Alderon Resource Corp.

Alderon Resource Corp.

March 18, 2010 09:00 ET

Alderon Announces $5 Million Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 18, 2010) -


Alderon Resource Corp. (TSX VENTURE:ADV) ("Alderon") is pleased to announce that, subject to TSX Venture Exchange approval, it will undertake a non-brokered private placement with a single institutional investor of 1,818,182 flow-through shares of the Company ("Flow-Through Shares") at a price of $2.75 per Flow-Through Share for gross proceeds of $5,000,000.50 (the "Flow-Through Private Placement"). Each Flow-Through Share qualifies as a "flow-through share" for the purposes of the Income Tax Act (Canada).

All securities issued pursuant to the Flow-Through Private Placement are subject to a four month hold period. In connection with the Flow-Through Private Placement Alderon will, subject to TSX Venture Exchange approval, pay a finder's fee based on the gross proceeds of the Flow-Through Private Placement.

The funds raised from the Flow-Through Private Placement will be used by Alderon for exploration expenditures on its properties and specifically will be used to conduct a drilling program on the Kamistiatusset ("Kami") iron ore project, which will constitute Canadian exploration expenditures (as defined in the Income Tax Act (Canada)) and will be renounced for the 2010 taxation year.

About Alderon

Alderon is a leading iron ore exploration and development company in Canada. The Kami Project is located within an existing iron ore district and is slated for near term production. The Alderon team is comprised of skilled professionals with significant iron ore expertise to advance Kami towards production.

For more information on Alderon and its properties, please visit our website at


Mark J. Morabito, President & CEO

Information set forth in this news release may involve forward-looking statements under applicable securities laws, including statements about the offering of Flow-Through Shares and use of proceeds there from. Forward-looking statements are statements that relate to future, not past, events. In this context, forward-looking statements often address expected future business and financial performance, and often contain words such as "anticipate", "believe", "plan", "estimate", "expect", and "intend", statements that an action or event "may", "might", "could", "should", or "will" be taken or occur, or other similar expressions. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following risks: the risks associated with outstanding litigation, if any; risks associated with project development; the need for additional financing; operational risks associated with mining and mineral processing; fluctuations in commodity prices; title matters; environmental liability claims and insurance; reliance on key personnel; the potential for conflicts of interest among certain officers, directors or promoters with certain other projects; the absence of dividends; competition; dilution; the volatility of our common share price and volume; and tax consequences to U.S. shareholders. Forward-looking statements are made based on management's beliefs, estimates and opinions on the date that statements are made and the Company undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law. Investors are cautioned against attributing undue certainty to forward-looking statements.

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.

Contact Information

  • Alderon Resource Corp. - Vancouver Office
    Mark J. Morabito
    President & CEO
    604-681-8039 (FAX)
    Alderon Resource Corp. - Toronto Office
    416-861-8165 (FAX)