Acquisition Of Goldstorm Project In Northern Nevada Completed

TORONTO - Seabridge Gold has closed its purchase of the Goldstorm Project in northern Nevada from Mountain View Gold Corp. for 25,000 Seabridge common shares. Terms of the transaction were as previously reported.

The Goldstorm property consists of 134 mining claims and 1,160 leased acres (totaling approximately 3,900 acres or 15.9km2) located about 3km to the east of Seabridge’s Snowstorm Property where Seabridge has commenced its first drill program. The Snowstorm drill program is targeting a Turquoise Ridge/Twin Creeks type of high-grade gold system along a continuation of the Getchell Trend. Seabridge has confirmed that the Trend extends into favorable stratigraphy on the Snowstorm property under thin volcanic rock cover. Approximately 7 to 10 coincident structural and stratigraphic targets will be tested in the initial program which is expected to provide enough information to refine targeting for subsequent exploration including further geophysical surveys and drilling.

Snowstorm’s 80.3km2 of land holdings are strategically 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 (see map below). Goldstorm is in the Northern Nevada Rift (NNR), a geologic feature hosting many high grade gold-silver mines. This mineral trend is a discrete 5 to 30km wide linear magnetic high which trends 340o for more than 500km. The NNR is characterized by mafic and felsic volcanic centers associated with crustal extensions between 15.0 and 16.5 million years old. 

Deposits in the NNR are low-sulfidation high grade epithermal deposits with elevated silver:gold ratios, generally containing around 1.0 to 5.0 million ounces of gold. Examples of such deposits in Nevada include Midas, Hollister and Fire Creek. Vein-filled faults are a common style of ore host, typically containing bonanza grade gold and silver. Gold and silver deposition in these veins can reach 500 meters of vertical extent. 

Goldstorm has had limited exploration to date. Previous operators identified a series of northwest trending veins that showed strong pathfinder geochemistry and highly anomalous gold results. A surface trench on one of these veins yielded 3.0 meters of 9.0 g/T gold and 44.0 g/T silver. Mountain View’s limited drill testing of this vein returned promising grades including an intersection of 2.0 meters assaying 5.50 g/T gold of which 1.0 meter graded 9.29 g/T gold and 73g/T silver. 

Contact information is (416) 367-9292, www.seabridgegold.net.