Luna Gold Corp Intercepts 6.00 M Of 12.58 G/T At The CachoeiraGold Project=2C Par=E1 State=2C Brazil by 24hgold

Keywords : Brazil | Ghana | Gold |

Thursday, June 26, 2008
Luna Gold Intercepts 6.00 M Of 12.58 G/T At The Cachoeira Gold Project, Par� State, Brazil

Vancouver, June 26, 2008 - Luna Gold Corp. (TSXV-LGC) ("Luna" or the "Company") is pleased to announce assay results from the first nine holes of the Company's ongoing 6,000 m drill program at its Cachoeira gold project, including hole LCD-009 which intercepted 6.00 meters of 12.58 g/t Au. Significant mineralized intercepts are highlighted below.

6.00 meters @ 12.58 g/t Au in hole LCD-009
2.00 meters @ 9.50 g/t within 15.00 meters @ 1.75 g/t Au in hole LCD-008
2.00 meters @ 5.40 g/t Au in hole LCD-007
14.35 meters @ 1.68 g/t Au in hole LCD-004
1.00 meter @ 9.52 g/t Au in hole LCD-006
97.00 meters @ 0.43 g/t Au in hole LCD-001

Luna's CEO, Tim Searcy comments, "This first set of drill results from Cachoeira highlights the quality of projects that Luna is acquiring in the northeast of Brazil. The advanced stage exploration ongoing at Cachoeira is an excellent complement to the feasibility work ongoing at the Aurizona project 100 km to the northeast."

He continues, "These results come from the Arara target, which is the most northerly target along the 5 km of variably mineralized strike at Cachoeira. The Company is very pleased with the high grade intervals encountered at Arara, as it is viewed, primarily, as an underground type target. Further south along strike, the targets Coruja and Toucano have potential for both broad zones of lower-grade mineralization and structurally controlled higher-grade mineralization. Drilling will continue at Cachoeira for two months as the Company has a contract for a minimum of 6,000 m in this phase. Luna anticipates the delivery of the first NI 43-101 resource estimate for Cachoeira by the second quarter of 2009. The estimate will incorporate historic drilling from previous operators and Luna's recent results."

Complete assay results have been received for 9 holes totaling 1940 metres. Significant mineralized intercepts are tabulated below (assays for the full length of each hole will be available on the Company's website shortly, and will be updated as new information is released). The holes were drilled on east-west sections spaced approximately 50 meters apart on the Arara Target Area in the north of the project area. Project maps have been updated to the Company's website. (http://www.lunagold.com/i/pdf/Arara_Plan_Map_240608.pdf)

Titus Haggan, Luna's Brazil Exploration Manager comments, "Drilling at Arara is now complete and the rigs have been mobilized to the Coruja (located 1 km south) and Tucano (located 3.5 km south) targets (http://www.lunagold.com/i/pdf/CCH_Map1_250608.pdf ). The objective of this Phase 1 drill program is to extend and confirm the known limits of gold mineralization in the three main target areas within the 5.0 km of mineralized strike that defines the Cachoeira project. The drill results from Arara indicate the presence of high-grade gold mineralization in the north of the Cachoeira trend. Samples from an additional three Arara drillholes are at the laboratory."

The drill holes reported here are the first holes Luna has drilled at Cachoeira and were drilled within a 350 meter strike corridor at the Arara Target. Drill results confirm the existence of high grade gold mineralization. LCD-009 intersected 6.00 m @ 12.58 g/t Au which corresponds to a zone of abundant visible gold in drill core (http://www.lunagold.com/s/Cachoeira.asp?ReportID=198003). This intercept is located 50 meters south of historic hole FD008 drilled by CVRD in 2003 which returned 8.00 meters @ 16.68 g/t Au from 82.00 meters core depth indicating continuity of the high-grade gold mineralization in this area. LCD-001 (97.00 m @ 0.43 g/t Au), LCD-004 (25.00 meters @ 0.43 g/t and LCD-006 (28.00 meters @ 0.71 g/t Au) all intersected wide zones of low-grade oxide gold mineralization from surface indicating the existence of a broad mineralizing system at Arara.

Core geology intersected to date is dominated by a highly altered pyroclastic volcano sedimentary sequence. Gold mineralization is associated with massive to semi-massive quartz veins associated with sulfides and albitization located within and proximal to shear zones.

The Cachoeira gold project is located 100 km due SW of Luna's Aurizona gold project in Maranh�o State. Cachoeira is accessible by paved highway, BR 316, from Bel�m, the capital of Par� State. The zones of known mineralization are controlled by high-angle north-south structures dominated by shear zones. The land package extends roughly 13 km north-south and 2.5 km east-west, encompassing the full extent of the structures that are known to be mineralized, which to date has a strike length of 5 km. The project consists of two mining licences and 1 exploration licence for 3760 ha.

Addition to the Brazilian Management Team
The Company is also pleased to report that Marcus Brewster has joined Luna Gold in the role of Project Manager for Cachoeira. Marcus is a graduate of the Camborne School of Mines in the UK and holds Masters Degrees in both Mining Geology and Mining Engineering. He spent 12 years with Gold Fields Limited and was involved in the start-up and development of the Tarkwa Mine and various satellite open-pit operations at the Damang Mine, Ghana and will play an important role in advancing Cachoeira.

About Luna Gold Corp

Luna is a mining exploration company focused on the acquisition, exploration, and development of gold resources and advanced stage gold exploration projects in northeastern Brazil.

On behalf of the Board of Directors

LUNA GOLD CORP.

Tim Searcy, P. Geo. -- President and CEO

Website: www.lunagold.com
For further information contact Investor Relations at (604) 689-7317 or toll free at 1-866-689-7317.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this press release.

Quality Assurance/Quality Control
Luna operates a rigorous QA/QC protocol on all aspects of sampling and analytical procedure at Cachoeira overseen by Marcus Brewster, AusIMM Certified Professional Geologist #226310. Drill core is checked, logged, marked for sampling and sawn in half. One half of the HQ (71 mm diameter) core is maintained for future reference and one half of the core is sent for analysis. Samples are collected in approximately 2 meter intervals reduced to 1 meter or less when a mineralized zone is encountered. All core and samples are stored in secure locked areas. Samples are transported from the Cachoeira project to the ALS Chemex sample preparation facility in Belo Horizonte, Minas Gerais accompanied by Luna personnel. Samples are assayed at ALS Chemex Labs in Belo Horizonte using a 50 gram fire assay with AAS finish. Each sample batch contains 10% of randomly inserted internal control samples consisting of certified analytical standards, blanks (barren rock) and duplicates. These QA/QC procedures provide several measures of data quality and assure the Company that the assay data is representative of the original sample.

Titus Haggan Ph.D., EurGeol Certified Professional Geologist #746, Luna's Brazil Exploration Manager is the Qualified Person as defined under National Instrument 43-101 responsible for the scientific and technical work on the exploration program and has reviewed the technical disclosure in this press 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 Gold does not assume the obligation to update any forward-looking statement.

Legends
	Production
	Mine development
	Discovery
	Exploration
	Past producer
On Google Earth, click on the button, to show property information, and access to project page or company page.