce its financial and operating results for the year ended December 31, 2016, and to provide an outlook on 2017.  

Our exploration activities and budget in 2017 will continue to focus on our three significant US gold projects, all of which are past producing, open pit, heap leach, Carlin-style gold mines. Our Goldstrike project in Utah, Black Pine project in Idaho, and Kinsley Mountain project in Nevada are cornerstone assets that are extremely well located and have the potential for significant resource growth.

All amounts are presented in United States dollars unless otherwise stated.

Company highlights through and subsequent to December 31, 2016:

  • Continued to report encouraging gold results at Goldstrike at multiple targets, including results from new targets: Peg Leg, Dip Slope, Covington and Warrior, with ongoing infill and resource drilling at the Main and Aggie Zones.
  • Continued data compilation, modelling and drill targeting at the historic Black Pine heap leach gold mine.  Black Pine was acquired in 2016 from Western Pacific Resources as part of our continuing effort to identify and secure shallow, oxidized Carlin-style gold systems, similar in nature and target size to Kinsley and Goldstrike. (See press releases of June 16, 2016 and February 21, 2017)
  • Completed a bought deal financing of C$14.42 million (the "2016 Bought-Deal") (See press release of November 16, 2016)

Goldstrike, Utah

The program objective for 2016 was to advance the property to an initial mineral resource estimate in 2017, incorporating new and historical drill hole data over a broad area. The 2016 program was successful in delineating vast areas of new shallow, oxide gold mineralization between, adjacent to, and under the historic open pits.  Results from this program continued to expand the area of known mineralization, yielding encouraging gold results from several new target areas: Aggies, Covington, Dip Slope, Peg Leg, and Warrior.

For the year ended December 31, 2016, expenditures, including non-cash items, capitalized to Goldstrike were $4.59 million (year ended December 31, 2015: $1.03 million), including: drilling and assaying ($2.47 million), salaries ($0.91 million), property-related payments ($0.48 million), and analyses and surveys ($0.36 million).

The initial 2017 exploration program and budget at Goldstrike is $5.98 million. The 2017 RC drilling program began on February 1, 2017 and is set to continue through to November, for a total of 42,500m of drilling.  Areas of focus are located to the north and west of the Main Zone, and include the Peg Leg Graben, over an area one km-long and up to 250 m wide, and the 4 km2 Dip Slope zone, host to several historic pits.

Metallurgical testing is underway using material derived from 10 large-diameter core holes drilled in 2016, with final results expected during Q2 2017. Metallurgical testing encompasses bottle rolls, column testing and comminution test work, in order to provide sufficient data for modeling and prediction of gold recovery over a wide range of mineralization types and feed sizes.

The Company is operating under a Notice of Intent ("NOI"), which has been amended and increased four times to date, allowing for up to 9.76 acres of disturbance for access and drill sites.  In February 2017, the Company applied for an additional NOI for a further 1.8 acres of disturbance in the property’s Mineral Mountain area. We expect to receive approval on a full Plan of Operations ("PoO") by the end of Q2 2017, which will allow access for drilling over a large number of targets property-wide. 

The Company also expects to report a first-time mineral resource estimate at Goldstrike in a revised technical report in mid Q2 2017.

Kinsley, Nevada

On December 17, 2015, the Company reported a first-time mineral resource estimate at Kinsley that includes the delineation of a significant high-grade zone at the Western Flank zone, containing an indicated resource of 284,000 ounces grading 6.0 g/t gold (See press release, November 4, 2015), and technical report entitled "Updated Technical Report and Estimated Minerals Resources for the Kinsley Project", effective October 15, 2015 and dated December 16, 2015, prepared by Michael M. Gustin, C.P.G., with Mine Development Associates, Inc. (MDA) of Reno, Nevada; Gary Simmons, BSc, Metallurgical Engineering, of G L Simmons Consulting, LLC; and Dr. Moira Smith, Ph.D. on SEDAR at http://www.sedar.com.); the Western Flank deposit, is one of the highest-grade resources announced in Nevada in the last 5 years.

The 2016 exploration program, including surface work, 3D modeling, a small drill program and airborne magnetics and VTEM, generated several high priority targets confirming our belief in the potential of a much larger gold system.  In the year ended December 31, 2016, approximately $0.69 million in expenditures were capitalized at Kinsley (year ended December 31, 2015, $1.70 million), including Intor’s 20.9% share (recognized in the Annual Financial Statements as a component of Non-Controlling Interest). Expenditures through December 31, 2016 included drilling and assaying ($0.25 million), land and lease payments ($0.15 million), and salaries ($0.06 million).

The identification of multiple untested targets with the same attributes as the Western Flank underscores the Company’s belief in the potential of Kinsley. The 2017 exploration program contemplates a limited drill program along the Western Flank’s eastern extension and in an area southeast of the historical Main Pit. The Company’s share of budgeted expenditures at Kinsley for the 2017 program is $0.42 million.

Black Pine, Idaho

Consistent with management’s plan to enhance the Company’s US gold portfolio, on June 14, 2016 Pilot Gold acquired the Black Pine property, a past-producing, Carlin-style, oxide gold mine located in southeastern Idaho.  Surface oxide gold mineralization at Black Pine is present over a 12 km2 area in historic soil and rock samples.  The property database contains over 1,866 historic drill holes, including a large number of unmined intervals of gold mineralization. 

The Company anticipates further data compilation and surface geologic activities through early 2017, in advance of a potential late 2017, validation drilling program.  A current PoO allows access to a number of areas on the property for drilling; a new PoO will be submitted in Q2 to permit drilling over a wider area, including a number of undrilled targets.  The 2017 budget for Black Pine is approximately $0.39 million.

Moira Smith, Ph.D., P.Geo., Vice President Exploration and Geosciences, Pilot 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 scientific and technical information contained in this release is accurate.

The resource estimate at Kinsley’s Western Flank, effective October 15, 2015, was determined using a 1.0 g/t Au cut-off grade over 1,461,000 tonnes of Secret Canyon Shale-hosted sulphide and transitional mineralization. The cut-off grade used assumes an open-pit mining scenario, using a pit floor elevation generated using Whittle software, reasonable assumptions for mining and milling costs, and a US$1,300/oz gold price. 

Goldstrike, Kinsley and Black Pine are early stage exploration projects; the potential quantities and grades disclosed herein are conceptual in nature and, except for the mineral resource estimate at the Western Flank deposit at Kinsley, there has been insufficient exploration to define a mineral resource for other targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. The potential to define an additional mineral resource at Kinsley or a resource at Goldstrike or Black Pine is conceptual in nature and there has been insufficient exploration to define a mineral resource thereat.

SELECTED FINANCIAL DATA

The following selected financial data is derived from our consolidated financial statements and related notes thereto for the years ended December 2016, 2015 and 2014, as prepared in accordance with International Financial Reporting Standards.

These documents can be found on the Company’s website (www.pilotgold.com) or on SEDAR at www.sedar.com.

 

Twelve months ended
December 31,

       2016 2015 2014
Attributable to shareholders:      
Loss for the period $5,576,830 $6,974,976 $6,709,098
Loss and comprehensive loss for the year $4,895,227 $12,989,681 $10,535,641
Basic and diluted loss per share $0.04 $0.07 $0.07

 

  As at  December 31,
2016 2015 2014
Cash and short-term investments $12,468,891 $7,912,417 $17,870,785
Working capital $12,399,183 $8,215,220 $17,768,551
Total assets $104,546,476 $93,729,943 $86,846,581
Current liabilities $897,297 $477,128 $1,620,799
Non-current liabilities $1,241,886 $604,359 $115,640
Shareholders’ equity $79,392,102 $69,609,115 $81,372,291

Total assets comprise primarily exploration properties and deferred exploration expenditures of $83.68 million and cash, cash equivalents and short term investments of $12.47 million. The 40% share of TV Tower owned by Teck is included as a component of the $23.02 million non-controlling interest on the Company’s statement of financial position. Total assets also include $0.83 million in receivables, and prepayments, and $5.42 million in value recorded for the Company’s 40% interest in the PEA-stage Halilaga copper-gold project in Turkey.

The increase since year end 2015 in working capital reflects the $3.30 million net proceeds from the 2016 Private Placement (See press release of March 4, 2016) and, $9.91 million from the 2016 Bought Deal (See press release of November 16, 2016), as well as $0.80 million in net reimbursements pursuant to the replacement of certain bonding deposits in the United States. These cash inflows were offset by costs incurred toward the 2016 exploration programs of $6.26 million (2015: $5.08 million), and cash outflows for operating expenditures of $3.52 million (2015: $3.86 million).

Total liabilities at December 31, 2016, 2015 and 2014 primarily reflect accounts payable and accruals recorded at period end arising from ongoing activities. The 2016 balance also includes a deferred tax liability of $1.16 million (2015: $0.47 million) arising from the impact of foreign exchange differences on the carrying value of TV Tower. The significant overall increase over the prior year is a reflection of increased exploration activities at year end compared to 2015.

The most significant contributors to the losses in the twelve months ended December 31, 2016 were, the cost of wages and benefits of $1.79 million (2015: $1.72 million, 2014: $1.82 million) and office and general costs of $1.17 million (2015: $1.14 million, 2014: $1.21 million), as well as non-cash stock based compensation of $1.01 million (2015: $0.99 million, 2014: $1.22 million). The year ended December 2015 included impairments of $2.09 million. The loss per share decreased to $0.04 in 2016 compared to $0.07 for 2015 and 2014.

The net other comprehensive income attributable to shareholders for the year ended December 31, 2016, was $0.68 million compared to losses of $6.01 million and $3.83 million in 2015 and 2014 respectively, driven by exchange differences on translation of foreign currency subsidiaries. The impact from exchange differences will vary from period to period depending on the rate of exchange; in the period between January 1, 2016 and December 31, 2016, the United States dollar depreciated 4% relative to the Canadian dollar (2015 and 2014: appreciated 15% and 8.3% respectively).

APPOINTMENT OF JOANNA BAILEY AS CFO

The Company is also pleased to announce the appointment of Dr. Joanna Bailey as Chief Financial Officer and Corporate Secretary, effective April 4, 2017. 

Dr. Bailey is a Chartered Accountant (ICAS) with over 10 years of experience in accounting and financial reporting in Canada and the UK. After completing a Ph.D. in Chemistry at the University of Cambridge, UK, Dr. Bailey joined PricewaterhouseCoopers LLC in 2004 specializing in statutory reporting audits across a variety of industries including mining, retail, production and services. In 2009, Dr. Bailey joined the accounting team at Fronteer Gold and has been the Corporate Controller at Pilot Gold since its inception in 2011. Dr. Bailey is a member of the Institute of Chartered Accountants of Scotland.

Dr. Bailey will replace Mr. John Wenger who is leaving the Company to pursue other opportunities.  The Board wishes to extend its gratitude to Mr. Wenger for his years of service to Pilot Gold and wishes him all the best in his future endeavours.

ABOUT PILOT GOLD

Pilot Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada. The Company also holds important interests in two Turkish assets, Halilaga and TV Tower, and has a pipeline of Western US projects characterized by large land positions and district-wide potential that can meet our growth needs for years to come.

For more information, visit www.pilotgold.com or contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

All statements in this press release, other than statements of historical fact, are "forward-looking information" with respect to Pilot Gold within the meaning of applicable securities laws, potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans the release of an initial resource report at Goldstrike, and the successful delivery of results of metallurgical testing and positive results thereof. 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 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, copper, silver 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 licences and permits and obtaining required licences and permits, labour stability, stability in market and geo-political conditions, availability of equipment, accuracy of any mineral resources, the amenability of mineralization to produce a grade or quality of concentrate sufficient to be economic (as there can be no assurances as to the results of the metallurgical testing and no inferences should be drawn therefrom), the accuracy of any metallurgical testing completed to date, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of Pilot Gold and there is no assurance they will prove to be correct.

Such forward-looking information involves known and unknown risks and uncertainties, which may cause the actual results to be materially different from any future results expressed or implied by such forward-looking information, including, the timely receipt of regulatory approvals; risks related to the interpretation of results and/or the reliance on technical information provided by our joint venture partner or other 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 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 or its joint venture partners; labour disputes and other risks of the mining industry; the uncertainty of negotiating with foreign governments, expropriation or nationalization of property without fair compensation, adverse determination or rulings by governmental authorities delays in obtaining governmental approvals, government regulation of exploration and mining operations, and the application thereof in accordance with the rule of law, financing or in the completion of exploration as well as those factors discussed in the Annual Information Form of the Company dated March 28, 2017 in the section entitled "Risk Factors", under Pilot Gold’s SEDAR profile at www.sedar.com.

Although Pilot 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. Pilot 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.

Cautionary Note to United States Investors Concerning Estimates of Measured, Indicated and Inferred Resources

Mineral resources that are not mineral reserves do not have demonstrated economic viability. Mineral resource estimates do not account for mineability, selectivity, mining loss and dilution. There is also no certainty that these inferred mineral resources will be converted to measured and indicated categories through further drilling, or into mineral reserves, once economic considerations are applied. The mineral resource estimates referenced in this press release use the terms “Indicated Mineral Resources” and “Inferred Mineral Resources”. While these terms are defined in and required by Canadian regulations (under NI 43-101), these terms are not recognized by the U.S. Securities and Exchange Commission (“SEC”). "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. The SEC normally only permits issuers to report mineralization that does not constitute SEC Industry Guide 7 compliant “reserves” as in-place tonnage and grade without reference to unit measures. U.S. investors are cautioned not to assume that any part or all of mineral deposits in these categories will ever be converted into reserves. Pilot Gold is not an SEC registered company

Rapid Recoveries Insensitive To Crush Size Support Run Of Mine Heap Leach Process

VANCOUVER, B.C. – Pilot Gold Inc. (PLG - TSX) ("PilotGold" or the "Company") is pleased to report that results from metallurgical testing of oxide material from its Goldstrike Project, in southwestern Utah, provide unequivocal support for a simple heap leach mining scenario.  Gold recoveries from 19 of the 20 column tests were rapid and > 80% complete within 10 days, with final column leach recoveries ranging from 65% to 97%.  Importantly, gold extraction has proven relatively insensitive to particle size, and can be projected out to 150 millimetres (mm) (6 inch) particle size, simulating run of mine conditions, without significant loss of gold recovery.

Samples for this study were collected from 10 large diameter diamond drill holes from a wide range of locations and ore types within the Main Zone of the Historic Mine Trend. The Main Zone represents approximately 10% of the Goldstrike Property in terms of size, and has been the focus of our drilling for the past 18 months.  Pilot Gold has drilled 226 holes into the Main Zone thus far, with approximately 90% of the holes intersecting oxide gold mineralization. 

The historic Goldstrike Mine operated as a heap leach operation from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.  The Company has been successful in demonstrating that there is a significant amount of near surface oxide gold mineralization remaining within the 22km2 property that is owned/controlled 100% by Pilot Gold. 

Metallurgical testwork included fine and coarse bottle rolls and 12.5 mm (0.5 inch) and 25 mm (1 inch) column tests. In total, 48 bottle rolls (twenty-four 200 mesh and twenty-four 10 mesh) and 20 column tests were carried out on 24 composites.

Highlights include:

  • 20 Column leach tests produced a weighted average* 85.9% extraction.
  • Gold extraction is rapid, with >80% of the extractable gold recovered within the first 10 days of column leaching. Click here for graph of recovery curve.
  • Gold extraction is relatively insensitive to particle size, and can be projected out to 80% passing 150 mm (6 inch) particle size, simulating run of mine conditions, without significant loss of gold recovery.
  • Twenty-four coarse bottle roll tests (target 80% passing 10 mesh or 1.7 mm particle size) produced a weighted average* 78.6% gold extraction.
  • If only the column test set of 20 composites is considered, the weighted average* for coarse bottle rolls is 83.6%.
  • Twenty-four fine bottle roll tests (target 80% passing 200 mesh or 75 micron particle size) produced a weighted average* 84.2% gold extraction.

Graph of recovery curves for 19 column tests (sulphide sample GS-03 not shown)

Goldstrike metPRchart

*Weighted average gold extraction is obtained using the following equation: (composite head grade (g/t) x extraction (%) for all head grades)/sum of all head grades.  Using arithmetic averages tend to over-represent low grade composites and under-represent high grade composites.  The arithmetic average of the 24 coarse bottle rolls is 77.5%.  The arithmetic average of the 20 column tests is 81.3%.

“The Goldstrike oxide gold system has district scale implications based on historical and current drill results, covering over a 22 square kilometre target area.  Finding the gold and building ounces is only one part of the equation.  Getting the gold out of the rock efficiently is just as important.” says Cal Everett, Pilot Gold President & CEO. “The metallurgical results are exceptional and support our belief that a high percentage of the gold can be rapidly recovered in a simple, low cost, run of mine, heap leach operation”.

For a table showing actual and modeled data for bottle roll and column testing, please click here:
https://libertygold.ca/images/news/2017/Goldstrike_metPRtable.pdf   

For a map showing locations of drill holes used for metallurgical testing, please click here:
https://libertygold.ca/images/news/2017/Goldstrike_metPRchart.jpg

Gold Extraction Data for Goldstrike composite samples   
Kappes, Cassiday & Associates (KCA) Test Results
Composite  ID Location Material Type Head Assay Au (g/t) Gold Extraction %
Cyanide Solubility AuCN %1 200 mesh (75  µ) bottle roll 10 mesh (1.7 mm) bottle roll 12.5 mm (1/2 inch) column 25 mm   (1 inch) column
GS-01 Basin Pit oxide 0.54 91.0 88.8 88.0 88.0  
GS-02 Basin Pit oxide 0.76 95.5 92.3 88.0    
GS-04 Basin Pit oxide 0.37 99.0 77.8 76.0 81.0  
GS-06 Basin Pit oxide 0.30 76.2 80.4 75.0 78.0  
GS-07 Basin Pit oxide 0.35 90.6 90.2 75.0 80.0  
GS-08 Basin Pit oxide 0.41 94.0 92.9 86.0   83.0
GS-09 Basin Pit oxide 0.65 98.2 95.8 91.0 92.0  
GS-10 Octopad oxide 2.84 84.4 78.1 74.0 77.0  
GS-12 Octopad oxide 0.81 77.9 73.6 69.0 75.0  
GS-13 Hamburg Pit oxide 1.28 94.6 80.6 73.0   79.0
GS-14 Hamburg Pit oxide 0.71 93.4 92.9 84.0 84.0  
GS-15 Hamburg Pit oxide 0.51 92.6 91.4 86.0   76.0
GS-16 Octopad oxide 0.33 73.7 70.8 62.0 65.0  
GS-17 Aggie Zone oxide 0.37 92.7 80.7 77.0 78.0  
GS-18 Aggie Zone oxide 1.08 99.7 94.9 92.0 94.0  
GS-19 Aggie Zone oxide 2.71 102.5 97.3 93.0   97.0
GS-20 Aggie Zone oxide 2.26 96.5 97.6 97.0 97.0  
GS-21 Aggie Zone oxide 1.97 98.1 88.7 83.0 85.0  
GS-22 Aggie Zone oxide 2.42 98.5 94.2 87.0   92.0
GS-23 Aggie Zone oxide 3.17 100.5 93.4 86.0 87.0  
GS-24 Aggie Zone oxide 0.35 85.0 90.4 86.0    
GS-03 Basin Pit Sulphide 0.52 38.1 64.8 38.0 38.0  
GS-05 Basin Pit sulph/trans 0.25 64.8 52.9 52.0    
GS-11 Octopad sulph/trans 2.65 40.8 35.8 42.0    

1 Data from KCA/ALS analysis of composite head samples.

The work was supervised by independent consulting metallurgist Gary Simmons, formerly the Director of Metallurgy and Technology for Newmont Mining Corp. He has managed or supervised a significant number of metallurgical testing programs on similar deposits throughout the Great Basin.  According to Mr. Simmons, “Data from metallurgical testing to date at Goldstrike point to rapid leaching and relatively high gold recoveries, and suggest that simple, run of mine heap leaching may be the preferred process option at Goldstrike”.

Metallurgical Program

10 large diameter diamond drill holes were drilled in 2016 to sample a range of locations and ore types in the Main Zone at Goldstrike.  From these, 24 composites were created for metallurgical testing, with gold grades ranging from 0.25 to 3.10 g/t gold.  Of these, 21 were dominantly oxide, with cyanide soluble gold content of >70%, with three sulphide/transitional composites. Additional drilling, sampling, metallurgical testing and modeling will be carried out in the future to fully assess the relative proportions of different ore types in the mineralized zone.

Composites were sent to Kappes, Cassiday and Associates in Reno, Nevada for metallurgical testing, comprising bottle rolls, column testing, load permeability testing and ore characterization including; comminution testing, sulphur and  carbon speciation, preg-rob analysis, ICP geochemical assays and whole rock analysis.

Twenty of the composites were leached in either 100 mm (4 inch) or 150 mm (6 inch) diameter columns at low strength, 0.50 g/l of sodium cyanide (NaCN) solution. Total leach, plus column wash/rinse time, varied between 81 and 112 days.  One of the columns samples (Composite GS-03) required agglomeration with cement due to high clay content.  This sample was predominantly sulfide and is not likely to be incorporated into any oxide heap leach resource.

Samples for bottle roll testing were crushed/pulverized to 80% passing 200 mesh (75 microns) and 80% passing 10 mesh (1.7 mm) particle size.  The samples were rolled/agitated in bottles in a dilute cyanide solution for 72 hours (for 200 mesh) or 144 hours (for 10 mesh).

Organic carbon values are low.  Preg-robb analysis indicates that two (8%) of the composites may be mildly preg robbing.  This preliminary result suggests that organic carbon will not be an issue in recovery.

Samples were subjected to SMC drop weight testing to generate data for SAG Mill, Crushing and HPGR comminution evaluation by JKTech and Bond Abrasion index (Ai) testing at Hazen Research in Golden, Colorado. Samples can be characterized as soft to relatively hard and moderately abrasive, although these factors are more important if significant crushing is anticipated. 

Three of the 20 column leach composites failed load permeability testing, at 25 m height, and may require a coarse crush and agglomeration or, if low tonnage, may be blended with other materials before heap leaching.  However, one of these failed composites is the same GS-03 sulfide composite that will most likely not be part of any oxide heap leach resource.  Only a small percentage of this material has been encountered in drilling to date.

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 Kinsley Mountain and Newmont’s 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.    The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

Moira Smith, Ph.D., P.Geo., Vice-President Exploration and Geoscience, Pilot 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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions.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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Pilot Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT PILOT GOLD
Pilot Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada. The Company also holds important interests in two Turkish assets, Halilaga and TV Tower, and has a pipeline of Western US projects characterized by large land positions and district-wide potential that can meet our growth needs for years to come.

For more information, visit www.pilotgold.com or contact:
Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

All statements in this press release, other than statements of historical fact, are "forward-looking information" with respect to Pilot Gold within the meaning of applicable securities laws, including statements that address potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, successful delivery of results of metallurgical testing, the release of an initial resource report, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of Pilot 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 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 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; 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 28, 2017 in the section entitled "Risk Factors", under Pilot Gold’s SEDAR profile at www.sedar.com.

Although Pilot 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. Pilot 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.

1.93 g/t Au over 15.2 m at Warrior & 1.61 g/t Au over 13.7 m at Peg Leg

VANCOUVER, B.C. – Pilot Gold Inc. (PLG - TSX) ("Pilot Gold" or the "Company") is pleased to announce additional drill results from the Warrior, Aggie, Peg Leg and Dip Slope targets, all located within the emerging, larger Main Zone, at the 100% controlled Goldstrike Oxide Gold Project in southwestern Utah. The Main Zone now covers an approximate 4 square kilometre area that remains open for expansion and contains 8 of the 12 historic pits within the broad mineralized envelope.  Drilling is focused on the oxide gold mineralization between, below and down-dip of the historic open pits in order to connect all areas.

Highlights from the Warrior and Aggie targets include:

  • 1.93 g/t A over 15.2 m in PGS197
  • 1.08 g/t Au over 13.7 m within 0.56 g/t Au over 45.7 m in PGS201
  • 1.21 g/t Au over 7.6 m within 0.83 g/t Au over 15.2 m, and 0.46 g/t Au over 13.7 m, and 1.16 g/t Au over 6.1 m in PGS193

Highlights from the Peg Leg target include:

  • 2.05 g/t Au over 9.1 m within 1.61 g/t Au over 13.7 m and 0.98 g/t Au over 15.2 m in PGS227
  • 1.15 g/t Au over 16.8 m within 0.94 g/t Au over 29.0 m in PGS224

Highlights from the Dip Slope target include:

  • 1.02 g/t Au over 9.1 m within 0.41 g/t over 56.4 m in PGS212
  • 0.44 g/t Au over 37.5 m in PGS206, which bottomed in mineralization.
  • 1.41 g/t Au over 4.6 m in PGS199

Note that due to having two drills on the property, assay results for the holes are not necessarily received in sequence.

KEY POINTS

  • Some individual named targets within the broad Main Zone are identified for their higher grade, starter pit potential.
  • The emerging Warrior target is located approximately 300 metres west-northwest of the Aggie target and further drilling is currently underway to link the two areas together.
  • Additional drilling at Aggie has extended mineralization up to 150 m to the west of the original discovery.
  • Step-out drilling at the Peg Leg target continues to yield high-grade oxide intercepts.  Mineralization is open to the north and west in this area.
  • The Dip Slope target continues to yield gold over significant widths both within the Claron Formation and the underlying Paleozoic strata, showing two mineralized hosts.

For a complete table of drill results for the current holes, please click here: http://pilotgold.com/sites/default/files/GS_Intercepts04242017.pdf

For a complete table of results for all drilling by Pilot Gold at Goldstrike in 2015, 2016 and to date in 2017, please click here: http://pilotgold.com/sites/default/files/GS_Intercepts2015toxxx2017.pdf

For a map of drill collars and traces for the current release, please click here: http://pilotgold.com/sites/default/files/GoldStrike_NR201707.jpg

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 Kinsley Mountain and Newmont’s 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.    The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

Moira Smith, Ph.D., P.Geo., Vice-President Exploration and Geoscience, Pilot 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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions.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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Pilot Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT PILOT GOLD
Pilot Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada. The Company also holds important interests in two Turkish assets, Halilaga and TV Tower, and has a pipeline of Western US projects characterized by large land positions and district-wide potential that can meet our growth needs for years to come.  The management group at Pilot Group is responsible for defining two deposits that are now operating heap leach mines, including Long Canyon in Nevada and Karma in Burkina Faso.

For more information, visit www.pilotgold.com or contact:
Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

All statements in this press release, other than statements of historical fact, are "forward-looking information" with respect to Pilot Gold within the meaning of applicable securities laws, including statements that address potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. Forward-looking information is often, but not always, identified by the use of words such as "seek", "anticipate", "plan", "continue", "planned", "expect", "project", "predict", "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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, successful delivery of results of metallurgical testing, the release of an initial resource report, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of Pilot 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 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 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; 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 28, 2017 in the section entitled "Risk Factors", under Pilot Gold’s SEDAR profile at www.sedar.com.

Although Pilot 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. Pilot 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.

VANCOUVER, B.C. – Pilot Gold Inc. (PLG - TSX) (“Pilot Gold” or the “Company”) is pleased to announce voting results from the Company’s Annual and Special Meeting of Shareholders held on May 9, 2017 (the “Meeting”). A total of 82,806,558 common shares were voted, representing the votes attached to 55.2% of all outstanding common shares. Shareholders voted in favour of the election of all director nominees. The percentage of votes cast for each is as follows:

Dr. Mark O’Dea

88.1%

Mr. Cal Everett

99.3%

Mr. Donald McInnes

88.0%

Mr. Robert Pease

99.6%

Mr. Sean Tetzlaff

88.3%

Shareholders also voted in favour of changing the company name to Liberty Gold Corp. and expects to trade under the new symbol “LGD” on the Toronto Stock Exchange commencing on or after May 12, 2017.  The name change, which is expected to take legal effect May 9, 2017, reflects the Company’s renewed focus in the western United States for district scale, Carlin style gold systems. The Company currently controls three such projects, each of which has been drill confirmed: Goldstrike (Utah), Black Pine (Idaho) and Kinsley (Nevada). 

Shareholders also voted in favour of approving and ratifying the Company’s Amended and Restated Advance Notice Policy, and approved amendments to, and respective unallocated entitlements under:

  • the Stock Option Plan
  • the Restricted Share Unit Plan; and
  • the Deferred Share Unit Plan

The reappointment of PricewaterhouseCoopers LLP, Chartered Professional Accountants as auditor of the Company, was also approved by the shareholders.

Voting results are released in accordance with Toronto Stock Exchange requirements. Detailed voting results for the Meeting are available on SEDAR at www.sedar.com.

ABOUT PILOT GOLD
Pilot Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada. The Company also holds important interests in two Turkish assets, Halilaga and TV Tower, and has a pipeline of Western US projects characterized by large land positions and district-wide potential that can meet our growth needs for years to come.  The management group at Pilot Group is responsible for defining two deposits that are now operating heap leach mines, including Long Canyon in Nevada and Karma in Burkina Faso.

For more information, visit www.libertygold.ca or contact:
Evelyn Cox, Director Corporate Communications

Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

Except for statements of historical fact relating to Pilot Gold Inc., certain information contained herein constitutes "forward-looking statements". Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, or include words such as "expects", "anticipates", "plans", "believes", "considers", "intends", "targets", or negative versions thereof and other similar expressions, or future or conditional verbs such as "may", "will", "should", "would" and "could". The Company provides forward-looking statements for the purpose of conveying information about current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. These risks and uncertainties include but are not limited to those identified and reported in Pilot Gold Inc.'s public filings, which may be accessed at www.sedar.com. Other than as specifically required by law, the Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events, whether as a result of new information, future events, results or otherwise.

VANCOUVER, B.C. – Liberty Gold Corp. (formerly Pilot Gold Inc.) (“Liberty Gold” or the “Company”) is pleased to announce that the Company will change the ticker symbol of its common shares and common share purchase warrants listed on the Toronto Stock Exchange from PLG and PLG.W respectively, to LGD and LGD.W respectively, effective at the opening on Friday, May 12, 2017.

The Company changed its name from Pilot Gold Inc. to Liberty Gold Corp. on May 9, 2017 to reflect our dedicated focus on Carlin-style gold deposits in the Great Basin of western United States.

ABOUT LIBERTY GOLD

Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada. The Company also holds important interests in two Turkish assets, Halilaga and TV Tower, and has a pipeline of Western US projects characterized by large land positions and district-wide potential that meet our growth needs for years to come.  The management group at Liberty Gold is responsible for discovering and/or developing two of the latest seven heap leach gold deposits in the world that are now operating mines, including Long Canyon in Nevada and Karma in Burkina Faso.

For more information, visit www.libertygold.ca or contact:
Evelyn Cox, Director Corporate Communications

Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

Except for statements of historical fact relating to Liberty Gold Inc., certain information contained herein constitutes "forward-looking statements". Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, or include words such as "expects", "anticipates", "plans", "believes", "considers", "intends", "targets", or negative versions thereof and other similar expressions, or future or conditional verbs such as "may", "will", "should", "would" and "could". The Company provides forward-looking statements for the purpose of conveying information about current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved. These risks and uncertainties include but are not limited to those identified and reported in the Company’s public filings, which may be accessed at www.sedar.com. Other than as specifically required by law, the Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events, whether as a result of new information, future events, results or otherwise.

VANCOUVER, B.C. – Liberty Gold Corp. (LGD - TSX) ("Liberty Gold" or the "Company"), formerly Pilot Gold Inc., is pleased to announce its financial and operating results for the three months ended March 31, 2017.

All amounts are presented in United States dollars unless otherwise stated.

Company highlights through and subsequent to March 31, 2017:

  • Changed our name to Liberty Gold Corp. from Pilot Gold Inc. on May 9, 2017.
  • Published the results from our phase 1 metallurgical test work of oxide material from Goldstrike on April 3, 2017 with the following highlights:
    • 20 Column leach tests produced a weighted average (Weighted average gold extraction is obtained using the following equation: (composite head grade (g/t) x extraction (%) for all head grades)/sum of all head grades.  Using arithmetic averages tend to over-represent low grade composites and under-represent high grade composites.  The arithmetic average of the 24 coarse bottle rolls is 77.5%.  The arithmetic average of the 20 column tests is 81.3%.) 9% extraction.
    • Rapid gold extraction with >80% of the extractable gold recovered within the first 10 days of column leaching.
    • Gold extraction can be projected out to 80% passing 150 mm (6 inch) particle size, simulating run of mine conditions, without significant loss of gold recovery.
  • Reported drill results from the Warrior, Aggie, Peg Leg and Dip Slope targets at Goldstrike, all located within the Main Zone.  Highlights include (see news on April 25, 2017):
    • Peg Leg
      • 2.05 grams per tonne gold (g/t Au) over 9.1 m within 1.61 g/t Au over 13.7 m and 0.98 g/t Au over 15.2 m in PGS227
      • 1.15 g/t Au over 16.8 m within 0.94 g/t Au over 29.0 m in PGS224
    • Dip Slope
      • 1.02 g/t Au over 9.1 m, within 0.41 g/t over 56.4 m in PGS212
      • 1.41 g/t Au over 4.6 m in PGS199
    • Warrior and Aggie
      • 1.93 g/t Au over 15.2 m in PGS197
      • 1.08 g/t Au over 13.7 m, within 0.56 g/t Au over 45.7 m in PGS201
      • 1.21 g/t Au over 7.6 m, within 0.83 g/t Au over 15.2 m, and 0.46 g/t Au over 13.7 m, and 1.16 g/t Au over 6.1 m in PGS193

Goldstrike, Utah

The 2017 RC drilling program began on February 1, 2017 and will continue through to November, for a total of 42,500 m of drilling.  Areas of focus are located to the north and west of the Main Zone, and include the Peg Leg Graben, Warrior, Aggie and Dip Slope targets. There are 7 historical mined pits within this initial 4km2 area.

The results from the metallurgical testing of oxide material provide support for a simple heap leach mining scenario.  Twenty column leach tests produced a weighted average of 85.9% gold extraction.  The gold recoveries from 19 of these 20 column tests were rapid and >80% complete within 10 days, with final column leach recoveries ranging from 65% to 97%.  Importantly, gold extraction has proven relatively insensitive to particle size, and can be projected out to 150 millimetres (mm) (6 inch) particle size, simulating run of mine conditions, without significant loss of gold recovery.

For the three months ended March 31, 2017, expenditures, including non-cash items, at Goldstrike were $1.08 million, including: drilling and assaying ($0.61 million), salaries ($0.21 million), and analyses and surveys ($0.13 million).

The Company is operating under a Notice of Intent ("NOI"), allowing for up to almost 10 acres of disturbance for access and drill sites.  In February 2017, the Company applied for an additional NOI for a further 1.8 acres of disturbance in the property’s Mineral Mountain area. We expect to receive approval on a full Plan of Operations ("PoO") by the mid-June 2017, which will allow access for drilling over a large number of targets property-wide. 

The Company also expects to report a first-time mineral resource estimate at Goldstrike in a revised technical report in Q3-Q4 2017.

Kinsley, Nevada

The 2017, 1200 m reverse circulation drill program began on April 19, 2017 focussed along the Western Flank’s eastern extension and in an area southeast of the historical Main Pit. The Company’s share of expenditures at Kinsley for the three months ended March 31, 2017 was $0.02 million.

Moira Smith, Ph.D., P.Geo., Vice President Exploration and Geosciences, 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 scientific and technical information contained in this release is accurate.

Goldstrike and Kinsley are early stage exploration projects; the potential quantities and grades disclosed herein are conceptual in nature and, except for the mineral resource estimate at the Western Flank deposit at Kinsley, there has been insufficient exploration to define a mineral resource for other targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. The potential to define an additional mineral resource at Kinsley or a resource at Goldstrike is conceptual in nature and there has been insufficient exploration to define a mineral resource thereat.

SELECTED FINANCIAL DATA

The following selected financial data is derived from our condensed interim consolidated financial statements and related notes thereto (the “Interim Financial Statements”) for the three months ended March 31, 2017, as prepared in accordance with International Financial Reporting Standards. A copy of the Interim Financial Statements can be found on the Company’s website (www.Libertygold.ca) or on SEDAR at www.sedar.com.

Beginning January 1, 2017, in order to enhance the relevance to the decision making needs of users, and improve comparability with our peers, the Company has voluntarily changed its accounting policy with respect to exploration properties and deferred exploration expenditures. In prior periods, the Company’s policy was to defer exploration expenditures until such time as the properties are put into commercial production, sold or become impaired. The Company has elected to change this accounting policy to expense exploration expenditures as incurred, effective with the presentation of the March 31, 2017 Interim Financial Statements, on a retrospective basis. The Company will continue to defer acquisition expenditures on mineral properties until such time as the properties are put into commercial production, sold or become impaired.

The information in the tables below is presented in $000s except per share data:

Three months ended March 31,

      

2017

2016

Attributable to shareholders:

Loss for the period

$2,513

$2,438

Loss and comprehensive loss for the period

$2,390

$1,801

Basic and diluted loss per share

$0.02

$0.02

As at  March 31,

As at December 31,

As at December 31,

    2017

     2016

     2015

Cash and short-term investments

$10,796

$12,469

$7,912

Working capital

$10,357

$12,399

$8,215

Total assets

$38,585

$40,881

$36,395

Current liabilities

$623

$897

$477

Non-current liabilities

$661

$585

$130

Shareholders’ equity

$27,352

$29,490

$25,768

Losses attributable to shareholders for the three months ended March 31, 2017 of $2.51 million were higher than the $2.44 million incurred in the comparative period, due mostly to an additional $0.43 million in exploration and evaluation expenditures in 2017, offset by $0.33 million collective reduction in expenditures on wages and office and general expenditures over the comparative period. The largest contributions to loss in the three months ended March 31, 2017, are exploration and evaluation expenditures, wages and benefits, and office and general costs, which combined comprise $1.94 million of the overall loss; these same three categories are the largest contributors to the loss in the three months ended March 31, 2016 (combined: $1.85 million). Net cash operating outflows of $1.78 million in the three months ended March 31, 2017, were $0.27 million lower compared to the comparative period, despite higher costs in the current quarter, due to the receipt on January 5, 2017 of $0.50 million in VAT recoverable at our Turkish subsidiary.

The net other comprehensive income attributable to shareholders for the three months ended March 31, 2017, was $0.12 million compared to $0.64 million in the same period in 2016, driven by lower exchange gains on translation of foreign currency subsidiaries in 2017. The impact from exchange differences will vary from period to period depending on the rate of exchange; in the period between January 1, 2017 and March 31, 2017, the United States dollar appreciated 0.9% relative to the Canadian dollar (three months ended March 31, 2016: 7.7%).

Total assets comprise primarily exploration and evaluation assets of $24.02 million and cash, cash equivalents and short term investments of $10.80 million. The 40% share of capitalised acquisition costs of TV Tower owned by Teck is included as a component of the $9.95 million non-controlling interest on the Company’s statement of financial position. Total assets also include $0.18 million in receivables, and prepayments, and $1.43 million in value recorded for the Company’s 40% interest in the PEA-stage Halilaga copper-gold project in Turkey.

Total liabilities at March 31, 2017, December 31, 2016 and 2015 primarily reflect accounts payable and accruals recorded at period end arising from ongoing activities. The March 31, 2017 and 2016 balance also includes a deferred tax liability of $0.58 million and $0.50 million respectively (2015: $nil million) arising from the impact of foreign exchange differences on the carrying value of TV Tower.

ABOUT LIBERTY GOLD

Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada.  The management group at Liberty Gold is responsible for discovering, developing and/or building two of the latest seven heap leach gold deposits in the world that are now operating mines, including Long Canyon in Nevada and Karma in Burkina Faso.

For more information, visit www.libertygold.ca or contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans the release of an initial resource report at Goldstrike, and the successful delivery of results of metallurgical testing and positive results thereof. 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 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, copper, silver 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 licences and permits and obtaining required licences and permits, labour stability, stability in market and geo-political conditions, availability of equipment, accuracy of any mineral resources, the amenability of mineralization to produce a grade or quality of concentrate sufficient to be economic (as there can be no assurances as to the results of the metallurgical testing and no inferences should be drawn therefrom), the accuracy of any metallurgical testing completed to date, 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 and uncertainties, which may cause the actual results to be materially different from any future results expressed or implied by such forward-looking information, including, the timely receipt of regulatory approvals; risks related to the interpretation of results and/or the reliance on technical information provided by our joint venture partner or other 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 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 or its joint venture partners; labour disputes and other risks of the mining industry; the uncertainty of negotiating with foreign governments, expropriation or nationalization of property without fair compensation, adverse determination or rulings by governmental authorities delays in obtaining governmental approvals, government regulation of exploration and mining operations, and the application thereof in accordance with the rule of law, financing or in the completion of exploration as well as those factors discussed in the Annual Information Form of the Company dated March 28, 2017 in the section entitled "Risk Factors", under the Company’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.

VANCOUVER, B.C. – Liberty Gold Inc. (LGD - TSX) ("Liberty Gold" or the "Company") is pleased to announce additional drill results from the Warrior and Aggie targets, as well as the Peg Leg target, all located within the larger Main Zone of the 100% controlled Goldstrike Project in southwestern Utah. The primary target is shallow Carlin-style, oxide gold mineralization within the 14 km2 “Historic Mine Trend”, between and down-dip of historic open pits.

Highlights from the Warrior and Aggie Targets include:

  • 1.53 grams per tonne gold (g/t Au) over 25.9 metres (m) including 3.48 g/t Au over 9.1 m in PGS242
  • 0.85 g/t Au over 50.3 m including 1.81 g/t Au over 15.2 m in PGS235
  • 0.62 g/t Au over 50.3 m including 1.61 g/t Au over 7.6 m in PGS243
  • The new holes further define an area of mineralization that extends from the Warrior Zone to the western portion of the Aggie Zone and effectively connects these two target areas.

Highlights from the Peg Leg Target include:

  • 1.80 g/t Au over 22.9 m including 2.98 g/t over 12.2 m in PGS245
  • 0.51 g/t Au over 22.9 m including 0.84 g/t over 9.1 m in PGS244
  • 1.31 g/t Au over 6.1 m in PGS231
  • The intercept in PGS245 is located in Paleozoic strata, where a number of shallow historic holes are located.  Additional drilling is planned to determine the extent of this shallow and relatively high-grade mineralization.

In addition, four infill holes were completed in the Main Zone, including 1.43 g/t Au over 13.7 m including 2.33 g/t Au over 7.6 m in PGS237, and two holes were completed in the Dip Slope area to the north of the Main Zone, including 0.66 m g/t over 36.6 m including 1.16 g/t over 15.2 m in PGS220.

For a complete table of drill results for the current holes, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts06062017.pdf

For a complete table of results for all drilling by Liberty Gold at Goldstrike in 2015, 2016 and to date in 2017, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts2015to06062017.pdf

For a map of drill collars and traces for the current release, please click here: http://libertygold.ca/images/sites/default/files/GoldStrike_NR201711.jpg

A third reverse circulation drill was mobilized to the property on May 31.  Currently one drill is testing the historic Mineral Mountain target in the northwestern part of the property, and two drills are testing targets in the central and western portion of the Historic Mine Trend.

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 Kinsley Mountain and Newmont’s 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.  The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions. 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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Liberty Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT LIBERTY GOLD
Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada.  The management group at Liberty Gold is responsible for discovering, developing and/or building two of the latest seven heap leach gold deposits in the world that are now operating mines, including Long Canyon in Nevada and Karma in Burkina Faso.

For more information, visit www.libertygold.ca or contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, successful delivery of results of metallurgical testing, the release of an initial resource report, 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 such 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 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; 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 28, 2017 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.

VANCOUVER, B.C. – Liberty Gold Inc. (LGD - TSX) ("Liberty Gold" or the "Company") is pleased to announce that the U.S. Bureau of Land Management (“BLM”) has approved Liberty Gold’s Plan of Operations (“PoO”) for the Goldstrike Oxide Gold Project in Utah.  This key permit will allow Liberty Gold to expand drilling to test high-priority targets and build resource ounces across the 74.5 km2 property. 

“Receipt of the Plan of Operations, as well as confirmation of excellent metallurgical recoveries, are two of the key deliverables for our company this year”, says Cal Everett, President and CEO of Liberty Gold. “We now have excellent access to the entire 14 square kilometer historical mine trend, as well as a large number of peripheral targets. Liberty can now work to build ounces at an accelerated pace”. 

The BLM’s Record of Decision and Finding of No Significant Impacts (“FONSI”) were issued on June 26, 2017. The approved PoO allows Liberty Gold up to 77 acres for exploration and development drilling on up to 368 drill pads.  Multiple drill holes can be drilled from a single pad. The PoO covers the Padre Pit area in the northeastern part of the Historic Mine Trend, as well as expanded access to the Dip Slope, Aggie, Warrior and Peg Leg targets and outlying targets identified by previous operators.

For a map outlining the area covered by the PoO, please click here: http://libertygold.ca/images/sites/default/files/GoldStrikePoONR0712.jpg

The map shows three linked priority areas for drilling (Main, Dip Slope and Western Grabens), with one drill allocated per area for resource definition.

Liberty Gold has completed 44,000 metres in 281 Reverse Circulation (“RC”) and Core holes to date at Goldstrike under existing permits, testing less than 10% of the historical drill-defined, target areas. The Company recently added a third RC drill to the project to expedite infill, step-out and exploratory drilling. 

The Company plans to amend the Plan of Operations to include additional target areas, reflecting a better understanding of the distribution and controls on mineralization gained during the 16 months since the original Plan of Operations was submitted in early 2016. 

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 Kinsley Mountain and Newmont’s 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.  

For a complete table of results for all drilling by Liberty Gold at Goldstrike from 2015 to June 2017, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts2015to06062017.pdf

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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions. 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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Liberty Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT LIBERTY GOLD
Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our flagship property is the Goldstrike Oxide Gold Project in Utah.  Liberty also has a pipeline of projects, including Black Pine in Idaho and Kinsley Mountain in Nevada, providing a solid platform for future growth.  Over the past 5 years, there have been 8 new open-pit, heap leach gold mines built around the world and the management team and/or directors of Liberty Gold are responsible for discovering, developing and/or building, two of them.  Long Canyon in Nevada (Fronteer Gold) and Karma in Burkina Faso (True Gold) both reached commercial production in 2016.

For more information, visit www.libertygold.ca or contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, successful delivery of results of metallurgical testing, the release of an initial resource report, 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 such 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 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; 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 28, 2017 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.

PK221: 5.30 g/t Au over 29.0 metres including 7.84 g/t over 16.8 metres in the Secret Canyon Zone
PK224: 6.84 g/t over 7.6 metres including 12.8 g/t Au over 3.0 metres in the Dunderberg Zone

VANCOUVER, B.C. – Liberty Gold Inc. (LGD - TSX) ("Liberty Gold" or the "Company") is pleased to announce results from 4 reverse circulation (RC) holes drilled at the Western Flank East Extension Target at the Kinsley Mountain Project in eastern Nevada.  The drill program is part of an ongoing effort to test new targets and expand sparsely-drilled targets at Kinsley.

Highlights from the Western Flank East Extension Target include:

  • From the Secret Canyon Shale Zone (lower host):
    • 5.30 grams per tonne gold (g/t Au) over 29.0 metres (m) including 7.84 g/t Au over 16.8 m in PK221
    • 3.68 g/t Au over 3.0 m in PK224
  • From the Dunderberg Shale Zone (upper host):
    • 12.4 g/t Au over 4.6 m including 35.1 g/t Au over 1.5 m in PK221
    • 6.84 g/t Au over 7.6 m including 12.8 g/t Au over 3.0 m in PK224

The Western Flank East Extension Target is located immediately east of the Western Flank deposit.

The sulphide resource at the Western Flank, hosted in the Secret Canyon Shale, is currently estimated at 284,000 Indicated ounces of gold grading 6.04 g/t, and 39,000 Inferred ounces grading 2.41 g/t gold. (See December 17, 2015 press release, and the Kinsley Technical Report available on the Company’s website at www.libertygold.ca or under Liberty Gold’s SEDAR profile at www.sedar.com.)

The Western Flank East Extension Target is located immediately east of the resource area, and had yielded several high-grade intercepts in previous drilling, including:

  • 6.15 g/t Au over 7.6 m (Secret Canyon Shale host) in PK200
  • 2.34 g/t Au over 9.1 m (Dunderberg Shale host) in PK208 and
  • 3.46 g/t Au over 18.3 m including 13.7 g/t Au over 3.0 m (Secret Canyon Shale host) in PK208
  • 2.95 g/t Au over 13.7 m (Secret Canyon Shale host) in PK210

The new drill holes link gold mineralization in the Western Flank deposit to drill holes PK208 and PK210, 150 m to the east, and provide impetus for further drilling in this sparsely tested area, which remains open to infill and extension in all directions for both stratigraphic horizons. 

Three additional holes were drilled in the current program.  One drill hole tested the Dunderberg Shale and returned 1.37 g/t Au over 3.0 metres, but was lost above the Secret Canyon Shale target.  Another hole tested stratigraphy to the southeast of the historic mine.  It did not return a mineralized intercept, but it did confirm the presence of the prospective Secret Canyon Shale at shallow depth.

For a complete table of drill results for the current holes, please click here: http://libertygold.ca/images/sites/default/files/KinsleyIntercepts17-13.pdf

For a map of drill collars and traces for the current release, please click here: http://libertygold.ca/images/sites/default/files/KinsleyNR17-13.jpg

Western Flank Target Area

The Western Flank deposit was discovered in late 2013 in the Secret Canyon Shale Formation, which lies below the Dunderberg Shale, host to shallow oxide resources and past-production at Kinsley, and was previously unrecognized as a potential host to mineralization (November 18, 2013 press release). In late 2015, Liberty Gold released a resource estimate for the Kinsley deposit, including a separate estimation for the Western Flank Zone (November 5, 2015 press release). Metallurgical testing of sulphide material from the Western Flank Zone returned excellent recoveries and concentrate grades, suggesting that the gold may be amenable to extraction using low capital cost, conventional flotation methods (January 19, 2015 press release). 

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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions. 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 multi-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.

Further information on Kinsley is available in the technical report entitled “Updated Technical Report and Estimated Mineral Resources for the Kinsley Project, Elko and White Pine Counties, Nevada, U.S.A.”, effective October 15, 2015, dated December 16, 2015 and prepared by Michael M. Gustin, CPG, Moira Smith, Ph.D., P.Geo. and Gary Simmons, B.Sc. MMSA (the “Kinsley Technical Report”), available on the Company’s website at www.libertygold.ca or under Liberty Gold’s SEDAR profile at www.sedar.com

ABOUT KINSLEY
Kinsley Mountain hosts near-surface oxide mineralization similar to other Carlin-style, sediment-hosted gold systems, as well as high-grade sulphide mineralization that was only recently itentified. The property consists of 513 unpatented lode claims on U.S. Bureau of Land Management land plus 6 leased patents totaling 4213 hectares, and hosts a past-producing mine with an extensive exploration database and numerous, untested gold targets.

The Company holds approximately 79.1% of Kinsley. Intor Resources Corporation, a subsidiary of Nevada Sunrise Gold Corp., is the Company's joint venture partner at Kinsley.

ABOUT LIBERTY GOLD
Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our flagship property is the Goldstrike Oxide Gold Project in Utah.  Liberty also has a pipeline of projects, including Black Pine in Idaho and Kinsley Mountain in Nevada, providing a solid platform for future growth.  Over the past 5 years, there have been 8 new open-pit, heap leach gold mines built around the world and the management team and/or directors of Liberty Gold are responsible for discovering, developing and/or building two of them.  Long Canyon in Nevada (Fronteer Gold) and Karma in Burkina Faso (True Gold) both reached commercial production in 2016.

For more information, visit www.libertygold.ca or contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional 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 such 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 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; 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 28, 2017 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.

67.1 m grading 1.78 g/t Au including 32.0 m grading 3.14 g/t Au from surface

VANCOUVER, B.C. – Liberty Gold Inc. (LGD - TSX) ("Liberty Gold" or the "Company") is pleased to announce initial drill results from the Mineral Mountain Target at the 100% controlled Goldstrike Oxide Gold Project in southwestern Utah.  

Mineral Mountain is located in the northwest corner of the project area, approximately 6 km from the Main Zone. The Company has and continues to focus its exploration attention at the Main Zone in order to define a district-scale, oxide gold system.  Results have been received from the first Liberty Gold drill hole program at Mineral Mountain, where historical drill results indicated the presence of gold mineralization.

Highlights from the Mineral Mountain Target include;

  • 1.02 grams per tonne gold (g/t Au) over 13.7 metres (m) and 0.74 g/t Au over 10.7 m in PGS253
  • 1.16 g/t Au over 25.9 m including 3.48 g/t Au over 4.6 m in PGS255
  • 0.58 g/t Au over 6.1 m and 0.51 g/t Au over 7.6 m in PGS264
  • 0.79 g/t Au over 29.0 m including 1.97 g/t Au over 4.6 m in PGS265
  • 0.39 g/t Au over 19.8 m and 0.53 g/t over 6.1 m in PGS268
  • 0.53 g/t Au over 10.7 m in PGS273
  • 1.78 g/t Au over 67.1 m including 3.14 g/t Au over 32.0 m in PGS277

Additional field and geophysical work will be carried out in order to fully understand this area before resuming drilling.

Key Points:

  • The 13-drill hole program is spread out along 1 km of strike of exposed Claron Formation and felsic intrusive rocks. Additional drill results are pending.
  • The interpretative model at Mineral Mountain is similar to the rest of the Goldstrike project area.
  • Mineralization starts at surface in holes PGS255 and PGS277. The mineralized zone in these holes is open to depth and to the south.
  • The Mineral Mountain target is located 1.5 km south of a granitoid intrusion, with a skarn and hornfelsed aurole extending up to 1.5 to 2 km from the intrusion margin.
  • The higher-grade intercepts are partially hosted within felsic dykes related to the intrusion. 
  • Areas of oxidized jasperoid marginal to the dykes, in association with the preferred Claron Formation, also contain gold.
  • The Mineral Mountain intrusion, or buried intrusions related to it, may be drivers of gold mineralization on a region-wide scale, as a source of heat and hydrothermal fluids.   
  • Liberty Gold has staked additional claims to the southeast of the intrusion to link the Live Oak target (see below) to the contiguous Goldstrike Property.

Several other targets with gold mineralization are located in the vicinity of Mineral Mountain, including Black Canyon, a 2 km by 500 m northwest - southeast target area with gold-bearing Claron Formation jasperoid at surface, and the Live Oak target, 2 km to the north of the Mineral Mountain gold target and immediately south east of the intrusion, which contains gold-bearing skarn alteration on surface and in historical drill holes. The Live Oak area is marked by 2 x 1 km gold in soil anomaly, and was tested by a few gold-bearing historic drill holes. Field work and geochemical sampling will be carried out in these areas prior to further drill testing.  Induced Polarization (IP) geophysical surveys, currently in progress in the Main Zone, will be extended into this area later in the year.

Both Mineral Mountain and Black Canyon are covered under the Goldstrike Plan of Operations received in June 2017.

For a complete table of drill results for the current holes, please click here: http://libertygold.ca/sites/default/files/GS_Intercepts07272017.pdf

For a complete table of results for all drilling by Liberty Gold at Goldstrike in 2015, 2016 and to date in 2017, please click here: http://libertygold.ca/sites/default/files/GS_Intercepts2015to07272017.pdf   

For a map of the current drill target areas, please click here: http://libertygold.ca/sites/default/files/Goldstrike_NR201714.jpg

For a map of drill collars and traces for the current release, please click here: http://libertygold.ca/sites/default/files/Goldstrike_NR201714MM.jpg 

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 Kinsley Mountain and Newmont’s 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.    The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions. 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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Liberty Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT LIBERTY GOLD
Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our flagship property is the Goldstrike Oxide Gold Project in Utah.  Liberty also has a pipeline of projects, including Black Pine in Idaho and Kinsley Mountain in Nevada, providing a solid platform for future growth.  Over the past 5 years, there have been 8 new open-pit, heap leach gold mines built around the world and the management team and/or directors of Liberty Gold are responsible for discovering, developing and/or building, two of them.  Long Canyon in Nevada (Fronteer Gold) and Karma in Burkina Faso (True Gold), both reached commercial production in 2016.

For more information, visit www.libertygold.ca or contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, successful completion of geophysical work, the release of an initial resource report, 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 such 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 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; 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 28, 2017 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.

PGS250: 5.59 g/t Au over 6.1 m within 3.40 g/t Au over 10.7 m (near surface)
PGS278: 1.01 g/t Au over 12.2 m within 0.60 g/t Au over 39.6 m

VANCOUVER, B.C. – Liberty Gold Inc. (LGD - TSX) ("Liberty Gold" or the "Company") is pleased to announce additional drill results from the Main, Peg Leg and Dip Slope Zones from the 100% controlled Goldstrike Carlin–style Oxide Gold Project in southwestern Utah. 

The objective of the current drill program is to link the targets within the Main Zone (including Aggie and Warrior) together into one coherent deposit.

Highlights from the Main Zone (including Warrior and Aggie Targets):

  • 1.20 grams per tonne gold (g/t Au) over 7.6 metres (m) within 0.61 g/t Au over 24.4 m in PGS248
  • 0.40 g/t Au over 35.1 m in PGS257
  • 1.01 g/t Au over 12.2 m within 0.60 g/t Au over 39.6 m in PGS278

Highlights from the Dip Slope Zone:

  • 5.59 g/t Au over 6.1 m within 3.40 g/t Au over 10.7 m in PGS250
  • 0.50 g/t Au over 45.7 m in PGS252
  • 0.58 g/t Au over 10.7 m in PGS254
  • 1.85 g/t Au over 6.1 m in PGS256

Highlights from the Peg Leg Zone:

  • 0.49 g/t Au over 30.5 m in PGS247
  • 1.46 g/t Au over 6.1 m within 0.71 g/t Au over 21.3 m in PGS263
  • 0.61 g/t Au over 6.1 m in PGS267

Please note that due to having three drills on the property, assay results for the holes are not necessarily received in sequence.

KEY POINTS

  • Drilling in the Main Zone is focused on linking gold mineralization in the Aggie-Warrior target area to the west with the rest of the Main Zone to the east.
  • Infill drilling at the Peg Leg Zone continues to intercept significant gold mineralization.
  • The Dip Slope Zone continues to yield high-grade gold intercepts.  Additional drilling is being carried out in order to expand outwards based on continued new results, expanding the target area. 

In addition to resource drilling in the Main-Dip Slope-Peg Leg area, receipt of the Plan of Operations has enabled access into new areas for target tests, including areas to the west along the Historic Mine Trend, the eastern portion of the Dip Slope Zone and Mineral Mountain. Results are pending from all of these areas, and will be released as they are received. 

For a complete table of drill results from the current holes, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts08042017.pdf

For a complete table of results for all drilling by Liberty Gold at Goldstrike from 2015 to August 2017, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts2015to08042017.pdf

For a map of drill collars and traces for the current release, please click here: http://libertygold.ca/images/sites/default/files/GoldStrike_NR201715.jpg

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 Kinsley Mountain and Newmont’s 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.  The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions. 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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Liberty Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT LIBERTY GOLD
Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our flagship property is the Goldstrike Oxide Gold Project in Utah.  Liberty also has a pipeline of projects, including Black Pine in Idaho and Kinsley Mountain in Nevada, providing a solid platform for future growth.  Over the past 5 years, there have been 8 new open-pit, heap leach gold mines built around the world and the management team and/or directors of Liberty Gold are responsible for discovering, developing and/or building two of them.  Long Canyon in Nevada (Fronteer Gold) and Karma in Burkina Faso (True Gold) both reached commercial production in 2016.

For more information, visit www.libertygold.ca or contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, the release of an initial resource report, 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 such 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 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; 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 28, 2017 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.

VANCOUVER, B.C. – Liberty Gold Corp. (LGD - TSX) ("Liberty Gold" or the "Company"), formerly Pilot Gold Inc., is pleased to announce its financial and operating results for the six months ended June 30, 2017.

All amounts are presented in United States dollars unless otherwise stated.

Company highlights through and subsequent to June 30, 2017:

Goldstrike

  • Received Plan of Operations (“PoO”), allowing for property-wide access to priority drill targets.
  • Reported additional drill results from the Main, Peg Leg and Dip Slope Zones, as well as Mineral Mountain in the northwest corner of the project area, located approximately 6km west of the Main Zone. Highlights include:
    • Main Zone:
      • 1.43 grams per tonne gold (g/t Au) over 13.7 metres (m) including 2.33 g/t Au over 7.6 m in PGS237
      • 1.53 g/t Au over 25.9 m including 3.48 g/t Au over 9.1 m in PGS242
      • 0.85 g/t Au over 50.3 m including 1.81 g/t Au over 15.2 m in PGS235
      • 0.62 g/t Au over 50.3 m including 1.61 g/t Au over 7.6 m in PGS243
    • Peg Leg Zone:
      • 1.80 g/t Au over 22.9 m including 2.98 g/t Au over 12.2 m in PGS245
      • 0.51 g/t Au over 22.9 m including 0.84 g/t Au over 9.1 m in PGS244
      • 1.31 g/t Au over 6.1 m in PGS231
    • Dip Slope Zone:
      • 5.59 g/t Au over 6.1 m within 3.40 g/t Au over 10.7 m in PGS250
    • Mineral Mountain:
      • 1.02 g/t Au over 13.7 m and 0.74 g/t Au over 10.7 m in PGS253
      • 1.16 g/t Au over 25.9 m including 3.48 g/t Au over 4.6 m in PGS255
      • 1.78 g/t Au over 67.1 m including 3.14 g/t Au over 32.0 m in PGS277
      • 0.79 g/t Au over 29.0 m including 1.97 g/t Au over 4.6 m in PGS265

See press releases of June 27, 2017, June 7, 2017, July 31, 2017 and August 8, 2017

Kinsley

  • Reported results from 4 reverse circulation (“RC”) holes drilled at the Western Flank East Extension Target at the Kinsley Mountain Project in eastern Nevada. Highlights include:
    • Secret Canyon Shale Zone:
      • 5.30 g/t Au over 29.0 m including 7.84 g/t Au over 16.8 m in PK221
      • 3.68 g/t Au over 3.0 m in PK224
    • Dunderberg Shale Zone:
      • 12.4 g/t Au over 4.6 m including 35.1 g/t Au over 1.5 m in PK221
      • 6.84 g/t Au over 7.6 m including 12.8 g/t Au over 3.0 m in PK224

See press release of July 13, 2017

Goldstrike, Utah

The 2017 RC drilling program began on February 1, 2017 and will continue through to November 2017, for a total of 42,000 m of drilling.  Areas of focus in the first half of the year include the Main Zone, Peg Leg and Dip Slope zones. There are 7 historical mined pits within the initial Main Zone 4 km2 area.

For the six months ended June 30, 2017, expenditures, including non-cash items, at Goldstrike were $2.63 million, including: drilling and assaying ($1.56 million), salaries ($0.47 million), and analyses and surveys ($0.25 million).

The receipt of the PoO in June 2017, will allow the Company to expand drilling to test high-priority targets across the 74.5 km2 property including the Padre Pit area in the northeastern part of the Historic Mine Trend and targets to the west of the Main Zone.

The Company plans to continue drilling with three drills at Goldstrike, at a rate of approximately 50 holes per month to the end of November 2017, restarting in February 2018. The Company also expects to report a first-time mineral resource estimate at Goldstrike in a revised technical report in Q4 2017/Q1 2018.

Kinsley, Nevada

In July 2017, the Company reported results of a 1200 m RC drill program focusing along the Western Flank’s eastern extension and in an area southeast of the historic Main Pit. The Company’s share of expenditures at Kinsley for the six months ended June 30, 2017 was $0.30 million.

Moira Smith, Ph.D., P.Geo., Vice President Exploration and Geosciences, 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 scientific and technical information contained in this release is accurate.

Goldstrike and Kinsley are early stage exploration projects; the potential quantities and grades disclosed herein are conceptual in nature and, except for the mineral resource estimate at the Western Flank deposit at Kinsley, there has been insufficient exploration to define a mineral resource for other targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. The potential to define an additional mineral resource at Kinsley or a resource at Goldstrike is conceptual in nature and there has been insufficient exploration to define a mineral resource thereat.

SELECTED FINANCIAL DATA

The following selected financial data is derived from our condensed interim consolidated financial statements and related notes thereto (the “Interim Financial Statements”) for the six months ended June 30, 2017, as prepared in accordance with International Financial Reporting Standards. A copy of the Interim Financial Statements can be found on the Company’s website (www.Libertygold.ca) or on SEDAR at www.sedar.com.

Beginning January 1, 2017, in order to enhance the relevance to the decision making needs of users, and to improve comparability with our peers, the Company has voluntarily changed its accounting policy with respect to exploration properties and deferred exploration expenditures. In prior periods, the Company’s policy was to defer exploration expenditures until such time as the properties are put into commercial production, sold or become impaired. The Company has elected to change this accounting policy to expense exploration expenditures as incurred, effective with the presentation of the March 31, 2017 Interim Financial Statements, on a retrospective basis. The Company will continue to defer acquisition expenditures on mineral properties until such time as the properties are put into commercial production, sold or become impaired.

The information in the tables below is presented in $000s except per share data:

Three months ended June 30,

Six months ended June 30,

      

2017

2016

2017

2016

Attributable to shareholders:

Loss for the period

$3,258

$2,822

$5,772

$5,260

Loss and comprehensive loss for the period

$2,958

$2,584

$5,348

$4,385

Basic and diluted loss per share

$0.02

$0.02

$0.04

$0.04

 

As at June 30,

As at December 31,

As at December 31,

    2017

     2016

     2015

Cash and short-term investments

$8,149

$12,374

$7,812

Working capital

$7,553

$12,399

$8,215

Total assets

$36,045

$40,881

$36,395

Current liabilities

$1,007

$897

$477

Non-current liabilities

$485

$585

$130

Shareholders’ equity

$24,593

$29,490

$25,768

Losses attributable to shareholders for the three and six months ended June 30, 2017 of $3.26 million and $5.77 million, respectively, were higher than the $2.82 million and $5.26 million incurred in the respective comparative periods, due mostly to an additional $0.61 million in exploration and evaluation expenditures and the recognition of a $0.25 million loss as a result of the change in fair value and impairment of available for sale (“AFS”) equity investments during the six months ended June 30, 2017.

The largest contributions to loss in the three and six months ended June 30, 2017, are exploration and evaluation expenditures, wages and benefits, and office and general costs, which combined comprise $2.91 million and $4.84 million respectively of the overall losses; these same three categories are the largest contributors to the loss in the three and six months ended June 30, 2016 (combined: $2.81 million and $4.66 million respectively). Net cash operating outflows were in line with the comparative period at $4.62 million in the six months ended June 30, 2017, (six months ended June 30 2016: $4.50 million) despite higher costs in the current quarter, mainly due to the receipt of a $0.5 million VAT recoverable by our Turkish subsidiary on January 5, 2017.

The net other comprehensive income attributable to shareholders for the three and six months ended June 30, 2017, were $0.30 million and $0.42 million respectively compared to $0.24 million and $0.88 million respectively in the same period in 2016, driven by lower fair value gains on AFS investments in  in 2017.

Total assets comprise primarily exploration and evaluation assets of $24.02 million and cash, cash equivalents and short term investments of $8.25 million. The 40% share of capitalised acquisition costs of TV Tower owned by Teck Resources Ltd. is included as a component of the $9.96 million non-controlling interest on the Company’s statement of financial position. Total assets also include $0.31 million in receivables, and prepayments, and $1.43 million in value recorded for the Company’s 40% interest in the PEA-stage Halilaga copper-gold project in Turkey.

Total liabilities at June 30, 2017, December 31, 2016 and 2015 primarily reflect accounts payable and accruals recorded at period end arising from ongoing activities. The June 30, 2017 and December 31, 2016 balances also include deferred tax liabilities of $0.40 million and $0.50 million respectively (2015: $nil million) arising from the impact of foreign exchange differences on the carrying value of TV Tower.

ABOUT LIBERTY GOLD

Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada.  The management group at Liberty Gold is responsible for discovering, developing and/or building two of the latest seven heap leach gold deposits in the world that are now operating mines, including Long Canyon in Nevada and Karma in Burkina Faso.

For more information, visit www.libertygold.ca or contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.  

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, potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans, and the release of an initial resource report at Goldstrike. 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 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, copper, silver 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 licences and permits and obtaining required licences and permits, labour stability, stability in market and geo-political conditions, availability of equipment, accuracy of any mineral resources, the amenability of mineralization to produce a grade or quality of concentrate sufficient to be economic (as there can be no assurances as to the results of the metallurgical testing and no inferences should be drawn therefrom), the accuracy of any metallurgical testing completed to date, 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 and uncertainties, which may cause the actual results to be materially different from any future results expressed or implied by such forward-looking information, including, the timely receipt of regulatory approvals; risks related to the interpretation of results and/or the reliance on technical information provided by our joint venture partner or other 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 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 or its joint venture partners; labour disputes and other risks of the mining industry; the uncertainty of negotiating with foreign governments, expropriation or nationalization of property without fair compensation, adverse determination or rulings by governmental authorities delays in obtaining governmental approvals, government regulation of exploration and mining operations, and the application thereof in accordance with the rule of law, financing or in the completion of exploration as well as those factors discussed in the Annual Information Form of the Company dated March 28, 2017 in the section entitled "Risk Factors", under the Company’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.

PGS275: 2.03 g/t Au over 6.1 m and 0.74 g/t Au over 13.7 m
PGS286: 1.01 g/t Au over 12.2 m and 0.75 g/t Au over 9.1 m

VANCOUVER, B.C. – Liberty Gold Inc. (LGD - TSX) ("Liberty Gold" or the "Company") is pleased to announce results from the final three holes at the Mineral Mountain Target, at the 100% controlled Goldstrike Oxide Gold Project in southwestern Utah.  Mineral Mountain is located in the northwest corner of the project area, approximately 6 km from the Main Zone.

Results from the final 3 holes at Mineral Mountain:

  • 2.03 grams per tonne gold (g/t Au) over 6.1 metres (m) and 0.74 g/t Au over 13.7 m in PGS275
  • 0.94 g/t Au over 15.2 m and 0.83 g/t Au over 6.1 m in PGS282
  • 1.01 g/t Au over 12.2 m and 0.75 g/t Au over 9.1 m and 0.31 g/t Au over 9.1 m in PGS286

Highlights from previously released holes at Mineral Mountain:

  • 1.02 g/t Au over 13.7 m and 0.74 g/t Au over 10.7 m in PGS253
  • 1.16 g/t Au over 25.9 m including 3.48 g/t Au over 4.6 m in PGS255
  • 0.58 g/t Au over 6.1 m and 0.51 g/t Au over 7.6 m in PGS264
  • 0.79 g/t Au over 29.0 m including 1.97 g/t Au over 4.6 m in PGS265
  • 0.39 g/t Au over 19.8 m and 0.53 g/t over 6.1 m in PGS268
  • 0.53 g/t Au over 10.7 m in PGS273
  • 1.78 g/t Au over 67.1 m including 3.14 g/t Au over 32.0 m in PGS277

Key Points:

  • Drilling at Mineral Mountain successfully demonstrated the potential for near-surface gold mineralization over a strike length of over 1 km.
  • 12 of the 13 holes at Mineral Mountain returned gold intercepts of greater than 0.40 g/t Au.
  • The interpretative model at Mineral Mountain is similar to the rest of the Goldstrike project area.
  • The Mineral Mountain target is located 1.5 km south of a granitoid intrusion, with a 2 km2 gold-in-soil anomaly that may be skarn related.
  • Additional surface work, including Induced Polarization (IP) geophysical surveys, are needed in the area adjacent to the Mineral Mountain granite stock to understand the relationship between the granite and gold mineralization.
  • The Mineral Mountain intrusion, or buried intrusions related to it, may be drivers of gold mineralization on a region-wide scale, as a source of heat and hydrothermal fluids.  
  • Additional drilling is planned following the completion of surface work.

For a complete table of drill results from the current holes, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts08172017.pdf

For a complete table of results for all drilling by Liberty Gold at Goldstrike from 2015 to August 2017, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts2015to08172017.pdf

For a map showing the proposed IP lines and the drill collars and traces for the current release, please click here:  http://libertygold.ca/images/sites/default/files/GoldStrike_NR1717.png

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 Kinsley Mountain and Newmont’s 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.  The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions. 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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Liberty Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT LIBERTY GOLD
Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our flagship property is the Goldstrike Oxide Gold Project in Utah.  Liberty also has a pipeline of projects, including Black Pine in Idaho and Kinsley Mountain in Nevada, providing a solid platform for future growth.  Over the past 5 years, there have been 8 new open-pit, heap leach gold mines built around the world and the management team and/or directors of Liberty Gold are responsible for discovering, developing and/or building two of them.  Long Canyon in Nevada (Fronteer Gold) and Karma in Burkina Faso (True Gold) both reached commercial production in 2016.

For more information, visit www.libertygold.ca or contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, successful delivery of results of IP, the release of an initial resource report, 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 such 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 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; 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 28, 2017 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.

2.09 g/t Au over 6.1m within 0.69 g/t Au over 30.5 m and
1.79 g/t Au over 10.7 m within 0.74 g/t Au over 41.1 m

VANCOUVER, B.C. – Liberty Gold Inc. (LGD - TSX) ("Liberty Gold" or the "Company") is pleased to announce additional drill results from the Western Zone at the 100% controlled Goldstrike Oxide Gold Project in southwestern Utah.  The newly-defined Western Zone considers five targets as potentially a single linear gold zone up to 3 km long. The objective of the current drill program in this area is to drill under and adjacent to four historic open pits (Covington, Moosehead, Caribou and Beavertail) in order to demonstrate continuity of gold mineralization over the entire zone. 

Highlights from the Western Zone include:

  • 0.90 grams per tonne gold (g/t Au) over 3.0 metres (m) and 0.45 g/t Au over 79.2 m and 0.38 g/t over 10.7 m in PGS279
  • 2.09 g/t Au over 6.1 m within 0.69 g/t Au over 30.5 m and
    0.41 g/t Au over 7.6 m and 0.48 g/t Au over 13.7 m and
    1.79 g/t Au over 10.7 m within 0.74 g/t Au over 41.1 m in PGS281
  • 1.20 g/t Au over 6.1 m within 0.62 g/t Au over 44.2 m in PGS289
  • 1.97 g/t Au over 6.1 m within 0.65 g/t Au over 36.6 m in PGS291
  • 1.62 g/t Au over 9.1 m within 0.78 g/t Au over 27.4 m in PGS295
  • 0.74 g/t Au over 30.5 m in PGS298
  • 0.97 g/t Au over 6.1 m within 0.48 g/t Au over 39.6 m in PGS317

Please note that due to having three drills on the property, assay results for the holes are not necessarily received in sequence.

KEY POINTS

  • In all areas, results highlight long intervals of gold mineralization beginning at shallow depth, hosted in the Claron Formation (regional gold host) as well as in underlying Paleozoic rocks and fault breccias.
  • Drilling to date, in conjunction with historic results, clearly outlines continuous mineralization over a 1 km-long zone beginning at surface and extending to over 150 m under and adjacent to the Moosehead and Caribou pits.  This zone is presently open to depth and along strike.
  • The area referred to above was tested with several holes in late 2015, which returned
    • 0.48 g/t Au over 71.6 m in PGS013
    • 0.47 g/t Au over 39.2 m in PGS014.
  • In addition to bedrock mineralization, drilling within the historic Moosehead Pit in three holes shows the presence of over 10 m of mine pit backfill grading 0.22 - 0.27 g/t Au.
  • Drilling totaling 13 holes was carried out in the Picaroon area to the west of the historic Moosehead Pit over a 500 m strike length.  With most of the assay results received, all show long intervals of anomalous gold in jasperoid-altered Claron Formation, with some areas of reportable gold mineralization.  On the basis of this drilling, the model will be updated, with follow-up drilling planned.
  • Road access was recently established to the Beavertail Pit, where drilling is planned in September.  This area contains significant surface mineralization that was identified but not mined prior to shut-down of the historic operation in 1996.

For a complete table of drill results from the current holes, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts08282017.pdf

For a complete table of results for all drilling by Liberty Gold at Goldstrike from 2015 to August 2017, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts2015to08282017.pdf

For a map of drill collars and traces for the current release, please click here: http://libertygold.ca/images/sites/default/files/GoldStrike_NR201718.jpg

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 Kinsley Mountain and Newmont’s 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.  The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions. 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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Liberty Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT LIBERTY GOLD
Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our flagship property is the Goldstrike Oxide Gold Project in Utah.  Liberty also has a pipeline of projects, including Black Pine in Idaho and Kinsley Mountain in Nevada, providing a solid platform for future growth.  Over the past 5 years, there have been 8 new open-pit, heap leach gold mines built around the world and the management team and/or directors of Liberty Gold are responsible for discovering, developing and/or building two of them.  Long Canyon in Nevada (Fronteer Gold) and Karma in Burkina Faso (True Gold) both reached commercial production in 2016.

For more information, visit www.libertygold.ca or contact:

Evelyn Cox, Director Corporate Communications
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, the release of an initial resource report, 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 such 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 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; 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 28, 2017 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.

2.22 g/t Au over 15.2 m within 1.05 g/t Au over 48.8 m
1.93 g/t Au over 10.7 m within 0.67 g/t Au over 53.3 m

VANCOUVER, B.C. – Liberty Gold Inc. (LGD - TSX) ("Liberty Gold" or the "Company") is pleased to announce additional drill results from the Western Zone and Main Zone at the 100% controlled Goldstrike Oxide Gold Project in southwestern Utah. In both areas, drilling is currently focused on amalgamating mineralization over large areas into single zones of mineralization.  Both zones measure over 2 km long and up to 1 km wide, with areas of untested, high-conviction target potential.    

Highlights from the Western Zone include:

  • 0.79 grams per tonne gold (g/t Au) over 9.1 metres (m) and 0.38 g/t Au over 19.8 m and 1.40 g/t Au over 10.7 m within 0.99 g/t Au over 25.9 m in PGS320
  • 0.77 g/t Au over 4.6 m and 0.51 g/t Au over 64.0 m in PGS322
  • 1.72 g/t Au over 7.6 m within 0.70 g/t Au over 42.7 m in PGS324
  • 1.60 g/t Au over 10.7 m within 0.79 g/t Au over 42.7 m in PGS339

Please note that due to having three drills on the property, assay results for the holes are not necessarily received in sequence.

KEY POINTS

  • The newly-defined Western Zone considers five targets as potentially a single linear gold zone up to 3 km long. The objective of the current drill program in this area is to drill under and adjacent to four historic open pits (Covington, Moosehead, Caribou and Beavertail) in order to demonstrate continuity of gold mineralization over the entire zone.   
  • The results continue to highlight long intervals of gold mineralization beginning at shallow depth, hosted in the Claron Formation (regional gold host) as well as in underlying Paleozoic rocks and fault breccias.
  • Drilling is ongoing with two drills in the Western Zone, which encompasses over 3 square km with areas of known mineralization on surface or at shallow depth bracketing large, untested areas in between.           

Highlights from the Main Zone include:

  • 0.64 g/t Au over 15.2 m and 1.96 g/t Au over 9.1 m within 1.11 g/t over 19.8 m in PGS290
  • 0.71 g/t Au over 22.9 m in PGS303
  • 2.22 g/t Au over 15.2 m within 1.05 g/t Au over 48.8 m in PGS306
  • 0.63 g/t Au over 18.3 m in PGS308
  • 0.83 g/t Au over 21.3 m in PGS318

KEY POINTS

  • The drilling detailed above is part of a resource definition program in the Main Zone, with the goal to establish continuity of mineralization throughout the entire Main Zone area.
  • The results are from the western part of the Main Zone, which contains a zone of higher-grade mineralization that may have starter pit potential in a mining scenario.

For a complete table of drill results from the current holes, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts09082017.pdf

For a complete table of results for all drilling by Liberty Gold at Goldstrike from 2015 to July 2017, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts2015to09082017.pdf

For a map of drill collars and traces for the current release, please click here: http://libertygold.ca/images/sites/default/files/GoldStrike_NR201719.pdf

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 Kinsley Mountain and Newmont’s 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.  The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions. 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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Liberty Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT LIBERTY GOLD
Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our flagship property is the Goldstrike Oxide Gold Project in Utah.  Liberty also has a pipeline of projects, including Black Pine in Idaho and Kinsley Mountain in Nevada, providing a solid platform for future growth.  Over the past 5 years, there have been 8 new open-pit, heap leach gold mines built around the world and the management team and/or directors of Liberty Gold are responsible for discovering, developing and/or building two of them.  Long Canyon in Nevada (Fronteer Gold) and Karma in Burkina Faso (True Gold) both reached commercial production in 2016.

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
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, timing and likelihood of deployment of additional drill rigs, the release of an initial resource report, 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 such 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 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; 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 28, 2017 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.

1.89 g/t Au over 13.7 m within 1.22 g/t Au over 32.0 m
1.93 g/t Au over 10.7 m within 0.67 g/t Au over 53.3 m

VANCOUVER, B.C. – Liberty Gold Inc. (LGD - TSX) ("Liberty Gold" or the "Company") is pleased to announce initial drill results from the eastern portion of the Dip Slope zone and extends the mineralization at the Peg Leg and Western zones at the 100% controlled Goldstrike Oxide Gold Project in southwestern Utah. Throughout the Historic Mine Trend, the aggressive exploration program is focused on building continuity between the target areas and linking them together over large areas into continuous zones of mineralization.

Cal Everett, President and CEO, commented, “Liberty Gold will continue to drill the Dip Slope, Main, Peg Leg and Western gold zones to year-end and will restart the multiple-drill program in mid-February, 2018.  On completion of a resource estimate, the Company intends to advance the property through to a Preliminary Economic Assessment decision while continuing to build ounces during this time period by drilling.  Maintaining an active drill program gives us the opportunity for further resource estimate updates as the project is de-risked.”

The Dip Slope Zone is a large sparsely-drilled area over 3 km long and up to 1 km wide.  

Highlights from the Dip Slope Zone include:

  • 1.93 grams per tonne gold (g/t Au) over 10.7 metres (m) within 0.67 g/t Au over 53.3 m in PGS335
  • 0.96 g/t Au over 10.7 m and 0.38 g/t Au over 39.6 m in PGS342
  • 1.35 g/t Au over 10.7 m within 0.69 g/t Au over 39.6 m in PGS347
  • 1.89 g/t Au over 13.7 m within 1.22 g/t Au over 32.0 m in PGS362
  • 2.03 g/t Au over 3.0 m within 0.65 g/t Au over 38.1 m in PGS365

KEY POINTS

  • The recent approval of the Plan of Operations for drilling has allowed Liberty to access a large, highly prospective area of the eastern Dip Slope zone between the historic Hassayampa and Padre pits. The Padre area has not seen any exploration drilling since 1992.
  • The Padre pit produced over 10% of total historical gold production at the Goldstrike Mine.
  • Drilling in this area has returned excellent results, extending gold mineralization down-dip and lateral to both pits.
  • Additional follow-up drilling is in progress.     
  • The Dip Slope is a very large area that is sparsely drilled. Access roads to other, previously off-limits areas of the Dip Slope are currently under construction, and will allow for infill and step-out drilling over much of the target area. 

Highlights from the Western Zone include:

  • 1.15 g/t Au over 12.2 m  and 0.82 g/t Au over 3.0 m in PGS344
  • 0.35 g/t Au over 36.6 m in PGS351
  • 1.66 g/t Au over 9.1 m within 0.92 g/t Au over 19.8 m in PGS364
  • 0.60 g/t Au over 21.3 m in PGS375

KEY POINTS

  • Drilling in the Western Zone, detailed in previous news releases, continues to yield excellent results.
  • Targets in the Western Zone range from down-dip and lateral extensions to mineralization associated with historic pits, to greenfield areas with few to no historic drill holes.
  • Access has been constructed to a number of areas that were previously off-limits to drilling.

Highlights from the Peg Leg Zone include:

  • 0.64 g/t Au over 33.5 m and 0.77 g/t Au over 4.6 m and 0.96 g/t Au over 1.5 m in PGS338
  • 0.52 g/t Au over 32.0 m in PGS355
  • 0.56 g/t Au over 7.6 m and 1.71 g/t Au over 3.0 m within 0.77 g/t Au over 22.9 m in PGS356
  • 2.32 g/t Au over 3.0 m within 0.82 g/t Au over 13.7 m in PGS363

KEY POINTS

  • Drilling in the Peg Leg Zone is focused on infill and extending surface mineralization to depth along the steep fault on the north side of the zone.

For a complete table of drill results from the current holes, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts10112017.pdf

For a complete table of results for all drilling by Liberty Gold at Goldstrike from 2015 to October 2017, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts2015to10112017.pdf

For a map of drill collars and traces for the current release, please click here: http://libertygold.ca/images/sites/default/files/GoldStrike_NR201720.pdf

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 Kinsley Mountain and Newmont’s 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.  The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions. 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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Liberty Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT LIBERTY GOLD
Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our flagship property is the Goldstrike Oxide Gold Project in Utah.  Liberty also has a pipeline of projects, including Black Pine in Idaho and Kinsley Mountain in Nevada, providing a solid platform for future growth.  Over the past 5 years, there have been 8 new open-pit, heap leach gold mines built around the world and the management team and/or directors of Liberty Gold are responsible for discovering, developing and/or building two of them.  Long Canyon in Nevada (Fronteer Gold) and Karma in Burkina Faso (True Gold) both reached commercial production in 2016.

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
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, the availability of drill rigs, the release of an initial resource report, the completion of a preliminary economic assessment, 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 such 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 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; 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 28, 2017 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.

 

VANCOUVER, B.C. – Liberty Gold Corp. (LGD - TSX) ("Liberty Gold" or the "Company"), formerly Pilot Gold Inc., is pleased to announce its financial and operating results for the nine months ended September 30, 2017.

All amounts are presented in United States dollars unless otherwise stated.

Highlights through and subsequent to September 30, 2017:

Goldstrike (See press releases of July 31, 2017, August 21, 2017, August 30, 2017, September 13, 2017 and October 16, 2017)

 Throughout the Historic Mine Trend, the exploration program is focused on building continuity between a number of target areas and linking them together over large areas into continuous zones of mineralization, namely the Main, Dip Slope, Peg Leg and Western zones.  The Mineral Mountain target in the northwest part of the Property was also tested. Highlights include:

  • Mineral Mountain:
    • 2.03 grams per tonne gold (g/t Au) over 6.1 metres (m) and 0.74 g/t Au over 13.7 m in PGS275
    • 0.94 g/t Au over 15.2 m and 0.83 g/t Au over 6.1 m in PGS282
    • 1.01 g/t Au over 12.2 m and 0.75 g/t Au over 9.1 m and 0.31 g/t Au over 9.1 m in PGS286
    • 1.02 g/t Au over 13.7 m and 0.74 g/t Au over 10.7 m in PGS253
    • 3.48 g/t Au over 4.6 m  within 1.16 g/t Au over 25.9 m  in PGS255
    • 3.14 g/t Au over 32.0 m  within 1.78 g/t Au over 67.1 m  in PGS277
  • Dip Slope Zone:
    • 1.93 g/t Au over 10.7 m within 0.67 g/t Au over 53.3 m in PGS335
    • 1.89 g/t Au over 13.7 m within 1.22 g/t Au over 32.0 m in PGS362
    • 2.03 g/t Au over 3.0 m within 0.65 g/t Au over 38.1 m in PGS365
  • Main Zone:
    • 0.64 g/t Au over 15.2 m and 1.96 g/t Au over 9.1 m within 1.11 g/t over 19.8 m in PGS290
    • 2.22 g/t Au over 15.2 m within 1.05 g/t Au over 48.8 m in PGS306
    • 0.83 g/t Au over 21.3 m in PGS318
  • Peg Leg Zone:
    • 0.64 g/t Au over 33.5 m and 0.77 g/t Au over 4.6 m and 0.96 g/t Au over 1.5 m in PGS338
    • 0.56 g/t Au over 7.6 m and 1.71 g/t Au over 3.0 m within 0.77 g/t Au over 22.9 m in PGS356
    • 2.32 g/t Au over 3.0 m within 0.82 g/t Au over 13.7 m in PGS363
  • Western Zone:
    • 1.66 g/t Au over 9.1 m within 0.92 g/t Au over 19.8 m in PGS364
    • 1.72 g/t Au over 7.6 m within 0.70 g/t Au over 42.7 m in PGS324
    • 1.97 g/t Au over 6.1 m within 0.65 g/t Au over 36.6 m in PGS291
    • 2.09 g/t Au over 6.1 m within 0.69 g/t Au over 30.5 m 1.79 g/t Au over 10.7 m within 0.74 g/t Au over 41.1 m in PGS281

Goldstrike, Utah

The 2017 RC drilling program began on February 1, 2017 and will continue through early December 2017, for a total of approximately 50,000 m of drilling.  Areas of focus include the Main Zone, Peg Leg, Dip Slope and Western zones. There are 7 historical mined pits within the initial Main Zone 4 km2 area.

For the nine months ended September 30, 2017, expenditures, including non-cash items, at Goldstrike were $4.89 million, including: drilling and assaying ($2.97 million), salaries ($0.79 million), and analyses and surveys ($0.44 million).

The receipt of the Plan of Operations in June 2017, has allowed the Company to expand drilling to test high-priority targets across the 74.5 km2 property, including the Padre Pit area in the northeastern part of the Historic Mine Trend and targets to the west and south of the Main Zone.

The Company plans to restart drilling in February 2018. The Company also expects to report a first-time mineral resource estimate at Goldstrike in a revised technical report in Q1 2018, after which, the Company intends to advance the property through to a Preliminary Economic Assessment decision.

Moira Smith, Ph.D., P.Geo., Vice President Exploration and Geosciences, 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 scientific and technical information contained in this release is accurate.

Goldstrike is an early stage exploration project; the potential quantities and grades disclosed herein are conceptual in nature and, there has been insufficient exploration to define a mineral resource for other targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. The potential to define a resource at Goldstrike is conceptual in nature and there has been insufficient exploration to define a mineral resource thereat.

SELECTED FINANCIAL DATA

The following selected financial data is derived from our condensed interim consolidated financial statements and related notes thereto (the “Interim Financial Statements”) for the nine months ended September 30, 2017, as prepared in accordance with International Financial Reporting Standards. A copy of the Interim Financial Statements can be found on the Company’s website (www.Libertygold.ca) or on SEDAR at www.sedar.com.

Beginning January 1, 2017, in order to enhance the relevance to the decision making needs of users, and to improve comparability with our peers, the Company has voluntarily changed its accounting policy with respect to exploration properties and deferred exploration expenditures. In prior periods, the Company’s policy was to defer exploration expenditures until such time as the properties are put into commercial production, sold or become impaired. Effective with the presentation of the March 31, 2017 Interim Financial Statements, on a retrospective basis, the Company elected to change this accounting policy to expense exploration expenditures as incurred. The Company will continue to defer acquisition expenditures on mineral properties until such time as the properties are put into commercial production, sold or become impaired.

The information in the tables below is presented in $000s except per share data:

 

Three months ended
September 30,

Nine months ended
September 30,

      

2017

2016

2017

2016

Attributable to shareholders:

       

Loss for the period

$3,585

$1,955

$9,357

$7,215

Loss and comprehensive loss for the period

$3,358

$1,923

$8,705

$6,308

Basic and diluted loss per share

$0.02

$0.02

$0.06

$0.06

 

 

As at 
September 30,

As at 
December 31,

As at 
December 31,

    2017

     2016

     2015

Cash and short-term investments

$5,153

$12,469

$7,912

Working capital

$4,476

$12,399

$8,215

Total assets

$32,922

$40,881

$36,395

Current liabilities

$974

$897

$477

Non-current liabilities

$498

$585

$130

Shareholders’ equity

$21,528

$29,490

$25,768

Losses attributable to shareholders for the three and nine months ended September 30, 2017 of $3.59 million and $9.34 million, respectively, were higher than the $2.09 million and $7.63 million incurred in the respective comparative periods, due mostly to additional exploration and evaluation, investor relations, promotion and advertising expenditures, offset by reductions in professional fees and office and general costs.

The largest contributions to loss in the three and nine months ended September 30, 2017, are exploration and evaluation expenditures, wages and benefits, office and general, and investor relations, promotions and advertising costs, which combined comprise $3.39 million and $8.57 million respectively of the overall losses; these same four categories are the largest contributors to the loss in the three and nine months ended September 30, 2016 (combined: $2.24 million and $7.03 million respectively). Net cash operating outflows were higher than the comparative period at $7.85 million in the nine months ended September 30, 2017, (nine months ended September 30 2016: $6.89 million) mainly due to higher exploration and evaluation expenditures in the current period.

The net other comprehensive income attributable to shareholders for the three and nine months ended September 30, 2017, were $0.23 million and $0.65 million respectively compared to $0.03 million and $0.91 million respectively in the same periods in 2016, driven primarily by higher exchange gains on the translation of foreign currency subsidiaries in 2017. The impact from exchange differences will vary from period to period depending on the rate of exchange; in the period between January 1, 2017 and September 30, 2017, the United States dollar appreciated 7.7% relative to the Canadian dollar (nine months ended September 30, 2016: 5.5%). The increase from exchange gains was offset by net fair value losses recognized on AFS investments.

Total assets comprise primarily exploration and evaluation assets of $23.98 million and cash, cash equivalents and short term investments of $5.15 million. The 40% share of capitalised acquisition costs of TV Tower owned by Teck Resources Ltd. is included as a component of the $9.92 million non-controlling interest on the Company’s statement of financial position. Total assets also include $0.30 million in receivables, and prepayments, and $1.45 million in value recorded for the Company’s 40% interest in the PEA-stage Halilaga copper-gold project in Turkey.

Total liabilities at September 30, 2017, December 31, 2016 and 2015 primarily reflect accounts payable and accruals recorded at period end arising from ongoing activities. The September 30, 2017 and December 31, 2016 balances also include deferred tax liabilities of $0.40 million and $0.50 million respectively (2015: $nil million) arising from the impact of foreign exchange differences on the carrying value of TV Tower.

ABOUT LIBERTY GOLD

Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our core projects are Goldstrike in Utah, Black Pine in Idaho and Kinsley Mountain in Nevada.  The management group at Liberty Gold is responsible for discovering, developing and/or building two of the latest seven heap leach gold deposits in the world that are now operating mines, including Long Canyon in Nevada and Karma in Burkina Faso.

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
This email address is being protected from spambots. You need JavaScript enabled to view it.  

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, potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans, the release of an initial resource report at Goldstrike and the release of a Preliminary Economic Assessment on Goldstrike. 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 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, copper, silver 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 licences and permits and obtaining required licences and permits, labour stability, stability in market and geo-political conditions, availability of equipment, accuracy of any mineral resources, the amenability of mineralization to produce a grade or quality of concentrate sufficient to be economic (as there can be no assurances as to the results of the metallurgical testing and no inferences should be drawn therefrom), the accuracy of any metallurgical testing completed to date, 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 and uncertainties, which may cause the actual results to be materially different from any future results expressed or implied by such forward-looking information, including, the timely receipt of regulatory approvals; risks related to the interpretation of results and/or the reliance on technical information provided by our joint venture partner or other 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 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 or its joint venture partners; labour disputes and other risks of the mining industry; the uncertainty of negotiating with foreign governments, expropriation or nationalization of property without fair compensation, adverse determination or rulings by governmental authorities delays in obtaining governmental approvals, government regulation of exploration and mining operations, and the application thereof in accordance with the rule of law, financing or in the completion of exploration as well as those factors discussed in the Annual Information Form of the Company dated March 28, 2017 in the section entitled "Risk Factors", under the Company’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.

3.24 g/t Au over 6.1 m within 1.20 g/t Au over 50.3 m
0.63 g/t Au over 73.2m
0.94 g/t Au over 21.3m

VANCOUVER, B.C. – Liberty Gold Inc. (LGD - TSX) ("Liberty Gold" or the "Company") is pleased to announce drill results from the Western Zone and Dip Slope Zone at the 100% controlled Goldstrike Oxide Gold Project in southwestern Utah. Throughout the Historic Mine Trend, the aggressive exploration program is focused on building continuity between the target areas and linking them together over large areas into continuous zones of mineralization.

The current drill results from the Western Zone are from holes drilled along the north margin of the Moosehead-Caribou Pit.

Highlights from the Moosehead Pit area, Western Zone, include:

  • 1.40 grams per tonne gold (g/t Au) over 9.1 metres (m) within 0.64 g/t Au over 54.9 m in PGS397
  • 1.93 g/t Au over 6.1 m within 0.74 g/t Au over 48.8 m in PGS400
  • 0.68 g/t Au over 44.2 m in PGS404
  • 3.24 g/t Au over 6.1 m within 1.20 g/t Au over 50.3 m in PGS406
  • 0.40 g/t Au over 9.1 m and 0.47 g/t Au over 6.1 m and 0.61 g/t Au over 1.5 m and 1.46 g/t Au over 10.7 m in PGS410

KEY POINTS

  • The highlight holes were drilled on approximately 50 m-spaced fences along the north margin of the Moosehead Pit, over an east-west strike length of approximately 200 metres.
  • The holes extend unmined surface and near-surface mineralization to depth in a west-northwest direction.
  • Results are pending from an additional five holes, for a total strike length of over 300 m.
  • The zone appears to extend to the west, and awaits further drilling.
  • The drilling will add significantly to the mineralization endowment in the Western Zone.     

Highlights from the Dip Slope Zone include:

  • 0.94 g/t Au over 21.3 m in PGS379
  • 0.41 g/t Au over 42.7 m in PGS401
  • 0.63 g/t Au over 73.2 m in PGS407
  • 0.51 g/t Au over 41.1 m in PGS411

KEY POINTS

  • The Dip Slope is a very large, relatively sparsely drilled area that spans over 2 square kilometres.
  • Current drill results are from the eastern Dip Slope Zone, which continues to yield excellent results in the Padre Pit area and to the north of the Hassayampa historic pit.
  • A newly-accessed area of the central Dip Slope Zone, characterized by the presence of extensive jasperoid mineralization with surface grab samples up to 11 g/t Au, is currently being drill tested.

For a complete table of drill results from the current holes, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts11162017.pdf

For a complete table of results for all drilling by Liberty Gold at Goldstrike from 2015 to October 2017, please click here: http://libertygold.ca/images/sites/default/files/GS_Intercepts2015to11162017.pdf

For a map of drill collars and traces for the current release, please click here: http://libertygold.ca/images/sites/default/files/GoldStrike_NR2017.pdf

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 Kinsley Mountain and Newmont’s 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.  The historic Goldstrike Mine operated from 1988 to 1994, with 209,000 ounces of gold produced from 12 shallow pits, at an average grade of 1.2 g/t Au.

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. 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) 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 AAS.  Metallic screen techniques may be employed where the presence of coarse free gold is suspected. Approximately 1000 grams of coarse reject material are pulverized and screened. Two splits of the fine fraction are assayed, as well as all material that does not pass through the screen (the coarse fraction). The final gold assay reported is a weighted average of the coarse and fine fractions. 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 multi-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.

Goldstrike is an early-stage exploration project and does not contain any mineral resource estimates as defined by NI 43-101.  The potential quantities and grades disclosed herein are conceptual in nature and there has been insufficient exploration to define a mineral resource for the targets disclosed herein. It is uncertain if further exploration will result in these targets being delineated as a mineral resource. Further information on Goldstrike is available in the technical report entitled "Technical Report on the Goldstrike Project, Washington County, Utah, U.S.A.", effective April 1, 2016 and dated October 7, 2016, prepared by Michael M. Gustin, C.P.G. and Moira Smith, Ph.D., P.Geo. found at the top of this page or under Liberty Gold's issuer profile in SEDAR (www.sedar.com).

ABOUT LIBERTY GOLD
Liberty Gold is led by a proven technical and capital markets team that continues to discover and define high-quality assets. Our flagship property is the Goldstrike Oxide Gold Project in Utah.  Liberty also has a pipeline of projects, including Black Pine in Idaho and Kinsley Mountain in Nevada, providing a solid platform for future growth.  Over the past 5 years, there have been 8 new open-pit, heap leach gold mines built around the world and the management team and/or directors of Liberty Gold are responsible for discovering, developing and/or building two of them.  Long Canyon in Nevada (Fronteer Gold) and Karma in Burkina Faso (True Gold) both reached commercial production in 2016.

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
This email address is being protected from spambots. You need JavaScript enabled to view it. 

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, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans. 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 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, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, the availability of drill rigs, the release of an initial resource report, the completion of a preliminary economic assessment, 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 such 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 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; 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 28, 2017 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.