Seabridge Gold Agrees to Sell Noche Buena to Fresnillo/Newmont Joint Venture

Seabridge Gold announced today that it has signed a letter of intent to sell its 100% owned Noche Buena project in Sonora, Mexico to Minera Penmont, S. de R.L. de C.V., a joint venture between Fresnillo plc. and Newmont USA Limited, a wholly owned subsidiary of Newmont Mining Corporation. Terms of the sale are US$25 million in cash at closing, a further US$5 million upon commencement of commercial production from Noche Buena and a 1.5% net smelter royalty payable on all production sold for US$800 per ounce of gold or greater. The transaction is subject to completion of definitive closing documentation and normal closing conditions, which are expected to be completed within the next two months. read more

Source: Seabridge Gold Inc