Mineral Deposits Limited

Mineral Deposits Limited

April 26, 2009 20:02 ET

Mineral Deposits Limited: Sabodala Gold Project-Status of Production "Ramp Up"

MELBOURNE, AUSTRALIA--(Marketwire - April 26, 2009) - Mineral Deposits Limited (TSX:MDM)(ASX:MDL) is pleased to announce that the Sabodala Gold Project has ramped up smoothly to full production levels since commencement of operations in late March. No significant operational performance issues at either the process plant or power plant have been encountered.

Earlier this month, the two million tonne per annum process plant satisfactorily completed the agreed engineering performance trials. All but a few construction personnel have now left the site which will soon have only the operational team of approximately 460 persons present.

MDL wishes to acknowledge the enormous effort of all involved from the many contractor companies in bringing this project to production in less than four years from the first MDL drill hole. The company is particularly proud of the MDL employees whose personal focus and dedication has made the achievement possible. MDL also wishes to acknowledge the excellent cooperation from the government of the Republic of Senegal and, in particular, staff of the Mines Ministry.

On 7 April 2009, a switch from low grade "commissioning" ore to "run of mine" ore was made. Approximately one million tonnes of ore is stockpiled on the "ROM pad" and the majority of this ore is oxidised and therefore softer. The plant has comfortably exceeded the nominal two million tonnes per annum throughput rate with this oxide material and gold recoveries are high at approximately 95%. Gold production for April is anticipated to be approximately 30,000 ounces. May and June are also expected to be strong gold production months as this oxide ore is processed. Gold production in calendar 2009 is budgeted to be approximately 160,000 ounces.

To view the photos associated with this release, please visit the following link: http://media3.marketwire.com/docs/MDM0426.pdf.

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