Centerra Gold Reports Third Quarter 2024 Results; Consistent Operating Performance Drives Continued Strong Cash Flow From Operations All figures are in United States dollars. All production figures reflect payable metal quantities and are on a 100% basis, unless
Centerra Gold Reports Third Quarter 2024 Results; Consistent Operating
Performance Drives Continued Strong Cash Flow From Operations
All figures are in United States dollars. All production figures reflect payable metal quantities and are on a 100% basis, unless
otherwise stated. For references denoted with NG, refer to the “Non-GAAP and Other Financial Measures” disclosure at the
end of this news release for a description of these measures.
TORONTO, Oct. 31, 2024 -- Centerra Gold Inc. (“Centerra” or the “Company”) (TSX: CG and NYSE: CGAU) today reported its
third quarter 2024 operating and financial results.
President and CEO, Paul Tomory, commented, “Centerra continues to deliver consistent operating performance and is on
track to meet our consolidated production and cost guidance for the year. We have benefited from margin expansion driven by
stable cost performance in an elevated metal price environment. As planned, we have returned to strong free cash flow
generation in the third quarter. Even after spending approximately $32 million on the restart of operations at the Thompson
Creek mine, we grew our cash and cash equivalents to $604 million at the end of the third quarter. We increased our share
buybacks in the third quarter to $12 million, and declared a quarterly dividend, delivering on our disciplined approach of
returning capital to shareholders.
“We continue to systematically execute on our strategic plan by working through the assets in our portfolio to unlock value. In
February, we announced an additional agreement with Royal Gold, which allowed us to extend the mine life at Mount Milligan
by two additional years and created the potential for future mine life extensions. In September, we announced the restart of
operations at Thompson Creek and a progressive ramp-up of production at Langeloth, to realize value in our Molybdenum
Business Unit. Looking ahead, we are progressing work at Mount Milligan on a preliminary economic assessment that is
expected to illustrate the future potential at the mine and is on track to be completed towards the end of the first half of 2025.
We also expect to publish an initial resource estimate at Goldfield in conjunction with our year-end reserve and resource
update, expected in early 2025. By continuing to execute on our strategic plan, we expect to create value and growth for our
shareholders and stakeholders,” concluded Mr. Tomory.
Third Quarter 2024 Highlights
Operations
• Production: Consolidated gold production of 93,712 ounces in the quarter, including 42,993 ounces from the Mount
Milligan Mine (“Mount Milligan”) and 50,719 ounces from the Öksüt Mine (“Öksüt”). Copper production in the quarter
was 13.7 million pounds. Year-to-date, consolidated gold and copper production was 294,880 ounces of gold and 41.6
million pounds of copper. Consolidated full year 2024 production guidance is unchanged at 370,000 to 410,000 ounces
of gold and 55 to 65 million pounds of copper.
• Sales: Third quarter 2024 gold sales were 96,736 ounces at an average realized gold price NG of $2,206 per ounce and
copper sales were 14.2 million pounds at an average realized copper price NG of $3.37 per pound. The average realized
gold and copper prices include the impact of the Mount Milligan streaming agreement with Royal Gold. Gold and copper
sales were 16% and 21% higher, respectively, compared to last quarter, mainly driven by the timing of shipments at
Mount Milligan.
• Costs: Consolidated gold production costs were $973 per ounce and all-in sustaining costs (“AISC”) on a by-product
basisNG were $1,302 per ounce for the quarter. Year-to-date, gold production costs were $860 per ounce and AISC on a
by-product basisNG were $1,103 per ounce. Consolidated full year 2024 cost guidance is unchanged. Consolidated gold
production costs are expected to be $800 to $900 per ounce and AISC on a by-product basis NG is expected to be
$1,075 to $1,175 per ounce.
• Capital expenditures NG: Additions to property, plant, and equipment (“PP&E”) and sustaining capital expenditures NG
in the quarter were $79.7 million and $35.3 million, respectively. Sustaining capital expenditures NG in the third quarter
2024 included construction at the tailings storage facility and equipment rebuilds at Mount Milligan, as well as
capitalized stripping and expansions at the heap leach pad and waste rock dump at Öksüt. Non-sustaining capital
expendituresNG in the third quarter were $25.2 million related mainly to the restart of operations at the Thompson Creek
mine (“Thompson Creek”).
Financial
• Net earnings: Third quarter 2024 net earnings were $28.8 million, or $0.14 per share, and adjusted net earnings NG
were $38.6 million or $0.19 per share. Adjustments to net earnings included $6.6 million of reclamation provision
revaluation recovery and $1.5 million of unrealized loss on the financial asset related to the additional agreement with
Royal Gold (the “Additional Royal Gold Agreement”). For additional adjustments refer to the “Non-GAAP and Other
Financial Measures” disclosure at the end of this news release.
• Cash provided by operating activities and free cash flow NG: In the third quarter 2024, cash provided by operating
activities was $103.6 million and free cash flow NG was $37.4 million. This includes $97.3 million of cash provided by
mine operations and $86.8 million of free cash flow NG at Öksüt; and $40.2 million of cash provided by mine operations
and $15.6 million of free cash flow NG at Mount Milligan. This is offset by cash used in operating activities and a free
cash flow deficitNG from Thompson Creek expenditures.
• Cash and cash equivalents: Total liquidity of $1,004.3 million as at September 30, 2024, comprising a cash balance
of $604.3 million and $400.0 million available under a corporate credit facility.
• Dividend: Quarterly dividend declared of C$0.07 per common share.
Other
• Share buybacks: Under Centerra’s normal course issuer bid (“NCIB”) program, the Company repurchased 1,741,800
common shares in the third quarter 2024, for the total consideration of $12.0 million. In the first nine months of 2024,
Centerra has returned $65 million to shareholders, including $32 million in share buybacks and $33 million in dividends.
• Thompson Creek feasibility study results and strategic plan for US Molybdenum Operations: In September
2024, Centerra announced a strategic, integrated business plan for its Molybdenum Business Unit (“MBU”) consisting
of a restart of Thompson Creek and a commercially optimized ramp up plan for the Langeloth Metallurgical Facility
(“Langeloth”), collectively the US Molybdenum Operations (“US Moly”). The US Moly business is expected to produce
an after-tax net present value (8%) (“NPV8%”) of $472 million. A key contributor to this value is Langeloth, which at full
capacity, integrated with Thompson Creek, has the potential to generate robust annual earnings before interest, taxes,
depreciation and amortization (“EBITDA”).
• Intention to renew normal course issuer bid (“NCIB”): Centerra believes its share price continues to be trading in a
price range that does not adequately reflect the value of its assets and future prospects. As a result, subject to the
approval of the Toronto Stock Exchange (“TSX”), Centerra intends to renew its NCIB to purchase for cancellation a
number of common shares in the capital of the Company (“Common Shares”), representing the greater of 5% of the
issued and outstanding Common Shares or 10% of the public float. As of October 31, 2024, Centerra had 211,337,985
issued and outstanding Common Shares.
Table 1 - Overview of Consolidated Financial and Operating Highlights
($millions, except as noted)
Three months ended
September 30,
Nine months ended
September 30,
2024 2023 % Change 2024 2023 % Change
Financial Highlights
Revenue 323.9 343.9 (6)% 912.1 754.9 21%
Production costs 183.4 186.8 (2)% 519.8 544.6 (5)%
Depreciation, depletion, and amortization ("DDA") 33.2 42.5 (22)% 93.9 84.4 11%
Earnings from mine operations 107.3 114.6 (6)% 298.4 125.9 137%
Net earnings (loss) 28.8 60.6 (52)% 132.9 (52.5) 353%
Adjusted net earnings (loss)(1) 38.6 44.4 (13)% 116.3 (50.7) 329%
Cash provided by (used in) operating activities 103.6 166.6 (38)% 205.6 100.2 105%
Free cash flow(1) 37.4 144.5 (74)% 91.6 49.2 86%
Additions to property, plant and equipment (“PP&E”) 79.7 25.0 219% 132.9 53.8 147%
Capital expenditures - total(1) 60.5 24.6 146% 113.6 51.9 119%
Sustaining capital expenditures(1) 35.3 23.5 50% 82.1 49.0 68%
Non-sustaining capital expenditures(1) 25.2 1.1 2191% 31.5 2.9 986%
Net earnings (loss) per common share - $/share basic(2) 0.14 0.28 (50)% 0.62 (0.24) 357%
Adjusted net earnings (loss) per common share - $/share basic
(1)(2) 0.19 0.21 (10)% 0.54 (0.23) 335%
Operating highlights
Gold produced (oz) 93,712 126,221 (26)% 294,880 221,058 33%
Gold sold (oz) 96,736 130,973 (26)% 284,307 218,118 30%
Average market gold price ($/oz) 2,474 1,929 28% 2,296 1,931 19%
Average realized gold price ($/oz )(3) 2,206 1,741 27% 2,040 1,642 24%
Copper produced (000s lbs) 13,693 15,026 (9)% 41,573 42,168 (1)%
Copper sold (000s lbs) 14,209 15,385 (8)% 41,536 43,548 (5)%
Average market copper price ($/lb) 4.18 3.79 10% 4.14 3.89 6%
Average realized copper price ($/lb)(3) 3.37 2.99 13% 3.39 3.01 13%
Molybdenum sold (000s lbs) 2,431 2,700 (10)% 8,054 9,077 (11)%
Average market molybdenum price ($/lb) 21.78 23.77 (8)% 21.17 26.05 (19)%
Average realized molybdenum price ($/lb)(3) 23.27 24.08 (3)% 21.90 25.71 (15)%
Unit costs
Gold production costs ($/oz) (4) 973 643 51% 860 820 5%
All-in sustaining costs on a by-product basis ($/oz) (1)(4) 1,302 827 57% 1,103 1,122 (2)%
All-in costs on a by-product basis ($/oz) (1)(4) 1,509 983 54% 1,299 1,471 (12)%
Gold - All-in sustaining costs on a co-product basis ($/oz) (1)(4) 1,401 858 63% 1,218 1,168 4%
Copper production costs ($/lb)(4) 1.99 2.30 (13)% 2.09 2.43 (14)%
Copper - All-in sustaining costs on a co-product basis ($/lb) (1)(4) 2.69 2.73 (1)% 2.61 2.78 (6)%
(1) Non-GAAP financial measure. See discussion under “Non-GAAP and Other Financial Measures”.
(2) As at September 30, 2024, the Company had 211,752,347 common shares issued and outstanding.
(3) This supplementary financial measure within the meaning of National Instrument 52-112 - Non-GAAP and Other Financial
Measures Disclosure (“NI 51-112”) is calculated as a ratio of revenue from the consolidated financial statements and
units of metal sold and includes the impact from the Mount Milligan Streaming Agreement, copper hedges and mark-to-
market adjustments on metal sold not yet finally settled.
(4) All per unit costs metrics are expressed on a metal sold basis.
2024 Outlook
The Company’s full year 2024 outlook, and comparative actual results for the nine months ended September 30, 2024 are set
out in the following table:
Units 2024
Guidance
Nine Months
Ended September
30, 2024
Production
Total gold production(1) (Koz) 370 - 410 295
Mount Milligan Mine(2)(3)(4) (Koz) 180 - 200 130
Öksüt Mine (Koz) 190 - 210 165
Total copper production(2)(3)(4) (Mlb) 55 - 65 42
Unit Costs(5)
Gold production costs (1) ($/oz) 800 - 900 860
Mount Milligan Mine(2) ($/oz) 950 - 1,050 1,062
Öksüt Mine ($/oz) 650 - 750 710
All-in sustaining costs on a by-product basis NG(1)(3)(4) ($/oz) 1,075 - 1,175 1,103
Mount Milligan Mine(4) ($/oz) 1,075 - 1,175 1,064
Öksüt Mine ($/oz) 900 - 1,000 946
Capital Expenditures
Additions to PP&E (1) ($M) 157 - 195 132.9
Mount Milligan Mine ($M) 55 - 65 46.8
Öksüt Mine ($M) 40 - 50 39.5
Total Capital ExpendituresNG(1) ($M) 157 - 195 113.6
Mount Milligan Mine ($M) 55 - 65 46.2
Öksüt Mine ($M) 40 - 50 30.6
Sustaining Capital ExpendituresNG(1) ($M) 101 - 127 82.1
Mount Milligan Mine ($M) 55 - 65 46.2
Öksüt Mine ($M) 40 - 50 30.6
Non-sustaining Capital ExpendituresNG(1) ($M) 56 - 68 31.5
Depreciation, depletion and amortization(1) ($M) 110 - 135 93.9
Mount Milligan Mine ($M) 60 - 70 51.4
Öksüt Mine ($M) 45 - 55 39.8
Income tax and BC mineral tax expense (1) ($M) 75 - 85 70.4
Mount Milligan Mine ($M) 1 - 5 2.8
Öksüt Mine ($M) 74 - 80 67.6
1. Consolidated Centerra figures.
2. The Mount Milligan Mine is subject to an arrangement with RGLD Gold AG and Royal Gold Inc. (together, “Royal Gold”)
which entitles Royal Gold to purchase 35% and 18.75% of gold and copper produced, respectively, and requires Royal
Gold to pay $435 per ounce of gold and 15% of the spot price per metric tonne of copper delivered (“Mount Milligan
Mine Streaming Agreement”). Using an assumed market gold price of $2,500 per ounce and a blended copper price of
$4.25 per pound for the fourth quarter of 2024, Mount Milligan Mine’s average realized gold and copper price for the
remaining three months of 2024 would be $1,777 per ounce and $3.57 per pound, respectively, compared to average
realized prices of $2,040 per ounce and $3.39 per pound in the nine-month period ended September 30, 2024, when
factoring in the Mount Milligan Streaming Agreement and concentrate refining and treatment costs. The blended copper
price of $4.25 per pound factors in copper hedges in place as of September 30, 2024.
3. Gold and copper production for the fourth quarter of the year at the Mount Milligan Mine assumes estimated recoveries
of 63% to 65% for gold and 75% to 77% for copper compared to actual recoveries for gold of 63.8% and for copper of
75.6% achieved in the first nine months of 2024. The Company estimates full year recoveries of 65% for gold and 77%
for copper.
4. Unit costs include a credit for forecasted copper sales treated as by-product for all-in sustaining costs NG and all-in
costs NG. Production for copper and gold reflects estimated metallurgical losses resulting from handling of the
concentrate and metal deductions levied by smelters.
5. Units noted as ($/oz) relate to gold ounces and ($/lb) relate to copper pounds.
Molybdenum Business Unit
(Expressed in millions of United States dollars) 2024 Guidance
Nine Months
Ended
September 30,
2024
Langeloth Facility
Loss from operationsNG(1) (5) - (15) (6.1)
DD&A Expense 5 - 10 2.8
Other non-cash adjustments — (1.8)
Cash (used in) provided by operations before changes in working capital (5) - 0 (5.1)
Changes in Working Capital (20) - 20 (0.6)
Cash (Used in) Provided by Operations (25) - 20 (5.7)
Sustaining Capital ExpendituresNG (5) - (10) (4.9)
Free Cash Flow (Deficit) from OperationsNG(2) (30) - 10 (10.6)
Thompson Creek Mine (2)
Project Evaluation Expenses(3) (21.1) (21.1)
Care and Maintenance Expenses - Cash (2.0) (2.0)
Other non-cash adjustments 0.1 0.1
Cash (used in) provided by operations before changes in working capital (23.0) (23.0)
Changes in Working Capital 3.4 3.4
Cash Used in Operations (19.6) (19.6)
Non-sustaining Capital ExpendituresNG (55) - (65) (28.9)
Free Cash Flow (Deficit) from OperationsNG (75) - (85) (48.5)
Endako Mine
Care and Maintenance Expenses (5) - (7) (3.7)
Reclamation Costs (15) - (18) (4.0)
Cash Used in Operations (20) - (25) (7.7)
1. Additions to PP&E calculations for calculating Free Cash Flow (Deficit) from Operations NG include only cash
expenditures for PP&E additions.
2. Reflects updated outlook range for the Thompson Creek Mine for the full year of 2024.
3. Project evaluation expenses are recognized as expense in the consolidated statements of earnings (loss).
Project Evaluation, Exploration, and Other Costs
(Expressed in millions of United States dollars) 2024 Guidance
Nine Months
Ended
September 30,
2024
Project Exploration and Evaluation Costs
Goldfield Project 9 - 13 5.7
Thompson Creek Mine(1) 21 - 27 21.1
Kemess Project 3 - 5 0.5
Total Project Evaluation Costs 33 - 45 27.3
Brownfield Exploration(2) 17 - 22 18.6
Greenfield and Generative Exploration 18 - 23 11.2
Total Exploration Costs(2) 35 - 45 29.8
Total Exploration and Project Evaluation Costs 68 - 90 57.1
Other Costs
Kemess Project Care & Maintenance 12 - 14 9.8
Corporate Administration Costs 37 - 42 30.7
Stock-based Compensation 8 - 10 6.0
Other Corporate Administration Costs 29 - 32 24.7
1. Thompson Creek Mine’s project evaluation costs updated revised outlook for the full year of 2024.
2. Total exploration costs include capitalized exploration costs at the Mount Milligan Mine of $1.5 million for the nine
months ended September 30, 2024..
Mount Milligan
Mount Milligan produced 42,993 ounces of gold and 13.7 million pounds of copper in the third quarter of 2024. In the first nine
months of 2024, Mount Milligan produced 129,919 ounces of gold and 41.6 million pounds of copper. Mining activities were
carried out in phases 5, 6, 7, and 9 with a total of 11.8 million tonnes mined in the third quarter of 2024. Process plant
throughput for the third quarter of 2024 was 5.6 million tonnes, averaging 58,520 tonnes per day. Gold sales were 45,968
ounces and copper sales were 14.2 million pounds in the third quarter, up 46% and 21% respectively, compared to last
quarter. The higher sales volumes were anticipated due to the timing of shipments. Metal production in the fourth quarter is
expected to be slightly higher compared to the previous nine months of 2024 due to higher projected mill throughput and higher
expected gold grades. The 2024 production guidance metrics at Mount Milligan remain unchanged at 180,000 to 200,000
ounces of gold and 55 to 65 million pounds of copper, with gold production trending towards the lower end of the range.
Gold production costs in the third quarter 2024 were $1,138 per ounce. AISC on a by-product basis NG was $1,318 per ounce,
higher than last quarter due to increased sustaining capital expenditures. In the first nine months of 2024, gold production
costs were $1,062 per ounce and AISC on a by-product basis NG was $1,064 per ounce. The Company expects AISC on a by-
product basis NG to be lower in the fourth quarter, compared to the second and third quarters, driven by higher expected sales
and lower expected sustaining capital expenditures. 2024 cost guidance metrics at Mount Milligan remain unchanged. Gold
production costs are expected to be $950 to $1,050 per ounce, and AISC on a by-product basis NG is expected to be $1,075 to
$1,175 per ounce. The Company expects AISC on a by-product basis NG at Mount Milligan to be at the lower end of the costs
guidance range.
In the third quarter 2024, sustaining capital expenditures NG at Mount Milligan were $24.7 million, focused on the tailings
storage facility dam construction and equipment rebuilds. Full year 2024 guidance for sustaining capital expenditures NG is
unchanged at $55 to $65 million.
In the third quarter of 2024, Mount Milligan generated solid cash flow from operations of $40.2 million and $15.6 million of free
cash flowNG.
The site-wide optimization program at Mount Milligan, initially launched in the fourth quarter 2023, continues to progress. This
program covers all aspects of the operation to maximize the potential of the orebody, setting up Mount Milligan for long-term
success to 2035 and beyond. Notable achievements in the first nine months of 2024 include an improved safety record,
increased availability and utilization of the haul fleet and consistent ore supply which has led to increased mill throughput per
operating day. As part of the optimization program, Mount Milligan is actively pursuing opportunities to reduce operating costs.
The Company continues to see productivity improvements in the load-haul cycle at the mine, as well as in the unit processing
costs. In the first nine months of 2024, milling costs were $5.56 per tonne processed, 12% lower than the first nine months of
last year.
In February 2024, Centerra announced that the Company has entered into the Additional Royal Gold Agreement relating to
Mount Milligan, which has resulted in a life of mine extension to 2035 and established favourable parameters for potential
future mine life extensions. Work is progressing on a preliminary economic assessment (“PEA”) to evaluate the substantial
mineral resources at the Mount Milligan mine with a goal to unlock additional value beyond its current 2035 mine life. The PEA
is expected to be completed towards the end of the first half of 2025.
Öksüt
Öksüt produced 50,719 ounces of gold in the third quarter of 2024, consistent with last quarter, and produced 164,961 ounces
of gold in the first nine months of 2024. Mining activities were focused on phase 5 and phase 4 of the Keltepe pit and in phase
2 of the Güneytepe pit. A total of 4.9 million tonnes were mined and 1.5 million tonnes were stacked at an average grade of
1.05 g/t. In the first nine months of 2024, Öksüt finished processing the excess gold inventory that it had accumulated in the
previous year, leading to elevated gold production levels. In the fourth quarter, substantially all gold production is expected from
lower grade areas of the mine. As a result, gold production in the fourth quarter is expected to contribute approximately 15%
to 20% of the annual gold production. The 2024 production guidance at Öksüt is unchanged and is expected to be 190,000 to
210,000 ounces of gold.
Gold production costs and AISC on a by-product basis NG for the third quarter 2024 at Öksüt were $829 per ounce and $1,092
per ounce, respectively. These costs were impacted by higher royalty expense in the quarter due to elevated gold prices. In
the first nine months of 2024, gold production costs were $710 per ounce and AISC on a by-product basis NG was $946 per
ounce. The Company expects AISC on a by-product basis NG to be the highest in the fourth quarter, compared to the first nine
months of 2024, driven by lower production due to lower expected grades. Öksüt’s gold production costs guidance and AISC
on a by-product basis NG guidance for 2024 is unchanged and is expected to be $650 to $750 per ounce, and $900 to $1,000
per ounce, respectively. However, AISC on a by-product basis NG could slightly exceed the guidance range due to higher
royalty costs driven by elevated gold prices. Centerra is seeing early indications of high inflation in Türkiye which is not being
fully offset by devaluation of the lira, unlike in the past few years. The Company is currently evaluating the potential impact this
could have on Öksüt’s cost structure moving forward.
In the third quarter 2024, sustaining capital expenditures at Öksüt were $10.5 million, focused on capitalized stripping, heap
leach pad expansion and waste rock dump expansion.
As expected, in the third quarter of 2024, Öksüt returned to generating strong cash flow from operations and free cash flow NG,
after making tax and annual royalty payments in the second quarter of 2024. In the third quarter, Öksüt generated $97.3
million of cash from mine operations and $86.8 million of free cash flowNG.
Molybdenum Business Unit
In the third quarter 2024, the MBU sold 2.4 million pounds of molybdenum, generating revenue of $60.4 million with an average
realized price of $23.27 per pound.
On September 12, 2024, Centerra announced the results from its Thompson Creek feasibility study, including a strategic,
integrated business plan for its MBU consisting of a restart of Thompson Creek and a commercially optimized plan for
Langeloth, collectively US Moly. The Company believes the decision will unlock significant value through the restart of
operations at Thompson Creek and a progressive ramp-up of production at Langeloth. When Thompson Creek begins
production, currently targeted for the second half of 2027, it will provide additional high-grade, high-quality feed to Langeloth,
enabling a ramp-up of production to more fully utilize Langeloth’s full annual capacity of 40 million pounds, while improving
operational flexibility to meet market demand. For additional details, please refer to the announcement entitled “Centerra Gold
Announces Thompson Creek Feasibility Study Results and Strategic Plan for US Molybdenum Operations, Including a
Restart of the Thompson Creek Mine and Ramp-up of Langeloth“, issued on September 12, 2024.
The initial capital investment to restart Thompson Creek is approximately $397 million. The capital required is significantly de-
risked due to an existing pit, significantly advanced rebuilds and purchases, and an existing process plant that requires
minimal upgrades and refurbishments. A majority of the anticipated capital expenditures are focused on capitalized stripping,
plant refurbishments and mine mobile fleet upgrades. At current metal prices, the capital investment to restart Thompson
Creek is expected to be funded largely from Centerra’s cash flow from operations.
In the third quarter and first nine months of 2024, non-sustaining capital expendituresNG at Thompson Creek were $25.2 million
and $25.8 million, respectively. Full year 2024 non-sustaining capital NG guidance at Thompson Creek is expected to be
approximately $55 million to $65 million. Spending in the fourth quarter of 2024 is expected to include capitalized stripping,
continued refurbishment of the existing mobile equipment fleet, acquisition of new mine mobile equipment, and initial
engineering work on the mill refurbishment.
Intention to Renew NCIB
Subject to the approval of the approval of the TSX, Centerra intends to proceed with a renewal of a NCIB to purchase for
cancellation a number of Common Shares representing the greater of 5% of the issued and outstanding Common Shares or
10% of the public float. As of October 31, 2024, Centerra had 211,337,985 issued and outstanding Common Shares.
Centerra believes that the Common Shares continue to be trading in a price range which does not adequately reflect the value
of such shares in relation to Centerra’s assets and its future prospects. As a result, Centerra believes that the NCIB will
provide the Company with a flexible tool to deploy a portion of its cash balance pursuant to its capital allocation framework to,
depending upon future Common Share price movements and other factors, purchase Common Shares for cancellation while
preserving its strong balance sheet position.
Centerra will file a notice of intention to renew a NCIB with the TSX and, subject to the approval of the TSX, Centerra may
purchase Common Shares under the NCIB over a twelve-month period. Once the NCIB is commenced, the exact timing and
amount of any purchases will depend on market conditions and other factors. Centerra will not be obligated to acquire any
Common Shares and may suspend or discontinue purchases under the NCIB at any time. Any purchases made under the
NCIB will be made at market price at the time of purchase through the facilities of the TSX and/or alternative Canadian trading
systems in accordance with applicable securities laws and stock exchange rules. The Company’s previous NCIB authorized
the purchase of up to 18,293,896 Common Shares and expires on November 6, 2024. During the period when that program
operated through October 30, 2024, a total of 5,783,100 Common Shares of the Company were repurchased through the
facilities of the TSX and alternative Canadian trading systems at a volume weighted average price of C$8.74 per Common
Share. Centerra intends to establish an automatic share purchase plan in connection with its renewed NCIB to facilitate the
purchase of Common Shares during times when Centerra would ordinarily not be permitted to purchase Common Shares due
to regulatory restrictions or self-imposed blackout periods. Before entering a black-out period, Centerra may, but is not
required to, instruct its designated broker to make purchases under the NCIB based on parameters set by Centerra in
accordance with the automatic share purchase plan, applicable securities laws and stock exchange rules.
Third Quarter 2024 Operating and Financial Results Webcast and Conference Call
Centerra invites you to join its 2024 third quarter conference call on Friday, November 1, 2024, at 9:00 a.m. Eastern Time.
Details for the webcast and conference call are included below.
Webcast
• Participants can access the webcast at the following webcast link.
• An archive of the webcast will be available until the end of day on February 1, 2025.
Conference Call
• Participants can register for the conference call at the following registration link. Upon registering, you will receive the
dial-in details and a unique PIN to access the call. This process will bypass the live operator and avoid the queue.
Registration will remain open until the end of the live conference call.
• Participants who prefer to dial in and speak with a live operator can access the call by dialing 1-844-763-8274 or 647-
484-8814. It is recommended that you call 10 minutes before the scheduled start time.
• After the call, an audio recording will be made available via telephone for one month, until the end of day December 1,
2024. The recording can be accessed by dialing 1-855-669-9658 or 412-317-0088 and using the access code 4219380.
In addition, the webcast will be archived on Centerra’s website at: www.centerragold.com/investors/webcasts.
• Presentation slides will be available on Centerra’s website at www.centerragold.com.
For detailed information on the results contained within this release, please refer to the Company’s Management’s Discussion
and Analysis ("MD&A") and financial statements for the quarter ended September 30, 2024, that are available on the
Company’s website www.centerragold.com or SEDAR+ at www.sedarplus.ca.
About Centerra
Centerra Gold Inc. is a Canadian-based mining company focused on operating, developing, exploring and acquiring gold and
copper properties in North America, Türkiye, and other markets worldwide. Centerra operates two mines: the Mount Milligan
Mine in British Columbia, Canada, and the Öksüt Mine in Türkiye. The Company also owns the Goldfield Project in Nevada,
United States, the Kemess Project in British Columbia, Canada, and owns and operates the Molybdenum Business Unit in
the United States and Canada. Centerra's shares trade on the Toronto Stock Exchange (“TSX”) under the symbol CG and on
the New York Stock Exchange (“NYSE”) under the symbol CGAU. The Company is based in Toronto, Ontario, Canada.
For more information:
Lisa Wilkinson
Vice President, Investor Relations & Corporate Communications
(416) 204-3780
Additional information on Centerra is available on the Company’s website at www.centerragold.com, on SEDAR+ at
www.sedarplus.ca and EDGAR at www.sec.gov/edgar.
Qualified Person
All scientific and technical information presented in this document has been prepared in accordance with the standards of the
Canadian Institute of Mining, Metallurgy and Petroleum and National Instrument 43-101 and has been reviewed, verified, and
compiled by Centerra’s geological and mining staff under the supervision of W. Paul Chawrun, Professional Engineer, member
of the Professional Engineers of Ontario (PEO) and Centerra’s Executive Vice President and Chief Operating Officer, the
qualified person for the purpose of National Instrument 43-101.
Caution Regarding Forward-Looking Information
This document contains or incorporates by reference “forward-looking statements” and “forward-looking information” as defined
under applicable Canadian and U.S. securities legislation. All statements, other than statements of historical fact, which
address events, results, outcomes or developments that the Company expects to occur are, or may be deemed to be, forward
-looking statements. Such forward-looking information involves 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. Forward-looking statements are generally, but not always, identified by the use of forward-looking terminology
such as “believe”, “continue”, “expect”, “evaluate”, “finalizing”, “forecast”, “goal”, “intend”, “ongoing”, “on track”, “plan”,
“potential”, “preliminary”, “project”, “pursuing”, “realize”, “restart”, “target” or “update”, or variations of such words and phrases
and similar expressions or statements that certain actions, events or results “may”, “could”, “would” or “will” be taken, occur or
be achieved or the negative connotation of such terms.
Such statements include, but may not be limited to: statements regarding 2024 guidance, outlook and expectations, including
production, cash flow, costs including care and maintenance and reclamation costs, capital expenditures, inflation,
depreciation, depletion and amortization, taxes and cash flows; exploration potential, budgets, focuses, programs, targets and
projected exploration results; gold and copper prices; the declaration, payment and sustainability of the Company’s dividends;
the continuation of the Company’s NCIB and automatic share purchase plan including the intention to renew the NCIB and the
timing, methods and quantity of any purchases of Common Shares under the NCIB; statements relating to the TSX's approval
of the NCIB; compliance with applicable laws and regulations pertaining to the NCIB; the availability of cash for repurchases
of Common Shares under the NCIB; the timing and amount of future benefits and obligations in connection with the Additional
Royal Gold Agreement; a Preliminary Economic Assessment at Mount Milligan Mine and any related evaluation of resources or
a life of mine beyond 2035; the integrated business plan of the Molybdenum Business Unit including the restart of the
Thompson Creek Mine and commercial optimization of the Langeloth Metallurgical Facility; an initial resource estimate at the
Goldfield Project including the success of exploration programs or metallurgical testwork; the Company’s strategic plan; the
optimization program at Mount Milligan including any further improvements to occupational health and safety, availability and
utilization of the haul fleet, mill throughput and any potential costs savings resulting from the same; the expected gold
production at Öksüt Mine in 2024; royalty rates and taxes, including withholding taxes related to repatriation of earnings from
Türkiye; project development costs at the Goldfield Project; financial hedges; and other statements that express
management’s expectations or estimates of future plans and performance, operational, geological or financial results,
estimates or amounts not yet determinable and assumptions of management.
The Company cautions that forward-looking statements are necessarily based upon a number of factors and assumptions
that, while considered reasonable by the Company at the time of making such statements, are inherently subject to
significant business, economic, technical, legal, political and competitive uncertainties and contingencies. Known and
unknown factors could cause actual results to differ materially from those projected in the forward-looking statements and
undue reliance should not be placed on such statements and information.
Risk factors that may affect the Company’s ability to achieve the expectations set forth in the forward-looking statements in
this document include, but are not limited to: (A) strategic, legal, planning and other risks, including: political risks associated
with the Company’s operations in Türkiye, the USA and Canada; resource nationalism including the management of external
stakeholder expectations; the impact of changes in, or to the more aggressive enforcement of, laws, regulations and
government practices, including unjustified civil or criminal action against the Company, its affiliates, or its current or former
employees; risks that community activism may result in increased contributory demands or business interruptions; the risks
related to outstanding litigation affecting the Company; the impact of any sanctions imposed by Canada, the United States or
other jurisdictions; 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; risks related to anti-corruption
legislation; Centerra not being able to replace mineral reserves; Indigenous claims and consultative issues relating to the
Company’s properties which are in proximity to Indigenous communities; and 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,
copper, molybdenum and other mineral prices; the use of provisionally-priced sales contracts for production at the Mount
Milligan Mine; reliance on a few key customers for the gold-copper concentrate at the Mount Milligan Mine; use of commodity
derivatives; the imprecision of the Company’s mineral reserves and resources estimates and the assumptions they rely on; the
accuracy of the Company’s production and cost estimates; persistent inflationary pressures on key input prices; the impact of
restrictive covenants in the Company’s credit facilities and in the Royal Gold Streaming Agreement which may, among other
things, restrict the Company from pursuing certain business activities. including paying dividends or repurchasing shares
under its normal course issuer bid, or making distributions from its subsidiaries; changes to tax regimes; the Company’s
ability to obtain future financing; sensitivity to fuel price volatility; the impact of global financial conditions; the impact of
currency fluctuations; the effect of market conditions on the Company’s short-term investments; the Company’s ability to
make payments, including any payments of principal and interest on the Company’s debt facilities, which depends on the cash
flow of its subsidiaries; the ability to obtain adequate insurance coverage; changes to taxation laws in the jurisdictions where
the Company operates and (C) risks related to operational matters and geotechnical issues and the Company’s continued
ability to successfully manage such matters, including: unanticipated ground and water conditions; the stability of the pit walls
at the Company’s operations leading to structural cave-ins, wall failures or rock-slides; the integrity of tailings storage facilities
and the management thereof, including as to stability, compliance with laws, regulations, licenses and permits, controlling
seepages and storage of water, where applicable; periodic interruptions due to inclement or hazardous weather conditions or
operating conditions and other force majeure events; the risk of having sufficient water to continue operations at the Mount
Milligan Mine and achieve expected mill throughput; changes to, or delays in the Company’s supply chain and transportation
routes, including cessation or disruption in rail and shipping networks, whether caused by decisions of third-party providers or
force majeure events (including, but not limited to: labour action, flooding, landslides, seismic activity, wildfires, earthquakes,
pandemics, or other global events such as wars); lower than expected ore grades or recovery rates; the success of the
Company’s future exploration and development activities, including the financial and political risks inherent in carrying out
exploration activities; inherent risks associated with the use of sodium cyanide in the mining operations; the adequacy of the
Company’s insurance to mitigate operational and corporate risks; mechanical breakdowns; the occurrence of any labour
unrest or disturbance and the ability of the Company to successfully renegotiate collective agreements when required; the risk
that Centerra’s workforce and operations may be exposed to widespread epidemic or pandemic; seismic activity, including
earthquakes; wildfires; long lead-times required for equipment and supplies given the remote location of some of the
Company’s operating properties and disruptions caused by global events; reliance on a limited number of suppliers for certain
consumables, equipment and components; the ability of the Company to address physical and transition risks from climate
change and sufficiently manage stakeholder expectations on climate-related issues; regulations regarding greenhouse gas
emissions and climate change; significant volatility of molybdenum prices resulting in material working capital changes and
unfavourable pressure on viability of the molybdenum business; the Company’s ability to accurately predict decommissioning
and reclamation costs and the assumptions they rely upon; the Company’s ability to attract and retain qualified personnel;
competition for mineral acquisition opportunities; risks associated with the conduct of joint ventures/partnerships; risk of
cyber incidents such as cybercrime, malware or ransomware, data breaches, fines and penalties; and, the Company’s ability
to manage its projects effectively and to mitigate the potential lack of availability of contractors, budget and timing overruns,
and project resources.
Additional risk factors and details with respect to risk factors that may affect the Company’s ability to achieve the