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 North American assets. The November 2025 preliminary economic assessment for Ana Paula outlined a robust nine-year underground mine plan with significant economic potential at current gold prices. The PEA projects average annual production of 101,100 ounces of gold after ramp-up, with all-in sustaining costs estimated at $1,011 per ounce. At a gold price assumption of $2,400 per ounce, the study generated an after-tax net present value of $426.0 million and an internal rate of return of 28.1%.
The company has continued to advance the project through 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 higher-grade interval of 8.30 meters at 19.99 grams per tonne. Mineralization remains open in multiple directions, 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 the goal of first production in the second half of 2028.
The company exited 2025 with $40.6 million in cash and has guided for 50,000 to 55,000 ounces of production in 2026, with exploration programs expected to be funded from mine cash flow. For more detailed information on the project economics and development timeline, the full research update is available at https://www.stonegateinc.com. Beyond Ana Paula, Heliostar is building what Stonegate describes as multi-asset growth optionality through two additional projects.
The Cerro del Gallo project in Mexico adds a second development asset with an after-tax NPV5 of $424 million and 33.1% IRR in its own PEA. More significantly, the company has acquired the Goldstrike project in the United States, providing meaningful optionality in a key mining jurisdiction. The 2018 PEA for Goldstrike outlined a past-producing heap-leach operation with approximately 95,000 ounces of average annual gold production, $113.2 million in initial capital expenditure, and strong economics including a $129.5 million after-tax NPV5 and 29.4% IRR at a $1,300 per ounce gold price.
This three-project portfolio positions Heliostar with a near-term production asset in Ana Paula, a second Mexican development project in Cerro del Gallo, and U.S. exposure through Goldstrike, creating multiple pathways for growth and value creation across North America's gold mining sector. The company's strategic approach combines advancing its flagship project toward production while simultaneously building a diversified asset base that provides exposure to different jurisdictions and development timelines, potentially reducing operational risk while increasing long-term growth potential in a sector where jurisdictional stability and resource quality are critical factors for investor consideration.
