Luna Gold Corp. (fka LGCUF)

[b4atf]

LUNA GOLD FILES NI 43-101 TECHNICAL REPORT FOR INITIAL RESOURCE ESTIMATE AT THE CACHOEIRA GOLD DEPOSIT, BRAZIL

Feb 10, 2011 13:59:00 (ET)

VANCOUVER, Feb 10, 2011 /PRNewswire via COMTEX/ -- Luna Gold Corp. (TSXV-LGC) ("Luna" or the "Company") is pleased to announce the February 07, 2011 SEDAR filing of a National Instrument 43-101 Technical Report, in support of the recently announced initial resource estimate at the Cachoeira gold project in Northern Brazil (see Luna press release dated December 23, 2010). Cachoeira consists of a series of orogenic gold deposits and is located in the north central portion of the Gurupi Gold Belt.

The Technical Report was completed by Scott Wilson Roscoe Postle Associates Inc. (Scott Wilson RPA) according to the guidelines of the Canadian Institute of Mining, Metallurgy and Petroleum ("CIM"). Cachoeira has an Indicated Mineral Resource of 12.5 million tonnes at 1.11 grams/tonne Au, or 446,000 ounces gold, and an Inferred Resource of 5.4 million tonnes at 1.27 grams/tonne Au, or 221,300 ounces gold. All deposits are open along strike and at depth.

The Technical Report has been filed on SEDAR and can also be viewed at Luna Gold's website at www.lunagold.com or directly here.

John Blake, Luna's President & CEO, comments, "This initial resource estimate is a significant milestone at Cachoeira, with ample scope to increase the resource. Cachoeira is now a new stand-alone project, a solid platform in the development of Cachoeira into mine production. This resource estimate provides Luna Gold with additional value at low cost. The next step in our process is the commencement of a scoping study, based on this NI 43-101 initial resource estimate to further progress Cachoeira into a mine project."

Whittle pit shells were used to constrain all mineral resources and significant mineralization extends beyond the pit constraints, particularly at Arara where 50% of mineralization lies outside the Whittle pit shell, and Coruja where 68% of mineralization lies outside the Whittle pit shell. At Tucano, 13% of mineralization is located outside of the Whittle pit shell. While this mineralization cannot currently be considered a resource, it demonstrates that strong potential exists to increase the Cachoeira mineral resources.