CashInfo.org

CashInfo.org on Seabridge Gold:

BUY Below US$ 29,90

Why CashInfo.org has invested in Seabridge Gold

Again we have chosen a relative save play like we do with Silver Wheaton. Seabridge Gold is a company with a real long term strategy. The basis for this company was made from 1999 till 2002 when gold prices were at ultra low levels. A total of nine North-American gold deposits were acquired at very low prices. Then the second phase started, which was to expand its resource base by carefully targeted exploration. This phase proved highly successful…total measured and indicated gold resources grew 381% over five years while shares outstanding increased only 35.4% during the same period. By 2008, it was clear that the gold price had risen sufficiently to make a number of Seabridge’s projects potentially economic. Work therefore began on the third phase of Seabridge’s strategy…defining the economics of its projects through engineering studies and upgrading resources to reserves. This effort focused on the giant KSM project which, during the exploration phase, had emerged as the Company’s most important asset. A Preliminary Feasibility Study was completed for the KSM project in March 2010 and a substantial portion of its resources were converted to reserves. A similar program is being planned for Courageous Lake, Seabridge’s second-largest asset. Work on KSM and Courageous Lake has been funded in part by the sale of non-core assets which is consistent with the strategy of limiting share dilution and enhancing shareholder value.

We think the price of gold will continue to rise the coming years, considering the leverage to the gold price shares of Seabridge Gold Inc. have, this is a true value investment.
The following text is from the company website and describes very well why we trust this company:

Our goal in establishing Seabridge was to provide exceptional returns to shareholders by maximizing leverage to the gold price in what we perceived would be a rising gold price environment. Our strategy was to optimize gold resources while limiting shares outstanding. This approach provided a simple but effective measure for evaluating dollars spent in terms of resources added compared to shares issued.

We decided that our competitive advantage at Seabridge would be to evaluate, acquire, explore and develop gold deposits. From our inception, we determined that Seabridge would not build or operate mines…we would look to partner or sell assets which were ready for production. Building mines adds considerable technical and financial risks and requires a different set of skills and resources. Nor did we wish to undertake grass roots exploration which is very high risk. We therefore narrowed our value-added proposition to three phases which would unfold as the gold price rose…acquiring known deposits, expanding them and defining their economic parameters. In our view, this was a relatively lower risk and less capital-intensive strategy consistent with the goal of optimizing gold ownership while limiting share dilution.

Seabridge Gold Inc. (AMEX:SA) Interactive Chart

Seabridge News

July 1 2010 Trading Alert for (SA)
June 16 2010 Drilling underway at Seabridge’s Courageous Lake Gold Project
June 9 2010 Permitting progresses at Seabridge’s gold’s KSM project
May 26 2010 Drilling commences at Seabridge’s KSM gold’s Project
May 14 2010 Seabridge Gold Files first quarter 2010 Financial Statement and MD&A
April 19 2010 Seabridge Gold announces 2010 program for KSM

Seabridge Gold Inc. Toronto (TO:SEA) Interactive Chart

Seabridge Gold Projects

KSM
The KSM project is one of the largest undeveloped gold projects in the world. Proven and probable reserves total 30.2 million ounces of gold and 7.0 billion pounds of copper (see table).
Current Program:
In 2010, drill program objectives are to add 2-3 million ounces of gold reserves and explore Iron Cap, a new target with potential to be KSM’s fourth large deposit. Preliminary Feasibility Study (PFS) optimization is being pursued and an updated PFS is planned for early 2011. The Environmental Assessment Application should be completed for submission to the regulators late this year (see news release of April 19, 2010 for details).

Courageous Lake
The Courageous Lake project consists of 53 kilometres of greenstone belt containing the FAT deposit, one of Canada’s largest undeveloped gold deposits, numerous other gold occurrences and two former producers.
Current Program:
In 2010, drill program objectives include upgrading a substantial proportion of FAT’s inferred resources to measured and indicated. Further engineering work is expected to result in a revised Preliminary Assessment in early 2011 and commencement of the permitting process (see news release of April 6, 2010 for details).