Golden Band Resources: Corporate Update

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 undergoes refurbishment.

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 news release.

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"
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:

Investor Relations: 
Raju Wani: 403 240 0555
Tony Perri: 604 682 6852

Profil de l'entreprise

Golden Band Resources Inc.

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