DGAP-News: Commerce Resources Corp.. is an increase in indicated resources at the Upper Fir tantalum and niobium deposit in Blue River, British Columbia, is known (German) Commerce Resources Corp.. is an increase in indicated resources at the Upper Fir tantalum and niobium deposit in Blue River, British Columbia, known DGAP-News: Commerce Resources Corp.. / Key word (s): drilling result Commerce Resources Corp.. is an increase of the displayed Resources at the Upper Fir tantalum and niobium deposit in Blue River, British Columbia, known 09.07.2012 / 10:05 Commerce Resources Corp.. are based on the analysis results of further by the end of the 2010 drill program 54 holes put down (12 949 meters) an increase in indicated resources at the Upper Fir tantalum and niobium deposit in Blue River, British Columbia, known The main points - The results of the study show Indicated Mineral Resource of total of 51.8 million tonnes at 192 ppm and 1,490 ppm Nb2O5, Ta2O5 and Inferred mineral resources totaling 8.8 million tons with 186 ppm Ta2O5 and Nb2O5 1660 ppm. - This corresponds to an increase in Indicated Mineral Resource of 42 % And the inferred mineral resources by 37% compared to the PEA (Preliminary Economic Assessment, Preliminary Economic Assessment) from the year 2011. - The pounds of tantalum increased in the displayed Mineral resources by 40% and 23% in the inferred resources; the pounds of niobium
increased in the Indicated Mineral Resource to
25% and 21% in the inferred resource. About 86% of the
Tantalum and niobium are home to 84% of the indicated resources.
- The increase in the tonnage is based primarily on a reduction of the
Cut-off value for the mining blocks of 52 USD per tonne to USD 40 per
Ton, by excluding the cost of backfilling and to a lesser
Degree by the exclusion of other in-fill diamond drilling.
- AMEC 's' Blue River Tantalum-Niobium Project, British Columbia, Canada, NJ
43-101 compliant technical report on the updating of the
Mineral Resource 'with date 22nd June 2012 is the day of publication of this
Press release published are (www.SEDAR.com).
- After the major milestone of this resource update
was achieved successfully, Commerce and AMEC their work on a
Continue updating this new mineral resource estimate, by 34
Further infill drilling in 2011 (total 8715 meters)
and the results of ongoing work in 2012 to
Vancouver, British Columbia, Canada. 6th July 2012. Commerce Resources Corp..
(TSX: A0J2Q3 TSX-V: CCE, OTCQX: CMRZF) announces a positive,
National Instrument 43-101 compliant mineral resource update
for the tantalum and niobium deposit Upper Fir, Blue River, British
Columbia, announced the results of the end of 2010 brought down
Includes drilling. A technical report, independent of the
Counseling office was AMEC Americas Limited ('AMEC') made support
the results of the mineral resource update and also includes
Excerpts from a PEA (Preliminary Economic Assessment, Preliminary
Economic Assessment), which on the Blue River project, date
29th September 2011, was conducted (2011-PEA, see Press Release
Commerce on third November 2011). The results of the
2011-PEA-mining studies in terms of their results are not
changed since their underlying assumptions remain appropriate.
AMEC created a beherbergtes updated in a carbonatite
Resource model. A total of 237 holes were used, the
50 395 m of HQ core samples and 12 736 samples returned. Most
Holes were located at a nominal spacing of 50 m with slopes,
usually between -60 degrees and were subvertikaler orientation.
The composite body covers more than 1,450 m in
North-south direction and up to 800 meters east-west direction. Tantalum and
Niobium are present in the minerals pyrochlore and columbite-Ferro.
AMEC compared the results of the 34 holes (totaling 8715 meters),
The drilled in 2011 after the closure of the resource database
were, with the updated resource model and found that they
to some extent in the model predicted geology coincided. The
Results from the year 2011 as well as the ongoing field work in
2012 as the basis for a new update of the resource estimate
be used. This update is currently headed by AMEC
carried out. Completion is expected in early 2013.
The 2011 PEA was without assuming a chamber pier construction
Developed and backfilling without dismantling the stronghold. For the
Mineral resource estimate was a processing rate of 7,500 tons
used per day and an underground mining plan for the Blue River project.
There was a processing method that returns a floating with
Standardvermahlung ('standard-grind flotation process') to produce
use of a concentrate of ferro-columbite and pyrochlore is, for the
Upper Fir ore provided. The proposed method is similar to treatment
those commercially available in the Niobec mine from Iamgold Quebec
is applied. The concentrate is to be further processed to
produce marketable separate tantalum and niobium oxides. The
proposed processes are mature and already an industrial
Table 1 shows a summary of the updated mineral resource
Table 1: Blue River Project Estimated mineral resources.
(Expiry date June 22, 2012). Tomasz Postolski, P.Eng, 'Qualified
Category Tonnes Nb2O5 Ta2O5 Ta2O5 Contained Contained
(Ppm) (ppm) (kg)
Indicated 51,780,000 192 1.490 9,930,000 76,900,000
Inferred 8,800,000 186 1.660 1,600,000 14,600,000
First Assumptions include U.S. $ 317/kg Ta, U.S. $ 46/kg Nb, 65.4% yield Ta2O5,
68.2% Nb2O5 application, U.S. $ 24/Tonne mining costs, U.S. $ 13/Tonne
Processing and refining costs, U.S. $ 3/Tonne G & A costs.
Second The resources are available for underground mining methods and were
using a "Stope Analyzer 'restricted.
Third The economic cut-off value is based on the estimated
Operating costs, assuming either of the major breakdown or the
Selective mining method according to PEA Mine Plan. The cut-off value for each block unit
ranged from U.S. $ 40/Tonne (large reduction) and $ 58/Tonne
4th Mining loss = 0%, 0% = external Erzverdünnung; planned internal
Erzverdünnung within the minimum face amount is included.
5th Reported in situ contained oxides. Discrepancies contained
Oxidwerte based on as rounding.
The mineral resource estimate by a base-case price assumption of
317 USD / kg Ta supports that go beyond the historical average prices
lies. The metal price assumptions for Ta and Nb are the same as in the
2011-PEA and are based on publicly available information
on current market prices still considered appropriate.
The following Table 2 shows the coupling of the Blue River mineral resource
with the tantalum price. The coupling is based on the fluctuating
Metal prices, but could also reduce the fluctuating or
Treatment costs or metallurgical recoveries or
Combination of all these factors represent.
Table 2: Blue River project linking the estimated mineral resources
with the tantalum price.
[U.S. $ / kg] Category Tonnes Nb2O5 Ta2O5 enth enth
[Ppm] [ppm] Ta2O5 Nb2O5
[Thousand kg] [kg in thousands]
Displayed 470 55,050,000 189 1.430 10.430 78.750
Inferred. 9,800,000 182 1.610 1.800 15.700
Displayed 381 54,230,000 190 1.440 10.310 78.270
Inferred. 9,300,000 184 1.630 1.700 15.300
Displayed 317 51,780,000 192 1.490 9.930 76.900
Inferred. 8,800,000 186 1.660 1.600 14.600
Displayed 272 47,700,000 194 1.560 9.250 74.400
First The Ta-price was varied, all other assumptions remain the same as
in the base case. The base case is shown in bold.
Since underground mining methods are expected to operate between 65% and 85%
of the ore will be mined. Again, this is the success with which the
Pillars can be removed during decommissioning, and / or dependent on whether
Backfill is applied.
Resource classification and methodology
Mineral resources are under the so-called '2005 CIM Definition
Standards for Mineral Resources and Mineral Reserves ", incorporated by reference
in the Canadian National Instrument 43-101 are integrated,
AMEC was awarded the geological interpretations of commerce in the form of
electronic three-dimensional lattice models. The truncated
Drill core analyzes were holes down to a specified length of
2.5 m, taking into account the corresponding lithological boundaries
summarized. At the aggregate core samples, the so-called
Exploratory Data Analysis (EDA pulping data analysis) is performed. The
Coefficient of variation of the content is low and favor the
Application of linear interpolation methods such as the inverse
Distance weighting. The blocks within the model were
lithologic solid model codes. The lithological units was
assigned a specific weight. Ta2O5 and Nb2O5 contents were in
Carbonatite using the so-called 'inverse distance to power 3
Calculated (ID3) "interpolation. A so-called
Four-pass interpolation has been performed, with each successive
Passage had a larger radius. The contents of the block model
were confirmed by visual inspection by the combined
Cores compared with the block contents on the screen were carried
so-called Global Statistics Declustered checks, review of local
Distortion by using so-called swath plots and ultimately
selectivity by testing the model.
The current classification of the mineral resource at Blue River is from
following reasons, the categories of 'display' and 'concluded'
- Studies of the confidence limits of the drill hole spacing;
- Concerns about the analytical accuracy and precision of the preliminary
Sample data set from 2005 to 2009; and
- The necessary proof to support the concept of fitness
metallurgical test work for the last stage of the proposed
metallurgical treatment process is still ongoing.
AMEC was assumed that under the Blue River deposit application
self-sustaining underground mining method is degraded. There was a
conceptual scenarios, envisioned that the mining and processing of
7,500 tons per day included. The economic and
Degradation under conditions were based on the assumptions of the 2011 PEA
applied, according to the AMEC QPs are still valid. Since the value of
Block units using U.S. dollars is calculated, the
Costs and assumptions is also expressed in U.S. dollars.
Comparison of mineral resources
The indicated mineral resources of the current model are in
total of 51.8 million tonnes at 192 ppm and 1,490 ppm Nb2O5, Ta2O5. The
Inferred mineral resources include a total of 8.8 million tons with
186 ppm Ta2O5 and Nb2O5 1660 ppm.
The indicated mineral resources used for the 2011 model-PEA
amounted to a total of 36.35 million tonnes at 195 ppm Ta2O5 and 1,700 ppm
Nb2O5. Inferred mineral resources in a total of 6.40
Million tonnes at 199 ppm and 1,890 ppm Nb2O5, Ta2O5.
This is a significant increase in tonnage by 42% in category
'Appear' and by 37% in the category of 'concluded' in comparison with the
PEA from the year 2011. This increase in tonnage is due primarily
on (1) a reduction of the cut-off value for the degradation of blocks 52 USD
per tonne to USD 40 per tonne, by excluding the cost of
Backfilling and to a lesser extent (2) the exclusion of other
Infill diamond drilling.
Results of the 2011 PEA
The PEA was prepared to give the concept of fitness for a further
Distinguish development of the Blue River project. The PEA (at 29
September 2011 suggested) that the deposit as an underground mine
can be economically developed and proposed to support a
Feasibility study for the project before further studies. It included a
geological models and mineral resource models, the provisional
Mine planning, a description of the metallurgical test work and
Treatment plans, a summary of the work carried out to date
Environmental baseline work and estimates of capital and operating costs.
It also assessed the economic viability of a development project
as an underground mine with processing plant. An estimate of the direct cash
Costs for production of tantalum in the form of a Oxidprodukts of technical
Quality was also included. Readers are encouraged to
PEA to read the entire technical report, which http://www.sedar.com
stands for grouting. On the website of the company
http://www.commerceresources.com is also a link to find.
To create this resource update AMEC examined the 2011 PEA and
believes that the following works and results in a
appropriate framework remain, as their underlying assumptions
have not changed.
- Underground mining at 7,500 tons per day using different
Variants of the Chamber building piers.
- The total estimated capital cost for the design and construction
located at 379 million CAD.
- Operating costs over the life of the mine to be 38.44 CAD
estimated per tonne milled.
- Cash costs for tantalum metal in the form of a Oxidprodukts of technical
Quality of 24.91 CAD per kg (for niobium-credit).
- Estimated production of 2.7 million tonnes of ore per year over 10 years.
- Estimated internal rate of return: 9.1% (before tax).
- Estimated Net Present Value (NPV, net present value): 18.5 million CAD in a
Discount rate of 8% (before tax).
- Estimated payback period: 6.3 years.
- The average salary in the conceptual mine plan diluted the
Mill: 185 ppm Ta2O5 and Nb2O5 1591 ppm.
- Mineral processing using a floating process with
Standardvermahlung ('standard-grind flotation process') to produce
a concentrate of ferro-columbite and pyrochlore.
- Metallurgical tests indicate that a mineral concentrate with 30%
Nb-Ta-Ta-pentoxide in a Nb-application of 65 - 70% is possible.
- Proposed product: high-purity Ta and Nb-chloride products
2,400 metric tons and 18 610 metric tons of
contain these metals during the life of the mine and
suitable for different markets.
- Conceptual mine life: 10 years based on the
Mineral Resources (date 20 September 2011), defined by
Information by the end of the drilling operations in 2009.
- NPV sensitivity: the Upper Fir deposit is very susceptible to
Changes in exchange rates, commodity prices and mining costs.
The results of the resource and update the PEA are
forward-looking information. The preliminary economic assessment
is only temporary in its nature and includes Inferred
Mineral resources to be used as the basis of geology too speculative
are considered to be regarded as economically, which they in
represent the category of mineral reserves would. Furthermore, it is uncertain whether the
preliminary economic assessment will be implemented. Mineral Resources
are not mineral reserves, as it demonstrates no cost
End products and base case metal price fixing
The proposed processes for the Blue River project will be 99.9% pure
Tantalum and niobium oxides produce, commonly known as the oxide products of
technical quality. These products are usually in the context of
Contracts sold and the prices are between the buyer and seller
confidential in order to maintain the competitive edge.
Tantalum is usually given in two separate forms:
* Ta2O5 in tantalite concentrate: an uncoated, tantalum-containing concentrate
of variable composition and content of trace elements, and
* Tantalum scrap (99.9% pure Ta): This product provides a tantalum
Supplement in the market relative to tantalite concentrate.
In the five years 2005-2010, the prices for
Tantalite concentrate from 75 USD / kg contained Ta2O5 and 110 USD / kg
contained Ta2O5 (34 USD / lbs - 45 USD / lb). During the same period
ranged the tantalum scrap metal prices of 110 USD / kg Ta up to 180 USD / kg
Tantalum metal (50 USD / pound - 82USD / pound).
2010, the prices due to numerous conditions, including
reduced production, increasing concerns about production of
Tantalum conflict in Africa, the depletion of known strategic
China cuts inventories and exports have increased dramatically. Center
October 2010 was the price of Ta2O5 in tantalum concentrate at 195 USD / kg
and kg for tantalum scrap metal at 280 USD /.
The higher price for tantalum scrap metal compared to the price of Ta2O5 in
Concentrate as a proxy variable for the added value that
Commerce through the refinement of the Blue River concentrate to high purity Ta2O5
should be implemented to look at.
According to AMEC 's view of the base-case price for tantalum (317 USD / kg)
based on the current market situation for the delimitation of mineral resources
appropriate. It should however be noted that it significantly above the historical
Price is. There is a risk that the use of the current
Price assumptions, not the long-term price for Ta and Nb reflect
is particularly volatile in the current market conditions.
Niobium is usually a metal or ferro niobium alloy. The
Price was relatively stable in recent years at $ 44.08 / kg (20
USD / lb). The resource update was a base-case price of
46 USD / kg (21 USD / lb) for niobium metal accepted.
AMEC 's remark about the price assumptions of resource update
The assumption used in the 2011 PEA for the tantalum price is based on
Information from the 4th Quarter of 2010. The tantalum price in 2011
increased significantly. AMEC is publicly accessible and tantalum
Niobium prices, as of May 2012 tested, and found that the current for the
Mineral resource estimate and the 2011 PEA used Ta and Nb prices
continue to be reasonable assumptions, 317 USD / kg tantalum metal and 46 USD / kg
Niobium metal in an oxide product.
Comments of Commerce President
'We are with the results of this study, a major milestone in the
Development progress of Upper Fir is again very satisfied. The
Advanced resource that was announced today, is another
Confirmation of view of commerce, that we are currently very
important, long-term source of conflict-free and morally justifiable
Tantalum develop in the long run virtually 10% of global demand
could meet, "said Dave Hodge, president of Commerce. 'The results
the extra holes that were drilled in 2011 and
our ongoing field work in 2012 are currently
together and we are eagerly awaiting the results from AMEC '
next resource update, which extends to the end of the
2012 field season work carried out will be based. All the evidence
suggest that we improve the quality of the resource even further
'Of necessity, the resource based estimate of
Served as a resource update based on an assumed
long-term pricing, prove to be conservative
could. Recent developments in the global tantalum and niobium markets
provide an indication of much higher prices than those for
Delineation of the resource were used. For example, information from
Asian Metals provide for early June 2012 (CAD = 0.9825 USD) for Nb2O5 (99.5%)
average quality with a price 59-61 USD / kg, and Ta2O5
(99.95%) with average quality at a price of 483 USD / kg. Such
Prices could be an opportunity for ongoing resource upgrade
offer them to focus on higher prices, but still conservative.
We believe that there is a positive development in the foreseeable future
provide for investors who believe that the projected
Continuing trend for higher prices. '
The Blue River Project is located near the town of Blue River, about 250 km
north of the city of Kamloops and 90 km south of Valemount
lies. The project covers an area of 105 373 hectares (1,000 km2) from.
High voltage power lines, railway lines and paved and unpaved
Roads run close to or within the
Property boundaries. The Bone Creek 18 MW hydroelectric power project
Transalta Corp.. was taken in June 2011.
The following qualified persons who were involved in the report,
are employees of AMEC, based in Vancouver: Albert Chong,
Chief Geologist, P.Geo, Tomasz Postolski, Senior Geostatistiker, P. Eng, Ramon
Mendoza Reyes, senior mining engineer, P.Eng,. Tony Lipiec,
Chief metallurgist, P.Eng,,. Behrang and Mr. Omidvar, financial analyst, P.Eng.
All of these qualified persons shall have the contents of this
Press release read and approved the excerpts and summaries
from the Blue River Tantalum-Niobium Project, British Columbia, Canada, NJ
43-101 compliant technical report on the updating of the
Mineral Resource 'with date 22nd June 2012 are.
Ms Jenna Hardy, M.Sc., P. Geol., Commerce Resources Corp., a
NI 43-101 Qualified Person has the publication of technical
Read information regarding exploration and released. A NI
43-101 compliant technical report describing the
Mineral resource update is summarized, within 45 days
be filed on SEDAR (www.sedar.com).
About Commerce Resources Corp..
Commerce Resources Corp.. is an exploration and development company
with a particular focus on tantalum, niobium and rare
Metal deposits, the potential for economic grades
and have large tonnage. The company focuses on
Particular on the development of its Upper Fir tantalum and niobium deposit
in British Columbia, Canada. It also exploring the
Eldor rare earth project in northern Quebec.