VANCOUVER, Sept. 23, 2011 /CNW/ - Commerce Resources Corp. (TSXv: CCE, FSE: D7H, OTCQX: CMRZF) (the "Company" or "Commerce") and
Canadian International Minerals Inc. (TSXv: CIN) ("Canadian
International") are pleased to jointly announce that they have entered
into an amending agreement with respect to the Carbo Property Option
Agreement (see Commerce news release dated February 10, 2009).
Under the amendment, Canadian International will immediately acquire a
100% interest in the Carbo Property by issuing an additional 8,000,000
common shares to Commerce. Commerce will retain its 2% NSR royalty on
the property with no buyback right. Canadian International will also
void any amounts due from Commerce for prior exploration under the
original option agreement. The transaction is subject to acceptance by
the TSX Venture Exchange.
Concurrently, Commerce shall subscribe for $300,000 worth of Units (the
"Units") into Canadian International's recently announced private
placement. Each Unit will consist of one common share and one-half of
one transferable share purchase warrant (each whole warrant, a
"Warrant"). Each Warrant will entitle Commerce to purchase one
additional share of Canadian International for a period of 24 months
from the closing date at a price of $0.25 per share in the first year
and $0.30 per share in the second year. Commerce will also have the
right of first refusal to participate in any future Canadian
International financings up to 19.9% of the aggregate value of the
The Carbo Property comprises seven claims totaling 2,778 hectares and is
accessible by all-weather gravel roads. The project is located 80
kilometres northeast of Prince George, B.C. within the Wicheeda-Carbo
carbonatite camp and is directly contiguous with Spectrum Mining
Corporation's Wicheeda Rare Earth Discovery. Commerce acquired the four
main claims that make up the property by staking in 2005.
About Commerce Resources Corp.
Commerce Resources Corp. is focused on building shareholder value
through the discovery and development of Canadian rare metal and rare
earth element deposits. Commerce's principal assets are its Blue River
Tantalum-Niobium Project in British Columbia and its Eldor Rare Earth
Project in Quebec.
At Blue River, Commerce is advancing its Upper Fir Tantalum and Niobium
Deposit through development with a Preliminary Economic Assessment in
the advanced stages of completion. At the Eldor Project, Commerce's
2010 exploration program led to the discovery of a significant new rare
earth deposit known as Ashram. Commerce reported an initial NI 43-101
Inferred Resource Estimate for Ashram and is continuing exploration and
drilling in combination with metallurgical, mineralogical and
environmental work. The data from these studies will be used to
undertake a resource update and Preliminary Economic Assessment for the
deposit. The Ashram Deposit is a large tonnage rare earth discovery and
is ranked as one of the largest rare earth deposits outside of China.
Commerce Resources Corp. trades on the TSX Venture Exchange under the
symbol "CCE", the Frankfurt Stock Exchange under the symbol "D7H" and
the U.S. OTCQX under the symbol "CMRZF."
On Behalf of the Board of Directors
COMMERCE RESOURCES CORP.
President and Director
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
Statements in this document which are not purely historical are
forward-looking statements, including any statements regarding beliefs,
plans, expectations or intentions regarding the future. Forward looking
statements in this news release include that Canadian International
will immediately acquire a 100% interest in the Carbo Property by
issuing an additional 8,000,000 common shares to Commerce, that
Commerce will retain its 2% NSR royalty on the property with no buyback
right, that Canadian International will void any amounts due from
Commerce for prior exploration under the original option agreement,
that Commerce shall subscribe for $300,000 worth of Units into Canadian
International's recently announced private placement, and that Commerce
will have the right of first refusal to participate in any future
Canadian International financings up to 19.9% of the aggregate value of
the respective offering.
It is important to note that actual outcomes and the Company's actual
results could differ materially from those in such forward-looking
statements. Risks and uncertainties include economic, competitive,
governmental, environmental and technological factors that may affect
the Company's operations, markets, products and prices. Factors that
could cause actual results to differ materially may include
misinterpretation of data; that we may not be able to get equipment or
labour as we need it; that we may not be able to raise sufficient funds
to complete our intended exploration and development; that our
applications to drill may be denied; that weather, logistical problems
or hazards may prevent us from exploration; that equipment may not work
as well as expected; that analysis of data may not be possible
accurately; that results which we or others have found in any
particular location are not necessarily indicative of larger areas of
our properties; that we may not complete environmental programs in a
timely manner or at all; that market prices for rare earth elements may
not justify commercial production costs; and that despite encouraging
data there may be no commercially exploitable mineralization on our
Readers should refer to the risk disclosures outlined in the Company's
Management Discussion & Analysis of its audited financial statements
filed with the British Columbia Securities Commission.
For further information:
For more information on Commerce Resources Corp. visit the corporate website at http://www.commerceresources.com or contact investor relations at 1.866.484.2700 or email@example.com