Cortadera delivers impressive drill results for Hot Chili

By Trevor Hoey. Published at May 9, 2019, in Mining

Hot Chili Ltd (ASX:HCH) has released impressive first results from its drill program across the Cortadera copper-gold porphyry discovery in Chile, while management also confirmed its intention to expand plans for further exploration.

As a backdrop, on February 22, 2019, Hot Chili executed a formal Option Agreement to acquire a 100% interest in Cortadera.

Cortadera is a privately-owned, major copper-gold porphyry discovery located along the Chilean coastal range, where historical world-class discovery drill results have only recently been publicly released by Hot Chili.

In early April, the company commenced a confirmation drilling programme comprising 17 holes for approximately 5000 metres of reverse circulation (RC) drilling.

The drilling aims to confirm and extend areas of surface enrichment and wide, higher-grade, copper-gold sulphide mineralisation, which had not previously been closed off by 23,000 metres of historical diamond drilling.

Results provide early validation

Hot Chili’s chairman Murray Black was buoyed by early results, and in pointing to their strategic significance in terms of the company’s view of Cortadera as a major new copper-gold discovery he said, “Results announced today are the first step in Hot Chili’s validation of Cortadera as a major copper-gold discovery, that has the potential to be transformative for the company.

“Under a combined development scenario, Cortadera and Productora look likely to underpin a globally significant new copper development on the coastal range of Chile, virtually unrivalled in size, location and infrastructure advantage by our peers.”

Importantly, Cortadera lies only 14 kilometres from Hot Chili’s large-scale Productora copper development and adjacent to the high grade El Fuego satellite copper projects.

As indicated below, it is ideally positioned in terms of creating a ‘hub and spoke’ mining operation with multiple sources of feed being processed through a central facility.

Alternatively, given the potential size of some of the individual deposits there could also be justification for additional processing plants.

Wide copper sulphide mineralisation intersected

Deep RC drilling is currently being completed across the main porphyry (Cuerpo 3) where previous diamond drilling had recorded wide copper sulphide intersections which remained open up-dip, down-dip and laterally.

Some of the more impressive intersections included 864 metres at 0.4% copper and 0.1g/t gold from 62 metres down-hole, 406 metres grading 0.4% copper and 0.2g/t gold from 276 metres down-hole and 198 metres at 0.6% copper and 0.2g/t gold from 652 metres down-hole.

The latter indicates that deeper drilling may sector higher grade mineralisation, and the upcoming introduction of complementary diamond drilling (DD) could reveal some promising results.

Several deep RC drill holes completed across Cuerpo 3 have ended in mineralisation at the limit of RC depth penetration which is approximately 350 metres down-hole.

Management is now extending these RC holes with DD tails and it is expected that RC drilling will be complete within the coming week.

Diamond drilling commenced two days ago and will operate over the coming weeks to complete the company’s initial confirmation phase of drilling at Cortadera.

High gold-copper ratio suggest robust gold credits

Hot Chili’s drilling programme has been underway for approximately four weeks, targeting each of the three porphyries that comprise the Cortadera discovery.

Initial shallow RC drilling has been completed across two of Cortadera’s porphyry centres (Cuerpo 1 and 2) with current deep RC drilling focused across the main porphyry (Cuerpo 3) within the two kilometre long discovery zone as indicated above.

Hot Chili completed four shallow RC holes across Cuerpo 2 to confirm the presence of wide copper and gold mineralisation intersected by previous diamond drilling, and each hole recorded extensive copper and gold from surface.

Surface intercepts included 122 metres grading 0.6% copper and 0.3 grams per tonne gold and 118 metres grading 0.5% copper and 0.3 grams per tonne gold.

Black said, “These results confirm the potential for Cortadera to host significant zones of higher grade copper associated with chalcocite enrichment in the near-surface profile of the deposit.

“Results from the four RC drill holes at Cuerpo 2 also highlighted very strong gold enrichment in the near-surface profile.

“The high gold-copper ratio of approximately 0.5 being recorded in previous drilling as well as Hot Chili’s confirmation drilling is very positive for the presence of a substantial gold credit in any early-stage development that may be considered.”

The first of several RC drill holes directed towards Cuerpo 1 porphyry also recorded a wide intersection of 144 metres at 0.5% copper and 0.1 grams per tonne gold from surface.

The result provides confidence in the use of RC drilling at Cortadera as a more cost-effective drilling technique to utilise for future exploration of the shallower portions of the discovery.

Consequently, this will have a positive impact on Hot Chili’s future studies regarding the project’s commercial viability and economic returns.

Recent results could well provide share price momentum, and with management releasing information in relation to assays currently being analysed over the coming weeks there is scope for further upside.

View Our Investment Portfolios

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why is Australia’s leading small cap publication

Founded seven years ago, is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise. provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more. is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!