Heliostar Metals Hits 14.4g/t Gold at La Colorada

Heliostar Metals announced additional results from its expanded 16,211m drilling program at the La Colorada Mine in Sonora. The program is intended to expand mineral reserves ahead of an updated technical report and a potential expansion decision planned for mid-2025.

Heliostar Metals highlighted intercepts from the Creston Pit include 56.6m grading 2.88g/t gold from 68m, and 23.2m grading 14.4g/t gold from surface, which contained a segment of 0.85m grading 381g/t gold. Other results featured 4.05m at 17.8g/t gold from 136m, 8.7m at 6.68g/t gold from 56m, and 18.85m 3.54g/t gold from 95m. The company stated that deeper drilling at the Creston Pit shows a combination of wide intervals and high grades. These results are from 25 new holes at Creston, two at Gran Central, and four metallurgical holes completed at Veta Madre. "The turnaround at La Colorada has been a real strength for Heliostar. In the three months since the acquisition, the company has restarted production and established a mine life of 6.5 years. This drill program has returned a powerful combination of wide gold intervals and high-grade veins, leading to our expanding of the program to a total of 104 drill holes,” said Charles Funk, CEO, Heliostar Metals.

Funk commented that the results are intended to drive stronger economics in an updated technical report planned for mid-2025. He added that the new drill program at La Colorada will focus on defining additional mineralized material from historic stockpiles, which the company considers can be brought into production rapidly. 

The current drill program is designed to increase the volume of rock containing potentially economic gold mineralization. The company indicated this could, in turn, improve overall mine economics by potentially reducing the strip ratio of the Creston pit expansion and adding ounces to the mine plan. The upcoming technical study will be the basis for an investment decision regarding expanding open pit mining production at La Colorada. The Creston Pit currently hosts a Probable Mineral Reserve of 312,000oz of gold grading 0.76g/t gold and 5.07Moz of silver at 10.1g/t silver.