Seabridge Gold Reports Sale of Grassy Mountain NPI Not Proceeding
TORONTO, Feb. 4, 2014 /PRNewswire/ – Seabridge Gold today reported that its
agreement to sell its 10% net profits interest in the Grassy Mountain
Project for proceeds of US$7.5 million will not proceed. The sale was
conditional on the concurrent completion of the sale to Rockstar
Resources Inc. (“Rockstar”) by Calico Resources Corp. (“Calico”) of its
wholly owned subsidiary, Calico Resources USA Corp. (“Calico USA”), as
announced by Calico on December 3, 2013. Calico USA is the owner of the
Grassy Mountain Project, having acquired it from Seabridge upon
exercise of an option for a 100% interest in the project originally
granted in April, 2011.
In its news release of today, Calico reports that it has not received
from Rockstar Resources Inc. the required second down payment under the
memorandum of agreement dated Dec. 2, 2013. As a result, Calico reports
that it has delivered to Rockstar Resources a written notice of default
advising, amongst other things, that Rockstar’s right to purchase
Calico USA has come to an end and the initial down payment has become
non-refundable and will be retained by Calico.
Seabridge holds a 100% interest in several North American gold resource
projects. The Company’s principal assets are the KSM property located
near Stewart, British Columbia, Canada and the Courageous Lake gold
project located in Canada’s Northwest Territories. For a breakdown of
Seabridge’s mineral reserves and resources by project and category
please visit the Company’s website at www.seabridgegold.net/resources.php.
ON BEHALF OF THE BOARD
Chairman and CEO
SOURCE Seabridge Gold Inc.