CGAU - Centerra Gold -30% as new Kyrgyz law threatens control of Kumtor mine

Centerra Gold (CGAU) plummets to a 52-week low after Kyrgyz Republic's parliament passed a law allowing the government to temporarily take control of the Kumtor gold mine.The new law allows the government to take over the mine's management for up to three months if Kumtor "violates certain Kyrgyz laws relating to safety and thereby creates an immediate threat to the life or health of people."Centerra says Kumtor's environmental performance adheres to international standards, and that the Kyrgyz claims against it are "entirely meritless" and in violation of previous agreements.CIBC cites the Kyrgyz developments in downgrading shares to Underperform from Neutral, noting that Kumtor represents ~70% of Centerra's cash flow from operations in 2021.Centerra shares began trading on the NYSE on April 15.

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Centerra Gold -30% as new Kyrgyz law threatens control of Kumtor mine