ASX / TSX Announcement 4 January 2012

Equity Position in World Titanium Resources

Mineral Deposits Limited "MDL" (ASX: MDL, TSX: MDM) announces today that it owns a 14.9% interest in the ordinary shares of World Titanium Resources Limited ("WTR"), acquired at a cost of approximately

A$12.1 million.

WTR (formerly Bondi Mining Limited) is an ASX listed company (ASX: WTR) which owns the Toliara mineral sands project in Madagascar. The Toliara project is based on two exploration areas located north of the port in Toliara in southwest Madagascar. The project is based on a large mineral sands occurrence containing the valuable heavy minerals ilmenite, rutile, zircon and leucoxene. The project has been extensively studied and, from MDL's perspective, represents a prime development opportunity.

The WTR shares have been acquired by MDL for investment purposes. It is the intention of MDL to evaluate its investment in WTR on a continuing basis and may, from time to time, increase or decrease its holding of WTR securities, depending on market conditions and other relevant factors.

For further details please contact:

Nic Limb, Executive Chairman

T: +61 3 9618 2500 | E: nic.limb@mineraldeposits.com.au

Rick Sharp, Managing Director

T: +61 3 9618 2500 | E: rick.sharp@mineraldeposits.com.au

About MDL

Mineral Deposits Limited (ASX: MDL; TSX: MDM), is an Australian based mining company in the business of finding, mining and processing mineral sands resources.
MDL owns 50% of TiZir Limited which, effective 1 October 2011, owns the world