Drilling Report

Caledonia Mining Corporation
19 March 2007

                         
                          Caledonia Mining Corporation

        Caledonia Announces NI 43-101 Report on the Nama Project in Zambia

Toronto, Ontario - March 19, 2007: Caledonia Mining Corporation ('Caledonia')
(TSX: CAL, NASDAQ-OTCBB: CALVF, AIM: CMCL) is pleased to announce the filing of
an Independent Technical Report, compliant with the specifications and
requirements of the Canadian National Instrument (NI) 43-101, for the Anomaly
'A' area of the Nama Cobalt and Copper Project. The report can be viewed on
http://www.caledoniamining.com/technical.php and on SEDAR at www.sedar.com and,
in the U.S.A., on EDGAR.

Nama
Caledonia is the 100% owner of the Nama Project, which covers a number of
polymetallic oxide deposits containing cobalt and copper, located on the
northwestern flank of the Zambian Copperbelt.

Resources
The NI 43-101 report concluded that Anomaly 'A' of the Nama Project has a
potentially economic resource of cobalt and copper with lesser quantities of
nickel down to a depth of more than 210 metres below surface. An Indicated
Resource amounting to 43.7 million tonnes at grades of 0.055% cobalt and 0.1%
copper in an oxidized open-pittable deposit has been defined. The resource
contains an estimated, in situ, 53 million pounds of cobalt and 96 million
pounds of copper to a depth of 200 metres below surface. The evaluation is based
on a total of 160 drill intersections with a maximum hole spacing of 150 metres.

                     Indicated Resources in the Anomaly 'A'

     Block              Tons                   Grade (% metal)
                                      Cobalt      Copper         Nickel
    1               9,139,000      0.0446         0.1028         0.0133
    2              11,366,000      0.0613         0.0288         0.0067
    3               4,305,000      0.0490         0.0730         0.0309
    4              18,846,000      0.0572         0.1463         0.0086
Total              43,656,000       0.055          0.099          0.011

Some of the mineralized bodies comprising the Anomaly 'A' resource, as defined
by the report, remain open-ended on strike and/or down dip. The resource of
Anomaly 'A', on its own, is considered sufficient for an initial two years
production in terms of the existing signed letters of intent for long term
product purchase agreements.


Additional Potential
In total 16 cobalt anomalies have been identified in the Nama Project area, of
which 5 have been explored to varying extents. As a priority, a drilling program
to investigate the extensions to Anomaly 'A', in addition to Anomalies 'C' and
'D', is currently being considered with a view to defining an additional
resource in the near future. The remaining 11 anomalies, with similar potential
to the above anomalies, all require follow-up drilling and geological field
programs.

Proposed Metallurgical Process
Metallurgical testwork conducted to date has provided a proposed metallurgical
flow sheet. A further bulk sample has been taken from Anomaly 'A' to enhance and
refine the metallurgical processes and cost parameters for producing a
marketable and economically viable cobalt product. On the basis of this
testwork, it is anticipated that the design of a pilot plant will be finalized
enabling Caledonia to conclude long term product purchase agreements based on
the letters of intent. Stage 1 of the production process will be the
construction of a pilot plant which will serve as an ongoing metallurgical test
facility.

The 'Qualified Person' for the purposes of Canadian securities laws, Mr. David
Grant BSc., MSc., Pr Sci. Nat., CGEOL, FGS, FGSSA, FSAIMM, has reviewed this
release and is satisfied that it is an accurate reflection of the findings of
the Independent Technical Report prepared by Applied Geology Services C.C., of
which Mr. Grant is the Principal Member.

For more information, please contact:
Stefan Hayden                                     Alex Buck / Nick Bias
President and CEO, Caledonia Mining               BuckBias
Tel: [phone]                              Tel: [phone]

Jeremy Porter
Seymour Pierce
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
result 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 programs, 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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