November 02, 2010
Commerce Resources Corp. (TSXv:CCE) (FSE:D7H) (the “Company” or “Commerce”) is pleased to report analytical results for three additional holes from the recently discovered Ashram Rare Earth Zone at the Eldor Project in northern Quebec. The results confirm that the Ashram Zone has a large surface expression and depth profile with potential to host a bulk mineable rare earth deposit. Highlights from the latest results are summarized below:
Complete analytical results for all of the holes as well as maps with locations of all holes drilled to date will be available here.
Expanded Drill Program
The expanded 2010 drilling program at the Ashram Zone has now been completed and consisted of 12 holes totaling approximately 3,312 metres. To date, the Company has provided results for the first five holes; results for the remaining holes will be announced as soon as they are available.
All seven of the holes that remain to be reported have intersected mineralized A/B/BD zone type material over most of their length. Drill holes EC10-039, 044, 045, 046, and 047 ended in mineralization.
A table summarizing the holes pending is included below:
|Hole #||Azimuth||Dip(°)||Easting||Northing||Total Depth (m)||TREO (%)|
“These results continue to support management’s view that Commerce has identified a large rare earth deposit which may be amenable to open-pit mining methods at Ashram,” stated Dave Hodge, President of Commerce. “We are encouraged by the grade and thickness of results received to date, which occur over an extensive area, and look forward to the remaining assays.”
The 2010 drilling program was partially guided using a Niton XLp 533KW portable XRF analyser, which has proven to be a valuable tool and indicator for REE mineralization. Based on portable XRF results for the seven holes pending at Ashram, all holes were shown to contain highly anomalous concentrations of REE mineralization, with EC10-046 and EC10-047 demonstrating the greatest potential. All holes are currently being logged and sampled. Results will be released as soon as they are available.
The Ashram Rare Earth Zone is within an approximately 800 metre by 1,000 metre magnetic low located near the centre of the Eldor Project, with the expanded drill program having tested an area measuring approximately 350 metres north-south by 650 metres east-west, within the western part of this magnetic anomaly. Mineralization outcrops at surface and continues to depth; it remains open to the north, east, south and at depth.
Additional Details on Holes EC10-029, 030, 031
All three holes collared in the main mineralized zone (A-Zone), graded into the B-Zone and the BD-Zone. Each hole was drilled with BTW size core at an azimuth of 230° and dip of -45°, -45°, and -65° respectively. Drilling to date does not yet allow for an accurate estimation of the dimensions of the REE-bearing zone at Eldor, as such, no estimation of true thickness has been made. All samples were analyzed by Activation Laboratories of Ancaster, Ont. using its method eight — major oxide, rare earths and trace element package by fusion ICP and ICP/MS. The four most abundant REEs that make up TREO reported above were cerium, lanthanum, neodymium, and praseodymium.
Drill holes EC10-029, 030 and 031 were located west of the discovery hole EC10-027, and were placed to target shallower extensions of the western margins of the mineralized system. EC10-029 was situated approximately 70 metres southwest of EC10-027 and confirmed the western contact of the mineralized system maintains a steep dip to the northeast, striking northwest. It also confirmed the shallower extensions of the mineralization identified within drill holes EC10-027 and 028. EC10-030 and EC10-031 were drilled from the same pad located approximately 260 metres west-northwest of EC10-027 and targeted the western flank of the magnetic low. Both holes encountered strong and continuous REE mineralization with multiple assays in excess of 3% TREO (3.03% over 4.19 metres).
The Eldor Property covers a carbonatite complex located within the central Labrador Trough of northern Quebec; approximately 130 km south of the town of Kuujjuaq. Carbonatite-related deposits are a major host for rare metals such as niobium and tantalum and rare earth elements. Several of the world’s largest rare earth element deposits and mines, including Lynas Corporation’s (ASX:LYC) Mt. Weld deposit in Australia and Molycorp Inc’s (NYSE:MCP) Mountain Pass deposit in the United States are hosted by carbonatites. Geologically similar exploration projects include Rare Element Resources Ltd.’s (TSXv:RES) (AMEX:REE) Bear Lodge Carbonatite Project in Wyoming and Hudson Resources Inc.’s (TSXv:HUD) Sarfartoq Carbonatite Project in Greenland.
NI 43-101 Disclosure
Darren L. Smith, M.Sc., 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 complete analytical results for all of the holes as well as drill hole plan maps showing the location of all holes drilled to date will be posted on the Company’s website, that the results of the remaining holes will be announced as they become available from the lab and that the drilling results continue to support management’s view that the Company has identified a large rare earth deposit which may be amenable to open-pit mining methods at Ashram.
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.