Mr. Randall Scott reports

RARE ELEMENT ANNOUNCES APPOINTMENT OF GERALD W. GRANDEY AS CHAIRMAN OF THE BOARD

All seven director nominees were elected by the shareholders of Rare Element Resources Ltd. at the 2015 annual general meeting held on June 10, 2015. Additionally, Gerald Jerry W. Grandey was appointed by the company's board to serve as chairman, replacing Lowell A. Shonk, who had been in the role of interim chairman since February, 2015. Mr. Grandey has been a member of Rare Element Resources' board since August, 2013, and has over 30 years of high-level executive experience in the natural resource sector, most recently as chief executive officer and a member of the board of Cameco Corp., one of the world's largest uranium producers.

"Jerry not only has a wealth of industry experience, but the company will also benefit from his leadership, technical and marketing-related skills as we continue to position ourselves to help meet the need for rare earth products in the technology sector," said Randall J. Scott, president and chief executive officer. "Throughout his career, Jerry has proven himself to be a thoughtful leader with international experience who makes things happen, winning numerous industry awards over the years, including being recognized by the Harvard Business Review as one of the top-100 CEOs in the world in 2010. It is this vision that will help us continue to move the Bear Lodge project forward and allow us to develop the relationships we need with those companies that understand the value of the products we expect to produce and the need for a North American rare earth supply source.

"We want to thank Lowell for assuming the role of interim chairman. His leadership on the company's board is highly valued, including his continuation as chair of both the audit and finance committees."

The company also announced that all seven of the director nominees listed in the company's management information circular dated April 30, 2015, were re-elected today. Shareholders also ratified the reappointment of EKS&H LLLP, Certified Public Accountants, as the auditor of the company. Shareholders representing 56.07 per cent of the 47,707,216 shares outstanding on the record date of April 16, 2015, were represented in person or by proxy at the meeting. The tables provide the details for votes cast for the director nominees and the ratification of the auditor.

                                                                     
                             Votes in favour          Votes withheld  
  
Board member           Number of votes       %   Number of votes      %

M. Norman Anderson           6,648,434   95.32           326,451   4.68
Norman W. Burmeister         6,487,252   93.01           487,633   6.99
Gerald W. Grandey            6,692,848   95.96           282,037   4.04
F. Steven Mooney             6,664,816   95.55           310,069   4.45
Paul J. Schlauch             6,453,767   92.53           521,118   7.47
Randall J. Scott             6,651,673   95.37           323,212   4.63
Lowell A. Shonk              6,647,247   95.30           327,638   4.70
  

                                           Votes in favour     Votes withheld 

                                          Number of           Number of       
                                              votes       %       votes      %
Ratification of EKS&H LLLP, Certified                                        
Public Accountants, as auditor           25,990,912   97.15     761,494   2.85

The board of directors for Rare Element Resources would like to thank its shareholders for their continued support.