Business Acquisition Report

Central African Gold Plc / Ticker: CAN / Market: AIM / Sub-sector: Gold Mining

31 August 2010

Central African Gold Plc ('CAG' or 'the Company')

Business Acquisition Report 

CAG is pleased to provide the following announcement (the "Announcement"), which New Dawn Mining Corp. ("NDM") (TSX: ND) has filed as a Form 51-102F4 - Business Acquisition Report with Canadian securities regulators on SEDAR (www.sedar.com), as it relates to New Dawn's acquisition of an 89% shareholding in CAG on June 16, 2010 as required under Canadian securities laws.

Please see the attached link to view the Business Acquisition Report.

http://www.rns-pdf.londonstockexchange.com/rns/8305R_-2010-8-30.pdf

The Announcement relates to the acquisition of the c. 89% shareholding NDM acquired in CAG on June 16, 2010 and contains financial information relating to CAG, including, inter alia, for the period January 1, 2009 to June 15, 2010, the day prior to NDM's acquisition of its c. 89% stake in CAG. This information is unaudited, has been prepared by NDM and does not replace the unaudited interim results for CAG, for the six months ended June 30, 2010, which CAG anticipates releasing on, or prior to, September 30, 2010.

* * ENDS * *

For further information please visit www.centralafricangold.comor contact:

Notes to Editors

CAG

Central African Gold Plc is a gold mining company with a portfolio of production, development and exploration assets primarily in Zimbabwe, where the Company operates through two subsidiaries, Falcon Gold Zimbabwe Limited (84.7 per cent. owned) and Olympus Gold Mines Limited (100 per cent. owned). Through these subsidiaries CAG has four main gold mines, the Dalny, Old Nic, Golden Quarry and Camperdown mines, which arelocated in the highly prospective Kadoma, Shurugwi and Bulawayo gold regions in Zimbabwe.

NDM

The Company's 88.68% shareholder is TSX listed New Dawn Mining Corp. a gold company with a broad portfolio of production and exploration assets also in Zimbabwe. NDM owns and operates the Turk and Angelus Mines in the upper southwest area of Zimbabwe which it believes have the potential to produce an estimated 35,000 to 50,000 ounces of gold per annum. It is NDM's objective to orchestrate the development of CAG's mining operations and exploration portfolio, as well as its own, to become a mid-tier gold producer focussed in Zimbabwe, with a consolidated annualised gold production to between 50,000 and 60,000 ounces within the next 18 to 24 months, increasing to 100,000 ounces by 2014, and then ultimately to 200,000 to 250,000 ounces.