Centerra Gold announces additional agreement with RGLD Gold AG

Centerra Gold announced that the Company and its subsidiary, Thompson Creek Metals Company, or TCM, have entered into an additional agreement with RGLD Gold AG, a subsidiary of Royal Gold, relating to the Mount Milligan Mine which has resulted in a life of mine extension to 2035 and establishes favourable parameters for potential future mine life extensions. All dollar figures are in United States dollars unless otherwise stated. President and CEO, Paul Tomory, commented, “We are pleased to announce a mutually beneficial additional agreement with Royal Gold, which has allowed us to immediately unlock additional reserves beyond the current mine life. Extending Mount Milligan’s mine life by two years is a key first step in our strategy to realize the full potential of this cornerstone asset in a top-tier mining jurisdiction. Our strategy to further increase mine life at Mount Milligan has three prongs. First, we are immediately initiating a Preliminary Economic Assessment to study the incorporation of the significant drilled inventory to the west of the existing pit, and to evaluate options for capital projects in the mine and the mill that could lead to further mine life extensions, and will soon be starting the associated work on permitting and engagement with our First Nations partners and local stakeholders. Second, we will continue to invest in exploration drilling to unlock the large mineral endowment at Mount Milligan. Finally, we are continuing to advance a site optimization program at Mount Milligan, which began in the Q4, with a focus on enhanced safety performance and cash flow improvement. We are encouraged by today’s announcement and the prospects for continued optimization at Mount Milligan, which will benefit our shareholders, our partner Royal Gold, and Mount Milligan’s First Nations partners, employees and local stakeholders.”