VANCOUVER, May 2 /PRNewswire/ - Commerce Resources Corp. (TSXV: CCE) (FSE: D7H) (OTCQX: CMRZF) (the "Company" or "Commerce") reports that it is nearing completion of its winter drilling program at the Ashram Rare Earth Element ("REE") Deposit at the Eldor Property in northern Quebec.
As of April 28, approximately 3,367 metres of drilling over seven holes had been completed (holes EC11-048 through EC11-054). The drilling was designed to expand the deposit by testing the northeastern half of the Ashram Zone as well as expanding its depth extent with deeper drilling. Drilling also aimed to continue to define areas where significant near-surface enrichment in the valuable, middle and heavy REEs were encountered in 2010.
All drill holes were vertically collared over Centre Pond and were drilled to depths between 320 and 600 metres. In 2010, the Ashram Deposit was tested to depths of up to 365 metres, with the majority of the holes bottoming in mineralization.
To date, all drill holes completed have intersected encouraging rock types similar to previous holes. Portable XRF readings, along with rock types and other indicators, support the presence of strong REE mineralization. Samples have been submitted to Activation Laboratories of Ancaster Ontario for analysis with initial results expected around mid May. A map showing the location of the drill holes will be posted shortly on the Company's website at: http://www.commerceresources.com/s/Eldor.asp
The winter drilling program is expected to conclude this week with one to two more holes planned. A pause in drilling of four to six weeks will follow to allow for break-up with spring/summer exploration and drilling expected to resume as early as late June.
The Eldor Property covers a carbonatite complex located within the central Labrador Trough in northern Quebec; approximately 130 km south of the town of Kuujjuaq. The Property is 100%-owned by Commerce and encompasses 404 claims totalling approximately 19,006 hectares.
Commerce recently reported an initial NI 43-101 compliant resource estimate for the Ashram Deposit of 117.34 million tonnes averaging 1.74% Total Rare Earth Oxide ("TREO") in the Inferred Category using a base case cutoff of 1.25% TREO (Laferrière, April 2011). The resource estimate was based on twelve holes totalling 3,313 metres drilled in 2010.
Mineralization begins near surface and has been outlined over an area measuring approximately 650 metres east-west by 350 metres north-south. The deposit is one of the largest REE deposits with NI 43-101 resources outside of China and remains open for expansion to the north, south, east, at depth, and is not fully constrained to the west. The target is coincident with a magnetic low approximately 1 kilometre by 0.8 kilometres in size.
Drilling has also outlined the potential for near-surface enrichment in the valuable, middle and heavy REEs within the Ashram Deposit. The enrichment is rare for a carbonatite-hosted orebody and its definition is an important priority for future and ongoing drilling.
NI 43-101 Disclosure
Darren L. Smith, M.Sc., P.Geol., is the Qualified Person, as that term is defined in National Instrument 43-101, who has reviewed and approved the technical information in this press release.
About Commerce Resources Corp.
Commerce Resources Corp. is an exploration and development company with a particular focus on tantalum, niobium and rare earth element deposits with a potential for economic grades and large tonnages. The Company is developing its Upper Fir Tantalum and Niobium Deposit at the Blue River Project in British Columbia and is also exploring its Ashram Rare Earth Element Deposit at the Eldor Project in northern Quebec.
On Behalf of the Board of Directors
COMMERCE RESOURCES CORP.
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
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 the Company is nearing completion of its winter drilling program at the Ashram REE Deposit at the Eldor Property; that initial results from the program are expected around mid-May; that the program is expected to conclude this week with one to two more holes planned; and that spring/summer exploration and drilling is expected to resume as early as late June.
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; 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 rare earth elements 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.
SOURCE Commerce Resources Corp.