Luna obtains receipt for final prospectus

VANCOUVER, July 7 /CNW/ - Luna Gold Corp. (TSXV-LGC) ("Luna" or the "Company") is pleased to announce that it obtained a receipt on July 6, 2010 in connection with the filing of a final prospectus (the "Prospectus") in the provinces of British Columbia, Alberta and Ontario. The prospectus qualifies for distribution 58,930,915 common shares (the "Common Shares") and 29,465,458 common share purchase warrants (the "Warrants") of the Company issuable upon the automatic exercise of 58,930,915 previously issued special warrants of the Company (the "Special Warrants"). The automatic exercise of the Special Warrants is expected to occur at 5:00 p.m. (Vancouver time) on July 13, 2010, being the fifth business day after the issuance of the receipt for the Prospectus.

As previously announced, the Special Warrants were issued by way of a private placement which closed on June 14, 2010 at a price of CDN$0.56 per Special Warrant, resulting in gross proceeds to the Company of approximately CDN$33,001,312. Each Special Warrant will be automatically exercised, without payment of additional consideration or any further action required on the part of the holder thereof, for one unit of the Company consisting of one Common Share and one-half of one Warrant. Each Warrant will entitle its holder to purchase one additional common share of the Company at a price of CDN$0.80 per share until June 14, 2011.

About Luna Gold Corp

Luna is a gold mining and mineral exploration company engaged in the acquisition, exploration, and development of gold deposits and advanced stage gold exploration projects in Brazil. The Company is currently commissioning its Aurizona gold project in Maranhão, Brazil.

On behalf of the Board of Directors

LUNA GOLD CORP.

Jim Bahan - President and CEO

Website: www.lunagold.com

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.

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

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 does not assume the obligation to update any forward-looking statement.

SOURCE LUNA GOLD CORP.

For further information: For further information: Investor Relations at (604) 689-7317 or toll free at 1-866-689-7317

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LUNA GOLD CORP.

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