La Verde Drilling Confirms Over 1km Copper-Gold Mineralisation Footprint

La Verde Discovery, A Growing Copper-Gold Footprint

Hot Chili Limited has completed the first phase of reverse circulation drilling at its La Verde copper-gold porphyry discovery, located 30 kilometres south of its flagship Costa Copper-Gold Project in Chile. The drilling campaign has confirmed a substantial mineralised footprint extending over 1 kilometre in length and up to 750 metres in width near surface, with multiple higher-grade centres emerging within this zone.

Significantly, over half of the drill holes ended in mineralisation, indicating that the deposit remains open both laterally and at depth. Notable intercepts include intervals grading up to 0.6% copper and 0.2 grams per tonne gold over tens of metres, underscoring the potential scale and quality of the discovery.

Advancing Exploration and Environmental Approvals

With phase-one drilling now complete, Hot Chili is preparing to commence phase-two diamond drilling aimed at extending the higher-grade centres at depth. Regulatory applications for access and baseline environmental impact assessments are progressing, ensuring that the La Verde discovery can be integrated into the broader Fuego project’s future mine plan in a timely manner.

Regional exploration has also identified multiple magnetic and geochemical targets adjacent to La Verde, suggesting the potential for a district-scale porphyry cluster. These look-alike targets are well positioned at the intersection of major regional structures, offering promising avenues for further exploration.

Strategic Funding and Corporate Strengthening

Hot Chili continues to advance its strategic partnering process to secure financial, technical, and operational support for its key projects, including Costa Copper-Gold, Fuego, and Huasco Water. The company has appointed BMO Capital Markets as financial adviser and is actively assessing several non-binding proposals. While no binding agreements have been reached, the process remains ongoing.

Financially, Hot Chili reported a cash balance of A$5.2 million at quarter-end with no debt, alongside expected government VAT reimbursements of approximately A$2 million in the coming quarter. Operating expenditure for exploration and evaluation was A$3.3 million during the quarter, reflecting the company’s active development efforts.

In addition to exploration progress, Hot Chili has bolstered its leadership team with the appointment of Stuart Mathews, a former senior executive at major mining companies, as Non-Executive Chair, and Alberto Cerda, a seasoned Chilean mining executive, as Project Director. These appointments are expected to provide critical expertise as the company advances towards becoming a mid-tier copper-gold producer.

Technical Validation and Resource Status

Supporting the company’s development plans, Hot Chili filed an independent NI 43-101 technical report for the Costa Fuego Copper-Gold Project, which underpins the recently announced preliminary feasibility study (PFS). Mineral resource and reserve estimates remain consistent with prior disclosures, with the majority of resources classified as Indicated and Measured, providing a solid foundation for future mine planning.

However, the company cautions that the PFS is preliminary and subject to change, with inherent uncertainties around funding availability, project development timelines, and mineral resource conversion. Investors are reminded that forward-looking statements carry risks and that no definitive production or financial targets are guaranteed at this stage.