Commerce Resources Ships 0.5 kg Sample of Mixed REC Concentrate to Established Non-Chinese Processor

Rhea-AI Summary

Commerce Resources Corp. has produced an additional 0.6 kg of mixed rare earth carbonate concentrate to fulfill third-party sample requests. The sample has an NdPr distribution of 20.5% and TbDy distribution of 0.89%. 0.5 kg of the sample has been shipped to a downstream processor outside of China. The sample meets market specifications and contains approximately 54% REO with low levels of Th and U. The company aims to engage with global processors for a stable supply of mixed REE chemical concentrates.

VANCOUVER, BC / ACCESSWIRE / November 1, 2023 / Commerce Resources Corp. (TSXV:CCE)(FSE:D7H0)(OTCQX:CMRZF) (the "Company" or "Commerce") is pleased to report that, further to its news release dated September 29, 2023, where it announced the production of 0.43 kg of mixed rare earth carbonate ("mixed REC"), it has produced an additional 0.6 kg of mixed REC concentrate to satisfy third-party sample requests from industry.

The 0.6 kg sample of mixed REC concentrate produced has an NdPr distribution of 20.5% and TbDy distribution of 0.89% (Figure 1). Of this mixed REC, 0.5 kg has been shipped to a well-established downstream processor of rare earth elements ("REEs") located outside of China. The sample meets typical market specifications and was produced through processing of feed material generated from pilot plant operations on bulk sample material collected from the Ashram Rare Earth and Fluorspar Deposit. The mixed REC sample grades approximately 54% REO with <1 ppm Th and <1 ppm U.

The strong NdPr distributions that characterize the Ashram samples (20 to 24%) continue to rank among the highest in the world for non-cerium depleted mixed REC concentrates and exceeds that of several major global producers. Further, due to the presence of xenotime at Ashram, in addition to the dominant monazite, the concentrates also carry a significant heavy REE component - 0.89% TbDy distribution for the current 0.6 kg sample.

Delivery of the sample to a well-established REE processor outside of China is part of the Company's strategy of meaningful and tangible engagement with global downstream processors and end-users that have expressed a strong interest in obtaining a long-term, secure, and stable supply of mixed REE chemical concentrates with a high NdPr distribution.

This sample, as well as those previous, were produced with the Company's flowsheet developed at Hazen Research, CO, in which several process operations have been demonstrated at a continuous pilot-scale level (see news release dated October 27, 2022).

In the rare earth industry, a mixed REC concentrate is typically viewed as the initial marketable product in the REE value chain. A mixed REC is readily saleable as it is the most common feedstock to REE solvent extraction facilities globally, which separate the individual REEs and allow for them to be individually refined into marketable products and disseminated throughout downstream value chains.

Figure 1: Marketable mixed rare earth carbonate concentrate - 20.5% NdPr and 0.89% TbDy

The Company also wishes to correct a typographical error in its news release dated October 30, 2023 wherein it announced the closing of its over-subscribed private placement offering of units. On closing, the Company issued 68,174,750 units (not 68,174,150 units), for gross proceeds of $5,453,980.

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 700 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., Senior Technical Advisor - Rare Earths and Niobium - to the Company, 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
CEO and President
Tel: 604.484.2700
Email: cgrove@commerceresources.com
Web: http://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 that mixed REC is readily saleable; that partial separation of REEs will allow for the marketability of individual elements to be produced; that Ashram has the potential to become one of the largest fluorspar deposit and a long-term supplier to the met-spar and acid-spar markets; and that the Company is positioning to be one of the lowest cost rare earth element 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 events, activities or developments 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 or samples derived from the Ashram Project may not yield positive results, and even if such tests are successful or initial sample results are positive, the economic and other outcomes may not be as expected; the availability of labour and equipment to undertake future exploration work and testing activities; geopolitical risks which may result in market and economic instability; 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.

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FAQ

What is the company that produced the mixed rare earth carbonate concentrate?

The company is Commerce Resources Corp.

What is the NdPr distribution of the mixed REC concentrate sample?

The NdPr distribution of the sample is 20.5%.

What is the TbDy distribution of the mixed REC concentrate sample?

The TbDy distribution of the sample is 0.89%.

Where was the sample of mixed REC concentrate shipped?

The sample was shipped to a downstream processor located outside of China.

What are the specifications of the mixed REC concentrate sample?

The sample meets market specifications and contains approximately 54% REO with less than 1 ppm Th and less than 1 ppm U.

What is the strategy of the company regarding global downstream processors?

The company aims to engage with global downstream processors to secure a long-term and stable supply of mixed REE chemical concentrates.

What is the company's flowsheet developed at Hazen Research, CO?

The company's flowsheet developed at Hazen Research, CO includes several process operations demonstrated at a continuous pilot-scale level.

What is a mixed REC concentrate in the rare earth industry?

A mixed REC concentrate is the initial marketable product in the REE value chain, used as feedstock for REE solvent extraction facilities.

What was the correction made by the company in its news release?

The company corrected a typographical error in the number of units issued in its private placement offering. It issued 68,174,750 units for gross proceeds of $5,453,980.