TORONTO, ON–(Marketwired – November 13, 2017) – (TSX: SRHI) – Sprott Resource Holdings Inc. (“SRHI” or the “Company”) today announced its financial results for the three-months ended September 30, 2017. SRHI was created in February 2017 via a business combination between Sprott Resource Corp. (“SRC”) and Adriana Resources Inc. (“ADI”).

Summary

• In October 2017, SRHI invested USD.9 million (CAD.9 million) for a 70% equity interest in Chilean producing copper mine S.C. Minera Tres Valles (“MTV”) consisting of USD.5 million (CAD.9 million) in cash and USD.4 million (CAD.0 million) in SRHI common shares
• Currently holds million of net cash¹
  
• Sold remaining stake in Union Agriculture Group for USD.75 million in October 2017
• Continue to see strong deal flow and focused on high priority commodities

Financial Summary²

• As at September 30, 2017, the Company had public company investments of .1 million and private company investments of .6 million
• Net Asset Value (“NAV”) at September 30, 2017 of 2.1 million ({$content}.21 per share) compared to March 31, 2017 of 7.8 million ({$content}.27 per share)
• For the three-months ended September 30, 2017, the Company recorded a net loss of .6 million ({$content}.02 per basic and diluted share) compared to a net loss of .3 million ({$content}.04 per basic and diluted share) for the three-months ended June 30, 2017 , primarily comprised of unrealized losses as a result of marking-to-market the investment portfolio

“In October, we completed a material transaction investing USD million in Chilean copper producer MTV, which provides us with a strategic copper foothold in Chile, one of the world’s premier mining jurisdictions,” said Steve Yuzpe, CEO of SRHI. “With a proven and ambitious management mining team in place at MTV, we are excited about MTV’s potential to increase production and generate stronger cash flows at a time when copper has positive catalysts for price appreciation.”

“Over the past 18 months we have made significant progress repositioning the SRHI portfolio to concentrate our resources in a few material holdings,” added Mr. Yuzpe. “In July, we further strengthened our balance sheet through the sale of approximately 25% of our non-core position in Union Agriculture Group for gross proceeds of USD.0 million and in October, we exited our remaining position realizing further proceeds of USD.75 million. Our deal pipeline is strong and we are currently looking at new opportunities in commodities exhibiting the most attractive long-term fundamentals.”

SRHI Net Asset Value as at September 30, 2017

The following table outlines SRHI’s equity attributable to shareholders and investment ownership as at September 30, 2017. Please see the Company’s unaudited condensed interim consolidated financial statements and notes thereon, and management’s discussion and analysis for the three and nine-months ended September 30, 2017 for additional information.

¹ net cash is a non-IFRS measure and is comprised of cash and cash equivalents less total liabilities

² comparative figures are of SRC only and per share amounts have been adjusted on a 3:1 basis to reflect the equivalent share exchange ratio for SRC shareholders entered into for the business combination of ADI and SRC

As at September 30, 2017, the fair value of the Company’s public and private company investments was .1 million and .6 million respectively.

Effective November 8, 2017, Don Charter and Xinting (Tony) Wang resigned as directors of the Company.

Conference Call Details

SRHI will hold a conference call to discuss its results for the three and nine-months ended September 30, 2017 today, Monday, November 13, 2017 at 4:30pm Toronto time. To participate in the call, please dial (855) 458.4215 ten minutes prior to the scheduled start of the call and provide conference ID: 2497947. A taped replay of the conference call will be available until Monday, November 20, 2017 by calling (855) 859.2056. The conference call will be webcast live at www.sprottresource.com and http://edge.media-server.com/m6/p/rzz46niw

About Sprott Resource Holdings Inc.
SRHI is a publicly-listed corporation transitioning into a diversified holding company focused on holding businesses in the natural resource industry. Based in Toronto, SRHI is a member of the Sprott Group of Companies and is managed by a team of leading resource investment professionals. SRHI’s current holdings are concentrated in the mining, energy and agriculture sectors. SRHI takes an active role in the companies in which it invests and is committed to being a high-value partner to the management teams it backs and the co-investors who invest alongside SRHI. For more information about SRHI, please visit www.sprottresource.com.

Forward-Looking Information
Certain statements in this press release contain forward-looking information (collectively referred to herein as the “Forward-Looking 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 Statements. In particular, but without limiting the forgoing, this press release contains Forward-Looking Statements pertaining to: (i) MTV’s potential to increase production and generate stronger cash flows at a time when copper has positive catalysts for price appreciation; and (ii) the strength of the deal pipeline.

Although SRHI believes that the Forward-Looking Statements are reasonable, they are not guarantees of future results, performance or achievements. A number of factors or assumptions have been used to develop the Forward-Looking Statements, including the continued availability of quality management. Actual results, performance or achievements could vary materially from those expressed or implied by the Forward-Looking Statements should assumptions underlying the Forward-Looking Statements prove incorrect or should one or more risks or other factors materialize, including: (i) general economic, market and business conditions; (ii) commodity price fluctuations and uncertainties and, in particular the price of oil and gas; (iii) risks associated with the oil and gas industry in general (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of estimates and projections relating to reserves, production, costs and expenses, and health, safety and environmental risks); (iv) risks associated with investing in emerging markets; (v) risks associated with the food manufacturing and retail business in general (e.g., a rise in the cost of inputs, a drop in pricing and/or sales volumes, food safety); (vi) risks associated with the mining industry in general (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of estimates and projections relating to reserves, production, costs and expenses, and health, safety and environmental risks); (vii) other risks associated with SRHI’s portfolio companies’ industries; (viii) those risks disclosed under the heading “Risk Management” in SRHI’s Management’s Discussion and Analysis (“MD&A”) for the three and nine-months ended September 30, 2017; and (ix) those risks disclosed under the heading “Risk Management” in SRHI’s MD&A for the three-months ended March 31, 2017. The Forward-Looking Statements speak only as of the date hereof, unless otherwise specifically noted, and SRHI does not assume any obligation to publicly update any Forward-Looking Statements, whether as a result of new information, future events or otherwise, except as may be expressly required by applicable Canadian securities laws.

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