It had made a US$470 million cash offer to buy Golden Star Resources on November 1, after its previous bid to buy Resolute Mining's Bibiani gold mine in the country was thwarted.

Golden Star said yesterday the Ghanaian Ministry of Lands and Natural Resources had informed Chifeng it had "no objection" to Chifeng becoming the controller of Golden Star (Wassa) Limited.

It said the ministry's approval of the transaction was subject to customary conditions.

Wassa is expected to deliver at the upper end of revised production and cost guidance this year, of 145,000-155,000 ounces at an all in sustaining cost of $1,150-$1,250/oz.

Ghana's government owns 10% of the mine.

Chifeng planned to fund its 62% share of the Golden Star purchase through its current cash balance and committed debt facilities, with an unnamed third party to acquire the remaining 38%.

It's offering $3.91 per share.

Golden Star shares (NYSE American: GSS) closed up 1.9% yesterday to $3.76, valuing it at $435 million.

Chifeng shares (SHSE: 600988) are trading at the middle of a one-year range, at CNY16.65, which capitalises it at CNY28.4 billion (US$4.4 billion).