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Press Release

Sprott Resource Corp. announces completion and filing of technical report for Mantaro Phosphate Project

8/29/2008

        TORONTO, Aug. 29 /CNW/ - (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.          

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