Thank you for reporting this bug. I can not reproduce this issue.
Generating the key for me took about 3-5 minutes, but it finishes
without problem. The errors in the .xsession_errors file are the same
for me, so they shouldn't be related to this. How long have you waited
for the key generator to finish?
** Changed in: seahorse (Ubuntu)
Status: New => Incomplete
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seahorse cannot create PGP keys
https://bugs.launchpad.net/bugs/493473
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