TORONTO, ON--(Marketwired - May 30, 2016) - Centerra Gold Inc. (
Despite the commencement of arbitration proceedings, the Company has re-iterated to the Kyrgyz Republic Government its openness to receive and discuss proposals to resolve all outstanding matters affecting the Kumtor project in a manner that is fair to all of Centerra's shareholders.
As noted in the Company's news release of May 26, 2016, the Inter-District court earlier ruled against KOC on two environmental claims made by SIETS in relation to the placement of waste rock at the Kumtor waste dumps and unrecorded wastes from Kumtor's effluent and sewage treatment plants. Court hearings on the two outstanding environmental claims made by SIETS and the claim by SAEPF have been postponed until May 31 and June 3, respectively.
Centerra and KOC strongly object to the Inter-District Court's jurisdiction to decide the SIETS and SAEPF claims and dispute all of the claims and will appeal the court decisions to the Bishkek City Court and, if necessary, to the Kyrgyz Republic Supreme Court. The Company will also continue to contest all of the claims in international arbitration in accordance with the 2009 Restated Investment Agreement.
The Company believes that the Kumtor Project has always been operated in accordance with the provisions of the 2009 project agreements governing the Kumtor Project, including the 2009 Restated Investment Agreement which provides a complete code of all taxes, fees and other charges applicable to the Kumtor Project and that all disputes relating to the Kumtor project shall be resolved through international arbitration.
About Centerra
Centerra is a Canadian-based gold mining company focused on operating, developing, exploring and acquiring gold properties in Asia, North America and other markets worldwide. Centerra is the largest Western-based gold producer in Central Asia. Centerra's shares trade on the Toronto Stock Exchange (TSX) under the symbol CG. The Company is headquartered in Toronto, Ontario, Canada.
Additional information on Centerra is available on the Company's web site at www.centerragold.com and at SEDAR at www.sedar.com.
Attachment Available: http://www.marketwire.com/library/MwGo/2016/5/31/11G100577/17-Notice_of_Arbitration_SIETS_SAEPF_judgments_May-64390dea44aa842a8fd8eb50a1f9f820.pdf
Contact Information:
For more information:
John W. Pearson
Vice President
Investor Relations
(416) 204-1953