News out this morning
Sandstorm sells 17,400 AuEq oz in Q1 2021
2021-04-05 08:00 ET - News Release
Mr. Erfan Kazemi reports
SANDSTORM GOLD ROYALTIES ANNOUNCES RECORD SALES AND REVENUE IN Q1 2021 AND RENEWS NORMAL COURSE ISSUER BID
Sandstorm Gold Ltd. sold approximately 17,400 attributable gold equivalent ounces (1) and realized preliminary revenue (2) of $31.0-million during the three months ended March 31, 2021, both representing a record for the company. Preliminary cost of sales, excluding depletion2 for the three month period was $5.4 million resulting in cash operating margins1 of approximately $1,470 per attributable gold equivalent ounce1.
Normal Course Issuer Bid Renewal
The Company's normal course issuer bid ("NCIB") is being renewed after the existing NCIB expires on April 5, 2021. The current NCIB provides Sandstorm with the option to purchase up to 17.2 million of 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 19.1 million of its Common Shares, representing approximately 10% of the Company's issued and outstanding Common Shares of 194,500,210 as of March 31, 2021, less those Common Shares held by the Company's directors and senior officers. 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 7, 2021 and will terminate on the earlier of April 6, 2022, 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.
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 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 323,370 Common Shares. Under the rules of the TSX, subject to the Company's ability to make block purchases, daily purchases on the TSX under the NCIB will not exceed 80,842 Common Shares, which represents 25% of the average daily trading volume on the TSX during the last six calendar months. The maximum number of Common Shares which can be purchased per day on the NYSE 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.
The actual number of Common Shares that may be purchased and the timing of such purchases will be determined by the Company. Decisions regarding purchases will be based on market conditions, share price, best use of available cash, and other factors.
In the last twelve months, the Company has purchased 800,366 Common Shares pursuant to its NCIB at a weighted average price of C$7.94 per common share on the TSX and alternates and zero shares on the NYSE and alternates.
Sandstorm filed its Form 40-F for the year ended December 31, 2020 with the Securities and Exchange Commission and it is available on EDGAR at www.sec.gov/edgar.shtml. The Company's 2020 Audited Financial Statements, along with its Form 40-F, are both available on the Company's website at www.sandstormgold.com .
ABOUT SANDSTORM GOLD ROYALTIES
Sandstorm is a gold royalty company that provides upfront financing to gold mining companies that are looking for capital and in return, receives the right to a percentage of the gold produced from a mine, for the life of the mine. Sandstorm has acquired a portfolio of 200 royalties, of which 24 of the underlying mines are producing. Sandstorm plans to grow and diversify its low cost production profile through the acquisition of additional gold royalties. For more information visit: www.sandstormgold.com.
We seek Safe Harbor.