Luna Gold Announces Board of Directors Change and Strengthens Management

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 07/10/12 -- Luna Gold Corp. (TSX VENTURE: LGC)(OTCQX: LGCUF)(LMA: LGC) ("Luna" or the "Company") announces changes to the Board of Directors and strengthening the management team.

BOARD OF DIRECTOR CHANGES

At the annual general meeting of shareholders on June 22, 2012, shareholders re-elected six directors to the Board of Directors. Mr. Marcel de Groot, Chairman of the Board, decided not to stand for election as a director so he could devote more time on other growing businesses he is associated with. Consequently at a Board of Directors meeting following the AGM, the Board unanimously elected Mr. Keith Hulley as Chairman of the Board of Directors.

Mr. Hulley is the current Chairman of the Board of Directors of Gabriel Resources and is the former Interim CEO of Gabriel Resources. Previously, Mr. Hulley served seven years as President, CEO and Executive Chairman of Apex Silver Mines before retiring in 2004. Mr. Hulley has more than 40 years' experience in the mining business which includes Board and senior executive experience at Western Mining Holdings Ltd. and USMX Inc.

"As a Director and Chairman, Mr. Marcel de Groot has made an invaluable contribution to the establishment and growth of Luna Gold Corp. since its inception, his loyalty and dedication has placed Luna Gold on a strong platform for further growth, on behalf of shareholders and the Board of Luna Gold I thank Mr. de Groot for his contribution and wish him well in his business pursuits. We are very fortunate to have Mr. Keith Hulley as Chairman of the Board of Directors to lead Luna Gold into the next growth phase of our development. His valuable leadership experience will strengthen the Board as Luna Gold continues to expand our production and development in the coming years," commented John Blake, President and CEO.

LUNA GOLD STRENGTHENS MANAGEMENT TEAM

The Company is pleased to announce that Mark Halpin has joined Luna Gold as Vice President Corporate Development. Mr. Halpin is responsible for growing Luna Gold through identifying growth opportunities, managing investor relations, developing the investor base and ensuring Luna is effectively and efficiently capitalized to maximize shareholder value. Prior to joining Luna Gold, Mark was a Director in WestLB AG, New York Metals and Mining Financing team where he focused on project and corporate financings, and advisory in the Mining and Energy sectors throughout the Americas. Mark's banking experience began in Sydney, Australia where he worked for Westpac Banking Corporation and then WestLB AG. His banking experience spans across project finance lending and advisory, M&A advisory, corporate lending and distressed debt. Prior to banking Mark worked at KPMG where he advised Mining and Energy clients on improving project operational and financial efficiencies throughout the Australia Pacific region. He holds a Master of Economics from the University of Sydney, a Bachelor of Applied Finance and a Bachelor of Commerce from Macquarie University, Sydney.

"Mark adds a valuable asset to the already strong Luna Gold management team, his complimentary skills and experience provide additional leverage for Luna Gold to realise greater shareholder value in the solid resources our Company is expanding in Brazil," said John Bake, President and CEO of Luna Gold Corp.

LUNA GOLD ISSUES STOCK OPTIONS

Luna announces that its Board of Directors has approved the issuance of an aggregate of 470,000 stock options. The options have a three and five year term and were issued after market close on June 22, 2012, with an exercise price of $2.10 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 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 Maranhao, 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 Maranhao, Brazil.

On behalf of the Board of Directors

LUNA GOLD CORP.

John Blake - President and CEO

Regulatory Footnotes

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 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.

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) 558-0560

(604) 558-0561 (FAX)
www.lunagold.com