VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 29, 2012) - On June 29, 2012, Xinduo Yu (the "Offeror"), in a private sale, transferred 15,000,000 common shares of Yalian Steel Corporation ("Yalian") to two third party individuals (the "Transfer"). Prior to the Transfer, the Offeror held 29,397,000 common shares representing 30.1% of the issued and outstanding common shares of Yalian. As a result of the Transfer, the Offeror now holds 14,397,000 common shares of Yalian, representing 14.7% of the issued and outstanding common shares of Yalian.

The Offeror sold the 15,000,000 common shares of Yalian in a private sale and not on a stock exchange or other market.

The Offeror sold the 15,000,000 common shares of Yalian for investment purposes only and may increase or decrease his ownership position in the future.