Testing Mongrel Configuration

You seem to be trying to use mongrel_cluster, not mongrel per-se...

To debug, skip the init.d script and try starting directly:

   mongrel_rails cluster::start -c /etc/mongrel/sites-enabled/test.config

At Engine Yard, we use a very simple mongrel_cluster.yml file:

cwd: /part/to/rails/root
environment: production
port: 5000
servers: 3

I think it's interesting that your config file uses 'dir:' where ours
uses 'cwd:'. I don't use pen, but I find it fascinating that pen
configuration is in the mongrel_cluster config file, but perhaps that's
correct.