Hot Chili begins diamond drilling at La Verde

Mr. Christian Easterday reports DIAMOND DRILLING COMMENCES AT LA VERDE CU-AU PORPHYRY DISCOVERY Hot Chili Ltd. has commenced diamond drilling at the La Verde copper-gold discovery, located approximately 30 kilometres south of the company's Costa Fuego copper-gold project planned central processing hub at low elevation in the coastal range of the Atacama region in Chile. Diamond drilling commenced on Sept. 22, 2025, with one drill rig in operation on a double-shift basis. This second phase of drilling at La Verde aims to significantly expand the initial shallow porphyry discovery. Phase 2 drilling follows the success of the company's first-pass reverse circulation (RC) drill program, which confirmed a significant greater-than-0.2-per-cent-copper discovery footprint measuring 1,000 metres by 750 metres and extending up to 400 metres vertical depth. Importantly, over half of Hot Chili's first-pass drill holes ended in significant mineralization at the capacity of RC drilling, leaving the porphyry discovery open at depth and laterally. To date, three spatially distinct higher-grade centres have been confirmed from near surface (refer to announcement dated May 19, 2025). Phase 2 diamond drilling will target depth extension to these high-grade centres. Impact modelling by Hot Chili has outlined the potential for significant additional open-pit material to be added to the front end of Coast Fuego's 20-year mine schedule, providing both mine life growth and materially enhanced financial metrics to Hot Chili's March, 2025, prefeasibility study for Costa Fuego. Regulatory applications for further drill access at La Verde are currently in the final stages of approval and will provide access to test lateral extensions to the discovery footprint as well as several nearby look-alike targets. The company looks forward to providing further updates on the results from drilling activities at La Verde. We seek Safe Harbor.