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Press release content from Globe Newswire. The AP news staff was not involved in its creation.

Sprott Resource Holdings Inc. Reports Non-Mining Related Incident at its Minera Tres Valles Mining Operation

November 4, 2019 GMT

TORONTO, Nov. 03, 2019 (GLOBE NEWSWIRE) -- Sprott Resource Holdings Inc. (“SRHI” or the “Company”) (TSX: SRHI) today announced that a security incident occurred at the Minera Tres Valles (“MTV”) mine, the Company’s 70%-owned subsidiary. On the morning of November 3, 2019, a security guard contracted by MTV was investigating damage to a security gate in the mine’s Manquehua sector. There, within the mine’s property, the guard was confronted by several individuals not associated with the mine’s operations damaging company property. As a result of an altercation, the security guard was severely injured and one of the individuals fatally shot.

MTV are fully cooperating with the PDI (Police Investigations Unit) in their investigation. MTV has temporarily ceased mining operations out of respect for the deceased and to ensure the safety of the community and workforce. SRHI will provide updates, as appropriate.

Michael Harrison, SRHI’s Interim President and CEO, said, “We are deeply saddened by the outcome of this tragic incident and extend our heartfelt sympathies to the families of those involved. We are fully cooperating with the ongoing investigation and offering support to our employees at the mine site.”

Luis Vega, CEO of MTV, stated, “We are absolutely committed to maintaining cooperative and respectful relationships with the communities we work alongside, so this incident is especially troubling. Our immediate focus is on the families and friends of the deceased and injured and on continuing dialogue and cooperation with local community groups to prevent future tragedies.”

“As a company, we reiterate our profound regret for these events,” added Mr. Vega. “We also pledge our full support for an open and transparent investigative process to clarify the facts and determine the causes of this unfortunate situation.”

About MTV

MTV is a fully permitted operating mining complex located nine kilometers from Salamanca in Region IV of Chile. MTV comprises two main deposits: Papomono (underground) and Don Gabriel (open pit). The mine is currently operating and producing high grade copper cathode. The mine has significant infrastructure in place with a crushing and processing plant with nameplate capacity of 7,000 and 6,000 tonnes per day, respectively. The plant is designed to produce up to 18,500 tonnes per annum of copper cathodes. For more information about MTV, please visit http://www.mineratresvalles.com.

About Sprott Resource Holdings Inc.

SRHI acquires and grows a portfolio of cash-flowing businesses and businesses expected to cash flow in the natural resource sector. Based in Toronto, SRHI is part of the Sprott Group of Companies and seeks to deploy capital to provide our investors with exposure to attractive commodities. For more information about SRHI, please visit www.sprottresource.com.

Investor contact information:

Michael HarrisonInterim CEO and Director(416) 543-8487 mharrison@sprott.com

Media contact information:

Dan Gagnier / Jeff Mathews Gagnier Communications (646) 569-5897 sprott@gagnierfc.com