PERTH, Australia, April 30, 2026 /CNW/ -
Highlights
$40 Million Funding to Accelerate Growth & Development of Costa Fuego
-- A$40 million private placement during the quarter received strong demand
from Australian, Canadian and overseas institutional investors, as well
as the Company's three largest shareholders (Glencore, Blue Spec and GS
Group).
-- The Company is now set to deliver strong growth and development
milestones for its Costa Fuego copper-gold (Cu-Au) project (Costa Fuego)
located in coastal Chile, including:
-- Delivery of a maiden Mineral Resource at La Verde;
-- Integration of La Verde into an expanded mine plan;
-- Completion and submission of an Environmental Impact Assessment
$(EIA)$; and
-- Continuation of Feasibility studies.
Global Engineering Firm Ausenco Appointed for Feasibility Study
Major High-Grade Extensions Continue at La Verde
-- Drilling at the Company's La Verde copper-gold (Cu-Au) porphyry discovery
in Chile accelerated during the quarter, with a second drill rig
commencing in February
-- Widest drill result to date at La Verde, confirms a major extension to
the deposits' rapidly growing high-grade core:DKD0039 recorded 725 m
grading 0.42% CuEq (0.36% Cu, 0.07 g/t Au) from 18 m depth down-hole,
including:
-- 22 m grading 0.71% CuEq (0.67% Cu, 0.03 g/t Au) from 42 m depth
-- 46 m grading 0.65% CuEq (0.54% Cu, 0.12 g/t Au) from 249 m depth
-- 51 m grading 0.62% CuEq (0.51% Cu, 0.10 g/t Au) from 433 m depth
-- 62 m grading 1.03% CuEq (0.90% Cu, 0.18 g/t Au) from 671 m depth
-- Assays pending for thirteen drill holes (seven diamond and six Reverse
Circulation (RC)).
Higher-Grade Starter Pit Emerging
-- Assay results underpin an emerging, shallow zone of higher-grade Cu-Au
mineralisation, outlining a potential higher-grade starter pit for Costa
Fuego
-- Thirteen significant drill intersections now delineate +0.6% CuEq zone
from surface to 250 m depth, demonstrating strong continuity of
higher-grade material.
-- Additional significant intersections recorded from surface this quarter,
included: DKD036 recorded 150 m grading 0.52% CuEq2 (0.37% Cu, 0.21 g/t
Au) from 30 m depth
-- Including 38 m grading 0.70% CuEq (0.55% Cu, 0.21 g/t Au) from 117
m
DKD035 recorded 220 m grading 0.47% CuEq (0.37% Cu, 0.14 g/t Au) from 38 m depth
-- Including 68 m grading 0.64% CuEq (0.52% Cu, 0.15 g/t Au) from 187
m
Strong Cash Position of A$35.2M
SUMMARY OF OPERATIONAL ACTIVITIES
Major High-Grade Extensions Continue at La Verde
Phase two diamond drilling continued during the quarter at the Company's La Verde copper-gold (Cu-Au) porphyry discovery in Chile (La Verde). Drilling focused on continuing to expand the mineralised discovery footprint
Results were stronger than anticipated, with the depth extent doubling to 800 m from surface - significantly expanding the high-grade core laterally and up to surface.
A standout significant intersection of 725 m grading 0.42% CuEq(1) from 18 m depth has been recorded in diamond drill hole DKD039, which was collared on the western extent of La Verde's discovery footprint (Figure 1), and intersected multiple wide zones of +0.6% CuEq(1) mineralisation from near surface (Figure 2 and 3).
As the most significant result to date at La Verde, importantly, DKD039 achieved two key objectives:
-- Further extended near-surface higher-grade mineralisation by
approximately 60 m to the west - recording 22 m grading 0.71% CuEq1 from
42 m depth within a wider intersection of 48 m grading 0.55% CuEq (0.50%
Cu, 0.03 g/t Au) from 18 m depth, located immediately beneath shallow
gravel cover, and
-- Confirmed a significant 200 m down-dip extension of La Verde's high-grade
core - recording 61 m grading 1.03% CuEq1 (0.90% Cu, 0.18 g/t Au, 1.81g/t
Ag) from 671 m in association with high Cu/Au, A+B vein abundances >5%
and massive and disseminated chalcopyrite (Figure 2).
Continued expansion and integration of La Verde's high-grade core into Costa Fuego's resource base and mining inventory is a priority this year.
Higher-Grade Cu-Au Starter Pit Emerging
Diamond drilling at La Verde has continued to test the shallow up-dip potential of La Verde's high-grade core, with significant intersections returned from drill holes DKD035, DKD036, DKD037 and DKD038.
A 450 m x 400 m higher-grade, near-surface copper-gold zone has been defined by thirteen significant intersection +0.6% CuEq at La Verde (Figure 4), including most recently:
-- DKD036 recorded 150 m grading 0.52% CuEq (0.37% Cu, 0.21 g/t Au) from 30
m depth
-- Including 38 m grading 0.70% CuEq (0.55% Cu, 0.21 g/t Au) from 117
m, and
-- DKD035 recorded 220 m grading 0.47% CuEq (0.37% Cu, 0.14 g/t Au) from 38
m depth
-- Including 68 m grading 0.64% CuEq (0.52% Cu, 0.15 g/t Au) from 187
m
Similar to previous near-surface drill intersections, these latest significant results commence immediately beneath shallow gravel cover, indicating the potential for simple, cost-effective overburden removal in a future open pit development.
These results have the potential to contribute to a higher-grade starter pit for the Costa Fuego mine schedule, significantly reducing payback and positively impacting key financial metrics of Hot Chili's March 2025 Pre-Feasibility Study.
Confirming Bulk Tonnage Continuity
Further assay results reported during the quarter continue to confirm continuity of bulk tonnage mineralisation at La Verde, including:
-- DKD037 recorded 184 m grading 0.42% CuEq1 (0.32% Cu, 0.12 g/t Au) from
105 m depth
-- including 22 m grading 0.60% CuEq (0.48% Cu, 0.15 g/t Au) from 203
m
-- DKD038 recorded 221 m grading 0.37% CuEq1 (0.29% Cu, 0.11 g/t Au) from 48
m depth
-- including 45 m grading 0.51% CuEq (0.37% Cu, 0.19 g/t Au) from 53
m
Drill hole DKD037 was designed to target a gap between two higher-grade zones, with assay results now confirming expansion and continuity of mineralisation across this zone (Figure 2). The significant intersection from DKD038 also commences immediately beneath shallow gravel cover (Figure 3).
La Verde Footprint Expands Further
During the quarter the diamond drill rig also completed four diamond drill tails, extending the mineralisation footprint reached by the RC drilling in Phase 1, which ended in mineralisation.
Assay results from diamond drill tail DKP009D extended La Verde's Cu-Au mineralisation footprint along the eastern flank of the discovery in the north (Figures 1 and 3). The drill hole was a 200 m diamond tail to earlier RC drill hole DKP009 and reported 68 m grading 0.42% CuEq (0.33% Cu, 0.11 g/t Au) from 354 m depth, extending mineralisation downhole of DKP009.
Similarly, diamond drill tail DKP012D extended the mineralisation footprint along the northern flank of the discovery. The drill hole was a 284 m diamond tail to earlier RC drill hole DKP012 and reported 132 m grading 0.36% CuEq (0.26% Cu, 0.05 g/t Au) from 306 m depth extending mineralisation downhole of DKP012. Several higher-grade zones were intercepted in the tail, confirming the system is still open and mineralised to the north and will be followed up with additional drilling along the interpreted NNE-trending structural corridor (Figure 2 and 4).
DKP006D and DKP021D extended the mineralisation along the eastern flank of the discovery in the south, with DKD021D recording an additional 54 m grading 0.42% CuEq (0.34% Cu, 0.11 g/t Au) from 593 m depth, including 19 m grading 0.66% CuEq (0.51% Cu, 0.21 g/t Au) from 593 m depth.
Including the new diamond tail extensions:
-- DKP009D now records 388 m grading 0.41% CuEq (0.32% Cu, 0.12 g/t Au) from
34 m
-- DKP012D now records 394 m grading 0.46% CuEq (0.35% Cu, 0.11g/t Au) from
44 m
-- DKP021D now records 194 m grading 0.32% CuEq (0.26% Cu, 0.06 g/t Au) from
284 m
-- DKP006D now records 110 m grading 0.39% CuEq (0.27% Cu, 0.15 g/t Au) from
76 m
Diamond drilling has been instrumental in development of an early "4D litho-structural model" by the Company, with the interpretation of multiple intrusive phases optimising drill target design. Hot Chili geologists are applying the same targeting strategies that proved successful at the Company's nearby Cortadera Cu-Au porphyry Resource and anticipate these methods will continue to drive growth at La Verde.
(1) Copper Equivalent (CuEq) reported for the drill hole intersections were calculated using the following formula: CuEq% = ((Cu% × Cu price 1% per tonne × Cu_recovery) + (Mo ppm × Mo price per g/t × Mo_recovery) + (Au ppm × Au price per g/t × Au_recovery) + (Ag ppm × Ag price per g/t × Ag_recovery)) / (Cu price 1% per tonne × Cu_recovery). The Metal Prices applied in the calculation were: Cu=4.50 USD/lb, Au=3,150 USD/oz, Mo=20 USD/lb, and Ag=30 USD/oz. The entirety of the intersection is assumed as fresh. The recovery and copper equivalent formula for La Verde uses Cortadera as a proxy, which is considered reasonable given both the similar mineralisation style and amenability testwork completed thus far at La Verde -- Recoveries of 83% Cu, 56% Au, 83% Mo and 37% Ag. CuEq (%) = Cu(%) + 0.69 x Au(g/t) + 0.00044 x Mo(ppm) + 0.0043 x Ag(g/t).
Development Studies Progressing
Global engineering firm Ausenco -- with offices in Chile and Australia -- has been appointed as the lead engineering group to progress the Feasibility Study for the Costa Fuego project. The appointment follows a review of major engineering groups in Chile, with Ausenco's impressive execution of engineering, procurement, construction and ramp-up of the nearby, similar-scale, coastal project Mantoverde, a key factor in the decision.
(1) See Page 23 of this announcement for detail on the US$3.50 Cu and US$6.00 Cu conceptual open pit shells (Exploration Targets). Any potential tonnage and grade of the Exploration Target shown is conceptual in nature. There has been insufficient exploration to estimate a Mineral Resource within the target area, and it is uncertain if further exploration will result in the estimation of a Mineral Resource. (2) Copper Equivalent (CuEq) reported for the drill hole intersections were calculated using the following formula: CuEq% = ((Cu% × Cu price 1% per tonne × Cu_recovery) + (Mo ppm × Mo price per g/t × Mo_recovery) + (Au ppm × Au price per g/t × Au_recovery) + (Ag ppm × Ag price per g/t × Ag_recovery)) / (Cu price 1% per tonne × Cu_recovery). The Metal Prices applied in the calculation were: Cu=4.50 USD/lb, Au=3,150 USD/oz, Mo=20 USD/lb, and Ag=30 USD/oz. The entirety of the intersection is assumed as fresh. The recovery and copper equivalent formula for La Verde uses Cortadera as a proxy, which is considered reasonable given both the similar mineralisation style and amenability testwork completed thus far at La Verde -- Recoveries of 83% Cu, 56% Au, 83% Mo and 37% Ag. CuEq (%) = Cu(%) + 0.69 x Au(g/t) + 0.00044 x Mo(ppm) + 0.0043 x Ag(g/t). Figure 2. Cross section slice along DKD039 (+/- 75m clipping) showing +0.2% copper (yellow), +0.3% copper (red), +0.4% copper (magenta) mineralisation interpolants and returned assay results for DKD039, DKP012D, DKD037, DKP009D(1) . Returned Cu grades shown on hole traces. (1) Copper Equivalent (CuEq) reported for the drill hole intersections were calculated using the following formula: CuEq% = ((Cu% × Cu price 1% per tonne × Cu_recovery) + (Mo ppm × Mo price per g/t × Mo_recovery) + (Au ppm × Au price per g/t × Au_recovery) + (Ag ppm × Ag price per g/t × Ag_recovery)) / (Cu price 1% per tonne × Cu_recovery). The Metal Prices applied in the calculation were: Cu=4.50 USD/lb, Au=3,150 USD/oz, Mo=20 USD/lb, and Ag=30 USD/oz. The entirety of the intersection is assumed as fresh. The recovery and copper equivalent formula for La Verde uses Cortadera as a proxy, which is considered reasonable given both the similar mineralisation style and amenability testwork completed thus far at La Verde -- Recoveries of 83% Cu, 56% Au, 83% Mo and 37% Ag. CuEq (%) = Cu(%) + 0.69 x Au(g/t) + 0.00044 x Mo(ppm) + 0.0043 x Ag(g/t). (1) Copper Equivalent (CuEq) reported for the drill hole intersections were calculated using the following formula: CuEq% = ((Cu% × Cu price 1% per tonne × Cu_recovery) + (Mo ppm × Mo price per g/t × Mo_recovery) + (Au ppm × Au price per g/t × Au_recovery) + (Ag ppm × Ag price per g/t × Ag_recovery)) / (Cu price 1% per tonne × Cu_recovery). The Metal Prices applied in the calculation were: Cu=4.50 USD/lb, Au=3,150 USD/oz, Mo=20 USD/lb, and Ag=30 USD/oz. The entirety of the intersection is assumed as fresh. The recovery and copper equivalent formula for La Verde uses Cortadera as a proxy, which is considered reasonable given both the similar mineralisation style and amenability testwork completed thus far at La Verde -- Recoveries of 83% Cu, 56% Au, 83% Mo and 37% Ag. CuEq (%) = Cu(%) + 0.69 x Au(g/t) + 0.00044 x Mo(ppm) + 0.0043 x Ag(g/t). (1) Copper Equivalent (CuEq) reported for the drill hole intersections were calculated using the following formula: CuEq% = ((Cu% × Cu price 1% per tonne × Cu_recovery) + (Mo ppm × Mo price per g/t × Mo_recovery) + (Au ppm × Au price per g/t × Au_recovery) + (Ag ppm × Ag price per g/t × Ag_recovery)) / (Cu price 1% per tonne × Cu_recovery). The Metal Prices applied in the calculation were: Cu=4.50 USD/lb, Au=3,150 USD/oz, Mo=20 USD/lb, and Ag=30 USD/oz. The entirety of the intersection is assumed as fresh. The recovery and copper equivalent formula for La Verde uses Cortadera as a proxy, which is considered reasonable given both the similar mineralisation style and amenability testwork completed thus far at La Verde -- Recoveries of 83% Cu, 56% Au, 83% Mo and 37% Ag. CuEq (%) = Cu(%) + 0.69 x Au(g/t) + 0.00044 x Mo(ppm) + 0.0043 x Ag(g/t).
Table 1. Drill Holes Completed for La Verde in Quarter 1 2026
Prospect Hole ID North East RL Depth Azi. Dip Results
Significant
result
returned Q4
La Verde DKP009D 6,786,075 324,552 1,152 555.3 131 -60 2025
Significant
result
returned Q4
DKP012D 6,785,977 324,839 1,192 590.7 300 -60 2025
Significant
result
returned Q4
DKD039 6,785,723 324,420 1,150 840 54 -60 2025
Results
DKD040 6,785,901 324,629 1,139 381 60 -59 Pending
Results
DKP041 6,785,786 324,561 1,124 390 54 -70 Pending
Results
DKD042 6,785,902 324,635 1,140 258.1 299 -70 Pending
Results
DKP043 6,785,848 324,593 1,130 342 104 -56 Pending
Results
DKD044 6,785,738 324,508 1,131 711.4 71 -65 Pending
Results
DKP045D 6,785,944 324,410 1,109 306 61 -60 Pending
Results
DKP046 6,786,015 324,591 1,153 184 230 -59 Pending
Results
DKP047 6,785,882 324,380 1,090 60 70 -65 Pending
Results
DKP048D 6,785,847 324,740 1,151 300 80 -62 Pending
Results
DKD049 6,785,852 324,600 1,126 779.9 80 -62 Pending
Results
DKP050 6,785,739 324,625 1,127 354 75 -60 Pending
Table 2. Significant Drilling Intersections from La Verde in Quarter 1 2026
Hole ID Coordinates Azi. Dip Hole Intersection Interval Copper Gold Silver Molyb.
Depth
North East RL From To (m) (% Cu) (g/t Au) (ppm Ag) (ppm Mo)
DKD033 6,785,775 324,785 1,132 274 -60 543 3 498 495 0.38 0.10 0.7 27
Incl 202 239 37 0.51 0.13 1.2 43
Incl 289 412 123 0.50 0.13 0.7 39
&
Incl 521 543 22 0.18 0.04 0.3 75
DKD034 6,785,839 324,433 1,096 99 -59 714 194 620 426 0.37 0.08 0.7 32
Incl 426 533 107 0.46 0.10 1.0 23
Incl 566 618 52 0.50 0.08 1.0 50
&
Incl 679 714 35 0.27 0.06 0.7 183
DKD035 6,786,027 324,596 1,153 80 -60 278.5 38 258 220 0.47 0.37 0.14 0.65
Incl 121 153 32 0.56 0.41 0.20 0.68
&
Incl 187 255 68 0.64 0.52 0.15 0.88
Or
Incl 187 207 20 0.76 0.61 0.21 1.05
DKD036 6,786,029 324,597 1,153 130 -54 371.9 30 180 150 0.52 0.37 0.21 0.86
Incl 117 155 38 0.70 0.55 0.21 1.31
238 371 133 0.42 0.33 0.12 0.46
Incl 254 289 35 0.63 0.49 0.19 0.69
DKP006D 6,785,721 324,727 1130 110 -60 384.2 76 186 110 0.39 0.27 0.15 0.84
Incl 124 172 48 0.54 0.38 0.22 1.09
Or
Incl 124 144 20 0.74 0.49 0.35 1.36
&
Incl 227 233 6 0.59 0.42 0.25 0.38
254 272 18 0.49 0.40 0.13 0.41
DKP021D 6,785,619 324,325 1178 75 -60 834.1 118 128 10 0.30 0.27 0.03 0.41
284 478 194 0.32 0.26 0.06 0.45
Incl 286 300 14 0.43 0.37 0.08 0.61
&
Incl 437 449 12 0.51 0.40 0.10 0.81
593 647 54 0.42 0.34 0.11 0.61
Incl 593 612 19 0.66 0.51 0.21 0.93
757 766 9 0.43 0.30 0.15 0.47
DKD037 6,785,842 324,527 1,122 69 -63 321.1 105 289 184 0.42 0.32 0.12 0.61
Incl 203 281 78 0.50 0.39 0.14 0.89
Or
Incl 203 225 27 0.60 0.48 0.15 0.64
DKD038 6,786,088 324,685 1,185 149 -65 306.4 48 269 221 0.37 0.29 0.11 0.48
Incl 53 98 45 0.51 0.37 0.19 0.30
&
Incl 126 235 109 0.41 0.32 0.11 0.59
Or
Incl 175 213 38 0.50 0.40 0.13 0.77
DKD009D 6,786,075 324,552 1,152 131 -60 555.3 34 422 388 0.41 0.32 0.12 0.67
Incl 386 398 12 0.51 0.41 0.14 0.85
454 499 45 0.40 0.33 0.08 0.74
Incl 455 462 7 0.60 0.49 0.13 1.14
DKD012D 6,785,977 324,839 1,193 300 -60 590.7 44 438 394 0.46 0.35 0.11 0.53
Incl 62 82 20 0.61 0.46 0.21 0.25
&
Incl 192 202 10 0.64 0.47 0.18 0.57
&
Incl 228 308 80 0.56 0.46 0.12 0.81
471 493 22 0.34 0.22 0.04 0.34
DKD039 6,785,723 324,420 1,150 54 -60 872.4 18.0 744 725 0.42 0.36 0.07 0.68
Incl 42.4 64 22 0.71 0.67 0.03 0.29
&
Incl 249.0 295 46 0.65 0.54 0.12 0.71
&
Incl 433.0 484 51 0.62 0.51 0.10 1.25
&
Incl 670.7 732 62 1.03 0.90 0.18 1.81
Or
Incl 693.1 713 20 1.51 1.30 0.29 2.26
800.3 816 16 0.45 0.39 0.07 0.89
Notes to Table 1: Significant intercepts for La Verde
are reported above a nominal cut-off grade of 0.20%
Cu. Reported intersections may include internal dilution
(intervals below 0.20% Cu), including zones exceeding
30 m downhole width, where the overall weighted average
grade of the intersection remains above the cut-off
grade. Significant intersections are separated where
zones of internal dilution result in discrete intervals
that do not meet the reporting criteria. The selection
of a 0.20% Cu cut-off grade is aligned with a marginal
economic cut-off for bulk tonnage polymetallic copper
deposits of comparable grade in Chile and globally.
Significant intersection widths (interval) have been
rounded to the nearest metre.
(1) Copper Equivalent (CuEq) reported for the drill
hole intersections were calculated using the following
formula: CuEq% = ((Cu% × Cu price 1% per tonne
× Cu_recovery) + (Mo ppm × Mo price per
g/t × Mo_recovery) + (Au ppm × Au price
per g/t × Au_recovery) + (Ag ppm × Ag price
per g/t × Ag_recovery)) / (Cu price 1% per tonne
× Cu_recovery). The Metal Prices applied in the
calculation were: Cu=4.50 USD/lb, Au=3,150 USD/oz,
Mo=20 USD/lb, and Ag=30 USD/oz. The entirety of the
intersection is assumed as fresh. The recovery and
copper equivalent formula for La Verde uses Cortadera
as a proxy, which is considered reasonable given both
the similar mineralisation style and amenability testwork
completed thus far at La Verde -- Recoveries of 83%
Cu, 56% Au, 83% Mo and 37% Ag. CuEq (%) = Cu(%) +
0.69 x Au(g/t) + 0.00044 x Mo(ppm) + 0.0043 x Ag(g/t).
SUMMARY OF CORPORATE ACTIVITIES
Strategic Partnering Process Update
Hot Chili continues to advance its asset-level strategic Partnering Process, aimed at introducing one or more qualified partners with the financial, technical and operational capability to assist in funding and delivery of the projects.
During the quarter, engagement levels remained strong, with additional parties entering the Partnering Process, with several advancing through due diligence, including site visits. The Company has received further non-binding, indicative, incomplete and conditional proposals in relation to potential transactions for the Projects and remains actively engaged in assessing these alongside existing proposals.
The Partnering Process may result in a range of transactions for the Projects. Investors are cautioned that there is no certainty the Partnering Process will result in a transaction or binding agreement.
BMO Capital Markets continues to act as financial adviser in connection with the Partnering Process.
The Company will continue to update the market in accordance with its continuous disclosure obligations.
Successful Closing of A$40 Million Funding
In February 2026, the Company closed a A$40 million (before costs) private placement to institutional, professional and other investors. The placement is intended to support Costa Fuego's position as one of the few globally significant copper projects not controlled by major mining companies, with the potential to contribute substantially to new copper supply this decade.
Hot Chili issued a total of 24,242,425 shares made up of 13,209,698 ordinary fully paid shares at A$1.65 on the ASX and 11,032,727 ordinary fully paid shares at CAD$1.56 on the TSXV. Additionally, 1,212,121 broker options were issued at an exercise price of A$2.145 with an expiry date of 12 August 2028 to complete the capital raising transaction.
Proceeds will be used to accelerate drilling across the La Verde Cu-Au discovery to establish a maiden mineral resource and further define the potential size, scale and grade of a higher-grade starter pit for the Costa Fuego Project, development of the Company's Huasco Water Project, commencement of the Costa Fuego Feasibility Study, completion and submission of the Costa Fuego EIA, ongoing exploration, strategic funding activities and for general working capital purposes.
Cash Position
As of 31 March 2026, the Company had cash of A$35.2 million and no debt.
The operating expenditure for quarter ended 31 March 2026 included payments for staff costs of A$0.7 million and administration and corporate costs of A$1.7 million.
The investing expenditure for quarter ended 31 March 2026 included payments for tenements of A$2.3 million, including payments for US$1.0 million for the Dominoceros Purchase Option Agreement and US$0.3 million AMSA Purchase Option and payments for exploration and evaluation of A$3.1 million relating to activities across the La Verde copper-gold porphyry discovery, value engineering works and EIA submission activities.
Capital Structure
The following summarises the Company's securities on issue:
-- 177,561,814 ordinary fully paid shares -- 1,914,000 options at AUD $1.50 expiring 24 July 2026 -- 1,212,121 options at AUD $2.145 expiring 12 August 2028 -- 1,176,563 service and performance rights
Additional ASX Disclosure Information
ASX Listing Rule 5.3.2: There was no substantive mining production and development activities during the quarter.
ASX Listing Rule 5.3.3 - Schedule of Mineral Tenements as of 31 March 2026.
The schedule of Mineral Tenements and changes in interests is appended at the end of this activities report.
ASX Listing Rule 5.3.4: Reporting under a use of funds statement in a Prospectus does not apply to the Company currently.
ASX Listing Rule 5.3.5: Payments to related parties of the Company and their associates during the quarter per Section 6.1 of the Appendix 5B totalled $234,000. This is comprised of directors' salaries and superannuation of $234,000.
Health, Safety, Environment and Quality
Field operations during the quarter included geological reconnaissance activities, diamond drilling, field mapping, and sampling exercises across the Company's Costa Fuego project landholdings, focused on La Verde. Activities on new tenements are run at the Productora or Cortadera operations centers and their safety statistics are included under the figures for all projects.
There was a single Lost Time Injury (LTI) during the quarter, where accidental contact with a damaged core tray injured a worker's hand.
Hot Chili's sustainability framework ensures an emphasis on business processes that target long-term economic, environmental and social value. The Company is dedicated to continual monitoring and improvement of health, safety and the environmental systems. There is no greater importance than ensuring the safety of our people and their families.
Table 3. HSEQ Quarter 1 2026 Performance and Statistics
Deposit Domeyko Productora All Projects
Timeframe Q1 2026 Cum.(2) Q1 2026 Cum.(2) Q1 2026 Cum.(2)
2024 2024 2024
LTI events 1 0 0 0 1 2
NLTI events 0 0 0 0 0 1
Days lost 4 0 0 0 4 88
LTIFR index 50 13 0 0 0 13
ISR index 201 54 0 0 0 579
IFR Index 50 13 0 84 0 20
Thousands of
man-hours 19.9 74 4.2 48 25.4 152
Incidents on
materials and
assets 0 0 0 0 0 0
Environmental
incidents 0 0 0 0 0 0
Headcount(1) 52 23 17 19 74 37
Notes: HSEQ is the acronym for Health, Safety, Environment
and Quality. LTIFR per million-manhours. Safety performance
is reported on a monthly basis to the National Mine
Safety Authority on a standard E-100 form; (1) Average
monthly headcount (2) Cumulative statistics since
April, 2024.
Tenement Changes During the Quarter
During the Quarter, the following mining exploration concessions have expired upon reaching their expiration date (March 30): Solar 1, Solar 3, Solar 5, Solar 7, Solar 9 Soledad 2 and Soledad 4.
In addition, the following exploitation concessions in process of being granted have been abandoned, as they do not hold priority rights over the overlapping area: Suerte 1/7, Suerte II 1/15, Domeyko I 1/12 and Domeyko II 1/40.
The Company's existing tenements are detailed in the table below.
Table 4. Current Tenement Holdings in Chile as of March 31(th) 2026
Cortadera Project Tenements
Cortadera Project
Ndeg License ID HCH % Held HCH % Earning Area Agreement
(ha) Details
1 ALCENIA 1/10 100% SMEA SpA 50
AMALIA 942 A 100% Frontera
2 1/6 SpA 53
100% Frontera
3 ATACAMITA 1/82 SpA 82
CORROTEO 1 100% Frontera
4 1/260 SpA 260
CORROTEO 5 100% Frontera
5 1/261 SpA 261
CORTADERA 1 100% Frontera
6 1/200 SpA 200
100% Frontera
7 CORTADERA 1/40 SpA 374
CORTADERA 2 100% Frontera
8 1/200 SpA 200
100% Frontera
9 CORTADERA 41 SpA 1
100% Frontera
10 CORTADERA 42 SpA 1
100% Frontera
11 LAS CANAS 1/15 SpA 146
100% Frontera
12 LAS CANAS 16 SpA 1
LAS CANAS ESTE 100% Frontera
13 2003 1/30 SpA 300
MAGDALENITA 100% Frontera
14 1/20 SpA 100
PAULINA 10 B 100% Frontera
15 1/16 SpA 136
PAULINA 11 B 100% Frontera
16 1/30 SpA 249
PAULINA 12 B 100% Frontera
17 1/30 SpA 294
PAULINA 13 B 100% Frontera
18 1/30 SpA 264
PAULINA 14 B 100% Frontera
19 1/30 SpA 265
PAULINA 15 B 100% Frontera
20 1/30 SpA 200
PAULINA 22 A 100% Frontera
21 1/30 SpA 300
100% Frontera
22 PAULINA 24 1/24 SpA 183
PAULINA 25 A 100% Frontera
23 1/19 SpA 156
PAULINA 26 A 100% Frontera
24 1/30 SpA 294
PAULINA 27A 100% Frontera
25 1/30 SpA 300
PURISIMA 1/8 100% Frontera
26 (1/2 Y 5/6) SpA 20 NSR 1.5%
100% Frontera
27 CF 1 SpA 300
100% Frontera
28 CF 2 SpA 300
100% Frontera
29 CF 3 SpA 300
100% Frontera
30 CF 4 SpA 300
100% Frontera
31 CF 5 SpA 200
100% Frontera
32 CF 6 SpA 200
100% Frontera
33 CF 7 SpA 100
100% Frontera
34 CF 8 SpA 200
100% Frontera
35 CF 9 SpA 100
100% Frontera
36 CF 10 SpA 200
100% Frontera
37 CF 11 SpA 200
CHAPULIN 100% Frontera
38 COLORADO 1/3 SpA 3
100% Frontera
39 CHILIS 1 SpA 200
100% Frontera
40 CHILIS 3 SpA 100
100% Frontera
41 CHILIS 4 SpA 200
100% Frontera
42 CHILIS 5 SpA 200
100% Frontera
43 CHILIS 6 SpA 200
100% Frontera
44 CHILIS 7 SpA 200
100% Frontera
45 CHILIS 8 SpA 200
100% Frontera
46 CHILIS 9 SpA 300
100% Frontera
47 CHILIS 10 1/38 SpA 190
100% Frontera
48 CHILIS 11 SpA 200
100% Frontera
49 CHILIS 12 1/60 SpA 300
100% Frontera
50 CHILIS 13 SpA 300
100% Frontera
51 CHILIS 14 SpA 300
100% Frontera
52 CHILIS 15 SpA 300
100% Frontera
53 CHILIS 16 SpA 300
100% Frontera
54 CHILIS 17 SpA 300
100% Frontera
55 CHILIS 18 SpA 300
100% Frontera
56 CORTADERA 1 SpA 200
100% Frontera
57 CORTADERA 2 SpA 200
100% Frontera
58 CORTADERA 3 SpA 200
100% Frontera
59 CORTADERA 4 SpA 200
100% Frontera
60 CORTADERA 5 SpA 200
CORTADERA 6 100% Frontera
61 1/60 SpA 265
CORTADERA 7 100% Frontera
62 1/20 SpA 93
63 CRISTINA 1/40 100% SMEA SpA 40
64 DIABLITO 1/5 100% SMEA SpA 25
DONA FELIPA 100% Frontera
65 1/10 SpA 50
100% Frontera
66 DORO 1 SpA 200
100% Frontera
67 DORO 2 SpA 200
100% Frontera
68 DORO 3 SpA 300
FALLA MAIPO 2 100% Frontera
69 1/10 SpA 99
FALLA MAIPO 3 100% Frontera
70 1/8 SpA 72
FALLA MAIPO 4 100% Frontera
71 1/26 SpA 26
72 MINORI 1 100% SMEA SpA 300
73 MINORI 2 100% SMEA SpA 300
74 MINORI 3 100% SMEA SpA 300
75 MINORI 4 100% SMEA SpA 300
100% Frontera
76 PORFIADA B SpA 200
100% Frontera
77 PORFIADA D SpA 300
100% Frontera
78 PORFIADA G SpA 200
100% Frontera
79 PORFIADA I SpA 300
100% Frontera
80 PORFIADA II SpA 300
100% Frontera
81 PORFIADA III SpA 300
100% Frontera
82 PORFIADA IV SpA 300
100% Frontera
83 PORFIADA V SpA 200
100% Frontera
84 PORFIADA VI SpA 100
100% Frontera
85 PORFIADA X SpA 200
100% Frontera
86 SAN ANTONIO 1 SpA 200
100% Frontera
87 SAN ANTONIO 2 SpA 200
100% Frontera
88 SAN ANTONIO 3 SpA 300
100% Frontera
89 SAN ANTONIO 4 SpA 300
100% Frontera
90 SAN ANTONIO 5 SpA 300
100% Frontera
92 SOLAR 2 SpA 300
100% Frontera
94 SOLAR 4 SpA 300
100% Frontera
96 SOLAR 6 SpA 300
100% Frontera
98 SOLAR 8 SpA 300
100% Frontera
100 SOLAR 10 SpA 300
100% Frontera
101 SOLEDAD 1 SpA 300
100% Frontera
103 SOLEDAD 3 SpA 300
100% Frontera
105 MARINA 1/10 SpA 100
100% Frontera
106 CATITA V 1/9 SpA 9
100% Frontera
107 CHILIS 19 SpA 300
100% Frontera
108 PAULINA SpA 100
TOTAL 21.062
Note. Frontera SpA is a 100% owned subsidiary company
of Hot Chili Limited
Productora Project Tenements
Productora Project
Ndeg License ID HCH % Held HCH % Earning Area Agreement
(ha) Details
1 ALGA 7 A 1/32 80% SMEA SpA 89
2 ALGA VI 4 100% SMEA SpA 2
3 ALGA VI 5/24 80% SMEA SpA 66
4 ARENA 1 1/6 80% SMEA SpA 40
5 ARENA 2 1/17 80% SMEA SpA 113
AURO HUASCO 1A
6 1/8 80% SMEA SpA 35
CABRITO-CABRITO
7 1/9 80% SMEA SpA 50
CACHIYUYITO 1
8 1/20 80% SMEA SpA 100
CACHIYUYITO 2
9 1/60 80% SMEA SpA 300
CACHIYUYITO 3
10 1/60 80% SMEA SpA 300
11 CARMEN I, 1/50 80% SMEA SpA 222
12 CARMEN II, 1/60 80% SMEA SpA 274
100% Frontera
13 CF 12 SpA 100
100% Frontera
14 CF 13 SpA 200
100% Frontera
15 CF 14 SpA 300
16 CHICA 80% SMEA SpA 1
17 CHOAPA 1/10 80% SMEA SpA 50
18 CUENCA A 1/51 80% SMEA SpA 255
19 CUENCA B 1/28 80% SMEA SpA 139
20 CUENCA C 1/51 80% SMEA SpA 255
21 CUENCA D 80% SMEA SpA 3
22 CUENCA E 80% SMEA SpA 1
ELEONOR RIGBY 100% Frontera
23 1/10 SpA 100
24 ELQUI 1/14 80% SMEA SpA 61
25 ESPERANZA 1/5 80% SMEA SpA 11
26 FRAN 1 1/60 80% SMEA SpA 220
27 FRAN 12 1/40 80% SMEA SpA 200
28 FRAN 13 1/40 80% SMEA SpA 200
29 FRAN 14 1/40 80% SMEA SpA 200
30 FRAN 15 1/60 80% SMEA SpA 300
31 FRAN 18, 1/60 80% SMEA SpA 273
32 FRAN 2 1/20 80% SMEA SpA 100
33 FRAN 21, 1/46 80% SMEA SpA 226
34 FRAN 3 1/20 80% SMEA SpA 100
35 FRAN 4 1/20 80% SMEA SpA 100
36 FRAN 5 1/20 80% SMEA SpA 100
37 FRAN 6 1/26 80% SMEA SpA 130
38 FRAN 7 1/37 80% SMEA SpA 176
39 FRAN 8 1/30 80% SMEA SpA 120
40 JULI 10, 1/60 80% SMEA SpA 300
41 JULI 11, 1/60 80% SMEA SpA 300
42 JULI 12, 1/42 80% SMEA SpA 210
43 JULI 13, 1/20 80% SMEA SpA 100
44 JULI 14, 1/50 80% SMEA SpA 250
45 JULI 15, 1/55 80% SMEA SpA 275
46 JULI 16 1/60 80% SMEA SpA 300
47 JULI 17 1/20 80% SMEA SpA 100
48 JULI 19 80% SMEA SpA 300
49 JULI 20 80% SMEA SpA 300
50 JULI 21 1/60 80% SMEA SpA 300
51 JULI 22 80% SMEA SpA 300
52 JULI 23 1/60 80% SMEA SpA 300
53 JULI 24 1/60 80% SMEA SpA 300
54 JULI 25 80% SMEA SpA 300
55 JULI 27 B, 1/10 80% SMEA SpA 48
56 JULI 27, 1/30 80% SMEA SpA 146
57 JULI 28, 1/60 80% SMEA SpA 300
58 JULI 9, 1/60 80% SMEA SpA 300
JULIETA 10,
59 1/60 80% SMEA SpA 300
60 JULIETA 11 80% SMEA SpA 300
61 JULIETA 12 80% SMEA SpA 300
62 JULIETA 13 1/60 80% SMEA SpA 298
63 JULIETA 14 1/60 80% SMEA SpA 269
64 JULIETA 15 1/40 80% SMEA SpA 200
65 JULIETA 16 80% SMEA SpA 200
66 JULIETA 17 80% SMEA SpA 200
67 JULIETA 18 1/40 80% SMEA SpA 200
68 JULIETA 5 80% SMEA SpA 200
69 JULIETA 6 80% SMEA SpA 200
70 JULIETA 7 80% SMEA SpA 100
71 JULIETA 8 80% SMEA SpA 100
72 JULIETA 9 80% SMEA SpA 100
73 JULITA 1/4 80% SMEA SpA 4
74 LEONA 2A 1/4 80% SMEA SpA 10
75 LIMARI 1/15 80% SMEA SpA 66
76 LOA 1/6 80% SMEA SpA 30
77 MAIPO 1/10 80% SMEA SpA 50
78 MONTOSA 1/4 80% SMEA SpA 35 NSR 3%
ORO INDIO 1A
79 1/20 80% SMEA SpA 82
100% Frontera
80 PEGGY SUE 1/10 SpA 100
81 PRODUCTORA 1/16 80% SMEA SpA 75
84 TOLTEN 1/14 80% SMEA SpA 70
85 URANIO 1/70 0 % 350 25-year Lease
Agreement
US$250,000 per
year
(average for the
25 year term);
plus 2% NSR all
but
gold; 4% NSR
gold; 5% NSR
non-metallic
86 ZAPA 1 1/10 80% SMEA SpA 100
87 ZAPA 1/6 80% SMEA SpA 6 GSR 1%
88 ZAPA 3 1/23 80% SMEA SpA 92
89 ZAPA 5A 1/16 80% SMEA SpA 80
90 ZAPA 7 1/24 80% SMEA SpA 120
91 SIERRA SOLIS 1 100% SMEA SpA 200
92 SIERRA SOLIS 2 100% SMEA SpA 300
93 SIERRA SOLIS 3 100% SMEA SpA 300
94 SIERRA SOLIS 4 100% SMEA SpA 200
95 SIERRA SOLIS 5 100% SMEA SpA 300
96 SIERRA SOLIS 6 100% SMEA SpA 300
97 SIERRA SOLIS 7 100% SMEA SpA 300
98 SIERRA SOLIS 8 100% SMEA SpA 300
99 ZAPALLO 1 100% SMEA SpA 100
100 ZAPALLO 2 100% SMEA SpA 200
101 ZAPALLO 3 100% SMEA SpA 200
TOTAL 17.178
Note. SMEA SpA is subsidiary company - 80% owned by
Hot Chili Limited, 20% owned by CMP (Compañía
Minera del Pacífico)
Note. Frontera SpA is a 100% owned subsidiary company
of Hot Chili Limited.
Domeyko Project Tenements
Domeyko Project
Ndeg License ID HCH % Held HCH % Earning Area Agreement Details
(ha)
1 ANTONIO 1 100% Frontera 280 100% HCH Domeyko
1/56 SpA Purchase Option
Agreement
US$170,000 (already
satisfied)
US$150,000 payable
by April 19th 2026
US$200,000 payable
by April 19th 2027
US$3.480,000
payable by April
19th 2028
NSR 1%
ANTONIO 100% Frontera
2 1/40 SpA 200
ANTONIO 10 100% Frontera
3 1/21 SpA 63
ANTONIO 19 100% Frontera
4 1/30 SpA 128
ANTONIO 21 100% Frontera
5 1/20 SpA 60
ANTONIO 36 100% Frontera
6 1/15 SpA 74
ANTONIO 5 100% Frontera
7 1/40 SpA 200
ANTONIO 9 100% Frontera
8 1/40 SpA 193
100% Frontera
9 CAZURRO 1 SpA 200
100% Frontera
10 CAZURRO 2 SpA 200
100% Frontera
11 CAZURRO 3 SpA 300
100% Frontera
12 CAZURRO 4 SpA 300
100% Frontera
13 CAZURRO 5 SpA 100
100% Frontera
14 CAZURRO 6 SpA 200
100% Frontera
15 CAZURRO 7 SpA 200
100% Frontera
16 CAZURRO 8 SpA 200
CERRO MOLY 100% Frontera
17 1 SpA 300
CERRO MOLY 100% Frontera
18 2 SpA 300
CERRO MOLY 100% Frontera
19 3 SpA 300
CERRO MOLY 100% Frontera
20 4 SpA 300
CAZURRO 3 100% Frontera
21 1/60 SpA 300
CAZURRO 4 100% Frontera
22 1/60 SpA 300
CAZURRO 7 100% Frontera
23 1/40 SpA 200
EMILIO 1 100% Frontera
24 1/8 SpA 38
EMILIO 3 100% Frontera
25 1/9 SpA 45
100% Frontera
26 INES 1/40 SpA 200
100% Frontera
27 LORENA 1/2 SpA 2
MERCEDITA 100% Frontera
28 1/7 SpA 22
100% Frontera
29 PRIMO 1 1/6 SpA 36
SANTIAGUITO 100% Frontera
30 5 1/24 SpA 114
31 DOMINOCEROS 100% Frontera 20 100% HCH
1/20 (1/4) SpA Dominoceros
Purchase Option
Agreement
US$1,000,000
(already satisfied)
US$1,000,000
payable by October
25th 2026
US$6,890,000
payable by October
25th 2027
100% Frontera
32 CF SUR 1 SpA 300
100% Frontera
33 CF SUR 2 SpA 300
100% Frontera
34 CF SUR 3 SpA 300
100% Frontera
35 CF SUR 4 SpA 300
100% Frontera
36 CF SUR 5 SpA 200
100% Frontera
37 CF SUR 6 SpA 300
100% Frontera
38 CF SUR 7 SpA 300
100% Frontera
39 CF SUR 8 SpA 300
100% Frontera
40 CF SUR 9 SpA 200
100% Frontera
41 CF SUR 10 SpA 200
100% Frontera
42 CF SUR 11 SpA 300
100% Frontera
43 CF SUR 12 SpA 300
100% Frontera
44 CF SUR 13 SpA 300
100% Frontera
45 CF SUR 14 SpA 300
100% Frontera
46 CF SUR 15 SpA 200
100% Frontera
47 CF SUR 16 SpA 300
100% Frontera
48 CF SUR 17 SpA 300
100% Frontera
49 CF SUR 18 SpA 300
100% Frontera
50 CF SUR 19 SpA 300
100% Frontera
51 CF SUR 20 SpA 300
100% Frontera
52 CF SUR 21 SpA 300
100% Frontera
53 CF SUR 22 SpA 300
100% Frontera
54 CF SUR 23 SpA 200
100% Frontera
55 CF SUR 24 SpA 200
100% Frontera
56 CF SUR 25 SpA 300
100% Frontera
57 CF SUR 26 SpA 300
100% Frontera
58 CF SUR 27 SpA 300
100% Frontera
59 CF SUR 28 SpA 200
100% Frontera
60 CF SUR 29 SpA 300
100% Frontera
61 CF SUR 30 SpA 200
100% Frontera
62 CF SUR 31 SpA 300
100% Frontera
63 CF SUR 32 SpA 300
100% Frontera
64 CF SUR 33 SpA 300
100% Frontera
65 CF SUR 34 SpA 300
100% Frontera
66 CF SUR 35 SpA 300
100% Frontera
67 CF SUR 36 SpA 200
100% Frontera
68 CF SUR 37 SpA 200
71 KRETA 1/4 100% Frontera 16 The mining
SpA concession is
included in San
Antonio Purchase
Option Agreement
100% Frontera
72 MARI 1 SpA 300
73 MARI 1/12 100% Frontera 64 The mining
SpA concession is
included in San
Antonio Purchase
Option Agreement
100% Frontera
74 MARI 6 SpA 300
100% Frontera
75 MARI 8 SpA 300
100% Frontera
76 PAJONALES SpA 300
TOTAL 16.755
Note. Frontera SpA is a 100% owned subsidiary company
of Hot Chili Limited.
El Fuego Project Tenements
San Antonio Project
Ndeg License ID HCH % Held HCH % Earning Area Agreement Details
(ha)
1 MERCEDES 1/3 100% Frontera 50 100% HCH San Antonio
SpA Purchase Option
AgreementUS$2,400,000
already
paid.US$2,000,000
payable by September
30th 2026
to exercise the El
Fuego Option.(2
additional and
conditional payments
of
US$2,000,000, each
one, to be paid by
December
31, 2030 under
certain conditions
detailed at title
"Tenement Changes
During the Quarter"
of this
quarterly report.)
PORFIADA A 100% Frontera
2 1/33 SpA 160
PORFIADA C 100% Frontera
3 1/60 SpA 300
PORFIADA E 100% Frontera
4 1/20 SpA 100
PORFIADA F 100% Frontera
5 1/50 SpA 240
PORFIADA IX 100% Frontera
6 1/60 SpA 300
PORFIADA VII 100% Frontera
7 1/60 SpA 270
PORFIADA VIII 100% Frontera
8 1/60 SpA 300
100% Frontera
9 PRIMA 1 SpA 1
100% Frontera
10 PRIMA 2 SpA 2
100% Frontera
11 ROMERO 1/31 SpA 31
SAN ANTONIO 100% Frontera
12 1/5 SpA 25
SAN JUAN SUR 100% Frontera
13 1/5 SpA 10
SAN JUAN SUR 100% Frontera
14 6/23 SpA 90
SANTIAGO Z 100% Frontera
15 1/30 SpA 300
SANTIAGO 1/4 Y 100% Frontera
16 20 SpA 75
100% Frontera
17 SANTIAGO 15/19 SpA 25
100% Frontera
18 SANTIAGO 21/36 SpA 76
100% Frontera
19 SANTIAGO 37/43 SpA 26
SANTIAGO A, 100% Frontera
20 1/26 SpA 244
SANTIAGO B, 100% Frontera
21 1/20 SpA 200
SANTIAGO C, 100% Frontera
22 1/30 SpA 300
SANTIAGO D, 100% Frontera
23 1/30 SpA 300
SANTIAGO E, 100% Frontera
24 1/30 SpA 300
TOTAL 3.725
Note. Frontera SpA is a 100% owned subsidiary company
of Hot Chili Limited.
Cordillera Project
Ndeg License ID HCH % Held HCH % Earning Area Agreement
(ha) Details
1 ALBORADA III 100% Frontera SpA 162 100% HCH
1/35 Purchase Option
Agreement
USD 100,000
already paid
US$100,000
payable by
November 14th
2026US$100,000
payable by
November 14th
2027
US$3,700,000
payable by
November 14th
2028
NSR 1% for
underground
mining and 1,5%
for open-pit
mining
2 ALBORADA IV 1/20 100% Frontera SpA 54
ALBORADA VII
3 1/25 100% Frontera SpA 95
4 CAT IX 1/30 100% Frontera SpA 150
5 CATITA IX 1/20 100% Frontera SpA 100
6 CATITA XII 1/13 100% Frontera SpA 61
7 CORDILLERA 1/5 100% Frontera SpA 20
8 HERREROS 1/14 100% Frontera SpA 28
MINA HERREROS
9 III 1/6 100% Frontera SpA 18
MINA HERREROS IV
10 1/10 100% Frontera SpA 23
11 PORSIACA 1/20 100% Frontera SpA 20
12 QUEBRADA 1/10 100% Frontera SpA 28
13 VETA 1/17 100% Frontera SpA 17
TOTAL 776
Note. Frontera SpA is a 100% owned subsidiary company
of Hot Chili Limited.
Qualifying Statements
The scientific and technical information relating to the Company's Costa Fuego project in this report has been derived from or is based on the Costa Fuego Copper project pre-feasibility study (the "Costa Fuego PFS" or 2025 PFS), which has been prepared in accordance with Canadian regulatory requirements set out in National Instrument 43-101 -- Standards of Disclosure for Mineral Projects ("NI 43-101") and Joint Ore Reserves Committee of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia (the "JORC Code") and reviewed and approved by the "Qualified Persons" as defined under NI 43-101 and "Competent Persons" as defined under the JORC Code, as set out below. The 2025 PFS was compiled by the Qualified Persons and Competent Persons listed below based on information available up to the effective date of the PFS. Additional details of responsibilities are provided at page 48 of presentation "Costa Fuego Preliminary Feasibility Study March 2025" released on March 27, 2025.
Conceptual Open Pit Shells
Conceptual open pit shells represent Exploration Targets as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves' (JORC Code). They are based on completed exploration activities reported in the announcement released 19 May 2025 ('Hot Chili Announces Latest Drill Results for La Verde, Doubling Porphyry Discovery Footprint').
The conceptual open pit shells were generated using copper (Cu) prices of US$3.50/lb Cu and US$6.00/lb Cu on a series of nested Cu grade shells. Other input parameters informing the conceptual open-pit shells (pit slope angles, mining cost, processing cost, etc.) were derived from values reported in the March 2025 Costa Fuego Pre-feasibility Study and are considered appropriate for the style of mineralisation encountered at the La Verde Cu-Au porphyry discovery.
Any potential quantity and grade of the Exploration Target shown is conceptual in nature. There has been insufficient exploration to estimate a Mineral Resource within the target area, and it is uncertain if further exploration will result in the estimation of a Mineral Resource.
Further exploration activities are detailed in this announcement and include (but may not necessarily be limited to) a program of diamond drill holes aiming to extend the mineralised footprint at La Verde. Drilling commenced on 22 September 2025, with the length of the program dependent on a number of considerations including (but not limited to) the results of the exploration activities and regulatory applications and approvals.
PFS Technical Report
For readers to fully understand the information in this report, they should read the PFS Technical Report available on SEDAR+ (www.sedarplus.ca) and at www.hotchili.net.au in its entirety titled "Costa Fuego Project, Chile, Preliminary Feasibility Study NI 43-101 Technical Report" dated May 9 2025 with an effective date of March 27 2025, including all qualifications, assumptions, limitations and exclusions. The PFS Technical Report is intended to be read as a whole, and sections should not be read or relied upon out of context. The technical information in this report is subject to the assumptions and qualifications to be contained in the PFS Technical Report. The PFS Technical Report replaces and supersedes the technical report titled "Costa Fuego Copper Project -- NI 43-101 Technical Report Mineral Resource Estimate Update" dated April 8, 2024, with an effective date of February 26, 2024 (the "2024 PEA").
Qualified Persons -- NI 43-101
The PFS was compiled by Wood Australia Pty Ltd with contributions from a team of independent "Qualified Persons" within the meaning of NI 43 -101. The scientific and technical information contained in this report pertaining to Costa Fuego has been reviewed and verified by the following independent qualified persons within the meaning of NI 43-101:
-- Ms Elizabeth Haren (FAUSIMM $(CP)$ & MAIG) of Haren Consulting -- Mineral Resource Estimate -- Mr Dean David (FAUSIMM (CP)) of Wood Pty Ltd -- Metallurgy -- Mr Piers Wendlandt (PE) of Wood Pty Ltd -- Market Studies and Contracts, Economic Analysis -- Mr David Cuello (MAUSIMM) of GMT Servicios de Ingeniería -- Geotechnical -- Mr Jeffrey Stevens (Pr. Eng, MSAIMM) of Wood Pty Ltd -- Infrastructure and Capital Cost -- Mr Luis Bernal (Comisión Minera $(PC)$ Registered Member) of Process Mineral Consulting -- Leaching -- Mr Anton von Wielligh (FAUSIMM) of ABGM Consulting Pty Ltd -- Mine Planning and Scheduling -- Mr Edmundo LaPorte (PE, PEng, CPEng, SME Registered Member) of High River Services - Environmental
The above independent Qualified Persons have verified the information disclosed herein, including the sampling, preparation, security, and analytical procedures underlying such information.
Competent Persons -- JORC
The information in this report that relates to Mineral Resources, Exploration Results, and Ore Reserves for the Costa Fuego Project is based on information compiled by:
-- Ms Elizabeth Haren (FAUSIMM (CP) & MAIG) who is a full-time employee of
Haren Consulting -- Mineral Resource Estimate
-- Mr Dean David (FAUSIMM (CP)) who is a full-time employee of Wood Pty Ltd
-- Metallurgy
-- Mr Piers Wendlandt (PE) who is a full-time employee of Wood Pty Ltd --
Market Studies and Contracts, Economic Analysis
-- Mr David Cuello (MAUSIMM) who is a full-time employee of GMT Servicios de
Ingeniería -- Geotechnical
-- Mr Jeffrey Stevens (Pr. Eng, MSAIMM) who is a full-time employee of Wood
Pty Ltd -- Infrastructure and Capital Cost
-- Mr Luis Bernal (Comisión Minera (PC) Registered Member) who is a
full-time employee of Process Mineral Consulting -- Leaching
-- Mr Anton von Wielligh (FAUSIMM) who is a full-time employee of ABGM
Consulting Pty Ltd -- Mine Planning and Scheduling
-- Mr Edmundo LaPorte (PE, PEng, CPEng, SME Registered Member) who is a
full-time employee of High River Services -- Environmental
-- Mr Christian Easterday (MAIG), who is the Managing Director and is a
full-time employee of Hot Chili Limited -- Exploration Results
Ms Haren, Mr David, Mr Wendlandt, Mr Cuello, Mr Stevens, Mr Bernal, Mr LaPorte, Mr Easterday, and Mr von Wielligh each have sufficient experience, which is relevant to the style of mineralisation and types of deposits under consideration and to the activities undertaken, to qualify as a Competent Person as defined in the JORC Code and as Qualified Persons under NI43-101.
Disclaimer
This report has been prepared by management of Hot Chili Limited ("Hot Chili" or the "Company") and does not represent a recommendation to buy or sell securities of the Company. Investors should always consult their investment advisors prior to making any investment decisions. This report does not purport to be complete or contain all of the information that may be material to the current or future business, operations, financial condition or prospects of the Company and Hot Chili makes no representation or warranty, express or implied, as to the accuracy or completeness of the information contained in this report. Certain information contained herein is based on, or derived from, information obtained from independent third-party sources, publicly available reports and other trade and industry sources. Hot Chili believes that such information is accurate and that the sources from which it has been obtained are reliable; however, Hot Chili has not independently verified such information and does not assume any responsibility for the accuracy or completeness of such information. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Cautionary Note for U.S. Investors Concerning Mineral Resources
NI 43-101 is a rule of the Canadian Securities Administrators which establishes standards for all public disclosure an issuer makes of scientific and technical information concerning material mineral projects. Technical disclosure contained in this report has been prepared in accordance with NI 43-101 and the Canadian Institute of Mining, Metallurgy and Petroleum ("CIM") Classification System. These standards differ from the requirements of the U.S. Securities and Exchange Commission ("SEC") and technical information contained in this report may not be comparable to similar information disclosed by domestic United States companies subject to the SEC's reporting and disclosure requirements.
All amounts in this report are in U.S. dollars unless otherwise noted.
Forward Looking Statements
Statements in this report that are not historical facts are "forward-looking information" or "forward-looking statements" within the meaning of Canadian securities legislation and Australian securities legislation (each, a "forward-looking statement"). The use of any of the words, "estimate", "expect", "may", "might", "opportunity", "plan", "potential", "project", "proposed", "should", "will", "would" and similar expressions are intended to identify forward-looking statements. Statements concerning mineral resource and mineral reserve estimates may also be deemed to constitute forward-looking statements to the extent that they involve estimates of the mineralisation that may be encountered if the Costa Fuego Project is developed.
In this report, forward-looking statements relate, among other things, to: the potential of the La Verde discovery; regulatory applications and approvals; and the Company's future exploration and other business plans.
Forward-looking statements involve known and unknown risks, uncertainties, and other factors, which may cause the actual results, performance, or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. A number of factors could cause actual results to differ materially from a conclusion, forecast or projection contained in the forward-looking statements in this announcement, including, but not limited to, the following material factors: the ability of drilling and other exploration activities to accurately predict mineralisation; operational risks; risks related to the cost estimates of exploration; sovereign risks associated with the Company's operations in Chile; changes in estimates of mineral resources or mineral reserves of properties where the Company holds interests; recruiting qualified personnel and retaining key personnel; future financial needs and availability of adequate financing; fluctuations in mineral prices; market volatility; exchange rate fluctuations; ability to exploit successful discoveries; the production at or performance of properties where the Company holds interests; ability to retain title to mining concessions; environmental risks; financial failure or default of joint venture partners, contractors or service providers; competition risks; economic and market conditions; and other risks and uncertainties described elsewhere in this announcement and elsewhere in the Company's public disclosure record.
Although the forward-looking statements contained in this report are based upon assumptions which the Company believes to be reasonable, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. With respect to forward-looking statements contained in this announcement, the Company has made assumptions regarding: future commodity prices and demand; availability of skilled labour; timing and amount of capital expenditures; future currency exchange and interest rates; the impact of increasing competition; general conditions in economic and financial markets; availability of drilling and related equipment; effects of regulation by governmental agencies; future tax rates; future operating costs; availability of future sources of funding; ability to obtain financing; and assumptions underlying estimates related to adjusted funds from operations. The Company has included the above summary of assumptions and risks related to forward-looking information provided in this announcement to provide investors with a more complete perspective on the Company's future operations, and such information may not be appropriate for other purposes. The Company's actual results, performance or achievement could differ materially from those expressed in, or implied by,
these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits the Company will derive therefrom.
For additional information with respect to these and other factors and assumptions underlying the forward-looking statements made herein, please refer to the public disclosure record of the Company, including the Company's most recent Annual Report, which is available on SEDAR+ (www.sedarplus.ca) under the Company's issuer profile. New factors emerge from time to time, and it is not possible for management to predict all those factors or to assess in advance the impact of each such factor on the Company's business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statement.
The forward-looking statements contained in this announcement are expressly qualified by the foregoing cautionary statements and are made as of the date of this announcement. Except as may be required by applicable securities laws, the Company does not undertake any obligation to publicly update or revise any forward-looking statement to reflect events or circumstances after the date of this announcement or to reflect the occurrence of unanticipated events, whether as a result of new information, future events or results, or otherwise. Investors should read this entire announcement and consult their own professional advisors to ascertain and assess the income tax and legal risks and other aspects of an investment in the Company.
Mineral Resource Statement
Costa Fuego Combined Mineral Resource (Effective Date 26 February 2024)
1 Mineral Resources are reported on a 100% Basis - combining Mineral Resource Estimates for the Cortadera, Productora, Alice and San Antonio deposits. All figures are rounded, reported to appropriate significant figures and reported in accordance with the Joint Ore Reserves Committee Code (2012) and NI 43-101. Mineral Resource estimation practices are in accordance with CIM Estimation of Mineral Resource and Mineral Reserve Best Practice Guidelines (29 November 2019) and reported in accordance CIM Definition Standards for Mineral Resources and Mineral Reserves (10 May 2014) that are incorporated by reference into NI 43-101. 2 Mineral Resources are inclusive of the Mineral Reserve 3 The Productora deposit is 100% owned by Chilean incorporated company Sociedad Minera El Aguila SpA (SMEA). SMEA is a joint venture (JV) company -- 80% owned by Sociedad Minera El Corazón SpA (a 100% subsidiary of Hot Chili), and 20% owned by Compañía Minera del Pacífico S.A $(CMP)$. 4 The Cortadera deposit is controlled by a Chilean incorporated company Sociedad Minera La Frontera SpA (Frontera). Frontera is a subsidiary company -- 100% owned by Sociedad Minera El Corazón SpA, which is a 100% subsidiary of Hot Chili. 5 The San Antonio deposit is controlled through Frontera (100% owned by Sociedad Minera El Corazón SpA, which is a 100% subsidiary of Hot Chili Limited) and Frontera is party to an Option Agreement pursuant to which it can earn a 100% interest in the property. 6 The Mineral Resource Estimates (MRE) in the tables above form coherent bodies of mineralisation that are considered amenable to a combination of open pit and underground extraction methods based on the following parameters: Base Case Metal Prices: Copper US$ 3.00/lb, Gold US$ 1,700/oz, Molybdenum US$ 14/lb, and Silver US$20/oz. 7 All MRE were assessed for Reasonable Prospects of Eventual Economic Extraction (RPEEE) using both Open Pit and Block Cave Extraction mining methods at Cortadera and Open Pit mining methods at the Productora, Alice and San Antonio deposits. 8 Metallurgical recovery averages for each deposit consider Indicated + Inferred material and are weighted to combine sulphide flotation and oxide leaching performance. Process recoveries: Cortadera -- Weighted recoveries of 82% Cu, 55% Au, 81% Mo and 36% Ag. CuEq(%) = Cu(%) + 0.55 x Au(g/t) + 0.00046 x Mo(ppm) + 0.0043 x Ag(g/t). San Antonio - Weighted recoveries of 85% Cu, 66% Au, 80% Mo and 63% Ag. CuEq(%) = Cu(%) + 0.64 x Au(g/t) + 0.00044 x Mo(ppm) + 0.0072 x Ag(g/t) Alice - Weighted recoveries of 81% Cu, 47% Au, 52% Mo and 37% Ag. CuEq(%) = Cu(%) + 0.48 x Au(g/t) + 0.00030 x Mo(ppm) + 0.0044 x Ag(g/t). Productora -- Weighted recoveries of 84% Cu, 47% Au, 48% Mo and 18% Ag. CuEq(%) = Cu(%) + 0.46 x Au(g/t) + 0.00026 x Mo(ppm) + 0.0021 x Ag(g/t). Costa Fuego -- Recoveries of 83% Cu, 53% Au, 71% Mo and 26% Ag. CuEq(%) = Cu(%) + 0.53 x Au(g/t) + 0.00040 x Mo(ppm) + 0.0030 x Ag(g/t) 9 Copper Equivalent (CuEq) grades are calculated based on the formula: CuEq% = ((Cu% × Cu price 1% per tonne × Cu_recovery) + (Mo ppm × Mo price per g/t × Mo_recovery) + (Au ppm × Au price per g/t × Au_recovery) + (Ag ppm × Ag price per g/t × Ag_recovery)) / (Cu price 1% per tonne × Cu recovery). The base case cut-off grade for Mineral Resources considered amenable to open pit extraction methods at the Cortadera, Productora, Alice and San Antonio deposits is 0.20% CuEq, while the cut-off grade for Mineral Resources considered amenable to underground extraction methods at the Cortadera deposit is 0.27% CuEq. It is the Company's opinion that all the elements included in the CuEq calculation have a reasonable potential to be recovered and sold. 10 Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. The MRE include Inferred Mineral Resources that are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorised as Mineral Reserves. It is reasonably expected that the majority of Inferred mineral resources could be upgraded to Measured or Indicated Mineral Resources with continued exploration. 11 The effective date of the MRE is 26 February 2024. The MRE was previously reported in the 2024 PEA. Hot Chili Limited confirms it is not aware of any new information or data that materially affects the information included in the 2024 PEA and all material assumptions and technical parameters stated for the MRE in the 2024 PEA continue to apply and have not materially changed. 12 Hot Chili Limited is not aware of political, environmental, or other risks that could materially affect the potential development of the Mineral Resources other than as disclosed in the 2025 PFS. A detailed list of Costa Fuego Project risks is included in Chapter 25 of the 2025 PFS Technical Report titled "Costa Fuego Copper Project NI43-101 Technical Report Preliminary Feasibility Study" and dated 9 May 2025 (effective 27 March 2025), is available on SEDAR+ (www.sedarplus.ca) and the Company's website (www.hotchili.net.au).
Ore Reserve Statement
Costa Fuego Combined Ore Reserve (Effective Date 27 March 2025)
1 Mineral Reserves are reported on a 100% Basis - combining Mineral Reserve estimates for the Cortadera, Productora, Alice and San Antonio deposits, and have an effective date of 27 March 2025. 2 An Ore Reserve (declared in accordance with JORC Code 2012) was previously reported at Productora, a component of Costa Fuego, on 2nd March 2016 on the ASX. The Company was not subject to the requirements of NI 43-101 at that time. 3 Mineral Reserve estimation practices are in accordance with CIM Estimation of Mineral Resource and Mineral Reserve Best Practice Guidelines (29 November 2019) and reported in accordance CIM Definition Standards for Mineral Resources and Mineral Reserves (10 May 2014) that are incorporated by reference into NI 43-101. Mineral Reserve estimates are in accordance with the JORC Code. References to "Mineral Reserves" mean "Ore Reserves" as defined in the JORC Code and references to "Proven Mineral Reserves" mean "Proved Ore Reserves" as defined in the JORC Code. 4 The Mineral Reserve reported above was not additive to the Mineral Resource. The Mineral Reserve is based on the 26 February 2024 Mineral Resource. 5 Tonnages and grades are rounded to two significant figures. All figures are rounded, reported to appropriate significant figures and reported in accordance with the Joint Ore Reserves Committee Code (2012) and NI 43-101. As each number is rounded individually, the table may show apparent inconsistencies between the sum of rounded components and the corresponding rounded total. 6 Mineral Reserves are reported using long-term metal prices of US$4.30/lb Cu, US$2,280/oz Au, US$27/oz Ag, US$20/lb Mo. 7 The Mineral Reserve tonnages and grades are estimated and reported as delivered to plant (the point where material is delivered to the processing facility) and is therefore inclusive of ore loss and dilution. 8 The Productora deposit is 100% owned by Chilean incorporated company Sociedad Minera El Aguila SpA (SMEA). SMEA is a joint venture (JV) company -- 80% owned by Sociedad Minera El Corazón SpA (a 100% subsidiary of Hot Chili), and 20% owned by Compañía Minera del Pacífico S.A (CMP). 9 The Cortadera deposit is controlled by a Chilean incorporated company Sociedad Minera La Frontera SpA (Frontera). Frontera is a subsidiary company -- 100% owned by Sociedad Minera El Corazón SpA, which is a 100% subsidiary of Hot Chili. 10 The San Antonio deposit is controlled through Frontera (100% owned by Sociedad Minera El Corazón SpA, which is a 100% subsidiary of Hot Chili) and Frontera is party to an Option Agreement pursuant to which it can earn a 100% interest in the property. 11 The Mineral Reserve Estimate as of 27 March 2025 for Costa Fuego was prepared by Anton von Wielligh, Fellow with the AUSIMM (FAUSIMM). Mr. von Wielligh
fulfils the requirements to be a "Qualified Person" within the meaning of NI 43-101 and is the Competent Person under JORC for the Mineral Reserve. 12 Hot Chili Limited is not aware of political, environmental, or other risks that could materially affect the potential development of the Mineral Reserves other than as disclosed in the 2025 PFS. A detailed list of Costa Fuego Project risks is included in Chapter 25 of the 2025 PFS Technical Report titled "Costa Fuego Copper Project NI43-101 Technical Report Preliminary Feasibility Study" and dated 9 May 2025 (effective 27 March 2025), is available on SEDAR+ (www.sedarplus.ca) and the Company's website (www.hotchili.net.au).
Appendix 5B
Mining exploration entity or oil and gas exploration entity quarterly cash flow report
Name of entity
Hot Chili Limited
ABN Quarter ended ("current quarter")
91 130 955 725 31 March 2026
Consolidated statement of cash flows Current quarter Year to date
$A'000 (9 months)
$A'000
1. Cash flows from operating activities - -
1.1 Receipts from customers
1.2 Payments for - -
(a) exploration & evaluation
(a) development - -
(b) production - -
(c) staff costs (745) (1,968)
(d) administration and corporate costs (1,726) (4,553)
1.3 Dividends received (see note 3) - -
1.4 Interest received 62 159
1.5 Interest and other costs of finance paid - -
1.6 Income taxes paid - -
1.7 Government grants and tax incentives - -
1.8 Other (provide details if material) - -
1.9 Net cash from / (used in) operating (2,409) (6,362)
activities
2. Cash flows from investing activities - -
2.1 Payments to acquire or for:
(a) entities
(b) tenements (2,373) (4,019)
(c) property, plant and equipment (27) (68)
(d) exploration & evaluation (3,069) (11,543)
(e) investments - -
(f) other non-current assets - -
2.2 Proceeds from the disposal of: - -
(a) entities
(b) tenements - -
(c) property, plant and equipment - -
(d) investments - -
(e) other non-current assets - -
2.3 Cash flows from loans to other entities - -
2.4 Dividends received (see note 3) - -
2.5 Other (CMP recoup) 1,292 1,292
2.6 Net cash from / (used in) investing (4,177) (14,338)
activities
3. Cash flows from financing activities 40,000 54,189
3.1 Proceeds from issues of equity securities
(excluding
convertible debt securities)
3.2 Proceeds from issue of convertible debt - -
securities
3.3 Proceeds from exercise of options - -
3.4 Transaction costs related to issues of (3,064) (3,672)
equity securities
or convertible debt securities
3.5 Proceeds from borrowings - -
3.6 Repayment of borrowings - -
3.7 Transaction costs related to loans and - -
borrowings
3.8 Dividends paid - -
3.9 Other (provide details if material) - -
3.10 Net cash from / (used in) financing 36,936 50,517
activities
4. Net increase / (decrease) in cash and
cash equivalents
for the period
4.1 Cash and cash equivalents at beginning of 4,624 5,189
period
4.2 Net cash from / (used in) operating (2,409) (6,362)
activities (item
1.9 above)
4.3 Net cash from / (used in) investing (4,177) (14,338)
activities (item
2.6 above)
4.4 Net cash from / (used in) financing 36,936 50,517
activities (item
3.10 above)
4.5 Effect of movement in exchange rates on 246 214
cash held
4.6 Cash and cash equivalents at end of 35,220 35,220
period
5. Reconciliation of cash and cash Current quarter Previous quarter
equivalents $A'000 $A'000
at the end of the quarter (as shown in
the consolidated
statement of cash flows) to the
related items in the
accounts
5.1 Bank balances 5,428 124
5.2 Call deposits 29,792 4,500
5.3 Bank overdrafts - -
5.4 Other (provide details) - -
Cash and cash equivalents at end of
quarter (should
5.5 equal item 4.6 above) 35,220 4,624
6. Payments to related parties of the entity and their Current quarter
associates $A'000
Aggregate amount of payments to related parties and
6.1 their associates included in item 1 234
6.2 Aggregate amount of payments to related parties and -
their associates included in item 2
Note: if any amounts are shown in items 6.1 or 6.2,
your quarterly activity report must include a description
of, and an explanation for, such payments.
7. Financing facilities Total facility Amount drawn at
Note: the term "facility' includes amount at quarter quarter end
all forms of financing end $A'000
arrangements available to the $A'000
entity.Add notes as necessary for an
understanding of the
sources of finance available to the
entity.
7.1 Loan facilities - -
7.2 Credit standby arrangements - -
7.3 Other (please specify) - -
7.4 Total financing facilities - -
7.5 Unused financing facilities available at quarter end -
7.6 Include in the box below a description of each facility
above, including the lender, interest rate, maturity
date and whether it is secured or unsecured. If any
additional financing facilities have been entered
into or are proposed to be entered into after quarter
end, include a note providing details of those facilities
as well.
8. Estimated cash available for future operating activities $A'000
Net cash from / (used in) operating activities (item
8.1 1.9) (2,409)
8.2 (Payments for exploration & evaluation classified (3,069)
as investing activities) (item 2.1(d))
8.3 Total relevant outgoings (item 8.1 + item 8.2) (5,478)
8.4 Cash and cash equivalents at quarter end (item 4.6) 35,220
8.5 Unused finance facilities available at quarter end -
(item 7.5)
8.6 Total available funding (item 8.4 + item 8.5) 35,220
8.7 Estimated quarters of funding available (item 8.6 6.43
divided by item 8.3)
Note: if the entity has reported positive relevant
outgoings (ie a net cash inflow) in item 8.3, answer
item 8.7 as "N/A". Otherwise, a figure for the estimated
quarters of funding available must be included in
item 8.7.
8.8 If item 8.7 is less than 2 quarters, please provide
answers to the following questions:
8.8.1 Does the entity expect that it will continue
to have the current level of net operating cash flows
for the time being and, if not, why not?
N/A
8.8.2 Has the entity taken any steps, or does it propose
to take any steps, to raise further cash to fund its
operations and, if so, what are those steps and how
likely does it believe that they will be successful?
N/A
8.8.3 Does the entity expect to be able to continue
its operations and to meet its business objectives
and, if so, on what basis?
N/A
Note: where item 8.7 is less than 2 quarters, all
of questions 8.8.1, 8.8.2 and 8.8.3 above must be
answered.
Compliance statement
1. This statement has been prepared in accordance with accounting standards
and policies which comply with Listing Rule 19.11A.
2. This statement gives a true and fair view of the matters disclosed.
Date: 30 April 2026
Authorised by: By the Board
(Name of body or officer authorising release -- see
note 4)
Notes
1. This quarterly cash flow report and the accompanying
activity report provide a basis for informing the
market about the entity's activities for the past
quarter, how they have been financed and the effect
this has had on its cash position. An entity that
wishes to disclose additional information over and
above the minimum required under the Listing Rules
is encouraged to do so.
2. If this quarterly cash flow report has been prepared
in accordance with Australian Accounting Standards,
the definitions in, and provisions of, AASB 6: Exploration
for and Evaluation of Mineral Resources and AASB 107:
Statement of Cash Flows apply to this report. If this
quarterly cash flow report has been prepared in accordance
with other accounting standards agreed by ASX pursuant
to Listing Rule 19.11A, the corresponding equivalent
standards apply to this report.
3. Dividends received may be classified either as cash
flows from operating activities or cash flows from
investing activities, depending on the accounting
policy of the entity.
4. If this report has been authorised for release to
the market by your board of directors, you can insert
here: "By the board". If it has been authorised for
release to the market by a committee of your board
of directors, you can insert here: "By the [name of
board committee -- eg Audit and Risk Committee]".
If it has been authorised for release to the market
by a disclosure committee, you can insert here: "By
the Disclosure Committee".
5. If this report has been authorised for release to
the market by your board of directors and you wish
to hold yourself out as complying with recommendation
4.2 of the ASX Corporate Governance Council's Corporate
Governance Principles and Recommendations, the board
should have received a declaration from its CEO and
CFO that, in their opinion, the financial records
of the entity have been properly maintained, that
this report complies with the appropriate accounting
standards and gives a true and fair view of the cash
flows of the entity, and that their opinion has been
formed on the basis of a sound system of risk management
and internal control which is operating effectively.
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SOURCE Hot Chili Limited
Copyright CNW Group 2026
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April 30, 2026 07:00 ET (11:00 GMT)