Mr. Chris Grove reports

COMMERCE RESOURCES ANNOUNCES PUBLICATION OF PAPER ON RARE EARTH MINERAL PROCESSING

Commerce Resources Corp. has published a paper on rare earth element (REE) mineral processing, which has been supported by sample material from the Ashram rare earth and fluorspar deposit, wholly owned by the company, located in Nunavik, Que.

The paper, titled "Assessment of the impact of grinding conditions and water quality on the flotation of rare earth elements-bearing minerals using hydroxamic acid," was published earlier this month in The Canadian Journal of Metallurgy and Materials Science, a peer-reviewed international journal.

The publication is part of a continuing research and development program being carried out as a collaboration between the company, Universite du Quebec en Abitibi-Temiscamingue (UQAT) and Industrial Waste Technology Centre (CTRI). As part of its contribution to the work, the company provided approximately 1.5 tonnes of Ashram deposit material to be used as feed for the various test programs. The research and development test programs, targeted at optimization of flotation, are jointly funded through both provincial and federal grant mechanisms (see news release dated Aug. 25, 2020).

Chris Grove, the company's president, states: "We are grateful to have been in a position to contribute to this publication and, in general, the continued research and development of REEs in the province of Quebec. Quebec has a wealth of mineral potential, and in the REE space this includes the Ashram rare earth and fluorspar deposit held by the company. The company remains active in the academic space with grant-supported collaborations ongoing with several provincial and federal institutions."

The company is pleased to provide its continued support to the academic and institutional REE research and development industry through the supply of Ashram deposit material and geological expertise, supporting the development of highly qualified personnel (HQP) in Canada. The Ashram deposit outcrops at surface and has allowed for cost-effective collection of large amounts of material for test work. As such, the company is actively engaged with various research and academic institutions to support the advancement of the REE industry in Canada, and in Quebec specifically.

About the Ashram deposit

The Ashram deposit ranks as one of the largest REE (and fluorspar) deposits globally, consisting of a monazite dominated, single mineralized body outcropping at surface, and has a footprint approximately 700 metres along strike, over 300 m across and 600 m deep, remaining open in several directions. The deposit hosts a measured resource of 1.6 million tonnes (Mt) at 1.77 per cent rare earth oxide (REO) and 3.8 per cent F (fluorine), an indicated resource of 27.7 Mt at 1.90 per cent REO and 2.9 per cent F, and an inferred resource of 219.8 Mt at 1.88 per cent REO and 2.2 per cent F, at a cut-off grade of 1.25 per cent REO (effective date July 5, 2012). Note, mineral resources are not mineral reserves as they do not have demonstrated economic viability. There is no certainty that all or any part of the mineral resources will be converted into mineral reserves.

About Commerce Resources Corp.

Commerce Resources is a junior mineral resource company focused on the development of the Ashram rare earth and fluorspar deposit located in Quebec, Canada. The company is positioned to become one of the lowest-cost rare earth producers globally, with a specific focus on being a long-term supplier of mixed rare earth carbonate and/or Nd-Pr oxide to the global market. The Ashram deposit is characterized by simple rare earth (monazite, bastnaesite and xenotime) and gangue (carbonates) mineralogy, a large tonnage resource at favourable grade, and has demonstrated the production of high-grade (more than 45 per cent REO) mineral concentrates at high recovery (more than 70 per cent), in line with active global producers. In addition to being one of the largest rare earth deposits globally, Ashram is also one of the largest fluorspar deposits globally, and has the potential to be a long-term supplier to the met-spar and acid-spar markets.

We seek Safe Harbor.