Sandstorm Gold Royalties Announces Gold Stream Acquisition on Relief Canyon as Part of US$42.5 Million Financing Package with Americas Silver

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[{"type":"text","content":"Sandstorm Gold Royalties Announces Gold Stream Acquisition on Relief Canyon as Part of US$42.5 Million Financing Package with Americas SilverVANCOUVER, BC / ACCESSWIRE / April 3, 2019 / Sandstorm Gold Ltd. (''Sandstorm Gold Royalties'', ''Sandstorm'' or the ''Company'') (NYSE American: SAND, TSX: SSL) is pleased to announce that the Company has entered into an US$42.5 million financing package with Americas Silver Corporation (''Americas Silver'') that includes a US$25 million gold stream and royalty on the Relief Canyon Project in Nevada, USA (''Relief Canyon'' or the ''Project''), as well as a US$10 million convertible debenture, and a US$7.5 million equity subscription.Acquisition Highlights Near-Term Cash Flow: Americas Silver expects Relief Canyon to pour gold by the end of 2019 with average annual production of 91,000 ounces of gold at an all-in-sustaining cost of US$801 per ounce. Precious Metal Stream with Fixed Deliveries: Sandstorm will receive 32,022 ounces of gold over 5.5 years, followed by a 4.0% precious metals stream thereafter. This is expected to increase the Company's attributable gold equivalent ounces1 by 7% in 2020 and 9% in 2021. Exploration Upside: Relief Canyon has a large prospective land package that is relatively underexplored. Sandstorm's royalty covers the full property area surrounding the mine site. Safe Jurisdiction: Relief Canyon is located in Nevada, USA, one of the world's best mining jurisdictions. Americas Silver has mining and processing permits in place to start operations at the Relief Canyon mine. STREAM AND ROYALTY TERMSFigure 1: Relief Canyon Claim Map In exchange for US$25 million, Sandstorm will receive 32,022 ounces of gold over 5.5 years followed by 4.0% of the gold and silver production from the Relief Canyon Mine. Sandstorm will also have a 1.4% - 2.8% net smelter returns royalty on the area surrounding the Relief Canyon Mine, plus a four kilometre area of interest (the \"NSR Royalty\").The 32,022 ounces of fixed gold deliveries will begin on April 3, 2020 and be delivered over a period of 5.5 years (the \"Delivery Period\"). If the first gold pour at Relief Canyon has not occurred by April 3, 2020, the Delivery Period will begin on the earlier of i) the first gold pour at Relief Canyon, and ii) October 3, 2020. During the first 60 months of the Delivery Period, Sandstorm will re...

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