Rapid Growth of High Grade Core Continues at La Verde

Core Insights - Hot Chili Limited has reported significant assay results from its La Verde copper-gold discovery, highlighting the strategic importance of this project against a backdrop of record copper and gold prices [2][4][12] Drilling Results - The latest diamond drillhole DKD033 recorded 495 meters grading 0.38% copper and 0.10 g/t gold from a depth of 3 meters, including 123 meters grading 0.50% copper and 0.13 g/t gold from 289 meters depth [6][7] - Drillhole DKD034 returned 426 meters grading 0.37% copper and 0.08 g/t gold from 194 meters depth, with notable intersections including 220 meters grading 0.43% copper and 0.10 g/t gold from 322 meters depth [9][6] - The results indicate a significant expansion of La Verde's high-grade core, with further assays pending for six additional drillholes [5][11] Project Significance - Costa Fuego is identified as one of the few independent, large-scale, near-term copper projects globally, with a notable leverage to copper prices; for every US$0.10/lb increase in copper price above US$4.30/lb, the project's NPV increases by approximately US$100 million [3][12] - The addition of La Verde is expected to enhance the financial metrics of Hot Chili's March 2025 Pre-feasibility Study, with long-term consensus prices for copper and gold significantly higher than previous assumptions [12][3] Future Plans - Diamond drilling activities have resumed as of January 12, 2026, with plans to target further expansions of La Verde's high-grade core and additional lateral extensions [13][19] - The company anticipates providing further results as assays are received, indicating ongoing exploration efforts [13][11]