Hot Chili Limited : - Cortadera North Flank Delivers High Grade Extensions 82m at 1.0% CuEq and 168m at 1.0% CuEq

Published: 2021-09-10 10:32:06 ET HCH.AX

Hot Chili Limited (ASX: HCH) (OTCQB: HHLKF) ('Hot Chili' or 'Company') is pleased to announce that recent drill results from its Cortadera copper-gold discovery in Chile continue to add significant resource growth from extensional drilling, as the Company's Costa Fuego coastal copper development draws ever-closer toward Tier-1 status.

Hot Chili's Managing Director Christian Easterday said drilling continued to demonstrate strong continuity of high grade extensions ahead of plans to up-grade the maiden 451Mt Cortadera resource. 'Systematic extensional drill testing of multiple open flanks to the orebody is proving highly successful. 'The North Flank of the high grade core to the main porphyry is a significant resource addition with wide results of +1%Cu Eq now recorded in multiple drill holes. 'We are also seeing highly encouraging, wide intersections in new shallow RC drilling at Cuerpo 2.

'Following our recent $40 million capital raising and Glencore's strategic investment, we are now well positioned to accelerate and broaden our growth plans for Costa Fuego's existing 724Mt resource base. 'We expect to deliver several announcements across all activity fronts (exploration, resource drilling, development studies and corporate) as we lead into a planned Q4 dual-listing in Canada this year.'

Cuerpo 3 North Flank Extension Emerging as Strong High Grade Addition

New assay results from resource extensional drilling across the North Flank to the high grade core of the main porphyry (Cuerpo 3) at Cortadera have returned further strong results. CRP0124D returned a broad intersection of 362m grading 0.6% CuEq (0.5% copper (Cu), 0.2g/t gold (Au)) from 480m depth down-hole, including 82m grading 1.0% CuEq (0.7% Cu, 0.3g/t Au) from 634m depth. In addition, final results from CRP0088D have significantly upgraded the initial result (reported to ASX 16th June, 2021) to 486m grading 0.6% CuEq (0.5% Cu, 0.2g/t Au) from 426m depth down-hole, including 168m grading 1.0% CuEq (0.8% Cu, 0.3g/t Au) from 682m depth.

Importantly, the high grade results in CRP0124D and CRP0088D are recorded at approximately the same vertical depth and along strike to CRP0013D, which recorded 100m grading 1.0% Cu and 0.5g/t Au within a broader intersection of 750m grading 0.7% CuEq (0.6% Cu, 0.2g/t Au) from 204m depth. Recent drilling has increased the width of the main porphyry by approximately 100m and demonstrated strong continuity of high grade (+1% CuEq) mineralisation across the North Flank over 400m of strike length so far. Further expansion of the North Flank is expected to be confirmed with assay results pending from another step-out diamond hole CRP0134D, which has returned a wide visual intersection of mineralised porphyry between 480m and 830m depth down-hole.

Mineralised porphyry in CRP0134D comprises visual estimates of 0.7% - 3.0% chalcopyrite contained as fine disseminations and in association with 2% to 8% B-vein abundance. Visual estimates of sulphide minerals are not an accurate representation of expected assay value and are provided for indicative purposes only.

Contact:

Tel: +61 8 9315 9009

Fax: +61 8 9315 5004

Web: www.hotchili.net.au

Forward Looking Statements

The Company hereby excludes all warranties that can be excluded by law. The Announcement contains material which is predictive in nature and may be affected by inaccurate assumptions or by known and unknown risks and uncertainties and may differ materially from results ultimately achieved. The Announcement contains 'forward-looking statements'. All statements other than those of historical facts included in the Announcement are forward-looking statements including estimates of Mineral Resources. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to, copper, gold and other metals price volatility, currency fluctuations, increased production costs and variances in ore grade recovery rates from those assumed in mining plans, as well as political and operational risks and governmental regulation and judicial outcomes. The Company does not undertake any obligation to release publicly any revisions to any 'forward-looking statement' to reflect events or circumstances after the date of the Announcement, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws. All persons should consider seeking appropriate professional advice in reviewing the Announcement and all other information with respect to the Company and evaluating the business, financial performance and operations of the Company.