Co. With Breakthrough BC Gold Project Reports to Shareholders

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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.

Seabridge Gold Inc. (SEA:TSX; SA:NYSE.MKT) has filed its report to shareholders, Interim Financial Statements, and Management's Discussion and Analysis for the first quarter ending March 31, a May 13 release reported.

These documents are now accessible on the SEDAR+ platform and can also be viewed on Seabridge's website.

In recent updates, the Seabridge board has outlined the corporate objectives for 2026. At the top of the list is finding a partner for the vast KSM project after updating mineral resources to reflect metal prices used by leading Tier 1 mining companies. Furthermore, a maiden mineral resource has been declared for the Snip North deposit, a meeting has been scheduled to approve the spin-out of the Courageous Lake project, and there has been an update concerning the legal status of the Mitchell Treaty Tunnels.

"We continue to make material progress on a partnership at KSM with our preferred partner who is now participating with our technical team to advance the feasibility program and early works construction planning while we formalize our partnership agreement," the company noted in its report to shareholders. 

From a financial perspective, Seabridge experienced a shift in the first quarter of 2026, posting a net loss of CA$6.6 million (CA$0.06 per share), a reversal from the net profit of CA$10.6 million (CA$0.11 per share) recorded in the same period of 2025. This loss was primarily due to non-cash revaluation movements on the company's secured notes and an increase in corporate and administrative expenses, although this was partially mitigated by a non-cash revaluation gain on the company's investment in Paramount Gold.

During the quarter, Seabridge said it invested CA$22.3 million in mineral interests, property, and equipment, marking an increase from the CA$14.3 million invested in the first quarter of 2025. This rise in investment was due to heightened activity at the KSM Project.

Seabridge's working capital also significantly improved, with a CA$21.5 million increase to CA$131.3 million as of March 31, 2026, up from CA$109.8 million at the end of 2025. This improvement was supported by the successful raising of CA$35.8 million, net of fees, through the company's ATM program.

Big Year for KSM

Seabridge has outlined an ambitious agenda for 2026 to progress its KSM Project, with a series of significant activities planned, according to the Management's Discussion and Analysis released Thursday. The company intends to kick off a feasibility study (FS) aimed at advancing technical workstreams, engineering designs, and cost estimates, with the goal of completing this study in 2027. This feasibility study will encompass the most extensive geotechnical program ever undertaken at the site, which includes drilling programs in the Treaty and Mitchell valleys, at the tailings management facility, and within the west borrow pit. The program is set to complete 125 drill holes and 175 test pits, some of which will not only provide crucial geotechnical data but will also be used for additional metallurgical test work, the company said.

"The company continues its pursuit of a joint venture agreement on the KSM Project with a senior mining company partner that has the technical, financial and social capabilities to support development of the project," the analysis noted. "The KSM Project includes multiple deposits and development scenarios that provide a joint venture partner flexibility in the design of the project."

In terms of infrastructure development, significant progress is planned in road construction. The project includes extending up to 13 kilometers of the Upper Treaty Creek Access Road (UTCAR) to facilitate access to the site of the MTT saddle portal and constructing up to 5.5 kilometers of the Coulter Creek Access Road (CCAR) to improve access to the Mitchell Valley. Additionally, BC Hydro is finalizing work on the Treaty Creek Terminal, a vital component designed to supply power from the Northwest Transmission Line (NTL) for both construction and operational phases of the project.

Environmental monitoring and technical studies are also on the agenda, as these are essential for preparing the feasibility study and future permitting applications. Furthermore, Seabridge is pushing forward with the M-245 permit amendment, which is necessary for provincial approval to construct the full length of the MTT.

KSM Named a Provincial Priority Project

Seabridge recently announced a significant milestone for KSM. The project was designated a provincial priority project by the Province of British Columbia. With this status, the KSM Project will benefit from dedicated provincial permitting coordination and support, expected to streamline and expedite the permitting process.

The KSM Project is recognized as one of the largest undeveloped copper and gold projects in the world. It boasts substantial proven and probable reserves, including 7.3 billion pounds of copper and 47.3 million ounces of gold, distributed across 2.29 billion tonnes with a grading of 0.64 grams per tonne (g/t) for gold and 0.14% for copper. This project is not only vast in scale but also stands as a critical long-term source of minerals essential for electrification and the global energy transition.

The provincial recognition highlights the project's immense scale and significant long-term economic potential, aligning well with British Columbia's Look West strategy. This strategy is aimed at advancing major projects, enhancing economic security, and promoting the responsible development of the province’s natural resources.

"Recognition of KSM as a provincial priority project reflects the quality of the work completed to date and the value KSM represents for British Columbia and Canada," said Seabridge Chair and Chief Executive Officer Rudi Fronk at the time. "Dedicated permitting support will ensure that the significant effort invested by our team, our First Nation partners, local communities and government agencies evolves into a responsible and rewarding development."

Analyst: Valor Gold Spinout on Track

Mike Kozak from Cantor Fitzgerald recently provided an update April 27 on Seabridge's decision to separate its Courageous Lake open-pit gold project in the Northwest Territories into a new company named Valor Gold. This initiative is on track, with Valor Gold anticipated to start trading on the TSX and OTCQB exchanges by early to mid-June. Kozak highlighted that Seabridge plans to issue one Valor Gold share for every 1.952 shares its current shareholders own. This distribution is contingent upon the approval of Seabridge shareholders, with a vote scheduled for May 22 and a final order hearing on May 27 to finalize the transaction.

Seabridge is committed to financially backing Valor Gold by injecting CA$10 million. This funding includes the purchase of 0.7 million shares of Valor at CA$7.29 each, amounting to CA$5.1 million, and securing a 10% gold stream at a fixed price of US$4,000 per ounce for an additional CA$4.9 million. Kozak said he views the spinout as a favorable move for Seabridge, projecting Valor Gold's market capitalization to be around CA$400 million based on the indicative financing price of CA$7.29 per share. He said he believes this strategy will likely deliver immediate value to Seabridge shareholders, estimating a contribution of about CA$2.75 per Seabridge share from the Courageous Lake project, which had previously been overshadowed by Seabridge’s larger KSM project in British Columbia.

Kozak continued to recommend buying Seabridge stock with a target price of CA$66 per share, suggesting a potential 119% return. He praised the strategic decision to spin out the Courageous Lake project, emphasizing its expected positive impact on shareholder value.

The project, as per the updated 2024 Pre-Feasibility Study (PFS), is now planned as a smaller, less capital-intensive operation with an annual gold output of 201,000 ounces and an All-In Sustaining Cost (AISC) of US$999 per ounce over a 13-year lifespan. The revised plan includes a 7,500 tons per day processing plant with an initial capital cost of US$747 million. The reserve grade has been updated to 2.6 g/t, supporting contained metal of 2.8 Moz, up from 2.2 g/t and 6.5 Moz in an earlier PFS. Measured and Indicated resources stand at 11 Moz of gold, with only 25% included in the PFS mine design. The project's economics forecast a post-tax Net Present Value (NPV) at a 5% discount rate of US$523 million and an Internal Rate of Return (IRR) of 21% at a gold price of US$1,850 per ounce.

Additionally, RBC Capital Markets, through Analyst Josh Wolfson, has rated the stock as Outperform with a price target of US$71 per share, and B. Riley Securities Analyst Nick Giles has given Seabridge a Buy rating with a target of CA$65, forecasting a 44% return at the time of his analysis.

The Catalyst: Gold Markets Watching Summit, War Closely

On Thursday, gold prices remained relatively stable as market participants closely monitored a significant summit between U.S. and Chinese leaders, unfolding amidst the ongoing conflict in Iran, reported Scott Kanowsky for Investing.com on May 14. As of 09:26 a.m. ET, the price of spot gold had edged up by 0.1% to US$4,695.08 an ounce, while gold futures had dipped slightly by 0.1% to US$4,701.05 an ounce.

During the two-day summit, U.S. President Donald Trump and his Chinese counterpart Xi Jinping concluded their initial round of discussions. Xi reported to state media that there was forward movement in trade discussions. However, he also noted that U.S. objections concerning Taiwan could potentially strain bilateral relations.

The financial markets were particularly attentive to any updates regarding the Iran conflict. Analysts speculate that Trump might encourage China, a significant consumer of Iranian oil, to ensure a durable peace agreement, though it is unclear if China is willing to assume such a responsibility.

As these high-level talks and meetings with leading business figures take place in China, the global economic outlook remains uncertain, Kanowsky wrote. This uncertainty is exacerbated by the ongoing closure of the Strait of Hormuz, a crucial maritime passage near Iran that facilitates approximately a fifth of the world's oil supply.

But experts have made several bullish predictions about the future of gold prices, Kat Tretina wrote for Yahoo! Finance on May 11.  JPMorgan forecasts that gold could reach US$6,300 per ounce this year, driven by increased central bank purchases and ongoing global tensions.

Additionally, with growing economic concerns, more retail investors are expected to turn towards physical gold investments like bullion, coins, and bars. Despite traditionally being a stable asset, gold prices have shown increased volatility recently; for example, in early 2026, gold prices dropped by 14% in just three days, indicating that investors should brace for potentially larger and more rapid price fluctuations in the future.

Ownership and Share Structure¹

Management and insiders hold approximately 2% of the company, while institutions own about 61%. The remainder is held by retail investors.

Friedberg Mercantile Group Ltd. holds 15.02%, Pan Atlantic Bank and Trust holds 9.92%, Kopernik Global Investors L.L.C. holds 6.81%. and Van Eck Associates Corp. holds 6.65%.

There are around 107.37 million shares outstanding, with the company having a market cap of CA$4.9 billion and trading within a 52-week range of CA$15.56 to CA$54.29.