03:17:08 EST Tue 03 Dec 2024
Enter Symbol
or Name
USA
CA



Heliostar Metals Ltd
Symbol HSTR
Shares Issued 203,822,346
Close 2024-09-17 C$ 0.385
Market Cap C$ 78,471,603
Recent Sedar Documents

Heliostar begins 5,000-metre drill program at Ana Paula

2024-09-17 10:10 ET - News Release

Mr. Charles Funk reports

HELIOSTAR COMMENCES 5,000 METRE RESOURCE EXPANSION DRILL PROGRAM AT ANA PAULA HIGH GRADE GOLD PROJECT, MEXICO AND ISSUES INCENTIVE GRANT

Heliostar Metals Ltd. has commenced a 5,000-metre diamond drill program at its Ana Paula project in Mexico. The two-stage drill program will test the east, west and downdip extensions of the High Grade Panel and Parallel Panel targets. Phase 1 will consist of seven drill holes totalling 2,600 metres and phase 2 will consist of eight drill holes totalling 2,400 metres.

Heliostar chief executive officer Charles Funk commented: "We are confident that Ana Paula can continue to grow beyond our 2023 resource update. The company aims to expand the resource this year and next, ahead of a feasibility study that the company is planning to complete in late 2025. Drilling will include some large stepouts. They follow a newly identified geochemical corridor that may point to the source of gold mineralization at the deposit. Heliostar has entered a period of significant catalysts, including closing the Argonaut acquisition, reporting gold production, laying out production guidance, publishing a PFS for La Colorada and reporting drill results from multiple properties."

Drill program

The phase 1 drill program, currently under way, will focus on extending the High Grade Panel and Parallel Panel targets to the west. It will also test the downdip extension of the High Grade Panel target while infilling the Parallel Panel target. The program will consist of seven drill holes totalling 2,600 metres. Two drill holes will step out approximately 70 metres to the west along a corridor of elevated potassium/calcium geochemistry that extends west and downplunge from the High Grade Panel target.

These two holes have the potential to significantly add high-grade ounces to the resource. The remaining five drill holes will test the downdip extension of the High Grade Panel target while also defining the Parallel Panel target. These holes will also convert inferred ounces to indicated and increase the measured ounces in the High Grade Panel target.

Phase 2 drilling will consist of eight drill holes totalling 2,400 metres. This program targets the eastern and western extents of the High Grade Panel target, the Parallel Panel target and the downdip extension of the High Grade Panel target. Three holes along the edges of the High Grade Panel target have the potential to add high-grade ounces to the panel by extending to the east and west. The five holes targeting the Parallel Panel target, the High Grade Panel target and the downdip extension will better define the resources. The data will assist in converting inferred ounces to indicated and indicated to measured. The program also has a strong potential to add new gold ounces to both panels.

The company completed two drill holes of the program to date and expects to report results from October, 2024.

Incentive plan rewards

The company announces that, pursuant to the company's omnibus equity incentive compensation plan, it has granted 4,675,000 stock options at an exercise price of 42 cents and 1.18 million restricted share units to directors, officers, employees and consultants of the company. The options are exercisable for a period of five years and will vest over the next two years. The RSUs will vest in three equal annual instalments commencing on the first anniversary of the grant date.

Advisory agreements

The company also announces that it has entered into an advisory agreement with TSCG Capital Group, pursuant to which the company engaged TSCG to provide financial advisory services to the company. On completion of the offering, and upon receipt of approval of the TSX Venture Exchange, the company will issue to TSCG warrants to acquire 696,000 shares at a price of 42 cents per share for a period of 24 months from the date of issuance.

The company announces that it has entered into an advisory agreement with 3L Capital Inc., pursuant to which the company engaged 3L to provide financial advisory services to the company. Upon receipt of approval of the TSX-V, the company will issue to 3L warrants to acquire 113,000 shares at a price of 42 cents per share for a period of 24 months from the date of issuance.

Statement of qualified person

Stewart Harris, PGeo, a qualified person, as such term is defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects, has reviewed the scientific and technical information that forms the basis for this news release and has approved the disclosure herein.

About Heliostar Metals Ltd.

Heliostar aims to grow to become a mid-tier gold producer. The company is focused on developing the 100-per-cent-owned Ana Paula project in Guerrero, Mexico, and has recently entered into an agreement to acquire a portfolio of production and development assets in Mexico.

We seek Safe Harbor.

© 2024 Canjex Publishing Ltd. All rights reserved.