Interview with David Hodge, president of Commerce Resources Corp., in the official directory for the PDAC 2011.

1. Commerce Resources Corp.
Commerce Resources’ rare metal
advantage – two projects underway
are continuing our field and engineering work. to the exploration for rare earth elements and
Following the completion of our preliminary rare metals. How long have you been explor-
economic assessment, we plan to update our ing for these critical metals?
mineral resource es-
timate with the 52 DH: Our team has
been exploring for
holes drilled in 2010. “The tantalum market critical metals for
Our second project is includes only a small over 10 years.
the Eldor Rare Earth
Project in northern number of miners, RI: Analysts forecast a
shortage in tantalum
Quebec. We are
excited about the
and with a large de- supply. How is Com-
encouraging results fined resource at our merce Resources pos-
itioned to meet this
received from exten-
sive exploration in Blue River project, I market need?
2010. These results believe we are well DH: In my opinion,
even led newsletter this shortage they
analyst John Kaiser to positioned.” are talking about is
describe the Eldor as currently underway.
“the most important ~President David Hodge
Tantalum continues
David Hodge new grassroots rare to be essential for
President earth discovery since virtually all electron-
market interest took off in 2009.” ics, and there are new applications reaching the
When one of the world’s top producers
of tantalum decides to restart produc- At Eldor, we have discovered significant inter- market utilizing tantalum – a growing number
tion after almost two years of inactivity, sections of mineralized zones of Total Rare of which are in the areas of clean and “green-
you know something’s brewing in the Earth Oxides. Due to the consistency of the tech.” The demand continues to increase.
marketplace. Improving market condi- rare earth mineralization within long intervals, In addition, new legislation in the United
tions and the vital role that tantalum we commissioned SGS Geostat to prepare an States regarding the use of raw materials from
plays in the production of today’s initial mineral resource estimate for the Eldor. conflict regions has limited the supply of avail-
high-tech and “green” gadgets breed The most important aspect of this deposit is
predictions that serious shortages of that it is enriched with significant light and
this rare metal are looming. This is good heavy REEs – this is very rare.
news for potential producers like Com-
RI: What are the next steps you need to do in
merce Resources who have been very
order to take these projects to the next level?
active on developing their Blue River
tantalum and niobium project in BC. DH: At Blue River, the preliminary economic
However, Commerce Resources is also assessment and the recently released updated
active on their Eldor REE project in Que- mineral resource estimate will provide a solid
bec, which has been called “the most base to make the next development decision.
important new grassroots rare earth Our work in 2011 will follow the recommen-
discovery.” With both these projects dations by our engineering team and also in-
underway at this time Commerce Re- clude additional exploration of the area.
sources is certainly in an advantageous
At Eldor, we have an expedited exploration
position in the Rare Metal space.
program with a focus to further define the ex-
R
esource Intelligence: I see that Commerce tent and grade of the resource as well as increase
Resources is focused on two major pro- our understanding of the heavy rare earth ox-
jects. Could you update investors on the ide zone within the mineralized intersection.
latest developments for these? To do so, we plan to conduct significant drill-
ing at the property. We have contracted SGS
David Hodge: The most advanced project we are Geostat to complete the first 43-101 resource
developing is the Blue River Tantalum-Nio- calculation for this deposit and expect it to be
bium Project in British Columbia. To date, delivered shortly.
we have identified a large indicated resource of Laura Rapp, Dahrouge Geological, and Leila Tate,
RI: There have been a number of new entrants Sage Environmental, exploring the Commerce
the critical metals tantalum and niobium and Resources Upper Fir Tantalum/Niobium Project
40 See page 96 for Disclosure, Disclaimers & Info on Mineral Resource and Reserves

2. Booth # 2817 • www.commerceresources.com • 604.484.2700
able tantalum in the supply chain. This is
another driver leading to an increase in price.
The tantalum market includes only a small
number of miners, and with a large defined re-
source at our Blue River project, I believe we
are well positioned.
RI: I see that the world’s former largest miner
of tantalum has announced that they are going
back into production. What message do you
think that sends to investors?
DH: I see this announcement as being very good
news. Having additional conflict-free sources
of tantalum supplying the market will bring
additional confidence to end-users of tantalum
that the current and future demands can be
met. The supply of raw materials is a very im-
portant consideration for end-users who must
decide on whether or not to engineer more tan-
talum into products. As well, even with the
increase in production, there will continue to
be a shortfall of tantalum produced globally in
2011.
RI: If I were an investor, give me two reasons President David Hodge at the core shack in Blue River
why I should invest in Commerce Resources.
DH: First, Commerce Resources owns a 100% DH: I would have to say that this is our com-
interest in two large rare earth and rare metal pany’s interest in the Carbo Rare Earth Prop-
projects. Secondly, we expect to meet signifi- erty in British Columbia. Commerce has a
cant milestones on each of these projects in the 25% interest in the Carbo project, which is ad-
short term. These are the preliminary econom- jacent to Spectrum Mining’s Wicheeda Project Investor Highlights:
ic assessment for our tantalum project, and a that is host to significant rare earth mineral-
mineral resource estimate for our rare earth ele- ization. Our joint venture partner Canadian Stage:
ments project. International Minerals drilled 9 holes in our Blue River Tantalum/Niobium
Carbo property and we are looking forward to Project - Pre-feasibility stage
RI: What do you think is the least known aspect the release of the assay results.
of Commerce Resources? Eldor Rare Earth Project
- Exploration Stage
Market Cap: $110 million
as of February 4, 2011
Share price: $0.85
as of February 4, 2011
Commodity: Tantalum,
Niobium, Rare Earth Elements
Cash: $10 million
as of February 4, 2011
Highlights:
• 3 Projects
- Blue River (Tantalum, Niobium)
- Eldor (Rare Earth Elements)
- Carbo (Rare Earth Elements)
• Exposure to Rare Metals &
Rare Earth Elements
• Financially Strong
View of the Blue River Tantalum/Niobium Property
Free Revolutionary Online Investment Calculators and all 43-101 data with sources and project values www.resourceintelligence.net 41