This report sketches the main activities and developments within the Centre for Adult and Continuing Education (CACE), University of the Western Cape, South Africa. It begins by situating the work within the national context. Administration is discussed in terms of changes in staffing, committee work of staff, funding, and building of organizational capacity. A new adult literacy and basic education project is described. These opportunities for formal training of adult educators are discussed: Certificate for Educators of Adults, Advanced Diploma for Educators of Adults, and Bachelors in Education module on adult and continuing education. These areas of nonformal education are described: ongoing development and running of training workshops for adult educators, development of training handbooks, continuing education of adult educators through a series of seminars, and the facilitation and design of nonformal education programs on request from other organizations. The following section addresses how the networking function of CACE has increased and changed substantially. Summaries are provided of specific research projects dealing with community organizations, women and nonformal education, social uses of literacy, a national approach to university-based professional training of adult educators, and lifelong learning and modular accreditation. The report also discusses international contacts and lists papers, articles, books, and conferences and workshops attended. (YLB)