Highlights

• First diamond drill result of the Company’s phase 2 drilling programme records another outstanding copper-gold porphyry drill intersection from the main porphyry of the Cortadera coastal range discovery in Chile

• The result delivers the second-best drill intersection recorded to date at Cortadera and extends high grade mineralisation approximately 100m to the east from results recorded in the previous record hole CRP0013D

New Significant Drill Result
- CRP0011D 848m grading 0.4% copper & 0.2g/t gold
from 112m down-hole depth to end of hole at 960m

including a Higher Grade Zone comprising

184m grading 0.7% copper & 0.3g/t gold
from 720m down-hole depth (including significant silver and molybdenum credits)

• A second diamond hole (CRP0017D) designed to test a potential 300m extension to high grade copper-gold mineralisation at Cortadera’s main porphyry has unexpectedly intersected a wide 440m zone of strong mineralisation between 340m and 780m down-hole • Results from CRP0017D have the potential to add significantly to the scale of the new high grade zone being discovered at the main porphyry

• CRP0017D is now being extended to 1,300m from its current depth of 1,000m

• Assay results from CRP0017D are expected to be released over the coming weeks

Hot Chili Limited (ASX code HCH) (“Hot Chili” or “Company”) is pleased to confirm that results from its phase 2 diamond drill programme have successfully extended the recent discovery of a new, large, high grade zone further across the extent of the main porphyry of the Cortadera copper-gold porphyry discovery in Chile.

Drilling is continuing to deliver record copper-gold intersections as the Company expands its ambitions for Cortadera’s growth and the emergence of a higher grade core to the deposit.

First Drill Results from Phase 2 Programme at Cortadera

Hot Chili have received all assay results for the first diamond drill hole of the Company’s phase 2 drill programme (CRP0011D) at the Cortadera copper-gold discovery, located 14km from the Company’s Productora coastal range copper development in Chile.

Results received in CRP0011D have delivered another record result for the Company, delivering an 848m drilling intersection grading 0.4% copper and 0.2g/t gold from 112m downhole depth.

Importantly, the CRP0011D intersection contains a high grade zone comprising 184m grading 0.7% copper and 0.3g/t gold which has been recorded approximately 100m to the east of the new, high grade, bulk tonnage zone discovered in diamond hole CRP0013D (188m grading 0.9% copper and 0.4g/t gold from 516m down-hole depth).

The result in CRP0011D confirms that high grade copper and gold located at approximately 350m vertical depth now extends laterally over 100m across the northern flank of the main porphyry (Cuerpo 3) at Cortadera as displayed in Figures 1 and 2. The main porphyry has been tested to a depth of 1,200m vertically and is currently over 600m in strike length with an average width of approximately 250m, but remains open primarily towards the north, south and at depth.

Current Drill-hole CRP0017D Being Extended to 1,300m Depth

Hot Chili is currently drilling CRP0017D approximately 300m south of CRP0013D to test for an even greater extension to high grade mineralisation, where previous historical drilling had recorded a high grade result of 198m grading 0.6% copper and 0.2g/t gold from 652m donwhole depth (FJOD-32).

Importantly, the historical significant drilling intersection in FJOD-32 which is also located along the northern flank of the main porphyry, included an 80m high grade zone grading 0.8% copper and 0.3g/t gold. The current drill hole CRP0017D is designed to test below the high grade zone in FJOD-32 and is currently being extended to a depth of 1,300m from its current depth of 1,020m.

CRP0017D unexpectedly recorded a wide zone of strongly mineralised porphyry between 340m and 780m depth (440m zone) at the beginning of the diamond hole. Visual chalcopyrite as disseminations and in association with strong vein abundance has been recognised across the entire 440m zone. Chalcopyrite was the only copper sulphide mineral observed. Chalcopyrite has been estimated to range between 0.5% and 2.5% in abundance.

Also significant, is that the strongly mineralised zone in CRP0017D is located at a shallower depth along the southern flank of the main porphyry and so represents a potentially large extension to the high grade zone should successful results be returned. Hot Chili’s current copper grade modelling does not extend higher grades to this area of the main porphyry, as displayed on figures 2 and 3.

CRP0017D has subsequently drilled through poorly mineralised porphyry and late stage dykes between 780m and 985. Core cutting and sample dispatch is being prioritised and assays are expected to be returned from the upper zone of CRP0017D over the coming weeks.

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

About Cortadera

Cortadera is a privately-owned, major copper-gold porphyry discovery located along the Chilean coastal range, where historical world-class discovery drill results have only recently been publicly released by Hot Chili in February 2019.

Importantly, Cortadera lies 14km from the Company’s large-scale Productora copper development and adjacent to the high grade El Fuego satellite copper projects, as displayed in Figure 1 below.

On 22nd February 2019, Hot Chili announced to the Australian Securities Exchange (ASX) the execution of a formal Option Agreement to acquire a 100% interest in Cortadera.

In early April, the Company commenced a confirmation drilling programme comprising 17 holes for approximately 5,000m of RC and 1,500m of DD drilling. The drilling has confirmed and extend areas of surface enrichment and wide, higher-grade, copper-gold sulphide mineralisation, which had not previously been closed off by 23,000m of historical diamond drilling. A highlight of Hot Chili’s recent drill programme was returned from Diamond (DD) drilling directed at Cuerpo 3 (the largest of the four porphyries discovered to date) where previous DD drilling had recorded wide copper sulphide intersections which remained open (up-dip, downdip and laterally), including:

864m grading 0.4% copper and 0.1g/t gold from 62m down-hole depth
(including 348m grading 0.6% copper and 0.2g/t gold)
406m grading 0.4%copper and 0.2g/t gold from 276m down-hole depth
(including 146m grading 0.6% copper and 0.2g/t gold)
198m grading 0.6% copper and 0.2g/t gold from 652m down-hole depth

The two diamond holes completed by Hot Chili both recorded significant drilling intersections, including a stunning drill result of 750m grading 0.6% copper and 0.2g/t gold from 204m depth, including 188m grading 0.9% copper and 0.4g/t gold (As reported to ASX 4th July 2019) rating as one of the worlds’ stand-out copper-gold porphyry drill results ever recorded globally. Combining Productora and Cortadera to leverage central processing and infrastructure, looks likely to underpin a globally significant new copper development along the coastline of Chile. The Company’s copper hub approach, which involves the consolidation of a large-scale, longlife, open pit development, has been significantly enhanced by recent confirmation of a higher grade bulk tonnage underground development opportunity at Cortadera. Hot Chili’s phase 2 drilling programme at Cortadera is focused on defining and expanding the extent of this new high grade zone.

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