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GBN: TSX Venture Exchange | OTCQX: GBRIF




SASKATOON, SK, June 20, 2013 /CNW/ - Golden Band Resources Inc. ("Golden
Band" or the "Company") (TSXV: GBN; OTCQX: GBRIF) announces that it has
entered into a credit accommodation agreement (the "Credit
Accommodation Agreement") with the Kitsaki/Procon Joint Venture (the
"JV") whereby the JV has agreed to defer payment in the amount of $23
million, in respect of goods and services provided to Golden Band up to
and including February 28, 2013, until April 1, 2016 at which time
monthly repayments of $958,333 will become payable. Effective March 1,
2013, interest will accrue at a rate of 10% per annum payable monthly.


The terms of the Credit Accommodation Agreement require the Company to
grant a security interest to the JV which will charge the Company's
assets as collateral for the Credit Accommodation Agreement; however,
such collateral will be subordinate to the interest of Procon Resources
Inc.


The JV is a non-arm's length party within the meaning of the policies of
the TSX Venture Exchange as the JV (or certain of its affiliates or
associates) and the Company have certain directors in common. As such,
the TSX Venture Exchange deemed this transaction to be a related party
transactions. Related party transactions are generally subject to the
formal valuation and minority approval requirements set out in
Multilateral Instrument 61-101 of the Ontario Securities Commission,
unless an exemption is available. However, borrowing money from, or
entering into a credit facility with, a related party is not a type of
transaction that requires a formal valuation and therefore the formal
valuation requirements do not apply. Further, an exemption from the
minority approval requirement is available under subsection 5.7(f) of
that instrument. Under subsection 5.7(f) of that instrument, a loan,
or the creation of a credit facility, that is obtained by the issuer
from a related party on reasonable commercial terms that are not less
advantageous to the issuer than if the loan or credit facility were
obtained from a person dealing at arm's length with the issuer and the
loan, or each advance under the credit facility, if not convertible,
directly or indirectly, into equity or voting securities of the issuer
or repayable as to principal or interest in equity or voting
securities.


This transaction has been approved by the board of directors of Golden
Band. Each of the directors who is also a director of the JV (or any
of its affiliates or associates) declared a conflict of interest and
abstained from voting.




About Golden Band


Golden Band Resources Inc. 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 CEO

Contact: (306)385-7144


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 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 operations, current exploration
activities, fluctuating gold prices, possibility of equipment
breakdowns and delays, cost overruns, 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. The Company makes all
reasonable efforts to update its corporate information on a timely
basis.


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:

Jim Gee, Business Services Manager Office: 306 955 0787 Email: info@goldenbandresources.com http://www.goldenbandresources.com/">www.goldenbandresources.com