Seabridge Gold Inc.
Seabridge Gold Study Improves Courageous Lake Economics
Results to be Incorporated into Updated Preliminary Assessment
Toronto, Canada … Using High Pressure Grinding Rolls technology (“HPGR”) at Courageous Lake could
reduce crushing and grinding costs by US$1.37 per tonne, or 25%, according to an independent trade-off study
conducted by Wardrop Engineering of Vancouver. The study was commissioned by Seabridge as part of the
updating of its 2005 Preliminary Assessment of its 100% owned Courageous Lake project located in the
Northwest Territories (see news release dated September 21, 2005).
The 2005 Preliminary Assessment proposed using a conventional SAG mill circuit (SABC) for crushing and
grinding. The Waldrop study estimates that replacing the SABC with HPGR crushing equipment reduces overall
energy consumption by 7 kWh/t, resulting in a power saving of US$1.12 per tonne, assuming a power generation
cost of US$0.16/kWh. Other consumables are reduced a further US$0.25 per tonne.
Wardrop estimates the capital cost for the HPGR option to be approximately US$9.0 million more than the
SABC option. However, at a proposed production rate of 9.0 million tonnes per year, and a total projected
savings of US$1.37 per tonne, the payback period for the HPGR circuit is less than one year. In addition to the
projected operational cost savings, Waldrop estimates that the introduction of HPGR technology could improve
mill process availability from a level of 92% to 96%.
Since the Preliminary Assessment was completed in 2005, Seabridge Gold has significantly increased gold
resources at Courageous Lake (see news release dated January 9, 2007). As a result, Seabridge is in the
process of updating the Preliminary Assessment to include the new resources which are expected to materially
increase the estimated mine life of the project. As part of the planned update, Seabridge has commissioned a
number of additional s