Golden Star Advises of Power Shortages in Ghana and Potential Short-Term Impact on Operations.

DENVER -- Golden Star Resources Ltd. (AMEX:GSS) (TSX:GSC) today advised that the wholesale power utility in Ghana, namely the Volta River Authority, has advised of potential power shortages in Ghana and the need for bulk users (which would include Golden Star) to curtail their power consumption by as much as 25 to 50%.

The Volta River Authority relies on power from the Volta Hydroelectric Power Station, Aboadze Thermal Power Station and imports from Cote d'Ivoire. Currently the Aboadze Thermal Power Station is operating at less than full capacity due to retrofitting, to operate on gas when the West African gas pipeline comes online in late 2006. In addition, the Volta River Authority has stated that the Volta Reservoir is at low levels resulting in decreased efficiency of the turbines. Historically, the Volta Reservoir is replenished by rainfall on an annual basis and, assuming that rain will replenish the Volta Reservoir this year, this should result in an increase in water levels in the reservoir in the September to October period resulting in increased power generation efficiency.

Golden Star has the capacity to generate a portion of its power requirements using diesel fired power generators and expects that it could maintain current operations by using this generating capacity to make up a 25 to 50% curtailment in consumption from the grid power. The cost of diesel generated power, at current diesel prices, is about five times the cost of grid power, which would result in a combined increase in monthly power costs for Bogoso/Prestea and Wassa of about $0.7 to $1.4 million.

The Company, along with other mining companies in Ghana, expects to meet with Government and the Volta River Authority in the coming week to better understand the situation and to discuss the implications of the power shortage on the start up of the Bogoso Sulfide Expansion Project, but expects to do so this week following which additional information will be provided.

The statement from the Volta River Authority can be found on the Company's website at www.gsr.com.

Company Profile

Golden Star holds a 90% equity interest in the Bogoso/Prestea and Wassa open-pit gold mines in Ghana. In addition, Golden Star has an 81% interest in the currently inactive Prestea Underground mine in Ghana, as well as gold exploration interests elsewhere in Ghana, in other parts of West Africa and in the Guiana Shield of South America. Golden Star has approximately 208 million shares outstanding.

Statements Regarding Forward-Looking Information: Some statements contained in this news release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and within the meaning of Canadian securities laws. Investors are cautioned that forward-looking statements are inherently uncertain and involve risks and uncertainties that could cause actual events and results to differ materially. Such statements include comments regarding the timing of the West African gas pipeline, the timing and impact of increased water levels in the Volta Lake, and the expected increase of monthly power generation costs for Bogoso/Prestea and Wassa. Actual future events and results may differ materially, including: increased delays in bringing the West African gas pipeline on line; delays in the recommencement of power generation at the Aboadze Thermal River Station; weather and rain patterns which are not in line with historical experience which, in turn, could result in less power generation efficiency from Volta Lake; increased costs of diesel fuel; and protracted power curtailment initiatives by the Volta River Authority. The forward-looking statements contained in this press release constitute Golden Star's current estimate and beliefs as of the date of this press release, with respect to the matters covered hereby. Investors and others should not assume that any forward-looking statement contained in this news release represents Golden Star's estimate and beliefs as of any date other than the date of this news release. There can be no assurance that future developments will be those anticipated by Golden Star.