Hot Chili Limited (ASX: HCH; TSXV: HCH; OTCQX: HHLKF) reported new drill results on August 24, 2026 from its La Verde copper-gold porphyry discovery in Chile’s coastal Atacama region, continuing a drilling campaign the company has been building on for more than two years. La Verde sits about 30 kilometers south of Hot Chili’s larger Costa Fuego project, and the company is working to fold La Verde into Costa Fuego’s overall development plan.
What the Latest Drilling Found
The standout result came from hole DKD060, which intersected 472 meters grading 0.41% copper equivalent (0.34% copper, 0.08 g/t gold) starting from just 49 meters below surface, including a higher-grade 105.8-meter section at 0.70% copper equivalent, itself containing an even richer 32.6-meter interval at 0.90% copper equivalent. Notably, that hole isn’t even fully assayed yet, results are still pending for its final 142.7 meters. A separate hole, DKP058, extended a previously reported high-grade zone by another 74 meters, bringing the total intersection there to 182 meters at 0.50% copper equivalent. Hole DKP052 returned 272 meters at 0.40% copper equivalent, including a 28-meter section grading 0.60%. Copper equivalent (CuEq) combines copper, gold, silver, and molybdenum content into a single number; Hot Chili calculates it using fixed assumed prices ($4.50 per pound copper, $3,150 per ounce gold, $20 per pound molybdenum, $30 per ounce silver) and metallurgical recovery rates borrowed from a nearby deposit, Cortadera, as a stand-in since La Verde-specific recovery testing is still limited. These are stated assumptions, not confirmed recoveries or current market prices, worth keeping in mind when comparing the figures to other companies’ results.
A Pause for a Historic Storm
The release also details a real operational disruption: a rainfall event in July that Hot Chili describes as a once-in-fifty-year occurrence prompted the Chilean government to declare a state of emergency in the region. The storm temporarily halted activities at La Verde while the company repaired access roads and re-established safe working conditions, and Hot Chili said it worked alongside local communities on broader recovery efforts during the same period. Despite the disruption, the company has since added a fourth drill rig, bringing operations up to six shifts a day across two diamond and two reverse-circulation rigs, with assays still pending on 18 additional holes.
What’s Still Conceptual
Some of the maps accompanying this release show conceptual open pit outlines built around two different copper price scenarios. It’s important to be clear about what these represent: under Australia’s JORC Code, the company classifies these as Exploration Targets, not a Mineral Resource, and states explicitly that there has been insufficient exploration to estimate a resource in that area, with no certainty that further drilling will ever produce one. That’s a meaningfully lower confidence level than a resource estimate, and readers should treat the pit outlines as illustrative of potential scale rather than as a defined mining plan.
What’s Next
Hot Chili is targeting a maiden Mineral Resource Estimate for La Verde later in 2026, to be followed by a revised Pre-Feasibility Study covering the combined Costa Fuego project and a formal Environmental Impact Assessment submission targeted for the second quarter of 2027. The company describes Costa Fuego, once La Verde is incorporated, as ranking among the five largest copper development projects globally not controlled by a major mining company, a characterization the company attributes to its own August 2026 investor presentation rather than an independent ranking.
Sources
Hot Chili Limited: Hot Chili Delivers More Copper-Gold at La Verde, PRNewswire, August 24, 2026
Editorial Disclosure
This article is based on a press release issued by Hot Chili Limited on August 24, 2026, distributed via PRNewswire. Securities discussed: Hot Chili Limited (ASX: HCH; TSXV: HCH; OTCQX: HHLKF). Mining Markets Report has not received compensation from Hot Chili, its management, investor relations representatives, or any third party for this coverage. No staff member or principal of Mining Markets Report holds a position in this security at the time of publication. Drill intercept grades reported here are individual exploration results. Copper-equivalent (CuEq) figures are calculated using the company’s stated fixed metal price assumptions and metallurgical recoveries borrowed from a nearby deposit as a proxy, which may differ from current market prices and from recoveries ultimately achievable at La Verde. The conceptual open pit shells referenced in this article are classified by the company as Exploration Targets under the JORC Code, not a Mineral Resource; the company states there has been insufficient exploration to estimate a Mineral Resource in that area and there is no certainty further exploration will result in one. Statements regarding the timing of a maiden Mineral Resource Estimate, a revised Pre-Feasibility Study, and an Environmental Impact Assessment submission are forward-looking and involve known and unknown risks, including risks related to the Company’s operations in Chile; actual results and timelines may differ materially. References to this company are for market context and analytical purposes only and do not constitute an investment recommendation. All securities carry investment risk including possible loss of capital. Coverage on Mining Markets Report is for informational and educational purposes only; Mining Markets Report is not a registered investment advisor. Readers should conduct their own due diligence and consult a qualified financial advisor before making investment decisions.
See our full DISCLAIMER.
