Centerra Gold Inc. (CG:CA) Shareholder/Analyst Call Prepared Remarks Transcript – Image for illustrative purposes only (Image credits: Pixabay)
Toronto – Centerra Gold Inc. conducted its 2026 virtual annual general meeting of shareholders on May 5, confirming a quorum and swiftly approving all proposed resolutions. The session, hosted by Paul Wright, Chair of the Board, proceeded without any shareholder questions, signaling strong alignment between management and investors. This routine yet affirming gathering followed the company’s robust first-quarter results, which underscored operational strength across its key assets.[1][2]
Seamless Approval of Core Resolutions
The meeting addressed standard agenda items with electronic voting in place. Shareholders elected all nominated directors to the board, reappointed KPMG LLP as the independent auditor, and passed the advisory non-binding resolution on executive compensation. These outcomes reflected broad support for the company’s governance framework.
Paul Wright opened the proceedings with housekeeping matters and participant instructions, setting a efficient tone for the virtual format. The absence of questions from shareholders highlighted confidence in the board’s direction, especially amid recent positive financial momentum.[1]
Strong Q1 Performance Sets Positive Backdrop
Just days prior, on April 30, Centerra released first-quarter 2026 results that exceeded expectations. Adjusted net earnings reached $88 million, or $0.44 per share, topping forecasts. Revenue climbed to $484.7 million, surpassing estimates by 31.82 percent, fueled by solid gold and copper sales.[3][4]
Production stayed on plan with 68,000 ounces of gold and 14.2 million pounds of copper produced company-wide. Mount Milligan delivered 29,500 ounces of gold and matching copper output, while Öksüt contributed 38,400 ounces of gold, benefiting from higher-than-expected grades. Cash from operations hit $120 million, generating $49 million in free cash flow, and the cash balance grew to $543 million.[4]
All-in sustaining costs on a byproduct basis came in at $1,705 per ounce. The company also returned $33 million to shareholders through share repurchases and a quarterly dividend of $0.07 per share. These figures demonstrated disciplined capital allocation amid growth investments.
Operational Highlights and Growth Pipeline
President and CEO Paul Tomory emphasized consistent execution during the earnings discussion. Mount Milligan generated $125 million in operating cash flow, while Öksüt produced $134 million. Challenges at the U.S. Moly operations, including a temporary suspension at Langeloth, were noted but with resumption underway and repair costs estimated at $5-10 million.[4]
Progress advanced on several fronts. The Thompson Creek restart stood at 38 percent complete, with first production targeted for mid-2027 and capital spending projected at $425-450 million. Kemess Preliminary Economic Assessment outlined a 15-year mine life with attractive economics, including an after-tax NPV of $2.8 billion. Öksüt’s life-of-mine optimization study remained on track for year-end, potentially extending production via residual leaching.
- Mount Milligan: Higher production expected in Q2 and Q3 due to mine sequencing.
- Öksüt: Remaining 2026 quarters to feature more even output, lower than Q1.
- Goldfield: Development progressing toward late-2028 first production, with key permitting milestones achieved.
Sustainability efforts included community programs at Öksüt and environmental progress at Goldfield, such as water rights acquisition.
Strategic Focus and Shareholder Returns
Centerra maintained its full-year guidance, reaffirming production and sales targets. Liquidity stood at $943 million, providing flexibility for organic growth without undue leverage. The company hedged portions of diesel exposure, mitigating potential cost pressures.
Tomory highlighted the self-funded growth strategy, balancing reinvestment with returns. Recent share buybacks reduced outstanding shares, and the dividend commitment persisted. Analysts probed topics like Öksüt grades, Kemess expansion, and buyback plans during the earnings Q&A, reflecting interest in long-term value creation.[4]
With the AGM’s unanimous approvals, Centerra enters the year with a solidified board and momentum from Q1. Investors appear poised for continued delivery on operational and development fronts, as the mid-tier producer navigates gold and copper markets.