Vancouver, British Columbia, February 9, 2011 - Sandstorm Resources Ltd. ("Sandstorm") (TSX-V: SSL) is pleased to announce the commencement of commercial production at Luna Gold Corp.'s ("Luna") (TSX-V: LGC) Aurizona Gold Mine ("Aurizona"), located in Maranhão State, Brazil. Under the Gold Purchase Agreement with Luna, Sandstorm is entitled to purchase 17% of the life of mine gold produced from Aurizona at a per ounce price equal to the lesser of US$400 and the then prevailing market price.

Aurizona Gold Mine Status Highlights:

Gold Production for November 2010, December 2010 and January 2011 totaled 10,905 ounces

Combined 90-day average throughput rate in excess of 3,615 tonnes per day, including peak daily throughputs as high as 5,000 tonnes

Additional plant modifications to be completed in February and March 2011 will increase productive capacity and provide more consistency in production

Full production ramp-up to consistently produce 4,500 tonne-per-day capacity is on schedule to April 2011

On track to meet 2011 gold production guidance of 55,000 to 60,000 ounces

Gold is now being routinely produced and sold to customers globally
"I want to congratulate Luna on today's production milestone," said Sandstorm President & CEO Nolan Watson. "The Aurizona gold stream is one of Sandstorm's flagship assets and it is great news that Luna is on track to meet its 2011 production targets."

Luna continues to advance a number of initiatives to further enhance the economics at Aurizona with the aim to increase production capacity. To provide for this additional capacity Luna is undertaking major drill programs at Aurizona with the aim of increasing the resource base. There is potential for significant supplemental gold production from satellite deposits identified in the near mine area. As this successful ramp-up continues, Luna will focus on cost reduction and the acceleration of cash flows.


For more information on the Aurizona Gold Mine, please visit the Luna website at www.lunagold.com