SND Sandstorm Metals And Energy Ltd

Sandstorm Metals & Energy Ltd. ("Sandstorm" or the "Company") (TSX VENTURE:SND)
is pleased to announce that it has increased its copper stream agreement with
Donner Metals Ltd. ("Donner") (TSX VENTURE:DON) to purchase an amount of copper
equal to 24.5% of the copper produced (the "Copper Stream") from the
Bracemac-McLeod Mine, operated by Xstrata Canada Corp. ("Xstrata"). Previously,
Sandstorm had completed a copper stream agreement with Donner, announced July
13, 2011 (the "Initial Stream"), to purchase 17.5% (now amended to 24.5%) of the
copper produced from the Bracemac-McLeod Mine.


Sandstorm will make an upfront cash payment to Donner of US$7 million to
increase the Copper Stream and will make ongoing per pound payments equal to the
lesser of US$0.80 per pound of copper (the "Per Pound Payments") and the then
prevailing market price of copper. If the spot price of copper falls below
US$2.75 per pound, the Per Pound Payments will decrease and be equal to the
lesser of US$0.55 per pound of copper and the then prevailing market price of
copper. In consideration for the increased Copper Stream, Donner has agreed to
waive its option to repurchase up to 50% of the Initial Stream. Additionally,
Sandstorm has agreed to provide Donner with a US$2 million loan via a drawdown
facility ("Drawdown Facility"), bearing 7% interest and expiring on February 1,
2014. The provision of the Drawdown Facility is contingent upon certain funding
conditions by Donner.


"The increased copper stream with Donner will materially increase the near-term
cash flow for Sandstorm Metals & Energy," said President & CEO Nolan Watson.
"Xstrata has been operating base metal mines in the region for decades and we
expect production to ramp up quickly in 2013."


As part of the transaction, Sandstorm Gold Ltd. ("Sandstorm Gold") has agreed to
increase its gold stream to purchase 24.5% of the gold and gold equivalent of
silver from the Bracemac-McLeod Mine, in exchange for making a payment to Donner
(via a back-to-back agreement between Sandstorm Gold and Sandstorm Metals &
Energy) of US$3 million. Sandstorm Gold will make ongoing per ounce payments
equal to the lesser of US$350 per ounce of gold or gold equivalent and the then
prevailing market price of gold. In addition, Sandstorm Gold has agreed to
provide Donner with a US$2 million loan via a drawdown facility, bearing 7%
interest and expiring on February 1, 2014.


ABOUT SANDSTORM METALS & ENERGY

Sandstorm Metals & Energy Ltd. is the world's first diversified streaming
company. Sandstorm provides upfront financing to resource companies that are
looking for capital and in return, receives a commodity streaming agreement.
This agreement gives Sandstorm the right to purchase a percentage of the
commodity produced, for the life of the asset, at a fixed price. Sandstorm has
acquired a portfolio of seven commodity streams in copper, palladium, oil,
natural gas and coal. Sandstorm plans to grow its production base through the
acquisition of additional commodity streams.


Sandstorm Metals & Energy is focused on low cost operations with excellent
exploration potential and strong management teams. Sandstorm has completed
commodity purchase agreements with Colossus Minerals Inc., Donner Metals Ltd.,
Novadx Ventures Corp., Terrex Energy Inc., and Thunderbird Energy Corp.


For more information visit: www.sandstormmetalsandenergy.com

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

Except for the statements of historical fact contained herein, the information
presented constitutes "forward-looking information" or "forward-looking
statements" within the meaning of applicable Canadian securities legislation.
Forward-looking statements can generally be identified by the use of
forward-looking terminology such as "may", "will", "expect", "intend",
"estimate", "anticipate", "believe", "continue", "plans", or similar
terminology. Forward-looking information is based on reasonable assumptions that
have been made by Sandstorm 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 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 operations from which Sandstorm
will purchase commodities and risks related to those 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 commodities; industry conditions,
including fluctuations in the price of commodities, fluctuations in foreign
exchange rates and fluctuations in interest rates; stock market volatility;
competition; as well as those factors discussed in the section entitled "Risks
to Sandstorm" in Sandstorm's annual report for the financial year ended December
31, 2011. Although Sandstorm 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 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 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 and Rio Tinto.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Sandstorm Metals & Energy Ltd.
Nolan Watson
President & Chief Executive Officer
(604) 689-0234


Sandstorm Metals & Energy Ltd.
Denver Harris
Investor Relations Contact
(604) 628-1178
www.sandstormmetalsandenergy.com

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