Golden Band Resources Inc.

Golden Band Resources Inc.

December 22, 2006 11:51 ET

Golden Band Resources Closes $4.7 Million Private Placement

SASKATOON, SASKATCHEWAN--(CCNMatthews - Dec. 22, 2006) - Golden Band Resources Inc. (TSX VENTURE:GBN) announced today that it has closed its previously announced (December 12 and 13, 2006) private placement for a total of $4,700,735. The financing totalled 8,332,863 flow-through shares at a price of $0.48 per flow-through share and 1,557,690 units at a price of $0.45 per unit. Each unit consists of one common share and one half of one common share purchase warrant. Each whole warrant is exercisable to purchase one common share of the company at a price of $0.65 for a period of two years from the closing date of the private placement, subject to adjustment. 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 $0.90 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.

The shares issued pursuant to the financing are subject to a four-month plus one-day hold period from the closing date in accordance with applicable securities laws.

Cash finder's fees of $257,738 based on 7% of the gross proceeds raised are payable to arms-length parties involved in certain of the transactions. The amount paid in finders fees is 5.5% of the gross proceeds.

Directors and officers have purchased a total of 72,000 flow-through shares and 704,346 units.

Proceeds from the sale of the flow-through shares will be used to fund an anticipated underground program at Bingo and winter drilling on the company's La Ronge Project in Saskatchewan. Proceeds from the sale of the units will be used for general working capital.

On behalf of the Board of Directors,

Ronald Netolitzky, President, and Director

All of Golden Band's exploration programs and pertinent disclosure of a technical or scientific nature are prepared and/or designed and carried out under the supervision of Ron Avery, P.Geo., Golden Band's Exploration Manager, who serves as the qualified person (QP) under the definitions of National Instrument 43-101.

Forward-Looking Information: Certain information contained in this document, including any information as to our future financial or operating performance, constitutes "forward-looking statements". The Company may, from time to time, also make oral forward-looking statements. All statements other than statements of historical fact are forward-looking statements. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Many factors may affect our actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, us. Readers are cautioned that forward-looking statements are not guarantees of future performance. All of the forward-looking statements made in this document are qualified by these cautionary statements. We disclaim any intention or obligation to update or revise any oral or written forward-looking statements whether as a result of new information, future events, or otherwise.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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