Centerra Gold Responds to Kyrgyz Media Reports on the Kumtor Project

Centerra Gold Responds to Kyrgyz Media Reports on the Kumtor Project 
TORONTO, ONTARIO -- (Marketwire) -- 01/25/13 --  
This news release contains forward-looking information that is
subject to the risk factors and assumptions set out on page 2 under
the heading, "Cautionary Note Regarding Forward-looking Information". 
Centerra Gold Inc. (TSX:CG) responds to media reports in the Kyrgyz
Republic regarding the Kumtor Project. Based on such media reports,
the Company understands that at a Government meeting held on January
24, 2013, Prime Minister Mr. J. Satybaldiyev, and Minister of the
Economy, Mr. T.A. Sariev, made public statements endorsing certain
recommendations of the State Commission formed to investigate the
Kumtor Project (see Centerra's news release dated November 7, 2012
for information regarding the State Commission). According to the
media reports, Mr. Sariev, who is also the Chair of the State
Commission, called on the Government of the Kyrgyz Republic to open
negotiations on the terms under which the Kumtor Project is governed,
with a view to requiring it to accept a new tax regime and pay higher
environmental charges. Prime Minister Satybaldiyev is also reported
to have confirmed that the Government does not intend to nationalize
the Kumtor Project and to have indicated a desire to have further
discussions with the Company. 
Centerra expects to continue discussions with the Government of the
Kyrgyz Republic, with the objective of resolving matters through
constructive dialogue. There can be no assurance, however, that this
will be the case. Centerra notes that any discussion of the Kumtor
Project must take into account existing legal obligations and binding
commitments. In particular, the Kumtor Project is governed by project
agreements signed in June 2009, including the restated investment
agreement (collectively, the "Project Agreements"), which provides
for a specified tax regime to apply to all Kumtor activities. The
Project Agreements were approved by all relevant Kyrgyz Republic
government authorities in 2009, including the Kyrgyz Republic
Government and Parliament, and are the subject matter of a legal
opinion issued by the Kyrgyz Republic Ministry of Justice and a
decision by the Kyrgyz Republic Constitutional Court. Centerra has
confidence in the continuing validity of the Project Agreements,
which provide as well for disputes concerning the project to be
resolved by international arbitration, if necessary.  
The Kumtor mine continues to operate according to plan.  
Cautionary Note Regarding Forward-looking Information 
This news release and the documents referred to herein contain
statements which are not statements of current or historical facts
and are "forward-looking information" within the meaning of
applicable Canadian securities laws. Such forward-looking information
involves risks, uncertainties and other factors that could cause
actual results, performance, prospects and opportunities to differ
materially from those expressed or implied by such forward-looking
information. Wherever possible, words such as "believe", "expect",
"anticipate", "contemplate", "target", "plan", "intends", "continue",
"budget", "forecast", "projections", "estimate", "may", "will",
"schedule", "potential", "strategy" and other similar expressions
have been used to identify forward-looking information.  
These forward-looking statements relate to, among other things, the
activities of the Kyrgyz Republic Government with respect to the
State Commission report, Centerra's expectations regarding
constructive dialogue with the Prime Minister of the Kyrgyz Republic
and the Company's ability to resolve matters relating to the State
Commission report without material adverse consequences to the
Company's operations.  
Although the forward-looking information in this news release
reflects Centerra's current beliefs as of the date of this news
release based on information currently available to management and
based upon what management believes to be reasonable assumptions,
Centerra cannot be certain that actual results, performance,
achievements, prospects and opportunities, either expressed or
implied will be consistent with such forward-looking information.
Forward-looking information is necessarily based upon a number of
estimates and assumptions that, while considered reasonable by
Centerra, are inherently subject to significant political, business,
economic and competitive uncertainties and contingencies. Known and
unknown factors could cause actual results to differ materially from
those projected in the forward-looking information.  
Other factors that could cause actual results or events to differ
materially from current expectations include, among other things:
political risks in the Kyrgyz Republic, the Company's ability to
enforce its legal rights, the sensitivity of Centerra's business to
the volatility of gold and base metal prices; risks associated with
having a significant shareholder, and risks relating to Centerra
directors having conflicts of interests. There may be other factors
that cause results, assumptions, performance, achievements, prospects
or opportunities in future periods not to be as anticipated,
estimated or intended. See "Risk Factors" in the Company's most
recently filed Annual Information Form available on SEDAR at  
There can be no assurances that forward-looking information and
statements will prove to be accurate, as many factors and future
events, both known and unknown could cause actual results,
performance or achievements to vary or differ materially from the
results, performance or achievements that are or may be expressed or
implied by such forward-looking statements contained in this news
release. Accordingly, all such factors should be considered carefully
when making decisions with respect to Centerra, and prospective
investors should not place undue reliance on forward-looking
information. Forward-looking information is as of January 25, 2013.
Centerra assumes no obligation to update or revise forward-looking
information to reflect changes in assumptions, changes in
circumstances or any other events affecting such forward-looking
information, except as required by applicable law. 
About Centerra 
Centerra is a gold mining company focused on operating, developing,
exploring and acquiring gold properties primarily in Asia, the former
Soviet Union and other emerging markets worldwide. Centerra is a
leading North American-based gold producer and 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 and at SEDAR at
Centerra Gold Inc.
John W. Pearson
Vice President, Investor Relations
(416) 204-1241
Press spacebar to pause and continue. Press esc to stop.