Vancouver, British Columbia | Sandstorm Gold Ltd. (“Sandstorm Gold Royalties”, “Sandstorm” or the “Company”) (NYSE American: SAND, TSX: SSL) is pleased to report that the Company has sold approximately 14,100 attributable gold equivalent ounces1 during the first quarter of 2019. With the addition of production from Cerro Moro and Aurizona in the second quarter of 2019, attributable gold equivalent ounces are expected to be higher in the remaining three quarters of 2019.
NORMAL COURSE ISSUER BID
The Company’s NCIB is being renewed after the existing NCIB expires on April 4, 2019. The NCIB provides Sandstorm with the option to purchase the Company’s common shares (“Common Shares”) from time to time when Sandstorm’s management believes that the Common Shares are undervalued by the market. Under the renewed NCIB, Sandstorm may purchase up to 13.0 million of its Common Shares, representing approximately 7.2% of the Company’s issued and outstanding Common Shares of 179,629,255 as of March 15, 2019. The Toronto Stock Exchange (“TSX”) has accepted the Company’s notice that it intends to proceed with a NCIB in accordance with TSX rules. Purchases under the renewed NCIB may commence on April 5, 2019 and will terminate on the earlier of April 4, 2020, the date that Sandstorm completes its purchases pursuant to the NCIB as filed with the TSX, or the date of notice by Sandstorm of termination of the NCIB.
During the fourth quarter of 2018, Sandstorm announced that the Company’s Board of Directors approved the purchase of up to 18.3 million of its Common Shares (the “Buyback”). Since the announcement of the Buyback on November 15, 2018, Sandstorm has bought back approximately 5.5 million Common Shares. The renewed NCIB gives Sandstorm the capacity to purchase the remaining Common Shares from the previously announced Buyback.
All purchases under the NCIB will be executed on the open market through the facilities of the TSX or alternative Canadian trading platforms and through the facilities of the NYSE American or alternative trading platforms in the United States of America. Purchases will be made at the market price of the Common Shares at the time of acquisition and may be funded by Sandstorm’s working capital. Any Common Shares acquired by the Company under the NCIB will be cancelled. Sandstorm’s average daily trading volume on the TSX during the last six calendar months was 456,688 Common Shares. Under the rules of the TSX, daily purchases on the TSX will not exceed 114,172 Common Shares, subject to the Company’s ability to make block purchases. The maximum number of Common Shares which can be purchased per day on the NYSE American will be 25% of the average daily trading volume for the four calendar weeks preceding the date of purchase, subject to certain exceptions for block purchases.
In the last twelve months, the Company has purchased 7,991,505 Common Shares pursuant to its NCIB at a weighted average price of C$6.05 per common share on the TSX and alternates and approximately US$4.52 per common share on the NYSE American and alternates.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
Sandstorm has included a performance measure in this press release that does not have any standardized meaning prescribed by International Financial Reporting Standards (IFRS). As Sandstorm’s operations are primarily focused on precious metals, the Company presents attributable gold equivalent ounces as it believes that certain investors use this information to evaluate the Company’s performance in comparison to other mining companies in the precious metals mining industry who present results on a similar basis. Other companies may calculate this measure differently as a result of differences in the underlying accounting principles, policies applied and in accounting frameworks, such as in IFRS. The presentation of this measure is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. The Company’s royalty and other commodity stream revenue is converted to an attributable gold equivalent ounce basis by dividing the royalty and other commodity revenue for the period by the average realized gold price per ounce from the Company’s gold streams for the same respective period. These attributable gold equivalent ounces when combined with the gold ounces sold from the Company’s gold streams equal total attributable gold equivalent ounces sold. Note these figures have not been audited and are subject to change.
For more information about Sandstorm Gold Royalties, please visit our website at www.sandstormgold.com or email us at firstname.lastname@example.org