a pouring out of wine or other liquid in honor of a deity.
the liquid poured out.
Often Facetious.
an intoxicating beverage, as wine, especially when drunk in ceremonial or celebrative situations.
an act or instance of drinking such a beverage.

1350–1400; Middle English libacio(u)n < Latin lībātiōn- (stem of lībātiō) a drink offering, equivalent to lībāt(us) (past participle of lībāre to pour; cognate with Greek leíbein) + -iōn- -ion

libational, libationary, adjective Unabridged
Based on the Random House Dictionary, © Random House, Inc. 2014.
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World English Dictionary
libation (laɪˈbeɪʃən)
1.  a.  the pouring out of wine, etc, in honour of a deity
 b.  the liquid so poured out
2.  facetious usually an alcoholic drink
[C14: from Latin lībātiō, from lībāre to pour an offering of drink]

Collins English Dictionary - Complete & Unabridged 10th Edition
2009 © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins
Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009
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Word Origin & History

late 14c., "pouring out of wine in honor of a god," from L. libationem (nom. libatio) "a drink offering," from libare "pour out (an offering)," from PIE *(s)leib- "to pour, drop" (cf. Gk. leibein "to pour, make a libation"), an enlargement of base *lei- "to pour, to flow" (cf. Skt. riyati "to let run;"
Gk. aleison "a wine vessel;" Lith. lieju "to pour," lytus "rain;" Hitt. lilai- "to let go;" Alb. lyse, lise "a stream;" Welsh lliant "a stream, a sea," llifo "to flow;" O.Ir. lie "a flood;" Bret. livad "inundation;" Gael. lighe "a flood, overflow;" Goth. leithu "fruit wine;" O.C.S. liti, lêju, Bulg. leja "I pour;" Czech liti, leji, O.Pol. lic' "to pour"). Transf. sense of "liquid poured out to be drunk" is from 1751.
Online Etymology Dictionary, © 2010 Douglas Harper
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Example sentences
If your grooming service doesn't put you in the chill zone, ease up to the bar
  and unwind further with a signature libation.
Now, please join us in taking a sip of your favorite celebratory libation.
Ease into your evening with a libation in the taproom, then move to the rustic
  yet elegant little dining room.
Never again will the fashionable geek be without a means to access their
  libation of choice.
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