Caledonia Mining Corporation plc

ESG

Our Communities and Society

We see our role as more than mining – by building trust, localising our workforce and supply chain, and investing in communities, we are committed to driving long-term socio-economic opportunities.

2024 highlights

·       $1.3m invested in community development

·       40% of suppliers are Zimbabwean companies

·       $1.4m dividend paid to the local community trust shareholder

·       5,000 residents supported by Blanket Mine

Strong community relationships are vital to our success, underpinning stable, efficient operations through trust, shared prosperity, and a secure social license to operate that reduces risk and supports long-term sustainability. We strengthen economic resilience and extend the benefits of mining beyond our operations by prioritising local suppliers. By putting people and partnerships first, we’re helping to build a more resilient, self-sustaining future for communities across Zimbabwe.

Providing meaningful, well-paid employment is one of the most direct ways we contribute to social and economic development in Zimbabwe. As one of the largest employers in the Gwanda region, Blanket Mine provides jobs in a region where employment opportunities are scarce.

We focus on hiring locally, upskilling workers, and offering genuine career progression opportunities. When specialist skills are unavailable locally, we prioritise hiring Zimbabwean nationals to ensure skills transfer and economic retention within the country. This approach allows us to build a highly skilled workforce, maintain a competitive cost base, and foster strong community relations, ensuring a stable and secure operating environment.

Developing strong local supply chains fosters economic growth, job creation, and resilience, while reducing emissions and costs, building long-term partnerships, and enhancing both community prosperity and our operational sustainability. Our approach to supply chain management is informed by the following principles:

·       Supporting local businesses: Strengthening communities by sourcing locally.

·       Operational efficiency: Lowering costs and lead times while improving efficiency.

·       De-risking supply chain: Supporting and growing Zimbabwean businesses.

·       Continuity of Supply: Ensuring uninterrupted access through strong local partnership.

Caledonia was the first Zimbabwean gold mining company to comply with Zimbabwe’s indigenisation laws, ensuring meaningful local ownership in the sector. Through this ownership structure, Caledonia not only ensures that the wealth generated by Blanket Mine benefits Zimbabweans but also strengthens its ties to the local community, fostering a sense of shared purpose and mutual prosperity.

Contributing to Zimbabwe’s economy goes beyond hiring, procurement, and ownership. We make significant contributions through taxes, royalties, and regulatory payments

At Caledonia, we understand that strong community relationships are not just about fulfilling social responsibilities, they are fundamental to the success and sustainability of our operations. Our ability to mine efficiently, maintain stability, and grow as a business depends on the trust, cooperation, and shared prosperity of the communities around us.

We believe that community investment can and should be a catalyst for long-term, self-sustaining economic growth. By directing our resources toward meaningful, high-impact initiatives, we aim to empower local communities, improve livelihoods, and strengthen resilience in the regions where we operate.

Our investment decisions are not made in isolation; they are shaped through active dialogue, shared vision, and collaborative planning with local communities. Every project follows a structured engagement process that ensures:

·       Community needs are accurately identified through direct consultations with local leaders, social organisations, and grassroots representatives.

·       Investment decisions are impact-driven, focusing on initiatives that deliver measurable improvements in quality of life and economic sustainability.

·       Transparency and accountability are embedded in every stage, from initial discussions to implementation and long-term monitoring.

This collaborative, community-first approach ensures that our investments go beyond short-term relief, creating lasting impact, strengthening trust, and building social resilience. By working hand in hand with local stakeholders, we are not just funding projects; we are empowering communities to drive their own development.

Our investments translate into real, measurable impact; helping build stronger, more self-sufficient communities that thrive beyond the life of our mining operations. By aligning our contributions with locally driven priorities, we have been able to:

·       Expand access to quality education, helping students gain the skills needed for future employment.

·       Improve healthcare services, ensuring that communities have access to essential medical support.

·       Support women and youth empowerment programmes, fostering entrepreneurship and self-reliance.

·       Invest in sustainable agriculture and local businesses, creating jobs and strengthening food security.

·       Provide access to water to local communities for domestic use and livestock watering during a drought in the region through the drilling of boreholes.

The sale of the 16% and 10% shareholdings in Blanket to BETS and NIEEF respectively were facilitated through loans being extended to subscribe for new shares in Blanket (shown in the dotted orange line above).

Community Investment and Corporate Social Responsibility

We take a targeted and strategic approach to social investment with our CSR strategy that identifies the critical needs of the communities around Blanket through requests made by direct engagement with the mine, further linking our community work with our chosen SDGs. We are sensitive to the cultural norms and practices of the communities associated with and surrounding Blanket, and ensure engagement is conducted appropriately.

In addition to social investment, Blanket has invested in infrastructure (i.e. roads, housing, water purification and sewerage) that will be made available to the community following the closure of the mining operation. 

The focus of our community investment is outlined below. In 2023, we have committed to an additional conservation pillar. Activities funded by Caledonia so far have included a rhino conservation project in the unique Matobo National Park, an important area of biodiversity in the Matobo Hills World Heritage site.

1. EDUCATION

We believe in the power of education as a tool to improve livelihoods. Our support towards education aims to improve the quality of learning, thereby contributing to the upliftment of marginalised students around the Gwanda community. As part of our commitment to education, our community support has included renovations at Gwakwe Primary School, purchasing key resources for Sitezi primary and secondary schools and carrying out improvements to Sabiwa High School.

2. HEALTH

We aim to help communities lead healthy lives by assisting them with access to healthcare and safe water. Having constructed the Phakama Clinic Isolation Centre in 2020, we have continued our work with them into 2022, whilst also supporting wards and water needs at the Sitezi Clinic.

3. AGRICULTURE

Water for agriculture is a vital resource that enables irrigation and sustains animal husbandry in the arid Matabeleland area of Zimbabwe. As part of our contribution towards community agriculture, we have funded market gardens using Blanket’s irrigation infrastructure, constructed livestock water pens and dip tanks around surrounding villages and have begun assessing the viability of boreholes for agricultural irrigation in the area.

5. ENVIRONMENT

We aim to manage and minimise the impact of our operations on the natural environment and contiguous communities. We take part in the national tree-planting day and have made this a permanent feature on our activities calendar as we recognise our role in replenishing the community and environment. Our solar plant was commissioned in 2022 and now provides a quarter of Blanket’s average electricity demand.

4. WOMEN AND YOUTH EMPOWERMENT

We seek to uplift the status of women and youth through education and training. Empowered women and youth significantly contribute to household food security, improved health and overall economic growth. 39% of our students undergoing training at Blanket are female. As part of our strategy to empower youth, we purchased IT equipment for computer sciences training at the Enqameni Youth Reflection Centre.

6. CHARITY

As part of the Gwanda community, we are invested in the everyday challenges confronting our community. The Charity pillar provides that we swiftly attend to emergencies such as natural disasters and epidemics which have adverse effects on the community. Community requests are assessed in line with our CSR pillar. Examples of support to the local area include using waste rock to rebuild roads damaged by heavy rains and partnering with the Ministry of Health and Child Welfare to distribute mosquito nets.

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