Sprott Resource Corp. Announces Holdings in Virginia Energy Resources Inc.
TORONTO, Jan. 28, 2013 /CNW/ - Sprott Resource Corp. (TSX: SCP) - Sprott
Resource Corp. ("SRC") announced today that, through Sprott Resource
Partnership ("SRP"), it holds 9,444,815 common shares of Virginia Energy
Resources Inc. ("Virginia Energy"), which based on information contained in
documents publically filed by Virginia Energy, represents approximately 16.5%
of the total issued and outstanding common shares of Virginia Energy (the
Pursuant to Virginia Energy's previously announced private placement (the
"Placement"), which closed on January 25, 2013, SRP acquired ownership of
2,857,143 Shares at a purchase price of $0.42 per Share pursuant to a
subscription agreement dated January 14, 2013.
SRP acquired the Shares for investment purposes. SRP may purchase or sell
securities of Virginia Energy 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
This news release contains certain forward-looking information and statements
within the meaning of applicable securities laws. The use of any of the words
"expect", "intends", "anticipate", "continue", "estimate", "may", "will",
"project", "should", "believe", "plans" and similar expressions are intended
to identify forward-looking information and statements. In particular, but
without limiting the forgoing, this news release contains forward-looking
information and statements pertaining to SRC's and SRP's future intentions
regarding the purchase or sale of securities of Virginia Energy.
Forward-looking information or statements are based on a number of
expectations or assumptions which have been used to develop such information
and statements but which may prove to be incorrect, including, but not limited
to, expectations or assumptions regarding market conditions and other factors
material to the investment decisions of SRC and SRP. Although SRC believes the
expectations and assumptions reflected in such forward-looking information and
statements are reasonable, undue reliance should not be placed on
forward-looking information and statements because SRC can give no assurance
that such expectations and assumptions will prove to be correct. The
forward-looking information and statements included in this new release are
not guarantees of future performance and should not be unduly relied upon.
Such information and statements, including the assumptions made in respect
thereof, involve known and unknown risks, uncertainties and other factors,
which may cause actual results or events to differ materially from those
anticipated in such forward-looking information or statements, including,
without limitation, those listed under the heading "Risk Factors" in SRC's
annual information form dated March 27, 2012. Should one or more of these
risks or uncertainties materialize, or should assumptions underlying the
forward-looking information and statements prove incorrect, actual results,
performance or achievements could vary materially from those expressed or
implied by the forward-looking information and statements contained in this
news release. The forward-looking information and statements contained in this
news release speak only as of the date of this news release, and SRC does not
assume any obligation to publicly update or revise any of the included
forward-looking information or statements, whether as a result of new
information, future events or otherwise, except as may be expressly 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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CO: Sprott Resource Corp.
-0- Jan/28/2013 21:38 GMT
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