news releaseHALO ANNOUNCES UP TO 22 g/t GOLD OVER 3 METERS
Toronto, Ontario, March 30, 2011 – Halo Resources Ltd. (TSXV:HLO; FSE:HRLN)
(“Halo” or the “Company”) is pleased to announce that Hudson Bay Mining and Smelting Co.,
Limited (“HudBay”), an affiliate of HudBay Minerals Inc. (TSX:HBM; NYSE:HBM), has
reported new results for drilling at the Lost property, where HudBay is earning an interest in 1.1
sq. km. of Halo’s 200 square kilometer Sherridon VMS Property in Manitoba.
Previous results reported February 23, 2011 indicated that HudBay’s winter drill program had
extended the previously identified Lost mineralization northwards approximately 200 meters
from the previously identified high grade envelope. For example, Hole HLL003 (reported
previously) intersected an 11.90 meter mineralized zone that assayed 1.54% copper and 5.42%
zinc and HLL008 intersected 2.35 m of 0.97% copper and 3.72% zinc at a depth below surface
of approximately 140 m. Additional in-fill holes, such as HLL016 (1.43% copper and 1.51%
zinc over 12.1 meters), confirmed the continuity of the copper-zinc mineralization within the
strike extension of the zone (see plan view map).
High grade gold and silver intersections were reported approximately 55 meters from the
mineralized resource boundary including 8.75 g/t gold and 46.39 g/t silver over 5.50 meters
including 24.68 g/t gold and 130.67 g/t silver over 1.35 meters (Hole HLL013) and 3.60 g/t gold
and 98.62 g/t silver over 1.30 meters (Hole HLL014).
In addition, a step out hole (HLL008), a further 125 meters grid-north, intersected 7.23 g/t gold
and 65.12 g/t silver over 11.7 m, including 22.39 g/t gold and 189.10 g/t silver over 3.35 meters.
These precious metal grades are not associated with sulphide-rich zones and may represent an
additional exploration target. In 2007, a similar intersection was reported in the most southerly
drill section at Lost Lake (770 meters grid-south of hole HLL008) where 10.4 g/t gold over 3.3
meters was reported at a depth of 141.7 meters (Hole DH07-73).
Lynda Bloom, Halo’s President& CEO, stated “High-grade gold and silver grades are
encouraging in today’s metal price environment. Halo started work in the Sherridon area by
drilling the Emily Gold Showing that had grab samples reporting up to 29 g/t gold and intends to
focus the summer exploration program on these and other gold prospects in the Sherridon VMS
Property.”
Halo completed a drill program in March on ground held 100% by Halo and assays are pending.
Background
An option agreement announced December 21, 2009 allows HudBay to earn up to a 67.5% joint
venture interest in a 1.1 square kilometer area of the 200 square kilometer Sherridon VMS
Property in Manitoba which hosts the Cold and Lost mineralization. HudBay made the required
first-anniversary cash payment of $150,000 and completed over $820,000 of expenditures as of
January 2011. A total work commitment of $1.35 million and additional $400,000 cash payment
are required to be completed by December 21, 2011 for the option to remain in good standing.
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Technical Highlights
The objective of the HudBay drill program was to test the horizon between the Lost and Cold
deposit and to define the northern extent of the Lost mineral resource. The winter drill program
consisted of 17 holes for a total of 1,794 meters (see figure above). Mineralized intersections are
listed in Table 1 below; intersections for holes HLL001 to 003 and 006 were reported in a press
release dated February 23, 2011.
The Lost deposit has been outlined as a high- grade plunging feature over a strike length of
approximately 390 meters, which has now been extended an additional 100 meters. Of particular
significance is the fact that this zone extends from near surface in the south to a depth of 145
meters below surface in the north; it is generally consistent to a depth of 110 meters below
surface.
Single drill holes, on three sections spaced 100 meters apart tested the area between Lost and
Cold, and targeted mineralization at approximately130 meters from surface. Copper and zinc
values for holes HLL010 to 012 were low with the exception of one interval of 9.08% zinc over
0.48 meters.
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Table 1
Hole From To Width Gold Silver Copper Zinc
(m) (m) (m) (g/t (g/t) (%) (%)
HLL004 96.20 100.15 3.95 0.34 13.26 0.86 1.87
including 98.51 100.15 1.64 0.29 14.26 0.93 2.88
HLL005 38.00 39.90 1.90 0.95 19.21 0.79 0.42
and 50.00 54.60 4.60 0.36 10.04 0.80 3.40
including 65.70 66.60 0.90 0.23 4.44 0.22 5.04
HLL007 81.02 82.00 0.98 0.41 11.00 0.84 0.08
HLL008 130.65 142.35 11.70 7.23 65.12 0.53 0.82
including 130.65 133.00 2.35 1.04 18.19 0.97 3.72
including 136.00 139.35 3.35 22.39 189.10 0.31 0.02
including 141.00 142.35 1.35 0.44 15.33 1.13 0.44
HLL009 44.00 44.50 0.50 0.07 5.00 0.17 3.61
HLL010 126.36 127.00 0.64 0.06 10.00 0.86 0.32
HLL011 127.52 128.00 0.48 0.13 11.00 0.19 9.08
HLL012 129.60 134.42 4.82 0.04 3.00 0.06 0.49
HLL013 30.20 35.70 5.50 8.75 46.39 0.10 -
including 34.35 35.70 1.35 24.68 130.67 0.24 -
and 42.91 49.00 6.09 0.07 2.71 0.22 0.50
HLL014 13.25 14.55 1.30 3.60 98.62 0.09 -
and 35.00 41.00 6.00 0.39 13.00 0.50 1.21
and 48.00 53.00 5.00 0.23 6.30 0.58 4.49
Including 50.30 52.30 2.00 0.24 5.50 0.56 9.56
and 65.00 76.00 11.00 0.19 11.03 0.69 2.24
including 70.60 71.76 1.16 0.49 33.36 2.13 4.76
including 74.70 76.00 1.30 0.25 15.46 0.84 8.34
HLL015 45.90 48.90 3.00 0.28 10.00 0.57 1.35
and 75.38 77.00 1.62 0.14 11.38 0.83 0.09
HLL016 59.30 60.50 1.20 0.16 4.83 0.54 0.02
and 65.45 77.52 12.07 0.81 19.97 1.43 1.51
including 65.45 72.76 7.31 1.10 28.30 2.00 1.98
including 76.70 77.52 0.82 0.88 15.00 1.21 3.92
HLL017 43.30 49.40 6.10 0.27 5.26 0.43 2.23
including 43.30 45.00 1.70 0.16 7.59 0.84 2.40
including 47.45 48.61 1.16 0.46 8.00 0.54 7.98
HudBay controlled all aspects of the drill program reported here including logging, sampling,
assaying and quality control. Sample preparation, assaying and quality control programs are
consistent with the disclosure in the press release dated November 12, 2010. Holes were drilled
at dips of 45 to 90º at grid azimuth of 270º. True widths are not known but are not expected to
vary significantly from the lengths indicated in Table 1.
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The above information has been prepared under the supervision of Lynda Bloom, P.Geo., who is
designated as a "Qualified Person" with the ability and authority to verify the authenticity and
validity of the data.
ON BEHALF OF THE BOARD OF DIRECTORS
“Marc Cernovitch”
Marc Cernovitch
https://halores.com/news/pdf/2011%20PRs/110330.pdf