SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) March 3, 2003
Commerce Group Corp.
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(Exact name of registrant as specified in its charter)
Wisconsin 1-7375 39-1942961
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(State or other (Commission File Number) (IRS Employer
jurisdiction of Identification No.)
incorporation)
6001 North 91st Street, Milwaukee, Wisconsin 53225-1795
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (414) 462-5310
fax: (414) 462-5312
ITEM 5. OTHER EVENTS MATERIAL DISCLOSURE
This may be used as a news release after the filing of this Securities
and Exchange Commission Form 8-K:
COMMERCE GROUP CORP. WAS GRANTED TWO LICENSES
FROM THE EL SALVADOR GOVERNMENT
Milwaukee, Wisconsin--Commerce Group Corp. (Commerce) is delighted to
announce that the Office of the El Salvador Minister of Economy, through
its Department of Hydrocarbons and Mines, delivered two
concessions/licenses (licenses) to Commerce on March 3, 2003.
Commerce received a renewed and extended exploitation license to extract
precious metals from its San Sebastian Gold Mine (SSGM) for a period of
30 years. To date, the SSGM has produced over one million ounces of gold
and Commerce believes that this mine contains an additional four million
ounces of gold. Commerce has been involved with the SSGM for over 34
years.
Commerce also received an exploration license referred to as the New
SSGM, consisting of 42 square kilometers which surround and include the
approximately seven-square-kilometer exploitation area. This expanded
exploration provides Commerce with the opportunity to increase its gold
ore reserves and to explore three formerly-operated gold mines (the La
Lola Mine, the Santa Lucia Mine, and the Tabanco Mine), that are in this
potential mineralized belt. A United Nations' report reflects that the
La Lola Mine (4.8 kilometers northwest of the City of Santa Rosa de Lima)
was exploited in 1950 by driving two crosscuts at the 770 and 920 foot
elevations, ultimately opening two parallel veins over a length of 1,800
feet. Production from 1950 to 1953 consisted of 1,850 ounces of gold and
66,000 ounces of silver. The Tabanco Mine, which is located six
kilometers northwest of the City of Santa Rosa de Lima, was
intermittently worked between 1856-1914, however, there are no records of
production or on the grade of ore. According to this report, the
Tabanco Mine has been known since 1780 and had been worked until 1914.
These granted exploration area rights provide the opportunity for
discovering additional gold-silver ore reserves, and could enhance
shareholders' investment in Commerce.
In addition, Commerce has an application pending with the El Salvador
Director of Hydrocarbons and Mines to obtain another exploration license
for the 45-square-kilometer area known as the Nueva Esparta, which has
eight formerly operative mines. This exploration area abuts the north
end of the New SSGM license.
Actual results may differ materially from any forward-looking statement
whether expressed or implied in this announcement. The following risks
and uncertainties which could cause actual results to vary include, but
are not limited to: speculative nature of mineral exploration, precious
metals prices, production and reserve estimates, production costs, cash
flows, environmental and governmental regulations, availability of
financing, judicial proceedings and force majeure events. Most of these
factors are beyond Commerce's ability to control or predict.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
COMMERCE GROUP CORP.
(Registrant)
/s/ Edward L. Machulak
Date: March 4, 2003 __________________________________________
By: Edward L. Machulak, President