ORDER had been resumed at Golden Star Resources’ Prestea mine in Ghana following “a security incident” this week, the company said.
“I can confirm that there was security incident, the Ghana Police have dealt with it and operations are continuing,” said a Golden Star spokesman in an e-mail. “The authorities and community have all been very supportive of the operation.”
Ghanaian news website myjoyonline reported on August 17 that mining had been brought to a standstill after armed men “laid siege” at Prestea. Three people were injured.
The mine, which Golden Star has agreed to sell, had been the target of an “illegal entry”, the news site said in its report citing Gerald Osei Boakye, group manager for corporate affairs at Golden Star.
Golden Star said in July that it would sell Prestea to mining junior, Future Global Resources (FGR) for $55m, potentially increasing to $90m. Golden Star wrote down Prestea for $56.8m in February following a restructuring.
FGR will pay $5m in cash and assume $25m in negative working capital as per Prestea’s end-quarter accounts.
The balance of $25m is payable in two tranches of $10m by July 31, 2021 and $15m by July 31, 2023. Golden Star said it hoped to complete the transaction in September.
