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Press release from Marketwire

Rare Element Added to S&P/TSX SmallCap Index

Friday, September 21, 2012

Rare Element Added to S&P/TSX SmallCap Index09:15 EDT Friday, September 21, 2012LAKEWOOD, COLORADO--(Marketwire - Sept. 21, 2012) -Rare Element Resources Ltd. (TSX:RES)(NYSE Amex:REE)(NYSE MKT:REE) is pleased to report that the S&P/TSX SmallCap Index has added Rare Element Resources to the index commencing at close of market September 21, 2012. Rare Element was one of 47 companies added to the Index this year. Randall Scott, President and CEO, stated, "We are pleased to be added to the S&P/TSX SmallCap Index. Our historical liquidity and market capitalization has enabled our inclusion into the Index and we will work hard to maintain our status on the Index."Rare Element Resources Ltd. (TSX:RES)(NYSE Amex:REE)(NYSE MKT:REE) is a publicly traded mineral resource company focused on exploration and development of rare-earth elements and gold. In addition to the REE exploration and evaluation efforts, the Company controls the Sundance gold project, which is located on the same property in Wyoming.For information, refer to the Company's website at www.rareelementresources.com. Forward Looking Statements Except for statements of historical fact, certain information contained herein constitutes forward-looking statements. Forward looking statements are usually identified by our use of certain terminology, including "will", "believes", "may", "expects", "should", "seeks", "anticipates", "has potential to", or "intends' or by discussions of strategy or intentions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results or achievements to be materially different from any future results or achievements expressed or implied by such forward-looking statements. Forward-looking statements are statements that are not historical facts, and include but are not limited to, estimates and their underlying assumptions; statements regarding plans, objectives and expectations with respect to the effectiveness of the Company's business model; future operations, products and services; the impact of regulatory initiatives on the Company's operations; the size of and opportunities related to the market for the Company's products; general industry and macroeconomic growth rates; expectations related to possible joint and/or strategic ventures and statements regarding future performance.FOR FURTHER INFORMATION PLEASE CONTACT: Anne HiteRare Element Resources Ltd.720-278-2466www.rareelementresources.com