TORONTO, Nov. 2, 2015 (GLOBE NEWSWIRE) -- Sprott Resource Corp. ("SRC" or the "Company") today announced its financial results for the three-months ended September 30, 2015.

Summary

• Net Asset Value ("NAV") at September 30, 2015 of $136.0 million ($1.41 per share) compared to December 31, 2014 of $227.7 million ($2.33 per share).
• For the three-months ended September 30, 2015, the Company recorded a net loss of $54.6 million ($0.56 loss per basic and diluted share) compared to a net loss of $10.1 million ($0.10 loss per basic and diluted share) for the three-months ended September 30, 2014. Included in the net loss for the three-months ended September 30, 2015 are unrealized losses on investments of $53.7 million.

"The severe downturn in natural resources continued during the third quarter of 2015, with the energy and mining industries among the hardest hit. The majority of our energy investments have weathered the storm relatively well even though we have reduced our carrying values," said Steve Yuzpe, CEO of Sprott Resource Corp. "InPlay Oil continues to deliver strong netbacks due to the fact that a significant percentage of its production is light oil. Independence Contract Drilling is outperforming the majority of its peers, with most of its fleet of rigs still working, despite the industry decline in rig counts."

"Our agricultural investments are performing well with One Earth Farms Corp. ("OEF") continuing to build its presence in the natural and organic food sector," added Mr. Yuzpe. "OEF has emerged as a leading brand in this rapidly growing space. Our other significant agricultural investment, Union Agriculture Group ("Union Agriculture"), has announced the filing of its non-offering preliminary prospectus with the Ontario Securities Commission, to enable Union Agriculture to become a reporting issuer under the Securities Act (Ontario)."

SRC Net Asset Value as at September 30, 2015

The following table outlines SRC's equity attributable to shareholders and investment ownership as at September 30, 2015. Please see the Company's unaudited interim consolidated financial statements and notes thereon, and management's discussion and analysis for the three and nine-months ended September 30, 2015 for additional information.

As at September 30, 2015, the Company was invested in $53.0 million of public companies and $95.5 million of private companies.

SRC corporate developments:

• The Company reported a net loss of $54.6 million for the three-months ended September 30, 2015 compared to a net loss of $10.1 million for the three-months ended September 30, 2014. The current quarter's loss was primarily comprised of unrealized losses on the investment portfolio
• Expenses for the three-months ended September 30, 2015 were $1.8 million, compared to $2.2 million for the three-months ended September 30, 2014
• The Company purchased back 1.0 million common shares under its normal course issuer bid during the three-months ended September 30, 2015
• The Company's discount to NAV at September 30, 2015 was 56.7% compared to 51.8% at June 30, 2015
• As at September 30, 2015, the Company's cash position less its debt was negative $12.4 million
• In October 2015, Union Agriculture announced the filing of its non-offering preliminary prospectus with the Ontario Securities Commission to enable Union Agriculture to become a reporting issuer under the Securities Act (Ontario)
• In October 2015, the Company invested an additional USD$1.0 million of USD$7.25 million private placement in Corsa Coal Corp.

Conference Call Details

SRC will hold a conference call to discuss its 2015 third quarter results on Monday, November 2, 2015 at 11:00am ET. To participate in the call, please dial (866) 322-9569 ten minutes prior to the scheduled start of the call and provide conference ID: 69310465. A taped replay of the conference call will be available until Monday, November 9, 2015 by calling (855) 859-2056 or (404) 537-3406. The conference call will be webcast live at www.sprottresource.com and http://edge.media-server.com/m/p/8x4mw8qu

About Sprott Resource Corp.

Sprott Resource Corp. (SCP.TO) is a publicly-listed private equity firm focused on the natural resource sector. The company currently has investments in energy exploration, production and services, mining and agriculture. SRC creates value for its investors by applying a disciplined investment process to deploy capital while managing risk within highly cyclical sectors. SRC is a business builder that is committed to being a value-added partner with proven management teams. SRC supports its investments through active management and the provision of long-term capital, as well as strategic, financial and governance oversight. Founded in 2007, the Company is based in Toronto, Canada and is managed by an experienced team of private equity specialists, supported by the technical and investment resources of Sprott Inc. and its subsidiaries and affiliates. Management of SRC is dedicated to generating long-term superior returns on capital for its shareholders, while focusing on risk management and real wealth preservation. To learn more, 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) InPlay's delivery of strong netbacks; and (ii) OEF continuing to build its presence in the natural and organic food sector. Although SRC 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. 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 the farming industry in general (e.g., weather risks, operational risks in production; the uncertainty of estimates and projections related to livestock); (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) other risks associated with SRC's portfolio companies' industries; (vii) those risks disclosed under the heading "Risk Management" in SRC's MD&A for the nine-months ended September 30, 2015; and (viii) those risks described under the heading "Risk Factors" in SRC's annual information form dated March 3, 2015. The Forward-Looking Statements speak only as of the date hereof, unless otherwise specifically noted, and SRC 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.