Commerce Resources Corp. reported the results from the 2013 drill program at its 100% owned Ashram Rare Earth Deposit located in Northern Quebec. The intent of the 2013 drilling program, consisting of 12 NQ size drill holes totaling 1,177 m, was to upgrade the inferred mineral resource located where the starter pit is anticipated to be, as discussed in the 2012 Preliminary Economic Assessment (PEA), to the indicated category in support of the ongoing Pre-feasibility Study (PFS).

The results of the program were surprising due to several unexpected outcomes, including the expansion of the deposit to the northwest and the encountering of mineralized REE material at surface, and within the pit, where waste rock had been expected and modelled in the PEA. Additionally, high grade zones were encountered and all holes were collared in mineralized material ranging from 0.94% to 2.48% TREO. The mineralized footprint at the Ashram Rare Earth Deposit has now been expanded with an additional 60+m to the northwest, and the MHREO Zone is further delineated.

Highlights include EC13-087 with 2.28% TREO over 57.36 m and EC13-089 with 1.94% over 144.57 m, including 2.15% TREO over 61.40 m. In addition, extending from surface, the MHREO Zone continued to be intersected with EC13-090A returning 1.51% TREO over 30.64 m with 12.2% MH/T. With the exception of EC13-090, all drill holes were deliberately ended shortly below the base of the anticipated pit shell, each ending in mineralized material with several holes ending in >2.00% TREO, with the last sample of EC13-091 returning 2.48% TREO. Drill casings were left in where practical to allow for easy access to deepen if required for further pit optimization during the ongoing PFS. Drill hole EC13-090 ended prematurely at 7.62 m due to drilling complications and was not analyzed.

The previously identified MHREO Zone, targeted in 2013 by EC13-090A and 089, was intersected with strong MHREO mineralization over significant widths; EC13-090A returned 1.51% TREO over 30.64 m with 12.2% MH/T, and EC13-089 returned 1.62% TREO over 20.55 m with 10.2% MH/T. Further, all five of the critical rare earth oxide (CREO) grades compare very favorably (Dy(2) O(3) and Tb(2) O(3)) or exceed (e.g. Nd(2) O(3) and Eu(2) O(3)) several of the well-known HREO deposits. For example, the distribution of europium oxide (Eu(2) O(3)), the most expensive of the CREOs, is among the high in the world of any rare earth deposit in development or production. The five most northwesterly drill holes (EC13-087, 091, 092, 093, and 094) were collared in mineralization, successfully extending the deposit more than 60 m further to the northwest than had been previously modelled.

Intersections include 2.28% TREO over 57.36 m (EC13-087) and 2.00% TREO over 129.05 m (EC13-091). The presence of strongly mineralized material at surface in drill holes EC13-093 and 094, 2.16% TREO over 14.26 m and 2.00% TREO over 20.87 m respectively, suggests a lip or 'fanning' of the mineralized body near surface in the northwestern area of the deposit. As three of these holes were expected to collar in un-mineralized in-pit material, the mineralization encountered is anticipated to lower further the existing strip ratio as currently outlined in the Preliminary Economic Assessment (0.19:1, waste: mineralized material).

As less waste would be mined to access the mineralized material, the economics of the mining phase could be further improved. The deposit remains open to the north, south, at depth, and is not fully constrained to the east and west.