Finding a Partner for Massive KSM Project Still at Top of Gold Developer's Goals

1. Seabridge Gold Inc. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$3,000 and US$6,000.
2. As of the date of this article, officers, contractors, shareholders, and/or employees of Streetwise Reports LLC (including members of their household) own securities of Seabridge Gold Inc.
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1. Ownership and Share Structure Information

The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.

Continuing its long-standing tradition of annual goals and evaluating its performance at year's end, Seabridge Gold Inc. (SEA:TSX; SA:NYSE.MKT) has released its objectives for 2026, according to a release on March 10.

This practice, which Seabridge refers to as its "report card," plays a crucial role in determining the "at-risk" compensation for senior management and influences bonus considerations for other employees.

For the year 2026, the company has outlined 10 specific objectives, each assigned a particular weight by the Board, reflecting its importance to the company's overall strategy.

Key among these objectives is entering into a partnership agreement for the KSM project with a major mining company, which carries the highest weight of 30%. This partnership is expected to leverage the technical, financial, and social capabilities necessary to construct and operate the project.

Another significant goal for 2026 is to increase the gold resources per common share, including 100% of the KSM and Courageous Lake projects, with a 10% weighting.

Additionally, the company aims to initiate and advance a bankable feasibility study for KSM in collaboration with its new partner, also weighted at 10%.

Operational targets include obtaining the amended M245 permit required for building the Mitchell Treaty Tunnels and associated infrastructure, completing the construction of the Treaty Creek switching station for connecting KSM to the BC Hydro Northwest Transmission line, and actively opposing any judicial challenges to the Mitchell Treaty Tunnels project. Each of these objectives has been assigned a 5% weighting.

Seabridge also plans to spin out the Courageous Lake project into a new publicly traded company, maintain positive relationships with Treaty and First Nation groups, and publish a maiden gold-copper mineral resource estimate for the Iskut's Snip North deposit followed by an extensive drill program. These goals each have a 10% weighting.

Finally, the company said it is committed to fostering a strong safety culture with a target Total Recordable Injury Frequency (TRIF) below 1.5, which also holds a 10% weighting. This will be supported by tracking safety metrics, collaborating on initiatives, and establishing contracts aligned with Health, Safety, and Sustainability (HSS) standards.

Valor Gold Corp.

Last month, Seabridge Gold Corp announced plans to spin off the Courageous Lake gold project in the Northwest Territories into a new entity, Valor Gold Corp. This decision was detailed in a January 21 release, outlining that Valor Gold Corp. will be entirely distributed to Seabridge shareholders through a court-approved plan of arrangement under the Canada Business Corporations Act. A shareholder meeting is scheduled for June 2026 to seek approval for this strategic move.

Valor Gold Corp. aims to be listed on the Toronto Stock Exchange (TSX) and the OTCQB Venture Market in the USA, with potential future plans to list on the NYSE. The company anticipates that trading of Valor shares will begin by the end of the second quarter of 2026, pending shareholder approval, a final court order, and the successful execution of the spin-out process.

To support its operations upon becoming an independent entity, Valor will be endowed with CA$10 million in cash. These funds are earmarked to finance anticipated work programs and manage corporate general and administrative expenses. Seabridge has secured the services of DuMoulin Black as its Canadian legal counsel and Dorsey Whitney as its U.S. attorney to assist in the spin-out process.

Gold and Silver Prices Lead to New Price Target

Seabridge Gold has received a positive adjustment to its target price from Cantor Fitzgerald, following the firm's revised upward estimates for gold and silver prices. In a macro note dated January 12, analysts including Mike Kozak highlighted that the anticipated rise in precious metal prices is expected to significantly enhance Seabridge's margins, earnings, and cash flow starting from the fourth quarter of 2025 results, which are due to be reported in late February, and will likely gain momentum in the first quarter of 2026.

However, the Cantor analysts also pointed out several challenges that might temper these financial gains. These include typical cost inflations in the mining sector, rising wages and salaries, increased capital costs influenced by higher tariffs on materials like steel and processing reagents, growing royalty payments, and declining average head grades. The latter issue stems from the depletion of Proven and Probable reserves and lower cutoff grades, which are influenced by the rising gold prices.

Cantor Fitzgerald has set a new target price for Seabridge at CA$66 per share, which represents a 72% potential upside, as noted by Kozak. The firm maintains a "Buy" rating on the company. Seabridge, based in Ontario, Canada, has also recently completed a significant equity financing of US$100 million, with a notable US$20 million contribution from an unnamed investor. The company is actively seeking a joint venture partner to further develop its KSM project, with expectations of securing a deal in the first half of 2026.

Another potential boost for Seabridge's stock in 2026 could come from the planned spinout and listing of its wholly-owned Courageous Lake gold project in Canada's Northwest Territories as Valor Gold, also expected in the first half of the year. Additionally, the company anticipates releasing a maiden mineral resource estimate for the Snip North deposit at its Iskut project in British Columbia in the first quarter of 2026.

Meanwhile, Red Cloud maintained its target price for Seabridge at CA$74.50 per share, while the stock was trading at approximately CA$40.17 at the time of their report, suggesting an 85% potential return for investors. Red Cloud also views the Courageous Lake spinout positively, noting that the market currently undervalues this project within Seabridge, with the share price largely reflecting the value of the flagship KSM project.

Seabridge continues to focus on advancing the KSM project, with near-term activities including completing the power switching station and finalizing a feasibility study, supported by the funds from its recent CA$100 million financing. According to Factset, other firms including B. Riley Securities and RBC Capital also maintain "Buy" recommendations on Seabridge, with target prices of CA$88.97 and CA$87.20 respectively.

Technical Analyst: Stock Is Breaking Out Multi-Year Base

Seabridge has long been recognized for its strategic approach to managing one of the world's largest undeveloped gold-copper projects, the KSM project, which has been meticulously assembled, permitted, and developed over two decades, according to John Newell of Newell & Associates writing for Streetwise Reports on December 23, 2025. The company is now poised to capitalize on favorable market conditions that are emerging both fundamentally and technically. KSM, fully permitted and supported by robust Indigenous agreements, is set to become a significant multi-decade production project on a global scale. With rising gold and copper prices, the market is starting to acknowledge the substantial leverage embedded in KSM.

"From a technical perspective, Seabridge shares are emerging from a multi-year base that spans more than a decade," Newell wrote. "Breakouts of this magnitude are typically driven by fundamental re-rating events, not short-term momentum. The combination of rising gold prices, advancing partnership discussions at KSM, and a clear plan to unlock value from Courageous Lake creates a rare convergence of factors."

Newell rated Seabridge a Speculative Buy "for investors who understand the power of scale, scarcity, and optionality in a new gold cycle. With two world-class assets now on separate paths, and a long-term chart pointing higher, Seabridge offers leverage that is increasingly difficult to find in the gold sector."

The Catalyst: Despite Current Shakiness, Gold Still Has Its Advantages

On Tuesday, gold prices fell amidst a dramatic fluctuation in oil prices, which soared to US$119 per barrel before retreating to settle at US$94.70, according to Gary Wagner of Kitco News on March 9.

Concurrently, gold futures dropped by US$32.60 to US$5,148.70, although they rebounded from a daily low of US$5,021.20. The primary catalyst behind the volatility in gold, oil, the dollar, and other markets is the ongoing conflict between the U.S./Israel and Iran, which escalated on February 28 with joint airstrikes aimed at regime change in Iran. These strikes resulted in the death of Iran's supreme leader among other officials.

The conflict's dynamics took a turn when Mojtaba Khamenei, the son of the deceased leader, was appointed as the new "Supreme Leader" of Iran. His selection has sparked controversy and extended the conflict's potential duration, as indicated by prior warnings from the Israeli military and criticism from President Trump, who found the choice "unacceptable."

In the immediate aftermath of the airstrikes, the U.S. dollar emerged as the preferred safe-haven asset, overshadowing gold, which typically benefits from geopolitical unrest, Wagner noted. This shift reflected a belief in a quick resolution backed by US military prowess, which initially reduced the appeal of gold as a safety asset.

While gold prices have slightly decreased from their peak a few months ago, they remain exceptionally high, consistently exceeding US$5,000 per ounce, reported Aly J. Yale for CBS News MoneyWatch on March 9.

This level is among the highest historically recorded for the precious metal. The robust demand for gold is primarily driven by central banks, which are increasingly opting for gold over riskier dollar-denominated assets as a safer store of value. Additionally, individual investors are also contributing to the demand, seeking to diversify their portfolios, hedge against inflation, and secure long-term wealth, Yale wrote.

The sustainability of this high demand and the future trajectory of gold prices are currently under scrutiny, Yale noted. Experts are debating whether the prices will continue to rally or if a downturn is imminent. In discussions about the outlook for this spring and beyond, experts generally anticipate a rise in gold prices in the coming months. This expected increase is largely attributed to escalating geopolitical tensions, particularly in the Middle East, which traditionally propel investors towards safer assets like gold.

Hiren Chandaria, managing director at Monetary Metals, highlighted that geopolitical unrest, especially involving Iran, heightens uncertainties around regional stability, energy markets, and global trade routes, prompting investors to turn to defensive assets such as gold. Additionally, the UAE's significant role in gold trading and refining could mean that regional issues might constrain supply, potentially driving prices even higher.

Another significant factor influencing gold's market trajectory is the global trend of "de-dollarization," where there is a shift away from U.S.-dollar-backed securities. Recent sanctions and restrictions have made dollar assets appear riskier, prompting foreign governments and central banks, particularly in emerging markets, to diversify their reserves by increasing their gold holdings, according to Yale. Chandaria describes this shift as a "strategic reallocation" that supports sustained demand for gold.

Echoing this sentiment, Darius Dale, founder and CEO of 42 Macro, remains optimistic about gold's prospects, expecting prices to stay "constructive" in the near future, the report noted.

However, the appointment of Mojtaba Khamenei suggests a possibly enduring conflict, reigniting concerns over prolonged disruptions in energy supplies and subsequent inflationary pressures. These concerns are influencing Federal Reserve monetary policy expectations, with traders now anticipating a delay in rate cuts, shifting from May to September, he said. While higher interest rates generally diminish gold's appeal by raising the opportunity cost of holding non-yielding assets, gold has demonstrated resilience, possibly due to a rising demand for it as an inflation hedge.

Ownership and Share Structure¹

Management and insiders hold approximately 3% of the company, while institutions own about 62%. The remainder is held by retail investors.

Friedberg Mercantile Group Ltd. holds 15.49%, Pan Atlantic Bank and Trust owns 10.23%, Van Eck Associates Corp. has 6.86%, and Kopernik Global Investors L.L.C. possesses 6.69%.

There are around 104.35 million shares outstanding, with the company having a market cap of CA$5.61 billion and trading within a 52-week range of CA$13.44 to CA$53.78.