Golden Star Resources Reports Preliminary Third Quarter 2012 Production Results

10.05.2012
Third Quarter Financial Results News Release Scheduled for After Market Close on November 7, 2012; Conference Call and Webcast on November 8, 2012, at 11:00 a.m. Eastern Time

DENVER, CO--(Marketwire - Oct 5, 2012) - Golden Star Resources Ltd. (NYSE MKT: GSS) (TSX: GSC) (GHANA: GSR) ("Golden Star" or the "Company") today announced preliminary third quarter 2012 production results for its Bogoso/Prestea and Wassa/HBB operations.

The Company produced a total of 83,340 ounces of gold in the third quarter ended September 30, 2012, approximately 2% below guidance of 85,000 ounces. Gold sold totaled 80,849 ounces. For the first nine months of 2012, the Company produced 246,248 ounces of gold, up 7% from 230,309 ounces in the comparable nine-month period of 2011.

The Bogoso/Prestea mine produced 41,312 ounces of gold in the third quarter and Wassa/HBB operations produced 42,028 ounces. Operating cost data will be released on November 7, 2012, with full third quarter financials.

Golden Star's cash balance as of September 30, 2012, totaled approximately $102.5 million excluding approximately $4.4 million in finished gold held and a substantial increase in gold in process inventory. The cash balance takes into account the early repayment of $6.13 million of the 4% convertible debenture in September. The balance of this debenture, due November 30, 2012, is $44.4 million plus accrued interest of approximately $0.9 million.

For the fourth quarter of 2012 the Company expects to produce approximately 87,000 ounces to 92,000 ounces of gold, resulting in a range of approximately 333,000 to 338,000 ounces for the year.

Third Quarter News Release and Conference Call
Golden Star plans to release its third quarter financial results after the market closes on November 7, 2012. On the following day, November 8, 2012, the Company has scheduled a conference call and webcast at 11:00 a.m. Eastern Time. Please call in at least five minutes prior to the conference call start time to ensure prompt access to the conference. The call can be accessed by telephone or by webcast as follows:

North American participants: (877) 407-8289
Participants outside U.S. and Canada: (201) 689-8341
Webcast: http://www.gsr.com/

A recording of the conference call will be available until November 29, 2012, through the Company's website at http://www.gsr.com/ or by dialing:

North America: (877) 660-6853, Conference ID number: 401439
International outside U.S. and Canada: (201) 612-7415, Conference ID number: 401439

COMPANY PROFILE

Golden Star Resources holds the largest land package in one of the world's largest and most prolific gold producing regions. The Company 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, West Africa. 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. Additional information is available at http://www.gsr.com/.

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. Investors are cautioned that forward-looking statements are inherently uncertain and involve risks and uncertainties that could cause actual results to differ materially. Specifically, statements in this news release regarding expected gold production for the remainder of 2012 are forward looking statements. Factors that could cause actual results to differ materially include the timing of and unexpected events at the Wassa plant and Bogoso/Prestea oxide and sulfide processing plant; variations in ore grade, tonnes mined, crushed or milled; variations in relative amounts of refractory, non-refractory and transition ores; the availability and cost of electrical power; and technical, permitting, mining or processing issues. 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 2011 and other filings of the Company with the United States Securities and Exchange Commission and the applicable Canadian securities regulatory authorities. Any 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 and that actual results will vary from these estimates, possibly by material amounts. While we may elect to update these estimates at any time, we do not undertake to update any estimate at any particular time or in response to any particular event. Investors and others should not assume that any forecasts in this press release represent management's estimate as of any date other than the date of this press release.

For further information, please contact:

GOLDEN STAR RESOURCES LTD.
Bruce Higson-Smith
Senior Vice President Finance and Corporate Development
1-800-553-8436

INVESTOR RELATIONS
Jay Pfeiffer
Pfeiffer High Investor Relations, Inc.
303-393-7044


SOURCE: Golden Star Resources

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Please note the information presented is given as at the date and the time of its original release. Changes in such historical information may occur due to adjustments in accounting and reporting standards & procedures.

Non-GAAP Information

Golden Star also uses certain non-International Financial Reporting Standards (“IFRS”) financial measures as defined in applicable Canadian and United States securities laws ("non-GAAP measures"), including the terms “cash operating cost per ounce”, “all-in sustaining costs”, “cash generated from operations before working capital changes”, “adjusted net (loss)/income attributable to Golden Star shareholders and “adjusted net (loss)/income per share attributable to Golden Star shareholders”. Golden Star believes that these measures are similar to the measures of other gold mining companies, but may not be comparable to similarly titled measures in every instance. In addition, changes in numerous factors including, but not limited to, Golden Star’s share price, risk free interest rates, gold prices, mining rates, milling rates, ore grade, gold recovery, costs of labor, consumables and mine site general and administrative activities can cause these measures to increase or decrease.

Golden Star believes these measures are useful non-GAAP operating measures and supplement the IFRS disclosures made by the Company. These non-GAAP measures are not representative of all of Golden Star's cash expenditures and there are material limitations associated with the use of such non-GAAP measures. Since these non-GAAP measures do not incorporate all non-cash expense and income items, changes in working capital and non-operating cash costs, they are not necessarily indicative of operating profit or cash flow from operations as determined under IFRS.

The non-GAAP information is not prepared in accordance with IFRS and may not be comparable to non-GAAP information used by other companies. The non-GAAP information should not be viewed in isolation or as a substitute for, or superior to, other data prepared in accordance with IFRS. For an explanation of the Non-GAAP financial measures used by the Company, please refer to the heading “Non-GAAP Financial Measures” in the Company’s Management Discussion and Analysis of Financial Condition and Results of Operations for the Three Months ended March 31, 2014 and the Company’s Management Discussion and Analysis of Financial Condition and Results of Operations for the Year Ended December 31, 2013, available at www.sedar.com.

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