Tunnel Status for Seabridge's KSM Project Challenged by Tudor Gold
Seabridge Gold (NYSE: SA) announced that Tudor Gold Corp. has filed an appeal in the British Columbia Supreme Court challenging the Chief Gold Commissioner's (CGC) previous decision regarding the KSM Project's Mitchell Treaty Tunnels (MTT). The appeal contests the legal mechanism that gives Seabridge priority rights to use land through Tudor's claims.
The CGC had previously rejected Tudor's application to either exempt itself from or cancel Seabridge's conditional mineral reserve (CMR). The CMR prevents free miners, including Tudor, from interfering with the MTT's construction and operation. Seabridge maintains they do not claim any mineral rights in Tudor's Treaty Creek Project and expects the appeal to be dismissed.
Seabridge Gold (NYSE: SA) ha annunciato che Tudor Gold Corp. ha presentato un ricorso presso la Corte Suprema della British Columbia, contestando la precedente decisione del Chief Gold Commissioner (CGC) riguardante i tunnel Mitchell Treaty (MTT) del progetto KSM. Il ricorso mette in discussione il meccanismo legale che conferisce a Seabridge i diritti prioritari sull'uso del terreno attraverso le rivendicazioni di Tudor.
Il CGC aveva in precedenza respinto la richiesta di Tudor di esentarsi o annullare la riserva mineraria condizionata (CMR) di Seabridge. La CMR impedisce ai minatori liberi, inclusa Tudor, di interferire con la costruzione e l'operatività dei tunnel MTT. Seabridge sostiene di non rivendicare alcun diritto minerario nel progetto Treaty Creek di Tudor e si aspetta che il ricorso venga respinto.
Seabridge Gold (NYSE: SA) anunció que Tudor Gold Corp. ha presentado una apelación ante la Corte Suprema de Columbia Británica impugnando la decisión previa del Chief Gold Commissioner (CGC) sobre los túneles Mitchell Treaty (MTT) del Proyecto KSM. La apelación cuestiona el mecanismo legal que otorga a Seabridge derechos prioritarios para usar tierras a través de las reclamaciones de Tudor.
El CGC había rechazado anteriormente la solicitud de Tudor para eximirse o cancelar la reserva minera condicional (CMR) de Seabridge. La CMR impide que mineros libres, incluido Tudor, interfieran con la construcción y operación de los túneles MTT. Seabridge sostiene que no reclama ningún derecho minero en el Proyecto Treaty Creek de Tudor y espera que la apelación sea desestimada.
Seabridge Gold (NYSE: SA)는 Tudor Gold Corp.가 KSM 프로젝트의 Mitchell Treaty Tunnels(MTT)에 관한 Chief Gold Commissioner(CGC)의 이전 결정을 영국 컬럼비아 대법원에 항소했다고 발표했습니다. 이 항소는 Tudor의 청구를 통한 토지 사용 우선권을 Seabridge에 부여하는 법적 절차에 이의를 제기합니다.
CGC는 이전에 Tudor의 Seabridge의 조건부 광물 보유권(CMR)을 면제하거나 취소해달라는 신청을 기각했습니다. CMR은 Tudor를 포함한 자유 광부들이 MTT의 건설 및 운영에 간섭하는 것을 막습니다. Seabridge는 Tudor의 Treaty Creek 프로젝트 내에서 광물 권리를 주장하지 않으며 항소가 기각될 것으로 기대하고 있습니다.
Seabridge Gold (NYSE: SA) a annoncé que Tudor Gold Corp. a déposé un appel devant la Cour suprême de la Colombie-Britannique contestant la décision précédente du Chief Gold Commissioner (CGC) concernant les tunnels Mitchell Treaty (MTT) du projet KSM. L'appel remet en cause le mécanisme légal qui accorde à Seabridge des droits prioritaires d'utilisation des terres via les revendications de Tudor.
Le CGC avait précédemment rejeté la demande de Tudor visant à être exempté ou à annuler la réserve minérale conditionnelle (CMR) de Seabridge. La CMR empêche les mineurs libres, y compris Tudor, d'interférer avec la construction et l'exploitation des tunnels MTT. Seabridge affirme ne revendiquer aucun droit minier sur le projet Treaty Creek de Tudor et s'attend à ce que l'appel soit rejeté.
Seabridge Gold (NYSE: SA) gab bekannt, dass Tudor Gold Corp. beim Obersten Gerichtshof von British Columbia Berufung gegen die frühere Entscheidung des Chief Gold Commissioner (CGC) bezüglich der Mitchell Treaty Tunnels (MTT) des KSM-Projekts eingelegt hat. Die Berufung richtet sich gegen den rechtlichen Mechanismus, der Seabridge Vorrangrechte zur Nutzung von Land durch Tudors Ansprüche gewährt.
Der CGC hatte zuvor Tudors Antrag abgelehnt, sich von der bedingten Mineralreserve (CMR) von Seabridge befreien zu lassen oder diese aufzuheben. Die CMR verhindert, dass freie Bergleute, einschließlich Tudor, den Bau und Betrieb der MTT stören. Seabridge betont, keine Mineralrechte am Treaty Creek Projekt von Tudor zu beanspruchen und erwartet, dass die Berufung abgewiesen wird.
- None.
- Legal challenge could potentially delay or complicate the KSM Project's tunnel development
- Ongoing legal dispute may result in additional costs and management attention
Insights
Tudor's legal challenge to Seabridge's tunnel rights likely won't succeed based on regulatory precedent and existing decisions.
This legal dispute centers on a critical infrastructure component of Seabridge Gold's KSM project - the Mitchell Treaty Tunnels (MTT). The tunnels are protected by a Conditional Mineral Reserve (CMR) that prevents any free miner, including Tudor Gold, from interfering with their construction, operation, or maintenance. Tudor has now appealed to the BC Supreme Court after the Chief Gold Commissioner (CGC) rejected their application to have the CMR declared inapplicable to them or canceled entirely.
The legal foundation for Seabridge's position appears strong. Three separate confirmations support the CMR's validity and applicability to Tudor: statements from the Ministry of Mines in 2014, early 2024, and April 2025, plus two explicit statements from the CGC in the current decision. Additionally, the CGC specifically declined to exercise discretionary power to cancel the CMR.
Tudor's argument that Seabridge's License of Occupation creates competing mineral claims appears fundamentally flawed. Seabridge has explicitly stated they make no claim to minerals within Tudor's Treaty Creek Project. This distinction between infrastructure access rights and mineral rights is well-established in mining law.
Even if Tudor were to prevail in this appeal, the immediate impact would be procedural rather than substantive - the court would merely direct the CGC to consider Tudor's application on its merits, with the CMR remaining in effect throughout this process. Given the CGC has already expressed views supporting the CMR's applicability to Tudor, a favorable outcome for Tudor seems unlikely.
Toronto, Ontario--(Newsfile Corp. - July 14, 2025) - Seabridge Gold Inc. (TSX: SEA) (NYSE: SA) ("Seabridge" or the "Company") announced today that Tudor Gold Corp. ("Tudor") has filed a Notice of Appeal in the British Columbia Supreme Court against the Chief Gold Commissioner of British Columbia (the "CGC") and Seabridge which appeals a decision of the CGC rejecting an application brought by Tudor that seeks, in effect, to rescind the legal mechanism which prioritizes Seabridge's rights to use land passing through Tudor's claims for the KSM Project's Mitchell Treaty Tunnels ("MTT"). Tudor previously had applied for a decision from the CGC that KSM's conditional mineral reserve (the "CMR") in respect of the MTT should not apply to Tudor or, in the alternative, that the CMR be cancelled. The CGC rejected Tudor's application. The CGC's decision can be found here.
Seabridge's CMR requires that "a free miner must not obstruct, endanger or interfere with, or allow any other person to obstruct, endanger or interfere with, the construction, operation or maintenance of" the MTT. Tudor is a free miner. Tudor is, among other things, arguing that Seabridge's Licence of Occupation for the MTT gives it a competing claim to minerals in Tudor's claims and therefore must be adjudicated by the CGC. Seabridge does not claim any rights to the minerals in Tudor's Treaty Creek Project, whether under its Licence of Occupation or otherwise. Accordingly, Seabridge considers the CGC's decision to reject Tudor's application to be correct. "After Tudor's initial submission to the CGC on January 28, 2025, followed by four additional submissions through April 17, 2025 raising every argument Tudor could devise, the CGC concluded that she did not have the jurisdiction to make the decisions requested by Tudor. Tudor now appears to be trying to obtain a court decision that the CMR does not apply to it" said Seabridge's Chair and CEO, Rudi Fronk. "We are confident that the judge will dismiss Tudor's appeal."
If Tudor is successful with its appeal, the outcome would be that the court orders the CGC to take jurisdiction and make a decision in response to Tudor's application. It would then be up to the CGC to decide whether to accept Tudor's arguments that the CMR does not apply to Tudor. In the interim, the CMR remains in place. It is also worth noting that: (i) in 2014, early 2024 and again in April, 2025, the Ministry of Mines stated that the CMR applies to Tudor and that: (ii) in the decision under appeal by Tudor, the CGC stated that the CMR applies to Tudor, and that: (iii) in the decision under appeal by Tudor, the CGC decided not to exercise her discretion to cancel the CMR.
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Forward-Looking Statements
This document contains "forward-looking information" within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. This information and these statements, referred to herein as "forward-looking statements" are made as of the date of this document. Forward-looking statements relate to future events or future performance and reflect current estimates, predictions, interpretations, expectations or beliefs regarding future events and include, but are not limited to, statements with respect to: (i) Seabridge considering the CGC's decision to be correct; and (ii) Seabridge being confident that the court will dismiss Tudor's appeal.
All forward-looking statements are based on Seabridge's or its advisors' current beliefs as well as various assumptions made by them and information currently available to them. Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect.
Forward-looking statements involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important fac-tors that could cause actual results to differ materially from Seabridge's plans or expectations include the risk that: (i) the CGC decision to reject Tudor's application is found to be incorrect; and (ii) the court decides that the CMR does not apply to Tudor, and (ii) that the court allows the appeal, and other risks outlined in statements made by Seabridge from time to time in the filings made by Seabridge with securities regulators. Seabridge disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as otherwise required by applicable securities legislation.
We caution readers not to place undue reliance on these forward-looking statements as a number of important factors could cause the actual outcomes to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates assumptions and intentions expressed in such forward-looking statements.
ON BEHALF OF THE BOARD
"Rudi Fronk"
Chairman & C.E.O.
For further information please contact:
Rudi P. Fronk, Chairman and C.E.O.
Tel: (416) 367-9292 • Fax: (416) 367-2711
Email: info@seabridgegold.com
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