RNS Number:4973L
Caledon Resources PLC
23 May 2003



               Caledon Resources PLC ("Caledon" or the "Company")

                 Re: Business licence, joint venture agreement

                                      and

                             change of Directorate



Business Licence

Caledon is pleased to announce that its Co-operative Joint Venture Company
("CJVC"), Blackwatch Resources China Limited, has been granted a business
licence for mineral exploration in China. Under the terms of the Co-operative
Joint Venture Agreement, Caledon (through its wholly owned subsidiary company,
Blackwatch Resources Limited ("Blackwatch ")) will hold 85 per cent. of the CJVC
through to the commencement of gold production. Caledon's partner for the joint
venture company is the China National Gold Guangxi Corporation ("CNGGC"). CNGGC
is one of the foremost mining and exploration groups in the Guangxi province,
with an excellent knowledge of all aspects of doing business in the region and a
demonstrated, strong willingness to assist the CJVC in attaining its goals.

Joint Venture Agreement

The official granting of the business licence follows the completion of a Joint
Venture Agreement with CNGGC as well as approvals from the Chinese Ministry of
Foreign Trade and Economic Cooperation and the State Planning Committee.

After the commencement of gold production, CNGGC will be paid 1,500,000 Chinese
Renminbi (#112,000) per annum for the first four years. Thereafter, the
operating profits of the CJVC will be distributed on 90:10 basis. Blackwatch is
the manager and operator of the CJVC.

Prior to the formation of the CJVC, Blackwatch conducted an extensive
reconnaissance program through the Guangxi Province, on both a local and
regional scale. The CJVC will now focus on gold targets already identified from
Blackwatch Resources Limited's earlier work, as well as the establishment of
joint ventures with other mining groups in Guangxi.

The CJVC has already established a fully functional exploration office in the
capital of Guangxi Province, Nanning, and has key personnel in place.

Guangxi is located in the southwest of China having a total area of 23.67
million sq. kms. and it has excellent infrastructure, with major road networks,
railways, waterways and two major sea ports. The Province hosts numerous
disseminated gold deposits that have been identified, and the CJVC will be
targeting known deposits as well as new areas considered to have strong
potential for the discovery of major gold deposits.

Blackwatch is managed by Paul Ingram who is also a director of Caledon. Mr
Ingram and his exploration team have over 15 years of exploration experience in
South East Asia.

Appointment of George Salamis as Managing Director

The Company is also pleased to announce the appointment of George Salamis as
Managing Director of Caledon. Mr. Salamis, currently a director of Caledon, is a
graduate in Geology (B.Sc) from the Universite de Montreal Ecole Polytechnique.
He has over 15 years' experience in the mining industry working as a geologist,
in many different countries. His specific field of expertise relates to
identifying, evaluating and managing international mining investment
opportunities and field projects. He has worked in this capacity on behalf of
Placer Dome and Cameco Inc. and his previous responsibilities have also included
successfully completing mining financing initiatives with institutions based in
North America, Europe and Asia. More recently, Mr. Salamis was a Vice President
and Director of Riddarhyttan Resources AB, a Swedish exploration company
successful in discovering gold resources in excess of 2 million ounces in
Finland over the past three years.

As Managing Director, Mr. Salamis will oversee Caledon's exploration focus in
Southern China, as well as assisting in the management of the Company's day to
day Corporate Affairs.



Enquiries:

Stephen R Dattels, Executive Chairman

Tel: + 1 (416) 929 8212 or + 44 (207) 529 7512

George Salamis, Managing Director

Tel: + 1 (519) 856 0883

Donal Douglas, Manager Investor & Institutional Relations

Tel: + 44 (207) 529 7512






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