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Information about negotiations of Kyrgyz officials with Centerra Gold classified

«We did not go to negotiations with Centerra Gold with white flags,» Dmitry Dolmatov, legal consultant of Kumtor Gold Company, told reporters today.

According to him, the negotiations were held in Switzerland at the Hotel President Wilson, Geneva. On the part of Kyrgyzstan, there were the Minister of Economy and Finance Akylbek Japarov, the Chairman of the State Committee for National Security Kamchybek Tashiev, external manager of Kumtor Tengiz Bolturuk and the Prosecutor General Kurmankul Zulushev.

Five lawyers also attended the negotiations: three from Arnold & Porter Kaye Scholer and two — from Kumtor Gold Company — Dmitry Dolmatov and Ayas Baetov. The delegation of the Canadian side included five people, their data were not disclosed.

«All data on the negotiations are initially completely classified. This is done in order to avoid the subsequent use of any information obtained by the parties in negotiations against the interests of the other party. The international practice of negotiation provides for signing of agreements on confidentiality regime, so that each party feels comfortable during the negotiations. We also signed such an agreement. This was specifically negotiated by the lawyers of Arnold & Porter Kaye Schole and by Sullivan & Cromwell. The documents were signed by all members of the delegation: from our side and from Centerra Gold,» Dmitry Dolmatov told.

At the same time, he noted that the negotiations concerned the Kumtor project only. Issues related to the activities of Kyrgyzaltyn OJSC, the company’s suspension from the Good Delivery List by the London Bullion Market Association (LBMA) and the proceedings with StoneX were not discussed.

«Centerra Gold President and CEO Scott Perry has come up with a lot of suggestions on a regular basis. He pointed out that the Canadian side is ready to negotiate. It was at the request of Centerra Gold that we agreed to them. Information about initiators of the meetings held on September 28-30, 2021 has not been disclosed,» the lawyer said.

He noted that the parties did not agree on the date of the next round of negotiations. «Perhaps, yes,» Dmitry Dolmatov replied to a question from journalists whether the negotiations would continue at all.

Earlier, the spokesman for the president Erbol Sultanbaev told reporters that the Kyrgyz side received a letter from the head of Centerra Scott Perry. He suggested holding negotiations on neutral territory «to consider all possible ways to resolve the current situation, including a scenario, as a result of which the Kyrgyz Republic will become the direct owner of Kumtor Gold Company.»

«The parties listened to mutual opinions. The Kyrgyz side is satisfied with the results of the negotiations and, if necessary, is ready to continue them, taking into account the national interests of the country,» the spokesman for the head of state said.

Earlier it became known that the New York Bankruptcy Court granted the motion of the subsidiaries of Centerra Gold Inc. Kumtor Gold Company (KGC) and Kumtor Operating Company (KOC) on the return of goods to suppliers with full refund.

It is also known that the London Bullion Market Association (LBMA) has suspended Kyrgyzaltyn JSC from the LBMA Good Delivery List for failing to meet the requirements of the Responsible Sourcing Programme.