Hot Chili Quarterly Report - Period Ending 31 December 2025 PERTH, Australia ,
PERTH, Australia, Jan. 30, 2026 /CNW/ -
Highlights La Verde Diamond Drilling Rapidly Expands Gold-Rich Major Copper Discovery
Drillhole results released during the quarter confirmed significant expansion of La Verde's high-grade core: DKD032 recorded 529 m grading 0.41% Cu and 0.21 g/t Au from 41m to end of hole, including 148 m grading 0.60% Cu and 0.30 g/t Au from 70 m depth DKD034 recorded 426 m grading 0.37% Cu and 0.08 g/t Au from 194 m depth, including 107 m grading 0.46 % Cu, 0.10 g/t Au from 426 m depth and including 52 m grading 0.50% Cu, 0.08 g/t Au from 566 m depth DKD033, a diamond twin, recorded 495 m grading 0.38% Cu and 0.10 g/t Au from 3 m depth, including 123 m grading 0.50% Cu and 0.13 g/t Au from 289 m depth DKP005D, diamond tail recorded 47 m grading 0.57% Cu and 0.12 g/t Au from 247.5 m depth (original end of hole), including 28 m grading 0.49% Cu and 0.15 g/t Au from 316 m depth Diamond drill results expand an emerging, bulk-tonnage, high-grade core at the La Verde copper-gold (Cu-Au) porphyry discovery and confirm the convergence of the higher-grade mineralisation at depth.
A total of 3,347 m was drilled across nine diamond drillholes during the quarter, with assays pending for six diamond drillholes, including results for drillholes targeting the up-dip potential of the high-grade core.
Higher-grade Copper-Gold Starter Pit for Costa Fuego Materialising
Multiple wide, near-surface Cu-Au intercepts from La Verde highlight the opportunity to incorporate a high-grade starter pit to Costa Fuego, located only 30km south of the planned central processing hub at Productora.
Impact modelling by Hot Chili indicates the potential to add significant additional open pit material to the front end of Costa Fuego's 20-year mine schedule, delivering mine life growth and materially enhancing the financial metrics of Hot Chili's March 2025 PFS.
Regulatory approval1 was received in October, and drill pad clearing commenced in December, to expand drill coverage across La Verde and initiate first-pass drilling, to test adjacent look-alike targets with the potential for a district-scale copper porphyry cluster.
Strategic Partnering Process Advancing
Additional parties have entered the Company's asset-level, strategic partnering processes in relation to the Costa Fuego and Huasco Water Projects (together, the Projects). with several advancing through due diligence, including site visits. The Company has received further non-binding, indicative, incomplete and conditional proposals in relation to potential transactions for the Projects. The Company remains actively engaged in assessing these proposals.
EIA and Development Studies Advancing A$4.6M Cash and A$2.8M in Returns Expected (VAT and JV recoup)
$1.8M in VAT and JV recoup received in January 2026.
______________________________ 1 Regulatory approval refers to a Sectoral Permit, which is the appropriate regulatory authorisation for a project of this scale. A full DIA (Environmental Impact Declaration) would be processed in a next drilling stage following current regulations. Hot Chili remains fully committed to transparency and environmental responsibility in every stage of the project.
Diamond Drilling across La Verde expands the gold-rich major copper discovery in coastal Chile (CNW Group/Hot Chili Limited)
Cautionary Statement – JORC Code (2012)
The Costa Fuego Copper-Gold Project is currently at the Pre-Feasibility Study ("PFS") stage. The production targets and forecast financial information contained in this report are based on technical and economic assessments that are preliminary in nature. While the PFS incorporates Indicated and Inferred Mineral Resources, there is a lower level of geological confidence associated with Inferred Mineral Resources, and no certainty that further exploration or development will result in the conversion of Inferred Mineral Resources to Indicated or Measured categories.
The PFS is not a definitive study and is based on a number of assumptions, including commodity prices, capital and operating costs, metallurgical recoveries, permitting, and other factors, which are subject to change. The outcomes of the PFS should not be used as the basis for a final investment decision. Further work, including additional drilling, metallurgical testing, and detailed engineering, is required before the Company can make a decision to proceed to development.
Of the Mineral Resources scheduled for extraction in the PFS production plan, more than 99% are classified as Indicated, with the remaining <1% as Inferred. The Company has concluded that it has reasonable grounds for disclosing a production target which includes a small amount of Inferred Mineral Resources, as permitted under the JORC Code. There is a low level of geological confidence associated with Inferred Mineral Resources and there is no certainty that further exploration work will result in the determination of Indicated Mineral Resources or that the production target itself will be realised. The viability of the development scenario envisaged in the PFS does not depend on the inclusion of Inferred Mineral Resources. However, it is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Measured or Indicated Mineral Resource with continued drilling.
The Mineral Resources underpinning the production target in the PFS have been prepared by a Competent Person in accordance with the requirements of the JORC 2012. For full details on the Mineral Resource estimate, please refer to the ASX announcement of 27 March 2025.
To achieve the outcomes indicated in the PFS, including reaching Definitive Feasibility Study ("DFS"), mine construction and production stages, funding in the order of US$1.27 Billion will be required, including preproduction and working capital and assumed financing charges. Investors should note that that there is no certainty that Hot Chili will be able to raise that amount of funding when needed. One of the key assumptions is that the funding for the Project will be available when required and on acceptable terms. It is also possible that such funding may only be available on terms that may be dilutive to, or otherwise affect the value of, Hot Chili's existing shares. It is also possible that Hot Chili could pursue other value realisation strategies such as debt financing, a sale or partial sale of its interest in the Costa Fuego Copper Project and/or Huasco Water, sale of further royalties and/or streaming rights, sale of non-committed offtake rights, and sale of non-core assets.
The Company cautions that there is no certainty that the results or estimates contained in the PFS will be realised.
This Report contains forward-looking statements. Hot Chili has concluded that it has a reasonable basis for providing these forward-looking statements and believes it has a reasonable basis to expect it will be able to fund development of the Costa Fuego Copper Project. However, a number of factors could cause actual results or expectations to differ materially from the results expressed or implied in the forward-looking statements. Given the uncertainties involved, investors should not make any investment decisions based solely of the results of the PFS.
SUMMARY OF OPERATIONAL ACTIVITIES Rapid Growth of High-Grade Core Continues at La Verde
Diamond drilling (DD) continued during the quarter at La Verde with nine drillholes completed – six from surface and three diamond tails - before the Christmas break on 21 Dec 2025. Phase two drilling aimed to significantly grow the initial porphyry discovery, using DD to verify, extend and expand the mineralisation footprint identified by reverse circulation (RC) drillholes, many of which ended in mineralisation.
Results from the first four diamond drillholes had a significant impact on expansion of the porphyry footprint. Particularly at depth where higher-grade centres converge, with the depth extent now reaching 600m from surface (Figure 1 and 2), as well as identifying a high gold to copper ratio in the north-eastern high-grade core.
The first diamond drillhole, DKD032, located in the north-eastern higher-grade centre, recorded:
529 m grading 0.41% Cu and 0.21 g/t Au from 41m to end of hole including 148 m grading 0.60% Cu and 0.30 g/t Au from 70 m depth
and including 66 m grading 0.45% Cu and 0.31 g/t Au from 295 m depth
Twin drillhole DKD032 significantly extended the discovery drill result from DKP002, which previously recorded 308 m grading 0.5% Cu and 0.3g/t Au from 46m depth to end of hole. Mineralisation extended both laterally and vertically, with end of hole recording 14 m grading 0.35% Cu and 0.12 g/t Au.
The other drilling result released was from DKP005D, a 200 m diamond tail extension, recorded an additional:
47 m grading 0.57% Cu and 0.12 g/t Au from 247.5 m depth (original end of hole), and 28 m grading 0.49% Cu and 0.15 g/t Au from 316 m depth
DKP005D is located in the central higher-grade mineralisation centre, the tail extension of RC drillhole DKP005, and resulted in extension of the eastern flank of the discovery by approximately 60 m. Including the new diamond tail extension, DKP005 now records 317 m grading 0.38% Cu and 0.1 g/t Au from 32 m to 349 m depth including the nonmineralised dyke (previously DKP005 recorded 200 m grading 0.4% Cu and 0.1 g/t Au from 48 m to end-of-hole).
Diamond drillhole DKD033 (twin drillhole to DKP030) was the third result released (Figure 3) and extended the original RC drillhole, recording:
495 m grading 0.38% Cu and 0.10 g/t Au from 3 m depth
including 37 m grading 0.51% Cu and 0.13g/t Au from 202 m and including 123 m grading 0.50% Cu and 0.13g/t Au from 289 m
This represents a 102 m downhole extension to the original intercept, which recorded 393 m grading 0.4% Cu and 0.1 g/t Au from 4 m depth. Mineralisation was also recorded to end-of-hole, with the last 22 m recording 0.18% Cu and 0.04 g/t Au from 521 m depth.
The fourth result, diamond drillhole DKD034, also located in the central high-grade centre (Figure 3), returned an intersection of:
426 m grading 0.37% Cu and 0.08g/t Au from 194 m depth including 107 m grading 0.46% Cu and 0.10g/t Au from 426 m and including 52 m grading 0.50% Cu and 0.08g/t Au from 566 m Drillhole DKD034 also ended in mineralisation, returning 35 m grading 0.27% Cu and 0.06 g/t Au from 679 m.
The Company is reviewing these results and will consider potential re-entry of DKD033 and DKD034 in the future.
In addition, relogging and interpretation of multiple intrusive phases, derived from the diamond drilling campaign, have optimized drill target design and supported the development of an early 4D litho–structural model.
Higher-grade Copper-Gold Starter Pit for Costa Fuego Materialising
Diamond drillholes completed from surface, aiming to test the potential for the higher-grade gold-rich copper mineralisation intersected by DKD032 to extend up to near surface, were also completed during the quarter (DKD035 and DKD036). Results are expected soon and the location of both drillholes in the northeastern high-grade centre, could have a material impact on the La Verde deposit.
Diamond drilling has been instrumental in development of an early "4D litho-structural model" with the interpretation of multiple intrusive phases optimising drill target design. Hot Chili geologists are applying the same targeting strategies that proved successful at the Company's nearby Cortadera Cu-Au porphyry Resource and anticipate these methods will continue to drive growth at La Verde.
Impact modelling by Hot Chili indicates the potential to add significant additional open pit material to the front end of Costa Fuego's 20-year mine schedule, delivering mine life growth and materially enhancing the financial metrics of Hot Chili's March 2025 PFS.
Costa Fuego is significantly leveraged to both copper and gold price, both of which are materially higher than assumptions used in the Company's PFS. Long-term consensus prices for both commodities sit at US$4.51/lb Cu and US$3,137/oz Au1, 5% and 38% higher, respectively. The addition of La Verde adds further leverage and scale.
Clearing of drill pad locations commenced at La Verde in December, in preparation for the expanded exploration drill program, which received regulatory approval in October.
Costa Fuego Project Optimisation Continues
Value Engineering development studies continued during the quarter, advancing several workstreams with global consulting company Ausenco, with focus on optimisation of the Company's PFS, prior to inclusion in a planned Feasibility Study (FS).
The Company's Environmental Impact Assessment (EIA) also continued to advance during the quarter, on track for submission at the end of 2026.
Figure 1. Plan view map of the La Verde porphyry system showing approved extensional collar locations (red points), planned (white traces) and completed DD drilling (black) compared with +0.2% copper (yellow), +0.3% copper (red), +0.4% copper (magenta) mineralisation interpolants. Conceptual open pit shells displayed for $US3.50/lb Cu (blue) and $US6.00/lb Cu (green) displayed as dashed lines. See announcement dated 20 January 2026 for JORC Table 1 additional technical information. (CNW Group/Hot Chili Limited)
____________________________________ 1 See Page 23 of this announcement for detail on the US$3.50 Cu and US$6.00 Cu conceptual open pit shells (Exploration Targets). Any potential tonnage 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.
Figure 2. NNW facing longitudinal section of the La Verde porphyry system showing +0.2% copper (yellow), +0.3% copper (red), +0.4% copper (magenta) mineralisation interpolants following Phase One drilling (top) and with the addition of the first four Phase two drillholes [DKD032, DKD033, DKD034, DKP005D] (bottom). (CNW Group/Hot Chili Limited)
Figure 3. North facing cross section (± 40m clipping) of the La Verde porphyry system showing +0.2% copper (yellow), +0.3% copper (red), +0.4% copper (magenta) mineralisation interpolants before (top) and after (bottom) returned diamond assay results from DKD033 and DKD034. Returned Cu grades shown on hole traces. Conceptual open pit shells1 displayed for $US3.50/lb Cu (blue) and $US6.00/lb Cu (green) displayed as dashed lines and are based on Phase one drilling only. (CNW Group/Hot Chili Limited)
1 See Page 22 of this announcement for detail on the US$3.50 Cu and US$6.00 Cu conceptual open pit shells (Exploration Targets). Any potential tonnage 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.
Table 1. Drill Holes Completed for La Verde in Quarter 4, 2025
| Prospect | Hole ID | North | East | RL | Depth | Azimuth | Dip | Results |
|---|---|---|---|---|---|---|---|---|
| La Verde | DKP032 | 6785975 | 324839 | 1192 | 570 | 270 | -60 | Significant result returned Q4 2025 |
| DKP005D | 6785789 | 324564 | 1124 | 441 | 91 | -60 | Significant result returned Q4 2025 | |
| DKD033 | 6785775 | 324785 | 1132 | 543 | 274 | -60 | Significant result returned Q1 2026 | |
| DKD034 | 6785837 | 324433 | 1096 | 714 | 99 | -59 | Significant result returned Q1 2026 | |
| DKP006D | 6785721 | 324727 | 1130 | 384 | 110 | -60 | Results Pending | |
| DKP021D | 6785619 | 324325 | 1178 | 834 | 75 | -60 | Results Pending | |
| DKD035 | 6786027 | 324596 | 1153 | 279 | 80 | -60 | Results Pending | |
| DKD036 | 6786029 | 324597 | 1153 | 372 | 130 | -54 | Results Pending | |
| DKD037 | 6785842 | 324527 | 1122 | 321 | 69 | -63 | Results Pending | |
| DKD038 | 6786088 | 324685 | 1185 | 306 | 149 | -65 | Results Pending |
Table 2. Significant Drilling Intersections from La Verde in Quarter 4, 2025
| Hole ID | Coordinates | Azim. | Dip | Hole Depth | Intersection | Interval | Copper | Gold | Silver | Molybdenum | |||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| North | East | RL | From | To | (m) | (% Cu) | (g/t Au) | (ppm Ag) | (ppm Mo) | ||||
| DKP0032 | 6,785,967 | 324,835 | 1,202 | 270 | -60 | 569.9 | 41 | 569.9 | 528.9 | 0.41 | 0.21 | 0.85 | 13 |
| And incl | 70 | 218 | 148 | 0.60 | 0.30 | 0.84 | 13 | ||||||
| And incl | 295 | 361 | 66 | 0.45 | 0.31 | 0.96 | 10 | ||||||
| And incl (to EOH) | 556 | 569.9 | 13.9 | 0.35 | 0.12 | 0.79 | 13 | ||||||
| DKP005 | 6,785,789 | 324,564 | 1,124 | 90 | -60 | 441.2 | 32 | 349 | 317 | 0.38 | 0.10 | 0.9 | 23 |
| (incl. new DD tail results from DKP005D) | Incl | 68 | 102 | 34 | 0.50 | 0.16 | 1.2 | 10 |
| And incl | 236 | 294 | 58 | 0.55 | 0.12 | 1.1 | 39 | ||||||
| And incl | 316 | 344 | 28 | 0.49 | 0.15 | 1.0 | 19 | ||||||
| And | 412 | 421 | 9 | 0.32 | 0.06 | 0.4 | 92 | ||||||
| DKD033 | 6,785,775 | 324,785 | 1132 | 274 | -60 | 543 | 3 | 498 | 495 | 0.38 | 0.10 | 0.69 | 27 |
| Or Incl | 3 | 543 | 540 | 0.36 | 0.09 | 0.66 | 30 | ||||||
| Incl | 202 | 239 | 37 | 0.51 | 0.13 | 1.19 | 43 | ||||||
| And incl | 289 | 412 | 123 | 0.50 | 0.13 | 0.67 | 39 | ||||||
| 521 | 543 | 22 | 0.18 | 0.04 | 0.31 | 75 | |||||||
| DKD034 | 6,785,837 | 324,433 | 1096 | 99 | -59 | 713.9 | 16 | 39 | 23 | 0.30 | 0.06 | 1.11 | 20 |
| 194 | 620 | 426 | 0.37 | 0.08 | 0.71 | 32 | |||||||
| Incl | 426 | 533 | 107 | 0.46 | 0.10 | 0.97 | 23 | ||||||
| And Incl | 566 | 618 | 52 | 0.50 | 0.08 | 0.99 | 50 | ||||||
| 679 | 713.9 | 34.9 | 0.27 | 0.06 | 0.68 | 183 |
SUMMARY OF CORPORATE ACTIVITIES Strategic Partnering Process Advancing
Following completion of the Pre-feasibility Studies (PFS) for Costa Fuego and Huasco Water, Hot Chili initiated an assetlevel strategic Partnering Process to introduce one or more qualified partners with the financial, technical and operational capability to assist in funding and delivering each project.
The Partnering Process continues to progress. During the quarter, additional parties have entered the Partnering Process, with several advancing through due diligence, including site visits. The Company has received further nonbinding, indicative, incomplete and conditional proposals in relation to potential transactions for the Projects. The Company remains actively engaged in assessing these proposals.
The Partnering Process may result in a range of transactions for the projects. Investors are cautioned that there is no certainty the Partnering Process will result in a transaction or binding agreement.
BMO Capital Markets has been appointed as financial adviser in connection with the Partnering Process.
The Company will continue to update the market in accordance with its continuous disclosure obligations.
Cash Position
As of 31 December 2025, the Company had cash of A$4.6 million and no debt. The Company has approximately A$2.8 million in funds from VAT repayments and joint venture recoup from its partner CMP, with $1.8m of these funds being received in January 2026. The remaining $1m funds are expected to be received over the coming months.
The operating expenditure for quarter ended 31 December 2025 included payments for staff costs of A$0.6 million and administration and corporate costs of A$1.3 million.
The investing expenditure for quarter ended 31 December 2025 included payments for tenements of A$1.1 million relating to option payment for La Verde and payments for exploration and evaluation of A$6.1 million relating to exploration activities across the La Verde copper-gold porphyry discovery, value engineering works and EIA submission activities.
Capital Structure
The following summarises the Company's securities on issue:
177,561,814 ordinary fully paid shares 1,914,000 options at AUD $1.50 expiring 24 July 2026 3,685,079 service and performance rights
Annual General Meeting
On Thursday, 27 November 2025 the Company's AGM was held with all resolutions passed.
Additional ASX Disclosure Information
ASX Listing Rule 5.3.2: There was no substantive mining production and development activities during the quarter.
ASX Listing Rule 5.3.3 - Schedule of Mineral Tenements as of 31 December 2025.
The schedule of Mineral Tenements and changes in interests is appended at the end of this activities report.
ASX Listing Rule 5.3.4: Reporting under a use of funds statement in a Prospectus does not apply to the Company currently.
ASX Listing Rule 5.3.5: Payments to related parties of the Company and their associates during the quarter per Section 6.1 of the Appendix 5B totalled $188,000. This is comprised of directors' salaries and superannuation of $180,000.
Health, Safety, Environment and Quality
Field operations during the quarter included geological reconnaissance activities, diamond drilling, field mapping, and sampling exercises across the Company's Costa Fuego project landholdings, focused on La Verde. Activities on new tenements are run at the Productora or Cortadera operations centers and their safety statistics are included under the figures for all projects.
There were no Lost Time Injuries (LTI) during the quarter.
Hot Chili's sustainability framework ensures an emphasis on business processes that target long-term economic, environmental and social value. The Company is dedicated to continual monitoring and improvement of health, safety and the environmental systems. There is no greater importance than ensuring the safety of our people and their families.
Table 3. HSEQ Quarter 4 2025 Performance and Statistics
| Deposit | Productora | Cortadera | All Projects | |||
|---|---|---|---|---|---|---|
| Timeframe | Q4 2025 | Cum.² 2019 | Q4 2025 | Cum.² 2019 | Q4 2025 | Cum.² 2019 |
| LTI events | 0 | 0 | 0 | 6 | 0 | 8 |
| NLTI events | 0 | 4 | 0 | 6 | 0 | 11 |
| Days lost | 0 | 0 | 0 | 152 | 0 | 263 |
| LTIFR index | 0 | 0 | 0 | 20 | 0 | 17 |
| ISR index | 0 | 0 | 0 | 495 | 0 | 543 |
| IFR Index | 0 | 37 | 0 | 39 | 0 | 39 |
| Thousands of man-hours | 4.9 | 109 | 1.8 | 307 | 25.1 | 484 |
| Incidents on materials and assets | 0 | 1 | 0 | 0 | 0 | 1 |
| Environmental incidents | 0 | 0 | 0 | 0 | 0 | 0 |
| Headcount¹ | 13 | 12 | 9 | 29 | 64 | 48 |
Notes: HSEQ is the acronym for Health, Safety, Environment and Quality. LTIFR per million-manhours. Safety performance is reported on a monthly basis to the National Mine Safety Authority on a standard E-100 form;
(1) Average monthly headcount (2) Cumulative statistics since April 2019.
Tenement Changes During the Quarter
During the Quarter, Sociedad Minera La Frontera SpA ("La Frontera") has claimed 3 mining exploration concessions ("Pajonales" "Chilis 19" and "Paulina") which are in process to be constituted. In addition, it acquired two mining concessions in judicial auction, which are indicated below: "Marina 1/10" and "Catita V 1/9". In addition, the four Minori concessions were substituted due to irregularities in their registration. Sociedad Minera El Aguila SpA ("El Aguila") has claimed three mining exploration concessions ("Zapallo 1" "Zapallo 2" and "Zapallo 3") which are in process to be constituted.
The Company's existing tenements are detailed in the table below.
Table 4. Current Tenement Holdings in Chile as of 31 December 2025
Cortadera Project Tenements
| Cortadera Project | |||||
|---|---|---|---|---|---|
| N° | License ID | HCH % Held | HCH % Earning | Area (ha) Agreement Details | |
| 1 | ALCENIA 1/10 | 100% SMEA SpA | 50 | ||
| 2 | AMALIA 942 A 1/6 | 100% Frontera SpA | 53 | ||
| 3 | ATACAMITA 1/82 | 100% Frontera SpA | 82 | ||
| 4 | CORROTEO 1 1/260 | 100% Frontera SpA | 260 | ||
| 5 | CORROTEO 5 1/261 | 100% Frontera SpA | 261 | ||
| 6 | CORTADERA 1 1/200 | 100% Frontera SpA | 200 | ||
| 7 | CORTADERA 1/40 | 100% Frontera SpA | 374 | ||
| 8 | CORTADERA 2 1/200 | 100% Frontera SpA | 200 | ||
| 9 | CORTADERA 41 | 100% Frontera SpA | 1 | ||
| 10 | CORTADERA 42 | 100% Frontera SpA | 1 | ||
| 11 | LAS CANAS 1/15 | 100% Frontera SpA | 146 | ||
| 12 | LAS CANAS 16 | 100% Frontera SpA | 1 | ||
| 13 | LAS CANAS ESTE 2003 1/30 | 100% Frontera SpA | 300 | ||
| 14 | MAGDALENITA 1/20 | 100% Frontera SpA | 100 | ||
| 15 | PAULINA 10 B 1/16 | 100% Frontera SpA | 136 | ||
| 16 | PAULINA 11 B 1/30 | 100% Frontera SpA | 249 | ||
| 17 | PAULINA 12 B 1/30 | 100% Frontera SpA | 294 | ||
| 18 | PAULINA 13 B 1/30 | 100% Frontera SpA | 264 | ||
| 19 | PAULINA 14 B 1/30 | 100% Frontera SpA | 265 | ||
| 20 | PAULINA 15 B 1/30 | 100% Frontera SpA | 200 | ||
| 21 | PAULINA 22 A 1/30 | 100% Frontera SpA | 300 | ||
| 22 | PAULINA 24 1/24 | 100% Frontera SpA | 183 | ||
| 23 | PAULINA 25 A 1/19 | 100% Frontera SpA | 156 | ||
| 24 | PAULINA 26 A 1/30 | 100% Frontera SpA | 294 | ||
| 25 | PAULINA 27A 1/30 | 100% Frontera SpA | 300 | ||
| 26 | PURISIMA 1/8 (1/2 Y 5/6) | 100% Frontera SpA | 20 | NSR 1.5% |
| 27 | CF 1 | 100% Frontera SpA | 300 |
| 28 | CF 2 | 100% Frontera SpA | 300 |
| 29 | CF 3 | 100% Frontera SpA | 300 |
| 30 | CF 4 | 100% Frontera SpA | 300 |
| 31 | CF 5 | 100% Frontera SpA | 200 |
| 32 | CF 6 | 100% Frontera SpA | 200 |
| 33 | CF 7 | 100% Frontera SpA | 100 |
| 34 | CF 8 | 100% Frontera SpA | 200 |
| 35 | CF 9 | 100% Frontera SpA | 100 |
| 36 | CF 10 | 100% Frontera SpA | 200 |
| 37 | CF 11 | 100% Frontera SpA | 200 |
| 38 | CHAPULIN COLORADO 1/3 | 100% Frontera SpA | 3 |
| 39 | CHILIS 1 | 100% Frontera SpA | 200 |
| 40 | CHILIS 3 | 100% Frontera SpA | 100 |
| 41 | CHILIS 4 | 100% Frontera SpA | 200 |
| 42 | CHILIS 5 | 100% Frontera SpA | 200 |
| 43 | CHILIS 6 | 100% Frontera SpA | 200 |
| 44 | CHILIS 7 | 100% Frontera SpA | 200 |
| 45 | CHILIS 8 | 100% Frontera SpA | 200 |
| 46 | CHILIS 9 | 100% Frontera SpA | 300 |
| 47 | CHILIS 10 1/38 | 100% Frontera SpA | 190 |
| 48 | CHILIS 11 | 100% Frontera SpA | 200 |
| 49 | CHILIS 12 1/60 | 100% Frontera SpA | 300 |
| 50 | CHILIS 13 | 100% Frontera SpA | 300 |
| 51 | CHILIS 14 | 100% Frontera SpA | 300 |
| 52 | CHILIS 15 | 100% Frontera SpA | 300 |
| 53 | CHILIS 16 | 100% Frontera SpA | 300 |
| 54 | CHILIS 17 | 100% Frontera SpA | 300 |
| 55 | CHILIS 18 | 100% Frontera SpA | 300 |
| 56 | CORTADERA 1 | 100% Frontera SpA | 200 |
| 57 | CORTADERA 2 | 100% Frontera SpA | 200 |
| 58 | CORTADERA 3 | 100% Frontera SpA | 200 |
| 59 | CORTADERA 4 | 100% Frontera SpA | 200 |
| 60 | CORTADERA 5 | 100% Frontera SpA | 200 |
| 61 | CORTADERA 6 1/60 | 100% Frontera SpA | 265 |
| 62 | CORTADERA 7 1/20 | 100% Frontera SpA | 93 |
| 63 | CRISTINA 1/40 | 100% SMEA SpA | 40 |
| 64 | DIABLITO 1/5 | 100% SMEA SpA | 25 |
| 65 | DONA FELIPA 1/10 | 100% Frontera SpA | 50 |
| 66 | DORO 1 | 100% Frontera SpA | 200 |
| 67 | DORO 2 | 100% Frontera SpA | 200 |
| 68 | DORO 3 | 100% Frontera SpA | 300 |
| 69 | FALLA MAIPO 2 1/10 | 100% Frontera SpA | 99 |
| 70 | FALLA MAIPO 3 1/8 | 100% Frontera SpA | 72 |
| 71 | FALLA MAIPO 4 1/26 | 100% Frontera SpA | 26 |
| 72 | MINORI 1 | 100% SMEA SpA | 300 |
| 73 | MINORI 2 | 100% SMEA SpA | 300 |
| 74 | MINORI 3 | 100% SMEA SpA | 300 |
| 75 | MINORI 4 | 100% SMEA SpA | 300 |
| 76 | PORFIADA B | 100% Frontera SpA | 200 |
| 77 | PORFIADA D | 100% Frontera SpA | 300 |
| 78 | PORFIADA G | 100% Frontera SpA | 200 |
| 79 | PORFIADA I | 100% Frontera SpA | 300 |
| 80 | PORFIADA II | 100% Frontera SpA | 300 |
| 81 | PORFIADA III | 100% Frontera SpA | 300 |
| 82 | PORFIADA IV | 100% Frontera SpA | 300 |
| 83 | PORFIADA V | 100% Frontera SpA | 200 |
| 84 | PORFIADA VI | 100% Frontera SpA | 100 |
| 85 | PORFIADA X | 100% Frontera SpA | 200 |
| 86 | SAN ANTONIO 1 | 100% Frontera SpA | 200 |
| 87 | SAN ANTONIO 2 | 100% Frontera SpA | 200 |
| 88 | SAN ANTONIO 3 | 100% Frontera SpA | 300 |
| 89 | SAN ANTONIO 4 | 100% Frontera SpA | 300 |
| 90 | SAN ANTONIO 5 | 100% Frontera SpA | 300 |
| 91 | SOLAR 1 | 100% Frontera SpA | 300 |
| 92 | SOLAR 2 | 100% Frontera SpA | 300 |
| 93 | SOLAR 3 | 100% Frontera SpA | 300 |
| 94 | SOLAR 4 | 100% Frontera SpA | 300 |
| 95 | SOLAR 5 | 100% Frontera SpA | 300 |
| 96 | SOLAR 6 | 100% Frontera SpA | 300 |
| 97 | SOLAR 7 | 100% Frontera SpA | 300 |
| 98 | SOLAR 8 | 100% Frontera SpA | 300 |
| 99 | SOLAR 9 | 100% Frontera SpA | 300 |
| 100 | SOLAR 10 | 100% Frontera SpA | 300 |
| 101 | SOLEDAD 1 | 100% Frontera SpA | 300 |
| 102 | SOLEDAD 2 | 100% Frontera SpA | 300 |
| 103 | SOLEDAD 3 | 100% Frontera SpA | 300 |
| 104 | SOLEDAD 4 | 100% Frontera SpA | 300 |
| 105 | MARINA 1/10 | 100% Frontera SpA | 100 |
| 106 | CATITA V 1/9 | 100% Frontera SpA | 9 |
| 107 | CHILIS 19 | 100% Frontera SpA | 300 |
| 108 | PAULINA | 100% Frontera SpA | 100 |
| TOTAL | 23.162 |
Note. Frontera SpA is a 100% owned subsidiary company of Hot Chili Limited
Productora Project Tenements
| Productora Project | ||||
|---|---|---|---|---|
| N° | License ID | HCH % Held | HCH % Earning | Area Agreement Details (ha) |
| 1 | ALGA 7 A 1/32 | 80% SMEA SpA | 89 | |
| 2 | ALGA VI 4 | 100% SMEA SpA | 2 | |
| 3 | ALGA VI 5/24 | 80% SMEA SpA | 66 | |
| 4 | ARENA 1 1/6 | 80% SMEA SpA | 40 | |
| 5 | ARENA 2 1/17 | 80% SMEA SpA | 113 | |
| 6 | AURO HUASCO 1A 1/8 | 80% SMEA SpA | 35 | |
| 7 | CABRITO-CABRITO 1/9 | 80% SMEA SpA | 50 | |
| 8 | CACHIYUYITO 1 1/20 | 80% SMEA SpA | 100 | |
| 9 | CACHIYUYITO 2 1/60 | 80% SMEA SpA | 300 | |
| 10 | CACHIYUYITO 3 1/60 | 80% SMEA SpA | 300 | |
| 11 | CARMEN I, 1/50 | 80% SMEA SpA | 222 | |
| 12 | CARMEN II, 1/60 | 80% SMEA SpA | 274 | |
| 13 | CF 12 | 100% Frontera SpA | 100 | |
| 14 | CF 13 | 100% Frontera SpA | 200 | |
| 15 | CF 14 | 100% Frontera SpA | 300 | |
| 16 | CHICA | 80% SMEA SpA | 1 | |
| 17 | CHOAPA 1/10 | 80% SMEA SpA | 50 | |
| 18 | CUENCA A 1/51 | 80% SMEA SpA | 255 | |
| 19 | CUENCA B 1/28 | 80% SMEA SpA | 139 | |
| 20 | CUENCA C 1/51 | 80% SMEA SpA | 255 | |
| 21 | CUENCA D | 80% SMEA SpA | 3 | |
| 22 | CUENCA E | 80% SMEA SpA | 1 | |
| 23 | ELEONOR RIGBY 1/10 | 100% Frontera SpA | 100 | |
| 24 | ELQUI 1/14 | 80% SMEA SpA | 61 | |
| 25 | ESPERANZA 1/5 | 80% SMEA SpA | 11 | |
| 26 | FRAN 1 1/60 | 80% SMEA SpA | 220 | |
| 27 | FRAN 12 1/40 | 80% SMEA SpA | 200 | |
| 28 | FRAN 13 1/40 | 80% SMEA SpA | 200 | |
| 29 | FRAN 14 1/40 | 80% SMEA SpA | 200 | |
| 30 | FRAN 15 1/60 | 80% SMEA SpA | 300 | |
| 31 | FRAN 18, 1/60 | 80% SMEA SpA | 273 | |
| 32 | FRAN 2 1/20 | 80% SMEA SpA | 100 | |
| 33 | FRAN 21, 1/46 | 80% SMEA SpA | 226 | |
| 34 | FRAN 3 1/20 | 80% SMEA SpA | 100 | |
| 35 | FRAN 4 1/20 | 80% SMEA SpA | 100 | |
| 36 | FRAN 5 1/20 | 80% SMEA SpA | 100 | |
| 37 | FRAN 6 1/26 | 80% SMEA SpA | 130 | |
| 38 | FRAN 7 1/37 | 80% SMEA SpA | 176 | |
| 39 | FRAN 8 1/30 | 80% SMEA SpA | 120 | |
| 40 | JULI 10, 1/60 | 80% SMEA SpA | 300 | |
| 41 | JULI 11, 1/60 | 80% SMEA SpA | 300 | |
| 42 | JULI 12, 1/42 | 80% SMEA SpA | 210 | |
| 43 | JULI 13, 1/20 | 80% SMEA SpA | 100 | |
| 44 | JULI 14, 1/50 | 80% SMEA SpA | 250 | |
| 45 | JULI 15, 1/55 | 80% SMEA SpA | 275 | |
| 46 | JULI 16 1/60 | 80% SMEA SpA | 300 | |
| 47 | JULI 17 1/20 | 80% SMEA SpA | 100 | |
| 48 | JULI 19 | 80% SMEA SpA | 300 | |
| 49 | JULI 20 | 80% SMEA SpA | 300 | |
| 50 | JULI 21 1/60 | 80% SMEA SpA | 300 | |
| 51 | JULI 22 | 80% SMEA SpA | 300 | |
| 52 | JULI 23 1/60 | 80% SMEA SpA | 300 | |
| 53 | JULI 24 1/60 | 80% SMEA SpA | 300 | |
| 54 | JULI 25 | 80% SMEA SpA | 300 | |
| 55 | JULI 27 B, 1/10 | 80% SMEA SpA | 48 | |
| 56 | JULI 27, 1/30 | 80% SMEA SpA | 146 | |
| 57 | JULI 28, 1/60 | 80% SMEA SpA | 300 |
| 58 | JULI 9, 1/60 | 80% SMEA SpA | 300 | |
| 59 | JULIETA 10, 1/60 | 80% SMEA SpA | 300 | |
| 60 | JULIETA 11 | 80% SMEA SpA | 300 | |
| 61 | JULIETA 12 | 80% SMEA SpA | 300 | |
| 62 | JULIETA 13 1/60 | 80% SMEA SpA | 298 | |
| 63 | JULIETA 14 1/60 | 80% SMEA SpA | 269 | |
| 64 | JULIETA 15 1/40 | 80% SMEA SpA | 200 | |
| 65 | JULIETA 16 | 80% SMEA SpA | 200 | |
| 66 | JULIETA 17 | 80% SMEA SpA | 200 | |
| 67 | JULIETA 18 1/40 | 80% SMEA SpA | 200 | |
| 68 | JULIETA 5 | 80% SMEA SpA | 200 | |
| 69 | JULIETA 6 | 80% SMEA SpA | 200 | |
| 70 | JULIETA 7 | 80% SMEA SpA | 100 | |
| 71 | JULIETA 8 | 80% SMEA SpA | 100 | |
| 72 | JULIETA 9 | 80% SMEA SpA | 100 | |
| 73 | JULITA ¼ | 80% SMEA SpA | 4 | |
| 74 | LEONA 2A 1/4 | 80% SMEA SpA | 10 | |
| 75 | LIMARI 1/15 | 80% SMEA SpA | 66 | |
| 76 | LOA 1/6 | 80% SMEA SpA | 30 | |
| 77 | MAIPO 1/10 | 80% SMEA SpA | 50 | |
| 78 | MONTOSA 1/4 | 80% SMEA SpA | 35 | NSR 3% |
| 79 | ORO INDIO 1A 1/20 | 80% SMEA SpA | 82 | |
| 80 | PEGGY SUE 1/10 | 100% Frontera SpA | 100 | |
| 81 | PRODUCTORA 1/16 | 80% SMEA SpA | 75 | |
| 82 | SUERTE 1/7 | 100% SMEA SpA | 21 | |
| 83 | SUERTE II 1/15 | 100% SMEA SpA | 15 | |
| 84 | TOLTEN 1/14 | 80% SMEA SpA | 70 | |
| 85 | URANIO 1/70 | 0 % | 350 | 25-year Lease Agreement US$250,000 per year (average for the 25 year term); plus 2% NSR all but gold; 4% NSR gold; 5% NSR non- metallic |
| 86 | ZAPA 1 1/10 | 80% SMEA SpA | 100 | |
| 87 | ZAPA 1/6 | 80% SMEA SpA | 6 | GSR 1% |
| 88 | ZAPA 3 1/23 | 80% SMEA SpA | 92 | |
| 89 | ZAPA 5A 1/16 | 80% SMEA SpA | 80 | |
| 90 | ZAPA 7 1/24 | 80% SMEA SpA | 120 | |
| 91 | SIERRA SOLIS 1 | 100% SMEA SpA | 200 | |
| 92 | SIERRA SOLIS 2 | 100% SMEA SpA | 300 | |
| 93 | SIERRA SOLIS 3 | 100% SMEA SpA | 300 | |
| 94 | SIERRA SOLIS 4 | 100% SMEA SpA | 200 | |
| 95 | SIERRA SOLIS 5 | 100% SMEA SpA | 300 | |
| 96 | SIERRA SOLIS 6 | 100% SMEA SpA | 300 | |
| 97 | SIERRA SOLIS 7 | 100% SMEA SpA | 300 | |
| 98 | SIERRA SOLIS 8 | 100% SMEA SpA | 300 | |
| 99 | ZAPALLO 1 | 100% SMEA SpA | 100 | |
| 100 | ZAPALLO 2 | 100% SMEA SpA | 200 | |
| 101 | ZAPALLO 3 | 100% SMEA SpA | 200 | |
| TOTAL | 17.214 |
Note. SMEA SpA is subsidiary company - 80% owned by Hot Chili Limited, 20% owned by CMP (Compañía Minera del Pacífico) Note. Frontera SpA is a 100% owned subsidiary company of Hot Chili Limited.
Domeyko Project Tenements
| Domeyko Project | |||||
|---|---|---|---|---|---|
| N° | License ID | HCH % Held | HCH % Earning | Area (ha) | Agreement Details |
| 1 | ANTONIO 1 1/56 | 100% Frontera SpA | 280 | ||
| 2 | ANTONIO 1/40 | 100% Frontera SpA | 200 | ||
| 3 | ANTONIO 10 1/21 | 100% Frontera SpA | 63 | ||
| 4 | ANTONIO 19 1/30 | 100% Frontera SpA | 128 | ||
| 5 | ANTONIO 21 1/20 | 100% Frontera SpA | 60 | ||
| 6 | ANTONIO 36 1/15 | 100% Frontera SpA | 74 | ||
| 7 | ANTONIO 5 1/40 | 100% Frontera SpA | 200 | ||
| 8 | ANTONIO 9 1/40 | 100% Frontera SpA | 193 | ||
| 9 | CAZURRO 1 | 100% Frontera SpA | 200 | ||
| 10 | CAZURRO 2 | 100% Frontera SpA | 200 | ||
| 11 | CAZURRO 3 | 100% Frontera SpA | 300 | ||
| 12 | CAZURRO 4 | 100% Frontera SpA | 300 | ||
| 13 | CAZURRO 5 | 100% Frontera SpA | 100 | ||
| 14 | CAZURRO 6 | 100% Frontera SpA | 200 | ||
| 15 | CAZURRO 7 | 100% Frontera SpA | 200 | ||
| 16 | CAZURRO 8 | 100% Frontera SpA | 200 | ||
| 17 | CERRO MOLY 1 | 100% Frontera SpA | 300 | ||
| 18 | CERRO MOLY 2 | 100% Frontera SpA | 300 | ||
| 19 | CERRO MOLY 3 | 100% Frontera SpA | 300 | ||
| 20 | CERRO MOLY 4 | 100% Frontera SpA | 300 | ||
| 21 | CAZURRO 3 1/60 | 100% Frontera SpA | 300 |
| 22 | CAZURRO 4 1/60 | 100% Frontera SpA | 300 | ||
| 23 | CAZURRO 7 1/40 | 100% Frontera SpA | 200 | ||
| 24 | EMILIO 1 1/8 | 100% Frontera SpA | 38 | ||
| 25 | EMILIO 3 1/9 | 100% Frontera SpA | 45 | ||
| 26 | INES 1/40 | 100% Frontera SpA | 200 | ||
| 27 | LORENA 1/2 | 100% Frontera SpA | 2 | ||
| 28 | MERCEDITA 1/7 | 100% Frontera SpA | 22 | ||
| 29 | PRIMO 1 1/6 | 100% Frontera SpA | 36 | ||
| 30 | SANTIAGUITO 5 1/24 | 100% Frontera SpA | 114 | ||
| 31 | DOMINOCEROS 1/20 (1/4) | 100% Frontera SpA | 20 | 100% HCH Dominoceros Purchase Option Agreement US$320,000 (already satisfied) US$680,000 (already satisfied) US$1,000,000 payable by October 25th 2026 US$6,890,000 payable by October 25th 2027 | |
| 32 | CF SUR 1 | 100% Frontera SpA | 300 | ||
| 33 | CF SUR 2 | 100% Frontera SpA | 300 | ||
| 34 | CF SUR 3 | 100% Frontera SpA | 300 | ||
| 35 | CF SUR 4 | 100% Frontera SpA | 300 | ||
| 36 | CF SUR 5 | 100% Frontera SpA | 200 | ||
| 37 | CF SUR 6 | 100% Frontera SpA | 300 | ||
| 38 | CF SUR 7 | 100% Frontera SpA | 300 | ||
| 39 | CF SUR 8 | 100% Frontera SpA | 300 | ||
| 40 | CF SUR 9 | 100% Frontera SpA | 200 | ||
| 41 | CF SUR 10 | 100% Frontera SpA | 200 | ||
| 42 | CF SUR 11 | 100% Frontera SpA | 300 | ||
| 43 | CF SUR 12 | 100% Frontera SpA | 300 | ||
| 44 | CF SUR 13 | 100% Frontera SpA | 300 | ||
| 45 | CF SUR 14 | 100% Frontera SpA | 300 | ||
| 46 | CF SUR 15 | 100% Frontera SpA | 200 | ||
| 47 | CF SUR 16 | 100% Frontera SpA | 300 | ||
| 48 | CF SUR 17 | 100% Frontera SpA | 300 | ||
| 49 | CF SUR 18 | 100% Frontera SpA | 300 | ||
| 50 | CF SUR 19 | 100% Frontera SpA | 300 | ||
| 51 | CF SUR 20 | 100% Frontera SpA | 300 | ||
| 52 | CF SUR 21 | 100% Frontera SpA | 300 | ||
| 53 | CF SUR 22 | 100% Frontera SpA | 300 | ||
| 54 | CF SUR 23 | 100% Frontera SpA | 200 | ||
| 55 | CF SUR 24 | 100% Frontera SpA | 200 | ||
| 56 | CF SUR 25 | 100% Frontera SpA | 300 | ||
| 57 | CF SUR 26 | 100% Frontera SpA | 300 | ||
| 58 | CF SUR 27 | 100% Frontera SpA | 300 | ||
| 59 | CF SUR 28 | 100% Frontera SpA | 200 | ||
| 60 | CF SUR 29 | 100% Frontera SpA | 300 | ||
| 61 | CF SUR 30 | 100% Frontera SpA | 200 | ||
| 62 | CF SUR 31 | 100% Frontera SpA | 300 | ||
| 63 | CF SUR 32 | 100% Frontera SpA | 300 | ||
| 64 | CF SUR 33 | 100% Frontera SpA | 300 | ||
| 65 | CF SUR 34 | 100% Frontera SpA | 300 | ||
| 66 | CF SUR 35 | 100% Frontera SpA | 300 | ||
| 67 | CF SUR 36 | 100% Frontera SpA | 200 | ||
| 68 | CF SUR 37 | 100% Frontera SpA | 200 | ||
| 69 | DOMEYKO I 1/12 | 100% Frontera SpA | 60 | ||
| 70 | DOMEYKO II 1/40 | 100% Frontera SpA | 200 | ||
| 71 | KRETA ¼ | 100% Frontera SpA | 16 | The mining concession is included in SanAntonio Purchase Option Agreement | |
| 72 | MARI 1 | 100% Frontera SpA | 300 | ||
| 73 | MARI 1/12 | 100% Frontera SpA | 64 | The mining concession is included in San Antonio Purchase Option Agreement | |
| 74 | MARI 6 | 100% Frontera SpA | 300 | ||
| 75 | MARI 8 | 100% Frontera SpA | 300 | ||
| 76 | PAJONALES | 100% Frontera SpA | 300 | ||
| TOTAL | 17.015 |
Note. Frontera SpA is a 100% owned subsidiary company of Hot Chili Limited.
El Fuego Project Tenements
| San Antonio Project | |||||
|---|---|---|---|---|---|
| N° | License ID | HCH % Held | HCH % Earning | Area (ha) | Agreement Details |
| 1 | MERCEDES 1/3 | 100% Frontera SpA | 50 | ||
| 2 | PORFIADA A 1/33 | 100% Frontera SpA | 160 | ||
| 3 | PORFIADA C 1/60 | 100% Frontera SpA | 300 | ||
| 4 | PORFIADA E 1/20 | 100% Frontera SpA | 100 | ||
| 5 | PORFIADA F 1/50 | 100% Frontera SpA | 240 | ||
| 6 | PORFIADA IX 1/60 | 100% Frontera SpA | 300 |
| 7 | PORFIADA VII 1/60 | 100% Frontera SpA | 270 | |
| 8 | PORFIADA VIII 1/60 | 100% Frontera SpA | 300 | |
| 9 | PRIMA 1 | 100% Frontera SpA | 1 | |
| 10 | PRIMA 2 | 100% Frontera SpA | 2 | 100% HCH San Antonio Purchase Option Agreement USD 1,400,000 already paid. US$1,000,000 payable February 8th 2026 US$2,000,000 payable by September 30th 2026 to exercise the El Fuego Option. (2 additional and conditional payments of USD 2,000,000, each one, to be paid by December 31, 2030 under certain conditions detailed at title "Tenement Changes During the Quarter" of this quarterly report.) |
| 11 | ROMERO 1/31 | 100% Frontera SpA | 31 | |
| 12 | SAN ANTONIO 1/5 | 100% Frontera SpA | 25 | |
| 13 | SAN JUAN SUR 1/5 | 100% Frontera SpA | 10 | |
| 14 | SAN JUAN SUR 6/23 | 100% Frontera SpA | 90 | |
| 15 | SANTIAGO Z 1/30 | 100% Frontera SpA | 300 | |
| 16 | SANTIAGO 1/4 Y 20 | 100% Frontera SpA | 75 | |
| 17 | SANTIAGO 15/19 | 100% Frontera SpA | 25 | |
| 18 | SANTIAGO 21/36 | 100% Frontera SpA | 76 | |
| 19 | SANTIAGO 37/43 | 100% Frontera SpA | 26 | |
| 20 | SANTIAGO A, 1/26 | 100% Frontera SpA | 244 | |
| 21 | SANTIAGO B, 1/20 | 100% Frontera SpA | 200 | |
| 22 | SANTIAGO C, 1/30 | 100% Frontera SpA | 300 | |
| 23 | SANTIAGO D, 1/30 | 100% Frontera SpA | 300 | |
| 24 | SANTIAGO E, 1/30 | 100% Frontera SpA | 300 | |
| TOTAL | 3.725 |
Note. Frontera SpA is a 100% owned subsidiary company of Hot Chili Limited.
| Cordillera Project | |||||
|---|---|---|---|---|---|
| N° | License ID | HCH % Held | HCH % Earning | Area (ha) Agreement Details | |
| 1 | ALBORADA III 1/35 | 100% Frontera SpA | 162 | 100% HCH Purchase Option Agreement USD 100,000 already paid US$100,000 payable by November 14th 2026 US$100,000 payable by November 14th 2027 US$3,700,000 payable by November 14th 2028 NSR 1% for underground mining and 1,5% for open-pit mining | |
| 2 | ALBORADA IV 1/20 | 100% Frontera SpA | 54 | ||
| 3 | ALBORADA VII 1/25 | 100% Frontera SpA | 95 | ||
| 4 | CAT IX 1/30 | 100% Frontera SpA | 150 | ||
| 5 | CATITA IX 1/20 | 100% Frontera SpA | 100 | ||
| 6 | CATITA XII 1/13 | 100% Frontera SpA | 61 | ||
| 7 | CORDILLERA 1/5 | 100% Frontera SpA | 20 | ||
| 8 | HERREROS 1/14 | 100% Frontera SpA | 28 | ||
| 9 | MINA HERREROS III 1/6 | 100% Frontera SpA | 18 | ||
| 10 | MINA HERREROS IV 1/10 | 100% Frontera SpA | 23 | ||
| 11 | PORSIACA 1/20 | 100% Frontera SpA | 20 | ||
| 12 | QUEBRADA 1/10 | 100% Frontera SpA | 28 | ||
| 13 | VETA 1/17 | 100% Frontera SpA | 17 | ||
| TOTAL | 776 |
Note. Frontera SpA is a 100% owned subsidiary company of Hot Chili Limited.
Qualifying Statements
The scientific and technical information relating to the Company's Costa Fuego project in this report has been derived from or is based on the Costa Fuego Copper project pre-feasibility study (the "Costa Fuego PFS" or 2025 PFS), which has been prepared in accordance with Canadian regulatory requirements set out in National Instrument 43-101 – Standards of Disclosure for Mineral Projects ("NI 43-101") and Joint Ore Reserves Committee of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia (the "JORC Code") and reviewed and approved by the "Qualified Persons" as defined under NI 43- 101 and "Competent Persons" as defined under the JORC Code, as set out below. The 2025 PFS was compiled by the Qualified Persons and Competent Persons listed below based on information available up to the effective date of the PFS. Additional details of responsibilities are provided at page 48 of presentation "Costa Fuego Preliminary Feasibility Study March 2025" released on March 27, 2025.
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.
PFS Technical Report
For readers to fully understand the information in this report, they should read the PFS Technical Report available on SEDAR+ (www.sedarplus.ca) and at www.hotchili.net.au in its entirety titled "Costa Fuego Project, Chile, Preliminary Feasibility Study NI 43-101 Technical Report" dated 9 May 2025 with an effective date of 27 March 2025, including all qualifications, assumptions, limitations and exclusions. The PFS Technical Report is intended to be read as a whole, and sections should not be read or relied upon out of context. The technical information in this report is subject to the assumptions and qualifications to be contained in the PFS Technical Report. The PFS Technical Report replaces and supersedes the technical report titled "Costa Fuego Copper Project – NI 43-101 Technical Report Mineral Resource Estimate Update" dated 8 April 2024, with an effective date of 26 February 2024 (the "2024 PEA").
Qualified Persons – NI 43-101
The PFS was compiled by Wood Australia Pty Ltd with contributions from a team of independent "Qualified Persons" within the meaning of NI 43 -101. The scientific and technical information contained in this report pertaining to Costa Fuego has been reviewed and verified by the following independent qualified persons within the meaning of NI 43-101:
Ms Elizabeth Haren (FAUSIMM (CP) & MAIG) of Haren Consulting – Mineral Resource Estimate Mr Dean David (FAUSIMM (CP)) of Wood Pty Ltd – Metallurgy Mr Piers Wendlandt (PE) of Wood Pty Ltd – Market Studies and Contracts, Economic Analysis Mr David Cuello (MAUSIMM) of GMT Servicios de Ingeniería – Geotechnical Mr Jeffrey Stevens (Pr. Eng, MSAIMM) of Wood Pty Ltd – Infrastructure and Capital Cost Mr Luis Bernal (Comisión Minera (PC) Registered Member) of Process Mineral Consulting – Leaching Mr Anton von Wielligh (FAUSIMM) of ABGM Consulting Pty Ltd – Mine Planning and Scheduling Mr Edmundo LaPorte (PE, PEng, CPEng, SME Registered Member) of High River Services - Environmental
The above independent Qualified Persons have verified the information disclosed herein, including the sampling, preparation, security, and analytical procedures underlying such information.
Competent Persons – JORC
The information in this report that relates to Mineral Resources, Exploration Results, and Ore Reserves for the Costa Fuego Project is based on information compiled by:
Ms Elizabeth Haren (FAUSIMM (CP) & MAIG) who is a full-time employee of Haren Consulting – Mineral Resource Estimate Mr Dean David (FAUSIMM (CP)) who is a full-time employee of Wood Pty Ltd – Metallurgy Mr Piers Wendlandt (PE) who is a full-time employee of Wood Pty Ltd – Market Studies and Contracts, Economic Analysis Mr David Cuello (MAUSIMM) who is a full-time employee of GMT Servicios de Ingeniería – Geotechnical Mr Jeffrey Stevens (Pr. Eng, MSAIMM) who is a full-time employee of Wood Pty Ltd – Infrastructure and Capital Cost Mr Luis Bernal (Comisión Minera (PC) Registered Member) who is a full-time employee of Process Mineral Consulting – Leaching Mr Anton von Wielligh (FAUSIMM) who is a full-time employee of ABGM Consulting Pty Ltd – Mine Planning and Scheduling Mr Edmundo LaPorte (PE, PEng, CPEng, SME Registered Member) who is a full-time employee of High River Services – Environmental Mr Christian Easterday (MAIG), who is the Managing Director and is a full-time employee of Hot Chili Limited – Exploration Results
Ms Haren, Mr David, Mr Wendlandt, Mr Cuello, Mr Stevens, Mr Bernal, Mr LaPorte, Mr Easterday, and Mr von Wielligh each have sufficient experience, which is relevant to the style of mineralisation and types of deposits under consideration and to the activities undertaken, to qualify as a Competent Person as defined in the JORC Code and as Qualified Persons under NI43-101.
Disclaimer
This report has been prepared by management of Hot Chili Limited ("Hot Chili" or the "Company") and does not represent