investor presentation april 2018 tsx: cg ...1. all-in sustaining costs per ounce sold (aisc) is a...
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Investor PresentationApril 2018 TSX: CG
www.centerragold.com
Caution Regarding Forward-Looking Information
2
Information contained in this presentation which are not statements of historical facts, and the documents incorporated by reference herein, may be “forward-looking information” for the purposes of Canadian securities laws. Suchforward-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 lookinginformation. The words “believe”, “expect”, “anticipate”, “contemplate”, “plan”, “intends”, “continue”, “budget”, “estimate”, “may”, “will”, “schedule”, “understand” and similar expressions identify forward-looking information. Theseforward-looking statements relate to, among other things: the development activities at the Öksüt Project and the Kemess Project; further amendments of Mount Milligan’s Environmental Certificate; currency movements and hedgingtransactions; operational plans at Kumtor and Mount Milligan in 2018, including as to the expected restart of the Mount Milligan mill, the timing and outcomes of projects initiated at the Mount Milligan mine aimed at improving metalrecovery and other opportunities, the availability of water and consultations with regulatory and First Nations groups; discussions between GGM and First Nations groups regarding impact benefit agreements; the closing of the StrategicAgreement entered into with the Kyrgyz Republic Government and the related resolution of various civil and criminal cases in the Kyrgyz Republic which affect the Kumtor Project; the Company’s cash on hand, working capital, futurecash flows and existing credit facilities being sufficient to fund anticipated operating cash requirements; AMT refund; the resumption of negotiations with the Mongolian Government related to the Gatsuurt Project; the timing for receiptof proceeds from the sale of the ATO licenses; and statements found under the heading, “2018 Outlook”, including forecast 2018 production costs, capital and exploration expenditures and taxes.Forward-looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable by Centerra, are inherently subject to significant political, business, economic and competitiveuncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward looking information. Factors that could cause actual results or events to differ materiallyfrom current expectations include, among other things: (A) strategic, legal, planning and other risks, including: political risks associated with the Company’s operations in the Kyrgyz Republic and Canada; risks that any of the conditionsprecedent to the Strategic Agreement will not be satisfied in a timely manner or at all, particularly as the Government may not bind the General Prosecutor’s Office or the Parliament of the Kyrgyz Republic; a decision by the GeneralProsecutor’s Office, or its successor the Anti-Corruption Service of the State Committee for National Security, to re-open at any time civil or criminal proceedings against Centerra, its subsidiaries or other stakeholders; the failure of theGovernment to comply with its continuing obligations under the Strategic Agreement, including the requirement that it comply at all times with its obligations under the Kumtor Project Agreements, allow for the continued operation ofthe Kumtor Mine by KGC and KOC and not take any expropriatory action; actions by the Government or any state agency or the General Prosecutor's Office that serve to restrict or otherwise interfere with the payment of funds by KGCand KOC to Centerra; 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, includingwith respect to the environment, in the jurisdictions in which the Company operates including any delays or refusals to grant required permits and licenses, unjustified civil or criminal action against the Company, its affiliates or itscurrent or former employees; risks that community activism may result in increased contributory demands or business interruptions; the impact of any actions taken by the Kyrgyz Republic Government and Parliament relating to theKumtor Project Agreements which are inconsistent with the rights of Centerra and KGC under the Kumtor Project Agreements; any impact on the purported cancellation of Kumtor’s land use rights at the Kumtor Project; the risksrelated to other outstanding litigation affecting the Company’s operations in the Kyrgyz Republic and elsewhere; the impact of the delay by relevant government agencies to provide required approvals, expertises and permits; potentialimpact on the Kumtor Project of investigations by Kyrgyz Republic instrumentalities; the terms pursuant to which the Mongolian Government will participate in, or to take a special royalty rate in, the Gatsuurt Project; the impact ofconstitutional changes in Turkey; the impact of any sanctions imposed by Canada, the United States or other jurisdictions against various Russian individuals and entities; the ability of the Company to successfully negotiate agreementsfor the development of the Gatsuurt Project; 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 certaincircumstances; the presence of a significant shareholder that is a state-owned company of the Kyrgyz Republic; risks related to anti-corruption legislation; risks related to the concentration of assets in Central Asia; Centerra’s futureexploration and development activities not being successful; Centerra not being able to replace mineral reserves; Aboriginal claims and consultative issues relating to the Company’s properties which are in proximity to Aboriginalcommunities; 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 and other mineral prices, the use ofprovisionally-priced sales contracts for production at Mount Milligan, reliance on a few key customers for the gold-copper concentrate at Mount Milligan, use of commodity derivatives, the imprecision of the Company’s mineral reservesand resources estimates and the assumptions they rely on, the accuracy of the Company’s production and cost estimates, the impact of restrictive covenants in the Company’s credit facilities which may, among other things, restrict theCompany from pursuing certain business activities or making distributions from its subsidiaries, the Company’s ability to obtain future financing, the impact of global financial conditions, the impact of currency fluctuations, the effect ofmarket 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 depends on the cash flow of its subsidiaries; and(C) risks related to operational matters and geotechnical issues and the Company’s continued ability to successfully manage such matters, including the movement of the Davidov Glacier, waste and ice movement and continuedperformance of the buttress at the Kumtor Project; the occurrence of further ground movements at the Kumtor Project and mechanical availability; the ability of the Company to successfully re-start full mill processing operation atMount Milligan and achieve expected throughput; the success of the Company’s future exploration and development activities, including the financial and political risks inherent in carrying out exploration activities; inherent risksassociated with the use of sodium cyanide in the mining operations; the adequacy of the Company’s insurance to mitigate operational risks; mechanical breakdowns; the Company’s ability to replace its mineral reserves; the occurrenceof any labour unrest or disturbance and the ability of the Company to successfully re-negotiate collective agreements when required; the risk that Centerra’s workforce may be exposed to widespread epidemic; seismic activity in thevicinity of the Company’s properties; long lead times required for equipment and supplies given the remote location of some of the Company’s operating properties; reliance on a limited number of suppliers for certain consumables,equipment and components; illegal mining on the Company’s Mongolian properties; the Company’s ability to accurately predict decommissioning and reclamation costs; the Company’s ability to attract and retain qualified personnel;competition for mineral acquisition opportunities; and risks associated with the conduct of joint ventures/partnerships; the Company’s ability to manage its projects effectively and to mitigate the potential lack of availability ofcontractors, budget and timing overruns and project resources. See section titled “Risks that can affect our business” in the most recently filed Annual Information Form available on SEDAR at www.sedar.com.Furthermore, market price fluctuations in gold and copper, as well as increased capital or production costs or reduced recovery rates may render ore reserves containing lower grades of mineralization uneconomic and may ultimatelyresult in a restatement of reserves. The extent to which resources may ultimately be reclassified as proven or probable reserves is dependent upon the demonstration of their profitable recovery. Economic and technological factorswhich may change over time always influence the evaluation of reserves or resources. Centerra has not adjusted mineral resource figures in consideration of these risks and, therefore, Centerra can give no assurances that any mineralresource estimate will ultimately be reclassified as proven and probable reserves. Mineral resources are not mineral reserves, and do not have demonstrated economic viability, but do have reasonable prospects for economicextraction. Measured and indicated resources are sufficiently well defined to allow geological and grade continuity to be reasonably assumed and permit the application of technical and economic parameters in assessing the economicviability of the resource. Inferred resources are estimated on limited information not sufficient to verify geological and grade continuity or to allow technical and economic parameters to be applied. Inferred resources are toospeculative geologically to have economic considerations applied to them to enable them to be categorized as mineral reserves. There is no certainty that mineral resources of any category can be upgraded to mineral reservesthrough continued exploration.There can be no assurances that forward-looking information and statements will prove to be accurate, as many factors and future events, both known and unknown could cause actual results, performance or achievements to vary ordiffer materially, from the results, 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 beconsidered carefully when making decisions with respect to Centerra, and prospective investors should not place undue reliance on forward looking information. Forward-looking information is as of February 23, 2018. Centerraassumes 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.Except as otherwise noted herein, Gordon Reid, Professional Engineer and Centerra’s Vice President and Chief Operating Officer, has reviewed and approved the scientific and technical information contained in this presentation. Mr.Reid is a Qualified Person within the meaning of NI 43-101. For more information, please refer to the properties technical reports, which are available on SEDAR. All figures are in United States dollars unless otherwise stated.April 2018
1. All-in sustaining costs per ounce sold (AISC) is a non-GAAP measure discussed under “Non-GAAP Measures” in the Company’s MDA & news release Feb. 23, 2018. 2018e AISC: Kumtor $733 to $815/oz, Mount Milligan $806 to $888/oz. 2. Refer to Company’s news releases January 8, 11 and February 12, 2018.3. As at December 31, 2017.
Corporate Highlights
Internationally Diversified Gold Producer
Two Cornerstone Lower-Cost Quartile Assets
2017 Gold Production 785koz at AISC1 of $688 per ounce and 53.6M lbs of copper
January 2018, completed acquisition of AuRico Metals
2018 received Öksüt pastureland permit, board approval and commenced construction
Significant Operational Cash Flow Profile
Solid Late-Stage Development Pipeline
Cash Position of US$417MM3
Trading at a Discount to Peers, Potential for Re-Rating
Positive Retained Earnings of US$1,066MM3
Expected 2018 production of up to 715kozpa gold at AISC1
of $799 to $885 per ounce and 47 to 52M lbs of copper
3
Cash Reserves3 Profile (US$)
Consensus Asset NAV Breakdown
Centerra: Built For Success
0
400
800
1,200
1,600
2,000
0
200
400
600
800
1,000
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Gol
d Pr
ice
(US$
/oz)
US$
Mill
ions
Cumulative Dividends Cash Balance Gold Price3
April 2018
Canada53%Kyrgyz
Republic33%
Turkey9%
Mongolia2%
U.S.2%
Australia1%
$2952
$3353
Cash Reserves Undrawn Credit Facilities
US$630MM
4
Cash$542MM
Liquidity Profile February 2018 (US$MM’s)
Positive Net Cash Position1 (US$MM’s)
2017: Internally Funded Business (US$MM’s)
Retained Earnings Profile (US$)
0
400
800
1,200
1,600
2,000
0
200
400
600
800
1,000
1,200
1,400
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Gol
d Pr
ice
(US$
/oz)
US$
Mill
ions
Retained Earnings Cumulative Dividends Gold Price
Centerra: 2017 Corporate Update
409 127
188 209
98 417
0100200300400500600700800
2016 Cash Mt MilliganFCF
Kumtor FCF DebtRepayments
Other(Projects,G&A, etc)
2017 Cash
(96)
119
(125)(100)(75)(50)(25)
0255075
100125
2016 20171 Includes cash and cash equivalents, restricted cash and short-term investments at December 31, 2016 and at December 31, 2017. 2 Represents the Company’s cash position at December 31, 2017 of $417 million, less approximately $122 million of cash utilized as part of the acquisition of AuRico Metals Inc. on January 8, 2018. 3 A combination of the $150MM undrawn Öksüt credit facility as at December 31, 2017 and the $185MM undrawn amount from the new corporate credit facility, see news release February 1, 2018.April 2018
1 1
2 3
5
2017 All-In Sustaining Costs2 (US$/oz)
688
760 900 916 932
940 940 943 946 965 1,018
1,065 1,100
Centerra New Gold Eldorado YamanaGold
AcaciaMining
B2Gold AlamosGold
Semafo KinrossGold
SSR IAMGOLD DetourGold
TahoeResources
Mid-Point Gold Production (oz’s)
Mid-Point All-In Sustaining Costs2 (US$/oz)
2017 Guidance Highlights
Gold Production – 785,000 ounces exceeded original guidance, within revised guidance range
All-In Sustaining Costs2 – Outperformed low-end of revised guidance by 2%
April 2018
755,000 795,0001 785,000
250,000
350,000
450,000
550,000
650,000
750,000
Original Guidance Q3 Revised Actual
784
723 688
500
600
700
800
Original Guidance Q3 Revised Actual
Centerra: 2017 Actuals vs Guidance Revision
(1) On December 27, 2017, the Company announced gold production of approximately 225,000 ounces at Mount Milligan and approximately 560,000 ounces at Kumtor.(2) Non-GAAP measure and is discussed under “Non-GAAP Measures” in the Company’s MD&A and the news release February 23, 2018.
6
Mount Milligan
Kumtor
2017 Free Cash Flow(US$MM’s)(1)
Consensus Asset NAV(US$MM’s)
Mount Milligan
Kumtor
Öksüt
Gatsuurt
Greenstone
Royalty Portfolio
Kemess
Consensus Asset NAV
$127
$188
$1,001
$916
$256
$140
$290
$85
$40
Source: Centerra Gold, analyst estimates.(1) Mount Milligan and Kumtor free cash flow figures are non-GAAP measures discussed under “Non-GAAP Measures” in the Company’s MD&A and news release Feb. 23, 2018.(2) AuRico Metals Inc. acquisition closed January 8, 2018, royalty portfolio cash flow as of December 31, 2017.
Centerra: Asset Breakdown
April 2018
Royalty Portfolio(2)
$11
Mt. Milligan34%
Kumtor31%
Kemess 10%
Öksüt 8%
Other7%
Greenstone5%
Royalties3%
Langeloth1% Gatsuurt
1%
0
5
10
15
2016 2017A 2018E
High-Quality Free Cash Flowing Royalty Portfolio
Producing Royalty
Non-Producing Royalty
Canada
USA
Mexico
Australia
Fosterville2.0% NSR
(Kirkland Lake Gold)
Young-Davidson1.5% NSR(Alamos Gold)
Hemlo-Williams0.25% NSR(Barrick Gold)
Eagle River0.5% NSR(Wesdome Gold Mines)
Stawell1.0% NSR
(Kirkland Lake Gold)
GJ & GJ NorthernBlock1.0% & 0.5% NSRs(Skeena Resources)
4Producing Royalties
19Total
Royalties
4Countries
Top-Tier Assets
World-Class Mining
Jurisdictions
Valued Operating Partners
7
Royalty Revenue (US$MM’s)
$8.1
$11.5 - $12.7
April 2018
$11.1
8
2016 2017 2018E Guidance
Gold Production (koz) 205 223 195-215
Copper Production (Mlbs) 59 54 47-52
All-In Sustaining Costs(US$/oz)(1) $509 $505 $806-$888
Sustaining Capital ($MM)(1) NA $30 $44
Remaining reserve life (years) +20
Gold Copper
P&P Reserves(2) 5.1Moz 1,938Mlbs
Grade 0.3g/t 0.188%
Royal Gold Stream 35% @ US$435/oz
18.75% @ 15% of spot Cu price
2017 generated $127MM free cash flow(1)
20+ years of production from existing P&P reserves(2)
5.1M gold reserve ounces(2)
Low cost, long life production
Stable, mining-friendly jurisdiction
Tax loss pools, no cash taxes until 2022/2023
April 2018
Mount Milligan: Long Life, Low Cost Gold Copper Mine
Significant Gold and Copper ProductionSignificant Open Pit Gold and Copper Production
(1) Non-GAAP measure and is discussed under “Non-GAAP Measures” in the Company’s MD&A and news release February 23, 2018. 2016 AISC is for the period Oct.20 to Dec.31, 2016.(2) Refer to February 8, 2018 mineral reserves and resources news release.
205223
20559
5450
0
10
20
30
40
50
60
70
0
50
100
150
200
250
2016 2017 2018E 2016 2017 2018ECOPPER
Copp
er M
lbs
Gol
d ou
nces
000
’s
GOLD
170U/G miners
207U/G miners
240U/G miners
240U/G miners
2016 2017 2018EGuidance
Gold Production (koz) 551 563 450-500
All-In Sustaining Costs ($/oz) (1) $640 $698 $733-$815
Sustaining Capital ($MM)(1) $61 $61 $49
Growth Capital ($MM)(1) $15 $18 $14
Projected Asset Life (years) +8
Reserves(2) (Moz) 4.5
Au Grade (g/t) 2.4
Resources M&I(2) (Moz) 2.6
Au Grade (g/t) 2.8
World Class Cornerstone Asset Significant Open Pit Gold Production to 2026
YE target of 4,000tpd
2017 generated $188MM free cash flow(1)
21 years of uninterrupted profitable production
More than 4M ounces remaining in open pit reserves
Low cost, long life production
Underground opportunity (inferred 3.4Moz @ 7.3 g/t)2
Strong stable platform to grow Centerra
9April 2018
Kumtor: World Class Open Pit Gold Mine
(1) Non-GAAP measure and is discussed under “Non-GAAP Measures” in the Company’s MDA and news release February 23, 2018. (2) Refer to February 8, 2018 mineral reserves and resources news release.
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
200,000
350,000
500,000
650,000
2014 2015 2016 2017 2018 2019 2020 2021 2022
grad
e g/
t
Oun
ces
10
Mine Type Open Pit, Heap Leach
Avg. LOM Annual Production 110koz Au
Avg. LOM AISC(1) (US$/oz) $490
Reserve Mine Life 8 years
Development Capex (US$MM) $221
LOM Sustaining Capital (US$MM) $10
P&P Reserves(2)(Moz) 1.2
Au grade (g/t)(2) 1.3
Life of Mine Strip Ratio (w:o) 2:1
First Gold Pour Q1-2020
2015 Feasibility Highlights
EIA approval received in November 2015
Forestry Permit & GSM License received July 2016
Pastureland Permit received January 2018
Investment Incentive Certificate received February 2018
Construction commenced late-March 2018
Bought back Stratex and Teck royalties
US$150MM low-cost +5-year financing in-place
Main Access Road ConstructionCatalyst Schedule
Öksüt Gold Project
(1) Non-GAAP measure see “Non-GAAP Measures in the MDA and news release of February 23, 2018.(2) Refer to February 8, 2018 news release and Technical Report on Öksüt Gold Project dated September 3, 2015.April 2018
Öksüt: Funded High Margin Gold Production
Kemess: Site Layout – C$1Billion of Infrastructure
Fly-in, Fly-out Work Camp South Open Pit (Tailings Storage Facility)
Metallurgical Facility Kemess Underground & East Deposits
11April 2018
12
Expected Catalyst Schedule
Kemess Underground EA Approval Received – Q1 2017
First Nations IBA Received – Q2 2017
Kemess Underground Permit Application and Normal Course Permits
Anticipated – mid-2018
Mount Milligan
KemessProject Tsay Keh
Kwadacha(Fort Ware)
Dawson Creek
Prince GeorgePrinceRupert
Terrace SmithersFort St. James
TaklaLanding Mackenzie
Kemess Project
Omineca Resource Access RoadForest Service Road
Kemess: De-Risked Brownfield Project(1)
0 200
Kilometers
100
Endako
• Established mining jurisdiction
• Advanced-stage− EA Approved, IBA in hand, FS complete
• Low-risk brownfield development
• C$1 billion of existing infrastructure− 25,000 tpd mill, road, power, tailings, rail load-
out, camp, airstrip
• Sizeable resource1
− Kemess Underground(2): P&P of 1.9Moz gold and 0.6Blbs copper and M&I (including P&P) of 3.3Moz gold and 1.2Blbs copper
− Kemess East(3): M&I of 1.7Moz gold and 1.0Blbs copper
• Long life − 12 years at Kemess Underground plus a further
12 years at Kemess East
• Highly marketable clean concentrate
• Robust Kemess Underground economics with significant upside
April 2018
(1) Refer to National Instrument 43-101 technical report dated July 12, 2017 Technical Report for the Kemess Underground and Kemess East Project, British Columbia, Canada, available in the AuRico Metals filings on SEDAR. Kemess East Project (KE) preliminary economic assessment (PEA) is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized.
(2) Kemess Underground P&P reserves are estimated using a gold price of $1,200 per ounce, copper price of $2.50 per pound, an exchange rate of 1USD:1.33CAD and an NSR cut-off of C$17.30 per tonne. M&I resources are estimated using a gold price of $1,275 per ounce, copper price of $3.20 per pound, an exchange rate of 1USD:1.33CAD and an NSR cut-off of C$15.00 per tonne.
(3) Kemess East resources are estimated using a gold price of $1,275 per ounce, copper price of $3.20 per pound, an exchange rate of 1USD:1.32CAD and an NSR cut-off of C$17.30 per tonne.
13
Kemess Underground – 2016 Feasibility Highlights(1)
Mine Type Underground Block Cave
Avg. LOM Gold Production (koz) 106
Avg. LOM By-Product AISC (US$/oz)(2) $244
Reserve Mine Life (years) 12
Development Capex (C$MM)(3) $604
P&P Au Reserves (Moz)(4) 1.9
P&P Au Reserve Grade (g/t) 0.54
P&P Cu Reserves (Mlbs)(4) 629.6
P&P Cu Reserve Grade (%) 0.27%
After-tax NPV5% (C$MM) $258
Kemess East– 2017 PEA Highlights(1)
Mine Type Underground Panel Cave
Avg. LOM Gold Production (koz) 80
Avg. LOM By-Product AISC (US$/oz)(2) ($69)
Reserve Mine Life (years) 12
Development Capex (C$MM) $327
M&I Au Resource (Moz)(5) 1.7
M&I Au Grade (g/t) 0.46
M&I Cu Resource (Mlbs)(5) 954.0
M&I Cu Grade (%) 0.38%
After-tax NPV5% (C$MM) $375
Kemess: Large, Low-Cost Production
KE Gold and Copper Production(1)KUG Gold and Copper Production(1)
April 2018
--
20
40
60
80
--
40
80
120
160
Y-2 Y-1 Y1 Y2 Y3 Y4 Y5 Y6 Y7 Y8 Y9 Y10 Y11 Y12 Y13
Cop
per
(Mlb
s)
Gol
d (k
oz)
Project Schedule YearAu Cu
0
20
40
60
80
--
40
80
120
160
Y4 Y5 Y6 Y7 Y8 Y9 Y10 Y11 Y12 Y13 Y14 Y15 Y16 Y17
Cop
per
(M
lbs)
Gol
d (
koz)
Project Schedule YearAu Cu
(1) Refer to National Instrument 43-101 technical report dated July 12, 2017 Technical Report for the Kemess Underground and Kemess East Project, British Columbia, Canada, available in the AuRico Metals filings on SEDAR. A preliminary economic assessment (PEA) is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized.
(2) AISC is a Non-GAAP measure(3) Includes pre-commercial net revenue and capitalized pre-production operating expenditures.(4) Kemess Underground reserves are estimated using a gold price of $1,200 per ounce, copper price of $2.50 per pound, an exchange rate of 1USD:1.33CAD and an NSR cut-off of C$17.30 per tonne.(5) Kemess East resources are estimated using a gold price of $1,275 per ounce, copper price of $3.20 per pound, an exchange rate of 1USD:1.32CAD and an NSR cut-off of C$17.30 per tonne.
14
Kemess Timeline
Copper Outlook
10
15
20
25
2015 2018 2021 2024 2027 2030
Mt
Base Probable Projects Primary Demand
Large ~6Mtdeficit expected by 2030
Deficit
Source: Wood Mackenzie.
Kemess: Timeline – And Copper Outlook
April 2018
Federal and Provincial EA Approvals
KUG Impact Benefit Agreement Signed
Normal Course Permitting
Detailed Engineering
Access Corridor Development
Decline Development
Develop Panel Cave
First Production
202220172016 2018 2019 2020 2021
Centerra: Potential Upside Optionality - Molybdenum
15
Molybdenum Price Movement Thompson Creek Mine
Endako Mine
● Located in Idaho, is the world’s fourth largest open-pit primary
molybdenum mine
● Operations began in 1983, using conventional open-pit mining and a on-
site 25,500 tpd mill
● In December, 2014 placed on care and maintenance
● Endako Mine is a fully integrated molybdenum facility located in BC
● TCM is the operator and 75% owner; Sojitz owns 25%
● Endako consists of three adjoined pits and a fully integrated operation
with on-site mill and multiple hearth roasting facility
● New 55,000 tpd processing facility was completed in 2012 for~US$500MM
● In July 2015 placed on care and maintenance
Langeloth Metallurgical Facility
● Located 40 km west of Pittsburgh, Pennsylvania
● Operates both as a toll processor and as a purchaser of molybdenum
concentrates from third parties, producing a suite of premium
molybdenum products
● Cash flows from the Langeloth operations are expected to cover care and
maintenance expenses associated with the molybdenum mines
Historical Molybdenum Segment EBITDA(1)
$444
$126
$269 $265
$18
$126 $124
($21)
2008 2009 2010 2011 2012 2013 2014 2015
(US$MM)
(1) Prior to intersegment eliminations. Historical EBITDA not reported, therefore calculated based on historical segment disclosure.April 2018
4.00
5.00
6.00
7.00
8.00
9.00
10.00
11.00
12.00
13.00
14.00
Jul-16 Sep-16 Nov-16 Jan-17 Mar-17 May-17 Jul-17 Sep-17 Nov-17 Jan-18
$ U
SD p
er P
ound
$0
$250
$500
$750
$1,000
$1,250
$1,500
$1,750
$2,000
$2,250
$2,500
730 9,100 16,008 23,666 30,082 36,417 39,898 42,962
AIS
C, n
et (
US$
/oz
Au)
Cumulative Gold Production (koz Au)
75%
Centerra: Lower-Cost Asset Base
16
AISC Industry Curve (By-Product Basis)
100%50%25%0%
Kumtor(US$733-774/oz)
Centerra Gold(US$799-885/oz Au)
• Kemess Underground represents a potential fourth Centerra mine in the bottom quartile of global gold producers
• Royalty cash flow provides additional margin enhancement
Source: SNL Metals.Notes: Centerra AISC figures based on 2018 cost guidance, unless noted.1. Kemess Underground AISC based on LOM plan as per National Instrument 43-101 technical report dated July 12, 2017 for Kemess Underground and Kemess East available in the AuRico Metals filings on SEDAR2. Öksüt AISC based on LOM plan as per the NI 43-101 Technical Report On The Öksüt Gold Project, Turkey dated September 3, 2015
Mount Milligan(US$806-888/oz)
Öksüt(US$490/oz)(2)
Kemess Underground(US$244/oz)(1)
April 2018
TSX: CGwww.centerragold.com
Appendices
18
Mt. Milligan MineAu, CuCanada
Kumtor MineAuKyrgyz Republic
Greenstone Project (50%)AuCanada
Öksüt ProjectAuTurkey
Gatsuurt ProjectAuMongolia
Kemess Underground and East ProjectsAu, CuCanada
Operations
Development
Molybdenum Asset
Producing Royalty AssetsFosterville(2.0% NSR)AuAustralia
Hemlo-Williams(0.25% NSR)AuCanada
Eagle River (0.5% NSR)AuCanada
Young-Davidson (1.5% NSR)AuCanada
Centerra: High-Quality Producing and Growth Assets
April 2018
Centerra: Q4 & 2017 Corporate Update
19
Safety – “Work Safe : Home Safe” Program Rolled Out Across the Company
Achieved 2017 Gold Production of 785,316 Ounces and Copper Production of 53.6 Million Pounds including 562,749 Ounces at Kumtor and 222,567 Ounces at Mount Milligan
2017 All-In Sustaining Cost (AISC)1 of $688 per ounce, $17 per ounce lower than revised guidance; Kumtor AISC1 of $698 per ounce and Mount Milligan AISC1 of $505 per ounce
2017 Net Earnings $210MM or $0.72 Per Share; Q4 Net Earnings $130MM or $0.45 Per Share
2017 Adjusted Earnings1 $281MM or $0.96 Per Share; Q4 2017 Adjusted Earnings1 $109MM or $0.37 Per Share
Cash Provided by Operations of $501MM ($1.72 per share) in 2017; Q4 $170MM ($0.58 per share)
2017 Free Cash Flow1 Generation of $127 Million at Mount Milligan and $188 Million at Kumtor
Dec.31, 2017 Cash2 Position of $417 Million; Net Cash of $119 Million
Closed Acquisition of AuRico Metals Inc. on Jan.8, 2018
Received Öksüt Pastureland Permit in early 2018; expect to commence construction in April 2018
Restarted mill processing at Mount Milligan Feb.5, 2018 ramping up to 30,000 tpd1. Non-GAAP measure and is discussed under “Non-GAAP Measures” in the Company’s December 31, 2017 MD&A and news release February 23, 2018.2. Includes cash, cash equivalents, restricted cash and short-term investments at December 31, 2017.
April 2018
Centerra: Q4 & 2017 Operating Highlights
20
2017 gold production - Kumtor 562,749 ounces, Mount Milligan 222,567 ounces1
2017 copper production - Mount Milligan 53,596,000 pounds1
Kumtor received all the necessary permits and approvals for 2018 operations
2018 Company-wide guidance, 645,000 – 715,000 oz gold @ AISC3 $799 - $885/oz sold and47 – 52 Million pounds of payable copper
Suspended mill operations at Mt. Milligan late-December; restarted at partial capacity Feb.5, 2018
April 2018
Q4 2017 Q4 2016 2017 2016
Gold ounces produced(1)(2) 216,752 248,479 785,316 598,677
Copper produced (000’s payable lbs)(1)(2) 12,261 10,399 53,596 10,399
Mt. Milligan All-in Sustaining Costs/ounce sold(2)(3) $594 $509 $505 $509
Kumtor All-in Sustaining Costs/ounce sold(3) $526 $538 $698 $639Consolidated All-in Sustaining Costs on a by-product basis per ounce sold(1),(2),(3) $571 $586 $688 $682
Revenue from mining operations ($000)(2) $358,232 $305,723 $1,199,000 $757,723
1. Gold ounces and copper produced includes results from Mt. Milligan on a 100% basis.2. For the three months ended and year ended December 31, 2016, production, revenues and consolidated all-in sustaining cost per ounce includes Mt. Milligan beginning October 20, 2016.3. Non-GAAP measure and is discussed under “Non-GAAP Measures” in the Company’s MD&A and News Release dated February 23, 2018.
Mount Milligan: Update
21
Temporary suspension of mill processing operations late-December due to low water levels; Restarted milling at partial capacity Feb.5, 2018 ramping up to approximately 30,000 tpd; Second ball mill brought on line March 23, 2018 average approximately 40,000 tpd; Expect to return to full capacity after spring melt; 2nd half 2018 expect to average 55,000 tpd
Gold and copper recoveries continue to improve
Continue to focus on optimizing the mine and mill as well as implementing improved maintenance practices and systems to increase gold and copper recoveries and decrease unplanned downtime
April 2018
Mount Milligan: Exploration Targets
22April 2018
Mount Milligan: Resource Expansion Potential
April 2018
C. Paul Jago, a Member of the Engineers and Geoscientists British Columbia, is Centerra’s qualified person for the purpose of National Instrument 43-101.
23
Centerra: Q4 & 2017 Financial Highlights1
24April 2018
(in thousands, except ounces, per share amounts, and average realized price4)
Quarter Ended
Dec.31, 2017
Quarter Ended
Dec.31, 2016
Year EndedDec.31,
2017
Year EndedDec.31,
2016
Revenue(2) $358,232 $305,723 $1,199,028 $757,723
Total gold ounces sold(3) 242,228 225,996 792,466 580,496
Total copper pounds sold(3) (000’s) 13,105 9,467 59,719 9,467
Operating cash flow $170,384 $170,397 $500,896 $371,444
Operating cash flow per share, basic $0.58 $0.60 $1.72 $1.48
Net earnings $129,980 $63,628 $209,533 $151,538
Adjusted earnings(4) $108,700 $68,628 $281,000 $160,900
Adjusted earnings per share(4), basic $0.37 $0.24 $0.96 $0.64
Average realized gold price per ounce(3)(4) $1,197 $1,154 $1,171 $1,2331. U.S. dollars2. For the three months and year ended December 31, 2016 consolidated revenue excludes any revenue from Boroo and includes results from Mt. Milligan operations on a 100% basis
beginning October 20, 2016.3. 2016 numbers for gold ounces sold exclude any sales from the Boroo mine and includes gold and copper sales on a 100% basis from Mt. Milligan beginning October 20, 2016.4. Non-GAAP measure and is discussed under “Non-GAAP Measures” in the Company’s MD&A and News Release February 23, 2018.
Centerra: Q4 & 2017 Other Financial Highlights
25
Consolidated 2017 AISC1 of $688 per ounce; Outperform low-end of guidance by $17 per ounce
Q4, 2017 AISC1 of $526 per ounce at Kumtor and $594 per ounce at Mount Milligan
- Q4, 2017 sold all ounces which were temporarily held back at Kumtor in Q3, 2017 while Kyrgyzaltyn secured a new North American offtaker
- Kumtor received approximately $240 million in gold sales cash receipts in Q4, 2017
1 Non-GAAP measure and is discussed under “Non-GAAP Measures” in the Company’s MD&A and News Release dated February 23, 2018.
682688
47
355
11 70
500
550
600
650
700
750
800
$ /O
z so
ld
YTD Consolidated All-in Sustaining Costs (per ounce sold)1
586 571
10458
3 167
13
350
400
450
500
550
600
650
700
750
800
$ /O
z so
ld
Q4 Consolidated All-in Sustaining Costs (per ounce sold)1
April 2018
Centerra: Q4 & 2017 Other Financial Highlights
26
1 Non-GAAP measure and is discussed in theCompany’s MD&A and News Release dated February 23, 20182 Includes CAT finance leases ($32MM at December 31, 2017)
505470
447
334298
409
358
401
352
417
200
250
300
350
400
450
500
550
Dec31 2016 Mar31 2017 Jun30 2017 Sep30 2017 Dec31 2017
US$
Mill
ions
Total Debt Cash
Two High Cash Generating Mines - 2017 $562.9 Million cash provided from mine operating activities before changes in working capital1 and after capital expenditures of $311.6 Million(including $196.2 million from Kumtor and $115.4 million from Mount Milligan)
Debt repayments of $209 Million in 2017; $119 Million net cash at December 31, 2017
Cash balance at year-end of $417 Million
Restructured debt into $500MM credit facility Feb. 2018; $315MM drawn as of February 23, 2018
Debt Reduction
2
April 2018
27
Kemess Underground (Feasibility – 2016)(1)
• Reserves of 1.9Moz Au and 0.6Blbs Cu• LOM of 12 years at 106koz Au/p.a. and 47Mlbs/p.a. at
AISC(2) of $244/oz on a by-product basis • Environmental approvals and IBA received• Awaiting receipt of permit application
Kemess East (PEA – May 2017)(1)
• M&I resources of 1.7Moz and 1.0Blbs Cu• LOM of 12 years at 80koz Au/p.a. and 57Mlbs/p.a. at
AISC(2) of (US$69/oz) on a by-product basis
Kemess South (Past Producer: 1998 – 2011)
• ~C$1 billion of infrastructure in-place (including a 25,000 tpd mill, grid power, road, maintenance shop, etc.)
• Past production of 3.0Moz Au and 750Mlbs Cu− Brownfields opportunity significantly reduces risk
Kemess: Overview
April 2018
(1) Refer to National Instrument 43-101 technical report dated July 12, 2017 Technical Report for the Kemess Underground and Kemess East Project, British Columbia, Canada, available in the AuRico Metals filings on SEDAR. A preliminary economic assessment (PEA) is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized.
(2) AISC is a Non-GAAP measure.
28
2017 Feasibility Highlights(1)
In-Place 5ktpd Processing Facility (Boroo)Boroo’s Historical Cumulative Net Cash Generation (US$MM)
(100)
0
100
200
300
400
500
600
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
US$
Mill
ions
(1) See Gatsuurt Project Update in Company’s news release October 31, 2017 and technical report dated December 22, 2017.
The Gatsuurt Project is ~90 km north of Ulaanbaatar
April 2018
Gatsuurt: Gold Development Project
Mine Type Open Pit
Avg. LOM Annual Production 111koz Au
Avg. LOM AISC(1) (US$/oz) $870
Reserve Mine Life 10 years
LOM Development Capex (US$MM) $245
LOM Sustaining Capital (US$MM) $37
P&P Reserves(2)(Moz) 1.3
Au grade (g/t) 2.7
Life of Mine Recovery 84%
Life of Mine Strip Ratio (w:o) 4.7:1
NPV(5%) - after tax (US$MM) ~$39
Greenstone: One of Canada’s Largest Undeveloped Open Pit Gold Mines
29
Cornerstone Canadian Development Project
50:50 development partnership with Premier Gold
Open pit reserves(1) (100%) 4.7Moz Au @ 1.02 g/t
Historic gold production of 4.12M oz (~1934-1970)
Large land package covers 337km2, good infrastructure
Significant exploration and underground resource potential
Bankable feasibility study completed in November 2016
2017, final EIS/EA filed, mine permitting and IBA work underway
Ontario: Top Tier Mining Jurisdiction
Greenstone GoldProperty Greenstone Development Project
Location: Ontario, Canada
Geraldton
Beardmore
JellicoeBrookbank
HardrockViper
11
Beardmore – Geraldton Greenstone Belt +110 km
Brookbank Deposit
Hardrock Deposit
April 2018 (1) Technical Report on the Hardrock Project dated December 21, 2016.
30
Cornerstone Canadian Development Project
50:50 development partnership with Premier Gold
Open pit reserves(1) (100%) 4.7Moz Au @ 1.02 g/t
Historic gold production of 4.12M oz (~1934-1970)
Large land package covers 337km2, good infrastructure
Significant exploration and underground resource potential
2017 final EIS/EA filed, mine permitting and IBA work underway
Ontario: Top Tier Mining Jurisdiction
Greenstone GoldProperty Greenstone Development Project
Location: Ontario, Canada
April 2018
2016 Feasibility Highlights (100%)
Mine Type Open Pit, CIP Mill
Mill Throughput design 27,000 tpd
Avg. LOM Annual Production 288koz Au
Avg. LOM AISC(2) (US$/oz) $600
Reserve Mine Life 14.5 years
Development Capex (US$MM) $962
Sustaining Capital(2) (US$MM) $101
P&P Reserves(1)(Moz) 4.7
Au grade (g/t) 1.02
Life of Mine Recovery 90%
Life of Mine Strip Ratio (w:o) 3.87:1
NPV(5%) - after tax (US$MM) ~$545
Projected Gold Production (100%)
Greenstone: One of Canada’s Largest Undeveloped Open Pit Gold Mines
(1) See Technical Report on the Hardrock Project dated December 21, 2016. (2) Non-GAAP measure, see “Non-GAAP Measures” in Company’s MDA and news release February 23, 2018.
Fosterville (2.0% NSR)
Mine Operator Kirkland Lake Gold
Mine Type Underground
2018 Production Guidance 260-300koz Gold
P&P ReservesM&I (exclusive)Inferred
1,700koz @23.1 g/t2,150koz @ 4.8 g/t1,900koz @ 7.1 g/t
Highlights• 12-year operating history with strong track record• 2018 production guidance of 260-300k oz up from
2017 guidance of 250-260k oz.• Achieved annual production record of 263,845 ounces
in 2017.• Mineral reserves more than doubled at Fosterville with
an increase in reserve grade from 9.8 g/t Au to 23.1 g/t Au.
• In-mine and step-out exploration is focused on accelerating conversion in three production horizons in the Swan Zone (reserves of 1,160koz at 61.2 g/t Au)
31Source: Alamos Gold and Kirkland Lake Gold filings.
Young-Davidson (1.5% NSR)
Mine Operator Alamos Gold
Mine Type Underground
2018 Production Guidance 200-210koz Gold
P&P ReservesM&I (exclusive)Inferred
3,467koz @ 2.6 g/t1,361koz @ 3.2 g/t311koz @ 2.7 g/t
Highlights• 6-year operating history with strong track record• One of Canada’s largest underground mines• 14-year mine life based on year-end 2017 reserves• Large resource base and exploration potential to
support mine life extension• Achieved record gold production of 56.5koz ounces in
Q4/17 as the mine continues to ramp-up to 7,000 tpdthroughput in 2018, having averaged 6,600 tpd in 2017.
Centerra Royalty Portfolio: Cornerstone Royalty Assets
April 2018
32
Fosterville (2.0% NSR)
Mine Operator Kirkland Lake Gold
Mine Type Underground
2018 Production Guidance 260-300koz Gold
P&P ReservesM&I (exclusive)Inferred
1,700koz @ 23.1 g/t2,150koz @ 4.8 g/t1,900koz @ 7.1 g/t
Highlights• Achieved annual production record of 263,845 ounces in 2017.• Mineral reserves more than doubled at Fosterville with an
increase in reserve grade from 9.8 g/t Au to 23.1 g/t Au.
Young-Davidson (1.5% NSR)
Mine Operator Alamos Gold
Mine Type Underground
2018 Production Guidance 200-210koz Gold
P&P ReservesM&I (exclusive)Inferred
3,467koz @ 2.6 g/t1,361koz @ 3.2 g/t311koz @ 2.7 g/t
Highlights• One of Canada’s largest underground mines• 14-year mine life based on year-end 2017 reserves• Open at depth
Hemlo – Williams (0.25% NSR)
Mine Operator Barrick Gold
Mine Type Underground
2018 Production Guidance 200-220koz Gold
P&P ReservesM&I (exclusive)Inferred
1,774koz @ 2.21 g/t1,858koz @ 1.40 g/t442koz @ 2.78 g/t
Highlights• 73% increase in reserves announced in February 2017• Has been producing for 30+ consecutive years• Royalty only applicable on production from the Williams mine.
Eagle River (0.5% NSR)
Mine Operator: Wesdome Gold Mines
Mine Type Open Pit
2018 Production Guidance 55-59koz Gold
P&P ReservesInferred
344koz @ 9.2 g/t85koz @ 8.1 g/t
Highlights• Continuous production since 1995 (>1Moz)• Significant upside from continued exploration of identified ore
zones (incl. 300 Zone)
Centerra: Producing Royalties
April 2018
Source: Alamos Gold, Kirkland Lake Gold, Barrick Gold and Wesdome Gold Mines filings.
33
Asset Date Acquired(1)
Primary Metal Location NSR Rate Operator Notes
Boulevard Mar-17 Gold Yukon 1.00% Independence Gold Adjacent to Goldcorp’s Coffee project
Cumobabi Mar-17 Copper Mexico 0.50% Evrim Resources Under option to First Majestic Silver
East Timmins Mar-17 Gold Ontario 0.50% Kirkland Lake Gold
19 near-mine targets & 81 regional targets (claim progressing in court)
Eskay Creek Area Dec-16 Gold/Silver British Columbia 0.50% Eskay Mining Corp
Area surrounding past producing Eskay Creek mine and near to Brucejack and KSM
GJ / GJ Northern Block Dec-16 Gold/Copper British Columbia 0.98% / 0.49%
Skeena Resources
PEA released April 2017; M&I resources of 2.1Moz Au and 1.2Blbs Cu
Goodpaster Mar-17 Gold Alaska 1.00% MillrockResources Eligible for advanced royalty payments
Grizzly Sept-17 Copper/Gold British Columbia 1.00%International
Samuel Exploration
Located in BC’s Golden Triangle
Hemlo – David Bell Sept-15 Gold Ontario 1.50% Barrick Gold Historic operation – adjacent to Williams (on strike)
Leviathan Jul-15 Gold Australia 1.00% Kirkland Lake Gold Exploration stage
Madsen Area Dec-16 Gold Ontario 1.00% Frontline Gold Exploration stage
Mt. Dunn Mar-17 Copper/Gold British Columbia 2.00% MetallisResources Located in BC’s Golden Triangle
Rainy River Area Feb-17 Gold Ontario 0.75% Private Exploration stage
RDN Mar-17 Gold British Columbia 1.33% Aben Resources Located in BC’s Golden Triangle
Red Lake Area Mar-17 Gold Ontario 1.00% Frontline Gold Exploration stage
Stawell Jul-15 Gold Australia 1.00% Kirkland Lake Gold
Care & Maintenance / “operationally ready”; P&P of 132koz and M&I of 114koz
Source: AuRico Metals filings.(1) Date AuRico Metals acquired the royalty.
Centerra: Non-Producing Royalties
April 2018
Centerra: 2018 Guidance
34April 2018
2018 Production Guidance Units Kumtor Mount Milligan(1) CenterraGoldTotal Gold Payable Production(2) (Koz) 450 – 500 195 – 215 645 – 715CopperTotal Copper Payable Production(3) (Mlb) – 47 – 52 47 – 52
2018 All-in Sustaining Unit Costs (5) Kumtor Mount Milligan(1) Centerra(1)
Ounces sold forecast 450,000 – 500,000 195,000 – 215,000 645,000-715,000All-in sustaining costs on a by-product basis(2), (5) $733 – $815 $806 – $888 $799 – $885
Revenue-based tax(3) and taxes(3) 171 – 190 19 – 21 125 – 139All-in sustaining costs on a by-product basis including taxes (1), (4), (5) $904 – $1,005 $825 – $909 $924 – $1,024
Gold - All-in sustaining costs on a co-product basis ($/ounce) (1),(5) $733 – $815 $847 – $932 $812 – $900Copper - All-in sustaining costs on a co-product basis ($/pound) (1),(5) – $1.90 – $2.10 $1.90 – $2.10
Capital Expenditures2018 Sustaining Capital(5)
($ millions)2018 Growth Capital(5)
($ millions)Kumtor Mine 49 14Mount Milligan Mine 44 -Öksüt Project - 82
Kemess Underground Project - 36
Greenstone Gold Property - 10Other (Thompson Creek mine, Endako mine (75%),Langeloth facility and Corporate)
7 -
Consolidated Total $100 $1421) Mount Milligan payable production and ounces sold are on a 100% basis (the Mount Milligan Streaming Arrangement entitles Royal Gold to 35% and 18.75% of gold and copper sales, respectively and Royal Gold will pay $435 per ounce of gold delivered and 15% of the spot price per metric tonne of copper delivered). The copper sales are based on a copper price assumption of $2.90 per pound sold for Centerra’s 81.25% share of copper production and the remaining 18.75% of copper revenue at $0.435 per pound (15% of spot price, assuming spot at $2.90 per pound), representing the Mount Milligan Streaming Arrangement. Payable production for copper and gold reflects estimated metallurgical losses resulting from handling of the concentrate and payable metal deductions, subject to metal content, levied by smelters. 2) Gold production assumes 79% recovery at Kumtor and 61% recovery at Mount Milligan.3) Copper production assumes 79% recovery for copper at Mount Milligan. 4) Includes revenue-based tax at Kumtor and the British Columbia mineral tax at Mount Milligan based on a forecast gold price assumption of $1,275 per ounce sold 5) Non-GAAP measures and are discussed under “Non-GAAP Measures” in the MD&A and news release of February 23, 2018
1 Gold and copper price sensitivities include the impact of the hedging program set up in order to mitigate gold and copper price risks.2 Appreciation of currency against the U.S. dollar will result in higher costs and lower cash flow and earnings, depreciation of currency against the U.S. dollar results in decreased costs and increased cash flow and earnings. 3 All-in sustaining costs per ounce sold (“AISC”) on a by-product basis is a non-GAAP measure discussed under “Non-GAAP Measures” in the Company’s news release February 23, 2018.
Centerra: 2018 Guidance Sensitivities
35
Material Assumptions and Risks1
Material assumptions or factors used to forecast production and costs for 2018 include the following:• a gold price of $1,275 per ounce,• a copper price of $2.90 per pound,• exchange rates:
• $1USD:$1.25 CAD,• $1USD:71.0 Kyrgyz som,• $1USD:3.5 Turkish lira,• $1USD:0.84 Euro,
• diesel fuel price assumption: • $0.45/litre at Kumtor,• $0.69/litre at Mount Milligan.
April 2018
Change
Impact on($ millions)
Impact on ($ per ounce sold)
Costs Revenues Cash flows Net Earnings (after tax)
AISC(3) on by-product basis
Gold price(1) $50/oz 3.2 – 3.7 22.0 – 25.2 18.8 – 21.5 18.8 – 21.5 0 - 1
Copper price(1) 10% 1.9 – 2.3 6.6 – 7.9 4.7 – 5.6 4.7 – 5.6 10 – 11
Diesel fuel 10% 4.5 - 5.0 - 6.0 - 7.0 4.5 - 5.0 9 – 10
Kyrgyz som(2) 1 som 1.0 - 2.0 - 1.0 - 2.0 1.0 - 2.0 1 - 2
Canadian dollar(2) 10 cents 30.0 - 32.0 - 30.0 - 32.0 25.0 - 27.0 35 – 40
1 Other material assumptions and risks are discussed under “Material Assumptions and Risks” in the Company’s MD&A and news release February 23, 2018.
Centerra: Mineral Reserves - Proven & Probable1
Proven and Probable Gold Mineral Reserves Increase to 16.3 million ounces
Proven and Probable Copper Mineral Reserves are 2,568 million pounds
Copper Mineral Reserves
Proven Probable Total Proven and Probable
Property Tonnes Grade Contained Tonnes Grade Contained Tonnes Grade Contained(kt) (%) Copper (Mlbs) (kt) (%) Copper (Mlbs) (kt) (%) Copper (Mlbs)
Mount Milligan 236,533 0.187 974 231,405 0.189 964 467,939 0.188 1,938Kemess Underground - - - 107,381 0.266 630 107,381 0.266 630
Total 236,533 0.187 974 338,786 0.213 1,594 575,320 0.202 2,568April 2018 361) As at December 31, 2017, includes Kemess Project following the completion of the AuRico Metals acquisition, see Mineral Reserves and Resources News Release February 8, 2018.
Gold Mineral Reserves
Proven Probable Total Proven and Probable
Property Tonnes(kt)
Grade(g/t)
ContainedGold (koz)
Tonnes(kt)
Grade(g/t)
ContainedGold (koz)
Tonnes(kt)
Grade(g/t)
ContainedGold (koz)
Mount Milligan 236,533 0.4 2,996 231,405 0.3 2,141 467,939 0.3 5,138
Kumtor 10,278 1.5 490 46,849 2.7 3,999 496,209 2.4 4,489
Öksüt - - - 28,163 1.3 1,187 28,163 1.3 1,187
Gatsuurt - - - 15,356 2.7 1,316 15,356 2.7 1,316
Hardrock Open Pit - - - 70,858 1.0 2,324 70,858 1.0 2,324Kemess Underground - - - 107,381 0.5 1,868 107,381 0.5 1,868
Total 246,812 0.4 3,486 500,012 0.8 12,835 746,824 0.7 16,321
Centerra: Investor Relations Highlights
37
Research Coverage
Brokerage Firms Rating Target
1. BMO Capital Markets Buy C$10.00
2. BofA Merrill Lynch Neutral C$8.25
3. Canaccord Genuity Hold C$7.00
4. CIBC World Markets Hold C$9.00
5. Cormark Securities Buy C$11.50
6. Credit Suisse Outperform C$8.50
7. Global Mining Research Speculative Buy C$10.70
8. Macquarie Capital Markets Outperform C$11.00
9. National Bank Financial Outperform C$10.75
10. RBC Capital Markets Sector Perform C$9.00
11. Scotiabank Outperform C$9.00
12. TD Securities Hold C$7.50
Average C$9.35
Top Ten (10) Institutional Shareholders
Institution/Firm Q1-2018
1. Blackrock 12.00%
2. Van Eck Associates 8.64%
3. Paulson & Co 7.80%
4. Dimensional Fund Advisors 3.32%
5. Franklin Advisors 2.22%
6. Vanguard Group 1.57%
7. Kopernik Global 1.47%
8. BMO Asset Management 1.27%
9. USAA 1.20%
10. Heartland Advisors 1.03%
TOTAL 40.52%
April 2018
Board of Directors Background
STEPHEN A. LANG Chairman Appointed Director of Centerra’s Board, June 2008
BRUCE V. WALTER Vice Chair Appointed Director of Centerra’s Board, May 2008
SCOTT G. PERRY Director Appointed Director of Centerra’s Board, January 2016
RICHARD W. CONNOR Director Appointed Director of Centerra’s Board, June 2012
EDUARD KUBATOV Director Appointed Director of Centerra’s Board, March 2016
NURLAN KYSHTOBAEV Director Appointed Director of Centerra’s Board, May 2016
MICHAEL S. PARRETT Director Appointed Director of Centerra’s Board, May 2014
JACQUES PERRON Director Appointed Director of Centerra’s Board, October 2016
SHERYL K. PRESSLER Director Appointed Director of Centerra’s Board, May 2008
TERRY V. ROGERS Director Appointed Director of Centerra’s Board, February 2003
BEKTUR SAGYNOV Director Appointed Director of Centerra’s Board, March 2016
Centerra: Directors
38April 2018
TSX: CGwww.centerragold.com