Commerce Resources Corp. (TSXV:CCE,FWB:D7H,OTCQX:CMRZF) announced completion of a positive National Instrument 43-101 compliant Preliminary Economic Assessment for the Upper Fir Tantalum-Niobium Deposit at Blue River, B.C.
As quoted in the press release:
The Preliminary Economic Assessment, prepared by independent consultants, AMEC Americas Limited, indicates that the deposit can be developed economically as an underground mine and recommends future studies to support a pre-feasibility level assessment of the project.
- Study results show a positive cash flow for a potential 7500 tonnes per day underground operation at the Upper Fir, with cash costs of $C24.91 per kilogram of tantalum metal (net of niobium metal credits) in a technical grade oxide product.
- AMEC’s economic evaluation was based on the September 29, 2011 mineral resource base of 36.4 million tonnes of Indicated mineral resource containing 195 ppm (gpt) Ta2O5 and 1,700 ppm (gpt) Nb2O5 plus 6.4 million tonnes of Inferred mineral resource containing 199 ppm (gpt) Ta2O5 and 1890 ppm (gpt) Nb2O5.
- With the milestone of the PEA completed, AMEC has commenced work on an updated mineral resource estimate that will include the results of drilling completed to the end of 2010 and assays received as of September 29, 2011. This will be followed by a technical report that will incorporate drilling, assaying, geological mapping and other work completed on the Upper Fir to the end of Commerce’s 2010 field program. A subsequent update to this technical report is also planned that will include results of the 2011 drilling and metallurgical test programs.
Commerce’s President, Dave Hodge, said:
“We are extremely pleased with the results of this study which represents a major milestone in the progress to develop the Upper Fir. The AMEC PEA reported today is further confirmation of Commerce’s belief that we are in the process of building a very important long-term source of conflict free and ethical tantalum which could potentially supply 10% of the current world’s market for a near-ten year period.”