Commerce Resources Corp. Initiates 2017 Field Program at the Ashram Rare Earth Deposit
Commerce Resources Corp. Initiates 2017 Field Program at the Ashram
Rare Earth Deposit
August 31, 2017 - Commerce Resources Corp. (TSXv: CCE, FSE: D7H) (the “Company” or
“Commerce”) is pleased to announce the start of the 2017 field program at its 100% owned
Ashram Rare Earth Deposit, located in northern Quebec.
The program is expected to run for approximately three weeks in support of the Ashram
Project’s ongoing Pre-feasibility Study (PFS). The program will focus on sample processing and
collection of drill core for assay from the 2016 field campaign (see news releases dated
September 20th, and October 20th, 2016).
During the 2016 field campaign, a total of 14 drill holes for approximately 2,014 m were
completed as part of the remaining resource definition drilling, focused along the northern,
western, and southern margins of the Ashram Deposit. Initial geologic review and portable XRF
data indicates significant mineralization is present over appreciable widths in several drill holes,
including the large step-out hole to the southeast that tested an isolated gravity anomaly (EC16-
157).
The 2017 program will also include minor instrument maintenance and installation with respect
to the Ashram Project's proposed dyke on Centre Pond. The dyke infrastructure portion of the
PFS is well-advanced with only continued passive data collection of Centre Pond water levels
the remaining field aspect.
In addition, a small prospecting program will be completed in the Miranna Area, where in the
field program of 2015 grades of up to 5.9% Nb2O5 and 1,220 ppm Ta2O5 were returned from
boulders (see news release dated September 13, 2016). In 2016, high-grade boulder samples
continued to be collected in the area with a potential target source identified for initial drill
testing. Further, interpretation of all Niobium-Tantalum data collected to date on the Property, in
collaboration with PhD candidate Patrik Schmidt and the University of Windsor, has potentially
developed a new exploration vector for Nb-Ta mineralization on the Property that may be used
to isolate distinct sources of overlapping Nb-Ta mineralized boulder trains. The 2017
prospecting work will apply this new vector and aim to elucidate additional targets for drill
testing.
The Miranna Area is located approximately 1 km east of the Ashram Rare Earth Deposit, which
suggests there could be significant potential for development synergies in the event a deposit of
merit is defined at Miranna.
NI 43-101 Disclosure
Darren L. Smith, M.Sc., P.Geol., Dahrouge Geological Consulting Ltd., a Qualified Person as
defined by National Instrument 43-101, supervised the preparation of the technical information
in this news release.
About the Ashram Rare Earth Element Deposit
The Ashram Rare Earth Element (REE) Deposit is located in Nunavik, north-eastern Quebec.
The Deposit has a measured resource of 1.6 million tonnes (Mt) at 1.77% TREO, an indicated
resource of 27.7 Mt at 1.90% TREO, and an inferred resource of 219.8 Mt at 1.88% TREO.
Mineral resources are not mineral reserves as they do not have demonstrated economic viability.
The REEs at Ashram occur primarily in the mineral monazite and to a lesser extent in bastnaesite
and xenotime. These minerals dominate the currently known commercial extraction processes
for rare earths. The Ashram Deposit mineralization has an REE distribution with enrichment in
the critical and magnet feed REEs (Nd, Pr, Eu, Tb, Dy, and Y).
A Preliminary Economic Assessment (PEA) was completed by SGS-Geostat of Montreal
(Blainville) with an effective date of July 5, 2012 (revised date of January 7, 2015). The PEA is
based on a 4,000 tonne per day open-pit operation with an initial 25-year mine life, a pre-tax Net
Present Value (NPV) of $2.32 billion at a 10% discount rate, a pre-tax/pre-finance Internal Rate
of Return (IRR) of 44%, and a pre-tax/pre-finance payback period of 2.25 years.
This economic assessment is by definition preliminary in nature and it includes inferred mineral
resources that are considered too speculative to have the economic considerations applied to
them that would enable them to be categorized as mineral reserves. There is no certainty that the
PEA will be realized. The current Ashram Technical Report dated January 7, 2015 explains why
no after-tax case is included, and that a combined tax rate of around 32.5% may apply to
production.
About Commerce Resources Corp.
Commerce Resources Corp. is an exploration and development company with a particular focus
on deposits of rare metals and rare earth elements. The Company is focused on the development
of its Ashram Rare Earth Element Deposit in Quebec and the Upper Fir Tantalum and Niobium
Deposit in British Columbia.
For more information please visit the corporate website at http://www.commerceresources.com
or contact Investor Relations at 604.484.2700 or [email protected].
On Behalf of the Board of Directors
COMMERCE RESOURCES CORP.
“Chris Grove”
Chris Grove
President
Tel: 604.484.2700
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the 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 prospecting and drill programs’ timing,
focus and expected results. 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 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; 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.