Watch Live

Tweet TWEET

Centerra Falls After Report of Kyrgyz Mine Review: Toronto Mover

Centerra Gold Inc. (CG), the Canadian operator of the Kumtor mine in Kyrgyzstan, fell the most in seven months after saying the government wants to review its agreement to run the project and that it received a $315 million claim for alleged environmental damage.

Centerra tumbled 10 percent to C$6.84 at 10:51 a.m. in Toronto. The shares earlier dropped 13 percent, the most intraday since June 28.

The Toronto-based company said yesterday in a statement it is trying to get more information about media reports that the Kyrgyz parliament adopted a decree to begin talks on changes to project agreements related to Kumtor.

Centerra also said it received the environmental claim from the Kyrgyz State Agency for Environmental Protection and Forestry.

Centerra is “studying the claim but believes that the allegations contained in the claim are exaggerated or without merit,” the company said in the statement released after the close of regular trading in Toronto. “Centerra’s Kumtor project complies with Kyrgyz Republic laws on environmental, safety and health standards.”

To contact the reporter on this story: Christopher Donville in Vancouver at cjdonville@bloomberg.net

To contact the editor responsible for this story: Simon Casey at scasey4@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.