Golden Star Resources Ltd.
TSX : GSC
NYSE Amex : GSS

Golden Star Resources Ltd.

April 28, 2011 11:58 ET

Excellent Grades and Widths From Buesichem South Drilling: Golden Star Exploration Update

DENVER, COLORADO--(Marketwire - April 28, 2011) - Golden Star Resources Ltd. (TSX:GSC)(NYSE Amex:GSS)(GSE:GSR) ("Golden Star" or the "Company") is pleased to announce an update on its exploration activities in West Africa and Brazil. Full drill results are posted at the Company's website at www.gsr.com.

A total of seven drill rigs are operating at both the Bogoso/Prestea and Wassa/HBB concessions in Ghana. Over 14,700 meters (m) of infill and expansion drilling on the Buesichem South and Bogoso North deposits at Bogoso/Prestea were completed thus far this year. A total of 12,550 m of drilling was completed on the Wassa/HBB properties testing new exploration targets at Essaman and Amantin as well as step-out and infill drilling at Wassa Main, Chichiwelli and the Subriso Deeps underground target.

Mitchel Wasel, Vice President of Exploration commented, "The significant increase in our reserve and resource base at both the Bogoso/Prestea and Wassa/HBB operations last year was a function of our aggressive brownfields drilling programs, with approximately 115,000 meters drilled. We are currently drilling with seven rigs and have plans to add more in the second half of this year, subject to availability. We anticipate our extensive brownfields drilling programs will again lead to another significant increase in our reserves and resources as we continue to assess the potential of our prolific land position in Ghana. In addition to our ongoing exploration programs, we are working on several engineering studies including the initial engineering scoping study on the Father Brown underground mining scenario and the feasibility for the Chichiwelli satellite open pit mine. Both of these projects are expected to add ounces to our reserve base at Wassa and should be completed by early 2012."

Bogoso/Prestea Concessions:

The Buesichem South deposit continues to return significant drill intercepts (see table below). Of particular interest are holes BUVTRC046A which returned 28.3 m grading 5.0 grams per tonne (g/t) from 20 meters depth; BUVTDD144 which returned 23.2 m grading 7.9 g/t from 116 m depth; and BUVTDD182 which returned 22.8 m grading 5.5 g/t from 55 m below surface. Approximately 20,000 m of additional drilling has been completed at Buesichem South since the last mineral resource estimate. The results of this latest phase of drilling will be used to update the block models in the second half of 2011. As at December 31, 2010, our Probable Mineral Reserves were calculated to be 4.9 million tonnes grading 2.85 g/t for 449,000 ounces of gold and additional Measured and Indicated Resources of 3 million tonnes grading 2.25 g/t for 215,000 ounces of gold. It is anticipated that these reserves and resources will increase as a result of the continuing 2011 drill program.

Buesichem South Significant Drill Intersections
Hole IDFrom
(m)
To
(m)
~
True
Width
(m)
Gold
Grade
(g/t)
BUVTRC046A20.057.028.35.0
BUVTDD149245.5268.421.85.0
BUVTDD18255.080.022.85.5
BUVTDD136143.6161.615.65.8
BUVTDD118163.8196.031.03.4
BUVTDD148148.8157.88.717.5
BUVTDD144116.0142.823.27.9
BUVTDD158A205.0233.022.44.4
BUVTDD153204.8236.430.13.9
BUVTDD127130.0157.722.74.2
BUVTRC0473.030.026.93.5

Drilling at Bogoso North continues to test the higher grade portions of the deposit at depth with approximately 4,000 m being completed in the first quarter of 2011 with drilling continuing into the second quarter of 2011. The best intercepts so far are in hole BNVTDD025A which returned 8.7 meters grading 3.2 g/t from 185 meters depth and 8.2 meters grading 7.5 g/t from 251 meters.

As at December 31, 2010, Bogoso North contained a Probable Mineral Reserve of 4 million tonnes grading 2.3 g/t for approximately 300,000 ounces of gold and an additional Measured and Indicated Mineral Resource of 3.4 million tonnes grading 1.9 g/t for 206,000 ounces of gold plus an Inferred Mineral Resource of 2.4 million tonnes grading 1.9 g/t. As the Bogoso North drilling program has recently begun, Golden Star is awaiting assay results from a majority of holes drilled to date. The continuing drill program will focus on increasing and defining the mineral resources within the $1,300 gold price pit shells for possible conversion to reserves in 2011. The following table indicates significant drill intersections at Bogoso North.

Bogoso North Significant Drill Intersections
Hole IDFrom
(m)
To
(m)
~
True
Width
(m)
Gold
Grade
(g/t)
BNVTDD016140.0154.011.51.9
BNVTDD017155.4166.09.81.8
BNVTDD019106.0119.010.61.8
BNVTDD019153.2163.08.02.9
BNVTDD020114.0118.03.42.4
BNVTDD025A185.2195.88.73.2
BNVTDD025A251.0261.08.27.5
BNVTDD027204.8218.011.92.7

Wassa/HBB Concessions:

The Wassa/HBB exploration programs during the first quarter of 2011 focused on several new exploration targets including the Essaman prospect. Drilling also tested the extent of the Wassa Main mineralization along strike to the south of the current operating pits.

The Essaman gold target is located approximately 850 m from the Wassa/HBB haul road and 60 kilometers from the Wassa processing plant. During the first quarter, we completed 3,600 m of reverse circulation (RC) drilling on 50-meter fences at this target, the significant results of which are tabulated below. Initial drilling results indicate a wider oxide zone at surface narrowing at depth. Further infill drilling on this target and two other targets in the immediate vicinity, Amantin and Wiredukrom, are planned for the second quarter of 2011.

Essaman Significant Drill Intersections
~
TrueGold
FromToWidthGrade
Hole ID(m)(m)(m)(g/t)
ESMRC0011.011.07.72.4
ESMRC0020.011.08.41.2
ESMRC0036.09.02.31.0
70.080.07.71.4
ESMRC00421.051.023.01.2
ESMRC00661.072.08.41.0
ESMRC00773.076.02.31.9
ESMRC01227.031.03.11.5
ESMRC01361.067.04.61.0
ESMRC02414.025.08.41.7
ESMRC04427.051.018.41.1

Exploration on the main Wassa mining lease during the first quarter of this year concentrated on testing the mineralization to the south of our Wassa operating pits. These programs were initiated in the first quarter of 2011 with approximately 1,800 meters completed. The southern extension of the Wassa Main deposits is located approximately 3 kilometers south of the processing plant and exhibits gold grades similar to those we are currently mining and processing from the operating Wassa pits. Drilling on the Wassa Mining lease for the remainder of 2011 will be two-pronged, testing the southern extensions of the main deposits and drilling within and below the current resource pit shells. The main objective of the Wassa infill drilling will be to increase the confidence in the December 31, 2010 Measured and Indicated Mineral Resource of 20.3 million tonnes grading 1.1 g/t containing 698,000 ounces of gold within the $1300 gold price resource pit shells. Approximately 25,000 to 30,000 meters is currently planned and budgeted for these programs.

Wassa Main Significant Drill Intersections
~
TrueGold
FromToWidthGrade
Hole ID(m)(m)(m)(g/t)
BSRC060100.0111.07.03.6
NSARC09881.087.05.00.8
NSARC782.011.07.01.3
and34.040.05.01.5
and62.066.03.00.8
NSARC07922.034.09.01.8
NSARC08187.0101.011.01.1
NSARC08254.061.05.01.5
and66.073.05.01.1
NSARC08352.078.020.00.9
NSARC10264.070.05.01.1
NSARC105100.0106.05.00.8
NSARC1062.020.014.01.5
NSARC11474.081.05.01.9

At Subriso West, on the Benso concession, testing of the underground potential of the down plunge extensions of the mineralization continued in the first quarter of 2011. All drilling to date on this target has intersected the mineralizing structure with varying grades and thickness. Of particular interest in this latest phase of exploration is hole SWZDD047 which returned 15 meters grading 8.9 g/t at a depth of 243 meters. This phase of drilling will be completed in the second quarter of 2011 and we will then update the resource model. Significant intersections from the recent drilling of the Subriso West underground target are tabulated below.

Subriso West Deeps Significant Drill Intersections
~
TrueGold
FromToWidthGrade
Hole ID(m)(m)(m)(g/t)
SWZDD041269.0272.03.04.4
SWZDD044370.0377.66.03.5
SWZDD047243.3259.015.08.9
SWZDD049277.5281.03.03.5
SWZDD051433.0456.015.03.4
SWZDD053389.0392.03.03.4

West Africa:

In Sierra Leone we will be commencing our budgeted drilling programs on our Sonfon Joint venture project with Aureus Mining, where Golden Star Resources holds 51% and is project operator. In the Ivory Coast and Burkina Faso we have put our exploration programs on care and maintenance status until the political situations stabilize in those countries.

Brazil:

Golden Star holds approximately 4,000 square kilometers of licenses through direct ownership or joint ventures in three states in Brazil. Our Brazilian exploration activities to date this year have concentrated on the Iriri Joint Venture in Mato Grosso State, where we are earning our interest in the precious mineral rights on a 3,400 square kilometer (Km2) property held by Votorantim Metals. Exploration activities for the quarter included soil sampling to investigate several gold stream sediment anomalies identified by Votorantim's work and preparation for regional Bulk Leach Extractable Gold ("BLEG") stream sediment sampling on two large blocks in the western portion of the concessions. Results from the soil surveys are pending.

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/HBB 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 Brazil in South America. Golden Star has approximately 259 million shares outstanding.

Cautionary Note to US Investors concerning estimates of Measured, Indicated and Inferred Mineral Resources: US investors are advised that while the term "Measured, Indicated and Inferred Mineral Resources" are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules estimates of Inferred Mineral Resources could not form the basis of feasibility or other economic studies. US investors are cautioned not to assume that part or all of the Inferred Mineral Resource exists, or is economically or legally mineable.

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. Such statements include our expectations regarding our planned drilling and exploration activities for the remainder of 2011 and the timing thereof and the impact of our results of exploration and our reserves and resources for 2011, updates of our resource models. Investors are cautioned that forward-looking statements are inherently uncertain and involve risks and uncertainties that could cause actual facts to differ materially. 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 2010. The 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. While we may elect to update these estimates at any time, we do not undertake any estimate at any particular time or in response to any particular event.

QA/QC:

The technical contents of this press release have been reviewed by S. Mitchel Wasel, BSc Geology, a Qualified Person pursuant to National Instrument 43-101. Mr. Wasel is Vice President Exploration for Golden Star and an active member of the Australasian Institute of Mining and Metallurgy.

The results for Wassa/HBB quoted herein are based on the analysis of saw-split HQ/NQ diamond half core or a three kilogram single stage riffle split of a nominal 25 to 30 kg Reverse Circulation chip sample which has been sampled over nominal one meter intervals (adjusted where necessary for mineralized structures). Sample preparation and analyses have been carried out at SGS Laboratories in Tarkwa using a 1,000 gram slurry of sample and tap water which is prepared and subjected to an accelerated cyanide leach (LEACHWELL). The sample is then rolled for twelve hours before being allowed to settle. An aliquot of solution is then taken, gold extracted into Di-iso Butyl Keytone (DiBK), and determined by flame Atomic Absorption Spectrophotometry (AAS). Detection Limit 0.01ppm.

The results for Bogoso/Prestea herein are based on the analysis of saw-split HQ sized (64mm) diamond half core or a three kilogram single stage riffle split of a nominal 25 to 30 kg Reverse Circulation chip sample which has been sampled over nominal one meter intervals (adjusted where necessary for mineralized structures). Sample preparation and analyses have been carried out at SGS Laboratories in Tarkwa using a 50 gram assay charge with a flame Atomic Absorption Spectrophotometry (AAS) finish and a detection limit of 0.01 ppm.

All analytical work is subject to a systematic and rigorous Quality Assurance-Quality Control (QA-QC). At least 5% of samples are certified standards and the accuracy of the analysis is confirmed to be acceptable from comparison of the recommended and actual "standards" results. The remaining half core is stored on site for future inspection and detailed logging, to provide valuable information on mineralogy, structure, alteration patterns and the controls on gold mineralization.

For additional information regarding our mineral reserves and mineral resources as at December 31, 2010, please see our news release dated February 23, 2011.

Contact Information

  • Golden Star Resources Ltd.
    Bruce Higson-Smith
    Vice President Corporate Development
    +1-800-553-8436

    Golden Star Resources Ltd.
    Anne Hite
    Investor Relations Manager
    +1-800-553-8436
    www.gsr.com