Sierra Gold Corporation to begin production on Sewa River

News – August 28, 2008

Sierra Gold Corporation has announced that it has begun initial gold operations on the Sewa River with the 8in dredge purchased last month from a South African company.

This equipment has the capability to process up to 50 tons per hour. An experienced, highly qualified operator from South Africa will be running the operations.

The dredge will enable the company to dramatically increase the amount of gold bearing material to be processed and to expand its river dredging operation to another part of the country.

The 8in, 50 ton dredge was recently transported to Sierra Gold’s Sewa River concession licensed by its joint venture partner.

The Sewa River is well known for its richness in both gold and diamonds. The company has done preliminary testing on the property to substantiate the presence of gold and is now ready to move forward.

The gold extracted from the Sewa River will increase the company’s potential gold reserves.

Doug Evans, CEO of Sierra Gold, commented: “I am presently in Sierra Leone to supervise the setup of the dredge operations and to attend local ceremonies hosted by the paramount chiefs. This equipment will allow the company to move to another level of gold production.”

“We are excited about the expansion to the Sewa River and the opportunity to be able to mine throughout the year. We look forward to the opportunity to increase the company’s value through increased gold production.”