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Seabridge raises $225m to advance KSM project

28th February 2022

By: Mariaan Webb

Creamer Media Contract Publishing Editor

     

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Dual-listed Seabridge Gold is raising $225-million to advance its KSM project, in British Columbia, 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 in itself would enhance the project’s proposition in joint venture negotiations, explained Seabridge chairperson and CEO Rudi Fronk.

He added that the fund-raising was intended to achieve key objectives at KSM without the requirement for shareholder dilution.

Sprott managing partner Michael Harrison commented that KSM was Canada's biggest gold-copper-silver development project and an outstanding economic opportunity that the group expects to become one of its longest-life silver royalties.

Edited by Creamer Media Reporter

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