Sandstorm Metals & Energy Ltd STTYF

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[sevencitiesofgold]

Similar reply, we'll see I completely understand where you're coming from and appreciate the comments.   We understand how critical it is for our management team to regain confidence from our investors and the way that we handle the current situations will dictate that result. We are working extremely hard to maximize shareholder value amidst the challenges that we are facing and I believe that we are going to get through this.    To shed some light on the situation with Donner, if they do indeed default on their agreement with Glencore Xstrata, Sandstorm has the ability to step in, cure the default and assume the entire 35% joint venture. Although we would be responsible for the ongoing cash calls, the joint venture interest represents significantly more cash flow than our current 24.5% stream on the copper.     We do intend to hold a conference call during the third quarter where we will provide a comprehensive update and discuss our vision going forward and the next steps that are going to get us there.

[damag]

Interesting... so if Sandstorm decides to take over the join venture, we'd essentially be getting 4x the expected output (minus the cash calls)? Considering this project is already in production, I don't think it would make sense for Sandstorm to just let it go... Maybe this is actually a blessing in disguse for Sandstorm?

[elmothefearless]

From the Donner technical report, DON's interest (before SND's stream) is worth somewhere between $20 - $30 million cash flow per year.  SND's stream at current commodity prices would be expected to generate $12 - $14 million, once at full production. I want to see SSL buy the remainder of the gold stream and the silver stream.  The remainder of the gold stream is worth

[maypeters]

Would be great if SSL/SND do as you have mentioned Elmo.  Sandstorm has been very very very accomodative to everyone and nothing to show for it most of the time.  Time to not play too nice . . ..  this has been brought upon by the brutal management of DON.  # Would you recommend adding at these levels ? 

[jsbarnby]

The way I see this playing out is: Donner is unable to make cap ex cash calls. Sandstorm sisters pay all outstanding cash calls and assume 35% interest in the stream. In order to do this Sandstorm Metals and Energy will need to raise money. I think it will be by dilution (yes, even at these levels). Management will put a positive spin on it because they are acquiring the stream. SND will need

[elmothefearless]

No opinion on what will happen.. I overweighted this company and it was a huge bust.  Clearly I was off base with my analysis.

[zentrarianNZ]

Clearly I was off base with my analysis. A refreshingly humble conclusion, elmo. Of course, most of us here were equally off base, if not in the outcome, at least in the timing. I still hold a lot of SND, in fact I just topped up my position on the stink bid I mentioned previously. I don't know if that's being foolishly optimistic or just plain foolish. But it will probably be 2016 before

[carinthian]

Hi! I am not sure how the rights between Donner, Glencore Xstrata and SND are divided? If Donner defaults on the cash calls to Glencore Xstrata then as far as I know Glencore Xstrata has the right to cover any shortfall from Donners share of production? Is it then that way that if Doner cannot pay cash SND get's the right to step in and pay cash and Glencore Xstrata has the right to buy SND