Sprott Resource Corp. announces completion and filing of technical
report for Mantaro Phosphate Project
TORONTO, Aug. 29 - (TSX:SCP)
- Sprott Resource Corp. ("SRC") today announced the completion of an
NI 43-101 compliant technical report (the "Report") on the Mantaro
Phosphate Project (the "Mantaro Project").
"As supply continues to be tight, we expect the global demand for
phosphate to remain strong. We believe the Mantaro Project is well positioned
to capitalize on this strength," said Kevin Bambrough, President and CEO
of Sprott Resource Corp.
The Report identified an Inferred Mineral Resource of 45.17 million
tonnes grading 15.4% P(2)O(5). The Report also concludes that the project has
an exposed mineralized area that extends beyond the Philip concession, which is
the portion of the property on which the inferred resource estimate is based. There
appears to be good exploration potential for development of additional mineral
resources on the property. The property has been the subject of extensive historical studies. There
appears to be good correlation between the exploration and sampling results obtained
by previous workers on the property.
Key recommendations in the
Report include additional trench sampling and drilling to more fully establish
the extent and quality of mineralization and develop a more definitive resource
estimate. In addition, the Report recommended community consultations and
agreements to obtain the exploration permits necessary to explore the property
further.
The Mantaro Project is owned
by Stonegate Agricom Ltd. ("Stonegate"), a 78.95% held subsidiary of
SRC. Stonegate is planning an Initial Public Offering later this year.
Stonegate is well financed and has appointed a strong management team to
advance the Mantaro Project.
"Stonegate plans to
develop the Mantaro Project, while at the same time searching out other development
and producing mining opportunities in the fertilizer sector," said Mark
Ashcroft, P.Eng, President & CEO of Stonegate.
The technical information in
this press release has been reviewed by Don Hains, P. Geo., the author of the
Report and a qualified person as defined by the requirements of NI 43-101. Mr.
Hains is an independent consultant who has been retained by SRC.
We note that Inferred
Mineral Resources are not Mineral Reserves, as Inferred Mineral Resources do
not have demonstrated economic viability. The Report, entitled "Technical
Report on the Mantaro Phosphate Deposit Junin District, Peru" was filed on
SEDAR today and will be available at www.sedar.com.
About Stonegate Agricom Ltd.
Stonegate Agricom Ltd. is a
private, Toronto
based mineral development company focused on the fertilizer sector. The primary
asset of Stonegate is the Mantaro Phosphate Project located in Peru.
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
This release contains
certain statements that may constitute forward-looking statements under
applicable securities laws. Such forward looking statements are not historical
facts and are generally, but not always, identified by the words
"expects", "plans", "anticipates", "believes",
"intends", "estimates", "projects",
"potential" and similar expressions, or that events or conditions
"will", "would", "may", "could" or
"should" occur. Forward looking statements necessarily involve risk,
including without limitation, risks associated with mineral exploration
projects, such as commodity prices, exploration success and the ability to
achieve financing and risks associated with an initial public offering or going
public transaction by Stonegate, which is subject to general market conditions
and regulatory approvals and therefore cannot be guaranteed to occur on time or
at all. 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: Kevin Bambrough, President and CEO, Tel: (416)
977-7333,
Fax: (416) 977-9555