Stonegate Capital Partners Updates Coverage on Seabridge Gold Inc. (NYSE: SA) 2Q26

DALLAS, TX -- AUGUST 20, 2026 4 min read

Key Takeaways

  • The KSM partnership is the primary rerating catalyst. Seabridge is advancing an earn-in JV with its preferred partner, under which the partner would be expected to commit capital and advance the project to earn a majority interest. In our view, naming the partner and defining the funding structure would provide the clearest external validation of KSM and could materially reduce the financing and execution discount currently reflected in SA shares.
  • The US$100M strategic facility strengthens both liquidity and the broader KSM setup. The unsecured facility provides Seabridge with the ability to continue the 2026 KSM program and feasibility work while partnership agreements are finalized. No amounts had been drawn as of August 13. While the strategic investor has not been identified, we view the size, unsecured structure and timing of the facility as an important signal of confidence in KSM and a meaningful reduction in near-term funding risk.
  • The valuation gap remains significant. Seabridge trades at roughly 10% of KSM’s $33.3B after-tax recent-metal-price NPV(5%), versus materially higher P/NAV multiples for development-stage peers. We believe much of that discount reflects uncertainty around the partner and funding path rather than the quality or scale of KSM itself. As the earn-in JV, feasibility work and long-term financing structure become clearer, there is meaningful potential for SA to move higher on the P/NAV curve.
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DALLAS, TX -- August 20th, 2026 -- Seabridge Gold Inc. (NYSE: SA): Stonegate Capital Partners Updates Coverage on Seabridge Gold Inc. (NYSE: SA). Seabridge’s 2Q26 materially strengthened the KSM development and financing setup. The Company continues to advance an earn-in JV with its preferred partner, while the subsequent US$100M strategic facility provides funding certainty for planned KSM work and, in our view, represents an additional validation point as the partnership process advances. Quarterly financials remain secondary, with Q2 net income largely reflecting the one time Courageous Lake distribution gain.

Why Now:

• KSM partnership discussions continue to advance, with Seabridge working to formalize an earn-in JV with its preferred partner.

• Secured an unsecured US$100M facility from a strategic investor to support the 2026 KSM program. While the lender has not been identified, we view the size, unsecured structure and timing of the facility as an important signal of strategic confidence in KSM and a meaningful reduction in near-term funding risk while the partnership process advances.

• KSM work remains on schedule, with UTCAR 40% complete, TCT completion targeted for 4Q26, and the FS still targeted for 2H27.

• Courageous Lake is now a completed value-unlock event, with Valor trading independently following the June spin-out.

KSM: KSM remains the primary re-rating driver, with the quarter defined by progress toward a financing and ownership structure than by a resource milestone. Management now describes the structure as an earn-in JV and continues to formalize agreements with its preferred partner. Activity across five camps supports geotechnical, metallurgical, geochemical, and environmental work required for the FS. The regulatory backdrop is less linear, the Court ordered a 90-day period for TSKLH to provide written submissions, after which the EAO must reconsider the Substantially Started designation, while the MTT permit amendment is delayed. The designation’s reasonableness was upheld, while the MD&A is qualified and notes the parties continue to seek clarification. Work programs remain unaffected.

Courageous Lake: The Valor spin-out closed June 3, with 55.0M shares distributed at one Valor share for every 1.957 SA shares. Seabridge retains no equity ownership or governance role but preserves residual economic exposure through a 10% gold stream upon commercial production, applicable when average quarterly gold prices equal or exceed US$4,000/oz, with Seabridge paying US$4,000/oz.

Exploration Portfolio: Bronson Corridor remains the exploration option following the 9.2Moz Au and 923Mlb Cu maiden Snip North inferred resource. The 2026 program focuses on upgrading surface geochemistry, geological mapping, and historical-core evaluation across underexplored targets. In our view, the more limited program keeps near-term capital and investor attention centered on KSM while preserving longer-duration exploration optionality across the portfolio.

Valuation: When valuing SA we apply a EV/NAV range of 0.8x to 0.9x which results in a valuation of USD$63.97 to USD$72.37 with a midpoint of USD$68.17. When using an EV/In-Situ valuation method we apply a multiple range of 6.0x to 8.0x which results in a valuation of USD$61.49 to USD$83.07 with a price target of USD$72.28.

About Stonegate
Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies. Our affiliate, Stonegate Capital Markets (member FINRA) provides a full spectrum of investment banking services for public and private companies.

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Stonegate Capital Partners
info@stonegateinc.com
(214) 987-4121

Seabridge announced advancements in its KSM project, including the progression of a joint venture partnership, securing a US$100 million strategic facility for funding, and a completed spin-out of Courageous Lake assets.

The facility provides crucial funding certainty for ongoing KSM operations and reflects strategic confidence in the project, thereby reducing near-term funding risks while formal partnership discussions continue.

KSM is viewed as the primary driver for Seabridge’s valuation re-rating, with ongoing work and the formation of a joint venture expected to enhance resource exploration and financial stability.

Seabridge retains economic exposure through a 10% gold stream from Courageous Lake’s commercial production, allowing it to benefit from future gold price increases despite having no ownership or governance role.

The company will focus on the Bronson Corridor with a program aimed at upgrading surface geochemistry and mapping, while prioritizing KSM to maintain investor interest in the near term.

Source: Stonegate, Inc.
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