Sierra Leone: Sunergy Updates Dredging Operations on Its 141 Sq. Km. Pampana River Rare Earth

Sunergy, Inc is pleased to update shareholders on its dredging operations on the Pampana River in Sierra Leone, West Africa. The discussion that follows is from an operations report prepared by Dale Bourassa, Operations Manager for Allied Mining in Sierra Leone.

The first dredge was launched on April 15th and the first day of operation was the 16th. Up to yesterday (the 17th of May) the dredge has been on the river for 1 month. We began by prospecting the best areas to work, and primarily, those were the areas of the least amount of overburden. When such an area was found, we would work there and make a determination as to whether or not we should continue or move to another site. We would clean the sluice (upper and lower at this point) and if the visible free gold was a respectable number, typically 1 to 2 grams of gold per ton of feed gravel, we would stay there.

A decision to not stop the dredge for the cleaning of the sluice dramatically increased our production of the black sand and gold concentrate. We discovered that the sluice was only capturing about 20% of the free gold and 80% (or more) was going directly into the sump. We have modified the dredges so that closer to 100% now goes into the sump and we pump directly from the sump to an area adjacent to the river bank. The concentrates are then moved to our secure compound awaiting future processing. We have left the free gold, which may be substantial, in the black sand concentrate to be extracted under more secure conditions. We are now concentrating on production volume with the black sand/gold concentrates. One of the reports we received stated that there is twice as much concealed gold in the REEs so we wish to recover the most amount of gold under optimum conditions in one operation.

Primary Dredge Location: #1

Once we got into the gravel at this location (location deleted for security purposes), we have received approximately 1.5 g of visible gold per ton of feed. We are still at this location. We have additional locations with the same info.

... We have prospected several different sites and because of the logistics of working the river at this particular time of the year, we are deploying two dredges in tandem. This method allows for more efficient management and the added benefit is we can get to the paying gravels much quicker increasing the production of valuable gold and black sands.

… In the 30 days on the river, we have worked only 20 of them due to fuel shortages and Holidays. We work 6 days a week and 10 hours a day. On our day off we spend our time sourcing parts, fine tuning the dredge and picking up supplies. The first week, time was spent moving the dredge upstream to prospect different areas.

… We are excited that there really is as much black sand being recovered, 100 pounds per ton of feed, as indicated in previous test results and we are constantly improving the dredge recovery profile to a point that the tandem operation allows for cleaner and more efficient recovery. The other exciting news is that the visible gold content remains strong. Now that we are getting the dredges dialed in, we look forward to increasing our production numbers.

Bryan Miller, President, comments:”It is great to be in operation on the Pampana and to have our testing from the past 2 years begin to bear fruit. We are putting a secure processing facility together near our operations. This is where we bring the recovered concentrates. This is also where we will be setting up our recovery operation which will start up once the operating season is over. In the meantime, we are dedicated to producing as much black sand concentrate as possible during the operating season. We are also working on a land based operating plan to keep operations going during the winter season.

About Sunergy:

The Company is an aggressive junior mining exploration and development Company that is production oriented at the earliest possible profitable opportunity. We control 100% of the 150 sq. km. Nyinahin mining concession with a full prospecting license in Ghana, West Africa and the 140.1 sq. km. Pampana River Rare Earth, Gold and Diamond concession in Sierra Leone, West Africa. We are focused on near term production of these properties this season. We are production and acquisition oriented and are considering several additional projects suitable for near term production in West Africa.


Source: sunergygold, May 24, 2011;



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