VANCOUVER, Nov. 7 /CNW/ - Luna Gold Corp. (TSXV-LGC) ("Luna" or the
"Company") is pleased to announce that Centerra (U.S.) Inc. ("Centerra"), the
operator of the Red Rock project by way of an earn-in agreement, has
intercepted 12 m of 0.3 g/t Au in altered rocks of the Roberts Mountains
Thrust zone ("RMT").
Luna's President, Tim Searcy, comments, "The discovery of good widths of
low grade gold is a success for the early stages of exploration on this
project. This is only the third deep hole at Red Rock; the closest other hole
is approximately 1 km away. Last year, hole RRC06-06C intercepted significant
widths of anomalous antimony and other trace elements in the lower plate of
the thrust suggesting that hole is proximal to a Carlin type gold system. This
year's work has confirmed the presence of a Carlin style mineralization on the
project, and it occurs at reasonable depths."
Reverse circulation drill hole RRC07-10 intercepted 12 m of 0.3 g/t Au
starting at 427 m depth in the RMT zone, consisting of sheared siltstone and
chert of the upper plate, which immediately overlies decalcified
calc-siltstone of the Roberts Mountains Formation of the lower plate. Altered
Roberts Mountains Formation continues to a depth of 714 m in the core tail,
This summer, Centerra also drilled a core tail RRC07-08C below the RC
pre-collar RRC06-08, which was drilled in 2006. This hole, located on the
western portion of the property, failed to reach the lower plate.
Luna's Red Rock project borders the western boundary of the Cortez JV,
the Barrick and Kennecott joint venture, that hosts the multimillion ounce
Pipeline and Cortez Hills deposits. Luna and Centerra are exploring at Red
Rock for similar targets in favourable host rocks in the lower plate of the
Roberts Mountains thrust fault beneath as little as 440 m of upper plate
Since late 2005, Centerra has spent approximately US$1,450,000 at Red
Rock as part of their earn-in requirements; it must spend US$1,900,000 in
order to vest a 60% interest in the Red Rock project. Centerra is still
contemplating a budget for the 2008 year.
Luna's strategy in Nevada is to acquire early stage projects with good
geologic potential, undertake preliminary surface work in order to identify
drill targets, and then joint venture the projects to majors or intermediates
for the drill testing of the targets.
Update on Luna's Other Nevada Projects
Luna has undertaken a round of mapping and sampling at its Stone Cabin
property, which is 16 km south of Red Rock on the southwest edge of the Battle
Mountain trend. Work will continue in the spring with some ground geophysics
The company has dropped its two projects in the Walker Lane, Eureka and
Anchor, as well as its Blue Mountain project outside of Winnemucca. The
company is continuing to review projects in northern Nevada where it feels it
can add value by generating drill targets.
About Luna Gold Corp
Luna Gold 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.
All of Luna's exploration programs and pertinent technical disclosures
involving its Nevada properties are prepared by, or under the direct
supervision of, Tim Searcy, P.Geo.. Mr. Searcy, the President and CEO of Luna
Gold, is Luna's qualified person (QP) under the definition of National
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