TORONTO, CANADA – April 24, 2018 – Centerra Gold Inc. (TSX: CG) (“Centerra”) comments on a news release issued today by Chaarat Gold Holdings Limited (“Chaarat”).
In March 2018, Centerra received an unsolicited, non-binding proposal from Chaarat concerning Centerra’s Kumtor Mine located in the Kyrgyz Republic. Centerra promptly communicated to Chaarat’s advisers that it has no interest in the transaction proposed by Chaarat. In recent meetings with the Kyrgyz Republic Government, senior Kyrgyz Republic officials have confirmed to Centerra that the Government is also not interested in pursuing the transaction proposed by Chaarat.
Centerra notes that the Kumtor Mine is directly held through Centerra’s wholly-owned, direct subsidiary, Kumtor Gold Company CJSC, and the transaction proposed by Chaarat could not occur without the participation of both Centerra and the Kyrgyz Republic Government.