Golden Star to develop Wassa mine in Ghana

Denver-based Golden Star Resources Ltd. is going to develop its Wassa gold project in Ghana and estimates it will produce more than 140,000 ounces of gold in 2005 at an average cost of around $200 per ounce.

Golden Star owns 90 percent of the project; the government of Ghana in western Africa owns the rest.

The company also has a mine 21 miles away called Bogoso/Prestea, which is expected to produce 140,000 ounces of gold this year at a projected cash cost of $185 per ounce.

"This project is another step towards our objective of becoming a mid-tier producer by adding 140,000 ounces annually for a modest capital investment. Combined with our expansion plans at the Bogoso/Prestea mine, gold production should be well over 300,000 ounces in 2005 at cash costs below $200 per ounce," said Peter Bradford, CEO and president, in a statement.