Heliostar Drills 33m Grading 16.4 g/t Gold and 9.5m Grading 25.6 g/t gold, Expands High Grade Panel at Ana Paula
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 Drills 33m Grading 16.4 g/t Gold and 9.5m Grading
25.6 g/t gold, Expands High Grade Panel at Ana Paula
Highlights:
• Hole AP-23-303
- 98.0 metres @ 6.46 grams per tonne (g/t) gold including
- 33.0 metres @ 16.4 g/t gold
• Hole AP-23-304
- 85.5 metres @ 4.73 g/t gold including
- 9.5 metres @ 25.6 g/t gold
• These intercepts expand the High Grade Panel to 280m of total length from near surface
• Respectively, gold grades in h oles AP-23-303, AP-23-304 and AP-23-305 are 14%, 3% and 307%
higher than that predicted in the current resource model (at a >5g/t cutoff grade)
Vancouver, Canada, September 6th, 2023 – Heliostar Metals Ltd. (TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1)
(“Heliostar” or the “Company”) is pleased to report additional drill results from the Ana Paula project in
Mexico (“Ana Paula” or the “Ana Paula Project”). These three holes are the first to assess mineralization
down-plunge of the High Grade Panel at the core of Ana Paula.
Heliostar CEO, Charles Funk, commented, “The Ana Paula project continues to deliver exceptional results.
Drill results are exceeding expectations at every point. The widths of the intercepts, the consistency in the
grades, and the improvements in drill intersections over the PFS resource continue to be impressive. As we
better define the limits of the High Grade Panel, today from the down-plunge target area, we believe that
there is a clearly significant potential for an increase in total ounces and grade in the upcoming resource
update.”
Heliostar continues to deliver on its three-pronged approach to the re-scoping of Ana Paula in 2023:
• The results announced to date will grow the size of the High Grade Panel in the resource update
due in November.
• The grade distribution shows the potential to mine higher gold grades in the early years , and
throughout the mine life.
• The metallurgical study results are anticipated to be received by the end of September.
The Company’s initial focus has been on the potential to improve the economics of mining the High Grade
Panel. Now the Company plans to introduce new exploration targets within and around Ana Paula to start to
unlock the full potential of the district.
Drill Results
Results from this press release are from Heliostar’s down-plunge growth target at Ana Paula.
Hole AP -23-303 tested a large data gap in the High Grade Panel. The intercept returned significantly
higher grades than expected, intersecting 98.0 metres grading 6.46 g/t gold, including 33.0 metres grading
16.4 g/t gold.
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
Figure 1: A section through the resource model from 2023 PFS 1 highlighting the High Grade Panel (clipped to greater than 5g/t
resource blocks). Heliostar results labelled, with results reported in this release in red boxes. Holes with assays pending are shown
in blue, and Growth and Infill targets areas labelled.
Figure 2: A plan map with the resource model from 2023 PFS1 highlighting the High Grade Panel (clipped to greater than 5g/t
resource blocks). Heliostar results labelled with new holes in red boxes. Holes with assays pending are shown in blue, and
Growth and Infill targets areas labelled.
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
Hole AP-23-304 encountered a strong zone of mineralization containing 85.5 metres grading 4.73 g/t gold,
including 9.5 metres grading 25.6 g/t gold. This intercept is 15 metres west of the nearest intercept in the
High Grade Panel and will locally add a significant amount of high grade gold in an updated res ource
estimate.
Hole AP-23-305 tested deeper in the deposit, beneath AP -23-304. Results show the gold mineralization
in two broad intervals, 47.6 metres grading 3.20 g/t gold from 111 metres downhole and 33.1 metres
grading 2. 14 g/t gold from 212 metres downhole. Within these intervals are high-grade sub zones
including 1 metre grading 22.9 g/t gold, 2.8 metres grading 16.2 g/t gold and 7.38 metres grading 4.77 g/t
gold. The High Grade Panel appears to be separating into discrete structures in hole AP-23-305.
HoleID From
(metres)
To
(metres)
Interval
(metres)
Au
(g/t) Comment
AP-23-303 44.0 108.0 64.0 1.31 Includes geotech samples.
Note 1
and 118.0 216.0 98.0 6.46 Includes geotech samples.
Note 2
including 174.5 207.5 33.0 16.39 Includes geotech samples.
Note 2
AP-23-304 186.0 271.5 85.5 4.73 Includes geotech samples.
Note 3
including 212.0 221.5 9.5 25.56
AP-23-305 111.0 158.6 47.6 3.20 Includes geotech samples.
Note 4
including 133.3 134.3 1.0 22.9
and including 155.8 158.6 2.8 16.15
and 212.0 245.1 33.1 2.14 Includes geotech samples.
Note 5.
including 213.4 220.8 7.4 4.77 Includes geotech samples.
Note 6.
Table 1: Significant Drill Intersections
1 includes 0.52 metres of sample removed for geotechnical studies and assumed to have 0 g/t gold
2 includes 0.55 metres of samples removed for geotechnical studies and assumed to have 0 g/t gold
3 includes 0.45 metres of samples removed for geotechnical studies and assumed to have 0 g/t gold
4 includes 0.56 metres of samples removed for geotechnical studies and assumed to have 0 g/t gold
5 includes 1.06 metres of samples removed for geotechnical studies and assumed to have 0 g/t gold
6 includes 0.41 metres of samples removed for geotechnical studies and assumed to have 0 g/t gold
Drill Results Impact
The potential impact of the se drill results on future resource models can be inferred by comparing the
actual grades to those predicted by the existing model (as reported in the 2023 prefeasibility study 1).
Drilling that outperforms (i.e., is higher grade or wider than) the model may be expected to improve the
grade and size of future resource and reserve estimates. Using a 5 g/t cut -off grade provides a useful
benchmark to the most financially impactful ounces in an underground mining scenario.
At a 5 g/t cutoff, hole AP-23-303 has a 14% increase in gold grade when compared to an expected intercept
calculated from the existing resource model. Using the same criteria ; AP-23-304 has a 3% increase
compared to the expected intercept from the resource model and AP-23-305 has a 307% increase
compared to the expected intercept from the resource model.
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
Hole ID Northing
(WGS84 Zone 14N)
Easting
(WGS84 Zone 14N)
Elevation
(metres)
Azimuth
(°)
Inclination
(°)
Length
(metres)
AP-23-303 410,1204 1,998,100 940 180 -55 219.0
AP-23-304 410,076 1,997,906 964 000 -60 280.5
AP-23-305 410,069 1,997,898 964 000 -65 250.5
Table 2: Drill Hole Details
Drilling Progress
The Company has completed the High Grade Panel drilling program that will be included in the resource
update in November. A total of eighteen holes drilled in 2023, for a total of 3,219 metres , will be
incorporated into the updated resource estimate.
The Company is now swapping rigs for a smaller, more portable rig to commence drilling on shallow
exploration targets close to the High Grade Panel.
Webinar Invitation
The Company is hosting a webinar tomorrow (September 7th) at 11am Pacific/2pm Eastern time to provide
an update on the progress made over the summer at Ana Paula. The company will provide a detailed
review of the progress made with the re-scope to date, the catalysts for the remainder of 2023 and the
options ahead to rapidly bring Ana Paula into production.
Please use the link here to register for the webinar:
https://us02web.zoom.us/webinar/register/WN_JfM07_7USW-yZZmaVAS5tg
Quality Assurance / Quality Control
Core samples were shipped to ALS Limited in Santiago Queretaro, Queretaro for sample preparation and
for analysis at the ALS Laboratories in North Vancouver. The North Vancouver ALS facility is ISO/IEC 17025
certified. Gold was assayed by 30 -gram fire assay with atomic absorption spectroscopy finish and
overlimits were analysed by 50g fire assay with gravimetric finish.
Control samples comprising certified reference samples and blank samples were systematically inserted
into the sample stream and analyzed as part of the Company’s quality assurance / quality control protocol.
Statement of Qualified Person
Stewart Harris, P.Geo., a Qualified Person, as such term is defined by National Instrument 43 -101 –
Standards of Disclos ure for Mineral Projects (“NI 43 -101”), has reviewed the scientific and technical
information that forms the basis for this news release and has approved the disclosure herein.
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
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.
References
1 An updated prefeasibility study titled “Ana Paula Project NI 43 -101 Technical Report Preliminary
Feasibility Study Update” was filed on SEDAR on April 6, 2023, with an effective date of February
28, 2023, prepared for the Company by Daniel H. Neff, PE, Art S. Ibrado, PhD, PE, Richard K.
Zimmerman, RG, SME-RM, Craig Gibson, PhD, CPG, Andrew Kelly, P.Eng., Gordon Zurowski, P.Eng.,
Paul Daigle, P.Geo., Gilberto Dominguez, PE and James A. Cremeens, PE, PG.
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]
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of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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 release, the words "anticipate", "believe", "estimate",
"expect", "target", "plan", "forecast", "may", "wou ld", "could", "schedule" and similar words or
expressions, identify forward –looking statements or information. These forward –looking statements or
information relate to, among other things: the exploration, development, and production at the
Company’s properties; permitting at the San Antonio project; the release of exploration results; and future
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
resource and reserve estimates. Forward–looking statements and forward–looking information relating
to any future mineral production, liquidity, enhanced value a nd 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, estimates, 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, a mong 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 development 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 estim ates 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 metals 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 be
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.