Hot Chili Limited (ASX: HCH | TSXV: HCH | OTCQX: HHLKF) has entered into option agreements to acquire 100% interest in two historical copper mine areas; Marsellesa and Cordillera, located near Hot Chili’s Costa Fuego Copper-Gold Project in the coastal range of the Atacama Region, Chile.
Marsellesa and Cordillera are located approximately 10km southwest of Costa Fuego’s planned central processing hub. Both mine areas have been privately held and historically exploited for shallow copper oxide and copper sulphide material but have never previously been drill tested.
The Marsellesa mine area is laterally extensive, measuring 400m in length and 200m in width, with mine workings exposing multiple zones of shallowly-dipping, strata-bound, copper mineralization.
Lying approximately 1km west of Marsellesa, the smaller Cordillera mine workings expose outcropping porphyry copper mineralization with well-developed stockwork and sheeted A and B style porphyry veining.
First-pass reverse circulation (RC) drilling is planned to commence at both locations in the coming week, following completion of drilling at the company’s Corroteo exploration target, located 5km southeast of Cortadera.
These latest project additions, including the Cometa project, provide a pipeline of opportunities and additional optionality for the discovery of new mineral resources for the company’s Costa Fuego copper hub. Hot Chili continues to pursue further regional consolidation as it advances its growth strategy.
Hot Chili is focused on up-scaling Costa Fuego’s resource base and potential study scale towards a 150,000tpa copper production profile, to further enhance project returns ahead of the delivery of the Costa Fuego pre-feasibility study (PFS).
The company’s recently published preliminary economic assessment (PEA) effective 28 June 2023 establishes Costa Fuego as a low-risk, long life copper project benefiting from a low start-up capital and a high annual copper equivalent metal production profile of over 100Kt for a 16-year mine life, including 95Kt Cu and 49Koz Au during primary production US$1.33/lbs.
For further information, please visit: www.hotchili.net.au
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