Hot Chili raises $40M to fast-track Chilean copper project

Hot Chili (ASX:HCH) has launched a strategic $40 million private placement to institutional and professional investors, aiming to solidify its position as a leading global copper developer.

The capital raising, conducted on a "best endeavors" basis at $1.65 per share, represents a 15% discount to the company’s last closing price.

Managed by a syndicate including Veritas Securities, Cormark Securities, and Desjardins Capital Markets, the placement utilises the company’s existing 25% capacity under ASX listing rules, with shares expected to be issued by Feb. 12.

The primary objective of this funding is to fast-track the Costa Fuego Project in Chile, one of the few copper developments globally not currently held by a major mining house.

A significant portion of the proceeds will be directed toward aggressively accelerating the La Verde Cu-Au discovery to establish a maiden mineral resource.

The funds will support the advancement of the Huasco Water Project, the commencement of the Costa Fuego feasibility study, and the finalisation of crucial environmental impact assessments.