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Centerra Gold Receives Pastureland Permit for the Öksüt Project

Permits & Approvals

1 University Avenue, Suite 1500

Toronto, ON

M5J 2P1

tel 416-204-1953

fax 416-204-1954

www.centerragold.com

NEWS RELEASE

Centerra Gold Receives Pastureland Permit for the Öksüt Project

All figures are in United States dollars unless otherwise stated.

Toronto, Canada, January 11, 2018: Centerra Gold Inc. (TSX: CG) (“Centerra” or the “Company”)

announced today that its wholly-owned Turkish subs idiary, Öksüt Madencilik Sanayi ve Ticaret A.S.

(“OMAS”) has received approval of its pastureland permit for the Öksüt Pr oject located in central Turkey.

OMAS has also received notice from the Kayseri Di rectorate of Food, Agriculture and Livestock

(“Directorate”) for payment of the necessary “grass fee” (approximately US$4 million) and a refundable

deposit to the Directorate to commence the land deliver y process which converts the pastureland to industrial

usage land. It is expected that the land delivery process may take up to 45 days.

Scott Perry, Chief Executive Officer of Centerra stated , “Receiving our pastureland permit is a testament to

the perseverance of OMAS’s staff and their efforts to complete the permitting process for the project. Öksüt

is expected to be another of the Company’s low-cost operating sites, and the completion of the permitting

process has now paved the way for the project’s future development.”

Construction of the Öksüt Project is subject to Board approval, which the Company expects to obtain in late

February, at which time additional information will be provided regarding 2018 expenditures and timing.

Cautionary Note Regarding Forward-looking Information

Information contained in this news release and the docu ments referred to herein which are not statements of

historical facts, may be “forward-looking information” for the purposes of Canadian securities laws. Such

forward looking information involves risks, uncertainti es and other factors that could cause actual results,

performance, prospects and opportunities to differ ma terially from those expressed or implied by such

forward looking information. The words “believe”, “expect”, “envision”, “target”, “intends”, “estimate”,

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

statements relate to, among other things, the Compan y’s expectations to develop the Öksüt mine and the

related timing for such development and construction.

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

considered reasonable by Centerra, are inherently s ubject to significant political, business, economic and

competitive uncertainties and contingencies. There may be factors that cause results, assumptions,

performance, achievements, prospects or opportunities in future periods not to be as anticipated, estimated or

intended. These factors include: (A) changes in regulator y or legal procedures in Turkey with respect to the

pastureland land delivery process; resource nationalism in cluding the management of external stakeholder

expectations; the impact of changes in, or to the mo re aggressive enforcement of, laws, regulations and

government practices in Turkey; the impact of chang es to, the increased enforcemen t of, environmental laws

and regulations relating to the Comp any’s operations; potential defects of title in the Company’s properties

that are not known as of the date hereof; the inability of the Company and its subsidiaries to enforce their

legal rights in certain circumstances; potential risks related to kidnapping or acts of terrorism; (B) risks

relating to financial matters, including: sensitivity of the Company’s business to the volatility of gold prices,

the imprecision of the Company’s mineral reserves and resources estimates and the assumptions they rely on,

1 University Avenue, Suite 1500

Toronto, ON

M5J 2P1

tel 416-204-1953

fax 416-204-1954

www.centerragold.com

2

the accuracy of the Company’s production and cost estim ates, the impact of restrictive covenants in the

OMAS’s credit facility on OMAS’s operations, the Company’s ability to obtain future financing, the impact

of global financial conditions, the impact of currency fluctuations, the effect of market conditions on the

Company’s short-term investments, OMAS’s ability to extend the deadlines in its credit facility; OMAS’s

ability to draw under and make payments including an y payments of principal and interest on its credit

facility depends on the cash flow of OMAS; and (C ) risks related to operational matters, including the

Company’s ability to attract and retain qualified pers onnel; the Company’s ability to manage its projects

effectively and to mitigate the potential lack of avai lability of contractors, budget and timing overruns and

project resources, potential delays in the issuance of permits; potential opposition to the Öksüt Project by

local communities or civil groups related to concerns over water usage in competition with agriculture, water

quality, environmental impact from cyanide use in gold leaching, visual impacts, acoustic impacts, ambient

air impacts or failure of the company to agree to local demands; potential material increases in project

development or operation costs due to increases in key consumables, inflation, imposed demands for

infrastructure development or regulatory changes; the planning, design and costing of the key project

infrastructure such as power, water and access. See also “Risks that can affect our business” in the

Company’s most recently filed Annual Information Form, available on SEDAR at www.sedar.com.

There can be no assurances that forward-looking informa tion and statements will prove to be accurate, as

many factors and future events, both known an d unknown could cause actual results, performance or

achievements to vary or differ materially, from the resu lts, performance or achievements that are or may be

expressed or implied by such forward-looking statements contained herein or incorporated by reference.

Accordingly, all such factors should be considered care fully when making decisions with respect to Centerra,

and prospective investors should not place undue relian ce on forward-looking information. Forward-looking

information is as of January 11, 2018. Centerra assu mes no obligation to update or revise forward-looking

information to reflect changes in assumptions, changes in circumstances or any other events affecting such

forward looking information, except as required by applicable law.

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. Centerra operates two

flagship assets, the Kumtor Mine in the Kyrgyz Repu blic and the Mount Milligan Mine in British Columbia,

Canada 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 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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