Sandstorm Gold Ltd. (“Sandstorm Gold Royalties”, “Sandstorm”, or the “Company”) (NYSE: SAND, TSX: SSL) is pleased to report that the Company sold approximately 24,500 attributable gold equivalent ounces1 and realized record preliminary revenue2 of $49.8 million during the three months ended June 30, 2023, (19,276 attributable gold equivalent ounces and $36.0 million in revenue for the comparable period in 2022).

Preliminary cost of sales, excluding depletion2 for the three month period was $5.6 million resulting in cash operating margins1 of approximately $1,743 per attributable gold equivalent ounce1 ($5.3 million and $1,593 per attributable gold equivalent ounce for the comparable period in 2022, respectively).

SECOND QUARTER SHARE BUYBACKS
During the three months ended June 30, 2023, the Company purchased and cancelled approximately 2.6 million Sandstorm common shares (“Common Shares”) at a weighted average price of C$6.92 per share under the Company’s normal course issuer bid (“NCIB”). The NCIB, which was renewed in April 2023 (see press release dated April 5, 2023), provides the Company with the option to purchase its Common Shares from time to time when Sandstorm’s management believes that the Common Shares are undervalued by the market. While the Company’s capital allocation strategy remains focused on debt repayment, Sandstorm’s management continues to evaluate accretive opportunities to exercise the NCIB.

Note 1
Sandstorm Gold Royalties has included certain performance measures in this press release that do not have any standardized meaning prescribed by International Financial Reporting Standards (“IFRS”) including (i) attributable gold equivalent ounces and (ii) cash operating margin. The presentation of these non-IFRS measures 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. Other companies may calculate these non-IFRS measures differently. Note these figures have not been audited and are subject to change. (i) As the Company’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. Attributable Gold Equivalent ounces is a non-IFRS financial ratio that uses Total Sales, Royalties, and Income from Other Interests as a component. Total Sales, Royalties and Income from Other Interests is a non-IFRS financial measure and is calculated by taking total revenue which includes Sales and Royalty Revenue, and adding contractual income relating to royalties, streams and other interests excluding gains and losses on dispositions. Attributable Gold Equivalent ounces is calculated by dividing the Company’s Total Sales, Royalties, and Income from other interests, less revenue attributable to non-controlling shareholders for the period, by the average realized gold price per ounce from the Company’s Gold streams for the same respective period ([$49.8 million - $1.5 million]/$1,972 for the three months ended June 30, 2023, and $36.0 million/$1,866 for the comparable period in 2022) and may be subject to change. (ii) The Company presents cash operating margin as it believes that certain investors use this information to evaluate the Company’s performance and ability to generate cash flow in comparison to other companies in the precious metals mining industry who present results on a similar basis. Cash operating margin is calculated by subtracting average cash cost per Attributable Gold Equivalent ounce from the average realized gold price per ounce from the Company’s Gold streams (see item i above) for the same respective period. Average cash cost per Attributable Gold Equivalent ounce is calculated by dividing the Company’s cost of sales, excluding depletion, by the number of Attributable Gold Equivalent ounces ($5.6 million/24,500 Attributable Gold Equivalent ounces for the three months ended June 30, 2023, and $5.3 million/19,276 Attributable Gold Equivalent ounces for the comparable period in 2022).

Note 2
These figures have not been audited and are subject to change. As the Company has not yet finished its quarter-end close procedures, the anticipated financial information presented in this press release is preliminary, subject to final quarter-end closing adjustments, and may change materially.

CONTACT INFORMATION
For more information about Sandstorm Gold Royalties, please visit our website at www.sandstormgold.com or email us at info@sandstormgold.com