DESIGNATED NEWS RELEASE
VANCOUVER, BC, April 5,
2022 /CNW/ - Sandstorm Gold Ltd. ("Sandstorm Gold
Royalties", "Sandstorm", or the "Company") (NYSE: SAND) (TSX: SSL)
announces that the Company's normal course issuer bid ("NCIB") is
being renewed after the existing NCIB expires on April 6, 2022. The current NCIB provides
Sandstorm with the option to purchase up to 19.1 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 18.9 million of its Common Shares, representing
approximately 10% of the Company's issued and outstanding Common
Shares of 192,224,215 as of March 31,
2022, less those Common Shares held by the Company's
directors and senior officers. The new NCIB also provides Sandstorm
with the option to purchase its Common Shares from time to time
when Sandstorm's management believes that the Common Shares are
undervalued by the market. 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, 2022 and
will terminate on the earlier of April 6,
2023, 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
270,139 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 67,534 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 4,651,049
Common Shares pursuant to its NCIB at a weighted average price of
approximately C$7.95 per common share
on the TSX and alternates and approximately US$6.19 per common share on the NYSE and
alternates.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy securities in the United States, nor shall there be any sale
of these securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful.
CONTACT INFORMATION
For more information about Sandstorm Gold Royalties, please
visit our website at www.sandstormgold.com or email us at
info@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 230 royalties, of which 29 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.
CAUTIONARY STATEMENTS TO U.S. SECURITYHOLDERS
The financial information included or incorporated by reference
in this press release or the documents referenced herein has been
prepared in accordance with International Financial Reporting
Standards as issued by the International Accounting Standards
Board, which differs from US generally accepted accounting
principles ("US GAAP") in certain material respects, and thus are
not directly comparable to financial statements prepared in
accordance with US GAAP.
The disclosure and information contained or referenced herein
uses mineral reserve and mineral resource classification terms that
comply with reporting standards in Canada, and mineral reserve and mineral
resource estimates are made in accordance with Canadian NI 43-101
and the Canadian Institute of Mining, Metallurgy and Petroleum —
CIM Definition Standards on Mineral Resources and Mineral Reserves,
adopted by the CIM Council, as amended (the "CIM Definition
Standards"). These standards differ significantly from the mineral
reserve disclosure requirements of the United States Securities
Exchange Commission (the "SEC") set forth in Industry Guide 7.
Consequently, information regarding mineralization contained or
referenced herein is not comparable to similar information that
would generally be disclosed by U.S. companies under Industry Guide
7 in accordance with the rules of the SEC. Further, the SEC has
adopted amendments to its disclosure rules to modernize the mineral
property disclosure requirements for issuers whose securities are
registered with the SEC under the Securities Exchange Act of 1934
("Exchange Act"). These amendments became effective February 25, 2019 (the "SEC Modernization Rules")
and, commencing for registrants with their first fiscal year
beginning on or after January 1,
2021, the SEC Modernization Rules replaced the historical
property disclosure requirements included in SEC Industry Guide 7.
As a foreign private issuer that files its annual report on Form
40-F with the SEC pursuant to the multi-jurisdictional disclosure
system, the Company is not required to provide disclosure on its
mineral properties under the SEC Modernization Rules and will
continue to provide disclosure under NI 43-101 and the CIM
Definition Standards. The SEC Modernization Rules include the
adoption of terms describing mineral reserves and mineral resources
that are "substantially similar" to the corresponding terms under
the CIM Definition, but there are differences in the definitions
under the SEC Modernization Rules and the CIM Definition Standards.
Accordingly, there is no assurance any mineral reserves or mineral
resources that the Company may report as "proven mineral reserves",
"probable mineral reserves", "measured mineral resources",
"indicated mineral resources" and "inferred mineral resources"
under NI 43-101 would be the same had the Company prepared the
mineral reserve or mineral resource estimates under the standards
adopted under the SEC Modernization Rules. U.S. investors are also
cautioned that while the SEC recognizes "measured mineral
resources", "indicated mineral resources" and "inferred mineral
resources" under the Modernization Rules, investors should not
assume that any part or all of the mineralization in these
categories will ever be converted into a higher category of mineral
resources or into mineral reserves. Mineralization described using
these terms has a greater amount of uncertainty as to its existence
and feasibility than mineralization that has been characterized as
reserves. Accordingly, investors are cautioned not to assume that
any measured mineral resources, indicated mineral resources, or
inferred mineral resources that the Company reports are or will be
economically or legally mineable. Further, "inferred mineral
resources" have a greater amount of uncertainty as to their
existence and as to whether they can be mined legally or
economically. Therefore, U.S. investors are also cautioned not to
assume that all or any part of the "inferred mineral resources"
exist. Under Canadian securities laws, estimates of "inferred
mineral resources" may not form the basis of feasibility or
pre-feasibility studies, except in rare cases. For the above
reasons, information contained or referenced herein regarding
descriptions of our mineral reserve and mineral resource estimates
is not comparable to similar information made public by U.S.
companies subject to reporting and disclosure requirements of the
SEC under either Industry Guide 7 or SEC Modernization Rules.
CAUTIONARY NOTE REGARDING
FORWARD-LOOKING INFORMATION
This press release contains "forward-looking statements", within
the meaning of the U.S. Securities Act of 1933, the U.S. Securities
Exchange Act of 1934, the Private Securities Litigation Reform Act
of 1995 and "forward-looking information" within the meaning of
applicable Canadian securities legislation, concerning the
business, operations and financial performance and condition of
Sandstorm Gold Royalties. Forward-looking statements include, but
are not limited to the future price of gold, silver, copper, iron
ore and other metals, statements with respect to Sandstorm's
proposed NCIB and the number of Common Shares that may be purchased
under the NCIB; the estimation of mineral reserves and resources,
realization of mineral reserve estimates, the timing and amount of
estimated future production. Forward-looking statements can
generally be identified by the use of forward-looking terminology
such as "may", "will", "expect", "intend", "estimate",
"anticipate", "believe", "continue", "plans", or similar
terminology.
Forward-looking statements are made based upon certain
assumptions and other important factors that, if untrue, could
cause the actual results, performances or achievements of Sandstorm
Gold Royalties to be materially different from future results,
performances or achievements expressed or implied by such
statements. Such statements and information are based on numerous
assumptions regarding present and future business strategies and
the environment in which Sandstorm Gold Royalties will operate in
the future, including the receipt of all required approvals, the
price of gold and copper and anticipated costs. Certain important
factors that could cause actual results, performances or
achievements to differ materially from those in the forward-looking
statements include, amongst others, failure to receive necessary
approvals, changes in business plans and strategies, market
conditions, share price, best use of available cash, gold and other
commodity price volatility, discrepancies between actual and
estimated production, mineral reserves and resources and
metallurgical recoveries, mining operational and development risks
relating to the parties which produce the gold or other commodity
the Company will purchase, regulatory restrictions, activities by
governmental authorities (including changes in taxation), currency
fluctuations, the global economic climate, dilution, share price
volatility and competition.
Forward-looking statements are subject to known and unknown
risks, uncertainties and other important factors that may cause the
actual results, level of activity, performance or achievements of
the Company to be materially different from those expressed or
implied by such forward-looking statements, including but not
limited to: the impact of general business and economic conditions,
the absence of control over mining operations from which the
Company will purchase gold, other commodities or receive royalties
from, and risks related to those mining operations, including risks
related to international operations, government and environmental
regulation, actual results of current exploration activities,
conclusions of economic evaluations and changes in project
parameters as plans continue to be refined, risks in the
marketability of minerals, fluctuations in the price of gold and
other commodities, fluctuation in foreign exchange rates and
interest rates, stock market volatility, as well as those factors
discussed in the section entitled "Risks to Sandstorm" in the
Company's annual report for the financial year ended December 31, 2021 and the section entitled "Risk
Factors" contained in the Company's annual information form dated
March 31, 2022 available at
www.sedar.com. Although the Company has attempted to identify
important factors that could cause actual results to differ
materially from those contained in forward-looking statements,
there may be other factors that cause results not to be as
anticipated, estimated or intended. There can be no assurance that
such statements will prove to be accurate, as actual results and
future events could differ materially from those anticipated in
such statements. Accordingly, readers should not place undue
reliance on forward-looking statements. The Company does not
undertake to update any forward-looking statements that are
contained or incorporated by reference, except in accordance with
applicable securities laws.
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SOURCE Sandstorm Gold Ltd.