Press Release

Sprott Resource Corp. Announces Third Quarter Results

TORONTO, Nov. 14, 2011 /CNW/ - (TSX: SCP) - Sprott Resource Corp. ("SRC" or the "Company") today announced its financial results for the three and nine month periods ended September 30, 2011.

"During the third quarter, the broad market decline and continued volatility drove energy prices down, despite the ongoing tightness in oil supply. We believe the fundamentals for this sector remain extremely compelling and that the recent downturn presents opportunities to invest in oil and gas producers at very attractive valuations," said Kevin Bambrough, Chief Executive Officer of the Company. "On this weakness, the Company continued to add to its position in Guide Exploration Ltd. ("Guide") (formerly Galleon Energy Inc.). We recently began a review of strategic initiatives for Waseca Energy Ltd. ("Waseca"). Since the end of 2010, Waseca's production has more than tripled to 3,400 barrels a day, which represents significant value creation for our shareholders."

"In the agriculture segment, One Earth Farms Corp. ("One Earth Farms") recently completed harvest operations on 96 thousand acres of cropland," said Steve Yuzpe, Chief Financial Officer of the Company. "The majority of the harvested crop is currently being stored for sale throughout the year as historically the average prices begin to trend up following the end of harvesting season."

Achievements by SRC and Subsidiaries in Q3 2011 (and to the date hereof):

Investment Portfolio

SRC added to its position in Guide and owns as of the date hereof approximately 18.2% of the total issued and outstanding common shares, based on information contained in documents publicly filed by Guide. As at September 30, 2011, SRC owned approximately 15.6% of the common shares. SRC has acquired the common shares of Guide for investment purposes. SRC may purchase or sell securities of Guide 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 SRC.
SRC purchased an option for $500,000 on November 11, 2011 to acquire an interest in a western United States coal deposit. After completion of the exploratory drilling, the Company may exercise the option and invest approximately $20 million over a period of two years, at the end of which SRC would own approximately 86% of the coal deposit.
As global and energy markets declined in the quarter, SRC suffered a substantial reduction of value in its investment portfolio, particularly in its portfolio investments in WestFire Energy Ltd. ("WestFire") and Guide. However, SRC management believes that the energy sector will remain strong despite the declines in this quarter.

Waseca

Exit rate of production increased 434% as at September 30, 2011 compared to the end of the third quarter of 2010, to 2,978 boe/d.
Drilled 26 wells in the third quarter, resulting in 24 wells put on production and 21 of the 24 wells sold oil in September, adding a combined 900 boe/d to Waseca's exit volumes.
Waseca recorded $10.8 million in net oil sales in the third quarter, a five-fold increase over the third quarter of 2010.
Waseca's oil sales generated a netback of $28.57 per boe in the third quarter, compared to $25.91 per boe in the same period last year.
On October 18, 2011, Waseca's Board of Directors initiated a process to identify, examine and consider a range of strategic alternatives available to maximize shareholder value and has retained the services of an independent investment bank to assist with this process. This process could result in a sale of Waseca or a material portion of its assets, or a corporate reorganization among other alternatives. There are no guarantees that the process will result in a transaction.

One Earth Oil & Gas Inc. ("OEOG")

Achieved production from the first well drilled in central Alberta and expects to tie the second well into production before the end of 2011.
Wrote off as dry holes three wells drilled and tested in the second quarter in northern Montana which showed hydrocarbons below economic viability. OEOG will carefully assess all future exploration and developments in northern Montana.

One Earth Farms

2011 harvest operations began in late August and as at September 30, the grain harvest was 69% complete. The harvest operation includes 96,000 acres of cropland, 14,000 acres of grassland for the cattle business, and 4,000 custom-farmed acres.
Recorded $4.6 million and $8.3 million in revenues for the three and nine month periods ended September 30, 2011, an increase of 86% and 73% respectively over the three and nine month periods ended September 30, 2010.
One Earth Farms has grown its total crop and pasture acres under management to 117,000 acres and 75,000 acres for the three and nine month periods ended September 30, 2011 compared to 68,000 acres and 24,000 acres respectively for the period ended September 30, 2010. The growth in pasture acres is required to support the increased cattle program in 2011.
Increased total livestock to 9,498 from 3,620 at December 31, 2010.

Stonegate Agricom Ltd. ("Stonegate Agricom") (TSX: ST)

SRC recorded an equity loss of $0.2 million and $2.4 million for the three and nine months ended September 30, 2011 respectively on its investment in Stonegate Agricom, primarily due to general and administrative expenses, stock based compensation expenses and foreign currency translation losses during the period. The Company's ownership of Stonegate Agricom was 32.7% as at September 30, 2011.
For the nine month period ended September 30, 2011, SRC realized a gain of $35.8 million on gross proceeds of $50.3 million on the sale of 28.8 million common shares of Stonegate Agricom.

SRC Q3 2011 Financial Highlights

The Company reported net income attributable to the shareholders of the Company of $20.4 million and $107.2 million respectively for the three and nine months ended September 30, 2011, or $0.18 and $0.95 per basic and diluted share respectively, compared to a net loss of $2.6 million and net income of $7.5 million respectively, or ($0.02) and $0.08 per basic and diluted share respectively, in the same time period in 2010.
On September 1, 2011, the Company received approval from the TSX to commence a Normal Course Issuer Bid ("2011 NCIB") to repurchase and cancel up to 9 million common shares, representing 9.87% of the unrestricted public float and 7.96% of the total number of issued and outstanding shares at that date. Subsequent to the end of the third quarter and as of the date hereof, the Company repurchased and canceled 299,800 common shares of SRC under its 2011 NCIB. For the nine months ended September 30, 2011, the Company repurchased and canceled 279,373 common shares under its prior year's Normal Course Issuer Bid. The Company believes it is in the best interest of its shareholders to purchase shares for cancellation when management believes they are trading at a significant discount relative to their value. As at September 30, 2011, the Company had 113,126,510 common shares issued and outstanding.
To ensure it has the financial flexibility necessary to be responsive to the needs of its subsidiaries and to capitalize on new opportunities, the Company continues to maintain significant cash and cash equivalents and other liquid and relatively liquid assets as evidenced by the partial balance sheet below:

		As at
(in thousands)		Sept. 30, 2011		Dec. 31, 2010		% Change

Unconsolidated current assets
	Cash and cash equivalents	$	37,606	$	59,512		-37%
	Gold bullion		114,603		105,597		9%
	Other current assets		703		1,478		-52%
Total		$	152,912	$	166,587		-8%

Unconsolidated working capital
	Current assets	$	152,912	$	166,587		-8%
	Current liabilities		(1,350)		(1,088)		24%
Total		$	151,562	$	165,499		-8%

Unrealized mark-to-market gains on Stonegate Agricom
	Stonegate Agricom - unrealized mark-to-market gains^1,2	$	30,076	$	102,701		-71%
Total		$	30,076	$	102,701		-71%

Portfolio investments
	Public investments (including WestFire)³	$	157,133	$	9,334		1583%
	Private investments³		55,509		56,723		-2%
Total		$	212,642	$	66,057		222%
1. Mark-to-market gains calculated as market value at the applicable valuation date less book (carrying) value.
2. In 2011 the Company has sold 28,750,000 common shares at a price of $1.75 per share for aggregate gross proceeds of $50.3 million. The Company has recorded a gain of $35.8 million on the sale. The Company currently holds 46,912,000 common shares (32.7% interest) in Stonegate Agricom.
3. Portfolio investments are recorded at the determinable market value for public and private companies at the applicable valuation date.

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 LP (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

This news release contains forward-looking statements including those relating to expected land to be farmed and harvested and grazed by One Earth Farms, expected oil and gas production and drilling plans by Waseca and OEOG, the purchase or sale of securities in Guide and the potential of the Cole Hill Uranium Project and Stonegate Agricom's Mantaro project and Paris Hills project. Forward-looking statements look into the future and provide an opinion as to the effect of certain events and trends on the business. These forward looking statements are based on current expectations and various estimates, factors and assumptions including: expected oil and gas production results from future drilling by Waseca and OEOG; expected rates of production by Waseca and OEOG; oil and gas reserves of Waseca and OEOG; the merger between Orion and WestFire Energy Ltd., including any anticipated benefits of such transaction; the successful crop harvest and purchase of cattle by One Earth Farms; the future price of uranium; expected mineral reserves and resources; results of Stonegate Agricom's exploration and drilling programs; and expectations regarding future legislative changes.

These forward-looking statements involve known and unknown risks, including, but not limited to: general economic, market and business conditions; fluctuations in oil and gas prices; the results of exploration and development drilling and related activities; the uncertainty of reserve and resource estimates; changes in environmental and other regulations; risks associated with oil and gas operations; weather risk associated with farming operations; operational risk associated with farming; mining risks; commodity price changes; and other risks, which are beyond the control of the Company or its subsidiaries.

Readers are cautioned not to place undue reliance on these statements as the Company's actual results, performance or achievements may differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements if known or unknown risks, uncertainties or other factors affect the Company's business, or if the Company's estimates or assumptions prove inaccurate and as such the Company cannot provide any assurance that forward-looking statements will materialize. Subject to applicable laws, the Company assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason. For a description of additional material factors that could cause the Company's actual results to differ materially from the forward-looking statements, please see the risks and uncertainties set out in the "Forward-Looking Statements" section and "Risk Factors" section in the Company's Annual Information Form for the year ended December 31, 2010.

Barrels of Oil Equivalent

Where amounts are expressed in a barrel of oil equivalent ("boe"), or barrel of oil equivalent per day ("boe/d"), natural gas volumes have been converted to barrels of oil equivalent on the basis that 6 thousand cubic feet ("mcf") is equal to one barrel of oil. Use of the term boe may be misleading, particularly if used in isolation. This boe conversion ratio is based on an energy equivalence methodology, and does not represent a value equivalency. Indeed, the energy and value relationships may differ widely with market conditions. The conversion conforms to the Canadian Securities Regulators' National Instrument 51-101 - Standards of Disclosure for Oil and Gas Activities.

International Financial Reporting Standards (IFRS)

The quarter ending September 30, 2011 is the third period that the Company has reported its results under International Financial Reporting Standards ("IFRS") rather than Canadian GAAP. The Canadian Accounting Standards Board requires publicly accountable enterprises to adopt IFRS for fiscal years beginning on or after January 1, 2011. We have applied IFRS retrospectively as of January 1, 2010 for comparative purposes.