2010-10-21 08:57 ET - News Release

Mr. Peter Cashin reports

QUEST COMPLETES $51.75 MILLION NEW ISSUE

Quest Rare Minerals Ltd. has completed its previously announced public offering in each of the provinces of Canada by issuing 9,470,300 units at a price of $4.25 per unit, for gross proceeds to Quest of approximately $40.25-million, and 2.3 million flow-through shares at a price of $5.00 per share, for gross proceeds to Quest of $11.5-million, representing total gross proceeds to Quest of approximately $51.75-million. The 9,470,300 Units issued today included 1,235,000 Units issued by Quest upon the exercise of an over-allotment option by the agents for the offering.

"We are very pleased with the positive outcome of our financing," Peter J. Cashin, Quest's President & CEO said. "The offering, which was over-subscribed, was substantially larger than Quest initially planned. We believe that the success of the offering reflects the market's response to the quality of our Strange Lake REE project as well as the exploration upside of our Misery Lake and other project opportunities."