The Board of Directors of Centerra
Gold Inc. CA:CG +0.84% announces today the following
changes at the Company:

Patrick M. James has announced that
he will retire as Director and Chair of the Board of Centerra Gold effective as
of the 2012 Annual General Meeting (AGM) of the Company scheduled for May 17,
2012. Pat was appointed as director of Centerra in April, 2004, to assist in
taking Centerra Gold public and has served as Chair of the Board since the
initial public offering (IPO).

The Board of Directors of Centerra
is pleased to announce that the Company will continue to be led by highly
qualified and experienced people very familiar with Centerra”s business. To
that purpose the Board has designated Stephen A. Lang, currently Centerra”s
President and CEO, to replace Mr. James as Chair of the Board effective as of
May 17, 2012. Steve has been with Centerra since December, 2007, was named as
President and CEO in June, 2008, and has been a member of the Board since that
time. He has decided to retire from his current role concurrently with stepping
up into the Chair position. As Steve will not be considered as an independent
director for a three year period due to his historical role with the Company,
the Board plans to name a Lead Independent Director after the AGM.

In accordance with the succession
plan previously established by the Board of Directors, Ian Atkinson has been
promoted to the position of President and CEO, also effective May 17, 2012. Ian
has been with Centerra since October, 2005, and has been Senior Vice President,
Global Exploration at Centerra since November, 2010. Prior to joining Centerra,
Ian served as Vice President – Exploration and Strategy for Hecla Mining,
Senior Vice President Operations and Exploration for Battle Mountain Gold and
Senior Vice President of Hemlo Gold Mines. During Ian”s tenure as head of
Exploration, Centerra has significantly increased its exploration footprint
into Russia, Turkey and China, along with expansion of exploration in the
Kumtor area and in Mongolia. The annual replacement of, and increase in
reserves and resources since the IPO, coupled with the discovery of the
Southwest Extension at Kumtor and the ATO deposit in Mongolia; and the
advancement of the Kara Beldyr project in Russia, and the Oksut project in
Turkey are evidence of the success of the exploration program he has
established.

David Groves has been promoted to
the position of Vice President – Global Exploration. David joined Centerra in
August, 2011, and has over 30 years of exploration, mining and business
development experience in North and South America, Australia, Europe, West
Africa and Central Asia. Prior to joining Centerra, David was with Newmont for
27 years in positions within the exploration, mining and business development
groups.

Also retiring from the Board of
Directors at the AGM will be Ian Austin, Director. Ian joined the Board at the
IPO of Centerra in 2004, and has been Chair of the Audit and Special Committees
since then. During his tenure as the Audit Committee Chair, Centerra has
successfully established a standalone accounting system, independent of Cameco,
the Company”s former parent; incorporated a Sarbanes-Oxley compliance program
and the Canadian equivalent, NI 52-109; and has converted the Company”s
accounting to International Financial Reporting Standards (IFRS). The Board is
currently recruiting his replacement.

Mr. Lang President and CEO of
Centerra Gold stated, “We wish to thank Pat and Ian for their significant
contributions over the years at Centerra and wish them the best of luck in the
next phases of their lives. I look forward to assuming the role as Chair of the
Board and to continue working with our talented team in the organization.”

Centerra Gold Inc. is a gold mining
company focused on operating, developing, exploring and acquiring gold
properties primarily in Asia, the former Soviet Union and other emerging
markets worldwide. Centerra is a leading North American-based gold producer and
is the largest Western-based gold producer in Central Asia. Centerra”s shares
trade on the Toronto Stock Exchange (TSX) under the symbol CG. The Company is
headquartered in Toronto, Ontario, Canada.