Resource Expansion Drill Program At Ana Paula High Grade Gold Project

VANCOUVER - Heliostar Metals Ltd. has commenced a 5,000 metre diamond drill program at its Ana Paula Project in Mexico. The two stage drill program will test the east, west and down dip extensions of the High Grade Panel and the Parallel Panel targets. Phase one will consist of seven drill holes totalling 2,600 metres and phase two consists of eight drill holes totalling 2,400 metres.

CEO, Charles Funk, said, "We are confident that Ana Paula can continue to grow beyond our 2023 resource update. The Company aims to expand the resource this year and next, ahead of a Feasibility Study that the Company is planning to complete in late 2025. Drilling will include some large step outs. They follow a newly identified geochemical corridor that may point to the source of gold mineralization at the deposit. Heliostar has entered a period of significant catalysts including closing the Argonaut acquisition, reporting gold production, laying out production guidance, publishing a PFS for La Colorada, and reporting drill results from multiple properties."

The Phase 1 drill program, currently underway, will focus on extending the High Grade Panel and Parallel Panel to the west. It will also test the downdip extension of the High Grade Panel while infilling the Parallel Panel target. The program will consist of seven drill holes totaling 2,600 metres. Two drill holes will step out approximately 70 metres to the west along a corridor of elevated potassium:calcium (K:Ca) geochemistry that extends west and down-plunge from the High Grade Panel.

These two holes have the potential to significantly add high-grade ounces to the resource. The remaining five drill holes will test the down-dip extension of the High Grade Panel while also defining the Parallel Panel target. These holes will also convert inferred ounces to indicated and increase the measured ounces in the High Grade Panel.

Phase 2 drilling consists of eight drill holes totaling 2,400 metres. This program targets the eastern and western extents of the High Grade Panel, the Parallel Panel target and the downdip extension of the High Grade Panel. Three holes along the edges of the High Grade Panel have the potential to add high-grade ounces to the panel by extending to the east and west. The five holes targeting the Parallel Panel, High Grade Panel and the down dip extension will better define the resources. The data will assist in converting inferred ounces to indicated and indicated to measured. The program also has a strong potential to add new gold ounces to both panels.

The Company completed two drill holes of the program to date and expects to report results from October 2024.