Rare Element Reports Unaudited EPS of $0.04 for Six Months

Rare Element Resources Ltd. (NYSE: REE) announced that its unaudited condensed consolidated interim financial statements and Management's Discussion and Analysis for the six months ended December 31, 2010 have been filed on www.sedar.com.Exploration expenses amounted to $5,634,144 (2009 - $2,653,690) during the six months ended December 31, 2010, of which $4,684,275 (2009 - $1,646,439) was spent on the Bear Lodge Rare-Earth Project and $910,237 (2009 - $nil) was spent on the Sundance Gold Project. Both projects are located on the same property position. Administrative expenditures, including the non-cash share-based payments amounted to $1,553,394 (2009 - $1,056,777) for the period, up 47% compared to the same period last year. Loss for the period was $1,482,214 (2009 - $1,039,150) or $0.04 per share (2009 - $0.04), up 43% from the same period in the prior year. Cash and cash equivalents at December 31, 2010 were $67,008,719 (June 30, 2010 - $11,460,476), reflecting the $57.5 million financing completed in December, 2010.