Centerra, Kyrgyz Republic Agree to Agreement Extension

The Kumtor mine (background) was expected to produce more than 535,000 oz of gold in 2018.
At the request of the government of the Kyrgyz Republic, Centerra Gold has agreed to further extend the first longstop date under the Strategic Agreement for Environmental Protection and Investment Promotion for the Kumtor mine until May 31. It first entered the agreement on September 11, 2017. The first longstop date is the date by which all conditions precedent to the completion of the Strategic Agreement are required to be satisfied.

Centerra said it and the government have made significant progress in satisfying the remaining conditions precedent to completion of the Strategic Agreement, including the reissuance of Kumtor’s land use certificates and the resolution of a tax claim affecting Kumtor. The company said it expected all relevant conditions precedent to completion to be satisfied prior to January 31, but the government requested an extension to May 31 and the company agreed. Centerra said it will continue to pursue completion as soon as possible.

As featured in Womp 2019 Vol 02 -