Additional Property Acquired

Caledonia Mining Corporation
13 March 2006


                          Caledonia Mining Corporation

Caledonia Acquires Additional Properties Adjoining its Rooipoort (PGE/Au/Ni/Cu)
Project, South Africa, virtually doubling the Rooipoort Project area.

Toronto, Ontario - March 13 2006: Caledonia Mining Corporation ('Caledonia')
(TSX: CAL, NASDAQ-OTCBB: CALVF, AIM: CMCL) is pleased to announce that it has
concluded an agreement, on behalf of its wholly owned South African subsidiary
company Eersteling Gold Mining Company Limited ('EGMC'), with Falconbridge
Ventures of Africa (Pty) Ltd ('Falconbridge') (a subsidiary of Falconbridge
Limited), to acquire a 100% interest in Falconbridge's prospecting rights
covering the farms Moordrift 289KR, Jaagbaan 291KR, and portions of Grasvally
293KR, a total area of 4,315.81 hectares. Eersteling's current rights cover
4,404.84 hectares on Rooipoort 46KS and portions of Grasvally 293KR. This
acquisition effectively doubles the area of Caledonia's Rooipoort Project
underlain by Bushveld Complex rocks with proven PGE potential.

Highly Prospective PGE Terrain:
These properties are situated at the southern end of the highly prospective
north limb of the Bushveld Complex, some 50km south of the Anglo Platinum open
pit mining operation on the Platreef. Intensive exploration is being conducted
along the entire length of this 110km prospective zone by a number of companies,
viz. AfriOre, Anooraq, Pan-Palladium, Ivanhoe Nickel & Platinum, PTM and AIM
Resources.

The Moordrift, Jaagbaan and Grasvally farms adjoin the western and southern
boundary of Caledonia's Rooipoort (PGE/Au/Ni/Cu) Project area and contain the
down dip extension of PGE/Ni/Cu mineralization that was recently discovered by
Caledonia on the western side of Rooipoort farm (Central Target Area) (Fig. 2).
(Also please see Caledonia website Project Status Report dated December 9 2005
and the NI 43-101 Independent Resource Report on portion of the mineralized, 61/
2 kilometre long, Eastern Target Area.

Falconbridge conducted limited exploration drilling (see Table 1 for details of
3 holes) on the Rooipoort boundary and on Grasvally and intersected the down dip
extension of the mineralisation intersected by Caledonia, described above.

Table 1: Falconbridge Borehole Composites : Western Target Area

MR?= Merensky like reef     UG?= UG2 like reef  SND=Stratigraphy not determined
Intercepts >0.5g/t 3E + >1.0m                   na = Not Assayed

Hole id  From    To   Drilled   3E   Pt   Pd   Au   Ni   Cu   Cr  Mineralised
                        width  g/t  g/t  g/t  g/t  ppm  ppm  ppm     Zone

GV02-1  170.50 171.50    1.00 1.30 0.25 0.97 0.08   na   na   na     SND
        206.48 208.67    2.19 2.39 1.03 1.14 0.23 2113 1961   na     MR?
GV02-2  476.31 478.97    2.66 0.96 0.42 0.49 0.05  890 1357   na    UG2?
MD03-1  535.00 536.50    1.50 0.60 0.13 0.45 0.02   na   na   na     SND
        550.85 553.17    2.32 1.49 0.74 0.60 0.16 1742 1066   na     SND
        563.50 564.74    1.24 0.99 0.36 0.59 0.05 1800  790   na     SND
        566.37 573.91    7.54 2.22 0.94 1.13 0.15 2223 1654   na     MR?
        581.95 583.95    2.00 1.47 0.52 0.86 0.09 2184 1640   na     SND

Plus Previously Unknown PGE Reef ('321 Reef')

Falconbridge also drilled a further 19 holes focused on an additional PGE
mineralised horizon situated to the west of this earlier drilling (Western
Target Zone). The location of these holes, and the results of this drilling can
be found in the Investor Centre on the Caledonia website 
(www.caledoniamining.com) under Technical Reports, in the document titled
'Rooipoort PGE/Au/Ni/Cu Project - Falconbridge Property Acquisition - Drilling
Results'

This reef horizon is characterized by a highly favourable approximately 3:1 Pt:
Pd ratio. Falconbridge concentrated on following up their best intersection in
hole MD03-02 (6.86 m @3.38g/t Pt; 1.23 g/t Pd; 0.57 g/t Au; 0.23% Ni; and 0.29%
Cu) as a probable conformable structure. Caledonia's interpretation of rock
alteration and of the aeromagnetic data indicates the possibility of more
irregular vertical 'ballroom type' structures that could have been missed by
Falconbridge vertical drilling for a planar west dipping reef.

Caledonia is planning to evaluate the near surface, up-dip extensions of this
mineralization on the Rooipoort and Grasvally properties with the initial aim of
delineating an open pit resource as soon as the necessary permits have been
granted by the South African authorities.

This property and data acquisition opens up an extensive new target area of PGE
mineralisation and greatly enhances the potential economic viability of
Caledonia's Rooipoort PGE/Au/Ni/Cu Project by more than doubling the area
underlain by highly prospective PGE/Au/Ni/Cu mineralised stratigraphy already
identified by drilling.

Application to the South African authorities to transfer the Falconbridge rights
to Eersteling will commence immediately.

For further information please contact:

Caledonia Mining                                       BuckBias
Stefan Hayden, President and CEO                       Alex Buck / Nick Bias
Tel: [phone]                                   Tel: [phone]


Further information regarding Caledonia's exploration activities and operations,
along with its latest financials may be found at www.caledoniamining.com.

Certain statements included herein are 'forward-looking statements'.  Management
cautions that forward-looking statements are not guarantees and that actual
results could differ materially from those expressed or implied in the
forward-looking statements.  Important factors that could cause the actual
results of operations, exploration or development programmes, or the financial
condition of the Company, to differ include, but are not necessarily limited to,
the risks and uncertainties discussed in documents filed by the Company with the
various regulatory authorities having jurisdiction.




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