Stonegate Capital Partners has updated its coverage on Heliostar Metals Ltd (TSXV: HSTR), highlighting the company's continued advancement of its flagship Ana Paula gold project in Guerrero, Mexico, alongside strategic portfolio expansion. The November 2025 preliminary economic assessment (PEA) for Ana Paula outlines a nine-year underground mine operation projected to produce 101,100 ounces of gold annually after ramp-up, with cash costs of $923 per ounce and all-in sustaining costs (AISC) of $1,011 per ounce.
At a gold price assumption of $2,400 per ounce, the study generated an after-tax net present value (NPV5) of $426.0 million and an internal rate of return (IRR) of 28.1%. The company has continued reserve conversion and expansion drilling, with recent results from the Expansion Zone showing 25.45 meters at 8.26 grams per tonne gold, including a high-grade interval of 8.30 meters at 19.99 grams per tonne. Mineralization remains open to the north, northwest, and at depth, indicating potential for further resource growth.
Management is advancing a feasibility study targeted for the first half of 2027 and expects to continue development of the existing 412-meter decline in 2026, supporting a goal of first production in the second half of 2028. The 2026 operational focus is on self-funded execution, with guided production of 50,000 to 55,000 ounces, $40.6 million in cash exiting 2025, and a $27 million exploration program expected to be funded from mine cash flow.
Beyond Ana Paula, Heliostar is building multi-asset growth optionality. The Cerro del Gallo project adds a second asset with a projected NPV5 of $424 million and an IRR of 33.1%. Additionally, the company has acquired the Goldstrike project in the United States, a past-producing heap-leach asset. A 2018 PEA for Goldstrike showed approximately 95,000 ounces of average annual gold production, with initial capital expenditure of $113.2 million. At a $1,300 per ounce gold price, that study indicated an after-tax NPV5 of $129.5 million and an IRR of 29.4%.
The acquisition of Goldstrike provides Heliostar with meaningful optionality in the United States, diversifying its geographic risk and adding a third project with robust economics. This three-asset portfolio strategy positions the company to leverage multiple development pathways and capitalizes on strong gold market fundamentals. For business and technology leaders monitoring the mining sector, Heliostar's progress demonstrates a methodical approach to project development, combining high-grade exploration success with disciplined financial planning to build shareholder value through a pipeline of gold projects in mining-friendly jurisdictions.
