DENVER, June 12, 2002 (PRIMEZONE) -- Golden Star Resources Ltd. ("Golden Star" or the "Company") (TSE:GSC) (OTCBB:GSRSF) is pleased to announce that it has completed (subject to acceptance by the French regulatory authorities) the acquisition of a 50% interest in the Yaou and Dorlin gold properties in French Guiana from Cambior Inc., as part of a number of transactions with Cambior on joint ventured properties in the Guiana Shield. The other 50% interest in these properties is held by Golden Star's 73%-owned subsidiary, Guyanor Ressources S.A. ("Guyanor"), which gives Golden Star an effective interest in these properties of 87%.
As set out in greater detail in the Company's Form 10-K filing for the year ended December 31, 2001, the Yaou and Dorlin properties have total mineralized material, using a long-term gold price assumption of $300 per ounce, of 13.8 million tonnes grading 2.1 g/t (which represents a total of 930,000 ounces of gold in situ). Golden Star plans to reassess the properties and to consider options for their further exploration and development.
In a separate development, Golden Star has made a commitment to Guyanor to participate in a rights issue by Guyanor of up to euro 15 million (approximately $14 million) by contributing the approximate $11 million of debt owed by Guyanor to Golden Star into the rights issue. The rights issue is subject to the approval of Guyanor's shareholders at its annual general meeting on June 28, 2002. It is noted that the debt for equity swap will have no impact on Golden Star's consolidated balance sheet or statement of operations.
Golden Star has a 90% interest in the Bogoso/Prestea open-pit gold mine in Ghana, a 45% managing interest in the Prestea underground mine in Ghana, and is in the process of acquiring a 90% interest in the Wassa gold project in Ghana. In addition, we have other gold exploration interests in the Guiana Shield in South America and in West Africa. Golden Star currently has approximately 65 million shares outstanding and is listed on the Toronto Stock Exchange under the symbol "GSC" and trades on the OTC Bulletin Board under the symbol "GSRSF."
The statements contained in this press release are both historical and forward-looking in nature. The forward-looking statements involve risks and uncertainties including those relating to exploration, the establishment of reserves, the recovery of any reserves, future gold production, future costs of production, future permitting and future operations. Please refer to a discussion of these and other risk factors in Golden Star's Form 10-K and other Securities and Exchange Commission filings.
NOTE: all currency amounts in United States dollars unless otherwise stated