Press Release
Sprott Resource Corp. Signs Definitive Agreement to Purchase Mantaro Group's Interest in Phosphate Project
/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/ TORONTO, June 13 /CNW/ - (TSX:SCP) - Sprott Resource Corp. ("SRC") today announced that it has signed a definitive agreement with Lara Exploration Ltd. and two individual geologists (collectively the "Mantaro Group") in connection with the purchase of interests held by the Mantaro Group in the Mantaro phosphate project in Peru, which was the subject of the option and exploration agreement entered into between SRC and the Mantaro Group on November 15, 2007 (see November 16, 2007 press release). "The fertilizer market remains exceptionally strong and we foresee this strength continuing," stated Kevin Bambrough, President and CEO of SRC. "We look forward to advancing this project." The Mantaro Group was paid as aggregate consideration 1,771,308 common shares of SRC and US$1.5 million in cash, and may receive additional cash payments of up to US$4 million provided that certain community agreements, permits and licenses are obtained. In addition, the Mantaro Group will retain an aggregate 2% gross overriding royalty. About Sprott Resource Corp. SRC is a Canadian based company, the primary purpose of which is to invest, directly and indirectly, 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 Asset Management 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. 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, including without limitation, risks associated with mineral exploration projects. 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. %SEDAR: 00003905E
