August 10, 2007 | Vancouver, BC
Closing Of Initial Public Offering
Vancouver, British Columbia, August 10, 2007 -- Sandstorm Resources Ltd. (the "Company"), a Capital Pool Company, is pleased to announce that it has completed its Initial Public Offering ("IPO") of 1,000,000 common shares at a price of $0.20 per share, for total gross proceeds to the Company of $200,000. As a result of this issuance, the Company has 2,220,000 common shares issued and outstanding, of which 1,220,000 are subject to escrow restrictions.
Wolverton Securities Ltd. acted as Agent in respect of the IPO. The Company issued warrants to Wolverton Securities Ltd. entitling them to acquire an aggregate of 100,000 common shares of the Company for a period of two years, at a price of $0.20 per common share. In addition, under the Company's stock option plan, the Company granted incentive stock options to the Directors and Officers of the Company entitling them to acquire an aggregate of 50,000 common shares of the Company at an exercise price of $0.20 per share exercisable for a period of five years. Wolverton Securities Ltd. also received a cash commission equal to 10% of the gross proceeds of the IPO.
The proceeds of the IPO will be used towards the identification and evaluation of a potential business or asset acquisition in order to complete a Qualifying Transaction.
The Company expects to commence trading on the TSX Venture Exchange as a Capital Pool Company on Monday, August 13, 2007 under the symbol "SSL.P".
On behalf of the Company,
President and Chief Executive Officer
For more information, please contact:
Dean Fenwick, President and Chief Executive Officer
Sandstorm Resources Ltd.
Phone: 604 687-9937
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Caution Regarding Forward-looking Information
Information in this news release respecting the use of funds and whether the Company will be listed on the TSX Venture Exchange constitutes forward-looking information. Statements containing forward-looking information express, as at the date of this news release, the Company's plans, estimates, forecasts, projections, expectations, or beliefs as to future events or results and are believed to be reasonable based on information currently available to the Company.
The listing of the Company on the TSX Venture Exchange, including as a capital pool company, and the use of proceeds of the IPO are subject to certain conditions which include external factors which are not within the Company's control. Forward-looking statements and information in connection with the Company's listing are based on assumptions that the Company meets the TSX Venture Exchange's requirements and is accepted by the TSX Venture Exchange for listing. Forward-looking statements and information in connection with the Company locating and completing a potential Qualifying Transaction are based on the factors and assumptions described under "Risk Factors" in the Company's Final Prospectus, dated June 27, 2007, which is available on SEDAR under the Company's profile at www.sedar.com.
There can be no assurance that forward-looking statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. Readers should not place undue reliance on forward-looking information.