Sandstorm Gold Ltd N — Sandstorm Gold — Investor Presentation (August 2024)
39 slides from Sandstorm Gold Ltd N's investor presentation, Aug 2, 2024
Slide 1: Investor Presentation
NYSE SAND TSX SSL Investor Presentation AUGUST 2 024
Slide 2: Cautionary Note Regarding Forward-Looking Information and Non-IFRS Measures
CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION AND NON-IFRS MEASURES Except for the statements of historical fact contained herein, the information presented constitutes “forward-looking statements”, within the meaning of the U.S. Securities Act of 1933, the U.S. Securities Exchange Act of 19
Slide 3: Hundreds of Royalties. One Investment.
INVESTOR PRESENTATION Hundreds of Royalties. One Investment. SANDSTORMGOLD.COM 03
Slide 4: 2024 Sandstorm Gold Royalties Investment Themes
INVESTOR PRESENTATION Race to Safe- Green Energy Artificial Haven Assets Transition Intelligence The future of gold is bright Fueling demand for Ushering in new opportunities base metals for mining and metal demand 2024 SANDSTORM GOLD ROYALTIES Cash-flowing machine with +80% Investment revenues from
Slide 5: Growing and Sustainable Production
INVESTOR PRESENTATION Growing and Sustainable Production in Ounces 180,000 155koz 160,000 Increasing cash flow to 140,000 well over $200M per year1 120,000 100,000 80koz 80,000 60,000 ATTRIBUTABLE GOLD EQUIVALENT PRODUCTION2 2024 Production Guidance Midpoint 40,000 Estimated Production Range 20,000
Slide 6: Portfolio Cash Flows
INVESTOR PRESENTATION PORTFOLIO CASH FLOWS 1 in US$ Millions $250M MARA Stream Option $160M Built in Cash Flow Growth Gold Silver Copper $2,300/oz $27/oz $5.00/lb SANDSTORMGOLD.COM HOD MADEN Gold Stream 2024 2029 1. Cash flows from operating activities attributable to the Company’s operating segment
Slide 7: Debt Obligations
INVESTOR PRESENTATION DEBT OBLIGATIONS Debt is Evaporating $600M $637M $500M Share Buybacks Now $400M $383M $334M in Debt and $300M Equity Investments1 $200M $100M SANDSTORMGOLD.COM 0 Debt Funding Bank Debt as at 2022 Acquisitions Aug 1, 2024 1. Approximate fair value of investments as at June 30, 2
Slide 8: The Case for Gold has Never Been Stronger
INVESTOR PRESENTATION LONG-TERM The Case for Gold has GOLD SQUEEZE Never Been Stronger Gold 247 Initiative Goldene and AI MID-TERM electronic uses Demand drivers are pushing gold MACROECONOMIC prices higher for longer. Housing crisis, green energy transition, AI boom and energy demand NEAR-TERM GEOP
Slide 9: Sandstorm's Future is in Construction
INVESTOR PRESENTATION Production Production Production Production Production Robertson Greenstone Platreef (Cortez Complex) Hod Maden MARA Equinox Gold Ivanhoe Mines SSR Mining Glencore Barrick Gold 2024 2025 2027 2028 2029 First Gold Pour Achieved Sandstorm’s Future is May 2024 in Construction SAND
Slide 10: Greenstone - Equinox Gold Corp.
INVESTOR PRESENTATION Greenstone Equinox Gold Corp. One of Canada’s 0 250 500 750 Largest Open-Pit RESERVE PIT SHELL (Feasibility) Gold Mines ~WEST ~EAST Western-most hole (MM170) 18.48 g/t Au over 20.5m First gold pour achieved May 2024. On track for commercial production in Q3 2024 400koz gold per
Slide 11: Platreef - Ivanhoe Mines Ltd.
INVESTOR PRESENTATION Platreef Ivanhoe Mines Ltd. 10.0 Building the world’s PHASE 3 largest PGM mine Processing Capacity (Mtpa) Shaft #2 hoisting Concentrators ramp up to approximately 10 Mtpa Multi-phase ramp-up to reduce risks +500Mt inferred Shaft #3 hoisting Resources (Q4 2025) 4.0 Industry disr
Slide 12: Antamina - Compañía Minera Antamina SA
INVESTOR PRESENTATION Antamina Compañia Minera Antamina SA ANTAMINA INDICATIVE CROSS SECTION Expanding the World’s 3rd Reserve Pit Resource Pit Mineralized Skarn Largest Copper Mine1 4,000 RL Antamina was granted approval of the MEIA* Study in February 20242 3,500 RL $2 billion, 8-year investment in
Slide 13: Hod Maden - SSR Mining Inc.
INVESTOR PRESENTATION Hod Maden SSR Mining Inc. HTD-72 HTD-77 HTD-62 HTD-90 HTD-15 HTD-60 Unparalleled high-grade HTD-18 95.5m @ 32.1 g/t Au, 3.3% Cu 800m gold-copper project HTD-65 90.0m 750m @ 22.6 g/t Au, 4.39% Cu 34.5m 700m High-grade gold-copper development @ 19.4 g/t Au, 1.31% Cu project 650m
Slide 14: MARA - Glencore plc
INVESTOR PRESENTATION MARA Glencore plc Exclusive Gold Stream Option Adds 20k GEOs average per year1 “A low capital intensity, $30M average annual cash flows1 long-life, good grade Purchase price of $225M copper project.” 28-year reserve life2 SANDSTORMGOLD.COM —Gary Nagle, Glencore CEO & Director 1
Slide 15: Precious Metals Focused
INVESTOR PRESENTATION Precious Metals Focused 9% 6% 9% 4% 21% REVENUE BY METAL1 70% 56% 85% Gold Silver Copper 14% Other 81% SANDSTORMGOLD.COM 2024 2029 1. Commodity Price Assumptions: $1,800/oz Au, $23/oz Ag, $3.90/lb Cu 15
Slide 16: Principal Assets
INVESTOR PRESENTATION PRINCIPAL ASSETS Hod Maden1 % OF NAV 11% Diversified Platreef Antamina1 10% 7% Portfolio Vale 8% No asset greater than 11% of NAV Blyvoor 7% No country greater than 17% of NAV Greenstone 7% Aurizona 5% Latest Acquisitions Chapada 4% SANDSTORMGOLD.COM Caserones 4% Oyu Tolgoi 4%
Slide 17: Mineral Property Value in Production
INVESTOR PRESENTATION MINERAL PROPERTY VALUE IN PRODUCTION1 Maturing 89% Portfolio Platreef 2025 62% Nearly 90% of portfolio NAV expected to be in production by 2029 SANDSTORMGOLD.COM Current 2029 1. Based on analyst consensus asset NAV estimates. 17
Slide 18: Proven Record of Strong Returns
INVESTOR PRESENTATION Proven Record of Strong Returns $90M $23M $70M $168 $76 $244M $87 $20 $107M $66 $83 $149M Aurizona 2009 Santa Elena 2009 Chapada 2015 $22M $200M $45 $24 $54 $15 $93M $223 $56 $279M $34 $39 $73M Teck Portfolio 2016 Hod Maden 2017 Houndé 2018 Investment $33M $116M Cash Flow SANDS
Slide 19: Value Choice of Royalty Companies
INVESTOR PRESENTATION Value Choice of Royalty CONSENSUS P/NAV1 Companies +35% Upside on Trading 2.5x 2.2x 2.0x Multiple Normalization 2.0x 1.7x SANDSTORM 1.0x 1.5x 1.2x 1.0x OSISKO 1.3x 1.0x SANDSTORMGOLD.COM 0.5x TRIPLE FLAG 1.4x 0 WHEATON FRANCO ROYAL MID-CAPS SANDSTORM GOLD COMBINED 1. Based on c
Slide 20: Highest Growth Among Peers
INVESTOR PRESENTATION in 000’s Ounces 180 Highest Growth 160 MARA 140 Among Peers Stream Option 120 Over 80% Production 100 PEER PRODUCTION GUIDANCE 2024 Production Guidance Growth1 80 Long-Term Guidance MARA Stream Option 60 40 SANDSTORMGOLD.COM 20 0 SANDSTORM TRIPLE FLAG OSISKO Source: company dis
Slide 21: Lowest Cost Mines
INVESTOR PRESENTATION SANDSTORM 50% WHEATON 36% Lowest Cost TRIPLE FLAG 22% Mines FRANCO-NEVADA ALL-IN SUSTAINING COST PROFILE 17% Top 10 Assets by Quartile 1st Quartile ROYAL GOLD 2nd Quartile 10% 3rd Quartile 4th Quartile SANDSTORMGOLD.COM OSISKO 5% Source: BMO Capital Markets Equity Research at s
Slide 22: Industry Leading Diversification
INVESTOR PRESENTATION Industry Leading Diversification 62% 65% 65% 60% MINERAL PROPERTY VALUE CONTRIBUTION 51% Top 5 Assets Assets 6–10 Other 1st Cost Quartile 43% 2nd Cost Quartile 3rd Cost Quartile FRANCO NEVADA 4th Cost Quartile ROYAL GOLD TRIPLE FLAG SANDSTORMGOLD.COM SANDSTORM WHEATON OSISKO BM
Slide 23: Key Catalysts
INVESTOR PRESENTATION Growth-focused, KEY CATALYSTS deeply undervalued gold company Built-in growth with no SANDSTORMGOLD.COM desire to issue shares; share buybacks preferred. 23
Slide 24: Total Royalties Globally
INVESTOR PRESENTATION Over 230 Total Royalties Globally 41 Cash Flowing Assets Diversified 30+ Development Assets Additional optionality from SANDSTORMGOLD.COM one of the largest royalty portfolios in the world. Producing Development Exploration 24
Slide 25: Metres Drilled on Sandstorm Properties
INVESTOR PRESENTATION METRES DRILLED ON SANDSTORM PROPERTIES 2015 2017 2019 2021 2023 0m Average 500,000m 100,000 m Drilled Annually1 200,000 m 2024 is expected to set new records of 300,000 m drilling on Sandstorm's properties—at 400,000 m no additional cost to shareholders. 500,000 m 600,000 m SAN
Slide 26: Discovered Ounces
INVESTOR PRESENTATION 105 106 Discovered 97 97 Ounces 85 82 71 68 Sandstorm properties have a consistent 64 54 track record of replacing and 58 52 discovering more ounces than mined. SANDSTORM’S GOLD ATTRIBUTABLE OUNCES in 000’s Produced Discovered SANDSTORMGOLD.COM 2018 2019 2020 2021 2022 2023 26
Slide 27: ESG Highlights
INVESTOR PRESENTATION ESG Highlights Groundbreaking ESG linked credit facility Near 50/50 balance of women and men MSCI Rating of AA1 CCC B BB BBB A AA AAA Ranked low risk SANDSTORMGOLD.COM by Sustainalytics 2023 1. As of 2023, Sandstorm received an MSCI ESG Rating of AA. 27
Slide 28: Gold Focused Portfolio
INVESTOR PRESENTATION Gold High Quality Focused Portfolio with leverage to rising with long-life assets commodity prices Built-in Diversified Growth reducing asset and development assets SANDSTORMGOLD.COM jurisdictional risk and optionality 28
Slide 29: Appendix
Appendix August 2 024 SANDSTORMGOLD.COM i
Slide 30: Gold 247 Initiatives
INVESTOR PRESENTATION INITIATIVES Gold Bar Integrity Programme 2 4 7 WGC/LBMA pilot Distributed ledger (blockchain) technology Foundation for a more accessible and fungible market WHAT IS GOLD 247? Accessible to all The World Gold Council’s strategic vision for transforming the global gold market go
Slide 31: Project Operator Country Status Initial Terms
PROJECT OPERATOR COUNTRY STATUS INITIAL TERMS* 1 Black Fox McEwen Mining Canada PRODUCING 8% Au @ $601/oz 2 CEZinc Glencore plc Canada PRODUCING 1% Zn @ 20% spot until Jun 2030 or 68 Mlbs 5% Cu, 2.5% other metal NSR capped at $10M on 3 Copper Mountain Hudbay Minerals Inc. Canada PRODUCING future roy
Slide 32: Project Operator Country Status Initial Terms
PROJECT OPERATOR COUNTRY STATUS INITIAL TERMS* 25 Serra Leste (Northern System) Vale S.A. Brazil PRODUCING 0.05% Net Fe Sales Royalty 26 Serra Norte (Northern System) Vale S.A. Brazil PRODUCING 0.05% Net Fe Sales Royalty 27 Serra Sul (Northern System) Vale S.A. Brazil PRODUCING 0.05% Net Fe Sales Ro
Slide 33: Project Operator Country Status Initial Terms
PROJECT OPERATOR COUNTRY STATUS INITIAL TERMS* 53 Mt. Hamilton Waterton Global Resource USA DEVELOPMENT 2.4% NSR 54 Robertson (Cortez Complex) Barrick Gold USA DEVELOPMENT 1.0%–2.25% NSR* 55 Montagne d’Or Orea Mining Corp. French Guiana DEVELOPMENT 1.0% NSR 2.0% NSR on oxides (after 396koz); 1.5% NS
Slide 34: Project Operator Country Status Initial Terms
PROJECT OPERATOR COUNTRY STATUS INITIAL TERMS* 79 Pickle Crow FireFly Metals Ltd. Canada ADV. EXPLORATION 0.5% NSR 80 Point Leamington Callinex Mines Inc. Canada ADV. EXPLORATION 1.5% NSR 81 Ruddock Creek Imperial Metals Canada ADV. EXPLORATION 1.0% NSR 82 South Tally/Lemarchant Canterra Minerals Co
Slide 35: Project Operator Country Status Initial Terms
PROJECT OPERATOR COUNTRY STATUS INITIAL TERMS* 107 Butterfly Lake Thesis Gold Inc. Canada EXPLORATION 0.71% GOR 108 CT Kreft Resources Canada EXPLORATION 0.75% NSR 109 Dixie Lake Renegade Gold Inc. Canada EXPLORATION 1.0% NSR 110 Duchess Renegade Gold Inc. Canada EXPLORATION 0.5% NSR 111 East My-Rit
Slide 36: Project Operator Country Status Initial Terms
PROJECT OPERATOR COUNTRY STATUS INITIAL TERMS* 136 New Afton New Gold Canada EXPLORATION 2.0% NSR 137 Newman-Madsen West Red Lake Gold Mines Ltd. Canada EXPLORATION 0.5% NSR 138 Pakwash Renegade Gold Inc. Canada EXPLORATION 1.0% NSR 139 Rabbit North Tower Resources Ltd. Canada EXPLORATION 2.0% NSR 1
Slide 37: Project Operator Country Status Initial Terms
PROJECT OPERATOR COUNTRY STATUS INITIAL TERMS* 165 NT Green SSR Mining USA EXPLORATION 0.5%–2.0% NSR 166 Rain Newmont Corporation/Premier Gold Mines USA EXPLORATION 1.5% NSR 167 RF #1-8 (Railroad) Gold Standard Ventures USA EXPLORATION 3.0% NSR 168 Rochester (Expansion) Coeur Mining Inc. USA EXPLORA
Slide 38: Project Operator Country Status Initial Terms
PROJECT OPERATOR COUNTRY STATUS INITIAL TERMS* 194 Huiñac Punta Condor Resources Peru EXPLORATION 0.5% NSR 195 Huiniccasa Volcan Compañía Minera Peru EXPLORATION 1.25% NSR 196 Humaya Condor Resources Peru EXPLORATION 0.5% NSR 197 Los Tambos Pucara Gold Ltd. Peru EXPLORATION 1.0% NSR 198 Lucero Eleme
Slide 39: Project Operator Country Status Initial Terms
PROJECT OPERATOR COUNTRY STATUS INITIAL TERMS* 223 Kiskama Talga Resources Sweden EXPLORATION 1.0% NSR 224 Masugnsbyn Talga Resources Sweden EXPLORATION 1.0% NSR 225 Hasandagi Newmont Altin Madencilik Türkiye EXPLORATION 2.0% NSR 226 Karaağaç Anadolu Export Maden Sanayi ve Ticaret Türkiye EXPLORATIO