Commerce Resources Intersects 2.09% REO over 110.4 m at the Ashram Deposit, Quebec
Commerce Resources Intersects 2.09% REO over 110.4 m at the Ashram
Deposit, Quebec
January 17, 2022– Commerce Resources Corp. (TSXv: CCE, FSE: D7H0, OTCQX: CMRZF)
(the “Company” or “Commerce”) is pleased to announce assay results received from three (3)
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 four (4) drill
holes were announced December 22nd, 2021 (noted in Table 1 and Figure 1) with the results
for an additional three (3) drill holes reported herein. Highlights include:
• 1.78% rare earth oxide (“REO”) over 274.3 m (EC21-193), including,
o 2.09% over 110.4 m
• 1.83% REO over 300.1 m (EC21-184), including,
o 2.05% REO over 37.7 m, and
o 2.08% REO over 29.0 m
• 1.59% REO over 225.0 m (EC21-186), including,
o 2.07% over 35.0 m
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 (EC21-184, 186, and 193) collared in and bottomed in mineralization
starting at depths of 1.9 to 3.7 m (core length), consistent with previous drilling , remaining
mineralized over their entire length.
The NdPr oxide distribution (i.e. % of Nd+Pr oxide of the total REO) continues to remain very
strong compared to active global produce rs, and commonly rang es from 19 – 24+%,
including a 22.2% NdPr oxide distribution in EC21-193’s 274.3 m interval of 1.78% REO.
The relatively high NdPr oxide distribution at Ashram is a result of the monazite dominate
rare earth mineralogy and unique chemistry and equates to a relatively high -value end-
product that Ashram could supply the market with over the long-term. 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 drill hole results for infill drill holes at the Ashram Deposit
Drill hole EC21 -186 was completed as a vertical infill hole in the west-central area of the
deposit. The hole collared in a zone rich in Nd -Pr, with an NdPr oxide distribution of 26%
Hole ID From
(m)
To
(m)
Interval
(m)
REO3
(%)
NdPr Oxide
Distribution4
(%)
F
(%)
CaF2
5
(%) Comments
Total
Depth
(m)
Azimuth
(°)
Dip
(°)
EC21-182 2.3 32.0 29.7 1.49 24.7 1.6 3.2 152 - -90
including 2.3 17.0 14.7 1.85 23.2 0.8 1.6
including 128 152.0 24.0 2.44 18.2 2.8 5.7
EC21-183 4.5 302.0 297.6 1.71 22.8 3.7 7.5 Entire hole 302 120 -45
including 137.0 162.3 25.3 2.25 19.9 6.3 12.9
EC21-184 1.9 302.0 300.1 1.83 21.9 3.7 7.7 Entire hole 302 90 -45
including 190.0 227.7 37.7 2.05 22.6 3.2 6.6
including 258.5 287.5 29.0 2.08 20.9 4.4 9.1
EC21-185 1.4 224.0 222.7 2.14 20.3 3.4 6.9 Entire hole 224 - -90
including 51.0 144.5 93.5 2.35 19.8 4.6 9.5
including 209.0 224.0 15.0 2.88 17.3 2.1 4.3
EC21-186 2.0 227.0 225.0 1.59 21.5 4.0 8.2 Entire hole 227 - -90
including 192.0 227.0 35.0 2.07 20.0 3.1 6.4
EC21-187 4.7 302.0 302.0 2.19 20.9 3.5 7.2 Entire hole 302 20 -45
including 209 244.5 35.5 2.94 19.9 4.4 9.0
EC21-188 200 - -90
EC21-189 152 - -90
EC21-190 224 - -90
EC21-191 224 - -90
EC21-192 227 - -90
EC21-193 3.7 278.0 274.3 1.78 22.2 3.1 6.3 Entire hole 278 0 -45
including 167.6 278.0 110.4 2.09 21.2 2.0 4.0
(5) Calculated from fluorine assay using factor of 2.055 (F to CaF2). Assumes all fluorine is contained within the minreal fluorite.
Core assays not yet received
Core assays not yet received
(1) All drill holes are NQ core size.
(3) REO is the sum of lanthanides (as oxides) + yttrium oxide.
Core assays not yet received
Core assays not yet received
Core assays not yet received
(2) Intervals reported are core length. True width varies between each hole due to varied hole orientations; however, EC21-183, 184, 187, and
193 were oriented more oblique to dip than is typical for geological modelling purposes.
(4) Percent of NdPr oxide out of the total REO content, calcluated as (Nd2O3 + Pr2O3) / REO x 100.
over 52.5 m at 1.16% REO, remaining mineralized over its entire length and ending in a
higher-grade zone of 2.07% REO over 35.0 m at an NdPr oxide distribution of 20%.
Drill holes EC21-184 and 193, were part of a group of four (4) holes (EC21 -183, 184, 18 7,
and 193) which targeted the region beneath the shallow bay (<1.5 m water depth) on Centre
Pond, in the north -central area of the deposit . These drill holes were completed at various
orientations, resulting in the drill holes crossing the deposit at different oblique angles, and
were primarily completed to help constrain the geological model. The drill holes continue to
re-enforce the strong mineralization (and NdPr distribution) in this area of the deposit and
is further highlighted by EC21-193 with 2.09% REO over 110.4 m at an NdPr oxide
distribution of 21%.
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 seven (7) out of twelve (12) drill holes from the 2021
drill program have now been reported with assays pending on the remaining five (5) drill
holes.
The Company notes that it carried out its field programs while adhering to all federal,
provincial, and regional restrictions in place due to th e 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 essentia l 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 gl obal 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 informatio n, please visit the corporate website at
https://www.commerceresources.com or email [email protected].
On Behalf of the Board of Directors
COMMERCE RESOURCES CORP.
“Chris Grove”
Chris Grove
President and Director
Tel: 604.484.2700
Email: [email protected]
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 indic ate 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; th e 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 viabi lity 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 her eof and the Company assumes no responsibility
to update or revise such information to reflect new events or circumstances, except as required by law.