Halo Resources Ltd.
OTC Bulletin Board : HLOSF

Halo Resources Ltd.

June 13, 2007 03:00 ET

Halo Drilling at Bob Lake Deposit Shows Continuity

TORONTO, ONTARIO--(Marketwire - June 13, 2007) - Lynda Bloom, President and CEO of Halo Resources Ltd. (TSX VENTURE:HLO)(OTCBB:HLOSF)(FRANKFURT:HRL), is pleased to announce the results from the last four holes of Halo Resources' initial drilling program on the Bob Lake deposit on its 200 square kilometer Sherridon Volcanogenic Massive Sulphide (VMS) Property in the Sherridon-Flin Flon area of northern Manitoba.

"The drilling program has met and exceeded Halo's objectives to date for the property. The known strike length of the deposit has been doubled to approximately 1400 m. The initial exploration efforts are extremely encouraging and based on the results, Halo has the expectation that the Bob Lake deposit will perform in a similar manner to the historic Sherritt Gordon mine," says Lynda Bloom, President and CEO. The known strike length compares to the Sherritt Gordon Mine's East and West Zones that were each over 2 km long. The deposit shows continuity down dip and along strike and remains open in both directions. Halo is also very encouraged by the fact that drilling has revealed that the mineralization lies relatively close to surface and may be amenable to open pit mining.

A second phase of drilling on the Bob Lake deposit is planned once the results from the down hole Pulse EM survey and modeling of the work done to date have been compiled. In the meantime, drilling is continuing 4 km northeast of the Bob Lake deposit on the Jungle Lake copper-zinc deposit.


A total of 14 diamond drill holes have been completed at Bob Lake for a total of 3189 m. Results from the last four holes, a total of 585 m of drilling, are reported in the assay table. Most intersections are expected to be near true widths.

Dip/Azimuth From To Interval Cu Zn Ag Au
Hole (degrees) (m) (m) (m) (%) (%) (g/t) (g/t)
DH16 -45/222 65.5 71.3 5.8 0.71 0.21 4.2 -
102.7 107.3 4.6 0.72 0.37 4.0 -
117.4 119.8 2.4 1.87 0.05 8.0 0.06
124.2 125.5 1.3 0.78 - 4.4 -
DH17 -45/225 85.5 87.2 1.7 0.64 0.33 4.2 -
DH18 -45/225 99.8 113.3 13.5 1.01 0.97 6.2 -
DH19 -45/225 27.3 28.8 1.5 0.61 - 4.8 -
31.4 33.0 1.6 0.94 - 5.4 -
46.2 48.9 2.7 - - 1.0 2.52

All four holes intersected mineralization near surface and highlight the potential for open pit mining of the Bob Lake deposit. Drill holes 17, 18 and 19 show good down dip continuity of the mineralized horizon. Drill hole 16 confirmed the presence of the mineralized horizon between DH07-07 and DH 07-19, a distance of approximately 600 metres and enabled the strike length of the deposit to be extended to over 1400 metres.

The lower mineralized horizon intersected in DH07-19 and DH07-10 drilled in the same area is gold-rich over a projected down dip length of 160 m and within 100 m of surface. This gold-rich zone is open at depth in DH07-19.

To view the map showing locations of the 14 drill holes please click on the following link: http://www.ccnmatthews.com/docs/HALO0613.pdf

Sampling, assaying and quality control procedures are consistent with those reported in the Technical Background of the press release issued February 15, 2007. The above information has been prepared under the supervision of Kevin Leonard, who is designated as a "Qualified Person" with the ability and authority to verify the authenticity and validity of the data.

About the Bob Lake Deposit

Halo has an option to earn a 100 percent interest in the Bob Lake deposit from W. Bruce Dunlop (NPL) Ltd. The deposit, discovered by Sherritt Gordon Mines Ltd. in 1941, has a non-compliant NI 43-101 historic resource estimate of 2.2 million tonnes grading 1.33% copper, 1.18% zinc, 0.31g/tonne gold and 8.45g/tonne silver. All resources stated in this press release are historical in nature. Although the resource estimations are believed to be reliable, they were calculated prior to the implementation of National Instrument 43-101. Halo and its Qualified Persons have not done sufficient work to reclassify the historical estimates as current mineral resources. Halo is not treating the historical estimates as current mineral resources and the historical estimates should not be relied upon. More recent estimates or data are not available to Halo. Work by Sherritt identified that mineralization occurs as lenses of pyrrhotite, pyrite, chalcopyrite and sphalerite in multiple sulphide horizons that trend in a northwest direction over a strike length of 780 metres. The lenses were described as having an average width of 4 metres, a southwesterly plunge and a vertical extension to 180 metres.

About Sherridon VMS Property

The Sherridon VMS Property covers an area of over 20,876 hectares and hosts the past-producing Sherridon Mine that was operated by Sherritt Gordon Mines from 1933 to 1950 and produced 7.7 million tonnes of ore grading 2.46% copper and 0.8% zinc. Results from an airborne geophysical survey completed in the summer of 2006 identified an additional 122 targets. The property is located only 70 km northeast of the mining and metallurgical complex in Flin Flon operated by HudBay Minerals Inc. Future development of the property is facilitated by the presence of an all-weather road and railroad access as well as a power line and communications tower.

About Halo Resources Ltd.

Halo is a Canadian-based resource company focused on the acquisition of near production base and precious base metal deposits. Currently the Company owns or has an interest in 3 projects: Duport, which is an advanced stage gold project; Red Lake, which is a gold exploration project, and the Sherridon project that is a combination of mature and grassroots volcanogenic massive sulphide (VMS) copper, zinc and gold exploration opportunities. The Company is operated by an experienced management team and backed by a strong network of mining financiers. The Company's growth strategy is to develop a diversified portfolio of advanced mining projects.


Lynda Bloom, President and CEO

Except for the historical statements contained herein, this news release presents "forward-looking information" within the meaning of the United applicable Canadian securities laws that involve inherent risks and uncertainties. Forward-looking information includes, but is not limited to, statements with respect to the future price of gold and other minerals and metals, the estimation of mineral reserves and resources, the realization of mineral reserve estimates, the capital expenditures, costs and timing of the development of new deposits, success of exploration activities, permitting time lines, requirements for additional capital, government regulation of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved".
Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Halo to be materially different from those expressed or implied by such forward-looking information, including but not limited to: risks related to the integration of acquisitions; risks related to joint venture operations; actual results of current exploration activities; actual results of current or future reclamation activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of gold and other minerals and metals; possible variations in ore reserves, grade or recovery rates; failure of equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; and delays in obtaining governmental approvals or financing or in the completion of development or construction activities. Although the management and officers of Halo Resources Ltd. believe that the expectations reflected in such forward-looking information are based upon reasonable assumptions and have attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Halo does not undertake to update any forward-looking information that is incorporated by reference herein, except in accordance with applicable securities laws. Trading in the securities of Halo Resources Ltd. should be considered highly speculative.

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

Contact Information

  • Halo Resources Ltd.
    Lynda Bloom
    President & CEO
    (416) 368-7045 or Toll Free: 1-866-841-0068
    Email: lbloom@halores.com
    Halo Resources Ltd.
    Marc Cernovitch
    (416) 368-7045 or Toll Free: 1-866-841-0068
    (416) 368-9805 (FAX)
    Website: www.halores.com