Texas Rare Earth Resources Completes Financing

Texas Rare Earth Resources Corp. (OTCQB:TRER), a heavy rare earths
mining company, today announced that it has received $15.6 million
through the successful completion of the second stage of its financings
previously announced in January and February 2011. The Company received
the cash in May and June 2011. Each of the institutional investors
involved exercised in full all of their options, which represents a
four-fold increase over their prior investment. In combination with
current cash, the Company′s anticipated baseline budget and capital
requirements of $16 to $18 million are now funded through 2012.

Marc LeVier, Chief Executive Officer of Texas Rare Earth Resources,
commented, 'We are gratified to have received the full and complete
support from our earliest institutional investors. This is an important
development for Texas Rare Earth as we are now funded for our
anticipated capital expenditures through 2012.?

With a strong balance sheet, Texas Rare Earth can accelerate work at its
Round Top heavy rare earths project. Exploration and development
drilling are scheduled to begin shortly. The funding will also permit
immediate initiation of bench scale metallurgical testing and
mineralogical investigations. As data is collected, the Company plans to
engage qualified engineering companies to perform scoping studies and
prefeasibility studies leading ultimately to pilot plant testing and
final feasibility studies.

As a result of the option exercises, the Company issued 6,240,000 shares
of common stock along with five-year warrants to purchase up to
6,240,000 shares of common stock, which, if exercised in full would
result in an additional $15.6 million for Texas Rare Earth Resources.
After giving effect to this financing, the Company has 33,836,259 shares
of common stock currently issued and outstanding.

The securities described above have not been registered under the
Securities Act of 1933 (the '1933 Act?), and may not be offered or sold
in the United States or to, or for the account or benefit of, U.S.
persons (as such terms are defined in Regulation S under the 1933 Act)
absent registration or an applicable exemption from the registration
requirements.

Forward-Looking Information

This news release may contain forward-looking statements about the
business, financial condition and prospects of the Company.
Forward-looking statements, can be identified by the use of forward
looking terminology such as 'believes,' 'projects,' 'expects,?
'potential,? 'size, grade and elemental make-up,? 'massive tonnage,?
'may,' 'goal,' 'estimates,' 'should,' 'likelihood,' 'plans,' 'targets,'
'intends,' 'could,' or 'anticipates,' or the negative thereof, or other
variations thereon, or comparable terminology, or by discussions of
strategy or objectives. Forward-looking statements relate to anticipated
or expected events, activities, trends or results. Because
forward-looking statements relate to matters that have not yet occurred,
these statements are inherently subject to risks and uncertainties.
These statements are made to provide the public with management's
current assessment of the Company's business. Although the Company
believes that the expectations reflected in forward-looking statements
are reasonable, there can be no assurances that such expectations will
prove to be accurate. Security holders are cautioned that such
forward-looking statements involve risks and uncertainties. The
forward-looking statements contained in this press release speak only as
of the date of this press release and the Company expressly disclaims
any obligation or undertaking to report any updates or revisions to any
such statement to reflect any change in the Company's expectations or
any change in events, conditions or circumstances on which any such
statement is based. Certain factors may cause results to differ
materially from those anticipated by some of the statements made in this
news release.

About Texas Rare Earth

Texas Rare Earth Resources Corp.'s primary focus is developing its Round
Top Mountain rare earth?beryllium-uranium project which also includes
niobium, tantalum and gallium. Round Top is located in Hudspeth County,
Texas, 85 miles east of El Paso. Independently published data indicates
the property may contain more than one billion metric tons of rhyolite
containing rare earths with a 67% ratio of heavy to light rare earths.
Prior exploratory work also indicates what management believes to be a
potentially large high-grade beryllium resource. Uranium is present in
the deposit and preliminary sampling shows grades of over 1% U exposed
in the mine. Texas Rare Earth's common stock trades on the OTCQB Market
tier under the symbol 'TRER.?

For more information on Texas Rare Earth Resources Corp., visit
its website at http://www.texasrareearth.com.

Texas Rare Earth Resources Corp.

Marc LeVier, 303-507-3842

Chief
Executive Officer

mlevier@texasrareearth.com

or

Investor
Relations:

Kei Advisors LLC

Deborah K. Pawlowski,
716-843-3908

dpawlowski@keiadvisors.com