Mineral Deposits : Half-Yearly Report 2017 (ended 30 June)

27 July 2017

APPENDIX 4D (RULE 4.2A.3)

INTERIM REPORT FOR THE HALF-YEAR ENDED 30 JUNE 2017

Expressed in United States dollars unless otherwise stated

RESULTS FOR ANNOUNCEMENT TO THE MARKET

All comparisons to the half-year ended 30 June 2016

This information should be read in conjunction with the attached condensed consolidated financial statements for the half-year ended 30 June 2017 of Mineral Deposits Limited.

Commentary on the results for the half-year ended 30 June 2017

For commentary on the results for the half-year ended 30 June 2017, please refer to the review of operations in the directors' report.

Net tangible assets per ordinary share

Controlled entities acquired or disposed of

There were no controlled entities acquired or disposed of during the period ended 30 June 2017.

Details of joint venture entities

Additional Appendix 4D disclosure requirements and commentary can be found in the accompanying half-year financial statements for the period ended 30 June 2017.

This Appendix 4D report is based on the condensed consolidated financial statements which have been reviewed by Deloitte Touche Tohmatsu.

HALFYEARREPORT 2017

This report does not include all the notes of the type normally included within the annual financial report and therefore cannot be expected to provide as full an understanding of the financial performance, financial position and financing and investing activities of the consolidated entity as the full financial report. Accordingly, this report should be read in conjunction with the annual report of Mineral Deposits Limited for the year ended 31 December 2016. It is also recommended that this financial report be considered together with any public announcement made by Mineral Deposits Limited and its controlled entities during the half-year ended 30 June 2017, in accordance with the continuous disclosure requirements of the Corporations Act 2001, including its quarterly reports lodged with the Australian Securities Exchange.

FORWARD-LOOKING STATEMENTS

Certain information contained in this report, including any information on MDL's plans or future financial or operating performance and other statements that express management's expectations or estimates of future performance, constitute forward-looking statements. Forward-looking statements can generally be identified by the use of forward-looking words, such as 'expect', 'anticipate', 'likely', 'intend', 'should', 'could', 'may', 'predict', 'plan', 'propose', 'will', 'believe', 'forecast', 'estimate', 'target' and other similar expressions. Indications of, and guidance or outlook on, future earnings or financial position or performance are also forward-looking statements. Forward-looking statements are provided as a general guide only and should not be relied on as an indication or guarantee of future performance.

Forward-looking statements are based on a number of estimates and assumptions that, while considered reasonable by management at the time, are subject to significant business, economic and competitive uncertainties. MDL cautions that such statements involve known and unknown risks, uncertainties and other factors that may cause the actual financial results, performance or achievements of MDL to be materially different from the Company's estimated future results, performance or achievements expressed or implied by those forward-looking statements. These factors include: the inherent risks involved in mining and mineral processing operations, exploration and development of mineral properties, financing risk, changes in economic conditions, changes in the worldwide price of zircon, ilmenite and other key inputs, changes in the regulatory environment and other government actions, changes in mine plans and other factors, such as business and operational risk management, many of which are beyond the control of MDL. There can be no assurance that actual outcomes will not differ materially from these statements.

Past performance information given in this report is given for illustrative purposes only and is not necessarily a guide to future performance. No representation or warranty is made by any person as to the likelihood of achievement or reasonableness of any forward-looking statements, forecast financial information or other forecast. Nothing contained in this report is, or shall be relied upon as, a promise, representation, warranty or guarantee as to the past, present or future performance of MDL.

Except as required by applicable regulations or by law, MDL does not undertake any obligation to publicly update, review or release any revisions to any forward-looking statements to reflect new information, future events or circumstances after the date of this report.

Nothing in this report should be construed as either an offer to sell or a solicitation to buy or sell MDL securities. Expressed in United States dollarsunless otherwise stated.

CONTENTS

Page No.

DIRECTORS' REPORT 1

AUDITOR'S INDEPENDENCE DECLARATION 5

INDEPENDENT AUDITOR'S REVIEW REPORT 6

DIRECTORS' DECLARATION 8

CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME 9

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION 10

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 11

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS 12

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 13

CORPORATE DIRECTORY 25