Caledonia Mining : NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe

Caledonia Mining Plc

NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe

NI 43-101 Technical Report on the Blanket Gold Mine,

Zimbabwe

Prepared by: Caledonia Mining Plc

Effective Date: 31 December 2023

Issue Date: 15 May 2024

QUALIFIERD PERSONS:

C HARVEY

NHD Econ. Geol. MAIG (5108), MGSSA (966008)

MS VAN STADEN

B. Eng (Mining), Pr. Eng (20150089). AMMSA (MB3709). SAIMM (20422)

Caledonia Mining Plc

NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe

DATE AND SIGNATURE PAGE

This Report titled "NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe" was prepared by Caledonia Mining Plc. The Report is compliant with National Instrument 43-101 and Form 43-101 F1. The effective date of this Report is 1 March 2024.

The Qualified Persons responsible for this Report are Mr. C Harvey and Mr. M van Staden.

C HARVEY

NHD Economic Geology

MAIG (5108), MGSSA (966008)

VP Technical Services

Caledonia Mining

M van Staden

B. Eng (Mining)

Pr. Eng (20150089). AMMSA (MB3709). SAIMM (20422)

Technical Services Manager

Caledonia Mining

Signed at Roodepoort, Gauteng, South Africa, on 15 May 2024.

Caledonia Mining Plc

NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe

ASSISTANT NON-QUALIFIED PERSONS

D Dube (Mineral Resource Manager, Blanket)	T Matsheza (Exploration Geology Manager,
BSc (Geol. & Chem.), Cert.Sci.Nat., MGSZ, ZINIRE	Blanket)
	BSc (Geol. & Math.), MGSZ

P Hill (Safety Manager, Blanket)	G Kadzikano (Metallurgical Manager, Blanket)
Ndip (Min.), Dip (SHE)	Qualification

C Mangwezi (Engineering Manager, Blanket)	D Mpofu (Head of Finance, Blanket)
Ndip (Min.), Dip (SHE)	Bcom Acc (Hons), CA (Z)

E de Villiers (Mining Engineer, Caledonia)	S Mashego (Resource Geologist, Caledonia)
B Eng (Min.), MSAIMM	Qualification

N Spies (Mining Engineer, Caledonia)	D Bleeker (Engineering Manager, Caledonia)
Qualification	Qualification

P Greyling (Rock Engineering Manager, Caledonia)	C Parkins (Head of ESG, Caledonia)
B Eng (Min.), MSAIMM	MSc (Zoology), MBA, Pr.Sci.Nat

E van Tubbergh (Geologist)

BSc Hons (Geol.), Cand.Sci.Nat., MGSSA

Caledonia Mining Plc

NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe

		TABLE OF CONTENTS
ITEM 1	EXECUTIVE SUMMARY	19
Item 1 (a)	Property Description	19
Item 1 (b)	Ownership of the Property	20
Item 1 (c)	Geology and Mineral Deposit	20
Item 1 (d)	Status of Exploration	22
Item 1	(e)	Mineral Resource and Mineral Reserve Estimates	22
Item 1	(f)	Development and Operations	24
Item 1	(g)	Economic Analysis	26
Item 1	(h)	Qualified Person's Conclusions and Recommendations	30

ITEM 2	INTRODUCTION	32
Item 2 (a)	Issuer Receiving the Report	32
Item 2 (b)	Terms of Reference and Purpose of the Report	32
Item 2 (c)	Sources of Information and Data Contained in the Report	33
Item 2 (d)	Qualified Persons' Personal Inspection of the Property	33
ITEM 3 RELIANCE ON OTHER EXPERTS	35
ITEM 4 PROPERTY DESCRIPTION AND LOCATION	36
Item 4 (a)	Area of the Property	36
Item 4 (b)	Location of the Property	36
Item 4 (c)	Mineral Deposit Tenure	36
Item 4 (d)	Issuer's Title to / Interest in the Property	40
Item 4 (e)	Royalties and Payments	42
Item 4 (f)	Net Smelter Royalties	42
Item 4 (g)	Environmental Liabilities	42
Item 4 (h)	Permits to Conduct Work	42
ITEM 5 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY
	45
Item 5 (a)	Topography, Elevation and Vegetation	45
Item 5 (b)	Access to the Property	45
Item 5 (c)	Proximity to Population Centres and Nature of Transport	45
Item 5 (d)	Climate and Length of Operating Season	46
Item 5 (e)	Infrastructure	47
ITEM 6	HISTORY	49
Item 6 (a)	Prior Ownership and Ownership Changes	49
Item 6 (b)	Historical Exploration and Development	49
Item 6 (c)	Historical Mineral Resource Estimates	49
Item 6 (d)	Historical Mineral Reserve Estimates	50

Caledonia Mining Plc
NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe
Item 6 (e)	Historical Production	50
ITEM 7 GEOLOGICAL SETTING AND MINERALISATION	51
Item 7 (a)	Regional Geology	51
Item 7 (b)	Local and Property Geology	51
Item 7 (c)	Mineralisation	54
ITEM 8	DEPOSIT TYPES	58
Item 8 (a)	Mineral Deposits Being Investigated	58
Item 8 (b)	Geological Model	59
ITEM 9	EXPLORATION	69
Item 9 (a)	Survey Procedures and Parameters	69
Item 9 (b)	Sampling Methods and Sample Quality	73
Item 9 (c)	Sample Data	73
Item 9 (d)	Results and Interpretation of Exploration Information	73
ITEM 10	DRILLING	74
Item 10 (a)	Type and Extent of Drilling	74
Item 10 (b)	Factors Influencing the Accuracy of Results	78
Item 10 (c)	Exploration Properties - Drill Hole Details	79
ITEM 11 SAMPLE PREPARATION, ANALYSES AND SECURITY	80
Item 11 (a)	Sample Handling Prior to Dispatch	80
Item 11 (b)	Sample Preparation and Analysis Procedures	80
Item 11 (c)	Quality Assurance and Quality Control	80
Item 11 (d)	Adequacy of Sample Preparation	86
ITEM 12	DATA VERIFICATION	88
Item 12 (a)	Data Verification Procedures	88
Item 12 (b)	Limitations on/Failure to Conduct Data Verification	89
Item 12 (c)	Adequacy of Data	90
ITEM 13 MINERAL PROCESSING AND METALLURGICAL TESTING	91
Item 13 (a)	Nature and Extent of Testing and Analytical Procedures	91
Item 13 (b)	Basis of Assumptions Regarding Recovery Estimates	91
Item 13 (c)	Representativeness of Samples	91
Item 13 (d)	Deleterious Elements for Extraction	91
ITEM 14 MINERAL RESOURCE ESTIMATES	93
Item 14 (a)	Assumptions, Parameters and Methods Used for Resource Estimates	93
Item 14 (b)	Geostatistical Analysis and Variography	112
Item 14 (c)	Mineral Resource Statement	143

Caledonia Mining Plc
NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe
Item 14 (d)	Mineral Resource Reconciliation	145
Item 14 (e)	Disclosure Requirements for Resources	151
Item 14 (f)	Individual Grade of Metals	152
Item 14 (g)	Factors Affecting Mineral Resource Estimates	152
ITEM 15 MINERAL RESERVE ESTIMATES	153
Item 15 (a)	Key Assumptions, Parameters and Methods	153
Item 15 (b)	Mineral Reserve Reconciliation - Compliance with Disclosure Requirements	158
Item 15 (c)	Multiple Commodity Reserve (Prill Ratio)	160
Item 15 (d)	Factors Affecting Mineral Reserve Estimation	160
ITEM 16	MINING METHODS	161
Item 16 (a)	Extraction Methods	161
Item 16 (b)	Long-hole Stoping	163
Item 16 (c)	Underhand Stoping	164
Item 16 (d)	Parameters Relevant to Mine Design	165
Item 16 (e)	Production Rates, Expected Mine Life, Mining Unit Dimensions, and Mining Dilution	169
Item 16 (f)	Requirements for Stripping, Underground Development and Backfilling	177
Item 16 (g)	Required Mining Fleet and Machinery	179
ITEM 17	RECOVERY METHODS	180
Item 17 (a)	Flow Sheets and Process Recovery Methods	180
Item 17 (b)	Plant Design, Equipment Characteristics and Specifications	183
Item 17 (c)	Energy, Water and Process Materials Requirements	186
ITEM 18	PROJECT INFRASTRUCTURE	189
Item 18 (a)	Infrastructure	191
Item 18 (b)	Services	198
ITEM 19 MARKET STUDIES AND CONTRACTS	202
Item 19 (a)	Market Studies and Commodity Market Assessment	202
Item 19 (b)	Contracts	211
ITEM 20 ENVIRONMENTAL STUDIES, PERMITTING AND SOCIAL OR COMMUNITY IMPACT..	212
Item 20 (a)	Relevant Environmental Issues and Results of Studies Done	212
Item 20 (b)	Waste Disposal, Site Monitoring and Water Management	213
Item 20 (c)	Permit Requirements	215
Item 20 (d)	Social and Community-Related Requirements	215
ITEM 21 CAPITAL AND OPERATING COSTS	217
Item 21 (a)	Capital Costs	217
Item 21 (b)	Operating Cost	219

Caledonia Mining Plc
NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe
ITEM 22	ECONOMIC ANALYSIS	227
Item 22 (a)	Introduction and Terms of Reference	227
Item 22 (b)	Principal Assumptions	229
Item 22 (c)	Cash Flow Forecast	231
Item 22 (d)	Net Present Value	234
Item 22 (e)	Sensitivity Analysis	235
Item 22 (f)	Economic Analysis Conclusions	239
ITEM 23	ADJACENT PROPERTIES	240
Item 23 (a)	Public Domain Information	240
Item 23 (b)	Sources of Information	241
Item 23 (c)	Verification of Information	241
Item 23 (d)	Applicability of Adjacent Property's Mineral Deposit to Project	241
Item 23 (e)	Historical Estimates of Mineral Resources or Mineral Reserves	241
ITEM 24 OTHER RELEVANT DATA AND INFORMATION	242
Item 24 (a)	Risk Assessment	242
ITEM 25 INTERPRETATION AND CONCLUSIONS	244
ITEM 26	RECOMMENDATIONS	246
ITEM 27	REFERENCES	247
APPENDIX 249
Appendix 1: Blanket Mine Producing Claims and Mining Lease	249
Appendix 2: Blanket Mine Non-Producing Claims	252
Appendix 3: Histograms and Probability Plots	258
Appendix 4: Variograms	269
Appendix 5: Swath Plots	308

Caledonia Mining Plc
NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe
FIGURES
Figure 1: General Location of Blanket Mine	19
Figure 2: Geology of the Gwanda Greenstone Belt	21
Figure 3: Blanket Mine Mineral Reserve Production Profile	25
Figure 4: Blanket Mine Mineral Reserve Production Profile inclusive of Inferred Mineral Resources ..	25
Figure 5: Capital Schedule	28
Figure 6: Undiscounted Cash Flow	29
Figure 7: Project Sensitivity (NPV 15.4%)	29
Figure 8: Access Routes	46
Figure 9: Gwanda Average Annual Temperatures and Precipitation	47
Figure 10: General Location and Infrastructure	48
Figure 11: Blanket Mine Historical Production (1906 to 2023)	50
Figure 12: Geology of the Gwanda Greenstone Belt	52
Figure 13: Stratigraphic Column of the Blanket Mine Area	53
Figure 14: Local Geology of Blanket Mine	54
Figure 15: Blanket Mine All Areas in Long Section, Looking East	60
Figure 16: Blanket Section Orebodies and the Wenlock Fault on 630m Level	61
Figure 17: Blanket Section in Section View, Looking North	62
Figure 18: Section View of Blanket Feudal Hanging Wall in Relation to BQR Hanging Wall, Looking North
.......................................................................................................................	63
Figure 19: Blanket Feudal, Blanket Orebodies and BQR at 140m Level	64
Figure 20: Blanket, AR South and AR Main Orebodies on 810m Level	65
Figure 21: Plan View of Section of 140mL ERC and Lima	65
Figure 22: Mine Scale Geological Interpretation, Plan View	66
Figure 23: Interpreted Mine Scale Trends at 810m Level	67
Figure 24: Riedel Shears Showing Dextral Movement	67
Figure 25: Z-Folding observed in the BQR, ERC and ARM Domains	68
Figure 26: Long Section of Blanket Section Showing Location of 2023 Drilled Exploration Holes	70
Figure 27: AMIS0792 Analysed Results vs. Expected Results	83
Figure 28: AMIS0790 Analysed Results vs. Expected Results	83
Figure 29: AMIS0724 Analysed Results vs. Expected Result	83
Figure 30: Duplicate Results for 2023	84
Figure 31: Comparison of Results with Zim Labs	85
Figure 32: Results of Round Robin	86

Caledonia Mining Plc

NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe

Figure 33: Long Section of Blanket Mine Showing the Total Database	89
Figure 34: Achieved Recovery and Budget from 2017 to 2023	91
Figure 35: Data changes : 2022 Data vs 2023 Data	95

Figure 36: Waterfall and bar graphs representing the change in data per orebody between 2022 and

2023	95
Figure 37: Section View of ARM Domain and Data	96
Figure 38: Section View of ARS Orebody and Data	97
Figure 39: Section View of ARS_EXT Orebody and Data	98
Figure 40: Section View of BLK1 Orebody and Data	99
Figure 41: Section View of BLK2 Orebody and Data	100
Figure 42: Section View of BLK3 Orebody and Data	101
Figure 43: Section View of BLK4_5 Orebody and Data	102
Figure 44: Section View of BLK6 Orebody and Data	103
Figure 45: Section View of BF Orebody and Data	104
Figure 46: Section View of BQR Orebody and Data	105
Figure 47: Section View of LIMA Orebody and Data	106
Figure 48: Section View of ERC Orebody and Data	107
Figure 49: Section View of JTH Orebody and Data	108
Figure 50: Section View of SHT Orebody and Data	109
Figure 51: Probability Plot for the ARM main Domain	110
Figure 52: Histogram for the ARM main Domain	111
Figure 53: Experimental Back Transformed Variogram Created for ARM	115
Figure 54: KNA Analysis for Blanket 1 and Blanket 3	115
Figure 55: ARM Estimates	121
Figure 56: ARS Estimates (including ARS_Ext)	121
Figure 57: BLK1 Estimates	122
Figure 58: BLK2 Estimates	122
Figure 59: BLK3 Estimates	124
Figure 60: BLK4_5 Estimates	125
Figure 61: BLK6 Estimates	125
Figure 62: BF Estimates	126
Figure 63: BQR Estimates	126
Figure 64: LIMA Estimates	127
Figure 65: ERC Estimates	127
Figure 66: JTH Estimates	128

Caledonia Mining Plc
NI 43-101 Technical Report on the Blanket Gold Mine, Zimbabwe
Figure 67: SHT Estimates	128
Figure 68: Long Section of Blanket Mine showing Stopes, Drives, Haulages and Shafts	129
Figure 69: Swathe Plot of ERCN Domain in X, Y and Z Directions	130
Figure 70: Swathe Plot of ERCN_FW Domain in X, Y and Z Directions	130
Figure 71: Swathe Plot of ERCS Domain in X, Y and Z Directions	131
Figure 72: ARM Mineral Resource Classification	134
Figure 73: ARS Mineral Resource Classification (Including ARS_Ext)	135
Figure 74: BLK1 Mineral Resource Classification	136
Figure 75: BLK2 Mineral Resource Classification	137
Figure 76: BLK3 Mineral Resource Classification	138
Figure 77: BLK4_5 Mineral Resource Classification	139
Figure 78: BLK6 Mineral Resource Classification	139
Figure 79: BF Mineral Resource Classification	140
Figure 80: BQR Mineral Resource Classification	140
Figure 81: LIMA Mineral Resource Classification	141
Figure 82: ERC Mineral Resource Classification	142
Figure 83: JTH Mineral Resource Classification	142
Figure 84: SHT Mineral Resource Classification	143
Figure 85: Waterfall Graphs Illustrating the Change in Tonnage and Ounces Per Orebody in the Measured
Resource Category	149
Figure 86: Waterfall Graphs for Grade, Tonnage and Ounces of Indicated Mineral Resources	150
Figure 87: Waterfall Graphs for Grade, Tonnage and Ounces of Inferred Mineral Resources	151
Figure 88: In Situ Mineral Resource to Mineral Reserve Conversion - Ore Tonnes and Grade	155
Figure 89: Blanket Mine Mineral Reserve Production Profile Based on Measured and Indicated Mineral
Resources only	157
Figure 90: Blanket Mine Content Delivered to the Plant	157
Figure 91: Extraction Method: Mechanized	161
Figure 92: Extraction Method: Conventional	162
Figure 93: Schematic Representation of Long-hole Stoping Mining Method	164
Figure 94: Schematic Representation of Underhand Stoping Mining Method	165
Figure 95: Main Blanket Mine Shaft Infrastructure: Plan View (update picture - show active shaft above
in different colour to historical shafts)	167
Figure 96: Blanket Mine Shaft Infrastructure: Section View	167
Figure 97: Blanket Mine Simulated Ventilation airflow	168
Figure 98: Diluted Annual Life of Mine Production Schedule on Measured and Indicated Mineral
Resources only	170