Sprott Physical Copper Trust Proceeds With Value Add Transaction

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TORONTO, March 11, 2025 (GLOBE NEWSWIRE) --  Sprott Asset Management LP ("Sprott Asset Management"), a subsidiary of Sprott Inc. ("Sprott") (NYSE/TSX:SII), announced today on behalf of the Sprott Physical Copper Trust (TSX:COP) (TSX:COP) ("COP" or the "Trust") that the Trust has entered into an arrangement with a specialized trading house to ship suitable copper (COMEX registered brands) to the United States ("U.S.") to capitalize on the current price arbitrage between COMEX and London Metals Exchange ("LME") resulting from the possibility of the U.S. levying tariffs on copper imports. This transaction represents an opportunity for COP to use a portion of its copper holdings to monetize the differential between COMEX and LME pricing without material risk to the Trust.

"This transaction demonstrates our ability to create additional value for our unitholders," said John Ciampaglia, CEO of Sprott Asset Management. "We will continue to explore opportunities to capitalize on geographic price discrepancies as we scale up the fund."

Under the terms of the arrangement, a portion of the Trust's copper will be shipped to the U.S. and subsequently replaced by the counterparty at a location of the Trust's choosing. The total amount of copper that the Trust holds will remain constant and the Trust's portion of the profit will be paid in cash. The final economics of the transaction will be determined once the copper arrives in the U.S.

About Sprott Asset Management

Sprott Asset Management is a wholly-owned subsidiary of Sprott Inc. ("Sprott"). Sprott is a global asset manager focused on precious metals and critical materials investments. We are specialists. We believe our in-depth knowledge, experience and relationships separate us from the generalists. Our investment strategies include Exchange Listed Products, Managed Equities and Private Strategies. Sprott has offices in Toronto, New York, Connecticut and California, and the company's common shares are listed on the New York Stock Exchange and the Toronto Stock Exchange under the symbol (SII). For more information, please visit www.sprott.com.

Forward-Looking Statements

This press release contains forward-looking information within the meaning of applicable Canadian securities laws ("forward looking statements"). Forward-looking statements in this press release include, without limitation, statements regarding the completion of the arrangement and the payment of the Trust's portion of the profit in cash. With respect to the forward-looking statements contained in this press release, the Trust has made numerous assumptions regarding, among other things: the copper market (including pricing therein) and the likelihood of completion of the arrangement. While the Trust considers these assumptions to be reasonable, these assumptions are inherently subject to significant business, economic, competitive, market and social uncertainties and contingencies. Additionally, there are known and unknown risk factors that could cause the Trust's actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements contained in this press release. A discussion of risks and uncertainties facing the Trust appears in the Trust's prospectus supplement dated July 8, 2024 and related short form base shelf prospectus dated July 3, 2024, as updated by the Trust's continuous disclosure filings, which are available at www.sedarplus.ca. All forward-looking statements herein are qualified in their entirety by this cautionary statement, and the Trust disclaims any obligation to revise or update any such forward-looking statements or to publicly announce the result of any revisions to any of the forward-looking statements contained herein to reflect future results, events or developments, except as required by law.

Contact:

Glen Williams

Managing Partner

Investor and Institutional Client Relations

Direct: 416-943-4394

[email protected]