Hot Chili’s exploration success continues with more high-grade copper-gold intercepts across the northern flank of its Cortadera deposit in Chile. The new intercepts have effectively increased the width of the main porphyry, Cuerpo 3, by approximately 100 metres, demonstrating a strong continuity of high-grade mineralisation.
Drilling across the northern flank of the deposit’s Cuerpo 3 target unearthed a massive 362m at 0.6 per cent copper-gold equivalent, which translates to 0.5 per cent copper and 0.2 grams per tonne gold.
Within the 362m hit was a substantial 82m higher grade zone with 0.7 per cent copper and 0.3 g/t gold which reports as 1 per cent copper equivalent.
The company has also received final assays from a previously reported hole which have “significantly upgraded the initial result”. Best numbers include 486m grading 0.6 per cent copper equivalent, which translates to 0.5 per cent copper and 0.2 g/t gold, including 168m grading 1 per cent copper equivalent or 0.8 per cent copper and 0.3 g/t gold.
Hot Chili expects even further expansion of the north flank to be confirmed with assay results pending from another step-out diamond hole which returned a wide visual intersection of mineralised porphyry between 480m and 830m depth down-hole.
Hot Chili Managing Director Christian Easterday said, "The North Flank of the high-grade core to the main porphyry is a significant resource addition with wide results of +1% Cu Eq now recorded in multiple drill holes."
Hot Chili has three drill rigs operating at Cortadera with a fourth rig currently being sourced to accelerate the program further. A whopping 6,302m of assay results are pending from 27 holes and the company is expecting a flood of results back by the end of October.
The company also reported successful reverse circulation drill testing of additional open flanks at the Cuerpo 2 target, with assay results pending for five drill holes which visually had wide intersections of strong porphyry mineralisation from surface. Further drilling is being undertaken to assess the potential of Cuerpo 2.
The company is aiming to upgrade the 451 million tonne resource for the Cortadera deposit, which is part of the wider 724Mt Costa Fuego project. Work at Cortadera will also feed into preliminary feasibility work for the Costa Fuego project.
Underpinning the accelerated program is a recent $40 million capital raise which saw mining heavyweight Glencore take a strategic position in Hot Chili - and a seat on the board.
The company is also planning to list on the TSXV exchange in the December quarter.
Mr Easterday said, "Following our recent $40 million capital raising and Glencore’s strategic investment, we are now well-positioned to accelerate and broaden our growth plans for Costa Fuego’s existing 724 million tonne resource base."
In the coming months Hot Chili says it expects to deliver several announcements across all activity fronts including exploration, resource drilling, development studies and corporate.
The company’s progress with the Cortadera acquisition and development has been astonishingly rapid with the deal struck less than three years ago and world class drill results delivered within six months and a maiden resource announced just over a year later. The Perth-based explorer now owns of one the largest copper deposits in the world, which just seems to keep on giving as it edges closer and closer to official Tier-1 mineable status.
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By Matt Birney
