2. Golden Star Resources Limited
ALTERNATIVE COMMUNITY LIVELIHOOD PROGRAMME
INITIATIVE BY GOLDEN STAR RESOURCES
(THE GSOPP CASE )
October, 2006
Mary Ankomah Boakye Boateng
GOLDEN STAR OIL PALM PLANTATIONS LTD
P O Box Airport Post Office
Accra, Ghana
Tel – office (site):
Tel-mobile:
Fax:
Fax:
Golden Star Resources Ltd.

3. Presentation Plan Golden Star Limited Project Location GSR Mines Ltd
ALP Initiatives
The GSOPP
Objectives
Achievements to-date
Socio Economic Impact
The way forward
Funding Requirements
Golden Star Resources Ltd.

4. Golden Star Limited Location in Ghana Wassa Mine Bogoso/Prestea
Golden Star Resources Ltd.
Golden Star Resources Ltd.

5. Golden Star Limited
Overview of Golden Star Resources Limited
Canadian international mining company with head office in Denver, Colorado
Has 2 operating mines in Ghana:
Wasa mine
Bogoso/Prestea mines
● Production of 200,000 ounces of gold in 2005
Golden Star Resources Ltd.

6. CSR Strategy Golden Star Limited
GSR has undertaken a lot of projects in and around the communities it operates:
Corporate Responsibility:
Many projects around the operating mines
Health, education, sanitation and water
Alternative livelihood projects
Golden Star Resources Ltd.

7. CSR Strategy Golden Star Limited
Oil Palm out-grower scheme started in 2003
Initial concept resulted in small positive effects.– concept needed revision.
Fish farming Project Started 2003
Initial concept resulted in small positive effects but benefits remain limited
Sericulture Project Started 2003
Initial demonstration development indicated that benefits not widespread in the community.
Golden Star Resources Ltd.

8. Golden Star Limited Poultry project started 2005
Limited number of farmers continuing.
Other trials – batik-tie & dye, snails, etc…
_ Show limited effects throughout the community
Lessons: Need a business case with a simple model that leverages the stakeholder’s skills to provide continuing employment and regular income.
Golden Star Resources Ltd.

9. Golden Star Limited
Golden Star Oil Palm Plantations Limited (GSOPP) has been established to use the smallholder concept of oil palm development:
Traditional authorities provide land and local people are paid for their labour to develop the project.
GSOPP provides development capital and operating funds (loans to smallholder farmers)
GSOPP provides technical support
GSOPP purchases fruit
After 3 years, farmers will trained to operate the small plots and will then be beneficiaries of plots (4 ha).
Golden Star Resources Ltd.

10. Golden Star Limited Oil Palm Development
Oil palm grows well in western Ghana
Oil palm plantations have been used as the end-land use for closed out tailings disposal facilities.
Local large plantations are successful (Unilever in Ghana – 2 plantations (approx. 6,000 ha each).
GSR sees oil palm cultivation as a leading sustainable economic venture that will contribute broadly to the local and national economies.
 Oil palm development is a familiar business in the Western region of Ghana – the local population is engaged with it daily.
Golden Star Resources Ltd.

11. Golden Star Limited The Objectives of GSOPP are: Oil Palm Development
Provide a lasting and positive economic effect as a result of contributions from mining;
Poverty reduction through employment generation;
Providing an end-land use for tailings disposal facilities that contributes to the local economic for the long term.
Golden Star Resources Ltd.

12. Golden Star Limited Business Summary Project time frame, years 13
Total area planned, hectares
10,000
Small holders to benefit
2,500
Employment benefits
20,000
Expenditure over 13 years, $m 36
Net Present Value from year 9
Positive
IRR (%) over 20 years (at15% discount) 28
Golden Star Resources Ltd.

13. Gross Revenue Distribution
Golden Star Limited
Gross Revenue Distribution
Development cost recovery by GSRL %
GSOPP running/admin expenses %
Rent to Traditional leaders (Landowners) %
Fertilizer/inputs fund %
Smallholder Farmers %
Golden Star Resources Ltd.

14. Achievements/Project Status
Golden Star Limited
Achievements/Project Status
Total land pledged, hectares
20,000
Total land leased, hectares
8,500
Land cleared in 2006, hectares
400
Land planted to oil palms, hectares
Oil palm seedlings nursery started
200,000
Employees
313
Average daily wage
¢52,000
$5.65
Golden Star Resources Ltd.

15. Golden Star Limited Way Forward/Vision
GSOPP will develop a successful sustainable alternative livelihood project that demonstrates the benefits of partnerships with mining companies.
Complete a cost-benefit analysis with a view to installing a palm oil processing plant
Evaluate the option to manufacture bio-diesel.
Reduce the need for people to work on illegal activities such as Galamsey
Golden Star Resources Ltd.

16. Golden Star Limited Golden Star Oil Palm Plantations Ltd
Planting of palms commenced on 6th July 2006.
These women form part of over 300 employees engaged in carrying seedlings to the planting points.
Golden Star Resources Ltd.

17. Pre- germinated Palm nut Seeds
Golden Star Limited
Pre- germinated Palm nut Seeds
Golden Star Resources Ltd.

18. The main Nursery Under Construction
Golden Star Limited
The main Nursery Under Construction
Golden Star Resources Ltd.

19. Pre nursery - a month old Seedlings
Golden Star Limited
Pre nursery - a month old Seedlings
Golden Star Resources Ltd.

20. Golden Star Limited
Main nursery
Golden Star Resources Ltd.

21. Golden Star Limited
Grown Palm Trees
Golden Star Resources Ltd.

22. Golden Star Limited Matured palm trees Fish Farming Sericulture
Golden Star Resources Ltd.

23. Matured Oil Palm Fruits
Golden Star Limited
Matured Oil Palm Fruits
Sericulture
Fish Farming
Golden Star Resources Ltd.

24. Golden Star Limited Harvested Palm Fruits Fish Farming Sericulture
Golden Star Resources Ltd.

25. Thanks Golden Star Limited Fish Farming Sericulture
Golden Star Resources Ltd.

26. Golden Star (Bogoso / Prestea) Limited