Sandstorm Metals & Energy Ltd STTYF

RE:RE:Colossus stream probably died today

[zentrarianNZ]

I'm stilll here, sevencities. I'm not going to disappear just because one of Sandstorm's major partners is going through a rough patch, like almost every other company in the precious metals mining sector. I can't respond to your point about "defending the Colosus deal" because I don't know what specific post(s) you are referring to. But certainly if NW and Co. could have foreseen that Collosus would in essence puncture an aquifer at Serra Pelada at the same time as the capital markets were all but drying up (irony intended), they would have had serious reservations about signing the deal. They may be among the most highly regarded and successful managements in the PM mining industry, but they aren't fortune tellers.

If you look back through the record, you will see that I have been as critical as anyone here of many of Sandstorm's decisions on the M&E side, especially with regard to OT and oil fracking. If your record is any better, why do you still have your hard-earned money in SND? (Personally I have a fair bit invested in SAND, but very little in SND at the moment. But that doesn't mean I can't comment or have no faith in the company as a whole. The problem, IMO, is not so much management as the market and the macroeconomy.)

The fact is, if you are going to invest in this industry you are going to have to trust the imperfect judgment of professionals like NW, supplemented with as much of your own knowledge and DD as possible. Your comments indicate that you are in way over your head in a sector that you probably shouldn't be investing in at all, since you obviously do not have the emotional detachment required, much less the ability to take responsiblity for your own decisions or to sustain a paper loss for any appreciable length of time.

As for a dividend, the company has repeatedly made clear its strong preference for reinvesting cashflow in accretive deals until the company is big enough to generate what could reasonably be considered excess capital. That is in essence a streaming company's entire reason for being. I can't for the life of me figure out why you are invested in a company whose decisions and stated policies are so contrary to your own! You would be better to just get out now and put your money into a comfortable dividend-earning stock because if half of what you claim is true, the share price isn't going to recover, ever.