Alderon Signs Benefits Agreement with the Province of Newfoundland and Labrador, Obtains Surface and Mining Leases and Receives Approvals for All Conditions Required as Part of the Provincial Environmental Assessment Release

May 27, 2014

Alderon Iron Ore Corp. (TSX: ADV) (NYSE MKT: AXX) (“Alderon” or the “Company”) is pleased to announce that The Kami Mine Limited Partnership (“Kami LP”), an affiliate of Alderon, has signed a Benefits Agreement (the “Agreement”) with the Province of Newfoundland and Labrador with respect to the development of the Kami Iron Ore Project (“Kami Project”) located in western Labrador. The Kami LP has also received its Surface and Mining Leases (the “Leases”), which green-light the Kami Project for commencement of construction.

“The Agreement secures significant long-term benefits for the people of Newfoundland and Labrador, infusing  billions of dollars into the provincial economy and creating direct employment for 800 workers at the peak of construction and 400 during the operations phase,” said Tayfun Eldem, Alderon President and CEO. “By  finalizing this Agreement and receiving the Leases, we have met all the conditions of release from both the  Federal and Provincial environmental assessment processes. Once the financing plan is complete, we will be ready to commence construction.”

The Agreement covers the entire life of the Kami Project including construction, operation and  ecommissioning. The Agreement sets out employment, procurement and training benefits. Under the terms of the Agreement, the  Kami LP has committed to provide full and fair opportunity and first consideration for Provincial residents and suppliers. The Kami LP has also agreed to establish an education and training fund commencing after the Kami Project achieves commercial production.

The Agreement also includes a Gender Equity and Diversity Plan. The Gender Equity and Diversity Plan addresses, among other matters, employment and business access for four under-represented groups – women, visible minorities, Aboriginal peoples and persons with disabilities. The Kami LP will also implement policies and procedures designed to ensure its worksite is free of discrimination, bias, and harassment, and that the worksite embraces the principles of inclusion and diversity.

The Mining Lease for mineral development and the Surface Lease, covering the entire footprint of the mine and related infrastructure, have been issued by the Newfoundland and Labrador Department of Natural Resources. The Mining Lease gives the Kami LP the exclusive rights to develop the mineral resource underlying the Kami Project. The Surface Lease provides the Kami LP with the surface rights covering the area of the Mining Lease and areas for siting the required infrastructure incidental to the development of the mine.

Alderon also confirms that the Kami LP has been released from further processing obligations, including any requirements related to the construction and operation of a pellet plant.

About Alderon

Alderon is a leading iron ore development company in Canada with offices in Montreal, Vancouver, St. John’s and Labrador City. The Kami Project, owned 75% by Alderon and 25% by Hebei Iron & Steel Group Co. Ltd. (“HBIS”) through The Kami Mine Limited Partnership, is located within Canada’s premier iron ore district and is surrounded by four producing iron ore mines. Its port handling facilities are located in Sept-Iles, the leading iron ore port in North America. The Alderon team is comprised of skilled professionals with significant iron ore expertise to advance Kami towards production. HBIS is Alderon’s strategic partner in the development of the Kami Project and China’s largest steel producer.

For more information on Alderon, please visit our website at www.alderonironore.com.
ALDERON IRON ORE CORP.
On behalf of the Board
“Mark J Morabito”
Executive Chairman
E: info@alderonironore.com
www.alderonironore.com
For further information please call:
Evelyn Cox
1-604-681-8030 ext 223 or 1-888-990-7989

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