Heliostar Announces $4.6M in Commitments Under Warrant Incentive Program
1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 236 429 9306
www.heliostarmetals.com | Trading Symbols: TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1
Heliostar Announces $4.6M in Commitments Under
Warrant Incentive Program
Vancouver, Canada, November 21, 2023 – Heliostar Metals Ltd. (TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1)
(“Heliostar” or the “Company”) is pleased to provide an update on its warrant exercise incentive program
previously announced on November 14, 2023 (the “Warrant Incentive Program”). The Warrant Incentive
Program was designed to encourage the early exercise of up to 46,363,630 common share purchase
warrants issued on March 16, 2023 (the “Outstanding Warrants”).
To date , holders of 15,368,864 Outstanding Warrants have committed to participate in the Warrant
Incentive Program. Early exercise of such Outstanding Warrants would result in gross proceeds to the
Company of $4,610,659.
We continue to move rapidly forward with the Ana Paula project. The near future has a lot of valuation
growth catalysts including resource growth, de -risking studies, accelerated path -to-production and
continued exploration success. The first of the catalysts, an updated mineral resource estimate, is expected
this month.” commented Heliostar CEO, Charles Funk. He continued, “To maintain strength in the balance
sheet to achieve these milestones the Company has looked within its share structure to minimize dilution.
The Warrant Incentive Program has received significant commitments totalling $4. 6 million to date. We
believe it provides one of the least dilutive financing outcomes for all Heliostar shareholders. The offering
Warrant Incentive Program remains open until December 8, 2023.”
Webinar Invitation
The Company is hosting a webinar on November 28 at 1pm Pacific/4pm Eastern time to provide an update
on the Ana Paula Project. Please use the link here to register for the webinar:
https://us02web.zoom.us/webinar/register/WN_oPjMzlKFQq23gNkh0jE-zA#/registration
About the Warrant Incentive Program
Pursuant to the Warrant Incentive Program, the Company has offered to holders of all 46,363,630
Outstanding Warrants the opportunity to exercise each of their Outstanding Warrants between 12:00
a.m. PST on November 17, 2023 and 12:00 p.m. PST on December 8, 2023. In return for the early exercise,
each holder will receive one common share in the capital of the Company (each a “ Common Share”)
pursuant to the original warrant terms, plus as an incentive, one -third of one common share purchase
warrant (each who le warrant, an “ Incentive Warrant ”). Each Incentive Warrant allows the holder to
acquire one Common Share at an exercise price of $0.40 for a period of two years following the date of
the issuance of the Incentive Warrant. A holder may elect to exercise all, none, or a portion of their
Outstanding Warrants.
Each Outstanding Warrant is currently exercisable to purchase one Common Share at $0.30 per Common
Share until March 16, 2026. Any Outstanding Warrants remaining un -exercised after 12:00 p.m. PST on
December 8, 2023 will remain outstanding and continue to be exercisable pursuant to their existing terms.
Holders of Outstanding Warrants who elect to participate in the Incentive Program are required to deliver
the following to the Company on or prior to 12:00 p.m. PST on December 8, 2023:
TSX.V: HSTR
OTCQX: HSTXF
1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 236 429 9306
www.heliostarmetals.com | Trading Symbols: TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1
• a duly completed and executed exercise form, in the form which accompanies the certificate
representing the Outstanding Warrants;
• the original certificate representing the Outstanding Warrants being exercised; and
• the applicable aggregate exercise price ($0.30 per Outstanding Warrant) payable to the Company
by way of certified cheque, money order, bank draft, or wire transfer in lawful money of Canada.
The proceeds from the early exercise of the Outstanding Warrants will be used to advance the Company’s
Ana Paula Project and for general working capital.
The Common Shares issued on exercise of the Outstanding Warrants will not be subject to any hold period.
The Incentive Warrants and any Common Shares issued upon the exercise of the Incentive Warrants will
be subject to a hold period expiring four months after the date of distribution of the Incentive Warrants.
The Incentive Program is subject to certain conditions, including, but not limited to, the receipt of all
necessary approvals, including the final approval of the TSX Venture Exchange.
About Heliostar Metals Ltd.
Heliostar is a junior mining company with a portfolio of high-grade gold projects in Mexico and Alaska.
The Company is focused on developing the 100% owned Ana Paula Project in Guerrero, Mexico. In
addition, Heliostar is working with the Mexican federal and local government to permit the San Antonio
Gold Project in Baja Sur, Mexico. The Company continues to explore the Unga Gold Project in Alaska,
United States of America.
The Ana Paula Project deposit contains proven and probable mineral reserves of 1,081,000 ounces of gold
(630,000 proven and 451,000 probable ounces) at 2.38 grams per tonne (“g/t”) gold and 2,547,000 ounces
of silver (1,322,000 proven and 1,226,000 probable ounces) at 5.61 g/t silver. Ana Paula hosts measured
and indicated resources of 1,468,800 ounces of gold (703,800 measured and 765,000 indicated ounces)
at 2.16 g/t gold and 3,600,000 ounces of silver (1,637,000 measured and 1,963,000 indicated ounces) at
5.3 g/t silver. The asset is permitted for open -pit mining and contains significant existing infrastructure
including a portal and a 412-metre-long decline.
For additional information, please contact:
Charles Funk
Chief Executive Officer
Heliostar Metals Limited
Email: [email protected]
Rob Grey
Investor Relations Manager
Heliostar Metals Limited
Email: [email protected]
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.
1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 236 429 9306
www.heliostarmetals.com | Trading Symbols: TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1
This news release includes certain "Forward –Looking Statements" within the meaning of the United States Private Securities
Litigation Reform Act of 1995 and "forward –looking information" under applicable Canadian securities laws. When used in this
news rel ease, the words "anticipate", "believe", "estimate", "expect", "target", "plan", "forecast", "may", "would", "could",
"schedule" and similar words or expressions, identify forward –looking statements or information. These forward –looking
statements or infor mation relate to, among other things: the expected early exercise of 13,100,000 Outstanding Warrants
pursuant to the Warrant Incentive Program and the expected gross proceeds of such exercise; the use of net proceeds from the
early exercise of the Outstanding Warrants ; the exploration, development, and production at the Company’s properties;
permitting at the San Antonio project; the release of exploration results; and future resource estimates. Forward –looking
statements and forward –looking information re lating to any future mineral production, liquidity, enhanced value and capital
markets profile of the Company, future growth potential for the Company and its business, and future exploration plans are based
on management's reasonable assumptions, estimate s, expectations, analyses and opinions, which are based on management's
experience and perception of trends, current conditions and expected developments, and other factors that management believes
are relevant and reasonable in the circumstances, but which may prove to be incorrect. Assumptions have been made regarding,
among other things, the price of metals; no escalation in the severity of public health crises or ongoing military conflicts; costs of
exploration and development; the estimated costs of de velopment of exploration projects; and the Company's ability to operate
in a safe and effective manner and its ability to obtain financing on reasonable terms.
These statements reflect the Company's respective current views with respect to future events and are necessarily based upon a
number of other assumptions and estimates that, while considered reasonable by management, are inherently subject to
significant business, economic, competitive, political, and social uncertainties, and contingencies. Many factors, both known and
unknown, could cause actual results, performance, or achievements to be materially different from the results, performance or
achievements that are or may be expressed or implied by such forward –looking statements or forward-looking information and
the Company has made assumptions and estimates based on or related to many of these factors. Such factors include, without
limitation: precious m etals price volatility; risks associated with the conduct of the Company's mining activities in foreign
jurisdictions; regulatory, consent or permitting delays; risks relating to reliance on the Company's management team and outside
contractors; risks regarding exploration and mining activities; the Company's inability to obtain insurance to cover all risks, on a
commercially reasonable basis or at all; currency fluctuations; risks regarding the failure to generate sufficient cash flow from
operations; risks relating to project financing and equity issuances; risks and unknowns inherent in all mining projects, including
the inaccuracy of reserves and resources, metallurgical recoveries and capital and operating costs of such projects; contests over
title to properties, particularly title to undeveloped properties; laws and regulations governing the environment, health and safety;
the ability of the communities in which the Company operates to manage and cope with the implications of public health crises ;
the economic and financial implications of public health crises, ongoing military conflicts and general economic factors to the
Company; operating or technical difficulties in connection with mining or development activities; employee relations, labour unrest
or unavailability; the Company's interactions with surrounding communities; the Company's ability to successfully integrate
acquired assets; the speculative nature of exploration and development, including the risks of diminishing quantities or grades of
reserves; stock market volatility; conflicts of interest among certain directors and officers; lack of liquidity for shareholders of the
Company; litigation risk; and the factors identified under the caption “Risk Factors” in the Company’s public disclosure documents.
Readers are cautioned against attributing undue certainty to forward –looking statements or forward -looking information.
Although the Company has attempted to identify key factors that could cause actual results to differ materially, there may b e
other factors that cause results not to be anticipated, estimated or intended. The Company does not intend, and does not assume
any obligation, to update these forward–looking statements or forward-looking information to reflect changes in assumptions or
changes in circumstances or any other events affecting such statements or information, other than as required by applicable law.