TORONTO, Oct. 18, 2018 /PRNewswire/ - Golden Star
Resources Ltd. (NYSE American: GSS; TSX: GSC; GSE: GSR) ("Golden
Star" or the "Company") announces that its board of directors (the
"Board") has approved a 5:1 consolidation of the common shares of
the Company (the "Consolidation"). At a special meeting of the
Company's shareholders on September 17,
2018, the Company's shareholders granted authority to the
Board to effect the Consolidation with 96.62% of votes cast in
favour. The common shares of the Company are expected to begin
trading on a Consolidation-adjusted basis when the market opens on
or about October 30, 2018.
Common shareholders will receive one post-Consolidation common
share for every five pre-Consolidation common shares owned. All
fractional shares created by the Consolidation will be rounded down
to the nearest whole share, as provided by Golden Star's Management Information Circulated,
dated August 14, 2018.
Golden Star's common share count
will be reduced from approximately 544.0 million outstanding common
shares to approximately 108.8 million outstanding common shares
post-Consolidation. Golden
Star's common shares will continue to trade on the Toronto
Stock Exchange, the NYSE American and the Ghana Stock Exchange
under the existing ticker symbols but will trade under a new
CUSIP. The Company believes that a reduction in the number of
outstanding common shares will increase Golden Star's flexibility and competitiveness in
the marketplace and may make its shares more attractive to
potential investors.
Golden Star's transfer agent,
American Stock Transfer and Trust Company ("AST"), will act as the
exchange agent for the Consolidation. Registered shareholders
will be sent a letter of transmittal from AST as soon as
practicable after the effective date of the Consolidation.
The letter of transmittal will contain instructions on how to
surrender certificate(s) representing pre-Consolidation common
shares to AST. AST will forward to each registered
shareholder who has sent the required documents a new share
certificate representing the number of post-Consolidation common
shares to which the shareholder is entitled. Until
surrendered, each share certificate representing pre-Consolidation
common shares will be deemed for all purposes to represent the
number of whole post-Consolidation common shares to which the
holder is entitled as a result of the Consolidation. Please
contact AST for further information at +1 (800) 937-5449.
All monetary amounts refer to United States dollars unless otherwise
indicated.
Company Profile
Golden Star is an established
gold mining company that owns and operates the Wassa and Prestea
mines in Ghana, West Africa.
Listed on the NYSE American, the Toronto Stock Exchange and the
Ghana Stock Exchange, Golden Star is
focused on delivering strong margins and free cash flow from its
two high grade, low cost underground mines. Gold production
guidance for 2018 is 225,000-235,000 ounces at a cash operating
cost per ounce of $790-830. As the
winner of the PDAC 2018 Environmental and Social Responsibility
Award, Golden Star is committed to
leaving a positive and sustainable legacy in its areas of
operation.
Cautionary note regarding forward-looking information
Some statements contained in this news release are
"forward-looking information" within the meaning of Canadian
securities laws and "forward-looking statements" within the meaning
of the Private Securities Litigation Reform Act of 1995.
Generally, forward-looking statements and information can be
identified by the use of forward-looking terminology such as
"plans", "expects", "is expected", "budget", "scheduled",
"estimates", "forecasts", "intends", "anticipates", "believes" or
variations of such words and phrases (including negative or
grammatical variations) or statements that certain actions, events
or results "may", "could", "would", "might" or "will be taken",
"occur" or "be achieved" or the negative connotation
thereof. Forward-looking statements and information include,
but are not limited to, statements and information regarding the
implementation of the Consolidation; the timing of the
Consolidation; the timing of the Consolidation-adjusted shares
beginning trading; the change in the Company's common share count;
and the ability of the Company to meet its 2018 guidance for gold
production and cash operating cost per ounce. Investors are
cautioned that forward-looking statements are inherently uncertain
and involve risks, assumptions and uncertainties that could cause
actual facts to differ materially. Factors that could cause
actual results to differ materially include risks related to
international operations, including economic and political
instability in foreign jurisdictions in which Golden Star operates; risks related to current
global financial conditions; actual results of current exploration
activities; environmental risks; future prices of gold; possible
variations in mineral reserves, grade or recovery rates; mine
development and operating risks; accidents, labor disputes and
other risks of the mining industry; delays in obtaining
governmental approvals or financing or in the completion of
development or construction activities and risks related to
indebtedness and the service of such indebtedness. There can
be no assurance that future developments affecting the Company will
be those anticipated by management. Please refer to the
discussion of these and other factors in Management's Discussion
and Analysis of financial conditions and results of operations for
the year ended December 31,
2017. Additional factors are included in our annual
information form for the year ended December
31, 2017 which is filed on SEDAR at www.sedar.com. The
forecasts contained in this press release constitute management's
current estimates, as of the date of this press release, with
respect to the matters covered thereby. We expect that these
estimates will change as new information is received. While we
may elect to update these estimates at any time, we do not
undertake to update any estimate at any particular time or in
response to any particular event.
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SOURCE Golden Star Resources Ltd.