Alderon Files Preliminary Economic Assessment for Kami Project on SEDAR

VANCOUVER, BC--(Marketwired - March 14, 2017) - Alderon Iron Ore Corp. (TSX: IRON) ("Alderon" or the "Company") today announced that it has filed its National Instrument 43-101 Technical Report entitled "Re-Scoped Preliminary Economic Assessment of the Kamistiatusset (Kami) Iron Ore Property, Labrador", dated effective February 28 2017 (the "Report"), on the SEDAR website at www.sedar.com. The Report is with respect to Alderon's preliminary economic assessment ("PEA") for its Kami Iron Ore Project located in the Labrador Trough.

The Report was prepared as a result of the Company's efforts to re-scope the capital and operating costs of the Kami Project given market conditions over the past several years, changes in ownership and management of assets in the Labrador Trough, and the availability of the idled Wabush Scully Mine as a tailings management solution. The results of the PEA were announced in the February 28, 2017 news release and there are no material differences between the results announced in that news release and those contained in the final Report, as filed on SEDAR.

"The completion of the PEA represents a significant milestone and reflects how economic conditions in the Labrador Trough and the iron ore sector have improved considerably," said Mark Morabito, Chairman & CEO of Alderon. "In the coming months, we will focus our efforts on advancing development of the Kami project and demonstrating the positive economic impact that our project will provide the region."

The PEA replaces the Company's previous 2012 Feasibility Study, and demonstrates robust economics, including lower initial and sustaining capital costs as well operating costs.

Highlight of the Kami Project Preliminary Economic Assessment (US dollars)

• Estimated pre-tax Net Present Value (NPV) at 8% discount rate is $1.377 billion based on an average production rate of 7.8 million tonnes per year of iron ore concentrate at a grade of 65.2% iron, over the life of the mine;
• Total estimated capital cost (excluding sustaining capital) is $897.5 million, reduced from $1.3 billion in the 2012 Feasibility Study*;
• Average estimated operating cost is $31.08/tonne, reduced from $42.17/tonne in the 2012 Feasibility Study*;
• The FOB concentrate sales price used in the PEA is $65.30 per tonne. This price was derived using an iron ore price that is well below the current spot price;
• Estimated mine life of 24 years;
• Internal rate of return (pre-tax) for the project is 23.8%; and
• Projected payback period is 3.9 years.

*The 2012 Feasibility Study used an exchange rate of $1.00CDN = US$1.00 and was in constant Q4-2012 dollars. No escalation or inflation was applied to costs to bring them to Q1-2017 dollars. The exchange rate used in this current PEA is $1.00CDN = US$0.77.

On a post-tax basis, the PEA shows a NPV of US$712 million at a cash flow discount rate of 8%. The post-tax IRR for the project is 17.9% and the payback period is 4.7 years. The post-tax analysis is based on a number of assumptions fully set out in the Report.

Technical Report and Qualified Person

The Report was prepared under the supervision of Mr. Angelo Grandillo, P.Eng, of BBA, a Qualified Person as defined by NI 43-101, with contributions from Gemtec and WGM. Mr. Grandillo is a Qualified Person as defined by NI 43-101 and Mr. Grandillo is independent of Alderon. Mr. Grandillo has reviewed and approved the technical information contained in this news release. Mr. Grandillo has verified all the data underlying the technical information disclosed in this news release.

Additional information regarding the Kami Project and results of the PEA can be found in the Report which is available on SEDAR at www.sedar.com

About Alderon

Alderon is a leading iron ore development company in Canada. The Kami Project, owned 75% by Alderon and 25% by HBIS Group Co. Ltd. (formerly 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 two producing iron ore mines. Its port handling facilities are located in Sept-??les, 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.

For more information on Alderon, please visit our website at www.alderonironore.com

Alderon is part of the King & Bay West group of companies. King & Bay West is a merchant bank and management services company that specializes in identifying, funding, developing and managing growth opportunities in the resource and technology sectors.

ALDERON IRON ORE CORP.
On behalf of the Board
"Mark J Morabito"
Chairman & CEO

Cautionary Note Regarding Forward-Looking Information

This press release contains "forward-looking information" within the meaning of the U.S. Private Securities Litigation Reform Act and Canadian securities laws concerning anticipated developments and events that may occur in the future. Forward-looking information contained in this press release include, but are not limited to, statements with respect to (i) the details of the re-scoping of the Kami Project including potential capital and operating cost savings, (ii) the market and future price of iron ore and related products; (iii) expected infrastructure requirements; (iv) the ability to access the Wabush Scully Mine site, (v) the use of the multi-user terminal facility at the Port of Sept-??les; and (vi) the results of the PEA including statements about future production, future operating and capital costs, the projected IRR, NPV, payback period, construction timelines and production timelines for the Kami Project.

In certain cases, forward-looking information can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. Forward-looking information contained in this press release is based on certain factors and assumptions regarding, among other things, receipt of governmental and other approvals, the estimation of mineral resources, the realization of resource estimates, iron ore and other metal prices, the timing and amount of future development expenditures, the estimation of initial and sustaining capital requirements, the estimation of labour and operating costs, the availability of necessary financing and materials to continue to explore and develop the Kami Project in the short and long-term, the progress of exploration and development activities, the ability of the Company to gain access to the Wabush Scully Mine site, the ability of the Company to use the multi-user terminal facility at the Port of Sept-??les, the receipt of necessary regulatory approvals, the estimation of insurance coverage, assumptions with respect to currency fluctuations and exchange rates, environmental risks, title disputes or claims, and other similar matters. While the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect.

Forward looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include risks inherent in the exploration and development of mineral deposits, including risks relating to changes in project parameters as plans continue to be redefined including the possibility that mining operations may not commence at the Kami Project, risks relating to variations in mineral resources, grade or recovery rates resulting from current exploration and development activities, risks relating to the ability to access rail transportation, sources of power and port facilities, risks relating to changes in iron ore prices and the worldwide demand for and supply of iron ore and related products, risks related to increased competition in the market for iron ore and related products and in the mining industry generally, risks related to current global financial conditions, uncertainties inherent in the estimation of mineral resources, access and supply risks, reliance on key personnel, operational risks inherent in the conduct of mining activities, including the risk of accidents, labour disputes, increases in capital and operating costs and the risk of delays or increased costs that might be encountered during the development process, regulatory risks, including risks relating to the acquisition of the necessary licences and permits, financing, capitalization and liquidity risks, including the risk that the financing necessary to fund the exploration and development activities at the Kami Project may not be available on satisfactory terms, or at all, risks related to disputes concerning property titles and interest, risks related to disputes with Aboriginal groups, risks related to a third party acquiring the Wabush Scully Mine site, risks related to insufficient capacity being available for the Company to access the multi-user terminal facility at the Port of Sept-??les, environmental risks and the additional risks identified in the "Risk Factors" section of the Company's Annual Information Form for the most recently completed financial year, or other reports and filings with applicable Canadian securities regulators. Accordingly, readers should not place undue reliance on forward-looking information. The forward-looking information is made as of the date of this press release. Except as required by applicable securities laws, the Company does not undertake any obligation to publicly update or revise any forward-looking information.