Luna Gold Corp.
TSX VENTURE : LGC
BVLAC : LGC

Luna Gold Corp.

November 07, 2011 08:30 ET

Luna Gold Drills 13.00 Meters @ 33.63 g/t Au Including 4.00 Meters @ 104.83 g/t Au at Aurizona

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 7, 2011) - Luna Gold Corp. (TSX VENTURE:LGC)(BVLAC:LGC) ("Luna Gold" or the "Company") is pleased to announce additional positive assay results from 22 new holes from the recently completed resource drill program at the Piaba gold deposit, Aurizona. An updated drill plan map and 3D Corebox model showing the drill hole locations in the deposit have been uploaded to the Luna Gold website at www.lunagold.com or to view directly click below.

Significant intercepts:

  • 68.00 meters @ 2.46 g/t Au including 11.00 meters @ 6.02 g/t Au and 3.00 meters @ 5.04 g/t Au in BRAZD368 (Section 1100E – New East Extension)
  • 50.00 meters @ 3.87 g/t Au including 7.00 meters @ 8.47 g/t Au and 1.00 meter @ 53.30 g/t Au in BRAZD360 (Section 0600W – Deposit Centre)
  • 13.00 meters @ 33.63 g/t Au including 4.00 meters @ 104.83 g/t Au in BRAZD367 (Section 1600W – New West Extension)

To view Updated Drill Plan Map click on: www.lunagold.com/i/pdf/Piaba_Drill_Plan_Map_190711.pdf

Luna Gold's President & CEO, John Blake, comments, "The 40,000 meter drill program is now complete and we are on track to finalize the NI 43-101 resource update in early December 2011. These recent results are excellent in both grade and width which are significantly above the 1.36 g/t Au average grade of the current NI 43-101 reserve. In addition most of the holes reported here are new discoveries along eastern and western strike extensions to the Piaba deposit that lie outside the boundary of the 2009 resource update. We are strongly positioned to increase the Company's gold resources through upgrading inferred resources to the measured and indicated categories and by the addition of new ounces at depth and along strike."

Of the current 40,000 meter drill program, which commenced in August 2010, assays from 94 diamond drill holes totaling 24,577 meters have been received and samples from 40 additional holes are currently at the assay lab and assays will be delivered within 15 days. Today's assay results are for 22 drill holes totaling 5,088 meters drilled on 12 sections covering a strike extent of 3.1 kilometers of the Piaba deposit. In two holes, core was not recovered from surface. Significant mineralized intercepts from holes drilled across the deposit are tabulated below.

SECTION HOLE
ID
AZI DIP START
DEPTH
(M)
END
DEPTH
(M)
FROM
(M)
TO
(M)
INT
(M)
AU
(G/T)
UNCAPPED
1200E BRAZD381 168 -74 0.00 137.10 22.00 26.00 4.00 3.17
1100E BRAZD368 168 -81 0.00 356.54 192.00 224.00 32.00 1.75
Including 210.00 222.00 12.00 3.10
228.00 296.00 68.00 2.46
Including 230.00 241.00 11.00 6.02
And 263.00 266.00 3.00 5.04
And 283.50 285.00 1.50 14.56
BRAZD383 168 -65 0.00 193.71 98.00 104.00 6.00 1.12
119.00 126.00 7.00 1.09
132.00 135.00 3.00 1.56
1000E BRAZD363 168 -73 0.00 295.76 No significant Intercepts
0900E BRAZD362 168 -69 0.00 280.11 4.00 10.00 6.00 1.14
202.00 217.00 15.00 1.21
224.00 228.00 4.00 1.02
BRAZD369 168 -61 0.00 234.17 8.00 14.00 6.00 1.81
132.00 138.00 6.00 1.62
141.00 172.00 31.00 2.65
Including 158.00 159.00 1.00 6.32
And 171.00 172.00 1.00 54.10
BRAZD375 168 -50 0.00 183.22 8.00 14.00 6.00 1.01
104.00 127.00 23.00 2.14
Including 110.00 114.00 4.00 7.96
And 119.00 120.00 1.00 5.36
0800E BRAZD356 168 -80 0.00 308.02 4.00 12.00 8.00 1.03
94.00 96.00 2.00 1.09
168.00 170.00 2.00 2.37
204.00 206.00 2.00 1.03
0700E BRAZD359 168 -80 0.00 344.69 82.00 84.00 2.00 3.94
BRAZD370 168 -76 0.00 261.20 No significant Intercepts
0400E BRAZD374 168 -71 50.00 347.61 194.00 206.00 12.00 1.27
Including 198.00 200.00 2.00 5.28
0600W BRAZD360 168 -50 50.00 253.72 100.00 132.00 32.00 1.93
Including 110.00 118.00 8.00 3.18
And 126.00 128.00 2.00 12.80
157.00 165.00 8.00 1.07
Including 163.00 164.00 1.00 4.16
169.00 219.00 50.00 3.87
Including 185.00 192.00 7.00 8.47
And 206.00 207.00 1.00 53.30
1600W BRAZD358 168 -85 0.00 281.74 217.00 234.00 17.00 3.14
Including 224.00 228.00 4.00 6.44
And 231.50 232.00 0.50 13.70
BRAZD365 168 -77 0.00 154.39 92.00 98.00 6.00 1.15
102.00 110.00 8.00 1.00
116.00 139.00 23.00 1.00
Including 126.00 127.00 1.00 3.55
BRAZD367 168 -50 0.00 120.06 34.00 36.00 2.00 7.62
50.00 70.00 20.00 2.47
Including 58.00 60.00 2.00 12.40
73.00 86.00 13.00 33.63
Including 74.00 78.00 4.00 104.83
1700W BRAZD361 168 -88 0.00 185.60 118.00 154.00 36.00 1.33
Including 128.50 130.00 1.50 6.47
137.00 141.00 4.00 3.45
BRAZD364 168 -78 0.00 91.72 8.00 30.00 22.00 2.74
Including 12.00 18.00 6.00 5.34
36.00 44.00 8.00 1.14
50.00 74.00 24.00 2.52
Including 58.00 63.00 5.00 7.45
1800W BRAZD366 168 -84 0.00 197.00 88.00 107.00 19.00 1.03
Including 88.00 90.00 2.00 5.53
122.00 135.00 13.00 3.32
Including 127.00 127.50 0.50 58.20
138.00 162.00 24.00 1.44
Including 138.00 140.00 2.00 4.15
And 151.00 151.50 0.50 14.70
And 157.00 158.00 1.00 4.12
BRAZD371 168 -62 0.00 131.20 97.00 101.00 4.00 1.58
BRAZD376 168 -76 0.00 241.00 36.00 40.00 4.00 1.45
150.00 170.00 20.00 1.80
Including 156.00 157.00 1.00 5.12
And 163.00 164.00 1.00 14.90
177.00 198.00 21.00 2.01
Including 177.00 179.00 2.00 11.98
And 190.00 191.00 1.00 5.65
226.00 228.00 2.00 1.41
1900W BRAZD372 168 -77 0.00 271.90 34.00 36.00 2.00 3.72
48.00 50.00 2.00 1.63
118.00 120.00 2.00 1.09
BRAZD379 168 -62 0.00 217.20 94.00 104.00 10.00 3.51

Table 1. Mineralized drill intercepts from the ongoing Aurizona resource drill program. Intervals are calculated as composites using a 0.30 gram/tonne Au cut-off and maximum 2 meter internal waste. True widths to be established. Intervals lower than 1.00 g/t Au are not shown.

Luna Gold's VP Exploration, Titus Haggan, states, "These latest results are of major significance because they extend the Piaba deposit strike by 600 meters east of the 2009 resource boundary limit (Section 600E) including an interval of 68.00 meters @ 2.46 g/t Au including 11.00 meters @ 6.02 in BRAZD368 (Section 1100E) and 31.00 meters @ 2.65 g/t Au in BRAZD369 (Section 0900E). Similarly new mineralized intervals have been intersected beyond the 2009 western limit of the deposit including 10.00 meters @ 3.51 g/t Au in BRAZD379 (Section 1900W)." See updated plan map for location of these new gold intercepts. SRK Denver has been retained to prepare the updated resource and reserve upgrades in conjunction with Luna Gold staff.

About Luna Gold Corp.

Luna Gold is actively engaged in the operation, exploration, acquisition and development of gold opportunities in Brazil. The company currently has a gold mining operation, Aurizona Gold Mine in Maranhão, Brazil, a gold development project, the Cachoeira project in Para, Brazil and the Company is exploring in a large strategically placed greenfields land position in Maranhão, Brazil.

On behalf of the Board of Directors

LUNA GOLD CORP.

John Blake, President and CEO

Regulatory Footnotes

Luna operates a rigorous QA/QC protocol on all aspects of sampling and analytical procedure. Drill core is checked, logged, marked for sampling and sawn in half. One half of the HTW (71 mm diameter) core is maintained for future reference and one half of the core is sent for analysis. Samples are collected at approximately 2 meter intervals, which is reduced to 1 meter interval or less when a mineralized zone is encountered. All core and samples are stored in secure locked areas. Samples are transported from the Aurizona project to the ACME Labs sample preparation facility in Cuiaba, Mato Grosso and Goiania, Goias accompanied by Luna personnel. Samples are assayed at ACME Labs in Santiago, Chile using a 50 gram fire assay with AAS finish. Each sample batch contains 10% of randomly inserted internal control samples consisting of certified analytical standards, blanks (barren rock) and duplicates. These QA/QC procedures provide several measures of data quality and assure the Company that the assay data is representative of the original sample. Additional technical information about the Aurizona Project is available in our technical report dated September 1, 2010, filed on SEDAR.

Titus Haggan Ph.D., EurGeol Certified Professional Geologist #746, Luna's Vice President Exploration is the Qualified Person as defined under National Instrument 43-101 responsible for the scientific and technical work on the exploration program and has supervised the preparation of and reviewed the technical disclosure in this press release. Non-qualified persons currently work on Luna's exploration programs under the guidance of Titus Haggan. Dr. Haggan takes responsibility for work, information and advice generated by non-Qualified persons and has taken the steps required to ensure that the work, information and advice is sound.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended or any state securities laws and may not be offered or sold within the United States or to U.S. persons unless registered under the United States Securities Act of 1933 and applicable state securities laws or an exemption from such registration is available.

Forward-Looking Statements

This release contains certain "forward looking statements" and certain "forward-looking information" as defined under applicable Canadian and U.S. securities laws. Forward-looking statements can generally be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "estimate", "anticipate", "believe", "continue", "plans" or similar terminology. Forward-looking statements include, but are not limited to, statements with respect to the exploration program for the Company's exploration programs and any planned resource upgrades. Forward-looking statements are based on forecasts of future results, estimates of amounts not yet determinable and assumptions that, while believed by management to be reasonable, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Certain of the statements made herein by Luna Gold Corp. are forward-looking and subject to various risks and uncertainties, both known and unknown, many of which are beyond the ability of Luna Gold Corp. to control or predict. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Forward-looking information is subject to known and unknown risks and uncertainties that may cause Luna Gold Corp.'s actual results, performance or achievements may be materially different from those expressed or implied by such forward-looking information, and are developed based on assumptions about such risks, uncertainties and other factors set out here in, including but not limited to the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drill results and other exploration data, the potential for delays in exploration or development activities, mine development and production costs, the projected life of the Company's mines, future production levels, the geology, grade and continuity of mineral deposits, the possibility that future exploration, development or mining results will not be consistent with the Company's expectations, accidents, equipment breakdowns, title matters, labor disputes or other unanticipated difficulties with or interruptions in production and operations, fluctuating metal prices, unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future, the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, regulatory restrictions, including environmental regulatory restrictions and liability, competition, loss of key employees, and other related risks and uncertainties. The Company undertakes no obligation to update forward-looking information except as required by applicable law. Such forward-looking information represents management's best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Luna Gold Corp.
    Investor Relations
    604-558-0560
    604-558-0561 (FAX)
    www.lunagold.com