Name of the Project
KSM gold/copper project.

Location
British Columbia, in Canada.

Project Owner/s
Seabridge Gold, through its wholly owned subsidiary KSM Mining.

Project Description
KSM is the world’s biggest undeveloped gold/copper project measured by mineral reserves, which does include a sizeable inferred mineral resource at the project’s four deposits.

A preliminary economic assessment (PEA) has been undertaken to assess an alternate approach to develop KSM by incorporating the much larger Iron Cap block cave mine – accompanied by smaller openpits – into the production schedule, compared with previous studies, and developing this opportunity much earlier in the project’s mine life.

The PEA envisages a combined openpit and underground block cave mining operation with a 44-year mine life.

The operation will capture 19.6-million ounces of gold and 5.4-billion pounds of copper from the measured and indicated categories, plus an additional 20.8-million ounces of gold and 13.8-billion pounds of copper from the inferred category.

Openpit mining accounts for one-third of produc­tion while underground mining comprises the balance.

Life-of-mine recovered production is estimated at 27.6-million ounces of gold and 17-billion pounds of copper.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an after-tax net present value, at a 5% discount rate, of $6-billion using base case three-year average price assumptions of $1 340/oz gold, $2.80/lb copper and a foreign exchange rate of $0.76/C$1.00.

The project has a four-year payback.

Capital Expenditure
Initial capital is estimated at $5.2-billion.

Planned Start/End Date
Not stated.

Latest Developments
Seabridge Gold is raising $225-million to advance its KSM project through a deal with Sprott Resource Streaming and Royalty Corp, and Ontario Teachers’ Pension Plan.

Seabridge has agreed to sell a secured note that is to be exchanged at maturity for a silver royalty on its KSM project, raising funds that will be used to continue ongoing physical works at the project and advance it towards a designation of 'substantially started'.

Achieving a ‘substantially started’ designation would ensure the continuity of the KSM project’s approved environmental assessment certificate, which would enhance the project’s proposition in joint venture negotiations, according to Seabridge chairperson and CEO Rudi Fronk.

The fund-raising is intended to achieve key objectives at KSM, without the requirement for shareholder dilution.

KSM Mining has signed a facilities agreement with British Columbia Hydro and Power Authority (BC Hydro) covering the design and construction of facilities by BC Hydro to supply construction-phase hydro-sourced electricity to the KSM project.

KSM will connect to BC Hydro's existing Northwest transmission line at BC Hydro's Treaty Creek switching station.

KSM Mining has completed its design for a 30-km-long 287 kV transmission line to interconnect the station and the KSM plant site.

This KSM transmission line is scheduled to be built in 2023, with completion and commissioning planned for late 2024 to be ready for connection to the switching station.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Seabridge, tel +1 416367 9292 or email info@seabridgegold.net.