Allegiant Gold closes $10.5-million private placement

Mr. Peter Gianulis reports ALLEGIANT ANNOUNCES CLOSING OF $10.5M FINANCING WITH KINROSS GOLD AS LEAD INVESTOR Allegiant Gold Ltd. has closed its previously announced non-brokered private placement of $10.5-million, led by existing shareholder Kinross Gold Corp. As a result of the financing, Kinross has increased its equity ownership to 9.9 per cent of the company on a partially diluted postfinancing basis. The offering consisted of the issuance of 21 million units at a price of 50 cents per unit. Each unit consists of one common share and one-half of one common share purchase warrant. Each warrant entitles the holder to acquire an additional common share at a price of 70 cents for a period of 18 months from the date of issuance. All securities issued are subject to a 12-month voluntary hold period, provided that in the event that the closing price of the company's common shares on the TSX Venture Exchange (or such other exchange on which the company's common shares may become traded) is $1.00 or greater per common share during any 10 consecutive trading day period at any time subsequent to four months and one day after the closing date, the warrants will expire at 4 p.m. (Vancouver time) on the 30th day after the date on which the company provides notice of such accelerated expiry to the holders of the warrants. All securities issued in connection with the offering are subject to a four-month statutory hold period following closing and the exchange hold period expiring on Jan. 6, 2026. In addition, the shares and warrants issued to the subscribers in the offering are subject to a voluntary hold period of 12 months from the closing date. Peter Gianulis, chief executive officer of Allegiant Gold, commented: "We are proud to announce the successful closing of this financing, led by Kinross Gold -- one of the world's leading gold producers and a long-term strategic shareholder of Allegiant. Their renewed commitment and increased equity position to 9.9 per cent (on a partially diluted basis) is a strong endorsement of our Eastside project. We are also pleased to welcome Eric Sprott as a new investor. "With gold and silver prices near all-time highs, we believe the time has come for our company to accelerate the exploration and development of Eastside. With more than $13-million of capital at our disposal, we can now accelerate our exploration timeline and increase the size and quality of our gold and silver resources over the next 18 months. "This financing puts Allegiant in a strong financial position for the next three years. We also believe that the 12-month hold period is a testament to the quality of our investors and the confidence in our team -- junior mining companies require time and capital to execute their business plan. In addition, this voluntary hold period now creates an equal footing for all investors, especially for U.S. investors." Use of proceeds Proceeds from the offering will be used to finance Allegiant's multiyear development plan at its flagship Eastside project, including: A comprehensive geophysics and mapping campaign on the entire 90-kilometre property; Up to 20,000 metres of reverse circulation (RC) and diamond core drilling; Targeting new high-grade zones and resource expansion; Targeting additional exploration targets based on the completed geophysics program; Advancing Eastside toward future technical and economic milestones; General working capital purposes. With this strengthened capital base and continued support from Kinross as a lead investor, Allegiant is well positioned to deliver meaningful progress and value creation over the next several exploration seasons. The company paid finders' fees of $89,600 cash, 1,072,393 common shares and 590,796 non-transferable finders' warrants to arm's-length finders in accordance with the policies of the exchange. Each finder's warrant entitles the holder thereof to acquire one common share at a price of 70 cents until March 6, 2027, subject to the accelerated expiry provisions. Certain insiders of the company subscribed for a total of 97,300 units in the offering for aggregate gross proceeds of $48,650. The participation by such insiders in the offering constituted a related party transaction as defined under Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions. The offering remains subject to the final approval of the exchange. About Allegiant Gold Ltd. Allegiant owns three highly prospective gold projects in the United States, all of which are in the mining-friendly jurisdiction of Nevada. Allegiant's flagship, district-scale Eastside project hosts a large and expanding gold/silver resource and is in an area of excellent infrastructure. Preliminary metallurgical testing indicates that both oxide and sulphide gold mineralization at Eastside is amenable to heap leaching. We seek Safe Harbor.