ASX Announcement

17th December 2020

Second High Grade Copper-Gold Core Confirmed at Cortadera


Highlights

  • Widest significant drill intersection recorded to date at the second largest porphyry (Cuerpo 2) of the Cortadera copper-gold discovery in Chile

Significant Drill Result for CRP0053D

248m grading 0.4% copper & 0.1g/t gold
from 446m down-hole depth
including

32m grading 0.6% copper & 0.3g/t gold


(plus additional silver and molybdenum credits)

  • The wide intersection in CRP0053D broadens the extent of the maiden Cortadera resource below Cuerpo 2 and confirms increasing grade and porphyry B-vein abundance with depth
  • Three diamond hole pre-collars are complete and ready for deep testing below Cuerpo 2 as well as the gap zone between the two largest porphyries (Cuerpo 2 and Cuerpo 3)
  • Drill results are pending for expansion hole CRP0052D (completed to 1,040m down-hole depth) across the SE extension of the main porphyry – Cuerpo 3
  • Diamond drill hole CRP0046D, testing the up-dip extension of the high grade core at Cuerpo 3, is currently at 300m down-hole depth in mineralisation (planned to 1,000m)
  • Access and platform clearing advancing well across the large Cortadera North “look alike” target, results pending for first four RC drill holes

Hot Chili Limited (ASX code HCH) (“Hot Chili” or “Company”) is pleased to announce that its first diamond drilling below the second largest porphyry (Cuerpo 2) of the Cortadera copper-gold porphyry discovery in Chile has confirmed both increasing grade and width with depth.


The new result in CRP0053D is the widest significant intersection recorded in drilling to date at Cuerpo 2, which had only previously been drill tested over a relatively shallow depth.


Cortadera’s 451Mt maiden Mineral Resource includes a higher-grade component (+0.6% CuEq*) of 104Mt at 0.74% CuEq (as reported to ASX on 12th October 2020), which is currently being expanded. The identification of a significant second high grade core has the potential to dramatically increase Cortadera’s high grade resource inventory.

The Company’s Phase-3 drill programme at Cortadera has made significant advances over the past month in key growth areas of the discovery.

Increasing Grade with Depth Confirmed at Cortadera’s Cuerpo 2 Porphyry

New results returned from Hot Chili’s first diamond drill hole (CRP0053D) below Cortadera’s Cuerpo 2 porphyry have returned a significant intersection of 248m grading 0.4% copper and 0.1g/t gold from 446m depth down-hole, within a broader result of 613.9m grading 0.3% copper and 0.1g/t gold from 220m depth down-hole.
Importantly, CRP0053D recorded two high grade zones of 32m grading 0.6% copper and 0.3g/t gold and 24m grading 0.6% copper and 0.2g/t gold in association with increasing porphyry B-vein intensity.
Only two previous historical drill holes had tested Cuerpo 2 at depth, with both recording high grade copper-gold results in association with increasing porphyry B-vein intensity. Higher grade intervals within these historical holes included 42m grading 0.8% copper and 0.4g/t gold (FD0008, from 206m) and 64m grading 0.6% copper and 0.1g/t gold (FD0020, from 360m depth).


Increasing grade at depth in association with increasing porphyry B-vein abundance was key to the discovery of the high grade core within the main porphyry by Hot Chili in August 2019.


The Company has now completed three pre-collar Reverse Circulation (RC) holes in preparation for deep diamond drill testing below Cuerpo 2 and the gap zone between Cuerpo 2 and Cuerpo 3.


Drilling of these holes is prioritised for Phase-4 drilling early in the New Year.

Cortadera Main Porphyry Continues to Expand

Diamond drill hole CRP0052D, testing the south-east extension of Cuerpo 3, is now complete at 1,040m down-hole depth. As announced to ASX on 1st December 2020, CRP0052D recorded a broad 500m intersection of porphyry mineralisation.


Between 500m and 1,000m down-hole depth, CRP0052D recorded a visual estimate of 0.5% – 3.0% chalcopyrite contained as fine dissemination and in association with 1% to 10% B-vein abundance. Visual estimates of sulphide minerals are not an accurate representation of expected assay value and are provided for indicative purposes only.


The Company has also completed two new RC pre-collars at Cuerpo 3 and is currently drilling diamond hole CRP0046D. CRP0046D is in mineralisation at a depth of approximately 300m down-hole with a planned total depth of 1,000m.


These holes (including CRP0046D) are all designed to expand the high grade core at Cuerpo 3.


Final assay results from CRP0052D are expected to be received soon.

Cortadera North

Clearing is well underway to provide access to the remaining planned drill holes planned across the large Cortadera North “look-alike” target, located 2km north of Cortadera.


Four RC holes are already complete across the large surface molybdenum anomaly with results expected to be received soon.


Once additional platforms are prepared, the Company plans to complete a further six RC holes which will target the large Induced Polarisation (IP) chargeability anomaly and areas of outcropping copper-bearing B-veins.
Drilling at Cortadera North is expected to re-commence in late January or early February of next year.

This announcement is authorised by the Board of Directors for release to ASX.
For more information please contact:
Christian Easterday
Managing Director
Tel: +61 8 9315 9009
Email: christian@hotchili.net.au
or visit Hot Chili’s website at www.hotchili.net.au

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