CGAU - Kyrgyz state firm hits Centerra Gold with divestment plan

Centerra Gold ([[CGAU]] -4.2%) plunges after the Kyrgyz Republic state company that owns 26% of the shares of the Canadian miner says it plans to sell 19% of its holdings.Earlier this week, Centerra said the Kyrgyz parliament had passed a law that would allow the government to impose "external management" of its Kumtor gold mine if environmental laws were violated.Then, a Kyrgyz court ordered a $3.1B fine on Kumtor after ruling that the company violated environmental laws.Centerra says it believes the actions are a concerted effort to coerce it to give up economic value or ownership of Kumtor or to falsely justify a nationalization of the mine.Centerra shares began trading on the NYSE on April 15.

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Kyrgyz state firm hits Centerra Gold with divestment plan