Mr. Ronald Netolitzky reports

GOLDEN BAND RESOURCES ANNOUNCES JOLU MILL START-UP AT LA RONGE GOLD PROJECT

Golden Band Resources Inc. has provided a progress update for the 100-per-cent-owned La Ronge gold project in Northern Saskatchewan. Processing of high-grade stockpiled material from the Roy Lloyd mine (Bingo deposit) has now commenced, and the first pour of gold bullion at the company's Jolu mill will occur when sufficient gold-in-circuit inventory has been achieved. The company plans for this to occur before the end of December.

Jolu mill refurbishment and construction

Refurbishment and construction of the Jolu mill and associated infrastructure including the Jolu above-ground tailings management facility, assay lab, offices and workshop have been completed. The commissioning phases required to test all systems have been completed, and the Jolu mill is now operational. During the commissioning phase, a parcel of low-grade material from the Roy Lloyd mine (Bingo deposit) was treated through the gravity and leach circuits of the mill. The mill is now operating at a capacity of 400 tonnes per day as planned.

Gary Haywood, vice-president, operations, and chief operating officer, reports: "It was our plan to use a diesel generator to provide main power for the initial commissioning of the mill, however, that generator suffered mechanical issues that forced us to switch over to the grid power earlier than planned. Although this switch required more initial time to implement, we now have a consistent power supply and a reliable backup for the winter months. During the switchover, cold weather consequently caused freeze-up of the thickening circuit, and we experienced a longer delay than anticipated."

Ore haulage from the Roy Lloyd mine (Bingo deposit) is under way, and a high-grade stockpile has been established at the Jolu mill.

Video of the progress of the commissioning and operation of the mill can be viewed on the company's website.

Roy Lloyd mine development

The company is pleased to report that the preproduction phase is nearing completion. Surface construction of the workshop, office and warehouse facilities is completed, and the remaining work to install the main ventilation fan and heaters is in progress.

All underground mine developments associated with the first production areas of the mine, from the 1,340 level to surface, have now been completed, and work is progressing to prepare the first ore block for production drilling and blasting.

Open-pit mining is also nearing completion as the final five-metre bench is expected to be completed in early January.

Current stockpile levels of ore feed from the mine are estimated as 12,326 tonnes of high grade at 14.00 grams per tonne gold for a calculated gold content of 5,550 ounces. A low-grade stockpile containing 10,981 tonnes at 4.77 g/t gold has also been established and will remain in place for future processing consideration. At full operation, the Roy Lloyd mine will produce 350 tonnes per day of high-grade ore.

Komis/EP mine development

The company reports that construction and site preparation of the Komis/EP site have been completed in preparation for open-pit mining of the EP gold deposit. Kitsaki Procon JV has mobilized equipment to site, and the company expects that mining operations will commence in January, 2011, upon completion of open-pit mining at the Roy Lloyd mine (Bingo deposit). The EP open pit will produce an average of 425 tonnes of ore per day and will provide the additional mill feed required to increase the ore feed rate at the Jolu mill to 700 tonnes per day.

Resource definition drilling

The company reports that drilling on the Komis gold deposit has been successfully completed (see news in Stockwatch on Oct. 28, 2010). Eight holes, totalling 1,532 metres, were drilled to test extensions to the current resource (see news in Stockwatch on Dec. 9, 2009), along strike and at depth. Samples have been submitted to the Saskatchewan Research Council (SRC) laboratory in Saskatoon, and assay results should be available by end of January.

Drilling will start at the Golden Heart gold deposit in early January, 2011.