Grandich Client Sunridge Gold

My Mamma Mia company continues to make me what to sing and shout (I added to my position today).

Sunridge Gold’s announcement this morning that Antofagasta is not continuing with the earn-in agreement on Sunridge’s “Exploration Areas” has been expected for months and it now gives Sunridge 100% ownership this area. It is important to note that the agreement did not include the four deposits that were kept out of the agreement and are currently in Feasibility and Prefeasibility Studies.

Antofagasta entered in the agreement in 2009 when it seemed impossible for a junior explorer to raise capital. Antofagasta, a very large conservative London based company, offered a tremendous stamp of approval for both the mining industry in Eritrea and Sunridge Gold. However, the exploration work focused on finding porphyry style copper deposits similar to Antogasta’s large mines in Chilie and not the prolific VMS style deposits (ie Debarwa, Emba Derho, Bisha, etc) that the region is becoming known for.

Sunridge Gold management is truly happy to be getting 100% of the Exploration Areas back and should now continue to explore the area for VMS deposits using techniques that have shown successful in Eritrea.

With Antofagasta now out of the way, and Feasibility and Prefeasibility studies moving ahead on the four deposits, we may begin to speculate about interest in Sunridge from major mining companies from around the world looking for copper and zinc deposits. Other than porphyry deposits that is…

The Exploration Area also includes one very compelling target; the Adi Rassi target which is located within 10 km from the Company’s Debarwa Deposit and could potentially be a large copper and gold deposit. Adi Rassi has been drilled over 500 meters along strike to date and the zone remains open. Drill highlights reported in July 2010 include:

• AR-002D: 84 metres grading 1.32 g/t gold and 0.84% copper
• AR-003D: 25 metres grading 0.75 g/t gold and 0.54% copper
• AR-004D: 78 metres grading 0.22 g/t gold and 1.0% copper

Sunridge management tells me that there are numerous other VMS targets on the exploration grounds and they will be announcing their next exploration plans for this area within a month.

I encourage you to try and find other juniors with similar market caps or higher that even come close to having the portfolio of projects at these stages of development that SGC has. Go ahead – I’ll wait!!!