Mr. Erfan Kazemi reports

SANDSTORM GOLD ROYALTIES ANNOUNCES 2024 SALES AND REVENUE; FINANCIAL RESULTS TO BE RELEASED FEBRUARY 18

Sandstorm Gold Ltd. has released the sales and revenue figures for the fourth quarter and year ended Dec. 31, 2024 (all figures in U.S. dollars).

Annual preliminary sales and revenue

The company sold approximately 72,800 attributable gold equivalent ounces (1) and realized preliminary revenue (2) of $176.3-million for the full 2024 year (97,245 attributable gold equivalent ounces and $179.6-million in revenue for the comparable period in 2023). Preliminary cost of sales, excluding depletion (2) for the full 2024 year was $20.0-million resulting in cash operating margins (1) of approximately $2,097 per attributable gold equivalent ounce (1) ($21.7-million and $1,706 per attributable gold equivalent ounce for the comparable period in 2023, respectively).

Fourth quarter preliminary sales and revenue

During the three months ended Dec. 31, 2024, the company sold approximately 17,700 attributable gold equivalent ounces (1) and realized preliminary revenue (2) of $47.4-million (23,250 attributable gold equivalent ounces and $44.5-million in revenue for the comparable period in 2023). Preliminary cost of sales, excluding depletion (2) for the three months ended Dec. 31, 2024, was $4.3-million resulting in cash operating margins (1) of approximately $2,397 per attributable gold equivalent ounce (1) ($4.9-million and $1,737 per attributable gold equivalent ounce for the comparable period in 2023, respectively).

Long-term outlook and capital allocation

Sandstorm remains a growth-oriented company and is reiterating its long-term production forecast that is expected to reach approximately 125,000 attributable gold equivalent ounces (1) within the next five years, based solely on streams and royalties that the company has bought and paid for. The company will state its 2025 production forecast with the release of its 2024 annual results.

Throughout 2024, the company continued to focus on deleveraging its balance sheet following several royalty and streaming acquisitions in 2022. As at Dec. 31, 2024, the outstanding balance on the company's revolving credit facility was approximately $355-million with an undrawn and available balance of $270-million (2). Additionally, the company purchased and cancelled approximately 2.0 million shares for total consideration of approximately $10.8-million during the 12 months ended Dec. 31, 2024 (2).

Release date and conference call details

The company will release its 2024 fourth quarter and annual results on Tuesday, Feb. 18, 2025, after markets close. A conference call will be held on Wednesday, Feb. 19, 2025, starting at 8:30 a.m. PST to further discuss the results. To participate in the conference call, use the following dial-in numbers and conference ID:

International:  1-437-900-0527

North American toll-free:  1-888-510-2154

Conference ID:  70357

(1) Sandstorm Gold Royalties has included certain performance measures in this press release that do not have any standardized meaning prescribed by international financial reporting standards accounting standards (IFRS accounting standards or IFRS), including (i) attributable gold equivalent ounces and (ii) cash operating margin. The presentation of these non-IFRS measures is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Other companies may calculate these non-IFRS measures differently. Note these figures have not been audited and are subject to change.

As the company's operations are primarily focused on precious metals, the company presents attributable gold equivalent ounces as it believes that certain investors use this information to evaluate the company's performance in comparison with other mining companies in the precious metals mining industry which present results on a similar basis. Attributable gold equivalent ounces is a non-IFRS financial ratio that uses total sales, royalties and income from other interests as a component. Total sales, royalties and income from other interests is a non-IFRS financial measure, and is calculated by taking total revenue which includes sales and royalty revenue, and adding contractual income relating to royalties, streams and other interests excluding gains and losses on dispositions. Attributable gold equivalent ounces is calculated by dividing the company's total sales, royalties and income from other interests, less revenue attributable to non-controlling shareholders for the period, by the average realized gold price per ounce from the company's gold streams for the same respective period ([$176.3-million minus $3.6-million] divided by $2,371 for the full year 2024 [$191.4-million minus $3.9-million] divided by $1,929 for the comparable period in 2023); and ([$47.4-million minus $600,000] divided by $2,640 for the three months ended Dec. 31, 2024, and [$46.3-million minus $1.0-million] divided by $1,948 for the comparable period in 2023) and may be subject to change.

The company presents cash operating margin as it believes that certain investors use this information to evaluate the company's performance and ability to generate cash flow in comparison with other companies in the precious metals mining industry which present results on a similar basis. Cash operating margin is calculated by subtracting the average cash cost per attributable gold equivalent ounce from the average realized gold price per ounce from the company's gold streams (see item i above) for the same respective period. Average cash cost per attributable gold equivalent ounce is calculated by dividing the company's cost of sales, excluding depletion, by the number of attributable gold equivalent ounces ($20.0-million divided by 72,800 attributable gold equivalent ounces for the full year 2024, and $21.7-million divided by 97,245 attributable gold equivalent ounces for the comparable period in 2023; and $4.3-million divided by 17,700 attributable gold equivalent ounces for the three months ended Dec. 31, 2024, and $4.9-million divided by 23,250 attributable gold equivalent ounces for the comparable period in 2023).

(2) These figures have not been audited and are subject to change. As the company has not yet finished its quarter and year-end close procedures, the anticipated financial information presented in this press release is preliminary, subject to final quarter and year-end closing adjustments, and may change materially.

About Sandstorm Gold Ltd.

Sandstorm is a precious-metals-focused royalty company that provides upfront financing to mining companies and receives the right to a percentage of production from a mine, for the life of the mine. Sandstorm holds a portfolio of approximately 230 royalties, of which 41 of the underlying mines are producing. Sandstorm plans to grow and diversify its low-cost production profile through the acquisition of additional gold royalties.

We seek Safe Harbor.