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Re Agreement

31st Jan 2008 14:00

Caledonia Mining Corporation31 January 2008 Caledonia Mining Signs Marketing Agreement with MRI Trading AG Toronto, Ontario - January 31, 2008: Caledonia Mining Corporation ("Caledonia")(TSX: CAL, NASDAQ-OTCBB: CALVF, AIM: CMCL) is pleased to announce it hasappointed MRI Trading AG as the worldwide agent for Caledonia Nama Limited,excluding China and Taiwan which is handled by Pan Asian Oasis Inc., for themarketing and administration of long term cobalt hydroxide off-take agreements. MRI Trading AG is a top-tier trader of non-ferrous concentrates, minor metalsand other raw materials. It is part of the MRI Group of companies and a leadinginvestment and trading group in the commodities arena. The MRI Group has aglobal presence through its offices in Beijing and Shanghai, Santiago de Chile,Lubumbashi, Johannesburg, New Delhi and Brisbane. Pan Asian Oasis Inc. has for the past few years been active in assisting majorrefineries and companies in China and Taiwan with securing long term strategicsupplies of cobalt, copper and other non-ferrous metals. For more information, please contact: Stefan Hayden, President & CEO Alex Buck Andrew SmithCaledonia Mining BuckBias RBC Capital MarketsTel: +27 11 447 2499 Tel: +44 7932 740 452 Tel: +44 20 7029 7882 This information is provided by RNS The company news service from the London Stock Exchange

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