Centerra Gold is continuing discussions with representatives of the Government of the Kyrgyz Republic in connection with a potential restructuring transaction under which Kyrgyzaltyn JSC would exchange its 32.7% equity interest in Centerra for an interest of equivalent value in a joint venture company that would own the Kumtor Gold Project.
While Centerra believes that progress has been made in those discussions, no final agreement has yet been reached. Any definitive agreement would be subject to compliance with all applicable legal and regulatory requirements and approvals, including any independent valuation and minority shareholder approval requirements.
Centerra expects to continue discussions with the government with the objective of resolving matters through constructive dialogue. However, there can be no assurance that any transaction will be consummated or that the company will be able to successfully resolve any of the matters currently affecting the Kumtor project.
Centerra Gold is a Canadian-based gold mining company focused on operating, developing, exploring and acquiring gold properties primarily in Asia, the former Soviet Union and other emerging markets worldwide. It is the largest Western-based gold producer in Central Asia.