Mr. Glen Williams reports

SPROTT RESOURCE HOLDINGS INC. FILES NI 43-101 TECHNICAL REPORT ON ITS MINERA TRES VALLES COPPER PROJECT

Sprott Resource Holdings Inc. has filed a technical report on its 70-per-cent-owned Minera Tres Valles copper project (MTV) prepared in accordance with National Instrument 43-101. The MTV technical report is in support of Sprott Resource's Nov. 2, 2018, news release announcing the results.

               TECHNICAL STUDIES -- ECONOMIC ANALYSIS HIGHLIGHTS
                               (U.S. dollars)
                                                          Base case      PEA case

Pretax net present value (NPV) (8%)                            $87M         $129M
After-tax net present value (NPV) (8%)                         $87M         $129M
Pretax internal rate of return (IRR)                             93%          131%
After-tax internal rate of return (IRR)                          93%          131%
Payback (years)                                                 2.0           1.2
Average annual copper cathode production (2019-2025)         24M lb        34M lb
Total copper cathode production (LOM)                       177M lb       250M lb
2020 cash flow                                                 $23M          $34M
Life of mine                                              6.5 years     7.5 years
Operating cash cost (per lb of finished copper)            $1.66/lb      $1.65/lb
Upfront capital cost                                           $15M          $21M
LOM capital cost                                               $32M          $52M

Notes:
(1) Base case includes only the Don Gabriel Manto open pit, Papomono Masivo 
underground and ENAMI tolling revenues. The PEA case includes the Don 
Gabriel Manto, Papomono Masivo, Don Gabriel Vetas, Papomono Norte, Manto 
Norte, Epitermal, Papomono Cumbre, Papomono Mantos Conexion and Papomono 
Sur. The PEA case also includes ENAMI tolling revenues.
(2) The PEA case is preliminary in nature and includes inferred resources 
that are too speculative geologically to have the economic considerations 
applied to them. There is no certainty the PEA case will be realized.
(3) Base-case capital cost estimate was completed at a cost accuracy of 
plus/minus 25 per cent. PEA-case capital cost estimate was completed at a 
cost accuracy of plus/minus 50 per cent.
(4) Based on long-term flat copper price forecast of $2.75 (U.S.) per 
pound.
(5) Includes revenue from long-term tolling contract with ENAMI of minimum 
of 15,000 tonnes per month and a tolling rate of $27.50 (U.S.) per tonne of 
material received. MTV delivers copper cathodes produced from supplied feed 
material to ENAMI, on the basis of a contractual metallurgical recovery of 
78 per cent.
(6) MTV has tax losses available to apply that will shelter any tax payable 
on operating profits, due to capital costs and operating losses sustained 
by prior operators. MTV is subject to a sliding scale copper royalty 
payable to the Chilean government.
(7) Does not include copper production from purchasing of mineralized 
material from small-scale third party miners and any additional copper 
production pursuant to excess recovery from the ENAMI toll milled material.
(8) Net present value is calculated based on monthly discounting using a 
reference date of July, 2018.

The MTV technical report is available under the company's profile on SEDAR and Sprott Resource's website.

Qualified persons

The scientific and technical content contained in this news release has been reviewed, verified and approved by Dr. Antonio Luraschi, RM CMC, manager of metallurgic development and senior financial analyst, Wood, Sergio Navarrete, RM CMC, mining engineer, Wood, Alfonso Ovalle, RM CMC, mining engineer, Wood, Michael G. Hester, FAusIMM, vice-president and principal mining engineer, Independent Mining Consultants Inc., Enrique Quiroga, RM CMC, mining engineer, Q&Q Ltda., Gabriel Vera, RM CMC, metallurgical process consultant, GVMetallurgy, and Sergio Alvarado, RM CMC, consultant geologist, general manager and partner, Geoinvestment Sergio Alvarado Casas EIRL, all of whom are independent qualified persons as defined by National Instrument 43-101.

Notes on preliminary economic assessments

Please note that the PEA case is preliminary in nature, that it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves and there is no certainty that the PEA case will be realized. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

About MTV

MTV is a fully permitted operating mining complex located nine kilometres 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.

About Sprott Resource Holdings Inc.

Sprott Resource acquires and expands a portfolio of cash flowing businesses and businesses expected to cash flow in the natural resource sector. Based in Toronto, Sprott Resource is part of the Sprott group of companies and seeks to deploy capital to provide its investors with exposure to attractive commodities.

We seek Safe Harbor.