Tunnel Authorizations for Seabridge's KSM Project Challenged Again by Tudor Gold

Executive Summary

• Tudor Gold Corp. has filed a civil claim in the BC Supreme Court challenging the conditional mineral reserve that restricts its activities on Seabridge’s KSM Project Mitchell Treaty Tunnels (MTT).
• The lawsuit seeks a declaration that the Reserve does not apply to Tudor, or alternatively compensation for alleged expropriation and misrepresentation.
• Seabridge maintains confidence in the legality of the Reserve and authorizations, stating the action will not alter its ongoing KSM development plans.

Key Details

• Parties: Tudor Gold Corp. (plaintiff) vs. Province of British Columbia (defendant); Seabridge Gold Inc. is directly affected.
• Legal Basis: Challenge to the conditional mineral reserve (“Reserve”) that obliges Tudor not to “obstruct, endanger or interfere” with construction/operation of the MTT.
• Claims Alleged:
• Misrepresentation by the Province regarding Tudor’s rights as a mineral‑claims holder.
• The Reserve constitutes an expropriation of Tudor’s Treaty Project Claims.
• Province lacked authority to grant Seabridge rights within the Treaty Project Claims.
• Relief Sought:
• Court declaration that the Reserve does not apply to Tudor, or that related authorizations exceed provincial authority.
• In the alternative, monetary compensation for expropriation and damages for misrepresentation.
• Project Context: The MTT are two parallel 23 km tunnels connecting east and west sides of the KSM Mine Site; ~12.5 km of tunnel route traverses the Treaty Creek Claims.
• Historical Background:
• Province statement in 2012 said Reserve did not apply to existing Treaty Project Claim holders.
• Revised 2014 statement indicated the amended Reserve does apply.
• Tudor acquired interest in the Treaty Project Claims in 2016, after the Reserve was already in place.
• Related Litigation: This Action is separate from Tudor’s earlier appeal of a Chief Gold Commissioner decision announced by Seabridge on July 14, 2025.
• Seabridge Position (CEO Rudi Fronk): Confident that provincial authorizations are lawful; asserts the lawsuit will not impede KSM project advancement for shareholders and stakeholders.

Notable Quotes

“We are confident that the Province has acted within the law and that the various authorizations for the MTT are appropriate and reliable… While this Action proceeds, we will continue to advance our current plans for the KSM Project for the benefit of our shareholders, local communities and the First Nations who have so strongly supported our progress.” – Rudi Fronk, Chair & CEO, Seabridge Gold

All boilerplate, forward‑looking statements, and company background sections have been omitted.