Hot Chili Limited · ASX:HCH
Hot Chili — Chile Explore Congress 2017
26 slides from Hot Chili's conference presentation, Sep 28, 2017
Slide 1: Heating Up: Expanding Chile's Next Major Copper Producer
For personal use only Heating Up Expanding Chile’s Next Major Copper Chile Explore Congress 2017 Producer Hotel Santiago, Chile September 28th 2017 ASX code: HCH September 2017
Slide 2: Disclaimer
Disclaimer For personal use only This Presentation is provided on the basis that neither the Company nor its representatives make any warranty (express or implied) as to the accuracy, reliability, relevance or completeness of the material contained in the Presentation and nothing contained in the Pr
Slide 3: Hot Chili: Top ASX Listed Copper Developer
HOT CHILI For personal use only One of the top ASX listed Copper Developers with advanced Chilean coastal range copper portfolio Productora Copper project resource base sitting at 1.5Mt copper & 1Moz gold PFS Complete- 10 Years Mine Life with first 8 years averaging 66kt Cu and 25koz Au production a
Slide 4: Corporate Summary
Corporate Summary For personal use only Board of Directors Capital Structure Murray Black Non Exec Chairman Issued Shares 555.1M Christian Easterday Managing Director Unlisted Options 11.0 M (30c, exp Jun 2019) Michael Anderson Non Exec Director 8.0M (10c, exp Sept 2018 20.0M (3.33c, exp Jun 2019) A
Slide 5: Copper Price Rising
Copper Price Rising ▪ Copper price has increased 50% in past 12months For personal use only ▪ Market cap’s of most ASX listed copper developers still at 10-20% of their 2013 levels Incentive Price Range Required for Majority of New Large-Scale Copper Developments US$3.30/lb US$3.00/lb HOT CHILI Pres
Slide 6: Copper Supply Deficit Drawing Near
Copper Supply Deficit Drawing Near For personal use only ▪ Tight Supply/Demand balance over coming 18 to 24 months ▪ Large Supply deficit expected to widen from 2019 to drive next wave of copper mines Source: Teck Presentation – Investor and Marketing Day, March 30th 2017 HOT CHILI Presentation 6
Slide 7: Value Highly Leveraged to Copper Price
Value Highly Leveraged to Copper Price For personal use only ▪ Above US$3.00/lb copper price, every US$5c/lb increase adds US$28M in NPV to the valuation of Productora (against spot prices) Financial analysis of Productora PFS valuation in relation to copper price HOT CHILI Presentation 7
Slide 8: Chilean Operating Centre
Chilean Operating Centre For personal use only ▪ Low altitude coastal range, 700km north of Santiago Chile, significant infrastructure advantage secured Chile Large Scale Copper Hub ▪ Productora (Flagship) ▪ San Antonio (HG Satellite) ▪ Lulu (HG Satellite) HOT CHILI Presentation 8
Slide 9: Building Productora into a Premier Copper Development
Building Productora into a Premier Copper Development For personal use only Bulk Tonnage Growth Target Target Mineralisation Statement1 References to exploration target size and target mineralisation in this presentation are conceptual in nature and should not be construed as indicating the existenc
Slide 10: Productora - Flagship Project
Productora- Flagship Project For personal use only Productora JV Structure Productora Copper Project 20% CMP 80% Hot Chili Invested to Date US$90M Major Project Partner CMP- Chiles largest iron ore (20% contributing) producer Infrastructure Access Surface rights and easements for power and water sec
Slide 11: Strong Foundation to Expand
Strong Foundation to Expand For personal use only ▪ PFS1 planned large-scale, low cost copper processing facility ▪ Average throughput of 14.7Mtpa sulphide & 2.8Mtpa oxide over first 8 years ▪ Average annual copper production of 66kt over first 8 years of production (60 kt of Cu in concentrate and 6
Slide 12: Years Mine Life Established
10 Years Mine Life Established For personal use only ▪ Additional 6-7 years of bulk tonnage mine life1 being pursued ▪ 10,000m of RC/DD reconnaissance drilling completed at Productora this year already 1. Refer to ASX Announcement dated 2nd March 2016 HOT CHILI Presentation 12
Slide 13: Large-Scale Porphyry Copper Potential Confirmed
Large-Scale Porphyry Copper Potential Confirmed For personal use only Magnetic Inversion Depth Slice & Reconnaissance Drilling Alice Resource ▪ Four mineralised porphyry copper targets (Porphyry hosted) delineated from reconnaissance drilling Porphyry ▪ Two shallow targets drill confirmed with wide,
Slide 14: Building Productora into a Premier Copper Development
Building Productora into a Premier Copper Development For personal use only High Grade Satellite Growth Target Target Mineralisation Statement1 References to exploration target size and target mineralisation in this presentation are conceptual in nature ▪ Targeting minimum 10-12yrs of and should not
Slide 15: New High Grade Satellite Added: San Antonio
New High Grade Satellite Added For personal use only San Antonio Copper Project JV Option (Non Binding LOI) San Antonio HG Satellite 10% Copper Project 90% Private Hot Chili Trucking 20km directly east of Productora Distance Historical UG Total of 2Mt grading 2% Cu, 0.5g/t Mine gold extracted over 2
Slide 16: 20m to 30m Development Widths
20m to 30m Development Widths For personal use only ▪ Substantial underground mine ▪ Construction of digital underground 3D mine model has commenced UG ore photo- chalcopyrite and bornite 1m ▪ Total historical production of 2Mt grading 2% copper and 0.5g/t gold ▪ Sulphide copper associated with chal
Slide 17: Large Potential
Large Potential Formacion Cerrillos Recognised Lavas + breccia + tuffs For personal use only San Antonio Mine ▪ Andesite hosted mineralisation within a sequence of moderately east-dipping Formacion Pabellon sandstone and limestone units Volcano/sediments 2.5km strike length extension of skarn ▪ Exte
Slide 18: Second High Grade Satellite Added: Lulu
Second High Grade Satellite Added Lulu Copper Project JV Option For personal use only (Non binding LOI) Lulu HG Satellite 30% Copper Project 70% Private Hot Chili Trucking 30km directly west of Productora Distance Historical UG Direct extension of substantial UG mine Mine reportedly developed to 600
Slide 19: Historical High Grade Mining Centre
Historical High Grade Mining Centre For personal use only ▪ One of the highest grade historical mining centres in the region, commenced by British in 1860’s, supporting a population of approximately 5,000 people at its peak ▪ Exploited vein widths up to 7m with grades averaging 12% copper and 5g/t g
Slide 20: 800m Extension of Main Structure Confirmed at Lulu
800m Extension of Main Structure For personal use only Confirmed at Lulu ▪ Detailed structural mapping and surface geochemistry programme underway A A’ ▪ 800m strike length of main ore hosting vein over widths A’ ranging from 70cm to 4.1m B’ A ▪ Logistical planning being B undertaken ahead of enviro
Slide 21: Put Hot Chili on Your Watchlist!
Put Hot Chili on Your Watchlist! For personal use only ▪ Copper price is rising ▪ And with that, the value of Hot Chili’s existing large scale copper development ▪ Exceptional growth opportunities that have the potential to add scale and grade ▪ Partnerships for other expansion opportunities being e
Slide 22: Qualifying Statements
Qualifying Statements For personal use only Mineral Resource and Ore Reserve Confirmation The information in this presentation that relates to Mineral Resources and Ore Reserve estimates on the Productora copper project was previously reported in the ASX announcement “Hot Chili Delivers PFS and Near
Slide 23: Productora JORC Compliant Mineral Resource
Productora JORC Compliant Mineral Resource Productora Project Higher Grade Resource, March 2016 For personal use only Grade Contained Metal Tonnage Cu Au Mo Copper Gold Molybdenum Deposit Classification (Mt) (%) (g/t) (ppm) (tonnes) (ounces) (tonnes) Indicated 166.8 0.50 0.11 151 841,000 572,000 25,
Slide 24: Qualifying Statements: Competent Person's Statement
Qualifying Statements Competent Person’s Statement For personal use only Exploration Results Exploration information in this Presentation is based upon work undertaken by Mr Christian Easterday, the Managing Director and a full- time employee of Hot Chili Limited whom is a Member of the Australasian
Slide 25: Qualifying Statements: Target Mineralisation Statement
Qualifying Statements For personal use only Target Mineralisation Statement References to exploration target size and target mineralisation in this presentation are conceptual in nature and should not be construed as indicating the existence of a JORC Code compliant mineral resource. Target minerali
Slide 26: Hot Chili Limited
Hot Chili Limited ACN 130 955 725 ASX: HCH For personal use only Level 1, 768 Canning Highway, Applecross, Western Australia 6153 P: +61 8 9315 9009 F: +61 8 9315 5004 www.hotchili.com.au