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Sprott Resources (T.SCP) eyes Long Run (T.LRE) cash flow

Stockhouse Editorial
1 Comment| March 25, 2014

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Sprott Resource Corp. (TSX: T.SCP, Stock Forum), a company that invests and operates through subsidiaries in the natural resources sector, on Tuesday announced its financial results for the year ended December 31, 2013.

The Toronto-based company said 2013 was a difficult year for natural resources investors, adding that its net asset value and share price were impacted by the volatile market conditions.

Sprott said net assets attributable to company’s shareholders was $359.9 million, or $3.64 per share.

Sprott said its largest holding Long Run Exploration Inc. (TSX: T.LRE, Stock Forum) announced a 40 cent-per share annual dividend that, based on Sprott’s current holdings in the company, will provide Sprott with more than $14 million in annual cash flows.

“Our view on the energy sector remains positive and we look forward to building further value in new investments in 2014,’’ Sprott Resources President and CEO Steve Yuzpe said in a press release.

Sprott Resources shares were unchanged Tuesday at $2.44, leaving a market cap of $240 million, based on 98.4 million shares outstanding. The 52-week range is $4.85 and $2.23.


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