Mr. Charles Funk reports

HELIOSTAR PUBLISHES INAUGURAL SUSTAINABILITY REPORT

Heliostar Metals Ltd. has released its inaugural sustainability report. Covering the 2025 fiscal year, the report highlights the company's sustainability practices and achievements in environmental stewardship, health and safety, developing its people, community investment, responsible governance, and economic impact. The full report can be found on the company's website.

Heliostar chief executive officer Charles Funk commented: "We're proud to introduce our first annual sustainability report. It's a key milestone along Heliostar's growth into a mid-tier gold producer that reflects our commitment to sustainable mining and benefiting the communities in which we operate. While we have always strived to operate in a responsible manner, with this report, we have formalized our approach and communication. As our operations mature and expand, so does our responsibility to be more transparent about our sustainability priorities and performance metrics. This report gives us a strong foundation for ongoing accountability, identifies areas for improvement and facilitates an open dialogue with all our stakeholders."

Highlights from the 2025 sustainability report:

• 99 per cent of the company's employees and 97 per cent of the company's procurement spending are based in Mexico, demonstrating the company's commitment to local hiring and sourcing;
• 84-per-cent increase in labour compared with 2024, with 404 employees and 333 contractors working for Heliostar and the company's subsidiaries;
• Contributed $1.1-million (U.S.) in social investments, supporting education initiatives, including 612 student scholarships, local infrastructure projects and public health services;
• Reused over 90 per cent of process water through our closed-loop systems, minimizing the company's freshwater consumption;
• Diverted 38 per cent of all waste from landfills through recycling and reuse initiatives;
• Reforested 47 hectares of land with 17,468 native trees, 17 per cent of which were cultivated at the company's own nurseries in San Agustin and El Castillo;
• Paid $10.6-million (U.S.) in taxes, royalties and other payments to governments;
• Achieved a total recordable injury frequency rate (TRIFR) of 0.60 per 200,000 worked hours.

The report has been prepared with reference to the Global Reporting Initiative (GRI) standards, including the GRI Sector Standard for Mining. In addition, the company has incorporated the Sustainability Accounting Standards Board (SASB) Metals & Mining Industry Standard (Version 2023-12) disclosures. These standards were selected to provide relevant and comparable information to the company's stakeholders. The company is committed to the continued improvement of the quality and scope of the company's disclosures.

About Heliostar Metals Ltd.

Heliostar is a growing gold producer with a goal to produce 500,000 ounces per year by the end of the decade. The cash flow from the company's La Colorada mine in Sonora and the San Agustin mine in Durango supports the development of its 100-per-cent-owned pipeline of growth projects in Mexico and the United States. These include the flagship Ana Paula development project in Guerrero, the Cerro del Gallo project in Guanajuato and the Goldstrike project in Utah.

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