Mr. Charles Funk reports

PLANS TO RESTART MINING OPERATIONS AT LA COLORADA MINE, MEXICO

Heliostar Metals Ltd. has undertaken a work program at the historical Junkyard stockpile at the La Colorada mine and plans to recommence crushing and stacking in January, 2025. The planned restart would initially augment and then replace the current gold production from residual leaching at the mine.

Heliostar chief executive officer Charles Funk commented: "Recommencing mining operations at La Colorada is a key step for Heliostar to start 2025. The plan to recommence crushing and stacking, paused since September, 2023, will drive the company's guidance forecast next year. Over recent months, the Junkyard stockpile has been a focus with 57 holes completed, a metallurgical assessment undertaken and quotes have been sought and received to select a mining contractor. A restart and the pending technical report for La Colorada has it strongly placed to drive Heliostar towards our goal of becoming a mid-tier gold producer."

Junkyard stockpile

The Junkyard stockpile is a historic waste rock storage facility that is named after mining equipment that was stored on there. The stockpile is located approximately 800 metres southwest of the La Colorada crushing circuit and contains material that was mined from the Gran Central pit in the mid-1990s to late 1990s.

The company initiated an evaluation of the Junkyard stockpile in August that consisted of drilling, resource modelling and metallurgical testing. Drill holes were completed on an approximately 35-metre grid across the stockpile, with some drill holes completed on a seven-metre grid for variability testing. In total, 57 holes totalling 2,290 metres were completed.

Results of the drilling, resource modelling and metallurgy for the Junkyard stockpile, in conjunction with an expansion of the Creston pit, will be published in a technical report in January, 2025.

The drilling program also delineated a historic tailings facility beneath the Junkyard stockpile. Additional metallurgical testing, beyond the timeline of the technical report, is required on the tailings. Should this be positive, it represents a potential future upside opportunity.

Statement of qualified persons

Sam Anderson, CPG, and Gregg Bush, PEng, qualified persons, as this term is defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects, have reviewed the scientific and technical information that forms the basis for this news release and has approved the disclosure herein. Mr. Anderson is vice-president, projects, and Mr. Bush is chief operating officer for the company.

Investor relations agreements

The company has entered into agreements with Triomphe Holdings Ltd. (doing business as Capital Analytica) and Investor News Network (INN) for investor relations and communication services.

The agreement with Capital Analytica has an initial term of six months, commencing Dec. 5, 2024, under which the company will pay Capital Analytica $120,000.

The services to be provided under the Capital Analytica agreement include continuing capital markets consultation, continuing social media consultation regarding engagement and enhancement, social sentiment reporting, social engagement reporting, discussion forum monitoring and reporting, corporate video dissemination, and other related investor relations services.

Jeff French is the principal of Capital Analytica and will be responsible for all activities related to the company. Capital Analytica currently has no direct or indirect interest in the securities of the company or any right or intent to acquire such an interest.

The agreement with INN has a term of three months, commencing on Dec. 5, 2024, under which the company will pay to INN $25,000, unless terminated earlier in accordance with the consulting agreement. The services to be provided under the INN agreement include advertising services to increase awareness of the issuer.

Nick Smith is the chief executive officer of INN and will be responsible for all activities related to the company. INN currently has no direct or indirect interest in the securities of the company or any right or intent to acquire such an interest.

The Capital Analytica agreement and the INN agreement are subject to TSX Venture Exchange approval.

About Heliostar Metals Ltd.

Heliostar is a gold producer with production from operating mines in Mexico. This includes the La Colorada mine in Sonora and San Agustin mine in Durango. The company also has a strong portfolio of development projects in Mexico and the United States. These include the Ana Paula project in Guerrero, the Cerro del Gallo project in Guanajuato, the San Antonio project in Baja Sur and the Unga project in Alaska, United States.

We seek Safe Harbor.