Mont Royal Faces Execution Test After Transformational Commerce Merger

A Landmark Merger in Critical Minerals

Mont Royal Resources has marked a significant milestone with the completion of its merger with Commerce Resources on 22 October 2025. This strategic union brings one of North America’s largest rare earth deposits, the Ashram Rare Earth and Fluorspar Project in Québec, under Mont Royal’s control. The merger not only expands Mont Royal’s asset base but also establishes it as a dual-listed entity on both the Australian Securities Exchange (ASX) and the TSX Venture Exchange (TSXV), broadening its investor reach across two continents.

The merger was preceded by a successful capital raising effort, securing A$10 million through a share offer priced at A$0.20 per share. This funding is earmarked to accelerate development activities and advance the Ashram Project into the pre-feasibility study phase, a critical step toward establishing a new rare earth supply source outside China.

Strategic Asset and Market Positioning

The Ashram Project stands out as a monazite-dominant carbonatite-hosted rare earth deposit, boasting an indicated resource of 73.2 million tonnes at 1.89% rare earth oxides (REO) and an inferred resource of 131.1 million tonnes at 1.91% REO. This positions Mont Royal at the forefront of North American rare earth development, a sector gaining momentum amid global efforts to diversify supply chains away from China.

Complementing Ashram is Mont Royal’s Northern Lights Project, which offers exploration potential for lithium, copper, and gold, further diversifying the company’s critical minerals portfolio. The dual listing strategy is designed to enhance liquidity and attract a wider investor base, leveraging the ASX’s established rare earths sector and the TSXV’s proximity to Canadian mining infrastructure and capital markets.

Leadership and Stakeholder Engagement

Mont Royal has appointed a seasoned leadership team to steer its next phase of growth. Nicholas Holthouse, with 36 years of global mining experience and a strong background in rare earths, has taken the helm as Managing Director and CEO. Alongside him, Cameron Henry assumes the role of non-executive Chairman, bringing deep expertise in minerals processing and infrastructure development.

During the quarter, Mr. Holthouse engaged with federal and provincial government officials and key stakeholders in Québec, focusing on infrastructure solutions and funding avenues for Ashram. These discussions have been met with positive feedback, underscoring strong local support for the project’s advancement.

Financial Health and Next Steps

At the end of September 2025, Mont Royal held A$0.35 million in cash, but the subsequent capital raise has significantly bolstered its financial position. The company anticipates resuming ASX trading by the end of October, following re-compliance with listing rules. With a well-capitalized balance sheet and a clear development roadmap, Mont Royal is poised to rapidly progress the Ashram Project through pre-feasibility studies and beyond.

This development comes at a time when the global rare earths market is witnessing increased government interest, exemplified by the US Government’s recent investment in the Mountain Pass Mine in California. Mont Royal’s emergence as a North American rare earths contender aligns with this broader geopolitical trend toward securing critical mineral supply chains.