Hot Chili Reports Drill Results from La Verde Copper-Gold Discovery

• Drillhole DKD036 intersected 150m grading 0.52% CuEq (0.37% Cu, 0.21 g/t Au) from 30m depth, including 38m at 0.70% CuEq from 117m
• Drillhole DKD035 intersected 220m grading 0.47% CuEq (0.37% Cu, 0.14 g/t Au) from 38m depth, including 68m at 0.64% CuEq from 187m
• Results add to nine previously reported intersections across a 400m x 400m zone of near-surface copper-gold mineralisation
• Visual logging of drillhole DKD039 recorded approximately 150m of copper porphyry-style mineralisation at depth, with assays pending until April 2026
• Second drill rig expected to commence shortly, with initial metallurgical testwork indicating similar recoveries to Costa Fuego deposits

Hot Chili Limited (ASX: HCH, TSXV: HCH, OTCQX: HHLKF) is an Australian-based mineral exploration and development company advancing the Costa Fuego copper-gold project in Chile's coastal Atacama region. The company released a Pre-Feasibility Study for Costa Fuego in March 2025. La Verde is a porphyry discovery located within the company's Domeyko tenement package, positioned 30km from the planned Costa Fuego processing facility.

Shallow High-Grade Drill Results at La Verde

Hot Chili released results from two diamond drillholes at La Verde. Both holes intersected mineralisation beginning immediately beneath shallow gravel cover. Drillhole DKD036 returned 150m grading 0.52% CuEq from 30m depth. Within this interval, 38m graded 0.70% CuEq (0.55% Cu, 0.21 g/t Au) from 117m depth. Drillhole DKD035 returned 220m grading 0.47% CuEq (0.37% Cu, 0.14 g/t Au) from 38m depth, including 68m at 0.64% CuEq (0.52% Cu, 0.15 g/t Au) from 187m depth.

These results bring the total to eleven significant drill intersections at La Verde, spanning a 400m x 400m area. The latest results from DKD035 and DKD036 are located up-dip from previously reported drillhole DKD032, which returned 148m grading 0.82% CuEq (0.60% Cu, 0.30 g/t Au) from 70m depth. These results are expected to contribute a higher-grade starter pit to the Costa Fuego open pit mine schedule.

Two diamond tail extensions of earlier reverse circulation holes also returned results. Drillhole DKP021D intersected 54m grading 0.42% CuEq (0.34% Cu, 0.11 g/t Au) from 593m depth, including 19m at 0.66% CuEq (0.51% Cu, 0.21 g/t Au) from 593m depth. The original reverse circulation hole returned 80m at 0.3% CuEq from 234m and 46m at 0.3% CuEq from 324m.

Expansion of High-Grade Core at Depth with DKD039

Drillhole DKD039 is currently in progress, with visual logging completed but laboratory assays pending. Between 580m and 730m downhole depth, geologists recorded copper porphyry-style mineralisation featuring chalcopyrite and pyrite in strongly veined tonalite host rock. Visual estimates place chalcopyrite abundance at greater than 1% on average across this interval, with several sections recording chalcopyrite above 3%.

This visual mineralisation expands La Verde's high-grade core at depth, with assay results expected in April 2026. Visual estimates should not substitute for laboratory analyses, and assay results will be reported in accordance with JORC Code and National Instrument 43-101 standards.

Phase Two Drill Programme Expansion with Second Rig

Hot Chili is expanding its Phase Two drill programme, with a second drill rig expected to commence shortly. The second rig will use reverse circulation drilling technology. The company currently operates one diamond drill rig on double-shift operations.

Initial metallurgical testwork for La Verde, conducted using seawater, indicates similar metal recoveries to those recorded at Costa Fuego. Sample selection for further metallurgical testwork is underway. Assay results are outstanding for five diamond drillholes, including DKD039. The company operates under approved drilling permits at the Domeyko project, which comprises 27 mining concessions totalling approximately 4,400 hectares.

Next Steps and Outstanding Work

Assay results for drillhole DKD039 and four other completed diamond drillholes are expected in April 2026. The second drill rig is scheduled to commence operations in the near term. Further metallurgical testwork is planned following sample selection from recently completed holes.

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