Golden Star Resources Ltd.
) moved up as much as 18% after it reported healthy preliminary
production results for third-quarter 2013.
Golden Star sold 88,915 ounces of gold during the quarter at an
average realized price of $1,329 per ounce. Of this,
Bogoso/Prestea mine sold 44,085 ounces of gold and Wassa/HBB
operations sold 44,830 ounces of gold in the quarter.
Gold sales reflect an increase of 4.5% from 85,090 ounces of gold
sold at an average realized price of $1,418 per ounce in
second-quarter 2013. Bogoso/Prestea mine sold 34,316 ounces of
gold and Wassa/HBB operations sold 50,774 ounces of gold in the
Golden Star sold 255,366 ounces of gold as of Oct 3, 2013. , It
had a cash balance of $67 million as of Sep 30, 2013, and also
held an additional available cash resource of $40 million from
the undrawn portion of the Ecobank term loan facility.
Golden Star noted that Bogoso mine's production increased quarter
over quarter owing to increased processing throughput. Stripping
at Chujah and Bogoso North have shown solid progress in the third
quarter., However stripping ratios are expected to decline in the
fourth quarter resulting in a decrease of costs moving forward.
The Wassa mine performed as per plan. With the current production
trends from the mines, the consolidated annual production for
2013 is expected to reach the high end of the company's guidance.
For 2013, Golden Star expects its gold production to be within
290,000 ounces to 310,000 ounces. Cash operating costs are
anticipated to be in the range of $1,050 to $1,150 per ounce.
Golden Star, which currently retains a Zacks Rank #3 (Hold),
will come up with its third quarter results on Nov 4 before the
Some companies in the gold mining industry worth considering
Alamos Gold Inc.
Gold Fields Ltd.
). All of them hold a Zacks Rank #2 (Buy).
ALAMOS GOLD INC (AGI): Free Stock Analysis
FRANCO NV CP (FNV): Free Stock Analysis
GOLD FIELDS-ADR (GFI): Free Stock Analysis
GOLDEN STAR RES (GSS): Free Stock Analysis
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