Golden Heart Gold Mine Project

Golden Band Resources Inc.

Summary

Golden Band Resources Inc. (Golden Band) is ’s newest gold producer owns several gold deposits in the Gold Belt in northern Saskatchewan, including the Golden Heart deposit. The Golden Heart deposit is located approximately 180 kilometres (km) north of the community of La Ronge and approximately 10 km north-northeast of the Northern Settlement of .

In September 2010, Golden Band submitted a Project Proposal to the Saskatchewan Ministry of Environment for a gold mining project referred to as the proposed Golden Heart Gold Mine Project (Golden Heart Project). The project will involve the construction, operation and decommissioning of the Golden Heart gold mine and the transport and milling of the ore at the existing and currently approved Jolu gold mill.

Golden Band’s La Ronge Gold Project currently consists of the operating Roy Lloyd underground mine and the planned EP open pit mine, the former Komis underground mine, the operating Jolu mill and JAG/Mallard Tailings Management Facility (TMF) as well a number of other properties/deposits in various stages of exploration. The La Ronge Gold Project was subject to an environmental assessment in 2008 and 2009 and the development of the Golden Heart gold mine, as a continuation of the project, is being proposed to ensure an uninterrupted supply of ore to the Jolu mill.

The Golden Heart Project consists of:

 The upgrade of approximately 13 km of an existing exploration trail including appropriate stream crossings at 4 separate locations;  The development and operation of a gold mine which includes an open pit in year one and an underground mine originating from the lower level of the pit for three successive years (total 4 years of mining);  The surface storage of approximately 1.1 million tonnes of mine rock;  The construction and operation of various support facilities;  The decommissioning and reclamation of the mine and all associated infrastructure, including roads;  Conducting ‘transition phase monitoring’ to ensure that the decommissioning objectives have been met; and, eventually,  Transferring the decommissioned and reclaimed property to the Province of Saskatchewan.

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Employees at the Golden Heart site will be housed in local communities and transported to and from the site for individual shifts. Temporary trailers will be installed on the Golden Heart site to provide office space and mine dry facilities.

Approximately 460,000 tonnes of ore will be mined during the estimated four year life of the Golden Heart mine. All ore will be hauled by licensed highway trucks to the currently operating Jolu mill for milling and gold production. The solid and liquid waste (tailings) generated from the milling will be deposited in the existing, approved JAG/Mallard TMF.

The milling of Golden Heart ores at the Jolu mill will require no alterations to the Jolu mill, no additional buildings at the Jolu mill site, and no measureable increase in environmental impacts at that site. As demonstrated within the Golden Heart Gold Mine Environmental Impact Statement, the proposed Golden Heart Project will have a low and temporary impact on the environment. No cumulative impacts are expected.

If project approval is granted Golden Band will make a submission which will provide the details of the proposed environmental monitoring at the Golden Heart site, including water quality monitoring at and around the site.

As part of the environmental assessment process, Golden Band conducted public consultations in the communities of La Ronge, Brabant Lake, , Grandmother’s Bay, Sucker River, and Southend in January and February, 2011. In each community representatives of Golden Band provided a presentation on the project and responded to all questions.

Impacts on traditional pursuits such as hunting, fishing, trapping and the collection of medicinal plants is judged to be low in large part because of the relatively small area of the development and the fact that the area has been the subject of exploration and exploration drilling on numerous occasions since 1948. Access to the site will be on an upgraded trail that has existed for a number of years and little additional disturbance is required in order to improve the road.

Assuming a continued supply of ore, the La Ronge Gold Project is expected to continue to employ approximately 100 full time employees although the total at any one time will vary depending on activities and the schedule of mining. Of that total, it is expected that the Golden Heart mine will allow the continued employment of approximately 25 people. It is Golden Band’s intent to continue to secure a significant portion of the workforce, goods, and services from within the Northern Administration District of Saskatchewan.

Golden Band will decommission, cleanup and reclaim all sites related to the La Ronge Project including all roads and gravel quarries once the project is complete. Past experience in the region (e.g. Contact Lake Gold Mine) shows that the site can be decommissioned to a condition that will allow for the unrestricted access and use similar to that which the sites were subject to before any

Page 2 of 3 development occurred. As a result, the disturbance to traditional land use at the Golden Heart site is considered temporary.

By way of this submission, Golden Band is requesting environmental assessment approval of the proposed Golden Heart Project. Should such approval be granted, Golden Band intends to apply to the Ministry of Environment and other government ministries and agencies for the necessary approvals and permits to allow construction, operation and eventual decommissioning of the Golden Heart gold mine.

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