Sandstorm Metals & Energy Ltd STTYF

NEWS ... Thunderbird

[Kewl2]

Sandstorm Metals & Energy Announces US$15 Million Payment to Thunderbird Energy

https://www.marketwire.com/press-release/sandstorm-metals-energy-announces-us15-million-payment-to-thunderbird-energy-tsx-venture-snd-1554724.htm

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 29, 2011) - Sandstorm Metals & Energy Ltd. ("Sandstorm Energy" or the "Company") (TSX VENTURE:SND) has completed a US$15 million payment to Thunderbird Energy Corp. ("Thunderbird") (TSX VENTURE:TBD) in accordance with the natural gas purchase agreement announced on July 13, 2011. Under the terms of the agreement, Sandstorm Energy is entitled to purchase 35% of all natural gas produced from the Gordon Creek project located in Utah, USA. Sandstorm Energy will purchase the natural gas at a price equal to the lesser of the prevailing market price and US$1.00 per Mcf of gas delivered plus 20% of the market price received above US$4.00 per Mcf.

Sandstorm Energy's payment to Thunderbird was made with cash on hand and is the first of two payments totaling US$25 million. The second $10 million payment will be remitted on May 15, 2012.

Thunderbird will be using the proceeds for the development of the Gordon Creek project which will include drilling 50 new wells and the completion of workover operations on five existing wells. For more information on Thunderbird or the Gordon Creek project, please visit www.thunderbirdenergy.com.