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Thursday, 05/26/2011 12:12:36 AM

Thursday, May 26, 2011 12:12:36 AM

Post# of 101798
PR Breakdown

SECURITY and SECRECY appears to be of extreme importance.

The PR "Sunergy Updates Dredging Operations on Its 141 Sq. Km. Pampana River Rare Earth / Gold Mining Concession in Sierra Leone, West Africa" dated 5/24/11 is full of useful informative(AIMHO). No $$$ numbers are attached as they have not started separating the valuables from the Black Sands to make this determination, however the PR addresses when this process will occur (see #7).




1. The discussion that follows is from an operations report prepared by Dale Bourassa, Operations Manager for Allied Mining in Sierra Leone.


2. 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.The company relayed to the shareholders the status of on-going operations.

3. 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.

4. 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.

5. 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.

6. 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."

7. 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."


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