- Centerra will probably lose the Kumtor mine for good, but it doesn't mean that it won't get at least partial compensation.
- Even without Kumtor, Centerra should generate a cash flow of around $500 million next year if the current metals prices prevail.
- At a market capitalization of $2.05 billion and enterprise value of $1.12 billion, Centerra is very cheap.
- Further upside is provided by the potential restart of Molybdenum mines, development of the Kemess projects, and favorable ruling in the arbitration against Kyrgyzstan and Kyrgyzaltyn.
For further details see:
Centerra Gold: The Kyrgyz Fiasco Generates Buying Opportunity