VANCOUVER, Jan. 31 /CNW/ - Luna Gold Corp. (TSXV-LGC, OTCBB-LGCU) ("Luna"
or the "Company") is pleased to announce the closing of the purchase of 99.99%
of the issued and outstanding shares of Aurizona Goldfields Corporation
("Aurizona") pursuant to a Share Purchase Agreement entered into with Eldorado
Gold Corporation and Brascan Recursos Naturais SA (a wholly owned subsidiary
of Brascan Brasil) as announced on December 21, 2006.
Aurizona owns Mineracao Aurizona S.A ("MASA"), a company incorporated in
Brazil. MASA's main asset is the 100% ownership of the Piaba gold project (the
"Project") in Maranhao State, Brazil. There is a historical resource estimate
on the Project. From an internal report prepared for MASA in January of 2000,
at a 0.3 g/t Au cut-off grade and a price of US$350/oz Au, the Project has an
indicated resource of 12.5 million tonnes at 1.27 g/t Au for 500,000 oz, and
an inferred resource of 8.6 million tonnes at 1.27 g/t Au for 350,000 oz. The
above resource estimates are historical and do not conform to the standards of
National Instrument 43-101; they may vary materially from estimates made in
accordance with the classification made pursuant to NI 43-101 and should not
be relied upon. The Company's qualified person ("QP") has not done sufficient
work to classify the historical estimate as current mineral resource and is
not treating the historical estimates as current mineral resources as defined
in NI 43-101. However, the Company's QP believes the historic estimate is
relevant and offers a fair description of the Project's known mineralization.
Luna is also pleased to announce the closing of a non-brokered private
placement of 8,473,164 Units as announced on January 16, 2007, for gross
proceeds of $3,812,923. Each Unit consist of one common share and one-half of
one share purchase warrant and each whole warrant entitles the holder to
purchase one common share at a price of $0.70 for a period of eighteen months.
The common shares issued pursuant to the Private Placement are subject to
a four month hold period expiring on June 1, 2007.
A cash finder's fee in the aggregate of $109,494 was paid and an
aggregate of 275,080 Agent's Warrants was issued to various parties for
introducing investors to the Company. Each Agent's Warrant entitles the holder
to purchase one common share at a price of $0.45 for a period of eighteen
About Luna Gold Corp
Luna is a mining exploration company with a focus on gold development in
Brazil and gold exploration in Nevada.
On behalf of the Board of Directors
LUNA GOLD CORP.
Tim Searcy, P. Geo. - President and CEO
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this press release.
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.
Statements in this release that are 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. 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.
Luna Gold does not assume the obligation to update any forward-looking
For further information:
For further information: Investor Relations, at (604) 689-7317, or toll
free at 1-866-689-7317