NioCorp Closes First Tranche of Private Placement of Common Shares in Order to Commence Metallurgical Studies

NOT FOR DISSEMINATION IN THE UNITED STATES

NioCorp Developments Ltd. ("NioCorp" or the "Company") (TSX
VENTURE:NB)(OTCQX:NIOBF)(FRANKFURT:BR3) announces it has closed the first
tranche of its brokered private placement financing, previously announced on
September 23, 2013 (the "First Tranche"), for gross proceeds of US$927,992.


The First Tranche consisted of the issuance of 6,186,612 common shares (the
"Shares") at a price of US$0.15 per Share.


The Company paid a cash commission of US$9,604 to Northland Securities, Inc. in
connection with subscriptions received in the First Tranche.


Mark Smith, CEO and Director of the Company, subscribed for a total of 3,400,000
Shares, for gross proceeds of US$510,000. Peter Dickie, President, Corporate
Secretary and Director of the Company subscribed for a total of 500,000 Shares,
for gross proceeds of US$75,000.


All securities issued above are subject to a hold period expiring on February
22, 2014, being four months and one day after closing of the First Tranche. The
proceeds from the First Tranche will be used for work on the Company's Elk Creek
Carbonatite property and for general working capital.


Closing of the first tranche allows the Company to enter into contractual
agreements requiring deposit funds, and to commence the mineralogical and
metallurgical studies to be conducted with recognized industry leaders,
including SGS Canada Inc., of Mississauga, Ontario.


The Company is continuing work with several interested parties who are
performing due diligence work, including planned site visits over the next week,
with an aim towards a subsequent closing by the end of October.


"I am pleased with the progress to date on this capital raise, and remain
confident in this project moving forward," stated Mark Smith, CEO and Director
of NioCorp.


ON BEHALF OF THE BOARD

Peter Dickie, Director, President and Corporate Secretary

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.


Certain statements contained in this press release may constitute
forward-looking statements. Such forward-looking statements are based upon
NioCorp's reasonable expectations and business plan at the date hereof, which
are subject to change depending on economic, political and competitive
circumstances and contingencies. Readers are cautioned that such forward-looking
statements involve known and unknown risks, uncertainties and other factors that
may cause a change in such assumptions and the actual outcomes and estimates to
be materially different from those estimated or anticipated future results,
achievements or position expressed or implied by those forward-looking
statements. Risks, uncertainties and other factors that could cause NioCorp's
plans or prospects to change include changes in demand for and price of
commodities (such as fuel and electricity) and currencies; changes or
disruptions in the securities markets; legislative, political or economic
developments; the need to obtain permits and comply with laws and regulations
and other regulatory requirements; the possibility that actual results of work
may differ from projections/expectations or may not realize the perceived
potential of NioCorp's projects; risks of accidents, equipment breakdowns and
labour disputes or other unanticipated difficulties or interruptions; the
possibility of cost overruns or unanticipated expenses in development programs;
operating or technical difficulties in connection with exploration, mining or
development activities; the speculative nature of mineral exploration and
development, including the risks of diminishing quantities of grades of reserves
and resources; the possibility that individuals who have expressed their
intention to subscribe under this private placement may not ultimately do so;
and the risks involved in the exploration, development and mining business.
NioCorp disclaims any intention or obligation to update or revise any
forward-looking statements whether as a result of new information, future events
or otherwise.


This press release is not for distribution or dissemination in the United States
and accordingly, shall not constitute an offer of securities in the United
States. The securities that may be issued pursuant to this press release are not
currently qualified by prospectus or registered under the U.S. Securities Act of
1933, as amended (the "Securities Act"), or the laws of any state, and may not
be offered or sold in the United States, or to, or for the account or benefit of
United States persons (as defined in Regulation S under the Securities Act) or
persons in the United States absent registration or an applicable exemption from
the registration requirements. The securities are subject to resale restrictions
under applicable securities laws.


FOR FURTHER INFORMATION PLEASE CONTACT: 
NioCorp Developments Ltd.
[phone]
www.niocorp.com