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"The storied experiences of multitudes of battles reduced to liquid form, this draught will instantly raise your experience level."

This Potion was removed along with XP and experience levels in the 1.7 update.

Drinking a Potion of Gain level instantly advances you to the next experience level. Any experience you had already accumulated towards the next level is wasted. It is often a good idea to save Potions of Gain Level until late in the game, as the higher experience levels require much more XP to reach, and levels above 13 or 14 are almost impossible to reach via any other means.

Potions of Gain Level are very rare; you may only find one in an entire game. Unfortunately, this means that you are unlikely to know what it is before drinking it. If you find an unidentified potion and there are only a few possibilities left, it may be worth using a Scroll of Identify in order to check if it is a Potion of Gain Level, so that you can save it for when it will be most effective.