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Centerra Gold divests Mongolian assets for US$35M

Centerra Gold Inc. said Oct. 12 that it sold its Mongolian assets, including the Boroo gold mine and processing facility as well as the Gatsuurt gold project, to privately held OZD ASIA PTE. Ltd. for US$35 million.

Under the terms, OZD purchased all the outstanding shares and debt of Centerra Netherlands BVBA, which controls the company's Boroo Gold LLC and Centerra Gold Mongolia LLC subsidiaries.

OZD will retain a US$5 million payment received in September, and the additional US$5 million to be received by Centerra Gold Mongolia from Steppe Gold Ltd. related to the previous sale of the ATO project.

Centerra President and CEO Scott Perry said the sale will allow the company to focus on its development projects in other countries, including Canada and Turkey.