Golden Star Updates Operating and Development Successes Thursday March 31, 1:34 pm ET
DENVER--(BUSINESS WIRE)--March 31, 2005--Golden Star Resources Ltd. (AMEX:GSS - News; TSX:GSC - News) today announced that the processing plant at its Wassa gold mine in Ghana is now operating at its design capacity of 10,000 tonnes of ore per day. The Company also reported on progress to date in 2005 on its other operating and growth activities, including progress at its Bogoso/Prestea mine. Peter Bradford, President and Chief Executive Officer, commenting on progress, said: "The new year has marked a turning point for Golden Star, with a number of the outstanding issues we had toward the end of 2004 having been resolved or advanced. Wassa is now operating at design throughput, processing a combination of reclaimed heap leach material and crushed ore. Ore has been made available ahead of plan from the early commencement of mining and commissioning of the crushing system. Mining and crushing were not originally intended to begin until the second year of the project but we brought this forward so that we have a second and higher grade source of ore."
Wassa Gold Production Increasing Steadily
Wassa shipped 3,600 ounces, 4,200 ounces, and 7,200 ounces for sale in January, February and March, respectively. In consultation with its auditors, Golden Star will decide at what point during the first quarter to declare Wassa as being in commercial production. Revenues and costs will thereafter flow through the income statement versus being capitalized. Monthly throughput, grade and recovery continue to improve steadily and the production guidance of between 100,000 to 120,000 ounces for 2005 remains unchanged.