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One of the World’s Fastest Growing Gold
Mining Regions is in West Africa
by Greg Moses – AllPennyStocks.com News Reporter
May 7, 2007 (AllPennyStocks.com Media Inc.) – With
properties in West Africa, Sierra Gold Corporation (PINK
SHEETS:SGCP),
a Nevada Corporation, is an emerging gold and diamond
exploration and development firm.
The Company owns the mining rights of Northern Star Resources
Ltd, a Sierra Leone incorporated gold and diamond mining
company. The inclusive rights cover a secured 40 square
kilometer prime mining concession with a government issued two
year exploration license.
The Republic of Sierra Leone, is a country in West Africa.
It is bordered by Guinea on the north and Liberia on the
south, with the Atlantic Ocean on the west. From a resource
point of view, the country is natural resource rich in iron
ore, gold, diamonds, bauxite, titanium and chromite ore.
Since elections in 2002, Sierra Leone has seen a large
resurgence in economic development with European, Asian and
North American corporations establishing or re-establishing
their presence in many sectors of business including natural
resources.
The geology reports on the property look solid, and are
amplified by the property location on the North Pampana River
which places it in one of Sierra Leone’s richest known
alluvial gold mining rivers. The property lies south of the
Sula Mountains approximately 120 km east of the Capital City
of Freetown in the Greenstone belt of Sierra Leone.
A report completed by the mining engineer Michael Manke on the
property in the mid 1990’s indicated gold grades of .12 oz/ton
taken from the auriferous gravel in the Pampana Channel and
its flanking flats and terraces. The original study of the
resource potential indicated a possible resource of 500,000
ounces.
Recent large bulk sampling work completed in the winter and
spring of 2005 indicates gold bearing gravel depths more than
double those previously reported and showing
significant gold values, 2.62 gm/ton (.092 oz/ton). New
estimates now place the potential gold reserves on the North
Pampana property at over 936,000 ounces.
Of course, there are no assurances that 500,000 ounces or
936,000 ounces can actually be mined. However with today’s
gold prices, coupled with the positive geology; there appears
to be reason for optimism with significant areas on the
property yet to be explored.
In a more recent geological analysis completed by the
Company's Consulting Geologist, Hendrik Veldhuyzen in April
2006, he noted that the property was one of merit and he
detailed an ongoing exploration and development plan. Mr.
Veldhuyzen (BSC, MSC) is a well respected professional
geologist registered with the Association of Professional
Engineers and Geoscientists of Newfoundland and L'Ordre des
Geologues du Quebec. He has 27 years of full time
international field work with a variety of worldwide
corporations.
In his April 2006 Report, Geologist Veldhuyzen went beyond
gold, to suggest that certain stones found in the gold bearing
gravel were similar to those found in kimberlites and suggest
the presence of diamonds. Sierra Leone is a major exporter of
high quality diamonds.
Recently, Sierra Gold Corporation, trading on the Pink Sheets,
has been gaining Industry notice and was rated a “Speculative
Buy” with a target price of $0.69 by Analyst Lisa Springer,
CFA; an analyst with Beacon Equity Research.
In March of this year, SGCP secured more property in the
region, when it announced that it had secured an option from
its joint venture partner to acquire 100% of the mining rights
for a 10 sq.mi. track. The property lies to the north and
adjacent to the Pampana North and is considered to be mainly
hard rock. These gold concessions add value for the Company as
it plans to explore this greenstone belt area which has proven
historical exploration and geology. This particular area in
the Sula Mountains contains the largest known hard rock gold
vein deposit in Sierra Leone.
Beyond exploration, SGCP is a good community neighbor in
Sierra Leone. In addition to providing mining jobs for local
residents, the Company is actively participating in a wide
range of social and economic development programs. These
assistance and support programs include financial donations to
the local villages to purchase medical and school supplies,
sponsorship programs to attend school and specialized
educational courses teaching new methods of agriculture.
In the effort to develop sustainable agricultural practices,
funds have been provided to plant test crops such as rice,
corn and palm oil. Sierra Gold plans to build four bridges and
employ personnel to maintain the roads. Further, the Company
plans to build cost effective housing projects, which will
include water purification, sewage treatment and power
generation capability.
In an effort to further strengthen its organization, the
Company recently named Bai Kamara, who was born in Sierra
Leone, to its Board. He will provide the Company with valuable
insight and expertise into business activities within the
Country.
All being said, Sierra Gold Corporation is an emerging mining
firm, which is definitely one to consider in this very
attractive sector.
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Although the majority of
AllPennyStocks.com reports are independent, it has received
compensation for carrying the report on Sierra Gold Corporation, the compensation is three thousand dollars by a non-affiliated
third-party, OTCPicks.com. This creates an inherent
conflict of interest and readers are encouraged to view the
main disclaimer at
/aps_us/company_spotlights/archives/sgcp.asp
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