Hod Maden Gold Stream and Creation of Horizon Copper Corp.
Вставка
- Опубліковано 16 лют 2022
- Nolan Watson, President & CEO of Sandstorm Gold Royalties, discusses the transformation of the Company's interest in the Hod Maden project into a $200 million gold stream and the creation of a strategic partnership with Horizon Copper Corp. For more information visit www.sandstormgold.com
SAND unlocked value here if you do the math that was hidden in SAND's assets. They paid $180 million for the Hod Maden NPI years ago when they bought Mariana. They just turned the NPI into a pure gold stream on Hod Maden, which is safer for a lot of reasons. The gold stream NPV is still conservatively worth at least $200 million. SAND also now owns $110 million of assets in the new copper company. SAND still has copper upside exposure to Hod Maden just with less risk than only the NPI. SAND's entree gold shares were being valued at ZERO on SAND's market cap and now they are attractive assets for a larger copper or base metal miner or the new standalone copper company if it is successful in 5 years or less. Also, the new copper company is immediately a takeover target by Lundin Mining, etc. They own 2 very high quality assets on 2 of the best copper mines on the planet. And unlike Turquoise Hill Resources, Rio Tinto won't block a takeover of the new copper company...
So why is SAND trading at only $5 today?
@@Handelson 1) all gpld stocks have been in a downtrend for the last 6+ months and 2) Sandstorm Gold raised cash recently to probably go and buy another gold or silver byproduct stream from a base metal miner. You sound like a short term trader or thinker and have no patience
@@WallStForMainSt Jason I've been steadily buying SAND for the last two and a half years (based on your cheerleading). That disqualifies me from being a short term trader. Today the stock has dipped below $5. For some reason all of the 'great things' they are doing is NOT being reflected in the share price. Of course the sector has been beaten down and it's a great time to buy. But at some point, especially if you compare them to FNV and WPM, SAND is not measuring up in terms of stock price. And I simply ask, "Why not?"
@@Handelson Great time to buy SAND
Thanks for this video, I didn't understand the transaction until watching it.
I saw an interview with Rick Rule where he said Sandstorm wasn't getting enough credit for Hod Maden.
Good news 🙂
Good deal for both partys!
Nolan Terrific podcast. Thanks
Great job everyone! Keep up the good work! Been buying shares since 2018!
Clear and amazing job !! Great job Nolan & team !! I'm sure market will see $SAND value !! I belive in you and for this $SAND is TOP5 in my portfolio. Thank you
Thanks
Does sand need another anchor asset now?
Hard workers here
this made me buy 2500 shares today because of this video
Go buy out EMX next
Omg
Nolan lifting weights or over eating ?
Both
Over eating
Nolan eat more salad and less sugar please
This is a 180-degree turn in SAND's business plan. Is it giving up on their former strategy which hasn't materialized, or a smart pivot when considering the changes landscape / increased risk in Turkey, etc.? In any case, the $1 Billion valuation for SAND's Hod Maden stake that has been touted for years won't materialize. Won't even come close. SAND was a good investment a few years ago, but lost it's way. SAND missed out on many potential R&S deals the past few years when management's bandwidth was largely focused on Hod Maden. Many better precious metals and base metals investments available the past few years and now.
SAND has *always* planned to turn Hod Maden into a stream.
7 months out and your comment seems to hold its weight..
It seems like Sandstorm just scammed shareholders. They used company capital to buy equity which is now being handed over for a stream. What a loss of upside.
yeah. not sure what to think about this yet.
Do you even know what a gold stream is? Most of the BS coverage of SAND on Seeking Alpha and the top gold stock newsletter, Gold Stock Analyst, has been criticizing SAND relentlessly for only having an NPI royalty on Hod Maden instead of a pure gold stream. Gold Stock Analyst newsletter claimed only a few months ago that SAND could never get the NPI converted into a gold stream. You can't have it both ways. A gold stream protects against capex and cost overruns from building Hod Maden initially or if the mine is higher cost than projected once it is producing as opposed to owning an NPI which is riskier in a lot of ways. Although it will still be a world class copper and gold mine when built. I guess the company was going to get criticized no matter what with Hod Maden?
@@WallStForMainSt I'll defer to you Jason. Congrats to the team!
@@WallStForMainSt THANK YOU
@@WallStForMainSt Can you help me understand this more? It seems like a high cost for risk reduction, on an asset that has the economics to offset a lot of risks. Since they own 34% of this new company they are technically still not a pure play royalty and streaming company. I don’t see the difference between owning Entree shares and owning the newly issued shares. And as the gold price goes higher they will have to pay much higher prices than the cost of production. I’m not sold on this deal as a long term SAND shareholder, I must be missing something.