Heliostar Metals Ltd. (ticker: HSTR.v or HSTXF for US investors), a rapidly growing gold producer, has seen significant developments in Q4 2024 as it builds momentum toward becoming a mid-tier gold producer.

With its flagship Ana Paula Project in Guerrero, Mexico, and a portfolio of producing and development assets, the company has strategically positioned itself for growth in 2025 and beyond. Here is a summary of key updates from this transformative quarter.

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Acquisition and Operational Expansion

A major highlight of Q4 was the successful acquisition of production and development assets in Mexico, including the La Colorada and San Agustin mines, as well as key projects like Cerro del Gallo and San Antonio.

The acquisition eliminates $20M in contingent payments and positions Heliostar as a cash flow-positive producer. The company provided production guidance of up to 20,250 gold equivalent ounces for July-December 2024, emphasizing reinvestment in its assets to drive further growth.

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At La Colorada, the company plans to restart mining in January 2025, focusing initially on the Junkyard Stockpile. A recent drilling campaign highlighted the potential to convert waste to ore, enhancing the economics of the operation.

Drilling Success at Ana Paula

Heliostar’s Ana Paula Project continues to deliver promising results. Recent drilling expanded the High Grade Panel with notable intercepts such as 16.1m grading 71.8 g/t gold. 

These results not only improve resource confidence but also suggest the potential for higher-grade resource conversion. 

A feasibility study is planned for 2025 to advance the project toward a construction decision.

Key Financial Moves and Strategic Appointments

In October, Heliostar secured a $6M private placement fully subscribed by Eric Sprott, a prominent figure in the mining sector. This investment solidifies confidence in the company’s long-term potential and provides crucial working capital.

Additionally, the company closed $10M in debt facilities in November to support the acquisition of mining assets in Mexico, reflecting robust financial backing for its operational expansion.

Leadership has been a focus this quarter. Heliostar appointed Mike Gingles as VP of Corporate Development and Hernan Dorado as VP of Sustainability and Special Projects, both bringing decades of mining expertise. 

Most recently, the company added Ramon Dávila, a veteran in Mexico's mining industry, to its board. These additions underscore Heliostar’s commitment to operational excellence and sustainable growth.

Outlook

As the quarter concludes, Heliostar stands out as a gold producer with strong financial backing, a growing production profile, and significant resource potential. With five drill rigs turning across its portfolio as of late November and multiple projects advancing, the company is well-positioned for an exciting year ahead.

Heliostar Metals is transforming its operations and strategy, demonstrating the potential to become a key player in the gold mining sector.

Full press releases: https://www.heliostarmetals.com/news

Posted on behalf of Heliostar Metals Ltd.