News Release

Avalon Announces the Results of its 2014 Meeting of Shareholders

February 27, 2014

Toronto, Ontario--(Newsfile Corp. - February 27, 2014) - Avalon Rare Metals Inc. (TSX:AVL) (NYSE MKT:AVL) ("Avalon" or the "Company") is pleased to announce the results of its 2014 annual and special meeting of shareholders (the "Meeting") held in Toronto, Ontario on February 25, 2014.

At the Meeting, all director nominees listed in the Company's management information circular dated January 14, 2014 were elected as directors of the Company. The detailed results of the vote are as follows:

Director   Number of Votes Cast Percentage of Votes Cast
Donald S. Bubar In Favour: 11,967,351 96.02 %
  Withheld: 496,473 3.98 %
Alan Ferry In Favour: 11,959,004 95.95 %
  Withheld: 504,820 4.05 %
Phil Fontaine In Favour: 11,917,805 95.62 %
  Withheld: 546,019 4.38 %
Brian D. MacEachen In Favour: 11,940,720 95.80 %
  Withheld: 523,104 4.20 %
Sergio Marchi In Favour: 11,865,121 95.20 %
  Withheld: 598,703 4.80 %
Peter McCarter In Favour: 11,945,686 95.84 %
  Withheld: 518,138 4.16 %
Kenneth Thomas In Favour: 11,923,024 95.66 %
  Withheld: 540,800 4.34 %
    

In addition, at the Meeting shareholders appointed Deloitte LLP as auditors of the Company, and approved all unallocated options under the Company's stock option plan.

The formal report on voting results with respect to all matters voted upon at the Meeting will be filed on SEDAR at www.sedar.com.

About Avalon Rare Metals Inc.

Avalon Rare Metals Inc. is a mineral development company focused on rare metal deposits in Canada. Its 100%-owned Nechalacho Deposit, Thor Lake, NWT is exceptional in its large size and enrichment in the scarce 'heavy' rare earth elements, key to enabling advances in clean technology and other growing high-tech applications. With a positive feasibility study and environmental assessment completed, the Nechalacho Project remains the most advanced potential large new source of heavy rare earths in the world outside of China, currently the source of most of the world's supply. Avalon is adequately funded, has no debt and its work programs are progressing. Social responsibility and environmental stewardship are corporate cornerstones.

FOR FURTHER INFORMATION PLEASE CONTACT:

Avalon Rare Metals Inc.
Don Bubar
President and CEO
416-364-4938
ir@avalonraremetals.com
www.avalonraremetals.com