TORONTO, Feb. 15, 2013 /CNW/ - Sprott Resource Corp. ("SRC") (TSX: SCP) announced today that its Board of Directors has declared a
dividend in respect of the month of February 2013 in the amount of
$0.038 per common share (the "February Dividend").
The February Dividend will be paid on March 15, 2013 to shareholders of
record at the close of business on February 28, 2013. The full amount
of the February Dividend is designated as an "eligible dividend" for
purposes of the Income Tax Act (Canada).
As previously announced, SRC's Board of Directors approved a policy (the
"Dividend Policy") pursuant to which SRC intends to pay a monthly dividend at least
equal to 0.833% of SRC's total equity attributable to shareholders ("SRC's Book Value") based on the most recently filed financial statements of SRC at the
time the dividend is declared. The amount of future monthly dividends
will accordingly fluctuate quarterly with SRC's Book Value.
The February Dividend is based on SRC's Book Value as at September 30,
2012, adjusted to take into consideration the increase in SRC's Book
Value due to its disposition of Waseca Energy Inc., as will be the
other monthly dividends that are declared prior to the filing of SRC's
financial statements for the year ending December 31, 2012.
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 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", "anticipate", "continue", "estimate", "may",
"will", "project", "should", "believe", "plans", "intends" and similar
expressions are intended to identify forward-looking information or
statements. In particular, but without limiting the forgoing, this news
release contains forward-looking information and statements pertaining
to SRC's dividend policy. Forward-looking statements or information
are based on a number of expectations or assumptions which have been
used to develop such statements and information but which may prove to
be incorrect. The payment of dividends is not guaranteed and the amount
and timing of any dividends payable by SRC will be at the discretion of
the Board of Directors and will be established on the basis of SRC's
earnings, the satisfaction of solvency tests imposed by applicable
corporate law for the declaration and payment of dividends, and other
relevant factors. 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 news 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 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 statements or information, whether as a result
of new information, future events or otherwise, except as may be
expressly required by applicable securities laws.
SOURCE: Sprott Resource Corp.
For further information:
Chief Financial Officer
Sprott Resource Corp.
200 Bay Street, Suite 2750
Tel: (416) 977-7333
Fax: (416) 977-9555