Canadian miner opposed in Kyrgyzstan

Nationalists threaten to return to the streets to topple another government unless it expropriates the Centerra’s Kumtor gold mine

The Guardian (UK)

In an impoverished young nation with a habit of overthrowing its rulers, the future now balances on a mountain of gold at the top of the world, where the air is so thin collapsing visitors may be rushed to a pressure chamber for oxygen.

After two revolutions in eight years, nationalists in Kyrgyzstan are threatening to return to the streets to topple another government unless it expropriates the Kumtor gold mine, a treasure they say was sold off too cheaply to foreigners.

Parliament in the remote ex-Soviet central Asian state has set a deadline of 1 June for the government to renegotiate — or repudiate — a deal struck in 2009 with Canadian firm Centerra Gold to operate the mine.

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Centerra Gold faces half-billion dollar fine

By David Trilling

Temir Sariev, Kyrgyzstan Economics Minister

A state commission in Kyrgyzstan has used claims of environmental damage at the country’s largest, most lucrative gold mine, Kumtor, to argue for a new agreement with the company operating the mine, Toronto-based Centerra Gold, and to fine Centerra almost half a billion dollars.

Economics Minister Temir Sariev, who headed the commission, says he has evidence, including two reports by European scientists, that the mine is inflicting “colossal damage” on the environment.

But, until now, hardly anyone in Kyrgyzstan has seen those scientists’ supposedly damning reports.

In December and February the commission, acting, respectively, through two state agencies — the State Inspectorate for Environmental and Technical Safety (SIETS) and the State Agency for Environmental Protection and Forestry (SAEPF) — fined Centerra approximately $467 million for alleged environmental damages, waste disposal and water treatment violations dating back to 1996. Centerra calls the claims “exaggerated or without merit.”

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