Broad, Shallow Copper-Gold Intersections Continue to Grow La Verde

Hot Chili Limited has released continued Reverse Circulation (RC) results from the La Verde Cu-Au porphyry discovery, located 30 km south of the Costa Fuego processing hub in Chile's coastal Atacama region. These findings come ahead of a maiden Mineral Resource Estimate (MRE).

Key intercepts from the latest drilling include:

• DKP075: 188 m grading 0.56% CuEq (0.44% Cu, 0.16 g/t Au) from 24 m. This updates a previously reported 132 m @ 0.57% CuEq from 24 m, extending the hole by 56 m at essentially unchanged grade. A second interval of 29 m @ 0.50% CuEq (0.39% Cu, 0.15 g/t Au) runs from 304 m to the end of the hole.
• DKP067: 112 m grading 0.47% CuEq (0.40% Cu, 0.10 g/t Au) from 42 m (partial), including 26 m @ 0.70% CuEq (0.59% Cu, 0.14 g/t Au) from 62 m. The first 42 m of the hole remain outstanding.
• DKP078: 240 m grading 0.43% CuEq (0.30% Cu, 0.17 g/t Au) from 36 m, including 54 m @ 0.60% CuEq from 46 m and 42 m @ 0.50% CuEq from 188 m. The hole was collared within the high-grade core at a different orientation to prior holes.

Table 1 also lists several weaker holes not highlighted in the main text: DKP072 (160 m @ 0.37% CuEq), DKP082 (158 m @ 0.36% CuEq), DKP079 (54 m @ 0.30% CuEq), DKP077 (44 m @ 0.33% CuEq), DKP080 (16 m @ 0.24% CuEq), and DKP081 (30 m @ 0.35% CuEq, abandoned and redrilled as DKP082).

Assays from 25 drillholes (three diamond, one diamond tail, 21 RC) remain pending. The cutoff is a nominal 0.20% Cu. The maiden MRE is targeted for later in 2026, with integration into a revised Costa Fuego PFS and EIA submission planned for Q2 2027.

Hot Chili Limited (HCH) has released drilling results from its La Verde project, which the company describes as solid, on-model confirmation drilling that supports the maiden resource estimate (MRE). The asset is currently in a pre-production development stage, with a pre-feasibility study (PFS) complete and a maiden reserve defined at Costa Fuego. However, the La Verde deposit itself remains a pre-resource asset with no defined mineral resource estimate (MRE).

The latest results refine a footprint already known to the company rather than enlarging the system or demonstrably improving the mine plan. While the grade of 0.56% copper equivalent (CuEq) sits at the higher end of La Verde’s historical range, the intercepts represent a length shortfall compared to previous standout results.

Key prior intercepts include: * DKD039: 725 m @ 0.42% CuEq, including 62 m @ 1.03% (April 2026), totaling approximately 305 %-m. * DKD044: 391 m @ 0.51% CuEq from surface (June 2026), totaling approximately 199 %-m. * DKP063: 398 m @ 0.45% CuEq from surface, including 62 m @ 0.91% (Sept 2026), totaling approximately 179 %-m.

The best result from this latest release was approximately 105 %-m, which is well below the figures established by the prior holes. The company notes that the results are in-line with, but dimensionally smaller than, the best prior holes and do not clear the bar set by DKD039, DKD044, or DKP063.

The La Verde discovery previously drove the stock to triple from approximately A$0.80 in November 2025 to A$2.05 in June 2026. Since that peak, the share price has round-tripped to A$1.50. The market appears to no longer be paying a premium for incremental reverse circulation (RC) holes that do not materially expand the system or improve grade.

Hot Chili Limited (ASX/TSXV: HCH; OTCQX: HHLKF) is a copper-gold developer headquartered in Applecross, Western Australia. Its flagship project is Costa Fuego, located in the Huasco Valley of Chile, which combines the Cortadera, Productora, Alice, and San Antonio assets. The Preliminary Feasibility Study (PFS), effective 27 March 2025, reports an Indicated resource of 798 Mt @ 0.45% CuEq and an Inferred resource of 203 Mt @ 0.31% CuEq. The project features a post-tax NPV (8%) of US$1.20B, an IRR of 19%, a 20-year life, C1 costs of US$1.38/lb Cu, and start-up capital of US$1.27B.

The company also holds a growth asset, La Verde, a coastal Cu-Au porphyry discovery located approximately 30 km south of the planned Costa Fuego processing hub. Currently in the pre-resource stage, La Verde is the subject of this release. To support operations, Hot Chili owns 80% of Huasco Water, a permitted seawater desalination business that enables zero-groundwater processing.

Major shareholders include Glencore and GS Group, holding approximately 7.5%, and Blue Spec, holding approximately 5.1%. Institutional investors hold roughly 37% of the company, while retail investors hold approximately 43%.

Prior-period context not disclosed in today's release indicates that for the fiscal year ending 30 June 2025, Hot Chili reported a net loss of A$11.6M, an EPS of -A$0.07, and a book value of approximately A$1.58 per share. Cash holdings were A$5.2M at year-end. According to the investor presentation, cash stood at approximately A$46M as of 31 July 2026, following an A$40M placement in February 2026 and a US$15M OR Royalties amendment in July 2026. The market cap was shown as approximately A$316M in the September 2026 deck.