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Press release from CNW Group

Sprott Power Corp. Completes $22.8 Million Equity Financing

Tuesday, March 06, 2012

Sprott Power Corp. Completes $22.8 Million Equity Financing10:01 EST Tuesday, March 06, 2012/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/TORONTO, March 6, 2012 /CNW/ - Sprott Power Corp. (TSX: SPZ) (the "Company" or"Sprott Power") is pleased to announce that it has closed its previously announced public offering (the "Offering"), for gross proceeds of approximately $22.8 million. The gross proceeds from the Offering are inclusive of the partial exercise of the over-allotment option.  In connection with the Offering, the Company issued 10,134,132 units of the Company at a price of $1.05 per unit, 10,118,618 flow-through common shares of the Company at a price of $1.20 per flow-through share and 151,750 additional warrants at a price of $0.07 per warrant. Each unit is comprised of one common share of the Company and one-half of one warrant. Each whole warrant is exercisable for one common share of the Company at a price of $1.35 per share, at any time prior to March 6, 2014."This transaction further strengthens our balance sheet and allows us to continue building on the growth momentum we have established in our business," said Jeff Jenner, Chief Executive Officer of Sprott Power. "With completion of this offering we are now in a strong cash position to bring new opportunities online."The Offering was completed by a syndicate of underwriters led by Canaccord Genuity Corp. and including TD Securities Inc., NCP Northland Capital Partners Inc. and Stifel Nicolaus Canada Inc.This press release does not constitute an offer of securities for sale in the United States or to "U.S. persons" ("U.S. persons"), as such term is defined in Regulation S promulgated under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"). The securities being offered have not been, nor will be, registered under the U.S. Securities Act or any state securities laws, and may not be offered or sold in the United States or to U.S. persons absent registration or an applicable exemption from such registration requirements.About Sprott Power Corp.Sprott Power is a publicly-traded (TSX:SPZ) Canadian-based company dedicated to the development, owning and operating of renewable energy projects. Through project development efforts, acquisitions, partnerships and joint ventures, Sprott Power provides its shareholders with income and growth from the renewable power generation sector of the energy industry.Forward Looking StatementsCertain information contained in this press release may constitute "forward-looking information" which reflects the current expectations of Sprott Power, including the anticipated closing date of the Offering and the anticipated use of proceeds. This information reflects Sprott Power's current beliefs with respect to future events and is based on information currently available to management. Forward-looking information involves significant known and unknown risks, uncertainties and assumptions. Many factors could cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking information including, without limitation, the risks listed under the heading "Risk and Uncertainties" in Sprott Power's Management's Discussion and Analysis of Financial Results for the period ended December 31, 2010. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking information contained in this release. Although forward-looking information contained in this release is based upon what Sprott Power believes to be reasonable assumptions, management cannot assure investors that actual results, performance or achievements will be consistent with this forward-looking information. The forward-looking information is made as of the date of this release and Sprott Power does not assume any obligation to update or revise it to reflect new events or circumstances, except as required by law.For further information: Jeff Jenner, CA, CBV President and Chief Executive Officer Sprott Power Corp. 416-943-6387 jjenner@sprottpower.com  Babak Pedram Investor Relations TMX Equicom 416-815-0700 ext. 264 bpedram@equicomgroup.com