NEW YORK, July 9, 2003 (PRIMEZONE) -- When Bradford took his post in 1999, Golden Star Resources Ltd. (AMEX:GSS) had no gold production at all. Since then, the company's gold production surged to an estimated 140,000 ounces in 2003, he told www.wallst.net.
First quarter earnings for 2003 yielded an estimated 40,000 ounces of gold, which is "right on track," with Bradford's estimation of another 100,000 ounces by fiscal year's end. "All of our projections come from current assets through organic growth," he said, adding that "as gold production increases, investors can expect earnings to increase at the same time," assuming that "everything else stays constant."
Currently, Golden Star Resources Ltd., is "On the lookout for ways to grow the company," he said, referring to the acquisition of a second mining property in Ghana, 35 km away from their current project in the Bogoso/Prestea open pit mine. Bradford projected the completion of feasibility studies for the company's second mine in Ghana in mid-2003, and the completion of the mine is slated for the first-quarter of 2004. The Government of Ghana is a 10 per cent partner of Golden Star who "owns the other 90 percent outright," Bradford said.
Bradford estimated a rapid annual increase in gold production within the next several years, predicting a 92 percent increase in production at the end of 2004, and gold production reaching 250,000 ounces by 2005. "That gives us one of the better growth profiles in the gold mining industry," he said, adding that the goal of the company is to secure itself as a "Mid-tier gold producer group within the next two or three years."
He concluded the interview by stating the company had "Good cash flow," minimal debt (less than $3 million), and nearly $40 in treasury cash reserves. "What's important for investors is that none of our gold production is committed," he said. "If gold prices increase, then Golden Star sees the benefit."
The entire interview can be heard at www.wallst.net
About Golden Star Resources Ltd.
Golden Star is an un-hedged gold producer with expected production in 2002 in excess of 130,000 ounces at cash costs of approximately $175 per ounce from the Company's open pit mining operations in Ghana, West Africa. The Company is well funded and has strong, operational focused management experienced in West Africa.
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