Seabridge Gold To Acquire 100% Interest In Properties And Data Of The Slaughterhouse Project In Southern Wyoming From Orogen Royalties For $300K And Milestone Payments Of Up To $2.55M

This purchase includes 163 US mining claims, geophysical survey results and geological mapping, sampling and prospect evaluation. The Slaughterhouse Project has been evaluated over the past several years by Orogen.Southern Wyoming has been known for over a century as a copper and gold camp, but the historical occurrences have not had the comprehensive work required to explain its mineral deposits. In particular, copper and gold are typically associated with abundant hematite, an unusual feature which is found in a number of higher-grade mines elsewhere. Orogen's effective and persistent effort has built a compelling deposit concept for an undiscovered large and high-grade gold deposit with significant critical metals co-products.Seabridge Senior Vice President of Exploration, Bill Threlkeld, noted that "hematite iron oxide copper-gold (IOCG) deposits - including world-class giants like Olympic Dam and Prominent Hill in South Australia - are highly prized because they can offer superior grades compared to porphyry deposits including concentrations of critical minerals. Our team likes the challenge of this specific target type because of its potential for a substantial discovery, and it offers an opportunity to advance exploration methods and geological models that have been underutilized in the Western US."Chair and CEO Rudi Fronk commented: "Our approach to the Slaughterhouse Project will employ a novel concept that has never been tested in Wyoming with modern exploration thinking and tools. Although this is an early-stage project, we believe we have the potential to make a discovery that opens new possibilities for gold and critical metals exploration. We also think that using new technologies and aggressive exploration could unlock mineral systems relatively quickly."Pursuant to the purchase agreement, Seabridge has agreed to purchase 100% of the project for US$300,000 and provide additional milestone payments totalling up to US$2.55 million upon successful completion of specific goals. Orogen will retain a 2.5% net smelter return ("NSR") royalty on the existing claims (subject to a partial buy down) and a 0.5% to 1% NSR royalty within a broader area of mutual interest. The transaction remains subject to customary closing conditions.