Centerra Gold Inc. (TSX:CG - News) announced today it has
entered into a US$150 million three-year revolving credit facility (the "Facility")
with the European Bank for Reconstruction and Development ("EBRD")
as sole lender. The interest rate payable on any outstanding borrowings is
LIBOR plus 2.9%.
The Facility is for general corporate
purposes, including working capital, investments and acquisitions and capital
expenditures to finance the development of the Company's existing properties
in the Kyrgyz Republic and Mongolia, and for future investments and
acquisitions in other EBRD countries of operation. Availability under the
Facility is subject to customary conditions precedent.
Stephen A. Lang, President and CEO of Centerra commented, "We are very pleased to enter
into this facility with EBRD. While Centerra has a
strong balance sheet and we generate significant operating cash flow, we feel
it is important to have the added financial flexibility which a corporate
revolving credit facility gives us. Our relationship with EBRD goes back some
15 years and we are delighted to continue to work with them to help finance
development in the regions we operate including further investment in the Kumtor mine together with its underground
development."
Cautionary Note Regarding
Forward-looking Information
This news release contains
forward-looking information. Such forward-looking information involves
numerous assumptions, risks, uncertainties and other factors that could cause
actual events to differ materially from those expressed or implied by such
forward-looking information. All information, other than statements of
historical fact, is forward-looking information. Forward-looking information
is necessarily based upon a number of estimates and assumptions that, while
considered reasonable by us, are inherently subject to significant 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. Centerra
disclaims any intention or obligation to update or revise any forward-looking
statements whether as a result of new information, future events or
otherwise, except to the extent required by applicable laws.
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, Canada.
Additional information
Additional information on Centerra is available on SEDAR at www.sedar.com
and the Company's website at www.centerragold.com.
Contact:
John W. Pearson
Centerra Gold Inc.
Vice President, Investor Relations
(416) 204-1241
john.pearson@centerragold.com
www.centerragold.com |