SOURCE: Luna Gold Corp.

Luna Gold Corp.

March 03, 2016 08:00 ET

Luna Gold Provides Corporate Update

VANCOUVER, BC--(Marketwired - March 03, 2016) - Luna Gold Corp. (TSX: LGC),"Luna" or the "Company") is pleased to release initial results from its 2015 drilling program at the Aurizona Gold Project in Brazil.

2015 Drilling Program

The Company completed a drilling program in December 2015 consisting of 15,142 metres of oriented core drilling and 3,264 metres of reverse circulation drilling. The primary goal of the program was to infill drill the Piaba mineral resource with approximately 50-metre drill hole spacing versus the previous 100-metre spacing. Although the company has not yet received all of the assay results from the drilling program, the results support Luna's geological understanding and will give us greater certainty as we develop an updated resource model. Highlight intercepts from the drilling program are included in the table below. All drill results received to date, which represent 93% of the drilling, can be found on the Company's website at www.lunagold.com

                     
Hole Number   From   To   Total Length (m)   True Width (m)   Gold Grade (g/t)
BRAZD465   81.7   113.0   31.3   26.3   3.46
BRAZD467A   167.8   192.0   24.2   20.5   3.83
BRAZD469   207.8   353.5   145.7   112.3   1.18
BRAZD474   34.0   72.4   38.4   27.2   2.91
BRAZD481   112.5   136.5   24.0   18.2   4.68
BRAZD483   174.0   262.4   88.4   61.0   2.92
BRAZD487   217.3   289.1   71.8   55.4   4.25
BRAZD492   106.0   215.0   109.0   70.1   1.08
BRAZD500   99.0   130.2   31.2   24.6   4.10
                     

Marc Leduc, President and CEO, stated, "We are pleased with the initial results from the 2015 exploration program. The results from the drilling campaign support our previous interpretations of the resource estimate and the more detailed structural knowledge and the greater drill density from the infill program will allow us to maintain much better control on our geological model. This will be an important planning tool for the preparation of our pre-feasibility study."

The 2015 drilling program also included an oriented core structural geological analysis of the Piaba mineral resource to allow Luna to better understand the structural controls and distribution of gold within the mineral resource. The drilling results and structural interpretation from the 2015 drilling program, along with results of previous years' drilling, will be used to create an updated block model, and mineral resource and reserve estimate that will be incorporated into a pre-feasibility study for the Aurizona Gold Project that is scheduled for completion during the second quarter of 2016.

Lycopodium Ltd. has been engaged as the lead engineering firm to optimize the plant design and mine plan as part of the upcoming pre-feasibility study. AGP Mining Consultants, Inc. has been contracted for the mine planning portion of the study. The pre-feasibility study will recommend a new crushing and grinding circuit that will allow mineral bearing rock of all types to be processed through the Company's existing gold recovery plant at the Aurizona Gold Project. 

Prospectors and Developers Association of Canada (PDAC)

Luna Gold's President and CEO, Marc Leduc, will be giving a corporate update presentation during the Gold-Americas 2 afternoon session at the 2016 PDAC convention in Toronto, Ontario, Canada on Monday, March 7, 2016 at 4:20pm ET in Room 801B. His presentation will be available on the corporate website following the live presentation. The Company will also be represented in the Investor Exchange in booth #3041 from March 6 to 9, 2016. Hours for the exhibit hall can be found on the PDAC website at www.pdac.ca.

About Luna Gold Corp.

Luna is a gold company engaged in the exploration and redevelopment of the past-producing Aurizona gold mine in Northern Brazil which was put on care and maintenance in late 2015. The company is actively advancing the mine redevelopment in the areas of project financing, reengineering, permit updating and resource expansion. 

On behalf of the Company

LUNA GOLD CORP.
Marc Leduc P.Eng. - President and Chief Executive Officer
Website: www.lunagold.com

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 future gold production and/or the results of analysis on gold production. 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. Forward-looking statements are subject to various risks and uncertainties concerning the specific factors identified in Luna Gold Corp.'s periodic filings with Canadian Securities Regulators. These factors include 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, 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.

Contact Information

  • For further information contact:
    Investor Relations
    +1 (720) 414-2852