/NOT FOR DISTRIBUTION IN THE U.S.A. OR TO U.S. RESIDENTS/
GBN: TSX Venture Exchange
SASKATOON, Sept. 15 /CNW/ - Golden Band Resources Inc. (GBN: TSXV) (the
"Company") announced today that its non-brokered unit private placement has
closed. The Company has issued 9,000,000 units at a price of $0.20 per unit
for gross proceeds of $1,800,000. The units each consist of one share and one
warrant, each warrant entitling the holder to purchase one additional share of
the Company at a price of $0.28 per share for a period of 12 months from
closing. Each warrant shall be exercisable into one common share of the
Company at $0.28 per share. Commencing on the date that is four months and one
day after the closing date, if the closing price of the Company's common
shares on the TSX Venture Exchange, or any other stock exchange on which the
Company's common shares are then listed, is at a price equal to or greater
than $0.40 for a period of 15 consecutive trading days, the Company will have
the right to accelerate the expiry date of the warrants by giving written
notice to the holders of the warrants that the warrants will expire on the
date that is not less than 30 days from the date notice is provided by the
Company to the warrant holders.
In addition, the Company paid finders' fees totalling $68,125 to
arms-length parties involved in the private placement and issued 340,625
warrants to finders. The finders' warrants have the same terms as the warrants
issued pursuant to the financing.
Certain directors and officers participated in the private placement
purchasing a total of 4,500,000 units on the terms set forth above and such
participation was approved by the independent directors of the Company.
The securities are subject to a four-month plus one-day hold period from
September 15, 2008 in accordance with applicable securities laws.
The proceeds of the sale of the units will be used for the Company's
development-related work in connection with its plans to start gold production
using the Company's Jolu mill, a potential acquisition, and for general
On behalf of the Board of Directors of Golden Band Resources Inc.,
"Rodney G. Orr"
Rodney G. Orr, P.Geo.,
President & CEO
Cautionary Statements on Forward-Looking Information: The statements made
in this News Release may contain certain forward-looking information. Actual
results may differ materially from those currently anticipated in such
statements. Certain risk factors may also materially affect the actual results
achieved by the Company. Potential and current shareholders are cautioned not
to place undue reliance on forward-looking information. The Company undertakes
no obligation to update publicly or otherwise revise any forward-looking
information whether as a result of new information, future events, or other
such factors that may affect this information, except as required by law.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
For further information:
For further information: Rodney Orr, President & CEO, Golden Band
Resources Inc., Phone: (306) 955-0787 x7123, Fax: (306) 955-0788, Email:
email@example.com, www.goldenbandresources.com; Motivia
Communications: Roger Francis, (306) 242-0694 x5, Toll free: 1-866-501-5651,