Canada Rare Earths Inc. – Initiating Coverage – Carbonatite Rare Earth Project in Quebec

Investment Highlights

• The company is focused on exploration and development of its Goeland rare earth project in the Abitibi region of Quebec, Canada.
• The main exploration target at the project is carbonatite hosted REE mineralization.  Carbonatite deposits are a major host for REEs worldwide.
• The company initiated an exploration program in the spring of 2011 which include a complete review of all historic information, examination of historic drill cores, a structural study, an airborne electromagnetic survey, followed by a drilling program.
• A drill program (3,500+ m) is expected to commence in August and is aimed to confirm historic drilling and test the REE potential in the PMTV5 carbonatite unit.