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Commerce Resources Corp. Announces Oversubscription of Flow- through Private Placement Adjustment

Financings

CW13997893.2

Commerce Resources Corp. Announces Oversubscription of Flow-

through Private Placement Adjustment

August 23, 2019 – Commerce Resources Corp. (TSXv: CCE, FSE: D7H) (the “Company” or

“Commerce”) is pleased to announce that it has over subscribed the non-brokered flow through private

placement (the “Offering”) of units (each, a “Unit” ) at a price of $0.55 per Unit as previously announ ced

by News Release of August 12, 2019 and August 21, 2 019. The Offering was oversubscribed by

$13,750. The total amount of the Offering now cons ists of 752,272 Units for aggregate proceeds of

$413,749.60.

As previously announced, insiders may participate in the Offering.

The aggregate gross proceeds from the sale of the O ffering will be used to advance the developments of

the Company’s Ashram REE Deposit in Quebec.

Each Unit will consist of one common share of the Company issued on a “flow-through” basis pursuant to

the Income Tax Act (Canada) (each, a “ Share ”) and one common share purchase warrant (each, a

“ Warrant ”), with each Warrant entitling the holder to purch ase one Share (on a non-flow-through basis)

at an adjusted price of $0. 75 per Share for a period of one year following the closing of the Offering (the

“ Closing ”).

Finders’ fees may be payable in connection with the Offering in accordance with the policies of the TS X

Venture Exchange (the “ Exchange ”).

All securities issued in connection with the Offeri ng will be subject to a statutory hold period expir ing

four months and one day after closing of the Offeri ng. Completion of the Offering is subject to the

approval of the Exchange. Any participation by insi ders in the Offering will constitute a related part y

transaction under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special

Transactions (“ MI 61-101 ”) but is expected to be exempt from the formal val uation and minority

shareholder approval requirements of MI 61-101.

About Commerce Resources Corp.

Commerce Resources Corp. is an exploration and deve lopment company with a particular focus on

deposits of rare metals and rare earth elements. Th e Company is focused on the development of its

Ashram Rare Earth Element Deposit in Quebec and the Upper Fir Tantalum-Niobium Deposit in British

Columbia.

For more information, please visit the corporate we bsite at www.commerceresources.com or email

[email protected] .

On Behalf of the Board of Directors

COMMERCE RESOURCES CORP.

CW13997893.2

“ Chris Grove ”

Chris Grove

President and Director

Tel: 604.484.2700

Email: [email protected]

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.

Cautionary Statement Regarding Forward-Looking Stat ements

This news release includes certain “forward-looking statements” under applicable Canadian securities l egislation

that are not historical facts. Forward-looking stat ements involve risks, uncertainties, and other fact ors that could

cause actual results, performance, prospects, and o pportunities to differ materially from those expres sed or implied

by such forward-looking statements. Forward-looking statements in this news release include, but are n ot limited to,

statements with respect to the expectations of mana gement regarding the proposed Offering, the expecta tions of

management regarding the use of proceeds of the Off ering, closing conditions for the Offering, the exp iry of hold

periods for securities distributed pursuant to the Offering, and Exchange approval of the proposed Off ering.

Although the Company believes that the expectations reflected in the forward-looking information are r easonable,

there can be no assurance that such expectations wi ll prove to be correct. Such forward-looking statem ents are

subject to risks and uncertainties that may cause a ctual results, performance or developments to diffe r materially

from those contained in the statements including th at: the Company may not complete the Offering on te rms

favorable to the Company or at all; the Exchange ma y not approve the Offering; the proceeds of the Off ering may

not be used as stated in this news release; the fun ds raised from the sale of the Units may not be ren ounced in favour

of the Unit holders; the Company may be unable to s atisfy all of the conditions to the Closing; and th ose additional

risks set out in the Company’s public documents fil ed on SEDAR at www.sedar.com. Although the Company believes

that the assumptions and factors used in preparing the forward-looking statements are reasonable, undu e reliance

should not be placed on these statements, which onl y apply as of the date of this news release, and no assurance can

be given that such events will occur in the disclos ed time frames or at all. Except where required by law, the

Company disclaims any intention or obligation to up date or revise any forward-looking statement, wheth er as a

result of new information, future events, or otherwise.