The Copper Mountain mine is a large-scale, open pit copper-gold-silver mine, operated by Copper Mountain Mining Corporation. The mine is located 300 km east from the port of Vancouver, in southern British Columbia. Mining began in 2011 and with the recent addition of a secondary crusher to the project, the mine has been able to achieve production rates up to 40,000 tonnes per day from multiple open pits. During the full year 2016, Copper Mountain produced approximately 83 million pounds of copper, 30,800 ounces of gold and 291,900 ounces of silver.
Sandstorm has a 5.0% NSR on copper production, and a 2.5% NSR on all other metals produced from the Alabama and Virginia pits, located to the north of the Copper Mountain Superpit. The copper royalty is a sliding scale royalty and is a 5.0% NSR at copper prices above US$1.20 per pound. Sandstorm acquired the royalty as part of a transaction with Teck Resources Ltd. in January 2016.