Hot Chili Reports Further High-Grade Drilling Results at La Verde in Chile

• RC drilling at La Verde returned up to 250 metres grading 0.50% copper equivalent (CuEq) from shallow depths.
• Step-out diamond drilling intersected 213 metres at 0.44% CuEq and 258.9 metres at 0.42% CuEq, extending mineralisation further east and west at depth.
• Assays remain pending for 21 drillholes, with a second accredited laboratory now operating at full capacity.
• A maiden Mineral Resource Estimate for La Verde is targeted for later this year, ahead of a revised Pre-Feasibility Study for Costa Fuego.
• Submission of an Environmental Impact Assessment for Costa Fuego is targeted for the second quarter of 2027.

Hot Chili Limited (ASX:HCH, TSXV:HCH, OTCQX:HHLKF) is an Australia-based copper and gold company developing the Costa Fuego project in Chile's coastal Atacama region. The project combines several deposits, including the La Verde discovery, into a single planned central processing hub. Hot Chili's current work includes exploration drilling at La Verde and the technical and environmental studies required to advance Costa Fuego.

Near-Surface Enrichment Zone Delineation Continuing With RC Drilling Returning Up to 250m at 0.50% CuEq From Shallow Depths

RC drilling at La Verde returned further results from the up-dip extension of the deposit's high-grade core. Hole DKP053 returned 250 metres grading 0.50% CuEq (0.39% copper, 0.14 grams per tonne gold) from 64 metres depth, including 36 metres at 0.72% CuEq. Holes DKP054, DKP056 and DKP058 returned comparable results, each starting within 65 metres of surface.

These intersections form part of a near-surface zone the Company has described as capable of delivering a higher-grade starter pit opportunity for Costa Fuego. Assays remain pending for a nearby hole, DKP052, located within the same drilled area.

A starter pit refers to an initial, typically higher-grade portion of a deposit identified for early-stage mining within a broader project. The results reported extend the area over which this near-surface zone has been drill-tested.

Step-Out Diamond Drilling Confirming Significant Expansion of La Verde High-Grade Core at Depth

Diamond drilling further from the deposit's known extent also returned assay results. Hole DKD049 returned 213 metres grading 0.44% CuEq from 504 metres depth, including 57.3 metres at 0.60% CuEq. Hole DKP028D returned 258.9 metres grading 0.42% CuEq from 358 metres, including 27.4 metres at 0.76% CuEq.

DKD049 was drilled as a 175 metre step-out from DKD039, the hole that had previously returned La Verde's highest grade and widest intersection, and extended mineralisation along the deposit's eastern side. DKP028D extended a previous RC hole that had ended in mineralisation, adding a further 200 metres of mineralised material on the deposit's western side.

Step-out drilling tests the extent of a known deposit beyond areas already drilled. The results from DKD049 and DKP028D extend the drill-defined footprint of La Verde's high-grade core at depth on both sides of the deposit.

Maiden MRE and Revised PFS Integration With Environmental Impact Assessment Submission Targeted Q2 2027

Hydrogeological, geotechnical, metallurgical, mine engineering and environmental workstreams are underway to support the integration of La Verde into the Costa Fuego project. These studies inform the resource and engineering work required before a development decision.

A maiden Mineral Resource Estimate (MRE) for La Verde, which quantifies the size and grade of a deposit based on drilling data, is expected later this year. This is to be followed by a revised Pre-Feasibility Study (PFS) for Costa Fuego, an economic assessment of project viability, and then submission of an Environmental Impact Assessment (EIA), a regulatory approval requirement in Chile, targeted for the second quarter of 2027.

Costa Fuego is currently ranked among the world's top five independent copper developments by scale that are not controlled by a major mining company, according to the Company's July 2026 corporate presentation. Hot Chili states that integrating La Verde is expected to affect Costa Fuego's financial metrics and standing among comparable projects.

Milestones and Next Steps

Assays remain pending for 21 drillholes, and the Company's second accredited laboratory is now operating at full capacity. Hot Chili has stated it expects increased news flow following the improvement in assay turnaround times and remedial works carried out after recent rain events in the Atacama region, with further La Verde drill results expected shortly. Subsequent milestones include the maiden Mineral Resource Estimate for La Verde later this year, a revised Pre-Feasibility Study for Costa Fuego, and submission of the Environmental Impact Assessment targeted for the second quarter of 2027.

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