Highlights
Hot Chili Completes CAD$33.8 Million Capital Raising and Share Consolidation
• Strong demand underpinned by several international and North American institutional investors, and some of Hot Chili’s largest shareholders including Glencore
• Share consolidation complete and funds secured for 18 months of drilling and development studies to advance the Company’s Costa Fuego copper-gold development project in Chile
Commencement of Trading on Canadian TSX Venture Exchange (TSXV:HCH)
• Completion of Initial Public Offering prospectus and commencement of TSXV trading on 4th January
• Appointment of experienced Canadian director Dr Nicole Adshead-Bell to the Board of Hot Chili
2021 Resource Drilling at Cortadera Complete
• Wide and shallow drill results expand open pit potential at Cortadera
o 156m grading 0.4% CuEq* (0.4% copper (Cu), 0.1g/t gold (Au)) from surface
o 80m grading 0.4% CuEq* (0.4% copper (Cu), 0.1g/t gold (Au)) from 10m depth
o 28m grading 0.7%CuEq* (0.7% copper (Cu), 0.1g/t gold (Au)) from surface
2022 Work Programme and Development Milestones On-Track
• Exploration drilling commenced across Productora Central porphyry target, first of several targets set for first drill testing in 2022
• Commercial negotiations advancing for Glencore Off-take (60% for first 8years) and Port Access-Service agreements
• Cortadera resource up-grade expected in Q1 2022 and Costa Fuego PFS expected in Q3 2022
SUMMARY OF OPERATIONAL ACTIVITIES
Cortadera Resource Growth Drilling
The Company’s 2021 resource growth drilling programme at the Cortadera copper-gold discovery in Chile continued with three drill rigs completing a total of 33 drill holes for 7,437m during the quarter.
Drilling during the quarter focussed on expanding remaining open flanks on each of Cortadera’s three porphyries and in-fill drill holes to upgrade the resource classification. Approximately 46,000m of additional drilling has been completed at Cortadera in 2021.
Highlights from Cortadera resource drilling during the quarter include:
• New drill results from Cortadera confirm growth of shallow resources at both Cuerpo 1 and 2. These include:
CRP0148 – 156m grading 0.4% CuEq* (0.4% copper (Cu), 0.1g/t gold (Au)) from surface, including 32m grading 0.6%CuEq* (0.5% copper (Cu), 0.2g/t gold (Au)) from 90m depth
CRP0183 – 80m grading 0.4% CuEq* (0.4% copper (Cu), 0.1g/t gold (Au)) from 10m depth including 12m grading 0.6%CuEq* (0.6% copper (Cu), 0.1g/t gold (Au)) from 44m depth
CRP0178 – 72m grading 0.4% CuEq* (0.4% copper (Cu), 0.1g/t gold (Au)) from surface including 28m grading 0.7%CuEq* (0.7% copper (Cu), 0.1g/t gold (Au)) from surface
• Expansion of the +0.4% CuEq mineralisation from surface at Cuerpo 2, and further expansion of the +0.3 CuEq* mineralisation extent across Cuerpo 1.
• Further assay results from Cortadera being compiled for release in advance of the Q1 2022 resource upgrade.
• Multiple resource development workstreams advancing across all resources comprising Costa Fuego
Cost Fuego Development PFS Advancing
The integrated Pre-Feasibility Study (PFS) on the combined Costa Fuego copper-gold development is progressing well with significant advances on metallurgical testwork programmes, mine scheduling, project right-sizing, geotechnical studies and infrastructure access.
Highlights from the Costa Fuego PFS during the quarter include:
• Execution of a Letter of Intent with Puerto Las Losas SA (PLL) to negotiate a port access and port services agreement for PLL’s facilities located at Huasco, approximately 50km west of Costa Fuego’s proposed processing plant (announced mid-January 2022).
o Under the terms of the Letter of Intent, PLL will finance a study for port services using the existing Puerto Las Losas dock for the shipment of copper concentrates and other materials related to the future construction and operation of Costa Fuego.
o PLL have undertaken to present Hot Chili with a binding offer for port services, within the next 12 weeks or less.
• Completion of initial power supplier process – multiple power providers confirm highly competitive, long-term power price environment with indicative quotations.
• Metallurgical flowsheet optimisation, as well as sulphide and oxide metallurgical testwork programmes underway in Australia.
• Preliminary mine scheduling and mine optimisations (open pit and cave extraction) complete to test 15Mtpa and 20Mtpa sulphide concentrator scale options is complete.
• Re-commencement of Environmental Impact Assessment baseline studies across Costa Fuego with the appointment of leading Chilean environmental consultancy GAC.
• Commencement of Hot Chili’s Environmental, Social and Governance (ESG) framework, leveraging-off the company’s strong involvement in local partnerships, social programmes and green credentials.
• Development study diamond drilling underway at Cortadera in mid-January to facilitate geotechnical and hydrology modelling.
Costa Fuego Exploration Drilling Commences
The Company has continued to advance its exploration strategy across its consolidated Costa Fuego landholding during the quarter.
In addition to regional soil sampling and mapping, the company commenced drilling activities across the first of several high impact growth targets, scheduled to be tested in 2022.
Highlights from Exploration across Costa Fuego during the quarter include:
• Exploration drilling commenced across the Productora central porphyry target, immediately adjacent to the Productora Mineral Resource – several large copper-gold targets scheduled for testing in 2022.
• Five deep RC holes complete at Productora Central, results pending.
• Approximately 889 soil samples were collected across the Cortadera regional area during the quarter.
• Systematic mapping and sampling undertaken across the gap zone between Cortadera and Santiago Z, as well as extensional work to the west of Santiago Z.
• Acquisition of advanced remote sensing datasets across the Costa Fuego region.
• Regulatory approval for drilling at Santiago Z received in early January, clearing scheduled to commence in February.
• Several regulatory applications submitted for drilling across new growth targets at Productora and Cortadera.
View looking SE across Productora – Drilling underway across a new, large 3D geochemical target identified immediately adjacent to the Productora resource.
Figure 1 Location of Productora and the Cortadera discovery in relation to the coastal range infrastructure of Hot Chili’s combined Costa Fuego copper project, located 600km north of Santiago in Chile
Refer to ASX Announcement “Costa Fuego Becomes a Leading Global Copper Project” (12th October 2020) for JORC Table 1 information related to the Cortadera JORC compliant Mineral Resource estimate by Wood and the Productora re-stated JORC compliant Mineral Resource estimate by AMC Consultants.
* Copper Equivalent (CuEq) reported for the resource were calculated using the following formula: CuEq% = ((Cu% × Cu price 1% per tonne × Cu_recovery) + (Mo ppm × Mo price per g/t × Mo_recovery)+(Au ppm × Au price per g/t × Au_recovery)+ (Ag ppm × Ag price per g/t × Ag_recovery)) / (Cu price 1% per tonne). The Metal Prices applied in the calculation were: Cu=3.00 USD/lb, Au=1,550 USD/oz, Mo=12 USD/lb, and Ag=18 USD/oz. For Cortadera (Inferred + Indicated), the average Metallurgical Recoveries were: Cu=83%, Au=56%, Mo=82%, and Ag=37%. For Productora (Inferred + Indicated), the average Metallurgical Recoveries were: Cu=83%, Au=43% and Mo=42%. For Costa Fuego (Inferred + Indicated), the average Metallurgical Recoveries were: Cu=83%, Au=51%, Mo=67% and Ag=23%.
** Reported on a 100% Basis – combining Cortadera and Productora Mineral Resources using a +0.25% CuEq reporting cut-off grade
|
Table 1 Significant Drill Results Reported in Q4 2021 |
||||||||||||||
|
Hole_ID |
Coordinates |
Azim |
Dip |
Hole Depth |
Intersection |
Interval |
Copper |
Gold |
Silver |
Molybdenum |
Cu Eq |
|||
|
North |
East |
RL |
From |
To |
(m) |
(% Cu) |
(g/t Au) |
(ppm Ag) |
(ppm Mo) |
(% Cu Eq) |
||||
|
CRP0148 |
6813870 |
335545 |
993 |
84 |
-61 |
252 |
0 |
252 |
252 |
0.3 |
0.1 |
0.6 |
4 |
0.4 |
|
including |
0 |
156 |
156 |
0.4 |
0.2 |
0.8 |
5 |
0.4 |
||||||
|
or including |
90 |
122 |
32 |
0.5 |
0.2 |
0.9 |
2 |
0.6 |
||||||
|
CRP0149 |
6813791 |
335636 |
1009 |
10 |
-58 |
266 |
112 |
204 |
92 |
0.3 |
0.1 |
0.4 |
3 |
0.3 |
|
CRP0151 |
6813865 |
335540 |
992 |
169 |
-75 |
162 |
0 |
124 |
124 |
0.2 |
0.1 |
0.5 |
15 |
0.3 |
|
CRP0152 |
6813938 |
335679 |
982 |
180 |
-60 |
162 |
10 |
158 |
148 |
0.2 |
0.1 |
0.5 |
10 |
0.2 |
|
CRP0153 |
6813959 |
335619 |
977 |
31 |
-60 |
102 |
36 |
86 |
50 |
0.3 |
0.1 |
0.5 |
18 |
0.3 |
|
CRP0154 |
6813959 |
335619 |
977 |
321 |
-60 |
168 |
8 |
114 |
106 |
0.2 |
0.1 |
0.4 |
17 |
0.2 |
|
CRP0158 |
6813926 |
335491 |
977 |
200 |
-60 |
150 |
4 |
66 |
62 |
0.4 |
0.1 |
0.6 |
11 |
0.4 |
|
including |
26 |
44 |
18 |
0.6 |
0.2 |
1 |
3 |
0.7 |
||||||
|
CRP0176 |
334831 |
6814172 |
953 |
143 |
-71 |
252 |
0 |
114 |
114 |
0.3 |
0.1 |
0.6 |
47 |
0.3 |
|
including |
0 |
24 |
24 |
0.6 |
0.1 |
1.2 |
8 |
0.6 |
||||||
|
CRP0177 |
334735 |
6814270 |
976 |
10 |
-60 |
294 |
14 |
34 |
20 |
0.3 |
0.1 |
0.5 |
34 |
0.3 |
|
CRP0178 |
334834 |
6814171 |
953 |
210 |
-70 |
312 |
0 |
72 |
72 |
0.4 |
0.1 |
0.8 |
46 |
0.4 |
|
including |
0 |
28 |
28 |
0.7 |
0.1 |
1.5 |
17 |
0.7 |
||||||
|
CRP0183 |
334935 |
6814283 |
960 |
257 |
-74 |
234 |
10 |
90 |
80 |
0.4 |
0.1 |
0.8 |
8 |
0.4 |
|
including |
44 |
56 |
12 |
0.6 |
0.1 |
1.1 |
12 |
0.6 |
||||||
|
and |
192 |
214 |
22 |
0.3 |
0 |
0.7 |
28 |
0.3 |
||||||
|
CRP0184 |
334814 |
6814328 |
957 |
199 |
-75 |
150 |
0 |
80 |
80 |
0.2 |
0.1 |
0.3 |
3 |
0.2 |
|
and |
124 |
150 |
26 |
0.4 |
0.1 |
1.2 |
2 |
0.4 |
||||||
Significant intercepts are calculated above a nominal cut-off grade of 0.2% Cu. Where appropriate, significant intersections may contain up to 30m down-hole distance of internal dilution (less than 0.2% Cu). Significant intersections are separated where internal dilution is greater than 30m down-hole distance. The selection of 0.2% Cu for significant intersection cut-off grade is aligned with marginal economic cut-off grade for bulk tonnage polymetallic copper deposits of similar grade in Chile and elsewhere in the world.
Down-hole significant intercept widths are estimated to be at or around true-widths of mineralisation
* Copper Equivalent (CuEq) reported for the drill holes were calculated using the following formula: CuEq% = ((Cu% × Cu price 1% per tonne × Cu_recovery)+(Mo ppm × Mo price per g/t × Mo_recovery)+(Au ppm × Au price per g/t × Au_recovery)+ (Ag ppm × Ag price per g/t × Ag_recovery)) / (Cu price 1% per tonne). The Metal Prices applied in the calculation were: Cu=3.00 USD/lb, Au=1,550 USD/oz, Mo=12 USD/lb, and Ag=18 USD/oz. Average Metallurgical Recoveries used were: Cu=83%, Au=56%, Mo=82%, and Ag=37%
|
Table 2 Details of all Drillholes Completed at Cortadera in Q4 2021 |
|||||||||
|
Quarter Drilled |
Prospect |
Hole_ID |
North
|
East |
RL |
Depth |
Azimuth |
Dip |
Results |
|
Q4 2021 |
Cuerpo 2-3 Gap Zone |
CRP0141D |
6813882 |
335901 |
999 |
963 |
227 |
-83 |
NSR |
|
Q4 2021 |
Cuerpo 3 |
CRP0146D |
6813367 |
336126 |
1066 |
1051 |
81 |
-79 |
Pending |
|
Q4 2021 |
Cuerpo 2 |
CRP0149D |
6813791 |
335636 |
1009 |
637 |
10 |
-58 |
Pending |
|
Q4 2021 |
Cuerpo 3 |
CRP0155D |
6813620 |
336273 |
1028 |
1140 |
65 |
-76 |
Pending |
|
Q4 2021 |
Cuerpo 2 |
CRP0159D |
6813916 |
335754 |
989 |
497 |
219 |
-73 |
NSR |
|
Q4 2021 |
Cuerpo 2 |
CRP0161D |
6813726 |
335586 |
1006 |
708 |
21 |
-59 |
Pending |
|
Q4 2021 |
Cuerpo 3 |
CRP0163 |
6813453 |
336344 |
1044 |
324 |
260 |
-75 |
Pending |
|
Q4 2021 |
Cuerpo 3 |
CRP0164D |
6813535 |
336309 |
1035 |
934 |
70 |
-72 |
Pending |
|
Q4 2021 |
Cuerpo 2-3 Gap Zone |
CRP0165 |
6813807 |
335749 |
1000 |
181 |
198 |
-61 |
NSR |
|
Q4 2021 |
Cuerpo 2-3 Gap Zone |
CRP0166 |
6813810 |
335751 |
1000 |
120 |
13 |
-60 |
NSR |
|
Q4 2021 |
Cuerpo 3 |
CRP0167D |
6813336 |
336528 |
1081 |
906 |
297 |
-78 |
Pending |
|
Q4 2021 |
Cuerpo 2-3 Gap Zone |
CRP0168 |
6813805 |
335747 |
1000 |
156 |
276 |
-65 |
NSR |
|
Q4 2021 |
Cuerpo 3 |
CRP0169 |
6813467 |
335839 |
1081 |
198 |
53 |
-67 |
Pending |
|
Q4 2021 |
Cuerpo 3 |
CRP0170D |
6813465 |
335840 |
1082 |
840 |
42 |
-65 |
Pending |
|
Q4 2021 |
Cuerpo 2-3 Gap Zone |
CRP0171 |
6813772 |
335815 |
999 |
106 |
296 |
-85 |
NSR |
|
Q4 2021 |
Cuerpo 2-3 Gap Zone |
CRP0172 |
6813712 |
335889 |
1008 |
176 |
19 |
-59 |
NSR |
|
Q4 2021 |
Cuerpo 2-3 Gap Zone |
CRP0173 |
6813776 |
335822 |
1000 |
91 |
21 |
-60 |
NSR |
|
Q4 2021 |
Cuerpo 2-3 Gap Zone |
CRP0174 |
6813705 |
335886 |
1008 |
134 |
201 |
-59 |
NSR |
|
Q4 2021 |
Cuerpo 2-3 Gap Zone |
CRP0175 |
6813765 |
335818 |
1000 |
111 |
201 |
-60 |
NSR |
|
Q4 2021 |
Cuerpo 1 |
CRP0176 |
6814172 |
334831 |
953 |
252 |
143 |
-71 |
Significant result |
|
Q4 2021 |
Cuerpo 1 |
CRP0177 |
6814270 |
334735 |
976 |
294 |
10 |
-60 |
Significant result |
|
Q4 2021 |
Cuerpo 1 |
CRP0178 |
6814171 |
334834 |
953 |
312 |
210 |
-70 |
Significant result |
|
Q4 2021 |
Cuerpo 3 |
CRP0179D |
6813528 |
336051 |
1033 |
646 |
226 |
-61 |
Pending |
|
Q4 2021 |
Cuerpo 3 |
CRP0180D |
6813470 |
336268 |
1058 |
727 |
215 |
-58 |
Pending |
|
Q4 2021 |
Cuerpo 1 |
CRP0181 |
6814264 |
334729 |
976 |
200 |
268 |
-59 |
NSR |
|
Q4 2021 |
Cuerpo 1 |
CRP0182 |
6814266 |
334740 |
976 |
312 |
201 |
-60 |
NSR |
|
Q4 2021 |
Cuerpo 1 |
CRP0183 |
6814286 |
334929 |
961 |
234 |
257 |
-74 |
Significant result |
|
Q4 2021 |
Cuerpo 1 |
CRP0184 |
6814325 |
334819 |
952 |
150 |
199 |
-75 |
Significant result |
|
Q4 2021 |
Cuerpo 2 |
CRP0185 |
6813877 |
335408 |
982 |
188 |
23 |
-74 |
NSR |
|
Q4 2021 |
Cuerpo 2 |
CRP0186 |
6814053 |
335610 |
991 |
100 |
169 |
-61 |
NSR |
|
Q4 2021 |
Cuerpo 2 |
CRP0187 |
6813748 |
335464 |
1004 |
204 |
170 |
-65 |
NSR |
|
Q4 2021 |
Cuerpo 3 |
CRP0188 |
6813475 |
336454 |
1045 |
204 |
347 |
-65 |
Pending |
|
Q4 2021 |
Cuerpo 3 |
CRP0189 |
6813521 |
336552 |
1071 |
264 |
181 |
-80 |
Pending |
|
Q4 2021 |
Productora Central |
PRF001 |
6821677 |
323055 |
837 |
451 |
265 |
-70 |
Pending |
Note 1: NSR – no significant intersection recorded
Figure 2. Plan view across the Cortadera discovery area displaying significant copper-gold DD intersections across Cuerpo 1, 2 and 3 tonalitic porphyry intrusive centres (represented by modelled copper envelopes, yellow- +0.1% Cu and magenta +0.4% Cu). Note the collar locations of HCH drilling (red) during the quarter
Figure 3. Plan view across Cuerpo 1 of the Cortadera discovery area displaying significant copper-gold DD intersections since the October 2020 resource estimate. The plan view displays the Mineral Resource extents (represented by modelled copper envelope, yellow- +0.1% Cu). Note the new significant results reported including CRP0183, CRP0176 and CRP0178. All new results are shown by cyan collars.
Figure 4 Plan view across Cuerpo 2 of the Cortadera discovery area displaying significant copper-gold DD intersections since the October 2020 resource estimate. The plan view displays the Mineral Resource extents (represented by modelled copper envelope, yellow- +0.1% Cu). Note the new significant results reported including CRP0158, and CRP0148. All new results are shown by cyan collars.
SUMMARY OF CORPORATE ACTIVITIES
CAD$33.8M Funding and Successful TSXV Canadian Dual Listing
During the fourth quarter, Hot Chili completed a successful CAD$33.8 million capital raising associated with its Initial Public Offering for dual listing on the Canadian TSX Venture Exchange (TSXV).
In addition, shareholders voted to consolidated the Company’s existing capital structure on a fifty for one basis.
Key Corporate Highlights during the quarter included:
• Shareholders overwhelmingly approved to consolidate the Company’s share structure on a fifty for one basis on 15th November
o The consolidation aligns Hot Chili’s share price within a range of its Canadian peers including Filo Mining (TSX: FIL, Share Price: CAN$9.00, Mkt Cap: CAN$1.019B), Josemaria Resources (TSX: JOSMF, Share Price: CAN$0.911, Mkt Cap: CAN$346M), Oroco Resources (TSXV: OCO, Share Price: CAN$2.40, Mkt Cap: CAN$460.3M) and Solaris Resources (TSX: SLS, Share Price: CAN$13.13, Mkt Cap: CAN$1.42B) as of 12th October 2021.
• IA Capital Markets and Cormark Securities Inc. of Canada (co-lead underwriters) agreed to arrange CAD$33.8M placement (the “Offering” or “Placement”) underpinned by several international and North American institutional investors, and some of Hot Chili’s largest shareholders including Glencore.
• Funds for 18 months of drilling and development studies to advance the Company’s Costa Fuego copper-gold development in Chile
• The Offering comprised new fully paid ordinary shares ("Shares") priced at CAD$1.55 per Share (14% discount to 15 day VWAP) as well as a half free-attaching warrant, exercisable at CAD$2.50 for every new Share successfully applied for with a term of two years (“Warrants”).
• Final prospectus in support of the Company’s application to list on the TSX Venture Exchange (TSXV) was filed on 21st December along with the issue of 21,567,286 Shares under the Offering, following receipt of CAD$33,429,293 in gross proceeds.
• Hot Chili was admitted to the TSXV with trading commencing on 4th January 2022 (TSXV:HCH).
• Appointment of Harbor Access LLC to provide investor relations consulting service to the Company and Independent Trading Group to provide market-making services in compliance with the policies and guidelines of the TSX Venture Exchange (the “TSXV”) and applicable legislation.
• Appointment of experienced mining and global capital markets professional, Dr Nicole Adshead-Bell, to the Board of Hot Chili.
Additional ASX Disclosure Information
ASX Listing Rule 5.3.2: There was no substantive mining production and development activities during the quarter.
ASX Listing Rule 5.3.3 – Schedule of Mineral Tenements as at 31 December 2021
The schedule of Mineral Tenements and changes in interests is appended at the end of this activities report.
ASX Listing Rule 5.3.4: Reporting under a use of funds statement in a Prospectus does not apply to the Company currently.
ASX Listing Rule 5.3.5: Payments to related parties of the Company and their associates during the quarter per Section 6.1 of the Appendix 5B totaled $5,732,545. This is comprised of Directors’ salaries and fees of $161,770 and payments to Blue Spec Sondajes, a company controlled by Mr Murray Black, for rents of $6,025 and drilling services of $5,564,750.
ASX Waivers. The Company applied for and was granted a waiver for the issue of up to 167,090 shares to unrelated parties and up to 14,996 shares to related parties in consideration for the payment of interest of 8% per annum on Convertible Notes, payable quarterly through the issue of shares (“Interest Shares”) over the 12 month period from the date of the Company’s Annual General Meeting held 14 December 2021 in respect to the quarters ending on 31 December 2021, 31 March 2022 and the period to 20 June 2022. Interest Shares issued during the quarter:
|
Table 3 Details of Interest Shares Issued During Q4 2021 |
|||
|
ITEM |
Unrelated party interest shares |
Related party interest shares |
Total interest shares |
|
Approved at AGM |
167,090 |
14,996 |
182,086 |
|
Issued pursuant to the 31 December 2021 quarter interest payable |
77,468 |
4,575 |
82,043 |
|
Remaining unissued as at 31 December 2021 |
89,622 |
10,421 |
100,043 |
Health, Safety, Environment and Quality
Hot Chili's sustainability framework ensures an emphasis on business processes that target long-term economic, environmental and social value. The Company is dedicated to continual monitoring and improvement of health, safety and the environmental systems.
Importantly, the Company has implemented COVID safety measures and procedures to ensure the safety of its staff, consultants and contractors during these challenging times. This has been critical in allowing for continuation of drilling and other field activities during the quarter.
The Company has refined these protocols and ensured adequate manning of each operational shift to maintain strong productivity at its operations, there is no greater importance than ensuring the safety of our people and their families.
No safety incidents were recorded this quarter. Field operations during the period including geological reconnaissance activities, RC and diamond drilling, field mapping and sampling exercises across the Cortadera, El Fuego and Productora landholdings. El Fuego field activities are run from the Cortadera operations centre and safety statistics are combined for reporting.
The Company’s HSEQ quarterly performance is summarised below:
|
Table 4 HSEQ Quarter 4 2021 Performance and Statistics |
||
|
Item |
Productora |
Cortadera |
|
October – December2021 |
October – December2021 |
|
|
LTI events |
0 |
0 |
|
NLTI events |
0 |
0 |
|
Days lost |
0 |
59 |
|
LTIFR index |
0 |
0 |
|
ISR index |
0 |
1809 |
|
IFR Index |
0 |
0 |
|
Thousands of mh (1) |
3.71 |
32.608 |
|
Incidents on materials and assets |
0 |
0 |
|
Environmental incidents |
0 |
0 |
|
Headcount (2) |
12 |
76 |
Notes: HSEQ is the acronym for Health, Safety, Environment and Quality. LTIFR per million man hours. Safety performance is reported on a monthly basis to the National Mine Safety Authority on a standard E-100 form; (1) man-hours; (2) Average monthly headcount
Tenement Changes During the Quarter
Changes to the Company’s tenement holdings during the quarter included:
1. Cortadera agreement: Ownership of all tenements in the Cortadera option agreement have been transferred 100% to Sociedad Minera Frontera SpA after payment of the final exercise price.
2. Purisima: Ownership of the Purisima tenement in the Purisma option agreement have been transferred 100% to Sociedad Minera Frontera SpA after payment of the final exercise price
3. 14 new mining exploration concessions petitions (pedimentos) have been submitted, have been granted and are soon to be exploration concessions (Solar 1 up to Solar 10, and Soledad 1 up to Soledad 4).
|
Table 5. Current Tenement (Patente) Holdings in Chile as at 31 December 2021 |
||||||||
|
Cortadera Landholding |
||||||||
|
License ID |
HCH % Held |
HCH % Earning |
Area (ha) |
Agreement Type & % |
||||
|
MAGDALENITA 1/20 |
100% Frontera SpA |
100 |
||||||
|
ATACAMITA 1/82 |
100% Frontera SpA |
82 |
||||||
|
AMALIA 942 A 1/6 |
100% Frontera SpA |
53 |
||||||
|
PAULINA 10 B 1/16 |
100% Frontera SpA |
136 |
||||||
|
PAULINA 11 B 1/30 |
100% Frontera SpA |
249 |
||||||
|
PAULINA 12 B 1/30 |
100% Frontera SpA |
294 |
||||||
|
PAULINA 13 B 1/30 |
100% Frontera SpA |
264 |
||||||
|
PAULINA 14 B 1/30 |
100% Frontera SpA |
265 |
||||||
|
PAULINA 15 B 1/30 |
100% Frontera SpA |
200 |
||||||
|
PAULINA 22 A 1/30 |
100% Frontera SpA |
300 |
||||||
|
PAULINA 24 1/24 |
100% Frontera SpA |
183 |
||||||
|
PAULINA 25 A 1/19 |
100% Frontera SpA |
156 |
||||||
|
PAULINA 26 A 1/30 |
100% Frontera SpA |
294 |
||||||
|
PAULINA 27A 1/30 |
100% Frontera SpA |
300 |
||||||
|
CORTADERA 1 1/200 |
100% Frontera SpA |
200 |
||||||
|
CORTADERA 2 1/200 |
100% Frontera SpA |
200 |
||||||
|
CORTADERA 41 |
100% Frontera SpA |
1 |
||||||
|
CORTADERA 42 |
100% Frontera SpA |
1 |
||||||
|
LAS CANAS 16 |
100% Frontera SpA |
1 |
||||||
|
LAS CANAS 1/15 |
100% Frontera SpA |
146 |
||||||
|
CORTADERA 1/40 |
100% Frontera SpA |
374 |
||||||
|
LAS CANAS ESTE 2003 1/30 |
100% Frontera SpA |
300 |
||||||
|
CORROTEO 1 1/260 |
100% Frontera SpA |
260 |
||||||
|
CORROTEO 5 1/261 |
100% Frontera SpA |
261 |
||||||
|
ROMERO 1 al 31 |
100% Frontera SpA |
31 |
||||||
|
PURISIMA |
20 |
|||||||
|
100% Frontera SpA |
||||||||
|
Productora Landholding |
||||
|
License ID |
HCH % Held |
HCH % Earning |
Area (ha) |
Agreement Type & % |
|
FRAN 1, 1-60 |
80% SMEA SpA |
220 |
||
|
FRAN 2, 1-20 |
80% SMEA SpA |
100 |
||
|
FRAN 3, 1-20 |
80% SMEA SpA |
100 |
||
|
FRAN 4, 1-20 |
80% SMEA SpA |
100 |
||
|
FRAN 5, 1-20 |
80% SMEA SpA |
100 |
||
|
FRAN 6, 1-26 |
80% SMEA SpA |
130 |
||
|
FRAN 7, 1-37 |
80% SMEA SpA |
176 |
||
|
FRAN 8, 1-30 |
80% SMEA SpA |
120 |
||
|
FRAN 12, 1-40 |
80% SMEA SpA |
200 |
||
|
FRAN 13, 1-40 |
80% SMEA SpA |
200 |
||
|
FRAN 14, 1-40 |
80% SMEA SpA |
200 |
||
|
FRAN 15, 1-60 |
80% SMEA SpA |
300 |
||
|
FRAN 18, 1-60 |
80% SMEA SpA |
273 |
||
|
FRAN 21, 1-46 |
80% SMEA SpA |
226 |
||
|
ALGA 7A, 1-32 |
80% SMEA SpA |
89 |
||
|
ALGA VI, 5-24 |
80% SMEA SpA |
66 |
||
|
MONTOSA 1-4 |
80% SMEA SpA |
35 |
||
|
CHICA |
80% SMEA SpA |
1 |
||
|
ESPERANZA 1-5 |
80% SMEA SpA |
11 |
||
|
LEONA 2A 1-4 |
80% SMEA SpA |
10 |
||
|
CARMEN I, 1-50 |
80% SMEA SpA |
222 |
||
|
CARMEN II, 1-60 |
80% SMEA SpA |
274 |
||
|
ZAPA 1, 1-10 |
80% SMEA SpA |
100 |
||
|
ZAPA 3, 1-23 |
80% SMEA SpA |
92 |
||
|
ZAPA 5A, 1-16 |
80% SMEA SpA |
80 |
||
|
ZAPA 7, 1-24 |
80% SMEA SpA |
120 |
||
|
CABRITO, CABRITO 1-9 |
80% SMEA SpA |
50 |
||
|
CUENCA A, 1-51 |
80% SMEA SpA |
255 |
||
|
CUENCA B, 1-28 |
80% SMEA SpA |
139 |
||
|
CUENCA C, 1-51 |
80% SMEA SpA |
255 |
||
|
CUENCA D |
80% SMEA SpA |
3 |
||
|
CUENCA E |
80% SMEA SpA |
1 |
||
|
CHOAPA 1-10 |
80% SMEA SpA |
50 |
||
|
ELQUI 1-14 |
80% SMEA SpA |
61 |
||
|
LIMARÍ 1-15 |
80% SMEA SpA |
66 |
||
|
LOA 1-6 |
80% SMEA SpA |
30 |
||
|
MAIPO 1-10 |
80% SMEA SpA |
50 |
||
|
TOLTÉN 1-14 |
80% SMEA SpA |
70 |
||
|
CACHIYUYITO 1, 1-20 |
80% SMEA SpA |
100 |
||
|
CACHIYUYITO 2, 1-60 |
80% SMEA SpA |
300 |
||
|
CACHIYUYITO 3, 1-60 |
80% SMEA SpA |
300 |
||
|
LA PRODUCTORA 1-16 |
80% SMEA SpA |
75 |
||
|
ORO INDIO 1A, 1-20 |
80% SMEA SpA |
82 |
||
|
AURO HUASCO I, 1-8 |
80% SMEA SpA |
35 |
||
|
URANIO, 1-70 |
0% |
0% |
350 |
25 year Lease Agreement |
|
JULI 9, 1-60 |
80% SMEA SpA |
300 |
||
|
JULI 10, 1-60 |
80% SMEA SpA |
300 |
||
|
JULI 11 1/60 |
80% SMEA SpA |
300 |
||
|
JULI 12 1/42 |
80% SMEA SpA |
210 |
||
|
JULI 13 1/20 |
80% SMEA SpA |
100 |
||
|
JULI 14 1/50 |
80% SMEA SpA |
250 |
||
|
JULI 15 1/55 |
80% SMEA SpA |
275 |
||
|
JULI 16, 1-60 |
80% SMEA SpA |
300 |
||
|
JULI 17, 1-20 |
80% SMEA SpA |
100 |
||
|
JULI 19 |
80% SMEA SpA |
300 |
||
|
JULI 20 |
80% SMEA SpA |
300 |
||
|
JULI 21 1/60 |
80% SMEA SpA |
300 |
||
|
JULI 22 |
80% SMEA SpA |
300 |
||
|
JULI 23 1/60 |
80% SMEA SpA |
300 |
||
|
JULI 24, 1-60 |
80% SMEA SpA |
300 |
||
|
JULI 25 |
80% SMEA SpA |
300 |
||
|
JULI 27 1/30 |
80% SMEA SpA |
150 |
||
|
JULI 27 B 1/10 |
80% SMEA SpA |
50 |
||
|
JULI 28 1/60 |
80% SMEA SpA |
300 |
||
|
JULIETA 5 |
80% SMEA SpA |
200 |
||
|
JULIETA 6 |
80% SMEA SpA |
200 |
||
|
JULIETA 7 |
80% SMEA SpA |
100 |
||
|
JULIETA 8 |
80% SMEA SpA |
100 |
||
|
JULIETA 9 |
80% SMEA SpA |
100 |
||
|
JULIETA 10 1/60 |
80% SMEA SpA |
300 |
||
|
JULIETA 11 |
80% SMEA SpA |
300 |
||
|
JULIETA 12 |
80% SMEA SpA |
300 |
||
|
JULIETA 13, 1-60 |
80% SMEA SpA |
298 |
||
|
JULIETA 14, 1-60 |
80% SMEA SpA |
269 |
||
|
JULIETA 15, 1-40 |
80% SMEA SpA |
200 |
||
|
JULIETA 16 |
80% SMEA SpA |
200 |
||
|
JULIETA 17 |
80% SMEA SpA |
200 |
||
|
JULIETA 18, 1-40 |
80% SMEA SpA |
200 |
||
|
ARENA 1 1-6 |
80% SMEA SpA |
40 |
||
|
ARENA 2 1-17 |
80% SMEA SpA |
113 |
||
|
ZAPA 1 – 6 |
80% SMEA SpA |
6 |
||
El Fuego Landholding
|
Licence ID |
HCH % Held |
HCH % Earning |
Area (ha) |
Agreement Type & % |
|
Santiago 21 al 36 |
|
90% Frontera SpA |
76 |
90% (HCH) Option Agreement USD 200,000 already paid. USD 300,000 to pay by November 7th, 2022. USD 6,700,000 by November 7th, 2023. |
|
Santiago 37 al 43 |
|
90% Frontera SpA |
26 |
|
|
Santiago A, 1 al 26 |
|
90% Frontera SpA |
236 |
|
|
Santiago B, 1 al 20 |
|
90% Frontera SpA |
200 |
|
|
Santiago C, 1 al 30 |
|
90% Frontera SpA |
300 |
|
|
Santiago D, 1 al 30 |
|
90% Frontera SpA |
300 |
|
|
Santiago E, 1 al 30 |
|
90% Frontera SpA |
300 |
|
|
Prima Uno |
|
90% Frontera SpA |
1 |
|
|
Prima Dos |
|
90% Frontera SpA |
2 |
|
|
Santiago 15 al 19 |
|
90% Frontera SpA |
25 |
|
|
San Antonio 1 al 5 |
|
90% Frontera SpA |
25 |
|
|
Santiago 1 AL 14 Y 20 |
|
90% Frontera SpA |
75 |
|
|
Mercedes 1 al 3 |
|
90% Frontera SpA |
50 |
|
|
CORTADERA 1 |
100% Frontera SpA |
|
200 |
|
|
CORTADERA 2 |
100% Frontera SpA |
|
200 |
|
|
CORTADERA 3 |
100% Frontera SpA |
|
200 |
|
|
CORTADERA 4 |
100% Frontera SpA |
|
200 |
|
|
CORTADERA 5 |
100% Frontera SpA |
|
200 |
|
|
CORTADERA 6 |
100% Frontera SpA |
|
300 |
|
|
CORTADERA 7, 1-20 |
100% Frontera SpA |
|
100 |
|
|
SAN ANTONIO 1 |
100% Frontera SpA |
|
200 |
|
|
SAN ANTONIO 2 |
100% Frontera SpA |
|
200 |
|
|
SAN ANTONIO 3 |
100% Frontera SpA |
|
300 |
|
|
SAN ANTONIO 4 |
100% Frontera SpA |
|
300 |
|
|
SAN ANTONIO 5 |
100% Frontera SpA |
|
300 |
|
|
DORO 1 |
100% Frontera SpA |
|
200 |
|
|
DORO 2 |
100% Frontera SpA |
|
200 |
|
|
DORO 3 |
100% Frontera SpA |
|
300 |
|
|
SANTIAGO Z |
|
100% Frontera SpA |
300 |
100% (HCH) Option Agreement USD 600,000 by January 22nd, 2024. NSR 1.5% |
|
Porfiada I |
|
100% Frontera SpA |
300 |
|
|
Porfiada II |
|
100% Frontera SpA |
300 |
|
|
Porfiada III |
|
100% Frontera SpA |
300 |
|
|
Porfiada IV |
|
100% Frontera SpA |
300 |
|
|
Porfiada V |
|
100% Frontera SpA |
200 |
|
|
Porfiada VI |
|
100% Frontera SpA |
100 |
|
|
SAN JUAN SUR 1/5 |
|
90% Frontera SpA |
10 |
90% (HCH) Option Agreement USD 150,000 by June 1st, 2023. USD 4,000,000 by June 1st, 2024. |
|
SAN JUAN SUR 6/23 |
|
90% Frontera SpA |
90 |
|
|
CHILIS 1 |
100% Frontera SpA |
|
200 |
|
|
CHILIS 2 |
100% Frontera SpA |
|
200 |
|
|
CHILIS 3 |
100% Frontera SpA |
|
100 |
|
|
CHILIS 4 |
100% Frontera SpA |
|
200 |
|
|
CHILIS 5 |
100% Frontera SpA |
|
200 |
|
|
CHILIS 6 |
100% Frontera SpA |
|
200 |
|
|
CHILIS 7 |
100% Frontera SpA |
|
200 |
|
|
CHILIS 8 |
100% Frontera SpA |
|
200 |
|
|
CHILIS 9 |
100% Frontera SpA |
|
300 |
|
|
CHILIS 10 |
100% Frontera SpA |
|
200 |
|
|
CHILIS 11 |
100% Frontera SpA |
|
200 |
|
|
CHILIS 12 |
100% Frontera SpA |
|
300 |
|
|
CHILIS 13 |
100% Frontera SpA |
|
300 |
|
|
CHILIS 14 |
100% Frontera SpA |
|
300 |
|
|
CHILIS 15 |
100% Frontera SpA |
|
300 |
|
|
CHILIS 16 |
100% Frontera SpA |
|
300 |
|
|
CHILIS 17 |
100% Frontera SpA |
|
300 |
|
|
CHILIS 18 |
100% Frontera SpA |
|
300 |
|
|
SOLAR 1 |
100% Frontera SpA |
|
300 |
|
|
SOLAR 2 |
100% Frontera SpA |
|
300 |
|
|
SOLAR 3 |
100% Frontera SpA |
|
300 |
|
|
SOLAR 4 |
100% Frontera SpA |
|
300 |
|
|
SOLAR 5 |
100% Frontera SpA |
|
300 |
|
|
SOLAR 6 |
100% Frontera SpA |
|
300 |
|
|
SOLAR 7 |
100% Frontera SpA |
|
300 |
|
|
SOLAR 8 |
100% Frontera SpA |
|
300 |
|
|
SOLAR 9 |
100% Frontera SpA |
|
300 |
|
|
SOLAR 10 |
100% Frontera SpA |
|
300 |
|
|
SOLEDAD 1 |
100% Frontera SpA |
|
300 |
|
|
SOLEDAD 2 |
100% Frontera SpA |
|
300 |
|
|
SOLEDAD 3 |
100% Frontera SpA |
|
300 |
|
|
SOLEDAD 4 |
100% Frontera SpA |
|
300 |
|
Qualifying Statements
The Mineral Resource summary for the Costa Fuego Project is presented in the following tables.
Productora Mineral Resource Summary – reported by classification (open pit, using +0.25% CuEq cut-off grade), 28 October 2021
Reported at or above 0.25% CuEq*. Figures in the above table are rounded, reported to appropriate significant figures, and reported in accordance with CIM and NI 43-101. Metal rounded to nearest thousand, or if less, to the nearest hundred.
Copper Equivalent (CuEq) reported for the drill holes were calculated using the following formula: CuEq% = ((Cu% × Cu price 1% per tonne × Cu_recovery)+(Mo ppm × Mo price per g/t × Mo_recovery)+(Au ppm × Au price per g/t × Au_recovery)+ (Ag ppm × Ag price per g/t × Ag_recovery)) / (Cu price 1% per tonne). The Metal Prices applied in the calculation were: Cu=3.00 USD/lb, Au=1,550 USD/oz, Mo=12 USD/lb, and Ag=18 USD/oz. Average Metallurgical Recoveries used were: Cu=83%, Au=56%, Mo=82%, and Ag=37%
** Note: Silver (Ag) is only present within the Cortadera Mineral Resource estimate
Competent Person’s Statement- Exploration Results
Exploration information in this Announcement is based upon work compiled by Mr Christian Easterday, the Managing Director and a full-time employee of Hot Chili Limited whom is a Member of the Australasian Institute of Geoscientists (AIG). Mr Easterday has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a ‘Competent Person’ as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (JORC Code). Mr Easterday consents to the inclusion in the report of the matters based on their information in the form and context in which it appears.
Competent Person’s Statement- Productora Mineral Resources
The information in this Announcement that relates to the Productora Project Mineral Resources, is based on information compiled by Mr N Ingvar Kirchner. Mr Kirchner is employed by AMC Consultants (AMC). AMC has been engaged on a fee for service basis to provide independent technical advice and final audit for the Productora Project Mineral Resource estimates. Mr Kirchner is a Fellow of the Australasian Institute of Mining and Metallurgy (AusIMM) and is a Member of the Australian Institute of Geoscientists (AIG). Mr Kirchner has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (the JORC Code 2012). Mr Kirchner consents to the inclusion in this report of the matters based on the source information in the form and context in which it appears.
Competent Person’s Statement- Cortadera and Costa Fuego Mineral Resources
The information in this report that relates to Mineral Resources for the Cortadera and combined Costa Fuego Project is based on information compiled by Elizabeth Haren, a Competent Person who is a Member and Chartered Professional of the Australasian Institute of Mining and Metallurgy and a Member of the Australian Institute of Geoscientists. Elizabeth Haren is employed as an associate Principal Geologist of Wood, who was engaged by Hot Chili Limited. Elizabeth Haren has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Elizabeth Haren consents to the inclusion in the report of the matters based on her information in the form and context in which it appears. For further information on the Costa Fuego Project, refer to the technical report titled "Resource Report for the Costa Fuego Technical Report", dated December 13, 2021, which is available for review under Hot Chili's profile at www.sedar.com.
Reporting of Copper Equivalent
Copper Equivalent (CuEq) reported for the resource were calculated using the following formula: CuEq% = ((Cu% × Cu price 1% per tonne × Cu_recovery)+(Mo ppm × Mo price per g/t × Mo_recovery)+(Au ppm × Au price per g/t × Au_recovery)+ (Ag ppm × Ag price per g/t × Ag_recovery)) / (Cu price 1 % per tonne). The Metal Prices applied in the calculation were: Cu=3.00 USD/lb, Au=1,550 USD/oz, Mo=12 USD/lb, and Ag=18 USD/oz. For Cortadera (Inferred + Indicated), the average Metallurgical Recoveries were: Cu=83%, Au=56%, Mo=82%, and Ag=37%. For Productora (Inferred + Indicated), the average Metallurgical Recoveries were: Cu=83%, Au=43% and Mo=42%. For Costa Fuego (Inferred + Indicated), the average Metallurgical Recoveries were: Cu=83%, Au=51%, Mo=67% and Ag=23%.
Appendix 5B
Mining exploration entity or oil and gas exploration entity quarterly cash flow report
Name of entity |
||
|
Hot Chili Limited |
||
ABN |
|
Quarter ended (“current quarter”) |
|
91 130 955 725 |
|
31 December 2021 |
Consolidated statement of cash flows |
Current quarter $A’000 |
Year to date ( 6 months) $A’000 |
|
|
Cash flows from operating activities |
91 |
91 |
|
1.1 |
Receipts from customers |
||
|
1.2 |
Payments for |
(6,149) |
(10,994) |
|
|
|
||
|
|
|
– |
– |
|
|
|
– |
– |
|
|
|
(324) |
(976) |
|
|
|
(854) |
(1,583) |
|
1.3 |
Dividends received (see note 3) |
– |
– |
|
1.4 |
Interest received |
– |
– |
|
1.5 |
Interest and other costs of finance paid |
– |
– |
|
1.6 |
Income taxes paid |
– |
– |
|
1.7 |
Government grants and tax incentives |
– |
– |
|
1.8 |
Other (provide details if material) |
– |
– |
|
1.9 |
Net cash from / (used in) operating activities |
(7,236) |
(13,462) |
|
|
|||
|
2. |
|
– |
– |
|
2.1 |
|
||
|
|
|
||
|
|
|
(1,785) |
(22,361) |
|
|
|
(43) |
(43) |
|
|
|
– |
– |
|
|
|
– |
– |
|
|
|
– |
– |
|
2.2 |
|
– |
– |
|
|
|
||
|
|
|
– |
– |
|
|
|
– |
– |
|
|
|
– |
– |
|
|
|
– |
– |
|
2.3 |
Cash flows from loans to other entities |
– |
– |
|
2.4 |
Dividends received (see note 3) |
– |
– |
|
2.5 |
Other (provide details if material) |
– |
– |
|
2.6 |
Net cash from / (used in) investing activities |
(1,828) |
(22,404) |
|
|
|||
|
3. |
Cash flows from financing activities |
36,409 |
76,412 |
|
3.1 |
Proceeds from issues of equity securities (excluding convertible debt securities) |
||
|
3.2 |
Proceeds from issue of convertible debt securities |
– |
– |
|
3.3 |
Proceeds from exercise of options |
285 |
467 |
|
3.4 |
Transaction costs related to issues of equity securities or convertible debt securities |
(2,391) |
(5,008) |
|
3.5 |
Proceeds from borrowings |
– |
– |
|
3.6 |
Repayment of borrowings (CMP option) |
– |
(2,179) |
|
3.7 |
Transaction costs related to loans and borrowings |
– |
– |
|
3.8 |
Dividends paid |
– |
– |
|
3.9 |
Other (provide details if material) |
– |
– |
|
3.10 |
Net cash from / (used in) financing activities |
34,303 |
69,692 |
|
|
|||
|
4. |
Net increase / (decrease) in cash and cash equivalents for the period |
|
|
|
4.1 |
Cash and cash equivalents at beginning of period |
12,063 |
3,476 |
|
4.2 |
Net cash from / (used in) operating activities (item 1.9 above) |
(7,236) |
(13,462) |
|
4.3 |
Net cash from / (used in) investing activities (item 2.6 above) |
(1,828) |
(22,404) |
|
4.4 |
Net cash from / (used in) financing activities (item 3.10 above) |
34,303 |
69,692 |
|
4.5 |
Effect of movement in exchange rates on cash held |
(196) |
(196) |
|
4.6 |
Cash and cash equivalents at end of period |
37,106 |
37,106 |
|
Reconciliation of cash and cash equivalentsat the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts |
Current quarter $A’000 |
Previous quarter $A’000 |
|
5.1 |
Bank balances |
37,018 |
11,974 |
|
5.2 |
Call deposits |
88 |
89 |
|
5.3 |
Bank overdrafts |
|
|
|
5.4 |
Other (provide details) |
|
|
|
5.5 |
Cash and cash equivalents at end of quarter (should equal item 4.6 above) |
37,106 |
12,063 |
|
Payments to related parties of the entity and their associates |
Current quarter $A'000 |
|
6.1 |
Aggregate amount of payments to related parties and their associates included in item 1 |
5,733 |
|
6.2 |
Aggregate amount of payments to related parties and their associates included in item 2 |
– |
|
Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an explanation for, such payments. |
||
|
Financing facilitiesNote: the term “facility’ includes all forms of financing arrangements available to the entity.Add notes as necessary for an understanding of the sources of finance available to the entity. |
Total facility amount at quarter end $A’000 |
Amount drawn at quarter end $A’000 |
|
7.1 |
Loan facilities |
– |
– |
|
7.2 |
Credit standby arrangements |
– |
– |
|
7.3 |
Other (please specify) |
– |
– |
|
7.4 |
Total financing facilities |
– |
– |
|
|
|
|
|
|
7.5 |
Unused financing facilities available at quarter end |
|
|
|
7.6 |
Include in the box below a description of each facility above, including the lender, interest rate, maturity date and whether it is secured or unsecured. If any additional financing facilities have been entered into or are proposed to be entered into after quarter end, include a note providing details of those facilities as well. |
||
|
|
|||
|
Estimated cash available for future operating activities |
$A’000 |
|
8.1 |
Net cash from / (used in) operating activities (item 1.9) |
(7,236) |
|
8.2 |
(Payments for exploration & evaluation classified as investing activities) (item 2.1(d)) |
– |
|
8.3 |
Total relevant outgoings (item 8.1 + item 8.2) |
(7,236) |
|
8.4 |
Cash and cash equivalents at quarter end (item 4.6) |
37,106 |
|
8.5 |
Unused finance facilities available at quarter end (item 7.5) |
– |
|
8.6 |
Total available funding (item 8.4 + item 8.5) |
37,106 |
|
|
|
|
|
8.7 |
Estimated quarters of funding available (item 8.6 divided by item 8.3) |
5.13 |
|
Note: if the entity has reported positive relevant outgoings (ie a net cash inflow) in item 8.3, answer item 8.7 as “N/A”. Otherwise, a figure for the estimated quarters of funding available must be included in item 8.7. |
||
|
8.8 |
If item 8.7 is less than 2 quarters, please provide answers to the following questions: |
|
|
|
8.8.1 Does the entity expect that it will continue to have the current level of net operating cash flows for the time being and, if not, why not? |
|
|
|
Answer: N/A
|
|
|
|
8.8.2 Has the entity taken any steps, or does it propose to take any steps, to raise further cash to fund its operations and, if so, what are those steps and how likely does it believe that they will be successful? |
|
|
|
Answer: N/A |
|
|
|
8.8.3 Does the entity expect to be able to continue its operations and to meet its business objectives and, if so, on what basis? |
|
|
|
Answer: N/A |
|
|
|
Note: where item 8.7 is less than 2 quarters, all of questions 8.8.1, 8.8.2 and 8.8.3 above must be answered. |
|
Compliance statement
1. This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.
2. This statement gives a true and fair view of the matters disclosed.
Date: ……………..30 January 2022…………………………………..
Authorised by: ………..By the Board……………………………………………..
(Name of body or officer authorising release – see note 4)
Notes
- This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about the entity’s activities for the past quarter, how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so.
- If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.
- Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.
- If this report has been authorised for release to the market by your board of directors, you can insert here: “By the board”. If it has been authorised for release to the market by a committee of your board of directors, you can insert here: “By the [name of board committee – eg Audit and Risk Committee]”. If it has been authorised for release to the market by a disclosure committee, you can insert here: “By the Disclosure Committee”.
- If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Council’s Corporate Governance Principles and Recommendations, the board should have received a declaration from its CEO and CFO that, in their opinion, the financial records of the entity have been properly maintained, that this report complies with the appropriate accounting standards and gives a true and fair view of the cash flows of the entity, and that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively.
About Hot Chili
Hot Chili Limited is a mineral exploration company with assets in Chile. The Company's flagship project, Costa Fuego, is the consolidation into a hub of the Cortadera porphyry copper-gold discovery and the Productora copper-gold deposit, set 14 km apart in an excellent location – low altitude, coastal range of Chile, infrastructure rich, low capital intensity.The Costa Fuego landholdings, contains an Indicated Resource of 391Mt grading 0.52% CuEq (copper equivalent), containing 1.7 Mt Cu, 1.5 Moz Au, 4.2 Moz Ag, and 37 kt Mo and an Inferred Resource of 334Mt grading 0.44% CuEq containing 1.2Mt Cu, 1.2 Moz Au, 5.6 Moz Ag and 27 kt Mo, at a cut-off grade of 0.25% CuEq.The Company is working to advance its Costa Fuego Project through a preliminary feasibility study (followed by a full FS and DTM), and test several high-priority exploration targets.
Certain statements contained in this news release, including information as to the future financial or operating performance of Hot Chili and its projects may include statements that are "forward‐looking statements" which may include, amongst other things, statements regarding targets, estimates and assumptions in respect of mineral reserves and mineral resources and anticipated grades and recovery rates, production and prices, recovery costs and results, and capital expenditures and are or may be based on assumptions and estimates related to future technical, economic, market, political, social and other conditions.These forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by Hot Chili, are inherently subject to significant technical, business, economic, competitive, political and social uncertainties and contingencies and involve known and unknown risks and uncertainties that could cause actual events or results to differ materially from estimated or anticipated events or results reflected in such forward‐looking statements.
Hot Chili disclaims any intent or obligation to update publicly or release any revisions to any forward‐looking statements, whether as a result of new information, future events, circumstances or results or otherwise after the date of this news release or to reflect the occurrence of unanticipated events, other than as may be required by law. The words "believe", "expect", "anticipate", "indicate", "contemplate", "target", "plan", "intends", "continue", "budget", "estimate", "may", "will", "schedule" and similar expressions identify forward‐looking statements.
All forward‐looking statements made in this news release are qualified by the foregoing cautionary statements. Investors are cautioned that forward‐looking statements are not a guarantee of future performance and accordingly investors are cautioned not to put undue reliance on forward‐looking statements due to the inherent uncertainty therein.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Contact Details
Investor Relations
Graham Farrell
+1 416-842-9003
Investor Relations
Jonathan Paterson
+1 475-477-9401
CEO
Christian Easterday
