Early Warning Press Release by Meridian Capital International Fund in Connection with the Recapitalization of Sterling Resources Ltd.

HONG KONG, May 31, 2016 /CNW/ - Meridian Capital International Fund ("Meridian") reported today that, on May 30, 2016, in connection with the previously announced recapitalization of Sterling Resources Ltd. ("Sterling"), it acquired 5,107,327,724 Sterling common shares (the "Acquired Shares") at a price of $0.015398 per common share, and having an aggregate acquisition price of $78,642,632. The Acquired Shares were acquired by Meridian, in exchange for the release and cancellation of Sterling's obligation to repay US$62,286,260 of the principal amount, together with any accrued and unpaid redemption premium, amendment fees and interest, owing on the 9% Senior Secured Bonds of Sterling Resources (UK) Limited (the "Bonds") held by Meridian, based on a currency exchange rate of $1.12626 to US$1.00 established under the terms of Sterling's recapitalization.

Prior to acquiring the Acquired Shares, Meridian owned 38,097,003 Sterling common shares, representing 9.99% of Sterling's outstanding common shares. Following the acquisition of the Acquired Shares, Meridian owns 5,145,424,727 Sterling common shares. YF Finance Limited is considered a joint actor with Meridian. Together, YF Finance Limited and Meridian have ownership of, or control over 5,183,529,730 Sterling common shares, representing approximately 35% of Sterling's outstanding common shares.

The Acquired Shares will be held by Meridian for investment purposes.  Depending upon the circumstances, Meridian may, from time to time, acquire additional securities or related financial instruments of Sterling or dispose of all or a portion of the securities or related financial instruments of Sterling previously acquired.

An early warning report with respect to Meridian's acquisition of the Acquired Shares, which is incorporated by reference herein, will be electronically filed with the securities regulatory authorities and will be available for viewing under Sterling's profile on the System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com. To obtain a copy of the report, contact Jamii Quoc, General Counsel of Meridian, at the contact information provided for Meridian below. Sterling's head office is located at 1450-736 6th Avenue SW, Calgary, AB  T2P 3T7.

Forward-Looking Statement Disclaimer

Other than historical information included in this press release, all other statements are forward-looking, including statements about the early warning report and the filing thereof with applicable Canadian securities regulatory authorities and the future intentions and expectations of Meridian with respect to the investment. Forward-looking statements are subject to certain risks and uncertainties that could cause actual events to vary, including the risk that a material adverse change occurs in respect of Meridian or Sterling, and other risks that could affect the investment described herein, such as market and other conditions. Meridian disclaims any obligation to update these forward-looking statements except as required by law.

SOURCE Meridian Capital International Fund

For further information: For a copy of the early warning report, please contact: Meridian Capital International Fund, c/o Meridian Capital (HK) Limited, Level 23, 50 Connaught Road, Central, Hong Kong, Attention: Jamii Quoc, Phone: 852 2239 5300

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