Sandstorm Metals & Energy Ltd STTYF

NEWS ..........

[Kewl2]

Novadx and Sandstorm Agree to Acquire Additional Rex Coal and Related Assets in Tennessee

/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES /

• Aimed to maximize productivity and future expansion through second mine entry on Rex coal.
• Intended to significantly increase reserves, resources and mine life.
• Facilitates a quicker start-up of mining operations at Rex No. 1 mine.

https://www.newswire.ca/en/story/1053915/novadx-and-sandstorm-agree-to-acquire-additional-rex-coal-and-related-assets-in-tennessee

VANCOUVER, Oct. 16, 2012 /CNW/ - Novadx Ventures Corp. ("Novadx" or the "Company") (TSXV: NDX) announces that Novadx and Sandstorm Metals & Energy Ltd. ("Sandstorm") have entered into a Letter of Intent to acquire (the "Acquisition") certain coal properties and assets located in Campbell and Scott Counties, Tennessee generally known as Mine 12, the Turley Rail LoadOut, and the Smokey Junction Preparation Plant (the "Tennessee Properties") in the vicinity of the Company's Rex No. 1 Mine. The Tennessee Properties will be acquired from Premium Coal Company ("Premium") and National Coal, LLC ("National"), subsidiary companies of Justice Corporation, for an aggregate purchase price of US$8.5 million (the "Purchase Price").

more at above link.............

[stocktrader1407]

Thanks very much for sharing. Couple of points: A) I am unhappy with the dilution of SME.  The Purchase Price will be payable through a cash payment of US$3,000,000 contributed by Sandstorm; US$2,000,000 payable through the issuance of 4,377,675 common shares of Sandstorm; and a short term promissory note ("Note") issued by Newco in the amount of US$3,500,000 payable  B

[gjervis]

I have read that the new CEO is a performer when it comes to coal production

[sal_mon]

dilution IMO is a bad word here.. Again to me dilution suggests a share consolidation which is both bad and good. Good in that it worked for sandstorm , bad in that dilution is ....dilution "full control over management and operation" - uhh that doesn't seem to follow the royalty model. Also recall the News release stated it was a letter of intent , it's not in the bag. As I

[gwalker]

two things salmon: - Dilution does not 'suggest' consolidation at all. Consolidation only happens when too much dilution takes place. A certain amount of dilution needs to be factored into any stock. Raising money via issuing stock is not a bad thing, especially as has been pointed out on the SSL board where it is bringing more value to SSL so in a sense it is almost anti-dilutive. - Any

[Thundersole]

I think that this is growing the size of the company and do not think of this as dilution. I would rather the company use its stock as currency than go into debt. We are getting leverage within less risk to the company. I am a long term invester in this company, i hold a core position, but i do trade around, selling some on rallies and trying to build the postion at lower prices.  

[Luxor63]

This post has been removed in accordance with Community Policy

[Thundersole]

I sold a third of my position at .495 I will probably put a stinkball bid in the thirties to double my postion, as i too believe there will be a pullback.

[thegazelle]

Yes, as much as I love this stock, I bought 3 weeks ago and am already up 40%.  Good enough for me to cash out and wait for the drop.  I still have 25% of the position in the stock so if it keeps going up, oh well... I took a look at the chart and while my technical analysis is shaky, it does appear the stock is currently overbought.  Not sure how far down the pullback will be, but