Sprott Resource Corp. Announces Variation of the Trading Parameters Set out in
the Company's Automatic Repurchase Plan
TORONTO, Dec. 19, 2012 /CNW/ - (TSX:SCP) - Sprott Resource Corp. ("SRC" or
the "Company") announced today that it has increased the maximum price at
which the Company will repurchase and cancel common shares as set out in its
Automatic Repurchase Plan (the "Plan") to $4.60 per share. The Plan,
previously put in place with a broker on September 4, 2012, was established in
connection with the Company's Normal Course Issuer Bid (the "Bid"), which
commenced on September 7, 2012, in order to facilitate purchases of SRC's
common shares under the Bid. The Plan permits SRC to provide standing
instructions to its broker as to how the Company's common shares are to be
repurchased, including during internal blackout periods and/or when the
Company is in possession of material non-public information. SRC did not
possess material non-public information about itself or its securities at the
time it increased the maximum price.
The Company believes that it is in the best interest of its shareholders to
purchase shares for cancellation when management believes they are trading at
a discount. SRC is of the view that, at appropriate times, repurchases through
the Bid can enhance shareholder value and represents an attractive investment
and an appropriate use of the Company's financial resources.
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
Sprott Resource Partnership (SRP), a partnership between SRC and Sprott
Resource Consulting Limited Partnership, an affiliate of SCLP which is the
managing partner of SRP.
Forward Looking Statements
Certain statements regarding SRC, including management's assessment of future
plans, may constitute forward-looking statements under applicable securities
laws and necessarily involve risk. SRC's actual results or achievements
could differ materially from those expressed in, or implied by, the
forward-looking statements. No assurance can be given that any events
anticipated by the forward-looking statements will occur. These
forward-looking statements, which are based on management's current
expectations, 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.
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-0- Dec/19/2012 12:00 GMT
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