TORONTO -- (Marketwired) -- 08/12/13 -- Golden Star Resources Ltd. (NYSE MKT: GSS) (TSX: GSC) (GHANA: GSR)
•Gold sold during the second quarter of 2013 was 85,090 ounces, 4.6% higher than the 81,361 ounces sold in the first quarter of 2013, despite the cessation of operations at the Pampe pit in April. Gold sold in this quarter is in line with the 85,183 ounces sold during the second quarter of 2012.
•Total gold sold during the six months ended June 30, 2013 was 166,451 ounces, in line with 2013 guidance of 290,000 to 310,000 ounces.
•Consolidated cash operating cost per ounce(1) was $1,078 per ounce for the second quarter of 2013, compared to $971 per ounce for the second quarter of 2012 and $1,124 per ounce in the first quarter of 2013.
•Revenue decreased by approximately 12% to $120.7 million for the second quarter of 2013, down from $136.3 million generated during the second quarter of 2012. This decrease is due in large part to the decrease in the average realized gold price of $1,418 per ounce for the second quarter of 2013, down from $1,600 for the same period of 2012.
•Net cash flow provided by operating activities for the quarter ended June 30, 2013 was $29.5 million, up from $24.1 million for the same period of 2012.
•Consolidated cash balance at June 30, 2013 was $52.7 million.
•During the second quarter of 2013, $169.6 million of after tax non-cash impairment charges were booked, largely as a result of lower expected gold prices.
•Net loss attributable to Golden Star shareholders in the second quarter of 2013 was $128.8 million, compared with a net income of $0.04 million for the same period of 2012. The adjusted net loss attributable to Golden Star shareholders(2) for the second quarter of 2013 was $19.8 million compared with adjusted net income of $8.2 million for the same period of 2012.
•The Company successfully transitioned from US GAAP to IFRS and reported its financial results in accordance with IFRS for the first time in these interim financial statements with an effective transition date of January 1, 2012.
Golden Star Resources Ltd. (NYSE MKT: GSS) (TSX: GSC) (GHANA: GSR) ("Golden Star" or the "Company") today reported its financial results for the second quarter ended June 30, 2013. All references to currency are to US dollars.
Sam Coetzer, President and CEO of Golden Star, commented: "The second quarter of 2013 was pivotal for the Company as it continued to navigate a difficult market for gold producers. Operationally, the Company remains on track to meet its forecasted production and sales volumes for 2013. We are encouraged by the results from our Wassa/HBB operations where we continue to lower our costs and increase our margins. During this quarter, we took actions to safeguard our financial position by being conservative with our cash position, deferring capital spending, and instituting cost-reduction measures specifically at Bogoso/Prestea. Subsequent to quarter end, we were able to secure an additional $50 million in the form of a medium-term loan from Ecobank Ghana Limited, and net proceeds of $7.4 million from the sale of non-core assets which will provide us with a strengthened balance sheet and increased flexibility moving forward."
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