Alderon Iron Ore Corp. (AXXDF)

[LGL8054]

Alderon Files Combined Technical Report for Kami Property

Today : Wednesday 21 March 2012
Alderon Iron Ore Corp. (TSX:ADV)(NYSE Amex:AXX) ("Alderon" or the "Company") announces that it has filed on SEDAR, at www.sedar.com, a Technical Report entitled "Technical Report Preliminary Economic Assessment of the Rose Central Deposit and Resource Estimate for the Rose Central, Rose North and Mills Deposits of the Kamistiatusset (Kami) Iron Ore Property, Labrador for Alderon Iron Ore Corp." dated effective October 26, 2011 (the "Combined Report") in accordance with National Instrument 43-101.

Alderon previously filed a Technical Report dated September 8, 2011, presenting a Preliminary Economic Assessment for the development of the Rose Central Deposit of the Kami Property and a Technical Report dated October 26, 2011, presenting a Mineral Resource estimate for the Rose North Deposit of the Kami Property (the "Prior Reports"). This Combined Report comprises a consolidation of the two aforementioned Prior Reports and supersedes the Prior Reports. The Combined Report does not contain any new material information that was not included in the Prior Reports. Only the Combined Report should be relied on as the current technical report on the Kami Property.

Kami Property Summary

Kami Property Mineral Resource Estimate

The Rose Central Deposit, together with Mills Lake Deposit and North Rose Deposit of the Kami Property, have an Indicated Mineral Resource estimate of 490 million tonnes at 30.0% iron and an additional Inferred Mineral Resource estimate of 598 million tonnes at 30.3% iron at a cut-off grade of 20%. The effective date of the Mineral Resource estimate is October 26, 2011. Mineral resources that are not mineral reserves do not have demonstrated economic viability

Preliminary Economic Assessment of the Rose Central Deposit

The results of the Preliminary Economic Assessment ("PEA") of the Rose Central Deposit of the Kami Property set out below are unchanged from those announced in Alderon's September 8, 2011 news release. The PEA is based only on the development of the Rose Central Deposit of the Kami Property. Highlights of the PEA include:

-- Concentrate production rate of 8 million tonnes per year at a grade of
65.5% iron.
-- Subject to certain risks and uncertainties set forth below, commercial
production is expected to commence in Q4 2015 with a mine life of 15.3
years.
-- Capital cost of US$989 million (excluding closure costs, sustaining
capital & leased equipment).
-- Pre-Tax IRR of 40.2%.
-- Pre-Tax NPV (discounted at 8%) of US$3.07 billion.
-- Payback period of 2.7 years.
-- Total operating cost (excluding royalties) of US$44.87/tonne concentrate
(averaged over the life of mine).


The PEA is preliminary in nature and it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. There is no certainty that the conclusions reached in the PEA will be realized. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

Total capital expenditures (including contingency) are estimated at US$988.9 million. The capital cost estimate excludes closure costs and sustaining capital, which are expected to be approximately US$25.4 million and US$198.4 million, respectively for the life of the project.

The PEA assumes a concentrate selling price of US$115/tonne for the life of the project and includes a 3% gross sales royalty on iron ore concentrate to Altius. Total operating costs, including annual costs for leasing of equipment (valued at US$259.2 million) over the life of the leases, are estimated at US$44.87/tonne of concentrate.

Alderon has not yet completed a Pre-Feasibility Study or Feasibility Study to demonstrate the economic viability of the Kami Property. Furthermore, no Mineral Reserves have been established on the Kami Property. Any statements regarding planned production rates, projected cash flows, payback period, IRR, NPV, construction timelines or the expected commencement of commercial production in Q4 2015 assume that Alderon is or will be able to complete all of the required steps to bring the Kami Property into commercial production including the completion of a Feasibility Study to demonstrate the economic viability of the Kami Property, the completion of the environmental assessment process, the conclusion of infrastructure agreements for railway transportation, power and access to port facilities and that Alderon obtains the necessary project financing to pay for the capital costs to develop and construct a mine at the Kami Property. There is no certainty that Alderon will be able to complete any or all of these steps and reference should be made to the "Risk Factors" section in Alderon's Annual Information Form for the most recently completed financial year.

Future Exploration and Development

Alderon is currently conducting its 2012 winter drilling program on the Kami Property. The four month drill program will be focused predominately on the North Rose Deposit and will include up to 18,000 metres of drilling with six drills. The program will concentrate on infill drilling with the goal of upgrading the current mineral resource estimate from the indicated and inferred categories to the measured and indicated categories in preparation for the Feasibility Study on the Kami Property expected to be completed in the third quarter of 2012.

About Alderon

Alderon is a leading Canadian iron ore development company with offices in Vancouver, Toronto, Montreal and St. John's. The 100% owned Kami Project is located within Canada's premier iron ore district and is surrounded by four producing iron ore mines. The Alderon team is comprised of skilled professionals with significant iron ore expertise to advance Kami towards production.

Alderon's exploration work on the Kami Property is supervised by Edward Lyons, P.Geo., the Chief Geologist for Alderon and a Qualified Person as defined by NI 43-101. Mr. Lyons has reviewed and approved the technical information contained in this news release.

Additional information about the Kami Project can be found in the technical report filed on SEDAR at www.sedar.com entitled: "Technical Report Preliminary Economic Assessment of the Rose Central Deposit and Resource Estimate for the Rose Central, Rose North and Mills Deposits of the Kamistiatusset (Kami) Iron Ore Property, Labrador for Alderon Iron Ore Corp." dated March 9, 2012. 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