ASX- and TSX-V-listed copper explorer Hot Chili has entered into a three-year option agreement to acquire a 100% interest in the historical La Verde openpit copper mine, in Chile.

The mine is about 30 km south of the company’s Costa Fuego copper/gold project’s planned central processing hub in the coastal range of the Atacama region, in Chile.

La Verde comprises significant historical openpit workings, where shallow porphyry copper oxide mineralisation was previously exploited by private interests across a strike extent of about 800 m, widths of up to 200 m and depths of up to 15 m. Historical drilling was limited to the surrounding leases, with little to no drilling undertaken across the mine area.

La Verde sits in the centre of Hot Chili’s recently consolidated and larger Domeyko landholding, secured in an option agreeement in April 2024. The execution of the La Verde option agreement marks the first time that the entire La Verde porphyry system has been consolidated and controlled by a single party, allowing for drill testing across a potentially much larger porphyry copper deposit footprint, measuring about 1.4 km by 1.2 km.

Hot Chili has undertaken several exploration programmes across the Domeyko region since April this year. These programmes were extended over the La Verde copper mine area as part of the due diligence process.

The company initiated a first-pass drill programme at La Verde, comprising 11 reverse circulation drill holes for about 4 000 m, on October 30, with one drill rig in operation. Two drill holes for 800 m are already complete, confirming wide intersections of porphyry-style copper mineralisation in both holes, based on visual logging, with assay results pending.

This latest project acquisition is an important step in Hot Chili’s ongoing consolidation and growth strategy for Costa Fuego. The company continues to evaluate opportunities to secure additional advanced prospects within economic distance of planned central processing facilities. This approach may provide additional bulk tonnage and/or high-grade copper/gold mineral resource additions for Costa Fuego.