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Rare Earth Metals Inc. Announces: TSX Approval of First Tranche of Flow-Through Financing; Closing of Second and Final Tranche of Flow-Through Financing

THUNDER BAY, ONTARIO--(Marketwire - Nov. 22, 2010) - Rare Earth Metals Inc. ("Rare Earth Metals", "RA", "REM" or the "Company") (TSX VENTURE:RA - News) announces that the TSX-Venture Exchange has accepted for filing documentation with respect to the closing of the first tranche of its non-brokered private placement previously announced on October 27, November 1 and November 10, 2010. The Company will issue 3,865,448 units ("Units") at a price of $0.46 per Unit. Each Unit consists of one flow-through common share and one half of one share purchase warrant with each whole warrant entitling the holder to acquire one additional common share at a price of $0.60 per share for a period of one year from closing (the "Unit Warrants").The Unit Warrants are subject to an acceleration clause whereby if, after four months and one day from closing, the Company's shares trade above $0.80 for a period of ten consecutive trading days, the Company will have the option to require the earlier exercise of these Unit Warrants within 30 days of formal notice from the Company.There is a statutory hold period of 4 months plus 1 day, expiring March 11, 2011 on all shares and warrants issued pursuant to the first tranche of this private placement.The Company also announces that it has submitted to the TSX-Venture Exchange for their approval documentation for closing the second and final tranche of its non-brokered flow-through financing. Subject to regulatory approval, the Company will issue an additional 150,000 Units at a price of $0.46, with each Unit consisting of one flow-though common share and one half of one share purchase warrant with each whole warrant entitling the holder to acquire one additional common share at a price of $0.60 per share for a period of one year from closing.The Company will pay finder's fees of $132,704 in cash to certain finders.About Rare Earth Metals Inc.Rare Earth Metals is a well funded company with a focus on exploring for Rare Earth Element deposits. The company presently has two advanced projects in Ontario and Newfoundland and Labrador, all exhibiting multi element potential (REEs, Niobium, Beryllium, Zirconium and Iron Ore) and proximity to available infrastructure. Its flagship property is the Clay-Howells Prospect. Additional information concerning the Corporation is contained in documents filed by the Corporation with securities regulators, available under the company's profile at www.sedar.com. Investors are invited to visit the Rare Earth Metals web site at www.rareearthmetals.ca.ON BEHALF OF THE BOARD OF DIRECTORS OF RARE EARTH METALS INC.:Michael Stares, President and CEOThis release includes certain statements that may be deemed forward-looking statements. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's filings that are available at www.sedar.com."Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."