EANS-News: Tantalus Rare Earths AG / Covertible Bond Placement 2012 / 2016 4.7Mio Euro

--------------------------------------------------------------------------------
Corporate news transmitted by euro adhoc. The issuer/originator is solely
responsible for the content of this announcement.
--------------------------------------------------------------------------------

Capital measures/Capital measures/Placement Convertible Bond 2012 /
2016

Gruenwald (euro adhoc) - Munich 28 November 2012: Tantalus Rare
Earths AG ("TRE"), (WKN: A1MMFF, ISIN: DE000A1MMFF4), the explorer
and developer of a large near surface rare earths project in north
western Madagascar, is pleased to announce, under exclusion of
subscription right's, the placement of 4.7 million euros of
convertible bonds (ISIN: DE000A1R0VG7 WKN: A1R0VG) (the "Bonds").

The term of the Bonds commences on 1 December 2012 and ends on 31
August 2016. A total of 235,000 bearer bonds were subscribed at a
price of 20.00 euros for gross proceeds of approximately 4.7 million
euros.

The Bonds convert to shares in TRE at 20.00 euros per bearer bond
(conversion ratio of 1:1). TRE will pay interest of 3.00% on the
Bonds until 30 August 2013, and 1% interest from 31 August 2013 until
maturity. Interest is paid annually, subject to conversion. The
conversion and paying agent for the Bonds is Bank Martin. If the
bondholder elects not to convert to shares, the repayment at maturity
is 100 % of the face value of the Bonds.

TRE AG will use the net proceeds of the Bonds to accelerate the
exploration and development of the Tantalus rare earths deposit, as
well as commencing the environmental and social impact studies
required ahead of mine development.

Juergen Schillinger, CEO of TRE AG, said: "With the issuance of the
Notes, we have succeeded in obtaining the capital required for
expanding our operations. While we are pleased with this capital
raising, we will still consider all options to further improve our
financial strength."

Company Profile TRE AG

Tantalus Rare Earths AG ("TRE AG") is engaged in the exploration and
development of the very large near surface Tantalus rare earths
project in northern Madagascar.

The shares of TRE AG are listed on the Open Market of the Frankfurt
Stock Exchange.

Contact:

Juergen Schillinger
Tantalus Rare Earths AG
Northern Münchner Str 16
82031 Gruenwald / Germany
Tel: +49 66 89963960

Further inquiry note:
For more information, please contact:

Juergen Schillinger, chief executive officer
Tel: +49 (0) 89 693 960 66
Email: schillinger@tre-ag.com

David Rigoll, Director
Tel: +44 7500 068555
Email: rigoll@tre-ag.com

Paul Weigh
Blythe Weigh Communications
Tel: +44 (0) 20 71383204
or +44 (0) 7989 129658

end of announcement euro adhoc
--------------------------------------------------------------------------------

company: Tantalus Rare Earths AG
Nördliche Münchner Str. 16
D-82031 Grünwald
phone: +49 (0)89 693 960 66
FAX: +49 (0)89 693 960 68
mail: contact@tre-ag.com
WWW: http://www.tre-ag.com
sector: Holding companies
ISIN: DE000A1MMFF4
indexes:
stockmarkets: Open Market: Frankfurt
language: English