VANCOUVER, May 29, 2015 /CNW/ - Commerce Resources
Corp. (TSXv: CCE, FSE: D7H) (the "Company") is pleased to
announce analytical results for the first eight drill holes from
the recently completed winter/spring drill program at the Ashram
Rare Earth Deposit located in northern Quebec.
Highlights from the program are as follows:
- 34.53 metres of 2.12% Total Rare Earth Oxides ("TREO") (Drill
hole EC15-116)
- 60.83 metres of 2.03% TREO (Drill hole EC15-117)
- 25.23 metres of 2.04% TREO (Drill hole EC15-112)
- 17.25 metres of 2.08% TREO, including 1.46 m of 4.57% TREO
(Drill hole EC15-114)
- Intersection of the Middle and Heavy Rare Earth Oxide (MHREO)
Zone along the eastern margin of the larger Ashram Deposit
The primary goal of the drill program was to increase the
resource confidence from the current inferred category to the
measured and/or indicated categories with infill drilling, as
required for the ongoing Pre-feasibility Study (PFS). All eight
drill holes were located along the deposit's eastern margin and
were successful in further delineating the mineralized contact as
part of the larger resource infill drill program.
Each drill hole was terminated at a pre-determined depth for the
purposes of the PFS. Six of the eight holes bottomed in strong
mineralization with EC15-117 returning 2.67% TREO at 212 m (end of
hole), and EC15-114 returning the tenth highest assay to date with
4.57% TREO over 1.46 m at a relatively shallow depth of 117 m. The
highest deposit assay to date is 9.88% TREO over 0.39 m in EC11-048
at 525 m depth. Complete analytical results from the first eight
drill holes of the 2015 drill program are detailed in Table 1.
Table 1.
|
Hole
ID
|
Core
Size
|
From
(m)
|
To
(m)
|
Interval
(m)
|
TREO(1)
(%)
|
MH-T(2)
(%)
|
Fluorite(3)
(%)
|
End of Hole
(EOH)
(m)
|
|
EC15-110
|
NQ
|
79.26
|
115.21
|
35.95
|
1.78
|
6.0
|
5.8
|
115.21
|
|
EC15-111
|
NQ
|
11.27
|
124.36
|
113.09
|
0.70
|
14.5
|
1.5
|
124.36
|
|
EC15-112
|
NQ
|
57.65
|
150.42
|
92.77
|
1.73
|
8.3
|
5.7
|
157.29
|
|
incl.
|
|
125.19
|
150.42
|
25.23
|
2.04
|
7.7
|
7.2
|
|
|
|
153.28
|
157.89
|
4.61
|
1.84
|
8.8
|
8.0
|
|
|
EC15-113
|
NQ
|
54.15
|
69.49
|
15.34
|
2.10
|
5.4
|
6.9
|
127.41
|
|
incl.
|
|
84.42
|
127.41
|
42.99
|
1.74
|
6.1
|
6.1
|
|
|
EC15-114
|
NQ
|
111.07
|
128.32
|
17.25
|
2.08
|
7.0
|
5.9
|
128.32
|
|
incl.
|
|
116.87
|
118.33
|
1.46
|
4.57
|
6.1
|
0.6
|
|
|
|
46.00
|
61.58
|
15.58
|
1.32
|
11.5
|
6.5
|
|
|
|
69.49
|
72.95
|
3.46
|
1.40
|
13.5
|
5.0
|
|
|
EC15-115
|
NQ
|
21.10
|
32.53
|
11.43
|
1.92
|
6.1
|
4.0
|
81.69
|
|
EC15-116
|
NQ
|
3.05
|
154.84
|
151.79
|
1.77
|
7.4
|
6.6
|
154.84
|
|
incl.
|
|
9.97
|
44.50
|
34.53
|
2.12
|
5.7
|
9.0
|
|
|
EC15-117
|
NQ
|
102.25
|
212.45
|
110.20
|
1.82
|
6.6
|
6.0
|
212.45
|
|
incl.
|
|
151.62
|
212.45
|
60.83
|
2.03
|
5.4
|
6.4
|
|
|
(1)
|
TREO is the summation
of Ce2O3 + La2O3 + Pr2O3 + Nd2O3 + Eu2O3 + Sm2O3 + Gd2O3 + Tb2O3 +
Dy2O3 + Ho2O3 + Er2O3 + Tm2O3 + Yb2O3 + Lu2O3 + Y2O3
|
|
(2)
|
MH-T is the sum of
the middle and heavy rare earth oxides (Eu2O3 + Sm2O3 + Gd2O3 +
Tb2O3 + Dy2O3 + Ho2O3 + Er2O3 + Tm2O3 + Yb2O3 + Lu2O3 + Y2O3)
divided by TREO, expressed as a per
cent.
|
|
(3)
|
Fluorite (CAF2) is
calculated based on fluorine analysis, using a conversion factor of
2.055, as mineralogical work concludes fluorite is the dominant and
only material source of fluorine.
|
|
(4)
|
True thicknesses of
drill intersections are estimated to be 50-70% along the deposit's
eastern margins; however, the cone like nature of the deposit
effectively increases the true thickness to 100% as intersections
move inwards, towards the deposit's centre.
|
A map showing the drill hole locations is available on the
Company's website at http://www.commerceresources.com.
The eight holes targeted the eastern margins of the overall
Ashram Deposit. Significant middle and heavy rare earth oxide
(MHREO) mineralization was encountered in EC15-114 with 11.5% MH-T
over 15.58 m and 13.5 MH-T over 3.46 m. It is not clear if this is
an extension of the main zone of MHREO or an isolated pod of MHREO
mineralization within the larger Ashram Deposit.
A total of 31 drill holes for 4,146 m were completed in the
program, with 23 holes for 3,044 m remaining to be reported. All
samples collected will be analyzed by Activation Laboratories in
Ancaster, ON for major oxides by
Fusion ICP, rare earths by ICP-MS, and for fluorine by Fusion ISE.
Results will be released as they are received.
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 north-eastern
Quebec. The Deposit has a measured
and indicated resource of 29.3 million tonnes at 1.90% TREO and an
inferred resource of 219.8 million tonnes at 1.88% TREO. The
deposit has an REE distribution with enrichment in the light,
middle, and heavy rare earth elements.
A Preliminary Economic Assessment (PEA) was completed in May of
2012 by SGS-Geostat of Montreal
(Blainville) (see news release
May 24, 2012). The PEA is based on a
4,000 tonne per day open-pit operation with an initial 25-year mine
life (300 years at economic cut-off if open-pit + underground
development), a pre-tax and pre-finance 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.
The PEA (effective date of July 5,
2015; revised January 7, 2015)
is preliminary in nature, and includes inferred mineral resources
that are considered too speculative geologically to have the
economic considerations applied to them that would enable them to
be categorized as mineral reserves, and there is no certainty that
the PEA will be realized. With respect to the ongoing
Pre-feasibility Study (PFS), the results of the programs described
in this news release will be incorporated, along with other
necessary technical data including geological and engineering
studies, into the PFS with costs and benefits to be described in
more detail therein.
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.
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.
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 but are not limited to any references to the PEA as they
are preliminary in nature. 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 current data 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.
SOURCE Commerce Resources Corp.