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Name and address of eligible institutional investor:

Sprott Asset Management Inc. (the “Offeror”)

200 Bay Street, Suite 2700, P.O. Box 27

Royal Bank Plaza, South Tower

Toronto, Ontario

M5J 2J1

2.

The net increase or decrease in the number or principal amount of securities, and in the eligible institutional investor’s securityholding percentage in the class of securities, since the last report filed by the eligible institutional investor under Part 4 or the early warning requirements:

As at October 31, 2008, there is a net decrease of 28,000 in the holdings of Common Shares (the “Common Shares”) and no change in the holdings of Warrants (the “Warrants”) of Altai Resources Inc. (the “Issuer”). Also, an increase in the number of currently issued and outstanding shares has resulted in a net decrease of 3.7% in the Offeror’s securityholdings.

3.

The designation and number or principal amount of securities and the eligible institutional investor's securityholding percentage in the class of securities at he end of the month for which the report is made:

As at October 31, 2008, the Offeror exercises control or direction, on behalf of accounts fully managed by it, over 5,157,300 Common Shares and 2,500,000 Warrants of the Issuer. Based on the number of currently issued and outstanding Common Shares (as reported by the Issuer), and assuming the exercise of Warrants, the Offeror exercises control or direction over 14.8% of the issued and outstanding Common Shares.

4.

The designation and number or principal amount of securities and the percentage of outstanding securities referred to in item 3 over which:

(a)

the eligible institutional investor, either alone or together with any joint actors, has ownership and control:

The Offeror does not itself own any Common Shares or other securities of the Issuer. The only persons with whom the Offeror may be deemed by the

Securities Act (Ontario) to be acting jointly and in concert with would be included in the list of managed accounts referred to below.

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(b)

the eligible institutional investor, either alone or together with any joint actors, has ownership but control is held by other entities other than the eligible nstitutional investor or any joint actors:

None.

(c)

the eligible institutional investor, either alone or together with any joint

actors, has exclusive or shared control but does not have ownership:

The purpose of the eligible institutional investor and any joint actors in acquiring or

disposing of ownership of, or control over, the securities, including any future

The general nature and the material terms of any agreement, other than lending

arrangements, with respect to securities of the reporting issuer entered into by the

The names of any joint actors in connection with the disclosure required by this

report:

If applicable, a description of any change in any material fact set out in a previous

report by the eligible institutional investor under the early warning requirements or

A statement that the eligible institutional investor is eligible to file reports under

Part 4 in respect of the reporting issuer: