Luna Gold Corp. (fka LGCUF)

[b4atf]

LUNA GOLD SIGNIFICANTLY INCREASES LAND POSITION AT AURIZONA AFTER IDENTIFYING MULTIPLE GEOPHYSICAL ANOMALIES

Nov 16, 2010 08:30:00 (ET)

VANCOUVER, Nov 16, 2010 /PRNewswire via COMTEX/ -- Luna Gold Corp. (TSXV-LGC) ("Luna" or the "Company") is pleased to announce that it has been granted a further 70,000 ha of new mineral exploration licenses in the Aurizona Regional project area by the Brazilian Mines Department (DNPM).

The granting of the eight new exploration licences more than doubles the size of the Aurizona Regional landholding which now totals 130,000 ha of contiguous areas 100% owned by Luna's Brazilian subsidiary company. The Aurizona Regional project area is located to the southwest and southeast of the Aurizona Main project area and contains multiple shear zones and numerous historic artisanal gold workings. A new claim map has been uploaded to the Luna Gold website at www.lunagold.com or to view map directly click here.

Luna's President & CEO, John Blake, comments, "This is a major addition to our landholding. Luna has consolidated a dominant and strategic land position in the prospective Aurizona Regional district. The area is 100% owned by Luna and has seen very little modern exploration. It is an exciting time for the Company as we near feasibility level production at Aurizona and advance the resource drill program at the Piaba deposit."

The Aurizona Regional project is located within the São Luis Craton, southeast of the Guiana shield, which hosts several major gold deposits including Rosebel and Las Cristinas. Geologic reconstruction of the South American and African continents places the São Luis Craton in close proximity to the Birimian Gold Belt of West Africa. Strong geologic and structural similarities exist between the São Luis Craton, the Guiana shield and the West African Craton. The area is characterized by low relief and an extensive sedimentary cover sequence with deep weathering profiles. Over 50 gold garimpos (artisanal gold workings) occur within the Aurizona Regional project area. Historic exploration in the district was limited to soil and rock sampling, auger drilling, geophysical surveys and some shallow reconnaissance drill holes.

Luna's VP Exploration, Titus Haggan, states, "The landholding was staked following a detailed reinterpretation of Luna's proprietary aerogeophysical survey in late 2009. The reinterpretation coupled with field reconnaissance has identified extensions to the Aurizona Group greenstone terrain in northwest Maranhão in areas previously mapped as crystalline basement. Numerous regional scale structures and strong magnetic anomalies occur in the new areas which are characteristics shared with the Aurizona Main gold camp. Our exploration teams are currently exploring in four target areas at Aurizona Regional."