Golden Star completes purchase in Ghana

Denver-based Golden Star Resources Ltd. has completed its purchase of the Mampon gold property in Ghana from Ashanti Goldfields Company Limited for $9.5 million.

The property has 240,000 ounces of gold reserves, which will increase Golden Star's 2002 reserves to 2.5 million ounces.

"The acquisition of Mampon further expands our presence on the prolific Ashanti gold trend -- delivering both additional gold reserves and gold exploration upside," said Peter Bradford, CEO and president, in a statement.

Officials at the gold company said in a statement that they're also acquiring "certain gold prospecting licenses from Birim Goldfields Inc. and upon the completion of this further transaction will control approximately 84 kilometers [52 miles] of continuous strike on the Ashanti trend, centered around the company's Bogoso/Prestea mine."

They said they expect to produce 140,000 ounces of gold in 2003 at a cash cost of $185 per ounce from the Bogoso/Prestea mine.