Golden Star Resources BFM 84

GOLDEN STAR RESOURCES

RESTRUCTURED TO GROW

GOLDEN STAR RESOURCES

GOLDEN STAR RESOURCES HAS UNDERGONE SIGNIFICANT CHANGES OVER THE LAST TWO YEARS TO MAXIMISE ITS GOLDEN OPPORTUNITIES.

RESTRUCTURED

TO GROW PROJECT MANAGED BY: JOHN HOLLIMAN

Incorporated in May 1992, Golden Star Resources Ltd (GSR) is a well-established mid-tier Canadian gold mining company operating the Wassa mine on the prolific Ashanti Gold Belt in Ghana. With one of the largest land packages of any company operating in the country and a history of nearly two decades of gold production, the company is well positioned for prospective growth.

A

ndrew Wray, the company’s President and CEO, who joined the board of the company two years ago and was appointed to his role as CEO in 2019, explains that the last few years have been a period of profound business change. In 2018, La Mancha, a gold exploration and production company with assets in various parts of the world, acquired a 30% stake in the business with the idea of developing the potential of Wassa and then broadening the business beyond. Since then, the La Mancha stake has grown to 35%.

He says: “Wassa is a significant resource of about 10 million ounces, which is quite unusual. We are a small to medium size business but, given the size of the resource, we have the potential to turn into a very large producer. This

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is what makes us different from other companies of our size.”

He affirmed that La Mancha became involved with a clear vision to profoundly change the business. “We put a new corporate team in place, set up an office in London, which being in the same time zone and a lot closer to the asset - eased communication and significantly improved the management of the asset. That was a strategic shift in the business.”

Another was a financial restructuring. For the previous decades, GSR was floating just above water, focused on surviving, without a solid foundation. With the help of the capital injection that La Mancha brought, as well as the operational focus and management, the company managed to consolidate its financial position and set a clear path forward.

“Last year was very important for us. It was the first year of the new team in the business and of implementing major changes.

The result was soon visible in the strong performance of the mine, achieved in the middle of the pandemic. We have set up clear targets and have a highquality team in place to drive the business forward,” Andrew Wray affirms, pointing out that the focus is not just on making the most of the current asset but also on stepping up investment in exploration.

BEYOND THE MINE

While developing the business, consideration for the local environment is strong. Ghana is a stable jurisdiction with a century-long history of mining and good existing infrastructure - aspects that present a clear advantage: 99% of GSR’s workforce are Ghanaians and 50% of those come from the host communities.

“The strong Ghanaian team has proved to be a great benefit during the pandemic with restricted international travel, when we had no expats on site.

We are also very focused on

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Andrew Wray, President and CEO of GSR.

PROVIDING HIGH QUALITY COMPONENTS, PARTS & SERVICE TO MINING & QUARRYING INDUSTRIES.

One stop shop for all your component and part requirements.

We tailor orders to suit your needs and timescales.

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HEAVY PLANT SPECIALISTS. At S.E.F. LTD we pride ourselves in providing a one stop shop solution for parts, components and reconditioning supply for mining and quarrying industries. Our large workshop is home to our exceptional fitting engineers and parts team who oversee each order to ensure details are met. Our quality and service are unrivalled, and we can offer more cost-effective parts and components than our leading competitors. We tailor each order to your individual needs working to your timelines which makes for a seamless transition from order to delivery.

COMPONENT RECONDITIONING WORKSHOP We strive to produce the best quality reconditioned components. We pride ourselves on a dealer level service at a more competitive cost by ensuring all components are completed to the original manufacturer’s specification and where possible the components are sent away for the manufacturers seal of approval by undergoing a dyno test. Each recon follows the same process and once rebuilt the components are painted in their original colour and baked to harden the paint to a glossy finish. Prior to delivery they are then vacuum packed in a foil bag to ensure the component arrives to site in its best possible condition supported with a 6-month corrosion resistance. Finally, all components are boxed in wooden crates to protect your investments during transit. All components are supplied with individual fitting seals and gaskets.

Recent reconditioned components include the CAT 771-789 Off-Highway Trucks to 12-16 Motor Graders and all Wheel Loaders 928-994 including the underground mining loader components for R2900G. MACHINE & PARTS SUPPLY At SEF Limited we are constantly turning over stock and offer Used, Reconditioned, Service Exchange & New Parts to suit all your diverse requirements, if we don’t stock it, we will source it for you. We can offer just about everything from new hydraulic pumps, engines/transmissions to undercarriage, to water pump spares & workshop tools, if you do not see what you need please ask. All Parts that pass through our workshop are treated with the same care and attention as our components, undergoing inspection on arrival and packing ready for national and international delivery.

Call our team today to discuss how we can help your business. +44 (0) 1773 572380

Enabling a better, safer and more interconnected world SGS is the world’s leading inspection, verification, testing and certification company.

With 2 state-of-the-art labs in Ghana, ISO17025 accredited and covering the West African region (Ghana, Nigeria, Sierra Leone, Liberia and Cote d Ivoire), we provide: Geochemical Analysis to provide a major boost to the mining and mineral industry at our new world-class lab located at Tarkwa on the Bankyim Ahwetieso road in Ghana Environmental Monitoring and Analytical Services to support environmental and Industrial/Occupational Hygiene projects at our lab near the Tema harbor (Maslab).

It covers a variety of physio-chemical and microbiological parameters on water, effluent, wastewater, soil, and food.

Kindly contact us: Geochem lab: +233 (0) 24 432 34 05 / gh.adm@sgs.com Maslab: +233 (0) 501 561 114 / Maslab.Tema@sgs.com

www.sgs-ghana.com

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GOLDEN STAR RESOURCES

local supply chains, i.e. services and consumables supplied from local communities. This not only mitigates risks to the supply chains and logistics, but also hugely benefits the local communities.

During the pandemic, having local procurement was another advantage, as the business was less exposed to supply chain disruptions,” admits Mr Wray.

Supporting and helping to develop local communities has been a continuing effort that started way back. Through the development foundations, Golden Star works in partnership with local people, establishing a long-term commitment to the betterment of the community and local economic development.

“The focus is on turning our efforts into sustainable results rather than just making

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GOODYEAR’S NEWEST HAULAGE TIRE FOR SEVERE OPERATING CONDITIONS The new Goodyear RM-4A+ tire leverages years of innovation to bring you extreme ruggedness and versatility that can help reduce your operating costs. The RM – 4A+ is part of Goodyear’s diverse Large Haulage lineup, which also includes RM-3A+, RM-4B+ and RT-4A+ to offer the right tyre for every vehicle in your fleet.

Distributor: Rana Motors & Metal Works Engineering Co Ltd - Ghana (+233 54 433 2019) West Africa Tire Services Ltd - Mali (+223 77 88 64 07) | Burkina Faso (+226 76 98 58 18) Nigeria (+234 813 884 3676) | Guinea (+224 62 80 49691) | Ivory Coast Mining Tires - Consultancy, Sales, Service & Repairs

RANA MOTORS & METAL WORKS ENGINEERING CO. LTD. Rana Motors & Metal Works Eng. Co. Ltd. was incorporated 40 years ago in Ghana by the Chairman Mr. Mohammed Ahmed Odaymat in Ghana. Rana group is a multi-faceted business group having interest in Manufacturing & Distribution. Goodyear Tyres & KIA Motors are flag ship brands of the automotive division.

Rana’s Off - The – Road (OTR) Goodyear Tyre Distribution Agreement established about 15 year ago has brought immense value to the Mining companies & mining Contractors in West Africa. It was the First Tire Company in West Africa to stock Mining Tyres locally in West Africa & provide Mining Clients with “Just in Time” Stocks.

In addition, Rana offers Earth Moving Tyre Management & Consultancy services to its clients, by which the customer gets the “Most Suited tyre” which would provide them with Value returns for money invested on Tyre resources.

Rana has a strategic Tie-up with REMA Tip Top, the leading Mining Tyre Repair Specialists in the world which has brought further value to the Mining clients.

Rana has established supply & maintenance infrastructure for mining tyres across West Africa, and has presence in Burkina Faso, Mali, Guinea, Sierra Leone, Liberia, and Nigeria & is known as West Africa Tire Service Limited (WATS Ltd) in these countries.

Rana today is a reliable supplier for Mining Tyres and is associated with most major Mining companies & Mining contractors in West Africa through supply &/or service contractors.

With a clear vision from its management, Rana’s professional team across West Africa & Goodyear has relieved many mining operations in West Africa of the challenges they faced on the mining Tyre front.

Rana is associated with Golden Star Wassa Ltd for the past 12 years by providing onsite tyre management services and consignment stock of tyres for their entire fleet of earthmoving equipment’s , support equipment’s and light vehicles by providing value additions.

Rana Motors & Metal Works Engineering Co. Ltd. P.O Box 7617 AN, Accra North – Ghana www.ranamotors.com

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Feasibility Studies | Engineering and Procurement Construction and Commissioning Project Management | Consulting Services www.gres.com.au Perth +61 8 6272 6000 Brisbane +61 7 3838 8000 Tucson +1 520 326 0062

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Wilhelm Limited CIVIL ENGINEERS & CONSTRUCTION CONTRACTORS

Wilhelm Limited specialises in Building works, Road works, Earth works and Mining projects and have a proven record in working excellently within this environment. We are proud to fulfill contracts for Golden Star Resources and enjoy a great working relationship.

POWERtech Electrical Engineering works Email: powertechengineering@yahoo.com Tel: 00233 243 836 292

Wilhelm Limited P.O.Box 1141, Teshie-Nungua Estates, Accra, Ghana Tel: +233 (0)21 813 688; Mob: +233 (0)24 437 7314 Email: wilhelmconstruction@yahoo.com & wilhelmconstructionltd@gmail.com

SALES & AFTERMARKET SUPPORT OF COMPRESSORS & ANCILLIARIES

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Our Vision at Compressor Technique Services is to become the leading indigenous African company at the heart of the industrialization of the continent.

Our Mission at CTS Ltd is to assist in the national and sub-regional transition from agro-based to industry-driven economies, by providing first-class Technical, Consulting and Advisory services, matched by products of global market leaders in compressors and industrial equipment.

Compressor Technique Services Ltd Tema, Ghana Email: info@ctsltd-gh.com Tel: +233 303 319 207 www.ctsltd-gh.com

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Magnum Force Security The Ultimate Security Solution

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Email: info@mfsghana.com Tel: +233 (0)302 781 922 www.mfsghana.com

donations,” says Andrew Wray.

To this end several initiatives have been established, including the award-winning oil palm project as an alternative livelihood project for artisanal miners and other community members.

As an industrial productivity solutions provider, we are a comprehensive supplier to the construction, exploration & mining industries. Our products comply with the highest world standards. We have a complete range of top quality, hard wearing equipment and consumables for the most challenging industrial applications.

Forte Logistics links up with top quality brands and manufacturers to proffer cutting-edge solutions to customers. Our team members are specialists in their respective areas of operation and have close to fifty (50) years of combined working experience.

FORTE LOGISTICS Nyameso Bediem Obuasi, Ghana

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Tel: +233 (0)244 210 577 / (0)203 333 134 Email: info.forte.logistics@gmail.com www.forte-logistics.business.site

“WE WANT TO DEVELOP A SUSTAINABLE AND DIVERSIFIED BUSINESS FOCUSING ON ENVIRONMENTAL REHABILITATION AND CREATING A SUSTAINABLE INDUSTRY BEYOND THE LIFESPAN OF THE MINE.” “Sustainability is core to our strategy. We want to develop a sustainable and diversified business focusing on environmental rehabilitation

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GOLDEN STAR RESOURCES

and creating a sustainable industry beyond the lifespan of the mine,” he emphasises. As the winner of the Prospectors & Developers Association of Canada 2018 Environmental and Social Responsibility Award, Golden Star remains committed to leaving a positive and sustainable legacy in its areas of operation.

CLEAR PATH FORWARD

Speaking about the plans for the coming months, Andrew Wray says that the vision is clear: “We are already an established producer, with a view to expanding the production base over the next five years to achieve a potential of 250,000 - 300,000 ounces which, in African terms, will make it a pretty big operation.

This demonstrates our longerterm thinking on developing infrastructure around the mine as well.”

He further affirms that what was a transformational year for Golden Star, the operational performance of Wassa stood out with the delivery of the improved production guidance range, despite the numerous challenges that have arisen as a result of the pandemic.

The mine continued to operate throughout the pandemic and investments in longerterm infrastructure were increased, with a paste fill plant and electrical upgrades commissioned in Q4 2020.

Investment is set to continue in 2021 in significantly ramping up drilling to better understand the ore body as a precursor to increasing production, as well as in stepping up exploration activities with a view to

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accelerating the systematic testing of the numerous inmine, near-mine and regional exploration targets.

“2021 will be a critical year. We have established a clear path forward, including balance sheet restructuring and loan repayment. There will also be an increased focus on acquisition opportunities.

Following the restructuring, we are an attractive business and growth is a clear part of our strategy. Consolidation is one of the themes expected to emerge in the gold sector over the next year or two and we want to be an active participant in that process,” concludes Andrew Wray.

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WWW.GSR.COM