Heliostar Metals’ Ana Paula PEA Eyes 101,000oz/y Gold Production

Heliostar Metals announced the results of a Preliminary Economic Assessment (PEA) for a potential underground mine development at its Ana Paula Project in Guerrero. Using a base case gold price of US$2,400/oz, the study outlines a post-tax Net Present Value (NPV) at a 5% discount rate of US$426 million, a post-tax Internal Rate of Return (IRR) of 28.1%, and a payback period of 2.9 years. The initial capital expenditure (CAPEX) to bring the mine into production is estimated at US$300 million.

The PEA outlines a nine-year mine life, producing an average of 101,000oz of gold per year after ramp-up, for a total of 874,700oz. The projected life-of-mine all-in sustaining cost (AISC) is US$1,011/oz. "Today’s PEA demonstrates Ana Paula can be a low CAPEX, high margin gold mine. Ana Paula is expected to drive the company’s transition to mid-tier status in 2028 by significantly expanding our production profile at one of the industry’s lowest cost bases," said Charles Funk, CEO, Heliostar Metals.

The study proposes a 1,800t/d underground mining operation using long-hole open stoping. The processing facility would include a gravity circuit and a 250t/d bio-oxidation (BIOX) circuit to achieve an estimated overall recovery of 90%.

Heliostar Metals also outlined an accelerated path forward, including the completion of an ongoing 15,000m drill program and the submission of a permit amendment in 1Q26. The company plans to restart development of an underground decline in 2026, which is expected to cost approximately US$15 million and will be funded from free cash flow generated by its La Colorada and San Agustin mines. “As we proceed with the FS, the current 15,000m drill program, engineering, and metallurgical programs all have the potential to improve the mine’s economics and are being advanced with the aim of confirming a mine life of at least 10 years.  The company plans to accelerate key development steps to bring Ana Paula forward, including a restart of decline development in 2026,” Funk said.