-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
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 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 QsZMEDSbnLWnOq1j/TlbY0WfqCgkvf0ez5zWHjDOYQvDLwaYhY0d03YqMjzTGEFP
 SUpys2n11tIWZ7HLHR3t6Q==

<SEC-DOCUMENT>0001362898-10-000001.txt : 20101014
<SEC-HEADER>0001362898-10-000001.hdr.sgml : 20101014
<ACCEPTANCE-DATETIME>20101014160551
ACCESSION NUMBER:		0001362898-10-000001
CONFORMED SUBMISSION TYPE:	D
PUBLIC DOCUMENT COUNT:		1
ITEM INFORMATION:		Rule 506
FILED AS OF DATE:		20101014
DATE AS OF CHANGE:		20101014
EFFECTIVENESS DATE:		20101014

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Avalon Rare Metals Inc.
		CENTRAL INDEX KEY:			0001362898
		IRS NUMBER:				000000000
		STATE OF INCORPORATION:			A1
		FISCAL YEAR END:			0831

	FILING VALUES:
		FORM TYPE:		D
		SEC ACT:		1933 Act
		SEC FILE NUMBER:	021-149095
		FILM NUMBER:		101123949

	BUSINESS ADDRESS:	
		STREET 1:		SUITE 1901 - 130 ADELAIDE STREET WEST
		CITY:			TORONTO
		STATE:			A6
		ZIP:			M5H 3P5
		BUSINESS PHONE:		416-364-4938

	MAIL ADDRESS:	
		STREET 1:		SUITE 1901 - 130 ADELAIDE STREET WEST
		CITY:			TORONTO
		STATE:			A6
		ZIP:			M5H 3P5

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	Avalon Ventures Ltd
		DATE OF NAME CHANGE:	20060516
</SEC-HEADER>
<DOCUMENT>
<TYPE>D
<SEQUENCE>1
<FILENAME>primary_doc.xml
<TEXT>
<XML>
<?xml version="1.0"?>
<edgarSubmission>

    <schemaVersion>X0704</schemaVersion>

    <submissionType>D</submissionType>

    <testOrLive>LIVE</testOrLive>

    <primaryIssuer>
        <cik>0001362898</cik>
        <entityName>Avalon Rare Metals Inc.</entityName>
        <issuerAddress>
            <street1>SUITE 1901 - 130 ADELAIDE STREET WEST</street1>
            <city>TORONTO</city>
            <stateOrCountry>A6</stateOrCountry>
            <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
            <zipCode>M5H 3P5</zipCode>
        </issuerAddress>
        <issuerPhoneNumber>416-364-4938</issuerPhoneNumber>
        <jurisdictionOfInc>BRITISH COLUMBIA, CANADA</jurisdictionOfInc>
        <edgarPreviousNameList>
            <previousName>Avalon Ventures Ltd</previousName>
        </edgarPreviousNameList>
        <entityType>Corporation</entityType>
        <yearOfInc>
            <overFiveYears>true</overFiveYears>
        </yearOfInc>
    </primaryIssuer>

    <relatedPersonsList>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Donald</firstName>
                <middleName>S.</middleName>
                <lastName>Bubar</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
                <relationship>Director</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>R. James</firstName>
                <lastName>Andersen</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>William</firstName>
                <lastName>Mercer</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>David</firstName>
                <lastName>Connelly</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Director</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Alan</firstName>
                <lastName>Ferry</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Director</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Brian</firstName>
                <lastName>MacEachen</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Director</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Peter</firstName>
                <lastName>McCarter</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Director</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Phil</firstName>
                <lastName>Fontaine</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Director</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Hari</firstName>
                <lastName>Panday</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Director</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>David</firstName>
                <lastName>Swisher</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Pierre</firstName>
                <lastName>Neatby</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>Suite 1901 - 130 Adelaide Street West</street1>
                <city>Toronto</city>
                <stateOrCountry>A6</stateOrCountry>
                <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                <zipCode>M5H 3P5</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification></relationshipClarification>
        </relatedPersonInfo>
    </relatedPersonsList>

    <offeringData>
        <industryGroup>
            <industryGroupType>Other</industryGroupType>
        </industryGroup>
        <issuerSize>
            <revenueRange>$1 - $1,000,000</revenueRange>
        </issuerSize>
        <federalExemptionsExclusions>
            <item>06</item>
        </federalExemptionsExclusions>
        <typeOfFiling>
            <newOrAmendment>
                <isAmendment>false</isAmendment>
            </newOrAmendment>
            <dateOfFirstSale>
                <value>2010-09-30</value>
            </dateOfFirstSale>
        </typeOfFiling>
        <durationOfOffering>
            <moreThanOneYear>false</moreThanOneYear>
        </durationOfOffering>
        <typesOfSecuritiesOffered>
            <isEquityType>true</isEquityType>
            <isOptionToAcquireType>true</isOptionToAcquireType>
            <isSecurityToBeAcquiredType>true</isSecurityToBeAcquiredType>
            <isOtherType>true</isOtherType>
            <descriptionOfOtherType>Each unit is comprised of one common share and one-half of one share purchase warrant. Each whole warrant is exercisable for one common share at a price of Cdn$3.60 per share until September 30, 2011.</descriptionOfOtherType>
        </typesOfSecuritiesOffered>
        <businessCombinationTransaction>
            <isBusinessCombinationTransaction>false</isBusinessCombinationTransaction>
            <clarificationOfResponse></clarificationOfResponse>
        </businessCombinationTransaction>
        <minimumInvestmentAccepted>0</minimumInvestmentAccepted>
        <salesCompensationList>
            <recipient>
                <recipientName>CIBC World Markets Inc.</recipientName>
                <recipientCRDNumber>None</recipientCRDNumber>
                <associatedBDName>CIBC World Markets Corp.</associatedBDName>
                <associatedBDCRDNumber>630</associatedBDCRDNumber>
                <recipientAddress>
                    <street1>161 Bay Street</street1>
                    <street2>7th Floor</street2>
                    <city>Toronto</city>
                    <stateOrCountry>A6</stateOrCountry>
                    <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                    <zipCode>M5J 2S8</zipCode>
                </recipientAddress>
                <statesOfSolicitationList>
                    <state>CA</state>
                    <description>CALIFORNIA</description>
                    <state>CT</state>
                    <description>CONNECTICUT</description>
                    <state>MA</state>
                    <description>MASSACHUSETTS</description>
                </statesOfSolicitationList>
                <foreignSolicitation>false</foreignSolicitation>
            </recipient>
            <recipient>
                <recipientName>Laurentian Bank Securities Inc.</recipientName>
                <recipientCRDNumber>None</recipientCRDNumber>
                <associatedBDName>None</associatedBDName>
                <associatedBDCRDNumber>None</associatedBDCRDNumber>
                <recipientAddress>
                    <street1>1981 McGill College</street1>
                    <street2>Suite 1900</street2>
                    <city>Montreal</city>
                    <stateOrCountry>A8</stateOrCountry>
                    <stateOrCountryDescription>QUEBEC, CANADA</stateOrCountryDescription>
                    <zipCode>H3A 3K3</zipCode>
                </recipientAddress>
                <statesOfSolicitationList></statesOfSolicitationList>
                <foreignSolicitation>true</foreignSolicitation>
            </recipient>
            <recipient>
                <recipientName>Stonecap Securities Inc.</recipientName>
                <recipientCRDNumber>None</recipientCRDNumber>
                <associatedBDName>None</associatedBDName>
                <associatedBDCRDNumber>None</associatedBDCRDNumber>
                <recipientAddress>
                    <street1>181 Bay Street</street1>
                    <street2>Suite 900</street2>
                    <city>Toronto</city>
                    <stateOrCountry>A6</stateOrCountry>
                    <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                    <zipCode>M5J 2T3</zipCode>
                </recipientAddress>
                <statesOfSolicitationList></statesOfSolicitationList>
                <foreignSolicitation>true</foreignSolicitation>
            </recipient>
            <recipient>
                <recipientName>Canaccord Genuity Corp.</recipientName>
                <recipientCRDNumber>None</recipientCRDNumber>
                <associatedBDName>None</associatedBDName>
                <associatedBDCRDNumber>None</associatedBDCRDNumber>
                <recipientAddress>
                    <street1>161 Bay Street</street1>
                    <street2>Suite 3000</street2>
                    <city>Toronto</city>
                    <stateOrCountry>A6</stateOrCountry>
                    <stateOrCountryDescription>ONTARIO, CANADA</stateOrCountryDescription>
                    <zipCode>M5J 2S1</zipCode>
                </recipientAddress>
                <statesOfSolicitationList></statesOfSolicitationList>
                <foreignSolicitation>true</foreignSolicitation>
            </recipient>
        </salesCompensationList>
        <offeringSalesAmounts>
            <totalOfferingAmount>27108537</totalOfferingAmount>
            <totalAmountSold>10957828</totalAmountSold>
            <totalRemaining>16150709</totalRemaining>
            <clarificationOfResponse>The additional $16,150,709 may be received upon exercise of share purchase warrants sold both inside and outside the U.S. U.S. dollar amounts are based on the Bank of Canada noon rate of exchange reported on Septemer 30, 2010, which was Cdn$1.0298=US$1.00</clarificationOfResponse>
        </offeringSalesAmounts>
        <investors>
            <hasNonAccreditedInvestors>false</hasNonAccreditedInvestors>
            <totalNumberAlreadyInvested>6</totalNumberAlreadyInvested>
        </investors>
        <salesCommissionsFindersFees>
            <salesCommissions>
                <dollarAmount>657470</dollarAmount>
            </salesCommissions>
            <findersFees>
                <dollarAmount>0</dollarAmount>
            </findersFees>
            <clarificationOfResponse>The commission also includes broker warrants entitling the holder to purchase approximately 104,164 units at a price of Cdn$3.25 per unit through September 30, 2011.</clarificationOfResponse>
        </salesCommissionsFindersFees>
        <useOfProceeds>
            <grossProceedsUsed>
                <dollarAmount>0</dollarAmount>
            </grossProceedsUsed>
            <clarificationOfResponse>In the ordinary course of business, the issuer may use some of the proceeds of the offering to pay salaries to certain of its executive officers and directors.</clarificationOfResponse>
        </useOfProceeds>
        <signatureBlock>
            <authorizedRepresentative>false</authorizedRepresentative>
            <signature>
                <issuerName>Avalon Rare Metals Inc.</issuerName>
                <signatureName>/s/ R. James Andersen</signatureName>
                <nameOfSigner>R. James Andersen</nameOfSigner>
                <signatureTitle>Chief Financial Officer</signatureTitle>
                <signatureDate>2010-10-13</signatureDate>
            </signature>
        </signatureBlock>
    </offeringData>
</edgarSubmission>
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</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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