Goldstorm consists of 134 mining claims and 1,160 leased acres totaling about 3,900 acres or 15.9sq.km about 3km east of Seabridge's Snowstorm property located at the projected intersection of three of the most important gold trends in Northern Nevada: the Carlin Trend, the Getchell Trend and the Northern Nevada Rift Zone.
Seabridge acquired Snowstorm in June 2017 from Paulson & Co for 700,000 shares plus 500,000 warrants. It is contiguous, and on strike, with several large gold producers including Getchell/Turquoise Ridge and Twin Creeks in the Barrick Gold-Newmont Goldcorp Nevada joint venture.
"Snowstorm is a very valuable exploration asset for us and it will be a primary focus for our exploration team this year, including our first drill program on the project expected to begin later this summer.
"The Goldstorm purchase fits our strategy of expanding our footprint in these highly prospective gold trends where we intend to be a significant player," said chairman and CEO Rudi Fronk.
Goldstorm has had limited exploration to date but previous operators identified a series of northwest trending veins that showed strong pathfinder geochemistry and highly anomalous gold results.
Seabridge's main project is KSM in British Columbia, Canada, one of the world's largest undeveloped gold-copper projects by reserves.
Shares in Seabridge Gold (TSX:SEA) opened 3% higher Wednesday at C$16.76, valuing the company at $1 billion. Its share price has fallen almost 8% so far this year.