Canadian Mining Rejects Environmental Claims Concerning Kyrgyz Mine

The Kumtor mining project has been at the center of much heated debate.

A Canadian-based mining company operating in Kyrgyzstan says the $152-million claim from the Central Asian nation for environmental damages caused by a gold field it is developing is exaggerated and without foundation.

Centerra Gold said in a statement on December 14 that independent experts determined that the Kumtor mine project had no materially significant environmental issues.

Kumtor has been at the center of heated political debate among those seeking its nationalization and officials who believe such a move would deter much-needed foreign investment.

The Kumtor gold mine accounted for 12 percent of the country's gross domestic product and more than a half of its exports in 2011.

Based on reporting by Reuters and AP