Mr. Tayfun Eldem reports

ALDERON CLOSES US$14 MILLION LOAN FACILITY WITH SPROTT RESOURCE LENDING

Alderon Iron Ore Corp. and The Kami Mine LP have closed a previously announced loan facility with Sprott Resource Lending. Alderon used the funds received from the settlement with Newfoundland and Labrador Hydro, together with a portion of the $14-million loan facility, to repay the Liberty Metals & Mining Holdings LLC loan. The closing of the Sprott transaction comes as Alderon advances its updated feasibility study scheduled for conclusion this fall. Upon completion, the updated FS is expected to demonstrate that the Kami project is well positioned to pursue project financing on account of improved project economics initially highlighted in the updated preliminary economic assessment released on Nov. 7, 2017.

"With the closing of the Sprott loan facility and the repayment of the loan from Liberty, Alderon is well positioned to complete its updated feasibility study and relaunch its project financing efforts," stated Tayfun Eldem, president and chief executive officer of Alderon. "The replacement loan is an endorsement of the quality of the Kami project and provides Alderon with the capital to execute the next steps in the development plan while allowing it to reduce its overall debt load."

The terms of the loan facility are:

• Principal amount of $14-million (U.S.);
• Interest at 10 per cent per annum, payable monthly;
• Original maturity date of Dec. 31, 2019;
• The proceeds of the loan facility were advanced as a single draw on the closing date;
• The proceeds of the loan facility were used to repay the existing LMM loan and to reimburse Alderon for amounts that are prepaid to LMM prior to closing;
• Alderon is acting as guarantor for the loan facility;
• Altius Minerals Corp., through a wholly owned subsidiary, participated in the loan facility by providing $2-million (U.S.) of the $14-million (U.S.) principal amount;
• As consideration for the establishment of the loan facility, Alderon issued 4,123,740 common shares to Sprott and 687,290 common shares to Altius;
• In the event that the maturity date is extended in accordance with the terms of the loan facility, an additional total of $350,000 (U.S.) in common shares shall be issued to Sprott and Altius on the maturity date and at a price per share equal to a 10-per-cent discount to the volume weighted average trading price on the Toronto Stock Exchange for the five trading days prior to the maturity date. United States dollar amounts shall be converted into Canadian dollars using the daily average exchange rate for the conversion of United States to Canadian dollars set by the Bank of Canada as at the business day immediately prior to the date of issuance of the common shares. The common shares shall be issued based on a ratio of 12/14ths to Sprott and two/14ths to Altius.

Prior to the closing date, Altius held 51,838,916 common shares (representing 39 per cent of the company's current issued and outstanding common shares). After the closing date, Altius now holds 52,526,206 common shares (representing 37.98 per cent of the company's current issued and outstanding common shares).

About Alderon Iron Ore Corp.

Alderon is a leading iron ore development company in Canada. The Kami project, owned 75 per cent by Alderon and 25 per cent by HBIS Group Co. Ltd. (formerly Hebei Iron & Steel Group Co. Ltd.) through The Kami Mine LP, is located within Canada's premier iron ore district, the Labrador Trough, and is surrounded by two producing iron ore mines. Its port handling facilities are located in Sept-Iles, the leading iron ore port in North America. HBIS is Alderon's strategic partner in the development of the Kami project and China's second-largest steel producer.

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