Halo Has Commenced Drilling on Jungle Lake Copper-Zinc Deposit, Sherridon – Flin Flon Area, Manitobaadmin
HALO RESOURCES LTD. – Lynda Bloom, President and CEO is pleased to announce that Halo Resources Ltd. has commenced drilling at the Jungle Lake copper-zinc deposit on its 200 square km Sherridon Volcanogenic Massive Sulphide (VMS) Property in the Sherridon – Flin Flon area of Manitoba. Drilling of the known deposits and mineral occurrences on the Sherridon VMS Property is part of the planned 20,000metre drill program designed to confirm results identified by earlier work and to explore for extensions to the known deposits. Halo plans to accelerate the resource assessment work on the property to bring it to NI 43-101 compliancy by the end of 2007. The preliminary program on the Jungle Lake copper-zinc deposit will consist of 1500 metres of drilling in 7 holes.
The Jungle Lake deposit was discovered and drilled by Hudson Bay Exploration and Development Company Limited (HBED) from 1958 to 1967. Historical resource estimates calculated by HBED on the Jungle Lake deposit are 3.4 million tonnes grading 1.42% copper and 1.1% zinc 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.
Mineralization occurs in four en echelon lenses consisting predominantly of massive pyrrhotite and pyrite with lesser amounts of chalcopyrite and sphalerite in blebs and stringers. It has a known east-west strike length of 365 metres and an average thickness of 5.6metres. It dips at a shallow angle to the north and occurs from surface to a known depth of 400metres. No drilling has been conducted on the Jungle Lake deposit since 1967.
“We look forward to the same success at Jungle Lake that we had with the first phase of drilling at the Bob Lake deposit last month. The mineralized zone at Bob Lake was extended down dip and along strike and the Jungle Lake deposit offers the same opportunity to expand historical resources,” says Lynda Bloom, President & CEO.
Halo has the option to earn 100 percent interest in the Jungle Lake deposit from HBED through a series of cash and share payments and escalating work commitments as detailed in the option agreement.
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. The Jungle Lake deposit is believed to lie within the same stratigraphic horizon that hosts the Sherridon Mine and the Park copper-zinc deposit. This horizon can be traced for more than 20 km on the property. 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.
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.
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.
ON BEHALF OF THE BOARD
Lynda Bloom, President and CEO
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. Except for historical statements contained herein, this news release presents “forward-looking information” within the meaning of applicable Canadian and United States securities legislation. Forward-looking information includes, but is not limited to, information with respect to future exploration activities. Forward-looking information can frequently be identified by words such as “plans,” “expects,” “estimates,” “forecasts,” “intends,” “anticipates,” or “believes,” or the negative thereof, or other similar words and phrases or state that certain actions, events or results “may”, “could” or “might” 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 joint venture operations; changes in project parameters; fluctuating metal prices; possible variations in ore reserves, grade or recovery rates; the possibility of project cost overruns or unanticipated costs and expenses; 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. Although Halo has 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, except in accordance with applicable securities laws.
For further information, please contact: Lynda Bloom President & CEO or Marc Cernovitch Chairman Halo Resources Ltd. Tel: 416-368-7045 Fax: 416-368-9805 Toll Free: 1-866-841-0068
Source: Halo Resorces Limited