Central African Mining & Exploration Company Plc Enters Into Agreement to Acquire Additional Shares of Katanga Mining Limited

Central African Mining & Exploration Company Plc ("CAMEC" or the "Company"), the AIM listed fully integrated exploration, mining, trading and investment company, is pleased to announce that it has entered into private agreements with select shareholders of Katanga Mining Limited ("Katanga"), pursuant to which CAMEC has agreed to acquire an additional 8,298,300 common shares of Katanga. Based on publicly available information, such shares represent 10.63% of the currently outstanding common shares of Katanga. These share purchase transactions are expected to close on 18 May 2007. Upon closing, taking into account the shares of Katanga currently held by CAMEC and those Katanga shares expected to be acquired pursuant to the share purchase transaction announced by the Company on April 27, 2007, CAMEC will own a total of 17,175,130 common shares of Katanga which, based on publicly available information, will represent 22% of the currently outstanding common shares of Katanga.

In addition, CAMEC has agreed in principle to acquire by private agreement from select shareholders of Katanga a further 6,000,000 common shares of Katanga representing, based on publicly available information, 7.68% of the currently outstanding common shares of Katanga, and anticipates formal agreements to be finalised shortly.

Katanga is a Toronto Stock Exchange listed company, which is currently focusing on the development of copper-cobalt projects in the Katanga Province of the Democratic Republic of the Congo ("DRC").

CAMEC Chairman Phil Edmonds said, "The DRC is blessed with unparalleled natural resources including those in the copper and cobalt sectors. CAMEC itself has some of the most highly prospective concessions in the country, while the Katanga concessions are estimated to host major copper and cobalt reserves and resources.

"CAMEC feels that with the growing stability in the DRC following recent democratic elections and an improved 2004 mining code and the right investment, the DRC has all the attributes rapidly to become a major exporter of copper and cobalt finished product.

"CAMEC has already within the last 12 months developed a 50,000 sq metre copper cobalt SX/EW plant in the DRC and is on track to produce 40,000 tonnes of electro plated copper in 2007-08 with 6,000 tonnes of cobalt in finished metal and carbonate form. The plant has a targeted template design capacity to produce 100,000 tonnes copper metal and up to 12,000 tonnes of cobalt cathode and carbonate annually by 2008-09."

As part of the consideration, CAMEC will issue 74,742,854 new ordinary shares of 0.1p each in the Company. Application will be made for the admission of the new ordinary shares to trading on the AIM market. The new ordinary shares will rank pari passu with the existing ordinary shares of 0.1p each in the Company and dealings in these new ordinary shares are expected to commence on 18 May 2007.

The Katanga shares are being acquired for investment purposes. CAMEC may in the future increase or decrease its ownership of securities of Katanga from time to time depending upon factors such as the business and prospects of Katanga and future market conditions

A copy of the "early warning" report to be filed on SEDAR under applicable Canadian securities laws in connection with this news release, will be available by contacting Philip Enoch, the Secretary of CAMEC, at +44 207 429 6129.

CAMEC's address is 3rd Floor, Millennium Bridge House, 2 Lambeth Hill, London, United Kingdom, EC4V 4AJ.

For further information please visit www.camec-plc.com.