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Halo Resources Commences Drilling at Sherridon VMS Property in Manitoba

Halo Resources Ltd. (TSX VENTURE:HLO)(FRANKFURT:HRLN) has announced that the Company has commenced drilling at its' 200 square kilometer Sherridon VMS Property in Manitoba.

A contract has been awarded to Gateway Drilling Ltd. for 1,500 meters of diamond drilling to be completed in February.

The planned 8-hole program is in addition to the drilling currently in progress 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 square kilometer area of Halo's in which HudBay can earn up to a to earn up to a 67.5% joint venture interest.

"We look forward to learning more about the mineralized trend between the Cold-Lost and Bob deposits," stated Lynda Bloom, Halo's President& CEO. "Spread out along 4.5 kilometers of prospective "Mine Horizon" geology, the geophysical targets are in areas with little historical drilling and where we have the possibility of locating new deposits at the Sherridon VMS Property."

1. Second Lens at Bob: The Bob Deposit has been traced from surface for over 1,000 meters down plunge. Historical assays, up to 3.3% Cu over 2.8m, indicate that a possible second lens projecting to surface is located to the east. Halo discovered the preferred orientation for drilling the Bob deposit in 2008 and will apply the same approach, with similar success anticipated at Bob East.

2. Fidelity South/Jonah: The prospective horizon that hosts the Cold-Lost mineralization wraps around the Sheila Lake Fold enroute to the Bob Deposit. At Fidelity, historical intersections up to 2.6% Cu over 7 meters were reported and Halo had intersections up to 2.4% Cu over 2.4 meters in 2008. The proposed targets are located south of previous drilling and focus on plunging structural features within a large alteration zone that stretches eastwards to Bob. Maxwell modeling of geophysical anomalies and recently developed geological interpretations were used to orient drill holes.

3. Sherlett area: New ground Time Domain EM geophysical targets located approximately 1 km along strike from and east of the Lost deposit. This is an area with no historical drilling within the same trend as the high grade Cold - Lost mineralization and is parallel to nearby underground workings.

Halo remains committed to mineral resource investigation and evaluation of its 200 square kilometer Sherridon VMS Property in Manitoba. A program of target generation, definition and drilling is planned for 2011.

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.

Source:

Halo Resources Ltd.

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