Golden Star Resources said it has resumed mining at its Pampe gold deposit in Ghana, a move that will help increase overall production and slash cash operating costs at the Bogoso/Prestea mine in the region.

The Pampe mine, located near the company's Bogoso processing plant in Ghana, is expected to generate up to 75,000 tonnes of ore per month from January next year, the company said in a statement.

The Bogoso/Prestea and Pampe mines are expected to help increase production at the Bogoso plant by about 80,000-90,000 ounces of gold in 2012 at an estimated cash operating cost of $650 per ounce, Golden Star said.

The company reported a cash operating cost of $1,383 per ounce for the Bogoso plant in the second quarter.

The Bogoso plant, which has a production capacity of 1.5 million tonnes a year, is being upgraded and is expected to be re-commissioned in January.

The Pampe deposit -- which the company mined from 2007 to 2008 -- and Golden Star's Prestea South and Mampon pits are expected to keep the plant operational at capacity for next seven years.

Shares of the company were flat at C$2.38 in early trade Thursday morning on the Toronto Stock Exchange.