August 10, 2010
Commerce Resources Corp. (TSXv: CCE, FSE: D7H) (the “Company” or “Commerce”) is pleased to announce that drilling is underway on the Company’s Eldor Tantalum-Niobium and Rare Earth Element Project located in northern Quebec. Up to 15 holes totaling 3,000 metres will be completed. The exploration program will also include prospecting, mapping, soil sampling, a ground magnetic survey, and trenching.
The focus of the program will be to test the newly discovered and previously untested Ashram Rare Earth Element (“REE”) Zone. The Ashram Zone was discovered in July of 2009 by tracing a glacially dispersed REE mineralized boulder train, and has the potential to host a REE deposit of considerable size. The zone is located near the centre of the Eldor Property, and is coincident with a magnetic low approximately 1 kilometre by 0.8 kilometres in size. The goal for drilling is to identify a carbonatite-hosted REE deposit.
Geologically similar projects include: Hudson Resources Inc.’s Sarfartoq Carbonatite Project in Greenland and Rare Element Resources Ltd.’s Bear Lodge Carbonatite Project in Wyoming.
Drilling will also be completed at the Star Trench and Southeast Areas as a follow-up to significant tantalum and niobium intersections from the 2008 drill program.
The Eldor Property covers a carbonatite complex located within the central Labrador Trough, located in northern Quebec; approximately 130 km south of the town of Kuujjuaq. The property is 100% owned by Commerce and encompasses 404 claims totaling approximately 19,006 hectares.
The Eldor Property hosts several mineralized zones including the Ashram Rare Earth Zone and the Northwest, Southeast and Star Trench zones, where previous drilling identified significant concentrations of tantalum, niobium, uranium, phosphate and fluorine. Geologically, the Eldor Project is a large carbonatite complex. Carbonatites and carbonatite related deposits are a major host for rare metals, such as niobium and tantalum, and rare earth elements. The world’s largest niobium mine, Araxá in Brazil, and several of the world’s largest rare earth element deposits, including Lynas Corporation’s Mt. Weld deposit in Australia, and Molycorp’s Mountain Pass deposit in the United States, are all hosted by carbonatites.
Sufficient working capital is available to complete all of the Company’s development and exploration plans. As at April 30th, 2010, the Company had $19.8 million in cash and investments.
NI 43-101 Disclosure
Darren Smith, P.Geol., a qualified person as defined by National Instrument 43-101, supervised the preparation of the technical information in this news release.
On Behalf of the Board of Directors
COMMERCE RESOURCES CORP.
President and Director
Tel: 604 484 2700
Statements in this document which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Forward looking statements in this news release include that up to 15 holes totaling 3,000 metres will be drilled on the Eldor Property; that the exploration program will also include prospecting, mapping, soil sampling, a ground magnetic survey, and trenching; that the focus of the exploration program will be to test the newly discovered and previously untested Ashram REE Zone which has the potential to host a REE deposit of considerable size; that the goal for drilling is to identify a carbonatite-hosted REE deposit; and that drilling will also be completed at the Star Trench and Southeast Areas.
It is important to note that actual outcomes and the Company’s actual results could differ materially from those in such forward-looking statements. Risks and uncertainties include economic, competitive, governmental, environmental and technological factors that may affect the Company’s operations, markets, products and prices. Factors that could cause actual results to differ materially may include misinterpretation of data; that we may not be able to get equipment or labour as we need it; that we may not be able to raise sufficient funds to complete our intended exploration and development; that our applications to drill may be denied; that weather, logistical problems or hazards may prevent us from exploration; that equipment may not work as well as expected; that analysis of data may not be possible accurately and at depth; that results which we or others have found in any particular location are not necessarily indicative of larger areas of our properties; that we may not complete environmental programs in a timely manner or at all; that market prices for tantalum & niobium may not justify commercial production costs; and that despite encouraging data there may be no commercially exploitable mineralization on our properties.
Readers should refer to the risk disclosures outlined in the Company’s Management Discussion & Analysis of its audited financial statements filed with the British Columbia Securities Commission.