Skip to main content

Heliostar Metals - Ana Paula and La Colorada Drill Results, Including 99.8 Metres of 10.9 g/t Gold

The KE Report Jun 26, 2026

Summary

Ana Paula infill drilling delivered about 100 metres at roughly 11 g/t gold, confirming a million-ounce high-grade panel that keeps mining costs low.

Step-out holes below the panel show the expansion zone is open, and management sees potential to rival neighbouring 15-20 million ounce deposits.

A newly identified North Zone linkage is forming gold pods, with 21 metres at 10 g/t hinting at satellite ore for the underground mine.

Permits for La Colorada's Veta Madre Plus pit expansion are secured, targeting about 20,000 extra ounces from mid-2027 beyond its six-year mine life.

Gold near $4,000 against all-in sustaining costs (AISC, the real cost to produce an ounce) near $2,000 lets management self-fund growth without new equity.

Cory Fleck's takeaways

  • Top takeaway The host argues that if Heliostar can self-fund its growth it ranks among the higher-growth companies he has seen, and calls the new drill results impressive despite the ongoing sector correction.
  • He presses on what the gold price pullback means for strategy, noting that at roughly $2,000 all-in sustaining costs the company is still making money easily at prevailing prices.

Charles Funk's takeaways

  • Top takeaway The guest's central call is that Heliostar can self-fund the Ana Paula build with about $150 million of cash generation plus a project financing facility, reaching 150,000-200,000 ounces per year at all-in sustaining costs well below $2,000 without issuing equity, which he believes should make the share price worth multiples of its current level.
  • He argues the Ana Paula expansion zone could ultimately be bigger than the high-grade panel, citing neighbouring deposits with 15-20 million ounce endowments in the same geological setting, and says step-out drilling will test that upside without slowing the build schedule.
  • He frames the June 2026 sector pullback as a buying opportunity, citing nearly $1 million of insider buying in recent months and noting the year's budget was built on $3,800 gold, so lower prices do not change the plan.
  • On the high-grade panel, he argues that consistently drilling about 100 metres at over 10 g/t gold implies low mining costs and significant margins, and he expects Ana Paula to be among the industry's most profitable gold mines.
  • He argues the permitted Veta Madre Plus pit expansion adds about 20,000 ounces beyond La Colorada's technical report of roughly six years at just under 50,000 ounces per year, with stripping starting in July 2026 and pit production expected from Q2 2027.