Centerra Gold brings additional claims against Kyrgyzstan over gold mine

Photo: Centerra Gold

Canadian miner Centerra Gold has brought addi-tional claims against the government of Kyrgyzstan in binding arbitra-tion and asserted claims against the state-run entity Kyrgyzaltyn in response to what the company describes as wrongful expropriation of the Kumtor open-pit gold mine.

 

“Among other relief, the company’s amended Notice of Arbitration seeks to hold the Kyrgyz government and Kyrgyzaltyn JSC responsi-ble for any and all losses and damages that result from their coordi-nated campaign to seize the gold mine in violation of longstanding investment agreements and without compensation to Centerra,” the miner said in a statement.

 

“The amended notice adds claims against Kyrgyzaltyn JSC, the gold refining monopoly in the Kyrgyz Republic and Centerra’s largest shareholder,” the statement said.

 

Earlier this year, Kyrgyzstan’s parliament passed a new law that is to allow the country’s government to impose external management on companies acting under concession agreements. The only project operating under such an agreement in the country is the Kumtor gold mine.

 

The gold mine is operated by Kumtor Gold Company, a subsidiary of Centerra Gold.