CMCL

Image source: The Motley Fool. Monday, Aug. 10, 2026 at 9 a.m. ET Chief Executive - Mark Learmonth Chief Financial Officer - Ross Jerrard Executive Director - Victor Gapare Vice President Technical Services - Craig Harvey Vice President Corporate Development and Investor Relations - Maurice Mason Operator: Welcome to the Caledonia Mining Q2 trading update. We are joined by Mark Learmonth and the management team. Mark, over to you. Mark Learmonth: Thank you, Scott. Could we get into the presentation, please? Okay. Well, morning, good afternoon to you. Should we just quickly go to the disclaimer page? Okay. Then on to the presenting team. So I am Mark Learmonth, Caledonia's Chief Executive, and we are joined today by Ross Jerrard, the CFO, Victor Gapare, another Executive Director who is running the Bilboes project, by Craig Harvey, VP Technical Services. He runs Exploration and MRM. Also in attendance we have Maurice Mason, who is Vice President Corporate Development and Investor Relations. Should we move on? Okay, just in terms of an overview, production was up 18% in the second quarter compared to the first quarter, which reflects improved access to higher grade mining areas and benefits from various operating improvements. Revenue up 16% to $76 million, and EBITDA up 16% to nearly $46 million, supported by stronger production and a robust gold price environment. Profit after tax up 27% compared to comparable period in 2025, up to $30 million. EPS was up 29% to $1.36 for the quarter. Operating cash flow was strong, $28.4 million. Cash and cash equivalents at the end of the quarter was $167.8 million. The growth pipeline is going well. We are making good progress at Bilboes, as Victor will explain. We have some very exciting exploration results coming out of Motapa, where we expect to produce a maiden resource in the next four weeks or so. Also some quite exciting exploration results coming out of the K-Pits at Blanket. Just for the record, we have declared our usual quarterly dividend of $0.14 a share for the quarter. Should we move on to the next slide? Okay, I am going to canter through these operating results quite quickly. Really, there is one thing that comes out, and it is grade. So if we just move on. But before we get to that, let us talk about safety, an excellent safety performance for the quarter. We have had, well, now it must be over 400 consecutive days without any lost time injury. That is nearly 5.5 million man hours worked without an LTI. So that is a very good performance. Clearly, that is sort of a lagging indicator, and the strong safety performance really reflects a couple of things. The first is the extent to which we are focusing on proactive and preemptive risk prevention. So things like we have undertaken risk propensity assessments on workers in high-risk areas. We are putting a strong focus on near-miss reporting, and things like that. So trying to preempt and predict where problems might be so that we can address them. What underpins all of this is a renewed focus on training culture and readiness. A very pleasing safety performance, and congratulations to the mining team for achieving that. Should we move on? Production has recovered in the quarter, and that really comes down to improved access to higher grade areas. As we said previously, we have been hampered over the last few quarters by some fall of ground incidents in the course of 2025, which locked us out of high grade areas. We have been effectively running the mine at a very low grade. In the first quarter, it was 2.5 grams a ton. In the second quarter, it was about 2.88, and we are now targeting about 3.1 for the remainder of the year, and we are operating at that level. So higher access to higher grade areas. We also, in June, moved the mine onto a 7-day working week. Primarily to address worker fatigue, but it also means that we have increased our blasting days by 18%, and that is flowing through into increased run-of-mine production. From September onwards, we will be processing a portion of that incremental production through the Lima plant, which we will repurpose. Then into 2027, we will be spending some money, as you will hear shortly, to upgrade the main metallurgical plant to process all of that existing run-of-mine material through the main plant. The end of this month, the end of August, we will have completed an upgrade to the Alluvion plant, which will allow us to process about 40 tons of material that we have accumulated over the last 18 months or so at a grade of 6 or 700 grams a ton. So that will give us an extra 1,200 ounces across the months of September, October, November, December. Q2 was well ahead of Q1 on the back of the high-grade access. Should we move on to the next page? Traditional graphs, which we have seen before. I think the key things I would draw out here are the top graph, the blue line, the stability that we have experienced now for many quarters, and that really is because of the stockpile that we developed and we have been running. Fair to say, during this quarter, Q2, the stockpile was run down to zero and now we have started to rebuild that since we introduced the new shift system in June. The bottom line in that top graph is the grade, and you can see how the grade came down from Q2 2025, reached a low point in the first quarter, and has now recovered. As I say, in the second quarter, running at 2.88 grams a ton, target for the remainder of the year on average is about 3.16, and we are running at that level. Then the bottom graph just pulls it all together in terms of looking at the recovery and the ounces produced. It is fair to say that as the grade falls, your recovery falls. The tail grade, we cannot do much better than a tail grade of 0.2 grams a ton. So frankly, if the head grade goes down and the tail grade stays at 0.2, that means that your recovery goes down. So it is good to see that recovery bounce back again. Move on. That is just an overview of the operations. It all comes down to grade. With that, I will hand over to Ross, who has got quite a lot to cover. Ross Jerrard: Thank you, Mark, and good afternoon, everyone. Just running through the financial results summary. Up on the table, you can see the impact of both gold sold and gold ounces produced. We were down for both the 3 months and the 6 months in terms of ounces. But we did benefit from a higher average realized gold price of $4,259 an ounce. That was a 34% increase quarter-on-quarter. We did produce some healthy revenues. As we go through our cost profile, that is one of the impacts in terms of higher royalties driven by those higher revenues. I will take a bit of time to go through our cost updates in terms of where we ended up. But the key message is really our on-mine costs were largely in line with where we had budgeted and we are managing to. In absolute terms, whilst those costs are shown to be up, there are some one-off or abnormal items that I will talk you through in terms of why those transactions occurred. But broadly, we are very happy with our mine costs and the teams are managing their cost base very well. Those top-line ounces really impacted on our unit metrics in terms of an ounce sold basis. You will see our all-in sustaining and our on-mine cost per ounce sold were largely up. But there were some quite significant increases on our ounce profile metric. But in absolute terms, we are broadly in line. Going into our financials, we are very happy with our EBITDA. That was up some 28.5% for the 6-month period. As you can see, some healthy numbers going through in terms of free cash flow and ultimate profit and earnings per share. Probably to highlight and remind everybody, our free cash flow number, the comparative period included our solar sale proceeds. That is probably not indicative of a normal operating cycle. But we are very happy in terms of where we ultimately ended up with some $23.8 million worth of profit at the end of the 3-month period and close to $40 million for the 6 months or almost 35% up against the comparative period. If we can move on to the next slide and talk a little bit about the profit and loss. You will see our top-line revenue as indicated. That was really driven by that higher average gold price, albeit that some of our sales ounces were a little bit down. But we are very happy in terms of our ultimate gross profit position, which was up some 17.4% for the 6 months or 16% for the quarter. Royalties were up, but that was driven by that higher top-line performance, and also we did have some shipments during the 6 months. I think there were three shipments over the $5,000 per ounce level, which attracted the higher royalty. But in terms of our production costs, we are up some 15% year-to-date, and I will talk to some of those specific items that went through. There were some timing differences. As already highlighted by Mark, there was a drawdown on the stockpile, and obviously, the costs that are released in terms of those ounces as they are put through, it does have a working capital impact. Below the line in terms of significant movements, probably the one to highlight is the administration expenses. There were some quite significant one-off costs that have related to our advisory fees, particularly on the senior loan note transaction, but our broader financing facility. As we go through Bilboes and our overall strategy, you will see that we have made some significant progress in terms of our funding initiatives. So it is money well spent in terms of those work streams. I will also highlight the fair value gain on our derivative financial instruments. That is financial accounting and some volatility that will go through the P&L, and it does result in some significant movements. I would ask you really to treat those as separate items when you are looking at the P&L, because they are really driven by some quite complex accounting. I have got a couple of slides that I will talk to you a little bit later in the deck. Overall, we are very pleased with our profit for the period. Up some 27% for the three months at $30 million, and up 40% for our six-month period, just shy of $50 million. The tax expense was down, but that was really around the capital gains tax that was paid on the solar in the comparative period. I guess our tax rate and effective tax rate is in line, and we are very happy with that. If we turn to the next slide, please. In terms of cash flows, probably the items to note is really the rolling of our various loan notes. You will see some ins and outs. But actually, there is no movement in terms of our net position there. In terms of pointing out significant movements, you will see the acquisition of our capped call options. The $14.4 million in the six-month period was a one-off item that came through, and equally, you will see the impressive $145 million of proceeds in the convertible loan notes that came through and bulking up our cash at the year-end position, which closed at just shy of $167 or $168 million closing cash, which really puts us in good stead as we move forward in terms of our strategic objectives. If we move to the next slide, you will see our overall liquidity position. We are very pleased with our cash on hand at $171 million. There was bullion on hand of $13.5 million, which was really the ounces that are held on hand and ready for shipment. There was a slight delay on one shipment at the end of the six-month period, which was driven by the demonstrations in Johannesburg. There was a timing difference in terms of ounces that were held as we got them to the refiner. But those were delivered the day after, and it was really driven by timing, so nothing untoward to highlight there. Overall, very pleasing to have a total liquidity of over $200 million as we stand at the end of the June period. A very healthy position as we move forward with the company and the various initiatives. The next slide just talks to our capital structure and debt, and we included that in terms of just summarizing basically our debt structure. What is held at our Caledonia Holdings Zimbabwe level in terms of our loan notes. As I mentioned, those movements that you see were really the successful rolling over of loans in terms of what was expiring. We are not intending to increase or decrease. It's really status quo in terms of those loan notes. What we're wanting to do is allocate those against strategic projects. In terms of our borrowings, we're keeping the facility levels at the same level. We have paid down a large portion of that. We're sitting in a very healthy position in terms of overall funding. In terms of the new convertible bond that sits on the balance sheet, increasing our total consolidated structure up to that $167 million that I'd mentioned previously. That just gives you a picture in terms of overall debt. Taking a bit more of a deep dive into those on-mine costs, if we move to the next slide. We just wanted to highlight in terms of on-mine costs at Blanket. I think it's very important to pull out a few key, I guess, transactions or cost centers. The first one is salaries and wages. These have stayed broadly in line. You can see a 4% movement year to date in terms of base increases, in terms of salaries and wages. Well managed, and we're very happy in terms of that overall cost center. What has moved, however, is the Blanket Employee Trust distribution. Previously, we've had the facilitation loan. Any distributions that are made from Blanket dividends have gone to offset, or a portion of them have gone to offset those facilitation loans, and those have now been paid off. Under IFRS, any distributions that are now made under that arrangement need to be classified as employee costs and sit within production costs. You'll see a big, significant $3.2 million charge going through in this last quarter, which has significantly moved our production costs. It hasn't changed any distributions or anything, and is actually a reflection of a great operation in terms of distributing funds. Unfortunately, it sits within our mine costs and has had quite a material impact and will continue to have a material impact in terms of the optics as we go forward. That is a standalone item. We will be reporting it separately, so everybody will be able to see that and deal with that specific cost or line item independently. The other big movement for the period was the electricity cost, where you'll see that's gone up 25%. This is in fact driven by increased wheeling charges, but our actual consumption has decreased. Again, something that's largely outside of our control, where we've done well in terms of our consumption of electricity, but we've been hit with some increased charges there. Again, another one-off that has hit us in terms of those cost centers. Largely, when you back out those areas, you look at the performance in terms of where we've exited the six-month period, it's really driven by lower grades. Those reduced ounces that have come through, in terms of production, has really hit us in terms of our unit metrics when you look at that on-mine cost metric at the bottom right of the chart, going up some 46% for the period. As that flows through onto the next slide in terms of our all-in sustaining costs, you'll see that the higher on-mine costs that I've just discussed, together with the higher royalty driven by that higher revenue that I mentioned at the start, has really flowed through in terms of our calculation of all-in sustaining costs. Whilst our capital expenditure has been well managed and in line with expectation, those costs of the BETS distribution, higher royalties and some higher administrative expenses, largely driven by those advisor fees and transactions fees for our funding strategy, have all fallen into that all-in sustaining bucket and driven that increase in terms of our overall costs. What does that mean? If we move to the next slide. We have had a look and done a whole 6 plus 6 exercise and looked at our outlook for the end of the year, and it has meant with those costs increasing, there will be classifications as we look towards the end of the year. We have increased our on-mine cash costs per ounce sold, increasing that by $100 from our previous guidance range. The updated guidance range is $1,600 to $1,800. A 6% increase. Our all-in sustaining cost per ounce sold has increased by some $400, up from $2,100 per ounce to $2,500 an ounce at the lower end, and increasing to $2,700 an ounce at the top end of the guidance range. Those are due to the new factors I have just discussed. But we have also introduced some new additional spend, which is indicated in the table below, and that is really around how we expect some of the CapEx to drop this year. We had previously announced in March that there was 133 kV power line project that had been approved by the board, but we had not done our costing and quotes, which have now come through subsequent to that announcement. Of the $14.2 million, $8.1 million is going to drop in 2026. We have included that in the guidance, together with an updated number for our AC/DC configuration, our central shaft rock winder project at $3.1 million. There is also some additional spend in terms of key projects that we do need to deliver. One of them is the housing project, which is fundamental to our core operating activities, which we have included a further $1.3 million. There are some exciting projects that I will leave Craig to discuss in terms of K-Pits and Leaver and our underground development, which again, are key additional spends that we need to deploy in terms of meeting our objectives. I just wanted to talk a little bit more about the CapEx profile. If we move to the next slide, you will see a breakdown in terms of what had previously been guided in terms of CapEx spend against each particular project. Our previous guidance in terms of sustaining capital expenditure was $26.6 million. Introducing the three new initiatives, which you can see indicated by reference B and E. It is the new power line, the AC/DC conversion, and the K-Pits projects, which pushes that CapEx profile up to $48 million. But we have also got updates in terms of our growth capital expenditure. Again, going through our Bilboes development and now having quotes coming through and a better understanding in terms of our, I guess, our deposit requirements, where previously we had factored in that a large deployment of cash was needed upfront in terms of ordering those long-lead items. We have got better financing terms. A lot of that cash has reduced, and we have been able to actually go with deposits and defer some of that cash into the early part of next year. That Bilboes $132 million spend has now been reduced for 2026 to $48 million, with $80-odd million being pushed into the first half of next year. We also have a new Blanket Mine plant upgrade, which is a new project of $3.5 million, which has been updated into the second half of this year. Overall, our CapEx number has moved from $162 million down to $103 million. A large portion of that is the Bilboes spend, which is really a reflection of timing. I will highlight it is not to do with the ability to finance or positioning in terms of the project. It will not delay the project, but it is just a wise or better use of deployment of funds, and it has been a very healthy update for us in terms of us moving forward. If we move to the next slide, please. As mentioned earlier, we do have quite a significant movement in our P&L in terms of the accounting for convertible notes. We are not proposing to go into chapter and verse in terms of the accounting. It is just to highlight that we have some significant movement with these convertible notes. It is driven by IFRS. We have independent valuations done. It is just to remind everybody that we have a split in terms of the accounting for the transaction, where we have a host debt on one side of the senior notes, which is really treated in the amortized cost basis, and we have an embedded derivative, which is a financial liability, on the other side of the transaction, which moves with fair value accounting. It does cause some quite considerable volatility through the P&L. It is fully disclosed. We are across it in terms of where we sit, and I am happy to take a deep dive as we account for it for anybody on the call. I am not proposing to go through each stage now, but just to flag that to your attention, that you will see some quite significant movements, and we will keep everybody briefed in terms of how that is accounted for. The last slide is really to remind everybody that we had the capped call option that was also associated with the convert. If we just move to the last slide, please. The accounting for the capped call is another derivative financial asset, which is also fair value through the profit or loss and provides some volatility and net worth. It does have an impact on the income statement as those fair values are recognized in the income statement each reporting period. Again, if a third-party valuation is coming up with the numbers, are fully disclosed and does provide some quite significant movements as you can see in terms of original cost at $14.4 million and the various fair value movements as we sit and carry a net position of $4.4 million on the balance sheet at the end of the period. Again, happy to take a deep dive and explain that more fully for anybody who would like a bit more detail on that. With that, I will hand across to Victor Gapare, who will talk us through the Bilboes update. Victor Gapare: Thank you, Ross. Can we move to the next slide, please? Thank you very much. Basically, the message which we want to leave with you today is that Bilboes continues to advance on schedule and remains central to Caledonia's strategy to deliver sustainable long-term growth. What we have seen is that we've done quite some considerable work across various work streams, especially financing, engineering, and development during this last quarter. We completed geotechnical investigations for the process plant site. That also includes the tailing storage facility. We've advanced process plant optimization studies. We almost done with that. We moving on that. We've substantially completed the tender processes and procurement for long lead items. Here we're talking about the milling plant, really the processing plant, some items of the processing plant, and the major earthworks on site. This is going ahead. We've continued to engage with prospective financing providers. Ross will be back in a slide or two to just tell you where we are with that. But basically, what we're seeing is that quite a lot of progress is being made on this project. In terms of people moving on site, we expect the first contractors to be on site around October. We already have accommodation, but we're also starting additional work on accommodation facilities during October. Can we move to the next slide? As far as capital expenditure is concerned, Ross has already explained a few of the items. Year to date, we have spent $3.5 million against a budget of $8.3 million. This is really expenditure on the owner's team. We have recruited the team which will build this mine, our own team, which will be working with our EPCM contractor, DRA Global. That cost of that team, plus also the early work, which really at the beginning of the project is always the front-end engineering design work, which allows you to place orders for equipment. So that's where we've been spending money, really. The forecast for 2026, as Ross has said, is $48 million compared to the $132 million which we had on the budget. As Ross again explained, this is really a timing issue. We've now gone out to tender. We've received firm offers, firm tenders from the various tenderers with our payment terms, and a lot of those require us to pay a deposit, and then the balance of the cost will be paid as contractual milestones are reached. There's really no change in the project timetable, the cost envelope at this stage. Can we move on? The economic analysis, we've highlighted the economical analysis of this project over time, and it still is a very robust project for this company, and this will stand us in good stead in years to come. Can we go to the next slide, please? As far as the funding strategy for the project is concerned, Ross, can you take this on? Ross Jerrard: Thank you, Victor. We are delighted in terms of providing an update on the funding strategy. You will see the four pillars that we have previously highlighted in terms of our step process, providing the hedge program, doing the convertible, and then have an interim funding facility while we position the project finance facility. The first two steps, as highlighted on the chart, have been delivered. It was important that we put that gold price hedging in place, and that basically hedged our position over the construction period, but provided a floor that supported the cash flows as we went through our discussions with the various banking institutions. You would have seen the delivery of the successful convertible note offering. Again, oversubscribed, and really delivered a great outcome in terms of treasury and positioning us well in terms of our funding initiatives. Those two pillars really meant that we have been able to advance with our banking syndications. The first being the interim funding facility. We have just come off the back of two weeks of bank visits, both with the interim funders and also the project funding institutions, where we had very good due diligence, excuse me, site visits with those institutions across our assets. In terms of our interim funding facility, we have got credit approval from our two co-leader arrangers, and we are working with other syndicate banks in terms of getting that $150 million facility in place. We are well down the track. We are going through all the final DD positions, and we hope that we will or we are planning for that to be closed in late August, early September. So well-positioned in terms of that work stream. In parallel, we have been working with our project finance banks, and again, that process is well underway. We have been very excited in terms of both the appetite and the reaction from those banks. As I mentioned, we have just come off a good visit to Zimbabwe, visiting both government, the assets, and the various management teams in country. So that is running parallel. We had previously indicated in terms of timelines that we felt that it was a little bit further out. So over the next 12 months, we thought that we could deliver that. But off the back of the work streams and how it is advancing, we are certainly planning for that to be closed by the end of the year or early into next year. So over the next to nine months maximum. But we are delighted with the progress, and we are well-positioned in terms of the various discussions that we have at play. If we move to the next slide, we just wanted to give you a quick update in terms of that total funding requirement. So this is an update to a previous slide that we have done in previous updates. On the right, you will see the use of funds and I guess the deployment that we are looking for with a capital cost, but including interest and working capital, looking for the better part of $600 million of funding using that $3,500 per ounce pricing that we have done in terms of our hedging facility. You can see the breakdown of our cash on hand that we now have at the 30th of June of $172 million. Our forecast cash flows from Blanket being $115 million. We are looking for best part of $300 million, just over $300 million in terms of senior debt to other facilities to meet that funding requirement. If we look at the middle chart, we have done that slicing at a price deck of $4,000 per ounce. You can see in terms of where that sits and moving that up slightly, it certainly reduces our senior debt facility down closer to order of $263 odd million. Both charts, we believe, totally achievable. I think we are well on track in terms of our funding work streams, and we are excited about the coming months in terms of making sure that those are closed out and we can really focus on delivering the project. With that, I will hand it across to Craig Harvey. Craig Harvey: Good afternoon, all. I will take you through some of the exploration highlights that we have been encountering at Caledonia. I think throughout the finance and through some of the CEO's remarks, you have heard the term K-Pits. What is the K-Pits? The K-Pits is an area situated inside the Blanket mining lease area. During this period under review, or basically the last 6 months, we did over 2,000 meters of surface trenching. We did 7,000 meters of reverse circulation drilling. Shallow holes only down to about a depth of about 40 meters, purely to have a look at oxide mineralization potential. What you can see there on the selected drill highlights on the right, we have got oxide grades ranging between 1.5 and 2.5 grams per ton over drill lengths. Those are drill lengths between 15 and call it 25 meters. These are within 40 meters of surface. Below that, pleased to see that the mineralization continues, and very pleased to see what the sulphide grades actually look like as well. We are talking grades of 6 grams a ton over downhole widths of between 7 and 16 meters, all within 40 meters of surface. What we are currently doing is, quite clearly, we have completed our drilling exercise. We are drawing up a resource statement. We are doing metallurgical testing in terms of column testing, various sizes, various heights. We are currently constructing a small heap leach trial test bed to actually test it under conditions similar to what the column tests are, so that we can gauge that it is actually working. Results to date are encouraging. I obviously cannot say anything yet. One of the things that I just want to touch on is kind of those bottom three points. Why this discovery matters? I think for anybody that knows Blanket Mine, there was a whole lot of investment in Central Shaft. We can currently hoist and mine a lot more than what we can mill. Hence, there are some tweaks coming up to the plant in the near future. Still, with this as an external heap leach source, anything that we do here clearly does not need the actual Blanket Mine plant. That is just for the oxide material. Where the zone is situated, it is situated about 200 meters to the east of the closest known ore body that we are mining in the underground section of Blanket. We are currently in the process of laying out some surface drill holes to drill below this area now. We are also looking at drilling from line level, at our Sheet Shaft, which is about 200 meters below surface, to have a look for this area. Quite clearly, 200 meters vertical at quite a fat surface expression of the ore body at sulfide grades like that, it just opens up another whole opportunity. I think I have said it on this call before. One of the things that people that know Blanket should notice is that when you arrive at Blanket, you only see headgear. You do not see open pits. At Bilboes, you see open pits, you do not see headgear. This zone represents only a small portion of ground that we have rights to in terms of the mining license and in terms of our claim areas. In the coming years, this is going to be the model that we are going to follow, and it is going to be the first of many, I am pretty sure of that. If you could move on to the next slide. It is just going to be a recap of Blanket Underground. I just highlighted two intersections in red at the bottom there, the 2409 and the 2408 drill holes. Reminding that it is approximately 280 meters below 34 level, which is our deepest mining level at the moment. That represents four main mining levels. We are currently in the process, we are busy dotting the I's and crossing the T's on a Blanket Mine mineral resource update, which will include surface. You will see the K-Pits numbers there. If you can go onto the next slide. Just to highlight that those holes right at the bottom, 280 meters below our current deepest mining, still have ore body widths of 15 to 30 meters at grades of 2.5 to an off. If you take selected core zones, sort of the mineable zones, we are talking 8 meters wide still at anywhere between 3 and 5 grams per ton. That is very much what we are currently mining in and around 34 level. The takeaway here is that going deeper at Blanket, we are not seeing the ore bodies getting thinner, disappearing, grades dropping or anything like that. In actual fact, we are finding Blanket Seven, a new zone which we have not known before. Way up on the top at the K-Pits, there is a potential new zone. The old lady term Blanket is very far from sort of rolling over and playing dead. There is a lot yet to come. If you can go on to the next section, which we will just deal with Motapa quickly. Again, dotting the I's and crossing the T's. The mineral resource estimate is done. We should be publishing the results of that in the next couple of weeks. It is only based on the drilling results that we did in 2024 and 2025. The 2026 exploration program is ongoing, proceeding very well. It is focusing more on the central and southern shear zone. At the same time, we are continuing trenching. It is proving to be a great exploration tool for us. We have identified some new areas that will come out in an exploration drilling or exploration results release later in the year. But all these results are just underpinning Caledonia's view that Motapa is going to feed into the Bilboes project in some form or fashion, and we'll continue doing the work. So in a nutshell, it's looking good. With that, we'll hand back to our CEO, Mark, to close out. Mark Learmonth: Thank you, Craig. Look, we've covered a lot of ground. We've taken 45 minutes. So just to draw it all together, the immediate focus by which I mean between now and the end of the year is to build on the success we've had at Blanket in this quarter and get Blanket running sweetly, increase production, improve the cash generation. Clearly, the big focus is Bilboes. Continue to get the funding in place and continue to deliver that project, targeting first production towards the end of 2028 and the first full year in 2029. And then as you've heard from Craig, we've got some very exciting further development and exploration opportunities both at Blanket and at Motapa. So look, we've taken 45 minutes. If we could pause there and open it for questions, please. Operator: Thanks very much. If I could remind people, if they'd like to ask a question, please do so by raising your hand in the bottom of the screen. We've got our first question is from Nick Dinan. Dinham, sorry. Nick, please go ahead. Nick, please go ahead when you're ready. Nick, if you're ready, you just unmute yourself, and then please go ahead. Nic Dinham: Sorry. I'm having some speaker issues here. Can you hear me now? Operator: Yes, can hear you loud and clear, Nick. Nic Dinham: Okay, great. All right, I am very interested in a couple of questions here around this potential capacity expansion that arises on the mine as a result of the conops. The first question would be, does 18% more blasts at the underground mine result in 18% more potential production, regardless of what happens to the mill? Mark Learmonth: It should do. Yeah, it is not currently running at 18% uplift in run-of-mine production because we are still opening up new areas. But in the fullness of time, yes, we would expect, as you have said, that maths to work. Yeah. Nic Dinham: Okay. It sounds like about 1 million tons a year. Mark Learmonth: Just a bit less. Just a little bit less. About 990. Yes. Nic Dinham: Okay. Now coming on to the plant itself. There has been a discussion about a ball mill and a tons per hour figure given. There was also a discussion about potentially increasing the crushing. Now you are talking about elution circuits, and you are talking about 200 tons per day. But what is that when it comes to the annual production capabilities of the plant when all of this is bedded down? Mark Learmonth: Well, you are exactly right. The 200 tons a day that we are going to be putting through Lima is a short-term stop-gap measure, okay? Just to start harvesting some of the increased run-of-mine production as soon as possible. Do not get distracted on that. What happens to the Lima plant after we have upgraded the main number 4 shaft plant is another story. The elution upgrade is something we had planned to do anyway. That is a 3-ton elution vessel, which will come on stream at the end of this month, and that just allows us to reprocess these grits, this activated carbon, which currently we are accumulating and we cannot process. The new expenditure will be at the front end, the crushers. We will be upgrading the crushers. Well, that will increase it to about 990,000 tons a year. We will be spending some money on those crushers. Then the back end, the CIL, we need to put another CIL tank in. This one will be about twice the size of the existing tanks. That is so that we can keep the residence time at about 40 hours, otherwise we end up losing recovery. The ball mill, we have put in a new ball mill, BM3, that was commissioned in June. We are just basically bookending it, upgrading the crushing at the front end and upgrading the CIL at the back end. That will cost about $3.5 million. The actual phasing of that, how that gets phased, that is something we need to work on between now and the end of the year. I can't tell you between right now, at what point all of that work will be implemented so that the main plant will be running at that sort of target rate of 990,000 tons a year. I can't answer that yet. We'll do that by the end of the year, and also when we've been through the full sort of procurement and budgeting exercise. What I can't do is, at this stage, I can't tell you how that will convert into extra ounces in 2027, because at this stage, I don't know the exact timing of the implementation of the crusher and the CIL upgrades. Nic Dinham: Okay, thank you. The next question to ask a little bit about the capital program. You've upgraded it to $48 million plus some growth CapEx in Blanket again. Yet to date, I can only find about $13 million have been spent in H1. This looks like quite a daunting task to spend the balance of the money, but you're obviously confident you can do it. Mark Learmonth: Yeah. The spending isn't constrained by lack of funding. The spending has usually been constrained by slow delivery of materials. Case in point would be the AC/DC conversion. No, the elution plant that we're working on at the moment. We found that deliveries of steel have been slower than we expected, and that's a fairly consistent theme across all of our capital projects. It's not a failure on our part in terms of our capacity. It's just the supply chain that gets a bit stretched. But yeah, we're comfortable we can get there. Nic Dinham: Okay. Thank you. Just a little bit about the new power line that you're proposing. We heard about that previously. You've changed the scheduling of that slightly. Mark Learmonth: Again, that's because of extraneous events. Things move slower in Zim than we'd like, especially when we're not altogether in control of the project. The 132 kV line that we're putting into Eagle Vulture requires extensive engagement with ZETDC, which can take longer than you'd like. That should be in by about June next year. Nic Dinham: Okay. The other question that was linked to that was that there was some question marks about how the pricing of power that would come through that line. Obviously, you now expect this enhanced capacity at the plant and at the mine you'll be able to create enough power from that or source enough power from that— Mark Learmonth: Yeah. Nic Dinham: —transmission line. Mark Learmonth: Correct. Nic Dinham: So— Mark Learmonth: I mean, that is correct, because Blanket is currently using more power than it is allocated, and we can only get away with that for the time being for as long as the neighboring mine at Vubachikwe is on care and maintenance. If Vubachikwe came off care and maintenance, and I have to say, I see no immediate prospect for that, we would struggle with the amount of power we can get through the existing 33 kV line. With the 132 kV line, that disappears completely. That constraint disappears completely. Nic Dinham: Have you settled your pricing, now? Apparently there has been a little bit of dispute between the various parties that entered into power supply agreements with you previously. Mark Learmonth: Yeah. There is a bit of a dispute. I mean, Victor is closer to this than I am, but there is this thing called the Intensive Energy User Group in Zimbabwe, and there is also ZETDC. There seems to be a bit of a dispute between the two of them. We have incurred a higher wheeling charge, which has affected our electricity charge as Ross outlined. That is part of the play between ZESA and ZETDC and IEUG. The power that we would expect to come through the 132 kV line, we would expect that to be somewhat cheaper than we are currently paying. Let us be clear, if we continue to face supply difficulties in country, we can do what I believe some of the other very big users do, I think the platinum producers, which is just to import power directly ourselves. The power tariff, going forwards with the 132 kV has not been finalized, but there is no reason to suggest it will not be cheaper than it is at the moment. Nic Dinham: Okay. Excellent. I have lots of questions, but I will ask one more I think to close it off. You have interim funding lined up for 2-3 months' time. It almost sounds like from the rate of spending that you think of having to spend over the next period in Bilboes will actually be a lot less than you originally thought. Does this mean you can be a little more relaxed about the interim funding time? Mark Learmonth: No, we are still continuing. Especially you work at Standard Bank. Standard Bank is one of the core components of that interim funding structure, and there is no way we are going to freewheel on getting that funding together. We will go flat out as quickly as we can to get all that funding in place, even if it means that we get it earlier than we need it. I mean, Ross, do you want to Ross is the CFO. I mean, Ross, do you want to sort of comment on that? Ross Jerrard: Absolutely. No, it is full steam ahead. Mark Learmonth: Are you going to go on extended holiday and not raise the money? Ross Jerrard: No, full steam ahead. We want it all in place, and then we can talk about timing of drawdowns and the like. But, it's— Nic Dinham: Okay. Mark Learmonth: Okay. Anything— Nic Dinham: Thank you very much. Mark Learmonth: Okay. Thank you. Operator: Can I just remind people if they would like to ask a question, please do raise your hand, which is in the bottom toolbar. I am just going to pause for a moment whilst we wait for people to ask a question. We have our next question from Yuan Low. Please go ahead. Your line is open. Yuan Low: Hello, everyone. Thanks for taking my questions, and congratulations on another good result. Can I ask whether you can give any color on things like commitment fees and like the interest rates, tenures and so on, for the interim funding and for the project finance? I know it is probably too early. Mark Learmonth: Yeah. This stage is too early. All I can say is the two key criteria here are speed. A project of this size and quality, any delay in implementing it will cost money in terms of NPV per share. That is the first thing. The second thing, just to be clear, is that all of these debt funding structures, the cost of those compared to our cost of equity, do not even begin to. Our cost of equity is so eye-wateringly expensive that the cost of the various debt facilities is, I am not saying we are price insensitive, but it is not a major cause for concern. I think you are kind of splitting a hair that just does not need splitting. But at this stage, it is too early to say. Yuan Low: Oh, that is fine. I am just asking for modeling purposes. Mark Learmonth: Yeah, sorry. Yuan Low: All right. For Craig Harvey, I know you have said it is also too early to give us any metallurgical results. I was just curious as to the nature of the refractoriness, if any, at the K-Pits in the sulfides, and potentially the transition zone. Also, why are you wearing a jacket? A heavy jacket. Mark Learmonth: Just on— Craig Harvey: I— Mark Learmonth: Just on the last one. Because he is in Johannesburg and he is bleating about it being cold. That is why he is wearing a jacket. Craig Harvey: It is freezing. It is freezing. But yes, look, I mean, what I can remind you is that just remember that the Blanket ore bodies that we mine are all free-milling. So I cannot go beyond that. We have done bottle roll testing on our drill core assays, and they are in the press release that we put out there. And bottle roll assays, so that is direct cyanide adsorption for 24 hours, to a fire assay value. We are getting 80%-85%. So I would be expecting on a heap leach to recover a- Yeah, 90%-95% of that. Yuan Low: Okay. That is great. Thank you very much. Mark Learmonth: Sorry, Yuan, was your question about the refractory nature of the sulfide, the underlying sulfide? Yuan Low: Yes, I was asking about that. I was wondering whether it's sulfides, not single refractory, whether it's having carbon, that sort of thing. Mark Learmonth: Craig, I mean, at this stage, you're able to give any indication as to whether we have any basis to believe that the underlying sulfide could be tricky to treat? Craig Harvey: No. Look, at this stage, there's nothing that gives an indication, either way, that it's in any way different to the sulfide ores that we mine at Blanket at the moment. There's nothing that's saying that it is refractory, but I don't have any information that I can give you to say that it's not. Mark Learmonth: But clearly, it's something we will be evaluating. Craig Harvey: Yeah. Yuan Low: Okay. Wonderful. Thank you. Mark Learmonth: Thank you, Yuan. Operator: Thank you. If I could just remind people, if anybody would like to ask a further question, please do so by raising your hand. I will just wait for one second to allow people to raise their hand. Mark, as we have got no further questions at the moment, please hand back to yourself for any closing remarks. Mark Learmonth: Okay. Well, thank you all for your time. I think this quarter just finished has been a transitional quarter. From a very disappointing first quarter, I think we have set ourselves up for a very exciting sort of closing half to the year and a very good start to next year as well. Thank you all for your time and your attendance. Operator: Thanks very much. That concludes the Caledonia Mining Q2 Trading Update. Thank you very much for your time today. Before you buy stock in Caledonia Mining Plc, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Caledonia Mining Plc wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. 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As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Caledonia Mining (CMCL) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in Caledonia Mining Corporation PLC? Here are five stocks we like better. Second-quarter performance improved: Production rose 18% sequentially as Blanket Mine regained access to higher-grade areas, while revenue increased 16% to $76 million and EBITDA reached nearly $46 million. Caledonia ended the quarter with $167.8 million in cash and declared its $0.14-per-share dividend. Cost guidance increased while capital guidance fell: On-mine cash costs are now expected at $1,600–$1,800 per ounce and all-in sustaining costs at $2,500–$2,700 per ounce. 2026 capital expenditure guidance was reduced to $103 million from $162 million, mainly because Bilboes spending will shift into early 2027. Bilboes development remains on schedule: Caledonia expects first contractors on site around October, is pursuing a $150 million interim funding facility, and continues to target first production toward the end of 2028. Project-finance discussions are expected to conclude by the end of 2026 or early 2027. Caledonia Mining (NYSEAMERICAN:CMCL) said second-quarter production increased 18% from the first quarter as the company regained access to higher-grade mining areas at its Blanket Mine and implemented operating changes intended to lift output. Chief Executive Mark Learmonth said revenue rose 16% to $76 million during the quarter, while EBITDA increased 16% to nearly $46 million, supported by stronger production and a higher gold-price environment. Profit after tax increased 27% versus the comparable 2025 period to $30 million, and quarterly earnings per share rose 29% to $1.36. → MarketBeat Week in Review – 08/03 - 08/07 The company generated operating cash flow of $28.4 million and ended the quarter with $167.8 million in cash and cash equivalents. Caledonia also declared its regular quarterly dividend of $0.14 per share. Learmonth said Blanket Mine’s recovery was primarily driven by improved access to higher-grade areas after fall-of-ground incidents during 2025 had restricted access to those zones. The mine had operated at lower grades in recent quarters, with grade averaging 2.5 grams per ton in the first quarter before rising to approximately 2.88 grams per ton in the second quarter. → Quantum Earnings Week: Winners and Losers Are Finally Emerging Caledonia is targeting an average grade of about 3.16 grams per ton for the remainder of the year and said it is currently operating at that level. Higher grades also improved recovery rates, as the company said lower head grades reduce recovery when tail grades remain near 0.2 grams per ton. The company moved Blanket Mine to a seven-day workweek in June, a change intended principally to address worker fatigue. Learmonth said the schedule also increased blasting days by 18%, which is expected to support higher run-of-mine production over time. He said the mine could ultimately produce just under 990,000 tons annually under the expanded operating arrangement, although it is not yet producing at the full uplift as new mining areas are opened. → Take-Two’s Q1 Results Leave GTA 6 Bulls Stuck in the Fog of War Caledonia plans to process a portion of the incremental material through its repurposed Lima plant beginning in September. The company also expects an elution-plant upgrade to be completed by the end of August, allowing it to process approximately 40 tons of accumulated material grading between 600 and 700 grams per ton. Learmonth said this is expected to add about 1,200 ounces across September through December. Looking further ahead, Caledonia plans to upgrade crushing capacity and add a larger carbon-in-leach tank at Blanket’s main plant. The estimated $3.5 million project is intended to enable the main plant to process about 990,000 tons annually while maintaining recovery rates. Learmonth said the timing of implementation and the resulting impact on 2027 gold production have not yet been determined. Chief Financial Officer Ross Jerrard said Caledonia benefited from an average realized gold price of $4,259 per ounce, up 34% year-over-year, although gold ounces sold and produced were lower for both the three-month and six-month periods. Jerrard said mine costs were broadly in line with budget in absolute terms, but per-ounce metrics were affected by lower output and certain items classified as production costs. These included a $3.2 million Blanket Employee Trust distribution that is now required under IFRS to be recorded as an employee cost following repayment of a facilitation loan. Electricity costs rose 25% because of higher wheeling charges, even as electricity consumption declined, Jerrard said. Higher gold prices also increased royalties, while advisory and transaction costs associated with Caledonia’s financing strategy contributed to higher administrative expenses and all-in sustaining costs. On-mine cash cost guidance was increased by $100 per ounce to a range of $1,600 to $1,800 per ounce sold. All-in sustaining cost guidance was raised to $2,500 to $2,700 per ounce sold, from a previous lower-end estimate of $2,100 per ounce. Total 2026 capital expenditure guidance was reduced to $103 million from $162 million, primarily due to the timing of Bilboes expenditures. The updated capital program includes $48 million of sustaining capital expenditure, including spending on a 132 kilovolt power line, an AC/DC conversion project, K-Pits work and other Blanket initiatives. Learmonth said the planned power line should remove a constraint on available electricity capacity at Blanket Mine and is expected to be completed around June of next year. Executive Director Victor Gapare said the Bilboes gold project remains on schedule and central to Caledonia’s long-term growth strategy. During the quarter, the company completed geotechnical investigations for the proposed process plant and tailings storage facility, advanced plant optimization studies, and substantially completed tendering and procurement processes for long-lead equipment and major earthworks. Gapare said the first contractors are expected on site around October, with additional accommodation work also scheduled to begin then. Year-to-date spending totaled $3.5 million against an $8.3 million budget, largely covering the owner’s project team and front-end engineering work. The company forecast $48 million of Bilboes spending during 2026, compared with a previous estimate of $132 million. Gapare and Jerrard said the reduction reflects supplier payment terms that defer more spending into early next year, rather than a change in project scope, total cost or timeline. Jerrard said Caledonia has received credit approval from its two co-lead arrangers for a proposed $150 million interim funding facility and is working with additional syndicate banks. The company is targeting a close in late August or early September. Project-finance discussions are also progressing, with Caledonia now targeting completion by the end of the year or early next year. Learmonth said the company continues to target first production at Bilboes toward the end of 2028, followed by its first full year of production in 2029. Vice President of Technical Services Craig Harvey highlighted drilling and trenching at the K-Pits area within Blanket Mine’s lease. The company completed more than 2,000 meters of surface trenching and 7,000 meters of reverse-circulation drilling focused on shallow oxide mineralization. Harvey said selected oxide intersections ranged from 1.5 to 2.5 grams per ton over drill lengths of approximately 15 to 25 meters, while sulphide mineralization returned grades of about 6 grams per ton over downhole widths between 7 and 16 meters. Caledonia is preparing a resource statement and conducting metallurgical work, including column tests and a small heap-leach trial. The company is also finalizing a mineral resource update for Blanket Mine and expects to publish a maiden resource estimate for Motapa in the coming weeks. Harvey said ongoing work at Motapa supports Caledonia’s view that the area could contribute to the Bilboes project in some form. Caledonia Mining Corporation PLC is a UK‐domiciled gold producer listed on the NYSE American under the ticker CMCL and on the London AIM market. The company's flagship asset is the Blanket gold mine, located near Gwanda in southwestern Zimbabwe. Blanket is a conventional underground and surface gold operation that includes a carbon‐in‐leach processing plant and tailings retreatment facilities, providing a structurally diverse resource base and established production infrastructure. Caledonia acquired the Blanket mine in 2004, adding to its long operating history that traces back to the early 20th century. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Caledonia Mining Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

(NYSE American:CMCL)(AIM:CMCL)(VFEX:CMCL) ST HELIER, JERSEY / ACCESS Newswire / August 10, 2026 / Caledonia Mining Corporation Plc ("Caledonia" or the "Company" and together with its subsidiaries the "Group") is pleased to report its financial and operating performance for the quarter and the six months ended June 30, 2026 (the "Quarter" and "Half Year" respectively). Further information on the financial and operating results for the Quarter and Half Year can be found in the Management Discussion and Analysis ("MD&A") and the unaudited condensed consolidated interim financial statements (the "interim financial statements"), which are available on the Company's website and are being filed on EDGAR and SEDAR+. Q2 2026 HIGHLIGHTS Safety Blanket achieved its strongest safety performance on record, completing the Quarter with no lost time injuries ("LTIs") and establishing a new record of approximately 395 consecutive LTI-free days and over 5.4 million LTI-free man-hours worked. Overview The Quarter marked a significant operating recovery at Blanket Mine ("Blanket"): gold production increased 18% compared to the first quarter of 2026 ("Q1 2026" or the "preceding quarter") as grades improved; combined with a strong gold price environment, this delivered materially higher revenues. Whilst still lower than the second quarter of 2025 ("Q2 2025" or the "comparative quarter" or the "comparable quarter") which was a record quarter largely due to exceptional grades which enhanced production and financial performance, the improvement over Q1 2026 is clear and is expected to continue in the second half of 2026. On-mine costs and all-in sustaining costs ("AISC") per ounce now reflect activity not only at Blanket but also the cost of funding initiatives for Bilboes, which includes the costs relating to the successful Convertible Senior Notes issue to fund Bilboes. In addition, following the maturing of the employee ownership trust at Blanket, dividends paid to Blanket employees arising from the trust's 10% shareholding in Blanket are treated as employee costs and therefore substantially increase the labour component of on-mine costs. After adjusting for these items, on-mine costs expressed on the basis of cost per tonne milled have been stable. The increases in on-mine and all-in sustaining costs per ounce are therefore attributable to the lower grades in the Quarter and Half Year compared to the comparative quarter and to the first six months of 2025. Initiatives to increase production at Blanket are expected to bear fruit from the end of the third quarter; management is confident of a strong operating performance at Blanket in the second half of 2026 and particularly in the fourth quarter. Increased sustaining capital in the second half of 2026 is expected to result in production levels at Blanket from 2027 that are higher than current guidance. Further details will be provided at the end of 2026 on completion of detailed budgeting and technical planning. Workstreams on the Bilboes project are proceeding as planned: Financial Highlights Revenue increased by 16% to US$75.9 million in the Quarter compared to US$65.3 million in Q2 2025, mainly due to a stronger realised gold price. Compared with Q1 2026, revenue increased by 14% from US$66.4 million, reflecting improved production in the Quarter. The average realised gold price increased by 34% to US$4,259/oz sold compared to the comparable quarter but was 12% lower than the preceding quarter. Consolidated gold sales (i.e. including gold production from Bilboes where limited production continues) were 17,811 ounces. Sales exclude 3,589 ounces of gold finished goods inventory on hand at the end of the Quarter which was sold immediately after the end of the Quarter. Gross profit increased by 16% to US$39.2 million, compared to US$33.8 million in Q2 2025, driven by higher gold sales revenues arising from a stronger average realised gold price, partly offset by lower ounces sold. Compared with Q1 2026, gross profit increased by 22% from US$32.1 million, reflecting improved production and sales in the Quarter. On-mine costs in the Quarter and Half Year include substantial employee benefits costs, which do not reflect core operating activities. On-mine costs per ounce in the Quarter were also adversely affected by the lower grade. On-mine costs in the Quarter were US$1,675/oz sold, 49% higher than the comparative quarter but 3.7% lower than the US$1,740/oz sold in the preceding quarter. AISC decreased by 3% to US$2,678/oz sold compared to the preceding quarter due to the higher grade. EBITDA increased by 16% to US$45.8 million from US$39.5 million in Q2 2025. EBITDA for the Quarter includes US$11.5 million of gains arising from the revaluation of derivative financial instruments (as discussed further in note 9.3 to the interim financial statements). Excluding the US$11.5 million net fair value gain recognised in the Quarter and the US$8.5 million gain on the sale of the solar plant recorded in the comparative quarter, profit after tax increased by 23% from US$15.0 million to US$18.5 million. Basic earnings per share increased to US$1.36/share, up 28% from US$1.06/share in the comparable quarter and 71% from US$0.80/share in the preceding quarter. The increase reflects increased profitability, supported by favourable gold prices, and positive fair value adjustments recognised during the Quarter. Net cash generated from operating activities increased from US$28.1 million to US$28.4 million. Net cash and cash equivalents increased to US$167.8 million from US$8.2 million at June 30, 2025, reflecting the continued cash generation from operations and receipt of proceeds from the Convertible Senior Notes issued in January 2026. The Group's liquidity position provides substantial financial flexibility to support the Bilboes project. Operating Highlights Gold production and sales: Blanket produced 17,360 ounces of gold during the Quarter, an 18% increase on the preceding quarter due to improved access to high grade mining areas. The grade has continued to improve in July. The average feed grade in the Quarter was 2.9g/t compared to 2.5 g/t in the preceding quarter and 3.4g/t in the comparative quarter. Cost discipline in terms of cost per tonne milled has been good in the Quarter which reflects several initiatives including a focus on reducing electricity consumption and measures to reduce overtime working. Operating improvement initiatives at Blanket, including the transition to a seven-day operating schedule and improved access to higher-grade mining areas, are beginning to deliver positive results and support expectations for higher production and lower on-mine costs per ounce in the second half of 2026. Bilboes Project Progress has continued across the engineering and development workstreams: It is expected that the first physical on-site activity will commence in October 2026, being the construction of contractor accommodation and related infrastructure works. Subsequent to the over-subscribed issue of Convertible Senior Notes in January 2026 which raised net proceeds of US$130million, good progress has been made on the remaining two components of the funding package for the project, being: Exploration Motapa exploration: Drilling results announced during the Quarter confirmed mineralisation across approximately six kilometres of strike and support publication of a maiden mineral resource estimate in the third quarter of 2026 ("Q3 2026"). Blanket exploration: As announced in July 2026, exploration and evaluation work has identified significant oxide and sulphide mineralization at a new zone which is approximately 200 meters from the nearest mining infrastructure at Blanket. It is expected that the results of this drilling will also be incorporated into a mineral resource estimate to be published in Q3 2026. This presents a potential new near-surface mining opportunity adjacent to Blanket: metallurgical test work is well advanced, and planning is in progress for a trial mining and heap-leach programme to commence in the fourth quarter of 2026 ("Q4 2026"). 2026 Production, cost guidance and capex guidance Blanket gold production guidance range re-affirms production guidance for 2026 of 72,000-76,500 ounces.[1] Cost guidance: Capex guidance: Details on the revised guidance are discussed in section 4.7 of the MD&A. 2027 Outlook Management anticipates that gold production at Blanket in 2027 will exceed the previous guidance of 72,000-76,500 ounces due increased run-of-mine production arising from the introduction of the 7-day shift and the potential for oxide mining at the K-pits. The increased AISC guidance for 2026 includes US$3.5 million in respect of planned upgrades to the crushing and Carbon-in-leach plants at Blanket to process the increased rate of ore production. Management is finalising the governance and procurement aspects relating to this incremental expenditure. The timing and quantum of increased gold production in 2027 will be determined by the timescale required to complete the necessary work, which management is currently finalising. Management is finalising a resource estimate for the K-pits and is assessing the timing of any increased production, the required capital expenditure to achieve higher production and the resultant effect on on-mine and all-in sustaining costs. Management expects that firm guidance for 2027 in respect of production, costs and operating costs will be provided after the 2027 budgeting exercise has been completed at the end of 2026. Capital Markets Day The Company will host a Capital Markets Day on Wednesday, September 16, 2026 in New York. Date: Wednesday, September 16, 2026Time: 9.30 New York / 14.30 London / 15.30 HarareFormat: In-person or onlineLocation: Sofitel New York, 45 West 44th Street, 10036 New York, United States To register for the event, please visit: https://caledonia.brrmedia.co.uk/ Presentation materials will be made available on the Company's website in advance, with a webcast replay made available on our social media channels following the event. Dividend The Board has approved a quarterly dividend of 14 United States cents (US$0.14) on each of the Company's shares. The relevant dates relating to the dividend are as follows: Ex-dividend date VFEX: August 19, 2026 Ex-dividend date AIM and NYSE American: August 21, 2026 Record date: August 21, 2026 Payment date: September 4, 2026 Shareholders with a registered address in the UK will be paid in Sterling. OPERATING AND FINANCIAL RESULTS SUMMARY Previously reported in 200,000 man hours. The production summaries above only show Blanket's results. Bilboes oxide mine contributes marginally to the overall results; however, due to materiality, its numbers have not been included above. Refer to the financial statements' appendices at the end of this announcement for some of the lines in the summary above. The capex relates to Blanket only. LTIFR - lost time injury frequency rate. TIFR - total incident frequency rate. Free cash flow, calculated as being the net cash generated from operations after funding sustaining and growth capital expenditure Chief Executive Officer's Comment Mark Learmonth, Caledonia's Chief Executive Officer, commented: "The second quarter represented a significant improvement in operating performance across the business. Most importantly, Blanket achieved a record safety performance, reaching approximately 395 consecutive lost-time injury free days and more than 5.4 million LTI-free man-hours worked. This reflects the commitment of our workforce and the strong safety culture that continues to develop throughout the organisation. "We delivered a clear improvement on the first quarter, with gold production increasing by 18% to 17,360 ounces. Encouragingly, grades improved steadily throughout the period as access to higher-grade mining areas increased, and this positive trend will continue into the third quarter. The measures we have implemented to improve mine flexibility and ore availability are gaining traction and are delivering tangible results. "The successful introduction of our seven-day working week in June marks another important milestone and is expected to increase production from September 2026, when we intend to start to process an additional 200 tonnes per day. Together with the completion of the elution plant upgrade later this year and continuing improvements in access to higher-grade ore, we expect production to strengthen further in the second half of 2026. "These improvements, combined with a robust gold price environment, resulted in quarterly revenue of US$75.9 million, profit after tax of US$30.0 million and operating cash flow of US$28.4 million. Basic earnings per share increased to US$1.36 and our cash position strengthened further, leaving us well positioned to fund our growth initiatives at Bilboes and Blanket while continuing to return value to shareholders through our dividend. "We continued to make excellent progress across our growth portfolio. At Motapa, drilling results confirmed mineralisation across approximately six kilometres of strike and support our intention to publish a maiden mineral resource estimate later this year. At Blanket, the K-Pits exploration programme identified significant oxide and sulphide mineralisation close to the existing operations and in respect of which we expect to publish a resource estimate later this year. This has the potential to create an attractive new, near-term oxide mining project, with medium-term sulphide potential. "On mine and all-in sustaining costs per ounce remained high in the six months to 30 June but include substantial costs which do not reflect core operating activities. Such costs include $3.2 million dividend payments to Blanket's employees which arise from the 10% ownership of Blanket by the employee trust, $4 million of advisory fees arising from the successful issue of $150 million of convertible bonds and other fund raising initiatives and $3.2 million of higher royalty payments to the government of Zimbabwe arising from the higher gold price and an increase in the royalty rate for those shipments which realised a gross price of over $5,000 per ounce. All-in sustaining cost per ounce was also affected by higher sustaining capital expenditure, which reflects a strategic decision to improve the mine infrastructure, improve the environment for Blanket's workforce and enhance Blanket's operating resilience. After adjusting for these items, the residual increase in cost per ounce was due entirely to the lower grade. Management is confident that continued vigilance in controlling operating cost per tonne, coupled with the improved mine grade, means that Caledonia's full year guidance of the on-mine cost per ounce is in the range of US$1,600-US$1,800, and the all-in sustaining cost per ounce is expected to be in the range of US$2,500- US$2,700. "The increased guidance for all-in sustaining costs for 2026 is partly due to an increase in sustaining capital expenditure which is intended to increase production from 2027 onwards. I expect to provide updates on the timing and quantum of such production increases and the implications for on-mine and all-in sustaining costs toward the end of the year when the detailed capital scheduling and budget process has been completed. "With improving operating momentum, a strong gold price environment and several growth opportunities advancing across the portfolio, we remain confident in Caledonia's outlook and our ability to create long-term value for shareholders. The continued improvement in operating performance at Blanket supports our expectation of a stronger second half of 2026, in line with market expectations. WEBCAST The Company will host a remote presentation for analysts and investors on its abridged and unaudited operating and financial results for the Quarter and Half year on Monday August 10, 2026 at 2:00pm London time, followed by an opportunity to ask questions. Webcast link: https://stream.brrmedia.co.uk/broadcast/6a631cd9da9f6e0013d170b5 END NOTES Non-GAAP measures This announcement includes certain financial performance measures which are non-GAAP measures. These include cash costs of production, AISC, cash and liquid assets, and free cash flow. Management believes these measures provide valuable additional information for users of the information to understand the underlying trading performance. Definitions and explanation of the measures used along with reconciliation to the nearest IFRS measures are detailed in the Form 20-F filed on the SEC's Electronic Data Gathering, Analysis, and Retrieval (EDGAR) system on April 23, 2026 as well as being available at www.caledoniamining.com/investors/reports-presentations/. Cash and liquid assets Cash and liquid assets include cash, fixed-term deposits, bullion on hand, gold sales receivables and drawn down bank facilities. LTIFR Lost Time Injury Frequency Rate ("LTIFR") measures how often workplace injuries occur that result in employees missing work, normalized to hours worked to allow comparison over time or between organisations. TIFR The Total Injury Frequency Rate ("TIFR") is a key safety performance indicator that measures the frequency of all workplace injuries (including fatalities, lost time injuries, medical treatment cases, and restricted work injuries) relative to the total hours worked. FOR MORE INFORMATION, please visit the website www.caledoniamining.com or contact: Enquiries Craig James Harvey, MGSSA, MAIG, Caledonia Vice President, Technical Services, has reviewed and approved the scientific and technical information contained in this news release. Craig James Harvey is a "Qualified Person" as defined by each of (i) the Canadian Securities Administrators' National Instrument 43-101 - Standards of Disclosure for Mineral Projects and (ii) sub-part 1300 of Regulation S-K of the U.S. Securities Act. Note: The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014 ("MAR") as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 and is disclosed in accordance with the Company's obligations under Article 17 of MAR. Cautionary Note Concerning Forward-Looking Information Information and statements contained in this news release that are not historical facts are "forward-looking information" within the meaning of applicable securities legislation that involve risks and uncertainties relating, but not limited, to Caledonia's current expectations, intentions, plans, and beliefs. Forward-looking information can often be identified by forward-looking words such as "anticipate", "believe", "expect", "goal", "plan", "target", "intend", "estimate", "could", "should", "may" and "will" or the negative of these terms or similar words suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. Examples of forward-looking information in this news release include (but are not limited to): statements regarding Blanket's expected production profile and full-year production guidance; any increase in production guidance for 2027, expected benefits from the seven-day working week, improved mine flexibility, higher-grade ore access and the elution plant upgrade; expected timing of resource updates at Blanket and Motapa; the potential development, production, cost and resource benefits of K-Pits, Motapa and Bilboes; expectations regarding Bilboes financing, construction, mine life, future production, cash flow and shareholder value; the Company's ability to fund its growth initiatives; and the timing and availability of future investor materials and webcast replays. The forward-looking information contained in this news release is based, in part, on assumptions and factors that may change or prove to be incorrect, thus causing actual results, performance or achievements to be materially different from those expressed or implied by forward-looking information. Such factors and assumptions include, but are not limited to: the successful implementation of mine plans, the establishment of estimated resources and reserves, the grade and recovery of minerals which are mined varying from estimates, success of future exploration and drilling programs, reliability of drilling, sampling and assay data, the representativeness of mineralization being accurate, success of planned metallurgical test-work, capital availability and accuracy of estimated operating costs, obtaining required governmental, environmental or other project approvals, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and Caledonia's experience of project development in Zimbabwe and other factors. To the extent any forward-looking information herein constitutes a financial outlook or future oriented financial information, any such statement is made as of the date hereof and included herein to provide prospective investors with an understanding of the Company's plans and assumptions. Security holders, potential security holders and other prospective investors should be aware that these statements are subject to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from those suggested by the forward-looking statements. Such factors include, but are not limited to: risks relating to estimates of mineral reserves and mineral resources proving to be inaccurate, fluctuations in gold price, risks and hazards associated with the business of mineral exploration, development and mining, risks relating to the credit worthiness or financial condition of suppliers, refiners and other parties with whom the Company does business; inadequate insurance, or inability to obtain insurance, to cover these risks and hazards, employee relations; relationships with and claims by local communities and indigenous populations; political risk; risks related to natural disasters, terrorism, civil unrest, public health concerns (including health epidemics or outbreaks of communicable diseases such as the coronavirus (COVID-19)); availability and increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development, including the risks of obtaining or maintaining necessary licenses and permits, diminishing quantities or grades of mineral reserves as mining occurs; global financial condition, the actual results of current exploration activities, changes to conclusions of economic evaluations, and changes in project parameters to deal with unanticipated economic or other factors, risks of increased capital and operating costs, environmental, safety or regulatory risks, expropriation, the Company's title to properties including ownership thereof, increased competition in the mining industry for properties, equipment, qualified personnel and their costs, risks relating to the uncertainty of timing of events including targeted production rate increase and currency fluctuations. These risks are not exhaustive. Further information on these and other risks that could affect Caledonia's results is included in its filings with the Securities and Exchange Commission ("SEC"), including its Annual Report on Form 20-F for the last completed financial year, reports on Form 6-K for the most recently completed three and six month periods and the future reports that it may file from time to time with the SEC. Security holders, potential security holders and other prospective investors are cautioned not to place undue reliance on forward-looking information. By its nature, forward-looking information involves numerous assumptions, inherent risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. Caledonia undertakes no obligation to update publicly or otherwise revise any forward-looking information whether as a result of new information, future events or other such factors which affect this information, except as required by law. This news release is not an offer of the shares of Caledonia for sale in the United States or elsewhere. This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the shares of Caledonia, in any province, state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such province, state or jurisdiction.   Appendix AConsolidated statements of profit or loss and other comprehensive income(in thousands of United States Dollars, unless indicated otherwise)   Appendix BConsolidated statements of financial position(in thousands of United States Dollars, unless indicated otherwise) Appendix CConsolidated statements of cash flows(in thousands of United States Dollars, unless indicated otherwise) [1] Refer to "S-K 1300 Technical Report Summary on the Blanket Gold Mine, Zimbabwe" with effective date December 31, 2023 prepared by Caledonia and filed by the Company on EDGAR as an exhibit to its annual report on Form 20-F on May 15, 2024; and "NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe" with effective date December 31, 2023 prepared by Caledonia and filed by the Company on SEDAR+ on May 15, 2024. SOURCE: Caledonia Mining Corporation Plc View the original press release on ACCESS Newswire

Surface drilling defines previously unrecognised gold zone containing oxide and sulphide mineralisation (NYSE AMERICAN: CMCL; AIM: CMCL; VFEX: CMCL) SAINT HELIER, JE / ACCESS Newswire / July 23, 2026 / Caledonia Mining Corporation Plc ("Caledonia" or "the Company") is pleased to announce results from its surface exploration program at the Blanket mine ("Blanket"). The results demonstrate the presence of significant near surface gold mineralisation in a previously unknown mineralized horizon. This mineralized zone has not been exploited in the underground mine and represents an opportunity for low-cost heap leaching operations of the near surface oxide material, with potential for a sulphide extension below any potential oxide open pit. The exploration results suggest the mineralisation may represent a new orebody that has not previously been exploited by the underground mine. Further drilling is planned to assess the continuity and extent of the mineralised system at depth. Highlights Surface drilling confirms continuity of gold mineralisation below surface over the K-Pits target area. Both oxide and sulphide mineralisation have been identified, supporting potential near-term development opportunities as well as longer-term exploration upside. Metallurgical test work is underway to evaluate the amenability of the oxide mineralisation to conventional heap leaching, with encouraging preliminary results. Work is well advanced on an updated Blanket resource statement incorporating the surface exploration programme as well as recent underground drilling. The Company expects to publish the updated resource statement in August 2026. Follow-up drilling is planned from both surface and underground platforms to test potential extensions of the mineralisation at depth. Selected drilling highlights for Blanket surface (as extracted from the full results in the Appendix) include : Hole KPT0EX2553 - 23.00m** at 2.61g/t from 0m downhole, RC, Oxide Hole KPT0EX2561 - 6.00m** at 1.97g/t from 14m downhole, RC, Oxide Hole KPT0EX2545 - 15.00m** at 1.69g/t from 0m downhole, RC, Oxide Hole KPT0EX2545 - 4.00m** at 2.08g/t from 15m downhole, RC, Transitional Hole KPT0EX2567 - 20.00m** at 1.22g/t from 19m downhole, RC, Transitional Hole KPT0EX25124 - 12.00m** at 1.20g/t from 23m downhole, RC, Transitional Hole KPT0EX2510 - 16.00m** at 6.04g/t from 29m downhole, RC, Sulphide Hole KPT0EX2542 - 7.00m** at 5.96g/t from 13m downhole, RC, Sulphide Hole KPT0EX2576 - 5.00m** at 3.96g/t from 40m downhole, RC, Sulphide **all intersections above are down hole intersections; estimated true widths are quoted in the tables later in this press release. Why this discovery is important The K-Pits programme was originally designed to evaluate near-surface targets within the Blanket mining lease that had received little exploration attention. Results from trenching and reverse circulation drilling have confirmed the presence of significant gold mineralisation associated with shear structures and lithological contacts. Importantly, geological interpretation suggests the mineralisation may represent a separate mineralised system located approximately 200 metres east of the nearest projected underground orebody. This raises the possibility that the K-Pits target represents a previously unrecognised mineralised horizon that has not been exploited by historic underground mining activities. The presence of near-surface oxide mineralisation is particularly significant because it may be amenable to conventional heap leach processing, potentially offering a lower-cost route to extracting gold compared to underground mining. Metallurgical test work is underway to assess this opportunity. Chief Executive Officer, Mark Learmonth, said: "This is an exciting development at Blanket and further demonstrates the significant exploration potential that exists within the mining area. We are well advanced in our work to incorporate the results of this surface exploration programme into a revised resource statement expected to be published in August 2026, which will reflect the results of surface and underground exploration at Blanket alongside the exploration programme at Motapa, where we recently announced encouraging initial drilling results. "We have commenced metallurgical test work on the oxide material at Blanket to evaluate its amenability for conventional heap leaching and the preliminary results are encouraging. If the conclusion of the test work shows an acceptable recovery, we intend to commence a trial heap leach operation on an initial sample of 10,000 tonnes of material during the second half of 2026. The potential to develop a low-cost processing route for this near-surface mineralisation could provide an attractive opportunity to complement Blanket's existing underground operations and unlock additional value." Enquiries Overview of the Blanket Surface Exploration Program The Blanket surface exploration program commenced in 2024 with geological mapping, geophysical surveys, trenching, and historical data collation. The initial work informed targets for wide spaced surface trenching to understand the geology, both structural and lithological, for the area. During 2025, a total of 2,304.1m of trenching from 13 trenches and a total of 7,063 of shallow RC drilling was completed at the K-Pit target, focused primarily on examining the area for oxide gold mineralisation that may be amenable to low-cost surface heap leaching operations. Location of the activities The exploration area is located within the mining lease boundary of Blanket. Blanket is located in the southwest of Zimbabwe, approximately 15 km northwest of Gwanda, the provincial capital of Matabeleland South. Gwanda is located 147 km southeast of Bulawayo, 197km northwest of the Beitbridge Border post with South Africa, and 560km from Harare. The Blanket locality is shown relative to other material Caledonia properties in Figure 1. Caledonia's Bilboes property, currently in the development stage, and the Motapa exploration property is located further to the north of Blanket. Blanket is situated on the north-western limb of the Archaean Gwanda Greenstone Belt in south-western Zimbabwe, along strike from several other gold deposits. The Gwanda Greenstone Belt is approximately 7km in length (west to east) and 15 km wide (north to south). The belt is typical of greenstone belts of the Zimbabwe Craton consisting of mafic to felsic volcanics with intercalated sedimentary units. Repeated strong deformation affected all lithologies. Structurally, the Gwanda Greenstone Belt is dominated by a major periclinal synform, plunging 60° NW in the western half of the belt and flanked on both sides by major deformation zones. Gwanda Greenstone Belt metamorphism reaches upper greenschist to amphibolite facies and is higher than in the typical Zimbabwean greenstone belts. The local geology of the Blanket lease area showing the locality of the K-Pits is provided on Figure 2. Details of the Program Following a prolonged period of limited exploration activity, Blanket commenced with a surface exploration strategy in 2025. A phased surface exploration programme was launched within the Blanket mining lease, targeting the Banded Iron Formation (BIF) that trends north-northwest and has historically been mined at the nearby Vubachikwe and old Sabiwa mines. The programme commenced with trenching at the Sabiwa North Extension. Lithological mapping showed discrete, discontinuous BIF lenses with sporadic mineralisation. Subsequently, attention shifted northwards to the K-Pits prospect, located along the same strike of the lithological units in the footwall of Blanket Mine's current production area. Trenching at K-Pits comprised 13 trenches to a maximum depth of 1.50 meters and totalling 2,304.1 meters in length. All trenches were mapped for lithology and structure and sampled at 1.0-meter intervals along the sidewalls. Samples were sent for fire assay analysis at independent laboratories, and a sub sample was sent for bottle roll analysis at independent laboratories. Figure 3 shows the mapped lithology while Figure 4 shows the related fire assay values of the K-Pit trenches. On the strength of anomalous assay results, a grid on an approximate spacing of 25 meters x 25 meters was drilled utilising Reverse Circulation ("RC") drilling. A total of 155 drillholes totalling 7,063 meters of drilling was completed. All drillholes were inclined at approximately 60 degrees to the west to an inclined depth of 45 meters resulting in an approximate 40 meters vertical depth. Figure 5 provides the localities of the RC drillholes with fire assay results. Figure 6 is a cross-section view along section line A - A depicting the oxidation surfaces logged in the drillholes together with the fire assay grades and the interpreted mineralised horizons. All samples were subjected to fire assay and to bottle roll assay at an independent laboratory with the requisite Certified Reference Material ("CRM's") and blank samples inserted into the sample chain. Analysis and interpretation of the results shows that the mineralisation is related to strong shearing and silicification on the contacts of the talc chlorite schist and the surrounding metabasalts. Further Potential The delineation of the mineralized zones at the K-Pits may potentially represent a new orebody that has not been exploited underground at Blanket. When examining the underground workings and the locality of the K-Pits it is evident that the mineralisation is located approximately 200 meters to the east of where the nearest, projected to surface, underground orebody would outcrop. Figure 7 shows an oblique view of the K-Pits in relation to the underground orebodies at Blanket. A cross section through the K-Pits and Sheet vertical shaft is provided in Figure 8. The orebody dip and dip directions at Blanket are fairly uniform and further drilling is planned, both from underground on 9 level and from surface, to probe the potential extension of the K-Pits mineralized zone at depth. The drilling and trenching procedures together with an analysis of the Quality Assurance and Quality Control ("QAQC") procedures followed are provided further in the text. Qualified person Craig James Harvey, MGSSA, MAIG, Caledonia Vice President, Technical Services, has reviewed and approved the scientific and technical information contained in this news release. Craig James Harvey is a "Qualified Person" as defined by each of (i) the Canadian Securities Administrators' National Instrument 43-101 - Standards of Disclosure for Mineral Projects and (ii) sub-part 1300 of Regulation S-K of the U.S. Securities Act. Trenching and trench sampling methodology After the geologist has noted that the trench has successfully been excavated to bedrock, the sample intervals are set out on the side walls. At the start of the sample line, a peg is installed onto the floor with the trench number. A clean, exposed side of the trench is chosen and maintained throughout the sampling process. The sidewall is cleaned with a shovel to ensure an uncontaminated face is exposed for sampling. Thereafter sample localities are marked on the sidewall. Sampling is done at one-meter intervals respecting lithological contacts, alterations and structures. A minimum sampling width of 0.3m and maximum of 1m are observed throughout the sample interval marking. A clean sample mat is placed on the floor of the trench and samples are chipped from the bedrock sidewall into a sample pan. Samples are ticketed and placed in a sample bag closed with twine. Sample tickets, locality and weights are recorded on the sample sheet record for each trench. The compositing of samples is guided by lithology as well as alteration domains; no sampling will be done across different domains. Outliers with anomalously high grades are not composited unless they are part of a homogenous lithological and alteration domain. When compositing in wider ore zones, a composite sample is made by combining five samples, whilst in narrow ore zones two samples will make up a composite sample. The homogenized sample is split using a riffle splitter to get two 2kg samples to be delivered to the external laboratory for bottle roll analysis and the other for fire assay. RC methodology Checks for rig outlet and splitter cleanliness are conducted prior to the commencement of drilling activities and continuously throughout the drilling activities to avoid sample contamination. Sample bags are pre-numbered with unique sample numbers (drill hole number and drill hole depth intervals) before the drilling commences. Sample depths recorded are relative to the ground surface at the drillhole collar. If no sample is recovered, such as when voids are intersected, the numbering sequence is continued uninterrupted with empty numbered bags inserted into the sample sequence. This will avoid possible confusion in sampling. Sample bags are immediately sealed to effectively prevent external contamination. A sample bag is tied to the sample outlet of the rig in preparation for sample collection before sampling commences. Bulk samples are collected at 1m intervals and split using a riffle splitter to three samples. One sub-sample of 2kg will be taken to the lab for assaying, the second remains as a field duplicate for storage at the core shed and the third is prepared as chips for traying. The sampling crew will sample at the designated (one meter) intervals down the hole. The geologist verifies the intervals from the driller's marks on the mast or pull-down chain. For samples sent to the laboratory, the sampling quality is monitored continuously as the geologist ensures the samples for QAQC monitoring purposes are inserted in each sampling stream batch of 20 samples with CRMs being alternated from batch to batch from low, medium and high grade. QAQC Procedures A comprehensive QAQC program was implemented for the K-Pits drilling and sampling campaigns to ensure the reliability and integrity of assay data. The QAQC program includes the systematic insertion and monitoring of: CRMs Blank samples (certified and field blanks) Duplicate samples (field, coarse reject, and pulp duplicates) QAQC samples were inserted at regular intervals within the sample stream and submitted to the same laboratories as primary samples. Analytical work was conducted primarily by accredited laboratory, Antech Laboratory Services, located in Zimbabwe, following industry-standard fire assay and/or appropriate multi-element analytical techniques. A comprehensive QAQC programme comprising CRMs, blank samples and other control samples was implemented throughout the drilling programme. The results indicate that the analytical data are generally reliable and suitable for future mineral resource estimation. The majority of CRM populations demonstrated acceptable to excellent accuracy and precision, with the higher-grade standards (AMIS0559, AMIS0872 and G912-2) and several low- to medium-grade standards (AMIS0772 and AMIS0924) consistently reproducing certified values within expected control limits. Three independent blank datasets (AMIS0865, BLANK0939 and BLANK0991) returned values at or near detection limits, indicating no evidence of significant contamination during sampling, sample preparation or laboratory analysis. This conclusion is supported by the absence of elevated blank failures and by the consistent performance of the blank standards reviewed. Some of the CRM populations contained isolated catastrophic failures. These failures occurred as discrete events rather than systematic trends and were not associated with elevated blank values or evidence of analytical drift. The observed patterns suggest that the failures are more likely attributable to sample handling, sample identity, CRM insertion, preparation or reporting issues rather than deficiencies in laboratory analytical performance. Appendix 1: Drillhole collar positions, fire assay and bottle roll assay results. Table 1: Reverse Circulation drilling co-ordinates, dip and dip direction of drilling Appendix 2: Fire assay and bottle roll assay results for weathered (oxide) zone. Table 2: RC Fire Assay and Bottle Roll Assay results for the Weathered zone only (oxide). Notes : Weathered (oxidized) intersections only. Drillholes are reported using a 0.30 g/t cut-off grade. True widths are approximate calculations. Appendix 3: Fire assay and bottle roll assay results for transitional zone. Table 3: RC Fire Assay and Bottle Roll Assay results for the Transitional zone only Notes : Moderate to Low Weathering (transitional) intersections only. Drillholes are reported using a 0.30 g/t cut-off grade. True widths are approximate calculations. Appendix 4: Fire assay and bottle roll assay results for sulphide (fresh) zone. Table 4: RC Fire Assay and Bottle Roll assay results for the Sulphide (Fresh) zone only Notes : Fresh (sulphide) intersections only. Drillholes are reported using a 0.30 g/t cut-off grade. True widths are approximate calculations. Glossary Note: The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014 ("MAR") as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 and is disclosed in accordance with the Company's obligations under Article 17 of MAR. Cautionary Note Concerning Forward-Looking Information Information and statements contained in this news release that are not historical facts are "forward-looking information" within the meaning of applicable securities legislation that involve risks and uncertainties relating, but not limited, to Caledonia's current expectations, intentions, plans, and beliefs. Forward-looking information can often be identified by forward-looking words such as "anticipate", "believe", "expect", "goal", "plan", "target", "intend", "estimate", "could", "should", "may" and "will" or the negative of these terms or similar words suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. Examples of forward-looking information in this news release include: the opportunity for low-cost heap leaching operations of the near surface oxide material, with potential for a sulphide extension below any potential oxide open pit, the presence of a new orebody that has not previously been exploited by the underground mine, the expected publication of a new mineral resource statement in August 2026, the amenability of the oxide mineralisation to conventional heap leach processing, potentially offering a lower-cost route to extracting gold compared to underground mining, test work showing an acceptable recovery, the successful commencement of a trial heap leach operation, and the potential to develop a low-cost processing route for near-surface mineralisation providing an attractive opportunity to complement Blanket's existing underground operations and unlock additional value. This forward-looking information is based, in part, on assumptions and factors that may change or prove to be incorrect, thus causing actual results, performance or achievements to be materially different from those expressed or implied by forward-looking information. Such factors and assumptions include, but are not limited to: failure to establish estimated resources and reserves, the grade and recovery of ore which is mined varying from estimates, success of future exploration and drilling programs, reliability of drilling, sampling and assay data, assumptions regarding the representativeness of mineralization being inaccurate, success of planned metallurgical test-work, capital and operating costs varying significantly from estimates, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and other factors. Exploration results that include geophysics, sampling, and drill results on wide spacings may not be indicative of the occurrence of a mineral deposit. Such results do not provide assurance that further work will establish sufficient grade, continuity, metallurgical characteristics and economic potential to be classed as a category of mineral resource. A mineral resource that is classified as "inferred" or "indicated" has a great amount of uncertainty as to its existence and economic and legal feasibility. It cannot be assumed that any or part of an "indicated mineral resource" or "inferred mineral resource" will ever be upgraded to a higher category of mineral resource. Investors are cautioned not to assume that all or any part of mineral deposits in these categories will ever be converted into proven and probable mineral reserves. Security holders, potential security holders and other prospective investors should be aware that these statements are subject to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from those suggested by the forward-looking statements. Such factors include, but are not limited to: risks relating to estimates of mineral reserves and mineral resources proving to be inaccurate, fluctuations in gold price, risks and hazards associated with the business of mineral exploration, development and mining, risks relating to the credit worthiness or financial condition of suppliers, refiners and other parties with whom the Company does business; inadequate insurance, or inability to obtain insurance, to cover these risks and hazards, employee relations; relationships with and claims by local communities and indigenous populations; political risk; risks related to natural disasters, terrorism, civil unrest, public health concerns (including health epidemics or outbreaks of communicable diseases such as the coronavirus (COVID-19)); availability and increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development, including the risks of obtaining or maintaining necessary licenses and permits, diminishing quantities or grades of mineral reserves as mining occurs; global financial condition, the actual results of current exploration activities, changes to conclusions of economic evaluations, and changes in project parameters to deal with unanticipated economic or other factors, risks of increased capital and operating costs, environmental, safety or regulatory risks, expropriation, the Company's title to properties including ownership thereof, increased competition in the mining industry for properties, equipment, qualified personnel and their costs, risks relating to the uncertainty of timing of events including targeted production rate increase and currency fluctuations. Security holders, potential security holders and other prospective investors are cautioned not to place undue reliance on forward-looking information. By its nature, forward-looking information involves numerous assumptions, inherent risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. Caledonia undertakes no obligation to update publicly or otherwise revise any forward-looking information whether as a result of new information, future events or other such factors which affect this information, except as required by law. For a more detailed discussion of such risks and other factors that may affect the Company's ability to achieve the expectations set forth in the forward-looking statements contained in this news release, see the Company's latest 20-F and Management's Discussion and Analysis, each under the heading "Risk Factors", available on the SEDAR website at www.sedar.com or on EDGAR at www.sec.gov. The foregoing should be reviewed in conjunction with the information and risk factors and assumptions found in this news release. This news release is not an offer of the shares of Caledonia for sale in the United States or elsewhere. This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the shares of Caledonia, in any province, state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such province, state or jurisdiction. SOURCE: Caledonia Mining Corporation Plc View the original press release on ACCESS Newswire

Find winning stocks in any market cycle. Join 7 million investors using Simply Wall St's investing ideas for FREE. Caledonia Mining (CMCL) has caught investor attention after reporting high grade drill results from its Motapa gold project in Zimbabwe, including intercepts up to nearly 14g/t over widths reaching 19 metres. See our latest analysis for Caledonia Mining. Despite the strong Motapa drill update and recent insider buying, Caledonia Mining’s share price is down about 23% year to date, with a 90 day share price return of around a 21% decline. The 5 year total shareholder return of about 104% points to longer term momentum that has so far remained intact. If Motapa’s progress has you watching gold closely, it could be a good moment to broaden your search using our screener of 33 elite gold producer stocks With the share price down this year, a value score of 6, an intrinsic discount figure of 24% and analyst targets more than double the last close at US$20.18, is there a genuine mispricing here, or is future growth already reflected? Analysts following Caledonia Mining see a fair value of $42.73 versus the last close at $20.18, framing a wide gap the narrative tries to explain. Read the complete narrative. Curious what level of revenue growth, margin expansion and future earnings multiple need to line up for that valuation gap to close? The full narrative lays out a detailed earnings path, rising profitability and a future P/E assumption that all have to work together for $42.73 to make sense. Result: Fair Value of $42.73 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, this hinges on Zimbabwe specific risks and Blanket Mine concentration, where policy shocks or operational setbacks could quickly challenge the upbeat earnings path that analysts outline. Find out about the key risks to this Caledonia Mining narrative. If the mix of risks and potential rewards feels finely balanced, take a moment to review the details yourself, weigh the upside, and check the 6 key rewards If Caledonia Mining is on your radar, do not stop there, broaden your watchlist now so you are not late to the next opportunity. Spot potential bargains early by scanning our curated list of 44 high quality undervalued stocks that pair solid fundamentals with appealing prices. Collect steady income by checking stocks in the 8 dividend fortresses that focus on higher yields with staying power. Sleep easier at night by reviewing the 71 resilient stocks with low risk scores that aim to keep volatility and financial risk in check. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include CMCL. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

High-Grade Drill Results Demonstrate Potential to Extend Bilboes Mine Life (NYSE American:CMCL)(AIM:CMCL)(VFEX:CMCL) SAINT HELIER, JE / ACCESS Newswire / June 10, 2026 / Caledonia Mining Corporation Plc ("Caledonia" or "the Company") is pleased to announce results from its 2025 exploration program at the Motapa exploration property. The results demonstrate the presence of significant gold mineralisation across multiple zones and highlight the opportunity for Motapa to evolve into a strategic extension of the Bilboes mining complex, potentially enhancing production and extending the life of mine at Bilboes through the development of a combined mining operation. Motapa lies directly adjacent to the Bilboes Gold Project, where Caledonia is advancing plans for a major open-pit operation based on proven and probable reserves of 1.75 million ounces of gold in 24.1 million tonnes of ore at an average of 2.26g/t1. The close proximity of the two projects offers potential for shared infrastructure and operational synergies, which could enhance project economics and reduce capital intensity over time. Exploration results summary The 2025 drilling programme focused on testing the continuation of sulphide mineralisation below the historic oxide open pits, as well as identifying new mineralised zones across the property. Drilling has confirmed: Continuity of mineralisation along a strike length of approximately 6km within the Bubi Greenstone Belt Multiple mineralised shear zones across Motapa North, Central and South Both oxide and sulphide mineralisation, supporting near-term and longer-term development potential 1 See "Bilboes Gold Project Technical Report Summary" with effective date October 31, 2025 prepared by DRA Projects (Pty) Ltd and filed by the Company on EDGAR as an exhibit to a Form 6-K Report of Foreign Private Issuer on November 24, 2025 Based on results to date, Caledonia expects to publish a maiden mineral resource estimate for portions of Motapa in Q3 2026, representing a key milestone in evaluating the project's contribution to the broader Bilboes development strategy. Drilling Highlights Selected drilling highlights to date from Motapa North include: 19.00 meters ("m")* at 8.08g/t (Hole JPRC52) 6.38m* at 13.95g/t (Hole JDD11) 12.00m* at 7.12g/t (Hole JPRC63) 14.00m* at 4.31g/t (Hole PLV5RC4) 17.00m* at 3.25g/t (Hole JPRC51) 13.00m* at 3.72g/t (Hole PLV1RC10) 6.00m* at 6.89g/t (Hole PLV1RC15) Selected drilling highlights to date from Motapa Central (Mpudzi) include: 7.00m* at 2.39g/t (Hole MPZRC79) 3.00m* at 4.79g/t (Hole MPZRC64) 2.00m* at 5.25g/t (Hole MPZRC117) *All intersections above are down hole intersections; estimated true widths are quoted in the tables later in this press release Chief Executive Officer, Mark Learmonth, said: "These promising results from Motapa demonstrate the potential to significantly enhance the long-term value of our Bilboes project. The consistent high-grade intersections at Motapa North highlight the opportunity to define a substantial resource in close proximity to the planned infrastructure at Bilboes. "While our immediate focus remains the development of Bilboes, targeting first gold in Q4 2028, Motapa represents a compelling opportunity to extend mine life and increase future production across a combined mining complex." Overview of Motapa Exploration Program The Motapa Exploration Program commenced in 2023 with geological mapping, geophysical surveys, trenching, and historical data collation. The initial work informed targets for wide spaced drilling to test mineralisation below the historically mined oxide open pits and in new target areas which have not yet been mined. During 2024, 12,724m of trenching, 4,143m of DD and 5,433m of RC drilling were completed, marking the end of the 2024 reconnaissance exploration activities. During 2025, 22,364m of trenching, 1,561.78m of DD and 18,547m of RC drilling was completed, focused primarily on Motapa North sulphide mineralisation and the potential oxide mineralisation identified at Mpudzi. Caledonia believes that the property presents both greenfield and brownfield upside exploration opportunities. Motapa is located approximately 110km north of Bulawayo in the Bubi District of the Matabeleland North Province of Zimbabwe. The tenement is within state land under the jurisdiction of the Bubi Rural District and the tenure is held in the form of a mining lease covering approximately 2,200 hectares which provides for both exploration and mining rights. The locality of Motapa is shown relative to other material Caledonia group properties in Figure 1. Caledonia's Bilboes property, currently in the development stage, is located directly to the north of Motapa with the two properties sharing a lease boundary. The mining lease area lies on the Bubi Greenstone Belt and occupies a c.6km stretch of an elongated northeast - southwest trending intensely sheared broad shear zone with three main mineralised footprints. Named from the north, these shear structures are Motapa North, Motapa Central and Motapa South (Figure 2). Initial exploration activities at Motapa commenced in 2023 and comprised the following: Detailed geological mapping of the tenement Historical data collation of previous exploration and mining activities Aero-magnetics flown by drone Ground penetrating radar (LOZA) surveys to identify underground voids The initial exploration activities completed in 2023 were used to define an exploration program for 2024 with 12,724m of trenching, 4,143m of DD and 5,433m of RC completed during 2024. Results of the exploration activities were released on 11 November 2024. The 2025 activities comprised 22,364m of trenching, 1.561.78m of DD and 18,547m of RC drilling, focusing on the delineation of sulphide mineralisation at Motapa North and delineation of both oxide and sulphide mineralisation at Motapa Central (Mpudzi). The continued surface trenching for the identification of anomalous mineralisation at Motapa South and the remainder of the property continued with further anomalous areas identified that have no evidence of historical open pit workings. Appendix Figure 3 shows the locations of trenching sites and the drilling activities undertaken each year. The drilling and trenching procedures together with an analysis of the Quality Assurance and Quality Control ("QAQC") procedures followed are provided further in the text. Key Conclusions Regarding Work to Date Motapa North The historic oxide open pits are located approximately 250 meters to the south of the shared Bilboes property boundary and a few hundred meters further to the planned metallurgical facility at Bilboes. The 2025 drilling campaign shifted primarily to an RC weighted drilling campaign with the lithological and structural setting of the project being well understood. At Motapa North, the following drilling activities took place across the various areas. Table 1: Summary of drilling activities at Motapa North The mineralized zones are characterized by a pinching and swelling effect which may locally pinch to approximately 0.50 meters true thickness and locally swell up to 17.1 meters true thickness in drillhole JPRC52. Figure 4 provides drilling by year and shows the positions of the drillholes mentioned in the highlights for the Motapa North trend. Mineralisation envelopes have been interpreted from the drilling utilizing a composite length of 1.0 meters for the drillhole intersections and a grade cut-off of 0.30 grammes per tonne. This reveals the existence of multiple shears occurring along the Motapa North trend which may pinch or swell locally. During the 2026 exploration year, infill drilling on certain section lines will take place and the gap areas between the open pits, specifically the Pluvious 123 and Pluvious 4 pits, and the area between the Jupiter and Shawl pits, will be tested for extensions to known mineralisation. Figure 5 shows the grade variation across strike and dip which appears fairly uniform considering the nature and occurrence of mineralisation. Motapa Central Exploration activities during 2025 have been concentrated on the eastern portion of the Motapa Central trend in an area termed Mpudzi. The Mpudzi section has no historical open pits except for localized artisanal workings. The western portion of the Central trend was historically mined with oxide open pits and underground workings at the Club, Britwell and Fossicker sections to depths up to 330m below surface. The mineralisation is associated with shear zones and banded iron formation exhibiting strong silicification of the host rock. Drilling has confirmed the oxidized nature of the shallow mineralisation to a depth ranging from at surface to approximately 35m in certain localities. The continuing exploration will focus on defining the extent of the oxidized mineralisation at depth and along strike. Motapa South Limited drillholes were planned and executed at Motapa South due to the focus on the areas closer to the adjacent Bilboes property. Activity at Motapa South will increase in the following year as activities at those areas scale down. The drilling and trenching activities on Motapa South are shown in Figure 8. Qualified person Craig James Harvey, MGSSA, MAIG, Caledonia Vice President, Technical Services, has reviewed and approved the scientific and technical information contained in this news release. Craig James Harvey is a "Qualified Person" as defined by each of (i) the Canadian Securities Administrators' National Instrument 43-101 - Standards of Disclosure for Mineral Projects and (ii) sub-part 1300 of Regulation S-K of the U.S. Securities Act. Trenching and trench sampling methodology After the geologist has noted that the trench has successfully been excavated to bedrock, the sample intervals are set out on the side walls. At the start of the sample line, a peg is installed onto the floor with the trench number. A clean, exposed side of the trench is chosen and maintained throughout the sampling process. The sidewall is cleaned with a shovel to ensure an uncontaminated face is exposed for sampling. Thereafter sample localities are marked on the sidewall. Sampling is done at one-meter intervals respecting lithological contacts, alterations and structures. A minimum sampling width of 0.3m and maximum of 1m are observed throughout the sample interval marking. A clean sample mat is placed on the floor of the trench and samples are chipped from the bedrock sidewall into a sample pan. Samples are ticketed and placed in a sample bag closed with twine. Sample tickets, locality and weights are recorded on the sample sheet record for each trench. A total of 15% per batch consists of check samples comprising one standard, one field duplicate and one blank (Dolerite Dyke). Each batch contains a total of 20 samples inclusive of check samples. Trench samples are assayed on site by means of a bottle roll assay at the Isabella laboratory situated at Bilboes. Samples above a cut-off grade of 0.10g/t bottle roll grade are selected for fire assay. These samples are composited and sent for analysis at an external laboratory. The compositing of samples is guided by lithology as well as alteration domains; no sampling will be done across different domains. Outliers with anomalously high grades are not composited unless they are part of a homogenous lithological and alteration domain. When compositing in wider ore zones, a composite sample is made by combining five samples, whilst in narrow ore zones two samples will make up a composite sample. The homogenized sample is split using a riffle splitter to get two 2kg samples to be delivered to the external laboratory for bottle roll analysis and the other for fire assay. Surface drilling survey Two hundred and twelve (212) down-the-hole surveys were conducted on RC and DD holes which showed no major departures from the planned trajectory. All collar positions are surveyed in the field post drilling activities. The RC and DD methodology is discussed below with the results obtained tabulated in Table 5 and the drill hole information tabulated in Table 6. Drill hole localities for Motapa North, Motapa Central and Motapa South are provided in Figure 4, Figure 5 and Figure 6 respectively. DD methodology After all geotechnical and structural logging is complete, the geologist inspects the core and delineates potential ore zones. The geologist determines sampling depths, each sampling interval depending on lithological contacts, alterations, structures and quantity of sulphides with the maximum sampling width of 1m and minimum sampling width of 0.3meters. The sample depths are printed on a sampling sheet and need to be marked on the core before density determination can take place. The densities are measured before the core is cut. Sampling starts five meters away from the footwall contact and ends five meters away from the hangingwall contact to allow for sterilization. Half core was sampled, with the other half remaining at the core shed for archiving. Core segments were picked within demarcated and labeled intervals and put in respective sample bags. The samples are numbered as per the sampling plan with one ticket put into the respective sample bag, and the other onto the remaining piece of core where the sample would have been collected. The sample identification is also marked on the remaining half core. At the end, sample bags are sealed with cable ties and weighed; with sample weights recorded on the sampling sheet. The samples are then bagged into grain bags for dispatch to an outside accredited laboratory or storage prior to submission. RC methodology Checks for rig outlet and splitter cleanliness are conducted prior to the commencement of drilling activities and continuously throughout the drilling activities to avoid sample contamination. Sample bags are pre-numbered with unique sample numbers (drill hole number and drill hole depth intervals) before the drilling commences. Sample depths recorded are relative to the ground surface at the drillhole collar. If no sample is recovered, such as when voids are intersected, the numbering sequence is continued uninterrupted with empty numbered bags inserted into the sample sequence. This will avoid possible confusion in sampling. Sample bags are immediately sealed to effectively prevent external contamination. A sample bag is tied to the sample outlet of the rig in preparation for sample collection before sampling commences. Bulk samples are collected at 1m intervals and split using a riffle splitter to three samples. One sub-sample of 2kg will be taken to the lab for assaying, the second remains as a field duplicate for storage at the core shed and the third is prepared as chips for traying. The sampling crew will sample at the designated (one meter) intervals down the hole. The geologist verifies the intervals from the driller's marks on the mast or pull-down chain. For samples sent to the laboratory, the sampling quality is monitored continuously as the geologist ensures the samples for QAQC monitoring purposes are inserted in each sampling stream batch of 20 samples with CRMs being alternated from batch to batch from low, medium and high grade. QAQC Procedures A comprehensive QAQC program was implemented for the 2024-2025 drilling and sampling campaigns to ensure the reliability and integrity of assay data used for mineral resource estimation at the properties owned by the group. The QAQC program includes the systematic insertion and monitoring of: Certified Reference Materials (CRMs) Blank samples (certified and field blanks) Duplicate samples (field, coarse reject, and pulp duplicates) QAQC samples were inserted at regular intervals within the sample stream and submitted to the same laboratories as primary samples. Analytical work was conducted primarily by accredited laboratories including Antech Laboratory Services and Performance Laboratories, both located in Zimbabwe, following industry-standard fire assay and/or appropriate multi-element analytical techniques. For DD samples, a train comprising a single blank, CRM, LCR, and LPR reference sample is inserted into a batch of 20 samples. This process is repeated until the entire drillhole is completed with the CRMs being alternated from batch to batch (low, medium and high grade). For RC samples, a train comprising a single blank, CRM, FDUP, and LPR reference sample is inserted into a batch of 20 samples. This process is repeated until the entire drillhole is completed with the CRMs being alternated from batch to batch (low, medium and high grade). For trench sampling, a train comprising a single blank, CRM and FDUP reference sample is inserted into a batch of 20 samples. This process is repeated until the entire trench is completed with the CRMs being alternated from batch to batch (low, medium and high grade). Every sampling sequence starts with a blank sample and ends with a blank sample. Analytical results for blanks, standards and duplicates are graphed and, if any fail, the entire batch is re-assayed. Batches that passed the QAQC graphs are then captured in the database. QAQC is monitored continuously. Overall, a compliance rate of 92.2% was achieved for the CRM QAQC analysis. The CRM, blank and duplicate samples are summarized in Table 2 below. Table 2: QAQC Results from DD and RC Drilling Activities FDUP - field duplicate, LCR - lab coarse repeat, LPR - lab pulp repeat, CRM - certified reference material, Blank - Dolerite Dyke % Insertion * reported relative to 13,963 analytical samples excluding any CRMs, blanks or duplicates %* Reported relative to 13,963 analytical samples excluding any CRMs, blanks or duplicates The QAQC dataset for CRM material demonstrates an overall CRM compliance rate of 92.2%, supporting reasonable confidence in the analytical data. However, the identified underperformance of specific standards (notably AMIS0786) requires further investigation. A total of 1,419 blank samples were evaluated, comprising 1,143 CRM blanks and 276 field blanks. CRM blank expected values are constant and observed assay values are consistent with expected low concentrations and show no evidence of systematic bias. Field blanks confirm the absence of contamination trends or analytical bias with minor isolated elevated values. The large blank dataset provides a sufficient confidence that contamination is effectively controlled within the sampling and analytical process. The duplicate assay datasets show strong positive correlations between original and repeat values across all duplicate types. LCR and LPR indicate acceptable laboratory precision, while FDUP shows the greater variability expected from field duplicates in a nuggety gold system. No major systematic bias is evident, although moderate scatter is present, particularly at low grades and in field duplicates. Overall, the duplicate data are consistent with an acceptable gold-assay QAQC programme for mineral resource work. The drillhole intersections with assay values above 0.50 g/t are provided in Table 3. The drillhole collars and survey information are provided in Table 4. Enquiries: Table 3: RC and DD Drilling Results Notes : RC and DD drillholes for 2025 only. Drillholes are reported using a 0.50 g/t cut-off grade. True widths are approximate calculations. Table 4: RC and DD Drilling Collar and Survey Information Glossary Note: This announcement contains inside information which is disclosed in accordance with the Market Abuse Regulation (EU) No. 596/2014 ("MAR") as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 and is disclosed in accordance with the Company's obligations under Article 17 of MAR. Cautionary Note Concerning Forward-Looking Information Information and statements contained in this news release that are not historical facts are "forward-looking information" within the meaning of applicable securities legislation that involve risks and uncertainties relating, but not limited, to Caledonia's current expectations, intentions, plans, and beliefs. Forward-looking information can often be identified by forward-looking words such as "anticipate", "believe", "expect", "goal", "plan", "target", "intend", "estimate", "could", "should", "may" and "will" or the negative of these terms or similar words suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. Examples of forward-looking information in this news release include: the opportunity for Motapa to evolve into a strategic extension of the Bilboes mining complex, potentially enhancing production and extending the life of mine at Bilboes through the development of a combined mining operation, the potential for shared infrastructure and operational synergies, which could enhance project economics and reduce capital intensity over time, the expectation that the group will publish a maiden mineral resource estimate for portions of Motapa in Q3 2026, the potential to significantly enhance the long-term value of the Bilboes project, the opportunity to define a substantial resource in close proximity to the planned infrastructure at Bilboes and the opportunity to extend mine life and increase future production across a combined mining complex. This forward-looking information is based, in part, on assumptions and factors that may change or prove to be incorrect, thus causing actual results, performance or achievements to be materially different from those expressed or implied by forward-looking information. Such factors and assumptions include, but are not limited to: failure to establish estimated resources and reserves, the grade and recovery of ore which is mined varying from estimates, success of future exploration and drilling programs, reliability of drilling, sampling and assay data, assumptions regarding the representativeness of mineralization being inaccurate, success of planned metallurgical test-work, capital and operating costs varying significantly from estimates, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and other factors. Exploration results that include geophysics, sampling, and drill results on wide spacings may not be indicative of the occurrence of a mineral deposit. Such results do not provide assurance that further work will establish sufficient grade, continuity, metallurgical characteristics and economic potential to be classed as a category of mineral resource. A mineral resource that is classified as "inferred" or "indicated" has a great amount of uncertainty as to its existence and economic and legal feasibility. It cannot be assumed that any or part of an "indicated mineral resource" or "inferred mineral resource" will ever be upgraded to a higher category of mineral resource. Investors are cautioned not to assume that all or any part of mineral deposits in these categories will ever be converted into proven and probable mineral reserves. Security holders, potential security holders and other prospective investors should be aware that these statements are subject to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from those suggested by the forward-looking statements. Such factors include, but are not limited to: risks relating to estimates of mineral reserves and mineral resources proving to be inaccurate, fluctuations in gold price, risks and hazards associated with the business of mineral exploration, development and mining, risks relating to the credit worthiness or financial condition of suppliers, refiners and other parties with whom the Company does business; inadequate insurance, or inability to obtain insurance, to cover these risks and hazards, employee relations; relationships with and claims by local communities and indigenous populations; political risk; risks related to natural disasters, terrorism, civil unrest, public health concerns (including health epidemics or outbreaks of communicable diseases such as the coronavirus (COVID-19)); availability and increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development, including the risks of obtaining or maintaining necessary licenses and permits, diminishing quantities or grades of mineral reserves as mining occurs; global financial condition, the actual results of current exploration activities, changes to conclusions of economic evaluations, and changes in project parameters to deal with unanticipated economic or other factors, risks of increased capital and operating costs, environmental, safety or regulatory risks, expropriation, the Company's title to properties including ownership thereof, increased competition in the mining industry for properties, equipment, qualified personnel and their costs, risks relating to the uncertainty of timing of events including targeted production rate increase and currency fluctuations. Security holders, potential security holders and other prospective investors are cautioned not to place undue reliance on forward-looking information. By its nature, forward-looking information involves numerous assumptions, inherent risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. Caledonia undertakes no obligation to update publicly or otherwise revise any forward-looking information whether as a result of new information, future events or other such factors which affect this information, except as required by law. For a more detailed discussion of such risks and other factors that may affect the Company's ability to achieve the expectations set forth in the forward-looking statements contained in this news release, see the Company's latest 20-F and Management's Discussion and Analysis, each under the heading "Risk Factors", available on the SEDAR website at www.sedar.com or on EDGAR at www.sec.gov. The foregoing should be reviewed in conjunction with the information and risk factors and assumptions found in this news release. This news release is not an offer of the shares of Caledonia for sale in the United States or elsewhere. This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the shares of Caledonia, in any province, state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such province, state or jurisdiction. SOURCE: Caledonia Mining Corporation Plc View the original press release on ACCESS Newswire

Interested in Caledonia Mining Corporation PLC? Here are five stocks we like better. Higher gold prices offset weaker production at Blanket Mine in Zimbabwe, as first-quarter gold output fell to about 14,700 ounces due to lower grades. Even so, revenue rose 18% to just over $66 million and profit after tax jumped nearly 70% to almost $19 million. Caledonia said operational remediation is starting to improve Blanket, with grades recovering in recent months and output now back near expected levels. The company is adding a contractor, moving to a seven-day shift schedule, and commissioning an additional ball mill to boost capacity. Bilboes remains the key growth project, with design work underway and first gold targeted for late 2028. Caledonia has already completed the hedging program and $150 million convertible note, and is advancing additional financing to cover an estimated funding gap. Caledonia Mining (NYSEAMERICAN:CMCL) reported a weaker production quarter at its Blanket Mine in Zimbabwe, but management said higher gold prices helped lift revenue, earnings and cash generation while remediation efforts are beginning to improve mine performance. During the company’s first-quarter 2026 results presentation, Chief Executive Officer Mark Learmonth said gold production from Blanket totaled about 14,700 ounces, with the shortfall “entirely due” to lower grades mined during the period. Despite the production challenge, Learmonth said financial performance remained “robust” because of the stronger gold price environment. → Micron Investors Face a High-Stakes Moment After the Latest Rally Revenue rose 18% to just over $66 million, while profit after tax increased nearly 70% to almost $19 million. Learmonth said free cash flow “more or less tripled” from $4 million to $12 million in the quarter. Caledonia also declared its usual quarterly dividend of $0.14 per share. Learmonth said the lower production was tied to a decline in grade following two falls of ground that restricted access to higher-tonnage, higher-grade areas at Blanket. The mine continued to process about 200,000 tonnes per quarter, but the grade fell progressively from the second quarter of last year through the first quarter of 2026. → How Bad Could Tesla’s Cybertruck Recall Be for Shares? The lower grade also affected recovery rates, Learmonth said, because the tail grade deposited onto the tailings facility remains near a practical floor of about 0.2 grams per tonne. As a result, when the head grade is lower, recovery tends to decline. The grade trend has improved since late 2025, according to Learmonth. He said grade increased from 2.55 grams per tonne in December 2025 to 2.6 in January, 2.7 in February and 3.0 in March. The mine was running at about 2.9 grams per tonne at the time of the call, which he said was “pretty much” in line with expectations for the second quarter. → How Berkshire’s New York Times Bet Looks Today “Blanket has now returned to the production level that we had anticipated,” Learmonth said, adding that April and early May performance had “very much improved.” Caledonia is pursuing three initiatives to improve Blanket’s performance: A contractor has started work to accelerate access to higher-grade areas and restore development flexibility. The mine is moving from a six-day to a seven-day shift system, which Learmonth said is primarily intended to reduce worker fatigue and is expected to increase run-of-mine production by an annualized 100,000 tonnes. An additional ball mill, BM3, is expected to be commissioned in June or July, increasing milling capacity by about 200 tonnes per day. Chief Financial Officer Ross Jerrard said the quarter reflected “the higher gold price offsetting a lower production period.” He reported an average gold price of $4,816 per ounce for the period. Unit costs were pressured by the lower ounce output. Learmonth said all-in sustaining cost increased to $2,700 per ounce, but noted that cost per tonne was in line with expectations. Jerrard said on-mine costs totaled just under $24 million and all-in sustaining spending totaled $38 million, with expenditures largely tracking budget. Jerrard said EBITDA increased 50% to just under $34 million, while earnings per share rose 78% compared with the prior-year quarter. Net cash from operating activities increased 41%, and free cash flow was $12 million, up 153% from the comparative quarter, according to Jerrard. Caledonia ended the period with $161 million in closing cash and cash equivalents. Jerrard said the company’s liquidity position, including bullion on hand of about 3,600 ounces and gold sales receivables, supports its capital allocation plans, particularly the development of Bilboes. Executive Director Victor Gapare said Caledonia and its engineering, procurement and construction management contractor, DRA, have frozen the scope for the Bilboes Gold Project and are working on front-end engineering design. The company expects to conclude the design work by the end of the third quarter or into the fourth quarter of 2026, allowing it to place orders for long-lead items late in the year. Gapare said construction is expected to take place over 2027 and 2028, with first gold pour targeted toward the end of 2028. Jerrard said Caledonia’s four-part Bilboes funding strategy is progressing. The first two pillars — a hedging program and a $150 million convertible note raise — have been completed, with funds received and held in treasury. The company is working with a consortium of Zimbabwean and South African banks on a $150 million interim funding facility, with Stanbic and CBZ as co-lead arrangers. Jerrard said the facility is expected to be in place by mid-2026 or by July 2026 at the latest. A broader project finance facility is also in progress, although Jerrard said financial close is expected on a longer timeline over the next year or so. He said the total expected funding requirement for Bilboes is $590 million, including capital costs, working capital and capitalized interest. At a $3,500 per ounce gold price assumption, Caledonia estimates a $304 million gap to be filled by senior debt and other facilities. At a gold price closer to $5,000 per ounce, that requirement falls to $154 million. Caledonia also highlighted exploration results at Blanket and Motapa. Craig Harvey, who presented the exploration update, said drilling at Blanket continued to show ore bodies extending about 250 meters below current workings in the BQR and Blanket ore body areas. Harvey pointed to results from the newly named Blanket 7 ore body, which he said included widths of about 40 meters at grades between 3 and 4 grams per tonne. He said selective mining within that zone could target narrower widths at higher grades, based on drilling assays. Caledonia drilled just over 10,300 meters between its June 2025 and April 2026 exploration updates and plans to update its mineral resource estimate during 2026, with results to be reported before year-end. At Motapa, located adjacent to Bilboes, Harvey said the company has received the remaining assay results needed to close out its 2025 exploration program. Caledonia is targeting an early third-quarter 2026 maiden mineral resource estimate for the Motapa North sulfide mineralization, reflecting approximately $5 million of work completed during 2023 and 2024. Learmonth closed the call by saying Caledonia’s immediate priorities are to restore Blanket to “good health” and bring Bilboes into production as quickly as possible. “The first quarter was a disappointment in terms of production,” he said. “The gold price saved us, but as you’ve heard, I’m personally very optimistic about the trajectory both for Blanket and for Bilboes.” Caledonia Mining Corporation PLC is a UK‐domiciled gold producer listed on the NYSE American under the ticker CMCL and on the London AIM market. The company's flagship asset is the Blanket gold mine, located near Gwanda in southwestern Zimbabwe. Blanket is a conventional underground and surface gold operation that includes a carbon‐in‐leach processing plant and tailings retreatment facilities, providing a structurally diverse resource base and established production infrastructure. Caledonia acquired the Blanket mine in 2004, adding to its long operating history that traces back to the early 20th century. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Caledonia Mining Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.