Business
Sprott Resource Corp. Files September 30, 2007 Quarterly Report
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About this update from Winchester Equity Corporation
[{"type":"text","content":"\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION\n\n\nIN THE UNITED STATES/\n\n\nTORONTO, Nov. 14 /CNW/ - (TSX: SCP) - Sprott Resource Corp. (the\n"Company" or "SRC") reports that it has released its unaudited consolidated\nfinancial statements for the third quarter ended September 30, 2007 and that\nthese consolidated financial statements and the related management's\ndiscussion and analysis of financial position and results of operations\n("MD&A") are available for viewing on SEDAR at www.sedar.com and at the\nCompany's website at www.sprottresource.com.\n\n\nThis past quarter included a series of significant events. On September\n5, 2007, the Company entered into a management services agreement (the "MSA")\nwith Sprott Consulting Ltd. ("SCL"), a wholly-owned subsidiary of Sprott Asset\nManagement Inc. Pursuant to the terms of the MSA, SCL was appointed by the\nCompany to manage, or engage others to manage, the undertaking and affairs of\nthe Company. In consideration for management services to be provided by SCL,\nthe Company will pay an annual services fee equal to 2% of the net asset value\nof the Company (determined in accordance with the MSA), calculated and paid\nquarterly. In addition, the Company will pay an annual incentive fee equal to\n20% of the pre-tax profits of the Company for such year, net of a hurdle rate\nof return based upon the Canadian 30-Year Generic Bond Index. A copy of the\nMSA can be obtained by visiting the Company's website or SEDAR.\n\n\nAs part of the MSA, Eric Sprott, John Embry and Kevin Bambrough were\nappointed directors of the Company to fill the vacancies following the\nresignations of Ralph Fitch, Lawrence Dick and Tina Woodside. In addition, the\nthen existing officers of the Company (other than William Filtness, Chief\nFinancial Officer) resigned and Eric Sprott was appointed Chairman and Kevin\nBambrough was appointed President and Chief Executive Officer.\n\n\nAlso on September 5, 2007, the Company closed a $60 million private\nplacement, which comprised of the issuance of 40 million units at $1.50 per\nunit. Each unit was comprised of one common share and one common share\npurchase warrant, with each warrant being exercisable for two years at $2.50.\n\n\nHigh Desert Gold Corporation ("HDG"), fo...