Luna Gold Identifies Ceara and Arete Gold Targets at Maranhao Greenfields (Luna Greenfields)
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 03/15/12 -- Luna Gold Corp. (TSX VENTURE: LGC)(LMA: LGC) ("Luna Gold" or the "Company") announces the identification of the Ceara and Arete targets located within the Company's 100% owned Maranhao Greenfields project, here forth referred to as Luna Greenfields. Ceara and Arete are two separate gold targets hosted by a southwest trending shear zone located 16 km along strike from the Aurizona Mine (Figure 1). Geochemical and geophysical data combined with geological mapping indicate that these new targets are located in the same structural corridor that hosts the Aurizona gold deposits (Figure 2). Project maps can be viewed on the Luna Gold website at www.lunagold.com or click below.
To view Figures 1 and 2, please visit the following link: http://media3.marketwire.com/docs/lgc315i.pdf.
Highlights are:
-- Highly prospective structural setting within the Ceara Arete Shear Zone
(CASZ) - extension of the Aurizona mineralized structures into the Luna
Greenfields Project
-- Ceara - Gold in soil anomaly measuring 0.55 km x 0.25 km at a 50 ppb Au
cut-off with maximum values of 1.32 g/t Au associated with sulfidization
and quartz veining in tonalities
-- Ceara - Reconnaissance rock grab sampling program (38 samples) returned
gold values up to 20.30 g/t Au
-- Arete - Gold in soil anomaly measuring 1.00 km x 0.10 km at a 50 ppb Au
cut-off with maximum value of 0.79 g/t Au
-- Arete - Reconnaissance rock grab sampling program (04 samples) returned
gold values up to 3.31 g/t Au
-- Arete - Auger drill program defined 0.50 km long subcropping mineralized
zone with best intersection of 5.00 m @ 1.96 g/t Au from surface (Auger
hole T2684)
Luna Gold's President and CEO, John Blake, comments, "Luna is focused on the identification of new gold targets at Luna Greenfields ahead of the 2012 drill program. The identification of the Ceara and Arete targets 16 km west-southwest from Aurizona within the same shear corridor that hosts the Piaba and Tatajuba deposits is significant and further advances gold discovery potential in the Luna Greenfields Project. We are confident that the large Aurizona mineralizing system is not an isolated occurrence in the belt and through systematic exploration programs we will continue to add to our target portfolio ahead of the 2012 and 2013 drill programs."
Ceara
Ceara was an active garimpo (artisanal mine) in the 1980's where quartz veins hosted by tonalities were mined. Three flooded pits remain surrounded by tailings dumps. Gold mineralization is associated with outcropping quartz veins and hydrothermal alteration including pyritization. Target geology consists of granites, tonalities and laterites within the CASZ. The Ceara soil anomaly measures 0.55 km x 0.25 km at a 50 ppb Au cut-off with a maximum value of 1.32 g/t Au. Rock grab sampling around the pits and further afield returned several high-grade samples including 20.30 g/t Au, 4.17 g/t Au and 2.62 g/t Au. Grab sampling of tailings dumps also returned encouraging grades including 2.93 g/t Au, 2.17 g/t Au and 1.29 g/t Au. Table 1 contains a summary of Luna's reconnaissance rock and tailings sampling programs at Ceara.
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SAMPLE_NO SAMPLE_TYPE TARGET LITHOLOGY AU (PPM)
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R-4817 Grab Sample Ceara Quartz Vein 20.3
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R-1483 Grab Sample Ceara Quartz Vein 4.17
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R-4820 Grab Sample Ceara Quartz Vein 2.62
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R-1469 Grab Sample Ceara Tonalite 0.996
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R-4819 Grab Sample Ceara Quartz Vein 0.71
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R-4821 Grab Sample Ceara Quartz Vein 0.698
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R-5025 Grab Sample Ceara Quartz Vein 0.493
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R-1461 Grab Sample Ceara Tonalite 0.168
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R-5024 Grab Sample Ceara Quartz Vein 0.138
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R-1494 Grab Sample Ceara Garimpo Tailings 2.93
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R-1489 Grab Sample Ceara Garimpo Tailings 2.17
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R-1492 Grab Sample Ceara Garimpo Tailings 1.295
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R-0745 Grab Sample Ceara Garimpo Tailings 0.903
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R-1493 Grab Sample Ceara Garimpo Tailings 0.803
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R-1488 Grab Sample Ceara Garimpo Tailings 0.679
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R-0741 Grab Sample Ceara Garimpo Tailings 0.612
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R-1500 Grab Sample Ceara Garimpo Tailings 0.528
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R-1484 Grab Sample Ceara Garimpo Tailings 0.507
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R-1499 Grab Sample Ceara Garimpo Tailings 0.45
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R-0744 Grab Sample Ceara Garimpo Tailings 0.415
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R-0746 Grab Sample Ceara Garimpo Tailings 0.407
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R-1495 Grab Sample Ceara Garimpo Tailings 0.399
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R-1498 Grab Sample Ceara Garimpo Tailings 0.378
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R-1486 Grab Sample Ceara Garimpo Tailings 0.363
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R-1497 Grab Sample Ceara Garimpo Tailings 0.355
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R-1496 Grab Sample Ceara Garimpo Tailings 0.349
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R-4816 Grab Sample Ceara Garimpo Tailings 0.344
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R-0742 Grab Sample Ceara Garimpo Tailings 0.282
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R-1491 Grab Sample Ceara Garimpo Tailings 0.23
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R-0743 Grab Sample Ceara Garimpo Tailings 0.183
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R-1485 Grab Sample Ceara Garimpo Tailings 0.173
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R-1490 Grab Sample Ceara Garimpo Tailings 0.165
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R-1457 Grab Sample Arete Quartz Vein 3.31
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Table 1. Gold grades of initial surface sampling of rock and tailings
material, Ceara and Arete targets. Mineralized samples above a 0.10 g/t Au
cut-off grade are reported. A total of 58 samples were collected over the
entire Ceara Arete project. Assay values for samples not reported here range
between below detection limit (less than 0.05 g/t Au) to 0.068 g/t Au. These
samples were neither part of, nor alone do they constitute, a statistically
representative sampling program.
Arete
Arete is located 1.5 km ENE from Ceara within the CASZ and was identified through a soil geochemical survey that defined a cohesive linear anomaly measuring 1.00 km x 0.10 km at a 50 ppb Au cut-off with a maximum value of 0.79 g/t Au. Target geology is masked by laterites. Correlation with multielement soil geochemistry shows that these laterites may represent weathered basic volcanics. No rock outcrop exists at Arete though several rock grab float samples were collected over the target with best result of 3.31 g/t Au. Table 1 contains a summary of Luna's reconnaissance rock grab sampling program at Arete. Luna subsequently conducted an auger drill program to test the soil anomaly. Auger holes were drilled on a 100m x 8m grid crossing the anomaly and have defined a 0.5 km long mineralized zone trending ENE hosted in a basic volcanic unit. The top ten auger drill intervals are shown in Table 2.
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HOLE ID HOLE DEPTH (m) FROM (m) TO (m) INT (m) AU (G/T)
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T2650 8.00 1.00 8.00 7.00 0.46
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T2653 7.00 0.00 7.00 7.00 0.70
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T2654 6.00 0.00 6.00 6.00 0.75
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T2683 7.00 0.00 7.00 7.00 0.49
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T2684 5.00 0.00 5.00 5.00 1.96
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T2705 8.00 0.00 8.00 8.00 0.67
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T2729 8.00 1.00 8.00 7.00 0.62
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T2730 8.00 0.00 2.00 2.00 1.15
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T2751 8.00 2.00 8.00 6.00 0.58
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T2752 6.00 1.00 4.00 3.00 0.92
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Table 2. Top 10 mineralized auger drill intervals, Arete target. All holes
are vertical. True widths to be established. A total of 239 holes were
drilled totaling 1309 meters. Assay values for auger holes not reported here
range between below detection limit (less than 0.05 g/t Au) to 1.06 g/t Au.
1. Ceara Arete Geology Map http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp
2. Ceara Arete Geophysical (RTE) Map http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp
3. Ceara Arete Geophysical (TMI) Map http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp
4. Ceara Arete Geophysical (AS) Map http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp
5. Ceara Geology Map http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp
6. Arete Geology Map http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp
Luna Gold's VP Exploration, Titus Haggan, states, "The exploration results at Ceara and Arete are significant because they demonstrate that the Aurizona mineralized corridor extends into the Luna Greenfields project area. Both these targets contain outcropping gold mineralization hosted by Paleoproterozoic intrusives and meta-volcanosedimentary units located close to the contact with low magnetic features within the CASZ. Another smaller artisanal pit called Carana also occurs within the target area located 1 km NNW from Ceara. All these targets further enhance the prospectivity of the Luna Greenfields project and will be rate-ranked ahead of the 2012 drill program."
LUNA GOLD ISSUES STOCK OPTIONS
Luna announces that its Board of Directors has approved the issuance of an aggregate of 1,635,000 stock options. The options have a five year term and were issued after market close on March 5, 2012, with an exercise price of $3.20 based on that day's closing price. The stock options were granted pursuant to Luna's Stock Option Plan and were issued to directors, officers, employees and consultants of the Company.
About Luna Gold Corp.
Luna Gold is a producing gold company with development and exploration projects. Gold production is from the Aurizona Mine in Maranhao, Brazil, and development is focused on the Cachoeira deposit in Para, Brazil. The Company is aggressively exploring the large strategically placed Luna Greenfields project.
On behalf of the Board of Directors
LUNA GOLD CORP.
John Blake, President and CEO
Website: www.lunagold.com
Regulatory Footnotes
Luna operates a rigorous QA/QC protocol on all aspects of geochemical sampling, drilling and analytical procedure. Soil sampling programs are supervised by mining technicians and samples are collected on regular grids surveyed using total stations. Soil samples are collected at a nominal 0.50 meter depth or deeper corresponding to the B soil horizon. Several types of ancillary data are recorded including soil type, granulometry, magnetism, and the presence of laterite. Rock and tailings sampling is supervised by geologists and mining technicians and recorded on special log sheets. All areas intended for sampling are assessed and marked-up for sampling by geologists. For surface channel sampling all sample faces are cleaned to a depth of 15 centimeters and marked for sampling which is conducted at nominal 1 meter intervals using appropriate sampling tools which are cleaned between each sample. Sample intervals are surveyed using a Total Station. Auger drilling is conducted using Company owned motorized Honda auger drills. Auger drill teams are supervised by mining technicians. Auger samples are collected at continual 1 meter intervals using a 10.16 centimeter diameter collector. Sample weight averages 16 kilograms. All data including depth, sample number and geologic information are recorded on special log sheets. All samples are stored in secure locked areas under Company supervision. Samples are transported from the Aurizona and Luna Greenfields projects to the ALS Chemex sample preparation facility in Belo Horizonte, Minas Gerais and to the ACME Labs sample preparation facility in Goiania accompanied by Luna personnel. Soil and rock channel samples are assayed for gold via fire assay (30 and 50 grams) at ALS Chemex, Lima, Peru. Auger samples are assayed for gold via fire assay (50 grams) at ACME Laboratories, Santiago, Chile. Luna operates a rigorous QA/QC program for soil and rock samples which involves the insertion of blanks, CRM and sample 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.
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 Aurizona, Areal and Luna Greenfields projects 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.
Contacts:
Luna Gold Corp.
Investor Relations
(604) 689-7317 or Toll Free at 1-866-689-7317
www.lunagold.com
