RE: REM.WT16:37 EDT Tuesday, June 18, 2002
TSX-Venture: REM; REM.WT
VANCOUVER, June 18 /CNW/ - Rare Earth Metals Corp. is a mineral exploration Company with properties in Manitoba, Canada. Rare Earth Metals shares an interest in the Assean Lake property with JV partner International Curator, a TSE listed company. The Assean Lake property has had over 1.5 million dollars invested in exploration activity to date. The 2001/2002 drill programs returned a number of high-grade gold intercepts as well as anomalous nickel values. The Company is a Tier 2 issuer engaged in mineral exploration and development.
The Company is pleased to announce that its amended and restated initial public offering prospectus was receipted by the British Columbia, Alberta and Manitoba Securities Commissions on May 29, 2002 and accepted by the TSX Venture Exchange and its initial public offering (the "Offering") has closed effective June 13, 2002. The Offering consisted of 2,000,000 units at $0.35 per unit. Each unit consists of one common share (CUSIP No. 75381Y 10 6) of the Company and one transferable share purchase warrant (CUSIP 75381Y 11 4). One warrant entitles the holder thereof to acquire one further common share at a price of $0.50 exercisable until June 17, 2003.
The Prospectus also qualified the distribution of 1,805,000 common shares of the Company for no additional consideration upon the exercise of 1,805,000 special warrants previously issued by the Company at a price of $0.25 per special warrant. Canaccord Capital Corporation acted as agent and sponsor on behalf of the Company in connection with the Offering. Canaccord received an 8% commission of the gross proceeds of the Offering of $56,000, a $30,000 sponsorship fee, 300,000 non-transferable agent's warrants and 100,000 common shares of the Company. The TSX has also accepted for filing the issuance of 475,000 incentive stock options at $0.35 per share exercisable until June 17, 2007.
On behalf of the Board of Directors