St Helier, January 4, 2021 - Caledonia Mining Corporation Plc ("Caledonia" or the "Company") is pleased to announce that the Board of Directors has declared an increased quarterly dividend of eleven United States cents (US$0.11) on each of the Company's shares.

Highlights
· 10% increase from the previous quarterly dividend of 10 cents that was paid in October 2020.

· 60% cumulative increase from the level of 6.875 cents since October 2019.

· 4th increase in the quarterly dividend since October 2019.

· Central Shaft scheduled to be commissioned during the first quarter of 2021.

· Target production of 61,000 to 67,000 ounces of gold in 2021; target production of 80,000 ounces of gold per annum from 2022.1

· Increasing production, a high gold price and good cost control have continued to result in increased cash generation which has given the Board confidence that the business can sustain a higher level of dividend distributions before the benefits of Central Shaft are realised.

- Commenting on the announcement, Steve Curtis, Chief Executive Officer, said:
"We are pleased to announce an additional 10 per cent increase in our quarterly dividend, the fourth increase in the past 15 months representing a cumulative 60 per cent rise in the dividend since the first increase in October 2019. The decision by the Board to increase the dividend reflects our continued and increasing confidence in the outlook for our business. As we reported in our third quarter 2020 results, the business continues to perform well supported by strong production and a firm gold price.

"As we approach the end of the six-year investment programme at Blanket Mine, we expect the combination of rising production and declining capital investment over the next two years will give us the scope to consider further increases in the dividend in addition to providing funding for investment in new projects, including the exploration prospects at Glen Hume and Connemara North as announced on 10 and 17 December 2020, respectively."

The relevant dates relating to the dividend are as follows:

· Ex-dividend date: January 14, 2021

· Record date: January 15, 2021

· Dividend cheque mailing date: January 29, 2021

Shareholders with a registered address in the UK will be paid in Sterling.

Caledonia's Dividend Policy
Caledonia's strategy to maximise shareholder value includes a quarterly dividend policy which the Board adopted in 2014. The Board will consider future increases in the dividend as appropriate in line with its prudent approach to risk management.