Kumtor Gold Company Announces Receipt of Kumtor Mine Plan Approvals

published: 13 June 2014

Kumtor Gold Company (KGC) is pleased to announce that it has received the necessary approval of its 2014 Kumtor mine plan from the relevant Kyrgyz Republic agencies. KGC therefore confirms that Kumtor mine will continue to operate uninterrupted.

KGC is pleased to continue our positive collaboration with Kyrgyz Republic authorities. This is to note, that according to the Kyrgyz Republic National Statistics Committee, Kumtor’s impact on the macroeconomic performance of the Kyrgyz Republic in 2013 represented 7.7% of the GDP of the country, Kumtor’s share of the industrial output was 24% and gold’s share in the national exports was 36.5%. Kumtor’s contributions for the first three months of 2014 to the Kyrgyz national budget in taxes, social fund contributions and other mandatory payments totaled 2.23 billion soms or USD $41 million.

The Company directly employs over 3,000 people of which more than 96% are Kyrgyz citizens, in addition to the direct employment indirectly more than 7,000 people are employed in related industries in the Kyrgyz Republic and provide services to Kumtor. The mine is a significant contributor to the local economy purchasing more than 11,000 items from 600 different Kyrgyz enterprises. Monthly purchases from local suppliers total approximately USD $4.8 million per month.