After defeating the Jin forces the second time, Yelü Liuge established his capital at modern-day Kaiyuan, Liaoning and renamed it to "Zhongjing" (lit.

In 1215, Yelü Liuge occupied the eastern capital of the Jin dynasty (modern Liaoyang, Liaoning).

Soon after, Eastern Liao officials began to urge Yelü Liuge to assume the title of "emperor".

Yelü Liuge declined and subsequently allied himself with Genghis Khan who had by this time united the Mongol tribes.

Yelü Sibu proclaimed himself the emperor of a new regime, Later Liao (Chinese: 後遼), in modern Haicheng, Liaoning.