Sandstorm Metals & Energy Ltd.

Sandstorm Metals & Energy Ltd.

January 07, 2011 09:30 ET

Sandstorm Metals & Energy Provides Update on Coal Purchase Agreements

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 7, 2011) - In accordance with the coal purchase agreements previously announced on November 26, 2010, Sandstorm Metals & Energy Ltd. ("Sandstorm Energy" or the "Corporation") (TSX VENTURE:SND) has advanced a portion of the agreed upon upfront payments to NovaDX Ventures Corp. ("NovaDX") (TSX VENTURE:NDX) and Royal Coal Corp. ("Royal Coal") (TSX VENTURE:RDA). 

Sandstorm Energy has:

  • advanced US$5 million of the US$38 million total upfront payment committed to NovaDX
    • In accordance with the coal purchase agreement, the remaining US$33 million will be remitted upon completion of certain funding conditions which is expected by the end of January 2011
  • advanced US$2 million of the US$11 million total upfront payment committed to Royal Coal
    • In accordance with the coal purchase agreement, the remaining US$9 million will be remitted upon completion of certain funding conditions which is expected in February 2011
  • completed the purchase of the 2.7% gross royalty on all of Royal Coal's current assets for US$3 million

For more information on NovaDX and Royal Coal, visit and


Sandstorm Metals & Energy Ltd. is a growth focused resource based company that seeks to complete metal and energy purchase agreements (i.e. metal streaming deals) with companies that have advanced stage development projects or operating mines. A metal streaming deal involves Sandstorm making an upfront cash payment to its partners and in exchange, receives a percentage of the metal or energy production for the life of the mine. 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 energy purchase agreements with NovaDX Ventures Corp. and Royal Coal Corp. For more information visit:

Cautionary Note Regarding Forward-Looking Information

Except for the statements of historical fact contained herein, the information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information is based on reasonable assumptions that have been made by Sandstorm Energy as at the date of such information and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Sandstorm Energy to be materially different from those expressed or implied by the forward-looking information, including but not limited to: the impact of general business and economic conditions; the absence of control over mining operations from which Sandstorm Energy will purchase coal 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; problems inherent to the marketability of minerals; industry conditions, including fluctuations in the price of metals, fluctuations in foreign exchange rates and fluctuations in interest rates; stock market volatility and competition. Although Sandstorm Energy has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Sandstorm Energy does not undertake to update any forward-looking information that is contained or incorporated by reference herein, except in accordance with applicable securities laws. Sandstorm Energy does not provide any representation as to its comparability with other companies in its industry including, but not limited to Franco-Nevada Corporation, BHP Billiton, Rio Tinto and Western Coal.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Sandstorm Metals & Energy Ltd.
    Nolan Watson
    President and Chief Executive Officer
    (604) 689-0234
    Sandstorm Metals & Energy Ltd.
    Denver Harris
    Investor Relations Contact
    (604) 689-0234