Cortadera resource growth likely as Hot Chili keeps the drill hits coming
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Hot Chili’s Cortadera copper-gold discovery is already hot property, but as the latest drill results show, there is still plenty of potential to spice things up further.
The company’s latest hole CRP0124D returned a broad intersection of 362m grading 0.6% copper equivalent (0.5% copper and 0.2 grams per tonne gold) from a depth of 480m down-hole that includes a higher grade interval of 82m at 1% copper equivalent from 634m.
Notably for Hot Chili (ASX:HCH), the result demonstrates continued expansion of high-grade resources across the northern flank of the main Cuerpo 3 porphyry.
Additionally, final assays from CRP0088D have upgraded the initial result to 486m at 0.6% copper equivalent including a 168m high-grade zone at 1% copper equivalent.
This shows strong continuity of high grade mineralisation across the North Flank over 400m of strike with further extensions expected ahead of the company’s plans to upgrade the current Cortadera resource of 451 million tonnes at 0.46% copper equivalent.
“Systematic extensional drill testing of multiple open flanks to the orebody is proving highly successful. The North Flank of the high grade core to the main porphyry is a significant resource addition with wide results of +1%Cu Eq now recorded in multiple drill holes,” managing director Christian Easterday said.
“We are also seeing highly encouraging, wide intersections in new shallow RC drilling at Cuerpo 2.
“Following our recent $40 million capital raising and Glencore’s strategic investment, we are now well positioned to accelerate and broaden our growth plans for Costa Fuego’s existing 724Mt resource base.
“We expect to deliver several announcements across all activity fronts (exploration, resource drilling, development studies and corporate) as we lead into a planned Q4 dual-listing in Canada this year.”
The results to date are certainly positive but Hot Chili expects to further expand the North Flank with assays pending from another step-out drilling hole.
CRP0134D has already returned a wide visual intersection of mineralised porphyry between 480m and 830m depth down-hole.
Mineralised porphyry in the hole comprises visual estimates of 0.7%-3% chalcopyrite contained as fine disseminations and in association with 2% to 8% B-vein abundance.
The company adds that it has completed a number of reverse circulation holes in updip positions across the Cuerpo 3 and Cuerpo 2 porphyries.
Several of these holes have been completed as pre-collars for deeper diamond tail extensions and others have tested areas of shallow resource potential across both porphyries where drill hole density was limited.
It noted that shallow drilling on the southern, eastern and northern flanks of Cuerpo 2 have been identified encouraging shallow mineralisation.
Assay results are pending for five drill holes, which have returned wide zones of oxide and sulphide mineralisation from surface.
Further drilling is being undertaken to assess this potential.
Besides assays pending for 27 holes drilled across the project, the company is also waiting on updates on its exploration across the broader Costa Fuego project.
Hot Chili is also advancing the pre-feasibility study for Costa Fuego and expects to make further corporate appointments ahead of its planned dual listing in Canada.
This article was developed in collaboration with Hot Chili, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.