Golden Band Resources: Bingo Deposit Resource Update

SASKATOON, March 19, 2013 /CNW/ - Golden Band Resources Inc. (Golden Band or Company) (TSX.V.GBN; OTCQX: GBRIF) is pleased to announce an update to the mineral resource estimate for the Bingo Deposit.  Bingo is a shear hosted quartz-vein high-grade deposit located 96 kilometers north of La Ronge, SK within the La Ronge Gold Belt.  The initial disclosure of a mineral resource for the Bingo deposit was made by the Company on June 29, 2006 and updated resource estimates have subsequently been provided.  This National Instrument 43-101 compliant mineral resource update was completed by the Company and the content, data disclosed, including analytical and test data underlying the information or opinions contained in the written disclosure have been verified and approved by Frank Hrdy, P. Geo., an independent Qualified Person under NI43-101.

As previously announced (see news releases of September 12, 2012), the results from the 2012 surface and underground drilling campaigns indicated significant potential to add to the Measured and Indicated resource of the Bingo deposit below the 1175 level (175 elevation).  The updated resource for the Bingo Deposit includes a Measured and Indicated resource of 155,383 tonnes at 12.60 grams per tonne gold utilizing a 5 gram per tonne cut-off grade. Of this total resource some 92,557 tonnes grading 14.78 grams per tonne of the Measured and Indicated are located below the 1175 level and are newly transitioned into these categories from previously contained Inferred resources.

Resource Estimate
Table 1: Resource Estimate for the Bingo Gold Deposit (Roy Lloyd Mine). A 5 g/t gold cutoff grade was used for this estimation.

Note:  Mineral resources that are not mineral reserves do not have demonstrated economic viability

Table 2: Remaining Resource above 175 Elevation (1175 ml). Several cutoff grades are shown to demonstrate how the Resource is affected. A 5 g/t gold cutoff is reported in Table 1.

Table 3: Resource below 175 Elevation (1175 ml). Several cutoff grades are shown to demonstrate how the Resource is affected. A 5 g/t gold cutoff is reported in Table 1

Production mining of the Bingo Deposit through the Roy Lloyd mine began in April, 2011and has since extracted some 121,131 tonnes of ore containing a recovered 48,907 ounces as of December 31, 2012.  Operations continue today extracting ore above the 1175 level.  Engineering, mine design and economic analysis are rapidly progressing to evaluate the resource below the 1175 level. Upon completion a new reserve estimate will be announced. In the interim, and to ensure continued flow of ore from the mine, decline work began in mid January to access the upper reaches of the resource below the 1175 level.

Estimation Method and Quality Control

A detailed account of the estimation method and quality control for the resource estimate presented in Table 2 are disclosed in a press release dated May 26, 2009 that can be found on SEDAR and the Company website and are presented below.

The assay results from 789 core samples taken during the fall 2008 drill program were incorporated into the Bingo assay database and were used to update the mineral resource. A total of 76 drill core samples were assayed by the "metallic" method and 713 core samples were assayed by the standard fire assay method. Golden Band implements a rigorous assay quality assurance/quality control program including the use of the reference standards and sample blanks. All samples were consigned for assaying to ALS Chemex in Vancouver, British Columbia, an ISO/IEC guideline 17025 accredited facility. In addition, 69 samples were sent to TSL Labs in Saskatoon, Saskatchewan for-assay checks. A total of nine surface channel sample cuts, 213 underground development face chip sample lines, 43 underground drill hole intersections, and 158 surface drill hole intersections of the Bingo zone were used to estimate the Bingo deposit gold resource. Resource estimation was constrained by a three-dimensional solid model that has a minimum 2 m width and was developed rom the most current geological and analytical data. Block size was 5x5x5 metres and grade estimation was carried out by the inverse distance squared method using 1-metre down hole composite samples. Statistically derived cap grades of 105 g/t Au for the Measured category and 70g/t Au for Indicated and Inferred categories were applied to all assay results used in the resource estimations. Blocks were estimated using a search ellipse at an orientation of 356 degrees, -65degrees plunge, and -10 degree dip, with maximum search distances of 25 metres for Indicated and 60 metres for Inferred categories. A factor of 0.75 was used for the semi and major axis of the search ellipse and a factor of 2 was used for the minor axis of the search ellipse. The Measured portion of the resource represents only the areas that were developed underground (see news release of July 21, 2008), with a 12.5-metre influence above and below the existing development. Tonnages were calculated using an average specific gravity of 2.75 grams/cm3, based on 147 measurements taken on mineralized core samples. In order to be included in the estimate, a block was required to have at least two composites within a maximum radius of 60 metres. Surpac version 6.1.1 was the software used to create the geological model and to estimate the resource.

In addition to what is stated in the above referenced document, solids of mined areas were constructed to remove all blocks that have already been mined from the estimate and all blocks that fall below the 1175 level were also removed.

The portion of the resource estimation disclosed in Table 3 was constrained by four three-dimensional grade shells that have a minimum width of 1 m and were used independently to better constrain the higher grade ore chutes. Block size was 1x1x1 meter and grade estimation was carried out by the inverse distance cubed method (ID³) using 0.5 meter down hole composite samples. A cap of 31.103 cap grade and a cut grade of 5 g/t gold were used for all resource classes. Blocks were estimated using a search ellipse at an orientation of 356 degrees, -60 degrees plunge, and -5 degree dip and with a search ellipse major/semi-major ratio 1, major-minor ratio 4. Maximum search distances of 10 meters for Measured, 50 m for Indicated and 100 m for Inferred class categories. Tonnages were calculated using an average specific gravity of 2.75 grams/cm³, based on 147 measurements taken on mineralized core samples. In order to be included in the estimate, a block was required to have a minimum of two and a maximum of 15 composite samples within the given search radius. Surpac version 6.3 was the software used to create the geological model and to estimate the resource. In addition to internal quality control on samples by the Company, seven drill hole samples from the most recent drilling and that fall within the mineralized zone were selected and sent to TSL Laboratories in Saskatoon as an independent check on sample QA/QC.

Frank Hrdy, P., Geo, a Geologist of Canminx Enterprises Ltd. has acted on behalf of Golden Band Resources Inc. as an outside consultant and is the Qualified Person as defined in NI43-101 for this disclosure and has reviewed and approved the scientific and technical information contained in this release.  The Company intends to file a technical report within 45 days of this new release.

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 and Jolu Mill continue. 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 relating to the potential mineralization and geological merits of the Bingo deposit and other mine properties, 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.