- Seabridge Gold (TSX:SEA) has completed its previously announced acquisition of the 3 Aces gold project in Canada’s Yukon region
- The company acquired the project from Golden Predator Mining through the issuance of 300,000 shares, as well as potential future cash payments totalling C$2.25 million
- Golden Predator will also receive a net smelter royalty of 0.5 per cent
- Previous drilling at the site has identified a number of gold-rich zones
- Seabridge Gold (SEA) is currently down 5.31 per cent and is trading at $21.03 per share, with a market cap of $1.38 billion
Seabridge Gold (TSX:SEA) has completed its previously announced acquisition of the 3 Aces gold project in Canada’s Yukon region.
Located on the eastern margin of the Selwyn Basin, the 3 Aces Project consists of 1,536 claims over roughly 350 square kilometres.
Its areas of interest are reportedly consistent with some of the largest gold deposits in the world, such as the California Mother Lode Belt, the Juneau Gold Belt, Murentau in Uzbekistan and Obuasi in Ghana.
Previous exploration work at the project has encountered a number of gold-rich zones. By early 2019, 3 Aces had roughly 300 completed drill holes. 37 per cent of these indicated at least five grams per tonne of gold, while 27 per cent returned more than eight grams per tonne of gold.
Under the terms of the agreement, Seabridge Gold acquired the 3 Aces project from Golden Predator Mining through the issuance of 300,000 common shares.
A further C$1 million cash payment will be made following the confirmation of a NI-43-101 compliant mineral resource of 2.5 million ounces of gold. A $1.25 million cash payment will also be made upon confirmation of an aggregate mineral resource of 5 million ounces of gold.
In addition, a 0.5 per cent net smelter royalty will be granted to Golden Predator.
Rudi Fronk, Chairman and CEO of Seabridge Gold, said the 3 Aces Project is a first-rate exploration play with the potential for a high-grade, commercially viable ore body.
“We think 3 Aces is a worthy addition to the three outstanding exploration opportunities we already own in British Columbia, Nevada and the Northwest Territories.
“Golden Predator has done an excellent job of demonstrating the exploration potential at 3 Aces, confirming the project’s positive metallurgy and establishing excellent relationships with local First Nations and communities,” he said.
Seabridge Gold (SEA) is currently down 5.31 per cent and is trading at $21.03 per share at 11:34am EDT.