Costa Fuego Copper Project
Overview
The Costa Fuego Copper Project is the consolidation of the Cortadera porphyry copper-gold deposit and the Productora copper-gold deposit, set 14 km apart in an excellent location – low altitude, coastal range of Chile, infrastructure rich, low capital intensity.
The Company is working to advance its Costa Fuego Project through a preliminary feasibility study, and test several high-priority exploration targets.
The Cortadera and Productora deposits, contain an Indicated Resource of 391Mt grading 0.52% CuEq (copper equivalent), containing 1.7 Mt Cu, 1.5 Moz Au, 4.2 Moz Ag, and 37 kt Mo and an Inferred Resource of 334Mt grading 0.44% CuEq containing 1.2Mt Cu, 1.2 Moz Au, 5.6 Moz Ag and 27 kt Mo, at a cut-off grade of 0.25% CuEq.
The Mineral Resource summary for the Costa Fuego Project is presented in the following tables.
Productora is 100% owned by a Chilean incorporated company Sociedad Minera El Aguila SpA (SMEA). SMEA is a Joint Venture company, 80% owned by Sociedad Minera El Corazón Limitada (a 100% subsidiary of Hot Chili Limited), and 20% owned by CMP Productora (a 100% subsidiary of Compañía Minera del Pacífico S.A (CMP).
Cortadera is 100% owned by a Chilean incorporated company Sociedad Minera La Frontera SpA (Frontera). Frontera is a 100% subsidiary of Hot Chili Limited.
Costa Fuego’s Mineral Resources position Hot Chili with the largest copper Mineral Resource and one of the largest gold Mineral Resources for an ASX-listed emerging company.
Cortadera also contains a higher grade component of 104Mt at 0.74% CuEq, and this has strong potential to continue growing rapidly with further drilling.
The scientific and technical information in relation to the project was derived from the technical report entitled “Resource Report for the Costa Fuego Copper Project, Located in Atacama, Chile – Technical Report NI 43-101” dated December 13, 2021 (effective date October 29, 2021) (the “Costa Fuego Technical Report”), prepared by Boris Caro of Caro & Navarro Limitada, and Elizabeth Haren of Haren Consulting Pty Ltd., both of whom are independent Qualified Persons under National Instrument 43-101 – Standards of Disclosure for Mineral Projects. For further information on the Costa Fuego Project, refer to the Costa Fuego Technical Report, which is available for review under Hot Chili’s profile at www.sedar.com.
Location Map
Aerial View
Highlights
Costa Fuego Mineral Resources position Hot Chili with the largest copper Mineral Resource and one of the largest gold Mineral Resources for an ASX-listed emerging company
Costa Fuego - Indicated Resource of 391Mt grading 0.52% CuEq, containing 1.7 Mt Cu, 1.5 Moz Au, 4.2 Moz Ag, and 37 kt Mo and an Inferred Resource of 334Mt grading 0.44% CuEq containing 1.2Mt Cu, 1.2 Moz Au, 5.6 Moz Ag and 27 kt Mo, at a cut-off grade of 0.25% CuEq.
Cortadera Mineral Resource includes a higher grade component of 104Mt at 0.74% CuEq, with second Mineral Resource estimate planned for Cortadera in 2022. El Fuego tenements contain two of the regions’ highest grade and most substantial underground mines- San Antonio and Valentina.
Growth & Development
The Cortadera deposit comprises a cluster of outcropping tonalitic porphyry bodies which have been vertically intruded along a regionally significant NW-trending fault corridor, through a shallowly dipping sequence of intercalated felsic volcaniclastics and sediments. Multiple phases of tonalitic porphyries have been mapped and recognised in diamond core including an early, intermediate and late phase of intrusion.
Drilling across the porphyries recorded strong intersections of copper, gold, molybdenum +/- silver from surface to depths of approximately 900m vertical. Copper and gold show a strong correlation from assay results throughout the deposit with molybdenum generally increasing in grade at depth.
The Cortadera resource remains open and Hot Chili, is continuing drilling at Cortadera to increase resources by targeting:
- Cuerpo 2 – potential for another high grade core;
Cuerpo 3 North – potential for the main porphyry to extend a further 500m to the north; - Cuerpo2/3 Gap Zone – potential for the “gap” between Cuerpo 2 and 3 to join; and
- Cortadera North– “look-alike” potential for a second large porphyry discovery, located 2km north of Cortadera
Drilling is underway at the Cortadera North and Cuerpo 3 Deeps targets, with resource expansion drilling at Cuerpo 2 and 3 to feature in a resource upgrade planned for 2022.
While, a discovery at Cortadera North would transform the scale of the Cortadera project.
