Mr. David Hodge reports

COMMERCE RESOURCES CORP. INTERSECTS 2.30% TREO OVER 172.89 M AT THE ELDOR PROPERTY, QUEBEC AND UP TO 45% HEAVIES

Commerce Resources Corp. is in receipt of analytical results for the remaining five holes from the 2010 drill program at the Ashram rare earth zone. The Ashram rare earth zone is located at the company's wholly owned Eldor project within Northern Quebec. Highlights are as follows:

• Drill hole EC10-045 intersected 309.18 metres of 1.99 per cent total rare earth oxides (TREO), including 172.89 metres of 2.3 per cent TREO.
• Drill hole EC10-044 intersected 239.66 metres of 1.78 per cent TREO, including 71.11 metres of 2.19 per cent TREO, with the heavy- and middle-rare-earth-oxide content of individual samples up to 45.3 per cent.

Importantly, the middle-to-heavy-rare-earth-oxide-enriched zone previously identified in EC10-047 (see news release in Stockwatch dated Nov. 24, 2010) is evident 110 metres to the east in EC10-044, with 15.7 per cent middle rare earth oxides (MREO) and heavy rare earth oxides (HREO) over 55.56 metres. This interval includes 19.8 per cent over 17.13 metres, with a peak value of greater than 45 per cent MREO and HREO. Grades of TREO within the enriched zone range from 0.75 to 2.2 per cent. The enriched zone is also evident in EC10-045, with 13.2 per cent MREO and HREO over 19 metres. MREO is defined as samarium through gadolinium, and HREO as terbium through lutetium plus yttrium.

It appears that rare-earth-element (REE) fractionation has occurred during the emplacement of the rare earths at Ashram, resulting in pods or zones of MREO and HREO enrichment. This is very unusual for carbonatite-hosted REE bodies as they are typically light-rare-earth enriched, with only minor credits of the valuable heavy rare earths. The discovery of an enriched, near-surface, middle and heavy REE zone at Eldor is significant and its delineation a priority for future drilling.

Complete results are as shown in the attached table.

Hole No.    From (m)   To (m)  Interval (m)  TREO (%)

EC10-045        5.30   314.48        309.18      1.99
including     121.39   294.28        172.89      2.30
or            195.61   249.00         53.39      2.51
EC10-044        3.00   242.66        239.66      1.78
including     158.54   229.65         71.11      2.19
EC10-043       10.68   378.51        367.83      0.88
including      55.88   105.12         49.24      1.22
EC10-042        9.48   286.78        277.30      1.13
including      32.64    95.18         62.54      1.60
including     208.92   215.16          6.24      2.09
EC10-039        1.00   348.96        347.96      0.86
including     251.69   348.96         97.27      1.27

All samples were analyzed by Activation Laboratories of Ancaster, Ont., using its Method 8 -- major oxide, rare earths and trace element package by fusion ICP and ICP/MS. Fluorine analysis is being compiled. The four most abundant REEs that make up the TREO reported in this news release are cerium, lanthanum, neodymium and praseodymium.

The 2010 drill program at the Ashram rare earth zone consisted of 12 holes totalling 3,312.67 metres. REE mineralization occurs within an area measuring in excess of 650 metres east-west by 350 metres north-south and to depths of 365 metres. The mineralization remains open to the north, south, east, at depth and is not fully constrained to the west.

An NI 43-101-compliant resource estimate, based on the first 12 holes at the Ashram rare earth zone, will be forthcoming from SGS Geostat Ltd. of Montreal, Que. All exploration data have been delivered to SGS and a property visit has been completed. It is anticipated that the resource estimate will be completed within the first quarter of 2011 and will be reported as soon as it is received.

In addition, Cartwright Drilling Inc. of Goose Bay, Labrador, has been contracted to conduct a minimum 3,000-metre winter drill program at the Ashram rare earth zone with a drill rig capable of attaining depths in excess of 600 metres. The drill program is expected to begin at the end of February and continue for as long as the weather permits. Vertical holes from the pond in the centre of the zone will target the depth extension of the mineralization and define its eastern and northern boundaries. Based on exploration to date, the highest grades and the enriched MREO and HREO zone appear to be within the northeastern margins of the deposit.

The company has also retained Roger Mitchell of Lakehead University in Ontario to conduct a preliminary mineralogical investigation of the REE mineralization at the Ashram zone.

Complete analytical results for all of the holes drilled to date at Ashram, as well as a drill plan map, will be available at the company's website.

Additional details on holes EC10-039, 042, 043, 044 and 045

Drill holes EC10-044 (230-degree azimuth, 45-degree dip) and EC10-045 (vertical) were located approximately 110 metres east of EC10-047 and 80 metres north-northwest of EC10-028. They were collared from the same pad, intersecting mineralization directly from surface and continuing over their entire lengths.

EC10-045 returned one of the thickest TREO intersections over 2 per cent to date with mineralization increasing with depth (final sample assaying 2.36 per cent TREO). EC10-044 followed a similar pattern.

The two holes continue to reinforce the deposit's potential for vast, near-surface tonnages of REE mineralization and confirm the presence of a significant near-surface pod of MREO and HREO enrichment.

Drill holes EC10-042 (230-degree azimuth, 45-degree dip) and EC10-043 (50-degree azimuth, 45-degree dip) were collared from the same pad and are located approximately 160 metres east of EC10-029. A contact occurs near the collar as EC10-042 encountered A zone-type material from surface, while EC10-043 encountered a very heterogeneous breccia unit comprising A zone- and B zone-type lithologies (or similar). This unit is interpreted to be a late-stage, hydrothermal breccia with common fluorite and variable clast size.

EC10-039 (230-degree azimuth, 75-degree dip) tested the focus of the magnetic low that defines the Ashram rare earth zone. It ended prematurely at 348.96 metres and did not adequately test the target as the drill reached its maximum depth capabilities. TREO mineralization is less consistent downhole compared with EC10-043, however, TREO content increases with depth and the final 6.42 metres returned 1.72 per cent TREO.

Initial drilling at Ashram interpreted a cone-shaped deposit model with A zone material occupying the centre, rimmed on the outside by the B and BD zones respectively. Additional drilling suggests a lopolith-like (bowl-shape) body, however, its base has yet to be penetrated and the deposit remains open at depth. Given the geological model, drill holes EC10-044 and 045 are considered near to true thickness, while EC10-039, 042 and 043 are considered apparent.

Drill data to date support a TREO grade increasing to the north where the deposit remains open. Grade also appears to increase with depth, as evidenced by EC10-027, 028, 044, 045, 046 and 047.

The Eldor property covers a carbonatite complex located within the central Labrador trough approximately 130 kilometres south of the town of Kuujjuaq. The property is 100 per cent owned by Commerce and encompasses 404 claims totalling approximately 19,006 hectares.

Sufficient working capital is available to complete all of the company's development and exploration plans. The company currently has approximately $11-million in cash and investments.

Change of auditor

The company also announces that it has changed auditors. At the request of the company, BDO Canada LLP has resigned as auditor of the company and Chang Lee LLP, chartered accountants, has been appointed. The audit committee and board of directors of the company have approved the appointment of Chang Lee as successor auditor.

There were no reservations in BDO's reports for the two most recently completed fiscal years or for any period subsequent to the most recently completed period for which an audit report was issued and preceding the date of BDO's resignation. There were also no reportable events between the company and BDO or between the company and Chang Lee.

In accordance with NI 51-102, a notice of change of auditor together with the required letters from the former auditor and the successor auditor have been filed on SEDAR.

NI 43-101 disclosure

Darren L. Smith, MSc, PGeol, a qualified person as defined by NI 43-101, supervised the preparation of the technical information in this news release.

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