Ana Paula Project PEA: $1.01B NPV, 51.3% IRR
Heliostar Metals Ltd.'s Ana Paula Project in Guerrero, Mexico has a Preliminary Economic Assessment (PEA) outlining an after-tax NPV of $1.01B, an after-tax IRR of 51.3%, and initial capital of $300M. The mine plan runs 9 years at about 101 koz Au per year.
Heliostar Metals Ltd.'s Ana Paula Project has reported Preliminary Economic Assessment (PEA) results for the gold project in Guerrero, Mexico. The study headlines an after-tax net present value of $1.01B at a 5% discount rate. It reflects Heliostar Metals Ltd.'s (HSTR.V) latest disclosed economics for the asset.
Economics. The after-tax NPV is $1.01B using a 5% discount rate. After-tax IRR is 51.3%. Initial capital expenditure is estimated at $300M, with life-of-mine sustaining capital of $76M. All-in sustaining costs are pegged at 1011 USD/oz Au.
Production and mine plan. The project envisions an underground operation. Life of mine is 9 years. Average annual production is approximately 101 koz Au. Average head grade is 5.37 g/t gold.
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from Heliostar Metals Ltd.'s technical disclosures and reflect the most recent PEA on file. Compare this project against other developers and producers in our project economics database, and always verify the numbers against the original technical report before making any investment decision.
Reserves & Resources
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Measured | 1.30 Mt | 7.60 g/t Au | 317,000 oz Au |
| Indicated | 2.97 Mt | 4.44 g/t Au | 424,000 oz Au |
| Measured & Indicated | 4.27 Mt | 5.40 g/t Au | 742,000 oz Au |
| Inferred | 4.04 Mt | 3.96 g/t Au | 514,000 oz Au |
Our Analysis
The 51.3% after-tax IRR places this project in the upper half of the 92 gold peers we track and well above the 15–20% threshold required to attract project finance, even for a single-asset junior. However, the 5% discount rate used to derive the $1.01B NPV is at the low end of reporting convention, which inflates the headline figure—this is not a conservative assumption. The NPV stands at roughly 2.4x the company’s market cap, a gap that could signal the market has not yet priced in the asset’s value, or conversely, that skepticism exists around financing, permitting, or jurisdictional risk in Guerrero, Mexico.
Capital intensity is low at $300M, or 30% of NPV, which reduces funding risk relative to many peers. Still, the 9-year mine life is short, and the study’s gold price assumption sits well above the current spot of $4,134.90/oz, meaning the returns are optimistic if prices soften. The single most important watch-item is execution risk in Guerrero—a mining-friendly jurisdiction but one where community and security challenges have historically delayed projects.
Our take, benchmarked against the project economics in the Mining Stocks database. Figures are estimates drawn from company technical reports — not investment advice; always verify against the source filing.