Hot Chili drills away as comparisons to Winu start to look rosier
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Special Report: Hot Chili investors will soon have new drilling results to mull over as the company moves to extend a copper discovery which is shaping up to be a big one.
Hot Chili (ASX:HCH) told the market this morning that it had wrapped up drilling on the first of two diamond holes aiming to follow-up on a high-grade zone at Cuerpo 3 at its Cortadera discovery.
Cuerpo 3 is the largest of four porphyries that make up Cortadera, which has previously been tested by the drillbit.
A previous diamond hole (CRP0013D) at Cortadera had brought back 188m grading 0.9 per cent copper and 0.4 grams per tonne (g/t) gold.
This was within a broader hit of 750m grading 0.6 per cent copper and 0.2g/t gold from 204m.
The company said the first hole aiming to follow-up on this hit had been drilled, with initial assays due back within the next couple of weeks — but it was mainly drilled to provide the company with structural information.
It’s the second hole which could prove most fruitful for the company.
It’s being drilled as a 240m extension along strike from CRP0013D — which means if it hits it’s going to have even more on its plate.
The below gives you some idea of how Cortadera is shaping up — but Hot Chili thinks the mineralisation may even extend beyond this.
The company said new processing of existing IP-MT surveys had in effect identified a zone of interest about 400m to the north of Cuerpo 3.
While Hot Chili didn’t say when it may follow up on this lead (it’s got more drilling to do), it did start to flesh out the longer-term exploration prospects of the project.
Well, it could very well be in the same league as Rio Tinto’s Winu discovery, or SolGold’s Cascabel.
Managing director Christian Easterday said while the actual hits at Cortadera were comparable to Winu, its location made it favourable.
“Comparing the hits that are coming out of Cortadera to Winu, you’d have to say they’re at least on par, but we don’t have 50-100m of desert sand over the top of us,” he said.
The CRP0013D hit ranked in the top 50 copper-gold porphyry hits ever recorded — and immediately drew comparisons to Cascabel.
Cascabel has a resource of 3 billion tonnes at 0.37 per cent copper and 0.2g/t of gold.
Cortadera doesn’t quite have as many tonnes as Cascabel yet, but it’s doing the early work here to become a regional player.
The assays from the hole at Cuerpo 3 due out in coming weeks and extension drilling being done right now should provide even more of a picture as to whether Hot Chili can fulfil its potential.