Heliostar Finds Vein Beneath Historic Apollo-Sitka Mine and Drills 5.1 g/t AuEq over 1.95 Metres at Unga Project
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Heliostar Finds Vein Beneath Historic Apollo-Sitka Mine
and Drills 5.1 g/t AuEq over 1.95 Metres at Unga Project
Vancouver, Canada, March 1st, 2021 – Heliostar Metals Limited (TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG)
("Heliostar" or the "Company") is pleased to announce results from four of seven holes at the Apollo-Sitka Mine
target in the Unga project, Alaska. Results from the remaining holes will be reported when they return from the
assay laboratory.
The Apollo-Sitka mines produced gold from high-grade material at the turn of the 20th century. Mining ran from
1891 to the early 1920s and stopped when the high-grade gold ores transitioned to include a high base-metal
content at depth. Historic exploration shafts demonstrated the vein continued beneath the mined areas. Despite
evidence of strong mineralization at depth there is no record of drilling underneath the mines until this program.
Drilling Highlights
APS20-03A
• 5.10 grams per ton (g/t) gold equivalent (4.77 g/t gold, 14.3 g/t silver, 0.1% lead and 0.2% zinc) over
1.95 metres (m) from 157.89 m downhole
APS20-04
• 1.06 g/t gold equivalent (0.30 g/t gold, 11.9 g/t silver, 0.7% lead and 0.8% zinc) over 24.99 m dowhole
from 5.79 m downhole
Note: All numbers are rounded and widths represent downhole lengths ; true thicknesses are unknown . Gold equivalent is calculated
using the following formula: gold -equivalent = ((Au_g/t x 48.23) + (Ag_g/t x 0.6431) + (Pb_ppm x 0.0019) + (Zn_ppm x 0.0021)) / 48.23.
Metal price assumptions are $1,500 per ounce gold, $20 per ounce silver, $0.85 per pound lead and $0.95 per pound zinc.
Heliostar CEO, Charles Funk, commented “This initial drilling intersected multiple sub-parallel veins in the Apollo
area, demonstrated strong gold grades and accurately located the veins at depth. Drilling a wide stockwork zone
surrounding the Sitka workings increases the economic potential of this area and demonstrates proof of our
geologic concept that this area h as more mineralized material to offer. The company will begin sy stematically
drilling at Apollo-Sitka when we recommence our program in late March with a goal of defining the full extent of
mineralization found by earlier miners.”
Apollo-Sitka Target
The Apollo and Sitka showings are located along a seven -kilometre long southwest-trending structural corridor
that hosts multiple veins and runs sub-parallel to the SH-1 structural trend.
A northwest dipping sequence of basaltic andesite interbedded with volcaniclastic sandstones hosts the Apollo
mineralization. An open stope that exploited three veins extends for over 300 metres along strike and
approximately 425 meters in depth. Veins outlined to date strike northeast and dip both steeply northwest and
southeast. The veins contain coarse comb -textured quartz , with calcite, pyrite, galena, sphalerite and
chalcopyrite.
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Three holes have been completed beneath the main Apollo mine ( Figure 1, Shaft 1 area ). The first hole
intersected mine workings at the target depth, the second deviated to the east , away from the target and the
third intersected two veins with the best intercept of 1.95m grading 5.10 g/t gold equivalent.
Additional drilling is required to complete an acc urate cross section due to the discovery of multiple veins and
the recognition of post -mineralization faulting. Confirming the vein location beneath the mine workings,
demonstrating parallel veins and strong gold mineralization forms an excellent platform for systematic step-out
drilling in the 2021 program.
The Sitka workings are approximately one kilometre northeast of the Apollo Mine. An open stope and a series of
historic trenches expose the mineralization at Sitka for about 150 metres. Sitka mineralization trends easterly to
northeasterly. It dips steeply to the south and is hosted within andesitic volcanic rocks. Mineralization comprises
cockade quartz veining , stockworks and breccias with pyrite, galena, sphalerite, and chalcopyrite along the
margins of the quartz veins and fragments within the breccia.
Four holes intersected a combination of workings, veins and broad stockwork zones. The broad stockwork zone
intersected next to workings in hole APS20 -04 has not been described in any known historic reports and its
discovery significantly increases the economic potential of the Sitka area . The Sitka area will be a focus for the
company during the 2021 drilling program.
Figure 1: Apollo-Sitka plan map with veins, gold in rock chip samples and drill hole locations shown.
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Drillhole From To Interval Gold Silver Lead
(%)
Zinc
(%)
Gold Equiv
(g/t) Comment (m) (m) (m) (g/t) (g/t)
APS20-01 93.41 95.8 2.39 0.28 4.10 0.5 0.8 0.88 Intersected
And 122.93 124.82 1.89 0.95 0.76 0 0 0.97 mine
workings
And 128.63 130.61 1.98 0.62 1.22 0 0 0.65 at target
depth
APS20-02 Results pending
APS20-03A 132.33 143.5 11.17 0.36 22.7 0.3 0.5 0.99
Incl. 135.33 141.92 6.59 0.48 35.9 0.5 0.7 1.48
And 157.89 159.84 1.95 4.77 14.3 0.1 0.2 5.10
And 166.52 186.52 20.0 0.14 2.87 0.3 0.4 0.45
Incl. 174.0 176.0 2.0 1.17 1.20 0 0 1.19
And 213.36 215.01 1.65 0.80 2.05 0.1 0.1 0.92
APS20-04 5.79 30.78 24.99 0.30 11.9 0.7 0.8 1.06 Mine
Workings
and 37.56 52 14.44 0.24 10.6 0.3 0.3 0.65
APS20-05 14.7 17.89 3.19 0.25 44.4 0 0.1 0.89
And 56.16 61.26 5.1 0.53 6.01 0.2 0.3 0.82
And 86.87 88.07 1.2 1.52 4.60 0 0 1.60
APS20-06 Results pending Mine
Workings
APS20-07 Results pending Mine
Workings
Table 1: Table of intersections from the Apollo-Sitka Zone. True thickness is not known. Gold equivalent is calculated using the
following formula: gold-equivalent = ((Au_g/t x 48.23) + (Ag_g/t x 0.6431) + (Pb_ppm x 0.0019) + (Zn_ppm x 0.0021)) / 48.23. Metal
price assumptions are $1,500 per ounce gold, $20 per ounce silver, $0.85 per pound lead and $0.95 per pound zinc.
Prospect Drillhole Easting Northing Elevation Inclination
(°)
Azimuth
(°)
Total
Depth (m)
Apollo APS20-01 399617 6116738 209.6 140 -45 198.73
APS20-02 399617 6116738 209.6 115 -62 478.23
APS20-03 399617 6116738 209.5 115 -57 10.36
APS20-03A 399617 6116738 209.5 115 -57 356.31
AQ20-05 394768 6117098 214 140 -53 133.8
Sitka APS20-04 400855 6117380 45.4 220 -45 130.76
APS20-05 400856 6117383 45.5 220 -65 116.13
APS20-06 400855 6117383 42.6 195 -55 56.39
APS20-07 400855 6117381 44.7 195 -45 42.67
Table 2: Apollo-Sitka drill hole details. NAD83, Zone 4 Coordinate system.
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Figure 2: Plan Map of Unga project with priority targets labelled
About Heliostar Metals Ltd.
Heliostar is a well -financed junior exploration and development company with a portfolio of high -grade gold
projects in Alaska and Mexico. The company’s flagship asset is the 100% controlled Unga Gold Project on Unga
and Popof Islands in Alaska. The project hosts an intermediate sulfidation epithermal gold deposit, located within
the district-scale property that encompasses 240km 2 across the two islands. Additional targets on the property
include porphyry, high sulphidation and intermediate sulphidation epithermal veins. On Unga Island, priority
targets include: the SH -1 and Aquila, both on the Shumagin Trend, the former Apollo -Sitka mine, which was
Alaska’s first underground gold mine and the Zachary Bay porphyry gold -copper prospect. Gold mineralization
at the C entennial Zone is located on neighbouring Popof Island within four kilo metres of infrastructure and
services at Sand Point.
In Mexico, the company owns 100% of three early stage epithermal projects in Sonora that are highly prospective
for gold and silver. Cumaro forms part of the El Picacho district, while the Oso Negro and La Lola projects are
also prospective for epithermal gold-silver mineralization.
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Quality Assurance / Quality Control
Drill core samples were shipped to ALS Limited in Fairbanks, Alaska for sample preparation and for analysis at
the ALS laboratory in North Vancouver. The ALS Fairbanks and North Vancouver facilities are ISO/IEC 17025
certified. Silver and base metals were analyzed using a four-acid digestion with an ICP finish and gold was assayed
by 30-gram fire assay with atomic absorption (“AA”) spectroscopy finish and overlimits were analyzed by 30g fire
assay with gravimetric finish.
Control samples comprising certified refere nce samples, duplicates and blank samples were systematically
inserted into the sample stream and analyzed as part of the Company’s quality assurance / quality control
protocol.
Qualified Person
The Company’s disclosure of technical or scientific informat ion in this press release has been reviewed and
approved by Stewart Harris, P.Geo., Exploration Manager for the Company. Mr. Harris is a Qualified Person as
defined under the terms of National Instrument 43-101.
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.
Forward-Looking Information. This release includes certain statements that may be deemed "forward -looking
statements". Forward-looking statements are statements that are not historical facts and are generally, but not
always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects",
"potential" and similar expressions, or that events or conditions "would", "may", "could" or "should" occur.
Forward-looking statements in this press release include Heliostar’s plans to continue aggressive exploration at
Unga in 2021 and its goal of defining a resource in excess of one million ounces, its plan to continue infill drilling
to expand to depth where the system remains open, and its bel ief that the SH -1 prospect has considerable
potential for expansion. Although Heliostar believes that the expectations expressed in such forward -looking
statements are based on reasonable assumptions, such statements are not a guarantee of future performa nce
and actual results may differ materially from those in the forward -looking statements. Factors that could cause
the actual results to differ materially from those in forward-looking statements include market prices, exploitation
and exploration successes, weather, continued availability of capital and financing, and general economic, market
or business conditions. Investors are cautioned that any such statements are not guarantees of future
performance and actual results or developments may differ mater ially from those projected in the forward -
looking statements. Forward -looking statements are based on the beliefs, estimates and opinions of the
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Company's management on the date the statements are made. Except as required by applicable securities laws,
the Company undertakes no obligation to update these forward -looking statements in the event that
management's beliefs, estimates or opinions, or other factors, should change.