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Published in Business and Finance on Friday, October 30th 2009 at 6:40 GMT by Market Wire

TORONTO, ONTARIO--(Marketwire - Oct. 30, 2009) - Pinetree Capital Ltd. (TSX:PNP), announces that on October 5, 2009, it acquired ownership of 2,500,000 common shares ("Common Shares") of Sparton Resources Inc. ("Sparton") and 2,500,000 common share purchase warrants (the "Warrants"). Each Warrant entitles the holder thereof to acquire one additional common share until October 5, 2011, at a price of $0.15. In the event that the Warrants are fully exercised, these holdings represent approximately 6.3% of the total issued and outstanding common shares of Sparton as of October 5, 2009, calculated on a partially diluted basis assuming the exercise of the Warrants only. As a result of this transaction, Pinetree and its joint actors held, as at October 5, 2009, an aggregate of 9,803,167 common shares of Sparton, including the Common shares, and rights to acquire an additional 4,566,667 common shares of Sparton upon the exercise of convertible securities, (the "Convertible Securities"), including the Warrants, representing a total of 14,369,834 common shares of Sparton, or approximately 17.6% of such shares outstanding as of October 5, 2009, calculated on a partially diluted basis assuming the exercise of the Convertible Securities only. Pinetree's direct ownership, following the transaction (including the Common Shares and the Warrants), represents a total of 10,236,500 common shares of Sparton, or approximately 12.9% of such shares outstanding as of October 5, 2009, calculated on a partially diluted basis assuming the exercise of the Warrants only.
These transactions were made for investment purposes and Pinetree and each of its joint actors could increase or decrease their respective investments in Sparton depending on market conditions or any other relevant factor.
About Pinetree
Pinetree Capital Ltd. ("Pinetree") was incorporated under the laws of the Province of Ontario and its shares are publicly-traded on the Toronto Stock Exchange ("TSX") under the symbol "PNP". Pinetree is a diversified investment and merchant banking firm focused on the small cap market. Pinetree's investments are primarily in the resources sector: Uranium, Oil & Gas, Precious Metals, Base Metals and Potash, Lithium and Rare Earths. Pinetree's investment approach is to develop a macro view of a sector, build a position consistent with the view by identifying micro-cap opportunities within that sector, and devise an exit strategy designed to maximize our relative return in light of changing fundamentals and opportunities.
For more details about Pinetree and its investments, please visit our website at [ www.pinetreecapital.com ].