Drill holes EC10-046 and EC10-047, the northernmost drill holes completed to date at the Ashram Rare Earth Element (REE) Zone on the Eldor property, confirm the potential for a large, near surface deposit of REE mineralization, the company said.

At Ashram, REE mineralization was established within an area measuring in excess of 650 m east-west, by 350 m north-south, to depths of 364 metres. The mineralization remains open to the north, south, east, at depth, and is not fully constrained to the west, Commerce added.

The holes also identified a significant component of heavy REE mineralization within the northern parts of the system.
EC10-046 returned 2.02% TREO over 303.42 metres, within a broader interval grading 1.95% TREO over 364.32 metres.

The above hole shows the potential for >3% TREO grades over significant widths, the company said, as it contains the largest 3% TREO interval returned to date, as well as seventeen samples assaying >3.0% TREO. Further, the hole's TREO grade increases with depth, with the strongest mineralized core only a few metres off the bottom.

Hole EC10-047 intersected 2.04% TREO over 262.11 metres, with heavy rare earth sample values up to 33% and a ~61 metre near surface interval averaging ~20% heavies.

The four most abundant rare earth elements that made up the TREO in both holes were cerium, lanthanum/neodymium and praseodymium. However, Commerce said that the rare earth element distributions for the first one hundred metres of hole EC10-047 were "significantly more" weighted in the mid-heavy rare earth element oxides, including Yttrium, compared to holes further to the south.

In addition to containing a significant heavy rare earth component, this hole also contained the highest TREO assay to date returning 4.92% TREO over 0.75 m, according to the company.

The Ashram Rare Earth Zone is located within an approximately 800 m by 1,000 m magnetic low, as defined by an airborne geophysical survey, and a total of 12 holes have now been completed in the area.

The Eldor property, which encompasses 404 claims for a total of around 19,006 hectares, covers a carbonatite complex located within the central Labrador Trough in northern Quebec, approximately 130 km south of the town of Kuujjuaq.

Carbonatite-related deposits are a major host for rare earth elements around the world and have been proven to produce saleable REE concentrates and oxides.

Three of the most advanced rare earth projects in development right now include Molycorp's (NYSE:MCP) Mountain Pass Deposit, Lynas's (ASX:LYC) Mt. Weld Deposit and Rare Earth Element Resource's (TSX-V:RES) (AMEX:REE) Bear Lodge Deposit, which are all hosted by carbonatites.

Commerce said it has sufficient working capital to complete all of the company's exploration and development plans, as it had, as of July 31 2010, approximately $17 million in cash and investments.

Aside from the Eldor project, Commerce is also advancing the Upper Fir Tantalum and Niobium deposit and the Carbo project, both in British Columbia.

The company is currently trading around $0.69, way up from its 52-week low of $0.2.

"We are pleased to be able to provide our current and potential U.S. investors an improved platform to access our company's securities," said president of Commerce, Dave Hodge.

"We have been focusing on advancing our rare and strategic metals projects since 2001 and we feel that this is an important step in exposing and presenting our company to the U.S. market."

The OTCQX was established for international issuers looking to benefit from U.S. trading and investor demand, without diluting their current shareholder base. In just over three years since its inception, the OTCQX has grown to a total market capitalization of more than $800 billion.

The company said investors can find current financial disclosure and real-time "level two quotes" for the company's OTCQX listing on www.otcmarkets.com.

Commerce's flagship asset is the Blue River Tantalum and Niobium project in British Columbia, where the company is advancing its Upper Fir deposit. It is also exploring the Eldor Rare Earth project in northern Quebec and the Carbo Rare Earth project in northeastern British Columbia.

The company has 130.8 million shares issued and outstanding, a market capitalization of $80 million, and as of the latest financials, had approximately $17 million in cash and investments.

The current diamond drill program is on its eighth hole, and the total core as of November 6th was 1226 metres. The companies said that drilling will continue until the weather dictates otherwise.

The Carbo property comprises seven claims totalling an area of 2,778.63 hectares and is accessible by all weather gravel roads. It is located in the emerging Wicheeda REE carbonatite camp, approximately 80 km north east of Prince George, B.C.

It is adjacent to and contiguous with Spectrum Mining's Wicheeda rare metals discovery, as the Carbo drill targets are within 900 metres of Spectrum's 2009 drilling.

The region has garnered significant attention due to the discovery of REE mineralization associated with the Wicheeda Carbonatite-Syenite Complex.

Both companies said that diamond drill core from the initial five holes has been examined and all holes intersect sections of carbonatite, associated alkaline dykes and metasomatic alteration. Carbonatite is typically a combination of crystalline calcite, dolomite, and/or ankerite, accompanied by a variety of rare element accessory minerals.

Highlights from the results of the three holes include 2.15% TREO over 42.90 m, 2.09% TREO over 54.2 m, and 1.97% TREO over 55.51 m. The four most abundant REEs that make up TREO reported above were cerium, lanthanum, neodymium, and praseodymium.

The company said these results validate that the zone has a large surface expression and depth profile, confirming its potential for a bulk mineable rare earth deposit.

The results form part of the expanded 2010 drilling program at the Ashram zone, which has now been completed, and consisted of 12 holes totaling approximately 3,312 metres.

To date, the company has provided results from the first five holes. The remaining seven holes were shown to contain highly anomalous concentrations of REE mineralization, with EC10-046 and EC10-047 demonstrating the greatest potential, said Commerce.

"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," said president Dave Hodge.

"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 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 program having tested an area measuring approximately 350 metres north-south by 650 metres east-west, within the western part of this magnetic anomaly.

The Eldor Property is approximately 130 km south of the town of Kuujjuaq. Geologically similar exploration projects include Rare Element Resources's (TSXv:RES) (AMEX:REE) Bear Lodge Carbonatite project in Wyoming and Hudson Resources' (TSXv:HUD) Sarfartoq Carbonatite property in Greenland.

Aside from the Eldor project, Commerce is focused on the development of its Upper Fir Tantalum and Niobium deposit in British Columbia and the Carbo project in northern British Columbia.

Canadian International Minerals has an option to earn up to a 75% interest in the project by paying Commerce CAD$30,000 in cash, issuing 1.5 million shares and incurring CAD$198,000 in exploration expenditures over three years. Commerce also retains a 2% Net Smelter Royalty (NSR).

The 1000 meter drill campaign will comprise of at least 12 drill holes at up to six drill sites chosen from data collected by a auger soil geochemical sampling program and Aeroquest Radiometric-Mag survey.

The Carbo Property comprises seven claims totaling 2,778 hectares and is located 80 kilometres northeast of Prince George, and is directly adjacent to and contiguous with Spectrum Mining’s Wicheeda rare earth element discovery. 

The goal of the drilling program is to identify carbonatite hosted rare earth element and rare metal mineralization. 

Commerce Resources primary focus is the development of its Upper Fir Tantalum and Niobium Deposit in British Columbia and the continued exploration of the Eldor Rare Metal Project in northern Quebec.

Meanwhile recognition of the strategic importance of rare earths is growing.  An act was recently tabled in the US to take all necessary initiatives to reintroduce a domestic rare earth supply chain so as to ensure a secure source of these vital metals. Countries such as Korea and Japan, both heavily dependent on the metals for hi-tech manufacturing, are scrambling to secure future supplies. Prices of the rare earths are soaring, up on average by 300% between January and August 2010, with the rises for each individual metal ranging from 22% to as much as 720%. 

For companies like Commerce Resources (TSX-V:CCE) this is all rather good news, as it is focused on advancing several rare earth properties in Canada.  It also explains in part why the junior explorer confirmed this morning that it would be drilling an additional six holes, or 1500 meters, at the Eldor Rare Earth Project in Quebec, and has commissioned SGS Geostat in Montreal to prepare a maiden mineral resource estimate for the property once this year`s drilling is complete.  Commerce has already drilled approximately 3,000 meters at Eldor in 2010, and reaffirmed this morning that it was “encouraged by results to date”.

Assay results reported in September from drill hole EC10-028, which was cut into the Ashram Rare Earth Zone at Eldor, hit 243.8 meters averaging 1.95% TREO (total rare earth oxides) from just 2.5 meters. The broad zone included a higher grading 28.3 meters averaging 2.41% TREO from 130.5 meters. The four most abundant rare earth elements in the mineralization were cerium, lanthanum, neodymium, and praseodymium.

EC10-028 was drilled with BTW size core at an azimuth of 230° and dip of -45°, and was located approximately 50 m northwest of the programs first hole, EC10-027 – the first hole drilled at Ashram which intersected  1.72% TREO over 215.30 meters.

Eldor covers a carbonatite complex located within the central Labrador Trough located in northern Quebec. Carbonatite related deposits are the main host for rare metals such as niobium and tantalum and rare earth elements.  Several mining companies are focused on exploring carbonatite projects, including Hudson Resources (TSX-V:HUD) and Rare Element Resources (TSX-V:RES, AMEX:REE) in Greenland and Wyoming respectively.

“Significant tonnage potential has been indicated by the broad thickness and relative continuity of grade encountered thus far in the first two holes at the Ashram Zone.  Geologically, the Eldor Project represents one of the largest carbonatite complexes known worldwide,” Commerce noted this morning.

Commerce Resources key project is the Upper Fir Tantalum and Niobium Deposit in British Columbia.

The program’s results highlight soil samples within the new anomaly that exceeded the detection limit of 10,000 parts per million (ppm), equating to more than 1% cerium (Ce) and 309 ppm gadolinium (Gd).

The Carbo project is being explored through a joint venture with Canadian International Minerals Inc. (CNSX: CIN) (‘CIN’). The Canadian stock exchange explorer, which has the option to earn a 75% over a three year period, funded the exploration programme. Under the terms of the option agreement, Canadian international must provide $198,000 in exploration expenditures, pay a $30,000 cash sum and issue Commerce with 1.5 million shares. CIN has completed its required first year payments.

The Carbo property consists of five mineral claims, located approximately 80Km northeast of Prince George, British Columbia. The property contains rare earth elements and niobium-bearing intrusions. The Carbo claims boarder the recent rare earth discovery on the neighbouring Wicheeda property, which is being explored by privately owned Spectrum Mining (‘Spectrum’).

On neighbouring Wicheeda last month, Spectrum reported significant rare earth element mineralization, including a 48.64 metre interval which averaged 3.55% REE and two other drill holes with intervals of 72 metres and 144 metres grading 2.92% and 2.2% respectively.

The Carbo joint venture partners said they are encouraged by the results and they are planning an expanded program that will include trenching and drilling in 2010.  Future exploration aims to identify extensions of the Wicheeda discovery on the Carbo property and follow-up on the new soil anomaly in addition to some of the historic trenches on the property.

The sampling results supplement a positive couple of weeks for Commerce, who reported the results of an independent resource estimate for its Upper Fir deposit last week. Upper Fir in the Blue River tantalum and niobium project is currently the company’s primary focus.

The resource estimate reported an indicated resource of 6.5 million pounds of tantalum and 43.83 million lbs niobium.

As a result, the indicated tantalum and niobium resource was estimated at 16.95 million tonnes grading 175 g/t (grammes per tonne) Ta2O5 (tantalum) containing 6.5 million lbs and 1,174 g/t Nb2O5 (niobium) containing 43.85 million lbs at a cutoff grade of 100 g/t tantalum.

The inferred resource now stands at 44.12 million tonnes grading at 167 g/t Ta2O5 for 16.14 million lbs and 1,184 g/t Nb2O5 for 115 million lbs.

According to company President David Hodge, the Upper Fir deposit has the tonnage to provide a long term and stable supply of tantalum. Commerce previously stated that it’s wholly owned, Upper Fir proj­ect could have a mine life of over 15 years, with annual production of about 1 million pounds of tantalum.

The program’s results highlight soil samples within the new anomaly that exceeded the detection limit of 10,000 parts per million (ppm), equating to more than 1% cerium (Ce) and 309 ppm gadolinium (Gd).

The Carbo project is being explored through a joint venture with Canadian International Minerals Inc. (CNSX: CIN) (‘CIN’). The Canadian stock exchange explorer, which has the option to earn a 75% over a three year period, funded the exploration programme. Under the terms of the option agreement, Canadian international must provide $198,000 in exploration expenditures, pay a $30,000 cash sum and issue Commerce with 1.5 million shares. CIN has completed its required first year payments.

The Carbo property consists of five mineral claims, located approximately 80Km northeast of Prince George, British Columbia. The property contains rare earth elements and niobium-bearing intrusions. The Carbo claims boarder the recent rare earth discovery on the neighbouring Wicheeda property, which is being explored by privately owned Spectrum Mining (‘Spectrum’).

On neighbouring Wicheeda last month, Spectrum reported significant rare earth element mineralization, including a 48.64 metre interval which averaged 3.55% REE and two other drill holes with intervals of 72 metres and 144 metres grading 2.92% and 2.2% respectively.

The Carbo joint venture partners said they are encouraged by the results and they are planning an expanded program that will include trenching and drilling in 2010.  Future exploration aims to identify extensions of the Wicheeda discovery on the Carbo property and follow-up on the new soil anomaly in addition to some of the historic trenches on the property.

The sampling results supplement a positive couple of weeks for Commerce, who reported the results of an independent resource estimate for its Upper Fir deposit last week. Upper Fir in the Blue River tantalum and niobium project is currently the company’s primary focus.

The resource estimate reported an indicated resource of 6.5 million pounds of tantalum and 43.83 million lbs niobium.

As a result, the indicated tantalum and niobium resource was estimated at 16.95 million tonnes grading 175 g/t (grammes per tonne) Ta2O5 (tantalum) containing 6.5 million lbs and 1,174 g/t Nb2O5 (niobium) containing 43.85 million lbs at a cutoff grade of 100 g/t tantalum.

The inferred resource now stands at 44.12 million tonnes grading at 167 g/t Ta2O5 for 16.14 million lbs and 1,184 g/t Nb2O5 for 115 million lbs.

According to company President David Hodge, the Upper Fir deposit has the tonnage to provide a long term and stable supply of tantalum. Commerce previously stated that it’s wholly owned, Upper Fir proj­ect could have a mine life of over 15 years, with annual production of about 1 million pounds of tantalum.

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