SOURCE: Golden Star Resources
DENVER, CO--(Marketwire - Oct 5, 2012) - Golden Star Resources Ltd. (NYSE MKT: GSS) (TSX: GSC) (GHANA: GSR) ("Golden Star" or the "Company") today announced preliminary third quarter 2012 production results for its Bogoso/Prestea and Wassa/HBB operations.
The Company produced a total of 83,340 ounces of gold in the third quarter ended September 30, 2012, approximately 2% below guidance of 85,000 ounces. Gold sold totaled 80,849 ounces. For the first nine months of 2012, the Company produced 246,248 ounces of gold, up 7% from 230,309 ounces in the comparable nine-month period of 2011.
The Bogoso/Prestea mine produced 41,312 ounces of gold in the third quarter and Wassa/HBB operations produced 42,028 ounces. Operating cost data will be released on November 7, 2012, with full third quarter financials.
Golden Star's cash balance as of September 30, 2012, totaled approximately $102.5 million excluding approximately $4.4 million in finished gold held and a substantial increase in gold in process inventory. The cash balance takes into account the early repayment of $6.13 million of the 4% convertible debenture in September. The balance of this debenture, due November 30, 2012, is $44.4 million plus accrued interest of approximately $0.9 million.
For the fourth quarter of 2012 the Company expects to produce approximately 87,000 ounces to 92,000 ounces of gold, resulting in a range of approximately 333,000 to 338,000 ounces for the year.
Third Quarter News Release and Conference Call
Golden Star plans to release its third quarter financial results after the market closes on November 7, 2012. On the following day, November 8, 2012, the Company has scheduled a conference call and webcast at 11:00 a.m. Eastern Time. Please call in at least five minutes prior to the conference call start time to ensure prompt access to the conference. The call can be accessed by telephone or by webcast as follows:
North American participants: (877) 407-8289
Participants outside U.S. and Canada: (201) 689-8341
A recording of the conference call will be available until November 29, 2012, through the Company's website at www.gsr.com or by dialing:
North America: (877) 660-6853, Conference ID number: 401439
International outside U.S. and Canada: (201) 612-7415, Conference ID number: 401439
Golden Star Resources holds the largest land package in one of the world's largest and most prolific gold producing regions. The Company holds a 90% equity interest in Golden Star (Bogoso/Prestea) Limited and Golden Star (Wassa) Limited, which respectively own the Bogoso/Prestea and Wassa/HBB open-pit gold mines in Ghana, West Africa. In addition, Golden Star has an 81% interest in the currently inactive Prestea Underground mine in Ghana, as well as gold exploration interests elsewhere in Ghana, in other parts of West Africa and in Brazil in South America. Golden Star has approximately 259 million shares outstanding. Additional information is available at www.gsr.com.
Statements Regarding Forward-Looking Information: Some statements contained in this news release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other applicable securities laws. Investors are cautioned that forward-looking statements are inherently uncertain and involve risks and uncertainties that could cause actual results to differ materially. Specifically, statements in this news release regarding expected gold production for the remainder of 2012 are forward looking statements. Factors that could cause actual results to differ materially include the timing of and unexpected events at the Wassa plant and Bogoso/Prestea oxide and sulfide processing plant; variations in ore grade, tonnes mined, crushed or milled; variations in relative amounts of refractory, non-refractory and transition ores; the availability and cost of electrical power; and technical, permitting, mining or processing issues. There can be no assurance that future developments affecting the Company will be those anticipated by management. Please refer to the discussion of these and other factors in our Form 10-K for 2011 and other filings of the Company with the United States Securities and Exchange Commission and the applicable Canadian securities regulatory authorities. Any forecasts contained in this press release constitute management's current estimates, as of the date of this press release, with respect to the matters covered thereby. We expect that these estimates will change as new information is received and that actual results will vary from these estimates, possibly by material amounts. While we may elect to update these estimates at any time, we do not undertake to update any estimate at any particular time or in response to any particular event. Investors and others should not assume that any forecasts in this press release represent management's estimate as of any date other than the date of this press release.