U.S. Markets closed

Rare Earth Metals Reports 1.11%, 1.32% and 1.18% TREO Over 81.1, 88.5 and 73 Meters Respectively From Additional Holes Drilled on Its Red Wine Property in Labrador

THUNDER BAY, ONTARIO--(Marketwire - Nov. 17, 2010) - Rare Earth Metals Inc ("Rare Earth Metals", "RA" or the "Company") (TSX VENTURE:RA - News) is pleased to report Rare Earth Element/Niobium/Beryllium results from three additional drill holes completed on the Two Tom Mineralized Zone at the Red Wine property located approximately 110 kilometers northeast of Churchill Falls in west central Labrador. The northeast striking Two Tom Zone has been traced to date by prospecting, trenching, and drilling for a minimum of 1.3 kilometers and is located at the eastern end of the Red Wine Peralkaline Complex. The results include a best intersection of 1.32% TREO, 0.37% Nb2O3, 0.18% BeO over 88.5 meters in hole DDH-TT-03. The HREO/TREO ratio from this composite is 7.37%. Included in this intersection was a 40.5 meter section assaying 1.67% TREO, 0.54% Nb2O3, 0.22% BeO with a HREO/TREO ratio of 7.09%. Results for DDH TT-02 include 1.40% TREO, 0.7% Nb2O5 and 0.28% BeO over 51 meters within a wider zone of 1.11% TREO, 0.29% Nb2O5 and 0.23% BeO over 81.1 meters. The HREO/TREO ratio from the 51 meter intersection is 6.10% and the 81.1 meter composite is 6.60%. DDH TT-02 was drilled to test the down dip extension of the zone intersected in DDH TT-01. Previous results from the initial Two Tom hole, DDH TT-01, (see previous press release dated Oct 25, 2010) included 1.68% TREO, 0.30% Nb2O5 and 0.37% BeO over 65.2 meters within a wider zone of 1.35% TREO, 0.31% Nb2O5 and 0.32% BeO over 105.7 meters. A 73 meter intersection in DDH TT-04 returned values of 1.18% TREO, 0.38% Nb2O5 and 0.18% BeO with a HREO/TREO ratio of 9.06%. Holes TT-03 and TT-04 were drilled 200 meters southeast of TT-01 and TT-02 along the Two Tom Mineralized Zone.Four of the eleven drill holes have now been reported for the Two Tom Mineralized Zone, and all holes intersected multiple wide REE/Nb/Be zones up to 105.7 meters. Commented Michael Stares, President of Rare Earth Metals, "We are pleased with the consistent grades and thickness of the Two Tom Zone, and we are excited about the large scale potential of the zone."A map of the Two Tom drill hole locations can be found on the company's website at www.RareEarthMetals.ca. Significant results from all holes reported to date are tabulated below:




---------------------------------------------------------------------------
HREO HREO
(i) ----
----- TREO
Hole TREO TREO (Exclud-
Depth From To Interval (i) (i) Y2O3 ing Y) Nb2O5 BeO
Drill Hole (m) (m) (m) (m) (%) (%) (%) (%) (%) (%)
---------------------------------------------------------------------------
Mann#1 -01 197 11.8 23.8 11.9 0.93 8.1 0.042 3.7 0.10 0.08
---------------------------------------------------------------------------
Mann#1 -01 80 113 33 1.05 6.6 0.037 3.1 0.25 0.17
---------------------------------------------------------------------------

---------------------------------------------------------------------------
Mann#1 -02 171 15 25.5 10.5 0.8 8.8 0.041 3.9 0.08 0.06
---------------------------------------------------------------------------
Mann#1 -02 102 123 21 1.11 4.7 0.026 2.4 0.25 0.15
---------------------------------------------------------------------------

---------------------------------------------------------------------------
Mann#1 -03 146 10 47 37 0.87 8.7 0.039 4.4 0.19 0.12
---------------------------------------------------------------------------
Incl 36.5 19.5 1.05 8.4 0.047 4.1 0.17 0.13

17
---------------------------------------------------------------------------
Mann#1 -03 69.5 109 39.5 1.15 5.8 0.037 3.0 0.49 0.23
---------------------------------------------------------------------------
Incl
69.5 92 22.5 1.44 6.1 0.043 2.9 0.49 0.32
---------------------------------------------------------------------------
and
101 108.5 7.5 1.35 6.2 0.045 3.0 0.21 0.13
---------------------------------------------------------------------------

---------------------------------------------------------------------------
Mann#1 -04 155 26 50 24 0.83 8.0 0.036 3.9 0.23 0.16
---------------------------------------------------------------------------
81.5 126.5 45 1.35 5.7 0.040 2.8 0.38 0.25
---------------------------------------------------------------------------
Incl
86 105.5 19.5 1.77 5.5 0.049 2.8 0.58 0.38
---------------------------------------------------------------------------
and
114.5 126.5 12 1.66 5.0 0.044 2.4 0.22 0.23
---------------------------------------------------------------------------

---------------------------------------------------------------------------
Mann#1-05 137 11 18.5 7.5 0.57 8.9 0.027 4.3 0.13 0.07
---------------------------------------------------------------------------
Mann#1 -05 24.5 62 37.5 1.46 5.7 0.045 2.7 0.16 0.14
---------------------------------------------------------------------------
Inc
39.5 60.5 21 1.76 4.9 0.047 2.3 0.11 0.12
---------------------------------------------------------------------------
Mann#1-05 77 101 24 0.6 14.6 0.053 6.2 0.06 0.05
---------------------------------------------------------------------------

---------------------------------------------------------------------------
Mann#1-06 167 15.7 24.5 8.8 0.89 9.0 0.044 4.4 0.19 0.1
---------------------------------------------------------------------------
Mann#1-06 36.5 81.5 45 1.35 6.3 0.046 3.0 0.25 0.2
---------------------------------------------------------------------------
Inc
54.5 81.5 27 1.71 5.8 0.054 2.7 0.24 0.2
---------------------------------------------------------------------------
Mann#1-06 89 141.5 52.5 0.76 13.5 0.063 5.7 0.07 0.07
---------------------------------------------------------------------------
Inc
114.5 141.5 27 1.02 14.9 0.095 6.2 0.07 0.07
---------------------------------------------------------------------------

---------------------------------------------------------------------------
TT-01 164 20.8 126.5 105.7 1.35 5.8 0.049 2.9 0.31 0.32
---------------------------------------------------------------------------
Incl 86 65.2 1.68 6.1 0.042 3.1 0.3 0.37
20.8
---------------------------------------------------------------------------

---------------------------------------------------------------------------
TT-02 152 18.5 99.6 81 1.11 6.6 0.038 3.3 0.29 0.23
---------------------------------------------------------------------------
Inc
18.5 69.5 51 1.40 6.1 0.044 3.0 0.27 0.28
---------------------------------------------------------------------------
and
77 99.6 22.6 0.71 8.2 0.030 4.1 0.35 0.16
---------------------------------------------------------------------------

---------------------------------------------------------------------------
TT-03 161 48.5 137 88.5 1.32 7.4 0.049 3.8 0.37 0.18
---------------------------------------------------------------------------
Inc
48.5 66.5 18 1.18 8.2 0.049 4.2 0.36 0.18
---------------------------------------------------------------------------
and
74 114.5 40.5 1.67 7.1 0.057 3.8 0.54 0.22
---------------------------------------------------------------------------
and
119 137 18 1.38 7.2 0.055 3.5 0.17 0.20
---------------------------------------------------------------------------

---------------------------------------------------------------------------
TT-04 171 78 151 73 1.18 7.7 0.046 3.9 0.38 0.18
---------------------------------------------------------------------------
(i)TREO (Total Rare Earth Oxides) includes the sum total of the Light Rare
Earth Oxides (LREO) and Heavy Rare Earth Oxides (HREO)
(i)HREO includes: Eu2O3, Gd2O3, Tb2O3, Dy2O3, Ho2O3, Er2O3, Tm2O3, Yb2O3,
Lu2O3 and Y2O3
LREO includes: La2O3, Ce2O3, Pr2O3,Nd2O3 and Sm2O3
---------------------------------------------------------------------------

(i)Please note the HREO% values previously reported were miscalculated and that the values in the above table are correct.The remainder of the drill results from the recently completed 18 drill hole program and prospect sample results will be released as they are received.Core from the drill program was transported by helicopter from the drill site, logged at Rare Earth Metals' camp and split in half using a diamond table saw or a manual core splitter. One half of the core was sent to Activation Laboratories Ltd. ("Actlabs") for analysis and the other half was kept in core boxes at the camp for reference. All samples were delivered by Company personnel to Actlabs' sample preparation facility in Happy Valley-Goose Bay. The samples were processed and representative pulps sent to Actlabs' analytical facility in Ancaster, Ontario. The digestion technique was total digestion that employs a lithium metaborate/tetraborate fusion and the analysis is completed using ICP, ICP/MS and XRF techniques. For QA/QC purposes Rare Earth Metals systematically inserts duplicates and blanks into every sample batch. The Company has also established a program of third party check-assays with other labs to confirm the original results. Actlabs is an ISO 17025 (Lab 266) and NELAP (lab E87979) accredited lab for specific registered tests.The Rare Earth Element assays are reported as Total Rare Earth Oxides (TREO), the Niobium assays are given as Niobium Oxide (Nb2O5), and the Beryllium assays are given as Beryllium Oxide (BeO). The TREO includes all the Rare Earth Oxides plus Yttrium Oxide. As per industry standard the TREO are broken down into Light Rare Earth Oxides (LREO) and Heavy Rare Earth Oxides (HREO). The LREO consists of Ce2O3, La2O3, Nd2O3, Pr2O3 and Sm2O3 and the HREO consists of Eu2O3, Gd2O3, Tb2O3, Dy2O3, Ho2O3, Er2O3, Tm2O3, Yb2O3, Lu2O3 and Y2O3. The %HREO is calculated by dividing the HREO by the TREO. The most abundant REEs from the drill hole composites described above are in decreasing order: Cerium, Lanthanum and Neodymium. A breakdown of the most abundant REE's from the drill holes can be found on the company's website at www.RareEarthMetals.ca.Paul Nielsen, PGeo, is a qualified person as defined in National Instrument 43-101, and has reviewed and approved the technical information forming the basis for release.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."