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TORONTO, March 31 /CNW/ - (TSX:SCP) - Sprott Resource Corp. (the
"Company" or "SRC") reports that it has released its audited consolidated
financial statements for the year ended December 31, 2007 and the related
management's discussion and analysis of financial position and results of
operations ("MD&A"). The Company has also filed its annual information form in
respect of the year ended December 31, 2007 ("AIF"). Copies of the audited
annual consolidated financial statements, related MD&A and the AIF can be
found on SEDAR at www.sedar.com.
During the last quarter of 2007, the Company made a sizeable investment
of US$31 million in PBS Coals Corporation ("PBS Coals"), a recently
incorporated British Columbia corporation created for the sole purpose of
holding shares of Mincorp Acquisition Corp. ("Mincorp") (see December 5, 2007
press release). The Company owns approximately 37.5% of the common shares of
PBS Coals, which in turn owns approximately 73.6% (59.6% fully diluted) of the
common stock of Mincorp.
Also of note during the last quarter of 2007, the Company entered into an
option and exploration agreement to acquire an interest in the Mantaro
phosphate project located in Peru (see November 16, 2007 and November 22, 2007
press releases). During 2008, the Company intends to conduct exploration
drilling and complete an NI 43-101 compliant technical report on the property.
For the year ended December 31, 2007, the Company reported net earnings
of $2.0 million ($0.09 per share) as compared to a net loss of $644,704 ($0.07
per share) for the year ended December 31, 2006. The Company continues to be
in a strong financial position with cash as at December 31, 2007 of
$34.1 million. In addition, the Company holds a portfolio of investments
valued at $11.8 million as at December 31, 2007, as well as its investment in
PBS Coals. The Company's management continues to seek out new investments and
business opportunities in the natural resource sector.
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.
For further information:
For further information: William Filtness, Chief Financial Officer, Tel:
(604) 684-0693, Fax: (604) 684-0642