2024 NYSE SAND TSX SSL

Sustainability Report

Table of Contents

OUR COMPANY 04

Business Model 08

Commitments and Ratings 09

CORPORATE IMPACT 11

Materiality Assessment 14

ESG Strategy 15

Environment 15

Social 18

Governance 22

TASK FORCE ON CLIMATE-RELATED FINANCIAL DISCLOSURES 26

Governance 27

Strategy 28

Risk Management 32

Metrics and Targets 33

INVESTMENT DECISIONS 35

Due Diligence Process 36

Third Party Evaluation 37

Ongoing Due Diligence 37

MINING PARTNERS 38

APPENDIX A: POLICIES & COMMITTEES 46

2024

Date of Publication: May 6, 2025

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Inclusion of information in this report is not an indication that the contents are necessarily material to investors or required to be disclosed in SEC filings. In this regard, the standard of 'materiality' for purposes of federal securities law disclosure requirements and SEC filings is not the standard that many companies apply when determining which issues

to address and the level of detail to be included in their sustainability reports.

FORWARD-LOOKING INFORMATION

This report contains forward-looking information which is based on certain factors and assumptions. Please refer to the "Forward-looking Information" on page 45 of this report.

02

Highlights

"AA" Rating

by MSCI in 2024

Low Risk Rating

by Sustainalytics

"Prime" Rating

by ISS for Corporate ESG in 2024

59% Diverse Persons

Among Senior Management and Board Members

Progress to Carbon Neutrality

In 2024, with 100% Direct Scope 2 Emissions Offset

ESG Credit Facility

First Royalty Company with Sustainability-Linked Loan

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2024

Enhanced ESG Oversight

Creation of Sustainability Committee

‌Our Company‌

Company

Corporate Impact

TCFD

Investment Decisions

Mining Partners

Sandstorm Gold Royalties is focused on building and growing its diversified portfolio of royalty and streaming assets to provide shareholders exposure to some of the best mining projects in the world. Over its 15-year history, Sandstorm has demonstrated a steadfast commitment to robust environmental, social,

and governance (ESG) practices. At the core of its success lies a dedication to integrity, transparency, and responsible stewardship-values that not only drive operational excellence but also foster trust among our partners.

We believe that strong governance practices are the foundation of resilient and successful companies and foster the creation of long-term

value for shareholders. Good governance ensures accountability, mitigates risks, and empowers companies to navigate a changing business environment with confidence. Recognizing this, Sandstorm continually strengthens its governance framework to align with global best practices

and the expectations of all interested parties.

Throughout 2024, Sandstorm continued to solidify its commitment to corporate responsibility. A comprehensive review of executive compensation and management incentives was conducted, ensuring alignment with company performance, sustainability goals, and shareholder interests. To further enhance transparency, in 2025, the Company introduced an internal policy relating to executive compensation, known as "Say on Pay", which gives shareholders a formal opportunity to provide

their views on the executive compensation plans of the Company through an annual advisory vote.

The creation of the Sustainability Committee-a subcommittee of the Board of Directors-has led to increased oversight of ESG practices across operations. This committee plays a critical role in integrating ESG consider-

ations into Sandstorm's corporate strategy, ensuring alignment with the highest ethical and sustainability standards in the industry.

Investment due diligence is at the core of Sandstorm's growth strategy. This process considers the tangible benefits of strong governance for both Sandstorm and the communities in

which our mining partners operate. Sandstorm holds royalties on properties developed and operated by independent mining companies. However, ESG considerations are embedded into the evaluation of every material investment opportunity. Over the years, Sandstorm's team has assessed and sought out opportunities to further support various operations in their

ESG performance. For example, the Company's stream agreement with the Greenstone gold mine in Ontario, Canada, includes an additional ongoing payment equal to $30 per ounce of gold that is dedicated to local ESG initiatives.

This simple example illustrates Sandstorm's belief that financial performance and a positive community impact are not mutually exclusive.

2024

Sandstorm's influence extends beyond individual investments. Through the collaboration with

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our mining partners focused on ESG innovation, we aim to raise industry standards and drive meaningful, measurable change. Internally, our dedication to sustainability is equally robust. We have committed to achieving carbon neutrality by 2035, with a key milestone reached in 2023 when we achieved carbon neutrality for Scope

2 emissions, which continued in 2024.

Company

Corporate Impact

TCFD

Investment Decisions

Mining Partners

These efforts have continued to position Sandstorm as a recognized leader in ESG performance. In 2024, Sandstorm continued to receive some of the highest ESG ratings amongst third-party reporting bodies, including an "AA" rating from MSCI, top rankings by Sustainalytics in the Precious Metals Industry, and a "Prime" rating from ISS. Furthermore, as a member of the UN Global Compact and the World Gold Council, Sandstorm voluntarily aligns

with internationally accepted principles in human rights, labour, the environment, and anti-corruption, further emphasizing our commitment to corporate responsibility.

Sandstorm supports the global energy transition, contributing to the development of renewable energy infrastructure and technologies that are essential for a

This report is designed to provide our shareholders and interested parties with a clear understanding of Sandstorm's corporate responsibility practices. Our goal is to create long-term value for our stakeholders while minimizing our environmental footprint, supporting our employees, and

contributing positively to the communities in which we operate.

Stanley Park, Vancouver, Canada

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2024

sustainable future.

Our Leadership

1 2 3

4 5 6 7 8

9 10 11

SENIOR MANAGEMENT

BOARD OF DIRECTORS

12

15

13

16

14

17

12 David E. De Witt

Chairman

13 John P. A. Budreski

Independent Director

14 Vera Kobalia

2024

Independent Director

15 Elif Lévesque

Non-Independent Director

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16 Mary L. Little

Independent Director

17 Andrew T. Swarthout

Independent Director

1 Nolan Watson

Non-Independent Director

2 David Awram

Non-Independent Director

Company

Corporate Impact

TCFD

Investment Decisions

Mining Partners

Portfolio Map

Producing Assets Development Assets

Exploration Assets

‌

Business Model

Sandstorm Gold Royalties provides an alternative source of capital to the mining industry in the form of stream and royalty financing arrangements. In exchange for

upfront capital, Sandstorm receives a portion of the future metal or revenue generated from a mining operation,

for the life of the mine. Sandstorm does not directly own or operate mining projects and thus has no direct exposure to ESG issues. However, indirect exposure can arise during the life-cycle of a resource project, and Sandstorm mitigates these risk factors in part through portfolio diversification. There is no evidence of a statistical relationship or positive correlation between the ESG successes and challenges at the various mining

projects within Sandstorm's royalty portfolio, indicating a clear diversification benefit to this portfolio approach.

Sandstorm is committed to furthering sustainable development in the mining and metals industry through its investments and seeks to address

ESG risks through the Company's due diligence process that guides its investment decisions.

HOW A GOLD ROYALTY WORKS

A gold royalty is a contract that gives the owner (i.e. a gold royalty company) rights to a portion of the final product. This can be a percentage of revenue or actual gold production (called a "stream"). Gold royalty companies pay an upfront sum for royalty rights and use these contracts to finance mining companies in need of capital. Since royalties typically cover the life of a mine, gold royalty companies benefit from the exploration upside that may extend the life of the mine and increase the amount of gold (or revenue) they receive from the mine at no additional cost.

230

2024

Streams and Royalties

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40

Cash Flowing Assets

Company

Corporate Impact

TCFD

Investment Decisions

Mining Partners

Commitments and Ratings

Sandstorm Gold Royalties is continuously graded on ESG efforts by some of the world's most reputable agencies.

In addition, Sandstorm has voluntarily committed to certain regulatory bodies and member groups that work to promote sustainability best practices on a global scale.

"AA" MSCI Rating

MSCI

MSCI creates industry-leading, research enhanced solutions that investors use to gain insight into and improve transparency across the investment process. Each year, MSCI provides rankings for corporations in a wide range of industries in order to grade companies on their ESG efforts.

In 2024, Sandstorm maintained its "AA" rating with MSCI. This is the fourth year in a row that Sandstorm has achieved this rating.

The use by Sandstorm of any MSCI ESG Research LLC or its affiliates ("MSCI") data, and the use of MSCI logos, trademarks, service marks or index names herein, do not constitute a sponsorship, endorsement,

recommendation, or promotion of Sandstorm by MSCI. MSCI services and data are the property of MSCI or its information providers, and are provided 'as-is' and without warranty. MSCI names and logos are trademarks or service marks of MSCI.

ISS ESG CORPORATE

"Prime" by ISS ESG Corporate

PRIME

The Institutional Shareholder Services group of companies (ISS) empowers investors and companies to build for

long-term and sustainable growth by providing high-qual-ity data, analytics and insight. As one of ISS' companies, ISS ESG enables investors to develop and integrate responsible investing policies and practices, engage on responsible investment issues, and monitor portfolio

company practices through screening solutions. It also provides climate data, analytics, and advisory services to help financial market participants understand, measure, and act on climate-related risks across all asset classes. In addition, ISS ESG covers corporate and country ESG research and ratings enabling clients to identify material social and environmental risks and opportunities.

In 2024, Sandstorm attained a "Prime" rating with ISS ESG Corporate.

"Low Risk" by Sustainalytics

Sustainalytics

Sustainalytics' ESG Risk Ratings measure a company's exposure to industry-specific material, ESG risks and how well a company is managing those risks. This

multi-dimensional way of measuring ESG risk combines the concepts of management and exposure to arrive at an assessment of ESG risk (i.e., a total unmanaged ESG risk score or the ESG Risk Rating) that is comparable across all industries. Sustainalytics' ESG Risk Ratings provide a quantitative measure of unmanaged ESG

risk and distinguishes between five levels of risk: negligible, low, medium, high and severe. Sandstorm Gold Royalties is in the top rankings by Sustainalytics.

Copyright © 2024 Morningstar Sustainalytics. All rights reserved. This 2024 Sustainability Report contains information developed by Sustainalytics (https://www.sustainalytics.com). Such information and data are proprietary

2024

of Sustainalytics and/or its third party suppliers (Third Party Data) and are provided for informational purposes only. They do not constitute an endorsement of any product or project, nor an investment advice and are not warranted to be complete, timely, accurate or suitable for a particular purpose. Their use is subject to conditions available at https://www. sustainalytics.com/legal-disclaimers.

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World Gold Council

Sandstorm is a member of the World Gold Council; a community of members in the gold industry who are committed to responsible corporate practices. Members of the World Gold Council are required to commit to the Council's Responsible Gold Mining Principles, which outline several corporate responsibility measures as they relate to ESG matters. As a royalty company that does not

Company

Corporate Impact

TCFD

Investment Decisions

Mining Partners

World Gold Council's Responsible Gold Mining Principles

1

4

7

Ethical Conduct Health and Safety

Working with

Communities

9

Water, Energy and

Climate Change

2

Understanding

Impacts of Mining

5

Human Rights

and Conflict

8

Environmental

Stewardship

10

Biodiversity, Land Use

and Mine Closure

3

6

Supply Chain Labour Rights

operate mines, Sandstorm has agreed to endorse these principles and ensure that the Company's due diligence process reflects these commitments. Sandstorm's existing portfolio of royalties already includes several projects owned and operated by World Gold Council members.

UN Global Compact

The UN Global Compact aims to mobilize a global movement of sustainable companies and stakeholders by aligning their strategies and operations with 10 principles on human rights, labour, environment, and anti-corrup-tion. Sandstorm joined the UN Global Compact in 2020, committing to incorporate the spirit of these 10 principles into our corporate strategies, policies, and procedures.

HUMAN RIGHTS

1 Businesses should support and respect the protection of internationally proclaimed human rights; and

2 Make sure that they are not complicit in human rights abuses.

LABOUR

3 Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining;

4 The elimination of all forms of forced and compulsory labour;

5 The effective abolition of child labour; and

6 The elimination of discrimination in respect of employment and occupation.

ENVIRONMENT

7 Businesses should support a precautionary approach to environmental challenges;

8 Undertake initiatives to promote greater environmental responsibility; and

9 Encourage the development and diffusion of environmentally friendly technologies.

ANTI-CORRUPTION

10 Businesses should work against corruption in all its forms, including extortion and bribery.

Sustainability-Linked Credit Facility

In 2021, Sandstorm became the first royalty company with a credit facility linked to sustainability goals. The ESG revolving loan incorporates sustainability-linked incentive

pricing terms that allow Sandstorm to reduce the borrowing costs as certain sustainability performance targets are met.

The performance targets, which were all met by the 2024 deadline, are based on the following ESG goals of the Company:

2024

Ƚ Achieve a certain percentage of producing assets reporting under sustainability and climate-related standards;

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Ƚ Maintain or improve an MSCI ESG rating of "A"; and

Ƚ Maintain or improve diverse representation at the senior management and Board levels.

With this credit agreement, Sandstorm is helping to lead a new era of corporate lending that benefits shareholders while promoting corporate responsibility.

‌Corporate Impact‌

Ride to Greenstone, Equinox Gold

Social Initiative

‌Ride to Greenstone Strengthening Local Communities

To celebrate the official opening of the Greenstone mine, one of the newest and largest gold mines in Canada, Equinox Gold embarked on the Ride to Greenstone to mark this important milestone. The 24-day, 3,634 kilometre bike relay began

in Vancouver, British Columbia, on August 5, 2024, and concluded on August 28, 2024, at the opening

ceremony of the Greenstone mine in Geraldton, Ontario. Construction at Greenstone began in 2021, and the mine achieved its first gold pour in May 2024, followed by commercial production in November 2024.

The Ride to Greenstone's main objectives were to raise funds for the Geraldton District Hospital in addition to securing donations for

charities and community investments at Equinox's other operations. The event raised over C$1.3 million for the Geraldton Hospital, which serves a 2,767 square kilometre area, including five Indigenous communities

and the mine's workforce.

Sandstorm demonstrated its commitment to social responsibility and community well-being as a Gold Sponsor for the event, contributing C$100,000 to support the Geraldton Hospital. Generous donations from Sandstorm and other industry leaders showcased the mining sector's dedication in supporting sustainable development and making a meaningful difference in the communities where they operate.

By supporting this initiative, sponsors highlighted their leadership in advancing positive change, strengthening engagement and fostering sustainable development within

the mining industry and beyond. The Ride to Greenstone served as a powerful example of how collaboration can create lasting benefits for healthcare and community

2024

development in local communities.

Geraldton District Hospital

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Crossing the finish line at Greenstone Mine Tour of Geraldton District Hospital with

Equinox Gold

Social Initiative

‌Corina dos Anjos Ferreira School Focus on Child Literacy

As part of the Ride to Greenstone fundraiser, more than C$124,000 was raised in support of schools and healthcare facilities near

Equinox Gold's operations in Brazil. Sandstorm donated C$25,000 as a Gold Sponsor to help improve a local school near the Aurizona mine.

The Corina dos Anjos Ferreira School is located in Luis Domingues, a neighboring municipality near

the Aurizona mine. The school was built in 1975 and serves 160 children between the ages of six to eight. While the school receives municipal and federal funding, it still faces significant structural and resource challenges, such as

inadequate facilities, limited accessibility, and lack of classrooms.

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With funds raised from the Ride to Greenstone, the school will be able to undertake essential upgrades, including a library with a reading room, new classrooms, accessible

bathrooms, and improved cafeteria facilities. These enhancements will ensure a safe, inclusive,

and enriching environment for literacy and development.

Sandstorm's contribution underscores the mining industry's broader commitment to social responsibility, education, and sustainable development. By investing in education and supporting improvements at Corina dos Anjos Ferreira, Sandstorm and its partners are not only improving access to educational opportunities but

also strengthening ties between the Aurizona mine and the local community. This initiative demonstrates how the mining industry can play a pivotal role in fostering long-term community well-being, contributing not only to economic growth but also to social progress.

The Corina dos Anjos Ferreira School near the Aurizona mine

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On the road during the Ride to Greenstone Ride to Greenstone cyclists

Company

Corporate Impact

TCFD

Investment Decisions

Mining Partners

Sandstorm has policies and programs in place to manage the ESG risk factors that are directly related to the Company. These policies and programs are regularly reviewed by the Company's Corporate Social Responsibility ("CSR") Committee, which reports directly to the Sustainability Committee, led by members of the Board of Directors, to which the CSR committee will report to and meet with a minimum of twice a year. The social policies and programs discussed in this section are reflective of Sandstorm's commitment to a high standard of employee management practices including a safe and inclusive workplace, competitive compensation and benefits, training and learning opportunities, and channels for employee engagement.

Sandstorm seeks to incorporate industry best practices with regards to governance and is committed to conducting its business with integrity, maintaining high ethical standards, and contributing to the community in which it operates.

Additionally, Sandstorm continues to report under the Task Force on Climate-Related Financial Disclosures ("TCFD"), included later in this report.

Materiality Assessment

The topics and content of this report are determined through a materiality assessment. 2024 is the second year that Sandstorm has disclosed its material topics, and the process of determining these will continue to be assessed each year with engagement from internal and external stakeholders, including interviews with employees and select board members.

Sandstorm's materiality assessment considers "double materiality" to identify those issues that have an impact on the Company, as well as whether they have an impact on the environment and society.

"Sandstorm is dedicated to managing ESG risk factors through robust policies and programs. In 2024, we continued to enhance our ESG performance

and disclosures, solidifying our commitment to sustainability and governance best practices. With a focus on integrity, inclusivity, and community impact, Sandstorm strives to lead in governance, ethical practices, and employee engagement while maintaining high reporting standards for transparency and accountability."

Sarah Ford

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2024

VP, Financial Analysis & Sustainability

Company

Corporate Impact

TCFD

Investment Decisions

Mining Partners

MATERIAL TOPICS

ESG Strategy

Sandstorm's team has worked to build a company with the highest standards in terms of integrity, diversity, and

making a positive global impact. The Company incorporates various goals and high-priority material topics, as identified through in the materiality assessment previously above.

The key components of Sandstorm's ESG strategy include:

DUE DILIGENCE

Conduct extensive due diligence prior to investment decisions and ongoing monitoring of existing assets within the portfolio to ensure adherence to responsible mining practices. For more information, refer to the Due Diligence disclosures, found on page 36.

CLIMATE CHANGE

Conduct the business in a sustainable manner that protects the environment and, where possible, exercise influence

to help mining partners achieve climate-related goals. Sandstorm has set a goal to achieve net-zero carbon emissions, including both direct emissions and indirect emissions

through relationships with mining partners, by 2035.

SOCIAL CONTRIBUTIONS

Support and give back to the communities in which Sandstorm and our mining partners live and operate. Sandstorm has committed to several projects, as highlighted on page 12 and page 13. Sandstorm will continue to support community investment in 2025.

HEALTH & SAFETY

Encourage the health, safety, and well-being of all employees by equipping employees with various training, tools, and resources.

DIVERSITY, EQUITY & INCLUSION

Foster an environment that prioritizes diversity, equity, and inclusion. Sandstorm set the goal in 2021 to have 50% of its senior staff be considered a Diverse Person by 2024, which was achieved by the end of 2023. In 2024, 59% of senior management was considered a Diverse Person (see page 21 for more information and definition of "diverse persons").

Environment

As the Company operates in an office environment, Sandstorm's direct environmental impact and carbon footprint is relatively small. Regardless of the size and nature of our operations, we believe

2024

it is important to report on Sandstorm's annual emissions output in the spirit of transparency and working towards a more sustainable future.

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The Company's head office is situated in a LEED Platinum certified building in Vancouver, British Columbia, Canada. The LEED Canada rating system applies a rigorous, internationally recognized standard measuring and evaluating the effectiveness of a property's sustainable practices and policies in a range of green categories,

with Platinum being the highest certification available.

LEED addresses whole-building cleaning, general maintenance issues, recycling programs, exterior maintenance, and systems upgrade or modernization.

Sandstorm occupies approximately two floors in the Vancouver head office building, as well as a small office space in Toronto, Ontario. With a relatively small workforce, the Company's environmental impact is limited. As an office-based company, Sandstorm does not have Scope 1 emission activities or sources within the Company's operational control to report, nor are there other emissions typically disclosed by mining companies, such as emissions from nitrogen oxides,

sulfur oxides, particle matter, volatile organic compounds or any hazardous waste. Sandstorm has established a methodology for measuring Scope 3 greenhouse gas emissions (GHG) from mining partner operations, which are included as part of the Company's emissions reporting.

Emissions Activities

The Company has a robust composting and recycling program that is utilized by all employees. Sandstorm strives to reduce its direct GHG emissions and offset all Scope 2 emissions through the use of carbon credits. In 2024, Sandstorm achieved its target of becoming fully carbon neutral. For more information, refer to the Targets section within the TCFD reporting, found on page 33. The Company does not have any savings or profits achieved as a result of its energy conservation programs. As a small office-based company in a larger building, Sandstorm does not have any opportunities to reduce either energy consumption from non-re-newable sources or set waste reduction targets. The Company has no direct wastewater discharge.

SCOPE 2 (LOCATION BASED) 1

Utility 2023 2024

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Front entrance of the Vancouver Centre II office tower, a LEED Platinum certified building. (GWL Realty Advisors)

Company

Corporate Impact

TCFD

Investment Decisions

Mining Partners

Annual CO₂e Emissions (in Metric Tonnes)

Scope 2

Scope 3 1

387.2

276.6

170.5

135.7

1. Excludes Scope 3 emissions attributable to mining partners.

2021

2022

2023

2024

SCOPE 3 (TRAVEL) 1

2022 2023 2024

SCOPE 3 (ATTRIBUTABLE TO MINING PARTNERS) 1

2022 2023

‌Social

Sandstorm is committed to retaining, developing, and investing in a highly skilled and engaged workforce. As a result, Sandstorm's retention rate across the company was 93%, and 100% for senior management in 2024.

Sandstorm's social practices were developed to ensure a safe, inclusive workplace for employees. Social practices can be considered in three categories: Labour Management (including Health and Safety), Communication & Collaboration, and Diversity Inclusion. Sandstorm employees completed an employee satisfaction survey in 2025 with a 93% completion rate, and of which 89% of employees stated

that they felt valued by the Company for their contributions. The following is an overview of Sandstorm's social practices.

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Imola Götz, Sandstorm's VP, Mining & Engineering

Health & Safety

Sandstorm has 29 full-time employees working in office spaces located in Vancouver and Toronto. As an office-based organization, Sandstorm has tailored its emergency preparedness procedures and training to the region

where each office is located. Sandstorm follows safe work practices, which includes a designated Floor Warden, who completes an annual safety certification for both fire and earthquake preparedness. The Health & Safety Policy provides a guiding framework for ensuring a safe workplace for employees. The aim of the Policy is to keep employees safe by ensuring compliance with legal and regulatory requirements and to minimize exposure to health and safety risks. As Sandstorm's principal activity is providing financing to other businesses in the mining industry, the Company's exposure to health and safety risks is limited.

Notwithstanding, certain employees travel extensively to visit mining operations to conduct due diligence and

scheduled audits. The Health & Safety Policy necessitates compliance with applicable legal and regulatory health and safety requirements of the jurisdictions in which employees operate and sets out standards for a safe work environment, including a workplace free from injuries, violence, and harassment. Sandstorm's health and safety performance is reviewed annually by the Company's CEO.

Sandstorm, including all employees and contractors, has had no workplace injuries, near-miss injuries, occupational diseases, or work-related fatalities since it began operations.

Beyond the confines of the Company, affiliates, and employees, Sandstorm is opposed to activities which cause, support, or benefit unlawful armed conflict or contribute to serious human rights abuses or breaches of international humanitarian law. Such abhorrent activities include forced labour or child labour, and any activity that seriously endangers the health and safety of its workers or the surrounding community.

2024

Health and Safety Policy

Health & Wellness Program

Sandstorm's employee health and wellness program encourages active, healthy lifestyles. Sandstorm subsidizes fitness related costs for all employees and provides access to an office fitness center. The Company also provides extended health benefits, which include coverage for health prescriptions, vision, and dental costs, as well as resources for mental health.

Nolan Watson, Sandstorm's President & CEO

Workplace Bullying & Harassment

Sandstorm is committed to creating and maintaining a workplace environment that fosters mutual respect,

integrity, and professional conduct. In keeping with this commitment, the Company has established a Workplace Bullying & Harassment Policy and a set of reporting/ investigation procedures for all employees relating to the issue of workplace bullying and harassment. The Company does not tolerate bullying or harassment

in the workplace and makes every reasonable effort to prevent and eliminate such conduct.

Workplace Bullying & Harassment

Human Rights

Sandstorm respects and supports the Universal Declaration of Human Rights and strives to ensure that the Company is not complicit in human rights abuses. In 2021, Sandstorm's Code of Business Conduct and Ethics was updated to better align company policy with the UN Global Compact by

adding provisions outlining the Company's commitment to human rights, fair practice and freedom of association, collective bargaining and our support for the abolition of forced labour and child labour, as well as other provisions. As a member of the World Gold Council, Sandstorm endorses the Conflict-Free Gold Standard and Responsible Gold Mining Principles, which include principles regarding the human rights of our workforce, affected communities, and all those people with whom we interact.

In accordance with the Canadian Charter of Rights and Freedoms, Sandstorm is supportive of the fundamental freedoms of employees (and of all individuals), including the freedom of thought, belief, opinion

and expression, the freedom of peaceful assembly, and the freedom of association. None of Sandstorm's employees are organized by a trade union or labour union. As a participant in the UN Global Compact, Sandstorm supports the right to collective bargaining.

Sandstorm works alongside the mining partners and operators to ensure that their approach to human rights and other policies are aligned with the Company's. Periodic site visits are conducted by Sandstorm employees to observe any issues such as health and safety incidents or community grievances that might indicate human rights concerns.

2024

Sandstorm's suppliers are primarily Canadian-based companies. The Company strives to work with high quality companies that are not complicit in human rights abuses. This includes ensuring that suppliers are not involved in forced labour and child labour, as well as other provisions. Canada's Bill S-211, known as the Fighting Against Forced Labour and Child Labour in Supply Chains Act, aims to combat modern slavery in the form of forced labour and child labour. Public Safety Canada has recently provided guidance on the application of the Act to companies, which potentially excludes Sandstorm and its business from reporting under the Act. However, the Company has concluded that Sandstorm will continue

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to prepare an annual report for 2024 documenting the process to minimize the risk of forced or child labour within Sandstorm's operations and supply chain.

There have been no human rights allegations related to Sandstorm in the history of the Company.

Social Initiative

A Commitment to High-Quality Education in Sierra Leone

Since 2016, Nations Cry has been committed to providing high-qual-ity education to students in Sierra Leone, with a focus on girls and orphans who might not otherwise have access to schooling. Founded by Sandstorm's President and CEO, Nolan Watson, Nations Cry operates

Pathway Academy, a junior and senior secondary school in Benguema,

Sierra Leone. Today, the school serves more than 600 students each year, equipping them with the knowledge and skills needed to build a better future. By breaking down barriers

to education, this organization is helping to disrupt the cycle of

poverty and create lasting change in West Africa. Since its founding,

Pathway Academy has graduated hundreds of students, many of whom have pursued higher education and leadership roles in their communities. Nations Cry is focused on ensuring students have access to qualified teachers, essential learning materials, and the resources they need to pursue

Pathway Academy

meaningful careers. The organization is also developing initiatives to support post-secondary education and employment pathways, helping graduates transition into impactful roles across various industries.

Many Sandstorm employees have embraced the mission and values of Nations Cry and contribute to the organization through monetary means as well as volunteering their time after work and on weekends

to support Nations Cry's initiatives. At Sandstorm, we recognize that education is one of the most powerful tools for breaking cycles of poverty and driving long-term change.

Pathway Academy graduates are not only building brighter futures for themselves but also creating a positive impact throughout Sierra Leone. By supporting Nations Cry, we are investing in the future of West Africa and empowering young

leaders who will shape the continent's development for generations to come.

Investing in the future.

Education is a powerful tool that breaks cycles of poverty and drives long-term change.

More than 600 students attend Pathway Academy every year

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2024

Pathway Academy students 20

‌Diversity

Sandstorm is committed to creating and maintaining a culture of workplace diversity. "Diversity" is any dimension that can be used to differentiate groups and people from one another, and it means the respect for and appreciation of the differences in gender, age, ethnic origin, religion, education, sexual orientation, political belief, and disability.

Sandstorm recognizes the benefits arising from employee and board diversity, including a broader pool of high-quality employees, improving employee retention, accessing different perspectives and ideas, and benefiting from all available talent.

By fostering an environment that promotes and values diversity, Sandstorm enhances its effectiveness through broadening its scope of experiences, skills, talents, and knowledge. Sandstorm is proud of the various initiatives offered to employees to ensure a diverse workforce, which include working from home, flexible work arrangements, sick day coverage, and a wheelchair accessible office.

Employee Age

as of December 31, 2024

Employee Gender Identity

as of December 31, 20241

14%

7%

7%

48%

21%

51%

20-29

30-39

40-49

50-59

60+

52%

Male

Female

1. Excludes survey responses that did not disclose gender identity.

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2024

Sandstorm also has a parental leave policy, which provides a top-up payment for 26 weeks, available to all employees of the Company.

Sandstorm defines "Diverse Persons" as individuals designated under the Employment Equity Act, which includes women, Aboriginal peoples, persons with disabilities, and members of visible minorities. As

at December 31, 2024, 59% of the Company's senior management, including Board of Directors and Officers of the Company, identified as a Diverse Person.

As at December 31, 2024, the Board of Directors was 38% female and 25% identified as racially or ethnically diverse. Across the Company, 48% identified as female and 44% identified as racially or ethnically diverse1.

1. Percentages determined based on the self-identification of employees via an anonymous survey, excluding responses that did not disclose gender identity. Percentages were calculated from the results, which had a 93% completion rate.

Diversity Policy

‌Governance

Sandstorm takes seriously the ethical nature of corporate governance practices and has put in place various measures to ensure the Company conducts its affairs at the highest standard. Below are Sandstorm's corporate governance policies that relate to corruption and instability as well as descriptions of various committees, policies, and programs that have been implemented to ensure governance best practices.

CODE OF BUSINESS CONDUCT AND ETHICS

The Sandstorm Code of Business Conduct and Ethics (the "Code") is intended to document the principles of conduct to be followed by Sandstorm employees, officers, directors and contractors. Its purpose is to:

1 Promote honest and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships;

2 Promote avoidance of conflicts of interest, including disclosure to an appropriate person of any material transaction or relationship that reasonably could be expected to give rise to such a conflict;

3 Promote full, fair, accurate, timely and understandable disclosure in reports and documents that Sandstorm files with, or submits to, the securities regulators and in other public communications made by Sandstorm;

4 Promote compliance with applicable governmental laws, rules and regulations;

5 Promote the prompt internal reporting to an appropriate person of violations of the Code;

6 Promote accountability for adherence to the Code;

7 Provide guidance to employees, officers and directors to help them recognize and deal with ethical issues;

8 Provide mechanisms to report unethical conduct; and

9 Help foster Sandstorm's culture of honesty and accountability.

All directors, officers, and employees, including Sandstorm's subsidiaries, are required to adhere to the Code and to confirm their understanding and acceptance of the Code.

Directors and officers are further required to confirm their understanding and acceptance of the Code on an annual basis.

Sandstorm's policy of fair dealing extends to supplier relationships and forbids kickbacks and rebates. Throughout our history, there have been no reported incidents of

corruption, allegation of fraud, executive misconduct or insider trading. In addition, Sandstorm has not faced any fines and /or non-monetary sanctions for non-compliance and/or regulations.

Code of Business Conduct and Ethics Policy

Code of Business Conduct and Ethics Policy (Consultants)

ANTI-CORRUPTION

Sandstorm expects its employees, officers, directors, and contractors to promote honest and ethical behavior, to avoid conflicts of interest, to comply with governmental laws and applicable rules and regulations, and

to help foster the Company's culture of honesty and accountability. To this end, Sandstorm has outlined a comprehensive bribery and fraud prevention program which covers topic areas such as bribery, fraud, conflict of interest, administrative corruption, facilitation payments, breach of duty, misuse of authority, and criminal activity. All employees, officers, directors and

contractors are required to read and sign the policy in order to evidence that they understand and agree to conduct their work in accordance with the terms of the policy.

Bribery & Fraud Prevention Program

WHISTLEBLOWER

The Company's whistleblower policy allows for the anonymous submission of any concerns regarding questionable accounting or auditing matters or violations of the Company's Code of Business Conduct and Ethics.

2024

Employees may submit concerns directly to the audit committee using either the whistleblower hotline (a confidential, anonymous and toll-free telephone line available 24 hours a day, 7 days a week) or via mail or email. The Audit Committee reviews and investigates each complaint and takes appropriate corrective actions.

To date, the Company has received one complaint in the history of the Whistleblower hotline, and no

Sustainability Report

complaints in 2024. The complaint received was not specific to Sandstorm, but was issued to multiple companies as a potential concern regarding specific Canadian and United States securities laws requirements. In accordance with Sandstorm's protocols set forth in the Whistleblower Policy, the Audit Committee reviewed the complaint, and based on procedures and

policies that were already in place at Sandstorm, it was determined that Sandstorm was in compliance with these requirements, and no further action was required.

Whistleblower Policy

DISCLOSURE POLICY

The communications and corporate disclosure policy is intended to assist Sandstorm in fulfilling its obligations to ensure that all information relevant and material to the Company's shareholders and

the market is disclosed in a timely manner.

Communications and Corporate Disclosure Policy

STAKEHOLDER AND SHAREHOLDER COMMUNICATION

Sandstorm engages with several internal and external stakeholder groups. The four main stakeholders that Sandstorm has identified are employees, external agencies (including lenders, insurers, ESG ratings, proxy organizations, etc.), mining partners, and shareholders.

Engagement with employees includes individual and team meetings, professional development sessions and internal policies. Engagement with external agencies includes quarterly and annual reporting, supplementary reporting obligations, surveys and questionnaires, and one-on-one meetings.

Mining partners engagement can vary, depending on the size of the partner and the continuing relationship that Sandstorm has with them. These can include one-on-one meetings, site visits, ongoing reporting obligations, and due diligence processes.

Sandstorm believes it is important to have regular and constructive engagement directly with our shareholders to allow and encourage shareholders to express their views on governance matters directly to the Board outside of annual meetings. These discussions are intended to be

an interchange of views about governance and disclosure matters that are within the public domain and will

not include a discussion of undisclosed material facts or material changes. The Board continues to develop

practices to increase engagement with shareholders as is appropriate for Sandstorm's shareholder base and size. The Board recognizes that shareholder engagement is an evolving practice in Canada and globally and will review

the Company's shareholder engagement annually to ensure that it is effective in achieving the Company's objectives.

Sandstorm engages with both current and potential future shareholders through quarterly and annual reporting, the annual general meeting, one-on-one meetings, industry conferences and meetings, conference calls, and webinars.

Shareholders and other interested parties may communicate with any member of the Board of Directors, including the Chair of the Board, and the independent directors as a group by contacting our Investor Relations team at 733 Seymour Street, Suite 3200, Vancouver, BC, Canada V6B 0S6, or at [email protected].

INFORMATION SECURITY

Sandstorm's information systems, and those of its counterparties under the precious metal purchase agreements and vendors, are vulnerable to an increasing threat of continually evolving cyber security risks. To help mitigate these risks, the Company has an ongoing Cyber Awareness program, which began in 2019, as well as cyber security insurance.

Sandstorm's cyber security program is aligned to the National Institute of Standards and Technology Cyber security framework and best practices.

Each year, the Company expands its cyber security program to include additional items such as disaster recovery simulation, penetration tests, and vulnerability assessments to ensure the Company remains proactive in mitigating cyber security risks.

The Cyber Awareness program is facilitated by experts in the field providing an ongoing reassessment of cyber risk that the Company may be exposed to. The program

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provides annual training and simulations to all Sandstorm employees, educating employees of potential risks and how to reduce these risks. Training is required of all employees and in 2024, Sandstorm achieved a 100% completion

Sustainability Report

rate for all employees. The Company's Cyber Awareness program also assesses new risks and Sandstorm's exposure to ongoing risks including social engineering and phishing emails. The CFO is provided with a monthly update on

the program, and the Disclosure Committee reviews any significant changes or updates as they occur. The Audit Committee is updated on an annual basis, or as needed, for all information security activity. Sandstorm has not experienced a security breach in the previous four years.

COMPENSATION AND BENEFITS

Sandstorm offers comprehensive compensation and benefits packages and broad-based professional development and training opportunities for its employees. The following principles guide the Company's overall compensation philosophy:

Ƚ Compensation is determined on an individual basis by the need to attract and retain talented high-achievers;

Ƚ Calculating total compensation is set with reference to the market for similar jobs in similar locations;

Ƚ An appropriate portion of total compensation is variable and linked to achievements,

both individual and corporate;

Ƚ Internal equity is maintained such that individuals in similar jobs are treated fairly; and

Ƚ The company supports reasonable expenses in order that employees continuous-

ly maintain and enhance their skills.

Board of Directors

Corporate Governance

and Nominating Compensation Audit Committee Committee Committee

Sustainability Committee

David E. De Witt

Independent, Chairman

John P.A. Budreski

Independent

Andrew T. Swarthout

Independent

Mary Little

Independent

Vera Kobalia

Independent

Elif Levesque

Non-independent

Nolan Watson

Non-independent

David Awram

Non-independent

Committee Chair

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All Sandstorm employees receive a base salary and are considered for incentive bonus compensation annually, at the Board's discretion. Stock-based compensation,

extended health benefits, dental benefits, and health and wellness benefits are also provided to all staff. Sandstorm provides a fair living wage to all employees. Professional development and training opportunities that are relevant to an employee's role are encouraged and are reimbursed by the Company. Sandstorm provides paid days off for training, as well as study leave for those employees who pursue additional education while employed by the Company.

In 2024, the Board of Directors has introduced a new internal policy relating to executive compensation, known as "Say on Pay", which gives

Shareholders a formal opportunity to provide their views on the executive compensation plans of the Company through an annual advisory vote.

Sandstorm also encourages its employees to volunteer and support charitable causes. A charitable donation matching program has been instituted for all employees, in addition to the charitable giving that Sandstorm gives as a company. Sandstorm is

not involved in any political lobbying activities, and did not make any political contributions in 2024.

AUDIT COMMITTEE

The primary function of the Audit Committee is to assist the Board of Directors in fulfilling its financial oversight responsibilities by reviewing the financial reports and other financial information provided by Sandstorm to regulatory authorities and shareholders, the Company's systems of internal controls regarding finance and accounting, and the Company's auditing, accounting and financial reporting processes. Consistent with this function, the committee will encourage continuous improvement of, and should foster adherence to,

Sandstorm's policies, procedures and practices at all levels. The Committee's primary duties and responsibilities are to:

Ƚ Serve as an independent and objective party to monitor financial reporting and internal control system and review of financial statements.

Ƚ Oversee the audit of financial statements.

Ƚ Review and appraise the performance of external auditors.

Ƚ Provide an open avenue of communication among auditors, financial and senior management and the Board of Directors.

Audit Committee Charter

CORPORATE GOVERNANCE & NOMINATING COMMITTEE

The Corporate Governance & Nominating Committee is in place to provide a focus on governance that will enhance Sandstorm's performance, to assess and make recommendations regarding the Board of Directors effectiveness and to establish and lead the process

for identifying, recruiting, appointing, re-appointing and providing ongoing development for Directors.

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Terms of Reference for the Corporate Governance and

COMPENSATION COMMITTEE

A Compensation Committee has been established by the Board of Directors of Sandstorm to assist the Board with ensuring that the Company has a compensation plan that is both motivational and competitive for executive

officers and other members of senior management so that it will attract, hold, and inspire performance of executive management of a quality and nature that will enhance the sustainable profitability and growth of the Company.

Terms of Reference for the Compensation Committee

SUSTAINABILITY COMMITTEE

The Company's Sustainability Committee has been established by the Board of Directors, acting on

the recommendation of the Company's Corporate Governance & Nominating Committee. The purpose of the Sustainability Committee is to assist the Company in overseeing environmental, sustainable and corporate responsibility/governance matters, consistent with corporate objectives and stakeholders' expectations.

Terms of Reference for the Sustainability Committee

Nominating Committee

‌Task Force on Climate-Related Financial Disclosures‌

Company

Corporate Impact

TCFD

Investment Decisions Mining Partners

Sandstorm is proud to be an industry leader in sustainability and recognizes the importance of continuing actions to reduce climate change. In addition to reporting our progress on Greenhouse Gases (GHG) and climate change in this Sustainability Report, Sandstrom also provides disclosure through CDP,

formerly known as the Carbon Disclosure Project. 2024 is the fourth year that Sandstorm has aligned its sustainability reporting with the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).

Governance

The organization's governance around climate-related risks and opportunities.

Sandstorm's Board of Directors, and relevant subcommittees, provide oversight on the Company's approach to climate change and overall ESG risks. Specifically, Sandstorm's Sustainability Committee, established in 2024, considers climate-related opportunities and risks affecting the business.

The following Board Committees have oversight of ESG and climate-related opportunities, risks, and disclosures.

SUSTAINABILITY COMMITTEE

The Sustainability Committee works with management to develop and recommend to the Board the Company's approach to ESG including climate-related issues, reviews the adequacy of ESG practices and policies and recommends changes to the Board, and approves the adoption of any ESG-related standards or initiatives.

Where applicable, the Sustainability Committee also engages with our stakeholders in respect of ESG issues.

AUDIT COMMITTEE

The Audit Committee oversees the Company's risk management, which includes climate change risks. This includes a review of key risks and exposures with a view to ensuring that such risks and exposures are being effectively managed, monitored, or mitigated by reviewing management's assessment.

The Sustainability Committee convenes a minimum of twice a year, and regularly meets with senior management to determine our strategy with respect to our risks and exposures. Management last provided an update to the Sustainability Committee and the

Board of Directors on ESG-related risks and strategies, including climate-related strategies, in early 2025.

The Board, and relevant subcommittees, oversee senior management, who are responsible for the execution

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of ESG and climate-related opportunities and for the management of ESG and climate-related risks. The CEO is responsible for the leadership on ESG and climate-related matters. Sandstorm's VP, Financial Analysis & Sustainability has executive responsibility over Sandstorm's ESG strategy, external ESG-related disclosures and internal reporting of ESG performance, trends, risk, and opportunities to the Sustainability Committee. ESG strategy, and managing climate-re-lated risks, is considered where applicable, in each

of the Company's departments, with specific consideration by the technical team when undergoing due diligence of new investment opportunities, as further discussed in this Sustainability Report on page 36.

‌The Board oversight and management leadership of ESG and climate-related issues is depicted in the chart below:

Sustainability Committee

Audit Committee

Senior Management

Chief Executive Officer

Board of Directors

Sandstorm's senior executives regularly attend Board meetings and provide updates on royalty acquisition opportunities, which include, where applicable, ESG and climate-related considerations. Where materially adverse ESG or climate-related considerations arise during the due diligence process, management and/or the Board may decide not to proceed with the royalty or stream investment opportunity. Over the past several years,

Sandstorm has rejected potential transactions valued at over $500 million, on the basis of ESG concerns.

Strategy

The actual and potential impacts of climate-related risks and opportunities on the organization's business, strategy, and financial planning.

As Sandstorm operates in an office environment, the Company's direct environmental impact and carbon footprint is small. Due to the nature of the business, Sandstorm is not directly exposed to the majority of climate-related risks that many mining operators face. However, the Company recognizes that climate-related risks are material for mining stream partners, and in some situations, can pass through to Sandstorm. Specifically, this can occur where climate-related incidents or developments adversely impact the production

at an operation, and therefore, the royalty payments received by the Company, and/or the reputation of the mining partner and thus Sandstorm's investment.

To manage these risks, Sandstorm screens for significant risks through the due diligence process before making an investment with any mining partner. The due diligence process helps assess risks and opportunities from climate change on our investments, where applicable.

Scenario Analysis

A scenario analysis is an important tool for the Company and its stakeholders to better understand the strategy for climate-related risks and opportunities and to assess how this strategy positions the Company in a low-carbon future. The TCFD recommends that companies conduct at least one climate scenario analysis at 2°C (i.e., average global temperatures of 2°C above pre-industrial levels) or lower to evaluate the potential resiliencies of strategic plans

and to identify options for increasing business resiliency to plausible climate-related risks and opportunities through adjustments to strategic and financial plans.

Sandstorm has opted to apply a 2°C scenario, focusing particularly on the implications and outcomes for existing streams and royalties, and the climate-related risks and investment opportunities relating to those commodities. The scenario analysis assumes that the Company's strategy will be focused upon increasing exposure to gold and other precious metals.

To guide this 2°C scenario analysis, Sandstorm has incorporated certain data and assumptions from the International Energy Agency's (IEA) 2020

Sustainable Development Scenario (the "SDS"), which are summarized below. The SDS demonstrates a

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path until 2050 to simultaneously achieve the three main energy-related UN Sustainable Development Goals on access, air pollution, and climate change.

Company

Corporate Impact

TCFD

Investment Decisions Mining Partners

2°C Scenario

HIGHLIGHTS AND ASSUMPTIONS

Ƚ By 2030, low-carbon sources of electricity account for almost two-thirds of total generation worldwide,

emissions intensity of industrial activity is 40% lower, and electric cars make up about 40% of new car sales.

Ƚ The proportion of renewables in global electricity generation grows from just over 25% in 2019 to more than 50% in 2030.

Ƚ Rapid progress is made in innovation and the deployment of low-carbon fuels and energy technologies.

Ƚ Investment in clean energy increases to $2.7 trillion in 2030. Nearly 70% of clean energy and grid investment to 2030 comes from private sources, with public finance and policy design playing a vital role in mobilizing it.

Ƚ Supported by government policy and the non-profit sector and the increase in decentralized energy solutions, universal access to energy is achieved by 2030.

Ƚ CO2 pricing is established in nearly all advanced economies. In addition, several developing economies are assumed to put in place schemes to limit CO2 emissions.

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2°C SCENARIO OUTCOME

Climate Risks

When evaluating new royalty opportunities, Sandstorm employs multiple due diligence methods, which assist in determining climate risks ranging from both short-term to long-term.

Sandstorm enters into agreements with mining partners that typically cover the life of a mine, often resulting in royalties that outlive the operators of an asset. Accordingly, Sandstorm defines time horizons in climate change risk management the following way:

Less than 5 years 5-10 years Over 10 years

The due diligence process is undertaken by Sandstorm's management team using a multi-disciplinary approach when evaluating potential transactions. The due diligence team consists of professionals with experience and expertise in the fields of geology, mining, metallurgy, engineering, and finance. By conducting a robust and detailed due diligence process, Sandstorm endeavours to invest in projects with a relatively low ESG and climate-re-lated risk. Where appropriate, the due diligence process will utilize the expertise of third-party consultants. During the due diligence process climate risks and opportunities may be identified, including potential impacts to an investment related to physical and transition climate change risks.

The table below outlines the physical and transition risks that could impact the operations of mining partners and the Company's results, many of

which are considered throughout the due diligence process and through ongoing monitoring.

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POTENTIAL FINANCIAL IMPACT