Centerra says Kyrgyz cabinet backs govt move to resolve Kumtor dispute

Centerra Gold

28/03/2022 12:47

March 28 (Reuters) - The Kyrgyz Republic's Cabinet of
Ministers has backed the government's decision to resolve a
dispute with Centerra Gold Inc  CG.TO  over the Kumtor gold
mine, the Canadian miner said on Monday, citing Kyrgyz news
media.
    While the cabinet has approved the government's decision to
finalize an agreement, negotiations on the exact terms are still
ongoing, the company said, cautioning that there is no guarantee
of any proposed deal being completed.
    Centerra in January laid out a framework for resolving the
dispute outside of court, after launching international
arbitration against the Kyrgyz government over the seizure of
its Kumtor mine in the country.  urn:newsml:reuters.com:*:nL4N2TJ1B5    
    Centerra in its January framework proposed the company
receive around 26.1% of its common stock held by Kyrgyzaltyn
JSC. It also said the state should assume all responsibility for
Centerra's two Kyrgyz subsidiaries as well as the Kumtor mine.  
 
    Last month, Kyrgyzstan had said it was in the final stages
of settling its dispute with Centerra.  urn:newsml:reuters.com:*:nL1N2UL0AP
    The Kyrgyz state in May last year took over the largest gold
mine in the country, alleging its operations posed a danger to
human lives and the environment. Centerra has denied all
allegations.  urn:newsml:reuters.com:*:nL8N2MU2Q2

 (Reporting by Ruhi Soni in Bengaluru;
Editing by Vinay Dwivedi)
 ((Ruhi.Soni@thomsonreuters.com;
Twitter: https://twitter.com/ruhithere;))