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Centerra Gold Provides Update on Strategic Agreement with the Kyrgyz Republic

Corporate Updates

1 University Avenue, Suite 1500

Toronto, ON

M5J 2P1

tel 416-204-1953

fax 416-204-1954

www.centerragold.com

NEWS RELEASE

Centerra Gold Provides Update on Strategic Agreement with the Kyrgyz Republic

TORONTO, CANADA – January 29, 2019 – Centerra Gold Inc. (TSX: CG) (“Centerra”) announced

today that it has agreed with the Government of the Kyrgyz Republic to further extend the First Longstop

Date under the Strategic Agreement for Environmental Protection and Investment Promotion (“Strategic

Agreement”) previously entered into with the Government of the Kyrgyz Republic on September 11, 2017.

The First Longstop Date is the date by which all conditions precedent to the completion of the Strategic

Agreement are required to be satisfied and it has been further extended by agreement of all the parties from

January 31, 2019 to May 31, 2019.

The Company and the Government have made significant progress in satisfying the remaining conditions

precedent to completion of the Strategic Agreement, including the re -issuance of Kumtor’s land use

certificates and the resolution of a tax claim affecting Kumtor. While the Company had expected that all

relevant conditions precedent to completion would be satisfied prior to January 31, 2019, the Government has

requested an extension to May 31, 2019 and the Company has agreed to the Government’s request. Th e

Company will continue to pursue completion as soon as possible.

Cautionary Note Regarding Forward-looking Information

Information contained in this news release which is not a statement of historical fact may be “forward-looking

information” for the purposes of Canadian securities laws. Such forward-looking information involves

assumptions, risks, uncertainties and other factors that could cause actual results, performance, prospects and

opportunities to differ materially from those expressed or implied by such forward looking information. The

words “believe”, “expect”, “anticipate”, “contemplate”, “plan”, “intends”, “continue”, “budget”, “estimate”,

“may”, “will”, “schedule”, “understand” and similar expressions identify forward-looking information. These

forward-looking statements relate to, among other things: the Company’s expectations regarding its future

discussions with the Government of the Kyrgyz Republic to reach completion of the Strategic Agreement.

Forward-looking information is necessarily based upon a number of estimates and assumptions that, while

considered reasonable by Centerra, are inherently subject to significant political, 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. Factors that could cause actual results or

events to differ materially from current expectations include, among other things: risks that any of the

conditions precedent to the Strategic Agreement will not be satisfied in a timely manner or at all, particularly

as the Government may not bind the General Prosecutor’s Office or the Parliament of the Kyrgyz Republic; a

decision by the General Prosecutor’s Office, or its successor the Anti-Corruption Service of the State

Committee for National Security, to re-open at any time civil or criminal proceedings against Centerra, its

subsidiaries or other stakeholders; the failure of the Government to comply with its continuing obligations

under the Strategic Agreement, including the requirement that it comply at all times with its obligations under

the 2009 Kumtor Project Agreements, allow for the continued operation of the Kumtor Mine by Kumtor Gold

Company (KGC) and Kumtor Operating Company (KOC) and not take any expropriatory action; actions by

the Government or any state agency or the General Prosecutor's Office that serve to restrict or otherwise

interfere with the payment of funds by KGC and KOC to Centerra. See section titled “Risks that can affect

1 University Avenue, Suite 1500

Toronto, ON

M5J 2P1

tel 416-204-1953

fax 416-204-1954

www.centerragold.com

2

our business” in the Company’s most recently filed Annual Information Form available on SEDAR at

www.sedar.com.

About Centerra

Centerra Gold Inc. is a Canadian-based gold mining company focused on operating, developing, exploring

and acquiring gold properties in North America, Asia and other markets worldwide and is the largest Western-

based gold producer in Central Asia. Centerra operates two flagship assets, the Kumtor Mine in the Kyrgyz

Republic and the Mount Milligan Mine in British Columbia, Canada and is building its next gold mine,

the 100% owned Öksüt Gold Mine in Turkey. Centerra's shares trade on the Toronto Stock Exchange (TSX)

under the symbol CG. The Company is based in Toronto, Ontario, Canada.

For more information:

John W. Pearson

Vice President, Investor Relations

(416) 204-1953

[email protected]

Additional information on Centerra is available on the Company’s web site at www.centerragold.com and

at SEDAR at www.sedar.com.

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