Seabridge Gold Inc. (
) announced that it has been issued, on behalf of its wholly-owned
subsidiary, Seabridge Gold Corporation, 6,433,000 common shares and
4,567,000 Special Warrants of Calico Resources Corp. (CKB.V) upon
exercise, by Calico, of its option to acquire a 100% interest in
the Grassy Mountain Project from Seabridge. Each Special Warrant is
exercisable to acquire one additional common share of Calico for no
additional consideration. The Special Warrants can only be
exercised to the extent that, after exercise, Seabridge holds less
than 20% of the outstanding shares of Calico.
The Acquired Shares represent 15.3% of the outstanding shares of
Calico. The Acquired Shares together with the Special Warrant
Shares, if issued, would represent 23.5% of the outstanding shares
of Calico. In total, Seabridge now owns and controls 8,433,000
common shares of Calico and 4,567,000 Special Warrants of Calico,
representing 19.99% of the outstanding common shares and 100% of
the outstanding Special Warrants of Calico. If Seabridge could and
did exercise the Special Warrants in full, it would hold 13,000,000
common shares of Calico, representing 27.8% of Calico's outstanding
shares. Seabridge is not acting jointly or in concert with any
The Acquired Shares and the Special Warrants were issued in a
private transaction and are subject to a Canadian hold period
expiring on June 6, 2013 and US resale restrictions.
Seabridge intends to exercise its Special Warrants to the extent
they become exercisable from time to time. Seabridge does not
presently intend to make further investments in Calico.
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