UPDATE: Heavy Volume in Seabridge Gold January 2013 15 Call; 15,957 Contracts

A spokesperson for Seabridge Gold

believes unusual option activity is most likely due to May 14 press release on the Preliminary Feasibility Study for its 100% owned KSM project located in northern British Columbia, Canada. The 2012 PFS incorporates updated capital and operating cost estimates and metal price assumptions within the context of the current environment. Although initial capital costs and unit operating costs have increased over the 2011 study (13% and 3% respectively), base case economic projections from this year's PFS are superior to the 2011 study due to increasing throughput by 10,000 tonnes per day to 130,000 and higher three-year average metal prices. Some comparisons are as follows: Net project cash flow (pre-tax) has increased by 25% to $20.3 billion. Net present value at a 5% discount rate (pre-tax) has increased by 74% to $4.5 billion Internal rate of return (pre-tax) has increased by 25% to 11.5%. Payback has been reduced by six months to 6.2 years or 11% of the project's 55 year mine life. Life of mine average cash costs per ounce of gold produced (after by-product credits) are now estimated at US$148, down significantly from last year's estimate of $231 per ounce.