John Kaiser: Bottom-Fish Comment

Commerce Added to Rare Earth Index
December 1, 2010

We have reproduced some key statements from John's overall commentary below:

“Commerce Resources Corp. was added to the KBFO Rare Earth Index on November 30, 2010 following the release of additional drill results on November 24 which confirm that the Eldor carbonatite in northern Quebec is a major new large tonnage light rare earth discovery and which establish the potential for a heavy rare earth enriched zone that could serve as a sweet spot for initial mine development. The discovery hole was announced on August 19 which I described in a Bottom-Fish Comment published on August 20, 2010 as the most important new grassroots rare earth discovery since market interest in rare earths took off in 2009.”

“What caught my attention was the consistency of the rare earth mineralization within long intervals, which was what had also enabled me to realize that the brownfields B-Zone discovery Quest Rare Minerals Ltd announced in September 2009 had world class implications. The 1.5%-2.0% TREO grade range of the initial widely spaced Eldor drill holes implied a tonnage footprint in the order of several hundred million tonnes.”

“The latest results add a new dimension to Eldor which justifies fast-tracking its exploration and viewing it as a contender in the race to production, and for this reason I have added Commerce to the Rare Earth Index.”

“At this stage the density of the drilling is insufficient to establish the internal zonation of the Ashram zone, but it is highly encouraging to see a possible HREO enriched sweet spot emerge within the Eldor complex at surface.”