Heliostar Declares Optimistic Prefeasibility Research for Cerro del Gallo with Important Enlargement Potential

Firm Highlights:

• Base Case reveals US$424M submit tax NPV5, 33.1% IRR, with a 2.3 yr payback at a US$2,300/oz gold value

• Upside Case reveals US$972M submit tax NPV5, 59.3% IRR, with a 1.4 yr payback at a US$3,900/oz gold value

• 1.31M GEOs produced over a 15.3 yr mine life, averaging roughly 85,700 GEOs/yr (94,000 GEOs/yr over Years 1-5) at a co-product AISC of US$1,390/GEO

• Preliminary capital expenditure of US$195.3M for an open pit, heap leach mine and SART plant, together with proprietor’s prices, contingency and preliminary working capital necessities

• Common annual free money movement of US$47.6M at $2,300/oz gold value (US$104.5 at $3,900/oz) pushed by 0.73 g/t AuEq lifetime of mine head grade, low strip ratio (0.3:1) and low sustaining capital

• Indicated useful resource of 240Mt grading 0.63 g/t AuEq for 4.9M GEOs (0.38g/t gold, 13.78g/t silver, 0.10% copper), and an Inferred useful resource of 24Mt grading 0.52 g/t AuEq for 0.4M GEOs (0.28g/t gold, 13.67g/t silver, 0.09% copper), offering important upside alternatives if property boundary constraints lifted

Vancouver, British Columbia–(Newsfile Corp. – December 11, 2025) – Heliostar Metals Ltd. (TSXV: HSTR,OTC:HSTXF) (OTCQX: HSTXF) (FSE: RGG1) (“Heliostar” or the “Firm“) is happy to announce robust economics in an up to date Prefeasibility Research (“PFS”) for its 100% owned Cerro del Gallo mission situated within the state of Guanajuato, Mexico.

Heliostar CEO, Charles Funk, commented, “The Cerro del Gallo Prefeasibility Research demonstrates a mine that matches completely with Heliostar’s progress trajectory to bigger, decrease price operations. The mission has low CAPEX, reveals robust free money movement at a conservative gold value and important useful resource upside. With this research the worth of Cerro del Gallo to Heliostar has now been established, having been delayed as a consequence of our preliminary give attention to operations following the acquisition of the mines and properties in November 2024. This research confirms Cerro del Gallo as an vital improvement mission within the Heliostar portfolio, and the Firm plans to proceed technical work, allowing and neighborhood engagement to advance the mission to a feasibility degree. Natural progress from Ana Paula first, and later from Cerro del Gallo, is deliberate to launch Heliostar to 300,000 ounces of annual gold equal manufacturing by the top of the last decade.”

The technical report supporting this information launch will probably be accessible on SEDAR+ (www.sedarplus.ca) and on the Firm’s web site (www.heliostarmetals.com) inside the subsequent 45 days. The Cerro del Gallo technical report that’s the topic of this information launch will use United States {dollars} (USD or US$) until in any other case famous.

Cerro del Gallo Prefeasibility Research Overview

The Prefeasibility Research relies on the present reserve base of two.27M GEOs of Possible Mineral Reserves as proven within the Mineral Reserves Replace efficient July 31, 2025.

The research outlines a 15.3 yr mine life, producing 85,700 koz gold equal ounces (“GEOs”) per yr at a median complete money price of $1,252/GEO and an all-in sustaining price (AISC) of $1,390 GEO, and costing $195.3M in preliminary capital expenditures (“CAPEX”) to carry into manufacturing. On the base case gold value of $2,300 per ounce, this ends in an after-tax NPV of $424M, an IRR of 33.1% and a payback interval of two.3 years.

The Cerro del Gallo mission is envisaged as a 6 million tonne-per-year open-pit mining operation utilizing standard drill, blast, load, and haul strategies, with mining actions carried out by a contractor-supplied fleet. Ore will probably be crushed utilizing a multi-stage crushing circuit, together with standard crushing and Excessive Strain Grinding Roll (“HPGR”), and stacked on a lined heap-leach pad. Leaching will use standard cyanide answer utility. Pregnant answer will probably be processed by way of an adsorption, desorption and restoration (“ADR”) circuit for gold restoration, producing gold doré on-site. Copper and silver dissolved in answer will probably be recovered by way of a sulphidization, acidification, recycling, and thickening (“SART”) circuit and shipped to smelters.

A devoted waste rock storage facility will probably be situated adjoining to the open pit, sized in keeping with life-of-mine necessities, with engineered drainage and environmental controls. Processing residues will consist primarily of leached materials on the heap-leach pad; subsequently, no standard tailings storage facility will probably be required. Web site infrastructure will embody an upgraded connection to the nationwide energy grid, a dependable water provide from permitted native wells, and supporting buildings akin to a upkeep store, warehouse, administration places of work, safety amenities, and expanded camp lodging for operational workers.

Key Highlights

 

 

1. Non-Worldwide Monetary Reporting Requirements (IFRS) measures. All-in sustaining prices (AISC) had been first issued by the World Gold Council (WGC) in 2013 with an up to date Steering word issued in 2018.
2. Contains US$132.0 million reclamation expenditure on the finish of the mine life.

 

1. All different key parameters set at base assumptions, together with the 5% low cost charge used. Extra detailed evaluation will probably be introduced within the full technical report.
2. After tax return estimates.
3. Base gold value assumption used within the technical report.
4. Comparability gold value of US$3,900 just about US$4,198 London Bullion Market Affiliation (LBMA) PM gold value on buying and selling day December 9, 2025.

Determine 1 – Isometric View of Cerro del Gallo Useful resource with Reserve Pit Shell

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Determine 2 – Cross Part by way of Cerro del Gallo Useful resource with Reserve Pit Shell

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Forecast Working Value Estimates

Working prices on the Cerro del Gallo Venture will profit from the simplicity of a truck and shovel open pit mine, very low strip ratio, and entry to low-cost grid energy and regional infrastructure. The crush-agglomerate-heap-leach-ADR-SART flowsheet makes use of trade commonplace tools and processes. It helps environment friendly processing of the Cerro del Gallo ore with reasonable reagent use and no requirement for milling or standard tailings storage.

Estimations of complete money prices common US$1,252/GEO, with AISC of US$1,390/GEO over the 15.3-year mine life. Income credit from copper and silver recovered by way of the SART circuit additional strengthen working margins and contribute to a sturdy, long-life price profile.

Whole Working Value Abstract

 

Forecast Capital Value Estimates

The preliminary capital price for the mission is estimated to be $195.3M together with $15.6M for preliminary working capital (60 days) and $22.3M in complete contingency. The overall preliminary required capital expenditure will profit from proximity to infrastructure and the idea of a contractor-supplied fleet. Sustaining capital prices are primarily associated to completion of a powerline to the positioning and three leach pad expansions. The fee estimate relies on extra superior work that may progress right into a feasibility research, nevertheless, it features a contingency of 17.5% of the whole price.

The Firm’s LOM plan allocates US$132.0M for reclamation work on the finish of the mine life.

Forecast Capital Value Abstract

 

Financial Evaluation

The financial evaluation reveals a base case after-tax web current worth at a reduction charge of 5% of US$423.9M, an after-tax inner charge of return of 33.1%, and a payback interval of two.3 years at US$2,300/oz gold. The projected mine life is 15.3 years within the PFS. Roughly 1,310k GEOs (888 koz gold, 22.2 Moz silver and 59 kT copper) are projected to be produced and bought over the lifetime of the mine.

Abstract Financial Outcomes

 

Metallic Costs

The gold market has skilled important upward value motion previously few years. The gold value on the efficient date of the technical report is about 83% above the bottom case gold value used within the research.

The sensitivity evaluation presents gold value situations as much as US$4,100/gold ounce (close to spot costs) to grasp the potential impression of continued gold value actions. From the bottom case value of $2,300/oz, a change within the common gold value of 10% (US$230/gold ounce) would change the after-tax NPV_5% by roughly US$76.2M.

The economics of the Prefeasibility Research are most delicate to modifications in gold value and grade and fewer delicate to working prices and preliminary capital prices.

Gold Worth Sensitivity Evaluation

 

Determine 3 – Deliberate Cerro del Gallo Web site Format

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Determine 4 – Cerro del Gallo Course of Move Sheet

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Determine 5 – Cerro del Gallo Deliberate Manufacturing Schedule

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Subsequent steps

The following steps by Heliostar at Cerro del Gallo will give attention to conversion of assets to reserves and extra useful resource progress.

This plan contains extra useful resource and reserve drilling, updating geological interpretations, metallurgical testing and commerce off research. Optimistic modifications to the gold value have resulted in a rise to the potential dimension of the reserve. Extra metallurgical evaluation and knowledge factors are required on the deposit to assist this improve.

The Firm intends to drill with a give attention to rising each mineral assets and reserves and to enhance the geological interpretation for the deposit. Mineralization stays open to the north and at depth. The north is taken into account a excessive potential goal for reserve progress however traditionally was not drilled as a consequence of floor entry limitations. The drill density decreases at depth as famous in Determine 2 with in-fill drilling having potential to enhance useful resource classifications. Additional, mineralization is open at depth with potential to broaden assets.

Topic to confirming the extent of the mineral useful resource at Cerro del Gallo, the Firm intends to refine the deliberate course of flowsheet, begin getting ready allowing and social plans and begin work to arrange a feasibility research. Improvement of Cerro del Gallo is deliberate after Ana Paula has been commissioned and is in manufacturing.

Mineral Useful resource Estimates

Mineral Sources for the Cerro del Gallo deposit had been up to date as a part of the 2025 Prefeasibility Research and are summarized within the accompanying desk. The Mineral Sources have an efficient date of July 31, 2025, and are reported on an in-situ foundation in accordance with the 2014 Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Definition Requirements for Mineral Sources and Mineral Reserves.

Mineral Sources Assertion

 

Notes to accompany Mineral Sources desk:

1. Mineral Sources are reported inside a useful resource shell constrained by the property boundary utilizing the 2014 CIM Definition Requirements.
2. Mineral Sources have an efficient date of 31 July 2025. The Certified Individual for the estimate is Mr. Timothy O. Kuhl, Reg Mem SME and Principal Geologist with Mine Technical Companies.
3. An NSR is used for reporting Mineral Sources by materials kind. NSR cutoffs of $11.81 for Oxide, $10.66 for Blended Oxide, $11.81 for Blended Sulfide and $11.23 for Sulfide had been used. The NSR is set primarily based on estimated processing prices of US$9.10/t, normal and administrative prices of US$0.90t, manufacturing taxes and royalty prices of US$1.40/t. Metallic costs of US$2,500/oz Au, US$30.50/oz Ag, and US$4.60/lb Cu had been utilized in calculating the NSR. As well as, a gold restoration of 74%, a silver restoration of 60% and a copper restoration of 17% had been used for Oxide materials; a gold restoration of 68%, a silver restoration of 73% and a copper restoration of 62% had been used for Blended Oxide materials; a gold restoration of 61%, a silver restoration of 58% and a copper restoration of 73% had been used for Blended Sulfide materials; and a gold restoration of 53%, a silver restoration of 35% and a copper restoration of 59% had been used for Sulfide materials within the NSR calculation.
4. Based mostly on the said steel costs and recoveries, the gold equal grades had been calculated as AuEq = Au Grade + (((Cu Worth in US$/lb * 22.0462 * Cu Restoration and Payable) / (Au Worth in US$/g * Au Restoration and Payable)) * Cu Grade) + (((Ag Worth in US$/g * Ag Restoration and Payable) / (Au Worth in US$/g * Au Restoration and Payable)) * Ag Grade). The common general payables from the smelter and refineries had been estimated at 98.8% for gold, 90.1% for silver, and 88.2% for copper.
5. Tonnage and grade estimates are in metric items.
6. Mineral Useful resource tonnage and contained steel have been rounded to replicate the accuracy of the estimate, and numbers might not add as a consequence of rounding.

Mineral Reserve Estimates

Mineral Reserves for the Cerro del Gallo deposit as a part of the 2025 Prefeasibility Research have an efficient date of July 31, 2025, are reported on the level of supply to the leach facility, and are said in accordance with the 2014 CIM Definition Requirements for Mineral Sources and Mineral Reserves.

The Mineral Reserves estimate relies on a 6 Mtpa open-pit mining operation, with ore processed by way of the established crushing, agglomeration, heap-leach, ADR, and SART circuits. The ensuing Mineral Reserves assertion is offered within the following desk.

Mineral Reserves Assertion

 

Notes to accompany Mineral Reserves desk:

1. Mineral Reserves are reported on the level of supply to the method plant, utilizing the 2014 CIM Definition Requirements.

2. Mineral Reserves have an efficient date of 31 July 2025. The Certified Individual for the estimate is Mr. Jeffrey Choquette, P.E., of Laborious Rock Consulting.

3. An NSR cutoff of $12.50/t was used for reporting the Mineral Reserves which relies on estimated processing prices of US$9.10/t, normal and administrative prices of US$0.90t, manufacturing taxes and royalty prices of US$1.40/t. Metallic costs of US$2,200/oz Au, US$26.50/oz Ag, and US$4.00/lb Cu had been utilized in calculating the NSR. As well as, a gold restoration of 74%, a silver restoration of 60% and a copper restoration of 17% had been used for Oxide materials, a gold restoration of 68%, a silver restoration of 73% and a copper restoration of 62% had been used for Blended Oxide materials, a gold restoration of 61%, a silver restoration of 58% and a copper restoration of 73% had been used for Blended Sulfide materials and a gold restoration of 53%, a silver restoration of 35% and a copper restoration of 59% had been used for Sulfide materials within the NSR calculation.

4. Based mostly on the said steel costs and recoveries, the gold equal grades had been calculated as AuEq = Au Grade + (((Cu Worth in US$/lb * 22.0462 * Cu Restoration and Payable) / (Au Worth in US$/g * Au Restoration and Payable)) * Cu Grade) + (((Ag Worth in US$/g * Ag Restoration and Payable) / (Au Worth in US$/g * Au Restoration and Payable)) * Ag Grade). The common general payables from the smelter and refineries had been estimated at 98.8% for gold, 90.1% for silver and 88.2% for copper.

5. Mineral Reserves are reported inside the final reserve pit design.

6. Tonnage and grade estimates are in metric items.

7. Mineral Reserve tonnage and contained steel have been rounded to replicate the accuracy of the estimate, and numbers might not add as a consequence of rounding

Certified Individuals

The technical report for the Cerro del Gallo Venture will probably be ready for Heliostar Metals Ltd. by Mr. Ted Eggleston, Ph.D., RM SME, PGEO, Mr. Tim Kuhl, MSc, RPG, RM-SME, Mr. Jeffrey Choquette, P.E., Mr. Marvin Silva, PhD, PE, PEng., Mr. Todd Minard P.E., Mr. Travis Manning, P.E., QP, Mr. Carl Defilippi, RM SME, and Ms. Daybreak Garcia, CPG. Every of those Certified Individuals has reviewed and authorized the technical data contained on this information launch of their space of experience and are unbiased of the Firm.

Certified Individuals with Respect to this Information Launch

Gregg Bush, P.Eng. and Mike Gingles, the Firm’s Certified Individuals, as such time period is outlined by Nationwide Instrument 43-101 – Requirements of Disclosure for Mineral Initiatives, have reviewed the scientific and technical data not derived from the up to date technical studies and included on this information launch within the Firm Overview, Commentary by the Firm on Related Issues and Commentary by the Firm on Subsequent Steps and Allowing sections for every property and have authorized the disclosure herein.

Information Verification

The Certified Individuals for the technical studies verified the info within the report for his or her areas of experience and concluded that the data supported Mineral Useful resource estimation, and may very well be utilized in mine planning and financial evaluation. The verification accomplished by every Certified Individual is mentioned in every technical report and included website visits, and will embody knowledge audits, analysis of the suitability of knowledge to be used in estimation and mine planning, high quality assurance and high quality management checks, overview of accessible technical and financial research knowledge, overview of knowledge assortment and analysis strategies, overview of manufacturing knowledge together with reconciliation the place accessible, overview of precise price knowledge for operations, and overview of third-party inputs to forecasts.

The Firm’s Certified individuals verified the data that was not derived from the technical studies. The info verification included website visits, knowledge audits, overview of accessible research knowledge, overview of knowledge assortment and analysis strategies, overview of manufacturing knowledge together with reconciliation the place accessible, overview of precise price knowledge for operations, and overview of third-party inputs to forecasts, and consideration of the Firm’s plans for the tasks.

About Heliostar Metals Ltd.

Heliostar is a gold mining firm with manufacturing from working mines in Mexico. This contains the La Colorada Mine in Sonora and the San Agustin Mine in Durango. The Firm additionally has a powerful portfolio of improvement and exploration stage tasks in Mexico and the USA. These embody the Ana Paula mission in Guerrero, the Cerro del Gallo mission in Guanajuato, the San Antonio mission in Baja Sur, all in Mexico and the Unga mission in Alaska, USA.

Neither TSX Enterprise Alternate nor its Regulation Companies Supplier (as that time period is outlined within the insurance policies of the TSX Enterprise Alternate) accepts accountability for the adequacy or accuracy of this launch.

Cautionary Assertion Concerning Ahead-Wanting Data

This information launch comprises “forward-looking statements” and “forward-looking data” (collectively, “forward-looking statements”) inside the which means of relevant Canadian securities legal guidelines and the US Non-public Securities Litigation Reform Act of 1995. All statements, aside from statements of historic reality, are forward-looking statements and are primarily based on the opinions and estimates of administration as of the date hereof. Ahead-looking statements on this launch embody, however will not be restricted to: the financial potential or projections of the PFS, together with, however not restricted to, estimates of capital and working prices, mine life, throughput, grades, recoveries, manufacturing charges, payback interval, NPV and IRR; statements concerning anticipated timing, scope and value of deliberate exploration, drilling, metallurgical and engineering packages, or any future work or social packages usually; the anticipated timing of completion of a Feasibility Research; expectations regarding allowing, submission and approval of modification purposes; the timing and potential improvement of an underground decline or early-works program; the potential for extra mineralization at depth and future exploration success or enhancements in useful resource classification; the supply of the PFS inside the prescribed deadline, the Firm’s plans concerning financing preparations, together with the potential for a mission finance facility; the expectation that money movement from current operations might fund future improvement; projections of future steel costs; the potential for Cerro Del Gallo to be positioned into manufacturing and the timing thereof; and different statements concerning the Firm’s future plans, methods, targets, expectations and intentions.

Ahead-looking statements are primarily based on quite a lot of assumptions thought of affordable by administration on the time of creating such statements, together with, with out limitation: the accuracy of the PEA assumptions and parameters; that required permits and approvals will probably be obtained on affordable phrases and inside anticipated timeframes; the supply of financing for exploration and improvement actions on acceptable phrases; that projected metallurgical recoveries and working prices will probably be achieved; that neighborhood and governmental assist for operations will proceed; the reliability of sure assumptions and recognized dangers; and normal stability in financial and market circumstances, trade charges and commodity costs.

Ahead-looking statements are topic to recognized and unknown dangers, uncertainties and different components that will trigger precise outcomes to vary materially from these expressed or implied. Such dangers embody, with out limitation: the preliminary nature of the PFS; dangers associated to exploration, improvement, allowing and working actions; price escalation and inflation; geopolitical or financial uncertainty or pressure majeure occasions; modifications in steel costs and trade charges; financing and liquidity dangers; neighborhood and environmental dangers; reliance on contractors and third events; title, tax and authorized dangers; and people dangers set out within the Firm’s steady disclosure filings accessible on SEDAR+ (www.sedarplus.ca).

There could be no assurance that the Cerro del Gallo Venture will probably be developed right into a producing mine or that the outcomes of the PFS will probably be realized. The aim of the forward-looking statements is to offer details about administration’s present expectations and plans and will not be applicable for different functions. Readers are cautioned to not place undue reliance on forward-looking statements, which communicate solely as of the date of this launch. Besides as required by relevant securities legal guidelines, the Firm doesn’t undertake to replace any forward-looking statements, whether or not on account of new data, future occasions or in any other case.

No Manufacturing Resolution: The Firm cautions that it has not made a manufacturing choice with respect to the Cerro del Gallo Venture. Any such choice would solely be made following completion of a Feasibility Research, the association of mission financing, and receipt of all crucial permits and approvals.

Cautionary Be aware to U.S. Traders

Mineral Sources that aren’t Mineral Reserves should not have demonstrated financial viability, and U.S. traders are cautioned that phrases akin to “Measured,” “Indicated” and “Inferred Mineral Useful resource” are acknowledged and required by Canadian rules however will not be similar to comparable phrases utilized in U.S. reporting requirements.

Non-IFRS Monetary Measures

This information launch contains sure non-Worldwide Monetary Reporting Requirements (“IFRS”) efficiency measures, together with money prices (“Money Prices”) and all-in sustaining prices (“AISC”). These measures will not be standardized monetary measures underneath IFRS and will not be similar to comparable measures utilized by different issuers. They’re offered as extra data to traders and shouldn’t be thought of in isolation or as an alternative to measures ready in accordance with IFRS. Money Prices and AISC are widespread monetary efficiency measures within the gold mining trade however should not have any standardized which means underneath IFRS. The Firm believes that, along with standard measures ready in accordance with IFRS, sure traders use these metrics to judge the financial efficiency of mining tasks and their potential to generate working earnings and money movement.

AISC is calculated in accordance with the rules revealed by the World Gold Council (“WGC”) in 2013, as up to date in 2018, which outline AISC because the sum of complete money prices, sustaining capital expenditures, and company normal and administrative prices, amongst different gadgets. Different corporations might calculate this measure in another way as a consequence of variations in underlying ideas and insurance policies utilized. Be aware that in respect of AISC metrics disclosed herein, company normal and administrative bills haven’t been included, as such economics are introduced on the mission degree.

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