August 25th, 2021 – Commerce Resources Corp. (TSXv: CCE, FSE: D7H0, OTCQX: CMRZF) (the “Company” or “Commerce”) is pleased to announce that it has completed its 2021 diamond drill program at the Ashram Rare Earth and Fluorspar Deposit, located in northern Quebec.
A total of 2,814 m of NQ size coring was completed over 12 drill holes at the Ashram Deposit, targeting further delineation of the mineralized body. The Company is happy to report that the drilling advanced faster than anticipated, allowing for additional meterage to be completed beyond that planned while remaining within budget. In addition, the Company benefited from sharing support costs such as drill rig mobilization and camp operation from the overlapping drill program of Saville Resources Inc. on the proximal Niobium Claim Group, where it holds an Option from the Company. Both programs were managed by Dahrouge Geological Consulting Ltd. of Edmonton, AB, with drilling operations being carried out by Logan Drilling Ltd. of Stewiacke, NS.
The Company’s drill program largely focused on the central areas of the deposit, within the preliminary pit shell being considered for the ongoing Prefeasibility Study (PFS), and where the neodymium-praseodymium (NdPr) contents are highest. Depending on the location within the deposit, the NdPr distribution typical varies from 21-24+% with monazite being the dominant carrier of the rare earth elements (REEs). Drill hole depths ranged from 152 m to 302 m core length. Due to the depth of the pit shell being considered for an initial 25-year mine-life as part of the PFS, the drill holes were terminated at pre-determined depths and commonly ended in A-Zone, which is the most well-mineralized rock type in the deposit.
The drill core is currently being processed on site and is anticipated to be shipped to Activation Laboratories in Ancaster, ON, shortly for analysis with results to be released as received. In addition to the drill program, this fall the Company plans to carry-out hydrology studies on site in support of the PFS, as well as complete several Qualified Person site visits.
The Ashram Deposit ranks as one of the largest REE (and fluorspar) deposits globally, consisting of a single mineralized body outcropping at surface, and has a mineralized footprint approximately 600 m along strike, over 350 m across, and 600 m deep, remaining open in several directions. The deposit hosts a measured resource of 1.6 million tonnes (Mt) at 1.77% rare earth oxide (REO) and 3.8% F, an indicated resource of 27.7 Mt at 1.90% REO and 2.9% F, and an inferred resource of 219.8 Mt at 1.88% REO and 2.2% F, at a cut-off grade of 1.25% REO. Note, mineral resources are not mineral reserves as they do not have demonstrated economic viability. There is no certainty that all or any part of the Mineral Resources will be converted into Mineral Reserves.
The Company notes that it continues carry-out its field programs while adhering to all federal, provincial, and regional restrictions in place due to the COVID-19 pandemic. The Company has successfully navigated the process to enter Nunavik and obtained authorization to complete its planned field activities. Mineral exploration has been recognized as an essential service in Canada and the Province of Quebec.
NI 43-101 Disclosure
Darren L. Smith, M.Sc., P.Geo., Dahrouge Geological Consulting Ltd., a Permit holder with the Ordre des Géologues du Québec and Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this news release.
About Commerce Resources Corp.
Commerce Resources Corp. is a junior mineral resource company focused on the development of the Ashram Rare Earth and Fluorspar Deposit located in Quebec, Canada. The Company is positioning to be one of the lowest cost rare earth producers globally, with a specific focus on being a long-term supplier of mixed rare earth carbonate and/or NdPr oxide to the global market. The Ashram Deposit is characterized by simple rare earth (monazite, bastnaesite, xenotime) and gangue (carbonates) mineralogy, a large tonnage resource at favourable grade, and has demonstrated the production of high-grade (>45% REO) mineral concentrates at high recovery (>70%) in line with active global producers. In addition to being one of the largest rare earth deposits globally, Ashram is also one of the largest fluorspar deposits globally and has the potential to be a long-term supplier to the met-spar and acid-spar markets.
For more information, please visit the corporate website at www.commerceresources.com or email firstname.lastname@example.org.
On Behalf of the Board of Directors
COMMERCE RESOURCES CORP.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward Looking Statements
This news release contains forward-looking information which is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ from those projected in the forward-looking statements. Forward looking statements in this press release include our plans to carry-out hydrology studies on site in support of the PFS, as well as complete several Qualified Person site visits; and that we could become a long term supplier of mixed rare earth carbonate and/or NdPr oxide. These forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. Risks that could change or prevent these statements from coming to fruition include that the methods proposed don’t work as well as expected, the studies may not go as planned or start when expected, we may experience difficulties in drilling and carrying out environmental work; changing costs for mining and processing; increased capital costs; the timing and content of upcoming work programs; geological interpretations based on drilling that may change with more detailed information; potential process methods and mineral recoveries assumption based on limited test work and by comparison to what are considered analogous deposits that with further test work may not be comparable; testing of our process may not prove successful and even it tests are successful, the economic and other outcomes may not be as expected; the availability of labour, equipment and markets for the products produced; and despite the current expected viability of the project, conditions changing such that the minerals on our property cannot be economically mined, or that the required permits to build and operate the envisaged mine can be obtained. The forward-looking information contained herein is given as of the date hereof and the Company assumes no responsibility to update or revise such information to reflect new events or circumstances, except as required by law.