Golden Star Resources — IPO Roadshow (February 2007)
29 slides from Golden Star Resources's IPO roadshow presentation, Feb 20, 2007
Slide 1: February 2007
FEBRUARY 2007 The issuer has filed a registration statement (including a prospectus) with the SEC for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement and other documents the issuer has filed with the SEC for more comp
Slide 2: Legal and Other Matters
2 Legal and Other Matters SAFE HARBOR: The statements contained in this presentation are both historical and forward-looking in nature. The United States Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for certain forward-looking statements. Such forward-looking statements
Slide 3: Contents
Contents Corporate Overview Bogoso/Prestea Bogoso Sulfide Expansion Project Wassa Hwini-Butre and Benso projects 2006 Results and 2007 guidance Exploration Sustainability Ghana Power Illegal Mining Concluding Remarks 3
Slide 4: Corporate Overview
4 Corporate Overview Gold explorer, developer, producer Current focus on Ghana and West Africa Reserves of 4.2 Moz (at end-2006) Production target of 390,000oz in 2007 Denver-based AMEX: GSS; TSX: GSC Widely held, good liquidity - Average 2.6M shares per day Market cap of $0.8 Billion 208 M shares (
Slide 5: Ghana - A Great Place To Be
5 Ghana - A Great Place To Be Well established democracy and laws Official language is English Great investment destination Mining friendly government Historically strong mining culture Access to trained personnel Embraced by the investment community Significant gold endowment, the "Gold Coast" Angl
Slide 6: Production Focus in Ghana
Production Focus in Map Aca GOLDEN STAR NIG a RESOURCES LTD. AMEX: GSS, TSK: GSC
Slide 7: Bogoso/Prestea Gold Mine, Ghana
7 Bogoso/Prestea Gold Mine, Ghana Open Pit Reserves as at end-2006 42 Mt @ 2.74 g/t for 3.7 Moz 80% of reserves are refractory Exploration upside at surface and underground Current Mining and Processing Open pit mining using owner mining fleet 1.5 Mtpa non-refractory processing plant Costs reduced o
Slide 8: Bogoso/Prestea - Site Map
8 Bogoso/Prestea - Site Map Bogoso/Prestea - Site Map
Slide 9: Bogoso Sulfide Expansion Project - BIOX Background
9 Bogoso Sulfide Expansion Project - BIOX(r) Background 80% of reserves are refractory New BIOX(r) plant will operate alongside existing CIL plant Combined capacity of 5.0 Mtpa BIOX(r) technology well proven Low tech and well suited to remote areas Environmentally friendly Extensive metallurgical te
Slide 10: Bogoso Sulfide Expansion Project - BIOX Flowchart
10 Bogoso Sulfide Expansion Project - BIOX(r) Flowchart Bogoso Sulfide Expansion Project - BIOX(r) Flowchart
Slide 11: Bogoso Sulfide Expansion Project - Status
11 Construction and commissioning are in final stages Likely in-service date of April 1 Major portions of new plant commissioned in 2006 Crusher, ball mill, SAG mill and CIL circuit commissioned Currently being used to process ore BIOX(r) performing well and bacteria are very active Module 1 (7 reac
Slide 12: Bogoso Sulfide Expansion Project - Photos
Bogoso Sulfide Expansion Project - Photos 12
Slide 13: Wassa Gold Mine, Ghana
13 Wassa Gold Mine, Ghana Open pit reserves as at end-2006 14 Mt @ 1.11 g/t for 0.5 Moz Current mining and processing Open pit mine using owner operated mining equipment Standard 4.0 Mtpa CIL processing plant Expect gold sales of 110,000oz in 2007 Operationally Wassa is working well Productivity and
Slide 14: Hwini-Butre & Benso, Ghana
14 Hwini-Butre & Benso, Ghana Acquired in December 2005 Measured and indicated resource of 5.2 Mt at 4.33 g/t Inferred resource of 1.6 Mt at 4.02 g/t Feasibility study nearing completion Truck or rail high grade open pit ore to Wassa Hwini-Butre (75km) and Benso (45km) Metallurgical testwork has sho
Slide 15: 2006 and Q4 - Highlights
15 Continued improvement in results in Q4* Gold sales of 53,406oz Cash operating cost of $382/oz Record full year* Gold sales of 201,407oz Cash operating cost of $421/oz Average realized price of $607/oz Solid progress elsewhere BIOX (r) in final stages Net proceeds of +$30 M from sale of EURO Resso
Slide 16: Gold Sales Profile - No Hwini-Butre and Benso
Gold Sales Profile - No Hwini-Butre and Benso 16
Slide 17: Exploration
17 Exploration Active exploration program $15M spent in 2006 and $15M committed for 2007 Focus on mine-based drilling Prestea Underground major focus in 2006 Improved size, grade and confidence in West Reef resource Feasibility study underway Hwini-Butre and Benso Exploration and orebody definition
Slide 18: West Africa Exploration
18 West Africa Exploration West Africa Exploration
Slide 19: Prestea Underground, Ghana
19 Prestea Underground, Ghana Past production of 9 Moz By several operators in 120 years of mining Golden Star doing first review and exploration of whole system Main focus in 2006 was West Reef Intact ore zone at 700m depth Feasibility study expected in 2007 Resource increased in 2006 Indicated res
Slide 20: Prestea Underground - Medium Term Targets
20 Prestea Underground - Medium Term Targets Prestea Underground - Medium Term Targets Stopes Main Reef HW - FW Zones Central Shaft Pillar Main Reef West Reef
Slide 21: Prestea Underground - West Reef
21 Level 17 Level 24 Level 30 1.26m @ 22.5g/t 1.76m @ 67.85g/t 2.90m @ 50.73g/t 4.96m @ 11.45g/t 1.30m @ 52.30g/t 0.5m @ 90g/t 1.17m @ 25.84g/t Grade Range Blue 0-1g/t Green 1-3g/t Red 3-10g/t Magenta 10-90g/t 1.33m @ 22.33g/t 2.83m @ 56.13g/t 3.68m @ 18.63g/t Prestea Underground - West Reef * Addit
Slide 22: Sustainability
22 Sustainability Committed to best practice in sustainability areas Active community development program since 1999 Focus on water, health, education Implemented formalized community endowment fund in 2006 Alternative livelihood focus Recognition that mining is finite Create lasting employment and
Slide 23: Community interaction in photos
Community interaction in photos 23
Slide 24: Power in Ghana
24 Power shortage in Ghana since August 2006 Low level of hydroelectric water reservoir Maintenance of thermal power stations Supplementing power with diesel generators Also implemented conservation measures at all mines Outlook is for continued rationing in 2007 Mining industry consortium tackling
Slide 25: Illegal Mining in Ghana
25 Illegal Mining in Ghana Nationwide issue Has impacted several mining companies High on Government agenda for past 2 years Changes made to improve ease of registering small scale mining claims to discourage illegal mining National program to remove illegal miners in 2006 Included removal of 4,500
Slide 26: Strengthened Management Team
26 Strengthened Management Team Management Team Peter Bradford, President and CEO Tom Mair, Senior VP CFO Colin Belshaw, VP Operations Peter Bourke, VP Technical Services David Partridge, GM Bogoso/Prestea Richard Gray, GM Wassa Daniel Owiredu, VP Ghana Mark Collopy, GM Projects Bruce Higson-Smith,
Slide 27: Why Invest in Golden Star?
27 Why Invest in Golden Star? Note: EV as of February 16, 2007
Slide 28: Concluding Remarks
28 Concluding Remarks Good progress in 2006 Record production of 201,407oz at $421/oz* Stabilized mining operations with record gold sales Started commissioning of BIOX(r) project Building blocks for the future taking shape Hwini-Butre & Benso feasibility due end-March Prestea Underground feasibilit
Slide 29: Need more information?
Need more information? Investor relations at Golden Star Web www.gsr.com Phone +1303-830-9000