Stonegate Capital Partners has updated its coverage on Heliostar Metals Ltd, highlighting the company's progress on its flagship Ana Paula gold project in Guerrero, Mexico, and its expanding portfolio of development assets. The November 2025 Preliminary Economic Assessment for Ana Paula outlined a robust underground mine plan with compelling economics, while recent drilling continues to expand the resource. This development is significant for investors and the mining industry as it demonstrates a path to near-term gold production with strong returns in a stable jurisdiction, amid a favorable gold price environment.
The Ana Paula PEA details a nine-year underground mine producing an average of 101,100 ounces of gold annually after ramp-up. The study, using a gold price assumption of $2,400 per ounce, projects an after-tax net present value discounted at 5% of $426.0 million and an internal rate of return of 28.1%. All-in sustaining costs are estimated at $1,011 per ounce. Management is advancing a Feasibility Study targeted for the first half of 2027 and expects to continue development of an existing 412-meter decline in 2026, supporting a goal of first production in the second half of 2028.
Recent drilling at the Ana Paula Expansion Zone has returned high-grade intercepts, including 25.45 meters at 8.26 grams per tonne gold, including 8.30 meters at 19.99 grams per tonne. The company notes that mineralization remains open to the north, northwest, and at depth, indicating potential for further resource growth. For 2026, Heliostar has guided for 50,000 to 55,000 ounces of production, funded from existing operations, with a $27 million exploration program expected to be funded from mine cash flow. The company exited 2025 with $40.6 million in cash.
Beyond Ana Paula, Heliostar is building a multi-asset growth profile. The Cerro del Gallo project in Mexico adds a second development asset with an after-tax NPV5 of $424 million and an IRR of 33.1%. The recent acquisition of the Goldstrike project in the United States provides strategic optionality. A 2018 PEA for Goldstrike outlined average annual production of approximately 95,000 ounces of gold, with an initial capital expenditure of $113.2 million. At a $1,300 per ounce gold price, that study showed an after-tax NPV5 of $129.5 million and an IRR of 29.4%.
The advancement of Ana Paula toward a construction decision, coupled with a pipeline of high-return projects, positions Heliostar as a growing intermediate gold producer. The company's strategy of self-funded execution in 2026, leveraging cash flow from existing operations to fund exploration and development, reduces dilution risk for shareholders. The addition of a U.S.-based asset in Goldstrike diversifies geopolitical risk and provides exposure to another mining-friendly jurisdiction. For more details, the full announcement is available here. The convergence of strong project economics, ongoing resource expansion, and a multi-project pipeline underscores Heliostar's potential to create significant value in the coming years as it executes its development plans.
