Commerce Resources Intersects 2.15% REO over 67.9 m at the Ashram REE/ Fluorspar Deposit, Quebec

Rhea-AI Summary

Commerce Resources Corp. (OTCQX:CMRZF) reported promising assay results from three drill holes at the Ashram Rare Earth and Fluorspar Deposit, part of the 2021 exploration program. Highlights include:

• 1.79% REO over 223.2 m
• 1.71% REO over 221.5 m
• 1.97% REO over 23.3 m

The results are aimed at upgrading resource confidence to support a prefeasibility study, with expectations of converting significant inferred resources to measured categories. All drill holes intersected consistent mineralization and strong NdPr distributions.

Positive

• Significant assay results with up to 1.79% REO over 223.2 m.
• Anticipation of upgrading inferred resources to indicated and measured categories.
• Consistent mineralization over the entire length of drill holes.

Negative

• None.

VANCOUVER, BC / ACCESSWIRE / February 7, 2022 / Commerce Resources Corp. (TSXV:CCE)(FSE:D7H0)(OTCQX:CMRZF) (the "Company" or "Commerce") is pleased to announce assay results received from three (3) additional holes completed at the Ashram Rare Earth and Fluorspar Deposit ("Ashram Deposit") as part of the 2021 drill program. The field program, completed in July-August 2021 in support of the Ashram Project's Prefeasibility Study, included twelve (12) drill holes totalling 2,814 m focused on resource infill within the planned open-pit shell. Results for the first seven (7) drill holes were announced December 22^nd, 2021, and January 17, 2022 (noted in Table 1 and Figure 1) with the results for an additional three (3) drill holes reported herein. Highlights include:

• 1.79% rare earth oxide ("REO") over 223.2 m (EC21-190), including,
  • 2.15% REO over 67.9 m
• 1.71% REO over 221.5 m (EC21-191), including,
  • 2.15% REO over 64.4 m
• 1.97% REO over 23.3 m (EC21-188)

The primary objective of the 2021 drill program at Ashram was to improve the confidence of the mineral resource (inferred -> indicated -> measured) in support of an updated mineral resource estimate to be completed as part of the ongoing Prefeasibility Study, which will also determine the initial mineral reserve estimate for the Ashram Project. Based on the drilling to date, the Company anticipates a large portion of Ashram's current inferred and indicated resources will be converted to indicated and measured resources.

All three (3) drill holes (EC21-188, 190, and 191) were collared in the southern portions of the deposit, and intersected grades consistent with previous drilling, remaining mineralized over their entire length. Strong NdPr distributions (i.e. % of Nd+Pr oxide of the total REO) continue to be returned in excess of 20-21%, including drill hole EC21-191 with 64.4 m of 2.15% REO at an NdPr distribution of 21.1%.

As the Ashram Deposit is known to continue for more than 600 m in depth, and remains open, the 2021 drill holes were ended at pre-determined depths below the anticipated pit shell, and therefore, most holes completed as part of the infill drilling at Ashram ended in mineralization. Core sample assays for ten (10) out of twelve (12) drill holes from the 2021 drill program have now been reported with assays pending on the remaining two (2) drill holes. Grade over width and corresponding NdPr oxide distributions are presented in Table 1, with drill hole highlights and locations presented in Figure 1.

Table 1: 2021 assay results for infill drill holes at the Ashram Deposit

The Company notes that it carried out its field programs while adhering to all federal, provincial, and regional restrictions in place due to the COVID-19 pandemic. The Company successfully navigated the process to obtain authorization to enter Nunavik, and no cases of COVID-19 were documented relating to its 2021 mineral exploration programs. Mineral exploration has been recognized as an essential service in Canada and the Province of Quebec.

Quality Assurance / Quality Control (QAQC)

A quality assurance / quality control protocol following industry best practices was incorporated into the program and included systematic insertion of quartz blanks and certified reference materials into sample batches, as well as collection of quarter-core duplicates, at a rate of approximately 5%. Drill holes were sampled from top to bottom and shipped to Activation Laboratories in Ancaster, ON, for analysis.

Lab analysis included major oxides and multi-element, including the rare earth elements, by ICP-OES/MS following a lithium borate fusion (package 8-REE) and fluorine by Fusion Specific Ion Electrode-ISE (Code 4F-F). Standard drill core sample preparation was completed and comprised of crushing to 80% passing 10 mesh, followed by a 250 g riffle split and pulverizing to 95% passing 105 µ (package RX1).

Figure 1: 2021 drill assay highlights - Ashram Deposit

About the Ashram Deposit

The Ashram Deposit ranks as one of the largest REE (and fluorspar) deposits globally, consisting of a monazite dominated, single mineralized body outcropping at surface, and has a footprint approximately 600 m along strike, over 300 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 (Effective Date July 5^th, 2012). 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.

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 in National Instrument 43-101 - Standards of Disclosure for Mineral Projects, 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 info@commerceresources.com.

On Behalf of the Board of Directors
COMMERCE RESOURCES CORP.

"Chris Grove"
Chris Grove
President and Director
Tel: 604.484.2700
Email: cgrove@commerceresources.com
Web: https://www.commerceresources.com

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 statements, which includes any information about activities, events or developments that the Company believes, expects or anticipates will or may occur in the future. Forward looking statements in this news release include that we expect to complete an updated mineral resource estimate and a prefeasibility study for the Ashram Project, that we anticipate that certain of Ashram's inferred and indicated resources will be converted to indicate and measured resources; that an open-pit shell is planned for the Ashram Project; and that the Company is positioning to be one of the lowest cost rare earth producers globally. 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 we may not be able to fully finance any additional exploration on the Ashram Project; that even if we are able raise capital, costs for exploration activities may increase such that we may not have sufficient funds to pay for such exploration or processing activities; the timing and content of any future work programs; geological interpretations based on drilling that may change with more detailed information; potential process methods and mineral recoveries assumptions 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 if such tests are successful, the economic and other outcomes may not be as expected; the availability of labour and equipment to undertake future exploration work and testing activities; the required permits to build and operate the envisaged open-pit shell may not be obtained in a timely or cost-effective manner, or at all; and despite the current expected viability of the Ashram Project, conditions changing such that even if metals or minerals are discovered on the Ashram Project, the project may not be commercially viable; The forward-looking statements contained in this news release are made 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.

SOURCE: Commerce Resources Corp.

View source version on accesswire.com:
https://www.accesswire.com/687403/Commerce-Resources-Intersects-215-REO-over-679-m-at-the-Ashram-REE-Fluorspar-Deposit-Quebec

FAQ

What are the recent assay results for Commerce Resources Corp. at the Ashram Deposit?

Commerce Resources Corp. reported assay results of up to 1.79% REO over 223.2 m from three drill holes at the Ashram Deposit.

When were the assay results from the Ashram Deposit released?

The assay results were released on February 7, 2022.

What is the significance of the latest drilling results for CMRZF shareholders?

The results are expected to enhance the confidence level of mineral resources, potentially increasing the value for shareholders if inferred resources are upgraded.

What is the future outlook for the Ashram Deposit based on the recent PR?

The outlook is positive, with expectations for converting a large portion of inferred resources to indicated and measured resources, supporting future economic viability.

What geological features were noted in the recent drill results for Commerce Resources?

The drill results showed consistent mineralization with strong NdPr oxide distributions exceeding 20-21%.