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Heliostar to Restart Mining Operations and Invest in Growth at Its San Agustin Mine, Durango
Highlights: Mining operations to restart at the San Agustin Mine in H2, 2025, with initial pr...
About this update from Heliostar Metals Ltd
[{"type":"text","content":"Heliostar to Restart Mining Operations and Invest in Growth at Its San Agustin Mine, DurangoHighlights:Mining operations to restart at the San Agustin Mine in H2, 2025, with initial production expected in Q4Operations analysis supports a post-tax NPV5% of US$35.25M, IRR of 548%, CAPEX of US$4.2M and an output of 45,000 total gold ounces produced at a US$3,000/oz gold priceRestart provides confidence for the first significant Heliostar investment into the future of San Agustin, aimed at extending mine lifeDrilling will commence immediately in H2, 2025, on oxide expansion targets, followed by sulphide porphyry/breccia explorationVancouver, British Columbia--(Newsfile Corp. - July 22, 2025) - Heliostar Metals Ltd. (TSXV: HSTR) (OTCQX: HSTXF) (FSE: RGG1) (\"Heliostar\" or the \"Company\") is pleased to announce the restart of mining operations at San Agustin, located in the state of Durango. Heliostar presently produces gold from residual leaching at the San Agustin Mine. The Company will increase production by mining the mineral reserve, principally in an area the Company describes as the Corner Area. This is a key milestone to unlock increased value from San Agustin.\"Heliostar is pleased to have met its forecast timelines to recommence mining at San Agustin,\" commented Heliostar CEO, Charles Funk. \"Mining the Corner Area will produce 45,000 ounces of gold from the current reserve. It will generate US$40M in cash flow at a US$3,000 gold price. Heliostar has made this restart commitment, having complied with all the requirements to start mining and having approximately US$30M in cash on our balance sheet to fund the necessary capital.\"\"As the largest local employer, this milestone provides job stability and provides for expanded economic opportunities for our nearby communities and throughout the state of Durango. For Heliostar, it marks a shift from residual leaching to active mining, increasing production and improving cash flow through 2026. It also provides the confidence to begin new investment in growth at San Agustin. This will include drilling aimed at converting oxide resources to reserves and testing sulphide targets that share characteristics with deposits such as Peñasquito and Camino Rojo.\"Technical Report Summary On January 14, 2025, the Company filed an amended and restated technical report titled \"San Agu...