Luna Gold Corp Receives Construction Authorization for Aurizona Phase I Expansion
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 01/24/13 -- Luna Gold Corp. (TSX: LGC)(OTCQX: LGCUF)(LMA: LGC) ("Luna" or the "Company") is pleased to announce that it has received authorization from the Maranhao State Environmental Department ("SEMA") to proceed with the construction required to complete the Phase I expansion of the Company's Aurizona Gold Mine in Brazil.
The Phase I expansion is expected to produce 125,000 ounces per year. The expansion remains on target to achieve completion during the fourth quarter of 2013 at its originally estimated cost of $49.7 million, including contingency. Construction has commenced and the first concrete pour has been completed.
The Company plans to release full 2013 guidance on January 28, 2013, before the opening of TSX market trading.
"We are pleased that we have now completed this very important permitting process in Aurizona's Phase I expansion, which continues to progress according to schedule," stated John Blake, Luna's President and Chief Executive Officer. "Upon completion, this expansion will more than double the annual production proposed in the 2010 Aurizona Feasibility Study. I am confident that both Luna's talented operations team and our EPCM contractor have the experience necessary to safely execute this project on time and on budget. This expansion will play a critical role in accelerating our Company's future growth, providing the cash flow for further development at both Aurizona and our promising Luna Greenfields targets."
About Luna Gold Corp.
Luna is a gold production and exploration company engaged in the operation, discovery, and development of gold projects in Brazil.
On behalf of the Board of Directors
LUNA GOLD CORP.
John Blake - President and CEO
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.
Contacts:
Luna Gold Corp.
Investor Relations
(604) 568-7993
www.lunagold.com
