Hot Chili Delivers More Copper-Gold at La Verde

With Another Standout Result of 106m grading 0.70% CuEq
Recorded Within 472 m grading 0.41% CuEq¹ from 49 m

Highlights

Strong drill results continue as Hot Chili accelerates its integration of the La Verde porphyry discovery into the Company’s Costa Fuego copper-gold (Cu-Au) project, located in Chile’s coastal range.

Recently returned Reverse Circulation (RC) and Diamond (DD) drill results continue to expand La Verde’s high-grade core, and confirm strong continuity of shallow, wide zones of Cu-Au mineralisation ahead of a planned maiden Mineral Resource Estimate (MRE). Significant intersections include:

• DKD060 recorded 472 m grading 0.41% CuEq (0.34% Cu, 0.08 g/t Au) from 49 m depth 
  • Including 63.7 m grading 0.50% CuEq (0.42% Cu, 0.10 g/t Au) from 93.4 m, and
  • Including 105.8 m grading 0.70% CuEq (0.58% Cu, 0.15 g/t Au) from 397 m
• DKP058 recorded 182 m grading 0.50% CuEq (0.41% Cu, 0.10 g/t Au) from 24 m depth
  • Including a 74 m downhole extension to the previously reported² 108 m grading 0.54% CuEq (0.45% Cu, 0.11 g/t Au) from 24 m
• DKP052 recorded 272 m grading 0.40% CuEq (0.32% Cu, 0.10 g/t Au) from 82 m depth
  • Including 42 m grading 0.50% CuEq (0.39% Cu, 0.14 g/t Au) from 92 m
  • Including 28 m grading 0.60% CuEq (0.48% Cu, 0.16 g/t Au) from 252 m

Assays are pending for 18 drillholes (one DD, one DD tail, and 16 RC), and a fourth rig has been added to accelerate drilling operations following recent heavy rain in the Atacama region.

PERTH, Australia, Aug. 24, 2026 /PRNewswire/ — Hot Chili Limited (ASX: HCH) (TSXV: HCH) (OTCQX: HHLKF) (“Hot Chili” or the “Company”) is pleased to announce another set of strong drill results from its La Verde Cu-Au porphyry discovery (La Verde), located 30 km south of the Company’s Costa Fuego Cu-Au Project (Costa Fuego) planned central processing hub in Chile’s coastal Atacama region.

Step-Out DD Drilling Continues to Expand High Grade Core

Recently returned assay results from DD holes DKD060 and DKP045D confirm the high-grade core remains open and extends at depth to the south and north, respectively.

DKD060 intersected 472m grading 0.41% CuEq (0.34% Cu, 0.08g/t Au) from 49m depth, including a significant higher-grade component comprising 105.8m grading 0.70% CuEq from 397m, which also included 32.6m grading 0.90% CuEq from 438m.

Results from DKD060 have refined the geological interpretation, with fewer late-stage dykes than previously modelled, supporting the expansion of the +0.4% Cu grade model (Figure 3 and 5). Results from DKD060 are partial, with assays pending for the final 142.7 m, from 630 m to the end of hole at 772.7 m.

DKP045D was collared on the western edge of the mineralised footprint and intersected multiple zones of copper-gold mineralisation across the north-western flank (Figure 3 and 4).

In-fill RC Drilling Confirms Continuity of Near-Surface, Bulk Mineralisation

Assay results from DKP058 (Figure 3 and 5) extended the previously reported intersection (see announcement dated 28 July 2026) by a further 74 m downhole, increasing the total intersection to 182 m grading 0.50% CuEq (0.41% Cu, 0.10 g/t Au) from 24 m depth. Together with previously reported drill holes DKP053 and DKP054, the result further strengthens confidence in the continuity and growth potential of a broad near-surface enrichment horizon along the eastern flank. 

Shallow RC drilling targeting the up-dip extension of La Verde’s high-grade core also returned a significant result from drill hole DKP052 (Figure 4), which recorded 272 m grading 0.40% CuEq (0.32% Cu, 0.10g/t Au) from 82 m depth, including multiple intervals which confirm the continuity of higher-grade zones (Table 1), such as 42 m grading 0.50% CuEq from 92 m, 16 m grading 0.64% CuEq from 226 m and 28 m grading 0.60% CuEq from 252m.

RC drill hole DKP051 was collared on the western margin of the La Verde mineralised footprint. The hole was designed as a pre-collar for a planned diamond drill hole aiming to test a potential north-western extension to DKD039, which previously returned 725 m grading 0.42% CuEq (0.36% Cu, 0.07 g/t Au) from 18 m depth (see announcement dated 8 April 2026). The pre-collar intersected 12 m grading 0.45% CuEq (0.39% Cu, 0.07 g/t Au) from 68 m, extending the interpreted near-surface oxide mineralisation horizon along the western flank.

Hot Chili Supports Local Communities During Recent Atacama Weather Event

During the severe weather events in July in Chile that prompted a government-declared state of emergency, Hot Chili worked alongside local communities to support recovery efforts, providing essential supplies and assisting with the re-establishment of access across affected areas.

The once-in-fifty-year rainfall event also impacted the Company’s operations, resulting in a temporary pause to activities at La Verde while significant earthworks were undertaken to repair access tracks and re-establish safe operations.

(Left) Hot Chili Community Team providing support to neighbours of the Costa Fuego Project and (Right) impact of the recent rain event on regional infrastructure

A fourth rig has now been added to accelerate drilling at La Verde, with the Company expanding drilling operations to six shifts per day (two DD rigs on double-shift and two RC rigs on single-shift).

As Hot Chili advances toward a maiden MRE for La Verde later this year, the Company expects to follow with a revised Pre-Feasibility Study (PFS) for Costa Fuego, including La Verde, and the formal submission of the Costa Fuego Environmental Impact Assessment (EIA) in Q2 2027.

The integration of La Verde is anticipated to significantly enhance Costa Fuego’s scale and economics – elevating its standing amongst the world’s few remaining meaningful scale and near-term independent copper development projects.

Costa Fuego currently ranks among the five largest copper development projects globally that are not controlled by a major mining company¹.

This announcement is authorised by the Board of Directors for release to ASX and TSXV.

For more information please contact:

or visit Hot Chili’s website at www.hotchili.net.au

Figure 1. Location of La Verde in relation to Costa Fuego, coastal range Chile 

Table 1. New significant drilling intersections from La Verde

Figure 2. Plan view map of La Verde showing recent drill hole results and updated +0.2% copper (yellow), +0.3% copper (red), +0.4% copper (magenta) mineralisation interpolants. Drilled holes with pending assays are shown in black. Position of A – A’ long section (Figure 3), B – B’ cross section (Figure 4) and C – C’ cross section (Figure 5) annotated with white dashed lines. Conceptual open pit shells¹ displayed for $US3.50/lb Cu (short dash) and $US6.00/lb Cu (long dash) displayed as dashed lines. Results reported including CuEq².

Figure 3. Long-section slice (A – A’) showing recent drill hole results and updated +0.2% copper (yellow), +0.3% copper (red), +0.4% copper (magenta) mineralisation interpolants. Returned Cu grades shown on hole traces, drilled holes with pending assays are shown in black. Conceptual open pit shells¹ displayed for $US3.50/lb Cu (short dash) and $US6.00/lb Cu (long dash) displayed as dashed lines. Results reported including CuEq².

Figure 4. Cross section slice (B – B’) showing recent drill hole results DKP052 and DKP045D (± 75m clipping) and updated +0.2% copper (yellow), +0.3% copper (red), +0.4% copper (magenta) mineralisation interpolants. Returned Cu grades shown on hole traces, drilled holes with pending assays are shown in black. Conceptual open pit shells¹ displayed for $US3.50/lb Cu (short dash) and $US6.00/lb Cu (long dash) displayed as dashed lines. Results reported including CuEq².

Figure 5. Cross section slice (C – C’) showing recent drill hole results DKD060 and DKP058 (± 75m clipping) and updated +0.2% copper (yellow), +0.3% copper (red), +0.4% copper (magenta) mineralisation interpolants. Returned Cu grades shown on hole traces, drilled holes with pending assays are shown in black. Conceptual open pit shells¹ displayed for $US3.50/lb Cu (short dash) and $US6.00/lb Cu (long dash) displayed as dashed lines. Results reported including CuEq².

Qualifying Statements

Conceptual Open Pit Shells

Conceptual open pit shells represent Exploration Targets as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (JORC Code). They are based on completed exploration activities reported in the announcement released 19 May 2025 (‘Hot Chili Announces Latest Drill Results for La Verde, Doubling Porphyry Discovery Footprint’).

The conceptual open pit shells were generated using copper (Cu) prices of US$3.50/lb Cu and US$6.00/lb Cu on a series of nested Cu grade shells. Other input parameters informing the conceptual open-pit shells (pit slope angles, mining cost, processing cost, etc.) were derived from values reported in the March 2025 Costa Fuego Pre-Feasibility Study and are considered appropriate for the style of mineralisation encountered at the La Verde Cu-Au porphyry discovery.

Any potential quantity and grade of the Exploration Target shown is conceptual in nature. There has been insufficient exploration to estimate a Mineral Resource within the target area, and it is uncertain if further exploration will result in the estimation of a Mineral Resource.

Further exploration activities are detailed in this announcement and include (but may not necessarily be limited to) a program of diamond drillholes aiming to extend the mineralised footprint at La Verde. Drilling commenced on 22 September 2025, with the length of the program dependent on a number of considerations including (but not limited to) the results of the exploration activities and regulatory applications and approvals.

Qualified Person – NI 43-101

The technical information in this announcement has been reviewed and approved by Mr Christian Easterday, MAIG, Hot Chili’s Managing Director and a qualified person within the meaning of National Instrument 43-101 – Standards of Disclosure for Mineral Projects. For further information, please refer to the Company’s technical report titled “Costa Fuego Project, NI 43-101 Technical Report Preliminary Feasibility Study”, with an effective date of 27 March 2025, a copy of which is available for review under the Company’s issuer profile on SEDAR+ (www.sedarplus.ca).

Competent Person – JORC

The information in this announcement that relates to Exploration Results and Exploration Targets for the La Verde project is based upon information compiled by Mr Christian Easterday, the Managing Director and a full-time employee of Hot Chili Limited, who is a Member of the Australasian Institute of Geoscientists (AIG). Mr Easterday has sufficient experience that is relevant to the style of mineralisation and type of deposits under consideration and to the activity which he is undertaking to qualify as a ‘Competent Person’ as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (JORC Code). Mr Easterday consents to the inclusion in this announcement of the matters based on their information in the form and context in which it appears.

The information in this announcement relating to previously reported Exploration Results for La Verde was previously reported in the Company’s announcements ‘Hot Chili Confirms Major Cu-Au Porphyry Discovery at La Verde’, ‘Hot Chili Announces Latest Drill Results for La Verde, Doubling Porphyry Discovery Footprint’, ‘District-Scale Porphyry Cluster Potential Emerging at La Verde Cu-Au Discovery’, ‘First Diamond Drillhole Confirms Gold-Rich Major Copper Discovery in Coastal Chile’, ‘Near-Surface Higher-Grade Core Confirmed at La Verde’, ‘Rapid Growth of High Grade Core Continues at La Verde’, ‘Shallow High Grade Results Continue at La Verde’, ‘Hot Chili Confirms Major High-Grade Extension at La Verde’, ‘Latest Drilling Lifts HG Core Potential of La Verde’, ‘Strong Copper-Gold Results Continue at La Verde’ and ‘La Verde Emerging as Cornerstone Asset for HCH’ released to ASX on 26 February 2024, 19 May 2025, 29 May 2025, 27 November 2025, 10 December 2025, 20 January 2026, 16 February 2026, 8 April 2026, 5 May 2026, 16 June 2026, and 28 July 2026 respectively, which are available to view on the Company’s website at www.hotchili.net.au/investors/investor-centre/market-announcements. The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcements.

Disclaimer

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this announcement.

Forward Looking Statements

This announcement contains certain statements that are “forward-looking information” within the meaning of applicable Canadian securities legislation and “forward-looking statements” within the meaning of applicable Australian securities regulation (collectively, the “forward-looking statements”). Forward-looking statements reflect the Company’s current expectations, forecasts, and projections with respect to future events, many of which are beyond the Company’s control, and are based on certain assumptions. No assurance can be given that these expectations, forecasts, or projections will prove to be correct, and such forward-looking statements included in this announcement should not be unduly relied upon. Forward-looking information is by its nature prospective and requires the Company to make certain assumptions and is subject to inherent risks and uncertainties. All statements other than statements of historical fact are forward-looking statements. The use of any of the words “estimate”, “expansion”, “expand”, “expected”, “may”, “momentum”, “plan”, “potential”, “project”, “large-scale”, “should”, “will”, variants of these words and similar expressions are intended to identify forward-looking statements.

The forward-looking statements within this announcement are based on information currently available and what management believes are reasonable assumptions. Forward-looking statements speak only as of the date of this announcement.

In this announcement, forward-looking statements relate, among other things, to: the potential of the La Verde discovery; regulatory applications and approvals; the timing and results of future economic studies; and the Company’s future exploration and other business plans.

Forward-looking statements involve known and unknown risks, uncertainties, and other factors, which may cause the actual results, performance, or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. A number of factors could cause actual results to differ materially from a conclusion, forecast or projection contained in the forward-looking statements in this announcement, including, but not limited to, the following material factors: the ability of drilling and other exploration activities to accurately predict mineralisation; operational risks; risks related to the cost estimates of exploration; sovereign risks associated with the Company’s operations in Chile; changes in estimates of mineral resources or mineral reserves of properties where the Company holds interests; recruiting qualified personnel and retaining key personnel; future financial needs and availability of adequate financing; fluctuations in mineral prices; market volatility; exchange rate fluctuations; ability to exploit successful discoveries; the production at or performance of properties where the Company holds interests; ability to retain title to mining concessions; environmental risks; financial failure or default of joint venture partners, contractors or service providers; competition risks; economic and market conditions; and other risks and uncertainties described elsewhere in this announcement and elsewhere in the Company’s public disclosure record.

Although the forward-looking statements contained in this announcement are based upon assumptions which the Company believes to be reasonable, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. With respect to forward-looking statements contained in this announcement, the Company has made assumptions regarding: future commodity prices and demand; availability of skilled labour; timing and amount of capital expenditures; future currency exchange and interest rates; the impact of increasing competition; general conditions in economic and financial markets; availability of drilling and related equipment; effects of regulation by governmental agencies; future tax rates; future operating costs; availability of future sources of funding; ability to obtain financing; and assumptions underlying estimates related to adjusted funds from operations. The Company has included the above summary of assumptions and risks related to forward-looking information provided in this announcement to provide investors with a more complete perspective on the Company’s future operations, and such information may not be appropriate for other purposes. The Company’s actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits the Company will derive therefrom.

For additional information with respect to these and other factors and assumptions underlying the forward-looking statements made herein, please refer to the public disclosure record of the Company, including the Company’s most recent Annual Report, which is available on SEDAR+ (www.sedarplus.ca) under the Company’s issuer profile. New factors emerge from time to time, and it is not possible for management to predict all those factors or to assess in advance the impact of each such factor on the Company’s business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statement.

The forward-looking statements contained in this announcement are expressly qualified by the foregoing cautionary statements and are made as of the date of this announcement. Except as may be required by applicable securities laws, the Company does not undertake any obligation to publicly update or revise any forward-looking statement to reflect events or circumstances after the date of this announcement or to reflect the occurrence of unanticipated events, whether as a result of new information, future events or results, or otherwise. Investors should read this entire announcement and consult their own professional advisors to ascertain and assess the income tax and legal risks and other aspects of an investment in the Company.

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SOURCE Hot Chili Limited