Quantum Rare Earth Developments Corp.

Quantum Rare Earth Developments Corp.

February 17, 2012 16:55 ET

Quantum CEO Interviewed by GTX-TV: Development Work Continues to Advance Elk Creek Niobium Project

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 17, 2012) - Quantum Rare Earth Developments Corp. (TSX VENTURE:QRE)(OTCQX:QREDF)(FRANKFURT:BR3) ("Quantum", the "Company") CEO Peter Dickie discussed the Company's plans on a recently aired GTX-TV financial news network interview. See: http://www.youtube.com/glxwire

The U.S. imports 100% of the strategic metal, niobium, and while the U.S. currently has no domestic source, the U.S. Geological Survey (USGS) has said that in addition to rare earth elements (REEs), Quantum's 14-square-mile site in Elk Creek, Nebraska may comprise the largest niobium resource in the nation. Niobium is used as a steel hardener to produce lighter, stronger steel and due to this weight advantage can create significant savings when used in automobiles, natural gas pipelines, bridges and buildings. Niobium is also used to produce super-alloys needed by the aerospace and defense industries.

In the interview, the Quantum CEO said the next milestone for Quantum following receipt of the current metallurgical testing and updated 43-101 resource calculation will be an economic assessment report. He expressed confidence that these reports would confirm the potential of the Elk Creek Niobium deposit. These reports are part of the normal procedures necessary to establish an economically viable operation at Elk Creek, which has the potential to provide hundreds of jobs both direct and indirect, as well as a sought after domestic supply of the strategic metal niobium.

The U.S. has shown increasing interest in niobium and rare earth elements. Niobium is subject to strategic stockpiling, along with rare earth elements, under legislation in Congress. In addition, the USGS recently included Quantum's Elk Creek site in a federally funded research project conducted by the University of Colorado and the University of Nebraska-Lincoln on mineral resources that are vital to the economy, national security, and land-use decisions.

Cautionary note: This news release contains forward looking statements. These statements include, but are not limited to, statements with respect to the completion of an updated resource estimate, the commencement of a preliminary economic assessment study and management's expectation that the results of these studies will confirm the potential of the Elk Creek Project. Specifically, any statements regarding the potential increase of the Company's inferred resource at the Elk Creek Project and the goals and objectives of the Company are by their nature forward looking information. Resource estimates, unless specifically noted, are considered speculative. The Company has filed a National Instrument 43-101 report on the Elk Creek Project. Any and all other resource or reserve estimates are historical in nature, and should not be relied upon. By their nature, forward looking statements involve known and unknown risks and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Other factors may cause the Company's actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements.

Specific risk factors include risks associated with the ability obtain any necessary approvals, waivers, consents and other requirements necessary or desirable to permit or facilitate the development of the Company's properties, risks associated with project development; the need for additional financing; operational risks associated with exploration activities and results, mining and mineral processing; environmental liability claims and insurance; reliance on key personnel; tax consequences; and other risks and uncertainties.

The business of exploring for minerals involves a high degree of risk.

Cautionary Note to US investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as "reserves" unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.

"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."

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