|Sandstorm Gold Reports Record Gold Sales and Operating Cash Flow in Q2, 2012|
Press Release: Sandstorm Gold Ltd. – Thu, Jul 26, 2012 4:50 PM
VANCOUVER, BRITISH COLUMBIA--(Marketwire -07/26/12)- Sandstorm Gold Ltd. ("Sandstorm" or the "Company") (SSL.V) is pleased to announce its unaudited results for the second quarter ended June 30, 2012 (all figures in U.S. dollars).
Second Quarter Highlights
-- Record gold sales of 9,259 ounces.
-- Record operating cash flow of $11.3 million.
-- Average cash cost per ounce(1) of $298 resulting in cash operating
margins of $1,317 per ounce.
-- Net income of $5.3 million.
-- Sandstorm acquired from Magellan Minerals Ltd., a 2.5% net smelter
returns royalty on the Coringa gold project and a 1.0% NSR royalty on
the Cuiu Cuiu gold project.
-- Sandstorm acquired a 2.4% net smelter returns royalty on the Mt.
Hamilton gold project from Solitario Exploration & Royalty Corp. and Ely
Gold & Minerals Inc.
"Steady production growth from our mining partners has led to consecutive record quarters for Sandstorm," said President & CEO Nolan Watson. "During the second quarter we deployed our cash into royalty transactions that we believe will be accretive to shareholders, and the pipeline of potential gold streaming opportunities is stronger than ever."
Based on existing gold stream agreements, the forecasted attributable production for 2012 is 28,000 to 33,000 ounces of gold, increasing to over 50,000 ounces of gold per annum by 2015.
Further details of the individual commodity streams can be found within Management's Discussion and Analysis contained in the Company's second quarter 2012 report and on the Company website.
Webcast and Conference Call Details
A conference call will be held on Friday, July 27, 2012 starting at 8:30am PDT to further discuss the second quarter results. To participate in the conference call use the following dial-in numbers:
North American Toll-Free: 877-214-4966
It is recommended that participants dial in five minutes prior to the commencement of the conference call. Click here to access an audio webcast of the conference call which will also be available on the Sandstorm website.
ABOUT SANDSTORM GOLD
Sandstorm Gold Ltd. is a growth focused resource based company that seeks to complete gold purchase agreements with companies that have advanced stage development projects or operating mines. A gold purchase agreement involves Sandstorm making an upfront cash payment to its partners and in exchange, Sandstorm receives the right to purchase a percentage of the gold produced for the life of the mine, at a fixed price per ounce. Sandstorm helps other companies in the resource industry grow their business, while acquiring attractive assets in the process.
Sandstorm is focused on low cost operations with excellent exploration potential and strong management teams. Sandstorm has completed gold purchase or royalty agreements with Luna Gold Corp., SilverCrest Mines Inc., Santa Fe Gold Corp., Rambler Metals and Mining plc, Brigus Gold Corp., Metanor Resources Inc., Donner Metals Ltd., Magellan Minerals Ltd., Solitario Exploration & Royalty Corp. and Ely Gold & Minerals Inc.
For more information visit: www.sandstormgold.com.