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Hot Chili’s copper gold project growing faster than expected


Published 07-FEB-2020 11:11 A.M.


2 minute read

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Copper gold explorer Hot Chili announced this morning that its Cortadera Project remains open and is growing at a faster rate than expected.

This backs the company’s belief that Cortadera is a premier discovery that could position Hot Chili with one of the largest copper-gold inventories in the hands of a junior listed company globally.

It already stacks up well against its peers:

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HCH is expecting an eventful 2020.

Hot Chile estimates that its Chilean-based project has more than doubled in resource size, since it first announced the acquisition of the privately-held major porphyry discovery in February of 2019.

The $49.9 million capped Hot Chile arrived at these conclusions following extensive compilation and modelling of its 2019 drilling campaign. Final drill results from HCH’s 2019 drilling campaign have been compiled and incorporated into a revised 4-Dimensional (4D) model.

A significant highlight of the recent modelling is the discovery zone alone has clear potential to grow towards a Tier 1 classification (+5Mt contained copper) with the largest porphyries open in all key directions as shown below.

Long section view looking west across the latest 3D model of Cortadera’s copper distribution, which has seen rapid growth from 2019 drill success.
Long section view looking west across the latest 3D model of Cortadera’s copper distribution, which has seen rapid growth from 2019 drill success.

Drilling success

Whilst Hot Chili experienced a great deal of drilling success in 2019, it was further encouraged by an unexpected result that confirms the strength of the project.

The previously abandoned CRP0032D diamond drill hole, recorded a strong end-of-hole result of 92m grading 0.5% copper and 0.2 grams per tonne (g/t) gold from a 648m depth, ending in mineralised porphyry.

This hole lies along the northern extent of the largest porphyry of the Cortadera discovery – Cuerpo 3.

Plan view of Cuerpo 3 - the Main porphyry of the four porphyry centres discovered to date at Cortadera.
Plan view of Cuerpo 3 - the Main porphyry of the four porphyry centres discovered to date at Cortadera.

The result from CRP0032D was complemented by the remaining results from the shallow Reverse Circulation (RC) drilling which included the high grade result of 20m grading 1.0% copper and 0.2% gold from 102m depth.

The shallow drill programme was directed across potential enrichments zones above three of Cortadera's four porphyries (Cuerpo 1, 2 and 4).

Drill hole CRP0040D, HCH’s third expansion hole, is currently at a depth of approximately 360m down-hole and is planned to extend to approximately 1,000m depth.

Importantly, this hole is designed to test the southern extension to Cuerpo 3, approximately 100m away from the company’s previous result in CRP0017D, which recorded 596m grading 0.5% copper and 0.2g/t gold from 328m down-hole depth (including 184m grading 0.7% copper and 0.3g/t gold).

RC drill testing of two large growth targets (Cuerpo 3 North and then Cortadera North) will begin shortly after minor delays in completion of access clearing. Hot Chili also plans to start the first of 6 deep RC drill holes at Cuerpo 3 North in the coming days.

The company expects to receive further good news as first results from CRP0040D begin to flow through in the coming weeks.

Furthermore, expansion diamond drilling is well underway for 2020, aimed at facilitating a much larger first resource estimate than originally planned at Cortadera.

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S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.

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