The Government of British Columbia has renewed the license of occupation (LoO) for the KSM copper-gold project for a further 20 years. The project is owned by Seabridge Gold (TSX: SEAL; NYSE: SA).
With proven and probable reserves containing 47.3 million oz. gold, 7.3 billion lb. copper, and 160 million oz. silver, KSM is the world’s largest undeveloped deposit of its kind.
The licence gives Seabridge subsidiary KSM Mining ULC the right to occupy the area in which it intends to construction the MTT. The MTT are the two, 23-km-long parallel tunnels planned to connect the east and west sides of the KSM mine site.
The MTT route passes through 11 mineral claims owned by a joint venture of Tudor Gold (TSXV: TUD), Teuton Resources (TSXV: TUO), and American Creek Resources (TSXV: AMK). The new licence replaces the one granted in 2014, which included the words “subject to the prior rights” of the holder of the 11 mineral claims owned by the joint venture. The new licence removes that phrase as it served no purpose, and further obstructs the three partners from obstructing, endangering, or interfering with KSM Mining’s activities regarding the MTT project. The new licence grants no interest in the minerals within the LoO to Seabridge or its subsidiary.
“We are pleased the renewed LoO provides greater clarity on the priority rights of KSMCo’s MTT across the Treaty Creek project Seabridge chair And CEO Rudi Front commented. “Furthermore, the renewal is for a 20-year term whereas the previous LoO was for 10 years.
“Seabridge continues to invite Tudor to enter into discussions with us on how we may be able to accommodate the progression of the Treaty Creek project while constructing and operating our MTT,” he noted.
In addition to the LoO, KSM Mining holds two additional permits associated with the MTT including a Mines Act permit M-245 which currently authorizes the company to conduct various activities, including both temporary and long-term surface infrastructure, construction of all portals, and a tailings management facility.
The proven and probable reserves at the KSM project are estimated to be 2.29 billion tonnes, grading 0.64 g/t gold, 0.14% copper, 2.2 g/t silver, land 76 ppm molybdenum.
More information is available by visiting www.SeabridgeGold.com.
