TORONTO, ONTARIO, Jun 15, 2011 (MARKETWIRE via COMTEX News Network) --HaloResources Ltd. (TSX VENTURE: HLO)(FRANKFURT: HRLN) ("Halo" or the"Company") is pleased to announce that the Company has received theresults from 1,650 meters of diamond drilling that tested three newexploration targets in areas controlled 100% by Halo within the 200square kilometer Sherridon VMS Property in Manitoba (refer to February10, 2011 release).
Halo's 8-hole program is in addition todrilling previously reported by Hudson Bay Mining and Smelting Co.,Limited ("HudBay"), an affiliate of HudBay Minerals Inc. (TSX:HBM)(NYSE: HBM), that is focused at the Cold-Lost property, a 1.1 squarekilometer area where HudBay can earn up to a 67.5% interest.
"Thisprogram, designed to test geophysical targets within the MineralizedHorizon between the Cold-Lost and Bob deposits, has been extremelyencouraging" stated Lynda Bloom, Halo's President & CEO. "We notonly confirmed the location and attitude of a new mineralized lens atBob but also discovered a strong, significant geophysical response in ahighly prospective area the we consider the first step in discovery ofmajor new discovery".
A major late-time response electromagneticend-of-hole anomaly located at depth between the Bob and Cold-Lostdeposits has created optimism. A ground geophysical survey is planned tobetter define the source of the end-of-hole anomaly and will serve asthe basis for diamond drill testing. The occurrence of a major late-timeresponse EM anomaly located in the known prospective stratigraphybetween the Bob and Lost deposits, and in the vicinity of 2008 Halodrill results of up to 2.4% copper over 2.4 meters, is highlyencouraging.
The highlights of the program are as follows:
-- The presence of a second shallow mineralized lens located east of the
main Bob deposit has been confirmed. DH11-163 encountered disseminated
and massive sulphides over a length of more than 14 m including 2.37% Zn
over 3.28 m and also 0.87% copper and 2.06% zinc over 1.07 m. DH11-164
also intersected more than 20 m of mineralization within a 33 m thick
zone that includes an impressive 9.23 m interval grading 0.82% copper
and 0.86% zinc. These intersections are adjacent to existing Open Pit
Inferred Resources at Bob of similar grade.
-- A Bore Hole Pulse Electromagnetic (BHPEM) survey conducted in two of the
three shallow holes drilled in the Bay/Sheila Lake area to test a VTEM
anomaly has revealed the presence of a large late-time response off-hole
anomaly at depth. One of the holes drilled reported minor zinc
mineralization.
Technical Highlights
Halo's2010/2011 winter exploration focused on a 5.5km long area of knownprospective geology (the Mineralized Horizon) extending from the Lostdeposit to the eastern portion of the Bob deposit on claims held 100% byHalo (see map, available at the following link:https://media3.marketwire.com/docs/hlo0615.pdf).
A Ground PulseElectromagnetic Survey (GPEM) completed in 2010 in the Sherlett Lakearea, east of the Lost deposit, resulted in the discovery of two weakconductors. Hole DH11-167 tested the anomaly which has been explained byminor disseminated mineralization and fault gouge at a depth ofapproximately 90 m.
The second GPEM anomaly, located 300 m to thenorth, was tested with DH11-168 and disseminated copper-zinc sulphidemineralization was encountered at depths of 175 and 200 metersindicating the continuation of the Mineralized Horizon. An extension ofthe GPEM survey (winter 2010-2011) identified strengthening geophysicalanomalies further east towards Bay/Sheila Lake.
The prospectivehorizon that extends through the Bay/Sheila Lake area and wraps aroundthe Sheila Lake fold enroute to the Bob deposit has been the subject ofan intensive multidisciplinary exploration program conducted over thepast several years. A few hundred meters to the north of 2011 drilling,2008 Halo drilling intersected up to 2.4% copper over 2.4 meters atFidelity. An east-west fence of three shallow drill holes spaced atapproximately 200 metres (DH11-160, 161 and 162) tested an area withmajor plunging structural features within the strong alteration zonethat stretches eastwards to Bob.
Only DH11-161 reported minordisseminated zinc mineralization (two 0.5 m intersections of 0.2% zincat a hole depth of approximately 125 metres), but down hole geophysics(BHPEM) at holes DH11-160 and DH11-162 identified a vector towardsstrong airborne VTEM and magnetic responses. Very large, late-timeresponses (greater than 100 ms) detected in both holes indicate thepresence of a large non-formational conductor located at depth. A followup GPEM survey and drill testing are planned for the next winterexploration season.
Bob Deposit
The Bob deposit, locatedat the eastern extent of this trend, contains an Indicated Open PitResource of approximately 2.2 million tonne containing 0.70% copper and0.72% zinc and an Inferred Open Pit Resource of 7.6 million tonnegrading 0.62% copper and 0.49% zinc (refer to November 4, 2010 newsrelease of NI 43-101 compliant resources for Sherridon). The majority ofthese resources are contained within single shallow plunging structure,extending almost 1,000 meters along strike and to a depth ofapproximately 200 meters below surface.
The three hole drillprogram at Bob confirmed the presence of a second mineralized lens thatprojects to near-surface including a mineralized intersection ofapproximately 14 m (DH11-163; see Table 1) outside the 2010 Open PitIndicated and Inferred Resource envelope.
Significant assay results from drilling at the Bob deposit are shown in the following Table 1.
Table 1
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From To Length(i) Gold Silver Copper Zinc
Drill Hole (m) (m) (m) (gpt) (gpt) (%) (%)
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DH11-163 134.20 140.25 6.05 0.06 8.80 0.17 1.94
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including 134.20 137.48 3.28 0.10 12.18 0.25 2.37
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and 146.20 154.20 8.00 0.17 11.72 0.69 1.42
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including 148.98 150.05 1.07 0.30 15.61 0.87 2.06
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DH11-164 105.95 115.18 9.23 0.23 8.79 0.82 0.86
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including 105.95 111.72 5.77 0.36 10.33 0.78 1.10
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DH11-165 42.27 45.66 3.39 0.46 11.11 0.70 0.27
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Including 44.35 45.66 1.31 0.06 9.44 1.28 0.23
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(i) True widths are not known but are not expected to vary significantly
from the reported lengths.
Anadditional program of exploration at Bob targeting further definitionand expansion of the second lens and its' extension to surface is underconsideration.
NQ-sized drill core is sawn in half and submittedto the ALS-Chemex, Thunder Bay sample preparation facilities withanalyses performed at ALS-Chemex Vancouver, an internationallyrecognized, accredited facility. The entire sample is crushed and a 200 gsplit is pulverized. Base metals and a suite of up to 30 trace elementsare determined by inductively coupled plasma spectrometry (ICP) afteran aqua regia digestion, with over-range copper, zinc and silverdetermined by multi-acid digest and atomic absorption spectrometry (AAS)analyses. Gold is determined by standard fire assay with an ICPinstrumental finish on a 30 g charge. A quality control programconsisting of blanks and analytical control standards has beenimplemented to monitor laboratory performance and no significantdiscrepancies are reported.
The above information has beenprepared under the supervision of Tom Healy, P.Eng., who is designatedas a "Qualified Person" with the ability and authority to verify theauthenticity and validity of the data.
ON BEHALF OF THE BOARD OF DIRECTORS
Marc Cernovitch, Chairman
About Halo Resources Ltd.
Halois a Canadian-based resource company with base metal and gold assets.The Company's focus is the 200 sq. km. Sherridon VMS Property, acombination of mature and grassroots volcanogenic massive sulphide (VMS)copper, zinc and gold exploration opportunities. A 2010 NI43-101compliant copper-zinc resource, for four of the known deposits in thedistrict, included Indicated Resources of 6.5 million tonnes grading0.85% copper and 1.22% zinc and Inferred Resources of 15.9 milliontonnes grading 0.68% copper and 0.84 % zinc. At least 75% of thematerial in both categories is contained within potentially economicopen pits. The Company has a joint venture interest in the DuportProperty, an advanced gold property near Kenora, Ontario and a 60:40joint venture partnership with Red Lake Gold Mines Partnership (RLGMP), apartnership between Goldcorp Canada Ltd. and Goldcorp Inc. (TSX:G)(NYSE: GG) at West Red Lake covering 3,500 hectares. The Company isoperated by an experienced management team with a growth strategy todevelop a diversified portfolio of advanced mining projects.
Forward Looking Statements
ThisCompany Press Release may contain certain "forward-looking" statementsand information relating to the Company that are based on the beliefs ofthe Company's management as well as assumptions made by and informationcurrently available to the Company's management. Such statementsreflect the current risks, uncertainties and assumptions related tocertain factors including, without limitations, competitive factors,general economic conditions, customer relations, relationships withvendors and strategic partners, the interest rate environment,governmental regulation and supervision, seasonality, technologicalchange, changes in industry practices, and one-time events. Should anyone or more of these risks or uncertainties materialize, or should anyunderlying assumptions prove incorrect, actual results may varymaterially from those described herein.
Neither TSX VentureExchange nor its Regulation Services Provider (as that term is definedin the policies of the TSX Venture Exchange) accepts responsibility forthe adequacy or accuracy of this release.
Contacts: First Canadian Capital Corp. 416-742-5600 or Toll Free: 1-866-580-8891 ir@halores.com www.halores.com
SOURCE: Halo Resources Ltd.
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