Rare Element Reports Second Round
2010 Gold Drilling Assays
Vancouver
B.C. - Rare Element Resources Ltd.
(NYSE Amex: "REE"; TSXV: "RES") announces assay results
from additional rotary (reverse circulation) holes drilled on the Sundance Gold
Project, Wyoming (drill holes SUN-067 to SUN-085). Thirty rotary drill holes
totaling 19,415 feet (5,918 m) were drilled to date during 2010 on near-surface
targets with oxide zone mineralization at the Smith, Carbon, and, most
recently, Taylor target areas. The first announcement of drilling results (see
news release dated September 21, 2010) was for the Smith target. The second
area drilled was the Carbon target, and the drilling program continues at the
Taylor target area. Gold exploration activity during 2010 is focused on: 1)
detailed definition of known gold-mineralized targets with in-fill drilling, 2)
step-off drilling from known mineralization, and 3) discovery of gold
mineralization in a new peripheral gold target.
Table 1: Selected significant gold intercepts from phase II drilling at
Rare Element Resources Sundance Project, Wyoming during 2010.
Carbon Gold Target
Eight drill holes were completed along the main trend of the Carbon gold zone.
Previous exploration drilling focused on crackle breccia, which occurs at the
margin of the Carbon diatreme (Figure 1). However, drilling in 2010 has
discovered new areas of gold mineralization within the diatreme, including
intercepts in SUN-071 of 0.52 g/t Au over 68.3m (including 0.96 g/t over 12.2m)
and in SUN-072 of 0.59 g/t Au over 79.3m. Rather than gold merely hosted by
prepared ground at the diatreme margin, it is now apparent that the Carbon
diatreme itself is a source of gold mineralization. Additional drilling on the
east side of the diatreme (SUN-077) was done in an area of
magnetite-destructive alteration and soil gold anomalies, similar to the
pattern seen in the Carbon resource area. SUN-077 represents a new gold target
area 500m to the east-northeast, with an initial intercept of 0.41 g/t Au over
51.8m (Figure 2). This relationship suggests potential for additional gold
resources along the margin of, and within the Carbon diatreme, that can be
tracked with airborne magnetics and coincident trace element soil anomalies.
Figure 1: Plan map of Rare Element Resources' Sundance Property --
Carbon gold target showing location of 2010 drill holes (green collars) and
footprint of gold mineralization containing drill intercepts greater than 300
ppb gold. (Drill hole SUN-077 located off the map to the east-northeast.)
Figure 2: Plan map of part of Rare Element Resources' Sundance Property
-- Greater Carbon gold target area showing location of peripheral 2010 drill
holes (yellow collars) and drill indicated gold-mineralized areas (> 300ppb
gold) on a base map of airborne magnetics (RTP Phase). Initial drill hole into
new mineralization discovered in SUN-077 occurs in an area of low magnetism,
similar to the main Carbon target area on the south side.
Taylor Gold Target
Definition drilling of the Taylor gold target is in progress, with a total of
four drill holes completed (SUN-085 through SUN-088). Assays are received for
the first drill hole SUN-085, which grades 0.56 g/t over 71.6m. A potential
feeder structure is seen in the results of the CSAMT survey completed in 2010
as a pronounced resistivity protrusion that extends from depth to touch the
gold-mineralized plume. This geophysical feature is currently being drilled. It
is anticipated that another six to eight holes will be finished and assays
received by the end of the year.
Click to Enlarge
Table 2 All drill holes with gold assay results to date from 2010 gold drilling
program.
Rare Element Resources Ltd (TSX-V: RES: AMEX: REE) is a publicly traded
mineral resource company focused on exploration and development of rare-earth
elements and gold on the Bear Lodge property.
Rare-earth elements are key components of the green energy technologies and
other high-technology applications. Some of the major applications include
hybrid automobiles, plug-in electric automobiles, advanced wind turbines,
computer hard drives, compact fluorescent light bulbs, metal alloys, additives
in ceramics and glass, petroleum cracking catalysts, and a number of critical
military applications. China currently produces more than 95% of the 130,000
metric tonnes of rare-earths consumed annually worldwide, and China has been
reducing its exports of rare earths each year. The rare-earth market is growing
rapidly, and is projected to accelerate if the green technologies are
implemented on a broad scale.
ON BEHALF OF THE BOARD
Donald E. Ranta, PhD, PGeo,
President & CEO
For information, refer to the Company's website at www.rareelementresources.com
or contact:
Mark T Brown, CFO, (604) 687-3520 ext 242 mtbrown@pacificopportunity..com
.
Donald E Ranta, (604) 687-3520 don@rareelementresources.com
Donald E. Ranta, PhD, PGeo, serves
the Board of Directors of the Company as an internal, technically Qualified
Person. Technical information in this news release has been reviewed by Dr.
Ranta and has been prepared in accordance with Canadian regulatory requirements
that are set out in National Instrument 43-101. This news release was prepared
by Company management, who take full responsibility for content. Neither 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.