QRE Niocorp Developments Ltd.

Quantum Rare Earth Developments Corp. (TSX VENTURE:QRE)(PINK
SHEETS:QREDF)(FRANKFURT:BR3) ("Quantum", the "Company") announces that it has
closed a private placement with MGI Securities Inc. (the "Agent") for gross
proceeds of $6,419,023.


In addition, the Company completed a non-brokered private placement for gross
proceeds of $82,538.


The combined total sales of $6,501,561 consisted of 8,337,000 flow-through units
at $0.30 per unit ("FT Units"), 8,000,000 non flow-through units at $0.25 per
unit ($0.25 NFT Units"), and 6,453,100 non flow-through units at $0.31 per unit
("$0.31 NFT Units").


"The financing, primarily from well known institutional investors, is
substantially larger than we originally contemplated which gives us the ability
to accelerate our projects both in Saskatchewan and Elk Creek, Nebraska. We are
very pleased with the overwhelming support provided by our new investors and
wish to thank MGI Securities and John McMahon for their efforts, and also would
like to extend our thanks to Lockwood Financial Ltd. for its assistance in
securing this financing package. The closing of this placement satisfies one of
the final conditions of the TSX Venture Exchange to grant final acceptance to
the Company's proposed three cornered amalgamation under which the Company will
acquire all of the issued and outstanding shares of 0859404 B.C. Ltd. and its
Nebraskan subsidiary Elk Creek Resources Corp. The Company intends to seek final
TSX Venture Exchange acceptance and complete the amalgamation promptly," said
Company President and CEO, Peter Dickie.


The terms of each unit offering are as follows:

Each FT Unit consists of one flow-through share which qualifies as a
"flow-through share" pursuant to the Income Tax Act (Canada), and one-half of
one common share purchase warrant (the "$0.40 FT Warrant"). Each full $0.40 FT
Warrant will entitle the holder thereof to purchase one additional non
flow-through common share in the capital of the Company at an exercise price of
$0.40 per common share for a period of 36 months from the closing date of the
offering.


Each $0.25 NFT Unit consists of one non flow-through common share and one-half
of one common share purchase warrant (a "$0.35 NFT Warrant"). Each full $0.35
NFT Warrant shall be exercisable into one common share at an exercise price of
$0.35 per common share for a period of 36 months from the closing date. 


Each $0.31 NFT Unit will consist of one non-flow-through common share and
one-half of one common share purchase warrant (a "$0.41 NFT Warrant"). Each full
$0.41 NFT Warrant shall be exercisable into one common share at an exercise
price of $0.41 per common share for a period of 36 months from the closing date.


The proceeds from the sale of the FT Units will be for exploration and
development of the Company's Archie Lake, Saskatchewan rare earth project. The
net proceeds from the sale of the $0.25 NFT Units and $0.31 NFT Units will be
used for further exploration and development of the Elk Creek carbonatite
project located in southeastern Nebraska and for general working capital
purposes.


In consideration of its services, the Agent received a fee equal to 8% of the
gross proceeds of the offering for a total of $513,521.84 and Agent's warrants
to purchase 823,700 units at $0.30 per unit for 36 months from the closing date,
consisting of one common share and one half of one share purchase warrant, with
each full warrant exercisable into one common share at an exercise price of
$0.40 per common share for 36 months from the closing date, Agent's warrants to
purchase 789,500 units at $0.25 per unit for 36 months from the closing date,
consisting of one common share and one half of one share purchase warrant, with
each full warrant exercisable into one common share at an exercise price of
$0.35 per common share for 36 months from the closing date, and Agent's Warrants
to purchase 636,829 units at $0.31 per unit for 36 months from the closing date,
consisting of one common share and one half of one share purchase warrant, with
each full warrant exercisable into one common share at an exercise price of
$0.41 per common share for 36 months from the closing date.


In addition, a finder's fee equal to 2% of $3,000,000 of the gross proceeds of
the offering for a total of $60,000 is payable to Lockwood Financial Ltd.


All securities issued under the private placement are subject to a four month
hold period expiring March 6, 2011.


About MGI Securities Inc.

MGI is an integrated Canadian investment dealer offering professional wealth
management solutions for individual investors, a comprehensive range of
specialized services for institutional investors, and corporate finance advisory
services for issuers, including mergers and acquisitions, equity underwritings,
corporate restructuring, structured financings, market research, and business
valuation services. MGI is based in Toronto, with additional offices in
Winnipeg, Saskatoon, Calgary and London, Ontario. MGI is a member of IIROC and
is a subsidiary of Jovian Capital Corporation (TSX: JOV.TO). MGI has
approximately $1.2 billion in client assets under administration.


On Behalf of the Board,

Peter Dickie, President

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