SASKATOON, March 27, 2013 /CNW/ - Golden Band Resources Inc. ("Golden
Band" or the "Company") (TSXV: GBN; OTCQX: GBRIF) wishes to further clarify and update shareholders on the activities
taking place at our operations in Saskatchewan.
As disclosed in a news release dated February 26, 2013, restructuring
and redesign of the Komis deposit ("Komis") has started and is
continuing at the Golden Band operation near La Ronge, Saskatchewan.
It is estimated that operations at Komis will be interrupted for 3 to 4
months while a new mining plan is being put into operation and the mill
There are a number of issues to deal with in the mining process. The
lack of readily available mill feed (approximately 550 tonnes per day
["tpd"] is required) from the mining operations has been one of the key
problems facing the Company. The delays in obtaining sufficient grade
and tonnes for the mill feed are being studied and a new mining plan is
being developed. For the last few months the mining operations at the
Komis pit has been erratic and a consistent flow of ore was not being
achieved. Dilution of the ore during the mining process was creating
a grade of material well below what was anticipated. New mining plans
are being designed for the Komis pit with the objective of increasing
the grade and tonnage of the mill feed.
The underground mining operation at the Roy Lloyd mine has been meeting
design estimates for tonnes and grade and management is pleased with
production from that source. Unfortunately, tonnage from this
underground operation is not large enough to meet the needs of the
mill. During the operational interruptions at Komis, mining at the Roy
Lloyd will continue as normal and ore produced will be stockpiled at
the ore stockpile at the mill.
Also, as previously reported in the February 26, 2013 news release,
efforts are focused upon accessing ore from the Golden Heart deposit
which is permitted for initial start-up as an open pit mine. A haul
road to the deposit is being constructed at present and is scheduled
for completion within a month. Ore production from the Komis open pit
and/or the Golden Heart open pit will be required for mill feed to be
maintained at about 550 tpd.
The mill has been temporarily shut down. During the shutdown phase, mill
upgrades and modifications will be completed. The mill is in overall
good condition and has delivered exceptional gold recoveries. of 94%
and is very adaptable to the diverse ore feed. The Company is in the
process of building a mill stockpile that will assist in returning the
mill to sustained production of 550 tpd of ore feed.
Also as previously disclosed on January 8, 2013, the Company in
conjunction with Masuparia Gold Inc is in the process of collecting a
bulk sample from the Greywacke North deposit. This deposit has been
permitted for a bulk sample for metallurgical test purposes and the
Joint Venture utilizing Company personnel are working on mining permits
for this deposit. It is expected that permitting for production will
be achieved in two years.
Mr. Paul Saxton, P. Eng., the Company's Chief Executive Officer and a
"Qualified Person" under National Instrument 43-101, reviewed and
approved the scientific and technical information contained in this
Golden Band would like to thank the shareholders for their continued
support as the Company undergoes significant changes to enhance its
mine productivity and add value to our shareholders' investments.
About Golden Band
Golden Band Resources is a gold producer operating in the La Ronge gold
belt in northern Saskatchewan and is listed on the TSX Venture Exchange
in Canada under the symbol GBN and traded in the United States on the
OTCQX under the symbol GBRIF. The Company has two producing mines, Roy
Lloyd and Komis. Commercial production was declared on April 1, 2011.
On February 26, 2013, the Company announced a temporary halt of mining
at the Komis deposit to free up equipment and personnel for the
construction of road access to the Golden Heart deposit. Operations at
the Company's Roy Lloyd mine continue and Jolu Mill operations will be
suspended until mill capacity can be improved. The Company has been
actively exploring the La Ronge Gold Belt since 1994 and has assembled
a land package of 870 km2, including 13 known gold deposits and four
former producing mines, being Jolu, Decade, Star Lake and Komis. The
Company plans to undertake aggressive drill programs throughout the La
Ronge Gold Project with the goal of significantly expanding the
existing NI 43-101 gold resources that have been identified to date.
On behalf of the Board of Directors of Golden Band Resources Inc.,
Paul Saxton, Chairman and Chief Executive Officer
Caution Regarding Forward-Looking Information and Statements
This news release includes certain forward-looking statements or
information. All statements other than statements of historical fact
included in this release, including, without limitation, statements
regarding the restructuring of Komis and other operations, estimates of
production, costs of production, the sufficiency and availability of
capital and financing and other future plans, objectives or
expectations of Golden Band Resources Inc. (Company) are
forward-looking statements that involve various risks and
uncertainties. There can be no assurance that such statements will
prove to be accurate and actual results and future events could differ
materially from those anticipated in such statements. Important factors
that could cause actual results to differ materially from the Company's
plans or expectations include risks relating to the actual results of
current exploration activities, fluctuating gold prices, possibility of
equipment breakdowns and delays, cost overruns, availability of capital
and financing, general economic, market or business conditions,
regulatory changes, timeliness of government or regulatory approvals
and other risks detailed herein and from time to time in the filings
made by the Company.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Golden Band Resources Inc.
For further information:
Raju Wani: 403 240 0555
Tony Perri: 604 682 6852