Luna Gold Identifies Ceara and Arete Gold Targets at Maranhao Greenfields (Luna Greenfields)

Luna Gold Corp. (TSX VENTURE:LGC)(LMA:LGC) ("Luna Gold" or the "Company")
announces the identification of the Ceara and Arete targets located within the
Company's 100% owned Maranhao Greenfields project, here forth referred to as
Luna Greenfields. Ceara and Arete are two separate gold targets hosted by a
southwest trending shear zone located 16 km along strike from the Aurizona Mine
(Figure 1). Geochemical and geophysical data combined with geological mapping
indicate that these new targets are located in the same structural corridor that
hosts the Aurizona gold deposits (Figure 2). Project maps can be viewed on the
Luna Gold website at www.lunagold.com or click below. 


To view Figures 1 and 2, please visit the following link:
http://media3.marketwire.com/docs/lgc315i.pdf. 


Highlights are:



--  Highly prospective structural setting within the Ceara Arete Shear Zone
    (CASZ) - extension of the Aurizona mineralized structures into the Luna
    Greenfields Project
      
--  Ceara - Gold in soil anomaly measuring 0.55 km x 0.25 km at a 50 ppb Au
    cut-off with maximum values of 1.32 g/t Au associated with sulfidization
    and quartz veining in tonalities
      
--  Ceara - Reconnaissance rock grab sampling program (38 samples) returned
    gold values up to 20.30 g/t Au
      
--  Arete - Gold in soil anomaly measuring 1.00 km x 0.10 km at a 50 ppb Au
    cut-off with maximum value of 0.79 g/t Au
      
--  Arete - Reconnaissance rock grab sampling program (04 samples) returned
    gold values up to 3.31 g/t Au
      
--  Arete - Auger drill program defined 0.50 km long subcropping mineralized
    zone with best intersection of 5.00 m @ 1.96 g/t Au from surface (Auger
    hole T2684) 



Luna Gold's President and CEO, John Blake, comments, "Luna is focused on the
identification of new gold targets at Luna Greenfields ahead of the 2012 drill
program. The identification of the Ceara and Arete targets 16 km west-southwest
from Aurizona within the same shear corridor that hosts the Piaba and Tatajuba
deposits is significant and further advances gold discovery potential in the
Luna Greenfields Project. We are confident that the large Aurizona mineralizing
system is not an isolated occurrence in the belt and through systematic
exploration programs we will continue to add to our target portfolio ahead of
the 2012 and 2013 drill programs."


Ceara 

Ceara was an active garimpo (artisanal mine) in the 1980's where quartz veins
hosted by tonalities were mined. Three flooded pits remain surrounded by
tailings dumps. Gold mineralization is associated with outcropping quartz veins
and hydrothermal alteration including pyritization. Target geology consists of
granites, tonalities and laterites within the CASZ. The Ceara soil anomaly
measures 0.55 km x 0.25 km at a 50 ppb Au cut-off with a maximum value of 1.32
g/t Au. Rock grab sampling around the pits and further afield returned several
high-grade samples including 20.30 g/t Au, 4.17 g/t Au and 2.62 g/t Au. Grab
sampling of tailings dumps also returned encouraging grades including 2.93 g/t
Au, 2.17 g/t Au and 1.29 g/t Au. Table 1 contains a summary of Luna's
reconnaissance rock and tailings sampling programs at Ceara.




----------------------------------------------------------------------------
SAMPLE_NO         SAMPLE_TYPE      TARGET           LITHOLOGY       AU (PPM)
----------------------------------------------------------------------------
R-4817            Grab Sample       Ceara         Quartz Vein          20.3 
----------------------------------------------------------------------------
R-1483            Grab Sample       Ceara         Quartz Vein          4.17 
----------------------------------------------------------------------------
R-4820            Grab Sample       Ceara         Quartz Vein          2.62 
----------------------------------------------------------------------------
R-1469            Grab Sample       Ceara            Tonalite         0.996 
----------------------------------------------------------------------------
R-4819            Grab Sample       Ceara         Quartz Vein          0.71 
----------------------------------------------------------------------------
R-4821            Grab Sample       Ceara         Quartz Vein         0.698 
----------------------------------------------------------------------------
R-5025            Grab Sample       Ceara         Quartz Vein         0.493 
----------------------------------------------------------------------------
R-1461            Grab Sample       Ceara            Tonalite         0.168 
----------------------------------------------------------------------------
R-5024            Grab Sample       Ceara         Quartz Vein         0.138 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
R-1494            Grab Sample       Ceara    Garimpo Tailings          2.93 
----------------------------------------------------------------------------
R-1489            Grab Sample       Ceara    Garimpo Tailings          2.17 
----------------------------------------------------------------------------
R-1492            Grab Sample       Ceara    Garimpo Tailings         1.295 
----------------------------------------------------------------------------
R-0745            Grab Sample       Ceara    Garimpo Tailings         0.903 
----------------------------------------------------------------------------
R-1493            Grab Sample       Ceara    Garimpo Tailings         0.803 
----------------------------------------------------------------------------
R-1488            Grab Sample       Ceara    Garimpo Tailings         0.679 
----------------------------------------------------------------------------
R-0741            Grab Sample       Ceara    Garimpo Tailings         0.612 
----------------------------------------------------------------------------
R-1500            Grab Sample       Ceara    Garimpo Tailings         0.528 
----------------------------------------------------------------------------
R-1484            Grab Sample       Ceara    Garimpo Tailings         0.507 
----------------------------------------------------------------------------
R-1499            Grab Sample       Ceara    Garimpo Tailings          0.45 
----------------------------------------------------------------------------
R-0744            Grab Sample       Ceara    Garimpo Tailings         0.415 
----------------------------------------------------------------------------
R-0746            Grab Sample       Ceara    Garimpo Tailings         0.407 
----------------------------------------------------------------------------
R-1495            Grab Sample       Ceara    Garimpo Tailings         0.399 
----------------------------------------------------------------------------
R-1498            Grab Sample       Ceara    Garimpo Tailings         0.378 
----------------------------------------------------------------------------
R-1486            Grab Sample       Ceara    Garimpo Tailings         0.363 
----------------------------------------------------------------------------
R-1497            Grab Sample       Ceara    Garimpo Tailings         0.355 
----------------------------------------------------------------------------
R-1496            Grab Sample       Ceara    Garimpo Tailings         0.349 
----------------------------------------------------------------------------
R-4816            Grab Sample       Ceara    Garimpo Tailings         0.344 
----------------------------------------------------------------------------
R-0742            Grab Sample       Ceara    Garimpo Tailings         0.282 
----------------------------------------------------------------------------
R-1491            Grab Sample       Ceara    Garimpo Tailings          0.23 
----------------------------------------------------------------------------
R-0743            Grab Sample       Ceara    Garimpo Tailings         0.183 
----------------------------------------------------------------------------
R-1485            Grab Sample       Ceara    Garimpo Tailings         0.173 
----------------------------------------------------------------------------
R-1490            Grab Sample       Ceara    Garimpo Tailings         0.165 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
R-1457            Grab Sample       Arete         Quartz Vein          3.31 
----------------------------------------------------------------------------
                                                                            
Table 1. Gold grades of initial surface sampling of rock and tailings       
material, Ceara and Arete targets. Mineralized samples above a 0.10 g/t Au  
cut-off grade are reported. A total of 58 samples were collected over the   
entire Ceara Arete project. Assay values for samples not reported here range
between below detection limit (less than 0.05 g/t Au) to 0.068 g/t Au. These
samples were neither part of, nor alone do they constitute, a statistically 
representative sampling program.                                            



Arete 

Arete is located 1.5 km ENE from Ceara within the CASZ and was identified
through a soil geochemical survey that defined a cohesive linear anomaly
measuring 1.00 km x 0.10 km at a 50 ppb Au cut-off with a maximum value of 0.79
g/t Au. Target geology is masked by laterites. Correlation with multielement
soil geochemistry shows that these laterites may represent weathered basic
volcanics. No rock outcrop exists at Arete though several rock grab float
samples were collected over the target with best result of 3.31 g/t Au. Table 1
contains a summary of Luna's reconnaissance rock grab sampling program at Arete.
Luna subsequently conducted an auger drill program to test the soil anomaly.
Auger holes were drilled on a 100m x 8m grid crossing the anomaly and have
defined a 0.5 km long mineralized zone trending ENE hosted in a basic volcanic
unit. The top ten auger drill intervals are shown in Table 2. 




----------------------------------------------------------------------------
HOLE ID       HOLE DEPTH (m)    FROM (m)      TO (m)     INT (m)    AU (G/T)
----------------------------------------------------------------------------
T2650                  8.00        1.00        8.00        7.00        0.46 
----------------------------------------------------------------------------
T2653                  7.00        0.00        7.00        7.00        0.70 
----------------------------------------------------------------------------
T2654                  6.00        0.00        6.00        6.00        0.75 
----------------------------------------------------------------------------
T2683                  7.00        0.00        7.00        7.00        0.49 
----------------------------------------------------------------------------
T2684                  5.00        0.00        5.00        5.00        1.96 
----------------------------------------------------------------------------
T2705                  8.00        0.00        8.00        8.00        0.67 
----------------------------------------------------------------------------
T2729                  8.00        1.00        8.00        7.00        0.62 
----------------------------------------------------------------------------
T2730                  8.00        0.00        2.00        2.00        1.15 
----------------------------------------------------------------------------
T2751                  8.00        2.00        8.00        6.00        0.58 
----------------------------------------------------------------------------
T2752                  6.00        1.00        4.00        3.00        0.92 
----------------------------------------------------------------------------
                                                                            
Table 2. Top 10 mineralized auger drill intervals, Arete target. All holes  
are vertical. True widths to be established. A total of 239 holes were      
drilled totaling 1309 meters. Assay values for auger holes not reported here
range between below detection limit (less than 0.05 g/t Au) to 1.06 g/t Au. 



1. Ceara Arete Geology Map
http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp 


2. Ceara Arete Geophysical (RTE) Map
http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp 


3. Ceara Arete Geophysical (TMI) Map
http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp 


4. Ceara Arete Geophysical (AS) Map
http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp 


5. Ceara Geology Map
http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp 


6. Arete Geology Map
http://www.lunagold.com/en/projectsoperations/lunagreenfields.asp 


Luna Gold's VP Exploration, Titus Haggan, states, "The exploration results at
Ceara and Arete are significant because they demonstrate that the Aurizona
mineralized corridor extends into the Luna Greenfields project area. Both these
targets contain outcropping gold mineralization hosted by Paleoproterozoic
intrusives and meta-volcanosedimentary units located close to the contact with
low magnetic features within the CASZ. Another smaller artisanal pit called
Carana also occurs within the target area located 1 km NNW from Ceara. All these
targets further enhance the prospectivity of the Luna Greenfields project and
will be rate-ranked ahead of the 2012 drill program."


LUNA GOLD ISSUES STOCK OPTIONS

Luna announces that its Board of Directors has approved the issuance of an
aggregate of 1,635,000 stock options. The options have a five year term and were
issued after market close on March 5, 2012, with an exercise price of $3.20
based on that day's closing price. The stock options were granted pursuant to
Luna's Stock Option Plan and were issued to directors, officers, employees and
consultants of the Company.


About Luna Gold Corp. 

Luna Gold is a producing gold company with development and exploration projects.
Gold production is from the Aurizona Mine in Maranhao, Brazil, and development
is focused on the Cachoeira deposit in Para, Brazil. The Company is aggressively
exploring the large strategically placed Luna Greenfields project.


On behalf of the Board of Directors

LUNA GOLD CORP. 

John Blake, President and CEO

Website: www.lunagold.com 

Regulatory Footnotes

Luna operates a rigorous QA/QC protocol on all aspects of geochemical sampling,
drilling and analytical procedure. Soil sampling programs are supervised by
mining technicians and samples are collected on regular grids surveyed using
total stations. Soil samples are collected at a nominal 0.50 meter depth or
deeper corresponding to the B soil horizon. Several types of ancillary data are
recorded including soil type, granulometry, magnetism, and the presence of
laterite. Rock and tailings sampling is supervised by geologists and mining
technicians and recorded on special log sheets. All areas intended for sampling
are assessed and marked-up for sampling by geologists. For surface channel
sampling all sample faces are cleaned to a depth of 15 centimeters and marked
for sampling which is conducted at nominal 1 meter intervals using appropriate
sampling tools which are cleaned between each sample. Sample intervals are
surveyed using a Total Station. Auger drilling is conducted using Company owned
motorized Honda auger drills. Auger drill teams are supervised by mining
technicians. Auger samples are collected at continual 1 meter intervals using a
10.16 centimeter diameter collector. Sample weight averages 16 kilograms. All
data including depth, sample number and geologic information are recorded on
special log sheets. All samples are stored in secure locked areas under Company
supervision. Samples are transported from the Aurizona and Luna Greenfields
projects to the ALS Chemex sample preparation facility in Belo Horizonte, Minas
Gerais and to the ACME Labs sample preparation facility in Goiania accompanied
by Luna personnel. Soil and rock channel samples are assayed for gold via fire
assay (30 and 50 grams) at ALS Chemex, Lima, Peru. Auger samples are assayed for
gold via fire assay (50 grams) at ACME Laboratories, Santiago, Chile. Luna
operates a rigorous QA/QC program for soil and rock samples which involves the
insertion of blanks, CRM and sample 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 Vice
President Exploration is the Qualified Person as defined under National
Instrument 43-101 responsible for the scientific and technical work on the
exploration program and has supervised the preparation of and reviewed the
technical disclosure in this press release. Non- qualified persons currently
work on Luna's exploration programs under the guidance of Titus Haggan. Dr.
Haggan takes responsibility for work, information and advice generated by
non-Qualified persons and has taken the steps required to ensure that the work,
information and advice is sound. 


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 

This release contains certain "forward looking statements" and certain
"forward-looking information" as defined under applicable Canadian and U.S.
securities laws. Forward-looking statements can generally be identified by the
use of forward-looking terminology such as "may", "will", "expect", "intend",
"estimate", "anticipate", "believe", "continue", "plans" or similar terminology.
Forward-looking statements include, but are not limited to, statements with
respect to the exploration program for the Company's Aurizona, Areal and Luna
Greenfields projects and any planned resource upgrades. Forward-looking
statements are based on forecasts of future results, estimates of amounts not
yet determinable and assumptions that, while believed by management to be
reasonable, are inherently subject to significant business, economic and
competitive uncertainties and contingencies. Certain of the statements made
herein by Luna Gold Corp. are forward-looking and subject to various risks and
uncertainties, both known and unknown, many of which are beyond the ability of
Luna Gold Corp. to control or predict. Known and unknown factors could cause
actual results to differ materially from those projected in the forward-looking
statements. 


Forward-looking information is subject to known and unknown risks and
uncertainties that may cause Luna Gold Corp.'s actual results, performance or
achievements may be materially different from those expressed or implied by such
forward-looking information, and are developed based on assumptions about such
risks, uncertainties and other factors set out here in, including but not
limited to the inherent risks involved in the exploration and development of
mineral properties, the uncertainties involved in interpreting drill results and
other exploration data, the potential for delays in exploration or development
activities, mine development and production costs, the projected life of the
Company's mines, future production levels, the geology, grade and continuity of
mineral deposits, the possibility that future exploration, development or mining
results will not be consistent with the Company's expectations, accidents,
equipment breakdowns, title matters, labor disputes or other unanticipated
difficulties with or interruptions in production and operations, fluctuating
metal prices, unanticipated costs and expenses, uncertainties relating to the
availability and costs of financing needed in the future, the inherent
uncertainty of production and cost estimates and the potential for unexpected
costs and expenses, commodity price fluctuations, currency fluctuations,
regulatory restrictions, including environmental regulatory restrictions and
liability, competition, loss of key employees, and other related risks and
uncertainties. The Company undertakes no obligation to update forward-looking
information except as required by applicable law. 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. Accordingly, readers are advised not to place undue
reliance on forward-looking statements or information.