Proposed Changes to Royalty and Tax Regimes in Zimbabwe – The Canadian Business Journal

ST HELIER, Jersey, Dec. 01, 2025 (GLOBE NEWSWIRE) — Caledonia Mining Corporation Plc (“Caledonia” or the “Company”) (NYSE AMERICAN, AIM and VFEX: CMCL) notes the proposed changes announced to the royalty and tax regimes applicable to gold miners in the Republic of Zimbabwe National Budget 2026 presented by the Minister Finance, The Honorable Professor Mthuli Ncube, 27 November 2025

These include two proposed fiscal measures relevant to the gold mining sector: an increase in the royalty rate from 5% to 10% when the gold price exceeds US$2,500 per ounce (with the higher rate implied to apply to the full price of gold) and a change to the capital expenditure tax regime, under which the current 100% upfront deduction would instead be extended over the life of the project, affecting timing but not on the total amount of tax paid.

The Company is assessing the impact of the proposed changes on its portfolio of assets, including, in particular, the potential impact on the recently announced economics of the Bilboes Gold Project.

For the Caledonia Group's operating mine in Zimbabwe, the Blanket Mine, the royalty change, if implemented, is expected to result in lower levels of profitability and cash generation than current market expectations.

Caledonia has a long-standing presence in Zimbabwe and continues to engage constructively with the relevant authorities. The company will provide additional information as soon as there is more clarity.

Requests:

This announcement contains inside information which is disclosed in accordance with the EU Market Abuse Regulation (EU) No 596/2014. (“IDA“) as it forms part of UK domestic law under the European Union Withdrawal Act 2018 and is being disclosed in accordance with the Company's obligations under Article 17 of the MAR.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

The information and statements contained herein that are not historical facts are “forward-looking information” or “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of applicable securities laws that involve risks and uncertainties related to, among other things, Caledonia's current expectations, intentions, plans and beliefs. Forward-looking statements can often be identified by forward-looking words such as “anticipate,” “believe,” “anticipate,” “target,” “plan,” “target,” “intend,” “estimate,” “may,” “should,” “could,” and “will,” or the negative of these terms or similar words suggesting future results or other expectations, beliefs, plans, goals, assumptions, intentions or statements about future events or performance. Examples of forward-looking statements in this document include: whether the proposed changes to royalty and tax regimes will actually occur, and if they occur, they will result in lower levels of profitability and cash generation at the Blanket Mine compared to current market expectations. These forward-looking statements are based in part on assumptions and factors that may change or prove incorrect, causing actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements.

Security holders, potential security holders and potential investors should be aware that forward-looking 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 associated with the inaccuracy of mineral reserve and mineral resource estimates, fluctuations in gold prices and payment terms for gold sold, risks and hazards associated with mineral exploration, development and mining activities (including environmental hazards, industrial accidents, unusual or unexpected geological or structural formations, pressure, power outages, fires, explosions, landslides, landslides and floods), risks associated with the creditworthiness or financial condition of suppliers, refineries and other parties with whom the group does business, insufficient insurance or inability to obtain insurance to cover these risks and hazards, employee relations, relationships and claims from local communities and indigenous peoples, political risk, risks associated with natural disasters, terrorism, civil unrest, public health issues (including health epidemics or outbreaks of infectious diseases such as coronavirus (COVID-19)), availability and increasing costs associated with resources and labor for mining, speculative nature of mineral exploration and development mineral resources, including the risks of obtaining or maintaining necessary licenses and permits, decreases in the quantity or grade of mineral reserves as mining progresses, global financial condition, actual results of ongoing exploration activities, changes in the conclusions of economic assessments and changes in project parameters to combat unforeseen economic or other factors, risks of increased capital and operating costs, environmental risks, safety or regulatory risks, expropriation, the Group's right to property, including ownership thereof, increased competition in the mining industry for real estate, equipment, qualified personnel and their costs, risks associated with the uncertain timing of events, including planned production increases and currency fluctuations and other risks discussed in Caledonia's most recent annual report on Form 20-F and other documents filed with the U.S. Securities and Exchange Commission. Security holders, potential security holders and potential investors are cautioned not to place undue reliance on forward-looking statements. By their nature, forward-looking statements involve 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 considers forward-looking statements in preparing each announcement; however, Caledonia undertakes no obligation to publicly update or otherwise revise any forward-looking statements, whether as a result of new information, future events or other similar factors affecting these statements, except as required by law.

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