The 200 square km Sherridon VMS Property hosts the Sherridon Mine which produced 7.7 million tonnes of ore grading 2.46% copper and 0.8% zinc. An additional six copper-zinc deposits occur on the property, Park Lake being one of them. The property is located only 70 km northeast of the mining and metallurgical complex in Flin Flon operated by HudBay Minerals Inc. Halo plans to mine these near-surface deposits from a central location in the vicinity of the existing all-weather road, railroad and power line.

Objectives

1. To confirm historical mineralized intervals reported by Hudson Bay in the 1950s;

2. To test the mineralized horizon down dip and test the limits of the historical resource envelope.

The Park Lake deposit was discovered in 1959 by Hudson Bay Exploration & Development Co. Ltd. (HBED). Historical resource estimates calculated by HBED on the Park Lake deposit are 6.14 million tonnes grading 0.42% copper and 2.16% zinc. Although the resource estimations are believed to be reliable, they were calculated prior to the implementation of National Instrument 43-101.

Halo has the option to earn 100 percent interest in the Park Lake deposit from HBED through a series of cash and share payments and escalating work commitments as detailed in the option agreement.

Four diamond drill holes of a planned 10 hole program were completed in 2007 with the remaining holes to be completed after freeze-up. Significant assays are provided in the following table.

                       Drill Holes

Recent Highlights

• Completed 1,950 m of drilling in 4 drill holes

• Shows continuity of the thicker zinc-rich ore below 300 m from surface

• Intersected 17.9 m grading 2.5% zinc and 12 m grading 3.7% zinc

• Zinc-rich lens 12 to 28 m thick confirmed over 250 m downdip

• Additional drilling planned