Seabridge Gold Arranges US$100M Credit Facility to Support Ongoing Activities at KSM
Seabridge secures a $100 million credit line to fund summer works and feasibility preparation at its KSM project.
Seabridge Gold Inc. has entered into an unsecured, short-term loan agreement with a strategic investor for up to US$100 million. The facility carries a 7% interest rate compounded monthly, with interest capitalized, and is set to mature on December 31, 2026.
Repayment can be made in cash at any time, or, subject to TSX approval, in common shares if the loan remains outstanding at maturity. No amounts are currently drawn on the facility. The proceeds will strengthen consolidated liquidity and fund significant summer work programs at the 100% owned KSM Project, including road building, geotechnical, metallurgical, and environmental data collection for feasibility-level design.
Seabridge Gold Inc. (SEA) reported $126.9 million in cash and $133.0 million in working capital at March 31, 2026, indicating strong near-term liquidity without drawing on its standard corporate liquidity backstop. The facility carries a 7% capitalized interest, a market-standard rate for short-term corporate credit lines that does not immediately impact cash flow.
The agreement includes a share repayment option that introduces potential dilution if drawn and not repaid by year-end 2026, though it remains an optional feature for the company. The announcement de-risks the funding of KSM's feasibility study and early site construction without requiring immediate equity issuance or altering project economics.
Seabridge Gold Inc. is a Canadian mining company focused on advanced-stage, 100% owned gold and copper projects in North America. Its flagship asset is the KSM Project in British Columbia, Canada, which is one of the world's largest undeveloped copper-gold projects, holding 47.3 million ounces of proven & probable gold reserves and 7.3 billion pounds of copper.
The project has secured environmental assessment approvals, a federal environmental approval, and a "Substantially Started" designation in July 2024 that locks permits for the life of the project. Early site construction is underway, including the Treaty Creek Terminal switching station for low-cost renewable hydroelectric power. The company maintains strong Indigenous support from the Nisga'a, Tahltan, and Gitxsan Hereditary Chiefs.
Other assets include Courageous Lake (spun out to Valor Gold in June 2026), Bronson Corridor (Iskut), 3 Aces, and Snowstorm.