Mineral Deposits Limited

Mineral Deposits Limited

November 11, 2010 08:21 ET

Mineral Deposits Limited: Record Date Not yet Announced

MELBOURNE, AUSTRALIA--(Marketwire - Nov. 11, 2010) - Mineral Deposits Limited (TSX:MDM)(ASX:MDL) wishes to confirm that in respect of the proposed:

  • capital reduction by way of an in specie distribution of common shares in Teranga Gold Corporation to MDL shareholders; and

  • consolidation of MDL's shares on a 10:1 basis,

approved by shareholders at MDL's Special and Annual General Meeting on 9 November 2010, a record date has not yet been set. As such, all proposed indicative dates for the above transactions and the IPO of Teranga Gold Corporation have also not yet been set.

The Notice of Special and Annual General Meeting dated 11 October 2010 set out a proposed indicative timetable for information purposes only. This timetable was stated to be subject to change as flexibility in the timetable was considered necessary for this significant cross-jurisdictional demerger and subsequent IPO of Teranga Gold Corporation.

MDL advises that while the record date has not yet been set, it will notify the relevant securities exchanges once the record date has been set, as provided under the Notice of Special and Annual General Meeting.

About MDL

Mineral Deposits Limited is an ASX and TSX listed mining company with a current focus in Senegal, West Africa through a producing gold mine, the Sabodala Gold Operation, and a to be developed mineral sands project, the Grande Côte Mineral Sands Project.

The Sabodala Gold Operation, which poured its first gold in March 2009, is located 650 kilometres east of the capital Dakar within the West African Birimian geological belt in Senegal, and about 90 kilometres from major gold mines and discoveries in Mali. The area has only recently been opened for mining and exploration and is emerging as a significant new gold camp, with more than 10M ounces of resources already discovered.

The Grande Côte Mineral Sands Project is located on the coast of Senegal starting approximately 50 kilometres north of Dakar and extending northwards for more than 100 kilometres. The large scale of the ore body and the high quality of the zircon provides the potential to establish an operation of international significance.

Senegal is one of Africa's most successful democracies, having gained independence in 1960. It enjoys a stable and investor friendly political and social environment. The government of the Republic of Senegal is MDL's valued partner and holds a 10% free carried interest in both projects, which will accrue dividends once MDL has recovered its capital invested.

ABN 19 064 377 420

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