April 29, 2010 / 12:34 AM / in 7 years

UPDATE 1-Centerra has profit; says no halt in Kyrgyz ops

* Q1 EPS 52 cts vs year-earlier loss of 9 cts/shr

* Says no disruption to gold mine in Kyrgyzstan

* Affirms ‘10 production, cost outlook (In U.S. dollars, unless noted)

NEW YORK, April 28 (Reuters) - Centerra Gold (CG.TO) reported a quarterly profit on Wednesday versus a year-earlier loss, helped by higher production and gold prices, and affirmed its production outlook for the year.

The Canadian gold miner, whose flagship Kumtor mine is in Kyrgyzstan, also said the recent civil and political unrest there has not caused any interruption to its operations in the Central Asian country.

Centerra said it had net earnings of $122.1 million, or 52 cents a share, in the first quarter, compared with a net loss of $20.3 million, or 9 cents per share, a year earlier.

Revenue soared to $255.5 million from $98.4 million a year earlier, reflecting a 114 percent increase in ounces sold and a 22 percent increase in price.

Gold production at Kumtor was significantly higher in the quarter, which more than offset lower production at Centerra’s smaller Boroo mine in Mongolia.

Kumtor is one-third owned by the Kyrgyz government, and accounts for about one-quarter of the country’s industrial output.

Kyrgyzstan has been under interim government rule since President Kurmanbek Bakiyev was ousted in a bloody uprising earlier in April.

Former parent company Cameco Corp (CCO.TO) divested its stake in Centerra last year under a deal that doubled the Kyrgyz government’s stake. The agreement was signed to solidify Centerra’s ownership of Kumtor, which some had worried could face nationalization.

The company said it still expects to produce between 640,000 and 700,000 ounces of gold this year at cash costs of $460 to $505 per ounce. (Reporting by Martinne Geller in New York and Cameron French in Toronto; Editing by Richard Chang)

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