Mr. Ross Carroll reports

COMMERCE RESOURCES DRILLS 122.5 M AT 0.62% NB2O5 AT THE MALLARD PROSPECT, ELDOR PROPERTY, QUEBEC

Commerce Resources Corp. has confirmed a significant niobium intercept of 122.5 metres (m) at 0.62 per cent Nb2O5 from near surface at the Eldor property, located within two kilometres (km) of the globally significant Ashram deposit in Quebec, Canada. The 2024 summer-fall drill program at the Eldor property has concluded, with a total of 29 NQ-size diamond drill holes, for approximately 8,253 m completed between early July to mid-September, 2024. The program had two main objectives: (1) follow-up on the known niobium (plus or minus tantalum and phosphate) mineralized carbonatites at the Mallard and Miranna prospects; and (2) initial drill testing of several geophysical anomalies characteristic of niobium-mineralized occurrences at the property. Assay results from the first seven drill holes, which targeted the Mallard prospect and Spoke, returned strong niobium mineralization. This adds to Commerce's portfolio of critical element occurrences at the Eldor property, including the globally significant rare-earth Ashram deposit, which has 73.2 million tonnes (t) at 1.89 per cent TREO (total rare-earth oxide) (indicated) and 131.1 million t at 1.91 per cent TREO (inferred) (see MRE (mineral resource estimate) news release dated May 22, 2024).

Highlights:

• Commerce Resources confirms significant niobium mineralization with 122.5 m at 0.62 per cent Nb2O5 from near surface at the Mallard prospect, Eldor property, located within two km of the company's globally significant Ashram rare-earth and fluorspar deposit, Quebec, Canada.
• Core assay results from the first seven drill holes of the 2024 program, which targeted the Mallard prospect and Spoke target, are reported in this news release.

Mallard prospect:

• 122.5 m at 0.62 per cent Nb2O5 and 6.4 per cent P2O5 (EC24-208), including:
  • 12.0 m at 0.82 per cent Nb2O5 and 7.5 per cent P2O5;
  • 7.5 m at 1.01 per cent Nb2O5 and 12.3 per cent P2O5;
  • 15.5 m at 0.62 per cent Nb2O5, 360 parts per million (ppm) Ta2O5 and 6.6 per cent P2O5 (EC24-211), including:
    • 8.1 m at 0.79 per cent Nb2O5, 439 ppm Ta2O5 and 7.7 per cent P2O5;
  • 42.9 m at 0.60 per cent Nb2O5 and 7.1 per cent P2O5 (EC24-211), including:
    • 2.9 m at 1.13 per cent Nb2O5 and 12.7 per cent P2O5;
  • 24.0 m at 0.69 per cent Nb2O5 and 6.2 per cent P2O5 (EC24-210).

Spoke target:

• 27.5 m at 0.60 per cent Nb2O5 and 8.7 per cent P2O5 (EC24-212);
• 17.9 m at 0.66 per cent Nb2O5 and 5.2 per cent P2O5 (EC24-213);
• 21.3 m at 0.60 per cent Nb2O5 and 5.8 per cent P2O5 (EC24-213);
• The 2024 drill program of 29 NQ-size drill holes totalling 8,253 m has now concluded, with remaining drill core assays anticipated within Q4 (fourth quarter) 2024.

Ross Carroll, president and chief executive officer of Commerce, comments: "The company remains focused on the development of the Ashram deposit and its pending preliminary economic assessment. However, the potential for the property to hold a significant mineral resource of niobium is something that has been recognized by the company for many years. Thanks to our experienced exploration team, we continue to deliver highly successful niobium drilling results at the property, with impressive grades and widths of mineralization providing confidence that a stand-alone niobium project is possible. Additional drilling in support of a maiden mineral resource estimate and subsequent studies for the niobium at Eldor are the logical next steps to unlock the value of this potential, which is situated proximal to Ashram."

Patrik Schmidt, vice-president of exploration of Commerce, comments: "The 2024 drill program was highly successful in accomplishing both of our primary objectives. All drill holes testing the geophysical anomalies intersected carbonatite, confirming that Nb mineralization exists beyond the known targets. Additionally, we are also very pleased with the first batch of results that followed up on known targets. The assays continue to deliver very strong results with substantial intersections of 0.5 to 0.7 per cent Nb2O5 at Mallard and Spoke."

The niobium (plus or minus tantalum and phosphate) targets at the Eldor property are situated proximal (typically less than two km) to the company's Ashram rare-earth and fluorspar deposit. Therefore, the discovery of a substantial niobium deposit in this area would present a significant opportunity for joint infrastructure development and use.

One of the main objectives for the 2024 drill program was to focus on completing several follow-up drill holes at the Mallard prospect to further delineate along strike mineralization potential of carbonatite in this target area. The first drill hole of the 2021 drill program at Mallard, EC21-175, returned the best niobium intercept to date from the property at 1.00 per cent Nb2O5 over 17.1 m (and 136 ppm Ta2O5), within a larger interval of 0.82 per cent Nb2O5 over 42.3 m (and 153 ppm Ta2O5; see news release dated Nov. 1, 2021). The first drill hole of the 2024 campaign (EC24-208) was therefore aimed at testing the extent of downdip mineralization adjacent to hole EC21-175 and the nearby EC19-174A, which returned similar niobium-mineralized carbonatite intercepts during the 2019 drill program (0.80 per cent Nb2O5 over 31.5 m, including 1.36 per cent Nb2O5 over 4.5 m; see news release dated June 11, 2019). Drill hole EC24-208 successfully demonstrated the downdip continuity of niobium-enrichment within carbonatite intersected at Mallard, with notable high-grade intercepts of 0.82 per cent Nb2O5 over 12.0 m and 1.01 per cent Nb2O5 over 7.5 m, all within a broad interval of 122.5 m of 0.62 per cent Nb2O5. Subsequent drill holes at Mallard (EC24-209 to EC24-211) were designed as stepouts both to the northwest and southwest of previously drill-tested areas of the Mallard prospect.

The company also followed up on the initial drill testing that targeted an anomalous magnetic high known as Spoke during the company's inaugural drilling campaign at the property in 2008. Two holes drilled at the Spoke target (EC24-212 and EC24-213) returned promising results with niobium mineralized intercepts, including an interval of 27.5 m at 0.60 per cent Nb2O5 starting from 133 m depth in EC24-212 and two intervals in EC24-213 of 17.9 m at 0.66 per cent Nb2O5 starting from 247.7 m in addition to a wider interval of 21.3 m at 0.60 per cent Nb2O5 starting at a depth of 278.5 m. Although further drill testing is required at Spoke, these deeper mineralized intercepts could indicate a continuation of the Mallard niobium-enrichment trend in carbonatites, extending the mineralization trend to the northwest beyond Mallard.

The geological team has completed all core processing for the 2024 drill program, and all core samples for the program have now been received by Activation Laboratories Ltd., located in Ancaster, Ont., for preparation and analyses. Core assay results for 21 drill holes from the 2024 drill program are still pending.

Quality assurance and quality control (QA/QC)

A quality assurance and quality control protocol following industry best practices was incorporated into the program and included systematic insertion of quartz blanks and certified reference materials into sample batches at a rate of approximately 5 per cent. All core samples collected were shipped to Activation Laboratories Ltd. in Ancaster, Ont., Canada, for sample preparation (code RX1), which includes crushing up to 80 per cent passing two millimetres, riffle split (250 grams (g)) and pulverize (mild steel) to 95 per cent passing 105 microns. The samples were homogenized and subsequently analyzed for multielement using fusion with lithium metaborate/tetraborate in platinum crucibles and analysis by fusion XRF (codes 8-Nb-Ta, majors plus REE). Fluorine (F) assay was requested based on visual presence of fluorspar by lithium metaborate/tetraborate fusion and acid dissolution with analysis by ion selective electrode (ISE) with a detection limit of 0.01 per cent

National Instrument 43-101 disclosure

Patrik T. Schmidt, MSc, PGeo, Dahrouge Geological Consulting Ltd., a permit holder with the Ordre des Geologues du Quebec and qualified person as defined by NI 43-101, supervised the preparation of the technical information in this news release.

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 within the Eldor property, in Northern Quebec, Canada. The Ashram deposit is characterized by simple rare-earth (monazite, bastnaesite, xenotime) and gangue (carbonates) mineralogy, a large-tonnage resource at favourable grade, and has demonstrated the production of high-grade (more than 30 to 45 per cent TREO) mineral concentrates at high recovery (more than 60 to 75 per cent), in line with active global producers. The Ashram deposit also has a fluorspar component that makes it one of the largest potential sources of fluorspar in the world and could be a long-term supplier to the met-spar and acid-spar markets. The company is positioning to be 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 NdPr oxide to the global market. Additionally, Commerce is committed to exploring the potential of other high-value commodities on the property, such as niobium and phosphate minerals, which may help advance Ashram by reducing costs through shared development.

We seek Safe Harbor.