Breaking News

Tweet TWEET

Sprott Resource Corp. Announces Holdings in Potash Ridge Corporation

Sprott Resource Corp. Announces Holdings in Potash Ridge Corporation 
TORONTO, Dec. 5, 2012 /CNW/ - Sprott Resource Corp. (TSX: SCP) - Sprott 
Resource Corp. ("SRC") announced today that, through Sprott Resource 
Partnership ("SRP"), it holds 16,144,746 common shares of Potash Ridge 
Corporation ("Potash Ridge"), which based on information contained in 
documents publically filed by Potash Ridge, represents approximately 19.9% of 
the total issued and outstanding common shares of Potash Ridge (the "Potash 
Shares"). 
Pursuant to Potash Ridge's previously announced initial public offering (the 
"Offering"), which closed on December 5, 2012, SRP acquired 2,944,746 Potash 
Shares at a purchase price of $1.00 per Potash Share (the "Offering Price"). 
Prior to the Offering, SRP owned 13,200,000 Potash Shares at an average 
purchase price of $0.52 per Potash Share. 
Concurrent with the closing of the Offering, SRC, through SRP, purchased 
5,055,254 units of Potash Ridge at a price of $1.00 per unit pursuant to a 
subscription agreement dated November 27, 2012. Each unit consists of one 
non-voting share in the capital of Potash Ridge (the "Potash Non-Voting 
Shares") and one warrant (the "Potash Warrants") to acquire one Potash 
Non-Voting Share exercisable at a price equal to the Offering Price for a 
period of two years following the closing of the Offering. The Potash 
Non-Voting Shares are convertible into Potash Shares on a one-for-one basis 
under certain circumstances, however the terms of the Potash Non-Voting Shares 
do not allow SRP to own more than 19.9% of the Potash Shares upon conversion. 
According to information contained in documents publically filed by Potash 
Ridge, the Potash Non-Voting Shares and Potash Warrants acquired by SRP 
represent 100% of such issued and outstanding securities. 
SRP acquired the Potash Shares, the Potash Non-Voting Shares and the Potash 
Warrants for investment purposes. SRP may purchase or sell securities of 
Potash in the future on the open market, in private transactions or otherwise, 
depending on market conditions and other factors material to the investment 
decisions of SRP. 
About Sprott Resource Corp. 
SRC is a Canadian-based company, the primary purpose of which is to invest and 
operate in natural resources. Through acquisitions, joint ventures and other 
investments, SRC seeks to provide its shareholders with exposure to the 
natural resource sector for the purposes of capital appreciation and real 
wealth preservation. SRC is well positioned to draw upon the considerable 
experience and expertise of both its Board of Directors and Sprott Consulting 
Limited Partnership (SCLP), of which Sprott Inc. is the sole limited 
partner. Pursuant to a management services agreement between SCLP and SRC, 
SCLP provides day-to-day business management for SRC as well as other 
management and administrative services. SRC invests and operates through 
SRP, a partnership between SRC and Sprott Resource Consulting Limited 
Partnership, an affiliate of SCLP which is the managing partner of SRP. 
Forward-looking information and statements 
Certain statements contained herein may constitute "forward-looking 
statements" or "forward looking information" under applicable securities laws. 
Some of the forward-looking statements may be identified by words such as 
"expects", "intends", "anticipates", "should", "believes", "plans", and 
similar expressions. Forward-looking statements, which are based on 
management's current expectations and assumptions, including statements with 
respect to SRC's and SRP's future intentions regarding the purchase or sale of 
securities of Potash Ridge, involve a number of risks and uncertainties. 
Actual results or achievements could differ materially from those expressed 
in, or implied by, these forward-looking statements. Factors that could cause 
actual results to differ from those expressed in, or implied by, these 
forward-looking statements include, without limitation, market conditions and 
other factors material to the investment decisions of SRC and SRP. No 
assurance can be given that any events anticipated by these forward-looking 
statements will occur. These forward-looking statements are made as at the 
date of this news release. SRC does not undertake any obligation to publicly 
update or revise any of these forward-looking statements, except as required 
by applicable securities laws. 
Stephen Yuzpe Chief Financial Officer Sprott Resource Corp. 200 Bay Street, 
Suite 2750 Toronto, Ontario M5J 2J2 Tel: (416) 977-7333 Fax: (416) 977-9555 
SOURCE: Sprott Resource Corp. 
To view this news release in HTML formatting, please use the following URL: 
http://www.newswire.ca/en/releases/archive/December2012/05/c6527.html 
CO: Sprott Resource Corp.
ST: Ontario
NI: MNG FIN  
-0- Dec/05/2012 18:36 GMT
 
 
Press spacebar to pause and continue. Press esc to stop.