Corporate Presentation: Rare Earth Metals Inc. (TSXv: RA)
1.
2. FORWARD LOOKING STATEMENT
Forward-
Forward-Looking Statements – Certain statements included in this presentation are forward-looking
forward-
statements which are made pursuant to the “safe harbor” provisions of the United States Private
Securities Litigation Reform Act of 1995. They include estimates and statements that describe the
Company’s future plans, objectives and goals, including words to the effect that the Company or
management expects a stated condition or result to occur. When used herein, words such as
“estimate”, “expect”, “believe”, “intend”, “budget”, “plan”, “projection”, “progressing”, “strategy”,
estimate , expect , believe , intend , budget , plan , projection , progressing , strategy ,
“outlook”, “will”, and other similar expressions are intended to identify forward-looking statements. In
forward-
particular statements relating to the estimated future metal prices, cash flows, expenses, capital
costs, ore production, mine life, financing, construction and commissioning are forward-looking
forward-
statements. Such forward-looking statements involve inherent risks and uncertainties and are subject
forward-
to factors, many of which are beyond our control, that may cause actual results or performance to
differ materially from those currently anticipated in such statements. Important factors that could
cause actual results to differ materially from those expressed or implied by such forward-looking
forward-
statements include among others metal price volatility, changes in the US/CDN dollar exchange rate,
economic and political events affecting metal supply and demand, fluctuations in ore grade, ore
tonnes milled, geological, technical, mining or processing problems, future profitability and production,
availability of financing on acceptable terms and unexpected problems during the development,
construction and start-up phases of the underground mine. For a more comprehensive review of risk
start-
factors, please refer to the Company’s most recent Annual Report in Form 40-F/Annual Report under
40-
“Management’s Di
“M t’ Discussion and A l i of Fi
i d Analysis f Financial R
i l Results” and A
lt ” d Annual I f
l Information F
ti Form under “Risk
d “Ri k
Factors” on file with the U.S. Securities and Exchange Commission and Canada provincial securities
regulatory authorities. The Company disclaims any obligation to update or revise any forward-looking
forward-
statements whether as a result of new information, events or otherwise. Readers are cautioned not to
put undue reliance on these forward-looking statements. Descriptions of mineral reserves and
forward-
resources estimates included herein under Canadian standards may not be comparable to similar
information made available by U.S. companies subject to reporting and disclosure requirements of the
United States Securities and Exchange Commission. See “Mineral Reserve and Resource Estimate –
Note to U.S. Shareholders” in the Annual Report in Form 40-F.
40-
The presentation has been prepared by management of Rare Earth Metals Inc, and does not represent
a recommendation to buy or sell these securities. Investors should always consult their investment
advisors prior to making any Investment decision.
3. PRESENTATION OUTLINE
Corporate Strategy
Corporate Structure
Officers and Directors
Rationale
i l
Projects
• Clay-Howells
Clay-
• Lackner Lake
• Red Wine
Summary
4. CORPORATE STRUCTURE
COMPANY IS THE RESULT OF A “MERGER” BETWEEN EAST
ENERGY CORP (TSX-V:EEC) AND RARE EARTH METALS INC.
CORP. (TSX- INC
(PRIVATE COMPANY) WITH RESULTING COMPANY RARE
EARTH METALS
73.4 MILLION OUTSTANDING
73 4
3.75 MILLION OPTIONS
12 MILLION WARRANTS
89.15 MILLION FULLY DILUTED
$9.6 MILLION IN THE TREASURY
5. OFFICERS & DIRECTORS
MICHAEL STARES
PRESIDENT & CEO
WAYNE REID
DIRECTOR
STEPHEN STARES
PRESIDENT OF BENTON RESOURCES CORP
CORP.
WILLIAM HARPER
DIRECTOR
6. LIGHT RARE EARTH ELEMENTS
(LREE) PRICES AS OF MARCH 2/10ALL DATA IS FOB CHINA
FROM METALS-PAGES.C0M
AND STANS ENERGY’S WEBSITE
ELEMENT ATOMIC SYMBOL PRICE KG
Lanthanum La $5.55
Cerium Ce $4.15
Praseodymium Pr $25.75
Neodymium Nd $26.75
Samarium Sm $4.50
7. Heavy Rare Earth Elements
(HREE) PRICES AS OF MAR 2 /10 ALL DATA IS FOB CHINA
FROM METALS-PAGES.C0M
AND STANS ENERGY’S WEBSITE
ELEMENT ATOMICIC SYMBOL PRICE KG
Europium Eu $480.00
Gadolinium Gd $7.65
Terbium Tb $350.00
Dysprosium Dy $129.50
$129 50
Holmium Ho $25.38
Erbium Er $25.50
Thulium Tm $790.00
Ytterbium Yb $155 30
$155.30
Lutetium Lu $238.00
Yttrium Y $10.25
8.
9.
10.
11. CORPORATE STRATEGY
FOCUS ON REE DEPOSITS WITH ADDITIONAL MINERAL CREDITS ie
IRON ORE, BERYLLIUM ZIRCONIUM NIOBIUM
ORE BERYLLIUM, ZIRCONIUM,
PRIORITIZE OPPORTUNITIES TO ACQUIRE ADVANCED (DRILL
READY) PROJECTS WITH GOOD ACCESS AND INFRASTRUCTURE
MOVE ON THESE OPPORTUNITIES QUICKLY - PRESENTLY A TIGHT
Q
SUPPLY of REEs AND EXPORT RESTRICTIONS SHOULD ENSURE A
HEALTHY MARKET WITH GOOD FUTURE METAL PRICES BUT
TIMING WILL BE IMPORTANT
PRIORITY IS TO COMPLETE METALLURGICAL TEST WORK ON THE
CLAY HOWELLS PROSPECT
MAINTAIN A PIPELINE OF OTHER ADVANCED PROPERTIES THAT
CAN BE EVALUATED EITHER INTERNALLY OR THROUGH JOINT
VENTURE.
VENTURE
12. GOOSE BAY
REDWINE
PROPERTY
CLAY
ST JOHNS
THUNDER HOWELLS
BAY
PROPERTY
TIMMINS
LACKNER
PROPERTY
CLAY - HOWELLS PROPERTY LOCATION
13. CLAY-
CLAY- HOWELLS PROSPECT
18 DIAMOND DRILL HOLES TESTED THE CABONATITE-MAGNETITE ZONE FOR A STRIKE
CABONATITE-
LENGTH OF 700 METERS
NEWEST DRILL HOLE ASSAYS INCLUDE:
CH-09 : 0.69% TREO /0.12% Nb203 /47.20% Fe203 /76.6 METERS
CH-
CH-17 : 0.85% TREO /0.13% Nb205 /37.76% Fe203 /35 METERS
CH-
CH-13 : 0.69% TREO / 0.14% Nb205 /57.8% Fe203/105.3 METER INC: 1.088%
CH-
TREO/0.14% Nb205 and 65.95% Fe203/ 16.9 METERS
100% OWNED PATENTED MINERAL AND SURFACE RIGHTS, ROAD ACCESSIBLE WITH
GREAT INFRASTRUCTURE - HIGHWAY, RAILROAD AND PIPELINES WITHIN 40
KILOMETERS
VERY SIMILAR TO THE BAYAN OBO MINE IN CHINA
NUMEROUS OTHER UNTESTED MAGNETIC ANOMALIES WITHIN THE 110 SQ KM
CARBONATITE COMPLEX
16. AIRBORNE MAGNETICS: CLAY- HOWELLS
CLAY-
AREA OF 2010 WINTER
DRILL PROGRAM
UNTESTED
MAGNETIC
ANOMALIES
17. CLAY-
CLAY- HOWELL PROSPECT FIRST DERIVATIVE MAGNETICS
2010 DRILLING
AREA
RED OUTLINE IS THE
AREA OF POTENTIAL
TO ADD TONS TO
IRON DEPOSIT PLUS
REE
18. 40%
50%
60%
70%
80%
90%
100%
M
tP
as
s
Ba
ot
ou
M
tW
el
d
No
la
Cl ns
ay
-H
ow
el
ls
Pe
a
Ri
dg
Ne e
ch
al
ac
ho
St
ra
La nge
ke
REE Distribution of Various Deposits
32. CLAY – HOWELLS EXPLORATION PLAN
AIRBORNE SURVEY COMPLETED
18 DDH COMPLETED (5432.5 METERS)
MUTIPLE MAGNETITE ZONES INTERSECTED IN DRILLING THAT
INDICATE A STRIKE LENGTH OF OVER 700 METERS AND OPEN IN
ALL DIRECTIONS
CORE SAMPLES HAVE BEEN SELECTED AND SENT TO XSTRATA
PROCESS SUPPORT IN SUDBURY FOR METALLURGICAL TESTWORK;
RESULTS WILL BE AVAILBLE IN SIX WEEKS
FOLLOW UP DRILLING ONCE ALL ASSAYS ARE COMPILED AND PRELIMINARY
MINERALOGICAL WORK COMPLETED, ALSO PROSPECT ALL OTHER TARGETS
IN THE COMPLEX
TOTAL EXPENDITURES FOR WINTER DRILLING AND SUMMER PROGRAM
$2,290,000.00
33.
34. RED WINE PROSPECT- LABRADOR
PROSPECT-
CLAIM BLOCKS COVERING FIVE HISTORIC SHOWINGS:
MANN #1
MANN #2
MICHELIN #1
NORTH RED WINE #1&2
TWO-
TWO-TOM LAKE
ALL WITHIN THE RED WINE PERALKALINE COMPLEX
HYDRO DAM ACCESS ROAD WITHIN 40 KM OF THE SHOWINGS
37. MANN #1 BERYLLIUM SHOWING
DISCOVERED BY GEOCHEMICAL AND RADIOMETRIC
SURVEYS IN 1956
RADIOMETRIC ZONE TRACED UP TO 1 6 KILOMETERS
1.6
LONG AND 100 METERS WIDE
DIAMOND DRILL HOLES BY RIO TINTO IN 1961 INCLUDE
INTERVAL OF 41.9 METERS OF 0.35% BERYILLIUM (BeO).
2.25 MILLION TONS AT 0.35% TO 0.40% BeO RESOURCE
CALCULATED TO A VERTICAL DEPTH OF 60 METERS BASED
ON BLASTED CHANNEL SAMPLING AND LIMITED DIAMOND
DRILLING( NON 43-101 COMPLIANT)
43-
ASSAYS OF 16 SAMPLES TAKEN FROM RECENT
PROSPECTING RAN UP TO 0.97% BERYLLIUM (BeO),
2.35% NIOBIUM (NB205) AND 4.99% TOTAL RARE EARTHS
TREO).
38. MANN #2 SHOWING
MINERALIZED RADIOACTIVE ANOMALY
STRIKE LENGTH OF APPROXIMATELY 2400 METERS AND UP
TO 90 METERS WIDE
GRAB SAMPLES BY NFLD GOVERNMENT IN 1985 ASSAYED
0.33% CESIUM, 0.17% ZIRCONIUM, 0.14% BERYLLIUM,
0.14% NIOBIUM
39. MICHELIN #1 SHOWING
RADIOACTIVE ANOMALY UP TO 75 METERS WIDE AND
TRACED ALONG STRIKE FOR A DISTANCE OF 1 KILOMETER
GRAB SAMPLING BY NFLD GOVERNMENT IN 1985 ASSAYED
0.79 % CESIUM, 0.096 % YITTRIUM, 0.24% NIOBIUM,
0.16 % ZIRCONIUM
40. TWO TOM SHOWING
DISCOVERED BY BRINEX IN 1967
RADIOACTIVE ANOMALY TRACED FOR 1500 METRES
LARGE NUMBER OF BOULDERS PROBABLY DERIVED FROM
LOCAL SOURCE
RECENT PROSPECTING SAMPLING OF 13 SAMPLES RAN UP
TO 0.93 % BERYILLIUM (BEO), 4.93 % NIOBIUM (NB205),
3.24
3 24 % (TREO)
41. NORTH RED WINE #1 & 2 SHOWING
DISCOVERED BY BRINEX LATE 1950’S
OLD PITS TRACED FOR 400 METERS
UP TO 40 % EUDIALYTE - A RUBY RED NA-CA ZIRCONIUM
NA-
SILICATE MINERAL WITH APPRECIABLE REEs AND Y
RECENT PROSPECTING: SAMPLED ANALYZED BETWEEN
1.28 % AND 4.93 % ZIRCONIUM , BETWEEN 0.31 % TO
1.04 % TREO)
)
42. LABRADOR EXPLORATION PLAN
FLY NEW RADIOMETRIC AND MAGNETIC SURVEY IN EARLY
SPRING 2010 OVER THE RED WINE PROPERTY
FOLLOW UP BY PROSPECTING, MAPPING, AND TRENCHING ON ALL
OUTLINED TARGETS
DRILLING WILL COMMENCE ON MANN # 1 PROPERTY IN MID
SUMMER 2010 TO PROPERLY OUTLINE THE EXTENT OF THE
BERYLLIUM DEPOSIT OUTLINED BY RIO TINTO IN THE 1960
TO FURTHER EVALUATE THE RARE EARTH AND NIOBIUM VALUES
OBTAINED BY THE PROSPECTING CREWS IN THE LATE FALL OF
2009
TOTAL EXPENDITURES FOR THE PROGRAM FOR 2010 SHOULD BE
APPROXIMATELY $500,000.00
43. GOOSE BAY
REDWINE
PROPERTY
ST JOHNS
THUNDER
BAY
CLAY
HOWELLS
LACKNER TIMMINS
PROPERTY
LACKNER PROPERTY LOCATION
44.
45. LACKNER PROPERTY
LACKNER LAKE IS SITUATED WITHIN A 30 SQ KM CIRCULAR
ALKALIC COMPLEX WITH HISTORIC NIOBIUM AND IRON
RESOURCES
NEW REE DISCOVERY (POLE LAKE) HOSTED IN A SYENITE
BRECCIA, VALUES UP TO 9.60 %TREO, MINIMUM 3 METERS WIDE
NO PREVIOUS WORK TARGETED ON REE POTENTIAL
LOCATED 20 KM EAST OF CHAPLEAU, WITH EASY ACCESS
OC 0 S O C U, S CC SS
THROUGH A SERIES OF WOODS ROADS
HIGHWAY AND RAILWAY WITHIN 10 KM OF PROPERTY
46. REM SUMMARY
18 DIAMOND DRILL HOLES HAVE BEEN COMPLETED TO DATE ON
THE CLAY HOWELLS PROJECT, METALURGICAL TEST ARE
CURRENTLY BEING UNDERTAKEN AND RESULTS WILL BE
AVAILABLE IN 6 WEEKS
FOUNDED AND MANAGED BY AN EXPERIENCED TEAM WHOSE
FORTE IS PROJECT GENERATION, PROJECT IMPLEMENTATION AND
DISCOVERY
WELL FUNDED TO ADVANCE PROJECTS
FOCUSING ON ADVANCED REE PROPERTIES WITH HISTORIC
RESOURCES IN PROVEN GEOLOGICAL ENVIROMENTS
PROJECT GENERALLY HAVE GOOD ACCESS AND INFRASTRUCTURE
OPERATING IN MINING FRIENDLY JURISDICTIONS IN ONTARIO,
NEWFOUNDLAND AND LABRADOR
www.rareearthmetals.ca