WYN DEVELOPMENTS INC. COMPLETES UNIT PRIVATE PLACEMENT and ENGAGES U.S. INVESTOR RELATIONS CONSULTANTS
Vancouver, British Columbia, Canada - June 02, 2006 - Wyn Developments Inc. ("Wyn Developments" or the "Company") wishes to announce that, further to its news release dated April 4, 2006, it has completed awyn private placement in the amount of 1,056,000 flow-through units of the Company at a price of $0.45 per unit and 3,914,315 non flowthrough units of the Company at a price of $0.38 per unit (collectively the "Unit") for gross proceeds of $1,962,639.70. Each Unit consists of one common share in the capital stock of the Company and one half share purchase warrant (the "Warrant").
Each full Warrant is exercisable at a price of $0.50 and will entitle the placee to acquire an additional common share of the Company for a one- year period. The shares and underlying shares are subject to hold periods expiring September 26, 2006.
The Company paid finder's fees in the amount of $149,025 in connection with the private placement.
The proceeds of the private placement will be used to fund the Company's obligations under the Prophet River Participation Agreement and for general working capital.
The Company also announces that it has entered into an Investor Relations Agreement with Yes International. ("YES"), a U.S. public relations firm for small and medium sized public companies with Mr. Rich Kaiser as President. YES will provide investor relations advisory services to Wyn, including, but not limited to, disseminating corporate information, establishing a profile of the Company with American retail, financial and institutional investors.
In consideration for their services, the Company will pay to YES a fee of $US2,500.00 per month plus expenses as well as 100,000 options exercisable at $0.39 Cdn for a two-year period. The agreement becomes effective June 1, 2006 for an initial six-month term.
About Canada Rare Earths
Canada Rare Earths is a growth company focused on the exploration and development of rare earth elements at its 100% owned Goeland Rare Earths Project within the Montviel carbonatite complex, Montviel Township Quebec, immediately adjacent to Geomega's (TSX-V: GMA) recent rare earth discovery. The Goeland property located 215 km north of Val-d'Or, is road accessible and consists of 47 claims totaling approximately 2,600 hectares. Since the acquisition of the Goeland Project, the Company, in a short period of time, has successfully established itself in one of the largest Carbonatite complexes in North America. Worldwide, carbonatite-related deposits are a major host for rare earths elements ("REE"). The world's most advanced and prolific REE deposits in production or development, Bayan Obo (China), Molycorp's Mountain Pass (USA), Lynas's Mount Weld (Aus), and Rare Earth Element Resource's Bear Lodge project, are all hosted by carbonatites.
For more information on Canada Rare Earths, please contact our Head Office.
On Behalf of the Board of Canada Rare Earths Inc.
Chad McMillan
President & CEO
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. All of the above is subject to TSX.V and regulatory acceptance.
FORWARD LOOKING STATEMENTS
Cautionary Note Regarding Forward-Looking Statements: Certain disclosure in this release, including statements regarding the Company's Pre-Development Agreement and the exploration of the Goeland Project, constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and Canadian securities legislation. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company is able to obtain any required government or other regulatory approvals and any required financing to complete the Company's obligations pursuant to the Pre-Development Agreement and planned exploration activities, that the Company is able to procure equipment and supplies in sufficient quantities and on a timely basis and that actual results of exploration activities are consistent with management's expectations. However, the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors relating to Canada Rare Earth's operation as a mineral exploration company that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such uncertainties and risks may include, among others, actual results of the Company's exploration activities being different than those expected by management, uncertainties involved in the interpretation of drilling results and geological tests, delays in obtaining required government or other regulatory approvals or financing, inability to procure equipment and supplies in sufficient quantities and on a timely basis, equipment breakdowns and bad weather. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. Canada Rare Earths does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.
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