Mr. Jim McKenzie reports

UCORE PARTNER ACQUIRES REE INDUSTRIAL BUILDING COMPLEX IN EASTERN KENTUCKY

Ucore Rare Metals Inc.'s pending joint venture partner, Kentucky River Properties LLC, has purchased an industrial facility in Kentucky for the purposes of accessing and processing rare earth elements (REE) and strategic metals from the Appalachian coal basin (ACB).

Kentucky River has completed the purchase of the Trus Joist industrial facility, an extensive industrial complex located adjacent to the Coal Fields industrial park (CFIP), Perry county. The facility has been acquired as the proposed site of a high-volume REE and strategic metals refinery and production plant, contemplated under the terms of a memorandum of understanding between Kentucky River and Ucore, dated March 7, 2018.

The Trus Joist facility contains significant industrial infrastructure, comprising a 250,000-square-foot primary building, as well as concrete foundations capable of expansion to in excess of one million square feet of contiguous indoor production space. The overall facility includes approximately 90 acres of land and infrastructure, approximately 30 acres of which is open-air storage space capable of accommodating several hundred thousand tonnes of ore and processing feedstock. Trus Joist, previously known as the Weyerhaeuser Trus Joist complex, commenced operations in 1999. With an appraised construction cost of $125-million (U.S.), the facility has served as an active high-volume production plant, capable of producing 60 million lineal feet of engineered wood products per year. Kentucky River prospectively intends to repurpose the facility as a strategic metals refinery accessing REE and other valuable metals from the adjacent coal fields.

The CFIP is central to the region's coal fields and proximal to multiple producing (as well as prior producing) coal mines in the Appalachian coal basin. CFIP is a full-service industrial park, with industrial level electricity, municipal water and sanitary sewer service. The park is located in close proximity to the Wendell H. Ford Regional Airport, rail head, and major thoroughfares including the Hal Rogers Parkway and Kentucky Highway 15. CFIP is managed by the Coal Fields Industrial Authority Board, a nine-county board assisted by regional private businesses and local chambers of commerce.

"This is a significant acquisition in eastern Kentucky and shows a serious commitment on the part of Kentucky River as we work to develop a joint venture," said Jim McKenzie, president and chief executive officer of Ucore. "It is also a material leap in terms of the infrastructure required to construct a state-of-the-art metals refinery in the region, with immediate access to the resources in the Appalachian coal basin. Trus Joist is an impressive facility, ideal for the housing of a major production plant, located adjacent to an established industrial park. The facility is also highly accessible to a substantial skilled work force in surrounding counties. We're pleased to be situating ourselves in eastern Kentucky, and we look forward to advancing our project in a community with such substantial history of industrial success."

"The CFIP is well equipped to provide the necessary utilities to ensure protection of the environment without any additional expansion to the existing water treatment and electrical services required," said Mike Schrider, chief operating officer of Ucore. "The facility is in close proximity to rail line, highways, a regional airport and a river port, all major advantages to fast and efficient shipping of inbound feedstock and outbound value-added product. We look forward to engaging with local and state agencies to develop this facility and to tap into the existing work force to support our planned activities."

The proposed Kentucky strategic metals complex (SMC) is the second proposed separation facility identified by Ucore Rare Metals in recent weeks, and is a complement to the Alaska SMC to be located at Ketchikan. The two facilities highlight the significance of the potential for critical metal resources targeted from both international feedstocks, where a major marine terminal is beneficial to the economics, and domestic byproduct feedstocks, such as coal, and the necessity to be located in close proximity to these existing operations.

About Ucore Rare Metals Inc.

Ucore Rare Metals is a development-phase company focused on rare metals resources, extraction and beneficiation technologies. The company has a 100-per-cent ownership stake in the Bokan project. On March 31, 2014, Ucore announced the unanimous support of the Alaska state legislature for the investment of up to $145-million (U.S.) in the Bokan project at the discretion of the Alaska Import Development and Export Agency (AIDEA).

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