Golden Star Announces Record Quarterly Gold Production



    And Permitting of Hwini-Butre and Benso Project

    DENVER, October 3 /CNW/ - Golden Star Resources Ltd. (AMEX:  GSS) (TSX:GSC)
today announced that it has achieved record quarterly gold sales for the third
quarter of 2007 of 70,097 ounces.

    
    BOGOSO/PRESTEA
                                For the three months  For the nine months
                                ended September 30,   ended September 30,
                               --------------------- ---------------------
      OPERATING RESULTS           2007       2006       2007       2006
    -------------------------- ----------- --------- ---------- ----------
    Ore mined (t)--Refractory      392,975         -    554,791          -
    Ore mined (t)--Non
     refractory                    274,573   653,411    741,394  1,587,059
    Total ore mined (t)            667,548   653,411  1,296,185  5,587,059
    Waste mined (t)              4,838,778 6,769,360 13,201,253 15,525,252
    Plant feed--Refractory (t)     567,816         -    876,837          -
    Grade--(g/t)                       2.7         -        2.7          -
    Recovery--Refractory (%)          39.7         -       44.3          -
    Plant feed--Non refractory
     (t)                           387,935   367,536  1,236,063  1,073,059
    Grade--(g/t)                       2.1      4. 5        2.0        3.8
    Recovery--Non refractory
     (%)                              78.5      62.3       69.4       59.3

    Gold sold (oz)                  40,494    34,611  79,938(1)     78,739

    (1) Excludes 7,803 ounces produced from the sulfide plant during
     commissioning.
    

    
    WASSA
                                For the three months  For the nine months
                                 ended September 30,  ended September 30,
                                --------------------- --------------------
      OPERATING RESULTS            2007       2006       2007      2006
    --------------------------- ----------- --------- ---------- ---------
    Total ore mined (t)             863,487   581,815  2,285,800 1,858,312
    Waste mined (t)               2,081,974 1,796,669  6,387,897 9,033,328
    Ore and heap leach
     materials processed (t)        965,371   869,891  2,852,098 2,804,863
    Grade processed (g/t)               1.1       1.0        1.0       0.9
    Recovery (%)                       93.2      90.0       91.1      89.0

    Gold sold (oz)                   29,603    23,244     86,080    69,262
    

    BOGOSO SULFIDE PROCESSING PLANT UPDATE

    All charts in this press release illustrate weekly average data points
and associated trendlines.

    Milling--Design Throughput Achieved

    As exhibited in the attached chart, the throughput rate for the sulfide
mill in tonnes per hour (tph) has been steadily increasing through the quarter
and, by quarter's end, we had achieved the design throughput rate as per our
guidance from earlier this year.

    Milling--Availability

    Overall availability of the grinding circuit for the quarter was 69% for
the third quarter and exhibited an increasing trend. Several issues which
negatively affected mill availability have been resolved during the third
quarter and we expect the mill to operate at an availability of about 88% in
the fourth quarter.

    Flotation

    Flotation concentrates the gold prior to bio-oxidation and therefore
flotation recovery impacts the overall gold recovery.

    The flotation circuit operation has been problematic to date, however, we
believe that we have identified the issues and are implementing appropriate
solutions. The primary issue has been the high material flow rate through the
flotation cells as designed. To counter this issue, the twelve flotation cells
which were originally designed to operate in series have been divided into two
parallel banks of six. This reduces the flow rate for each bank by 50% which
we expect will increase recovery rates. The flotation circuit was reconfigured
in late September and flotation recoveries have shown a marked improvement
since then. We are confident that flotation recovery will attain design levels
by the end of 2007 as per our earlier guidance.

    BIOX(R)--The Bugs Are Working

    The BIOX(R) CIL circuit has operated at near design recovery throughout
the quarter as demonstrated by the graph below. There were some previously
reported mechanical failures which are being progressively resolved through
the cooperation of our suppliers. Repairs and replacement of five reactor tank
shafts were completed during the quarter.

    WASSA

    The Wassa mine continues to deliver with record quarterly production and
recoveries. This operation has exhibited quarter over quarter improvements in
its operations.

    Hwini-Butre and Benso (HBB) Development

    Permitting of the HBB projects is progressing according to plan. The
environmental permits for the project have been obtained, as have permits
needed for the construction of the haul road linking the HBB project areas
with our Wassa mine.

    The road construction contractors have been mobilized and we expect the
haul road construction to commence in October. In accordance with earlier
guidance, we expect the first ore from the HBB project to be delivered to the
Wassa processing plant in the third quarter of 2008.

    POWER UPDATE

    On October 1, the Ghana national power supplier, the Volta River
Authority, announced that the country-wide power rationing exercise was
officially concluded. Ghana is now experiencing full power supply from the
national grid and consequently we have discontinued all self generation.

    The nominal 100 megawatt power station built by Gold Fields Limited,
Anglogold Ashanti Limited, Newmont Mining Corporation, and Golden Star, along
with the 20 megawatt independent power project being developed at
Bogoso/Prestea will enable the Company to be 100% independently powered should
the need arise in the future.

    NEAR TERM OBJECTIVES

    Our near term objectives include:

    --  Maintain design throughput and achieve design recovery at the new
Bogoso Sulfide Processing Plant during the fourth quarter of 2007;

    --  Permitting of Prestea South ore bodies to provide oxide ore to the
Bogoso Oxide Processing Plant in late 2008;

    --  The main near term source of oxide ore will be the Pampe deposit and
pods of oxide ore from the pits at Chujah and Buesichem. We expect that we
will be able to campaign oxide and sulfide ore through the oxide processing
plant. Sulfide ore processed in the oxide processing plant would generate a
sulfide concentrate that would be processed in the BIOX(R) bio-oxidation
plant;

    --  Construction and development of the HBB project with ore being
delivered to Wassa by third quarter of 2008;

    --  Prestea Underground pre-feasibility study completed by the first
quarter of 2008;

    --  Progress construction and commissioning of our power projects which
would give us power independence; and

    --  Further optimization of our operations at Bogoso/Prestea and Wassa.

    We are updating our estimates for 2007 gold production to 125,000 to
150,000 ounces at Bogoso/Prestea at an average cash operating cost between
$550 and $650 per ounce. We expect Wassa to produce approximately 115,000 to
125,000 ounces during 2007 at an average cash operating cost between $430 and
$480 per ounce.

    As more fully disclosed in the Risk Factors Item 1A in our December 31,
2006 Form 10-K as amended, numerous factors could cause our estimates and
expectations to be wrong or could lead to changes in our plans. Under any of
these circumstances, the estimates described above could change materially.

    Peter Bradford, President and CEO said: "We are pleased with the progress
that is being made with our Bogoso Sulfide Processing Plant. The BIOX(R)
process has worked well from day one but the flotation circuit design issues
and equipment failures that we have incurred during the start up and early
operations have, to date, tarnished the early results from the project. Based
on results since late September, we believe that the design changes we have
made to the flotation circuit have resulted in a significant increase in
flotation recovery. This, along with the improving trend in all other major
performance indicators, is expected to result in a significant gold production
increase from the fourth quarter."

    Company Profile

    Golden Star holds a 90% equity interest in Golden Star (Bogoso/Prestea)
Limited and Golden Star (Wassa) Limited, which respectively own the
Bogoso/Prestea and Wassa open-pit gold mines in Ghana. 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 the Guiana Shield of South America. Golden Star
has approximately 233 million shares outstanding.

    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. Investors are
cautioned that forward-looking statements are inherently uncertain and involve
risks and uncertainties that could cause actual results to differ materially.
Such statements include comments regarding availability of the mill at the
Bogoso Sulfide Processing Plant, flotation circuit and recovery rate
improvements, attainment of flotation recovery design levels, timing of first
ore produced from the HBB project, 2007 gold production and cost estimates,
and gold production increases after the fourth quarter. Factors that may
affect such operations include delays in receiving needed equipment and parts,
additional design problems and design modifications, mechanical failures,
power shortages and interruptions, weather including excessive rainfall or
drought. There can be no assurance that future developments affecting the
Company will be those anticipated by management. Please refer to the
discussion of risk factors in our Form 10-K for 2005.

    MULTIMEDIA AVAILABLE:
http://www.businesswire.com/cgi-bin/mmg.cgi?eid=5508655




For further information:

For further information: GOLDEN STAR RESOURCES LTD. Bruce Higson-Smith,
+1-800-553-8436 Vice President Corporate Development Anne Hite,
+1-800-553-8436 Investor Relations Manager


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