Ms. Julie Masse reports

QUEST RARE MINERALS ISSUES $550,000 SECURED CONVERTIBLE DEBENTURE

Quest Rare Minerals Ltd. has issued a 10-per-cent secured convertible debenture in a principal amount of $550,000 by way of private placement to a U.S. private equity special opportunity fund. Quest also issued 550,000 warrants to the private equity fund, each of which entitles the holder to acquire one common share of Quest at a price of 18 cents for three years.

The debenture matures in one year and bears interest at a rate of 10 per cent per annum, payable semi-annually in cash, and, at the holder's option, can be converted into Quest common shares at a price of 16 cents per share. The debenture is secured by a first-ranking hypothec on all of Quest's assets, present and future, corporeal and incorporeal.

The proceeds from the private placement will be used by Quest to repay in full the principal amount and accrued interest outstanding on a secured convertible debenture issued by Quest in March, 2015, and for working capital.

About Quest

Quest is a Canadian-based company focused on becoming an integrated producer of rare earth metal oxides and a significant participant in the rare earth elements material supply chain.

We seek Safe Harbor.