Neo Material Technologies announces that Institutional Shareholder Services recommends shareholders vote for the plan of arrangement

TORONTO, May 15, 2012 /CNW/ - According to a report published on May 11, 2012, Institutional Shareholder Services ("ISS") has recommended that shareholders vote FOR all resolutions including the special resolution (the "Arrangement Resolution") to approve the plan of arrangement (the "Arrangement") between Neo Material Technologies Inc. ("NEM" or the "Company") (TSX:NEM) and Molycorp Inc., Inc. (NYSE:MCP), to be considered at the upcoming Annual General and Special Meeting of Shareholders on Wednesday, May 30, 2012, at 10:00 a.m. (Toronto time).

Shareholders are reminded to vote their proxy FOR the Arrangement and all related proposals before the proxy voting deadline of Monday, May 28, 2012 at 10:00 a.m. (Toronto time).

If you have any questions about the information contained in the Information Circular or require assistance with voting your Securities, please contact Kingsdale Shareholder Services Inc. by telephone at 1-888-518-1561 toll-free in North America, or at 1-416-867-2272 outside of North America (collect calls accepted), or by email at [email protected].

About Neo Material Technologies

Neo Material Technologies Inc. is a producer, processor and developer of neodymium-iron-boron magnetic powders, rare earths and zirconium based engineered materials and applications, and other rare metals and their compounds through its Magnequench and Performance Materials divisions. These innovative products are essential in many of today's high technology products.  Magnequench's Neo Powders are used to produce bonded magnets, generally used in micro motors, precision motors, sensors and other applications requiring high levels of magnetic strength, flexibility, small size and reduced weight. Rare earth and zirconium applications include catalytic converters, computers, television display panels, optical lenses, mobile phones and electronic chips. The Company's rare metals products are primarily used in the wireless, LED, flat panel, turbine, solar and catalyst industries. The Company is headquartered in Toronto, Canada.

About Molycorp, Inc.

With offices in the U.S., Europe, and Japan, Molycorp, Inc. is one of the world's leading rare earths and rare metals companies.  Fully integrated across the rare earth mine-to-magnets supply chain, it currently produces rare earth oxides at its flagship rare earth mine and processing facility at Mountain Pass, California, as well as rare earth metals, rare earth alloys, and the rare metals niobium and tantalum. Through its joint venture with Daido Steel and Mitsubishi Corporation, Molycorp expects to begin manufacturing next-generation, sintered neodymium-iron-boron (NdFeB) permanent rare earth magnets in 2013.  The rare earths and rare metals that Molycorp produces are critical inputs in existing and emerging applications including: clean energy technologies, such as hybrid and electric vehicles and wind power turbines; multiple high-tech uses, including fiber optics, lasers and hard disk drives; numerous defense applications, such as guidance and control systems and global positioning systems; advanced water treatment technology for use in industrial, military and outdoor recreation applications; and other technologies. For more information please visit www.molycorp.com.

Forward-Looking Statement

Certain information contained in this news release, including any information relating to the proposed transaction (the "Transaction") and the timing of effective time of the Arrangement are "forward-looking". These statements relate to future events, some of which are outside of NEM's control. These forward-looking statements reflect NEM's current internal expectations or beliefs and are based on information currently available to NEM. These forward-looking statements are subject to a variety of risks and uncertainties, including the risk that the conditions precedent to the Arrangement will not be satisfied in the expected timeframe or at all. In some cases forward-looking information can be identified by terminology such as "may", "will", "should", "expect", "intend", "plan", "anticipate", "believe", "estimate", "projects", "potential", "scheduled", "forecast", "budget" or the negative of those terms or other comparable terminology. Assumptions upon which such forward looking information regarding completion of the Transaction is based include that NEM will be able to satisfy the conditions to the Transaction, that the required approvals will be obtained from the shareholders and of NEM, that all third party regulatory and governmental approvals to the Transaction will be obtained and all other conditions to completion of the Transaction will be satisfied or waived. Although NEM believes that the forward-looking information contained in this news release is based on reasonable assumptions, readers cannot be assured that actual results will be consistent with such statements. Accordingly, readers are cautioned against placing undue reliance on forward-looking information. NEM expressly disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, events or otherwise, except in accordance with applicable securities laws.

Michael Doolan
Chief Financial Officer
[phone], ext.335
Website: www.neomaterials.com
e-mail: [email protected]

Ali Mahdavi
Investor Relations
[phone], ext. 225
e-mail: [e-mail]